Feeding Lemmings

This morning I had an epiphany! The economy didn't crash because of poor regulation. Rather, it crashed because bankers were running out of people to loan their cheap money to. After a while, they got less picky and started giving mortgage loans to virtually anyone.

But it wasn't their fault! This was necessary to keep the economic engine alive. The banks had to find a place to funnel all that Federal Reserve money, and property was the ideal investment. And with all those dollars chasing property, real estate went up, meaning more equity for home owners, less riskier investments for banks, and more tax revenue for state and local governments. What a grant deal it was for EVERYONE.

Until it all collapsed ...

And it simply collapsed because the banks ran out of credit-worthy people to give cheap loans to.

The Sham

The Federal Reserve is a criminal organization that generates quick wealth and then passes on the debt to our children. This wealth is created by buying securities from big banks and giving them cash to loan.

In a carefully planned racket, the banks then loan out the money to consumers and companies, which results in short-term business expansion and job creation.

But who is paying for this cheap money? YOU ARE!!! That's because every time the Fed dumps money into the economy, there is inflation. If you are a responsible person who saves money, the value of your savings shrinks due to intentional inflation. In effect, inflation is a tax that is imposed upon you. And in effect, you are subsidizing cheap mortgages and business loans. Do you think a bank could really afford to give a 3% loan without subsidization? HA! Your children and grandchildren will be paying the loan's true worth in the form of NATIONAL DEBT!

Debt is Evil

The Federal Reserve is a Ponzi scheme that can only work by accumulating more DEBT. As our government takes on more debt, that means more money is spent paying interest (usually to overseas investors) instead of going back into the economy.

If we had a balanced budget, I wouldn't mind paying taxes because every one dollar I gave to Uncle Sam would go back out into the economy. But right now, many of my dollars are going to CHINA!

Now, Uncle Sam is in a bad predicament, because he is one of the biggest customers in the economy, and if he is spending all his money on foreign interest payments instead of providing goods and services to the people, two bad things happen: 1) Social upheaval, and 2) Uncle Sam must borrow EVEN MORE money to keep the economy alive. As you can see, this creates a vicious downward circle.

Tea Party Wrath

Tea Party folks are pissed off, and I don't blame them. They know something bad is going on, but haven't figured out exactly what. Certainly, our last two presidents and Congress should be held accountable for the serious financial crimes they committed -- the bailouts and stimulus plan. But don't get so mad at them because they were under intense pressure from the banks to take action. This is really bad because instead of punishing Wall Street we rewarded them. The public was told that the bailouts were necessary to avoid a depression, which is just another of the many lies we are fed daily. The truth is that the bailouts ensured that the rich and powerful stayed, well, rich and powerful. And that is the entire point of the Federal Reserve System.

Environmentalists, Wake Up!

Environmentalists are a noble lot, but they are always chasing symptoms instead of addressing root causes. It is the Federal Reserve that has gunned the throttle and caused our economy to grow at an artificially rapid pace. All the cheap money for loan allowed developers to have a feeding frenzy on green space. The rapid growth polluted our air and water, and masses of human laborers were needed to work in the economy, and thus, mass immigration. As an environmentalist, the best thing you can do is work to dismantle the Federal Reserve.

Life Without the Fed

Without the Federal Reserve, life would be slower, but more sustainable. Loans would be hard to get and expensive (since they won't be subsidized by your children). This will force people and companies to live within their means. This means that individuals and businesses will actually have to save up for something before they buy it. Holy crap, this is the way people USED TO LIVE!

Alongside all this cheap loan money, we've created a culture of consumption. Everyone has to have everything, and they want it now. Cheap and plentiful credit is the cocaine that keeps everyone high and happy. But trust me, you really don't need all your crap. You really don't need to put Christmas shopping on your credit card. You really don't.

Inner Destruction

The Fed has done more than just destroy our economy -- they've also destroyed our souls. So many people now grab on to materialism to provide their "high" and short-term happiness. Few people save, and, hell, it doesn't make sense to save anyway since the Fed-induced inflation will eat it away. So, people live for the present, and on credit.

Summary

The two best things we can do for the economy is to balance the national budget and dump the Fed. This is only fair, since passing our debt to a future generation is both immoral and unethical. I'm surprised since parents will sacrifice greatly for their children to give them a comfortable life and education, but the crushing national debt is not on their radar screen.

