To many, the above title may seem much like speaking of the bright side to malignant cancer. And did it really come out of this writer’s pen? Long a staunch immigration critic, I’ve written many articles on the subject; Pat Buchanan used one of my lines in his book Death of the West; and Congressman John Conyers quoted me in the House on May 16, 2007, saying, “[C]onservative commentator Selwyn Duke just yesterday inveighed against any immigration (legal or not). He warned, ‘[R]eplace our population with a Mexican or Moslem one and you no longer have a Western civilization, you no longer have America. You have Mexico North or Iran West.’” (Conyers wasn’t exactly in agreement.) And, no, it’s not that a pod from outer space has taken over my body or, worse yet, that I’ve become a liberal. I inveigh against all immigration still. I still oppose amnesty in all forms and under all guises. Nonetheless, the latter would have, perhaps, a small bright side.
This cannot be understood without grasping that illegal migration is not the problem.
It is an exacerbation of the problem.
What does this mean? Aren’t the only problems posed by migration ones unique to the illegal variety, such as an uncontrolled entry into our country that can allow diseases, terrorists and WMDs to cross our borders?
The real problem — the only one that really matters over the long term — is that we are importing socialist-oriented voters with mindsets contrary to Western ideals. This is because of the Immigration and Nationality Act of 1965 (INA65), which created a situation wherein 85 percent of our new immigrants hail from the Third World and Asia. Moreover, the legislation has led to an increase in overall immigration from a historic average of 250,000 a year to approximately 1,000,000.
If you’re Obama and his fellow travelers and believe in “fundamentally” changing America, you love this because, upon being naturalized, approximately 80 percent of these newcomers will vote for you. You know Republicans get close to 90 percent of their votes from whites, so the formula for ideological conquest is simple: reduce the percentage of whites in America as much and as fast as possible. And INA65 certainly fits that bill. Non-Hispanic whites were close to 90 percent of the population in 1965.
Now they’re just under 63 percent.
And California is the model for the leftist hegemony in question. Once a solidly Republican state that launched Ronald Reagan to national prominence, it would not be carried by him in a presidential election today. The last time the state went Republican was 1988, when George H.W. Bush edged Michael Dukakis by four points. Since then no Democrat has carried the state by less than a double-digit margin; the best showing the GOP had was when it held Lurch-like John Kerry to 10 points. Obama won the state by 24 points in 2008 and 23 points in ’12. And in this year’s Republican wave election, it was considered an accomplishment that the GOP denied the Democrats supermajorities in CA’s legislative chambers.
Oh, did I mention that whites in CA are no longer even a plurality?
And here’s the reality:
Once the rest of the country looks like CA demographically, it will look like it politically.
This isn’t to say Republicans would disappear. They’d reinvent themselves as parties and politicians do, winning some elections by moving, to use our provisional terminology, “left.” It also must be mentioned that immigration isn’t the only factor in our decline; the media, academia and entertainment arena do a superb job fashioning leftist foot soldiers. And we should also note that with a world generally to the “left” of the US, it’s hard to imagine where we could find traditionalist immigrants; importing socialist Swedes, Germans and French is problematic as well. (A notable difference, however, is that while the latter assimilate into our more conservative white population, Hispanics often operate within America’s Hispanic milieu, which reinforces their socialist beliefs.)
Yet this is simply another reason why I adamantly oppose all (im)migration. When Ben Franklin famously answered the question of whether the 1787 Constitutional Convention had given us a republic or a monarchy by saying “A republic, if you can keep it,” there would have been no “ifs” about it if our nation had comprised mainly monarchical Englishmen. So the message here is simply a statement of the obvious: foreigners cannot be relied upon to preserve authentic Americanism because they’re not American. Full stop.
This is especially true when they harbor deep-seated un-American ideologies, hail from non-Western cultures and enter a multiculturalism-infected land that tells them “When in Rome…feel free to do as Ostrogoths would do.”
Despite this, most conservatives don’t get it. Imbued with what I’ve termed “immigrationism” and Proposition Nation pap, they’re very diligent about conserving the Immigration and Nationality Act status quo. An example that will shock many is Senator Ted Cruz, who last year proposed not only increasing the number of “high-skilled temporary workers fivefold” — as if there aren’t high-skilled Americans looking for jobs — but, unbelievably, also the doubling of legal immigration (the relevant portion of the video starts at 3:27).
Given that Cruz seems like a good man, I’ll just assume he’s out to lunch (in Tijuana) on this issue. But let’s be clear: if you had to pick your poison and choose just one culture-rending policy, a giant amnesty one year would be preferable to a giant legal-immigration increase applicable every year.
