Showing posts with label socialism for the rich. Show all posts
Showing posts with label socialism for the rich. Show all posts

May 19, 2008

Videos to convince you - TIME TO DUMP NANCY PELOSI !! (Democracy at TOTAL Risk)





See Pt 1 first. Bruce Fein, Constitutional scholar who served under Reagan, John Nichols, Author and Correspondent for "The Nation" and Bill Moyers discuss Impeachment, the Constitution, and the Presidencies of Bill Clinton and George Bush.

PETITION TO REMOVE NANCY PELOSI AS HOUSE SPEAKER
http://www.petitiononline.com/everyman/petition.html

Visit the PBS archives to see the complete show and more of Bill Moyers.
http://www.pbs.org/moyers

Pres. Debates critique; also American Reporter Layla Fideland Bill Moyers discuss Iraq(Pt 1)
http://www.youtube.com/watch?v=Nh6mip...
Moyers, Susan Jacoby: American failure in education, reason
http://www.youtube.com/watch?v=nY8Jyn...
John C. Bogel and Moyers, Capitalism and Democracy Pt 1
http://www.youtube.com/watch?v=0jNpQO...
Fall of Rome vs Failure of American Politics and Economy
http://www.youtube.com/watch?v=lXGGm4...
WELFARE for the Wealthy, as U.S. Poverty, Hunger Increase
http://www.youtube.com/watch?v=yGVFOr...
Also: Corp Welfare, Bill Moyers and David Cay Johnston
http://www.youtube.com/watch?v=LUNHwZ...
Health Care reform options from other developed countries.
http://www.youtube.com/watch?v=xxIOSc...


April 24, 2008

impeachment toolkit: history of the US exposed by Matt Janovic

The "Nays" Have Had it: President George W. Bush's Disapproval Rating Higher Than Hugo Chavez, Saudis, and Communist Cuba, States Historic Gallup Poll - Matt Janovic

Washington D.C./The Mainstream Media--As most of the public has been told, approval ratings for American presidents began 70-years-ago, meaning in 1938. At that time, the Democratic Franklin Delano Roosevelt was in office, and the New Deal was coming under fire, primarily from the Republicans and the rest of the business community.

Roosevelt had also attempted packing the Supreme Court, a move he was appropriately criticized for and stopped from doing. Yes, the good-old-days of accountability, it makes the heart swell, just like a Sousa march.

But it should be reflected on that if there had been polls in 1932-33, it's likely that Herbert Hoover would have won the lowest approval rating of any American president, not Harry Truman or George W. Bush. Who cares? The Republicans were the minority party for five decades. There is no better indicator than that, and this was a time when people still voted in reasonable numbers.

For five decades, the American public knew full-well that allowing a Republican majority into government would spell another economic disaster borne out of the GOP's inherent tendencies towards wanton excess and their desire for a lack of oversight in the economy (something they and the Libertarians share in their respective doctrines). Welcome to that disaster. We've collectively forgotten the lessons of the Great Depression, the down-side of losing the WWII generation to the attrition of mortality. The wheel turns.

Truman's push into the Korean peninsula during the early-1950s would never have happened without the 1949 elections that swept Republicans into Congress; representatives like, red-baiting alcoholic Joe McCarthy, segregationist Strom Thurmond, and the demagogue Richard M. Nixon whose "unpopularity" record the current president has broken, flooded into the House and the Senate. Their aim was to wreck the New Deal, which didn't work, but they scored significant victories by pushing us into unnecessary wars. Then came the repression of McCarthyism and the stagnation of the Eisenhower years. Democrats shared
the blame in most all of this then, just as they do now.

Yet, without Republicans pushing the postwar Red Scare, starting with affairs like the Alger Hiss/Whittaker Chambers scandal, the Rosenbergs, and accusing anyone who didn't tow their aggressive foreign policy line as being "soft on communism," there would have been no Korean War (1950-1953), Cuban Missile Crisis, or even a Vietnam War. Imagine the social spending that would have been possible had these conflicts never occurred. We can't.

Iraq is part of an old game: divert the potential for meeting social needs with out-of-control military spending, all thanks to the same whipping-up of fear we've seen today. These same tactics still apply, which is why we're often "treated" to the GOP's flimsy-argument that they're somehow "stronger on national security," a notion that doesn't deserve serious comment or analysis.

Dramatically, the current president of the United States enjoys less popularity than Socialist President of Venezuela, Hugo Chavez. This is because Americans are understanding the the source of the majority of their current problems--the price of gasoline, rampant unemployment, an illegal war costing hundreds-of-millions every day, runaway foreclosures, no reasonably socialized medicine, etc.--originate from the extra-legal policies of the Bush administration and the GOP.

The ultimate source, however, is the economic sector, the big-big rich who both parties truly serve. The majority of the public understands this, and doesn't care for it. Action and participation in the democratic process have been the only real remedies. The public appears to finally be grasping this fact after 30+ years of being politically comatose. While it's rarely reported, the anger is most strongly directed at Congress, for her inaction.

Like any mother who allows her children to be beaten by a demented patriarch, Congress is suffering under even lower approval-ratings than the president. The answer as to the "whys" is a simple one: the public wants Congress to rein-in the president and either force a resignation, or move forwards onto full-impeachment, including that of the vice president. It's commonplace for physically-abused children to blame the other parent more than they blame the actual aggressor. Not doing anything to prevent or end abuses when one actually can constitutes aiding and abetting. Not deciding is deciding.

Irregardless of current congressional inaction in our
disabled system of checks and balances, Americans are becoming much more vocal about their disapproval of politicians in-general:

There is no single explanation for why the percentage who decline to give an opinion of the president's job performance is lower now than in the past. However, one hypothesis is as follows. When Gallup polled in the Truman and Nixon years, respondents may have been more likely to say they didn't have an opinion in lieu of saying they disapproved of the president. In other words, respondents who did not approve of the president's performance--rather than flat-out saying they disapproved--may have simply told interviewers they didn't have an opinion.

Today, as the percentage of "no opinion" responses to the presidential job approval question has declined, Americans appear to be more willing to give a negative response, resulting in the situation in which Bush's disapproval rating is at a record high while his approval rating is not at a record low. ("Bush's 69% Job Disapproval Rating Highest in Gallup History," Gallup, 04.22.2008)

The president is also less popular than the Saudi regime--amazing considering the fact that the American public is generally aware that 17 of the 19 9/11 hijackers were Saudi nationals. The reality is that people are being affected directly by the rapidly rising costs, a result of the high price of oil.

