Scandanavian nations as well as England.
A Sad End to the American Era??
Greatly accelerated by the policies of Barack Obama and his progressive supporters, the bankruptcy of the United States is now a fact of life. The only questions left are A. how and when the masses will become aware of it and B. Will there be an honorable rebound or complete chaos as a result. Rajjpuut has long been warning about the ills of big government, unconstrained spending and of the deliberate betrayal of the country by the progressive-wing of the Democratic Party.
When the American Dollar loses the position it’s held for the last sixty years as the world’s reserve currency; virtually immediately a shift toward large-scale inflation will be incurred. How will you know that the curtain’s coming down on the American Greenback? Here are seven likely warning signs marking the end of the global U.S. Dollar standard (for most Americans that would mark the figurative “end of the world”) based upon historical antecedents in other countries which have seen their own currencies destroyed:
Warning Indicator #1: the price of gold will begin to accelerate toward it’s natural balance level of $12,000 per ounce.
Since the price of gold has already risen over ten consecutive years some say gold has already achieved the acceleration required to prove the point. Others might be suspicious, “If it’s risen that much, isn’t it time that gold started to drop, no investment always goes up.” True, true, but when a currency is being deliberately devalued by its government, gold and silver always get much more valuable compared to that country’s money; and make no mistake, the United States has been deliberately devaluing the Dollar for roughly the last 28 months; and incidentally devaluing it for roughly the last 45 years. Normally markets and the price of commodities fluctuate all over the place as time passes. But the steady rise of gold (the world’s preferred money) as it is priced in dollars over such an extended time period shows that the dollar is not being taken seriously by knowledgeable people.
Warning Indicator #2: Government’s deficits and liabilities are out of control and the interest on the national debt becomes a major source of deficit increase.
Because the deficits of the United States government are right now well over $1.3 TRillion annually; our national debt has doubled since 2005; our total national debt is over $14 TRillion; and UNfunded liabilities without counting items like welfare and food stamps have now reached $112 TRillion . . . it’s a safe bet that this benchmark has been passed. By the way, even the numbers we’re fed are absolutely false. Did you know that the government counts all $850 billion of payroll taxes (Medicare and Social Security) as current income when we all know that the money in question is supposed to be a “set aside” marked for its intended use only rather than included as “general revenue.” If you or I or any business carried on their accounting this way, jail-time would be in the offing, but our government has been handling things this way as far as the Social Security "set-aside lockbox" for nearly 80 years. That's why UNfunded liabilities for Social Security, Medicare and the federal side of Medicaid amount to $112 TRillion, twice the Gross Domestic Product (GDP) of the entire world.
Warning indicator #3: Spending gets so out of control that generating high enough tax revenues to deal with federal spending becomes impossible.
Annual deficits are no longer related in any way to tax revenue. Last year the Democratic-controlled congress refused to pass a budget . . . their most important duty according to the Constitution . . . revenues were $1.1 TRillion and spending amounted to almost $3.7 TRillion and they want to raise the ceiling on the National Debt. Even if taxes tripled we’d still have run a significant deficit for the year . . . and yes, the interest on the debt runs to roughly $170 Billion yearly . . . all of that’s a sign that the crisis point has been passed.
Warning Indicator #4: The political class begins to bail out and in doing so takes care of their cronies and of the masses to keep them under control -- all at the expense of the middle class.
Right now federal government unions; state and municipal unions; and other special interest groups are looting the U.S. and the 50 state treasuries. The Obama $787 Billion stimulus cost us a lot of free market real jobs, but the looters maintained and grew the government enormously while the rest of us suffered. $200 Billion per year is wasted on just the federal pensions; welfare amounts to $450 Billion per year; Social Security and Medicare and the federal side of Medicaid cost $1.8 TRillion and much of those funds is tied up in fraud, abuse and waste benefitting the political class . . . none of this was ever authorized by the U.S. Constitution . . . but wait, there’s more: remember national defense; border control and roads and all the other stuff the Constitution actually said the federal government must do? That an an equal amount on “discretionary spending that was never authorized by the Constitution amounst to roughly another $2.6 TRillion . . . aha, now you see why they didn’t want to create a budget! Tell me that a $5.1 TRillion budget with a $1.4 TRillion deficit wouldn’t shock the sensibilities of all sensible Americans. This warning indicator has been passed also.