So what’s the bright side to amnesty? The well-known metaphor about a frog in a frying pan of water tells us that since frogs can’t sense incremental temperature changes, a very low flame under that pan may mean the creature will remain fixed in his position until he boils to death. In contrast, turn the burner up high enough and he’ll jump out and save himself.
Along with our many other problems, “Americans” (insofar as they still exist) are enduring the slow boil of cultural and demographic genocide. And executive amnesty, as with other kinds of leftist overreach, just may serve to turn that flame up high and rouse people from their torpor.
Yet this is the dimmest of bright sides, a 1-in-50 shot whose mention is mainly valuable in service to a larger point: we do need fundamental change. We need a revolution of mind, heart and spirit in which we return to our Christian foundation and dispense with moral relativism and all its corollaries — of which cultural relativism is one. Related to this, John Jay wrote in Federalist No. 2:
Providence has been pleased to give this one connected country to one united people — a people descended from the same ancestors, speaking the same language, professing the same religion, attached to the same principles of government, very similar in their manners and customs….
The “American experiment” was never meant to be one in which we could learn if, for the first time in history, a nation could intensely balkanize itself and — by rebranding it “diversity” — survive.
I do not believe the US will survive long in its present form. And when chroniclers finally write The Rise and Fall of the American Republic, they may record that the Immigration and Nationality Act of 1965 was the most destructive legislation in her history, a turning point from which there was no turning back.
How is your life going under the Global Empire? If you answer honestly, for non billionaires, the response must reflect disappointment if not immense distress. Middle America stands on the precipice of oblivion. While the recent past decades have shown steep declines in financial security and net wealth, the future looks much more ominous. The link between the shift to an internationalist de-industrialization economy and open border immigration has hit the United States hard. This harsh reality is routinely denied in the financial press, but the social chaos that engulfs society is largely caused by this betrayal mindset. Corporatists are waging war against the American public.
Summing up the battle lines is the quintessential voice of an America First philosophy. Pat Buchanan on Free Trade is a collection of quotations and references that should be a must read for every displaced citizen. And that group includes virtually everyone.
“Good for global business” isn’t necessarily good for US
“Global capitalists have become acolytes of global governance. They wish to see national sovereignty diminished and sanctions abolished. Where yesterday American businesses suffered damage to their good name for selling scrap iron to Japan before Pearl Harbor, today [war materiel is routinely exported] to potentially hostile nations. Once it was true that what was good the Fortune 500 was good for America. That is no longer true, and what is good for America must take precedence.”
Source: “A Republic, Not an Empire,” p.349 , Oct 9, 1999
The most puzzling malady that penetrates the “PC” culture is a fear of confronting the direct consequences of encouraging an invasion of illegal’s into the country. The disconnect that sweeps across national borders is not isolated just to the United States. Western Europe is not only in decay but is on the verge of social and economic collapse.
Demetrios Papademetriou, PhD, Director of the Migration Policy Institute, wrote in his Sep. 2005 Migration Policy Institute essay “The Global Struggle with Illegal Migration: No End in Sight”: How Are Illegal Immigration and Globalization Related?
“For nearly two decades now, capital and the market for goods, services, and workers of many types have weaved an ever more intricate web of global economic and social interdependence… No aspect of this interdependence seems to be more visible to the public of advanced industrial societies than the movement of people. And no part of that movement is proving pricklier to manage effectively, or more difficult for publics to come to terms with, than irregular (also known as unauthorized, undocumented, or illegal) migration…”
Dr. Papademetriou’s assumption that interdependency is the new normal may be supported with the procession of the Trilateral Commission’s “New International Economic Order”. Nonetheless, the destruction of national sovereignty is a price that no country can afford to adopt, much less pay and remain a nation. Interdependency is the death knell of traditional values, autonomous commerce and individual civil liberties. With the ringing of the bell at the NY Stock exchange, the sound of prosperity goes deaf for the populist, while globalist elites extract the last pound of flesh from an intentionally designed consolidation of a Corporatocracy economy.
The fate of the world is at stake if the forces of globalization are left to complete their total domination of monetary and financial control. It is just as important to prevent the next bipartisan arrangement to grant effective amnesty to millions of illegal foreigners, who have shown little interest to assimilate or adopt the heritage and values of our founding principles.
Warren Mass wrote over a year ago in Permanent Amnesty, Temporary Border.
“An important part of regulating legal immigration, in addition to evaluating each prospective immigrant’s ability to become a productive, law-abiding citizen, is to determine how many immigrants the United States is capable of absorbing each year, taking into consideration the impact on our nation’s economy and culture.”
If this standard needs to apply to those who apply for citizenship, by what absurd twist of logic or sanity pertains to President Obama’s intentions of issuing executive orders that are clearly unconstitutional? How insulting it is to hard press citizens, relegated to enduring impoverishment from off shoring livable wage jobs, while awarding effective amnesty to illegals.
