New Cambridge Analytica Leaks Reveal Psychological Manipulation of Global Population

“We use the same techniques as Aristotle and Hitler. We appeal to people on an emotional level to get them to agree on a functional level.”

By Derrick Broze

Source: The Mind Unleashed

On New Year’s Day 2020, Twitter account @HindsightFiles began posting documents from data firm Cambridge Analytica (CA) which expose the extensive infrastructure used to manipulate voters on a global scale.

More than 100,000 documents are said to be released in the coming months, revealing Cambridge Analytica’s activity in a shocking 68 countries, including elections in Malaysia, Kenya, and Brazil. The Guardian reported that the documents come from Brittany Kaiser, a former employee of Cambridge Analytica who turned whistleblower and star of the documentary The Great Hack.

Kaiser told the Guardian:

“I’m very fearful about what is going to happen in the U.S. election later this year, and I think one of the few ways of protecting ourselves is to get as much information out there as possible.”

The latest CA whistleblower has said the dumps will contain previously unreleased emails, project plans, case studies, and negotiations. The HindsightFiles twitter account has posted data on the relationship between Cambridge Analytica and John Bolton, former National Security Adviser to the Trump administration. In 2013, the John Bolton Super PAC paid Cambridge Analytica $650,000 for voter data analysis and digital video ad targeting.

The documents provide more details on that relationship, including using psychographics to play on voters hopes and fears. Psychographics is a methodology which focuses on consumers psychological attributes. Research firms attempt to develop a psychographic profile on various segments of the population by studying personality, opinions, interests, attitudes, values, and behaviors.

Cambridge Analytica first made headlines following the 2016 Presidential election after it was revealed the company had gained access to 87 million Facebook profiles. Whistleblower Christopher Wylie exposed how he helped set up CA and obtain the data of millions of Americans. This is when the public began to understand the scope of Cambridge Analytica’s operations.

In 2015, the UK-based political consulting firm, worked on behalf of Ted Cruz’s campaign to help him win the 2016 Republican nomination. Cambridge Analytica was also involved in campaigns to promote Brexit, as well as promoting the 2016 Trump Presidential campaign. Donald Trump would eventually hire Steven Bannon as the chief strategist for his White House. Bannon previously served as CA’s vice president and was the executive chairman of Breitbart News.

It was through Bannon that whistleblower Christopher Wylie and CA CEO Alexander Nix came to know billionaire Robert Mercer. Bannon arranged for Mercer to invest five million dollars into the creation of Cambridge Analytica. Mercer wanted to work with the group to influence the U.S. elections. When the public became aware of the manipulation by CA, Bannon denied having any knowledge of the scheme. Wylie, however, said Cambridge Analytica was Bannon’s psychological warfare mindfuck.”

Cambridge Analyitca itself is a web of shadowy companies invested in behavioral researching and influencing mass behavior. Cambridge was born out of the Strategic Communications Laboratories (SCL), founded by Nigel Oakes and Alexander Nix. SCL claimed to have an expertise in Psychological Operations, and worked as part of military and political operations around the world. An article by the Register noted that SCL provided training to 15 (UK) Psychological Operations Group and had access to secret information.

The Great Hack documentary details how SCL started out as a military contractor called SCL Defense before shifting to using their data to influence elections. According to the New Yorker, SCL was born out of another organization created by Oakes, the Behavioral Dynamics Institute (BDI). Oakes told Marketing in a 1992 interview:

We use the same techniques as Aristotle and Hitler. We appeal to people on an emotional level to get them to agree on a functional level.”

Although Cambridge Analytica has officially shut down, company executives set up a new company in 2017 called Emerdata Limited.  It was also reported that SCL executives joined Emerdata, including Rebekah Mercer, daughter of billionaire Robert Mercer. The Mercer family have been consistent supporters of President Donald Trump.

The latest leaks from Cambridge Analytica seem poised to expose more lurid details of the inner workings of the disturbing relationship between big data and political operatives. Both the history of the company and its executives are a clear example of the growing trend of politicians seeking to use data gathered by social media companies to better understand and manipulate the minds of potential voters. Stay tuned to the Mind Unleashed for updates on this developing story.

Iraqi PM reveals Soleimani was on peace mission when assassinated, exploding Trump’s lie of ‘imminent attacks’

Secretary of State Mike Pompeo (AP Photo/Matt Rourke)

The Trump administration claimed Iranian general Qasem Soleimani was planning “imminent attacks” on US interests when it assassinated him. That lie was just destroyed, but not before countless corporate media outlets transmitted it to the public.

By Max Blumenthal

Source: The Grayzone

Desperate to justify the US drone assassination of Iranian Major General Qasem Soleimani, Secretary of State Mike Pompeo insisted that Washington had made an “intelligence-based assessment” that Soleimani was “actively planning in the region” to attack American interests before he was killed.

President Donald Trump justified his fateful decision to kill the Iranian general in even more explicit language, declaring that Soleimani was planning “imminent attacks” on US diplomatic facilities and personnel across the Middle East.

“We took action last night to stop a war,” Trump claimed. “We did not take action to start a war.”

Trump’s dubious rationale for an indisputably criminal assassination has been repeated widely across corporate media networks, and often without any skepticism or debate.

At a January 3 State Department briefing, where reporters finally got the chance to demand evidence for the claim of an “imminent” threat, one US official erupted in anger.

“Jesus, do we have to explain why we do these things?” he barked at the press.

Two days later, when Iraqi Prime Minister Adil Abdul-Mahdi addressed his country’s parliament, Trump’s justification for killing Soleimani was exposed as a cynical lie.

According to Abdul-Mahdi, he had planned to meet Soleimani on the morning the general was killed to discuss a diplomatic rapproachment that Iraq was brokering between Iran and Saudi Arabia.

Abdul-Mahdi said that Trump personally thanked him for the efforts, even as he was planning the hit on Soleimani – thus creating the impression that the Iranian general was safe to travel to Baghdad.

Soleimani had arrived in Baghdad not to plan attacks on American targets, but to coordinate de-escalation with Saudi Arabia. Indeed, he was killed while on an actual peace mission that could have created political distance between the Gulf monarchy and members of the US-led anti-Iran axis like Israel.

