Saturday, December 4, 2010
Monday, November 29, 2010
clif high bucks the system
Plan 'B'.....
with respect, and awareness, let us begin...
They, the powers that used to be, are trying it again.
You know, the whole 'problem, response, solution' thing that they use to control large numbers of mostly hypnotized people on this planet. They create a 'problem' that causes you to go into fear mode which is chemically triggered by the R-complex in your lower brain matrix, and then they control you through your emotions by manipulating events such that you agree to give them your power in exchange for them providing a 'solution' to the 'problem' that they caused.
They had thought that their 'israel versus iran' problem would be sufficient to lever the planetary populace into a middle east focused global war. It did not work since so many of us were watching for so long.
Note, and you may certainly argue with me, that the planetary populace focus on the potential for a [nu-war] beginning with the [israeli mistake] has contributed to the destruction of potential emotional energy for that war to exist. Also note i am not saying anything more than words from hph *participated* in the process of grounding that potential war. It works on an energetic level beyond the condensate matter plane which is the 'place' where your body, the planet, universe and all the pies exist. It works at this energetic level by concentrating 'attention' which is a form of 'directly focused consciousness (note...little 'c' consciousness, not BIG 'C"). This directly focused consciousness acts as a spot light may act on a particularly vulnerable area of a house, which is to say, preventing burglary and other mischief due to the 'exposure' to the whole neighborhood.
So they fell back to Plan 'B'..... also please note that tptw (the powers that were) undoubtedly have Plan B as a bolded statement in their minds. This is due to their whole attitude of "we are the grown-ups in this world" and we have 'really really serious plans'. Yeah..right (sarcastic derision here).
The Plan B, it appears, is to generate a war between amongst the Korean peoples. Nope, not as good as getting the whole planetary populace whipped up about the Israeli's and Jews versus the Farsi and Islamists, but hey? what can you do...it's a plan B. Ok, so mostly Korea is too far away from the energy (oil) center of the planet, (note that location matters to tptw in their majic plots, so to have to move their war is quite irritating indeed), and outside the usual emotional framework of the hundreds of millions of sheeple that tptw (the powers that were) are trying to herd, but what the hell. In cases of desperation, you take what you can get.
So they are trying to promote this latest [nu-war] effort into their [coup-de-grace] that would, in their twisted reptilian minds, lead to WW3, then the N W O, and their wet dream of the great harvest of souls.
They are desperately working their Plan B, this is, by the way, their response to the Chinese submarine continental ballistic missile signal off the coast of California. All this shit is connected...in case you were not paying attention. The Plan B, again as an aside, is no where near their ideal energy draining control-of-planetary-humans optimum, and they, that is the former powers-that-be, are in a desperate, and intensely fearful state, as they realize just how shaky their position has become. They know they are in deep and sinking fast.
So look for them to be both stupid, and careless.
Since the former-powers-that-be are trapped in ritualistic, even reptilian, thinking, they will re-run one of their previous hits, which is to say, expect another 'gulf of tonkin' incident. Only this time in the seas off of Korea, and considerably more violent. In fact, judging from our emotional quantifiers and the steady erosion of emotional tone sums within the FPTB (Former ThePowersThatBe) entity in our modelspace, they will likely have to pretty much totally destroy at least 1/one large, American carrier group in the Gulf Of Tonkin Incident, Part Deaux.
Now please note...if you are ignorant of what the Gulf of Tonkin Incident is, and how it affected your life and the social fabric of the planet, you should go look it up now. We will wait till you get back...
Ok, she's back.
And now we have our cultural perspective, yes? The twisted humans that we all call minions, also known as scummy politicians, are being instructed by their masters, which include but are not limited to, the banksters, to 'play' us all with a new war, and to do it NOW.
