Archive for the ‘Economy’ Category

Fake Dollar Finance

Wednesday, October 18th, 2017

Why did voters and investors turn their lonely eyes to a reality TV star… and put their trust and faith in a bombastic huckster, rather than a more conventional scalawag?

Why did stocks rise after he was elected?

What did they see that we didn’t?

In short, the fix was in… and Mr. Market knew it.

Fake dollar finance has been an abiding theme here at the Diary. Few others – apart from economist George Gilder and President Reagan’s first budget chief David Stockman – seem to care about it.

But for us, it is the biggest financial scam in the history of the world. It has moved at least $10 trillion from the people who earned it… to the rich and the Deep State elite.

It has corrupted our institutions… our culture… our markets… and our government.

This system is supported by almost everyone – by Republicans and Democrats… by the mainstream press… by academic economists… by international organizations such as the UN, the IMF, and the World Bank… by the “defense”… “education”… and “medical care” industries (all in quotations to signal our deep skepticism that they are doing what they claim to be doing)… and perhaps more importantly, by Wall Street.

What is this system?

It is the system of creating “money” out of thin air… controlled by the government and central banks… which ends up in the hands of Deep State cronies and the elite.

It creates an economy that runs on credit, not real wealth or real output. It can only grow by increasing the level of debt… and is thereby damned to its own destruction.

Disruptive Personality

There are only two major threats to this system…

The first is the obvious one: economics. You can’t increase debt levels infinitely. Sooner or later… the whole kit and caboodle will blow up.

The second is political: A determined, disruptive politician might be able to slow it down… or even reform it.

Last year at this time, there was some hope that Donald J. Trump might be such a man. He was clearly a “disruptive” personality. Perhaps he had a disruptive program?

It was hard to know. What he said publicly was so incoherent and undisciplined that many people believed he must be smarter than he looked, with a hidden agenda… a plan of action that he dared not divulge for fear of bringing the entire weight of the Deep State crashing down upon him.

Hillary Clinton was clearly on the dark side. She favored more spending, both on social programs and military meddling. She was so deep in the pockets of lobbyists, big banks, and corporate America there was no chance she could ever climb out.

Mr. Trump was different. He seemed more independent. He was too rich to steal. And too dumb to lie. He seemed to be not beholden to anyone – even the powerful Israeli lobby.

“I don’t need your money,” he told them.

Trump’s Greatest Trick

Yesterday, we glanced at a magazine sitting on the table in our hotel room.

Inside was a picture of a skinny young guy wearing a tight green suit, with some kind of fleur-de-lis pattern on it… pants hiked up to the calf… with bright orange socks filling in the distance to shoes no less outrageous than the rest of the get-up.

We didn’t understand brand advertising until Mr. Trump came along. We had always wondered: What’s the point of advertising clothes no one would want to wear?

Now, we know. The idea is not to move the rags… but to fix the brand in the minds of the readers. The absurd outfits are just a way of getting attention. They plant the brand in your mind – provocative, clever, cutting edge, innovative… or whatever you want.

That was the genius of Donald Trump: He ran as a brand.

But his important achievement, historically, was to silence the vestigial opposition to the Deep State.

Clownish Squabbles

Ms. Clinton would have had the whole constellation of “right wing,” evangelical, Tea Party, and establishment Republicans – responsible conservatives and rabid nut-jobs – against her.

They would have blocked her every move and hounded her every step.

They would have connected her, and her program, to the Deep State… and gnawed away at both.

For Mr. Trump, on the other hand, the coast is clear. If there is any opposition to the Deep State program, it is now confused by conflicted loyalties… and distracted by Mr. Trump’s clownish squabbles.

We are supposed to care about whether football players stand or kneel… and not notice the $1.4 trillion given to Lockheed Martin to build and maintain a fleet of planes that experts say may never be combat-ready.

Likewise, it is supposed to matter whether Mr. Trump calls the families of the boys who get killed doing the Deep State’s military mischief. But no one seems to know or care about the latest price tag for Obamacare… or that the nation is on track to add $10 trillion to its debt over the next 10 years.

And we are kept so busy wondering about a war with North Korea or a feud with Senator Corker that we don’t even have to time wonder where all this money bidding up stocks is coming from.

The money flows… and the show goes on.

And now we see what Mr. Market, in his wisdom, must have seen a year ago: Mr. Trump, not Ms. Clinton, was the real Deep State candidate all along.

~ Bill Bonner

Bonner & Partners
55 NE 5th Avenue, Suite 100, Delray Beach, FL 33483
www.bonnerandpartners.com

Why Poor People Stay Poor

Thursday, June 8th, 2017

Saving money costs money. Period.

