Tag Archives: economy

33 Strange Facts About America That Most Americans Would Be Shocked To Learn

America-Flag-Map

Did you know that about one-fourth of the entire global prison population is in the United States?  Did you know that Apple has more money than the U.S. Treasury?  Did you know that if you have no debt and also have 10 dollars in your wallet that you are wealthier than 25 percent of all Americans?  Did you know that by the time an American child reaches the age of 18, that child will have seen approximately 40,000 murders on television?  There are some things that are great about the United States, and there are definitely some things that are not so great.  Once upon a time we were the most loved and most respected nation on the entire planet, but those days are long gone.  We have wrecked our economy, we have lost our values and we have fumbled away our future.  But if you look close enough, you can still see many of the things that once made this country a shining beacon to the rest of the world.  This article includes some weird facts, some fun facts, but also some very troubling facts.  It has been said that a spoonful of sugar helps the medicine go down, and hopefully as people enjoy reading the fun facts in this article they will also take note of the more serious facts.  If we are ever going to change course as a nation, we need to come to grips with just how far we have fallen.  The following are 33 strange facts about America that most Americans would be shocked to learn…

#1 The amount of cement that China used from 2011 to 2013 was greater than the total amount of cement that the United States used during the entire 20th century.

#2 In more than half of all U.S. states, the highest paid public employee in the state is a football coach.

#3 It costs the U.S. government 1.8 cents to mint a penny and 9.4 cents to mint a nickel.

#4 Almost half of all Americans (47 percent) do not put a single penny out of their paychecks into savings.

#5 In 2014, police in the United States killed 1,100 people.  During that same year, police in Canada killed 14 people, police in China killed 12 people and police in Germany didn’t kill anyone at all.

#6 The state of Alaska is 429 times larger than the state of Rhode Island is.  But Rhode Island has a significantly larger population than Alaska does.

#7 Alaska has a longer coastline than all of the other 49 U.S. states put together.

#8 The city of Juneau, Alaska is about 3,000 square miles in size.  It is actually larger than the entire state of Delaware.

#9 When LBJ’s “War on Poverty” began, less than 10 percent of all U.S. children were growing up in single parent households.  Today, that number has skyrocketed to 33 percent.

#10 In 1950, less than 5 percent of all babies in America were born to unmarried parents.  Today, that number is over 40 percent.

#11 The poverty rate for households that are led by a married couple is 6.8 percent.  For households that are led by a female single parent, the poverty rate is 37.1 percent.

#12 In 2013, women earned 60 percent of all bachelor’s degrees that were awarded that year in the United States.

#13 According to the CDC, 34.6 percent of all men in the U.S. are obese at this point.

#14 The average supermarket in the United States wastes about 3,000 pounds of food each year.

#15 Right now, more than 200 million people around the planet are officially considered to be unemployed.  Meanwhile, approximately 20 percent of the garbage that goes into our landfills is food.

#16 There is a city in Bangladesh called Dhaka where workers are paid just one dollar for every 1,000 bricks that they carry.  Meanwhile, the “inactivity rate” for men in their prime working years in the United States is hovering near record high levels.

#17 According to one recent survey, 81 percent of Russians now have a negative view of the United States.  That is much higher than at the end of the Cold War era.

#18 Montana has three times as many cows as it does people.

#19 The grizzly bear is the official state animal of California.  But no grizzly bears have been seen there since 1922.

#20 One recent survey discovered that “a steady job” is the number one thing that American women are looking for in a husband, and another survey discovered that 75 percent of women would have a serious problem dating an unemployed man.

#21 According to a study conducted by economist Carl Benedikt Frey and engineer Michael Osborne, 47 percent of the jobs in the United States could soon be lost to computers, robots and other forms of technology.

#22 The only place in the United States where coffee is grown commercially is in Hawaii.

#23 The original name of the city of Atlanta was “Terminus“.

#24 The state with the most millionaires per capita is Maryland.

#25 There are more than 4 million adult websites on the Internet, and they get more traffic than Netflix, Amazon and Twitter combined.

#26 86 percent of men include “having children” in their definition of success.  For women, that number is only 73 percent.

#27 One survey of 50-year-old men in the U.S. found that only 12 percent of them said that they were “very happy”.

#28 The United States has 845 motor vehicles for every 1,000 people.  Japan only has 593 for every 1,000 people, and Germany only has 540 for every 1,000 people.

#29 The average American spends more than 10 hours a day using an electronic device.

#30 48 percent of all Americans do not have any emergency supplies in their homes whatsoever.

#31 There are three towns in the United States that have the name “Santa Claus“.

#32 There is actually a town in Michigan called “Hell“.

#33 There are 60,000 miles of blood vessels in your body.  If they were stretched out in a single line, they could go around the planet more than twice.


Michael T. Snyder is a graduate of the McIntire School of Commerce at the University of Virginia and has a law degree and an LLM from the University of Florida Law School. He is an attorney that has worked for some of the largest and most prominent law firms in Washington D.C. and who now spends his time researching and writing and trying to wake the American people up. You can follow his work on The Economic Collapse blog, End of the American Dream and The Truth Wins. His new novel entitled “The Beginning Of The End” is now available on Amazon.com.

One Last Look At The Real Economy Before It Implodes – Part 3

ouroboros tomb

In the previous installments of this series, we discussed the hidden and often unspoken crisis brewing within the employment market, as well as in personal debt. The primary consequence being a collapse in overall consumer demand, something which we are at this very moment witnessing in the macro-picture of the fiscal situation around the world. Lack of real production and lack of sustainable employment options result in a lack of savings, an over-dependency on debt and welfare, the destruction of grass-roots entrepreneurship, a conflated and disingenuous representation of gross domestic product, and ultimately an economic system devoid of structural integrity — a hollow shell of a system, vulnerable to even the slightest shocks.

This lack of structural integrity and stability is hidden from the general public quite deliberately by way of central bank money creation that enables government debt spending, which is counted toward GDP despite the fact that it is NOT true production (debt creation is a negation of true production and historically results in a degradation of the overall economy as well as monetary buying power, rather than progress). Government debt spending also disguises the real state of poverty within a system through welfare and entitlements. The U.S. poverty level is at record highs, hitting previous records set 50 years ago during Lyndon Johnson’s administration. The record-breaking rise in poverty has also occurred despite 50 years of the so called “war on poverty,” a shift toward American socialism that was a continuation of the policies launched by Franklin D. Roosevelt’s ‘New Deal’.

The shift toward a welfare state is the exact reason why, despite record poverty and a 23 percent true unemployment rate (as discussed here), we do not yet see the kind of soup lines and rampant indigence witnessed during the Great Depression. Today, EBT cards and other welfare programs hide modern soup lines in plain sight. It should be noted that the record 20 percent of U.S. households now on food stamps are still technically contributing to GDP. That’s because government statistics make no distinction between normal grocery consumption and consumption created artificially through debt-generated welfare.

This third installment of our economic series will be the most difficult.  We will examine the issue of government debt, including how true debt is disguised from the public and how this debt is a warning of a coming implosion in our overall structure.  National debt is perhaps one of the most manipulated fields of economics, and the layers surrounding what our country truly owes to foreign creditors and central banks are many.  I believe this confusing array of disinformation is designed to discourage average Americans from pursuing the facts.  Here are the facts all the same, for those who have the patience…

First, it is important to debunk the mainstream lies surrounding what constitutes national debt.

“Official” national debt as of 2015 is currently reported at more than $18 trillion. That means that under Barack Obama and with the aid of the private Federal Reserve, U.S. debt has nearly doubled since 2008 — quite an accomplishment in only seven years’ time. But this is not the whole picture.

Official GDP numbers published for mainstream consumption do NOT include annual liabilities generated by programs such as Social Security and Medicare. These liabilities are veiled through the efforts of the Congressional Budget Office (CBO), which reports on what it calls “debts” rather than on the true fiscal gap. Through the efforts of economists like Laurence Kotlikoff of Boston University, Alan J. Auerbach and Jagadeesh Gokhale, understanding of the fiscal gap (the difference between our government’s projected financial obligations and the present value of all projected future tax and other receipts) is slowly growing within more mainstream circles.

The debt created through the fiscal gap increases, for example, because of the Social Security program – since government taxes the population for Social Security but uses that tax money to fund other programs or to pay off other outstanding debts. In other words, the government collects “taxes” with the promise of paying them back in the future through Social Security, but it spends that money instead of saving it for the use it was supposedly intended.

The costs of such unfunded liabilities within programs like Social Security and Medicare accumulate as the government continues to kick the can down the road instead of changing policy to cover costs. This accumulation is reflected in the Alternative Financial Scenario analysis, which the CBO used to publish every year but for some reason stopped publishing in 2013. Here is a presentation on the AFS by the St. Louis branch of the Federal Reserve. Take note that the crowd laughs at the prospect of the government continuing to “can kick” economic policy changes in order to avoid handling current debt obligations, yet that is exactly what has happened over the past several years.

Using the AFS report, Kotlikoff and other more honest economists estimate real U.S. national debt to stand at about $205 trillion.

When the exposure of these numbers began to take hold in the mainstream, media pundits and establishment propagandists set in motion a campaign to spin public perception, claiming that the vast majority of this debt was actually “projected debt” to be paid over the course of 70 years or more and, thus, not important in terms of today’s debt concerns. While some estimates of national debt include future projections of unfunded liabilities in certain sectors this far ahead, the spin masters’ fundamental argument is in fact a disingenuous redirection of the facts.

According to the calculations of economists like Chris Cox and Bill Archer, unfunded liabilities are adding about $8 trillion in total debt annually. That is $8 trillion dollars per year not accounted for in official national debt stats.  For the year ending Dec. 31, 2011, the annual accrued expense of Medicare and Social Security was $7 trillion of this amount.

Kotlikoff’s analysis shows that this annual hidden debt accumulation has resulted in a current total of $205 trillion. This amount is not the unfunded liabilities added up in all future years. This is the present value of the unfunded liabilities, discounted to today.

How is the U.S. currently covering such massive obligations on top of the already counted existing budget costs? It’s not.

Taxes collected yearly in the range of $3.7 trillion are nowhere near enough to cover the amount, and no amount of future taxes would make a dent either. This is why the Grace Commission, established during the Ronald Reagan presidency, found that not a single penny of your taxes collected by the Internal Revenue Service is going toward the funding of actual government programs. In fact, all new taxes are being used to pay off the ever increasing interest on current debts.

For those who argue that an increase in taxation is the cure, more than 102 million people are unemployed within the U.S. today. According to the Bureau of Labor Statistics and the Current Population Survey (CPS), 148 million are employed; about 20% of these are considered part-time workers (about 30 million people). Around 16 million full time workers are employed by state and local government (meaning they are a drain on the system whether they know it or not).  Only 43 percent of all U.S. households are considered “middle class,” the section of the public where most taxes are derived. In the best-case scenario, we have about 120 million people paying a majority of taxes toward U.S. debt obligations, while nearly as many are adding to those debt obligations through welfare programs or have the potential to add to those obligations in the near future if they do not find work due to the high unemployment rate that no one at the BLS wants to acknowledge.

Looking at reality, one finds a swiftly shrinking middle class paying for an ever larger welfare class.  Do the math, and an honest person will admit that no matter how much taxes increase, they will still never make up for the lack of adequate taxpayers.

Another dishonest argument given to dismiss concerns of national debt is the lie that Domestic Net Worth in the U.S. far outweighs our debts owed, and this somehow negates the issue. Domestic Net Worth is calculated using Gross Domestic Assets, public and private. It’s interesting, however, that Domestic Net Worth counts ‘Debt Capital’ as an asset, just as GDP counts debt creation as production.  Debt Capital is the “capital” businesses and governments raise by taking out loans. This capital (debt) is then counted as an asset toward Domestic Net Worth.

Yes, that’s right, private and national debts are “assets.” And mainstream economists argue that these debts (errr… assets) offset our existing debts. This is the unicorn, Neverland, Care Bear magic of establishment economics, folks. It’s truly a magnificent thing to behold.

Ironically, debt capital, like the official national debt, does not include unfunded liabilities. If it did, mainstream talking heads could claim an even vaster supply of “assets” (debts) that offset our liabilities.

This situation is clearly unsustainable. The only people who seem to argue that it is sustainable are disinformation agents with something to gain (government favors and pay) and government cronies with something to lose (public trust and their positions of petty authority).

With overall Treasury investments static for some foreign central banks and dwindling in others, the only other options are to print indefinitely and at ever greater levels, or to default. For decades, the Federal Reserve has been printing in order to keep the game afloat, and the American public has little to no idea how much fiat and debt the private institution has conjured in the process. Certainly, the amount of debt we see just in annual unfunded liabilities helps to explain why the dollar has lost 97 percent of its purchasing power since the Fed was established. Covering that much debt in the short term requires a constant flow of fiat, digital and paper.  Not only does REAL debt threaten our credit standing as a nation, it also threatens the value and full faith in the dollar.

The small glimpse into Fed operations we received during the limited TARP audit was enough to warrant serious concern, as a full audit would likely result in the exposure of total debt fraud, the immediate abandonment of U.S. Treasury investment, and the destruction of the dollar. Of course, all of that will eventually happen anyway…

I will discuss why this will take place sooner rather than later through the issues of Treasury bonds and the dollar in the fourth installment of this series. In the fifth installment, I will examine the many reasons why a deliberate program of destructive debt bubbles and currency devaluations actually benefits certain international financiers and elites with aspirations of complete globalization. And in the sixth and final installment, I will delve into practical solutions – and practical solutions only. In the meantime, I would like everyone to consider this:

No society or culture has ever successfully survived by disengaging itself from its own financial responsibilities and dumping them on future generations without falling from historical grace. Not one. Does anyone with any sense really believe that the U.S. is somehow immune to this reality?


Brandon Smith is the founder of the Alternative Market Project, an organization designed to help you find like-minded activists and preppers in your local area so that you can network and construct communities for barter and mutual aid. Join www.Alt-Market.com today and learn what it means to step away from the unstable mainstream system and build something better. You can contact Brandon Smith at: [email protected].

 

10 Charts Which Show We Are Much Worse Off Than Just Before The Last Economic Crisis

economy piggy bank

If you believe that ignorance is bliss, you might not want to read this article.  I am going to dispel the notion that there has been any sort of “economic recovery”, and I am going to show that we are much worse off than we were just prior to the last economic crisis.  If you go back to 2007, people were feeling really good about things.  Houses were being flipped like crazy, the stock market was booming and unemployment was relatively low.  But then the financial crisis of 2008 struck, and for a while it felt like the world was coming to an end.  Of course it didn’t come to an end – it was just the first wave of our problems.  The waves that come next are going to be the ones that really wipe us out.  Unfortunately, because we have experienced a few years of relative stability, many Americans have become convinced that Barack Obama, Janet Yellen and the rest of the folks in Washington D.C. have fixed whatever problems caused the last crisis.  Even though all of the numbers are screaming otherwise, there are millions upon millions of people out there that truly believe that everything is going to be okay somehow.  We never seem to learn from the past, and when this next economic downturn strikes it is going to do an astonishing amount of damage because we are already in a significantly weakened state from the last one.

For each of the charts that I am about to share with you, I want you to focus on the last shaded gray bar on each chart which represents the last recession.  As you will see, our economic problems are significantly worse than they were just before the financial crisis of 2008.  That means that we are far less equipped to handle a major economic crisis than we were the last time.

