Obama to Let the Cat (Iran) Out of the Bag (sanctions)

World Economy Collapses for first Time Since WWII

With Global trade sliding, as world demand contracts by 2% this year, 2009 will be a dangerous time in the geopolitical setting, Robert Zollick President of World Bank told a forum in Brussels March 21.

Historically, armed conflicts often occur during a severe  financial crises, and with the collapse in value of financial assets of the magnitude and breadth of the current crisis the danger of war in the middle east is quite plausible.

As Government bonds and corporate bonds are headed to or on the verge of collapse in 2009 due to the trillions in American and other debtor nations wild spending policies around the world, Politicians will finally face the reality that they have bankrupted the World economy.  America by  increasing greater long term debt will find that its debt cannot be serviced without increasing interest rates as the World competes for shrinking currency and the market interest rates rise to meet this competition. Be prepared for the coming double-digit interest rates, no matter what the government does to try and force consumer spending to spur the economy.

Obama likens himself to FDR, who facing the same depression era tactics as adopted by FDR, is coming precipitously close to armed conflict in the Middle East.  By using the present time in our economy to perform on Jay Leno one day and air his broadcast to Iran on the next, who in Iran is going to believe that this passive liberal will have the courage to face the tiger whose tail he is pulling?

Meanwhile, back at the Messiah’s pulpit, Obama has opened the door to aggression by Iran due to his weak message yesterday to that nation.  Iran only understands strength and power.  When Ronald Reagan was elected President defeating Jimmy Carter, Iran let they hostages go free immediately.  Iran fears men who keep their word and have the ability to back it up.  Obama’s message showed weakness in Middle Eastern terms by opening direct negotiations with Iran, indicating that diplomatic relations be restored between the US and Iran, based on  ”honest” engagement and “mutual respect.”

Iran’s reply to the Presidents message, “What is the change in your policy?” “Did you remove the sanctions? Did you stop supporting the Zionist regime? Tell us what you have changed. Change only in words is not enough.”

Iran can see that America is weakened by the economic collapse, and its teleprompter  President has no executive experience, his naivety at throwing an olive branch to Iran’s leaders with no mention of liberty and freedom for its people was a major blunder. Iran is ready to expand its military and dropping economic sanctions will give it the opportunity to purchase the war equipment it so desperately needs.  With Iran buying who on the world market is selling? Everybody!

Iran needs spare parts for its military especially the air force to deliver their weapons of mass destruction.  They need parts also for their nuclear program to arm warheads it says it does not have but that it is obvious they do, and are prepared to use them against Israel.

President Obama has entered a cat and mouse game with Iran.  Only because of US fear of Iran’s uranium enrichment programme has the President made this overture.  The mouse in fear of the cat must use his mantra of change to convince the cat not to eat him and his friends.