Warning Indicator #5 The government will begin creating money out of thin air.
Yes, this too has already happened. Between late October, 2008 and today, the Federal Reserve Bank has printed and electronically created “magic money” amounting to roughly 29 times the amount of dollars circulating in September, 2008. Technically speaking the 2011 U.S. dollar is now worth 3.4 pennies-worth of the September, 2008 Dollar. In other words, all those banana republics we used to laugh about . . . well, our money is becoming less valuable than theirs. As Stansberry & Associates financial advisors reminds us: “If printing money were truly good for an economy, Zimbabwe would be the world’s wealthiest country.” Yet that's precisely what we're being told by our President and by our financial leaders . . . . Our Federal Reserve Chairman Ben Bernanke has alternated between denying that he was “monetizing the debt” (a.k.a. “printing money”) and then defending the practice. Bernanke and Treasury Secretary Timothy Geithner denied the United States would ever resort to such “devaluation of the dollar” but it’s going on anyway; meanwhile Bernanke keeps busy explaining that it's not exactly "counterfeiting" what he's doing and it's actually good for the economy in the long run (not mentioning that it's a huge gamble with the future of the country and the planet in the short run). A planetwide “run on the dollar” could literally destroy our currency overnight. The whole world has warned about this; the credit-rating firms have pretended it’s not so, but expect it very soon.
Warning Indicator #6: We will not be able to repay our debts in the international community.
America’s $55 TRillion international debt amounts to $681, 178 per each American family of four. The average income of American families amounts to less than $50,000 per year. Just the interest on our international debt amounts to $34,000 per family per year. And if we resort to the printing presses to print of more dollars to pay the debt (OOOOPS, I forgot, we’re already doing that!) Then, first the interest rates for borrowing will skyrocket; then people and nations will stop loaning money to America, period. Friends, once that happens the printing presses can run day and night and there’s no helping us . . . yep, we’ve passed this crisis point, too. The world’s greatest creditor nation has within the 45 year lifetime of President Lyndon Baines Johnson’s “Great Society” which ushered in Medicare and Medicaid and dramatically expanded welfare programs of all ilks become the greatest DEBTOR nation the planet has ever seen.
Warning Indicator #7: American citizens will catch on and, discovering that debt has the potential someday to evaporate in hours, they personally will churn out new debt like a bullet-train parting the atmosphere.
Despite all the talk of the American consumer “cutting back” and practicing austerity issuance of new debt in the United States is soaring. Public and private debt both reached record levels in 2010. The potential is that the economy will twist inside-out if this practice continues. This is the only one of the seven warning indicators that hasn’t yet come to pass.
IS THERE, INDEED, NO HOPE?
Teddy Roosevelt, a Republican, was the first Progressive president, indeed his personal “Bullmoose Party” was officially called the “Progressive Party.” TR was, thankfully, a great American patriot and his modest progressivism actually benefitted the nation for the most part leading to modernization of the navy, for one good example and the building of the Panama Canal (the land for which was actually stolen from Colombia and renamed “Panama”; not only progressive but unethical as well). Woodrow Wilson was, up till Bill Clinton and Barack Obama, the most sinister progressive politician of them all. After running for a second term under the slogan “He kept us out of war,” within a month of his March, 1917 inauguration he put us into the European War. He left office with the nation undergoing the biggest depression up to that time. The conditions were much worse than what Herbert Hoover (another Republican Progressive) did himself in with. That late 1920 depression came to be known as “The Invisible Depression” after Wilson’s successor Warren G. Harding cut spending 49%; cut taxes 48%; and paid down the National Debt by 30% and was ended within 15 months . . . so it is possible to avert disaster but the Democrats seem to have embraced it and the Republicans must show the political will to do it pretty much on their own, with, of course, constant pressure from you and me.