#1 The National Debt

Just prior to the last recession, the U.S. national debt was a bit above 9 trillion dollars.  Since that time, it has nearly doubled.  So does that make us better off or worse off?  The answer, of course, is obvious.  And even though Barack Obama promises that “deficits are under control”, more than a trillion dollars was added to the national debt in fiscal year 2014.  What we are doing to future generations by burdening them with so much debt is beyond criminal.  And so what does Barack Obama want to do now?  He wants to ramp up government spending and increase the debt even faster.  This is something that I covered in my previous article entitled “Barack Obama Says That What America Really Needs Is Lots More Debt“.

Presentation-National-Debt-425x282

#2 Total Debt

Over the past 40 years, the total amount of debt in the United States has skyrocketed to astronomical heights.  We have become a “buy now, pay later” society with devastating consequences.  Back in 1975, our total debt level was sitting at about 2.5 trillion dollars.  Just prior to the last recession, it was sitting at about 50 trillion dollars, and today we are rapidly closing in on 60 trillion dollars.

Presentation-Credit-Market-Instruments-425x282

#3 The Velocity Of Money

When an economy is healthy, money tends to change hands and circulate through the system quite rapidly.  So it makes sense that the velocity of money fell dramatically during the last recession.  But why has it kept going down since then?

Presentation-Velocity-Of-M2-425x282

#4 The Homeownership Rate

Were you aware that the rate of homeownership in the United States has fallen to a 20 year low?  Traditionally, owning a home has been a sign that you belong to the middle class.  And the last recession was really rough on the middle class, so it makes sense that the rate of homeownership declined during that time frame.  But why has it continued to steadily decline ever since?

Presentation-Homeownership-Rate-425x282

#5 The Employment Rate

Barack Obama loves to tell us how the unemployment rate is “going down”.  But as I will explain later in this article, this decline is primarily based on accounting tricks.  Posted below is a chart of the civilian employment-population ratio.  Just prior to the last recession, approximately 63 percent of the working age population of the United States was employed.  During the recession, this ratio fell to below 59 percent and it stayed there for several years.  Just recently it has peeked back above 59 percent, but we are still very, very far from where we used to be, and now the next economic downturn is rapidly approaching.

Presentation-Employment-Population-Ratio-425x282

#6 The Labor Force Participation Rate

So how can Obama get away with saying that the unemployment rate has gone down dramatically?  Well, each month the government takes thousands upon thousands of long-term unemployed workers and decides that they have been unemployed for so long that they no longer qualify as “part of the labor force”.  As a result, the “labor force participation rate” has fallen substantially since the end of the last recession…

Presentation-Labor-Force-Participation-Rate-425x282

#7 The Inactivity Rate For Men In Their Prime Working Years

If things are “getting better”, then why are so many men in their prime working years doing nothing at all?  Just prior to the last recession, the inactivity rate for men in their prime working years was about 9 percent.  Today it is just about 12 percent.

Presentation-Inactivity-Rate-425x282

#8 Real Median Household Income

Not only is a smaller percentage of Americans employed today than compared to just prior to the last recession, the quality of our jobs has gone down as well.  This is one of the factors which has resulted in a stunning decline of real median household income.

Presentation-Real-Median-Household-Income-425x282

I have shared these next numbers before, but they bear repeating.  In America today, most Americans do not make enough to support a middle class lifestyle on a single salary.  The following figures come directly from the Social Security Administration

-39 percent of American workers make less than $20,000 a year.

-52 percent of American workers make less than $30,000 a year.

-63 percent of American workers make less than $40,000 a year.

-72 percent of American workers make less than $50,000 a year.

We all know people that are working part-time jobs because that is all that they can find in this economy.  As the quality of our jobs continues to deteriorate, the numbers above are going to become even more dismal.

#9 Inflation

Even as our incomes have stagnated, the cost of living just continues to rise steadily.  For example, the cost of food and beverages has gone up nearly 50 percent just since the year 2000.

Presentation-Food-Inflation-425x282

#10 Government Dependence

As the middle class shrinks and the number of Americans that cannot independently take care of themselves soars, dependence on the government is reaching unprecedented heights.  For instance, the federal government is now spending about twice as much on food stamps as it was just prior to the last recession.  How in the world can anyone dare to call this an “economic recovery”?

Presentation-Government-Spending-On-Food-Stamps-425x282

So you tell me – are things “getting better” or are they getting worse?

To me, it is crystal clear that we are in much worse condition than we were just prior to the last economic crisis.

And now things are setting up in textbook fashion for the next great economic crisis.  Unfortunately, most Americans are totally clueless about what is going on and the vast majority are completely and totally unprepared for what is coming.

Or could it be possible that I am wrong?  Whether you agree or disagree with me, please feel free to add to the discussion by posting a comment below…


Michael T. Snyder is a graduate of the McIntire School of Commerce at the University of Virginia and has a law degree and an LLM from the University of Florida Law School. He is an attorney that has worked for some of the largest and most prominent law firms in Washington D.C. and who now spends his time researching and writing and trying to wake the American people up. You can follow his work on The Economic Collapse blog, End of the American Dream and The Truth Wins. His new novel entitled “The Beginning Of The End” is now available on Amazon.com.

Economic Apocalypse And The Transnational Power Elite (VIDEO)

bilderberg

Investigative journalist and bestselling author Daniel Estulin is this week’s guest on Real Politik. Based in Spain, Mr. Estulin is renowned for his reportage and research on the transnational power elite, whose agendas and deliberations greatly influence the trajectory of global economic and political events. His book, The True Story of the Bilderberg Group (2005), is an international bestseller that has been translated into over 40 languages. He has recently been nominated for the Nobel Peace Prize for this and related journalistic work.

Estulin’s research has led him to conclude that the true rulers are not elected. Rather, they effectively vet and choose those vying for public office who will carry out broader agendas beyond public view. “Many years ago,” he recalls, “when I began researching these people I came across them by chance. I asked myself a fairly simple question, ‘If presidents and prime ministers of countries don’t really have much to say in terms of real body politics, then who runs the world from behind the scenes?”

The Bilderberg Group itself dates to the immediate post-World War Two era.

It was a very important element of the oligarchical structures of the Cold War period. That in and of itself is a pretty significant factor because what it meant was that it was one of the vehicles through which private financier oligarchical interests were able to impose their policies over what were nominally sovereign governments. The biggest scandal part of this whole Bilderberg organization is that it was heavily populated by people who came out of the World War Two Nazi apparatus and who were basically cleaned up, dusted off, and deployed to become a hardcore of the Cold War anti-Soviet structures in the West.

Download

The Bilderberg Group and similar organizations are invoked under various terms, such as “‘one world government, new world order, an all-seeing eye, a Jewish-Masonic conspiracy. But not matter how you want to spin this thing,” Estulin points out, “it’s not a conspiracy theory. It’s a conspiracy reality. These organizations–the Bilderbergers, the Trilateral Commission, the Council on Foreign Relations, Bohemian Grove–they’re not the power centers of anything really. They’ve had an important role to play in the past, especially Bilderberger, but much less so today as its role has been diminished. Today these organizations, they’re basically conveyor belts of opportunities. The real decision making process is done at a much higher level. That said, it’s an important medium-sized organization where a lot of important decision making processes are [conducted] and passed on to higher organizations, higher entities, to where these debates are put together into a concrete policy initiative.”

There has been an almost complete news blackout of the Bilderberg Group and its meetings, thus allowing for the association to exist under the radar for much of its sixty year existence. “The media has always participated, talking about the mainstream press. They’re invited. They’re part of the Bilderberg conspiracy, Estulin argues.

When you look at the individuals and groups that attend these meetings, we see presidents, prime ministers, secretaries of state, royalty, billionaire financiers, presidents of the International Monetary Fund, the World Bank and so on. And, of course, among them you have the ‘fifth estate’–the New York Times, Washington Post, Le Monde, Economist, Wall Street Journal, Financial Times, etc., and they all attend these meetings with the understanding that whatever the information, the decisions and discussions that take place at these meetings, they’re never revealed in the mainstream press’ publications. The world’s media … are just a source to legitimize a lot of these policy decisions taken by the elitists at these meetings.

Estulin also discusses recent geopolitical and economic events–the foremost being the standoff between Western countries and Russia. He argues, for example, that Vladamir Putin’s de facto opening of the “gold window” for the first time since Richard Nixon closed it in 1971 is a game changer that will eventually have major repercussions for the US petrodollar and broader political economy. “Nothing happens by accident,” in terms of volatility and the financial sector, the author observes.

A lot of the decision making takes place at these meetings. They’re discussed. They’re ironed out. Obviously not all of that stuff can be controlled. But without any doubt whatsoever, especially some of the conditions and situations that affect society in general, a lower strata of society, they’re very much discussed at these meetings.

I’ll give you one example. At this year’s Davos meeting they discussed an important issue for the rest of us, which is ‘fiscal austerity.’ Fiscal austerity is something that the media–the fifth estate–is trying to sell to us as people as something positive in a sense because in an age when the economy is spiraling out of control, fiscal responsibility, fiscal austerity is important, because allegedly the governments’ are going to be penny-pinching, watching the spending. It’s nonsense! It has nothing to do with reality. Fiscal austerity, as far as the elite is concerned, is kind of a vague term which actually refers to cutting social spending and increasing taxes. That’s what fiscal austerity means.

And the effect is that the public sector is devastated, obviously, as all assets are privatized, public workers are laid off en masse, unemployment becomes rampant, health and education disappear, taxes rise dramatically, and then currencies are devalued to make all assets cheaper for the international corporations and banks to buy up while internally causing inflation, which of course increases the costs of fuel and food. In short, this vaunted fiscal austerity which allegedly helps save money for the lower classes, implies in real body politic social destruction, as the social foundations of nations and peoples are pulled from under them. States become despotic and oppress the people who actually are revolting against austerity policies, and they have a term for that as well, which is called the “sterilization” of society.

The True Story of the Bilderberg Group is now being produced as a feature-length documentary film that will debut at film festivals with a subsequent theatrical run in late spring (preview below). A movie based on the book has been attempted twice over the past several years but ran into unforeseen difficulties whereupon the project was abandoned. The initial US producer “was scared into giving up on the project.” (See December interview with Kris Millegan, Estulin’s US book distributor.) “Then another producer came along and, basically, he was bankrupted.” Then “three-and-a-half years ago a producer in Spain, who had a big name in Spain, he was bankrupted. If you believe in conspiracies or coincidence theories, three banks called in his loans all in the same day. The loans had nothing to do with the Bilderberg documentary. Finally, we decided to put our money–over $200,000 over the past three years–for getting this out there. Right now we’re in the final stages of postproduction. We’ve traveled to 11 countries, interviewed some of the biggest experts in the world, and we’re about three three weeks away from finishing this.”

The project is still in need of about $25,000 in funding to complete postproduction. Mr. Estulin has established a site at rockethub to accept donations toward this goal.

Additional information on Estulin and his work is available at danielestulin.com.


Professor James F. Tracy is an Associate Professor of Media Studies at Florida Atlantic University. James Tracy’s work on media history, politics and culture has appeared in a wide variety of academic journals, edited volumes, and alternative news and opinion outlets. James is editor of Union for Democratic Communication’s Journal Democratic Communiqué and a contributor to Project Censored’s forthcoming publication Censored 2013: The Top Censored Stories and Media Analysis of 2011-2012. Additional writings and information are accessible at memoryholeblog.com.

7-Year Cycle Predicts 2015 Collapse

collapse

1966: Stock market collapse, Vietnam War, protests

1973:  Oil embargo (Oct), Yom Kippur war, Stocks collapse, recession

1980:  Inflation, Iran-Iraq war, Silver panic, Stocks crash, recession

1987:  Black Monday (Oct.), largest single-day crash ever

1994:  Bond collapse, DJIA bear market, war

2001:  Stock market crash, 911 (Sept.), recession

2008:  Stock market collapse 9/29 (Sept.), recession

2015:

In 1966, the Vietnam War was escalating and the US-USSR Space Race was also heating up. The economy and the stock market were in a bull phase and LBJ was president. He inherited a growing economy with low inflation, low unemployment and a stock market that was in a long-term uptrend.

Hard to imagine but the national debt was relatively small. Additionally, in 1965 the GDP (4%) was higher than the unemployment rate (3.3%) the reverse of what we’ve seen in recent years. The FED kept interest rates low (1 to 2.5% range), in the post-WWII years. That fueled both economic and financial market growth through the 1950’s and early ‘60s.

Then as 1966 began the FED started tightening the credit reins by raising interest rates.

Still, everything looked rosy as the year got underway the DJIA hit a new high. Then it pulled back briefly only to rack up another high in March. But thereafter the Dow collapsed some 22% by yearend.

There is no doubt that this was a watershed year. Many stock market analysts and economists claim that 1966 was the start of a bear market that lasted until 1982. In addition to the Viet Nam war, which triggered civil unrest and protests, 1966 saw riots in several urban areas.

We can see that this was a pivot point that was accompanied by rising interest rates, a falling stock market, social tension and chaos.

Seven years later, in 1973, inflation was heating up, 6.1% in the US 8.4% in the UK. 1972 had been a good year and the market was up 15%. 1973 was expected to be another banner year.

But the bear quickly reared its menacing head. Stocks lost 45% when the bear market that began in ’73 ended in ’74. The UK fared even worse losing 70%. Both countries had their economic growth eviscerated as they fell into recessions.

In addition to the factors mentioned above, low oil prices during the 1950s and ‘60s had helped keep energy costs down and inflation relatively low. But then the Arab Oil Embargo shocked the world- that occurred in October. Oil skyrocketed 200% in short order. The embargo was brought on by the Yom Kippur War, which preceded the embargo by several weeks.

Those events did not cause the collapse in the stock market, as we saw it began sliding in January and finished the year sharply lower.

Leading up to this period the FED had an easy money policy, as noted above. That may have worked but for two additional factors 1) financing the war in Vietnam and 2) financing larger government (Great Society) entitlement programs. Though the oil embargo is often blamed for the ’73 crash, easy money and increasing federal deficits had already triggered inflation.

In late ’72 the FED turned from stimulating economic growth to combating “the possibilities of the re-emergence of inflation” (FOMC published minutes). The resultant tightening had a swift impact on the stock market.

Once again, we can readily identify 1973 as a pivotal, tipping point year that brought rising interest rates, a falling stock market, war and then a severe recession.

There is a very important sidebar that must be inserted here. It is called ‘the Nixon shock’ and for good reason. It is one of the most radical, far reaching Executive Orders ever signed by any president. Yet few Americans understood its significance at the time and fewer still, know about it today.

After World War II, and up until 1971, the US dollar was backed by gold.

That meant that dollars were convertible to gold and it is the sole reason that the dollar was said to be, “as good as gold”. Nixon unilaterally cancelled convertibility. Which meant that with a stroke of a pen, and no public input, Richard Nixon instituted the era of fiat money creation that we are still laboring under here in the Brave New World Order, circa 2015.

What that did was to cause an immediate devaluation of the dollar, which in turn caused the 44-year drop in the value of our currency to its current level. That is a part of the backdrop to the events that unfolded in 1973 since the devaluation also boosted the inflation rate.

Then 7 years later, in 1980, inflation was the mass media’s favorite buzz-kill word, it peaked at 13.5%. Gold soared to $850. The war between Iran and Iraq began that year.  The higher price of oil established in ’73 helped push inflation up throughout the decade.

