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April
1, 2007
The Bush
Panic
by Jerry Kroth, Ph.D.
Most
of us look at symbolism as nothing more than
filigree ornamenting an event. With 9/11, for
example, it is curious that American flight 11
crashed into the twin towers, which looked like the
number 11, and that it all happened on September
11th. Later we learn that construction of the
Pentagon began on September 11, 1941, or that 11
Israeli Olympic athletes were executed by
terrorists on September 11, 1972, or that the U.S.
helped engineer the overthrow of Chilean government
on Sept 11, 1973. Such coincidences -- or
synchronicities as they are often called -- we
generally shrug off as nonsense. Interesting, sure,
but ultimately meaningless. Most take note that
9-1-1 is the number one calls in an emergency, and
this event surely was a national emergency, but
beyond that we don't attach a lot of gravitas to
symbolic or synchronistic happenings.
Two other symbolic events also strafed the
landscape of the Bush presidency and, like 9/11,
both fell out of the sky.
In
February of 2003, just weeks before we invaded
Iraq, Americans tragically witnessed the crash of
the space shuttle. The name "Columbia" derives from
Christopher Columbus and was chosen by NASA to be a
symbol of the American nation. The crash occurred
on the first day of the Chinese New Year, a
foreboding omen in the East. And most CNN live
coverage originated from "Palestine," Texas.
Sacrificed in this tragedy was the firstever
Israeli astronaut whose cachet was that he flew an
aircraft that bombed Iraq's nuclear facilities back
in 1981.
The symbolic anomalies mount up.[1]
Less than a month before we go off on a pre-emptive
war to stop Iraq from developing nuclear weapons,
we note that inside the belly of Columbia is an
Israeli who engaged in the same pre-emptive attack
twenty years earlier. On an ominous Chinese holiday
a simulacrum of America falls out of the sky
sounding an alarm and carrying messages in her hold
that concern preemptive war, Iraq, nuclear weapons,
even the Israeli-Palestinian conflict. . . an eerie
symbolic cargo indeed!
Few Americans know that the
Israeli lobby in Washington, AIPAC, has been an
aggressive advocate of war with Iraq from the very
beginning.[2] Aided and
abetted by insiders Rumsfeld, Paul Wolfowitz, and
Richard Pearle, the war in Iraq has claimed between
36-77,000 Iraqi lives -- some professorial types
allege as many 600,000 -- and it has blinded,
maimed, and wounded upwards of 500,000 Iraqi
citizens. Close to 3,200 US soldiers have been
killed with 22,000 wounded at this
writing.[3] This
American-initiated carnage, was predicated upon
misrepresented, false, perhaps even fraudulent
intelligence, and sought to eliminate weapons of
mass destruction in a country which did not have
any and which never posed any overt threat to the
United States.
Some 52 percent of Americans
currently feel that the US is in greater danger
from terrorism today than before we invaded
Iraq.[4] This causes one
to wonder if AIPAC, Wolfowitz, and Pearle agitated
so aggressively for this war more to defend
American interests or Israeli. Both gentlemen were
incessant, even obsessed, with the vaporous Iraqi
nuclear threat but doltishly mute on what experts
say is Israel's secret stockpile of over 200
nuclear weapons, including a hydrogen
bomb.[5]
In 2005, 82% of Iraqis
were "strongly opposed" to a continued US
presence,[6] and 59% of
Americans wanted our troops to leave as soon as
possible.[7] In 2006 those
positions still hold with a majority of Iraqis
wanting the US to leave now![8]
Some 62% of Americans believe our getting involved
in Iraq in the first place was a mistake.[9]
But when Congress was presented with a resolution
to remove U.S. troops, fewer than 1% of its members
voted for it,[10] a clear
sign that AIPAC, Christian extremists, and
Halliburton-type special interests have gained such
access and influence as to nullify the democratic
will of the majority of Americans and
Iraqis.
Recall that the
crash of Columbia was caused by a damaged and
weakened undercarriage. Down here on earth -- and
on the other side of this metaphor -- there are
numerous fissures in the underbelly of the Bush
administration: Kofi Anan called the invasion of
Iraq a crime and a violation of the UN Charter. A
Belgian international tribunal is considering
charging Bush, Rice, Wolfowitz and others as war
criminals. The EU is livid over America's secret
prisons and the transport and torture of citizens
within its territory, clear violations of the
European Convention on Human Rights.[11]
[12] And revelations
about presidential domestic spying on US citizens
without court orders[13]
has persuaded legal scholars to announce that Bush
has admitted to an "impeachable offense."[14]
Bush's popularity is at an all-time low with 62%
disapproving of how he is handling the job as
president, and almost a majority of Republicans
feeling the same way (about 47%), while a whopping
75% disapprove of how he is handling the war in
Iraq as we near the end of 2006.[15]
The situation on the ground is
dire and rapidly devolving into civil war, with
over a million Iraqis leaving the country as
refugees along with a third of the entire
professional class. Over a hundred lecturers at
Baghdad University alone have been murdered, mostly
for teaching women.[16]
But these Iraqi-related issues are mere
perforations and pockmarks compared to the gaping
hole in the underbelly of the nation caused by the
financial bludgeoning it has endured under the Bush
administration.
