The US has decided to challenge China on China’s front doorstep.  We are sending out more military ships to stop little boats sailing around our mighty ships, hindering our ability to spy on China!  The more information that comes out of that battle of tiny fishing boats and our huge spy ship shows that the hysteria of the Pentagon was false as well as foolish.  Yesterday, China talked about being friends with us while also openly musing about what to do with all our debts that sit in Chinese banks.  We are not a super-power anymore, we are a stupid power.

Nothing is stupider than mindless patriotism of the sort where people shriek, ‘We are #1,’ while slithering off to Beijing to beg for more loans so we can carelessly overspend our budget. The Chinese know exactly how bad off we are since they are our bankers.  We can’t hide this reality from them since we have to go fill out the loan forms and they get some sort of collateral to hold against us.  


This makes our bellowing and prancing in front of China so pathetic.  It doesn’t impress anyone at all. No world leader is fooled by our bluster any more than anyone was fooled by English bluster after WWI.  The English navy continued to sail the Seven Seas long after the world knew that German subs could and would, sink the whole lot if the Germans decided to do this.


Chinese FM lists guidelines for China-U.S. ties in new era_English_Xinhua


 Speaking at a luncheon meeting at the Center for Strategic and International Studies (CSIS), Yang expressed satisfaction that the two countries have worked together and ensured a smooth transition of bilateral relations in the past 50 days since the new U.S. administration took office.


Except, of course, for the ritual confrontations the Chinese have with us each time we get a new ‘leader’ [sic].  Each time, the leader of the US is embarrassed in front of the entire planet.  Each time, we bluster and strut and then bow to China.  I would suggest, this amuses them greatly. Trust me on this.


A grave danger with the Chinese is to bluster and then back down.  You lose ‘face’.  Now, the US public is led to believe that these bluster-bungles are enhancing our prestige.  This is, of course, a total lie.  Just like with Ossetia: Europe and the US first pretended, the sneak attack by our side was actually Russian aggression.  Then, we pretended Putin lost the encounter in the diplomatic arena.


I would like to remind the US, struggles in diplomacy and on the field of battle are not won or lost in one day [except for WWIII] but rather, are accumulating and accelerating events that lead to someone advancing against another.  In Putin’s case, he won, hands down, during last winter when the gas from Russia suddenly developed serious delivery problems requiring all of Europe bowing to Russia.


Bush’s embarrassing business over the US spy plane showed who had the upper hand back in 2000: China won, totally and absolutely. All of Asia realized the US was this paper tiger.  And the Dragon won.  We lost face.  Bush then blustered, strutted and crowed.  The people who want us destroyed laughed and then, the 9/11 event happened.


Bush wanted it to happen so he could recover from his plunging popularity as well as the Pentagon wanting to smash some helpless country in the nose.  And Israel wanted us to attack Muslims in general.  China was very solicitous towards us because they have fractious Muslims, too.  Ditto, Russia.


We then slapped both Russia and China down.  So both are now in a growing alliance.  Russia would rather triangulate with Europe but Europe is still not playing sincerely with Russia.  I am betting, with the collapse in trade with the US, Europe is going to go to a Russian alliance in the long run.  Just like Japan will have to ally itself with China.

    The two sides have established good working relations at the top level and between various government departments and maintained close consultation and coordination in bilateral and multilateral areas, he said.

    “A good beginning is half the success,” Yang said, noting that this good start has laid the groundwork for the further growth of China-U.S. relations.

    “We should now set our sight on the longer term and draw up a good blueprint for China-U.S. relations in the coming years. We should make concerted efforts and promote sound and steady growth of our relations,” he said.


HAHAHA.  Patiently, Chinese diplomats, with well-trained face control [unlike the Israelis who blurt out their real feeling of contempt for the US] say proper things.  This is like an adult leading a child out of a temper tantrum while explaining the need to get dressed and go to school.  This ‘blueprint’ Mr. Yang is mentioning is the Chinese 50 Year Plan which I call, ‘We be BANK!’ plan.  


Namely, since they control our financial systems and we owe them lots of money, we have to start behaving in a civil fashion.  This means, no more temper tantrums or demands.  We have to learn to be civilized again. Since the Chinese plan is for prosperity and peace, we might as well as cooperate.  But if we insist on being primarily a military warmongering state, we will have to learn the hard way, what our real limits are.  