Excerpted from Hand to Mouth: Living in Bootstrap America by Linda Tirado.

I once lost a whole truck over a few hundred bucks. It had been towed, and when I called the company they told me they’d need a few hundred dollars for the fee. I didn’t have a few hundred dollars. So I told them when I got paid next and that I’d call back then.

It was a huge pain in the ass for those days. It was the rainy season, and I wound up walking to work, adding another six miles or so a day to my imaginary pedometer. It was my own fault that I’d been towed, really, and I spent more than a couple hours ruing myself. I finally made it to payday, and when I went to get the truck, they told me that I now owed over a thousand dollars, nearly triple my paycheck. They charged a couple hundred dollars a day in storage fees. I explained that I didn’t have that kind of money, couldn’t even get it. They told me that I had some few months to get it together, including the storage for however long it took me to get it back, or that they’d simply sell it. They would, of course, give me any money above and beyond their fees if they recovered that much.

I was working two jobs at the time. Both were part time. Neither paid a hundred bucks a day, much less two.

I wound up losing my jobs. So did my husband. We couldn’t get from point A to point B quickly enough, and we showed up to work, late, either soaked to the skin or sweating like pigs one too many times. And with no work, we wound up losing our apartment.

It’s amazing what things that are absolute crises for me are simple annoyances for people with money. Anything can make you lose your apartment, because any unexpected problem that pops up, like they do, can set off that Rube Goldberg device.

One time I lost an apartment because my roommate got a horrible flu that we suspected was maybe something worse because it stayed forever–she missed work, and I couldn’t cover her rent. Once it was because my car broke down and I missed work. Once it was because I got a week’s unpaid leave when the company wanted to cut payroll for the rest of the month. Once my fridge broke and I couldn’t get the landlord to fix it, so I just left. Same goes for the time that the gas bill wasn’t paid in a utilities-included apartment for a week, resulting in frigid showers and no stove. That’s why we move so much. Stuff like that happens.

Because our lives seem so unstable, poor people are often seen as being basically incompetent at managing their lives. That is, it’s assumed that we’re not unstable because we’re poor, we’re poor because we’re unstable. So let’s just talk about how impossible it is to keep your life from spiraling out of control when you have no financial cushion whatsoever. And let’s also talk about the ways in which money advice is geared only toward people who actually have money in the first place.

141205_FAM_HandToMouthCover.jpg.CROP.original-originalI once read a book for people in poverty, written by someone in the middle class, containing real-life tips for saving pennies and such. It’s all fantastic advice: buy in bulk, buy a lot when there’s a sale on, hand-wash everything you can, make sure you keep up on vehicle and indoor filter maintenance.

Of course, very little of it was actually practicable. Bulk buying in general is cheaper, but you have to have a lot of money to spend on stuff you don’t actually need yet. Hand-washing saves on the utilities, but nobody actually has time for that. If I could afford to replace stuff before it was worn out, vehicle maintenance wouldn’t be much of an issue, but you really can’t rinse the cheap filters and again—quality costs money up front. In the long term, it makes way more sense to buy a good toaster. But if the good toaster is 30 bucks right now, and the crappiest toaster of them all is 10, it doesn’t matter how many times I have to replace it. Ten bucks it is, because I don’t have any extra tens.

It actually costs money to save money.

It is impossible to be good with money when you don’t have any. Full stop. If I’m saving my spare five bucks a week, in the best-case scenario I will have saved $260 a year. For those of you that think in quarters: $65 per quarter in savings. If you deny yourself even small luxuries, that’s the fortune you’ll amass. Of course you will never manage to actually save it; you’ll get sick at least one day and miss work and dip into it for rent. Gas will spike and you’ll need it to get to work. You’ll get a tear in your work pants that you can’t patch. Something, I guarantee you, will happen in three months.

When I have a few extra dollars to spend, I can’t afford to think about next month—my present day situation is generally too tight to allow me that luxury. I’ve got kids who are interested in their quality of life right now, not 10 years from now.

Here’s the thing: we know the value of money. We work for ours. If we’re at 10 bucks an hour, we earn 83 cents, before taxes, every five minutes. We know exactly what a dollar’s worth; it’s counted in how many more times you have to duck and bend sideways out the drive through window. Or how many floors you can vacuum, or how many boxes you can fill.