They will arrange for an 'in your face' provocation to the North Koreans, that will NOT be visible to anyone other than the North Koreans. This will be their 'problem statement', that they anticipate will drive the North Koreans quite batshit, and they in turn will respond violently (as they have been trained by decades of trauma induced and planned by the old TPTB). The violent response is likely to be an unexpectedly sophisticated low flying missile attack on multiple ships in a carrier group. The attack, as tptw hope, would be devastatingly successful since the American fleet commanders are *not* aware that they are the sacrificial goats this time. The use of the word 'goats' is quite specific as many of the upper echelon naval surface ship officers are masons ( a secret society abhorrent to regular humans), and thus really should know better. But, probably they were out the day of the meeting and so were chosen to be the goat by everyone else. Yes, masons, i do know of what i speak and the mental image in your mind now is quite deliberate.
The resultant horrific destruction of ships and men, it is thought by the former-powers-that-be, would be enough to compensate, energetically, in sparking their global war.
Will it?
Well.... time and all the planetary humans will determine the outcome of their Plan B approach.
You see, it is a question of energies, not only nuclear and armies of men and machines, but also of the energy of focused attention by humans. This is the woo-woo part in case you had not noticed. The focused concentration of all the planetary humans is now being directed to the stage play organized by a bunch of twisted/damaged minds around the traumatized Korean peoples. For them, that is, the twisted fuckers who planned this, the situation *appears* to be a prime Plan B.
But, as any human knows, plans usually don't work out in manifesting universe, at least not as conceived inside the limitations of mind. To think otherwise is delusion...do not kid yourself.
So...what i am doing is to consider the problem of the Korean peoples not from the view being crafted by tptw and their loyal but stupid press minions, but rather to focus my attention on the whole production (getting my mind away from their narrow perception), and to consider the Korean peoples not as warring parties, but as a family of related humans, deeply traumatized by the insidious and hideous actions of a small group of power elite that behave as though they are not human.
Now then, what is to be done about Plan B? Well....do not expect me to answer that question for you. There are thoughts i have, mainly of trying to heal the trauma state of the Koreans, and yes, some of the healing involves pie (if you don't get it by now, and can't smell the cinnamon wafting up in the warm scent of baked apples carried by the gently roasting wheat, then you seriously need to learn to bake). And yes, they, the thoughts are a good start, but obviously not enough. We live in the plane of matter condensed from the energy of universe. Some of the thoughts must express themselves on the material plane....thus this missive. Not a missile. Rather a string of words designed to excite other words in other minds until maybe, just maybe, within the storm of words, will arise the necessary vibrational harmonic that will begin the resonance that will derail Plan B.
We could tell the American navy guys, through their buddies in secret society criminal activities, the masons, that we know. But you can't warn them...that would probably be some kind of criminal act under the many constraining 'laws' from the minions and tptw (the powers that were). But, we could express our sadness - to them, their families will find out soon enough so don't go adding to their up coming trauma and please stand by to aid and comfort all of the families of those who will be sacrificed for the political and banker welfare in this next new war. This needs to be treated with respect as these men and women will all soon be dead and deserve no less than our serious intent to preserve their lives, even if they think the wu-jo to be woo-woo, and their 'mission' to be righteous. If you take their death and their mission seriously, and acknowledge their courage, even in the presence of the larger ignorance about their fate, then they may be reachable. Not that it would, or even could change much. Been there (military brat), so i understand the situation that traps these brave humans.
We could figure out a way to tell the Koreans that they are being 'played by the elites', but will they listen? Would they recognize the power that they have to step outside the paradigm being rapidly built to fence them in to a cage match? Would they, even if they understand the broader strategy employed against them, have the raw human courage to stand up and say, "i am human. i am courage personified. i fiercely fight for my family, my tribe, my country, my planet. i do not fight for profit and amusement for twisted minds. Your fucking war does not start with me." The Koreans that i know are such people as to say this. They are the koreans of the Tae Kwon Do...which is also an art of peace.
But i am open to suggestion. These are just my thoughts, what are yours?
If we don't do something, the obvious will continue. This Plan B does not suit me, how about you?
clif
November 28, 2010
with respect, and awareness, let us begin...
They, the powers that used to be, are trying it again.
You know, the whole 'problem, response, solution' thing that they use to control large numbers of mostly hypnotized people on this planet. They create a 'problem' that causes you to go into fear mode which is chemically triggered by the R-complex in your lower brain matrix, and then they control you through your emotions by manipulating events such that you agree to give them your power in exchange for them providing a 'solution' to the 'problem' that they caused.