If the Chinese do as I expect and impose a gold regime on trade…AFTER taking Fort Knox from us [we have to hand it over due to our debts owed to China] then we will be a second-tier power in Asia.  So we may as well plan for this event and take proper measures.  Instead, we think we can continue the goofy floating currency/increasing US debt regime.  This won’t gain us more power in the future.  It simply makes the Chinese 50 Year Plan more iron-clad.

    To do this, the minister proposed some guidelines which he believed could help advance China-U.S. relations in the coming years.

    First, he said, both sides should adopt a strategic and long-term perspective and keep the relations on the right track.


HAHAHA!  ‘I don’t care, you still have to go to school and learn Chinese, my child,’ says the Dragon.  This ‘keeping perspective’ is hilarious.  We have no idea where we really stand!  Our LONG TERM perspective is about 6 months.  Note the difference with the Chinese who cook up long-range plans and then stick to them.

    China and the United States now have more common interests and a broader foundation of cooperation on a series of major and pressing issues facing today’s world, according to the minister. The strategic significance and global influence of China-U.S. relations have further increased and their relations in the new era should be broader and deeper.

    The minister believed that the two countries should work together in an all-around way to raise bilateral relations to a new and much higher level of cooperation in the 21st century on the basis of mutual respect, seeking common ground while shelving differences and cooperation for win-win results.

So, are we going to escalate thing? Of course! The Pentagon gets to do whatever it pleases and so does the CIA. Just like when Kennedy came into office, both worked to embarrass him and to escalate war potential. We came very close to WWIII. Thank goodness, cooler heads prevailed. This is why we must curb Pentagon powers. Obama showed himself to be a total push-over as the contemptuous Jews in Israel openly twisted his arms and shoved him closer to warmongering. He is a fool to have a Zionist as his top aid and he will be reduced to puppet status just like Bush Jr. To have two puppet Presidents in a row is a sign of a dying empire. After all, previous Presidents did defy our real rulers a tiny bit but even then, they progressively became weaker and weaker until today. They are now helpless and the whole planet can see this even if US citizens refuse to see the obvious. The US can’t continue to allow aliens to openly pull our strings while making fun of us. This loss of face is very significant. For example, if all of Congress is going to chase off anyone who is not pre-approved by AIPAC, the President can go on TV and give a speech, attacking AIPAC and explaining how it operates. HAHAHA. Like Eisenhower talking about the military/industrial complex in his last speech.


Obama could threaten to resign unless Congress cuts its ties to AIPAC. Our power in the world would shoot upwards in a micro-second. But this will never, never happen. The US media won’t broadcast our President. After all, they did this to Jimmy Carter. When is the last time was he able to get on TV to talk about Israel and AIPAC? Nope. Not once.

Official: US ship in scrape now has armed escort | Antiwar Newswire


A defense official says the Hawaii-based destroyer “Chung-Hoon” is keeping a close eye on the unarmed sub-hunting ship “Impeccable” as it continues operations in the South China Sea. The official spoke on condition of anonymity to describe sensitive ship movements.

The official says the escort ship joined the Impeccable on Wednesday.

China has demanded that the United States quit surveillance work in a disputed area far off the Chinese coastline. U.S. officials say they won’t back off.


So, right on the heels of the Chinese speech, the Pentagon saber rattles.  So here comes another Chinese speech explaining reality, even stronger than before:


China’s premier worries about US Treasury holdings – Yahoo! Finance


(AP) — China’s premier said Friday he is worried about the safety of the enormous holdings of U.S. Treasuries and other debt and called on Washington to maintain a credible economic policy.


HAHAHA.  Oh, look!  The US warmongers owe us lots and lots of money, the Chinese say openly.  Israel is a leech and takes money.  China is our banker and lends us the money we need to pay Israel to leech off of us.  We should be listening to the Chinese, not to the Israeli Jews and their buddies.  


This is another major loss of face.  ‘Maintain a CREDIBLE economic policy,’ is a sharp jab in our ribs.  Of course, we want a fantasy economic policy involving us spending whatever we wish on our wars and spying on China.  We will not give the Chinese a single useful thing for their loans.   Only slaps on the face.  This is not smart, of course.  It is SUICIDAL.


Premier Wen Jiabao noted that that China is now the largest creditor to the United States and as such wants to make sure that U.S. policies dealing with the financial crisis do not damage the value of Chinese holdings.


