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Saturday, April 7, 2012

The American Legislative Exchange Council (for Corporate Interests) - Silence DoGood

The American Legislative Exchange Council or ALEC for short.  Has anyone else out there heard of this group?  Yeah, me either.  I’m not the most politically savvy person in the world although I stay about neck deep in it most of the time, but today is the first time I’ve ever ran across this particular entity.  An eye opening discovery that could only be likened to driving a transfer truck into the side of an aircraft carrier at 70 miles an hour; it’ll get your attention.

It seems that ALEC is comprised of member corporations who draft legislation and then forward it to friendly legislators in each of the several states for those legislators to introduce and become future law in those states.  I think that bears repeating.  This is an organization of corporations partnered with legislators for the sole purpose of drafting legislation for the sole purpose of having that legislation turned into law in the respective states.  Are you starting to feel cold, lonely, and sober?

Reducing this to simplest terms, we have the best government money can buy.  I’ve stated that very phrase here on several occasions and seen it written by others as well.  Now, well, we seem to have proof of that premise.  This likewise brings an entire host of other premises into the fore.  States’ rights first coming to mind.  ALEC is active in every state in the nation.  Don’t you think it mildly convenient that ALEC counts among its members some of the largest and most lucrative corporations active in America and exists for the sole purpose of having laws drafted for the benefit of their members.  I keep emphasizing those points it seems, but this is insanity hiding in the open and thumbing its nose at the people.  Talk about your prime tactic of divide and conquer under the guise of independence and a constitutional ideal of a weak central government.  These people have 50 different ways to manipulate their way into prominence.  They buy influence through the legislators we elect to get what it is they want.  Influence and law that is favorable to the corporation and not to the people. It is easier in this regard to negotiate and deal with 50 separate legislatures than a single strong central entity with strong laws that prevent such action from occurring.  Oh sure, “we’re working hard to create jobs.”  And working even harder to have every law that favors the worker overturned and enact legislation to gain every possible advantage and favor they can to feed and propel this mindless unfeeling entity known as corporation.  Maybe Mitt Romney isn’t wrong in that regard; corporations are people.  It eats, it consumes, it exudes greed and self-indulgence.  A multi-layered sociopath that exists only for the perpetuation of self.  A cannibal that devours and consumes those weaker than itself and absorbs others comparable to itself, morphing into a monolith of dominance.

Looking at the list of legislators friendly to ALEC in North Carolina, I’m quite delighted to say that none of the local contingent are affiliated with this organization although their political affiliation figures prominently with ALEC association.  Not exclusive affiliation, but it’s not far from being so.  The majority of State Representatives and Senators are Republicans with a smattering of Democrats thrown in.  I know, I’m just anti Republican.  Explain the predominance to me controlling for the political affiliation so as to make it irrelevant and believable.  I’ll listen.

More proof is required?  Ok.  Many of us have seen this new television campaign called “Common Sense Answers for NC” where this lady is on television talking about how the new legislature halted a tax increase, balanced the budget, funded 2,000 new teacher positions.  Have you looked at who is behind this campaign?  You’ve got to follow the money always.  Reading the fine print, you find that ads are paid for by the “Americans for Prosperity Foundation.”  Who are they?  They are a tax exempt organization with a stated purpose of “not supporting or opposing any specific legislation, but to inform the general public about public policy issues.”  Well, you dig into “Americans for Prosperity Foundation” and you discover that the foundation was formed by David Koch of Koch Industries.  It is a GOP/Conservative based foundation.  Now, flip on over to the member corporations of ALEC and there you have Koch Industries.  TV ads to blind you, brainwash you, deceive you to what is being done in your legislature.  David Koch has no interest in you or me.  He has every interest in amassing more wealth for himself and his corporate dynasty.  That’s the reality.

I’ve stated many times here that I’m not entirely anti-corporation.  I’m not entirely pro-labor, even though I do lean more that way since I think its people that make or break any organization and that no entity is greater than the sum of its parts.  Certainly you could argue that these corporations draft legislation to benefit the people who work for them.  You can try.  Look at who or what benefits from every piece of legislation that these fine people try to pass.  Not the spin, not what the “Americans for Prosperity” propagandists want you to believe, but what is actually provided for in each piece of legislation.

