News Review - 20 Mar 2020
Coronavirus The Black Swan

It came out of a clear blue sky… we have been hit by a rare and unpredictable occurrence that is beyond what is expected and has severe consequences.

Coronavirus… The Black Swan

As the virus spreads around the world, the mainstream media concentrates on the medical side. There is another side to look at – the financial side.

Coronavirus could result in Global Economic Collapse

Whoever came up with the idea of the global village clearly never thought about how a disaster in one part of the village would affect all the other residents.

The 2008 global financial crisis is a prime example of why interconnecting the entire planet’s financial health is a seriously bad idea. Depreciation in the subprime mortgage market in the United States resulted in the collapse of investment bank Lehman Brothers, and like a series of dominoes, one bank after the other around the world started failing.

The crisis that followed, now known as the Great Recession, created economic havoc across the globe, and it took years for the world’s economy to regain some semblance of balance. Now, another global economic disaster could be looming, this time because of the microscopic coronavirus known as Covid-19, which has infected over 72,000 people and claimed more than 2,000 lives in just a few weeks. Of course, the primary focus of the media has been on the spread of the disease and what measures different countries have put in place to contain it.

There is widespread fear that Covid-19 could eventually become a global pandemic that claims millions of lives. But this virus has the potential to be devastating in another way, too: It could result in a global economic meltdown and could severely impact the availability and cost of thousands of essential products from China.” ( theorganicprepper.com)

Another Problem With The Global Village…

Here is what happens when “friends” fall out!

“An article in China’s state-run Xinhua news service last week threatened to impose restrictions on medical exports so the United States will be ‘plunged into the mighty sea of coronavirus.’ The Xinhua piece, published on March 4 and entitled ‘Be Bold: The World Owes China a Thank You,’ was largely composed of standard Chinese Communist Party propaganda about how the world stands in awe of China’s amazing response to the coronavirus outbreak. Naturally, it neglected to mention how the virus ran wild in the first place because of Chinese bureaucratic incompetence and cover-ups. The Xinhua article made a point of noting that China has leverage over the US and Europe because it can restrict the supply of medicines that were unwisely outsourced to China in the heyday of globalism.( breitbart.com)

The Result Of Greed!

“The coronavirus outbreak in China has exposed America’s dangerous dependence on Chinese production of pharmaceutical and medical supplies, including an estimated 97 percent of all antibiotics and 80 percent of the active pharmaceutical ingredients needed for domestic drug production. Gibson said, ‘If China shuts the door on exports of medicines and the ingredients to make them, within a couple of months our pharmacies would be empty.’

Our healthcare system would cease to function.

That’s how dependent we are.” ( breitbart.com)

Coronavirus… The Black Swan

“A black swan event is a term used on Wall Street that refers to a rare and unpredictable occurrence that is beyond what is expected and has severe consequences. It’s derived from European explorers who had previously thought that all swans were white and only white, as that was all they knew. They were overcome with shock and confusion when Dutch explorer Willem de Vlamingh discovered the existence of black swans in Australia.

The coronavirus is a black swan event, which may have serious consequences for your job, the stock market and global economy. The United States economy has been strong with record-setting high levels of employment. The stock market has rebounded incredibly since the financial crisis, increasing the net worth of many Americans.

Historically, when the stock market goes relatively straight up, there is an expectation of a correction somewhere down the road. A correction is about a 5 to 10% drop in value of stocks. It’s viewed as necessary, like clearing out the dead brush in a forest to prevent a future fire. Even the wisest minds on Wall Street admit that they can’t anticipate where the next correction will come from and what damage it may bring. It now seems that the coronavirus is that black swan event.” ( forbes.com)

Coronavirus Will Bankrupt More People Than It Kills

“Coronavirus’s economic danger is exponentially greater than its health risks to the public. If the virus does directly affect your life, it is most likely to be through stopping you going to work, forcing your employer to make you redundant, or bankrupting your business.

Worldwide, Covid-19 has killed 4,389 with 31 US deaths as of today. But it will economically cripple millions, especially since the epidemic has formed a perfect storm with stock market crashes, an oil war between Russia and Saudi Arabia, and the spilling over of an actual war in Syria into another potential migrant crisis. We may look back on coronavirus as the moment when the threads that hold the global economy together came unstuck; and startups and growing businesses like mine could end up paying the price.