The
US has spent over half a trillion dollars on
Afghanistan and Iraq already[17]
and is hemorrhaging with expenditures of over $2
billion each week in Iraq alone[18].
. . which leads us to consider our third symbolic
event. . .
A month after Bush's second
term began, a plane painted REELECT BUSH crashed
into the Florida everglades. The photograph
captures a palpable sense of helplessness,
engulfment, and sinking[19].
. . our third symbolic omen.
In his private life George Bush presided over
numerous failed business ventures[20]
and, as president, he may be leading the nation to
a level of insolvency which makes all his earlier
failures pale by comparison. The ship of state is
taking on so much debt, so rapidly, economists from
every political hue warn that it cannot handle such
a load without sinking.
One
out of every three dollars the federal government
spent in 2006 was paid for by borrowing, the
highest level for any administration since World
War II. With characteristic Bush insouciance, the
$550 billion President Clinton accumulated was
immediately repatriated to the wealthy with a
generous $630 billion tax cut going to the richest
1% of America's wage earners.[21]
In the blink of an eye -- or should we say "wink"
-- Clinton's four-year surplus was transformed into
a $1.4 trillion deficit, the largest in American
history, which one commentator says "represents the
most rapid, predatory looting of public wealth in
the history of the world."[22]
The United States
accounts for half of all military spending on
earth. With troops stationed in over 119
countries[23] -- all
ostensibly fighting for freedom rather than any
whiff of imperial hegemony[24]
-- we spend more on defense than Russia, China,
Japan, Britain, France, and Germany
combined.[25] If
we add onto these enormous outlays America's list
of unfunded liabilities, military and civil service
pensions, the prospect of 70 million baby boomers
retiring, a third with no retirement savings at
all,[26] we can more
fully appreciate Mr. Greenspan's astringent parting
words that Bush's profligate deficit spending
spells potential disaster for the nation.
The United States is going
into debt at the rate of some $1.6 billion per day
-- gasp if you will -- but the federal deficit is
only half the problem. This deficit has an ugly
twin, the trade deficit, which this year will reach
866 billion (amounting to another $2 billion
borrowed per day).[27]
Foreign central banks now hold 40% of total U.S.
government debt.[28]
Japan has a $1 trillion supply of dollars. China
recently reached the $1 trillion benchmark itself,
and South Korea, Taiwan, Russia, and India together
hold close to that as well. Foreigners currently
own, or are owed, $10 trillion in U.S.
assets.[29] As Pat
Buchanan opines,
- [T]he most
self sufficient nation in history, which
produced 96 percent of all that it consumed, now
depends on foreigners for a fourth of its steel,
half its autos and machine tools, two-thirds of
its textiles and apparel, and most of its
cameras, bicycles, motorcycles, shoes, TVs
videotape machines, (and) radios.[30]
-
- Like the twin towers, the twin deficits show
we are living beyond our means to the tune of
over a trillion dollars per year! No one
knows when the world will say, "enough," but
just the whiff of a "dollar sell-off could
create panic in the markets and lead to a global
financial meltdown."[31]
-
- If somebody starts selling his dollar
reserves, even if it's only a portion of his
dollar portfolio, other countries could be
forced into panic selling of their huge dollar
reserves. The foreign-exchange markets are the
biggest and most liquid in the world, but
whether they would be able to absorb the amount
of selling that could emerge from portfolio
adjustments this large is a very open
question.[32]
-

The collapse of the twin towers,
the crash of Columbia with Israel's first astronaut
aboard, and the sinking of the Bush reelection
plane represent symbolic graffiti scribbled on the
walls of our collective consciousness. All three
symbolic moments italicize "implosion," "crash,"
"collapse, "sinking," Do such symbols and
synchronicities merely syncopate with modern life,
and should we look at them as nothing more than
curious decoration garnering our daily lives, or
are they more structural than that? Are they
oracles or 'leading indicators' arising from the
collective unconscious which point to a reality yet
to unfold? In other words are our deepening
involvement in the Middle East, the relentless
pressures of the Israeli lobby (to increase troops
in Iraq and even bomb Iran[33]),
plus the inscrutable doctrine of preemptive war
sucking the US into a financial black hole? Are
these symbolic "crashes," in other words, the
foretaste of a real crash?