Below are the links, for those of you that may doubt the content.  You can read it for yourself.

Friday, April 6, 2012

The possibility of a World Physical Breakdown Crisis

To Concerned Citizen: I cannot submit the information that you sent me at this time. I have to have verification and that will take time to accrue. I appreciate the information, because it does paint a picture and gives further context to the issues. The problem is that I don't know the rules for all of these practices at this time and it will take time to research and to get advice from legal authorities. I am not saying that the trail ends here. All I am saying is there is no need to be redundant. Everyone understood the picture that was painted. If you would like to convey further information and subject material to me, please feel free to do so.

The Hound: Warren Pollock who is a contact and someone that I pay attention to in regards to "Big Picture" trends believes that we are moving away from the Financial Breakdown Crisis into a Physical Breakdown Crisis. He has written a document that goes into the subject material and I am reposting it here on the Hickory Hound. Mr. Pollock was an executive on Wall Street who was involved in creating the Programmed Computerized Model of Trading that has basically taken over all commodity markets today. The Derivatives market hinges on this form of trading. It is what has our current financial situation perilously close to tanking. The current market value is only supported by inflation and program trading. Remember the flash crash on May 6, 2010 when the DJIA fell 998.5 points in a matter of minutes or the DJIA 778 point crash of September 28, 2008? Whatever initiates such cascading negative momentum, just remember it can happen and when it does there is no guarantee that it will stop the next time. If it does not stop, then we move to the physical crisis talked about below.

Through the Breakdown Crisis - Warren E. Pollock

Thursday, April 5, 2012

Newsletter about the City Council meeting of April 3, 2012

This newsletter is about the Hickory City Council meeting that I attended this past week. City council meetings are held on the first and third Tuesdays of each Month in the Council Chambers of the Julian Whitener building.

At right of this page under Main Information links is an Hickory's City Website link. If you click on that link, it takes you to our city’s website, at the left of the page you will see the Agenda's and Minutes link you need to click. This will give you a choice of PDF files to upcoming and previous meetings.

You will find historic Agenda and Minutes links. Agendas show what is on the docket for the meeting of that date. The Minutes is an actual summary of the proceedings of the meeting of that date.

Here is a summary of the agenda of the 4/3/2012 meeting. There were a couple of important items that were discussed at this meeting and the details are listed further below:

Please remember that pressing Ctrl and + will magnify the text and page and pressing Ctrl and - will make the text and page smaller. This will help the readability for those with smaller screens and/or eye difficulties.

 Invocation by Rev. Bob Roach, Pastor, First United Methodist Church

Special Presentation
A. Presentation of Proclamation to City of Hickory Public Safety Communications Personnel Declaring the Week of April 8 – 14, 2012 as National Public Safety Telecommunicators Week. Mayor Wright delivered the Proclamation.




Police Chief Tom Adkins next came to the podium. The philosophy of Community Policing starts with these phone calls. These people are the first line of defense. He talked about a couple of incidences of response that were successful. An Elderly gentleman with Alzheimer's was lost and his friend and he had lost contact with their wives. A silver alert was issued. He described the above and beyond the call of duty help provided by dispatchers and officers to help find this man. Chief Adkins then talked about Dispatcher involvement during a power outage caused by a storm on June 11, 2011 at 7pm. Over 400 calls came into the center. They prioritized calls, which resulted in fewer delays in responses. These folks go unrecognized for their duties and the Police Chief thanked the Mayor for recognizing these individuals through this proclamation.

The Hound agrees that these dispatchers and officers do deserve recognition for their response to emergencies. You never know when it will be you that needs their service. This should not be taken for granted.