The catastrophic results of Soleimani’s killing recall the Obama administration’s 2016 assassination of Mullah Akhtar Muhammad Mansur, a Taliban leader who was eager to negotiate a peaceful end to the US occupation of Afghanistan. Mansur’s death wound up empowering hardline figures in the Taliban who favored a total military victory over the US and triggered an uptick in violence across the country, dooming hopes for a negotiated exit.

Since Soleimani’s assassination, Iraq’s parliament has voted to expel all US troops from the country and Iran’s Grand Ayatollah Ali Khamenei has sworn to exact a “severe revenge” on the “the criminals who have stained their hands with [Soleimani’s] and the other martyrs’ blood…”

Trump, for his part, tweeted a litany of gangster-like threats, promising to destroy Iranian cultural sites if it retaliated and pledging to sanction Iraq “like they’ve never been before” if it ousted US troops.

Trump’s treacherous assassination has brought the US closer to war than ever before against a country more militarily potent than any adversary it has faced since the Korean War. And as with the failed US invasion of Iraq, Washington’s casus belli for triggering this conflict was based on falsified intelligence sold to Americans by administration officials, and on a pliant Beltway media acting as their megaphone.

With its claim of “imminent attacks,” the Trump administration has essentially re-mixed Condoleeza Rice’s 2003 warning that “we don’t want the smoking gun to be a mushroom cloud.” Back then, the US attacked a sovereign state to rid it of WMD that did not exist. This time, it killed the second-most important Iranian official to prevent a killing spree that was not on the way. And Trump administration officials knew they were lying.

In fact, Pompeo pitched assassinating Soleimani to Trump several months ago, well before any attacks were “imminent.” And in the wake of the general’s killing, a US official revealed to the New York Times that the NSA had intercepted “communications the United States had between Iran’s supreme leader, Ayatollah Ali Khamenei, and General Suleimani showing that the ayatollah had not yet approved any plans by the general for an attack.”

But the preponderance of evidence exposing Trump’s basis for killing Soleimani as a titanic lie has not generated the same level of media interest as the lie itself.

On January 3, CNN assigned three reporters to disseminate the Trump administration’s disinformation about Soleimani, claiming without a hint of critical detachment that he was “planning specific attacks on US interests, including US personnel.”

After the story went live, CNN’s lead reporter, Jim Sciutto, reached out to another official US source to “confirm” his now-discredited piece of war propaganda. In Sciutto’s mind, if more than one US official says a thing, it must be true.

Sciutto is not just any run-of-the-mill national security reporter. During the Obama era, he accepted a job as chief of staff at the US Embassy in Beijing, placing himself at the center of Washington’s gathering Cold War with China. Now back behind CNN’s anchor desk, Sciutto poses as a ferocious critic of Trump while providing the Pentagon and State Department with reliable stenographic services.

No president in recent history has been despised more viscerally by the Beltway press corps than Trump. Nearly everything he says is met with disdain and suspicion, even when he is telling the truth.

But when Trump and his administration attempt to lie the public into war against a designated evildoer, a swath of the corporate media responds with reflexive trust, then shrugs when the lie is exposed in broad daylight.

On The Idiotic Partisan Debate Over Regime Change In Iran Or Syria

By Caitlin Johnstone

Source: CaitlinJohnstone.com

I love my job. Really, I do. But writing about US military agendas for a living often brings one into contact with such staggering stupidity that all you can do is pause and wonder how our species survived past the invention of the pointy stick.

By far the dumbest thing in all of US politics is the fact that Democrats tend to support regime change in Syria, while Republicans tend to support it more in Iran. I am not talking about the elected officials in those parties; I’m talking about the ordinary rank-and-file Joes and Janets who stand absolutely nothing to gain from toppling either Damascus or Tehran, but who have been brainwashed by lifelong media consumption into supporting one or the other anyway.

Whenever I write against the US government’s longstanding agenda to replace the leadership of Tehran with a compliant puppet regime, I know with absolute certainty that I’m going to spend the rest of my time online arguing with Trump supporters and lifelong Republicans. Whenever I write against the US government’s longstanding agenda to do the same in Syria, I know with absolute certainty that I’m going to be arguing predominantly with so-called centrist liberals.

At no time has this ever failed to occur.

I’ve spent the last few days arguing with Trump supporters who are telling me I’m crazy for not celebrating the death of an Iranian general they had no idea existed one week ago, and many of these pro bono State Department propagandists began following my work because they liked what I’ve been saying about Syria.

Conversely, all the fauxgressives and liberal interventionists who spent all last month telling me I’m a monster for writing about leaked OPCW documents showing we were lied to about an alleged 2018 chemical weapons incident have been staying out of my social media notifications completely these past four days.

It is truly bizarre. And it is truly, deeply, profoundly stupid.

It is truly, deeply and profoundly stupid because the agenda to topple Iran’s government and the agenda to topple Syria’s government are not two separate agendas. They are the same. Supporting one while opposing the other is like wanting to shoot someone in the head but being morally opposed to shooting them in the heart.

Syria and Iran are allies. Eliminating one government necessarily hurts the other. Iran has been helping Syria to win the war against foreign-backed extremist proxy fighters who nearly succeeded in toppling Damascus before its allies stepped in, and should Syria succeed in rebuilding itself (something the Trump administration is actively preventing it from doing) we can be sure it would return the favor when called upon.

The US government’s agenda to “take out” all noncompliant governments in the Middle East is completely removed from any consideration for American party politics. It’s one unified agenda, and the more the imperial blob succeeds in weakening any of the remaining unabsorbed nations, the easier it gets to absorb the others.

Supporting regime change in Iran but not Syria, or vice-versa, is for this reason an inherently absurd position to take. If you opposed Obama’s attempt to topple Damascus via Timber Sycamore-armed proxies, it’s absurd for you to support any maneuvers which could lead to the elimination of Syria’s key ally in that fight. If you oppose Trump’s current warmongering toward Iran, it’s absurd for you to support the elimination of one of Iran’s remaining friends in the region.

If Iran falls you may be sure that Syria will fall next, and vice versa. It’s the same box being ticked; you’re just arguing over whether it should be a left-handed or right-handed check mark.