Just as important as fighting the virus — if not more important — is vaccinating our economies against the incoming pandemic of panic. Human suffering can come in the form of illness and death. But it can also be experienced as not being able to pay the bills or losing your home.

All this makes it even more worrying that governments continue to see this as a health crisis, not an economic one.

It is time the economists took over from the doctors, before the real pandemic spreads.

The stakes are higher this time, because there seems to be a coordinated effort to economically hurt many Western countries, and warn them away from the aggressive trade policies that Trump has so enthusiastically adopted. This is about much more than coronavirus, oil prices, or even the global economy. This is about the balance of power between East and West. The epicenter of this has been, for the last 10 years, Syria. After a decade of conflict on the ground, the face-off seems to have now escalated from proxy war to economic conflict.” ( independent.co.uk)

Millions Of UK Jobs At Risk

“Thousands of companies and millions of jobs in Britain are at risk as the UK faces the biggest drop in GDP since the financial crisis. A senior economist has predicted that the economy is likely to contract in the coming weeks by as much as it did in more than a year during the 2008/9 financial crisis. Julian Jessop told the Daily Telegraph that GDP could drop by ‘6 percent’ or ‘even worse’ in just one quarter. He warned that a flood of bankruptcies of previously profitable companies would make a quick recovery in 2021 very unlikely. The sudden collapse in business has prompted major retailers to prepare an appeal to the Government for financial support. Kate Nicholls, the head of UK Hospitality, a trade body, said that without Government intervention, the hospitality sector ‘will run out of cash in about eight to 10 weeks’. Her comments came after some of the world’s biggest hotel chains reported a roughly 50 percent fall in room occupancy. Industry insiders say that if this continues, then many of the hotels could go out of business, leading to the loss of up to two million jobs.( express.co.uk)

Coronavirus Pandemic Will Bankrupt Nearly ALL Of The World’s Airlines

“The coronavirus pandemic will bankrupt almost all of the world’s airlines in a matter of weeks, Australian aviation experts say. With passengers scrambling to cancel their flights and carriers grounding their services, airline analysis and consulting firm CAPA Centre for Aviation warned most airlines worldwide will be bankrupt by May unless urgent action is taken. ‘As the impact of the coronavirus and multiple government travel reactions sweep through our world, many airlines have probably already been driven into technical bankruptcy, or are at least substantially in breach of debt covenants,’ CAPA said in a statement on Monday. Prime Minister Scott Morrison has advised Australians to reconsider overseas travel and all international arrivals will be forced to self-isolate for 14 days as COVID-19 continues to spread across the globe.” ( dailymail.co.uk)

The Real Problem – The Curse Of Debt

The real problem for the Western nations is that they have squandered the great wealth given them by God. Now, both the USA and Britain are up to their eyes in debt! In America’s case - $23 trillion dollars! In Britain, the national debt is close to £4.8 trillion.

Here Is What God Says…

“The LORD shall make the pestilence cleave unto thee, until he have consumed thee from off the land, whither thou goest to possess it. The LORD shall smite thee with a consumption, and with a fever, and with an inflammation, and with an extreme burning, and with the sword, and with blasting, and with mildew; and they shall pursue thee until thou perish.” (Deuteronomy 28:21-22)

“The stranger that is within thee shall get up above thee very high; and thou shalt come down very low. He shall lend to thee [$trillions] and thou shalt not lend to him: he shall be the head, and thou shalt be the tail.(Deuteronomy 28:43-44)

As Mr Armstrong wrote:

“It was prophesied in Daniel 12 that in the last days knowledge would be increased. This has been fulfilled, yet with this awesome progress we are experiencing even more appalling and continuous evils, which will culminate in the Great Tribulation ahead of us now. Then, just before humanity blasts human life off this planet, God will once again send His Son Jesus Christ. This time in power and glory as King of kings and Lord of lords to rule with all the power of the Great God and usher in utopian peace, happiness and prosperity. Thank God, Satan will then be gone.

Are you ready for the return of Jesus Christ?

Will you escape the Great Tribulation soon to occur?

Christ said to watch and pray always, that you will be accounted worthy to escape. (Luke 21:36)

Now is the time of the end.( Co-Worker Letter – January 10, 1986)