B. Presentation of the Charlotte Business Journal’s Healthiest Employers Award - The Charlotte Business Journal recognized the City of Hickory, March 21, 2012, as a Healthiest Employer. The City ranked fourth among seven finalists in the large employer category. Healthiest employers are selected based on best practices in the local market for workplace-wellness initiatives. The City’s annual health screenings, programs to reduce high risk factors and the tobacco cessation program were highlighted by the Charlotte Business Journal. Staff will present the award to City Council.

Mike Bennett made the presentation Large Employer category that includes entities that consist of 500 to 5,000 employees. The City was commended for its Smoking Cessation program and health screening program. Mr. Bennett stated that the City has defied skyrocketing costs through this program.


Approval of Minutes of Special Meeting of March 26, 2012

The Hound - I was unable to attend this meeting held last Monday that discussed Resilient Hickory 2012 Presentation and Special Events/Activities Application for Hickory Alive (Downtown Music Concert Series) by Hickory Jaycees on June 1, June 8, June 15, June 22 and June 29, 2012. You can read the minutes at the link.

The Hound was wrong about the Jaycees and the Hickory Alive situation. Everything and every comment pointed to the event not being allowed to continue, but apparently the City Council had a change of heart and they should be commended for that. The event isn't going on as many weekends, but at least it is moving forward and that is great.

Consent Agenda
A. Proclamation – Proclaiming Saturday, April 21, 2012 as Arbor Day in the City of Hickory

B. Proclamation – Proclaiming the Month of April, 2012 as National Child Abuse Prevention Month in the City of Hickory

C. Proclamation – Celebrating the 95th Birthday of Esther Zenobia Morgan Jett

D. First Amendment to Post Office Parking Lot Lease with US Post Office -  In 2007, the City entered into a lease agreement with the US Post Office for 65 spaces for employee parking in a graveled lot located at the corners of 3rd Street SW and 2nd Avenue SW. In 2010, the graveled lot was configured into multiple paved lots as part of the Piedmont Wagon Transfer Station. Prior to the transfer station’s construction, a map showing the configuration of the future paved parking lots was recorded. However, it has been determined that the map was not correct. The City had planned to convey the transfer station property to the Greenway Transit Authority as part of the transfer station project, but the conveyance could not be accomplished with the incorrect map on record. The first amendment to the post office parking lot lease revises the lease to place the correct map on record which shows two paved parking lots the City is leasing to the Post Office that are equivalent in size to the original graveled lot. The map also correctly indicates the other paved lots. Staff recommends approval.

E. Resolutions Approving Terms of Refinancing With BB&T - The Finance Department discovered that the City can refinance current outstanding installment purchase contracts with BB&T and realize significant savings over the remaining life of the debts. Currently, four resolutions are being presented to Council to approve refinancing terms, with all terms staying the same except the interest rate, which will change as follows:

Entity - From - To - Remaining Term of Debt
Convention Center - 3.79% - 1.79% - 7.2 Years
Ridgeview and Highland Recreation - 3.69% - 1.69% -  5.2 Years
Tourism Development Authority - 3.91% - 2.09% - 8.2 Years
Maiden Waterlines 4.19% - 2.17% - 9.2 Years

As the City can only refinance up to $10 million dollars per month and remain bank qualified, Staff brought a portion of the outstanding debt to Council during the month of March. Staff recommends approval.

F. Request by Hickory Police Department for Approval to Apply for 2012 Justice Assistance Grant in the Amount of $26,658.00 - The Hickory Police Department and Catawba County have received notification of approval to receive a combined allocation of $42,364.00 under the 2012 Justice Assistance Grant (JAG) Program. Cities and Counties are required to file joint applications for the available funding. Hickory Police Department requests permission to apply for a grant in the amount of $26,658.00 to be used for an infrared/thermal imaging camera recorder for low light situations and law enforcement training to include training aids for police officers. The City of Hickory has agreed to serve as lead agency in the grant application process. There is no match required.

G. Budget Ordinance Amendments
1. To budget $100 of Library donations from several donors in the Library Books line item.
2. To budget $2,050 of Unity Fair donations in the Unity Fair expenditure line item. The Unity Fair is part of the International Spring Fest.
3. To transfer and budget a $750 donation from the Branding Project Advertising operational budget line item to the Unity Fair donations line item. The Unity Fair is part of the International Spring Fest.