But such is the strength of propaganda. The perception managers of the US war machine have successfully manipulated the voting public into a debate not about whether regime change interventionism should happen, but which regime change intervention should happen first.

In a sense it’s quite brilliant; we may be quite sure that government agency departments responsible for domestic perception management on US foreign policy have discussed this precise dynamic at length. But in another sense it’s quite mundane: the recent Republican presidents have pursued regime change in Iran, while Obama pursued it in Syria, so Republicans support Republican interventions while Democrats support Democratic ones.

This has nothing to do with any substantial difference in these agendas (again, it’s actually one agenda) and everything to do with what each faction can be more easily propagandized toward. Liberal hearts are easier to grab with horror stories about a monster who gasses babies for no reason and less concerned about refugee crises and the persecution of Syrian Christians, while Republicans are much easier to manipulate into despising a theocracy run by Muslims.

And of course there’s overlap; people who prioritize mass murder above all else like John Bolton and Lindsey Graham will cheer enthusiastically for as much military interventionism as they can get in either country (or any country, really). But by and large, especially among the rank-and-file, people tend to support the interventions their respective presidents propagandized them into supporting. Propaganda is pretty much the only thing the presidential “bully pulpit” is used for.

Because Iraq has poisoned the idea, each mainstream faction may deny actually wanting the US to oust the government of Iran or Syria. Trump supporters who still stand by the anti-interventionist platform he falsely campaigned on may say “I don’t want war with Iran, I just want Iranians to get their freedom and I think it’s awesome they killed Solamumi or however you spell it.” Liberals might say “I don’t want interventionism! I just support the Freedom Fighters™️ in Idlib and want Assad to stop murdering civilians for fun and sexual gratification.” But circulating propaganda narratives about governments targeted for regime change is supporting regime change. You’re participating in it as surely as if you’d deployed the Tomahawk missiles yourself.

Yesterday someone told me that everyone at Qassem Soleimani’s incredibly massive funeral procession was attending because they were forced to. When I asked him if he was claiming that every single one of those millions of people were publicly mourning because they’d been literally forced at gunpoint, he told me no: many were forced in the sense that state propaganda was all they’d ever known, so they were psychologically coerced into grieving Soleimani.

“I don’t accept that your ‘state propaganda their whole lives’ model is any more coercive or fascistic than the kind that causes Americans to turn up to pro- and anti-Trump rallies,” I said. “Americans are no less propagandized than Iranians. If anything it’s worse, since Americans don’t know they’re being propagandized.”

“You’ve got it backwards,” he said. “Iranians don’t know they’re being propagandized because they only have one source of information. The U.S. knows it because we have sides screaming it to other sides all the time and the freedom of information and thought to come to our own conclusions.”

“Nonsense,” I replied. “Nearly all Americans are propagandized to the gills. They’re probably the most aggressively propagandized population on earth, just because so much depends on their swallowing propaganda. It’s just a more scientific sort.”

“And yet here we are, talking about it freely without worrying about swallowing a bullet,” he said.

“Here I am arguing with a man who just so happens to be striving very, very hard to convince me to swallow the exact same narrative that Mike Pompeo is trying to convince me to swallow,” I replied.

The greatest asset of the propagandists is the belief that we haven’t been propagandized.

Saturday Matinee: Faces of the Enemy

Description from California Newsreel:

As relevant today as when it was first released, Faces of the Enemy follows social psychologist Sam Keen as he unmasks how individuals and nations dehumanize their enemies to justify the inhumanity of war.

Using archival news footage, public service announcements, and editorial cartoons, Keen unveils the same frightening pattern in conflict after conflict – World War II, the Vietnam War, the Cold War, Islamic and Christian Fundamentalism – and prefigures the current War on Terrorism. First we identify ourselves as victims. Then we blame, demonize and finally dehumanize our adversaries, rationalizing our murder of other human beings.

Faces of the Enemy contends that before a drop of blood is spilled we must ‘think each other to death.’ It is a story replayed on the nightly news, in Islamic Fundamentalists’ characterization of the West as the ‘Great Satan’ and our own stereotyping of Muslims as terrorists. In a revealing examination of the images and iconography of war Keen interviews the nation’s leading editorial cartoonists. They discuss how they use an almost universal language of stereotypes and prejudices to tap into readers’ most visceral emotions.

In a chilling example of the psychological roots of enmity, we meet David Rice, an unemployed welder now an inmate on Death Row. Influenced by far-right propaganda, Rice decided communism was responsible for his personal problems. He bludgeoned to death a family of four whom he (mistakenly) thought were communists. He remains without remorse regarding them as ‘collateral damage’ in a war against the Evil Empire. The Christian Fundamentalist leaders who inspired Rice are only too happy to explain that they are in a holy war against communists and any non-believers.

By contrast, William Broyles, a Viet Nam veteran and author, returned after the war to personalize the individuals who had been his enemies’ to humanize the abstractions. He explains how racist terms and images can be used to turn human beings into monsters. These epithets and images extend the circumstances of war into terrible brutality. But he also explains how we can move beyond these dehumanizing thoughts and seek out the humanity of others.

Psychologists Robert Lifton and Steven Kull explain how war and artificial enemies provide people with the moral and mental certainties they crave, giving them a sense of purpose in a sometimes-ambiguous world. Mythologist Joseph Campbell, providing a note of hope, suggests that underneath the mask of the enemy we ultimately recognize ourselves. This, Campbell further contends, may be the origin of compassion, brotherhood and altruism, in other words the inverse of war.

 

Watch the full film on Kanopy.

In Redux of Iraq War Run Up, Media Cheers on Assassination of Soleimani

Gen. Qassim Soleimani, center, attends a meeting of a group of the Guard members with Iranian Leader Ayatollah Ali Khamenei, in Tehran, Iran on Oct. 2, 2019. Photo | AP

With echoes of Iraq, media are once again cheering an attack against a Middle Eastern country on the grounds of a supposedly imminent strike against the United States.