Ya’all live long, strong and ornery,
^^ Purchasing a $100 face-value bag (or more) of "junk silver" might be the simplest most patriotic act you can do while saving yourself. The bag would cost roughly $2,100 - $2,400 depending upon the value of silver when you buy. IF and WHEN the currency fails, some sort of new money is going to be in high demand and the 90% silver dimes or quarters minted before 1965; are the most likely candites. To a lesser extent the 40% silver money minted between 1965 to 1970 would also be accepted as a "new currency" but not nearly so readily as they will be worth 56% less than the 90% coins.
Some more important reading:
Here’s some other key reading that’ll shake the earth under most Americans’ feet:
All the worst ideas still plaguing America (and a lot of other bad ideas as well) right now are rooted in progressivism, all of them. Think of the worst UNfunded liabilities initiated for “all the best motives” and you’ve described tyrannical progressivism to a “T.” Here are some of those ideas and the president’ in power when they began:
1. Truly Big Government: Teddy Roosevelt
2. Government Control over large land tracts: Teddy Roosevelt
3. The Federal Reserve Bank: Woodrow Wilson
4. The Income Tax: Woodrow Wilson
5. Fighting in Europe’s Wars: Woodrow Wilson
6. Government propaganda: Woodrow Wilson
7. Internment Camps: Woodrow Wilson
8. Controlling (and shutting down) the press: Woodrow Wilson
11.Ultra-high protective tariffs: Herbert Hoover
12. Huge Tax and Spend Government: Franklin Delano Roosevelt
13.Confiscation of Gold: FDR
14. Devaluing the Dollar to fill government coffers: FDR
15. Ultra-big Government: FDR
16. Social Security: FDR
17. Expansive Welfare: Lyndon Baines Johnson
18. Medicare: LBJ
21. Government Bailouts of Cities: Gerald Ford
22. Government control of Mortgage Industry Jimmy Carter
25. Expansions by fiat thrice by legislation to Carter’s CRA: Bill Clinton
28. TARP bailouts: G.W. Bush
29. Federal Government involved in bankruptcies: Barack Obama
30. Nationalized Healthcare insurance: Barack Obama
31. Government bailout and control of auto companies: Barack Obama
34. Financial control “reform”: Barack Obama
35. Bailouts of Banks and Wall Street: Barack Obama
36. State Socialism: Barack Obama
Remembering the “Watermelon-Connection” wherein ultra-socialists “green on the outside and Deep RED on the inside” want to use Cap and Trade as a stepping-stone to government takeover of virtually everything because it practically requires nationalization of all of a nation’s enterprises; requires the all-powerful central government to control all decisions about what to produce, where to produce it, when to produce, where to market it, and how . . . . isn’t it fitting that Barack Obama and progressive-elitist and would-be president Kerry are so interested in this seriously flawed “science?” And so looking over that unending list of failure every time serious government taxing, spending, control or interference is contemplated, Senator Kerry still just can’t understand why the masses of sheep are no longer following him to the slaughter house, "It's absurd. We've lost our minds," he keeps repeating.
Is “Judgment Day” tomorrow? The foolishness of our Federal Reserve Chairman, Ben Bernanke and the excesses of five “too big to fail banks” now places the entire future of America at risk . . . .
George Soros Seeks America’s Ruin
to Advance His New World Order
In the narrative that follows, two important men (George Soros and Ben Bernanke) are discussed. In fairness to Soros, he appears to be an utter scumbag who has already, via his connections to the Clintons and ACORN, helped set up America’s recent financial meltdown and potentially the upcoming one as well. That’s as fair as Rajjpuut can be. In fairness to Bernanke, he probably sees his ongoing decision as avoiding “death by saber” in preference to death by a million paper cuts. Rajjpuut would remind him that no company and no bank is literally “too big to fail” and if he were strong enough to allow five big banks to fail, that’ll probably be the best thing for the American people and the nation they love . . . let us now return to scumbag George . . . .
Billionaire currency speculator George Soros (a self-claimed ‘philanthropist’ sometimes called ‘the man who broke the bank of England’) has been quoted thusly from time to time, “Sometimes I do feel more than a little bit like God . . . it is very important for the USA to find its proper place in the New World Order . . . as things stand, the main obstacle to world stability is the United States.”