New Business -  Public Hearings
1. Approve FY 2010 – 2014 Consolidated Plan and FY 2012 Action Plan for Submission to U.S. Department of Housing and Urban Development - The US Department of Housing and Urban  Development requires the City of Hickory, as a CDBG entitlement funding recipient, to develop a five-year agenda outlining housing and community development needs within the City to be addressed during that period of time. The Annual Action Plan is required as a yearly update to the Five-Year Consolidated Plan, setting priorities among the needs, and stating the plan of action for use of available funds on a yearly basis. Central to the City’s five-year strategy and action plan is the City’s mission to preserve its existing housing base, enhance ownership opportunities for all of its citizens to obtain decent housing, and provide a quality environment which is conducive to the safe and healthy growth of its citizenry. Staff recommends approval. This public hearing was advertised in a newspaper having general circulation in the Hickory area on March 23, 2012 and April 3, 2012.

Todd Hefner presented the above information with the specific costs and then Angela Heard with the City of Refuge came to the podium to speak to the Council about her program. She spoke about the successes with the 20 children who attend the after school program. They meet at the Brown-Penn center on Tuesday, Wednesday, and Thursday. 16 awards were awarded to these children over the last 9 weeks. They are helping with homework and communicate with the children's teachers. They partner with Lenoir-Rhyne University. They are attempting to sow seeds and build positive support. They are building a foundation.

Matters not on the Agenda
Alderwoman Fox made positive comments about the community garden at First Methodist
Church, which is due to a lot of great work. She stated that there is a wonderful article on the community garden that is featured in the current issue of Carolina Gardener.

Alderwoman Patton stated that she attended the Saint Strong event this past weekend, which was a benefit for three members of the senior class of Saint Stephens High School to support kids with cancer. The Police Chief and other members of the city were there. People coming together makes this a better community.

Alderman Seaver remarked about the greatest Easter Egg Hunt he has ever been involved in this past weekend. He talked about all the hard work that went into the Event. Over 25,000 eggs were there and he said it looked like a flower garden. He Thanked all of the groups involved in the event.

Citizens Requesting to be Heard
Walter Witherspoon  - Mr. Witherspoon stated that when he spoke before the Council at the last meeting no one had any comments, but as soon as he was ready to leave the building Alderman Guess introduced him to Mandy Pitts, her assistant, and another person and they informed him that there was going to be a drawing of some kind of name or something of that nature. He asked the council and they didn't say anything but as soon as he was walking out the door the said something. That is beside the point. He got the information he asked for.  He is confused, because he was under the impression that he understands the structure on Union Square was to be the Farmer's Market, because on December 20,2011 - he reads:
Council members endorsed the construction of a permanent multi-purpose facility on Union Square for the Hickory Farmer's market. The estimated cost is $285,000 to move the Hickory Farmer's market to the center of Union Square.

Now, the monies to allocate that were to be for the Hickory Farmer's market, that is my impression and I guess this author as well... Are there any Hickory City Employees involved in the construction of this project. (The Mayor answered that he would staff to get that information to Mr. Witherspoon). Mr. Witherspoon stated that he is in a quandary, if this was to be the Hickory Farmer's Market, then why are we going to rename it?

Larry Pope next came to the podium wishing to speak and proceeded to stand in silence for nearly three minutes before the Mayor asked if he had something to say and the motioned for the council to go into closed session.

Wednesday, April 4, 2012

Quotes of the Day - April 4, 2012

The marriage of Hope to Denial bares forth Delusion

Knowledge is positive; Ignorance is negative

Ignorance is not knowing better. Stupidity is knowing better, but doing it any way. Insanity is doing the same thing over and over again and expecting a different result.

Can't never could!

City Council Newsletter tomorrow.

Peace be with you all!