In October 1979, under Chairman Paul Volcker, the FOMC changed its approach to monetary policy and began to target the quantity of money—specifically non-borrowed reserves. Volker essentially slammed on the brakes by ratcheting up interest rates. In one fell swoop the FED funds rate went from 6% in ’78 to 10% in ’79.

One again the stock market reacted quickly by going into a swoon and falling from near 1000 down to 759 in 1980. In addition the economy fell into a recession that lasted from January to July. The very high interest rate policy was maintained until 1982. (The Reagan Recession years)

Naturally the desired drop in inflation came, and that boogey-man has never returned in any uncontrolled way. But the markets and economy paid the price, in terms of a slumping shares and a stagnant economy, burdened under interest rates between 10 to as high as 20 percent. .

Once again it was a tipping point year that brought economic and financial crisis and international warfare.

Next, in 1987, on Oct. 19, the US stock market crashed by 22.6% the single largest, one-day collapse in history. Interesting to note that oil prices dropped sharply in 1986, a signal that we will see again in future collapses. This massive financial tremor shook markets around the globe.

Another point of interest, the Stock Market penetrated 2000 for the first time  in January and then above the 2500 mark in July. These were obviously bear trap moves that would eventually ensnare the bulls when the infamous Black Monday slammed everybody to the ground in the fall.

 Surprisingly, this massive, global quake did not take down the US economy.

Nonetheless, 1986 to mid-1987 is a prime example of how an outwardly-strong stock market may not be indicative of the actual health of an economy. (We see that today) The Dow Jones in particular was at a record high, but the underlying economy had weaknesses that would be exposed in the coming months.

 Oil prices sank from $30 to $20 from late 1985, until the beginning of 1987. This did not serve to boost the US economy which started to falter in ’85. GDP fell from a peak of 7.3% growth in ‘84 down to 4.5% in ’85  Then down to 3.5% in ’86 and it finished ’87 with that same figure as well.

The problem throughout the ‘80s was that the FED kept interest rates too high. The rate bounced around from a low of about 5% to a high of 14%, after the peak of 20% in 1980. Clearly the FED was intent on choking inflation to death even though it was comatose already.  Inflation averaged about 2.5% during the decade.

Nobody predicted the Black Monday financial slaughter once again it came in the midst of a bull market.  Furthermore, no one has since given a really convincing explanation of what caused it. All of a sudden, on a dark day in October, everything went down and dropped like a rock to the bottom… everything including the alleged chaos hedge, gold.

The next 7-year wave peaked, in 1994. This year is known for what is called “the Great Bond Massacre”. Even though inflation was low, the FED was still fighting it like French Generals do the last war instead of the current one.

In an article dated October 17, 1994 by Al Ehrbar on CNN Money penned an article entitled ‘THE GREAT BOND MARKET MASSACRE.

Fortune estimates that the rise in 30-year Treasury rates from 6.2% at the start of the year to 7.75% in mid- September has knocked more than $600 billion off the value of U.S. bonds. And with long-term rates rising in every major country, the worldwide decline in bond values this year figures to be on the order of $1.5 trillion.”

Even though they had already squeezed inflation out of the system, the FED raised rates once again. If you have been keeping track you probably noticed that not only do these shocks-to-the-system occur every 7 years, they seem to strike in Sept. or October.

The next two crises, 2001-2008, will not deviate from this pattern in any way.

 It is troubling that the FED ignored the rather high rate of unemployment of 6.2%, which showed that the economy was not overheated at all. Nonetheless, they moved interest rates up 3% in 100 days. This also triggered a stock market selloff and shares dropped 7% from January through May.

The war was going on between Serbia and Croatia this year and the Russians attacked Chechnya in December.  For the fifth time we see the 7-year wave bring rising interest rates, conflict and financial calamity.

The wave moved forward another 7 years. In 2001, we have a very explosive example of the underlying dynamics. First, the author will clearly show that the stock market was already sagging in March, long before the disastrous events of 911 triggered another one-day crash.

US stock market investors suffered their greatest ever one-week losses during the week of March 12-16, 2001. The Dow Jones Industrial Average experienced three sharp declines in five days, including a drop of over 400 points on Monday and a 227-point drop on Friday, with a total weekly decline of 821 points—a loss of 7.70 percent. The S&P 500, a broader average of Wall Street stocks, showed a 7 percent decline, while the high tech-dominated NASDAQ index fell 8 percent

 The events of 911 need not be repeated here except to note that they, like others in the 7-year wave, occurred in September. Now note the 7.70% decline above, because stocks will lose another 7% on Sept. 17, 2001. The Dow declined 684 points on that day, which was the first trading day after the attack on the Twin Towers.

The FED funds rates in 2000 and 2001 were still high, averaging about 6% from2000 to 4/01. Compare those rates to the near 0- 0.25 over the past 5 years. The board only lowered rates after the stock market got clobbered in March. By Sept. they had cut the rate in half and then in half again by the end of the year.

 But do not get confused, the oil embargo did not create inflation, it exacerbated it, and 911 did not trigger the stock market selloff, in fact, that began 6 months earlier. What about oil prices during this period? Once again, oil peaked at about $34 in 2000 and then dropped some 25% by 911 to $24.

Here again we see that sharp declines in oil prices seem to precede similar declines in the stock market. Well, this ought to put us on high alert given what has happened to oil prices since mid 2014.  Do not forget that the Dot.com bubble also produced record highs that were quickly sheared off.

In retrospect, the FED kept their anti-inflation policy in place for too long all the way into the early 2000s. But they would soon learn the lesson and get a new religion after the events of 2001 led to the economic slump of 2002. Even more so, after the Great Bubble Collapse of 2008 grabbed them by the throat.

Again, 2001 brought social conflict, financial calamity and it was the pivot point that triggered a cascade of negative events that would go on for years, including the wars in Iraq and Afghanistan.

Another 7- year period would elapse and bring us to Sept. 29, 2008. On this infamous day stocks skidded, with the Dow slumping nearly 777 points, the biggest single-day point loss ever. Approximately $1.2 trillion in market value vanished in a twinkling. 

Again, seven years to the month exactly from the 2001 crash. But apparently no one noticed this pattern because the financial presstitute corps never mentioned it. Is it any surprise at this point that after lowering interest rates from 2001 to 2004, the FED started ratcheting them up again?

From 2004 to 2007 they went from 1% back up to 5%. Bam, the brakes were slammed again, and the stock market and economy went through the windshield this time. Well, the FED had not quite learned their lesson yet.

Oh, once again oil prices ran up in 2007 to a $133 peak in June ‘08 then tanked by almost 30% in the 3 month period to September.

This reporter would advise against getting caught up in the intricate, overly complicated, talking-heads narratives that the government, media and academia spin around these collapses. You are supposed to miss the simple, underlying factors outlined in this article.

That brings us to the next 7-year point in the cycle, 2015.

We are indeed in a Brave New World of globally, interconnected, wildly gyrating economies. From the point of the last collapse until now, the FED has tried to stimulate the economy by essentially keeping interest rates at near 0 for 6 years. (For the first time in history) Yet the once vibrant economy has been acting like a Zombie.

Where is the old GDP growth that much less stimulus used to create? Gone, a thing of the past, but you say, the Stock Market is at all time highs. Did you pay attention to the above?

Oil prices have been cut in half over the past 10 months. The dollar has risen and you are being told that lower oil prices will help the economy and stock market. No they won’t. The global economy is in the throes of a massive deflationary wave. Commodity prices peaked in 2011 they have been falling ever since oil was simply the last to fall.

Lately, everything from oil and gold to foreign currencies are down. The last holdout is the Stock Market. Why should it alone stay up? Interest rates have nowhere to go but up. However, the FED is constrained because the strong dollar is already hurting imports and overseas corporate profits.

In addition, none of the most recent economic and business news is positive. Retail sales were down during the 2014 holiday season. The FED has learned — instead of raising interest rates — they are jawboning the dollar up by intimating that they will raise rates in June.

In fact, they cannot do that without hitting the kill-switch as they have done in the past as we have seen above repeatedly.

When will the collapse come? I think you have already figured that out at this point…


Will Hart is a journalist and author. His magazine credits include Nexus, Wild West, Atlantis Rising, New Dawn, UFO, Nature Photographer and numerous other periodicals. His first book ´The Genesis Race¨ (Inner Traditions) is available on Amazon and his second in the series, ´Cosmic Ancestry´ will be available in June, 2014 also on Amazon.

Guess What Happened The Last Two Times The S&P 500 Was Up More Than 200% In Six Years?

guess what

Just a few days ago, the bull market for the S&P 500 turned six years old.  This six year period of time has been great for investors, but what comes next?  On March 9th, 2009 the S&P 500 hit a low of 676.53.  Since that day, it has risen more than 200 percent.  As you will see below, there are only two other times within the last 100 years when the S&P 500 performed this well over a six year time frame.  In both instances, the end result was utter disaster. And as you take in this information, I want you to keep in mind what I said in my previous article entitled “7 Signs That A Stock Market Peak Is Happening Right Now“.  What we are witnessing at this moment is classic “peaking behavior”, and there is a long way to go down from here.  So if historical patterns hold up, those with lots of money in the stock market could soon be in for a whole lot of trouble.

According to Societe Generale analyst Andrew Lapthorne, there was an S&P 500 bull market run of more than 200 percent over a six year time period that ended in 1929.

We all know what happened that year.

And there was another S&P 500 bull market run of more than 200 percent over a six year time period that ended in 1999.  In the end, all of those gains were wiped out when the dotcom bubble burst.

And now we are near the end of another great bull market for the S&P 500.  The following is an excerpt from a recent Business Insider article

“Such a strong six year run up in US equities has only been seen twice since 1900, i.e., back in 1929 and 1999, neither of which ended well,” Lapthorne wrote.

It’s anyone’s guess what happens next. But Lapthorne and his colleagues have slanted bearish.

Best-Six-Year-Performance-425x318

So how will this current bull market end?

Needless to say, a lot of people are not very optimistic about that right now.

And there was another very interesting bull market that ended in 1987

On Aug. 12, the S&P 500 dipped to 102.42, setting the stage for the third-biggest bull market in stocks since 1929. Inflation and unemployment fell. In 1984, President Reagan would cruise to reelection with an ad telling voters “It’s morning again in America.” By 1987, the stock market had tripled. Shareholders who were able to see beyond the gloom of the early 1980s reaped a huge return.

Of course a lot of those huge stock market returns were eliminated in a single day.  On October 19th, 1987 the Dow declined by more than 22 percent during a single trading session.  That day is still known as “Black Monday” up to this present time.

Markets tend to go down a lot faster than they go up.  So if your stock portfolio has gone up substantially over the past few years, good for you.  But keep in mind that all of your gains can be wiped out very rapidly.  Millions of people experienced this during the last financial crisis, and millions more will experience this during the next one.

And as I keep reminding people, so many of the exact same patterns that we witnessed just prior to the last great stock market collapse are happening once again.

For example, just yesterday I explained that there has been only one other time over the past decade when we have seen the U.S. dollar surge in value in such a short period of time.

That was in 2008, just prior to the last financial crisis.

Another example is what has happened to the price of oil.  Since the middle of last year, the price of oil has fallen by more than 50 dollars a barrel.

In all of history, that has happened only one other time.

That was in 2008, just prior to the last financial crisis.

I could go on and on.  I could talk about margin debt, price/earnings ratios, industrial commodities, etc.

But you know what?  Despite all of the warning signs there are still people out there that are eagerly pouring money into the stock market.

Back in 2005 and 2006, I knew people that were hurrying to buy homes before they got “priced out of the market”.  So they did everything that they could to scrape together down payments and they took on mortgages that were larger than they could really afford.

And in the end they got burned.

Today, people are doing similar things.  For instance, my friend Bob recently sent me an article that I could hardly believe.  It turns out that an “expert” on CNBC is encouraging people “to take out a 7 year loan with a rapidly amortizing asset as collateral in order to buy stocks.”

Yikes!

Let me be clear.  The really, really, really dumb money is jumping into the stock market right now.  Those that are pouring money into stocks today are really going to get hit hard when the crash comes.

And it isn’t just me saying this.

Just consider the words of billionaire hedge fund manager Crispin Odey

Mr Odey is best known for his big macroeconomic calls, including foreseeing the 2008 global credit crisis; piling into insurers in the wake of September 2001 attacks; and picking the recent oil price rout. He famously paid himself £28 million in 2008 after shorting credit crisis casualties, including British lender Bradford & Bingley. Mr Odey’s fund returned 54.8 per cent that year.

“The market’s reaction to all of this is leave it to the professionals, leave it to those great guys, the central bankers, because they saved the day in 2009,” he said. “These guys are kind of relying on central banks pulling a rabbit out of a hat.”

The risk is that this time, monetary policy may be ineffective: “We need the crisis to reformulate policy. Central banks are not all singing and all dancing, they cannot basically avoid the natural consequences of what we are doing.”

An inadequate supply-side response to the plunge in commodity prices as the resources industry declines to reduce production was in effect stimulating supply into falling demand.

“The trouble is today the players, whether they are the miners or the oil companies or the Saudis or anybody else, they are not doing the right things. This is the first time in my career where economics 101 doesn’t work at all.”

But it was also true that the world has not had a major recession for 25 years and thanks to frequent interventions, “there is a sensation we don’t have a business cycle”. Stocks are enjoying a six-year bull market but he also hinted at liquidity issues bubbling under the surface.

I just think that you and I have got grandstand seats here [to an imminent market shock] and my point is having found myself in the second quarter of last year selling a lot of equities and starting to go short, I found out just how illiquid it all was. You never actually see it until people try and get out of these things.”

It was unclear to Mr Odey what central banks could do to prevent a crash.

The warning signs are clear.

Soon the time for warning will be over and the crisis will be here.

I hope that you are getting ready.


Michael T. Snyder is a graduate of the McIntire School of Commerce at the University of Virginia and has a law degree and an LLM from the University of Florida Law School. He is an attorney that has worked for some of the largest and most prominent law firms in Washington D.C. and who now spends his time researching and writing and trying to wake the American people up. You can follow his work on The Economic Collapse blog, End of the American Dream and The Truth Wins. His new novel entitled “The Beginning Of The End” is now available on Amazon.com.

One Last Look At The Real Economy Before It Implodes – Part 2

debt slave

Consumer spending in the U.S. accounts for approximately 70 percent of gross domestic product, though it is important to note that the manner in which “official” GDP is calculated is highly inaccurate. For example, all government money used within the Medicare coverage system to pay for “consumer health demands,” as well as the now flailing Obamacare socialized welfare program, are counted toward GDP, despite the fact that such capital is created from thin air by the Federal Reserve and also generates debt for the average taxpayer. Government debt creation does not beget successful domestic production. If that was a reality, then all socialist and communist countries (same thing) would be wildly enriched today. This is simply not the case.

That said, the swift decline in manufacturing jobs in the U.S. over the past two decades, including a considerable 33 percent overall decline in manufacturing jobs from 2001 to 2010, leaves only the consumer and service sectors as the primary areas of employment and “production.” The service sector provides about three out of every four jobs available in America, according to the Bureau of Labor Statistics.