When George Soros was a 13-year old boy in Budapest, Hungary, he was a capo, a Jew set up by the Nazis to help them control other Jews. His specific job was to deliver notifications at first to Jewish farmers and businessmen and lawyers and then later to just ordinary citizens saying, they were to report to the Nazis at such and such a place, at such and such a time (to be deported to a concentration camp). George, who calls himself an atheist these days, says he feels no guilt from his collaboration but just did what he had to do to survive.
Besides making a fortune on the collapse of the British pound-sterling in 1992, George is famous as well for bringing down currencies in Slovakia, Georgia (the former Soviet SSR) and Malaysia and reportedly a few other countries where his connections are a little bit “iffy” to prove. His modus Operandi has been by using radical personalities to form a “shadow government” within the nations he targets. In our case, that Shadow Government is the ultra-progressive left of the Democratic Party.
Thanks to conspiring with Bill Clinton, ACORN, Barack Obama, and progressive American politicians everywhere, Soros seems poised to win another huge currency bet and in the case of the United States, he hopes to collect twice . . . winning tens of billions of dollars when the dollar collapses and then the ruin of the United States would bring about a giant leap forward for Soros’ New World Order led in America’s absence from the top rungs by the Chinese government’s state-capitalist/communists. Hmmmm.
Soros’ unwitting (we think?) benefactor in all this is Federal Reserve Chairman Ben Bernanke. Ben’s policy of “Quantitative Easing” (monetizing the U.S. debt by having his Federal Reserve Bank buy up treasury issues) is designed to keep interests rates as low as they’ve been in a generation . . . or even take them lower. But, but, isn’t that (combined with Bernanke’s earlier multiplying of circulating currency in the country to 15 times the September, 2008, levels) a recipe for runaway inflation and perhaps even hyper-inflation? What’s going on? Interest rates are the lowest they’ve been in 30+ years supposedly controlled by Bernanke to maintain the housing market’s fluidity and spur business investments.
The two years this policy of near-zero interest rates have been in effect; plus the nation’s massive home-buyers’ tax credit . . . business has stayed very flat and at best, housing prices have almost stabilized. Is Bernanke even less competent economically than Obama? Or could he have an ulterior motive?
Looking at business we’re not seeing capital expenditure increases or increased hiring of employees . . . just ain’t happening. Instead businesses are buying back their own stock. Why? Because the mortgage industry and the business world are both on the same page . . . the page where it reads: “This is a phony recovery.”
Compared to the spring of 2008, revenues at S&P 500 companies are 12% lower today. Expansion would be foolish under those circumstances. Businesses don’t often buy back their own stock except when a) they think the share prices are too depressed or b) they’ve got nothing better to do with the money or c) both a) and b) above are true . . . but since corporate insiders are dumping their own personal shares like rats leaving sinking rowboats . . . (insider selling/insider buying ratio during October, 2010, ranged from 210/1 up to 2000/1) implies that they believe their companies’ stock shares are way over-valued and not a bargain purchase at all, is it possible that conditions a) and c) above don’t apply here and now? And, therefore, the corporations don’t have anything better to do with their money (condition b)?
That means that Bernanke’s stated purposes are presumably a genuine crock of B.S. Why does he wish to keep interest rates so abnormally low? We return to the never-never land of derivatives and too damn big to fail. The five banks** that Bernanke and Obama have been shoring up since January, 2009 are in deep, deep, deep doo-doo. We are NOT talking chump change here . . . nominally . . .
J.P. Morgan holds derivative exposure of $73 TRillion.
Bank of America holds derivative exposure of $47.5 TRillion
Citibank holds derivative exposure of $44 TRillion
Goldman Sachs holds derivative exposure of $41 TRillion
HSBC holds derivative exposure of $2.6 TRillion
Overall, of their total derivative exposure, $188 TRillion in interest- rate derivatives is held by these five banks. Bernanke is allowing them to profit for exposing themselves to those derivatives without any risk of failure because if they fail . . . America comes close to total implosion. The recklessness of these five banks especially the first four named is absolutely intolerable. The Federal Reserve Bank’s actions have aided and abetted the worst financial malfeasance in world history. Their interest rate derivative exposure is the equivalent of allowing a terrorist to buy a lottery ticket for the opportunity to destroy the entire banking system of the world . . . yeah, you’re probably not going to lose and you get to keep his buck, but, what happens if he rolls a natural?