By Alan Macleod

Source: Mint Press News

Early Friday morning, a U.S. airstrike assassinated Iranian Lt. General Qassem Soleimani as he traveled from Baghdad’s international airport. A charismatic and capable military figure, Soleimani was widely considered to be one of the most powerful and influential individuals in Iran. Two years to the day since MintPress News reported that the U.S. government had given the green light to assassinate him, Soleimani’s convoy was struck from the air. Secretary of State Mike Pompeo presented the decision as a defensive one, claiming that Soleimani was preparing an “imminent attack” against the U.S. When pressed, he refused to give any more evidence or details. Despite claiming the strike made Americans much safer, the government immediately instructed all U.S. citizens to leave Iraq and avoid the American Embassy.

Assassinating foreign leaders is a major international war crime under international law, yet across the corporate spectrum, media applauded the bombing, or “precision targeting,” as CNN described it. Unsurprisingly, many conservative media outlets supported the Trump administration’s decision to potentially spark a huge international conflict. The Washington Examiner quoted one “expert” celebrating the killing as more important than Bin Laden’s death and a “massive blow to the regime.” Fox News quickly published an opinion piece from Christian Whiton of the strongly hawkish Center for the National Interest, praising Trump for acting “correctly and decisively,” preventing further American bloodshed by taking out a major “terrorist.” It also immediately invited major Neoconservative hawks and public faces of the Iraq War, Karl Rove and Ari Fleischer, on air to discuss the situation and inform its audience what to think.

Media with more liberal audiences ­– who claim to be leading the resistance against a dangerous fascist commander-in-chief – were no less supportive of Trump’s latest aggressive actions. Just as it had done with U.S.-supported coup attempts in Venezuela and Bolivia, resistance media lined up shoulder-to-shoulder with the president and condemned Soleimani as guilty of a myriad of crimes against humanity. CNBC’s headline read, “America just took out the world’s no. 1 bad guy,” accusing him of being the leader of the world’s “most active and pervasive terrorist army.” It claimed that Trump’s decision had “saved current lives” and represented “justice” to his many victims. It also claimed that it saved further American lives as it would “deter future Iranian attack plans.” “There’s no question Soleimani had American blood on his hands” claimed one source in USA Today; “he was an enemy.” It is worth noting, however, that the American deaths being referenced are not civilians, but members of an invading and occupying army in Iraq who were killed by locals resisting a foreign occupier.

The New York Times claimed he had “spent the last decade replicating the Hezbollah model in Iraq, Syria and Yemen, propping up local militias with precision weapons and tactical know-how” and held him responsible for “driving over 10 million [Syrian] people from their homes” not mentioning the American role in any of those warzones. Meanwhile, CNN’s Alex Marquardt claimed that, “US lawmakers are united in their support of the killing of Soleimani” and that Republicans and Democrats alike agreed that, “this is a man who deserved to be killed because of everything he has done against American forces” and were busy “congratulating” Trump for his heroism. The message from corporate media was clear: “Soleimani is a ruthless killer. He’s a horrible human being,” (CNN). The evidence presented for this claim was that “he commanded a division in the Iran/Iraq War” – a war in which the United States armed, funded and supported its then ally Saddam Hussein to invade Iran, causing around one million deaths.

In reality, corporate media are not celebrating Soleimani’s assassination because of his many (real) faults, but rather because of his qualities as an effective leader and organizer, someone who has constantly stymied American efforts to further dominate the region. In Syria, where the U.S. has all but allied with Al-Qaeda/Al-Nusra in order to overthrow the Assad dynasty, Iran has provided a significant counterweight to American-backed forces. Likewise, it continues to support groups such as Hezbollah that resist the U.S. and its allies across the region. It has also, rhetorically at least, supported the Houthi rebels fighting against a U.S./Saudi onslaught, although the extent of Iranian involvement is questionable.

The U.S. government has announced that it is preparing to increase its presence in the wake of the Soleimani assassination, sending at least 3,000 more troops to the region. With echoes of Iraq, media are once again cheering an attack and a military build-up against a Middle Eastern country on the grounds of a supposedly imminent strike against the United States. History, they say, never repeats itself. But it often rhymes.

 

Related Video

The Final Act

By Dmitry Orlov

Source: Club Orlov

In processing the flow of information about the goings on in the US, it is impossible to get rid of a most unsettling sense of unreality—of a population trapped in a dark cave filled with little glowing screens, all displaying different images yet all broadcasting essentially the same message. That message is that everything is fine, same as ever, and can go on and on. But whatever it is that’s going on can’t go on forever, and therefore it won’t. More specifically, a certain coal mine canary has recently died, and I want to tell you about it.

It’s easy to see why that particular message is stuck on replay even as the situation changes irrevocably. As of 2019, 90% of the media in the United States is controlled by four media conglomerates: Comcast (via NBCUniversal), Disney, ViacomCBS (controlled by National Amusements), and AT&T (via WarnerMedia). Together they have formed a corporate media monoculture designed to most effectively maximize shareholder value.

As I wrote in Reinventing Collapse in 2008, “…In a consumer society, anything that puts people off their shopping is dangerously disruptive, and all consumers sense this. Any expression of the truth about our lack of prospects for continued existence as a highly developed, prosperous industrial society is disruptive to the consumerist collective unconscious. There is a herd instinct to reject it, and therefore it fails, not through any overt action, but by failing to turn a profit because it is unpopular.”

Two years earlier, in a slideshow optimistically titled “Closing the Collapse Gap” (between the USSR and the USA), I wrote: “…It seems that there is a fair chance that the US economy will collapse sometime within the foreseeable future. It also would seem that we won’t be particularly well-prepared for it. As things stand, the US economy is poised to perform something like a disappearing act.” And now, 12 years later, I believe I am finally watching what amounts to preparations for that act’s final rehearsal; the ballet troupe is doing stretching exercises and the fat lady is singing arpeggios to warm up…

Clearly, this final act is yet to be performed. The media replay loop continues to play, keeping the populace convinced that the future will resemble the past (except, perhaps, it will have more wind generators, solar panels and electric cars). The populace continues to be persuaded to go out and shop for (or, more frequently now, order online) things it doesn’t need, to be paid for by money it doesn’t have.

