America: Heading for Revolution

Occupy Wall Street is only the beginning...

THE PROTEST MOVEMENT Occupy Wall Street (OWS) goes on in America. Meanwhile, 70,000 Greeks "clash with police."

People are upset. They know something is wrong. But they don't know what, says Bill Bonner, founder of the Daily Reckoning.

The real explanation is too complicated. They won't sit still for it. So, they look for scapegoats — the rich...the banks...the Chinese.

There's a joke making its way around the Internet. Goldman Sachs has decided to try to profit from the OWS protests. They've set up a "Rage Fund" that will invest in companies that make police batons, pepper spray, bandages, and glass windows.

It's a joke. But it may turn out to be a good investment strategy.

We've made a number of big predictions here in The Daily Reckoning. Some of what we've foreseen has actually come to pass — the crash of the tech bubble...the collapse of the housing market...the Great Correction. Some of what we've forecast has not yet happened. Some never will.

But here is our most audacious forecast yet: the US is headed for ruin and revolution. The revolution will almost certainly be put down, violently. But the ruin cannot be stopped.

Yes, dear reader, the empire is following its natural course...with the zombies in control and the debt slaves whispering treason. It can't afford enough bread to keep the popolo minuto (the little people) happy. It will be forced to get tough on them. It is only a matter of time before the secret police round up the ringleaders and disappear them. Heck, the Obama government has already decided that it has the power to kill citizens without any due process of law. What's to stop it from killing lots of them?

A friend of ours in Argentina explains:

"Everybody is very critical of the generals in Argentina for putting down the radicals in the '80s. But they had to do it. These guys were kidnapping people. Robbing banks. Murdering people. I was still at school then. I remember that the father of a friend of mine was kidnapped and killed. The police came to school and took the kid away to protect him. They had to do something. The country was sinking into chaos."

The US will have to do something too. At least, that's the way most people will see it. It will be "at war" with its malcontents. When you declare a state of war — as demonstrated by the Bush and Obama regimes — you can get away with anything.

The US will continue its program of circuses overseas too. It would make much more sense to bring the troops home and shore up the nation's finances. But empires don't back up. And they always manage to find some jackass to lead them where they need to go — to their own destruction.

Today, the revolution is a simmering cauldron of greasy misunderstandings and unappetizing conceits. But the fire beneath it is real. It is the heat given off by a system that no longer works.

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Bill Bonner is founder and owner of Agora Inc., one of America's largest consumer newsletter publishers. Best-selling author and globe-trotting correspondent since 1999 for the Daily Reckoning email, he is chairman of family-wealth advisory Bonner & Partners, and co-author with his son Will of Family Fortunes: How to Build Family Wealth and Hold Onto It for 100 Years (Wiley, 2012).

See full archive of Bill Bonner articles

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