As this is written, markets
are volatile but doing well. The Dow reached an
all-time high recently. Bullish sentiment still
outscores bearish by a hefty margin. Panglossian
financial commentators reassure us that the stock
market outlook for 2007 will be boasting a
predicted gain of about 8%,[34]
and we probably ought to fold up our analytic
couches and conclude there is no basis for
symbolism to interfere with our investment
plans.[35]
Unfortunately a phalanx of
heavy weights and paragons of realism have stepped
into the ring on this one. Former Chairman of the
Federal Reserve, Peter Peterson, says we are on a
path of 'economic meltdown.'[36]
Warren Buffet echoes the same warning. Clyde
Prestowitz, president of the Economic Strategy
Institute, warns of financial chaos so severe it
would "make the Great Depression of the 1930s look
like a walk in the park."[37]
Robert Freeman believes we are in the beginning
phase of a "deficit death spiral." Former Treasury
Secretary Robert Rubin forewarns of a day of
reckoning, and ex-Fed chairman Paul Volker
estimates the odds of a financial crisis at
75%.
Lesser-known pundits have
also stepped up to the plate one predicting a
collapse of the Dow to 6000,[38]
while disconsolate bear, Robert Prechter, sees an
all-out depression by November, 2007.[39]
So perhaps these symbolic events are not just
frivolous symbolic outcroppings which ornament the
landscape of our awareness, but harbingers of a
reality looming large. With the REELECT BUSH plane
crashing in Jeb Bush's home state of Florida, and
the debris from the Columbia falling a hundred and
fifty miles from brother George's home and hearth
in Crawford, Texas, these omens from the sky
mysteriously co-mingle themselves with the Bush
presidency itself. So if "crash" and "collapse" are
appropriate words for America's day of reckoning,
we should be placing that 9-1-1 call sometime prior
to Jan. 19, 2009, the official endpoint of the Bush
presidency.
We have a choice it seems: If we think that
reading these symbolic tea leaves is turning us
into frightened Cassandras for no reason, then
investment advisor Abby Joseph Cohen has a few
stocks she thinks we ought to buy. But if these
symbolic omens rightfully scare us and accurately
point to a real and present danger to the nation,
we might consider taking refuge in the precious
metals which, even at the bottom of a Florida
swamp, never seem to lose their luster.
Footnotes:
1. Photo source for Columbia crash
is http://www.cyberspaceorbit.com/Colimbia-explosion.html.
Return
2. An interesting and
controversial article on AIPAC's influence on US
policy if given by two professors, John Mearshimer
and Stepen Walt, "The Israel Lobby," London
Review of Books, March 23, 2006. President
Jimmy Carter's recently released book Palestine:
Peace not Apartheid, similarly emphasizes the
little known connection between the Iraq war and
the Israeli lobby's overwhelmingly disproportionate
influence on Congress and the Senate. Return
3. From Iraqbodycount.net and Paul
Craig Roberts, "A catastrophe calculator." At
antiwar.com. In the latter publication, the ratio
of killed to wounded is 7.6; if this ratio is
applied to the estimated 70,000 Iraqis killed, it
implies over 500,000 wounded. Return
4. http://www.pollingreport.com/iraq.htm.
Return
5. http://nuclearweaponarchive.org/Israel/.
Return
6. Poll, cited at http://usliberals.about.com.
Return
7. "Poll Bush ratings hit new
low." CBS News Polls, Oct. 6, 2005. Return
8. Amy Paley, "Most Iraqis want US
to leave now." Sept 27, 2006, San Francisco
Chronicle. Return
9. http://www.iht.com/articles/2006/12/12/news/policy.php.
Return
10. Vote of 403 to 3 against
amendment forwarded by John Murtha, D-PA. Return
11. Gallup poll, August 3, 2006.
http://www.editorandpublisher.com/eandp/news/article_display.jsp?vnu_content_id=1002950052.
Return
12. CNN poll; CNN.com October 12,
2006. Return
13. Warren Strobel and Johnathan
Landay. "US spy agency may not shake sullied
image," Miami Herald, International Edition,
Dec. 24, 2005. Return
14. Susan Page. "Skepticism
trails Bush's defense of domestic spying." USA
Today, Dec 20, 2005. Return
15. Washington Post poll;
Dec 2006; http://www.pollingreport.com/BushJob.htm.
