The bailouts going on are unconstitutional they have subverted our system of government and in the end they will totally destroy this nation. All government representatives that had any part in this have broken their oath to uphold the Constitution of the United States. They have made the citizens of the United States financial hostages of a world banking cartel. All involved in this coup should be charged with treason. Our system of government was set up with checks and balances to prevent just what is happening today. But the globalists, the cowards and the morally demented in the Legislative and Executive Branch of our government have given the government our founders set up away.

The Bitter Fruit of an Unconstitutional Bailout « FOX Forum « FOXNews.com

But history will be angry at them and their colleagues for betraying the Constitution. Their attitude underscores the reasons that the Constitution does not repose in the Congress the power to bail out individuals or private industry: Bailouts violate the Equal Protection doctrine because the Congress can’t fairly pick and choose who to bail out and who to let expire; they violate the General Welfare Clause because they benefit only a small group and not the general public; they violate the Due Process Clause because they interfere with contracts already entered into; and they turn the public treasury into a public trough. Worse still, Congress lacks the power to let someone else decide how to spend the peoples’ money.

As objectionable as the secretary’s change of mind has proven to be, as destabilizing as it was to the markets, as frustrating as it has been to the politicians who authorized it, it is not inconsistent with the statute that created the bailout because the Congress gave the Secretary the power to change his mind. It gave him, figuratively and literally, a blank check. In effect, the Congress delegated to the Secretary of the Treasury some of the power the Constitution has delegated to the Congress: The power to decide when, how, for whose benefit, and in what amounts taxpayer dollars should be spent.

This delegation of power to the secretary directly violates a basic principle of constitutional law: Delegated powers cannot be delegated away.

Full article

From what I read the United States is now guaranteeing $7.4 trillion in loans and bailouts and there is no end to this rising figure in sight. Our whole national debt since the nation was born is only $10 trillion. So if what they are doing does not work they could easily double the national debt in a year or two and we would meanwhile still be in a depression. Under those conditions the dollar would be finished in the world and America would be finished as a viable nation.

These people are betting the whole farm that they can get corporations and banks back in the black. If they continue to lose money many trillions of dollars will have to be created out of thin air and the dollar will be devalued until it reaches the price of toilet paper.

I think you should be informed about what the issues are and what is really going on. The Fed and the Treasury have been given unlimited money to go “all in” on this last bet to save our economy and they are putting up the whole USA as their collateral.

It was high stake gambling that got us in this mess in the first place. Almost all banks and investment institutions were gambling 20 to 50 times the value of their corporations on hedge funds and derivatives. They kept almost nothing in reserve to cover their loses thinking they could not lose. They borrowed twenty to fifty times what their corporations were worth in order to play at the tables. When the sub-prime market tanked and they lost a few bets they were too leveraged to cover them and they were bankrupted.  Since almost all financial corporations are now in the same boat they are all going bankrupt. The recession and tight lending is also making even the non speculators go bankrupt because so much wealth was removed from the system that these corporations cannot pay or even borrow money to keep their contract commitments. So the government is now stepping in and covering all corporate debt by the government. However, the government has no real money so they are using trillions of dollars of taxpayer IOU’s.

Those who gambled created huge bubbles that should never have been blown. The deflating of the bubbles is removing much wealth that really existed only because of unrealistic profit expectation. The government should have let these go out of business because once the government gets involved they insure and encourage additional unrealistic speculations.

If the government losses this final bet and the economic system keep deflating it will bankrupt the government of the United States and our government will either default on its debts or they will have to pay off their debtors with monopoly money causing a hyper-inflationary spiral that will bring a hyper-inflationary depression that could only be stopped by complete economic collapse and more depression. That is why they are in a panic.

If the government wins the bet it will be sort of business like usual but the loans from the government still have to be paid back and corporations can only do this by rasing prices, cutting workforce, and cutting pay and benefits. Thus, they will reduce the standard of living for stock holders, wage earners and pensioners and that of course lowers government tax revenues. So government deficits would stay high bringing higher interest rates for anyone still stupid enough to risk lending to the United States. If the United States keeps spending more than it collects, sooner rather than later it will bring a devaluation of the dollar and lower standards of living in the United States.

It is rather strange to me that the same people who allowed, encouraged and participated in the leveraging and speculation of banks and corporations are the same people that the government is now trusting to fix the problem. That is also true of Obama’s economic team. These are the same people with the same thinking that helped cause the problem in the first place. Now we should all trust them to go to the roulette wheel and bet the farm that the ball will fall on black? The facts are, if it falls on red we are finished as a viable nation in this world and if it falls on white it does not mean there will not be another worse crises a little down the road.

One thing I find incredible is the man who ran on “change” is putting all the same establishment people into power. You cannot get real change from the entrenched establishment elite. If they knew anything we would not be in this crises. Instead of leadership in a Democrat controlled Congress you now have a Congress that is giving out their responsibilities and unlimited power to Treasury bureaucrats and a Federal Reserve bank that is owned by the very banks it is bailing out?

One way of making Obama change is to give him a dollar. He will give you ninety cents worth of promises and ten cents in change. I always warn about “Lips Law”. Which says, that whatever a politician promises when running for office you will get the opposite after he takes office.

Obama promised change but you will get the same tired Democrat polices of the liberal Left. Probably much like that of Jimmy Carter. Obama’s slogan was “yes we can” but he will find out that he cannot with all those negative thinking people in the United States. Therefore, I predict that by the last year of his first term. That Obama will establish a national year of positive thinking.