Most stunning is the fact that a majority of Americans look to Communist Cuba as being more reasonable and supportable than the current administration occupying the White House. This wholly contradicts the mainstream media's portrayal of what Americans think, but only a fool would accept their picture. The majority of Americans are weighing how other systems provide for their citizens, and their attitudes overall are far-left. Most importantly for the present: a whopping 69% now feel that we were all lied to to get us into a war in Iraq. Better late than never. War crimes have no statute of limitations. Not even a presidential pardon can make that go away, never.

The Beef, 04.22.2008: http://www.gallup.com/poll/106741/Bushs-69-Job-Disapproval-Rating-Highest-Gallup-History.aspx


April 15, 2008

Worried about the credit crunch? HUNGER IS FAR WORSE

Eating mud, the picture Time magazine does not want middle class you to see
I have previously posted on this disaster

http://ladybroadoak.blogspot.com/2008/01/canada-out-of-haiti-now.html

and now the Haitian government has fallen
http://ladybroadoak.blogspot.com/search?q=haiti

and although I post the second article,
I don't believe in global warming NOR overpopulation
There is a whole klusterfuck of issues that seem beyond
human resolution:
I have to trust Mother Nature has some answers of her own.
Good ones, as the ones made by MAN seem overwhelming.

What the World Eats, Part I

Food Nutrition Eating Health Diet [BOLD

Italy: The Manzo family of Sicily

Food expenditure for one week: 214.36 Euros or $260.11
Favorite foods: fish, pasta with ragu, hot dogs, frozen fish stick

From the Book, "Hungry Planet"


Commentary: Credit Crunch? The Real Crisis Is Global Hunger

This commentary was written by Prof. George Monbiot and appeared in the Guardian edition for Tuesday, April 15, 2008. Prof. Monbiot is visiting professor of Planning at Oxford Brookes University. An author of several books and has held fellowships or professorships at the universities of Oxford (environmental policy), Bristol (philosophy), Keele (politics) and East London (environmental science). His commentary follows:

Never mind the economic crisis. Focus for a moment on a more urgent threat: the great food recession that is sweeping the world faster than the credit crunch. You have probably seen the figures by now: the price of rice has risen by three-quarters over the past year, that of wheat by 130%. There are food crises in 37 countries. One hundred million people, according to the World Bank, could be pushed into deeper poverty by the high prices.

But I bet that you have missed the most telling statistic. At 2.1 billion tons, the global grain harvest broke all records last year - it beat the previous year's by almost 5%. The crisis, in other words, has begun before world food supplies are hit by climate change. If hunger can strike now, what will happen if harvests decline?

There is plenty of food. It is just not reaching human stomachs. Of the 2.13 billion tons likely to be consumed this year, only 1.01 billion, according to the United Nation's Food and Agriculture Organization, will feed people.

I am sorely tempted to write another column about biofuels. Beginning Tuesday morning all sellers of transport fuel in the United Kingdom will be obliged to mix it with ethanol or biodiesel made from crops. The World Bank points out that "the grain required to fill the tank of a sports utility vehicle with ethanol ... could feed one person for a year". This year global stockpiles of cereals will decline by around 53 million tons; this gives you a rough idea of the size of the hunger gap. The production of biofuels will consume almost 100 million tons, which suggests that they are directly responsible for the current crisis.

On these pages Monday Ruth Kelly, the (British) secretary of state for transport, promised that

"if we need to adjust policy in the light of new evidence, we will".
What new evidence does she require? In the midst of a global humanitarian crisis, we have just become legally obliged to use food as fuel. It is a crime against humanity, in which every driver in this country has been forced to participate.

But I have been saying this for four years, and I am boring myself. Of course we must demand that our governments scrap the rules that turn grain into the fastest food of all. But there is a bigger reason for global hunger, which is attracting less attention only because it has been there for longer. While 100 million tons of food will be diverted this year to feed cars, 760 million tons will be snatched from the mouths of humans to feed animals - which could cover the global food deficit 14 times. If you care about hunger, eat less meat.

While meat consumption is booming in Asia and Latin America, in the U.K. it has scarcely changed since the government started gathering data in 1974. At just over 1 kilogram per person per week, it's still about 40% above the global average, though less than half the amount consumed in the United States. We eat less beef and more chicken than we did 30 years ago, which means a smaller total impact. Beef cattle eat about 8 kilograms of grain or meal for every kilogram of flesh they produce; a kilogram of chicken needs just 2 kilogram of feed. Even so, our consumption rate is plainly unsustainable.

In his magazine The Land, Simon Fairlie has updated the figures produced 30 years ago in Kenneth Mellanby's book "Can Britain Feed Itself?" Fairlie found that a vegan diet produced by means of conventional agriculture would require only 3 million hectares of arable land (around half Britain's current total). Even if we reduced our consumption of meat by half, a mixed farming system would need 4.4 million hectares of arable fields and 6.4 million hectares of pasture. A vegan Britain could make a massive contribution to global food stocks.

But I cannot advocate a diet that I am incapable of following. I tried it for about 18 months, lost two stone (28 lbs.), went as white as bone and felt that I was losing my mind. I know a few healthy-looking vegans, and I admire them immensely. But after almost every talk that I give, I am pestered by swarms of vegans demanding that I adopt their lifestyle. I cannot help noticing that in most cases their skin has turned a fascinating pearl grey.

What level of meat-eating would be sustainable? One approach is to work out how great a cut would be needed to accommodate the growth in human numbers. The United Nations expects the population to rise to 9 billion by 2050. These extra people will require another 325 million tons of grain. Let us assume, perhaps generously, that politicians such as Ruth Kelly are able to "adjust policy in the light of new evidence" and stop turning food into fuel. Let us pretend that improvements in plant breeding can keep pace with the deficits caused by climate change. We would need to find an extra 225 million tons of grain. This leaves 531 million tons for livestock production, which suggests a sustainable consumption level for meat and milk some 30% below the current world rate. This means 420 grams of meat per person per week, or about 40% of the U.K.'s average consumption.

This estimate is complicated by several factors. If we eat less meat we must eat more plant protein, which means taking more land away from animals. On the other hand, some livestock is raised on pasture, so it doesn't contribute to the grain deficit. Simon Fairlie estimates that if animals were kept only on land that is unsuitable for arable farming, and given scraps and waste from food processing, the world could produce between a third and two-thirds of its current milk and meat supply. But this system then runs into a different problem. The Food and Agriculture Organization calculates that animal keeping is responsible for 18% of greenhouse gas emissions. The environmental impacts are especially grave in places where livestock graze freely. The only reasonable answer to the question of how much meat we should eat is as little as possible. Let's reserve it - as most societies have done until recently - for special occasions.

