You may be surprised to learn that a marginalized, lowly blogger (me) has magical powers. It's not something I display in public, for self-evident reasons, but when two young friends, M.K. and K.K., expressed extreme skepticism, well, I was forced to display some wushu magic. Oh ye of little faith....

Don't ask--it's magic. The technique will be familiar to anyone who has practiced the esoteric Taoist arts, and after much pleading and cajoling, I revealed one basic technique to the young ladies.

To my chagrin, they both quickly mastered what had taken me years of arduous effort. M.K. shows me how it feels to be on the receiving end--ouch:

K.K. blasts her sister big-time:

OK, it's not quite magic. Like many other cutting-edge fads, such as money-printing to infinity, this type of faux manga-style martial arts began in Japan:

Latest Japanese Schoolgirl Trend: Fake Dragon Ball Attacks.

But let's talk a bit about real magic. Science fiction author Arthur C. Clarke's Three Laws famously include this one:

Any sufficiently advanced technology is indistinguishable from magic.

As evidence, I present the S&P 500 from January 1, 2013 to the present, April 12, 2013:

Don't ask--it's magic. Some of the potions and incantations have been leaked, of course, for example POMO and the pre-open purchase of E-Mini contracts, but like any good magic, the real techniques are secret.

As a result of the stupendous rally in the SPX, I propose a Fourth Law:

Any sufficiently advanced cartel's actions are indistinguishable from magic.

Things are falling apart--that is obvious. But why are they falling apart? The reasons are complex and global. Our economy and society have structural problems that cannot be solved by adding debt to debt. We are becoming poorer, not just from financial over-reach, but from fundamental forces that are not easy to identify or understand. We will cover the five core reasons why things are falling apart:

1. Debt and financialization
2. Crony capitalism and the elimination of accountability
3. Diminishing returns
4. Centralization
5. Technological, financial and demographic changes in our economy

Complex systems weakened by diminishing returns collapse under their own weight and are replaced by systems that are simpler, faster and affordable. If we cling to the old ways, our system will disintegrate. If we want sustainable prosperity rather than collapse, we must embrace a new model that is Decentralized, Adaptive, Transparent and Accountable (DATA).

We are not powerless. Not accepting responsibility and being powerless are two sides of the same coin: once we accept responsibility, we become powerful.

Kindle edition: $9.95       print edition: $24 on Amazon.com

To receive a 20% discount on the print edition: $19.20 (retail $24), follow the link, open a Createspace account and enter discount code SJRGPLAB. (This is the only way I can offer a discount.)

---

NOTE: gifts/contributions are acknowledged in the order received. Your name and email remain confidential and will not be given to any other individual, company or agency.

Thank you, Bejoy O. ($5/month), for your wondrously generous subscription to this site -- I am greatly honored by your support and readership.

Thank you, David C. ($20), for yet another splendidly generous contribution to this site -- I am greatly honored by your steadfast support and readership.

---

"This guy is THE leading visionary on reality. He routinely discusses things which no one else has talked about, yet, turn out to be quite relevant months later."
--Walt Howard, commenting about CHS on another blog.

---

Or send him coins, stamps or quatloos via mail--please request P.O. Box address.

Subscribers ($5/mo) and contributors of $50 or more this year will receive a weekly email of exclusive (though not necessarily coherent) musings and amusings.

At readers' request, there is also a $10/month option.

What subscribers are saying about the Musings (Musings samples here):

The "unsubscribe" link is for when you find the usual drivel here insufferable.

Your readership is greatly appreciated with or without a donation.

---

All content, HTML coding, format design, design elements and images copyright © 2013 Charles Hugh Smith, All rights reserved in all media, unless otherwise credited or noted.

I am honored if you link to this essay, or print a copy for your own use.

Terms of Service:
All content on this blog is provided by Trewe LLC for informational purposes only. The owner of this blog makes no representations as to the accuracy or completeness of any information on this site or found by following any link on this site. The owner will not be liable for any errors or omissions in this information nor for the availability of this information. The owner will not be liable for any losses, injuries, or damages from the display or use of this information. These terms and conditions of use are subject to change at anytime and without notice.

                                                                         
blog     My Books     Archives     Books/Films     home