Americans may find this funny.  This isn’t just China warning us.  If we decide to dump our obligations and promises, this won’t end with the US becoming very rich and powerful.  This bankruptcy will hammer us since people will cease using our currency as the fiat trade currency.  The Chinese will impose a new regime on us and I am strongly suggesting, it will be eventually gold-based for they tend towards conservative banking systems and conservative values when it comes to wealth creation.


And the OPEC nations will like this a lot.  They are tired of being paid in useless US dollars which are vapid and change according to the interest rates the US grants itself on whim.

“We have made a huge amount of loans to the United States. Of course we are concerned about the safety of our assets. To be honest, I’m a little bit worried,” Wen said at his annual news conference. He called on Washington “to honor its words, stay a credible nation and ensure the safety of Chinese assets.”


We won’t do it, of course.  China is not begging us to do this.  China is warning us, if we are fools and screw around, the world won’t accept our flood of IOUs we are now printing!  OPEC lurks in the background here and they are having many a secret conversation with the US which our spies strive very hard to get an ear.  I don’t need to spy, I am assuming all parties are closing ranks on us and are planing the New World Order which excludes the US as a major party due to our looming and obvious bankruptcy.  


Budget deficit widens 10% as receipts fall to 14-year low – MarketWatch

The U.S. federal government budget widened to $192.8 billion in February as tax receipts plunged to the lowest level in 14 years, the Treasury Department reported Wednesday. It’s the second largest monthly deficit on record, exceeded only by $237.2 billion gap in October. For the first five months of the fiscal year, the deficit has increased by a half trillion dollars to a record $764.5 billion. Outlays were flat compared with a year earlier at $280.1 billion, while receipts dropped 17% to $87.3 billion, the lowest since February 1995. In February, individual income taxes fell 64% to just $8.7 billion. That’s the lowest monthly total for individual income taxes since May 1985. 

This is pure craziness!  Our tax revenues are plunging at the same time our spending is doubling and tripling.  We want to rebuild America but don’t have any plans for building industries.  Instead, the Democratic/Obama plan is more along the lines of putting in a new granite countertop and cabinets in a kitchen of a house that is burning down!


Our taxes have fallen to levels last seen at the beginning of Reagan’s tax cutting mania!  The drop in taxes meant Reagan doubled our debt in just 7 years.  Bush did the exact same thing.  And Obama could easily do equal debt-creation if he keeps spending recklessly.  Everyone knows we are going bankrupt.  Even our ‘allies’ who are vicious trade rivals, are beginning to throw down all pretense of being peaceful.


Already, our decline in power is making the Japanese much more war-like:


Japan threat to shoot down N. Korean satellite –


“Japan is legally able to shoot down the object to secure safety if it looks like it will fall on to Japan,” Chief Cabinet Secretary Takeo Kawamura said during a news conference.

North Korea had informed an international organization that it plans to launch a satellite. Yonhap, South Korea’s state-sponsored news agency, said the launch was slated for April 4 to 8.

The announcement has triggered international consternation. U.S. and South Korean officials have long said the North is actually preparing to test-fire a long-range missile under the guise of a satellite launch.

Perhaps this is LDP bluster.  I know that Japan’s government has a popularity rating of around 7%.  Japan’s immense trade surplus profit which was either #1 or #2 for the last 10 years is now running a deficit.  Japan can’t tolerate a deficit for even one year.  This is alarming Tokyo far more than the Japanese are letting on.  


Like the Chinese, they believe in a stone face that betrays no emotions.  But we can see this rising hysteria in other ways.  The constant change in leadership, for example, is like it was from 1928-1938 in Japan.  Now, for a sensible editorial in full, from Ron Paul:


Imagine – By Ron Paul « Pak Alert Press


Imagine for a moment that somewhere in the middle of Texas there was a large foreign military base, say Chinese or Russian. Imagine that thousands of armed foreign troops were constantly patrolling American streets in military vehicles. Imagine they were here under the auspices of “keeping us safe” or “promoting democracy” or “protecting their strategic interests.”

Imagine that they operated outside of US law, and that the Constitution did not apply to them. Imagine that every now and then they made mistakes or acted on bad information and accidentally killed or terrorized innocent Americans, including women and children, most of the time with little to no repercussions or consequences. Imagine that they set up check points on our soil and routinely searched and ransacked entire neighborhoods of homes. Imagine if Americans were fearful of these foreign troops, and overwhelmingly thought America would be better off without their presence.

