Tuesday, April 19, 2016
The Lesson of Libya
Why was Libya Leader Murdered by West?
The above video explains why Muammar Gaddafi, popular long time leader of the African state of Libya was violently murdered in October, 2011 by a terrorist mob....on the orders of then US Secretary of State Hillary Clinton. In a related but unanticipated blowback...US Ambassador to Libya, Stevens was also murdered by a mob. According to writer, William Enghdal, quoted in the above recent report....Gaddafi was planning on launching a Libyan dinar currency--backed by gold. This was planned to eventually become a pan-African currency. This plan was viewed as an untenable threat to the Federal Reserve petrodollar currency of Washington and London.
The reason this lesson is so pertinent today, April 19, 2016...is because today is the day that China is launching its gold-backed Yuan. If the West thought that Gaddafi's effort to free his nation and other African states from the exploitative petrodollar currency system was bad...this move of China...happening today...is bad on steroids. It presents a clear and present threat to the current global financial system. Will the West respond to the Chinese initiative like it responded to Gaddafi (and Saddam Hussain...who also threatened to launch a gold backed currency)? Given the difference in size and strength between Libya, Iraq (under Hussain) and China...one hopes that cooler heads will prevail.
But, and here is my point, many say that the US currency is not backed by anything...that they just print it out of thin air and it is essentially worthless. I disagree with this notion. The US greenback is backed by something quite formidable. It is not gold...it is US/NATO military power. The US has proved in many countries all over the world ever since WWII that it is willing to back its currency with violence and the threat of violence and invasion. Any leader who tries to buck the system will be eliminated by assassination or coup. That's the backing to the Federal Reserve US Currency. It is not a positive backing...like gold...it is a negative backing...war. But it is a backing nonetheless.
With the introduction today (totally blacked out in the JM$M by the way) by the Chinese of their gold backed Yuan...the rubber will hit the road. Either the "normal" backing to the US Dollar will prevail...by military threat...or the Federal reserve currency will fall.