The Everything Bubble Will Pop!
The COVID-19 Crisis is playing out in relationship to Biblical prophecy. The near term will result in hyper-inflation at a magnitude that the world has never seen in all of human history.
While the lockdowns have slowed the velocity of money, it allowed the governments to print and release trillions of dollars into their economies preventing an early collapse.
The lockdowns slowed the velocity of money and inflationary spike that would hit if economies were running wide open - allowing Governments to buy corporate debt and indirectly acquired the means to production through bond purchases.
If we see a rapid reversal of the lockdown policy globally as we have seen in the UK, this may be a signal that the inflationary trap has been set and it is time to open up the economy and let the velocity of money spike leading to a very high rate of inflation.
This will trigger a crisis in the debt markets as bond holders sell bonds since the real rate of return turns sharply negative. The selloff will result in rapidly rising bond yields and interest rates including corporate debt and mortgage rates.
A collapsing debt market will pull down the stock and real estate markets as the cost of debt service cuts into corporate bottom lines. This is how the everything bubble pops and fiat currencies are destroyed in a hyper-inflationary collapse.
Consider this 12-step sequence of controlled economic demolition:
12-Step Plan of Controlled Demolition
Create a debt bubble through expansion of the monetary base
The monetary base must increase exponentially worldwide
Rising prices will be masked by manipulating the CPI data
The manipulation works until monetary expansion goes vertical
Delay hyper-inflation by slowing velocity of money via lockdowns
Gov buys corporate debt to have bondholder priority to production
Legislatures drive business failure via lockdowns- only Gov survives
Gov is part owner of “private Corp” and controls policy and protocols
Economy gutted - people desperate - Universal Base Income - price up!
Monetary collapse may wipe most financially - tax law is will of tyrant
Hegelian dialectic: crisis - population suffers - absolute power to AntiC
Solution - crypto currency - 4th industrial revolution - World Ec Forum