Of course, there have been changes. The populace in the US has been doing progressively worse. Drug addiction and suicide rates have skyrocketed while rates of childbirth have plummeted. The purchase of a home is now out of reach for the vast majority of young couples. Artificially rosy unemployment statistics hide the 100 million or so people who are considered “not in labor force” (because they lost their jobs some time ago and haven’t been able to find another one). Uniquely among developed nations, life expectancy among white males—historically the most economically active and prosperous part of the population—has been dropping. These are all negatives, but neither any one of them nor any combination of them adds up to anything that could cause the US economy to undergo a spontaneous existence failure.

Nevertheless, it is possible to build a convincing case that Rome is, to put it figuratively, burning. To continue with the metaphor, evidence that there is some fiddling going on is particularly compelling. Overall, there is a steady backing away from addressing the substance of any problem and a concerted effort to maintain appearances at all cost.

Take the trade war with China, which has been going on since early 2018. Trump has recently declared a major victory in it, but upon examination signs of victory are impossible to discern. In 2017 the US ran a $750 billion trade deficit with China on $3.3 trillion of trade (22.7%). In 2018 it has jumped to $930 billion on $3.8 trillion of trade (24.4%). China has found ways to parry each of Trump’s thrusts by imposing countertariffs. After two years of this sort of World War I-style trench warfare, in which the US has been slowly losing ground, it became clear that the US doesn’t have any means to put pressure on China.

And so Trump suddenly declares victory; not a full victory (that will have to wait until after Trump is reelected for his second term) but a victory nonetheless, because the Chinese have supposedly agreed to buy an extra $200 billion worth of US exports, $50 billion of them of agricultural exports from states that voted for Trump in 2016. But Trump is lying to his supporters. Over the past two years the Chinese have imported roughly $24 billion of agricultural commodities from the US, and sources close to the trade talks have said that the Chinese have agreed to increase these imports by just $16 billion, putting the total $10 billion short of the $50 billion mark. Even then, the US agricultural sector would have to rapidly scale up production by a factor of 1.6—and this is not at all likely.

The farmers will discover this only after they vote to reelect Trump, but that’s not Trump’s problem. Nor was it Trump’s problem when in 2017 the Chinese promised to buy $120 billion of US liquefied natural gas exports and then the US wasn’t able to provide anywhere near that volume. And now that Russia’s Power of Siberia pipeline is operational and ramping up volumes, while US fracking companies are going bankrupt left and right, the question has become largely moot. The AG promise is just a replay of the LNG promise at a smaller scale. Appearances are all that matter, and appearances are what Trump delivers every time. And if his voters want to believe—who’s to stop them? Even though it is clearly heading toward a defeat for the US as a whole, the trade war with China is definitely a huge positive for Trump: all he has to do to win personally is periodically deliver promises that others won’t keep—but that’s not his problem.

Another net benefit for Trump is the never-ending impeachment saga. It has kept him in the media limelight and has allowed him to pretend that he is prevailing heroically against great odds while making his opposition look ridiculous in the eyes of his supporters. After the “Russian meddling” fable unraveled, an even more preposterous rationale for impeachment has taken its place. An attempt to impeach Trump for refusing to cooperate with a congressional investigation is in the process of failing, since anyone with more intelligence than a bucket of California penis fish should know that it is up to the courts, not up to the legislature, to resolve disputes between the legislature and the executive. All that remains now is an alleged abuse of power by Trump. Apparently, it is a no-no for a US president to ask a foreign leader to investigate a US presidential candidate for a variety of crimes such as corruption, bribery and money-laundering. This may all seem quite ridiculous, but it serves a purpose: it allows Trump to clean up on free publicity and to continue fiddling (tweeting, in his case) as Rome burns.

But what has set fire under Rome is not the decrepitating state of US society, or the permanent and permanently worsening trade imbalance with China, or the never-ending impeachment farce. It is the incipient failure of the US dollar. For those who have been paying careful attention, the surreal nature of the proceedings, and the fact that results no longer matter—only appearances do—have become perfectly obvious, but they are a tiny minority. What has allowed the politicians and the media to exploit the general public’s innate normalcy bias and to keep the media replay loop going without too many people catching on to what’s really happening was (note the past tense!) the ability of the US government (with the assistance of the Federal Reserve, which is a government-linked but essentially private entity) to paper over the gaping chasm in the nation’s finances by issuing debt, in the form of US Treasury paper.

The US Treasury has been able to exploit its “exorbitant privilege” to issue internationally recognized and traded debt instruments denominated in its own currency—the US dollar—which has been the world’s main reserve currency for many decades. The reserve currency status has conveyed a certain aura of security and reliability (paper money is, after all, pretty much just a confidence game) and has supported the world’s largest and most liquid financial market. Anybody anywhere could put up US Treasury paper as collateral for a loan and get a low interest rate because that paper was considered as good as “real money” (whatever that means). And then that scheme suddenly broke.

It is difficult to say what caused the confidence game to fail. It could be just the inexorable and ever-accelerating increase in US government debt. It could be the blatant decoupling between the growth rate of the US economy and the rate of increase of its indebtedness. It could also be the fact that much of the world is making a concerted effort to walk away from the US dollar as a reserve currency and as a means of exchange in international trade (Russia has sold off almost all of its US debt; China’s hoard is much larger but it is also gradually selling it off). It is unclear what was the ultimate cause, but what is clear is that in August of 2019 something finally snapped, and USTs went from “good as real money” to “stuff nobody wants to hold.”

I first wrote about this in September when it became clear that real trouble was brewing in the market for US debt. Now, three months later, the situation has gone from bad to worse, and it would appear that the market for USTs definitively broke. I will try to sketch out what that means for the US economy and society later on (spoiler alert: nothing good) but for now I just want to lay out some of what has happened. In the meantime please take your normalcy bias and put it some place safe (in case you need it later, although I have no idea what for).

Previously, when it was clear that an overburden of bad debt could trigger financial collapse at any moment, the Federal Reserve (which is in charge of printing money) engaged in something it euphemistically called “quantitative easing” (“QE”). It printed lots of US dollars in exchange for various bits of USTs, along with other financial garbage, with the goal of later selling the USTs while hiding the garbage, thereby preserving the appearance that USTs are sovereign debt supported by the full faith and credit of the US government rather than just some waste paper clogging up its vaults. But when it declared “quantitative easing” to be over and tried selling the USTs, all hell immediately broke loose and it was forced to go right back to buying them up, in a scheme that has been sarcastically referred to as “not QE.” Euphemisms aside, what is happening is properly called “debt monetization”: it’s when a government “borrows” money not by selling its debt in exchange for money that already exists but simply printing the money using paper and ink, or magic digits inside a very secure computer.