Tuesday, April 3, 2012

Communication

Some people think I am writing this blog because I am somehow lacking for attention. Honestly, I will relish the day when this blog is no longer necessary. I remember a lunch I had with a local leader five years ago. I expressed my concerns with this person who I have known for 30+ years. This person expressed empathy towards my issues, but in the subsequent year I saw no action being taken that would alleviate those issues of concern.

As I have stated in the past, Harry and I went to several city functions and we were summarily ignored and one could see if you didn't belong to the inner circle, then you weren't going to play any role in the city's methodology. The labelers would ask, "Who are you? Who are you with?" I guess if you don't have a title, which I never thought much of titles anyway, then you are a non-person to these people. That in a nutshell is why people don't participate and that is the reason why we moved forward with this blog.

Five years and a couple of days ago my Uncle died -- March 31, 2007. He knew what was happening in this community. We talked about some of it. He was always direct and to the point. Those conveyances about where things were headed were eye-opening to say the least. He was pretty much on target about the trends. He understood the energy issue and the economic competition we face with China. He had been an executive in the furniture craft, furniture, and hosiery industries. He was one person that was an executive that I actually saw hustle.

Alex Moore was a computer genius and helped me a lot and taught me a lot. He would run satellite programs on his laptop at his bed, while he slept in bed, that went directly to his business all night. He taught me how to put computers together and troubleshoot programs. This man went to work before sunrise and got home after sunset and worked many Saturday mornings. He would come help us at 1859 in his time off and he always found a way to spend time with his kids. He had a Purple Heart from Vietnam.  And yet, he spent a year and a half out of work, because of what happened with our local economy. He was looked highly upon by many people in this community, but he was stressed out because he wasn't finding permanent work and he was a Number 1 Class A Executive.

He didn't toot his own horn and you would never hear him brag about himself. He was low key, but when he said something you listened. Whenever I talk to people about Alex, who knew Alex, they tell you how they revered him. He was a class individual. He was the Real Deal. If he had lived, I believe in my heart of hearts that he would have figured a way to make things work out, but I don't know that it would have been in Hickory. Hickory doesn't seem to offer opportunities to people who aren't in the inner circle.

Many of you don't like what I am doing. I don't have a problem with that. It's a mutual thing. Sometimes I don't like doing this. This isn't about ego. When I had lunch with that person five years ago, I told them if I didn't see certain things start moving forward that I had things that I could do. I waited and bided my time, but eventually you figure out when people are pacifying you and playing you off as someone who is insignificant, even when they are long time friends. I don't think my concerns met with their agenda.

Some people have insinuated that I and others who have the audacity to speak on this forum don't know what we are talking about. If that is the case, then why don't we hold a Town Hall meeting sponsored by the Hickory Daily Record and WHKY and discuss the issues related to this area. If we are truly the most open local government in North Carolina, as the Mayor stated this morning on WHKY, then let's have an open ended forum where people can ask public questions and get public answers. 

I have proposed this in the past. I'll go back to when Patrick McHenry had the healthcare forum in the Summer of 2009.  I thought it went pretty well and a lot of people attended and a lot of issues were addressed. You can argue about whether it was a show or not, but I truly believe that the people that left that auditorium that night felt a little bit better about their partnership with government.

If our form of government is truly a partnership, then let's do things that empower individuals. I understand that a Town Hall meeting won't resolve many issues, but I do think it would help with moving issues of trust and understanding forward and to me that is always a good thing. 

I honestly believe that a government that has good communication with its constituents is the most effective form of government. How can you not believe that?

Sunday, April 1, 2012

George Carlin ~ The American Dream - (Warning - Profanity)

This is a video of a George Carlin performance from 1990. It is profanity laced, so if that offends you don't listen. But, this is on target. They call it the American dream, because you have to be asleep to believe it.

Just like in George Orwell's Book "1984" where critical thinking is a crime -- Thought Crime. What he says is cynical and a few years ago people would have told you that this was "Conspiracy Theory," but now it is obvious that he was on target. That is what bothers me and it should scare you to death.