Banks are NOT supposed to gamble with depositors’’ money! That $188 TRillion is 13.5 times the United States’ gross domestic product and 4.2 times the GDP of the entire world. Bernanke is not protecting you; not protecting the country; definitely not protecting the dollar; and not protecting the world economy. He is protecting profit and preventing ruin for the Goldman Sachs etc. of the world who are “too big to fail” . . . in doing so, he is making tens of billions of dollars for George Soros to collect when runaway inflation hits the country and the dollar stops being the world’s reserve currency.
Is “Judgment Day” tomorrow? The foolishness of our Federal Reserve Chairman, Ben Bernanke and the excesses of five “too big to fail banks” now places the entire future of America at risk. George Soros, who is guilty of helping the progressive wing of the Democratic Party bring about the financial meltdown, is now exploiting the foolishness of Bernanke and perhaps giving a little tweak here and there by selling dollars short on the currency exchanges . . . and the big loser: you and the American Dream.
Ya’all live long, strong and ornery,
**According to the Office of the Comptroller of the Currency’s Quarterly Report on Bank Trading and Derivatives Activities for the Second Quarter 2010 (our most recent), the notional value of derivatives held by U.S. commercial banks is around $223.4 TRILLION. The five banks mentioned above account for 94% of those holdings.
As Ben Bernanke Deliberately Collapses
the American Dollar, George Soros Chortles
Within the last 18 months, both Treasury Secretary Timothy Geithner and Federal Reserve Bank Chief Ben Bernanke swore that America would never devaluate the dollar, would never resort to inflation as a way to deal with our incredible debt, would never sabotage the American people and those who hold debt instruments from the American treasury . . . . Yep, they lied. The terms “Q1” and “Q2” are now becoming familiar to Americans who do other things than watch sitcoms and “reality” shows on TV. “Quantitative easing” has taken place in both of the last two fiscal quarters.
The Quantitative Easing which Mr. Bernanke is taking us through is a polite way to say that the government is deliberately making toilet paper of your savings, pension funds, etc. That’s what the government is doing. Rajjpuut first mentioned the German Weimar Republic back in a blog in early 2004. The astute Mr. Glen Beck of the Fox News cable network has this very month said that America is now heading for a “Weimar Moment.” The Weimar Republic was the government forced upon Germany when they lost World War I. The infamous Treaty of Versailles also forced upon Germany an impossible set of reparations payments. In order to deal with the demands from the victorious French, the Germans had to inflate their currency. The Deutsch Mark which was worth 25 cents (four DM to the dollar) in 1917 deteriorated so rapidly that in November, 1923; it took 26 Billion Deutsch Marks to equal a dollar. You may also remember November, 1923, as the time when Adolf Hitler led a group of dissatisfied individuals in the so-called Beer Hall Putsch (coup d’état) trying to usurp the government of Bavaria. The resulting trial for treason made Hitler a household name across Germany. Such are the benefits of state-sponsored inflation . . . .
In October of 2008 at the height of the financial crisis, Mr. Bernanke took it upon himself (there are virtually no limits to the power of a Federal Reserve chief’s to inflict intended or unintended pain) to begin printing up money. When he was done he’d printed up 14 times as many new bills as there were dollars previously in circulation so in total: 15 times as much money was circulating as before. In effect, the potential effect on the dollar was that the 20o9 dollar was worth 6.7 cents worth of 2008 money . . . NICE!