Everyone will be told Oprah’s “Secret” that we get what we believe and what we speak in existence. Then for the next year you will only be allowed to say positive things about Obama so he can get reelected unopposed. In his second term he will create a new position more powerful that Hilary’s. It will be called Secretary of Divine Counsel. All hail Oprah and her divine earthly creation Obama. OO

I am adding this paragraph and link to a speech Dick Morris made because his speech really explains everything I said and more in a way that anyone should be able to understand. Believe me he gives a pretty scary picture. Like future hyper-stagflation, and a national health care system that will ration health care for the elderly even after Obama is out of the picture. Morris also thinks Obama will make the same tax mistakes of Herbert Hover. He says you are absolutely giving Barack Obama and Nancy Pelosi and Harry Reid a total blank check to pass anything in the world without debate if they get the 60 seats in the Senate. He thinks the runoff in Georgia will decide that. I guess Morris thinks Minnesota will be stolen in the recount. I say they already have the 60 votes necessary to not have debate because the two independents will vote with the Democrats and if necessary the Democrats will just change the rules of the Senate.

I think most of our politicians and most Americans are living under some false delusion that the “yes we can” Candy Man is going to fix the economy. Before you eat too much of his sugar you might read about why that cannot happen.

This first article will have nice graphs and explanations why this is not an ordinary recession. It is my own view that it will lead into a conventional great depression unless we take the path of a  long term inflationary depression.

Think not? Read this article that gives 30 reason why there will be a great depression by early next decade. Having said that, If our government can do anything to prevent a depression they will. They are not likely to allow the nation to go into a deflationary spiral. They will just dump money fresh off the printing presses out of helicopters first.

Of course doing that pisses off people in other nations that hold trillions of our dollars that they actually had to trade for their own goods and services. With more dollars being printed you will have more dollars chasing the same amount of goods and services in the world which means that the prices of everything bought in dollars will be bid up, making the buying power of all the dollars that they hold buy less. So they will either get angry and dump the dollars at a loss or demand much higher interest rates to take the risk of holding them while they lose value. I believe this is economics 101 although it seems to me that those that are running our government probably took the pass/fail version of the course and only showed up for the multiple guess tests.

Anyway, higher prices on goods and services always means higher inflation and that means a higher cost of living for everyone. Also higher interest rates on servicing the national debt means government will have less money and they will have to borrow even more money or print more money causing an inflationary spiral. The article on this link will explain why government most likely will choose the path of inflation rather than let the country go into a classic depression.

I suppose you know that historically government has always shut down inflation by raising interest rates higher and higher until less people can afford to borrow. That does work, but it is very bad for business and for those who want to buy houses, cars and other items they usually finance. Since it would cost more to borrow, businesses would tend to not expand and some would go out of business and unemployment would rise. Only when there are less dollars to buy those goods and services will prices and interest rates actually start to come down. That is the way they have been managing our economy since world war II.

The crises now is that the interest rate controls that they used to keep our economy deflating or inflating over the past 60 years will not work this time because we are now at the start of a deep recession and interest rates are already as low as they can go. They cannot lower rates below zero or they would be giving money away. Government is now borrowing money and spending it like a drunken sailor and still the economy continues to tank. The only thing left for government to do to avoid a deflationary spiral is to give away money. That will put the government further in debt. The Candy Man has said he has no problem giving out trillions of dollars in the next two years to get the economy going again. Problem is, The Candy Man will come in office with the national debt at about $12 trillion. The sugar he will hand out from the national debt candy machine will put the nation $15 trillion in debt within two years. So, by 2011 the national debt will have increased 50 percent.

But as I already said, keeping the printing presses running will make the dollar worth less to those that hold them. Not only that, they will want higher returns to take the risk to hold them because the interest on our $15 trillion debt will be so large that they will fear, with good reason, that we will default on the payments. They certainly will demand more control over how we spend money in this nation and we will lose much sovereignty. The present economic crises is already lossing our soverignty as this link describes. It is amazing how one elitist controlled Texan can all by himself give away our nation to the European globalists.

But, getting back to the depression scenario, higher interest rates by the Federal reserve always brings national slow downs but since we will be coming out of the worst recession since the Great depression in two years and real unemployment will be running greater than 15 percent the government could not allow us to go back into recession. If they did it will turn into a 1930’s type great depression and civil breakdown. So they will keep printing more money creating an inflationary spiral better known as hyperinflation or an inflationary depression.

We saw that take place in Germany prior to world war II. It brought about the rise of Hitler. We saw it in Argentina more recently, and it is now taking place in Zimbabwe. That is most likely our future, but there is a small chance that government will instead cut spending and raise taxes significantly to pay our debt and then we will just be in great depression II but that will probably be worse than great depression I. If that should happen besides the civil unrest we will have to default on our debts, pull all our troops home from everywhere, and become a isolated nation or at least a nation that lost its sovereignty.

In any case, because of massive national debt and entitlement debt there is no way out of this one and whether we go into a great depression or hyperinflation the results for most Americans will be very similar. Living standards in the U.S. will be reduced to that of Mexico. Perhaps even worse, if we get in foreign conflicts or have great civil unrest and martial law. If that happens you will see a national draft, and rationing of everything.

This is not a pretty picture of the near future for the USA, but to be informed and to prepare for it is better than living in delusion. The “yes we can” Candy Man slogans will not be able to deliver us from what we cannot fix without great individual and personal sacrifice. it would be better to save the possive thinking “yes we can” slogans for those that will take part in the next revolution.