For both environmental and humanitarian reasons, beef is out. Pigs and chickens feed more efficiently, but unless they are free range you encounter another ethical issue: the monstrous conditions in which they are kept. I would like to encourage people to start eating tilapia instead of meat. This is a freshwater fish that can be raised entirely on vegetable matter and has the best conversion efficiency - about 1.6 kilograms of feed for 1 kiloggram of meat - of any farmed animal. Until meat can be grown in flasks, this is about as close as we are likely to come to sustainable flesh-eating.

Re-reading this article, I see that there is something surreal about it. While half the world wonders whether it will eat at all, I am pondering which of our endless choices we should take. Here the price of food barely registers. Our shops are better stocked than ever before. We perceive the global food crisis dimly, if at all. It is hard to understand how two such different food economies could occupy the same planet, until you realize that they feed off each other.

Global food crisis - Do we blame Al Gore or George W Bush?

The United States television "news" media seems worse than useless.

The range of topics reported on by the media, on TV and newspapers, here in the states is very narrow, and seems to be a mix of about 40% entertainment news, 30% "feel good stories" ("Awww, look - kittens!" type "news"), 20% of what is happening in America ("Golly gosh gee, that gasoline for my car shuuure is expensive! Back to you, Bob!") and about 10% spent on the rest of the world.

To find out actual news, and not the latest trend in fashion or a celebrity cameo, one must use the internet...

That means that many of us, Americans, who do not use the internet to connect to Reuters and Associated Press, as well as blogs run by unpaid volunteers whose mission it is to inform their readership of political and other news, are screwed - because TV "news" is worse than useless - it is a total waste of time.

The important stories are lost in the Entertainment Tonight updates and the weather...


The one story that is universally missed by everybody is the global food crisis. This is a worldwide phenomenon of rising food prices, affecting all the countries around the globe, from America to Egypt to Pakistan.

So here is the roundup of the news stories in the English speaking world concerning this crisis.

Lets start with American mainstream media on the web:
Egypt moves to appease angry workers
The article talks about a 2 day riot in Egypt, in MAHALLA EL-KOBRA, and the first part of the article does not talk about the causes of the riot, other than vaguely calling it "economic unrest". Then it proceeds to talk about the Muslim Brotherhood (an illegal in Egypt, fanatical jihadist/terrorist organization [most of the members of al Kaida in positions of power were from that organization]), even though the riots have nothing to do with the brotherhood.

Only in the 2nd part of the article, the reader will see "The worldwide rise in prices has struck particularly hard in Egypt" and "Unrest over food prices is not unique to Egypt.".

This was a riot specifically caused over food prices.

Next article:
Expect food prices to keep rising, industry says

Americans who dug deeper into their pockets for groceries last year will face sticker shock again this year when shopping for food, experts said Thursday.

Consumer food prices are expected to rise 3.0% to 4.0% this year after a 4.0% gain in 2007, said USDA Chief Economist Joseph Glauber at the U.S. Agriculture Department's annual outlook conference.

He added that "overall retail food prices for 2008 to 2010 are expected to rise faster than the general inflation rate."


Lets click the link in that article:
Global demand lifts grain prices, gobbles supplies
Soaring energy costs may be roiling the financial markets, but world governments are also being rattled by a more basic form of inflation: sky-high food prices.

Pakistan is stockpiling wheat and using its military to guard flour mills. Indonesian consumers have taken to the streets to protest rising soy prices. Malaysia no longer lets people take sugar, flour or cooking oil out of the country. North Dakota, the top U.S. wheat-producing state, may import from Canada due to tight supplies.

The world is facing the most destabilizing bout of food inflation since the "Great Grain Robbery" of the early 1970s when the former Soviet Union bought massive quantities of U.S. grain, sending prices soaring. That episode helped fuel a Farm Belt boom — and later bust — as soaring exports soured and record agricultural land prices fell.


Lets reread this beginning paragraph and let it sink in; lets take it step by step as that one paragraph contains more information than a 24 hour CNN "news" cycle:

Pakistan is stockpiling wheat and using its military to guard flour mills.

Indonesian consumers have taken to the streets to protest rising soy prices.

Malaysia no longer lets people take sugar, flour or cooking oil out of the country.

North Dakota, the top U.S. wheat-producing state, may import from Canada due to tight supplies.

Countries are stockpiling basic foodstuffs around the world, and using their military to guard their wheat, flour... sugar.

Do you think that the title of this article is alarmist now? GLOBAL food crisis - seems apt

What I find interesting is that North Dakota - is now the number one wheat producing state in the USA, when Kansas used to consistently DOUBLE North Dakota's wheat production (see here for the reports from years 1997, 1998 and 1999):

Wheat production in millions of bushels:
Kansas produced 432.4 in 1999, 494.9 in 1998 and 501.4 in 1997.
North Dakota by contrast produced 242.1 in 1999, 307.7 in 1998 and 269.3 in 1997.

What happened in 2008?
Article N.D. Bests Kansas in Wheat Production states the reason.
First, the reader has to go through the inane, stupifying blabber of a human interest story:
""There's always been that kind of back-and-forth rivalry that goes on between the two of us," said Harlan Klein, an Elgin farmer and chairman of the North Dakota Wheat Commission."

Yeah - thanks Mr. Elgin farmer man, that is fascinating!

Lets dig into the meat of the article:
"We are the wheat state. Nine out of 10 years ... we do produce the most wheat in the United States," said Marsha Boswell, a spokeswoman for the Kansas Wheat Commission and the Kansas Association of Wheat Growers. "We give ourselves that slogan."

OK, so what happened?

Last year's crop in Kansas was decimated by disease and weather, particularly a late-spring freeze and flooding later in the season. Total production was pegged at just under 284 million bushels, a drop of more than 16 percent from the state's long-term average, Boswell said.

And there you have it. That is why North Dakota beat Kansas in wheat production - disease and weather disasters.

Is it possible that floods and wheat diseases in Kansas caused a worldwide food crisis?

Not necessarily, because other staple foodstuffs - like rice - are also affected. It is a BIG contributing factor, but not the main one.

So lets do that intelligence analyst thing and dig into the articles available on the web dealing with the global food crisis and see what is really causing it:

Crop switch worsens global food price crisis
Since the FAO's report in April 2006 tens of thousands of farmers have switched from food to fuel production to reduce US dependence on foreign oil. Spurred by generous subsidies and an EU commitment to increase the use of biofuels to counter climate change, at least 8m hectares (20m acres) of maize, wheat, soya and other crops which once provided animal feed and food have been taken out of production in the US.