In the summer of 2010 when it became difficult to sell American debt instruments because foreign governments were reluctant to risk buying up dollar instruments without a much higher interest rate, the federal government in the form of Mr. Bernanke’s Federal Reserve Bank began printing again and bought up some of the Treasury instruments that were on sale, about one-third of them. This is called “monetizing debt” something you’ll recall from the top of this blog that Timothy Geithner and Ben Bernanke promised would never happen. That didn’t seem to have cured the problems so now Ben’s busy again with the printing presses and monetizing more debt a.k.a. quantitative easing . . . Q1 earlier; Q2 now. Back when Q1 was going on you might recall, Rajjpuut telling Americans to buy gold or silver because paper dollars were becoming worth less and eventually might prove worthless. Now Rajjpuut says that Americans should buy things of value like gold or silver, etc. because “worthless” is the watchword for the dollar. Of course, in ignorance the stock market investors believe Q2 is a good idea and the stock market is shooting up . . . dance while you can, boys, the bill’s coming due. Aren’t you glad “they” are looking out for us in Washington?
Here is the straight skinny and Rajjpuut crosses his heart while typing this: The crisis in the world’s finances comes down to one thing and one thing only . . . a crisis in the American dollar. The U.S. National Debt is almost $14 TRillion. Unfunded liabilities (owed by the country to the citizens) amounts to roughly $110 TRillion. We are by far the greatest debtor nation the world has ever known. While scarfing down junk food and watching American Idol a few other simple facts have escaped the good citizens . . . .
ITEM: Americans are not aware that the U.S. (private controlled central bank) Federal Reserve Bank, creates money out of thin air, is the primary cause of inflation in America, abets the politicians in their horrendous spending, and abets the creation of financial bubbles in the stock market and real estate.
ITEM: The American mainstream media (MSM) are largely “controlled” by their allegiance to the progressive elements in the Democratic and Republican parties. The MSM which did not report on Climategate when it happened one year ago, has also kept the American people ignorant of the coming crisis. Call it “mind control,” if you choose. Just five or six major corporations run the largest of the media outlets. When it comes to the broadcast media: Disney owns ABC, CBS is owned by Viacom, GE owns NBC all of whom are in bed with the progressive agenda in Washington and have a vested interest in keeping Americans entertained, dumb and happy rather than informed about the truth behind Cap and Trade and the value of their dollars.
ITEM: Not only have ultra-progressive George Soros’ words and activities gone unreported, but the IMF (International Monetary Fund) and World Bank, both have already said the dollar will be devalued. However, this has never been reported in the US media.
ITEM: President Clinton’s former economic adviser Robert Reich recently told Canadians that the U.S. dollar will collapse. Again, NOT reported.
ITEM: Collapse or “devaluation” of the dollar means a decline in the dollar’s purchasing power and a huge decline in Americans’ living standard. No one wants to hold a currency declining in value so they must demand higher prices for their goods and services and can use the dollars they receive to bid up the cost of whatever they buy from America in order to get rid of the dollars they hold as quickly as p0ssible.
Item: Today, Barack Obama made several monetary deals with India. Overtly we were told it was “a natural union between the world’s two most populous democracies.” In reality, Obama seeing that China is becoming reluctant to buy dollars was looking for a trade-partner who would be more or less forced by the agreement to keep the dollar respectfully in its hallowed place as a “reserve currency” . . . thus he hopes easing some of the pain the decline will bring to Americans by sharing that turmoil with India.
Item: The world will flee to gold, silver and other precious metals; to the Swiss Franc; and even to the recently despised Euro. Commodities of all kinds can be expected to rise in price FAST.
Ultimately what can we expect? For one thing the rest of the world understands our own crisis far more than our own leaders have informed us about it. So . . . expect a run to get out of the dollar . . . call it “hot potato economics.” People are going to be eager to discard the almighty buck and to buy whatever they can with it, rather than being the last one holding it. Of course that will happen among highly aware foreigners like the Chinese government, or the governments of Russsia, Brazil, Japan and India(?) long before the man in the street in America figures it all out. So expect a brief boom in America. And expect prices of our American products especially foodstuffs to go through the roof . . . so besides gold or silver, it might be nice to have a supply of canned and packaged and non-perishable food on hand while prices are comparatively cheap . . . as a result of these sad truths, expect huge amounts of unrest in the inner cities; expect huge amounts of problems for senior citizens and others living on fixed incomes. Expect George Soros to chortle all the way to the bank . . . .
