Posted Feb 15, 2013 by Martin Armstrong
Economic Conservatives have lost their representation. There is only the Marxist left and the Religious Right that care more about abortion and gay rights than the economic survival of themselves and their posterity. Our computer has been warning that there will be a huge spike in Third Party activity for 2016. There is a high risk that the Republican Party will split. Look at this chart carefully. You will see two previous big Third Party spikes. This is what is coming in 2016 and it is being driven by the impractical rise in taxation mixed with the decline in economic growth.
There is a middle ground – the economic conservatives who have lost their voice. They were the people who put Reagan in office. But the Republican Party began in the early 1980’s to court the Religious Right. I warned them at that point in time the Religious Right would do a reverse takeover. They laughed. Bush, Jr. did precisely that. The focus became abortion, gay rights, and just about anything but sound economics. The Republican Party had me meet people who desired running for President. I would fly out to meet them to brief them on the global economy. At the same time, I was asked my opinion about their capabilities. When it came to George Bush Jr, I was asked to meet with him but I was told this was “different” and they wanted me to be an adviser because I was told he was “stupid”. I was stunned. When I asked why would they make such a person President, I was told he had the “name”.
This conversation took place with someone very high up behind the curtain. I did not mind meetings and helping to keep the focus in the right direction. I was an economic conservative who is practical and looks at everything from everyone’s perspective. One group cannot dominate another rich or poor for this to work. Unless you really can observe the levers of power and comprehend how they are pulled and why, you will only champion impractical theories jumping up and down in your yellow rain coat yelling the sky is falling – the sky is falling – wasting all your energy accomplishing nothing.
Nevertheless, having a front row seat had its limits. When I was asked directly to become a presidential adviser formally to Bush, Jr, stating they needed real people in strategic positions to run the game, I understood what was being asked. I explained I sat at the head of a company on every continent with clients that were a list of whose who. I had testified before Congress about 18 months before where I publicly had to confirm we have a bit more than 50% of the equivalent to the US National Debt under contract for advisory services. No other firm ever reached even half of that level of a client base even today. That would present far too great of an obstacle for any ethic’s committee on a conflict of interest and there was no way I was about to stop advising to work in the White House for some bullshit job for at the very most 8 years. Most people do that to gain the clients afterwards. For me, it would have been the reverse – so I declined. This is why Dick Cheney really was President pulling the actual strings – not Bush, Jr.
Needless to say, tons of emails have been coming in since there has been public comment confirming there is talk about the Republican Party splitting up. It is INEVITABLE because John Boehner has virtually destroyed everything the economic conservatives stood for. This is the man that retaliated against any Republican that supported Ron Paul. This is the man who sees business as usual as the path to power with no purpose. Boehner has done more to destroy the Republican Party than perhaps anyone in history. The childish retaliation against Economic Conservatives demonstrates they have no party. This will be the source of the Third Party movement leaving the Religious Right and the Marxists on the fringe as they try to resurrect a more sensible approach down the middle based upon practical economics.
Consequently, the computer is the computer. It forecasts trends without human bias. It has been my privileged role as that of Adam Smith – to simply observe and record. Instead of trying to prove a theory, I have only sought to understand how everything ticks. As they say, opinions are like assholes – everyone has one. Clients have never paid for my opinion – only for my observations. So there is no point jumping up and down and trying to force my opinion on anyone else. We live on Fantasy Island. We have to crash and burn because that is the ash from which the Phoenix always rises. The best I can hope for is to provide the research for the restructuring. That is the whole purpose of setting up the first International Think Tank collaboration. This World Economic Conference March 18 & 18 in Princeton may be the last one I do in the United States this year. I cannot guarantee another after this,