In addition, large areas of Brazil, Argentina, Canada and Eastern Europe are diverting sugar cane, palm oil and soybean crops to biofuels. The result, exacerbated by energy price rises, speculation and shortages because of severe weather, has been big increases of all global food commodity prices.

To counter global climate change, countries are putting more and more crop lands and harvests into manufacturing biofuels - because the price of oil, and consequently gasoline is on a record high (no link needed - that is ONE story the US media stays on top of).

Lester Brown, director of the Earth Policy Institute in Washington, said yesterday that land turned to biofuels in the US alone in the last two years would have fed nearly 250 million people with average grain needs. "This year 18% of all US grain production will go to biofuels. In the last two years the US has diverted 60m tonnes of food to fuel. On the heels of seven years of consumption of world grains exceeding supply, this has put a great strain on the world's grain supplies," he said.

"Land turned to biofuels in the US alone in the last two years would have fed nearly 250 million people with average grain needs"

Thank You, Al Gore?

Robert Zoellick, president of the World Bank, said this week that prices of all staple food had risen 80% in three years, and that 33 countries faced unrest because of the price rises. Zoellick urged rich countries to give the UN's World Food programme $500m for emergency aid. The bank plans to increase lending for agricultural production in Africa from $420m to $850m a year in 2009.

"33 countries faced unrest because of the price rises."

33 countries face unrest - riots - because people are starving.

As the bank predicted rice price rises of 55% in 2008, violent protests against the cost of living hit Ivory Coast this week. On Thursday President Laurent Gbagbo cancelled custom duties on imported staple foods and cut taxes on rice, sugar, milk, fish, flour and oils.

I realize we Americans are bad at math, but a price rise of 55% for your food is pretty substantial. Now, we Americans spend only about 10-15% of our wages on food, but countries with much poorer populations spent substantially more - imagine if you spend 60% of your wage on food, say in Ghana, and then in 2008 thanks to the biofuel craze, floods and disease in Kansas wheat fields and other factors (which I will talk about later in the article) to feed your family, your 60% chunk of salary spent on food will be increased... 90%.

And how will you pay for your housing needs, clothes for your children, school?

And this affects ALL countries now, but especially the poorest.

Lets see what happens in other countries - we already know Ivory Coast is hard hit.

In Bangladesh, where families spend up to 70% of income on food, more than 50,000 households are getting emergency food after rice price rises. A government source said: "One reason is that the overall drop in food production because of biofuels has prevented food being exported."

Many countries that switched from traditional crops to rice diets as urbanisation increased face serious shortages and have defied the IMF by increasing wages, lowering prices and banning exports. China has put price controls on cooking oil, grain, meat, milk and eggs.

There have been protests in Guinea, Egypt, Morocco, Uzbekistan, Yemen, Burkina Faso, Mauritania, Niger, Uzbekistan, Senegal, Haiti, Bolivia and Indonesia. In the last two months Vietnam, Cambodia, Egypt, India, the Philippines and Thailand have stopped crop exports or raised prices to more than $1,200 a tonne to discourage exports.

Yesterday Philippine leaders warned that people hoarding rice could face economic sabotage charges. A moratorium is being considered on converting agricultural land for building housing or golf courses. Fast-food outlets are being pressed to offer half-portions of rice.

Wealth of info there. Lets take it slow and pick a few intelligence gems from this part of the article.

In Bangladesh, 50,000 households are getting emergency food after rice price rises, because the people cannot afford basic, cheapest food for their families. Government and voluntary organizatoins and UN is on the case.

China has put price controls on cooking oil, grain, meat, milk and eggs.

There have been protests in Guinea, Egypt, Morocco, Uzbekistan, Yemen, Burkina Faso, Mauritania, Niger, Uzbekistan, Senegal, Haiti, Bolivia and Indonesia.

In the last two months Vietnam, Cambodia, Egypt, India, the Philippines and Thailand have stopped crop exports or raised prices to more than $1,200 a tonne to discourage exports.

Yesterday Philippine leaders warned that people hoarding rice could face economic sabotage charges - meaning you could be put in jail for storing rice and not selling it.

Which leads us to the next paragraph - the next part of the article is key; pay attention:
Robert Zeigler, director-general of the International Rice Research Institute, said it could be months before the market got a clear sense of how high prices could go. "The whole market could become paralysed. Who's going to sell rice at $750 a tonne when they think it's going to hit $1,000?"

My god. Businessmen and farmers are holding on to their production of wheat, rice and other basic foodstuffs, because the price of their produce WILL rise - and by holding on to them, make it a self fulfilling prophecy.

Buying low and selling high, at least as regards food, is now illegal in the Phillipines.

He wrote vividly his advice to Westerners which you can read at:
http://www.monbiot.com/archives/2008/04/15/the-pleasures-of-the-flesh/

Next article:

'Perfect storm' nearly doubles price in three months
The 37-year-old, who leases a small plot of land in Samblong, central Thailand, knows the price of rice has rocketed - in some cases nearly doubling in three months - and that she is about to reap the benefit when she sells what her family does not eat.


But the price rises have a downside and spawned a new phenomenon: rice rustling. One night, one of Samniang's neighbour's fields was stripped as it was about to be harvested. Local police have now banned harvesting machines from the roads at night while on the northern plains farmers are camping in their fields, shotguns at the ready.

"I've never heard of it happening before, that people have stolen rice," said Lung Choop, 68, who grows rice on his smallholding. "But it's happening now because rice is so expensive. I guess I'll have to guard my own distant fields when they're ready."

My god!
This has NEVER happened before - people STEALING rice in Thailand, straight from the rice field, at night.

While prices of wheat, corn and other agricultural commodities have surged since the end of 2006, partly because of extra demand for biofuels to offset rising oil prices, rice held fairly steady.

Wheat and corn increased in price because of the biofuel craze, where (corn chiefly) is taken not to feed animals and humans but to produce fuel. It was inevitable that, even though rice is not used to produce much biofuel, it will rise in price because there is less overall foodstuff to go around - globally.

However, prices for the staple food of about 2.5 billion Asian people rocketed two months ago. Thai rice, the global benchmark, which was quoted at just below $400 (£200) a tonne in January rose to $760 (£380) last week.

Inevitable price hike. This article is from March 31, 2008, by the way.