Imagine if some Americans were so angry about them being in Texas that they actually joined together to fight them off, in defense of our soil and sovereignty, because leadership in government refused or were unable to do so. Imagine that those Americans were labeled terrorists or insurgents for their defensive actions, and routinely killed, or captured and tortured by the foreign troops on our land. Imagine that the occupiers’ attitude was that if they just killed enough Americans, the resistance would stop, but instead, for every American killed, ten more would take up arms against them, resulting in perpetual bloodshed. Imagine if most of the citizens of the foreign land also wanted these troops to return home. Imagine if they elected a leader who promised to bring them home and put an end to this horror.

Imagine if that leader changed his mind once he took office.

The reality is that our military presence on foreign soil is as offensive to the people that live there as armed Chinese troops would be if they were stationed in Texas. We would not stand for it here, but we have had a globe straddling empire and a very intrusive foreign policy for decades that incites a lot of hatred and resentment towards us.

According to our own CIA, our meddling in the Middle East was the prime motivation for the horrific attacks on 9/11. But instead of re-evaluating our foreign policy, we have simply escalated it. We had a right to go after those responsible for 9/11, to be sure, but why do so many Americans feel as if we have a right to a military presence in some 160 countries when we wouldn’t stand for even one foreign base on our soil, for any reason?

These are not embassies, mind you, these are military installations. The new administration is not materially changing anything about this. Shuffling troops around and playing with semantics does not accomplish the goals of the American people, who simply want our men and women to come home. 50,000 troops left behind in Iraq is not conducive to peace any more than 50,000 Russian soldiers would be in the United States.

Shutting down military bases and ceasing to deal with other nations with threats and violence is not isolationism. It is the opposite. Opening ourselves up to friendship, honest trade and diplomacy is the foreign policy of peace and prosperity. It is the only foreign policy that will not bankrupt us in short order, as our current actions most definitely will. I share the disappointment of the American people in the foreign policy rhetoric coming from the administration. The sad thing is, our foreign policy WILL change eventually, as Rome’s did, when all budgetary and monetary tricks to fund it are exhausted.


Send Ron Paul to China to negotiate.  Heh.  Or better still, send me.  That would shock them.  What would shock them the most is, I agree with them.  And I see only one solution: the US must correct our trade imbalances and restore ancient systems.  Like tariffs that pay for our government and our navy and other toys.  And some sort of protections so we don’t get flooded with trade goods.


U.S. trade gap narrows to 6-year low in January – MarketWatch


The U.S. trade deficit narrowed by 9.7% to $36.0 billion in January on an across-the-board decline in demand for imported goods, the Commerce Department estimated Friday.
The drop was helped by a continued drop in the average price for a barrel of oil.
Economists have been stunned by the swift deterioration in global trade. Reasons for this are unclear. It seems consumers and businesses around the world are pulling back as the credit crunch sinks its teeth into the newly-globalized economy.
“The numbers have been wild since the summer of last year, before the bankruptcy of Lehman Brothers, when a combination of falling demand – and we surmise – much tighter trade credit, began to squeeze both exports and imports,” wrote Ian Shepherdson, chief economist at High Frequency Economics, prior to the release of the January data.
In part because of the fall-off in trade, the World Bank now predicts that global GDP will contract in 2009, the worst performance since the Great Depression.











Trade collapsed because the major consumer nation on earth, the US, can’t buy anything, anymore.  The ONLY times our trade deficit declines is when we go into a severe recession after a sudden price hike in the price of oil.  This is foolish.  It never fixes what is wrong.  The instant we begin buying again, our trade deficit is worse than before.  


What if our trade deficit is ‘only’ $36 billion each month this year?  It will be ‘only’ slightly less than half a trillion a year!  Instead of nearly a trillion a year.  Can we run half-trillion deficits forever?  We better consult with the Chinese about this!  They know how to add, subtract and multiply, unlike our leaders.  We already owe $12-13 trillion in US government debts [we don’t know the number yet!] and we have an accumulated trade deficit that nearly matches this, it is around $8 trillion and climbing.


So, if we have a trade collapse where we consume only half a trillion a year, in ten years, this is $5 trillion more we have to give away in US assets to pay for all this!  Based on today’s dollar value.  This value will collapse if the Chinese start an economic war with us.


CLICK HERE FOR A  Creepy commercial for Israel’s missile sales to India « Pak Alert Press

The Israeli arms firm Rafael displayed this Bollywood dance number-based marketing video at the recently held Aero India 2009 in Bangalore. This video had been uploaded to Youtube for the purpose of embedding on the Defense and Strategic Affairs Online News Magazine, StratPost with the permission of Rafael.





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