Let’s go over some of the relevant details. “Not QE” actually started well before it was announced and proceeded in stealth mode. Over six weeks starting in September 2019, the Fed monetized an average of $20.5 billion per week. This rate is compatible with the extent of its previous efforts at “quantitative easing” at their height. It was forced to do so because the REPO rate on USTs spiked to 10 times the rate set by the Fed. (REPO stands for “repurchase agreement”; it is where one party borrows short-term from another party, using USTs (and other supposedly very safe debt instruments) as collateral, much as a pawn shop will give you money for a watch and then allow you to buy it back.) The huge spike in interest rates signaled that USTs were no longer seen as particularly safe collateral and the Fed had to step in and start throwing freshly minted dollars at the problem. And it never stopped. In fact, the problem grew larger; so large, that now, at the year’s end, the Fed has committed $500 billion of printing press output to making sure that nobody runs out of cash.

It is commonly thought that the Fed’s action has to do with short-term debt, and is therefore a short-term problem, but that’s simply not the case. Since early August (the start of stealth-mode “not QE”) the Fed has vacuumed up $179 billion with of USTs, of which USTs with terms longer than a year made up $108 billion, or 60%. Compare these numbers to the total borrowing by the US government over the same period, which amounted to $659 billion, of which $368 billion was short-term debt and $291 billion long-term. Thus, over this period the Fed has monetized 29.4% of new long-term debt and 24.4% of short-term debt. This should help put your mind at ease if you suspected that this isn’t a short-term problem but weren’t sure. It’s a long-term, structural problem.

Next, let’s consider whether the problem is being solved or is getting worse. Rest assured, it is getting worse. Looking at the numbers for October and November, the Fed monetized over half (50.7%) of new US government debt. A straight-line projection is that if it took the Fed to go from 0% to 50% in four months, then it will go from 50% to 100% in another four—by April Fool’s 2020. But who’s to say that the increase will be linear rather than exponential? Whichever it is, the trend is unmistakable: the market in US government debt—once the deepest and most liquid market in the world—is dead. The only thing propping up the value of USTs is the Fed’s printing press. And the only thing propping up the value of the output of the Fed’s printing press is… what is it, exactly? Exactly!

Let’s add one more salient detail. Over the course of 2020, $4.665 trillion of USTs will mature and will need to be rolled over into new USTs. This is an all-time record, and this is on top of new debt that will have to be issued in order for the US government to be able to stay open. Over the past year the US budget deficit has amounted to $1.022 trillion, which is a 15.8% increase over the previous year. If this trend continues, the new deficit will be around $1.183 trillion. In order to keep the wheels of finance from grinding to a halt, over 2020 the Fed will have to monetize, or print, close to $6 trillion.

It appears likely that at some point over the coming months Fed chairman Jerome Powell will have to announce “not not QE,” and then “not not not QE,” and then “Milk-milk-lemonade, ’round the corner fudge is made!” and run for the unigender restroom sobbing inconsolably. And then Donald Trump will be forced to channel Boris Yeltsin, who, on August 14, 1998, summoned all the presidential gravitas he could muster and spoke the following sage words:

«Девальвации рубля не будет. Это твердо и четко. Мое утверждение — не просто моя фантазия, и не потому, что я не хотел бы девальвации. Мое утверждение базируется на том, что все просчитано. Работа по отслеживанию положения проводится каждые сутки. Положение полностью контролируется».

“There will be no ruble devaluation. This is my firm and clear position. My assertion is not just a product of my fantasy, and not because I don’t want devaluation to happen. My assertion is based on the fact that everything is taken into account. The work on reassessing the situation is being conducted daily. The situation is entirely under control.” (My translation.)

And then three days later the Russian government declared sovereign default. The ruble dropped by 2/3 against the US dollar and the Russian economy, which was at that time extremely import-dependent, crashed hard. In a similar scenario, the US economy will crash much harder. Like Russia in 1998, the US is extremely import-dependent. But here the US government is not the only large borrower: most of US corporations are zombified corpses bloated with debt. For many years they have been borrowing at artificially low interest rates in order to buy up their own shares and prop up their value in a ridiculous effort to maximize shareholder value in the face of stalling economic growth. If they become unable to roll over their debt at artificially low interest rates (which will go away once the Fed definitively loses control of the situation) then they will automatically be forced to declare bankruptcy and liquidate.

If you want to maintain an optimistic outlook in spite of all of this, here is a book you might want to read.

Nullify Government Tyranny: In 2020, Harness the Power of Your Discontent

By John W. Whitehead

Source: The Rutherford Institute

“The people have the power, all we have to do is awaken that power in the people. The people are unaware. They’re not educated to realize that they have power. The system is so geared that everyone believes the government will fix everything. We are the government.”—John Lennon

Twenty years into the 21st century, and what do we have to show for it?

Government corruption, tyranny and abuse have propelled us at warp speed towards a full-blown police state in which egregious surveillance, roadside strip searches, police shootings of unarmed citizens, censorship, retaliatory arrests, the criminalization of lawful activities, warmongering, indefinite detentions, SWAT team raids, asset forfeiture, police brutality, profit-driven prisons, and pay-to-play politicians have become the new normal.

Here’s just a small sampling of the laundry list of abuses—cruel, brutal, immoral, unconstitutional and unacceptable—that have been heaped upon us by the government over the past two decades.

The government failed to protect our lives, liberty and happiness. The predators of the police state wreaked havoc on our freedoms, our communities, and our lives. The government didn’t listen to the citizenry, refused to abide by the Constitution, and treated the citizenry as a source of funding and little else. Police officers shot unarmed citizens and their household pets. Government agents—including local police—were armed to the teeth and encouraged to act like soldiers on a battlefield. Bloated government agencies were allowed to fleece taxpayers. Government technicians spied on our emails and phone calls. And government contractors made a killing by waging endless wars abroad.