Severe weather across Asia has also damaged production. Record icy temperatures were recorded in China and Vietnam, the latter of which also suffered a pest outbreak. Bangladesh endured a devastating cyclone while Australia suffered a prolonged drought.

It is not 'global warming', it is 'global climate change'. The whole global warming meme is too simplistic and designed for stupified Americans with limited to no science education.

There definitely IS a global climate crisis, however - so on that score Al Gore was right. The whole biofuels craze however - it is now causing a catastophe around the world, as you can see from reading the news articles linked to this blog post.

Analysis:
What we have here is the perfect storm, as one article called it, in food prices.

Because of the insane American policy in the Middle East, the whole Middle East region (and beyond) is destabilized - politically. The people in the region - Arabs - see America invading a country and occupying it, for oil access, presence in the region (ability to strike at others from bases in Iraq if necessary; in effect an ability to be a big bully and scare other Arab nations into pro-America policies) and last but not least, as I wrote about in my blog before, to keep Israel more secure.

The Arabs in the Middle East are ANGRY.

The invasion and occupation of Iraq is driving oil prices to world record levels, which is good to Saudi Arabia and the Bush family both (Bush is at heart a Texas oil family first, and political family second). It is not just them of course - the oil interests are too entrenched in USA, UK, Netherlands etc. to be ignored and they want their pound of flesh (almost to be taken literally off the world's poor...)

Rising oil prices make people around the world look for substitutes to run their cars - anything to make that car go other than gasoline or diesel. This leads to biofuels, a terribly WASTEFUL process of converting crops into fuel for the cars.

This biofuel craze leads to prices rising first for crops from which biofuels are produced (elementary market 101, less production with same demand = higher price), and then the price rises for foodstuffs which can be substituted for those crops used to make biofuels.

Which leads to worldwide hunger.


To answer the question posed by the title - neither Al Gore nor George W Bush and partially, both are responsible. Both have blood on their hands - both are partially responsible for millions around the world suffering economic hardship and hunger.

Al Gore is correct in his alarm that there IS a global climate change, whether man made or because of natural causes is not important (for my money, it is both - certainly humanity is a contributing factor).

But biofuels is the WRONG way to try to solve this problem. This takes food away from humans and puts the crops into cars - it is a wasteful and inefficient way to use food (for the record, meat production is perhaps an even more inefficient way to produce food, as "Animals raised for food in the U.S. consume 90% of the soy crop, 80% of the corn crop, and 70% of its grain" - source Wiki).

Add to that overpopulation.

We are, in short, a very stupid and inefficient species.
Our decisions now are coming back to haunt us.

What will happen now
What will happen is that the rich, first world countries of USA, Western Europe etc. will continue to produce meat for their citizens, and continue to produce biofuels for their cars. Food will become more expensive, and while Americans and Western Europeans will pay more out of pocket for their food (an increase for Americans and Western Europeans from, say 10% of their salaries that they pay for food to, say, 15%), the poorer countries, where people pay over half of their salary to feed themselves and their families, will suffer. Suffer a lot. Many will go hungry.

Many will die - from hunger, malnutrition, rioting, wars.

This will destabilize the Middle East even more, making America even MORE hated (if that is possible) by Arabs; more, it will lead to more riots and more hardship around the world, in Africa and Asia specifically.


A perfect breeding ground for radical movements and terrorists.

A perfect spawning swamp for jihadi terrorists.


What should happen:
The following rosy scenario will never happen. Too many in power are making their family fortunes off the record price of oil, including the top tier of United States government officials, up to and including the current president.

What should happen is this:
The American government - Congress - makes a new grant to the majority of American universities (and perhaps foreign ones also) to research practical ways of taking oil out of the world economy in as many areas as possible. The intelligent president, having the interest of the nation and the world in his heart, immediately signs it - it is only a few billion dollars, the price of a few old F-16s...


Of course, that is a highly unrealistic scenario, starting with the fact that Congress will never make such a law (or at least an effective version of it) because the oil lobby money would guarantee the senators necessity to look for other jobs after next elections...

And the American president having the interest of this country, and even the rest of the world at heart - that is almost science fiction territory...

But let us hope...

Let us proceed with this scenario...

One must remember that oil is used not just for fuel in cars, airplanes, tanks etc. but also in many industrial and chemical processes - for example, plastics are made from oil.

What must happen is that we must wean ourselves from oil, as quickly as possible, and as efficiently as possible, as a nation and later on as the human race.

The United States could be a world wide leader in this enterprise, and it would benefit this country immensely:

First, by taking us off the oil "crack cocaine", we would save billions each month.

Second, it would make us less dependent on other nations, and perhaps we, America, would not need to prop up evil, tyrannical, anti-democratic regimes around the world in oil producing countries (I am looking at you, Saudi Arabia).

Third, it would catapult America into (again, for second time) a global technology leader, with American companies reaping a windfall off the new technologies (not just for cars but plastics production, etc).


A grant towards this nation's universities (and other nations' schools also, perhaps) would be a good first step on a way to (economic and political) sanity.

I am speaking here not as an American, but a human being - Terran, if you will.
A human being concerned about the whole human race.

...

But this will never happen, and people in the 3rd world will starve and die, and both biofuels and meat will be produced; we in America and Western Europe will pay a bit more for food and grumble a bit more.

Meanwhile the venal, criminally negligent ruling elites will make more and more money off this situation, granting them more and more power.

Bonus material:
And the hits just keep on coming.

A good webpage to see regarding this topic is http://www.climatechangenews.org/nFood.html.

Despite the partisan sounding title, all it does is link articles from mainstream newspapers from around the world (but mostly UK and USA) dealing with this topic.

Particularly interesting are these:
Australia's food bowl lies empty:
After America, Australia is normally the second largest exporter of grain, and in a good year it would hope to harvest about 25 million tonnes.

But the country remains in the grip of the worst drought in a century, which is why the 2006 crop yielded only 9.8m tonnes.

Global wheat stocks are at their lowest levels since 1979, and the ongoing Australian drought is one of the reasons why.

This is slightly bigger than Kansas, Dorothy...
This is the 2nd wheat producing country in the world, going from producing 25 million tonnes to barely 10 million tonnes of wheat...

Uganda: 1.5 Million People Face Starvation Due to Foods, Drought
And it goes on and on...

Time to start the alarm bells in worldwide "think tanks" and government offices.

March 27, 2008

Buddy, can you spare me a few billion?