Wake up, America!

Tea Party Goosonomics

We are in the worst recession since the 1930s and many people are suffering. The thing is, most people don't really understand WHY the economy has fallen apart.

I, the Goose, wish to make a few rambling statements on our current screwed up state of affairs:

Debt
I don't mind paying state taxes because Georgia must balance its budget by law. That means the tax money I give to Uncle Sonny immediately goes back into the economy.

On the other hand, I HATE giving tax money to Uncle Sam because much of this money is NOT going back into the economy. Rather, it is being used to pay interest on debt. The sad thing is that most of this debt is owned by foreigners (can you say "China?"), so the money is being DRAINED from the economy. As our country sinks deeper into debt, less money is going back to benefit Americans. So, our horrible Congress spends more, and the downward spiral continues.

The solution is for the U.S. Congress to immediately pass a balanced budget act, and FAST.

Now, the Tea Partiers want taxes cut, but they never mention what services they want cut in return. If you corner them, they will mumble something like, "cut government waste." Now, that is possibly code words for "reduce services to the poor." But, okay, giving them the benefit of the doubt, let's say we cut government waste. HOWEVER, the problem is that most of our taxes go to transfer payments, that is Social Security, Medicare, and Medicaid (40%). For 2009, 4 percent went to TARP, which makes me too foaming mad to talk about, so I won't elaborate on that. And then 23% goes to defense spending, which allows us to engage in endless wars and kill Muslims from drones. Funny that conservative folks tell me that President Obama is a secret Muslim because he sure has killed a lot of them.

But I digress ... the point is that Tea Partiers don't want to cut THEIR OWN benefits, nor do they want to cut their beloved military (after all, they are called Tea Party PATRIOTS), yet these are the areas where most of the money is going.

Immigration
Sorry to keep picking on Tea Partiers today, but Tea Partiers have no problem picking on poor illegal immigrants. They keep screaming something about the illegals "stealing our jobs." Hell, do you really want to pick lettuce all day? The funny thing is that I don't hear conservatives screaming about the millions of our jobs exported overseas. That is another big cash drain on our economy. At least the illegal aliens are putting money BACK into the economy through rent, sales tax, and the purchase of consumables.

Also, I would like to point out that illegal immigration has gone way down since the recession started. So, like most Tea Party issues, this issue is a crock of poop.

I realize that my own theory to the job drain is controversial, but I link it to global overpopulation. Our jobs our going to countries that are overpopulated, which dilutes the labor wage. So, to the Chinese and Indians, hey, I have a plan -- let's all have less babies. This will create a labor shortage, forcing companies to pay us more. It's basic economics, man. And you Indian and Chinese friends will not only get a better wage, but we Americans will get a break, because it will be less profitable for U.S. firms to export our jobs. I'm just sayin' ... you know, just an idea.

Medical Sector
The medical sector of our economy is doing quite well. Regretfully, it is a major drag on our economy. Nearly every American pays a sizable chunk of cash so that they can feel better and live longer. New technologies allow us to live longer, but they are extremely expensive. Plus, as we live longer we are a drain on insurance companies, Medicare, and Medicaid. Thus, once again, we have a horrible, downward spiral. The hard truth is that the longer we live, the more we place a drag on the economy. Oh sure, we're pumping billions into the medical sector, but the young people aren't putting enough money back into the system.

The current U.S. medical system is really designed for revenue and not for health. Face it, the medical institutions do not have a vested interest to get you well and quickly, since sick people bring in major money. The clinics and hospitals can squeeze the insurance companies, and the insurance companies can simply raise premiums.

I really like the Kaiser Permanente model, which is more like a health subscription service rather than insurance. If we have many subscription health programs competing in the open market, they would have a financial interest in keeping you well, so that they could keep their subscriptions low, to make them more efficient.

While I applaud the Democrats for passing the health care bill, which is more than the GOP could have ever done, I regret to say that the legislation is a huge, muddled mess. I believe that an advanced society should provide universal health care for its citizens — we just haven't arrived there yet.

Also, for those who call me a liberal, please sit down because what I am about to say will shock you: I don't think companies should be obligated to provide health care. That is simply a benefit they may offer to attract the best workers. If we had more subscription based health plans, there would be more emphasis on wellness and more affordable care for all. But right now, the health care system is only a step away from organized crime, and they are raking in billions, so any meaningful change to the current system will be difficult.

