Opinion (Darryl R. Schoon): “The bankers’ bet that sufficient credit can reverse an economic contraction is no longer on the table. This does not mean central bank credit will tighten. Just the opposite will happen. Monetary easing will continue until the very end. Central bankers are trapped. The end game is now underway. …

“The world has entered a paradigm shift of immense proportions; and the collapse of the bankers’ economic world is a part of that shift. The bankers’ credit fueled a 300-year global expansion which transformed the world. The bankers’ credit, however, has now become debt which increasingly cannot be repaid. …

“Prior to capitalism, the underlying economic dynamic was supply and demand. … After gold was removed from the global monetary system in 1971 and after initial inflationary concerns were addressed in 1980, embedded constraints on monetary and credit growth no longer existed. The attendant rise in debt is noteworthy—as will be the consequences.

“What central bankers did not anticipate from the explosive growth of credit was the resultant levels of massive debt. Fixated on growth, central bankers miscalculated the inevitable effects of the unrestrained increase in monetary and credit aggregates on their heretofore successful ponzi-scheme of credit and debt. …

“There are only two possibilities left in the bankers’ end game. Either deflation’s growing momentum will pull today’s faltering economies into the ever-growing maw of a deflationary collapse or the continued printing of money to stave off such a collapse will end with the complete debasement of paper currencies in a hyperinflationary blowoff. …

“We are in uncharted territory; and, unlike most, I view the collapse of the current economic paradigm as a necessary and ultimately beneficial rite of passage, a prerequisite for the better and more highly evolved paradigm that will follow. …The end game draws near.”

My Comment: The simple linear egoistic world of the past is over! The world has become round, interconnected. It has a right to exist only with deepening mutual guarantee, striving for connection and the development of love, in spite and above everyone’s egoism, according to the principle: “Love will cover all transgressions.”

We are trapped, and Kabbalah offers the only way out, with “little loss.” All the other attempts to save the current paradigm, the attitude to the world, social and economic relations will lead to the same result of everyone merging into a community of equal and loving people, but through a world war.
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