The truth is that America actually produces very little that is tangible beyond Big Macs, pharmaceuticals and the occasional overpriced fighter jet that doesn’t function correctly and is filled with Chinese parts. All three will kill you at varying degrees of speed…

In the first part of this article series, I discussed the true state of global demand, along with the unstable situation within numerous indicators from exports to retail. Swiftly falling global demand for raw materials as well as consumer goods is an undeniable reality. This is a distinct problem in terms of the U.S., which has been, up until recently, the primary consumption driver for much of the world. As I plan to show, U.S. demand is about to fall even further into the abyss as real unemployment and personal debt take their toll.

Now, it is probably important to address the lies presented in the mainstream and by the BLS in terms of unemployment statistics because even after years of alternative analysts debunking establishment stats and how they are calculated, we STILL end up hearing the same arguments parroted by disinformation agents and unwitting useful idiots.

Such people continue to parade around boasting about the latest BLS reports on job creation claiming that “all is well” because the unemployment rate has dropped to 5.5% and all other talk to the contrary is “doom and gloom.” So, once again, I must relate the fact that the current BLS numbers are an utter sham.

Official unemployment stats are arrived at through disingenuous methods of calculation that were introduced in the 1990s, just before the bursting of the dot com bubble; the introduction of artificially low interest rates, which created the derivatives crisis; and the steady derailment of the U.S. financial system, which has occurred ever since.

So who is actually counted as employed and who is NOT counted as employed by the BLS?

Of the 102 million working-age Americans without work today, only 8.7 million are counted by the BLS as unemployed. Out of all working-age Americans, over 92 million are without jobs and are not counted by the BLS as unemployed. Why?

Well, if you ever read establishment-leaning propaganda websites like Factcheck or Poltifact, the argument is essentially that these 92 million Americans are not counted because they “refuse to participate,” not because they can’t find adequate employment and not because the government is misrepresenting the numbers. Yes, that’s right, 92 million Americans don’t count because they clearly must not want work.

So, first, I would ask how it is that the BLS comes to the conclusion that nearly one-third of the U.S. population does not want to work? Is it through its so called “household surveys?” Surveys, just like public polls, can be easily manipulated to affirm any particular bias merely by changing how questions are phrased. I would certainly love to see the raw data from such polls before the BLS adds its own spin.

Second, even if such claims were true and tens of millions of Americans did not want to work, why would this matter? Shouldn’t they still be counted as unemployed in order to draw the most accurate picture of our economic situation? Wouldn’t 92 million Americans apparently on a long-term labor and productivity strike have a severe negative effect on real GDP? And obviously, they must be surviving somehow. Wouldn’t 92 million people eventually require government assistance through food stamps and welfare? Does none of this matter to the BLS in terms of the overall economic picture?

Third, if the assertion is that 92 million people do not want jobs, then by extension the BLS would have to show that those millions of people could in fact get a job if they simply tried. Where are these tens of millions of jobs that Americans are refusing to apply for and what do they pay?

Fourth, a common misrepresentation attached to the claim of “refusal to participate” is that many of these Americans are teens in school (16 to 18) and possible “retirees” (55 or older). The BLS and the mainstream media simply assume these people do not want a job and should not be counted as unemployed. Of course, the BLS includes such people in its stats when they DO have jobs. So, according to the BLS, if you are 16 or 55 or 65 and you have a job, then you count. If you are 16 or 55 or 65 and don’t have a job, then you don’t count. See how that works?

Fifth, millions of Americans are losing long-term unemployment benefits every quarter and are being removed from BLS statistics. Many of them are not teens or retirees. These are average-working-age adults who now no longer have any real launch pad to progress in their career or life, and who should be fully motivated to obtain work if jobs are so readily available. Again, where are these jobs that said prime-working-age people refuse to accept?

The BLS also invariably discounts the number of working-age Americans who enter the market as well when boasting of jobs created to the public. Job growth numbers do not weigh the number of new participants each month with the number of supposed jobs made available, thus creating a misconception about how many new jobs are actually needed to keep the economy functional.

Another important factor to observe in government labor statistics is the issue of part-time work. When the BLS releases its monthly stats on unemployment, it does not widely promote or discuss the fact that 18 percent to 20 percent of those labeled “employed” are considered “part-time employed.” The BLS defines “part-time employed” as anyone who works 1 to 34 hours per week. Yes, if you work one hour per week, you have helped to bring down the overall unemployment rate of the U.S. to a fantastic 5.5 percent, even though you likely have zero ability to support yourself financially, let alone a family.

What does the 5.5 percent unemployment number actually represent on a fundamental level where the real world actually matters rather than the world of hypothetical calculations? Not a damn thing. The number is absolutely and unequivocally meaningless.

If one were to calculate unemployment using pre-1990s methods, as websites like Shadowstats.com do, counting U-6 measurements as well as the underemployed, you would come up with a U.S. jobless rate closer to 23 percent.

Many of those workers in the service sector on the higher end of the part-time and full-time spectrum still cannot support themselves adequately due to falling wages, rising prices and growing debt obligations, which brings me to the next problem at hand.

Beyond unemployment as a destroyer of consumer demand, there is also personal debt. Much of the focus within the mainstream and even alternative economics revolves around national debt (I will cover the many lies surrounding national debt in my next article). However, effects on fundamental demand are far clearer when one examines household liabilities. According to averages supplied through government stats (meaning the real numbers are likely far worse), the average American household suffers from between $10,000 to $15,000 in credit card debt, $155,000 in mortgage debt and $32,000 in student loan debt.

Americans owed nearly $12 trillion overall in 2014, an increase of 3.3 percent over 2013. Declines in some debts, including a decline in credit card debts since 2011, are attributed to numerous defaults, not repayments.

What we have here is a deadly fiscal combination; namely the combination of real unemployment at permanently high levels and real personal debt at unsustainable levels. This is the core reason behind the collapse in global demand that was discussed in the first installment of this series. With U.S. consumers no longer able to support their historical consumption habits and with the inflexible skeleton of the U.S. economy in particular dependent on past consumer dynamics, the system has little financial plasma left circulating.

This is not necessarily a new trend; but 10 years ago, Americans were able to offset their dwindling buying power by taking on massive debts through easy Federal Reserve fiat fueling questionable bank loans. They no longer have this option; thus, consumption is going to degrade (and is degrading) to the point that the current financial structure, stuck in its rigid and fragile dynamic, will collapse. There is no way around it.

As stated in my last article, the numbers given here are in most cases establishment-generated statistics. A common argument among state apologists and propagandists is that we in the alternative economic field should be labeled “hypocritical” if we debunk some mainstream stats while using others as reference points. I would make clear yet again that it is the contradictions within the government’s own numbers and claims that alternative analysts are most concerned with. My view is that when mainstream numbers actually reflect negative economic trends, they should be multiplied according to other prominent factors. That is to say, when the government bureaucrats and fantasy masters finally admit things are bad, they are actually much worse than indicated.

Some mainstream statistics are outright fraudulent; some are half true; others are factual yet hidden in plain site from the general public. In between the lines of all of this information, good and bad, alternative economists attempt to discern as much foundational truth as possible. As this series continues, I believe readers new to the Liberty Movement, as well as longtime activists, will come to view a wider and fuller picture of our fiscal situation and come to the same conclusion I have – That the manner in which we live today is about to drastically change, and that this coming change is being hidden from us deliberately by those who wish to use a tactic of financial shock and awe to their ultimate advantage.


Brandon Smith is the founder of the Alternative Market Project, an organization designed to help you find like-minded activists and preppers in your local area so that you can network and construct communities for barter and mutual aid. Join www.Alt-Market.com today and learn what it means to step away from the unstable mainstream system and build something better. You can contact Brandon Smith at: [email protected].

 

Documenting The Collapse Of 2015: The World Is Falling Apart (VIDEO)

Parched earth

Miles Franklin’s Andy Hoffman reveals the collapse as it spreads from nation to nation. Everyone has their eye on Greece as it rebels against the wishes of the International banking cabal.

We are now looking at the crumbling global economy as quantified by the Baltic Dry Index which just hit a new all-time low. On paper, the ports may be open, but very litle is moving. How much longer until the system collapses?

 


Dave Hodges is the host of the popular weekly talk show, The Common Sense Show, which airs on Sunday nights from 9pm – Midnight (central) on the Republic Broadcasting Network and its 29 affiliate stations. Dave also hosts a website (www.thecommonsenseshow.com) in which he writes daily articles on the geopolitical state of affairs both nationally and internationally. The theme of Dave’s show and website centers around exposing the corruption and treason which has invaded the presidency and Congress as well as their corporate and banking benefactors. Dave is an award winning psychology, sociology, statistics and research professor. He is also a former college basketball coach who retired as the winningest coach in his college’s history. A mental health therapist by training, Dave brings a broad based perspective in his fight against the corrupt central banking cartels which have hijacked the US government. Dave and his wife, Nora have one son and they presently reside in rural Arizona approximately 25 miles north of the greater Phoenix area. Dave was drawn to the fight for freedom when the globalist central banking forces, led by Senator John McCain, attempted to seize his home and property and that of 300 of his neighbors, without one dime being offered in compensation. This attempted public theft of private property was conducted for the purpose of securing cheap land in which the globalists intended on putting in an international highway through their area known as the Canamex Corridor. Dave’s community appointed him the spokesperson and eventually his community won their fight against the bankers and their front man, Senator McCain. This event launched Dave’s career as a broadcaster and an investigative journalist. Dave’s website presently enjoys over a half a million visitors every month.

Nearly At ‘Full Employment’? 10 Reasons Why The Unemployment Numbers Are A Massive Lie

gall.unemployment

On Friday, we learned that the official “unemployment rate” has fallen to 5.5 percent. Since an unemployment rate of 5 percent is considered to be “full employment” by many economists, many in the mainstream media took this as a sign that the U.S. economy has almost fully “recovered” since the last recession.  In fact, according to the Wall Street Journal, some Federal Reserve officials believe that “the U.S. economy is already at full employment“.  But how can this possibly be?  It certainly does not square with reality.  Personally, I know people that have been struggling with unemployment for years and that still cannot find a decent job.  And I get emails from readers all the time that are heartbroken because they are suffering through extended periods of unemployment.  So what in the world is going on?  How can the government be telling us that we are nearly at “full employment” when so many people can’t find work?  Could it be possible that the government numbers are misleading?

It is my contention that the official “unemployment rate” has become so politicized and so manipulated that it is essentially meaningless at this point.  The following are 10 reasons why…

#1 Since February 2008, the size of the U.S. population has grown by 16.8 million people, but the number of full-time jobs has actually decreased by 140,000.

#2 The percentage of working age Americans that have a job right now is still about the same as it was during the depths of the last recession.  Posted below is a chart that shows how the employment-population ratio has changed since the beginning of the decade.  Does this look like a full-blown “employment recovery” to you?…

Employment-Population-Ratio-2015-425x282

#3 The primary reason for the decline in the official “unemployment rate” is the fact that the government now considers millions upon millions of long-term unemployed workers to “no longer be in the labor force”.  Just check out the following numbers

The number of Americans participating in the labor force has been on a decline for the past few years. Nearly 33 percent of the Americans above age 16 are not part of the workforce, the highest number since 1978. The Bureau of Labor Statistics (BLS) report issued recently has found 92,898,000 Americans above age 16 not a part of the labor force of the country as on February 2015.

When President Obama took over the office in January 2009, nearly 80,529,000 Americans were not a part of the labor force. The number has increase by nearly 12 million over the last few years.

#4 Over the past couple of years, the labor force participation rate in this country has been hovering near mutli-decade lows

The labor force participation rate hovered between 62.9 percent and 62.7 percent in the eleven months from April 2014 through February, and has been 62.9 percent or lower in 13 of the 17 months since October 2013.

Prior to that, the last time the rate was below 63 percent was 37 years ago, in March 1978 when it was 62.8 percent, the same rate it was in February.

#5 When you add the number of “officially unemployed” Americans (8.7 million) to the number of Americans “not in the labor force” (92.9 million), you get a grand total of 101.6 million working age Americans that do not have a job right now.  Does that sound like “full employment” to you?

#6 The quality of our jobs continues to decline.  Right now, only 44 percent of U.S. adults are employed for 30 or more hours each week.

#7 Millions upon millions of Americans have been forced to take part-time jobs because that is all they can find, and wages for American workers are at depressingly low levels.  The following numbers come directly from the Social Security Administration

-39 percent of American workers make less than $20,000 a year.

-52 percent of American workers make less than $30,000 a year.

-63 percent of American workers make less than $40,000 a year.

-72 percent of American workers make less than $50,000 a year.

#8 The average duration of unemployment for an unemployed worker is still about twice as long as it was just prior to the last recession.

#9 Most Americans feel as though the Obama administration has done little to nothing to help the middle class.  Just consider the following poll numbers

According to a new poll by the Pew Research Center, Americans see government policies under the Obama administration as having mostly benefited wealthy people, large corporations and financial institutions.

Seventy-two percent of respondents said government policies have done little or nothing to help the middle class, and 65 percent said they have done nothing to help the poor. Sixty-eight percent said the policies have done nothing to help small businesses.

Meanwhile, 45 percent said the policies have done a “great deal” to help large banks and financial institutions, 38 percent say they have helped large corporations, and 36 percent say they have helped the wealthy.

#10 If the unemployment rate was calculated honestly, we would all be talking about the horrific “unemployment crisis” that we were currently enduring.  According to John Williams of shadowstats.com, the real unemployment rate in the United States right now is above 23 percent.

Our politicians and the mainstream media are attempting to convince us that everything is just fine.

But what they are telling us simply does not match the cold, hard reality on the streets.

And since the talking heads on television are proclaiming that we are nearly at “full employment”, that just makes millions upon millions of Americans that can’t seem to find work no matter how hard they try feel even worse than they already do.

If jobs are “easy to get”, then those that are chronically unemployment must have “something wrong” with them.  That is the message that we are being given.  If the mainstream media says that unemployment has gone way down, then anyone that is still unemployed must be really “lazy”, right?

When you are unemployed for an extended period of time, it can really suck the life right out of you.  It can be really tempting to believe that you are viewed as a failure by your family and friends.  And for the government to lie to us like this just makes things even harder.

If you are unemployed and can’t find a job right now, I want you to understand that you are caught in the midst of a long-term downward economic spiral which is going to get a lot worse.

When the government tells you that we are in a “recovery”, they are lying to you.

And when the government tells you that things are about to get a lot better, they are lying to you.

Everyone has times in their lives when they get knocked down.

The key is to always get back up and to never, ever stop fighting.

Yes, we are facing some really hard economic times.  But that does not mean that your life is over.  Never give up, and never give in to fear.  Just do what you can with what you have today, and tomorrow get up and fight with everything that you have got.

The truth is that the best chapters of your life could be just around the corner.

Just don’t sit back and wait for the government to save you.  If you are waiting for the government to save you, then you are going to be deeply disappointed.


Michael T. Snyder is a graduate of the McIntire School of Commerce at the University of Virginia and has a law degree and an LLM from the University of Florida Law School. He is an attorney that has worked for some of the largest and most prominent law firms in Washington D.C. and who now spends his time researching and writing and trying to wake the American people up. You can follow his work on The Economic Collapse blog, End of the American Dream and The Truth Wins. His new novel entitled “The Beginning Of The End” is now available on Amazon.com.

Gold And Silver – Banker Insanity Grows, PMs Decline.

gold and silver

By: Edge Trader Plus -

Two weeks ago, we wrote on Banker’s Grip On PMs Not Over, leading off about the Syriza party likely to fold and sell its Greek citizens into more debt servitude, calling the efforts of Tsipras and Varoufakis Kabuki theater, while still a Greek Tragedy for Greek citizens. In one of what has to be German banker’s prouder moments, complaining about how Greece does not want to pay back money loaned, they led the charge demanding Greek compliance with more austerity in the cards.  Wake up Germany and other European nations partaking in the artificial patchwork called the European Union.  No money was ever loaned to Greece!