Saturday, March 31, 2012

Economic Stories of Relevance in Today's World -- April 1, 2012

Amidst the Deepest Slump since the Great Depression, Obama is Touting an "Economic Recovery" - Global Research.ca - Barry Grey - March 28, 2012 -         The overall result of the Obama recovery, besides the impoverishment of ever wider layers of the working class, is a further staggering growth of social inequality. One stark metric of the decline in the social position of the American working class is the fact that in the third quarter of 2011, the share of the US gross domestic product going to corporate profits was at its highest (10.3 percent) since the 1960s, and the share going to wages was at its lowest (45.3 percent) on record.           In officially announcing the AFL-CIO’s support for Obama’s reelection earlier this month, the union federation president, Richard Trumka, denounced the frontrunner for the Republican nomination, Mitt Romney, declaring, “Everything he’s done helps the 1 percent.”               A Reuters article published March 15 provides statistical proof that when it comes to helping the top 1 percent at the expense of everyone else, Obama takes a back seat to no one. The article notes that the movement of US incomes during the Obama “recovery” contrasts sharply with that which occurred in 1934, during the Great Depression.
The 1934 rebound saw strong income gains for the bottom 90 percent of earners and a decline for the super-rich (the top 0.01 percent). The year 2010, saw the opposite. The income of the super-rich ($23.8 million on average) rose by 21.5 percent over the previous year, while that of the bottom 90 percent fell by 0.4 percent.              National income rose overall in 2010, but all of the gains went to the top 10 percent. Just 15,600 super-rich households pocketed an astonishing 37 percent of the entire national gain.                 The article further reports that the top 1 percent’s share of real income growth has increased with each economic expansion, regardless of whether a Democrat or Republican was in the White House. The top 1 percent captured 45 percent of Clinton-era income growth, 65 percent of Bush-era growth, and 93 percent of Obama-era growth, through 2010.           
These facts demonstrate the existence in the US of a plutocracy that controls the Democrats and Republicans and the entire political system. Its deadly grip can be broken only by an independent political movement of the working class, fighting for workers’ power and socialism.


Home prices fall to 2002 levels
- CNN Money - Les Christie - March 27, 2012
- The housing market started the new year with a thud. Home prices dropped for the fifth consecutive month in January, reaching their lowest point since the end of 2002. The average home sold in that month lost 0.8% of its value, compared with a month earlier, and prices were down 3.8% from 12 months earlier, according to the S&P/Case-Shiller home price index of 20 major markets. Home prices have fallen a whopping 34.4% from the peak set in July 2006. The housing market started the new year with a thud. Home prices dropped for the fifth consecutive month in January, reaching their lowest point since the end of 2002. The average home sold in that month lost 0.8% of its value, compared with a month earlier, and prices were down 3.8% from 12 months earlier, according to the S&P/Case-Shiller home price index of 20 major markets. Home prices have fallen a whopping 34.4% from the peak set in July 2006.



Don’t be fooled by the money illusion - Commentary: Many economic numbers don’t account for inflation - MarketWatch - Irwin Kellner - March 20, 2012 - Now that inflation is beginning to pick up, it is vital to distinguish between what is real and what is just an illusion caused by inflation. If one does not, one might very well come away with the impression that the economy is shifting into higher gear when, in fact, it is not.                  Take retail sales, for example. On the surface they are encouraging, since February’s sales gain was the most in five months. And since retail sales are one-half of consumers’ spending, which in turn makes up two-thirds of overall economic activity, one might be tempted to conclude that the worst is over.           One would be wrong. First of all, these are dollar figures, adjusted for the time of year but not for inflation. Second, most of the rise reflected a 6% surge in gasoline prices.              Excluding gasoline, retail sales went up at a much more subdued pace. And if you factor in higher prices for such other items as heat, food and health care, retail sales were virtually unchanged in the month — if not for the past few.            It is always important to strip away the effects of inflation and look at actual units purchased. After all, real spending determines real output which in turn provides real jobs. And when day is done, jobs are of paramount importance to this economy.             To be sure, certain stats are real — that is, they are expressed in unit terms, free from the influence of rising prices. These include employment, unemployment and the unemployment rate.