Columnist Glenn R. Jackson review of author Kenneth Buchdahl’s book, Dismantling The American Dream: Globalization, Free Trade, immigration, Unemployment, Poverty, Debt, Foreign Dependency hits the mark.
“First and foremost it is good to see the recognition by Buchdahl of American culture as critical to the building of the American Dream. As Buchdahl writes the development of a culture is grounded in a unique American personality and intricate system of values and beliefs that is responsible for America’s enviable situation. And it is that enviable situation that has contributed to creating the forces that are working rapidly, knowingly or not, to dismantle the American Dream.
Dismantling the American Dream chronicles the unintended impact of America’s pop culture belief in globalization as a force for good in our economy and the failure of leadership to recognize that belief gone awry. America’s political leaders continued belief in free trade and give-away trade deals, in the face of the near deathblow of NAFTA to American manufacturing is but one of the delusions of globalization that Buchdahl lays bare.”
The interjection of cultural aspects may well be the missing link that escapes most chronicles on current events. Documenting the actual results from Free Trade Treaties, should in and of itself win the intellectual argument that economic destruction of Middle America has already happened. Add in the deliberate call for mass migration and social incentives to cross the border has created the latest flood in undocumented aliens.
When Democracy Now asks, Obama & McConnell Pledge Cooperation; Will Fast-Tracking Secretive TPP Trade Deal Top Their Agenda?, and presents Ralph Nader on TPP and the “Unstoppable” Left-Right Anti-Corporate Movement, one has hope that the Buchanan Brigades message is being heard.
With the celebrity coronation that the Democrats are showering on their new favorite daughter, the “Pocahontas Princess”, Elizabeth Warren’s Crusade Against Disastrous “Free Trade” Agreements, is welcomed.
An inquiry was made to NY Senator Charles E. Schumer on the TPA, Trade Priorities Act of 2014 (S.1900). His reply can be read on this link.
An alliance among anti-free trade factions from all ideological camps is necessary to stop the globalist juggernaut. Even if such a coalition could be grown, the likelihood that linkage to the need to stop illegal immigration and opposition to amnesty, would be frosty.
This brings up the opportunity to interject the appeal, WE MUST NOT SURRENDER TO IMMIGRATION AMNESTY, by Frosty Wooldridge. ““Why would any member of Congress who opposes executive amnesty provide President Obama the funds to carry it out? A Republican majority must force congressional Democrats to answer this question through their votes”.
Likewise, why would as covered in the New American essay, Republicans to Obama: We Will Give You Trade Promotion Authority, patriots want to grant “fast track” authority to a President, who is defiant to congressional constitutional separation of powers?
“Fast track authority eventually expired on April 16, 1994, and was not reauthorized by Congress until the passage of the Bipartisan Trade Promotion Authority Act (BPTAA) of 2002. BPTAA reinstated fast track authority renamed as “trade promotion authority” (TPA), which expired in 2007. In 2012, President Obama requested renewal of TPA/fast track authority to complete negotiations for the TPP and TTIP.”
The answer should be apparent that any support of “fast track” or for TPP is a vote bought with globalist control. If it is so obvious that such influence is at play in trade deals, why are so many confused activists not able to see through the “Open Border” fraud and act upon the best interests for American workers and families?
That taboo culture factor, covered in the Buchdahl book explains the blind spot from the Loony Left. A review of a pro immigration site, Open Borders will demonstrate a systemic disconnect from reality. Often Libertarian purists, also fall under the spell of a transcendental fantasy. To their credit, Open Borders presents the concept of CITIZENISM and provides the following its key features.
Citizenism places substantially greater weight on the rights and interests of citizens than non-citizens, though it operates within moral side-constraints.
Citizenism is about current citizens, not about the people who may become citizens as a result of immigration or deportation policy.
Citizenism, as conceived by its original proponent Sailer, is both about the individual ethics of voters and about the responsibilities of elected representatives.
Citizenism is about loyalty, not admiration, toward one’s fellow citizens.
If you understand the destructive nature of corporatist trade agreements that only benefit transnational conglomerates, while poisoning economic commerce for Middle Americans, why would you not oppose the lunacy of unrestrictive mass migration? The imperative moral directive is to protect and defend your own nation, its traditional culture and responsible citizens.
Saving the world is a concept that resides in the sick minds of the Save the Planet Kill Yourself mindset. If they are so devoted to a globalist utopia, the influx of trespassers must be leaving their own homeland in better shape. Just how well is life south of the border doing?