The American President became more imperial. Although the Constitution invests the President with very specific, limited powers, in recent years, American presidents (Trump, Obama, Bush, Clinton, etc.) claimed the power to completely and almost unilaterally alter the landscape of this country for good or for ill. The powers that have been amassed by each successive president through the negligence of Congress and the courts—powers which add up to a toolbox of terror for an imperial ruler—empower whomever occupies the Oval Office to act as a dictator, above the law and beyond any real accountability. The presidency itself has become an imperial one with permanent powers.

Militarized police became a power unto themselves, 911 calls turned deadly, and traffic stops took a turn for the worse. Lacking in transparency and accountability, protected by the courts and legislators, and rife with misconduct, America’s police forces became a growing menace to the citizenry and the rule of law. Despite concerns about the government’s steady transformation of local police into a standing military army, local police agencies acquired even more weaponry, training and equipment suited for the battlefield. Police officers were also given free range to pull anyone over for a variety of reasons and subject them to forced cavity searches, forced colonoscopies, forced blood draws, forced breath-alcohol tests, forced DNA extractions, forced eye scans, forced inclusion in biometric databases.

The courts failed to uphold justice. With every ruling handed down, it becomes more apparent that we live in an age of hollow justice, with government courts more concerned with protecting government agents than upholding the rights of “we the people.” This is true at all levels of the judiciary, but especially so in the highest court of the land, the U.S. Supreme Court, which is seemingly more concerned with establishing order and protecting government agents than with upholding the rights enshrined in the Constitution. A review of critical court rulings over the past two decades, including some ominous ones by the U.S. Supreme Court, reveals a startling and steady trend towards pro-police state rulings by an institution concerned more with establishing order and protecting the ruling class and government agents than with upholding the rights enshrined in the Constitution.

The Surveillance State rendered Americans vulnerable to threats from government spies, police, hackers and power failures. Thanks to the government’s ongoing efforts to build massive databases using emerging surveillance, DNA and biometrics technologies, Americans have become sitting ducks for hackers and government spies alike. Billions of people have been affected by data breaches and cyberattacks. On a daily basis, Americans have been made to relinquish the most intimate details of who we are—our biological makeup, our genetic blueprints, and our biometrics (facial characteristics and structure, fingerprints, iris scans, etc.)—in order to navigate an increasingly technologically-enabled world.

Mass shootings claimed more lives. Mass shootings have taken place in virtually every venue, including at churches, in nightclubs, on college campuses, on military bases, in elementary schools, in government offices, and at concerts. However, studies make clear that the government’s gun violence—inflicted on unarmed individuals by battlefield-trained SWAT teams, militarized police, and bureaucratic government agents trained to shoot first and ask questions later—poses a greater threat to the safety and security of the nation than any mass shooter.

Debtors’ prisons made a comeback. Not content to expand the police state’s power to search, strip, seize, raid, steal from, arrest and jail Americans for any infraction, no matter how insignificant, state courts were given the green light to resume their practice of jailing individuals who are unable to pay the hefty fines imposed by the American police state. These debtors’ prisons play right into the hands of the corporations that make a profit by jailing Americans. This is no longer a government “of the people, by the people, for the people.” It has become a government “of the rich, by the elite, for the corporations,” and its rise to power has been predicated on shackling the American taxpayer to a debtors’ prison guarded by a phalanx of politicians, bureaucrats and militarized police with no hope of parole and no chance for escape.

The cost of endless wars drove the nation deeper into debt. America’s war spending has already bankrupted the nation to the tune of more than $20 trillion dollars. Policing the globe and waging endless wars abroad hasn’t made America—or the rest of the world—any safer, but it has made the military industrial complex rich at taxpayer expense. Approximately 200,000 US troops are stationed in 177 countries throughout the world, including Africa, where troops reportedly carry out an average of 10 military exercises and engagements daily. Meanwhile, America’s infrastructure is falling apart. The interest on the money America has borrowed to wage its wars will cost an estimated $8 trillion.

“Show your papers” incidents skyrocketed. We are not supposed to be living in a “show me your papers” society. Despite this, the U.S. government has introduced measures allowing police and other law enforcement officials to stop individuals (citizens and noncitizens alike), demand they identify themselves, and subject them to patdowns, warrantless searches, and interrogations. These actions fly in the face of longstanding constitutional safeguards forbidding such police state tactics.

The government waged war on military veterans. The government has done a pitiful job of respecting the freedoms of military veterans and caring for their needs once out of uniform. Despite the fact that the U.S. boasts more than 20 million veterans who have served in World War II through the present day, the plight of veterans today is America’s badge of shame, with large numbers of veterans impoverished, unemployed, traumatized mentally and physically, struggling with depression, suicide, and marital stress, homeless, subjected to sub-par treatment at clinics and hospitals, left to molder while their paperwork piles up within Veterans Administration offices, and increasingly treated like criminals—targeted for surveillance, censorship, threatened with incarceration or involuntary commitment, labeled as extremists and/or mentally ill, and stripped of their Second Amendment rights—for daring to speak out against government misconduct.

Free speech was dealt one knock-out punch after another. Protest laws, free speech zones, bubble zones, trespass zones, anti-bullying legislation, zero tolerance policies, hate crime laws, shadow banning on the Internet, and a host of other legalistic maladies dreamed up by politicians and prosecutors (and championed by those who want to suppress speech with which they might disagree) conspired to corrode our core freedoms, purportedly for our own good. On paper—at least according to the U.S. Constitution—we are technically free to speak. In reality, however, we are only as free to speak as a government official—or corporate entities such as Facebook, Google or YouTube—may allow. The reasons for such censorship varied widely from political correctness, so-called safety concerns and bullying to national security and hate crimes but the end result remained the same: the complete eradication of free speech.

The government waged a renewed war on private property. The battle to protect our private property has become the final constitutional frontier, the last holdout against our freedoms being usurped. We no longer have any real property rights. That house you live in, the car you drive, the small (or not so small) acreage of land that has been passed down through your family or that you scrimped and saved to acquire, whatever money you manage to keep in your bank account after the government and its cronies have taken their first and second and third cut…none of it is safe from the government’s greedy grasp. At no point do you ever have any real ownership in anything other than the clothes on your back. Everything else can be seized by the government under one pretext or another (civil asset forfeiture, unpaid taxes, eminent domain, public interest, etc.).

