We’ve all seen the empty shelves in our stores and have had to adapt and substitute as everyday items that we’ve long taken for granted are suddenly out-of-stock. And we’ve heard the stories and seen the pictures of massive back-ups at our ports – shipping containers stacked high and dozens of cargo ships anchored off-shore, waiting to be unloaded. The global supply chain is in chaos. The Covid pandemic is taking the blame because the globalists who created the global supply chain don’t want you to understand the real issues.
The global supply chain is a “system” and, like any system, requires controls to keep it stable. The more variables there are in a system, the more difficult it is to control. Take your car, for example. Maximizing your fuel mileage requires a computer that adjusts the fuel-to-air ratio to any given combination of conditions – air temperature, engine temperature, octane rating of the fuel, throttle position, oxygen level in the exhaust, and so on. When your car is first started, all of these variables are in such a state of flux that it’s impossible to control in such a way that minimizes your fuel consumption. So your car runs in “open loop” mode until the variables settle down. Only then does it go into “closed loop” mode where the computer (using that “chip” you hear so much about that is in short supply because of the global supply chain chaos) can actually fine tune the fuel injectors and spark timing. Any disruption in any variable that’s out-of-range will cause the computer to throw up its hands and default back to open loop mode and your “check engine” light comes on.
That’s just your car. Now think of more complex systems. Think of nuclear power plants, for example. Maintaining precise control is absolutely critical. Loss of control can result in a core melt-down which isn’t just a matter of life and death, it’s an existential threat to everyone and everything within a huge radius. Everything has to work perfectly. Sometimes it doesn’t. A weather event, a power failure, a failed cooling pump, a crack in a pipe, a failed valve and pretty soon you have a Three Mile Island, a Chernobyl or a Fukushima.
Complex systems that experience loss-of-control can deteriorate until they experience a catastrophic failure. Control algorithms can be developed to reduce the risks to an infinitesimal level, but the risks can never be completely eliminated. So there must also be plans in place to mitigate the destruction and clean up the mess.
With all that said, let’s now look at supply chains. You’re a company that needs a widget. You go to a widget manufacturer down the road. “Sure, I can supply you with your widgets. Tell me how many you want and when you need them. Here’s your price.” Pretty simple. Not a global supply chain, though. There’s nothing simple about that. In fact, there may be nothing more complex. The variables are almost infinite. Your manufacturer may be in China, and has a whole supply chain of his own to manage just to make your part. Then there’s obtaining a shipping container, transporting it to a port in China, obtaining and loading a cargo ship, traversing a stormy ocean, dealing with customs, unloading at the port on the west coast, loading your container onto a truck and, after your container has made its way from one distribution center to another, with multiple carriers involved, it’s supposed to make its way to your door just in time – just as you’ve used the very last widget from the previous shipment.
A failure anywhere along the line can throw your whole supply chain out-of-control. So why would you set up such an elaborate supply chain? Sure, the labor may be cheaper at your manufacturer in China, but all of that around-the-world shipping doesn’t come cheap. The fact is, it isn’t cheaper. So why don’t you just get your widget from a local source? Because there isn’t any. There used to be, but they were driven out-of-business by the global supply chain. Wait, you say. That doesn’t make any sense. If the supplier in China isn’t cheaper, then how did they drive the local supplier out of business? They did it by selling at a loss. Why would they do that? Because the purpose of globalism isn’t to reduce the costs for American companies. The purpose is to establish an economy in third world countries, like China, where they have four times as many consumers as the U.S., and turn them into U.S.-style consumers. That way, sales volumes and profits for global corporations grow four times as fast as they would have if they focused only on the American market.