They had thought that their 'israel versus iran' problem would be sufficient to lever the planetary populace into a middle east focused global war. It did not work since so many of us were watching for so long.
Note, and you may certainly argue with me, that the planetary populace focus on the potential for a [nu-war] beginning with the [israeli mistake] has contributed to the destruction of potential emotional energy for that war to exist. Also note i am not saying anything more than words from hph *participated* in the process of grounding that potential war. It works on an energetic level beyond the condensate matter plane which is the 'place' where your body, the planet, universe and all the pies exist. It works at this energetic level by concentrating 'attention' which is a form of 'directly focused consciousness (note...little 'c' consciousness, not BIG 'C"). This directly focused consciousness acts as a spot light may act on a particularly vulnerable area of a house, which is to say, preventing burglary and other mischief due to the 'exposure' to the whole neighborhood.
So they fell back to Plan 'B'..... also please note that tptw (the powers that were) undoubtedly have Plan B as a bolded statement in their minds. This is due to their whole attitude of "we are the grown-ups in this world" and we have 'really really serious plans'. Yeah..right (sarcastic derision here).
The Plan B, it appears, is to generate a war between amongst the Korean peoples. Nope, not as good as getting the whole planetary populace whipped up about the Israeli's and Jews versus the Farsi and Islamists, but hey? what can you do...it's a plan B. Ok, so mostly Korea is too far away from the energy (oil) center of the planet, (note that location matters to tptw in their majic plots, so to have to move their war is quite irritating indeed), and outside the usual emotional framework of the hundreds of millions of sheeple that tptw (the powers that were) are trying to herd, but what the hell. In cases of desperation, you take what you can get.
So they are trying to promote this latest [nu-war] effort into their [coup-de-grace] that would, in their twisted reptilian minds, lead to WW3, then the N W O, and their wet dream of the great harvest of souls.
They are desperately working their Plan B, this is, by the way, their response to the Chinese submarine continental ballistic missile signal off the coast of California. All this shit is connected...in case you were not paying attention. The Plan B, again as an aside, is no where near their ideal energy draining control-of-planetary-humans optimum, and they, that is the former powers-that-be, are in a desperate, and intensely fearful state, as they realize just how shaky their position has become. They know they are in deep and sinking fast.
So look for them to be both stupid, and careless.
Since the former-powers-that-be are trapped in ritualistic, even reptilian, thinking, they will re-run one of their previous hits, which is to say, expect another 'gulf of tonkin' incident. Only this time in the seas off of Korea, and considerably more violent. In fact, judging from our emotional quantifiers and the steady erosion of emotional tone sums within the FPTB (Former ThePowersThatBe) entity in our modelspace, they will likely have to pretty much totally destroy at least 1/one large, American carrier group in the Gulf Of Tonkin Incident, Part Deaux.
Now please note...if you are ignorant of what the Gulf of Tonkin Incident is, and how it affected your life and the social fabric of the planet, you should go look it up now. We will wait till you get back...
Ok, she's back.
And now we have our cultural perspective, yes? The twisted humans that we all call minions, also known as scummy politicians, are being instructed by their masters, which include but are not limited to, the banksters, to 'play' us all with a new war, and to do it NOW.
They will arrange for an 'in your face' provocation to the North Koreans, that will NOT be visible to anyone other than the North Koreans. This will be their 'problem statement', that they anticipate will drive the North Koreans quite batshit, and they in turn will respond violently (as they have been trained by decades of trauma induced and planned by the old TPTB). The violent response is likely to be an unexpectedly sophisticated low flying missile attack on multiple ships in a carrier group. The attack, as tptw hope, would be devastatingly successful since the American fleet commanders are *not* aware that they are the sacrificial goats this time. The use of the word 'goats' is quite specific as many of the upper echelon naval surface ship officers are masons ( a secret society abhorrent to regular humans), and thus really should know better. But, probably they were out the day of the meeting and so were chosen to be the goat by everyone else. Yes, masons, i do know of what i speak and the mental image in your mind now is quite deliberate.