CCU
26.92, -5.64, -17.3%)
said a Texas judge granted a temporary restraining order for banks not interfere with or thwart consummation of a planned $19 billion buyout by private-equity firms Thomas H. Lee Partners LP and Bain Capital Partners LLC. "We are pleased that the banks and the purchasers will now be able to move quickly to complete the loan documents and fund the merger," Clear Channel said in a statement.

March 17, 2008

Dr. Michael Hudson: Dismantle the empire to save it

Save the Economy, Dismantle the Empire

A Grand Global Bargain?

By MICHAEL HUDSON

Today's deepening financial and economic crisis cannot be alleviated without addressing a number of problems that the public does not really want to hear about. Even to cite them raises a wall of cognitive dissonance.

For starters, today's debt problem is not marginal, but has become structural--and structural problems cannot be solved with merely marginal palliatives. What Alan Greenspan called "wealth creation" turned out to be asset-price inflation--bidding up property values and the stock market on credit. The Bubble Economy loaded down households, real estate and entire companies with debt, while the Bush tax cuts for the higher tax brackets forcled to soaring federal, state and local budgets much more deeply into debt.

This policy could continue as long as debt inflated property prices at a faster rate than the interest rate that had to be paid. But paying interest and amortization charges diverted consumer and business spending away from consumption and production. This is what the term "debt deflation" means. The financial and property sectors received the income formerly spent on goods and services. If one has to pay dDebt service is not available to on loans that were issued to bid up real estate and stock prices, this income cannot be spent on consumer goods (for homeowners) or for capital investment (for debt-leveraged companies). The effect iwas to slow sales and business income, and hence the commercial rental and real estate market.

By 2006 a point was reached where debt service grew to exceed operating income or the ability of many homeowners to carry--especially when interest rates jumped. The Fed's bailout idea of bailouts of bad debts is simply to lend debtors enough to pay their bankers and other creditors, subsidizing their insolvency with enough to keep current on obligations theyn cannot otherwise afford. The alternative is negative equity: the sale of homes, office buildings and companies pledged as collateral and sold at prices below the mortgage or bond loan value. Such subsidy merely buys time for the debt problem to become even more deeply engrained.

The reality is that the existing level of debts cannot be paid. The problem is by no means confined to the bottom of the economic pyramid, but is concentrated at the top. The U.S. Government itself turns out to be the world's largest subprime debtor. Its $2.5 trillion debt to foreign central banks--and even larger private-sector debt to other foreigners--cannot be paid, given the nation's heavy military and trade deficits. Recognition of this political fact at the core of the international financial system has led foreign governments and investors to dump dollar-denominated bonds and stock. This has driven down the dollar's exchange rate, raising dollarized prices for oil and other raw materials.

What is ironic is that tThe larger the U.S. trade deficits and foreign military spending have grown, the more of these dollars are turned over to foreign central banks by foreign exporters and other recipients of U.S. funds. Central banks then find themselves with little to spend their money on, except to buy U.S. Treasury securities. They have bought so many that Americans have not had to bear the cost the U.S. federal budget deficit by buying the bonds to finance it. Foreigners have bought themse bonds. This means that, iIn effect, they have loaned the U.S. Government the dollars and foreign exchange to wage its war in the Near East--a war that most foreign voters do not support! To fund the U.S. payments deficit and federal budget deficit is to subsidize this war.

In the last few years, foreign governments have sought some alternative to buying U.S. Treasury bills. But when the Chinese sought to buy Union Oil assets, Congress vetoed the deal, accusing government ownership of leading down the road to serfdom. For China to buy into U.S. privatizations, it would have to believe that the U.S. Congress would let it raise road tolls and other infrastructure access fees by enough to compensate it for the dollar's decline. The more likely response would be new complaints against the Yellow Peril. So foreign governments are finding themselves stuck with dollars they cannot use to buy real U.S. assets, and also cannot buy spend on U.S. exports now that the country is de-industrializing. All they can do is lend money to the U.S. Government.

This is the road that drove the Medici bankers bankrupt a few centuries ago. By 1776, Adam Smith was led to conclude that no government ever had repaid its foreign debt. No private sector has reduced its debt level for long either--except through bankruptcy, moratorium and repudiation. These are the options that face us today. But they are not politically acceptable for public discussion. The last time the economics profession addressed the global debt problem was in the 1920s, in response to the unpayably high level of German reparations and Inter-Ally arms debts to the United States. Since that time there has been much talk of monetary theory, but little attention to measuring the ability of economies to carry their domestic and foreign debt overhead.

This week the Fed tried to reverse the plunge in asset prices by flooding the banking system with $200 billion of credit. Banks were allowed to turn their bad mortgage loans and other loans over to the Federal Reserve at par value (rather at just 20% "mark to market" prices). The Fed's cover story is that this infusion will enable the banks to resume lending to "get the economy moving again." But the banks are using the money to bet against the dollar. They are borrowing from the Fed at a low interest rate, and buying foreign euro-denominated bonds yielding a higher interest rate--and in the process, making a currency gain as the euro rises against dollar-denominated assets. The Fed thus is subsidizing capital flight, exacerbating inflation by making the price of imports (headed by oil and other raw materials) more expensive. These commodities are not more expensive to European buyers, but only to buyers paying in depreciated dollars. (This also squeezes Latin America and other countries in the dollar area.)

The Fed's behavior (not only under Alan Greenspan) raises the question of whether central banks really are necessary. Their idea always has been to sponsor creditor-oriented rules, financial deregulation, and to bail out to the financial sector at public expense, painting the economy into a debt corner. But having done so, the Federal Reserve cannot solve the problems it has created under the Greenspan regime. Its role--and indeed, that of central banks in general--is to pursue precisely the kind of policies that have created today's financial quandary.

Ever since the Bank of England was founded in 1694, central banks throughout the world have represented the interests of the commercial banking system. Unfortunately, the financial time frame always has been short-term. Banks make money by finding more and more clients to borrow funds, while investment bankers and brokerage houses take their commissions and run. Their interest is in promoting a Bubble Economy that will induce real estate buyers and corporate raiders to borrow so as to ride the wave of asset-price inflation. This borrowing seems at first to be self-sustaining as borrowers bid up prices for property, stocks and bonds. These assets then can be pledged as collateral for even larger loans as prices and debts rise together.

This is the kind of "wealth creation" for which Mr. Greenspan sought to take credit. But alas, it is not a process that provides stability for the economy at large. As the financial sector's interests have come to be opposed to those of the "real" economy of consumers and producers, Federal Reserve policy seeks to solve the debt problem with yet more debt, in the form of bailouts to banks that have made bad loans. The bailout is designed to enable banks to lend money to support asset prices and preserve the market price of collateral pledged to back their mortgage loans and lending to highly leveraged companies and hedge funds. In bailing out banks to increase their loans to achieve these ends, the Fed has become an active player in a financial war to indebt real estate, labor and industry all the more.

