Millions of zombie consumers victims of gigantic scam
The multitudes of Americans who brave the freezing cold and the rampaging mobs in the belief it’s all worth it to get a great ‘deal’ on electronic goods they don’t really need and can’t afford are victims of a gigantic scam.
While believing that they are paying far less for high-end consumer products, shoppers who throw themselves on the altar of Black Friday madness today will in the aggregate be paying more for such items than they would at other times of the year.
As Bloomberg Businessweek reports, despite the hype, despite the coupons, despite the “friends and family deals,” the profit margins of large retailers are actually higher during the holiday period. The idea that big stores are losing out in order to provide Americans with massively discounted goods is a complete hoax.
The scam works in two primary ways. Firstly, retailers artificially inflate prices of goods in the months before Black Friday in order to make the subsequent discounts look good in comparison. Secondly, even if shoppers do manage to grab some genuine discounts, they will invariably buy another product that has a 98 per cent mark up value.
In addition, the same products can routinely be found for cheaper in January anyway with no need to camp out or get involved in mini-riots or mass brawls. However, absent the same level of psychotic hype, the flames of which are dutifully fanned by the mainstream media, the demand is far less intense.
The shameful scenes we see every year of Americans brawling with each other over HD televisions are an illustration of mass mind control, with retailers manufacturing the illusion of artificial scarcity of products at cheap prices in order to create a contrived stampede.
However, given the institutionalized grip of this hoax, it’s unlikely Americans are ever going to realize that they are suckers for perhaps the biggest con in retail history.
Black Friday opened with a predictable boom that resounded favorably through the Big Casino on Wall Street. Stocks on the Dow Jones climbed to 22 points to 16,119 soon after opening this morning. Standard & Poor’s index bumped up a modest two points to 1,809 and the Nasdaq jumped 15 points to 4,060.
“Consumers weren’t the only ones shopping on Black Friday. Stocks pushed even higher into record territory, as investors returned from Thanksgiving break for a short, final day of trading in November,” CNN reports.
Despite modest gains on the stock market, the hype that revolves around Black Friday seems to be losing some of its media generated luster. The large retails chains – Wal-Mart, Target, Best Buy, Kohl’s, JCPenney, Kmart and Toys R Us – have downgraded expectations.
“Indeed the latest poll from AC Nielsen’s Holiday Spending Forecast study, which surveys over 22,000 households throughout the US, indicates that 85% of consumers plan on skipping the stores on Black Friday this year,” Zerohedge reports. “This is up from 82% in 2012, 82% in 2011 and 80% in 2010 so a negative four-year trend is taking shape. Black Friday shopping seems to be merging with Cyber Monday as well with 51% of consumers say they will do their Black Friday shopping online this year. According to the National Retail Federation, the holiday season generally accounts for about 20% of the retail industry’s annual sales so all eyes will be on retail sales updates/snippets over the weekend.”
The bullish frame of mind ruling the stock market is little more than voodoo. “We think odds favor some sort of a pullback in the coming weeks and months,”Jonathan Krinsky, chief market technician at MKM Partners, told the Wall Street Journal. For more than a decade, stocks have rallied in late summer only to fall off between Thanksgiving and Christmas. The bump gets harder which each passing year and nobody knows when it will finally bottom out.
The real Black Friday happened on a Tuesday, October 29, 1929
The real Black Friday happened on a Tuesday, October 29, 1929, when the stock market experienced its largest one day drop in history – a precipitous 22% – and heralded in the first Great Depression.
This calamitous event was created by the Federal Reserve. It had inflated the money supply by 61.8 percent between 1921 and 1929 and created a massive inflationary bubble that imploded on that black day in October.
There was also a Black Friday on September 24, 1869, when two gold speculators, Jay Gould and James Fisk, cornered the market on the New York Gold Exchange. The scandal resulted in the Grant administration being called the Era of Good Stealings. It was an early demonstration of how the stock market can be manipulated.
Academics and establishment media talking heads like to say the Great Depression was caused by the excesses of free market capitalism. In fact, it was created by the Federal Reserve and its conniving cartel of banksters.
Debunking the popular myth, Julie Borowski cites the economist Henry Hazlitt who wrote that “worse than the slump itself may be the public delusion that the slump has been caused, not by the previous inflation, but by the inherent defects of ‘capitalism.’” The slump was, in fact, created by the Fed with its notorious whipsaw economic policies of artificial boom and bust.
Another economic catastrophe is now in the works and it looks like it may be set into motion by China. It has called for a “de-Americanized” world where the dollar is no longer the global reserve unit. China is now the largest single holder of U.S. government debt with 26 percent of all foreign-held U.S. Treasury securities, which represents 8% of total U.S. government-generated debt.
“Foreign investors in U.S. dollar assets have seen big losses measured in dollars, and still bigger ones measured in their own currency. While unlikely, indeed highly improbable for public sector investors, a sudden rush for the exits cannot be ruled out completely,” warned the bankster elite from their tower in Basel, Switzerland, after the plug was pulled on the economy back in 2008.
When China and other debt holders finally back away from the dollar, “the consequences for the U.S. economy will be absolutely catastrophic and every single American will feel the pain,” writes Michael Snyder. “The standard of living that all of us are enjoying today depends largely upon China. They can bring down the hammer at any moment and they know it.”
For now, crowds of ebullient consumers are reveling at Walmart, a store packed to the rafters with cheap flat screen televisions and other electronics manufactured by China’s labor gulag slaves. The good times continue to limp along on the sputtering tail wind of the greatest economic expansion in history. That wind will soon stop blowing. When it does we will all experience the greatest single bust in the history of the world.