So, I'm bringing this up, and please forgive me, but the videos I saw of the Tea Partiers in Washington, DC showed that most of them were obese. So, really guys, if you want to help the economy go to the gym.

Energy
Now, here is an economic sector that swims in money. But many experts say that we reached Peak Oil and that supplies will only go down. I can assure you that when our economy cranks up again, we will be hit in the face with a huge increase in energy costs, which will take much steam out of the recovery. We can beat this bullet by taking a few billion from the American war machine and diverting it to green energy research. This will do more for peace than building a few more stealth bombers. We HAVE the technology right now for a green economy, and we just need a little more research to make it viable. Once it is viable, we can start investing in green infrastructure. And at the same time we can create a wonderful green energy industry, and we can export our technology to China so they can start giving America some money, instead of us giving them all of ours. There is a real opportunity in this area, but our incompetent, disoriented, and totally dysfunctional federal government has made little progress in this area.

I know you Tea Partiers don't believe in Global Climate Change, and you probably don't believe in Peak Oil either. But I do know you don't like our reliance on foreign energy sources, and I know that you understand how dysfunctional this makes our foreign relations. I think we can all agree on that. And, shoot, relying on other countries for our energy ain't patriotic (oh right, we'll just drill more).

Social Security
The Tea Partiers love to scream the word "socialism," however all of us our socialists. Let's look at the facts. I can say that myself, and all my friends, are pretty stable people and we could probably create retirement accounts without the government's help. But, I know that many people do not have stable lives, and that's often no fault of their own. Due to a variety of reasons, people may simply not be able to save for retirement their entire lives. So, I don't mind being a socialist a little bit to create a government retirement pool, to ensure that others have social security, even though they've had some trips and falls in life. And I may have a fall tomorrow, so I think Social Security is a smart idea. Should we let people opt out of the system? I'm inclined to say "no" because even the luckiest person in the world can have a complete turnaround tomorrow. Social Security reminds us that we are all in this together.

But, as we pay the billions in medical care to live longer, we are draining the Social Security system. So, folks, I'm afraid we are going to have to work longer and retire later.

Summary
Okay, Tea Partiers, sorry to pick on you today. But your constant hypocrisy sort of keeps me pissed. The point is, all of us are in this ride together, and if we want to survive this mess we have to stop being divisive and delusional, and start working together.

Of course, some won't even acknowledge a problem and others will argue endlessly about what the REAL problem is, and Congress will deadlock as usual. But if we have a higher vision and a sense of unity, maybe we can get over the usual bickering.

Goose here, signing out...

Corporate Raping 101

Class time, kiddies.

I remain puzzled why the Tea Partiers are so determined to leave Big Business alone. They use code words like "limited government" and "free enterprise."

Well, let me tell ya ... See, the rich have been in power for a LONG time and they have figured out how to stay rich. They don't really care what political party is in power, since the Republicans and Democrats are about the same. Both parties know who their masters are.

Social services

There is continual screaming about helping poor people, yet hardly a whimper when it comes to corporate welfare. Actually, corporate America is in control of the welfare state. They want to provide just enough services to avoid civil unrest. Corporate America needs stable markets and stable consumers.

Taxing the Rich

It amazes me how middle class white folks are so protective of the wealthy. After all, many people got wealthy by paying the under classes crappy wages or else exporting their jobs overseas.

Corporate Subsidies

Corporations get tax breaks, incentives, and other government gifts. Agri-business receives millions in welfare. This money could be better spent by giving it directly to the people.

The Power Structure

The people in power want us common folks to fight one another. This keeps the underclass from focusing on the real enemy -- multinational corporations. Everything in the world is designed to serve them, particularly governments. NAFTA, the IMF, World Bank, and Federal Reserve are all big scams designed to keep the rich people rich and the poor people poor.

The System

Sooner or later you will see that the entire system is designed to work against you. It is insane that states are in the lottery business -- this is a way to screw the downtrodden who gamble their last dollars for a lucky break. In the end, they are more downtrodden.

