Hard Work, Brains and Education are No Longer a Ticket to a Better Life
Our low and moderate-income earners have been virtually shut out from upward income and social mobility. Those with high school educations or less are confronted with stiff competition from illegal aliens who are promoted by our President and part of Congress. Their wages and purchasing power has been decimated and business and corporate profits have exploded. It's nothing less than a form of corporate enslavement. Those who go to university and put themselves into debt find those good paying jobs under free trade and globalization have been offshored or outsourced to some distant land. During the reign of George II the availability of decent jobs has fallen dramatically as corporate earnings hit new records. We might also add that the rich never paid so little in taxes. Making matters worse 85% of new jobs available do not offer health care or pensions. People cannot make ends meet and will have to work until they cannot anymore. This is not a pretty picture, but it is a realistic one. Employers do not even have to offer a livable wage. There are plenty of illegal aliens or people in China, India or Mexico who will do the job for less. Labor unions are almost extinct and workers overall have little bargaining power. We often see college graduates earning $32,000 to $50,000 a year. As we look back 1945 to 1971, were the golden years of employment and upward mobility. Hard work, brains and education are no longer a ticket to a better life. This is why we promote an end of illegal immigration and a reintroduction of protective tariffs, because without them we cannot survive economically, financially and culturally. Above all in addition we badly need a major political upheaval. Most Republicans and Democrats in national office are either bought off by campaign contributions or are compromised. We need a third party to break what is essentially a one-party monopoly. We have to stop H1B type programs because they are used to bypass American workers so business can hire foreigners for 1/3 to 1/2 the cost. The program should be terminated. High usage of such workers reduces the bargaining power of American workers. It keeps them from acquiring higher wages that presently do not keep up with real inflation. We have many with university educations just sliding by and surviving. That is terrible, but what is worse is the plight of American citizens at the bottom of the employment totem pole. Banking and Wall Street like things the way they are – they do not want change – because it cuts into corporate profits. They want low interest rates, a cheap dollar, unlimited immigration and few regulations. They do not care if living standards improve for the masses. All they care about is how much money they can accumulate. The right man for our time, now, is Ron Paul. He can take the average American where we all want to go and that is to prosperity and freedom. In the process in our primaries we have to defeat every incumbent so we can get the refuse out of Congress. Since 1971 the Fed and Wall Street have brought us one calamity after another. The most recent were the stock market collapse early in this decade, and now the real estate collapse, both of which we were fortunate enough to have predicted. The Fed created both bubbles in collusion with government intervention, real estate, mortgage lending and the investment banking industry, including the rating agencies. This was one of the greatest scams of all time just to keep the economy from collapsing. The result is a monumental real estate collapse, a plunging dollar and an ongoing credit crisis. In addition, we have a collapse of complex structured assets. This is accompanied by collusion of government with Wall Street, banking and the Fed to bail out their friends and to again allow the American public to pay the bill. They even want a public bailout if they can get away with it. It wasn't but several generations ago that bankers had unlimited liability and before the "Great Depression," bank shareholders did as well. Due to changes banks entered the casino business. They now could care less about asset quality or liquidity. If they get in trouble they just go to the Fed, which manufactures credit and get bailed out. Banks now play fast and lose and reap great profits and when they fail they get bailed out. As we have just seen again like in the 1920s and 1930s, universal banks should never have been allowed to be recreated by the destruction of the Glass Steagall Act. If you reach back 13 years you will find the National Partners in Home Ownership, was formed to increase creative financing methods for mortgage origination. As a result you saw what happened over the last five years. The totally unqualified were given mortgage loans by the millions. There were no regulations and no controls. Now look at the result. A disaster that will take America into depression. The Fed, the originators, the lenders and the investment banks should all he under indictment. That won't happen; too many of them are Illuminists. Next the bond insurers will go under – all they have to do is raise more capital, which rating services gave them the time to do, with all the bailouts, lots of companies will fail over the next year and that will expedite the recession. It was bad enough that bankers made the poorest loans possible but worse was that the change in lenders' standards caused contagion and lack of trust and confidence throughout the system. The ultimate results of such a loss of faith is a reduction in the availability of credit, irrespective of how much is made available by the Fed. Then as soon as the Fed loses control, deflation begins. The Fed will attempt to prolong that day as long as possible. This is already borne out in part by banks tightening credit for all borrowers. You will see this episode played out over the next few years. Over half of Americans are living in a state of denial. They want to believe tripe on the nightly news, and the pronouncements by Treasury Secretary Paulson that the real estate collapse and the