Money does not exist in Europe any more than money does not exist in the United States. What the Greeks received was a massive loan of debt issued by the International Monetary Fund.  Who authorized the IMF to issue that debt to Greece?  From where did the “funds” come?  [Hint: Out of thin air.] The IMF/EU/BIS, call the “lenders” whatever you choose, but no money was loaned, just a digitized I.O.U.  The notion of money is as phony as any $3 Euro bill.  The entire EU and its bloated, non-representative bureaucrats are a massive Ponzi scheme, led by Mario Draghi and a host of other sycophants who would not otherwise get elected even if they ran unopposed.

Last week, we wrote about Insanity Prevails; PMs Without Direction.  The above is proof of the insanity under which all Europeans live without any discernible objection.  Not only are Europeans willing to live in an artificial world, while heavily spied on by their respective governments, they are willing to commit financial suicide by kissing US butt over enforcing sanctions against Russia.    How are them sanctions working out for you, EU?

Under sanctions designed to punish Russia simply for its existence, as far as the US is concerned, the EU has proven stupidity has no national borders. Germany prides itself for its business acumen, yet the country is suffering backlash in lost business and a decline in GDP as a result of acting as the 51st State of the US. Those mostly southern European countries that imposed a food embargo on Russia are confronted with huge losses as their unsold food has no market.  Good thinking, EU.

Russia is otherwise prospering quite well, buying food from South America, making more and larger deals with China, selling cheaper oil that is offset by higher in “value”US fiat resulting from sales.  The higher valued fiat “dollar” is then being used to buy Western central banker suppressed gold at bargain prices.  We guess the US/UK/EU brain trusts have the Russians right where they want them.  Keep putting the hurt on!

All of the Western [totally insolvent] central bankers, along with the psychopathic leaders of the US/UK/EU under the banker’s charge, will never take responsibility for all of the economic destruction and capital debasement for which they are responsible. In fact, the US is helping destroy the EU as a result of its failed policies of sanctions against a prospering Russia.  In order to save face, [like it has any], the US is bound and determined to start another war, even WWIII, if need be, and then blame all of the US economic collapse on its enemies for “creating” economic failure in the US, thereby deflecting all blame from the bankers and politicians responsible.

As psychopaths in charge, none will ever take responsibility for their irresponsible actions.  Thanks to their actions, every Western county, including and especially Japan, is suffering from an irreversible high debt to GDP, not just irreversible, but also unsustainable.  Ironically, guess which three countries did not make the list of the Western world’s worst debt/GDP offenders?  Russia, Syria, and Iran.  None is in the Western world subject to such fiat economic abuse.  Yet another reason why Obama wants to go to war with Russia, no doubt.

Last week, Austria, of all countries, found that its “bad loan” bank, Hypo Alpe Adria, aka Heta Asset Resolution, just got badder.  Somehow, no doubt confounding all the financial banker wizards, an audit showed an 8.7 billion Euro “capital hole.”   Incredibly enough, the bank was recently rated AAA/Aaa, by other bankers, of course.  A “bail-in”is imminent.  In fact, the Austrian finance ministry said that “creditors can be forced to contribute to the costs of winding down Heta – or ‘bailed in’ – under new European legislation that Austria adopted this year so that taxpayers do not have to shoulder the entire burden.”

In a sane world, banks that made bad loans would have to suffer the loss and write them off, even go bankrupt if necessary. In a banker-driven world, aka insanity, all bad loans must be recovered at the expense of depositors and the public.  Bail-ins, coming soon to a bank near you, Americans.  Take heed…your 401ks/IRAs are all at risk of bail-ins, exchanged for worthless government bonds no one wants.  [Not that we expect anyone to take heed.]

Why mention the past few articles and point out European financial folly and Austrian banking three-card Monte?  Because international Rothschild/elite-led bankers have no limits in the path of financial ruin in which they lead the world, all in their inexorable march to their New World Order, which may already be a fait accompli.

Look at what the international bankers are doing to the price of gold and silver.  The point to be taken is that anyone who is relying upon fundamental information and/or expectations that governments will make things right is engaging in mental masturbation.  The bankers want to destroy the gold/silver markets for the masses. They want to destroy all hope for higher prices, all justification for holding them as an alternative to their artificial, worthless fiat paper.

The central bankers are on a path of self-destruction, and they will take down the masses with them.  They could care less about China and Russia accumulating all available physical gold and silver.  The bankers know they are toast to China and Russia, but in their perverted effort to hold onto power for as long as possible, maybe even delusional enough to falsely believe they will always remain in power, they will destroy everything in the process, plain and simple.

We have been saying for the past few weeks, actually longer, the charts are telling anyone who wants to pay attention that prices are not going higher anytime soon.  That can change in a week or a month or a year, but until there are signs of change, prices will remain suppressed.

What we have been saying for an even longer period of time, a few years, is keep buying, and personally holding, physical gold and/or silver.  Price does not matter.  Sure, everyone wants to get the most for their money, but that is not the purpose of buying PMs any more.  At some point, it may not be available at these prices, literally overnight when reality finally kicks in and a price adjustment is made in line with true supply/demand. Also, governments being what they are, an outright ban on purchasing PMs can be put into place.  Already efforts to confiscate PMs from safety deposit boxes are in place. Expect things to get worse, not better.

If you do not own it now, you are playing a game of [irresponsible]risk.  For those who already own PMs, even for prices at the highs, accept it and be glad you own either or both.  The insane banker’s world in which we live will come to an end, and likely a disastrous one.  Keep on stacking, keep on staking.  On a relative scale, price should be your least concern.

The trend matters the most because the majority of price development will occur within the trend’s context.  RHS = Right Hand Side, LHS = Left Hand Side.  Comparing the location of price on the RHS of the chart, relative to the LHS clearly shows how price has been developing throughout, to the downside, with the trend.

(click to enlarge images)

SI-W-7-Mar-15-895x612

When you compare this chart to that of daily gold, silver has a better relative show in how it is holding within the down channel.  We get key information by observing how price reacts/responds to obvious support/resistance levels.  If it bounces off and rallies higher, support will hold.  If price stays at/near support, the likelihood is greater that potential support will not hold.

It is not our job to guess which but to watch and then respond to the confirmed market activity, if a tradable opportunity arises.

SI-D-7-Mar-15-895x612

While last week’s down bar in gold strongly suggests lower prices, it does not necessarily follow that lower prices will occur.  For that reason, we watch to
see how price reacts in order to have important information moving forward.

GC-W-7-Mar-15-895x612

The chart comments are apt.  You can see how the daily gold chart is relatively weaker than that of silver.  However, both remain in a down trend, and that is what matters.

GC-D-7-Mar-15-895x612

One Last Look At The Real Economy Before It Implodes – Part 1

broken clock

We are only two months into 2015, and it has already proven to be the most volatile year for the economic environment since 2008-2009. We have seen oil markets collapsing by about 50 percent in the span of a few months (just as the Federal Reserve announced the end of QE3, indicating fiat money was used to hide falling demand), the Baltic Dry Index losing 30 percent since the beginning of the year, the Swiss currency surprise, the Greeks threatening EU exit (and now Greek citizens threatening violent protests with the new four-month can-kicking deal), and the effects of the nine-month-long West Coast port strike not yet quantified. This is not just a fleeting expression of a negative first quarter; it is a sign of things to come.

Stock markets are, of course, once again at all-time highs after a shaky start, despite nearly every single fundamental indicator flashing red. But as Zero Hedge recently pointed out in its article on artificial juicing of equities by corporations using massive stock buybacks, this is not going to last much longer, simply because the debt companies are generating is outpacing their ability to prop up the markets.

This conundrum is also visible in central bank stimulus measures. As I have related in past articles, the ability of central banks to goose the global financial system is faltering, as bailouts and low-interest-rate capital infusions now have little to no effect on overall economic performance. The fiat fuel is no longer enough; and when this becomes apparent in the mainstream, all hell will indeed break loose.

The argument that banks can prop up the system forever is now being debunked. In this series of articles, I will cover the core reasons why this is happening, starting with the basis of all economics: supply and demand.

The Baltic Dry Index has been a steadfast indicator of the REAL economy for many years. While most other indexes and measures of fiscal health are subject to direct or indirect manipulation, the BDI has no money flowing through it and, thus, offers a more honest reflection of the world around us. In the past two months, the index measuring shipping rates and international demand for raw goods has hit all-time historical lows, plummeting 57 percent over the course of the past 12 months and 30 percent for the year to date.

The dwindling lack of demand for shipping presents obvious challenges to mainstream talking heads who contend that the overall economic picture indicates recovery. That’s because if demand for raw goods has fallen so far as to produce a 57 percent rate drop over the past year, then surely demand for the consumer goods that those raw goods are used to produce must be collapsing as well. The establishment machine has used the same broken-record argument against this conclusion, despite being proven wrong over and over again: the lie that fleet size is the cause of falling shipping rates, rather than a lack of demand for ships. This is the same argument used by pundits to distract from the problems inherent in the severe drop in oil prices: that oversupply is the issue, and that demand is as good as it ever was. Forbes has even attempted to outright dismiss the 29-year low of the BDI and alternative economic analysts in the same lazily written article.

First, let’s address the issue of global demand for goods. Does the BDI represent this accurately? Well, as most of you know, the real picture on manufacturing and export numbers is nearly impossible to come by considering most, if not all indexes fail to account for monetary devaluation and inflation in costs of production. For instance, mainstream propagandists love to argue that manufacturing (like retail) generally posts at least small to modest gains every year. What they fail to mention or take into account is the added costs to the bottom line of said manufacturers and retailers, as well as the added costs to the end consumer. Such costs are often not addressed in the slightest when final numbers are tallied for the public.

In manufacturing, some numbers are outright falsified, as in the case of China, where officials are forcing plant managers to lie about output.

In my view, any decline made visible in the false numbers of the mainstream should be multiplied by a wide margin in order to approximate what is going on in the real economy. China, the largest exporter and importer in the world, continues to suffer declines in manufacturing “expansion” as it’s PMI suggests orders remain steadily stagnant.

“Official” statistics show a 3.3 percent decline in Chinese exports in January from a year earlier, while imports slumped 19.9 percent. Exports slid 12 percent on a monthly basis while imports fell 21 percent according to the Customs Administration.

In Japan, despite the falling Yen which was expected to boost overseas demand, export growth declined for last year, certainly in terms of export volume. The recent “jump” in January does nothing to offset the steady erosion of Japanese exports over the past five years and the flat demand over the past two years.

Japan’s manufacturing expansion has slowed to the slowest pace in seven months.

In Germany, the EU’s strongest economic center, industrial output has declined to the lowest levels since 2009, and factory orders have also plunged to levels not seen since 2009.

Despite the assumptions in the mainstream media that lower oil prices would result in high retails sales, this fantasy refuses to materialize. Retail sales continue the dismal trend set during the Christmas season of 2014,with the largest decline in 11 months in December, and continued declines in January.

Oil is certainly the most in-our-face undeniable indicator of imploding demand. Volatility has skyrocketed while pump prices have dropped by half in many places. One may be tempted to only see the immediate benefits of this deflation. But they would be overlooking the bigger picture of global demand. Oil is the primary driver of economic productivity. Dwindling demand for oil means dwindling productivity which means dwindling consumption which means a dwindling economy. Period.

OPEC reports announce downgraded global demand for oil above and beyond expectations. Oil demand has fallen to levels not seen since 2002.

Beyond the issue of real global demand for raw goods, the argument that the BDI is being gutted only due to an oversupply of cargo vessels also does not take into account the fact that Shipping companies often SCRAP extra ships when demand falters.  I find it rather amusing that mainstream economists seem to think that dry bulk companies would continue a trend of fielding cargo ships they don’t use causing an artificial drop in freight rates.  As far as I know, such companies are not in the habit of undermining their own profits if they can help it.  When an oversupply of ships occurs, companies remove unused vessels either through scrap or dry dock in an attempt to drive freight rates back up to profitable levels.  This often works, unless, it is DEMAND for cargo shipping that is the issue, not the supply of ships.

Ship scrapping boomed in 2013 and has not stopped since.  In fact, dry bulk mover COSCO dismantled at least 17 ships in the month of January alone and has been dismantling ships consistently since at least 2013.  The trend of scrapping is often glossed over by shippers as a “modernization effort”, but the fact remains that cargo companies are always removing ships from supply in order to maximize rates and profits.

Finally, global shipping giant Maersk Line now openly admits that the primary detriment to shipping rates, the reason the BDI is falling to historic lows, is because of falling demand in nearly every market; ship supply is secondary.

Does falling demand result in a lack of fleet use and thus “oversupply”?  Of course.  However, this chicken/egg game that establishment economists play with the BDI needs to stop.  Falling demand for goods came first, the number of unused ships came second.  This is the reality.

A rather cynical person might point out that all of the stats above come from the propaganda engine that is the mainstream, so why should they count? I would suggest these people consider the fact that the propaganda engine is constantly contradicting itself, and in-between the lines, we can find a certain amount of truth.

If manufacturing is in “expansion”, even minor expansion, then why are exports around the world in decline? If the Baltic Dry Index is dropping off the map because of a “supply glut of ships”, then why are other demand indicators across the board also falling, and why are major shipping agencies talking about lack of demand? You see, this is what alternative analysts mean by the “real economy”; we are talking about the disconnect within the mainstream’s own data, and we are attempting to discern what parts actually present a logical picture. The media would prefer that you look at the economy through a keyhole rather than through a pair of binoculars.

Beyond this lay the true beneficiaries of public oblivion; international corporate moguls, banking financiers, and political despots. Corporations and governments only do two things relatively well — lying and stealing. One always enables the other.

The establishment has done everything in its power to hide the most foundational of economic realities, namely the reality of dying demand. Why? Because the longer they can hide true demand, the more time they have to steal what little independent wealth remains within the system while positioning the populace for the next great con (the con of total globalization and centralization). I will cover the many advantages of an economic collapse for elites at the end of this series.

For now I will only say that the program of manipulation we have seen since 2008 is clearly changing. The fact of catastrophic demand loss is becoming apparent. Such a loss only ever precedes a wider fiscal event. The BDI does not implode without a larger malfunction under the surface of the financial system. Oil and exports and manufacturing do not crumble without the weight of a greater disaster bearing down. These things do not take place in a vacuum. They are the irradiated flash preceding the deadly fallout of a financial atom bomb.


Brandon Smith is the founder of the Alternative Market Project, an organization designed to help you find like-minded activists and preppers in your local area so that you can network and construct communities for barter and mutual aid. Join www.Alt-Market.com today and learn what it means to step away from the unstable mainstream system and build something better. You can contact Brandon Smith at: [email protected] .

 

Stock Market Bubble: Wall Street Is Ecstatic As The NASDAQ Closes Above 5000

Financial-Bubbles-Public-Domain

Are we at the tail end of the stock market bubble to end all stock market bubbles?  Wall Street was full of glee Monday when the Nasdaq closed above 5000 for the first time since the peak of the dotcom bubble in March 2000.  And almost everyone in the financial world seems convinced that things are somehow “different” this time around.  Even though by almost every objective measure stocks are wildly overpriced right now, and even though there are a whole host of signs that economic trouble is on the horizon, the overwhelming consensus is that this bull market is just going to keep charging ahead.  But of course that is what they thought just before the last two stock market crashes in 2001 and 2008 as well.  No matter how many times history repeats, we never seem to learn from it.

