Central bankers present themselves as Masters of the Universe. They are, but only in their own little Theater of the Absurd. In the real world, they are as clueless as any other mortals about the unintended consequences of their actions and the speed with which the corrupted, unsustainable financial Status Quo will decay and die.
The only attribute they possess in abundance is hubris. Their claims to godhood are comical when viewed in their little Theater of the Absurd, but they become tragic when the consequences of their actions play out in the real world.
Their job, such as it is, is to deflate a tottering system based on phantom assets slowly enough that it doesn’t implode. Stripped of mumbo-jumbo, their strategy to accomplish this is to inflate other phantom assets to replace the phantom assets that are falling to zero.
All their promises, preening and posturing boil down to patting their breast pocket and speaking vaguely about a “secret plan” to end the crisis without bringing down the system that spawned the crisis as a consequence of its very nature.
There is no secret plan, of course, and no secret financial weapons; all they really have is artifice and the hubris to present artifice as reality.
charles hugh smith
July 31, 2012
The Central Banking Theater of the Absurd
Emphasis in the original.
[In the history books and in stories from my parents I heard of bankers and brokers in 1929 jumping out the windows of tall buildings and utilizing “Smith & Wesson” retirement plans. I don’t hear of that sort of thing these days even though by many measures the financial situation is just as bad or worse as in The Great Depression.
I keep wondering if the reason for the difference is that we have different types of people in the banks and positions of power this time around. The sociopaths don’t care and the Marxists intend for our system to fail.
What I don’t think they understand is that when people get hungry enough they will figure out the reason for the failure of the system, have nothing to lose by going after those responsible, there will be no place to hide, and retirement, in whatever form, will be forced upon those who destroyed the greatest economic and political system the world has ever known.—Joe]