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Our Age of Revolution
There's an old Chinese theory according to which the best way to understand historical events is not to reconstruct the sequence of "causes" by which the events were "produced," but rather to look at the unique characteristics of the moment in which the events occurred. I know there's an old Chinese theory for most anything, but this one has stayed with me ever since I first read about it in an essay by Carl Gustav Jung, and back in the Eighties it occurred to me that Pope John Paul II had understood its wisdom. The pope once remarked that there were times when dramatic change was impossible, and at such moments anyone who tried to achieve it was like the fool beating his head against a stone wall. But there were other times when the acts of a single individual could change the world. He knew he was living at such a time, and he saw his mission as inspiring individuals to take those actions, and change the world for the better. That was one reason why his famous call, "be not afraid," was so right for those times, and why a handful of brave individuals famously changed the world.

This historical moment is not easy to understand, since we are in transition from a relatively stable world, dominated by a handful of major powers, to something we cannot yet define, since it is up to us to shape it. It seems clear, however, that there is a greater rapidity of change, accompanied — inevitably — by the passing of the leaders of the old order. This is particularly clear in the Middle East, where seven key figures have been struck down in the past six years: King Hussein of Jordan in February, 1999. King Hassan of Morocco in July of the same year. Syrian dictator Hafez al Assad in June of 2000. Yasser Arafat of the PLO in April, 2004. King Fahd of Saudi Arabia in May of last year. Ariel Sharon of Israel was incapacitated by a stroke in early January.

The architect of 9/11 and the creator of Palestinian terrorism are gone. The guiding lights of our terrorist enemies are sitting on cracking thrones. This should be our moment.
National Review, January 9, 2006


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One Moment In Time
Category: MIDEAST
By: Pete Kendall, January 10, 2006
For Jung, the supreme task of our inner life — both as individuals and as whole cultures — is to strive to stand in intelligent relation to the unconscious. We must always treat the unconscious with great respect and caution. In the grip of an archetypal idea, our ego becomes charged up by a sense of power. In Jungian terms, the ego becomes “inflated.” This is bad enough in an individual, but if the collectivity identifies with an archetype, the result is mass psychic inflation, a populist mania.
The Elliott Wave Theorist December 1997

Revolutions don’t always come out the way they are supposed to. The author is right to suggest that there may be a larger meaning behind the deaths of so many Mideast leaders. It is a symptom of an emerging new era. But why, after admitting to not fully understanding the historical moment, is he so willing to commit the Western world to a full court press for change? The error stems from a misunderstanding of the Chinese approach, which would most likely align itself against any entanglement in a “transition from a relatively stable world.”

Jung’s view of the ancient Chinese way of thinking is described in Man and His Symbols: “As soon as we notice that certain types of event ‘like’ to cluster together at certain times, we begin to understand the attitude of the Chinese, whose theories of medicine, philosophy, and even building are based on a ‘science’ of meaningful coincidences. The classical Chinese texts did not ask what causes what, but rather what ‘likes’ to occur with what.” Over the years, Elliott Wave International’s discussions of bull and bear market heroes illustrates in countless past transitions how leadership change “likes to occur” with the change from a bull to a bear market . In 1930, for instance, at the outset of a Supercycle degree bear market, the Republicans initially retained full possession of the Congress, but then lost it when so many members died between Election Day and the first legislative session. A similar leadership wave appears to be sweeping through the Mideast now. The cause of each individual death may be varied, but to the Chinese and the socionomists, it's the  “cluster” that matters. It fits right in with a new social order. Together, the end of so many reins is a potent symbol of the movement from a large degree bull market to a large degree bear.

So, this not a a moment to be seized, so much as survived. Efforts to fill the void created by the displaced leadership will do more harm than good. Iraq is a perfect example. Essentially it represenets an effort to  forcibly extend the benefits of a great bull market -- when that bull market is all but expired. It must be so because the only time anything so preposterous would be attempted is in the exhaustion phase when the “charged up” “sense of power” that marks the end of a old bull market is strongest.  As EWT discussed back in 1997, episodes of mass psychic inflation never end happily. The effort will lose air at a rapid rate in the next phase of decline.

The reference above to Pope John Paul is an appropriate one. Interestingly, the pope is another recently deceased vanguard of the old bull market. His death in 2005 only reinforces the point; this is probably one of those periods when forcing the issue is the course of the “fool beating his head against a stone wall.”

Additional References
The Elliott Wave Theorist(by Anne Crittenden), , December 1997
What really drives a mania is the deepest level of the mind: the vast psychological powerhouse that we all share as members of the same species; this was called by Jung the “collective unconscious.” Jung believed that even highly self aware individuals are far more influenced by this collective psyche than they ever imagine. …The classical world talked about these mysterious psychological forces that could erupt from time to time as deities who must be respected because of their power to suddenly strike us down. Jung, who greatly esteemed the psychological insight embodied in classical mythology, held the same attitude. For him, the supreme task of our inner life — both as individuals and as whole cultures — is to strive to stand in intelligent relation to the unconscious. We must always be aware of the fragility of our rational capacity and must treat the unconscious with great respect and caution. If this is not done, individually, our ego can be seized and enthralled by an archetypal unconscious influence. In the grip of an archetypal idea, our ego becomes charged up by a sense of power. In Jungian terms, the ego becomes “inflated.” This is bad enough in an individual, but if the collectivity identifies with an archetype, the result is mass psychic inflation, a populist mania.
The Elliott Wave Theorist (by Anne Crittenden), December 1997
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