Back in October 2002, the Nasdaq hit a post-dotcom bubble low of 1108.  From there, it went on an impressive run.  In late 2007, it briefly moved above 2800 before losing more than half of its value during the stock market crash of 2008.

So the fact that the Nasdaq has now closed above 5000 is a really big deal.  The following is how USA Today described what happened on Monday…

The Nasdaq Composite capped its long march back to 5000 Monday, eclipsing, then closing above the long-hallowed mark for the first time since March 2000.

The arduous climb came on the heels of a 10-day winning streak that ended last week, Nasdaq’s longest since July 2009. That helped fuel the technology-heavy market index to a 7% gain in February, the sixth-largest monthly climb since its 1971 launch.

The chart below shows how the Nasdaq has performed over the past decade.  As you can see, we are coming dangerously close to doubling the peak that was hit just before the last stock market collapse…

NASDAQ-since-2005-425x282

By looking at that chart, you would be tempted to think that the overall U.S. economy must be doing great.

But of course that is not the case at all.

For example, just take a look at what has happened to the employment-population ratio over the past decade.  The percentage of the working age U.S. population that is currently employed is actually far lower than it used to be…

Employment-Population-Ratio-Since-2005-425x282

So why is the stock market doing so well if the overall economy is not?

Well, the truth is that stocks have become completely divorced from economic reality at this point.  Wall Street has been transformed into a giant casino, and trading stocks has been transformed into a high stakes poker game.

And one of the ways that we can tell that a stock market bubble has formed is when people start borrowing massive amounts of money to invest in stocks.  As you can see from the commentary and chart from Doug Short below, margin debt is peaking again just like it did just prior to the last two stock market crashes…

Unfortunately, the NYSE margin debt data is a month old when it is published. Real (inflation-adjusted) debt hit its all-time high in February 2014, after which it margin declined sharply for two months, but by June it had risen to a level about two percent below its high and then oscillated in a relatively narrow range. The latest data point for January is four percent off its real high eleven month ago.

Margin-Debt-Doug-Short-425x309

So why can’t more people see this?

We are in the midst of a monumental stock market bubble and most on Wall Street seem willingly blind to it.

Fortunately, there are a few sober voices in the crowd.  One of them is John Hussman.  He is warning that now is the time to get out of stocks

Unless we observe a rather swift improvement in market internals and a further, material easing in credit spreads – neither which would relieve the present overvaluation of the market, but both which would defer our immediate concerns about downside risk – the present moment likely represents the best opportunity to reduce exposure to stock market risk that investors are likely to encounter in the coming 8 years.

Last week, the cyclically-adjusted P/E of the S&P 500 Index surpassed 27, versus a historical norm of just 15 prior to the late-1990’s market bubble. The S&P 500 price/revenue ratio surpassed 1.8, versus a pre-bubble norm of just 0.8. On a wide range of historically reliable measures (having a nearly 90% correlation with actual subsequent S&P 500 total returns), we estimate current valuations to be fully 118% above levels associated with historically normal subsequent returns in stocks. Advisory bullishness (Investors Intelligence) shot to 59.5%, compared with only 14.1% bears – one of the most lopsided sentiment extremes on record. The S&P 500 registered a record high after an advancing half-cycle since 2009 that is historically long-in-the-tooth and already exceeds the valuation peaks set at every cyclical extreme in history but 2000 on the S&P 500 (across all stocks, current median price/earnings, price/revenue and enterprise value/EBITDA multiples already exceed the 2000 extreme). Equally important, our measures of market internals and credit spreads, despite moderate improvement in recent weeks, continue to suggest a shift toward risk-aversion among investors. An environment of compressed risk premiums coupled with increasing risk-aversion is without question the most hostile set of features one can identify in the historical record.

Everyone knows that the stock market cannot stay detached from economic reality forever.

At some point the bubble is going to burst.

If you want to know what the real economy is like, just ask Alison Norris of Detroit, Michigan

When Alison Norris couldn’t find work in Detroit, she searched past city limits, ending up with a part-time restaurant job 20 miles away, which takes at least two hours to get to using public transportation.

Norris has to take two buses to her job at a suburban mall in Troy, Michigan, using separate city and suburban bus systems.

For many city residents with limited skills and education, Detroit is an employment desert, having lost tens of thousands of blue-collar jobs in manufacturing cutbacks and service jobs as the population dwindled.

Sadly, her story is not an anomaly.  I get emails from readers all the time that are out of work and just can’t seem to find a decent job no matter how hard they try.

It would be one thing if the stock market was soaring because the U.S. economy was thriving.

But we all know that is not true.

So that means the current stock market mania that we are witnessing is artificial.

How long will it last?

Give us your opinion by posting a comment below…


Michael T. Snyder is a graduate of the McIntire School of Commerce at the University of Virginia and has a law degree and an LLM from the University of Florida Law School. He is an attorney that has worked for some of the largest and most prominent law firms in Washington D.C. and who now spends his time researching and writing and trying to wake the American people up. You can follow his work on The Economic Collapse blog, End of the American Dream and The Truth Wins. His new novel entitled “The Beginning Of The End” is now available on Amazon.com.

14 Signs That Most Americans Are Flat Broke And Totally Unprepared For The Coming Economic Crisis

Newspaper-With-Financial-Collapse1

When the coming economic crisis strikes, more than half the country is going to be financially wiped out within weeks.  At this point, more than 60 percent of all Americans are living paycheck to paycheck, and a whopping 24 percent of the country has more credit card debt than emergency savings.  One of the primary principles that any of these “financial experts” that you see on television will teach you is to have a cushion to fall back on.  At the very least, you never know when unexpected expenses like major car repairs or medical bills will come along.  And in the event of a major economic collapse, if you do not have any financial cushion at all you will be a sitting duck.  Yes, I know that there are millions upon millions of families out there that are just trying to scrape by from month to month at this point.  I hear from people that are deeply struggling in this economy all the time.  So I don’t blame them for not being able to save lots of money.  But if you are in a position to build up an emergency fund, you need to do so.  We have been experiencing an extended period of relative economic stability, but it will not last.  In fact, the time for getting prepared for the next great economic downturn is rapidly running out, and most Americans are not ready for it at all.  The following are 14 signs that most Americans are flat broke and totally unprepared for the coming economic crisis…

#1 According to a survey that was just released, 24 percent of all Americans have more credit card debt than emergency savings.

#2 That same survey discovered that an additional 13 percent of all Americans do not have any credit card debt, but they do not have a single penny of emergency savings either.

#3 At this point, approximately 62 percent of all Americans are living paycheck to paycheck.

#4 Adults under the age of 35 in the United States currently have a savings rate of negative 2 percent.

#5 More than half of all students in U.S. public schools come from families that are poor enough to qualify for school lunch subsidies.

#6 A study that was conducted last year found that more than one out of every three adults in the United States has an unpaid debt that is “in collections“.

#7 One survey discovered that 52 percent of all Americans really cannot even financially afford the homes that they are living in right now.

#8 According to research conducted by Atif Mian of Princeton University and Amir Sufi of the University of Chicago Booth School of Business, 40 percent of Americans could not come up with $2000 right now without borrowing it.

#9 That same study found that 60 percent of Americans could not say yes to the following question…

“Do you have 3 months emergency funds to cover expenses in case of sickness, job loss, economic downturn?”

#10 A different study discovered that less than one out of every four Americans has enough money stored away to cover six months of expenses.

#11 Today, the average American household is carrying a grand total of 203,163 dollars of debt.

#12 It is estimated that less than 10 percent of the entire U.S. population owns any gold or silver for investment purposes.

#13 48 percent of all Americans do not have any emergency supplies in their homes whatsoever.

#14 53 percent of all Americans do not even have a minimum three day supply of nonperishable food and water in their homes.

Perhaps none of this concerns you.

Perhaps you think that this bubble economy can persist indefinitely.

Well, if you won’t listen to the more than 1200 articles that set out the case for the coming economic collapse on my website, perhaps you will listen to former Federal Reserve Chairman Alan Greenspan.  The following is what he recently told one interviewer

We asked him where he thought the gold price will be in five years and he said “measurably higher.”

In private conversation I asked him about the outstanding debts… and that the debt load in the U.S. had gotten so great that there has to be some monetary depreciation. Specially he said that the era of quantitative easing and zero-interest rate policies by the Fed… we really cannot exit this without some significant market event… By that I interpret it being either a stock market crash or a prolonged recession, which would then engender another round of monetary reflation by the Fed.

He thinks something big is going to happen that we can’t get out of this era of money printing without some repercussions – and pretty severe ones – that gold will benefit from.

And as I have stressed so frequently, the signs that the next crisis is almost here are all around us.

For example, the Baltic Dry Index has just plunged to a fresh record low, and things have already gotten so bad that some global shippers are now filing for bankruptcy

The unintended consequences of a money-printed, credit-fueled, mal-investment-boom in commodities (prices – as opposed to physical demand per se) and the downstream signals that sent to any and all industries are starting to bite. The Baltic Dry Index has plunged once again to new record lows and the collapse of the non-financialized ‘clean’ indicator of the imbalances between global trade demand and freight transport supply has the real-world effects are starting to be felt, as Reuters reports the third dry-bulk shipper this month has filed for bankruptcy… in what shippers call “the worst market conditions since the ’80s.”

Perhaps you do see things coming.

Perhaps you do want to get prepared.

If you are new to all of this, and you don’t quite know how to get started preparing, please see my previous article entitled “89 Tips That Will Help You Prepare For The Coming Economic Depression“.  It will give you some basic tips that you can start implementing right away.

And of course one of the most important things is something that I talked about at the top of this article.

If at all possible, you have got to have an emergency fund.  When the coming economic storm strikes, your family is going to need something to fall back on.

If you are trusting in the government to save you when things fall apart, you will be severely disappointed.


Michael T. Snyder is a graduate of the McIntire School of Commerce at the University of Virginia and has a law degree and an LLM from the University of Florida Law School. He is an attorney that has worked for some of the largest and most prominent law firms in Washington D.C. and who now spends his time researching and writing and trying to wake the American people up. You can follow his work on The Economic Collapse blog, End of the American Dream and The Truth Wins. His new novel entitled “The Beginning Of The End” is now available on Amazon.com.

 

Where To Invest Your Money Before The Economic Collapse Of 2015

stock market investing

Disturbingly, George Soros has repeatedly demonstrated that he has had both accurate and advanced knowledge of stock market and banking crashes in the past. In fact Soros has a history of causing economic collapses with his preplanned money movements (e.g. Arab Spring). Subsequently, savvy investors keep a very close eye on Soros’ money movements and resulting holdings as Soros is the proverbial “Canary in the mine”. He is the world’s ultimate economic hit man and both bankers and politicians watch his every move with fear and apprehension. If you want to know what money venues to avoid, or embrace, tracking George Soros is your best bet.

Monkey See Monkey Do

 soros-fund-management

With regard to one’s personal investments, a prudent steward of one’s own resources would want to not be where George Soros’ isn’t and to imitate Soros’ money movement with regard where George Soros does place his bets. Why? Because Soros is one of the principals that determines the “rules” for the rigged game of investments across the planet.

Soros’ money movements are significant for several reasons. First, he is now betting against both the U.S. Stock Market and three major U.S. domestic banks. Second, Soros has obtained a sizable gold portfolio which is something one would want to do if one were expecting, or causing a crash of paper currency (i.e. the dollar) to occur. Finally, and most significantly, Soros is betting against the solvency of the Federal Reserve by running from the three of the major investors (i.e. the three major banks) in the Federal Reserve.

According to a 2014 filing with the Securities and Exchange Commission, it was revealed that Soros sold his holdings in Citigroup, J.P. Morgan and Bank of America. Soros subsequently moved his money and took up new positions in gold and tech stocks associated with Chinese money movement. Soros has moved his money to RF Micro Devices, Nuance Communications, Marvel Technology Group, Nokia Corp., and Cypress Semiconductor. Soros also boosted his stake in Herbalife and took up a new position in Yamana Gold and AuRico Gold, and New Gold Inc. This sent shockwaves among aware investors in the banking and stock market arena.

The Chinese and the Federal Reserve Will Eventually Die Together

It is interesting to note that JP Morgan Chase, earlier in 2014, has sold their property located at One Chase Manhattan Plaza skyscraper to Fosun International, a Chinese investment firm, for the bargain basement price of $725 million. This is only the latest in a series of New York real estate purchases by Chinese investors for properties formerly reserved for Federal Reserve members. This is a highly significant event that received only a couple of days of attention, but quickly faded from the front pages of the mainstream media. In a future article, I will go into more detail how Soros is setting a trap for both the Chinese and the Federal Reserve. For now, let’s suffice it to say that his actions are helping to set the course for World War III because war is something that desperate nations engage in when they have no other financial options. America, China, Russia and their military allies are quickly approaching this moment.

Collaborating Data: Why It Is Becoming Difficult to Gain Access to Your Bank Account

The Soros money movement strategies are purposeful and ominous. A wise investor from the House of Soros, would liquidate all of their current economic positions and quickly get liquid so they could invest in future winners. Unfortunately, you cannot access your money and “get liquid” with the ease of a George Soros. The banks are building in safeguards to help prevent flight from the banks. However, when it does come down to where one should put their discretionary income, there is a crystal clear pattern on what all Americans should be doing with their money.

Prior to establishing the George Soros investment watch list, it is somewhat reassuring, but not comforting, to note that the actions of the G20 and the British and American banking establishment clearly demonstrate why Soros has fled the American banking system and Stock Market. On November 16, 2014, it was revealed that the G20 nations passed a joint resolution to get their nation’s central banking system to declare that your bank account was not defined as money. This was done because the G20 central banks are approaching insolvency. This put your assets at the bottom of the list for FDIC compensation in the event a bank failure. Every “common citizen” should see this as an inevitable sign that their bank is going to fail and that they are not going to get their money back. Further, the U.S. and Britain practiced for widespread bank failures on November 10, 2o14, in a drill facilitated by the FDIC. This is so highly significant  because this is occurring at a time when the Federal Reserve gave permission to various Chinese interests (i.e. all controlled by the Chinese military) to purchase sizable positions in American banking which serves to underwrite and partially fund the Federal Reserve.

The fact that these two events happened in close proximity to each other is not surprising when one considers that an economic collapse is right around the corner. However, it is surprising that these two events (i.e. the 11/10/2014 bank failure drill and the 11/16/2014 G20 declaration) happened in such close proximity to each other presents clear signs that the banking industry is preparing to hold on to your money in attempt to stave off financial ruin.

In a future article, I will discuss strategies on how to separate your money from the banks, before the banks can separate you from your money.

Georgy’s List of Winners and Losers

By using Soros’ money movements over the past year as the blueprint on what to do and not do prior to the economic collapse, one should keep in mind the results of the Soros list of do’s and don’ts and then act accordingly,

George Soros List of Don’ts

1. Avoid the Stock Market like the plague. If your 401K or other retirement plans are tied to the Stock Market, you would be better off, in the long run, to liquidate your position and take the 50% hit from the Federal government for doing so before the age of 59. Half a loaf, is better than no loaf at all.

