Jack comments on the recent Wikileaks revelations of secret IMF plans to impose still more austerity on Greece before this summer. Jack revisits his predictions of last summer 2015 that the Greek debt crisis would reappear in 2016 along with the UK exit from the EU and renewed talk of a Greece exit as well—both of which now appear on the agenda. The Troika’s origins of the Greek Debt and why a new kind of financial imperialism is now emerging. Fractures between segments of Europe’s financial-economic elites continue to grow. Jack discusses what’s wrong with US job and GDP numbers, and why China GDP stats are about half of the official GDP rates. Why US central bank, FED, policy of no interest rate hike benefits US multinational companies at the expense of tens of millions of US households and small businesses. Jack concludes with explaining why global oil prices will again fall, China’s mini-stimulus will again fade, and why Japan and Europe will slip further into QE and NIRP (negative interest rates) in coming months.
Updates on IMF, Panama Papers and tax evasion, workers fighting back. Major discussions of economics of prisons and sugar babies and of how worker coops might have changed the USSR and China.
Jack Rasmus discusses the strike of 36,000 communication workers that began this week at Verizon Communications and how it reflects the radical destruction by corporations of decent jobs in the US that has been occurring since the 1990s. Jack calculates 52 million of the total 157 million jobs in the US labor force today are some form of ‘contingent’ or so-called ‘alternative work’ arrangements, paying substandard wages and few if any benefits. The Verizon strike represents worker-union efforts to stop corporate conversion of full time regular jobs to ‘contingent,’ outsourced, contract work. Jack discusses a recent Princeton Univ. study that shows temp and independent contract jobs have risen by 9.4 million just since 2005—i.e. more than the total increase in new jobs (9.1m) over the same period. Full time contingent jobs now total 23.6m, according to the Princeton study. Add to that 26 m more in part time contingent employment, plus another 8.2m unemployed and more than 60 million US workers now earn less than full time wages and virtually no benefits. And more if the ‘Uberization’ of work underway is considered. Median earnings for the 50m barely exceed $30k a year. Jack explains this is at the core of the growing working class discontent in the US that is fueling both the Trump and the Sanders candidacies. Jack speculates on the possibility of a 4-way race for the presidency in this year’s elections. The show concludes with a review of the global economy, including the IMF’s recent lowered forecast, China’s recent GDP stats, and Jack revisiting his prior forecast the US economy would again stagnant and approach zero GDP growth for the first quarter 2016 in stats out in a couple of weeks.
Dr. Jim Garrison is the founding President of Ubiquity University and the Wisdom School of Graduate Studies, an international school of higher education built upon innovative principles of whole brain and whole system learning. The university operates on four continents with partners in the EU, India, Mexico, South Africa, Russia, Vietnam and others. As the co-founder and President of the Gorbachev Foundation, Jim was instrumental in the founding of the State of the World Forum to lay a template for a more sustainable global civilization. In the late 80s he served as the executive director of the Esalen Institute Soviet-American Exchange, and founded the International Foreign Policy Association in collaboration with Secretary of State George Schultz and Georgian President Edward Shevardnadze to provide humanitarian relief to children in former Soviet republics. Jim has graduate degrees in religion and theology from Harvard and Cambridge universities. His websites are WisdomUniversity.org and UbiquityUniversity.org
John Perkins, primarily through the 1970s and 1980s, was an economic hit man (EHM), a job to convince leaders of developing nations to accept economic conditions that benefit US private and government interests. He was a direct participant or witness to such dramatic modern events as the Saudi Arabian Money Laundering scandal, the fall of the Shah of Iran, the assassinations of Eucador’s and Panama’s democratically elected presidents, and other government and corporate intrigues. John was a chief economist for a large international consulting firm advising the World Bank and IMF, the UN, Fortune 500 companies and many national governments. Since leaving his covert activities, John been a champion of indigenous spiritual cultures and environmental movements through his non profit projects Dream Change and the Pachamama Alliance. After 911, John broke his silence with the publication of his international best seller that has just been fully revised and published as “The New Confessions of an Economic Hit Man”, to explain that rather than a corrupt specialized activity among select consulting and international construction firms in the past, the system of economic hit men has rather become more sophisticated, more devious, and more widespread, even through the halls of government, and is now intentionally bankrupting the US as it has done in the past with developing nations. His website is JohnPerkins.org where people can receive his newsletter.
Dr. Jack Rasmus provides an update on Greek debt negotiations since last week’s Alternative Visions show and discussion on the origins of the Greek debt. Updates include Troika scenarios outlined at its June 12 meeting in Bratislava, the IMF walkout after, the failed meetings that occurred in Brussels over the weekend of June 13-14, and Greece’s proposals of June 15 rejected again by the Troika. Also discussed are the sabotage of the Greek government negotiators by their own Greek Central Bank, which on June 17 publicly declared Greece should sign the Troika’s latest package; Greek prime minister, Tsipras’, warmly welcomed visit to Russia on the same day; and the failed meeting of June 18 of Euro finance ministers in Luxemburg at which it was expected Greece would concede to the Troika’s position but didn’t. Jack notes the growing statements by German and IMF representatives that a managed default and Greek exit is preferable to continuing Greece’s unresolvable debt crisis. Were Greece to agree to the Troika’s position, and generate a $2-$3 billion a year surplus (by cutting spending and raising sales taxes) that it would take Greece 150 years to pay off the Troika debt. Greece cannot pay and cannot ‘grow out of’ the crisis, Rasmus argues. Rumors continue to grow that Greece may rearrange its cabinet, replacing hardliners with more amenable cabinet members should it agree to more Troika cuts in exchange for some debt restructuring. The political and economic risks for both sides of continuing negotiations and of default are noted. Default is quite possible, Rasmus notes, but the most likely 60-40 scenario is some kind of more concessions by Greece for some kind of debt restructuring over the next 90 days, as the current extension is extended yet again.
Two events occurred last week that mark a further phase in the waning of US global economic hegemony: China introduced its own Economic Development Bank, the ‘Asian Infrastructure Investment Bank’ (AIIB); the IMF simultaneously announced it will decide in May to include the Chinese currency as a global reserve-trading currency alongside the dollar, pound, and euro—an almost certainly ‘done deal’ as well.