The resultant horrific destruction of ships and men, it is thought by the former-powers-that-be, would be enough to compensate, energetically, in sparking their global war.
Will it?
Well.... time and all the planetary humans will determine the outcome of their Plan B approach.
You see, it is a question of energies, not only nuclear and armies of men and machines, but also of the energy of focused attention by humans. This is the woo-woo part in case you had not noticed. The focused concentration of all the planetary humans is now being directed to the stage play organized by a bunch of twisted/damaged minds around the traumatized Korean peoples. For them, that is, the twisted fuckers who planned this, the situation *appears* to be a prime Plan B.
But, as any human knows, plans usually don't work out in manifesting universe, at least not as conceived inside the limitations of mind. To think otherwise is delusion...do not kid yourself.
So...what i am doing is to consider the problem of the Korean peoples not from the view being crafted by tptw and their loyal but stupid press minions, but rather to focus my attention on the whole production (getting my mind away from their narrow perception), and to consider the Korean peoples not as warring parties, but as a family of related humans, deeply traumatized by the insidious and hideous actions of a small group of power elite that behave as though they are not human.
Now then, what is to be done about Plan B? Well....do not expect me to answer that question for you. There are thoughts i have, mainly of trying to heal the trauma state of the Koreans, and yes, some of the healing involves pie (if you don't get it by now, and can't smell the cinnamon wafting up in the warm scent of baked apples carried by the gently roasting wheat, then you seriously need to learn to bake). And yes, they, the thoughts are a good start, but obviously not enough. We live in the plane of matter condensed from the energy of universe. Some of the thoughts must express themselves on the material plane....thus this missive. Not a missile. Rather a string of words designed to excite other words in other minds until maybe, just maybe, within the storm of words, will arise the necessary vibrational harmonic that will begin the resonance that will derail Plan B.
We could tell the American navy guys, through their buddies in secret society criminal activities, the masons, that we know. But you can't warn them...that would probably be some kind of criminal act under the many constraining 'laws' from the minions and tptw (the powers that were). But, we could express our sadness - to them, their families will find out soon enough so don't go adding to their up coming trauma and please stand by to aid and comfort all of the families of those who will be sacrificed for the political and banker welfare in this next new war. This needs to be treated with respect as these men and women will all soon be dead and deserve no less than our serious intent to preserve their lives, even if they think the wu-jo to be woo-woo, and their 'mission' to be righteous. If you take their death and their mission seriously, and acknowledge their courage, even in the presence of the larger ignorance about their fate, then they may be reachable. Not that it would, or even could change much. Been there (military brat), so i understand the situation that traps these brave humans.
We could figure out a way to tell the Koreans that they are being 'played by the elites', but will they listen? Would they recognize the power that they have to step outside the paradigm being rapidly built to fence them in to a cage match? Would they, even if they understand the broader strategy employed against them, have the raw human courage to stand up and say, "i am human. i am courage personified. i fiercely fight for my family, my tribe, my country, my planet. i do not fight for profit and amusement for twisted minds. Your fucking war does not start with me." The Koreans that i know are such people as to say this. They are the koreans of the Tae Kwon Do...which is also an art of peace.
But i am open to suggestion. These are just my thoughts, what are yours?
If we don't do something, the obvious will continue. This Plan B does not suit me, how about you?
clif
November 28, 2010
Thursday, November 18, 2010
Sunday, November 7, 2010
Friday, October 29, 2010
"The art and mystery of banks... is established on the principle that 'private debts are a public blessing.' That the evidences of those private debts, called bank notes, become active capital, and aliment the whole commerce, manufactures, and agriculture of the United States. Here are a set of people, for instance, who have bestowed on us the great blessing of running in our debt about two hundred millions of dollars, without our knowing who they are, where they are, or what property they have to pay this debt when called on."
"If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around [the banks] will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered. The issuing power should be taken from the banks and restored to the people, to whom it properly belongs."
"I sincerely believe that banking establishments are more dangerous than standing armies, and that the principle of spending money to be paid by posterity under the name of funding is but swindling futurity on a large scale."