Obama obviously does not have a clue about what he is talking about on climate change. That is the danger of electing someone who has never learned to critically think for himself or just as likely is a controlled puppet of the global elite. To me it seems like Obama is just repeating what he seen at Al Gore’s horror movie. (Produced and directed by the world’s foremost crap and trade flimflam man.)

I will now rebut what I quoted of Obama’s speech below at the Governors Climate Summit.

• Climate change should be the least of the concerns of America and the world. There is almost nothing we can do about climate change and doing anything could be worse then leaving it to God.
• Global warming science is not beyond dispute. Man caused global warming is beyond belief and so say 31,000 scientists.
• Sea levels have been rising long before the industrial age and have nothing to do with man. We have been coming out of a little ice age for centuries and that is good because otherwise we could not support our world population and would have world famines and starvation.
• Coastlines are hardly shrinking they are quite stable water seeks its own level.
• We have always seen record droughts somewhere in this world and the droughts we have today are no worse than droughts in historical times.
• We do not have spreading famine in the world. There were much worse famines prior to the green revolution and throughout history. Most if not all famine today is the result of polices by governments and wars.
• Storms are not growing stronger with each passing hurricane season like Obama said. Ocean temperatures are not warming they have been steady or cooling for a decade. Scientific studies have also proven that warming temperatures would not produce more severe storms it would produces more global cloud cover and rain and less severe storms. The last couple of hurricane seasons were below average and the few we have had in recent years that were above average are as normal as the seasons below average. The more recent hurricane damage have nothing to do with global warming and everything to do with more people living and building on the coasts.
• Since there is nothing we can do about climate change there is nothing we can do about its effects on our economy except make it worse by spending money on a non existent problem.
• Since there is nothing we can do about climate change there is nothing we can do about its effects on our national security.
• Obama says he intends to start a cap and trade system. Doing so will raise the price of everything for no reason. That will have a very negative effect on our economy and national security.
• $15 billion a year spent on alternative energy will do little to change our dependence on foreign oil and if the economy grows at historical levels dependence on foreign oil will actually increase. You cannot decrease CO2 emissions to 1990 levels by 2020 unless you are planning on a national depression. Legislating an 80 percent reduction by 2050 will bring national suicide.
• Our planet really needs saving from people who play God and think they can save it by throwing money at climate change problems that do not exist and that they could do almost nothing about it if it did exist.
• You cannot spend money to create 5 million new jobs without someone paying for the job creation. Since that will be the people of this nation through higher taxes and higher cost of most products the lost income will lower our buying power and millions of other people will lose their jobs. There is no free lunch. Democrats think that government can create jobs out of thin air without economic consequences to others but that is nuts. Now, it is true, that if we create our own energy instead of importing it we can create jobs here but the most cost effective way to do that and to increase the most jobs is to increase coal production, coastal oil production and to advance mini nuclear power plant production (like those on subs).

So even on Federal climate change you should see how Obama will waste our money and make the economic situation in this nation worse. So with this faulty illogical thinking at the top we are in a world of crap. Luckily you will have plenty of green toilet paper after Obama and the policies of the Democrats finish off the dollar and this nation. Everything I said on climate change is documented by real scientists (not flim flam men) and can be found within the category “global warming” on the sidebar.

RealClearPolitics – Articles – Obama’s Remarks to the Bi-Partisan Governors Climate Summit

Let me begin by thanking the bipartisan group of U.S. governors who convened this meeting.

Few challenges facing America – and the world – are more urgent than combating climate change. The science is beyond dispute and the facts are clear. Sea levels are rising. Coastlines are shrinking. We’ve seen record drought, spreading famine, and storms that are growing stronger with each passing hurricane season.

Climate change and our dependence on foreign oil, if left unaddressed, will continue to weaken our economy and threaten our national security.

That will start with a federal cap and trade system. We will establish strong annual targets that set us on a course to reduce emissions to their 1990 levels by 2020 and reduce them an additional 80% by 2050.

Further, we will invest $15 billion each year to catalyze private sector efforts to build a clean energy future. We will invest in solar power, wind power, and next generation biofuels. We will tap nuclear power, while making sure it’s safe. And we will develop clean coal technologies.

This investment will not only help us reduce our dependence on foreign oil, making the United States more secure. And it will not only help us bring about a clean energy future, saving our planet. It will also help us transform our industries and steer our country out of this economic crisis by generating five million new green jobs that pay well and can’t be outsourced.

Full Article

President Bush, Obama and McCain and most of the Congress and the Senate all sang the Hank Paulson blues to America. The 700 Billion figure was just a figure pulled out of thin air because they did not think they could sell over a trillion dollars to the American people. At first they did not have the votes but then they added $150 billion in pork to buy the votes they needed. Now Paulson is taking the money and doing the exact oppose that he said he was going to do with it. Much of the money was given to a few bank who did not need it but had no choice but to take it. On the one hand they are telling these banks that they forced to take money to tighten up there lending requirements and on the other hand they are saying they need to lend out more money. The 46 Billion loan to AIG is now up to $150 Billion. The Fanny May Freddie Mac bailout is going to cost much more than they ever let on.

There will be hundreds of hands out for the remaining piece of the money pie. Taxpayers will be given the choice to make more money pies or lose their jobs. The bill to the taxpayers in any case will probably exceed two trillions dollars and that will not include the cost of falling government revenues in a recession. Then the government thinks they can finance trillions of dollars in additional debt to world suckers at less than the world inflation rate? More likely the government will be forced to just print additional dollars to pay the debt which will make the dollar crash like a rock bringing the U.S. a much greater financial disaster.