credit crisis are contained. The still low interest rates have allowed Americans to continue to function albeit buried in debt. They are terrified about falling house prices and the fear that their credit card lines will be cut back. They are concerned that we may be in recession and that their job may be outsourced overseas. They say nothing, they watch and hope. They are fearful of our government and our system. They are afraid to speak out. Some are beginning to realize that the Fed forced trillions of dollars into the financial system so that the economy wouldn't collapse five years ago. The result was a housing bubble that kept the economy from collapse and the elitists away from exposure of what they were doing. We are headed toward another great depression and Americans are occupied with sports, movies and DVD's, as well as totally managed news. They are not concerned that millions of jobs have been lost to illegal aliens and that their college graduate children cannot get jobs because they have all been outsourced to other countries. We have hundreds of thousands of veterans living under bridges. Our VA is overwhelmed and doesn't have the funding to help these mentally and physically wounded. Our own medical system is in chaos and costs a fortune, as the drug companies and their shareholders get richer and richer. Business and corporate interest revel in the slave labor on our street corners, a product of our failed trade agreements. The corporations hide behind their corporate cover reaping in profits much of which remains offshore, so it can be taxed again at 5- 1/4% to get it to return to America. A few are benefiting obscenely at the expense of most Americans. America has no pride left; it has become a nation of con men and crooks. Only the poor and habitual criminals end up in jail. We are about to lose our machine tool industry completely. Those who could train our young are dying off. If we do not act soon and elect Ron Paul and defeat the incumbents in the primaries there won't be anything American's can be proud of, like our manufacturing, tool and die shops, steel mills, etc., which have long ago left our shores. America is asleep and it had better wake up soon. We are the Titanic and if we do not change course we will be in permanent trouble. Finally the yen carry trade's days may be numbered. The reversal began last July and the phenomenon that has injected $1.5 trillion into world markets is nearing an end. The unwinding is taking place right before your eyes. That means the stock market and other markets are going to unwind as well. The Bank of Japan's suppression of the yen has run its course. This unwinding is not coming at a good time, as real estate and a credit crisis envelop the US economy. The amount of money US employers spend on health benefits will continue to rise at twice the rate of inflation in 2008, prompting an increasing number of employers to drop coverage for their employees. Those costs rose 6.1% in 2007, at the same pace as last year or $7,983 per employee. Health cost growth is outpacing wages and material costs, and is eating into business profitability. This puts us down to a third world level on benefits. With employers with less than 200 employees coverage fell from 63% to 61% in 2007 from 66% last year. As we predicted rising delinquency rates on car, truck and motorcycle loans are going to become as big a problem as mortgages. Auto loan back securities sold by Ford Credit and GMAC Financial showed high delinquency rates in September and October. It is called contagion and recession. We are seeing car loan delinquencies in auto asset-backed securities. GMAC ABS issued earlier this year reached 0.75% from 0.6% in September and October. Goldman Sachs Global Alpha hedge fund will lose $6 billion in assets this year, a 60% decline, because of bad trades and client withdrawals. The fund fell 22.5% in August. Morgan Stanley's chief Asian economist Stephen Roach says, "The US consumer is toast." He believes that a recession is more likely than not. 1,000 people turned out at UNLV to hear Ron Paul. Mitt Romney drew only 200 in Henderson; Ron knocked them dead. With overwhelming bipartisan support, Rep. Jane Harman's "Violent Radicalization and Homegrown Terrorism Prevention Act" passed the House 404-6 last month and now sits in Joe Lieberman's Homeland Security Committee. Swift passage seems certain for the two ardent Zionists. The bill is designed to stifle dissent. As usual our media remains mute and all of the presidential candidates have ignored the issue. Harman's bill tramples constitutional rights by creating a commission with sweeping investigative powers and a mandate to appose laws prohibiting whatever the commission labels homegrown terrorism. The commission has the power to hold hearings, take testimony and administer oaths; an authority not granted to even individual members of the commission. These will be little Joe McCarthy's, who will tour the country to hold their private hearings. Harman has attacked the Internet, criticizing it for providing Americans with access to broad and constant streams of terrorist-related propaganda, which she and Israel consider anti-Zionist. The military is demanding that thousands of wounded service personnel give back signing bonuses because they are unable to serve out their commitments. They lost arms, legs, eyesight and hearing and can no longer serve. We recoil in profound disgust that any government could be so callous. This is as cold hearted as it gets. |
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We have often reported that since 8/15/71 it has been all down hill for the American economy. That is the date we left the Gold Standard. Since then there has been a decline in the purchasing power of the dollar. A decline that has forced a need for two incomes to replace the one income that was needed in 1970. What has been in process during the last 37 years is the disappearance of our middle-class and the limited ability to reach middle-class status. Our fiat currency has brought us decline and will eventually bring us impoverishment.