Austerity Economics Politics Riots and War: Aug 1914 Parallels for Summer 2013 – John Gelmini


English: Corporal Insigna of British Army Fran...

English: Corporal Insigna of British Army Français : Grade de caporal de la British Army (Photo credit: Wikipedia)

Orthographic map of Africa

Orthographic map of Africa (Photo credit: Wikipedia)

Subregions of Europe (UN geoscheme)

Subregions of Europe (UN geoscheme) (Photo credit: Wikipedia)



Following on from my blog entitled Austerity, Economic, Politics, Riots and War, I received a comprehensive and reflective response from John Gelmini which I am restating below. Whilst I endorse the general thrust of John’s argument, I do not necessarily agree with detailed observations nor reach the same conclusion. However, for sure, John paints a scary scenario. It’s still very much a risk profile and can be effectively mitigated by common sense prevailing from some of the World’s leaders. Let us know what you think too.



2. AUGUST 1914

The economic and political conditions today described in the Guardian and the award-winning Paul Krugman are eerily reminiscent of those which prevailed in the summer of 1914.

Then we had a series of powerful elites remote from the concerns of ordinary people and we had a British Empire in decline (it had reached its peak in 1885).

Ordinary people in the UK and Europe were poor with a massive gap between their income and life chances and those at the top; slums were plentiful and people drowned their sorrows in a sea of cheap alcohol.

The police in all these countries kept the poor in check and through poor education and limited opportunities for travel, it was easy for the authorities to keep ordinary people in the dark.

We had a resurgent Germany being heavily financed by leading plutocratic families like Krupp and positioned to fill the vacuum and upset the balance of power which was supposed to be maintained by the alliance between France and Russia.

Britain, according to our leaders at the time, was going to have nothing to do with any of this and could remain on the sidelines, protected by what was then the most powerful navy in the world.

3. SUMMER 2013

Today we have the same series of powerful elites represented by 21 families and remote from the concerns of ordinary people.

Totaling 6,600 people, this group since the banking crisis, have become $32 trillion USD richer whilst everyone else in the world earning less than £250,000 GBP has become poorer.

The gap between rich and poor is now wider than ever and in the UK and Europe; the Knights of Malta have accelerated their program of opening food banks; whilst in America, there are 60 million food stamp recipients.

The current world order is based on the idea of two reserve currencies of which Sterling is one and the Petro-dollar created by Richard Nixon is the other.

The Chinese, Russia and Brazil are now challenging that order, as is Iran, with a network and a Petroleum Exchange based on a basket of currencies. Also we have an economically resurgent Germany in Europe and China also resurgent, buying up and consuming most of the mineral resources on the planet.

Just as in the run-up to World War 1, there was civil unrest, talk of revolution, bombs exploding and False Flag events, plus a general air of hopelessness; we have all those conditions today, plus the two new bogeymen (Merkiavelli and the sentiment expressed by Donald Trump “China is eating our lunch”, “They are building new cities with our money and if I were President I would put a stop to it”.

Whilst people are better informed via the internet, there is a lot of bogus information in the form of PsyOps (psychological operations), designed to confuse people to the point where they switch off so the overall effect is to create what the late Sir John Rawlings Reese (Head of Psychological Warfare for the British Army and Tavistock devotee), called “Long range penetration strain”. He was the man who trained Dr Kissinger so he has form.

People in that condition (brain-washed by PsyOps) are rendered powerless and will grudgingly accept austerity or practically anything which they see as inevitable, or beyond their power to stop.

Europe needed to solve its problem with a $6 trillion USD bailout; or as David Cameron called it, a “Big Bazooka”.

Germany and the rest of the European leaders refused to create one but they have been building up their armaments and selling arms in quantity overseas whilst America has a Black Budget equivalent to America’s entire GDP which it is putting into a military buildup bigger than anything the world has ever seen and far bigger than the 11.8% annual buildup by the Chinese military.

China is now engaged in a massive global hunt for mineral wealth and is Africa’s biggest inward investor and if it continues at its present rate Europe and America see themselves as in trouble. For this reason, America and Europe (ourselves and France in particular) want to seize much of Africa’s mineral wealth and control through their elites what they call Eurasia. Eurasia is code for Russia and China but to achieve it they need to first expand NATO which has already happened and then through bases and missile shields (Brilliant Pebbles) encircle Eurasia.

This process of encirclement has seven  stages:

  1. Regime change in Syria, the Lebanon and Palestine plus the expansion of Israel (we are sending arms and “non lethal aid” to the Syrian rebels now and Turkey is being promised EU membership in exchange for invading Syria)
  2. The invasion of Iran (the military buildup including German built mine hunting submarines, drones and battle carrier groups has been going on for 5 years)
  3. The destabilization of the Caucasus states (ongoing)
  4. Getting Tibet to break away from China (ongoing)
  5. Stirring up the Uighurs to precipitate the breakup of China (ongoing)
  6. Invading Africa and seizing mineral wealth (French and British troops and Africom are already there)
  7. Strengthening the Indian military, which now jointly patrols with the Vietnamese (happening now). In trying to solve their problems in this way, the Europeans, the Americans and ourselves are playing a dangerous game just as the Great Powers did prior to World War 1. This is manifesting itself in strategic investments in Western companies, (Wessex Water etc), 4 million cyber warriors in China and 2 million in Russia’s GRU hacking into every Western database imaginable, including the power grid and those dealing with shipping movements of food, more nuclear submarines, space-based weapons, investment in Ekoskeleton armoured suits, fighting and storming robots, weather warfare and the creation of blue water naval capability.


One hopes that wiser counsels will prevail but it looks to me very much like the run-up to August 1914.

What do you think?

John Gelmini


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Gross Domestic Product Preliminary Estimate, Q1 2013 (Source: ONS)

United Kingdom: stamp

United Kingdom: stamp (Photo credit: Sem Paradeiro)

United Kingdom

United Kingdom (Photo credit: stumayhew)

This document from the Office of National Statistics (ONS) makes interesting reading. Check it out!

Gross Domestic Product Preliminary Estimate, Q1 2013.

If you look at the data, you will see that the UK has missed a negative Q1 by a whisker, with 0.3% growth overall. A negative Q1 combined with negative Q4 2012 is officially a recession; given the room for statistical accuracy and subsequent revision, the UK is flat-lining if not in negative growth.

Look a little deeper at the performance by sector and there is room for serious alarm. The overall results have been influenced by growth from the service sector; look at the detail and even the service sector is skewed strongly by legal services and Government Services which are mentioned. What is really worrying is the negative trend line for construction and production.

The overall result will probably provide some wriggle room for UK Chancellor, George Osborne, but the underlying data should provide room for serious concern.

So apart from probably record bonuses for lawyers, a worrying quarter for most. Parents and young people will get little encouragement from this data.

Here are some simple questions:

  • What about exports?
  • What about investment?
  • What about employment?
  • What about labor costs?

Any views?

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