This is what happens when Americans let government morons try to manage things like they actually know what they are doing. If these people had any brains to start with they would not be working for the government. Now Americans will put a President in place who wants the government to manage just about everything ranging from health care, to energy, to climate. It seems to me the American people deserve the Demented Delusional or Dumb Club Award for knowing nothing, being the most gullible people on earth and trusting their own future to these morons running the Federal government.

Hank Paulson, naked emperor (OneNewsNow.com)

The White House says: “We’ll just trust our treasury secretary to implement the program.” President Bush insists “government’s role will be limited and temporary.” Meanwhile, Democratic Rep. Barney Frank is shrugging off the lack of bailout disclosure by both the Federal Reserve and Treasury. But as I reminded readers before this latest bait-and-switch admission, Hank Paulson is not to be trusted. I repeat:

This is the man who proclaimed the subprime crisis “largely contained” in April 2007; “near the bottom” in May 2007; and “largely contained” again in August 2007. This is the man who pledged that he had “no interest in bailing out lenders or property speculators” in October 2007 and couldn’t “think of any situation where the backdrop of the global economy was as healthy as it is today.”

This is the man who patted himself on the back for refusing to “put taxpayer money on the line” to rescue Lehman Brothers on Sept. 15 — and then turned around the next day and engineered the $85 billion taxpayer-funded bailout of AIG. This is the man who vowed he had “no plans to insert money” into Fannie Mae and Freddie Mac — and then turned around and committed $200 billion in capital and credit lines to those corrupt, bloated, crumbling institutions.

This is the man who declared that “the worst is likely to be behind us” in May 2008.

Full Article

This well thought out article points out the division that this election will bring no matter who wins. This election is going to bring division in this nation like we have never seen since the Civil War. When elections are rigged by money and media brainwashing or the media plays up lies about stolen elections how can you expect a cordial outcome? If Obama loses there will be riots and stolen election accusations by the race baiters and the media. On the Republican side we already know that the horrendous agenda of the Far Left against the middle class and Christians is going to restart the patriot movement big time. So Obama’ win is not going to bring unity to this nation either.

Something really has to be done about the press coverage of candidates in the U.S. The people running are picked by the media elite in any analysis of the facts. The elections are not fair or democratic. It is getting like Putin’s Russia where his party controls the media and the media control the minds of the people. The media influenced the outcome of this election from the start of the primaries, that is no secret. If somehow McCain should win, the media will be there to incite riots.

American Thinker: Say Goodbye to America

No matter who wins Tuesday America is going to be a different country.

When the sun rises on November 5, regardless of who the president-elect is, a more un-United States than has existed since the Civil War will wake to dispute the results of the disgusting campaign that has mercifully come to an end.

Whoever the losers, they will believe they were cheated, and will point fingers at those they believe responsible. Almost half the nation will view the winner as illegitimate, and will do everything in their power to undermine his authority as long as he’s in the White House.

With this animosity will come a new level of hatred between those of differing political persuasions like nothing our country has experienced in the modern era.

Putting it bluntly, and without sounding too much like Rev. Jeremiah “G-d Damn America” Wright, there will be no such thing as Americans anymore.

Instead, there’ll be Democrats and Republicans, Liberals and Conservatives, and encounters between the members of these groups will for years nay decades be at best unfriendly, and at worst quite hostile if not downright violent.

Full article

Here is an article with lots of facts and graphs that makes it look like a great depression is likely. So maybe people should prepare like we are not getting out of this economic downturn anytime soon. In fact it looks like it is going to get a whole lot worse and the article does not even address our debt which will be a drag on the economy for a generation. Then throw in rising world unemployment and the inevitable protectionism that will be demanded and conditions do not look much different than the great depression of the 1930’s.

Think about it, housing in the U.S. is still almost double what it should be and so is the stock market. The Feds cannot lower the interest rates much more or they would be paying people to borrow money. So there is not much more they can do to stimulate the economy. I think we are in a hell of a mess that could last for decades.

So now you might know how despots get control over the world. Just look how people are panicking and throwing out all common sense on the promise of change in the 2008 election and the downturn is just getting started. Also know the socialist tax and spend policies of the Democrats will not be good for business. Maybe you better head for the hills while you still can. I know that gets kind of hard to do when you owe more on your house than it is worth but it will be worth less next year.

“Worse than the Great Depression” by Krassimir Petrov, PhD. FSO Editorial 11/02/2008

The mainstream media and Wall Street have reached the consensus that the current credit crisis is the worst since the post-war period. George Soros’ statement that ”the world faces the worst finance crisis since WWII” epitomizes the collective wisdom. The crisis is currently the ultimate scapegoat for all the economic evils that currently plague the global financial system and the global economy – from collapsing stock markets of the world to food shortages in third world counties. We are repeatedly assured that the ultimate fault lies with the Credit Crisis itself; if there were no Credit Crisis, all of these terrible things would never have happened in the economy and the financial markets.

The most extraordinary thing is that the mainstream media has never attempted to compare the current economic environment to the one preceding the Great Depression. In essence, it is assumed outright that the Great Depression can never possibly happen again, ever, thus obviating the need for such a comparison. I actually believe that the macroeconomic fundamentals today are much worse, so that we are in for a protracted period of economic depression – a depression much worse than the Great Depression, a depression that would likely be remembered in history as “The Second Great Depression” or The Greater Depression, as Doug Casey has called it so aptly. Here is why I believe that this is the case.

