The most important message to come out of Thursday night’s Republican debate waited until (near) the very end; the subject was Trade and how only one individual on that stage seemed to grasp the topic and provide a commanding response.
But first, a foundation: Trade should never be a political or politicized apparatus; when it is, it’s no longer Free-Trade but political-leverage. Economy (the concept of) is a national order however its durability/sustainability is purely local and for this reason Trade must support a National Economy precisely because it is built on local demand/capacity. The ONLY type of trade, occurring with another country can and is only domestically beneficial if it furthers the durability/sustainability of the domestic economy; end of story. (Side Bar: By the way, the concept of Comparative Advantage exists only in conceptual terms and not in practical reality.)
In today’s world however, Trade is used strictly for Leveraged-Gain, a tool which is quite different than for “durability/sustainability of the domestic economy.” The best example of this tool is Oil; the U.S. (circa 1970’s) never had an oil shortage, we know this. What it had was a Vietnam War spending problem (among other fiscal issues) compounded by the French who went around Europe purchasing various U.S. IOU’s (payable in Gold) and, combined with their own, were submitting claims for payment in gold to the U.S. affecting the Nations supply of bullion.
The IMF, long bent on affecting a global fiat currency system, viewed this crisis as an opportunity, but how do we do this I suspect they asked? In condensed form this is what they did:
(1) Find a replacement for gold; they did and it was crude oil.
(2) Tie the trading of Crude Oil to the U.S. Dollar; they did.
(3) Disrupt the supply of oil so that the price of oil would rise; they did. Passed a law preventing exporting of domestic crude and cut domestic development.
(4) Leverage control of Global Crude Oil Supply: they did and this elevated OPEC as a key tool for advancing the influence of U.S. Paper.
China is yet another and very similar example. Understand that Global Banking survives only by tracing ever expanding markets and penetrating them by way of western banking/investment models. Flood them with money, then leverage the economic infrastructure, ride the massive waive of inflation, intoxicate national leadership, tease public and institutional investment then take control of the market place after it collapses and then repeat the process; make a fortune on the inflation spiral and again upon its collapse.
Yes, ironic as it may seem, like locusts, the system is designed to succeed at failure. Now back to Thursday evening’s debate: I was impressed by Trumps command of this (trade) process and his understanding of and ability to articulate what Trade, in the current world, actually is. For Bush, in his miserable attempt at challenging Trump on the issues (as well as the Fox Moderators inability to nail him on it, Bush that is) I was affirmed in my belief that he is the current front-man for a cabal of whores!
Curtis C. Greco, Founder