Look at these charts, updated through August, the latest month for which trade data is available: https://petemurphy.files.wordpress.com/2021/10/balance-of-trade.pdf, https://petemurphy.files.wordpress.com/2021/10/manfd-goods-balance-of-trade.pdf. The first is a chart of our overall trade deficit. It’s a perfect representation of the state of our supply chain. Stable until the onset of the pandemic, it’s now out-of-control. If this were a chart of a nuclear power plant’s reactor core temperature, rising as fast as the trade deficit is rising, you’d be in a state of panic if you were an operator at that plant, and lights in the control room would be flashing red. The 2nd chart is more narrowly focused on our deficit in manufactured goods. It, too, is out-of-control, though in recent months it’s begun to show signs of stabilizing. Are trade policy changes enacted under Trump – the USMCA agreement with Mexico and Canada and the tariffs on Chinese imports – showing signs of having the desired effect of boosting domestic production? Or are we seeing signs that companies are awakening to the follies of the global supply chain? It’s too early to tell.
The global supply chain is in a state of “melt-down.” The crisis is more likely to get worse than improve. Thousands of businesses are responding by increasing orders in reaction to their empty shelves and are scrambling to find new suppliers. A few major retailers are bypassing the shipping companies by chartering their own ships. All of this will add to the chaos. However, perhaps the biggest factor working against regaining control of the supply chain is the fact that the main purpose of the global supply chain isn’t supplying us with goods at all. The real purpose of the global supply chain is to tilt the balance in favor of the “developing world” in the global war for employment. The economies of badly-overpopulated nations need to be propped up with manufacturing-for-export in order to employ their bloated labor forces and maintain political stability. As the supply chain chaos begins to unravel that grand plan, nations and global organizations like the UN, the IMF the World Bank and others will begin to react in ways that aren’t necessarily productive toward restoring stability to the supply chain. It’s impossible to predict the effect on such a complicated, out-of-control system.
As proof that powerful global forces are at work shoving the “global supply chain” model down our throats, consider this. We’re subjected to a daily drumbeat of warnings of an existential threat posed by carbon emissions. So dire is the threat that our energy industry must be converted to wind and solar and our auto industry must become all-electric, they say. Beyond that, elaborate plans are underway to “capture” CO2 from the atmosphere and from smoke stacks and to store it in underground caverns, in tanks, or anywhere they can hide it. Yet, you never hear anyone utter a single peep about the fact that the vast fleet of ships plying the oceans as part of the global supply chain consume five billion barrels of oil per year – not gallons – barrels. Those are emissions that could be completely eliminated by returning the world to a domestic supply chain.
Nor do you hear a single peep about the role of out-of-control population growth. No one bothers to even ask the question, “What will we gain if we reduce per capita oil consumption and carbon emissions by 50% if we double the population?” Globalists don’t want you to think that far. They deceive you into believing that the existential threat of climate change can be controlled by elaborate plans for reshaping our entire economy, and by throwing around oxymoronic terms like “sustainable development” so that you won’t begin to ask about simple, cheap fixes like returning to domestic supply chains and stabilizing the population. Those simple, cheap fixes would pose a threat to what they’re really concerned about – big profits available from developing third world countries and never-ending population growth. They think we’re all idiots.
As an aside, I went to a home improvement big box store this week to purchase a shop light to replace one that I use throughout my basement and garage for lighting. To my dismay, I discovered that all such lighting has been converted to LED. You can still get flourescent bulbs for your existing light fixtures, but new flourescent fixtures are no longer available. This particular store used to stock at least 20 of these basic shop lights because, as you can imagine, there was a constant demand for them. But they didn’t have any of the basic 4-foot, two bulb shop lights available in the new LED design. I went home to search online for stores in the area might have them in stock. Not a single store in the whole metropolitan area had a single one in stock! Supposedly, I can get one within a couple of weeks if I order.
Doing some research into these new LED light fixtures, I made another interesting discovery. Every single LED light bulb, regardless of its configuration, uses a “chip” to make it work. Think about that. Just converting lighting to make it more efficient requires an additional billions of “chips” per year (which will add to our landfills), and now we can’t get enough chips to build cars. The entire world has gone mad.