Full Article

From the list below you should see that if we were to go into a severe economic downturn it would not be like it was in the 1930’s when most people remained law abiding. Today it would either be Mad Max complete anarchy or total Martial law.

I do disagree in this list that most families had one car. Most families had no car and I do not believe there was any insurance or registration requirements in those days.

Christian Worldview Network – Brannon Howse – Letter Re: The Depression of the 1930s–Why No Societal Collapse

Consider the Attributes of America in the 1930s :

A largely agrarian and self-sufficient society. (Now, just 1% of the population operating farms and ranches feed the other 99%.)

Not heavily dependent on computing and communications, technology, grid power, and petroleum-based fuels.

Shorter chains of supply. Most food was grown within 100 miles of where people lived.

A very small underclass that was dependent on charity or public welfare.

Lower property tax rates and lower (or nonexistent) license fees, vehicle registration fees, et cetera.

The majority of workers lived near their work.

Most displaced workers were willing to accept lower-paying jobs–even doing hard physical labor.

The entire nation was economically self-sufficient and could carry on without many imports.

Far greater self-sufficiency at the household level (domestic water wells, windmills, wood burning stoves, home vegetable gardens, home canning, and so forth)

A much lower level of indebtedness (public and private). At the outset of the Depression most families had cash savings. (We are now a nation of debtors.)

A sound currency, still backed by specie. (Although FDR’s administration seized most privately-held gold in 1933, the currency was at least still fully redeemable in silver coinage until 1964.)

Lower percentage of corporate employment–so there were less risk of huge layoffs that would devastate communities

A significantly more moral society that still had compunctions and a prevalently law-abiding attitude.

A homogeneous population that largely shared common Judeo-Christian values. A much larger portion of society attended church regularly

A simpler, less extravagant lifestyle, with tastes in cooking and entertainment that did not require large outlays of cash.

Most families owned only one car (with proportionately lower registration and insurance costs), and they lived in smaller homes that were less expensive to heat.

Full article

Obama’s tax plan in spite of his claims that he will not increase taxes on anyone over $250,000 are a bald faced lie. The Democratic party has no plans to continue the Bush tax cuts after they expire and that will instantly raise taxes across the board for taxpayers at all levels. It will be the largest tax increase in history and the only ones who will escape from those tax increases are those who now pay no taxes at all. They claim it will not be a tax increase because the Bush cuts had an expiration date unless they were renewed. But when government taxes more of your money you will certainly known that you had a tax increase.

So if you want to be a sucker and vote for the the tax and spend party at least know what in the hell your voting for and what the Democrats plan to do. Their no tax increase tax increase will be largest tax increase in the history of this nation. Take that kind of money out of the taxpayers pockets in an an economic downturn and you will put the nation into a long term depression. Then when you stand in the soup line because you have no job your poverty level tax rate will be the least of your worries.

Of course this is just some of what we know about, you can be sure they will come up with other plans to take from the working to give to support the underclass of government slaves that they created with their past Democrat socialists policies.

American Thinker: Senator Obama’s Four Tax Increases for People Earning Under $250k

The first loophole was easy to find: Senator Obama doesn’t “count” allowing the Bush tax cuts to lapse as a tax increase. Unless the cuts are re-enacted, rates will automatically return to the 2000 level. Senator Obama claims that letting a tax cut lapse — allowing the rates to return to a higher levels — is not actually a “tax increase.” It’s just the lapsing of a tax cut.

See the difference?

Neither do I.

When those cuts lapse, my taxes are going up — a lot — but by parsing words, Senator Obama justifies his claim that he won’t actively raise taxes on 95 percent of working Americans, even while he’s passively allowing tax rates to go up for 100% of Americans who actually pay Federal income taxes.

Making this personal, my Federal Income Tax will increase by $3,824 when those tax cuts lapse. That not-insignificant sum would cover a couple of house payments or help my two boys through another month or two of college.

No matter what Senator Obama calls it, requiring us to pay more taxes amounts to a tax increase. This got me wondering what other Americans will have to pay when the tax cuts laps

Full article

These morons think they can just keep printing money and dump it in banks as the solution to the economic crises. Whole nations already are being slaughtered by inflation as I speak and the impact of these inflationary actions have not even hit yet and won’t for about a year or two. The inflationary impact of creating money out of nothing and the deflationary effect of a world going into recession and more government regulation and higher taxes ought to put on a good battle for the next few years. What will win out? Will the world economic collapse come from a new depression or from inflation? The world economic Gurus are walking a high wire on Wall Street in the eye of a hurricane it does not even matter what direction the wind comes from next it is certainly coming. Economic collapse through inflation or depression is still economic collapse.

Asia Times Online :: Asian news and current affairs

The morons in the eurozone have just been given another reminder that continuing to create excessive amounts of money and credit is suicide-by-inflation, as the UK found that last month’s inflation hit 5.2% year-over-year – the highest it’s been for over 16 years! Yikes!

So, price inflation is the highest it’s been in a couple of decades, and at the high end of inflation throughout history, and yet these European halfwits are shoveling more money into the economy with every corrupt fascist idea that they can come up with? They must have American economists on their staffs! Hahahaha!

“The US Federal Reserve
announced it was making unlimited amounts of dollar funds available offshore to be distributed by the European Central Bank, Bank of England and the Swiss National Bank.” Gaahhh!

