Saturday, March 24, 2007

The Coming Second Great Depression?



Here's a troubling prediction by Chalmers Johnson, author of Nemesis: The Last Days of the American Republic, reported in an AlterNet interview:
If you had asked me what I think actually will happen -- and again, I cannot foresee the future -- the economic news encourages me in this thought. I believe we will stagger along under the fa├žade of constitutional government until we're overtaken by bankruptcy. Bankruptcy will not mean the literal end of the United States, any more than it did for Germany in 1923, or China in 1948, or Argentina just a few years ago, for 2001 and 2002.

But it would mean a catastrophic shake up of the society, which could conceivably usher in revolution, given the interests that would be damaged in this. It would mean virtually the disappearance of all American influence in international affairs. The rest of the world would be greatly affected, but it would begin to overcome it. We probably would not.

That's what I think is the most likely development, given the profligacy of our government in spending money that it doesn't have, in borrowing it from the Chinese and the Japanese, and the defense budgets that are simply serving the interest of the military-industrial complex.
Since the American and Canadian economies are intertwined, I doubt Canada will be much of a safe haven if this economic apocalypse fulfills itself. It would be interesting to see if and how the domestic politics of the European Union would change in reaction to the immigration of North American market-dominant minorities to the EU...

1 Comments:

RoseCovered Glasses said...

Your post has some excellent points. I am a 2 tour Vietnam Veteran who recently retired after 36 years of working in the Defense Industrial Complex on many of the weapons systems being used by our forces as we speak. Here's some additional data:

The U.S. Department of Defense, headquartered in the Pentagon, is one of the most massive organizations on the planet, with net annual operating costs of $635 billion, assets worth $1.3 trillion, liabilities of $1.9 trillion and more that 2.9 million military and civilian personnel as of fiscal year 2005.

It is difficult to convey the complexity of the way DOD works to someone who has not experienced it. This is a massive machine with so many departments and so much beaurocracy that no president, including Bush totally understands it.

Presidents, Congressmen, Cabinet Members and Appointees project a knowledgeable demeanor but they are spouting what they are told by career people who never go away and who train their replacements carefully. These are military and civil servants with enormous collective power, armed with the Federal Acquisition Regulation, Defense Industrial Security Manuals, compartmentalized classification structures and "Rice Bowls" which are never mixed.

Our society has slowly given this power structure its momentum which is constant and extraordinarily tough to bend. The cost to the average American is exhorbitant in terms of real dollars and bad decisions. Every major power structure member in the Pentagon's many Washington Offices and Field locations in the US and Overseas has a counterpart in Defense Industry Corporate America. That collective body has undergone major consolidation in the last 10 years.

What used to be a broad base of competitive firms is now a few huge monoliths, such as Lockheed Martin, General Dynamics, Northrop Grumman, Raytheon and Boeing and SAIC. If you would like to read how they control our government, please see:
http://www.vanityfair.com/politics/features/2007/03/spyagency200703

Government oversight committees are carefully stroked. Sam Nunn and others who were around for years in military and policy oversight roles have been cajoled, given into on occasion but kept in the dark about the real status of things until it is too late to do anything but what the establishment wants. This still continues - with increasing high technology and potential for abuse.

Please examine the following link to testimony given by Franklin C. Spinney before Congress in 2002. It provides very specific information from a whistle blower who is still blowing his whistle (Look him up in your browser and you get lots of feedback) Frank spent the same amount of time as I did in the Military Industrial Complex (MIC) but in government quarters. His job in government was a similar role to mine in defense companies. Frank's emphasis in this testimony is on the money the machine costs us. It is compelling and it is noteworthy that he was still a staff analyst at the Pentagon when he gave this speech. I still can't figure out how he got his superior's permission to say such blunt things. He was extremely highly respected and is now retired.

http://www.d-n-i.net/fcs/spinney_testimony_060402.htm

The brick wall I often refer to is the Pentagon's own arrogance. It will implode by it's own volition, go broke, or so drastically let down the American people that it will fall in shambles. Rest assured the day of the implosion is coming. The machine is out of control.

If you are interested in a view of the inside of the Pentagon procurement process from Vietnam to Iraq please check the posting on this blog entitled, "Odyssey of Armaments"

http://rosecoveredglasses.blogspot.com/2006/11/odyssey-of-armaments.html

On the same subject, you may also be interested in the following sites from the "Project On Government Oversight", observing it's 25th Anniversary and from "Defense In the National Interest", inspired by Franklin Spinney and contributed to by active/reserve, former, or retired military personnel.

http://pogo.org/

http://www.d-n-i.net/top_level/about_us.htm

8:20 AM  

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