Fed is Enemy of MAGA [Video]

stockmanGreg Hunter – Reagan White House Budget Director and best-selling author David Stockman says Fed policies over the last couple of decades hit the middle-class hard.

Stockman contends, “The Fed drove up costs, prices and wages at 2% come hell or high water. You do that for two or three decades and, all of a sudden, you are totally uncompetitive. You have the highest cost structure in the world economy, and the jobs and production migrate to where companies can find lower costs and better profits.

Continue reading “Fed is Enemy of MAGA [Video]”

Stock & Bond Bubbles Much Worse Than 1929

StockmanGreg Hunter – Economic expert and best-selling author David Stockman offers a dire view of the deep financial trouble America faces in his new book titled “Trumped!”

Stockman warns, “I think we are on the very edge, but what is different this time and makes it scarier . . . is I believe the central banks that ruled the roost have gone from one extreme to the next and done unfathomable things like negative interest rates on $13 trillion of bonds around the world, monetization of the debt, and bond purchases that are staggering such as $90 billion a month in Europe.

So, this time, as the phrase goes, they went all in.  They have violated every principle of sound money and sustainable finance that mankind has ever learned about over many centuries.  They have taken us to the edge, but they are out of dry powder.

Continue reading “Stock & Bond Bubbles Much Worse Than 1929”

Financial System Booby Trapped with Debt Bombs [Video]

stockmanGreg Hunter – Former Reagan Administration budget director David Stockman says the biggest crash coming is not going to be in the stock market. Stockman warns, “I think we are headed for a central calamity. The central banks of the world have been on a 20 year campaign to massively expand their balance sheets and intrude into financial markets in ways that were never before imagined. In the process, they falsified every asset value there is from overnight money all the way to 30-year bonds and the stock market. Everything now is trading off the central banks, but the central banks have hit the end of the road. They have printed so much money and created such a massive global bubble that we are now in the process of that bubble fracturing. The central banks are now beginning to become confused and panicked about what to do. The Chinese have no idea what to do with their $28 trillion credit bubble and that house of cards in China. Our Fed is now on the verge of another meeting where they are debating if 80 months of 0% interest rates is enough. That is crazy.”

Stockman, who also had a 20 year career on Wall Street, says enormous amounts of global bond debt will never be repaid. Stockman explains, “That’s why I say the financial system is booby-trapped with debt bombs waiting to explode. I use the 100 year Brazilian bonds as an example, but there are trillions of dollars of this stuff all over the place. You know the central bankers pretend that they don’t see any bubbles. These people are not only bubble blind, they are bubble deaf. They have no capacity to understand the explosive nature of the financial markets that they are toying with.” Continue reading “Financial System Booby Trapped with Debt Bombs [Video]”

The Military Industrial Complex & Total Collapse

June 5 2014 ~ Today David Stockman warned King World News about the military industrial complex, the CIA, and total collapse. KWN takes Stockman’s warnings very seriously because he is the man former President Reagan called on in 1981, during that crisis, to become Director of the Office of Management and Budget and help save the United States from collapse. Below is what Stockman, author of the website contracorner, had to say in part II of a series of powerful interviews that have now been released.

Eric King: “If the fighting continues in Ukraine, is it just going to continue to be a stalemate over there?”

Stockman: “It could well devolve into a full-fledged civil war, and that would be really unfortunate for the people. … That is the result of the constitutional and political crisis that was provoked last November and December, not by Putin and the Russians, but by the (U.S.) State Department and the CIA and the so-called non-governmental organizations that are swarming all over eastern Europe trying to stir up trouble….

“… It’s an indication that what I call the military-industrial complex, this warfare state with all the spy agencies and this massive war machine that we have, is a dangerous thing to keep in being.  We don’t need it.  It should be demobilized.  It should be dramatically reduced so that the people who operate it aren’t tempted to start stirring up trouble.”

Continue reading @ KingWorldNews

Thanks, Dale

Paul Craig Roberts ~ Writing Off The Elderly

Paul Craig Roberts | June 15 2012

When neoconservatives, politicians, and high ranking military officers speak of a 30-year war against terrorism, there is no discussion about its affordability or whether the one significant attack (September 11, 2001) that is attributed, perhaps incorrectly, to Muslim terrorists justifies an open-ended war against a dozen countries. There is no discussion of the burden on future generations of the massive increase in the public debt in order to finance today’s wars.

Affordability and intergenerational burdens are topics reserved for the discussion of Social Security. Conservatives and libertarians constantly assert that Social Security is unaffordable and decry the intergenerational basis for Social Security retirement.

Recently economist Walter Williams again made the argument that Social Security is not a retirement program, because the income earner’s payroll tax payments do not go into an account for the person paying the taxes, but instead are used to pay benefits for older people who have reached retirement age. Williams characterizes Social Security retirees as thieves who outvote those still in the work force and have the ear of Congress.

This is an ideological argument that overlooks that Social Security is a pact between generations. The working generations provide retirement incomes for the elderly and in turn are provided retirement incomes by succeeding generations. Terminating Social Security for the elderly also terminates it for those who follow.

In other words, it is incorrect to describe Social Security as the elderly using the political system to steal from the young.

It is also not the case that Social Security retirees have the ear of Congress. The time is long past when Social Security was “the third rail of politics.” Since the 1980s Congress has been cutting back Social Security benefits in a number of ways. For example, the retirement age is being extended from 65 to 67, and the switch from a real cost of living adjustment to a substitution-based consumer price index results in the erosion of the real value of Social Security benefits, which was the reason for the switch. Up to 85% of Social Security benefits are now subject to income tax if the recipient has earnings or other retirement income above a minimum amount. The taxation of Social Security was another way that the political system reneged on the promised benefits.

In addition, during the 1980s Alan Greenspan and David Stockman accelerated the phase-in of payroll tax increases that the Carter administration had enacted. By causing the payroll tax to rise before it was needed to finance benefits, more than $2 trillion has been collected than was paid out in benefits. The government spent the earmarked payroll tax revenues (leaving non-marketable IOUs in their place) on other things, such as the wars of the 21st century. As none of this $2 trillion reached retirees, the real “theft” from those of working age was committed by Greenspan and Stockman for the benefit of other spending programs.

Continue reading “Paul Craig Roberts ~ Writing Off The Elderly”