The Fed is now giving foreigners “unlimited amounts of dollar funds”, and yet I cannot get another dollar with which to turn my ordinary burger-and-fries dinner into a Grande Feast of double fries and two perfectly-fried all-beef patties? What in the hell is going on here?

The reason is because we have fiat dollars and unrestrained fractional-reserve banking, and as Mr Ackerman attests, “The dollar is already completely, fundamentally, wholly, absolutely and irrefutably WORTHLESS. And the US is b-a-n-k-r-u-p-t. This means that the dollar’s value is purely a figment of the herd’s imagination.”

Instead, this guy says, “Forget inflation, guys.” Forget it! My mouth was hanging open in disbelief at those words, and he says that what is happening “is serious, the real McCoy, and you don’t have to worry about little things like inflation. Global growth will slow down, commodities will be weaker for awhile, and inflation is a thing of the past.”

He actually said, “little things like inflation”! Inflation, the thing that destroys whole economies, is a “little thing”? Hahaha! This is indeed news!

I figure that he is almost certainly wrong, in that, inflation not merely “a thing of the past”, but rather, it is going to get worse and worse and destroy us all, definitely starting within next nine months to a year as all of these trillions of new dollars being created and spent by the Treasury and the Fed starts working their sinewy, cancerous way through the economy, making prices rise and rise, portending calamity, like a big pimple on the end of your nose.

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The American government now intends to manage Banks and Corporations by government decree. That is not the government that our founders set up under the Constitution of the United States. We are now under socialism. Socialism is where government owns and runs corporations.

Nevertheless, our government has proven that it cannot even manage itself. If it could it would not owe over $10 trillion with $50 trillion of unfunded liabilities bills coming due. So would any rational person think that the government will now manage corporations and banks better than the free enterprise system?

Basically we have just had a socialist coup in this nation. Whether you know it or not while you slept or were panicked by the news media you went from a free enterprise system to a form of state socialism.
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Oh the CEO of Bank of America went on 60 minutes and said he thinks we will go back to some form of capitalism after the debts are paid back to the government in 3 to 5 years. That is wishful thinking. The debts will never be paid back to the government because the institutions run by the government will be regulated, restricted and forced to do costly stupid things like giving out loans to people who will never pay them back. Government regulation requiring the giving of loans to unqualified people is really part of the reason why we had this crises to start with. They will now continue to lose money and the government will keep spending more money and taking more control. In addition, you are electing socialists politicians that will now spread socialism to every aspect of our society. Karl Marx has taken over America from his grave. Now it looks like the American free enterprise system will join him there.

Make no mistake any return to constitutional government and the free enterprise system will not happen before the next American revolution. When the next crises hits (and it will) your personal liberties will also be taken from you by government decree. Our Constitution means nothing when nobody enforces it.

Also read what Joe Farah just said on this issue. He apparently sees the socialist take over of America just as I do.

Don’t count on stock market rally

Corporate, personal and government debt totals, over the last two decades, have reached unsustainable levels. When a small portion of the debt known as “sub prime” went from the milk and honey of the money changers to toxic waste, the whole system froze and revealed just how vulnerable it was and continues to be.

There is no doubt we may have, for the moment, avoided a second great depression but at what price? And equally important how can any of the corporations being bailed out generate the profits necessary to pay back the borrowed money?

How can companies founded on a free market business model now survive, no less flourish, under government-controlled financial socialism?

They can’t. And most honest economists know it. But the citizens of the world don’t want to face the truth behind the systemic problems. They want and demand unbridled, uninterrupted growth and accumulation of personal wealth. Wealth that is created, in many cases, without work. Wealth that is guaranteed to never drop in value.

So the government has been assigned the task by many uneducated citizens of making everyone in the world rich.

Soon we will witness what any society that subscribes to the belief that wealth without work or risk is a birthright … inflation. That is the only formula that will perpetuate the welfare state. And now that state includes Wall Street bankers and investors.

The demand for continuation of the game will cause governments worldwide to print money faster than it can be spent. Helicopter Ben Bernanke will be loading the chopper with $100 bills dropping them over the population at large. Many will think it’s great! I can see the masses in the streets getting their “fair share” of the wealth. Even Sen. Barack Obama wants to “spread the wealth around.”

But $250 billion of the $805 billion ($105 billion added pork) TARP program will now buy direct equity in American banks and possibly banks around the world. The government is now an investor with the taxpayer as the guarantor. Soon government will be in health care, automobiles, aircraft and Lord knows what else.

If these new government investments happen to fail who will save us then? The taxpayer will have already been bled dry from stopping the current failure. Has anybody planned ahead for if and, more likely, when this occurs?

If any American at this point doesn’t see the lunacy of the current plan to “save” the system then they deserve the socialism they will receive. I for one have taken steps to protect my family from the government mismanagement that is sure to come. They have done such a good job running the country that we are now placing private business in their hands? Have we reached that level of irrational panic?

Liberty was sold this week for the promise of wealth and prosperity. Apparently two cars, a home, a fat 401k and a life of ease are much more important than freedom and liberty. Liberty is based on personal responsibility and Americans want all the reward without any responsibility. Wall Street fat cats included.

Your government has replaced the greatest free market capitalist system in the world, one based on risk and reward; with a completely socialist financial system with the government at its foundation. There is only one question left to ask. Who will have the power to pick the winners and losers?

