New Study Informs Burning London That Austerity Breeds Social Unrest

The title of this post could just have easily been “Study Supports What we Already Know,” but that was probably a little too vague. Of course austerity breeds social unrest, that’s a bit like saying smoking cigarettes often leads to lung cancer. Perhaps it’s to be expected that researchers take a bit longer, in this case almost a century, to demonstrate what common sense already leads one to believe.

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Dagong Strikes Again: Cuts UK Debt Rating Once More

Beijing-based Dagong Credit Rating Co. is China’s leading credit rating agency and, despite the limited international influence of its ratings, it keeps pumping out sovereign debt downgrades for the industrialized West.

The latest nation up… or down as the case may be… is the UK. It was already cut from its triple-A standing — as indicated by ratings from US agencies — to AA- in Dagong’s first headline-inducing ratings release. Recently, the UK has again been downgraded, this time to A+ with a negative outlook, due to its deteriorating solvency.

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Asian Tiger Sinks Teeth Into Gold

The World Gold Council (WGC) released its quarterly “Gold Demand Trends” report last week and, as always, it was filled with fascinating data on the strength of the global gold market. Gold demand grew 11 percent to 981.3 tons during the first quarter of 2011, worth $43.7 billion at quarter-end’s price levels.

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UK Memos Reveal Iraq Invasion, Oil Industry Ties

Open acknowledgment has yet to surface quite the same way in the US, but the UK has now readily exposed — in over 1,000 Freedom of Information documents — that, at a minimum, five meetings between UK public officials and BP and Shell representatives took place in 2002. In a series of post-invasion contracts, 50 percent of Iraq’s 120 billion barrels of oil reserves were snapped up by industry participants including China National Petroleum Company and BP.

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The 1st Great War of 21st Century Has Begun!

It is a bad science fiction movie written by mad political scientists.

Exactly eight years to the day that President George W. Bush took America and his “Coalition of the Willing” to war with Iraq, President Barack Obama has taken America and his “Broad Coalition” to war with Libya.

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Startling Increase in UK Food Price Inflation

Because of rapidly rising commodity costs the UK has experienced its quickest rate of food price inflation this year during the month of August, according to the British Real Consortium. In particular, wheat and sugar are two key ingredients behind steeply increasing expenses for food makers.

According to Bloomberg:

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Unemployment in the UK Hits a 15-Year Record

Official data out today has revealed that the UK has reached a new 15-year record level of unemployment at 2.5 million. Despite a decrease in the number of people taking jobless benefits, the unemployment rate still rose to 8 percent its highest rate since 1996.

According to the Times:

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Conflict Over UK Budget may Lead to Economys Irreparable Damage

The UK’s plans for cutting its budget deficit have come under harsh criticism in a new report from the European Commission. The Commission does not see the UK’s current strategy as being aggressive enough to make a 2015 deadline according to EU rules. On the other side, the UK Chancellor Alistair Darling believes that deeper cuts to government spending would chance a return to recession.

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US, UK, Japan on the Fiery Hot Seat, Heres Where to Invest Instead

Pimco manages the world’s largest bond fund, and its co-CIO & founder Bill Gross has recently posted an extra hot spotlight of scrutiny on the US, the UK, Japan, Italy, France, Spain, Ireland, and Greece. They are all in his “ring of fire” chart, which depicts the countries most vulnerable to slowed economic growth due to their excessively high levels of public debt. This chart is scorching…

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