It’s impossible to win, unless you are very lucky. For you to start to do better, something has to go right—and stay that way for long enough for you to get on your feet. I’ve done well in years that I had a job I didn’t mind terribly and that paid me well enough to get into an apartment that met all the basic standards. I’ve done less well in years where I didn’t have steady work. The trouble’s been that my luck simply hasn’t held out for long enough; it seems like just when I’ve caught up, something happens to set me back again. I’ve been fortunate enough that it’s rarely compounded, and I’ve stayed at under sea level for short periods instead of long-term. But I’ve stared long-term in the face long enough to have accepted it as a real possibility. It’s only an accident and a period of unemployment away.

Reprinted from Hand to Mouth: Living in Bootstrap America America by Linda Tirado by arrangement with Putnam, a member of Penguin Group (USA) LLC, Copyright © 2014 by Linda Tirado.

About the Author
Linda Tirado is a completely average American with two kids and, until recently, two jobs. Her essay “Why I Make Terrible Decisions, or, Poverty Thoughts” was picked up by the Huffington Post, the Nation, and countless other publications, and was read by more than six million people. This is her first book.

Review
“The woman who accidentally explained poverty to the nation.” —The Huffington Post

“[A] whipsmart woman’s firsthand account of what it looks and smells and tastes and feels like to be living in poverty …brilliant and to the point. You won’t soon forget her voice or her message.” —Entertainment Weekly

“Funny, sarcastic, full of expletives, and most of all outrageously honest. . . . Tirado has a way with words that’s somehow both breezy and blunt.” —BusinessWeek

“In this riveting memoir, Tirado shares in vivid detail what it’s like to be a college graduate in the throes of poverty.” —Women’s Health Magazine

“Must-read…powerful.” —Good Housekeeping

“Educative . . . Tirado’s raw reportage offers solidarity for those on the front lines of hardship yet issues a cautionary forewarning to the critical: ‘Poverty is a potential outcome for all of us.’ Outspoken and vindictive, Tirado embodies the cyclical vortex of today’s struggle to survive.” —Kirkus Reviews

“Tirado tells it like it is… Enthralling and horrifying, this should be required reading for policymakers.”—Booklist, starred review

Hand to Mouth: Living in Bootstrap America141205_FAM_HandToMouthCover.jpg.CROP.original-original

Economics Is A Form of Brain Damage

Friday, July 22nd, 2016

Debts Erased?

Thursday, July 25th, 2013


Bix Weir of RoadtoRoota.com predicts, “We are the biggest debtor nation in the world. If we collapse the debt now and erase all debt, we win.” When could it all start to fall apart? Weir predicts “the August-September time frame.” Join Greg Hunter of USAWatchdog.com for this controversial interview with gold and silver advocate Bix Weir.

This interview was posted with permission from http://USAWatchDog.com

All Debt To Be Erased Within The Next Few Months By Greg Prescott

http://usawatchdog.com/complete-wipeout-of-all-debt-coming-bix-weir/
Right on schedule, banking systems are collapsing and will result in the elimination of all debt, according to Bix Weir, who has 30 years experience in the financial industry with various fortune 500 companies. As mentioned numerous times on In5D, we are currently under the energies of Pluto In Capricorn, which will continue to bring an end to all sources of control and
manipulation, including the banking systems, governments and religion. Pluto entered Capricorn in 2008 and, right on schedule, we saw the collapse of hundreds of banks. For those who question the power of how astrological alignments dictate what is happening right now, look no further than the last time when Pluto was in Capricorn. During that time period, we saw both the French and American Revolutions. If you look around the world, there are revolutions either currently going on or are about to explode, so it is NOT a coincidence that we are seeing this happen once again. “We are at a point in our system and in the manipulation where there are people within the Fed, and within our government, who are ready to pull the plug on the game and basically crash the system,” stated Weir.
Many people will question whether this is a controlled demolition of the financial system in order to All Debt To Be Erased Within The Next Few Months | in5d Alternative News | in5d.com |implement a one world currency, which is a valid concern, but the current financial system based on fiat currency cannot sustain itself as it creates money out of thin air and charges interest on it. In other words, it is going to collapse whether you want it to or not. The most important issue is deciding what form of currency will be its replacement and if there is any assurance of whether this new system will inevitably collapse as well.

Right now in the United States, the U.S. debt is more than all of the money on the planet so it is impossible to repay. The only other solution is to eliminate all debt and create a new asset based currency that does not rely on creating money out of thin air. During the last bailout in 2008 after the housing boom, we saw a huge derivatives explosion which is due to crash the system in a few months. Derivatives are basically when a bank sells the obligation of the mortgage holder to another company and in essence, bets on the failure of the homeowner to fall into foreclosure. There is no way the Fed can bailout the trillions of dollars in derivatives so the only other option will be to eliminate all debt and create an asset based currency.