Dr. Housing Bubble has been correct all along on the crises that this housing Bubble would bring. That alone should make you inclined to read what he is saying now about the bailouts and the implications for middle class Americans. You will find much sober information in this article.

Economic Main Street Manifesto: 10 Reasons how this Bailout Fails the Middle Class American Worker. » Dr. Housing Bubble Blog

The question that most Americans have on their mind about this historical government intervention is whether this program is ultimately going to work. In short, no. In this article I’m going to highlight 10 major reasons why this global intervention is nothing more than stitches on breaking economic flesh from preventing the world from going into the infected abyss. Just like I highlighted why the California housing market will not hit a bottom until May of 2011, I believe that this current intervention is simply window dressing on a dry and stale turkey.

Make no mistake, we were on the precipice of systematic failure in our financial system. What has occurred only ensures that we don’t go into Mad Max territory. In addition, the global turmoil has once again cemented the fact that we are all bound by the hip and we are all going to face pain together. A severe recession is baked into the global financial cake.

If you really want to see a financial system go off a cliff take a look at the Icelandic stock market which opened up again:

Quietly, I’m thinking many of these central bankers are hoping for a lost decade instead of a global collapse and Mad Max universe. I also think they are trying to help out key parties while their actions clearly ignore the Main Street person. The psychology is already changing. During the debates, I was watching CNN with their little audience meter on the bottom and the quickest way from the middle to the top was bashing Wall Street. Some issues took time to work up or down but whenever someone said “corporate greed” or “Wall Street speculators” the bar shot up. This is class warfare folks. We are seeing a generational system collapsing and many cannot confront the idea that their ideology was so utterly wrong. Many will have to wrestle with their own internal cognitive dissonance. Some will channel this toward unjustified anger and some will adjust to the new way credit will be in the world. At this moment, we need to do all we can via pressure/voting/action that this money is at least channeled to efforts that will help our employment base, help fix the healthcare system, and do things that protect the majority of Americans.

As you can see from the above 10 reasons, these economic measures do very little aside from stabilizing the financial market and giving us a false sense of security. There are many better ways to spend a trillion dollars and Main Street has a few ideas yet Wall Street and the politicians have others.

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Here is what the governments are really worried about. Everything else has just been putting their fingers in the dike in the hope of stopping the speculative derivative ocean from breaking the dike. If they cannot keep the derivative ocean contained it will take down the whole world financial system. Derivative fright night may be upon us just in time for Halloween and nobody knows how many trillions may be at risk.

Coming Soon: The 600 Trillion Derivatives Emergency Meeting – Seeking Alpha

Current emergency meetings on banks and markets are still only in the stage where politicians and central bankers are bickering over how to create a few more hundred billions Euros and FRNs. But toxic MBS pale in comparison to the mushrooming growth of the derivatives market. According to figures released in the quarterly review of the BIS (pp A103) in September the total notional amount of outstanding derivatives in all categories rose 15% to a mindboggling $596 TRILLION as of December 2007.

Two thirds of contracts by volume or $393 TRILLION fell into the category of interest rate derivatives. Credit Default Swaps had a notional volume of $58 TRILLION, seeing the sharpest relative increase after a volume of $43 TRILLION a year earlier.

Currency derivatives reached a volume of $56 TRILLION.

Oh, and every grand balance sheet comes with a trash can. Unallocated derivatives with a notional amount of $71 TRILLION are looming over the heads of the disintegrating investment community too.
However You Look At It, This Is an Accident Waiting To Happen

The BIS review is a good way to grasp the dimensions long term monetary expansion has brought upon us. A net risk of $14 TRILLION compares with the annual GDP of the USA. Nobody, absolutely nobody can afford this tab in the case of an unorderly unwinding of this market that is roughly 12 times the size of the global economy. I conclude a lot more paper promises will be burnt in the coming derivatives tsunami. As a reminder, most of these contracts have been moved off balance sheets into under capitalized subsidiaries that profited from the good rating of the parent company. But in case of a default it is this nasty, nasty huge notional amount that becomes a liability.

As the vast majority of these contracts have no market, failure will come in the form of counterparty risk. This makes all the current emergency meeting a bit more understandable if politicians are already aware of the biggest bubble that may find no other way of deflation than a sudden burst. I base my sense of urgency on the rapid growth of the net risk in only one year, rising a stunning 30% at a time when the first signs of the credit crunch appeared.

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At first I said I would not support either Obama or John McCain for president and then I changed my mind when McCain picked Sarah Palin and I realized that McCain might be the only way to stop a Far Left takeover of our country.

I have just changed my mind. What John McCain is now proposing since the economic crises to get votes is as dangerous and irrational to the future of this country as Obama’s and it shows us that his liberal spots have not changed. I think the man is unstable. I simply cannot see him leading the world or our economy to anything but a huge disaster. If McCain gets elected he will actually convince Republicans to vote for Far Left legislation’s in Congress. We will have far less of a Republican opposition if McCain becomes president.

I was always against John McCain becoming the Republican nomination because his past actions prove that on domestic issues he is a Liberal. He is also a globalist who has socialist tendencies. In these areas he is no different than a irrational progressive Democrat. His only redeeming factor on domestic issues was that he fought for cutting pork but at the same time he irrationally proposed a amnesty package and other social programs that would cost the nations hundreds of billions. He also now signed on to the $700 billion bailout that will actually cost trillions and had $112 Billion of pork attached. Even worse, McCain is going beyond this, what he now proposes in his campaign would cost Americans another trillion dollars in bailouts.