"Everything predicted by the enemies of banks, in the beginning, is now coming to pass. We are to be ruined now by the deluge of bank paper. It is cruel that such revolutions in private fortunes should be at the mercy of avaricious adventurers, who, instead of employing their capital, if any they have, in manufactures, commerce, and other useful pursuits, make it an instrument to burden all the interchanges of property with their swindling profits, profits which are the price of no useful industry of theirs."
"The treasury, lacking confidence in the country, delivered itself bound hand and foot to bold and bankrupt adventurers and bankers pretending to have money, whom it could have crushed at any moment…These jugglers were at the feet of government. For it was not, any confidence in their frothy bubbles, but the lack of all other money, which induced…people to take their paper"
"I own it to be my opinion, that good will arise from the destruction of our credit. I see nothing else which can restrain our disposition to luxury, and to the change of those manners which alone can preserve republican government. As it is impossible to prevent credit, the best way would be to cure its ill effects by giving an instantaneous recovery to the creditor. This would be reducing purchases on credit to purchases for ready money. A man would then see a prison painted on everything he wished, but had not ready money to pay for."
"If the debt which the banking companies owe be a blessing to anybody, it is to themselves alone, who are realizing a solid interest of eight or ten per cent on it. As to the public, these companies have banished all our gold and silver medium, which, before their institution, we had without interest, which never could have perished in our hands, and would have been our salvation now in the hour of war; instead of which they have given us two hundred million of froth and bubble, on which we are to pay them heavy interest, until it shall vanish into air... We are warranted, then, in affirming that this parody on the principle of 'a public debt being a public blessing,' and its mutation into the blessing of private instead of public debts, is as ridiculous as the original principle itself. In both cases, the truth is, that capital may be produced by industry, and accumulated by economy; but jugglers only will propose to create it by legerdemain tricks with paper."
"The Bank of the United States is one of the most deadly hostilities existing, against the principles and form of our Constitution. An institution like this, penetrating by its branches every part of the Union, acting by command and in phalanx, may, in a critical moment, upset the government. I deem no government safe which is under the vassalage of any self-constituted authorities, or any other authority than that of the nation, or its regular functionaries. What an obstruction could not this bank of the United States, with all its branch banks, be in time of war! It might dictate to us the peace we should accept, or withdraw its aids. Ought we then to give further growth to an institution so powerful, so hostile?"
Regulating Banking Institutions
"The principle of rotation... in the body of [bank] directors... breaks in upon the espirit de corps so apt to prevail in permanent bodies; it gives a chance for the public eye penetrating into the sanctuary of those proceedings and practices, which the avarice of the directors may introduce for their personal emolument, and which the resentments of excluded directors, or the honesty of those duly admitted, might betray to the public; and it gives an opportunity at the end of the year, or at other periods, of correcting a choice, which on trial, proves to have been unfortunate."
Paper Speculation
"A spirit... of gambling in our public paper has seized on too many of our citizens, and we fear it will check our commerce, arts, manufactures, and agriculture, unless stopped."
"Our public credit is good, but the abundance of paper has produced a spirit of gambling in the funds, which has laid up our ships at the wharves as too slow instruments of profit, and has even disarmed the hand of the tailor of his needle and thimble. They say the evil will cure itself. I wish it may; but I have rarely seen a gamester cured, even by the disasters of his vocation."
"If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around [the banks] will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered. The issuing power should be taken from the banks and restored to the people, to whom it properly belongs."
"I sincerely believe that banking establishments are more dangerous than standing armies, and that the principle of spending money to be paid by posterity under the name of funding is but swindling futurity on a large scale."
"Everything predicted by the enemies of banks, in the beginning, is now coming to pass. We are to be ruined now by the deluge of bank paper. It is cruel that such revolutions in private fortunes should be at the mercy of avaricious adventurers, who, instead of employing their capital, if any they have, in manufactures, commerce, and other useful pursuits, make it an instrument to burden all the interchanges of property with their swindling profits, profits which are the price of no useful industry of theirs."