The IRS is designed to screw the middle class. It collects money to provide wealth redistribution. The poor are given benefits to keep them from rioting and stealing. The rich are given tax breaks and subsidies to, well, keep them rich. Most of your money is spent on endless wars, and on occasion, the bailout of worthless companies that are better off closed.

The IRS tax code is so complex that you must either buy third-party software to do your taxes or hire a professional tax preparer. This is horrible, yet we the people accept this racket.

Cheap credit is another trap to enslave you. The evil Federal Reserve will lower interest rates to release credit, so that the economy can grow. Why do they want the economy to grow? So that the fat cats at the top can get fatter.

If you are a lower class citizen the system is totally geared toward keeping you in the dirt. You get your hope from lottery tickets. If you are middle class, you are given just enough hope to keep you working. And by the way, most of us are slaves to large corporations.

Tea Party ... Yeah, PARTY!!!

Like religion, the Tea Party Patriots are yet another wonderful tool that has fallen into the hands of the Corporate Masters. They did not have to create the movement. Rather, they created all the lies in our culture that make people feel truly American when they scream "free enterprise" and "limited government." It is so nice of the Patriots to do the bidding of the Masters — Sarah Palin and her ilk have all been programmed well.

AND ....

It's embedded in us to think of Karl Marx as a bad person, but when you study his work you'll find that he wasn't such a bad guy at all. He observed the class struggles around him and figured it out. Karl Marx was right -- capitalism is unsustainable and will surely fail.

Collapse

This excerpt is from my favorite blog, ClubOrlov, which is written by Dmitry Orlov. It's as if Dmitry has taken the words from my own heart. You can read the complete entry, titled, "Collapse Competitively."

We are heading toward economic, political and social collapse, and every day that passes brings it closer. But we just don't know when to stop, do we? Which part of "the harder we try, the harder we fail" can't we understand? Why can't we understand that each additional dollar of debt will drive us into national bankruptcy faster, harder and deeper? Why can't we grasp the concept that each additional dollar of military spending further undermines our security? Is there some sort of cognitive impairment that prevents us from understanding that each additional dollar sunk into the medical industry will only make us sicker? Why can't we see that each incremental child we bear into this untenable situation will make life harder for all children? In short, what on earth is our problem?

Why can't we stop? We can blame evolution, which has produced in us instincts that compel us to gorge ourselves when food is abundant, to build up fat reserves for the lean months. These instincts are not helpful to us when there is an all-you-can-eat buffet nearby that's open year-round. These instincts are not even specifically ours: other animals don't know when to stop either. Butterflies will feast on fermented fruit until they are too drunk to fly. Pigs will eat acorns until they are too fat to stand up and have to resort to crawling about on their bellies in order to, yes of course, eat more acorns. Americans who are too fat to walk are considered disabled and the government issues them with little motorized scooters so that they don't have to suffer the indignity of crawling to the all-you-can-eat buffet on their bellies. This is considered progress.

Bravo, Dmitry, bravo!

Life at the End of Empire

We send our warriors to die to protect the financial industry, the health care industry, the defense industry, the ... well, you get it.

I wish for a happy ending to our recession, but it's not looking good. See, the United States has lost most of its manufacturing base. Why? Because, thanks to overpopulation, there is an infinite supply of cheap labor in other countries. Because the supply of labor is so plentiful, the VALUE of labor declines. In the U.S. you have a worker who wants health care, a pension, and a bass boat, and this guy is competing against some Malaysian guy who works for a bowl of rice and a fish, and, well, guess where the jobs go.

So, without manufacturing, Mother America turns to her second way of making big money, which is new construction. Mother America whores away her greenspace, encourages mass immigration to grow the population, and BUILDS! The immigrants provide both the cheap labor as well as more consumers. Thus, we have the Housing Bubble. The criminal organization known as the Federal Reserve keeps the Housing Bubble going as long as they can. The financial industry is making the most money off the scam, not the poor Mexican laborers. The financial industry is the number one contributor of campaign contributions to Washington. Thus, Washington is paid well to look the other way as the Housing Bubble expands. The Left screams, "Affordable housing for the poor," and the Right scream, "Less regulation so that business can prosper."

And even when the Housing Bubble should have died, the scammers keep it going by offering sub-prime loans and giving houses to people who shouldn't own houses. Sure, there's a risk, so the big banks bundle hundreds of loans into packages, knowing that if a few mortgages are foreclosed, it won't hurt the overall bundle. And then that bundle of mortgages is sold to big investors like China.