Ya’all live long, strong and ornery,
#1 Inflation is tricky and can become devastating runaway inflation and even hyper-inflation destroying a civilization.
#2 When a currency as important as the dollar starts to devalue, no other country wants to import our joblessness, so you can expect demoralizing “currency wars” where dozens of nations seek to devalue their currencies and save jobs. Japan and China have received much criticism for devaluing their currencies but their money is NOT the world’s reserve currency . . . . world chaos would ensue if serious dollar deflation was allowed.
#3 Success at devaluation is close akin to success at swallowing thumb tacks and sure to “get you in the end.” Money is a storehouse of value (some call it “frozen work”) so why not attack your brand new car with a sledgehammer? The effect is the same . . . taking something of value and making it worth less or even worthless. Even if the only effect was upon imports and exports, that would be a tragic result. 19% of the U.S. economy is tied up with imports, drop the value of the dollar and 19% of what we buy becomes much more expensive.
In effect, the OJCP Obama Jobs Creation Program is just making us all much poorer. It’s not exactly sawing a lady in half to create jobs by making the country poorer . . . the magic comes from creating jobs by making us all wealthier like Donald Trump and Bill Gates do . . . not only making themselves richer; but making their stockholders richer; and their workers richer; and providing deep value to their customers. That’s the magic of capitalism which Barack so hates. Remove the minimum wage; remove health care and all benefits; make everyone on unemployment work for $5 daily and you’d have full employment in a month . . . and a much poorer nation as well for at least the three years it would take for a booming capitalism to regenerate our prosperity.
Everyone knows the following discussion is the truth . . . think of it as you ponder what you’ve learned already about the evils of devaluing the dollar:
Many have had to settle for lower wages to keep their jobs.
Many have had to settle for lower hours to keep their jobs.
Many have had to settle for part-time work to keep their jobs.
Many on part-time schedules have found themselves ineligible for the benefits they’ve formerly received.
Many have lost their jobs.
Many have lost higher paying jobs and now work elsewhere for less.
Or they've lost higher paying jobs and can only find work that pays less for mandatory unpaid overtime.
Many have had to take two or three jobs to survive working up to 90-100 hours weekly.
Many lost co-pays, deductibles, or seen eligibility times soar on their health insurance.
Many find that employers can longer match their401(k) contributions.
Many older workers have found themselves dispensible.
Many have lost their pensions.
Some workplaces where experienced older workers are valued have instituted two-tier wage systems. New hires get far lower wages and far less benefits.
Wage-freezes attack many workers in the long run as inflation eats into their present constant wage.
What does this mean? It means that anyone can create jobs by making everyone poorer, no struggle at all. The magic comes from capitalism creating not only more jobs, but better and more valuable jobs. The goal isn't just more jobs, Mr. Obama. It's about creating more jobs that pay enough to improve our living standards. Using a dramatically weakened dollar to create more jobs doesn't really help us.
** if we had Cap and Trade laws in effect right now, the immediate effect would be 67% inflation on average and inflation on food, electricity and gasoline and other necessities closer to 100%. Where does that 67% inflation figure come from? Founder and President of the Chicago Climate Exchange Richard Sandor (other influentials involved include Obama, Franklin Raines, Joel Rogers, John Ayers, Valerie Jarret, etc. and the Chicago ShoreBank supported by Hillary and Bill Clinton as well as ten or more progressive foundations financed by George Soros) put the value of Cap and Trade as an industry at $10 TRillion. In good times the real U.S. economy amounts to $15 TRillion. On paper, that means that selling blue-sky nothingness (that’s what Cap and Trade basically does) is “worth” 67% of the real U.S. economy. So in a $25 TRillion economy including Cap and Trade . . . 40% of the economy is literally “nothing” and that 40% is being stolen from the real economy by the crooks running the CCX. Note: Obama said directly in an interview with the San Francisco Chronicle that his energy plan would “bankrupt the coal industry” and “necessarily make electricity prices skyrocket.” So it’s actually far more likely in reality that the whole U.S. economy would amount to $20 TRillion and half of that economy would be Cap and Trade not only running prices up 100% but reducing the standard of living by 33% at least.
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