The result is an unprecedented intrusion of Big Government, not in a socialist manner but one that uses the public purse to proteduct finance and property at the top of the economic pyramid. This is done by leading down a uniquely financial road to serfdom, by promoting a regime of debt peonage. Via the Federal Reserve system, the government is "solving" the ending of the Bubble Economy by providing enough loans to indebt industry and agriculture, labor and tangible capital as it borrows the money to pay debt service on loans that otherwise would fall into default.

But as noted above, the most problematic debt is foreign debt, and the major subprime international debtor is the U.S. Government. It is now indebted to foreign governments (via their central bank holdings of $2.5 trillion in dollar reserves) and to private investors (another few trillion) beyond the nation's ability to pay, not to mention beyond its political willingness to do so. That is why foreigners no longer are accepting the dollars being thrown off by U.S. consumers, U.S. investors buying foreign enterprises, and the U.S. military extending its bases abroad.

And as the dollar falls, import prices rise, headed by fuels and minerals.

Something has to give. How can homeowners and businesses pay their debts, if their operating costs for heating, electricity and transport are absorbing their income?

The only way to stop this hemorrhaging is to negotiate a debt writeoff, starting with the U.S. Treasury bonds held by foreign central banks. But what does the United States have to offer? To ask foreign governments to make an economic sacrifice of this magnitude cannot be negotiated without the U.S. Government negotiating a grand global bargain. Having little quid pro quo to offer, the most promising way to get foreign countries to voluntarily give up their financial claims on the U.S. economy must include the one thing America can offer--the military dimension.

There is only one way that I can see this being done. The United States would agree to dismantle all its overseas military bases (or at least, those outside of the Western Hemisphere). This would mean relinquishing its dream of imposing world hegemony by force of arms. This also would free it--and other countries--from the post-Cold-War arms race. It would help revive the "real" economy's production and consumption by freeing revenue for spending on consumption and new direct investment. In the process it would free the United States from "Pentagon capitalism," that is, cost-plus production contracts that seemingly has led American industrial engineering to be incapable of cost-minimizing production methods, thereby losing what used to be its competitive technological advantage.

Foreign countries are coming to view the United States from the same perspective that the Bush Administration viewed other countries: Any economic potential is by definition military in character. It follows that what COULD be, should be stifled at the outset. The United States has become the world's major aggressive destabilizing force. Without dealing openly with this military "elephant in the room," any alleviation of foreign claims on the U.S. economy by foreign governments would simply permit America to maintain and even to increase its global military presence, building yet more foreign bases and imposing a yet larger balance-of-payments drain on the dollar. "Supporting the dollar" is synonymous with subsidizing the Executive Branch's addiction to hegemonic military diplomacy.

Unfortunately, this is not a truth that the American public wants to hear.

Michael Hudson, a professor of economics at the University of Missouri at Kansas City, was Chief Economic Advisor to the Kucinich-for-President campaign. He is the author of Super Imperialism: The Economic Strategy of American Empire.


Mogambo Guru speaks as the darkness descends

BORROWING TO GET A BETTER BARGAIN
by The Mogambo Guru

A reader of Agora Financial’s 5-Minute Forecast wrote, “You spend a lot of time talking about the loss of purchasing power of the dollar – and rightly so. Therefore, I fail to see the problem with anyone spending dollars as quickly as possible and incurring debt. That dollar spent today will be worth less, if not worthless, tomorrow, and the dollar repaid will be of lower value than the dollar borrowed. Can’t have the argument both ways.”

I was hoping that someone would ask me to field that question, as I was really chomping at the bit at the sight of a potential target for a test-drive of Random Mogambo Attack Mode (RMAM), where I take strange, unnatural delight in punishing stupidity by being rude, sarcastic, insulting, arrogant, argumentative and truly hateful, as is implied by the words “Attack Mode”.

And my reply would have been a real bargain, too, as it was a “two-fer”; not only would I have rebutted the argument, but I would have also been entertaining in a horrifying, embarrassing way, for no extra charge! Free!

For those who wish to hear my entire reply, I have handily expurgated the screaming obscenities, malicious lies, various libels, incoherent words and phrases, personal attacks and random death threats, and now the entire 50-page essay is boiled down to just the paragraph, “If you can guarantee that you will have an income that will rise faster than inflation, interest and taxes for the rest of your future life as your debt rises for the rest of your future life, then you are right; borrow as much as you want and party down, dude! You will, indeed, be paying back with cheaper dollars, handing yourself a bargain in the process, which is no problem for you because you are so smart and important that your employer will no doubt be happy – happy! – to pay you more and more wages and benefits at a rate that is actually higher than inflation in prices and taxes, for all the rest of your life! Lucky you!

“But if you are like the rest of us miserable creeps out here who are living hand-to-mouth and are one lousy ‘written reprimand in our employee file’ away from being fired and probably sued for sexual harassment or that whole embezzling thing, then no; borrowing for the sake of getting more of a bargain on some consumer item is really, really, really stupid.”

And I say this because a study by the University of Central Florida found that, as reported by the St. Petersburg Times,

“56 percent of low-income respondents said they could not pay their bills if they missed one month’s pay”
, which is not very remarkable since these are low-income people. But the startling part is that
“38 percent of middle-income respondents” also said that they could not pay their bills if they missed one month’s income, and that “24 percent of upper-income respondents made that same claim”!

And what percent of each class felt like they were so far in debt that “they will never be able to get out”? Oops! Low income: 25 percent. Middle income: 14 percent. Upper income: 10 percent!

And they are not going to get any help from their houses going up in value, as Martin Weiss of moneyandmarkets.com reports that, “The S&P/Schiller Home Price Index plunged 9.1% in December. Worse, the median price of new homes sold has tanked 15.1% from January of last year, the biggest drop in any month since at least 1964, when they first began tracking this measure.”

And so it is obvious that the reason nobody has any money is because they have no more money or credit after paying higher prices for everything else, as you can surmise from Ambrose Evans-Pritchard at Telegraph.uk.co, who reports that

“40pc of the world economy has an inflation problem”, which he proves by reporting inflation of consumer prices in China (7%), Vietnam (15%), Russia (12%), Bulgaria (12%) Romania (8%) Estonia (11%), The Emirates (12%), Qatar (14%), and India (5%).