But it's a Ponzi Scheme and soon the entire thing starts to collapse. But no worries, because the financial industry has spent $3.8 billion to buy the federal government, who promptly bails out the big financial institutions, and some executives even GET REWARDED! And then our government feeds us this big lie called "TOO BIG TO FAIL."

And due to this recession, I have neighbors and friends who are out of work, but for some strange reason they don't feel the rage that I don't do. They don't understand how the system has completely screwed them. And at my job I work with many small businesses that are suffering greatly due to this recession. Where is the rage, and the demand that we do a major reform of our government and economy?

So, I'm not sure how the story will end because I have a lot of faith in Americans. We are a smart and savvy people and can likely find a way to reinvent our economy. However, things will probably never be like they were before.

The bottom line is that our world and resources are not infinite. You can't keep building, throwing McNasty wrappers in the trash, and burning coal indefinitely without some kind of consequence. Our comfortable dream life, you know, the one we destroyed the environment for, is an illusion. And the millions who pursue it are full of DElusion.

— Todd

The Myth of Capitalism

Capitalism assists humans in their locust behavior of consuming all resources of a given region, to produce wealth for the privileged few. Capitalism exploits labor and rapes the environment to create value-added goods at the lowest price possible.

Capitalism needs a larger, and ever-growing consumer base. Capitalism must have population growth because that means cheap labor and more consumers — no wonder capitalism loves immigration!

Capitalism controls government. If you think that government regulates capitalism, all I can say is "HA." Capitalism allows just enough wealth to trickle to the bottom to avoid civil disorder. Why? Because capitalism needs stable markets.

Capitalism controls the media, hires talking heads, and programs the public into believing that free enterprise is good, and that Socialism and Communism are bad. Capitalism programs the general public into booing down Socialism and accepting "the one right way" with open arms.

Capitalism dumbs down the public so that they don't question its virtues. Capitalism makes people just smart enough to serve its corporate empires.

Capitalism turns people into consumers. Capitalism lures people into believing that material goods bring happiness. Capitalism helps to addict people to consumerism.

Capitalism has no morals or rulebook. The system simply does whatever is necessary to make a profit in the next quarter. So, it's not surprising that Capitalism operates in a coalition with Conservative Religion. Capitalist-backed politicians say, "I'm against abortion," and that drives the conservative religious, single-issue voters to the polls, to vote in the Capitalist political puppets.

Capitalism controls government at all levels. Government simply provides the framework and apparatus for capitalism to function best.

Capitalism loves the high profits of war, and capitalism spreads the lies of patriotism. Capitalism build the armaments, but it still needs to convince mothers to kiss their sons goodbye and send them off to horrible deaths on the battlefield. There is huge money in "properly equipping the troops," and tending to their food and housing needs, and, of course, their medial needs.

Socialism and Communism are not good economic systems either. In fact, no economic system is perpetually sustainable. They all eventually fail. Perhaps the only system that works is straight barter — this could be made sophisticated by a computer system. If you perform a service, you earn credits. Those credits can then be spent. Government should get out of the money business. Wouldn't a world without money be wonderful? I'm not sure this system will work, but I KNOW the other three won't.

Sincerely,

The Goose

Poor Killer Apes

Oh now, now, Killer Ape. What were you really thinking? Did you think the economy could just keep growing forever? Didn't you know the Big Banks and their puppet politicians had the throttle to the floor so they could get rich quick? Did you REALLY think the economy could grow and prosper forever?

Let me tell you something, little Ape. We live on a planet with FINITE resources, yet economic models are based on infinite growth. Sure, we can keep growing, but soon critical resources will run out and the whole economic engine breaks down. Resources can include open land, cheap oil, food, ore, etc...

But one thing we have an endless supply of is PEOPLE. And the economic engine feeds on a growing population because that generates more wealth for all. In the unfettered capitalist society we are LIED TO about the "trickle down" theory. Sorry, but in unregulated capitalism most of the money just rises to the top.

The Fat Cats have made their financial killing, while thousands and perhaps millions are losing their jobs. Are you laughing now Killer Ape?