See also Ellen Goodman, "Stay or leave? Ask the
Irais" Miami Herald, Dec. 18, 2006, p. 9A.
Return
16. Simon Jenkins. "America is
finally waking up to its horrific failure in Iraq."
The Guardian, Oct. 18, 2006, p. 33.
Return
17. Drew Brown, "Costs of the
wars in Iraq and Afghanistan could reach $549
billion, McClatchy Newspapers, Sept. 27, 2006.
Return
18. For comparison, the cost of
insuring all of Americas 40 million uninsured in
roughly 1/4the cost of what has been spent on
Afghanistan and Iraq. See "Managed Care Matters,
Joseph Paduda, http://www.joepaduda.com/archives/000054.html.
Return
19. Source of photo http://jazzcornertalk.com/speakeasy/showthread.php?p=287230.
Return
20. Arbusto, Spectrum &
Harken energy failures are discussed in Kevin
Phillips, American Dynasty: Aristocracy,
Fortune, and the Politics of Deceit in the House of
Bush. New York: Viking books 2004. Return
21. Robert Freeman, "The Bush
budget deficit death spiral," Common Dreams,
Oct 22, 2004. Curiously the absolute wealth of the
richest 1% has soared under the Bush
administration. Currently 400 of America's
wealthiest individuals have a combined wealth of
$1.25 trillion which is as much as the wealth of 57
million American households. Source: Holly Sklar,
"In today's America, wealth flows to the rich."
San Jose Mercury News, Sept. 28, 2006, p.
19A. Return
22. Robert Freeman Ibid. See also
"Marilyn Geewax, "Tax revenue growth whittles
federal deficit to $248 billion." San Francisco
Chronicle, Oct 12, 2006, pA3. Return
23. The U.S. Global Empire,
Laurence M. Vance. Laurence M. Vance Archives.
Return
24. See Noam Chomsky, Hegemony
or Survival: America's Quest for Global
Dominance. New York: Penguin 2004. Return
25. USNWR, June 28, 2004.
Return
26. Peter Peterson, Running on
empty. New York: Farrar, Straus, & Giroux,
2004. Return
27. Martin Crutsinger, Associate
Press, "Trade deficit soars to a record." Miami
Herald, Dec. 19, 2006, p. 1B. Return
28. Robert Freeman, Ibid.
Return
29. Peter Peterson. Ibid.
Return
30. Pat Buchanan. "Globalism is
sending GM to its grave." San Jose Mercury
News, August, 2005. Return
31. James and Marianna
Quenemoen,, Global Policy Forum, August, 2003.
Return
32. Julian Delasantis "US living
on borrowed time and money" Asia Times, Mar
24, 2006. Return
33. Patrick Seale, "Pressures
Mount on Bush to Bomb Iran," Washington Report
on Middle East Affairs, Nov. 2006, pp. 10-11.
Note that in Dec, 2006 and in sharp contrast to
AIPAC, only 14% of Americans favor increasing troop
strength in Iraq. Return
34. Barrons, Dec 9, 2006.
Return
35. Barrons, Dec 9, 2006.
Return
36. Peter Peterson. Ibid.,
Bookjacket. Return
37. "Expert warns of economic
9/11 for U.S." MoneyNew.com. Return
38. Susan Witty. "How to make
money in a bubblequake." Barrons, Nov. 2006.
Return
39. Peter Peterson, Ibid. p. 93.
Elliot wave theorist, Robert Prechter calls for a
severe financial crash sometime before November,
2007 which could bring the Dow down to 6000. See
"Prechter trends towards Yelnic view, then predicts
crash." Planet Yelnick, Wednesday, March 22, 2006;
see http://yelnick.typepad.com/yelnick/2006/03/prechter_trends.html
Wed March 22, 2006. I queried Prechter about this
prediction, in order to confirm the source, and
Prechter replied "Yes, I have expected the stock
and housing manias to resolve in a crash. House
prices appear to have peaked in the summer of 2005.
I expect the stock market will join in (re-join, in
real terms) the decline before 2007 is out
regardless of how high it goes in the interim.
Return
Jerry
Kroth, Ph.D. is a professor of psychology at Santa
Clara University in California and a member of the
International Psychohistorical Association. His
most recent work is Conspiracy
in Camelot: the complete history of the
assassination of John Fitzgerald
Kennedy,
New York: Algora Publishers, 2003. Dr. Kroth may be
contacted at jerrykroth@yahoo.com
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