Legendary speculator Doug Casey argues that Deep State is the entity most responsible for America’s stagnant economy.
In an article for Casey Research, he highlights some troubling macrotrends after America went off the gold standard in 1971. Since then, he contends that real wages have been falling in America. Central banking has largely contributed to the business cycles where distortions and misallocations of capital occur. By debasing the currency and generating inflation, the Federal Reserve creates cycles of economic instability in the U.S.
One of the primary beneficiaries of this distorted economy is the Deep State. Casey “argues that The Deep State is the source of every negative thing that’s happening right now.” In normal circumstances, misallocations caused during the business cycle would be effectively liquidated, which leads to an eventual correction. However, the creation of trillions of new currency units through excessive money printing delays this necessary liquidation.
Casey has been one of the more insightful international speculators during the last few decades. His knowledge of economic and politics is second to none. He nails it when declaring that economics problems are “caused directly and indirectly by the State, through its wars, taxes, regulations, and inflation.”
One of the more powerful insights about the Deep State is that it’s nothing new from a historical perspective. Ancient Rome, Byzantium, and the Ottoman empires had their own forms of Deep States. America is just another historic superpower that is embracing this trend. The firmly entrenched bureaucracy that is part and parcel of the Deep State all but assures that the same agenda of control stays intact regardless of who’s in power. Casey describes the Deep State as a metastasized cancer, which can “no longer be easily eradicated.”
Trump is witnessing this dynamic firsthand with the likes of John Bolton and Mike Pompeo actively undermining his foreign policy from within. Casey astutely observes that the Deep State is a government within a government. He described it as the following:
It’s composed of top-echelon employees of a dozen Praetorian agencies, like the FBI, CIA, and NSA… top generals, admirals, and other military operatives… long-term congressmen and senators… and directors of important regulatory agencies.
One thing that Casey notes is that the “Deep State is much broader than just the government.” In the Trump era, this is particularly germane when witnessing how corporate interests are attacking dissident conservatives through social media deplatforming and de-banking.
This shows the importance of winning battles not just in the political sphere but also in the business and cultural front. That’s why we’ve seen the Left direct its efforts outside of politics towards venues like the church, corporate boardrooms, and educational institutions.
Liberty activists will not only have to put in a lot of work, but also adopt their strategy to a changing political landscape.