"The treasury, lacking confidence in the country, delivered itself bound hand and foot to bold and bankrupt adventurers and bankers pretending to have money, whom it could have crushed at any moment…These jugglers were at the feet of government. For it was not, any confidence in their frothy bubbles, but the lack of all other money, which induced…people to take their paper"
"I own it to be my opinion, that good will arise from the destruction of our credit. I see nothing else which can restrain our disposition to luxury, and to the change of those manners which alone can preserve republican government. As it is impossible to prevent credit, the best way would be to cure its ill effects by giving an instantaneous recovery to the creditor. This would be reducing purchases on credit to purchases for ready money. A man would then see a prison painted on everything he wished, but had not ready money to pay for."
"If the debt which the banking companies owe be a blessing to anybody, it is to themselves alone, who are realizing a solid interest of eight or ten per cent on it. As to the public, these companies have banished all our gold and silver medium, which, before their institution, we had without interest, which never could have perished in our hands, and would have been our salvation now in the hour of war; instead of which they have given us two hundred million of froth and bubble, on which we are to pay them heavy interest, until it shall vanish into air... We are warranted, then, in affirming that this parody on the principle of 'a public debt being a public blessing,' and its mutation into the blessing of private instead of public debts, is as ridiculous as the original principle itself. In both cases, the truth is, that capital may be produced by industry, and accumulated by economy; but jugglers only will propose to create it by legerdemain tricks with paper."
"The Bank of the United States is one of the most deadly hostilities existing, against the principles and form of our Constitution. An institution like this, penetrating by its branches every part of the Union, acting by command and in phalanx, may, in a critical moment, upset the government. I deem no government safe which is under the vassalage of any self-constituted authorities, or any other authority than that of the nation, or its regular functionaries. What an obstruction could not this bank of the United States, with all its branch banks, be in time of war! It might dictate to us the peace we should accept, or withdraw its aids. Ought we then to give further growth to an institution so powerful, so hostile?"
Regulating Banking Institutions
"The principle of rotation... in the body of [bank] directors... breaks in upon the espirit de corps so apt to prevail in permanent bodies; it gives a chance for the public eye penetrating into the sanctuary of those proceedings and practices, which the avarice of the directors may introduce for their personal emolument, and which the resentments of excluded directors, or the honesty of those duly admitted, might betray to the public; and it gives an opportunity at the end of the year, or at other periods, of correcting a choice, which on trial, proves to have been unfortunate."
Paper Speculation
"A spirit... of gambling in our public paper has seized on too many of our citizens, and we fear it will check our commerce, arts, manufactures, and agriculture, unless stopped."
"Our public credit is good, but the abundance of paper has produced a spirit of gambling in the funds, which has laid up our ships at the wharves as too slow instruments of profit, and has even disarmed the hand of the tailor of his needle and thimble. They say the evil will cure itself. I wish it may; but I have rarely seen a gamester cured, even by the disasters of his vocation."
Thursday, October 14, 2010
The Root Of All Evil
IMF Meeting Stokes Fear of Currency War
Mil Arcega 12 October 2010
New Fears of A "Currency War"
EU, China Cannot Agree on Currency Measures
Group Calls for Agreement on Global Currencies
Fears of a global currency war have increased after the meeting of finance leaders at the International Monetary Fund in Washington last week. Talk of trade imbalances and uneven growth due to artificially low currencies has already sparked discussions about possible intervention. Analysts say it's an issue that's not likely to go away anytime soon.
As nations emerge from the global downturn, it's becoming clear that some countries are recovering faster than others.
In its most recent outlook, the International Monetary Fund says growth in developed countries will remain sluggish - even as emerging economies, especially those in Asia, are booming.
Last week, World Bank President Robert Zoellick warned that uneven growth is causing friction.
"We see this now in debates on currencies: developed countries are easing monetary policies; some developing countries are tightening in response to growth; some surplus countries are intervening to lower the value of their currencies to boost exports," he said. "And all this is causing international tensions."
The failure of finance ministers to come up with solutions last week in Washington has only deepened the divide. IMF managing director Dominique Strauss-Kahn.
"Many are talking about a currency war," he said. "Myself, I think I use this vocabulary which may be a bit too military. But it's true to say that many do consider their currency as a weapon and that's certainly not for the good of the global economy."