Choosing the Road to Prosperity
- Why We Must End Too Big to Fail—Now - 2011 ANNUAL REPORT - FEDERAL RESERVE BANK OF DALLAS - The too-big-to-fail institutions that amplified and prolonged the recent financial crisis remain a hindrance to full economic recovery and to the very ideal of American capitalism. It is imperative that we end TBTF.              As a nation, we face a distinct choice. We can perpetuate too big to fail, with its inequities and dangers, or we can end it. Eliminating TBTF won’t be easy, but the vitality of our capitalist system and the long-term prosperity it produces hang in the balance.                    When competition declines, incentives often turn perverse, and self-interest can turn malevolent. That’s what happened in the years before the financial crisis.
The term TBTF disguised the fact that commercial banks holding roughly one-third of the assets in the banking system did essentially fail, surviving only with extraordinary government assistance.                 Psychological side effects of TBTF can’t be measured, but they’re too important to ignore because they affect economic behavior.                   The verdict on Dodd–Frank will depend on what the final rules look like. So far, the new law hasn’t helped revive the economy and may have inadvertently undermined growth.               Higher capital requirements across the board could burden smaller banks and probably further crimp lending.               These institutions shouldn’t face the same regulatory burdens as the big banks that follow risky business models.            A financial system composed of more banks—numerous enough to ensure competition but none of them big enough to put the overall economy in jeopardy—will give the United States a better chance of navigating through future financial potholes, restoring our nation’s faith in market capitalism.              The road to prosperity requires recapitalizing the financial system as quickly as possible. Achieving an economy relatively free from financial crises requires us to have the fortitude to break up the giant banks.




Massive $17 Trillion Hole Found In Obamacare - ZeroHedge - Tyler Durden - March 30, 2012 - Two years ago, when introducing then promptly enacting Obamacare, the president stated that healthcare law reform would not cost a penny over $1 trillion ($900 billion to be precise), and that it would not add ‘one dime’ to the debt. It appears that this estimate may have been slightly optimistic… by a factor of 1700%. Because coincident with the recent Supreme Court debacle, in which a constitutional law president may be about to find that his magnum opus law is, in fact, unconstitutional, someone actually read the whole thing cover to cover, instead of merely relying on the CBO’s, pardon Morgan Stanley and Goldman Sachs’, funding estimates. That someone is Republican Jeff Sessions who after actually running the numbers has uncovered that the true long-term funding gap is a mind-boggling $17 trillion, just a tad more than the original sub $1 trillion forecast. This latest revelation means that total underfunded US welfare liabilities: Medicare, Medicaid and social security now amount to $99 trillion! Add to this total US debt which in 2 months will be $16 trillion, and one can see why Japan, which is about to breach 1 quadrillion in total debt (yen, but who's counting), may want to start looking in the rearview mirror for up and comer competitors. And while Obama may have been taking creative license with a number that is greater than total US GDP, he was most certainly correct when saying that Obamacare would not add a penny to US debt. Because the second the US government comes to market to fund a true total debt/GDP ratio of 750%, it is game over, and the Fed will have its hands full selling Treasury puts every waking nanosecond to have any time left for the daily 3pm stock market ramp.


Charles Biderman: The Problem with Rigged Markets
- "Even Wile E. Coyote had to come back down to earth sooner or later", says Charles Biderman, founder of TrimTabs Investment Research. In his opinion, the prices of stocks and bonds - enabled by excessive financialization of our economy and central bank money printing - have been defying gravity for a dangerously long time.             If we continue to do all we can to preserve the status quo -- to maintain "phoney" asset price levels as Charles calls them -- at best we will restrict overall growth and handicap the economy.                 The problem isn't so much the unfairness and malinvestment evident in a rigged market. As Charles shrewdly asks: what happens when the market becomes un-rigged?                We've never experienced the unwinding of an entirely manipulated financial system, so we can't predict for sure. But at this point, a painful collapse of our markets and loss of the US dollar as the world's reserve currency seem entirely plausible.