2. Get your money out the Federal Reserve banks (all banks). The obvious question is what to do with your money once you have obtained possession. This is covered in the next session under “Do’s” with regard to your discretionary income.

3. Avoid American real estate investments. Let’s not forget that the Federal Reserve, until recently, was purchasing $40 billion dollars of mortgage backed securities every single month. Then the Federal suddenly stopped the practice after they realized the error of their ways. George Soros is not investing in American real estate.

George Soros List of Do’s

1. Buy gold and lost of it!

2. Buy some silver, but realize that silver is historically unstable. Therefore, all portfolios should be heavily invested in gold over other precious metals.

3. Find a way to pay off your mortgage, because after an economic collapse, you will have no means to do so and MERS will be waiting. If you are unwilling to do this, then you should sell your home and rent because you are throwing away your current mortgage payments.

4. At least in the near term, invest in Chinese hi tech stocks associated with their money movement. There are two very trouble considerations with this move. First, the Chinese would obviously move their money away from troubled American investments prior to the collapse of the dollar. Soros move to follow this pattern signals the end of the dollar. On a more ominous note, Soros could be telling you who is going to lose World War III. If the U.S. was slated to win World War III, would Soros invest in Chinese money movement over the U.S. dollar and the American Stock Market?

Conclusion

When in Rome, do as the Romans do. In this case, one should be doing what George Soros is doing. To continue to invest in American real estate, the Stock Market and retirement accounts is like buying hair restoring tonic from a bald barber.

Future articles will cover how to get as  liquid as possible along with how to invest in yourself.


Dave Hodges is the host of the popular weekly talk show, The Common Sense Show, which airs on Sunday nights from 9pm – Midnight (central) on the Republic Broadcasting Network and its 29 affiliate stations. Dave also hosts a website (www.thecommonsenseshow.com) in which he writes daily articles on the geopolitical state of affairs both nationally and internationally. The theme of Dave’s show and website centers around exposing the corruption and treason which has invaded the presidency and Congress as well as their corporate and banking benefactors. Dave is an award winning psychology, sociology, statistics and research professor. He is also a former college basketball coach who retired as the winningest coach in his college’s history. A mental health therapist by training, Dave brings a broad based perspective in his fight against the corrupt central banking cartels which have hijacked the US government. Dave and his wife, Nora have one son and they presently reside in rural Arizona approximately 25 miles north of the greater Phoenix area. Dave was drawn to the fight for freedom when the globalist central banking forces, led by Senator John McCain, attempted to seize his home and property and that of 300 of his neighbors, without one dime being offered in compensation. This attempted public theft of private property was conducted for the purpose of securing cheap land in which the globalists intended on putting in an international highway through their area known as the Canamex Corridor. Dave’s community appointed him the spokesperson and eventually his community won their fight against the bankers and their front man, Senator McCain. This event launched Dave’s career as a broadcaster and an investigative journalist. Dave’s website presently enjoys over a half a million visitors every month.

 

The Straw That Broke The Back Of The American Economy

us-flag-history-wiki-215

As many of you know, we have an $18 trillion dollar debt, a $240 trillion dollar debt, a $200 trillion dollar consumer credit debt and we have the ultimate elephant in the room, the one quadrillion dollar derivatives debt. In a country that imports 20% of its food supply, it was reported yesterday by KTAR 92.3 FM (Phoenix) that massive amounts of food are rotting on ships waiting to be offloaded and the docks awaiting shipment.

We should be wondering how much more can the economy take? What will be the straw that breaks the camel’s back?

Even the Main Stream Media Gets It

Rotting food. How many farmers can go out of business until we have a real crisis?

Rotting food. How many farmers can go out of business until we have a real crisis?

This is being reported by CNN Money:

California’s famous navel oranges and Washington’s apples are rotting in the hot L.A. sun. Meanwhile, Japanese electronics and Chinese clothing items are bobbing in the ocean within view of the shore. The Pacific Maritime Association has accused the International Longshore Workers union of creating a work slowdown that has turned harbors into parking lots and shipping containers into putrid garbage bins”.

CNBC is reporting:

“Growers and shippers are losing money on exports they can’t ship while their crops sit on the docks and rot. Flooding the domestic market would risk a price crash, and some worry they could lose business permanently if overseas buyers get fed up with spotty shipments of spoiled goods”.

Even the mainstream media gets it and there is not even an effort on behalf of the media to hide what is going on. Yet, I dread reading some of the moronic comments that I am going to see this morning which tell me to quit fear-mongering and the “economy is just fine”.

What will it be that ultimately brings down the American people? The crushing debt in this country that brings us down? Will it be the current import crisis/scandal? Will it be the truckers going broke awaiting product to transport? Will it be the farmers going broke while their products lie rotting at the ports? Pick your poison.

A Dream of Revelation

One of the ways that the mind processes information is through the unconscious when we are quiet in both mind and body. I also believe that is when God speaks to us if we care to listen. These revelations can come through dreams, meditation, prayer, etc.

Last night, I had a repetitive dream throughout the night in which President Obama kept announcing on the news that Americans had to stay in their homes so they would not be gobbled up by the financial earthquakes sweeping the country. In the dream, Obama stressed that the only safe place was inside of our homes. I was caught out at the gym that I work out at. A bunch of us would watch a news report about a new financial “earthquake” and then the earthquake would come right to the edge of the door of the gym and would have killed anyone in its path that was standing outside. We were trapped with no options.

In the news reports being played on the TV at the gym, George Soros was repeatedly being interviewed and he kept saying “This is the end of the global economy as we know it”. Also, in the dream, we knew the facility that we were trapped in had limited food and water and it would not be long until we looked at each other as our next meal of opportunity. I have never had such a dream, but I had the dream, numerous times throughout the night. The dream also revealed to me that there are multiple causations for our economic demise and it will not be any one thing that brings our economy to its knees.

I awakened with an awareness that there is no coming back from the economic struggles that have been thrust upon this country.

An Email Excerpt Which Represents the “Many”

I have received about 30 emails, in the past 24 hours, similar to the one listed below and in each case, they are moved by the spirit to express the fact that it is “game over”.

Dear Dave, I really love your articles, I read them each day or when they come out. I live in _____ Az. I have noticed that the markets up here are, well, drying up. That is to say the housing mkt is stagnated, even though most are in serious denial, we have over 600 places on the (small) market, Realtor’s are like rabid squirrels tiring to sell something.
We have many places going out of business up here and there isn’t much here to be happy about that. Maybe McDonald’s is busy, but that’s from the trekkers from Phoenix every weekend. Our schools are broke and the food is so high it’s shocking to go to the store anymore!
I am looking around at the news and this country is shot and I’m in tears! All hell has already broken loose and all we can do is pray and sit and watch the ship sink. Kinda like the Titanic, only a billion times worse..OH, that’s a real number now too! A Trillion, that was a fantasy number when I was young, not anymore…
What used to buy/cost $40 at the grocers 10 yrs ago is now $150, seriously! We are in our early and mid-50’s  and we see no hope for this once beloved Country of ours. My husband works in ______ oil fields and we’re barely making it.
We are broke. We are weak. We are overrun with illegal immigrants who are destroying our healthcare and our health with old and worsening diseases! We are uneducated. We are led by morons who are just money and power hungry crazy people and a man at the helm who really hates America.Just look at what he is doing, just look…
So, to sum up this note, I am exhausted and really depressed. I feel like all the preparations, hard work and sacrifices we have made will do little to cover our assets, if ya know what I mean. No where to run, no where to hide…”
Using my email content as a barometer of the nation’s mood, this email reflects the overall sense of desperation sweeping the country. Economies are held together, in large part by confidence. When people lose faith and confidence in the system, that system is doomed.
The danger to humanity is real and I think we are witnessing a convergence between the spiritual realm and physical realm and the dangers are clearly being presented to us in which it is now possible for all to see the Four Horsemen riding into sight. Yes, there is a lot that will happen before the Tribulation, but the stars are lining up.

George Soros Is the Ultimate Economic Hit Man

Disturbingly, Soros has repeatedly demonstrated that he has had both accurate and advanced knowledge of stock market and banking crashes in the past. Subsequently, savvy investors keep a very close eye on his money movements and resulting holdings as Soros is the “Canary in the mine”. He is the world’s ultimate economic hit man and both bankers and politicians watch his every move with fear and apprehension. He is my subject in tomorrow’s article. 

Conclusion

The straw that broke the camels back.

The straw that broke the camels back.

If these cargo ships are not off-loaded soon, the earth will tremble and leave its mark right up to every home and business in the country. Parts of Europe (Greece, Italy, Spain and Ireland) are already experiencing some of what I am writing about here. The only question is whether it will take 6 days, 60 days or 6 months to collapse the system.

Since truckers are facing the prospect of going out of business waiting for the product to be offloaded. Ask yourself a question: “If massive numbers of truckers go out of work waiting for product, who will be left to deliver the product if it becomes available”?

George Soros is the fulcrum and we will examine his money movements in the past year with the purpose of looking for corresponding data to collaborate the information contained in this article.


Dave Hodges is the host of the popular weekly talk show, The Common Sense Show, which airs on Sunday nights from 9pm – Midnight (central) on the Republic Broadcasting Network and its 29 affiliate stations. Dave also hosts a website (www.thecommonsenseshow.com) in which he writes daily articles on the geopolitical state of affairs both nationally and internationally. The theme of Dave’s show and website centers around exposing the corruption and treason which has invaded the presidency and Congress as well as their corporate and banking benefactors. Dave is an award winning psychology, sociology, statistics and research professor. He is also a former college basketball coach who retired as the winningest coach in his college’s history. A mental health therapist by training, Dave brings a broad based perspective in his fight against the corrupt central banking cartels which have hijacked the US government. Dave and his wife, Nora have one son and they presently reside in rural Arizona approximately 25 miles north of the greater Phoenix area. Dave was drawn to the fight for freedom when the globalist central banking forces, led by Senator John McCain, attempted to seize his home and property and that of 300 of his neighbors, without one dime being offered in compensation. This attempted public theft of private property was conducted for the purpose of securing cheap land in which the globalists intended on putting in an international highway through their area known as the Canamex Corridor. Dave’s community appointed him the spokesperson and eventually his community won their fight against the bankers and their front man, Senator McCain. This event launched Dave’s career as a broadcaster and an investigative journalist. Dave’s website presently enjoys over a half a million visitors every month.

 

Forget Your Neighbors, You Must Focus On Saving Your Family While You Still Can

Ships anchored out waiting to get unloaded

Ships anchored out waiting to get unloaded

Yesterday, I wrote an article which I found very difficult to publish because of its very dire consequences. Briefly, I explained how the ships carrying vital imports to American shores are not being offloaded. I offered a video of a Los Angeles city councilman, as he traveled about Los Angeles harbor explaining how serious this crisis was becoming and that even if the goods were to be offloaded right away (e.g. February 9, 2015), it would still take 6-8 months for the product to be offloaded in its entirety.

Since 1968, the American economy has lost 86% of its manufacturing base. This is why cities like Detroit, Cleveland and St. Louis have collapsed, or will soon collapse, because of the lack of once prominent manufacturing industries. This all happened courtesy of the NAFTA and CAFTA Free Trade Agreements, which allowed corporate America to ship its jobs and manufacturing to the third world and then ship these products, now manufactured by cheap foreign labor, back into the country, duty free.

Yesterday, I also covered the fact that the Trans Pacific Partnership (TPP) is now trying to break the backs of what is left of American unions by forcing its trade rules upon the dockworkers as the TPP attempts to take control over the American economy. As a result, vital imports are backing up at our nation’s ports and shortages are on the immediate horizon.

Many in the Independent Media have spoken about the importance of the Baltic Dry Index (BDI) which is at an all-time low. The BDI is the one true measure of how the global economy is doing and it is indicating that products are not being shipped.

More Bad News

Dozens of harbor truckers in Southern California have gone on record by notifying the Uniform Intermodal Interchange Agreement, as well as a number of prominent shipping lines, that because of the severe port congestion and labor disputes at West Coast Ports, they will not be held responsible for paying carrier-imposed charges for the late return of equipment. Even those who are ignorant enough to believe that we are not in the middle of an escalating crisis, should be concerned about the spare parts industry in America. The viability of Just In Time deliveries is being imperiled.

As a result, American trucking is suffering irreparable damages to its industry because imports are not being moved to the final destination point. One inescapable fact that very few are discussing is that when truckers begin to financially fail and many drop out of the industry, who will pick up the slack if and when product finally begins to ship, there will not be enough truckers to distribute product and already unfolding shortages will be exacerbated.

America’s Drug Shortage Program

It is difficult to believe that the United States has a prescription drug shortage problem. In fact, there is even a Federal program designed to deal with the shortages.

The drug shortage rate in the United States is becoming problematic and the scope of the problem is increasing.

The drug shortage rate in the United States is becoming problematic and the scope of the problem is increasing.

To solve this problem, the only solution is to import medicines from places like China and India, and what makes this a crisis? Seventy percent of all Americans are on prescription medications!

Tell Granny that she soon will not be able to get her blood pressure medication.

Tell Granny that she soon will not be able to get her blood pressure medication.

The Soon-to-be Food Shortages

The number of Americans which are dependent on foreign imports with regard to our food supply is greatly increasing. This factor along with dependence on foreign imports to supply American growing medical needs, constitutes a significant national security threat which potentially impacts millions of Americans when products are not shipped.

 Food-Imports

The Cognitive Dissonance Crowd Rears Its Ugly Head

I could continue to go on and on, but the picture is clear. If this import crisis persists for more than a week or two, with no relief, we will see shortages beyond belief. Yet, to some, they don’t want to be confused with the facts. Consider the following two posters to my website who read my article detailing the catastrophic impact that the port crisis will soon have on America.

Old Guy 16 February, 2015, 13:37

OK – if you believe this – let’s make a bet. Today is Feb 16th. The authors says – and some here seem to believe – that the US economy is days away from collapse. If you really believe that – then let’s make a bet. Dollars? Gold Coins? Bit Coins? Cans of Spam? I bet $100 or some equivalent – like 30 cans of Spam – that two weeks from today – the US economy is fine. Who will take the bet?

And then even an “esteemed” PhD expressed skepticism that we need to worry about the fact that product is not being offloaded in our nation’s ports and that this nation that has become totally dependent on imports has anything to worry about product that is not moving.

The following PhD offered these pearls of wisdom in order to assure the public that we have nothing to worry about when imports are being prevented from being delivered into the country.

J Gibbs PhD 16 February, 2015, 10:44

“Days away from shutting down.” REALLY? Well, this one will be easy to prove true or LIE. If by the middle of next week, say the 25th, the nation’s economy is still going along, heck let’s even give it to the 28th, then we will ALL KNOW these sensational reports are garbage.

Instead of engaging in meaningful debate so we could best prepare our people for what could be coming, I have to deal with people that think it’s funny that granny will soon not have her medications and this depraved indifference is manifested by the desire to create a “March Madness” pool of whether or not the economy is going to survive. Name calling and anecdotal derision become weapons of denial to the cognitive dissonance crowd.

I have tried to use rational, commonly agreed upon data to explain why we are in such dire danger in America. Yet, these arguments are met with nonfactual bias and unsubstantiated labeling and name calling.