McCain also knows that he cannot get anything past in Congress without the support of the democratically controlled congress. They will just reshape any of his proposals to be their own programs and he would arm twist Republicans to support these bills that he would sign.

The Republicans gave us a candidate that Christian Conservatives could not stomach but then sold us the idea that not supporting him would bring worse consequences. In reality there is no real difference between the two candidates. John McCain will not support conservative issues or appoint conservative Supreme Court justices. He will sign hate speech laws and promote the homosexual agenda. Prior to needing the vote of Christian conservatives MCcain was aggressively working against them in Congress.

Joe Farah is correct. Conservatives and Christian Conservatives should not vote for the lesser of two evils.  We do not even know who will turn out to be the lesser of two evils. The only way we can keep the Far Left from taking complete control of our nation this year is not to vote in a super majority (60 votes) of Liberals in the Senate. That should be our primary focus this election.

A strong message should be sent to the Republican party this election by writing in a true Christian conservative of your choice but a vote for McCain will only give the people who control the Republican party support and encourage them to pull something similar next time.

Frankly, since the Republicans have failed over the years to do what they promised they may no longer be redeemable in the eyes of the American people. The Republicans have not and probably will not give Bible believers and Conservatives a nominee who reflect our values and position. If the Republican Party will not remake itself from top to bottom after this defeat it will be time to start a third party movement. I am talking about the need to start a grass roots movement right after this disastrous election – not three years from now when it is already too late to get a new party name on state ballots.

The first step is by showing no support for the Republican selection for President that does not represent us. The next step is get the true conservatives in leadership to get behind the movement to change the Republican party right after the election or to start the movement to a third party.

I want Christian leaders and people with influence like Joe Farah, James Dobsin, Chuck Norris, Mike Huckabee, Chuck Colsen, Gary Bauer, Catholic leaders and many others to get behind this grass roots effort. This is the only way we will ever take America back from the socialist Far Left and the secular globalists.

Did you know the $700 billion bail out bill was really about $850 billion after all the pork was added? That is how they changed votes. They bribed each vote with pork. We are seeing today how good the bailout did, as of this writing the stock market is down about 10 percent since the great rescue bill was signed a few days ago. Guess what? Our champions of fiscal responsibility running for President signed the bill with $112 billion of pork added. In the last debate they were arguing about saving some of the $16 billion in earmark spending. However, they just signed a bill that contained $112 Billion in pork in one shot and our dumb president signed it without even reading it. Someone might think that they all need to take some Zanax or were being blackmailed. Who knows, those who hold our dollars like China and the oil rich states may have given them an ultimatum. Pass the bail-out bill or the dollar goes down the toilet. That’s about the only thing that explains the panic.

If McCain or Obama still have the gall to lie in our face about cutting pork everyone should turn off their TV’s or walk out of there rallies. Why enable liars? What good will it be to try to save me a pork chop in the future when you just proved to America that you will vote for a huge pork feast.

Believe me, the bail-outs are not over. The FDIC will now need $200 billion to bail out the failing banks, State governments will need bailing out, Unemployment insurance will need bailing out and many more taxpayer bailouts will come in the future. Tax revenues will also fall and taxes are likely to be cut to stimulate the economy. By the time we get through this crises (if we do) we could easily be $15 trillion in debt. Those nations who are bailing us out now with low interest rate loans are not likely to do so after this crises is past for the world. But we will still have $15 trillion of debt to service at a interest rate given to a nation that spends way beyond its means. Think about what that means to this nation in the future.

The bail-a-holics

The truth is most lawmakers voted to pass the bill but don’t have a clue what is in this 500-plus page legislation, which was birthed in the White House just two weeks ago as an infant of only three pages. It was then voted down at the Capitol a week later in its adolescent-sized 100 pages. And of course, in good bureaucratic fashion, it passed mature criteria when it was more than five times the size and packed with governmental goodies. And the president signed it just an hour after receiving it from Capitol Hill on Friday – I guess that speed reading course paid off.

In the fine print, inserted between the lines of that 500-plus page bill, are loads of fiscal additives and more financial toxic relief. Yes, the rumors are true. H.R. 1424 – Emergency Economic Stabilization Act of 2008, which has now been signed into law, officially includes more than $112 billion in political hors d’oeuvres and pork barrel additives that have absolutely no direct relation to the Wall Street bailout. Among them are:

* $6 million in tax breaks for wooden arrow manufacturers in Oregon;
* $148 million in tax breaks for wool-producing companies,
* $128 million in tax breaks for the manufacturers of car racing tracks;
* $10 million in tax breaks to small television and film producers;
* $223 million in tax breaks for Alaskan fisherman;
* $33 million for corporations operating in American Samoa;
* $192 million in tax breaks for rum producers in the Puerto Rico and the Virgin Islands.

What the &^%$#@?! And that’s just a drop in the bailout bucket. And We the Taxpayers are just supposed to sit back and take it in the arrears?

All is not lost, yet. We still have a voice in this bailout – it’s in the ballot box in November’s elections. The remedy for our country is clear: Congress doesn’t need another bailout, but a roundhouse kick right out the door. I plead with you to join me and millions of others in a voter revolution – to oust political and congressional corruption and stalemate. If representatives from your state and districts voted to pass this bailout bill and gamble nearly $1 trillion of our children’s and grandchildren’s taxpaying money, in addition to showing the reckless fiscal behavior of stuffing such a bill with perks and pork, you must not re-elect any such wayward incumbent.

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