And where did all of this inflation in prices come from that is making people hungry and angry? Mr. Evans-Pritchard is right on the money when he says, “I totally agree with those who blame the debt crisis on the irresponsible policies of the Fed and fellow central banks from 2003 to 2006, and indeed for [the] better part of fifteen years. They stoked this bubble by artificially holding rates too low (by government fiat). The money leaked into asset prices, just as it [did] in the US in [the] 1920s, and in Japan in the 1980s. (Two other low inflation eras).

“In effect”, he says, “central banks rigged the price of credit. In doing so they caused massive ‘inter-temporal misallocations’, to use the posh term of the BIS.

Or put another way, they stole prosperity from the future.”

You can imagine the powerful cinematic effect when he added, with just the perfect touch of ominous undertones, and augmented by my adding a soundtrack of people screaming while being torn apart by ravenous wolves,


“The future has now arrived.”


Ugh.

Until next week,

The Mogambo Guru
for The Daily Reckoning

The Mogambo Sez: “There is a darkness descending upon us.” Well, that was my first thought, and with which I was pleased in a strange, pretentious little literati way, but upon reflection, now I change that to, “The thread holding the sword of Damocles suspended above our economic heads is unraveling”, which suits the situation perfectly, but unfortunately doesn’t lead me to a clever segue to how you should buy gold and silver bullion, and oil stocks to save your financial butt, but which is, once you think about it, so obvious I don’t even have to mention it to someone as smart as you!


August 18, 2007

Financial PANIC 2007

Saturday, August 18, 2007

From a great blog, Politicsplus.blogspot.com --

Think though -- the DemocRATS knew this was coming. Some leadership, forget THEM doing anything about this!! - V

Socialism for the Rich; Free Enterprise for the Rest of Us

discount rate The Federal Reserve, saying for the first time that the recent disorder in the financial markets has raised the risk of an economic downturn, took the unusual step yesterday of encouraging the nation’s banks to borrow directly from the Fed, particularly to support home mortgage lending.

The early morning announcement of a drop in the so-called discount rate, made even before the stock market opened, sent Wall Street soaring as relieved investors celebrated the Fed’s tacit acknowledgment that it had made a mistake last week in playing down concerns over the spreading distress in the credit markets. After falling for six straight days, the Dow Jones industrial average shot up 233.30 points, to 13,079.08, a 1.8 percent increase.

The Fed, while not yet cutting a rate that wields more influence over the economy, moved to stimulate lending in part because it recognized that even well-to-do families with good credit ratings were having difficulty getting mortgages. That problem, radiating through the housing market and then the broader economy, had “the potential to restrain economic growth,” the Fed said.

The sudden action also suggested that the nation’s central bankers were worried that a major financial institution might be at risk of failure if the Fed did not move before its policy makers gather for their next regular meeting, on Sept. 18.

Analysts predicted that the Fed was likely to go further, cutting market interest rates soon, perhaps even before its meeting next month if its action yesterday does not help to shore up confidence on Wall Street and elsewhere in the economy.

The mechanism for lifting the mortgage market was a cut of half a percentage point, to 5.75 percent, on borrowing from the discount window, a normally rare practice in which the Fed lends directly to banks facing some sort of trouble... [emphasis added]

Inserted from <NY Times>

When we strip away the high sounding terms like potential to restrain economic growth, we are left with a bailout of super-rich corporations. Lending by the fed increases the debt that taxpayers have to pay back, so this is a perfect example of socialism for the rich.

HomelessFamily ...These are tough times for the wealthy.

What has happened during the Bush years, with the Bush ethic of “grab all you can” greed, is the stench of a new Gilded Age that is morally disgraceful, economically unsustainable and politically deadly for Republicans if the Democrats speak clearly against this.

Hillary would probably argue that the wealthy, like special-interest lobbyists, are just plan old Americans who never influence government with their money. Some in Congress will have to interrupt their fundraisers and offend their campaign contributors. For most Democrats, this is the issue of a lifetime, the stuff of which landslides are made of.

Is it right that American troops are told we can’t afford to give them body armor and protected vehicles, so they die preventable deaths, while the highest-income 1 percent receive huge tax cuts?

Is it right that the new racket on Wall Street is that banks make bad loans, sell them to hedge funds and private equity firms, many of whom are virtually unregulated and untaxed, who then complain about their pain after they foreclose on average Americans for falling a little behind their payments?

It is good that today the Fed cut the prime by 50 points, but it is bad, and terribly wrong and unjust, that in the last week the Fed has essentially used Americans’ money to bail out the wealthy who made the profits, while doing zero for the foreclosed and homeless.

When the banks, hedge funds and private equity firms make bad deals, they keep the personal profits, while the corporate profits are protected by bailouts. Meanwhile, when the average Americans in the middle class, or the poor, fall a little behind, they get the boot, they lose their jobs, they are thrown into the street without homes and often without food... [emphasis added]

Pasted from <The Hill>

Yes, we can see the socialism for the rich on Wall Street in the rejoicing of investors that the Crawford Corporate Crook has once again come to their rescue at our expense. Free enterprise for the rest of us is also easy to see. Just walk downtown in your city and see the homeless families free in their suffering while Bush rants on about cutting social programs.

2 opinions:

Lady Broadoak said...

This is a premier example of why the two-party system doesn't work and never will be able to do so.

The signs were clearly on the wall that this clearly illegal financial bailout would take place (ever hear of PRICE FIXING? Surely, RICO laws apply, everyone's been gang banged). Yet CONgress cheerfully sat around doing nothing, allowing the Federal Re$erve to bide its time doing nothing allowing the "bubbles" to have their fateful effects. A bit convenient ..?

The DemocRATS may be able to kid themselves, but they don't fool EVERYONE else. They are incapable of any leadership; they've allowed themselves to go MORALLY bankrupt under the "rules of engagement" as they supported the worst war EVER in Iraq and Afghanistan.

The die is already cast.

I can't wait to hear all the lobbyi$t bloated politician$ wax on and on about the needed financial sacrifice$ that need to be made to $ave America ..

Get ready for a new round of taxobabble ....

Meanwhile watch the markets carefully to see how the armaments industry, the metals, the mining stock$, go up, and UP and UP!!!

Damned diabolic is all I can actually say. EVIL.

Anonymous said...

This entire fiasco was predictable. Any fool could see that the "alternative" mortgage industry could only continue to work as house prices continued to rise. The mortgage system has been turned into a Ponzi scheme. I would expect that the next step is wild gyrations in currency prices as people realize that the "full faith and credit" of the US government is worth as much as a Bush promise.



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