With mass immigration, a high teen pregnancy rate, and large families, all we are doing is diluting the labor supply with cheap labor. Oh young Ape, every time you have a baby you are simply creating your own competitor — not only for jobs, but for ever-shrinking resources. Oh, I know, limiting population growth will keep the next Einstein from being born. Yeah, but it might stop the birth of the next Hitler too. Give me a break, Killer Ape.

The bottom line is that our economic AND our environmental woes are related to an incredibly growing world population. We are now throwing another billion humans on this Planet every 13 years or so. World population hit 6 billion in 1999 and by 2025 it is projected to hit 8 BILLION.

For the world to survive, oh Killer Ape, what we need is a stable population and we ALL need to limit our impact on the Planet. Few people actually believe they are KILLING the Planet, but collectively we are destroying our Home Planet every day.

The collapse of the U.S. economy may bring a lot of short-term suffering, but in the end there are positive benefits. This is the economy that ran amok, shamelessly stealing the vast majority of the Earth's resources. This is the economy that spit out billions of tons of waste into our air and water. WHY? Just so that we could all get rick QUICK and be comfortable.

Everyone wanted a Trophy House, but look what's happening now, Killer Ape? The mad spending and debt could not go on forever. People cannot keep spending into infinity, and nor can our economy grow into infinity.

Yeah, I know you've heard the word before — SUSTAINABILITY. That means living within our means. That means NOT borrowing money for immediate pleasure now, often at the expense of our children. That means NOT stealing the Earth's capital now, and letting our children deal with the impact.

Killer Ape, you and I are a sorry species. Yeah, I suppose the rapture is going to zap you up, so you feel no need to worry. Or maybe you think the government will just keep bailing out our sinking ship. Do you really think the U.S. government can borrow money forever? Oh, so you believe that technology will save us, that we can just INVENT our way out of every mess? Let me tell you something about technology, Killer Ape — it just creates MORE messes.

Go to sleep, Killer Ape, and do not cry. And in the morning, do not ask me WHY!

Human Nature v. Going Green

I'm tired, but I will ramble out a few thoughts ...

It is human nature to follow the path of least resistance. Going green typically takes extra effort and more expense. Most people are in the mindset of doing things in the most expedient way, without regard to how it impacts other people, nature, or the future of their children. And thus, for the most part humans are little selfish rats.

When the economy sinks it's a mixed blessing for the environment. There is less greenspace getting slaughtered in the name of holy growth. But when money is tight, individuals, government, and companies are less likely or unable to "do the right thing," and focus, instead, on survival. It's like the extremely poor people of Haiti who move into the national parks of the neighboring Dominican Republic, and they damage the parks so that they can have firewood and farmland. While the individuals survive in the short term, the environment is knocked another notch down.

What can we do, oh great Goose?

All of us need to redirect our values and live a more simple life. We need to stop using "stuff" to fill the voids in our empty lives. We need to kick our addiction to materialism. We need to live a simple life, buy a small home, and eat low on the food chain (i.e. mostly vegetarian). We need to all just chill out, relax, and stopped being so obsessed with junk.

Let's tackle a few myths ...

• If something is old it is bad and needs to be replaced. Wrong, wrong, wrong! There is nothing wrong with having an older car or appliance. There is still great beauty in a 1998 Honda Civic. When your possessions break, repair them and keep on going. Don't bother trying to impress people because there is no one to impress and no one really cares.
  
  
• Don't buy into this prosperity religion, where they tell you that God wants you to be rich. Why would God want you to be rich when over half the world is desperately poor?
  
  
• You must have a big house. NO YOU DON'T. You don't need your bonus room and atrium ceiling. Just be happy with the home you have.

The myth of infinite growth ....

Our entire economy is based on the lie that our economy can grow forever. When the economy is growing, everyone is doing well, except for nature, which gets screwed. We have to switch our economy from an eternal growth model to a sustainability model. To make this work, every individual and company must do their part.

Yeah, yeah, I know. This is all really boring and no one really cares. I guess we'll keep doing what we are doing and slowly resign ourselves to the fact that the decades of rapid growth are over. We'll just have to learn to be poor, at least when the government can't give any more bailouts, and all our taxes are going to pay interest on debt. And, oh, the foreign countries bought all the treasury bonds to provide assistance to our national suicide. Yeah, yeah, right.