The Fed still continues to pump fiat currency into a rising stock market that should have begun collapsing in 2008, create a false sense of security for those who have stocks. This too, will collapse.

Will this happen in other countries as well?

Once the big banks fall in the United States, all other banks will follow. Weir stated, “If you take down the banks, you take down every individual checking, savings, 401K (etc…). Everyone holds their money in banks, even the brokerage houses. The derivative situation is such a mess that once a couple of those big banks go (under), every other counter party will fall, too. So you’re looking at a complete wipeout of all debts in all banks.”

Greg Hunter added that we have $10.8 trillion in deposits with (only) $33 billion in the FDIC deposit insurance fund and a line of credit worth $100 billion in the Treasury. In other words, there isn’t anywhere near enough money to back all of the depositors. Weir added that the FDIC also insures all of the derivatives for JP Morgan and the Bank of America for hundreds of trillions of dollars.

What will happen to any money we have in the bank? All Debt To Be Erased Within The Next Few Months | in5d Alternative News | in5d.com

|Weir mentioned an example where a person might have $10,000 in the bank along with $200-300,00 mortgage IOU’s. In this situation, the person would lose the money in their account, but would not have to pay off the mortgage to his or her home. Weir added, “The people who will lose out the most are those people who are completely out of debt with a savings account in a bank that they thought was AAA rated.”

When will this happen?

According to Weis, the collapse should happen anytime from August to October of this year. Will Federal Reserve notes be honored until the new currency arrives?

According to Weir, he believes that this would be a good plan but it would only work for those who have physical Federal Reserve notes versus having money in the bank, “at least for a little while.”

Gold and silver

Hunter added to be sure to buy rolls of quarters and half dollars because they are printed by the All Debt To Be Erased Within The Next Few Months | in5d Alternative News | in5d.com |Treasury and not the Federal Reserve.

As his number one investment, Weir recommended to buy pre-1965 silver coins because “everybody will be scrambling for gold and silver. It would be the last theoretical form of money that people have. People are starting to wake up now and when they can’t get money out of their bank that defaulted, that’s when you’re really going to se people scrambling for physical gold and silver in your possession.” The moment the banks are no longer manipulating the gold and silver market is the moment that these metals go “limit up. You will not really know the price of silver and gold for a while because it’s the anti-dollar.”
Redistribution and reallocation of money

The US Dollar is the longest lasting currency that is not backed by assets and history will dictate, every previous currency that was not backed by assets has collapsed. In the United States, people will receive new currency based on how much money they paid into Social Security, where those who worked the hardest and paid into Social Security while those who are young and working will get more as they work more. At this time, it is unclear how other countries will allocate and redistribute money.

The elimination of debt should create numerous immediate benefits, such as the significant lowering of rent due to the owner no longer having debt on his building, house or apartment along with a lower cost of goods and services for the same reason. In other words, prices for everything will drop significantly from what we are paying today. According to Weir, it might take “a few weeks to reallocate money” so there might be a transition period where grocery stores and other businesses may  temporarily close. You want to be sure to have enough food and water stored up to cover you and your family for up to several months.

“The government knows that this is going down quickly. These banks cannot survive much longer. They are literally on their knees and the main stream media is not going to tell you about it, but in the financial world, we all know about it.” Whether or not the banking collapse happens between now and October remains to be seen. What we already know is that our current system is unsustainable and its collapse it’s inevitable. It’s only a matter of time.

Gregg Prescott, M.S.
www.in5d.com
www.BodyMindSoulSpirit.com
www.HolisticCancerResearch.com

Bix Weir: Gold-Silver Update and Complete Wipeout of all Debt in All Banks Coming in Next Few Months
http://usawatchdog.com/complete-wipeout-of-all-debt-coming-bix-weir

 

http://www.youtube.com/watch?feature=player_embedded&v=6haNWOm3-HU#at=37

Bix Weir of RoadtoRoota.com predicts, “We are the biggest debtor nation in the world. If we collapse the debt now and erase all debt, we win.” When could it all start to fall apart? Weir predicts “the August-September time frame.” Join Greg Hunter of USAWatchdog.com for this controversial interview with gold and silver advocate Bix Weir.

This interview was posted with permission from http://USAWatchDog.com

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Bill to Give Students Same Banking Deal as Banks Get

Tuesday, May 14th, 2013

Senator Warren, shares her voice of reason that is not predatory, but empowering for students. A must hear!

Sen. Warren Introduces the Bank on Students Loan Fairness Act

Here is a copy of this speech introducing her bill.

warrens_bill_intro