Schools became even more like prisons. So-called school “safety” policies—which run the gamut from zero tolerance policies that punish all infractions harshly to surveillance cameras, metal detectors, random searches, drug-sniffing dogs, school-wide lockdowns, active-shooter drills and militarized police officers—have turned schools into prisons and young people into prisoners. From the moment a child enters one of the nation’s 98,000 public schools to the moment she graduates, she will be exposed to a steady diet of draconian zero tolerance policies that criminalize childish behavior, overreaching anti-bullying statutes that criminalize speech, school resource officers (police) tasked with disciplining and/or arresting so-called “disorderly” students, standardized testing that emphasizes rote answers over critical thinking, politically correct mindsets that teach young people to censor themselves and those around them, and extensive biometric and surveillance systems that, coupled with the rest, acclimate young people to a world in which they have no freedom of thought, speech or movement.

The Deep State took over. The American system of representative government was overthrown by the Deep State—a.k.a. the police state a.k.a. the military/corporate industrial complex—a profit-driven, militaristic corporate state bent on total control and global domination through the imposition of martial law here at home and by fomenting wars abroad. The “government of the people, by the people, for the people” has perished. In its place is a shadow government, a corporatized, militarized, entrenched bureaucracy that is fully operational and staffed by unelected officials who are, in essence, running the country and calling the shots in Washington DC, no matter who sits in the White House. Mind you, by “government,” I’m not referring to the highly partisan, two-party bureaucracy of the Republicans and Democrats. Rather, I’m referring to “government” with a capital “G,” the entrenched Deep State that is unaffected by elections, unaltered by populist movements, and has set itself beyond the reach of the law. This is the hidden face of a government that has no respect for the freedom of its citizenry. This shadow government, which “operates according to its own compass heading regardless of who is formally in power,” makes a mockery of elections and the entire concept of a representative government.

The takeaway: Everything the founders of this country feared has come to dominate in modern America. “We the people” have been saddled with a government that is no longer friendly to freedom and is working overtime to trample the Constitution underfoot and render the citizenry powerless in the face of the government’s power grabs, corruption and abusive tactics.

So how do you balance the scales of justice at a time when Americans are being tasered, tear-gassed, pepper-sprayed, hit with batons, shot with rubber bullets and real bullets, blasted with sound cannons, detained in cages and kennels, sicced by police dogs, arrested and jailed for challenging the government’s excesses, abuses and power-grabs?

No matter who sits in the White House, politics won’t fix a system that is broken beyond repair.

For that matter, protests and populist movements also haven’t done much to push back against an authoritarian regime that is deaf to our cries, dumb to our troubles, blind to our needs, and accountable to no one.

So how do you not only push back against the police state’s bureaucracy, corruption and cruelty but also launch a counterrevolution aimed at reclaiming control over the government using nonviolent means?

You start by changing the rules and engaging in some (nonviolent) guerilla tactics.

Take part in grassroots activism, which takes a trickle-up approach to governmental reform by implementing change at the local level (in other words, think nationally, but act locally).

And then, nullify everything the government does that flies in the face of the principles on which this nation was founded.

If there is any means left to us for thwarting the government in its relentless march towards outright dictatorship, it may rest with the power of juries and local governments to invalidate governmental laws, tactics and policies that are illegitimate, egregious or blatantly unconstitutional.

In an age in which government officials accused of wrongdoing—police officers, elected officials, etc.—are treated with general leniency, while the average citizen is prosecuted to the full extent of the law, nullification is a powerful reminder that, as the Constitution tells us, “we the people” are the government.

For too long we’ve allowed our so-called “representatives” to call the shots. Now it’s time to restore the citizenry to their rightful place in the republic: as the masters, not the servants.

Nullification is one way of doing so.

Various cities and states have been using this historic doctrine with mixed results on issues as wide ranging as gun control and healthcare to “claim freedom from federal laws they find onerous or wrongheaded.” Most recently, a growing number of communities—including more than a 100 counties, cities and towns in Virginia—have declared themselves to be Second Amendment sanctuaries and adopted resolutions opposing any “unconstitutional restrictions” on the right to keep and bear arms. It is mass movements such as these that the government fears most.

Indeed, any hope of freeing ourselves rests—as it always has—at the local level, with “we the people.” One of the most important contributions an individual citizen can make is to become actively involved in local community affairs, politics and legal battles. As the adage goes, “Think globally, act locally.”

America was meant to be primarily a system of local governments, which is a far cry from the colossal federal bureaucracy we have today. Yet if our freedoms are to be restored, understanding what is transpiring practically in your own backyard—in one’s home, neighborhood, school district, town council—and taking action at that local level must be the starting point.

Responding to unmet local needs and reacting to injustices is what grassroots activism is all about. Attend local city council meetings, speak up at town hall meetings, organize protests and letter-writing campaigns, employ “militant nonviolent resistance” and civil disobedience, which Martin Luther King Jr. used to great effect through the use of sit-ins, boycotts and marches.

Let’s not take the mistakes, carnage, toxicity and abuse of this past decade into 2020.

As long as we continue to allow callousness, cruelty, meanness, immorality, ignorance, hatred, intolerance, racism, militarism, materialism, meanness and injustice—magnified by an echo chamber of nasty tweets and government-sanctioned brutality—to trump justice, fairness and equality, there can be no hope of prevailing against the police state.

As I make clear in my book Battlefield America: The War on the American People, we could transform this nation if only Americans would work together to harness the power of their discontent and push back against the government’s overreach, excesses and abuse.

Saturday Matinee: The Corporation

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Director Jennifer Abbott and Mark Achbar’s “The Corporation” (2003) is a comprehensively researched film exploring the history of corporations, how they operate and how they’ve come to attain so much political power. Related topics include the 1933 attempted corporate coup exposed by General Smedley Butler, the Fox news coverup of the dangers of Monsanto’s Bovine Growth Hormone, and the mass protests in Bolivia sparked by the attempted privatization of their water supply in 2000.