I left San Francisco on Saturday, July 23 and drove to Laguana Beach. The next day I drove to Tucson, Arizona. After two days in Tucson, I headed east and north to Santa Fe, New Mexico for a meeting on Thursday morning and then southeast to Midland, Texas. Midland has not had a real rain for 300 days. After a day and two evenings in Midland, I drove east to Tennessee, arriving on Sunday.  The highways throughout Texas had regular warnings about extreme drought conditions.

What I saw driving through hundreds of small towns was four kinds of towns: towns with water, towns with oil, towns with water and oil, and towns with neither.  The towns with neither are no longer able to keep going even with government checks. They are dying. Indeed, some have died and been abandoned.  Some farmers in California without water are pointing out on home made billboards that the water was shifted out by Congress or other political decisions. The economic devastation of debasement is overwhelming. Now the budget conditions have been set to add spending cuts while accelerating the debasement.

This is a financial environment that favors towns with oil and deep wells with people who stockpile gold and guns or cities with people who have invisible weaponry that can kill with impunity, including the legislative representatives who will not do what they want.

This is what I believed would happen if we did not help the American people reengineer in the 1990′s or do anything about the $4 trillion missing from the US government accounts. It is not hard for me to believe that “Mr. Global” wanted it to happen – indeed, this outcome was planned and engineered. The housing and derivative bubbles, with their collateral fraud necessitating bailouts, did the trick.  What has been hard for me to believe is that the American people could not fathom that it was so.

Perhaps that is changing.

Related Reading

In Steinbeck’s Footsteps: America’s Middle-class Underclass
BBC News July 28 2011

Source: Solari.com, August 1 2011
By: Catherine Austin Fitts