The US, for example, blames China's undervalued currency for contributing to the massive trade imbalance between the two.
And countries such as Japan and Brazil have threatened to devalue their currencies to gain a competitive edge in exports.
Economist Toby Nandle says it's a big problem with no easy solutions.
"This is not a problem that can be delegated to an international organization such as the IMF," he said. "It's a problem that needs to be addressed by heads of state and by finance ministers because the resolution of said problem has profound affects on different economies."
Among them, China.
Beijing has pledged greater flexibility in determining the value of the yuan. But Chinese premier Wen Jiabao says it will not happen overnight.
"Without this stability of the RMB exchange rate, there would be no stability for businesses, for employment, for our people, and also, if China has social and economic problems, it would be a disaster for the world," he said.
Experts say currency disputes have already jumped to the top of the queue as world leaders prepare for the G-20 summit in South Korea. Barring a resolution, Nandle says the warning from Brazil could become reality.
"If there is no agreement by November 12th as to the global disconnect, I think that Guido Mantego [Brazil's Finance Minister] hit the nail on the head - we have a global currency war underway," he said.
Governments can devalue their currencies in different ways - from giving their central banks the ability to set margins on exchange rates to buying up foreign currencies to lower demand for their own.
Economists say the resulting fluctuations would have serious implications for trade, causing nations to demand additional tariffs, and even blockades, against cheap imports.
Such laws would hurt trade, further delaying a global recovery.
Mil Arcega 12 October 2010
New Fears of A "Currency War"
EU, China Cannot Agree on Currency Measures
Group Calls for Agreement on Global Currencies
Fears of a global currency war have increased after the meeting of finance leaders at the International Monetary Fund in Washington last week. Talk of trade imbalances and uneven growth due to artificially low currencies has already sparked discussions about possible intervention. Analysts say it's an issue that's not likely to go away anytime soon.
As nations emerge from the global downturn, it's becoming clear that some countries are recovering faster than others.
In its most recent outlook, the International Monetary Fund says growth in developed countries will remain sluggish - even as emerging economies, especially those in Asia, are booming.
Last week, World Bank President Robert Zoellick warned that uneven growth is causing friction.
"We see this now in debates on currencies: developed countries are easing monetary policies; some developing countries are tightening in response to growth; some surplus countries are intervening to lower the value of their currencies to boost exports," he said. "And all this is causing international tensions."
The failure of finance ministers to come up with solutions last week in Washington has only deepened the divide. IMF managing director Dominique Strauss-Kahn.
"Many are talking about a currency war," he said. "Myself, I think I use this vocabulary which may be a bit too military. But it's true to say that many do consider their currency as a weapon and that's certainly not for the good of the global economy."
The US, for example, blames China's undervalued currency for contributing to the massive trade imbalance between the two.
And countries such as Japan and Brazil have threatened to devalue their currencies to gain a competitive edge in exports.
Economist Toby Nandle says it's a big problem with no easy solutions.
"This is not a problem that can be delegated to an international organization such as the IMF," he said. "It's a problem that needs to be addressed by heads of state and by finance ministers because the resolution of said problem has profound affects on different economies."
Among them, China.
Beijing has pledged greater flexibility in determining the value of the yuan. But Chinese premier Wen Jiabao says it will not happen overnight.
"Without this stability of the RMB exchange rate, there would be no stability for businesses, for employment, for our people, and also, if China has social and economic problems, it would be a disaster for the world," he said.
Experts say currency disputes have already jumped to the top of the queue as world leaders prepare for the G-20 summit in South Korea. Barring a resolution, Nandle says the warning from Brazil could become reality.
"If there is no agreement by November 12th as to the global disconnect, I think that Guido Mantego [Brazil's Finance Minister] hit the nail on the head - we have a global currency war underway," he said.
Governments can devalue their currencies in different ways - from giving their central banks the ability to set margins on exchange rates to buying up foreign currencies to lower demand for their own.
Economists say the resulting fluctuations would have serious implications for trade, causing nations to demand additional tariffs, and even blockades, against cheap imports.
Such laws would hurt trade, further delaying a global recovery.
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