I used to view it as my duty to educate ignorant people such as these so I could teach them how to best weather the coming storm. However, “there are none so blind as those who will not see”.  And because I am a Christian who believes that every life has value and I can’t abandon the ignorant, I have enlisted a new ally to help explain the gravity of the situation:

Dick and Jane Are the New Fear-Mongers

For an earlier generation, the Adventures of Dick and Jane were the way that we learned to read. Also, American school children learned some valuable life lessons from the Adventures of Dick and Jane. If Dick and Jane were still around today, they would probably have a lot to say about the current state of American affairs.

Today, Dick and Jane could prove to be a valuable resource in helping people understand the dangers that we are facing with child like simplicity. No need to understand the M3 money supply ratio, one can simply look at our world through the eyes of a child in order to understand that survival now depends on preparing for the collapse, not denying that it is going to happen.

“Hey Jane, what does it take to keep the economy running”?

“Hey Jane, what does it take to keep the economy running”?

“Gee, Dick and Jane, haven’t you heard that the TPP won’t let you help offload the boats? They want to make your daddy lose his job and our mommy to have to look for work. There will be nobody to look after us”.

“Gee, Dick and Jane, haven’t you heard that the TPP won’t let you help offload the boats? They want to make your daddy lose his job and our mommy to have to look for work. There will be nobody to look after us”.

Here Are Some More Reasons Dick and Jane Are Concerned

united-states-imports

Our growing dependence on exports is very concerning to Dick and Jane because any disruption of service, like what we see pictured below, could mean that their loved ones could experience food shortages and an inability to obtain critical medications.

Ships awaiting to be offloaded.

Ships awaiting to be offloaded.

Dick and Jane recently posted an editorial in The Weekly Reader which exposed the dangers of America’s declining manufacturing as a percentage of GDP, which is pictured below. Further, their mom discovered that even Trader Joe’s is beginning to experience spot shortages.

Do you now understand that if you flip this chart 180 degrees, that is what is awaiting to be offloaded in today’s American ports?

Do you now understand that if you flip this chart 180 degrees, that is what is awaiting to be offloaded in today’s American ports?

Conclusion

Do we, who are awake, have an obligation to those who are not awake in an attempt to warn them about how to best prepare for the coming crises which are already upon us? The answer is yes, but I feel we have a diminishing responsibility to continue to try and help those who refuse to help themselves. It may not be possible to fix a date of economic collapse caused by the current import crisis. However, there is a tipping point for everything and with imports largely not moving, it is not a matter of if, but when, the economy comes crashing down.

What if the imports begin to move? Yes, that will help push the coming collapse back for a small time. However, we still have the $18 trillion dollar debt, the $240 trillion dollars of unfunded mandates, the $200 trillion dollar consumer credit obligations and of course the king of them all, the one quadrillion dollar derivatives debt. Except for the latter, even Dick and Jane could calculate the gravity of these numbers in their first grade math book.

“Our country did not plan for a rainy day”.

“Our country did not plan for a rainy day”.

Dick and Jane’s Family Is Getting Ready!!!

dick-and-janes-family-better-get-ready


Dave Hodges is the host of the popular weekly talk show, The Common Sense Show, which airs on Sunday nights from 9pm – Midnight (central) on the Republic Broadcasting Network and its 29 affiliate stations. Dave also hosts a website (www.thecommonsenseshow.com) in which he writes daily articles on the geopolitical state of affairs both nationally and internationally. The theme of Dave’s show and website centers around exposing the corruption and treason which has invaded the presidency and Congress as well as their corporate and banking benefactors. Dave is an award winning psychology, sociology, statistics and research professor. He is also a former college basketball coach who retired as the winningest coach in his college’s history. A mental health therapist by training, Dave brings a broad based perspective in his fight against the corrupt central banking cartels which have hijacked the US government. Dave and his wife, Nora have one son and they presently reside in rural Arizona approximately 25 miles north of the greater Phoenix area. Dave was drawn to the fight for freedom when the globalist central banking forces, led by Senator John McCain, attempted to seize his home and property and that of 300 of his neighbors, without one dime being offered in compensation. This attempted public theft of private property was conducted for the purpose of securing cheap land in which the globalists intended on putting in an international highway through their area known as the Canamex Corridor. Dave’s community appointed him the spokesperson and eventually his community won their fight against the bankers and their front man, Senator McCain. This event launched Dave’s career as a broadcaster and an investigative journalist. Dave’s website presently enjoys over a half a million visitors every month.

 

The US Economy Is Days Away From Shutting Down

If the back up of the container cargo ships, in American ports, continues much longer, our stores will soon look like what is pictured here.

If the back up of the container cargo ships, in American ports, continues much longer, our stores will soon look like what is pictured here.

A Telling Report From Tacoma

The Global Economy Has Officially Crashed

The BDI has officially reached record lows. A global economic collapse is underway.

The BDI has officially reached record lows. A global economic collapse is underway.

The Baltic Dry Index has officially hit rock bottom with unprecedented lows. The forces behind the Trans Pacific Partnership have effectively used their influence to greatly stall the delivery of critically important commodities until the TPP is fully implemented among its member nations.

Who is responsible for the crash caused by the failure to move product through the world’s ports?

Trans Pacific Partnership, Was Initiated at U.S. West Coast Ports on February 13, 2015

The above headlines tells who is behind what is happening, it does not tell you how bad it is going to get. The unions are refusing to back down and it is for darn sure that the TPP will not back down either!

The backlog of ships is a crisis being done on purpose because the private multinational corporations want to empty the shelves in supermarkets nationwide for three or four weeks, designed to force the American people to approve the blackmail contained in the Trans Pacific Partnership. This is the economic end-game which will permit these multinational corporations to become nation-states across the planet.

Most Americans will fail to notice the threat until they can no longer purchase food in the super-markets, or mail-order prescription medications are not shipped. The sheep of this country will still be in denial that this could ever happen. The unions have now been idled, at major American shipping ports, because the multinational corporate owners of the shipping companies are keeping their ships filled with perishable goods at sea until all governmental opposition to the fast-tracked TPP is ended. Watch this video and listen to the what LA City Councilman, Joe Buscaino says when he states that even if product were to be off-loaded, in force, today, it would still take six to eight months to “get back to normal”. The United States economy does not have six to eight months to recover. It does not have six to eight days to survive the economic Armageddon that is coming.

Meanwhile, While We Slept

While the United States is fully preoccupied with global crises ranging from the fight against ISIS in Iraq and Syria, and the conflict in Ukraine, there is another development on the world stage which threatens the economic health of every single American and American based business. Specifically, I am referencing the Trans Pacific Partnership (TPP). The protocols of the TPP establish a free-trade zone/bloc stretching from Vietnam to Chile and Japan. The most draconian free trade agreement in history includes nearly a billion people which encompass almost 40% of the world’s economy. Since Obama failed to fast-track the TPP into law last year, he has made amazing progress and America is nearing its fate with economic Armageddon.

Transferring the American Economy to a Corporate Dictatorship 

As America races toward her date with destiny, there is yet another “fundamentally transforming” event coming her way and that event is known as the Trans-Pacific Partnership (TPP).

Many of us in the media believe that some of the effects of the TPP will be felt before the coming war and martial law crackdown. However, after careful analysis, I am convinced that the brunt of the TPP will be felt after the America we know has been totally taken over in a post-war and post-economic collapse scenario. At the end of the day, it does not matter when the implementation of the TPP comes, because when it does, America will no longer be recognizable to anyone who has grown up in this once great country.

The Implementation of the TPP Is Progressing By Stealth

Some of you are reading these words have no idea what the Trans-Pacific Partnership consists of. Most of you have never heard of it. Some of you have heard or read the term, but fail to realize the extreme danger that the implementation of this so-called trade agreement will mean to America and our way of life. A scant few are coming to realize just how dangerous the TPP truly is. For the record, the TPP is masquerading as a free trade agreement involving the US, Australia, Japan, Canada, Brunei, Vietnam, Malaysia, Chile, Mexico, New Zealand, Peru and Singapore. The TPP is much, much more than a free trade agreement.

With regard to the TPP, ignorance of the organization is understandable. We in the truthful part of the media have not fulfilled our duty to fully explore the ramifications of the TPP because so little is publicly known. Obama has taken full advantage of the cloudy environment and is preparing to even bypass the constitutionally required approval of the Congress before implementing the TPP through a process called “fast-tracking”.

Obama Is Bypassing Congressional Approval

Under the TPP, GMO labels for US food would not be allowed. Also not allowed is any form of Congressional oversight. 

President Obama is indeed seeking Fast Track Trade Promotion Authority for the TPP as he feverishly attempted to get the deal done by the end of the year. The REAL reason that the cargo container ships are backed upon our ports is because the TPP and Obama is holding all the parties hostage until they get what they want, the fast-tracking approval which will allow Obama to completely ignore Congress in regard to allowing Congress to fulfill its statutory duty in approving all trades.  Obama, on behalf of the TPP wants to break the unions and all power of any ancillary support group, which is why we are seeing products backed up in our ports. Under such an agreement, this would permit Obama to sign the trade agreement “without Congressional approval.”

All action, emanating from the U.S. government, with regard to the TPP, is secret. When something is secret and kept from you, it is usually very bad for you!

After “Fast-Tracking”, Obama would send the finalized agreement to Congress and this would subsequently force a vote within 90 days. Congressional debate would be very limited and no amendments would be permitted. Even if Congress wanted to protect the American worker and the American economy from devastation, they cannot if Obama obtains the power to fast-track the TPP.

Let’s be clear, Obama is violating the separation of powers principle of the US Constitution by leaving Congress in the dark and by limiting their ability to use their Congressional powers as they would with any other legislation. The rumors of the TPP policies are so horrific that even the Kool-Aid drinkers from the Democratic party are calling on Obama to allow more transparency. Congress is asking Obama to allow for more transparency? I did not know that we passed a Constitutional amendment which states that Congress works for Obama.

The TPP Represents the Total Loss of US Sovereignty

The TPP is the brain child of the corporations. The TPP places all member nations directly under the control of the TPP instead of their respective national governments. Congress has been denied access to review any of the documents. Alan Grayson (D-FL) was granted a special exemption to view a small part of the TPP and he was told by TPP officials to keep his mouth shut as Grayson recalls that “They maintain that the text is classified information. I’m a member of Congress, but now they tell me that they don’t want me to talk to anybody about it because if I did, I’d be releasing classified information.”  Do you realize what this means? The corporate controlled TPP has granted themselves the authority to exercise the governmental power of classifying documents and Congress is included in the exclusion. Do you understand that this means we are living in a corporate dictatorship? It gets even worse.

Meet Your New Government: Monsanto and Walmart

As if it is not egregious enough that Congress is not allowed to view TPP documents, the 600 corporate officials, who form the TPP panel (e.g. corporate officials from corporations such as Monsanto and Walmart), have complete control of the developmental process of the TPP. Obama, Monsanto and Walmart can view any part of the process, Congress and the American public cannot.

Further, a leaked chapter of the TPP speaks to the creation of a TPP Tribunal Council which will have the authority to force member nations to transform its laws, its civil procedures, its criminal procedures, even its electoral process, in order to abide by the TPP Tribunal dictates. The bottom line is that we are witnessing the destruction of the Constitution and the entire legal code of the United States, because once the tribunal makes a ruling with regard to a national law, there is no appeal. The Tribunal consists of unelected bureaucrats who are appointed by the creators of the TPP. The term of office for Tribunal officials is unlimited.

The most disturbing aspect of this agreement is that the TPP totally eviscerates the Tenth Amendment of the US Constitution. If, for example, the State of Arizona wanted to outlaw fracking, the TPP could overrule the local legislation if it so desired. To illustrate how far this unconstitutional corporate power extends, the TPP could declare cocaine trafficking to be legal and this could not be challenged by any level of government, nor is it subject to review by the Supreme Court. Obama and his TPP cronies are writing the obituary for the U.S. Constitution.

The TPP represents the total obliteration of American sovereignty. Oh yeah, I almost forgot to mention another small set of details. How long do you think it will take until the TPP imposes a draconian version of cap and trade upon the American people and small businesses? The cap and trade version of what Obama tried to get passed in the Senate, when he first took office, consisted of reducing everyone’s energy consumption by 80% and utility rates “would necessarily skyrocket.”

Please pause for just one moment and ask yourself if you like would like an 80% reduction of individual and business energy use and what that dramatic reduction of energy use would look like? The rank and file in this country would effectively be living in 1890.

This is Agenda 21 on steroids and it is being fully implemented through the back door. That is why the TPP is being kept from Congress and the American people.

These facts lead me to state that, if any of this is remotely true, then this President needs to be arrested and tried for treason.

Where Is This Headed?

Obama’s fast tracking of the TPP which was designed to be completed by the end of the year would have coincided with the commencement of many of Obama’s health care reforms which have now been implemented as of February 15, 2015 (e.g. the tripling of Obamacare fines and the full exposure of the “death panels” which deny many kinds of healthcare treatments at age 70 and above). And all of this coincides with communist take-over of the United States economy.

I wish I could accurately state that the loss of sovereignty is the only threat that the TPP poses to the American people. However, to say so, would constitute a grossly inaccurate statement. Under the TPP, the alternative media will be destroyed, guns will be confiscated and the face of American employment will be forever changed in ways that you will not believe. If anything, this article has understated the threat posed to America by the TPP. The TPP is not a free trade agreement, it is a document which introduces a new era into American government. If the TPP passes, we will be living in an absolute fascist corporate dictatorship.

This constitutes a form of economic martial law. And while this article is passing out one nightmare after another, please consider the fact that China and Russia are being purposely left out of the TPP. Why?  From an economic standpoint, that makes no sense unless one realizes that we are on a collision course with World War III and the BRIC nations, headed by China and Russia who will be our opponent in the upcoming conflict and the military balance of power is purposely being shifted by senior American politicians which are intentionally designed to weaken both the American economy and the American military.

Massive shortages are at our doorstep and the US economy is days away from shutting down. Walmart is resupplied six times per day. The shortages will soon show up in your shipped medications, food supplies and so forth. The crisis isn’t coming, it is here!

This article only served the purpose of introducing the gravity of the problem. What this truly entails for the average American, and more importantly, what, if anything, can be done about it, will follow in future articles.


Dave Hodges is the host of the popular weekly talk show, The Common Sense Show, which airs on Sunday nights from 9pm – Midnight (central) on the Republic Broadcasting Network and its 29 affiliate stations. Dave also hosts a website (www.thecommonsenseshow.com) in which he writes daily articles on the geopolitical state of affairs both nationally and internationally. The theme of Dave’s show and website centers around exposing the corruption and treason which has invaded the presidency and Congress as well as their corporate and banking benefactors. Dave is an award winning psychology, sociology, statistics and research professor. He is also a former college basketball coach who retired as the winningest coach in his college’s history. A mental health therapist by training, Dave brings a broad based perspective in his fight against the corrupt central banking cartels which have hijacked the US government. Dave and his wife, Nora have one son and they presently reside in rural Arizona approximately 25 miles north of the greater Phoenix area. Dave was drawn to the fight for freedom when the globalist central banking forces, led by Senator John McCain, attempted to seize his home and property and that of 300 of his neighbors, without one dime being offered in compensation. This attempted public theft of private property was conducted for the purpose of securing cheap land in which the globalists intended on putting in an international highway through their area known as the Canamex Corridor. Dave’s community appointed him the spokesperson and eventually his community won their fight against the bankers and their front man, Senator McCain. This event launched Dave’s career as a broadcaster and an investigative journalist. Dave’s website presently enjoys over a half a million visitors every month.