Tuesday, June 5, 2012

British Bankers Will Again Own Spain?

“A flock of vulture funds is gathering in Madrid in the hope that a banking sector shakeout will finally deliver a bonanza of real estate and distressed company assets at rock bottom prices.”

Reminds me of Jim Rogers advice for vulture investors.

“Investors, get thee to a country just after conclusion of a war or other disaster.” Jim Rogers, paraphrased.

And he just paraphrased the British (who had no qualms about fomenting local wars in order to buy out both sides afterwards). The early bankers caught on to that strategy back in the 1500s.

‘Royalty’ [formerly temp war chiefs] originally caught on when it was suggested by a Pope ~300AD. You can look upon "royalty" as "affinity-bankers" who concentrated & leveraged distributed affinity ties, until formal currencies become available.

Currency bankers later found that they could readily "buy out" bankrupt royalty after disastrous wars - which they therefore began to encourage. It's the simple, narrow logic of saprovores. Buy at bankruptcy sales, even if you have to help cause the bankruptcy.  The currently worst parasite is a royalty clan aligned with a banking clan.  They're just two forms of banksters, one perverting affinity operations for private gain & the other perverting currency operations.

That "Austrian Economics" approach, however, is self limiting when applied to your own aggregate - which is exactly why all stable tribal systems relegated clan & class prerogative to temporary roles, to serve transient context. The rational way to mitigate excessive investment-bank momentum is efficient democracy – i.e., full-group policy discourse. That’s exactly what we’re having trouble ramping up quickly enough. Our political institutions that barely saved us in 1933 just aren’t up to producing adequately agile policy now that we have ~3x the population throughout the G7.

Message to the Edrigus & Inigas of Spain: "We NEED ways for people to invest in better, more agile Democracy. NOW!"

Cost of coordination is always the highest cost.
Return on coordination is the ONLY return that exceeds the cost of coordination.

We either invest in making our growing populations even more agile, or we regress. I don't know how to make that more plain.

Do we want to be to a dying mass majority owned, on the way down, by the Jim Rogers' of the world?

The war of 1776, our Civil War, FDR - in fact every war, whether inter-class or inter-national - shows that an aggregate ALWAYS has more than enough firepower to overwhelm any given sub-class, regardless of whether that subclass is royalty, landowners, military or banking. For net progress, our ultimate weapons are the social catalysts that scale coordination to new levels.

Social tools are NOT social catalysts, until they're tuned to optimal use.

Just in time, just as needed communication of minimally-required information is what every "tuned" aggregate needs in order to scale up coordination - based on trust in the return on coordination.

Once they bypass all the low-margin distractions, any aggregate can focus on their insanely great return-on-coordination.

Spain needs to cross that chasm and organize - not starve, sell out & give in to British banker-fungi (yet again).

Please Spain, wake up. For the sake of everyone. The whole world is watching.


Chewitup said...

Unfortunately, it takes always takes a generational crisis to change an aggregate of me's to an aggregate of we.

Leverage said...

The last social movements in Spain have been about implementing a more solid democracy precisely, met with a profound 'meh' from the status quo and the old generations.

There are few true democracies in Europe. When the WWII ended USA wasn't interested in real democracies and that's how continental Europe institutions were rebuild, no one wanted a repeat of what happened in Germany before the war (remember that authoritarian regimes were born in democracy). And Spain copied the models from Germany and France and mixed it.

It also transitioned from an authoritarian regime (there was no revolution, and 'revolutionaries' betrayed the people in name of 'stability'). You must notice that even nowadays, most old baby-boomers where 'incorporated' within the old institutional structure of the authoritarian regime, they were members of the regime one way or an other, and that's how they structured the new democratic regime, to keep control.

This unfortunately is a common theme amongst continental Europe, where we haven't got even rid of monarchies (incompatible with real democracy), feudal lords or the aristocracy. All these still are present in the economic structure with their dominant positions.

The only real democracy in Europe is Switzerland, and even if not true democracies in the theoric pure therm, northern nations (Norway, Sweden, Denmark, Finland, etc.). And now that USA has decided to copy the old 'aristocratic' model rising a class of financiers above the people, there is little hope for real democracy.