This week I am going down to Long Beach, CA, in order to attend the world-renowned BoucherCon, a fabulous annual convention for mystery book writers and readers. You just gotta love BoucherCon.
At last year’s convention in Albany, NY, I scored 50 free books — but still haven’t finished reading them yet. However, it’s always reassuring to know that I’ll probably never run out of murder-mystery books to read ever again — especially since I’m about to score yet another 50 free books at this Long Beach convention.
But the biggest mystery of all these days seems to be “Who, exactly, is actually running the American government?” Well, here’s a big clue: “It ain’t you or me.” The fact that we ourselves definitely do not run America was clearly demonstrated once again in this last election cycle — when a huge majority of Americans either voted against their own best self-interests or didn’t even vote at all.
Apparently we Americans can just barely manage to keep the kids dressed, the dog washed, the bathroom stocked with toilet paper, the mortgage paid, the 401K alive and our own lives up and running — let alone keep a democracy alive and well. It’s definitely not like 1776 around here right now.
But not to worry. I myself have already solved the mystery of who actually does run America while most Americans are all busy doing something else.
According to political analyst Peter Dale Scott, America is actually run by a select group of people that he calls the “American Deep State”. And these guys are really bad-ass. They even have their own internet system — and probably even their own FaceBook apps too. And of course they also have their own bunkers, billionaire supporters, lobbyists and election fixers as well — and Congress, the Supreme Court and the White House all take orders from them. That’s totally scary! Makes those “October Surprise” Ebola and ISIS scares look like a walk in the park. http://whowhatwhy.com/2014/10/
So. Why do I think that Peter Dale Scott is right? There just has to be a shadow government here in America — because what else could possibly explain why America continuously and consistently acts so strongly against its own best interests? http://3chicspolitico.com/
“But Jane,” you might ask, “just exactly who are these underworld shadowy cartoonish characters that you’ve just described — and exactly what are they up to?” Well, from all my recent sleuthing around, I’ve discovered that this uber-shadow government, whoever it is composed of, obviously has a soft spot in its heart for starting wars, ruining economies, and disrupting countries, regions and even whole continents whenever they possibly can. No American in his or her right mind would ever want to do that.
“But, Jane,” you might ask next, “how can you actually prove all this? Sounds rather paranoid and conspiracy-theory-ish to me.” Hey, I’m on this like Sherlock Holmes!
But even though I can’t exactly sneak into these guys’ bunkers or onto their yachts or secretly listen in on their phone conversations, I can still easily see all the footprints these hoodlums have left behind in the snow. “Means, motive and opportunity,” as Holmes would say. Just get out your magnifying glass and look at these clues:
Footprint # 1: China and Korea. Before we even knew what hit us after WWII, suddenly China had been torn up in rebellion against our corrupt man in Peking, Chaing Kai Shek. And then the whole Korean peninsula blew up. Was the loss of China and the destruction of Korea in the average American’s best interests? Totally not. So who had the motive, means and opportunity here? You tell me.
Footprint # 2: Vietnam. The whole result of that “war” was to destabilize all of Southeast Asia. Okay. You got China, Korea and Southeast Asia destabilized now. And did it benefit the average American to have Asia so broken and hateful against us? It did not. But who did it benefit?
Footprint # 3: Mexico, Central America and South America. Do Americans really benefit from having death squads and drug lords on the rampage down there? What do you think? I think not. All we got out of this deal was a whole bunch of undocumented refugees coming up here in search of their lost treasures. But then who does benefit? Those shadowy guys behind the curtain who sell arms and own banks? Yeah.
Footprint # 4: Yugoslavia. The American Deep State picked at Yugoslavia and picked at Yugoslavia until it too finally fell apart. Balkanization. How could that have possibly been good for America? It wasn’t. But who did benefit from its fall? Wall Street and War Street. Of course.
Footprint # 5: The Middle East. What a freaking mess! And who made this mess? It wasn’t the American people. We had no dog in this fight. But the American Deep State both did then and does now. Libya, Syria, Palestine, Iraq, Lebanon, Egypt, Israel? Means, motive and opportunity to make a real mess. And, yes, Israel is a hot mess too.
Footprint # 6: Africa. Africa has been fried, poached and eaten whole by the American Deep State too. From apartheid South Africa and the bloody attacks on democratic Angola to the Ebola and HIV disasters, blood diamonds, IMF loans with never-ending interest payments and rape in the Congo, Africa is now a hot mess. And who exactly benefited from this scramble for Africa? Not you and me — or our children or our dogs either.
Footprint # 7: Ukraine: You have no idea what a broken egg Ukraine has become recently as neo-Nazis kill innocent civilians right and left. Their theme song seems to be, “Party like it’s Serbia in 1995!” Plus a German company, Telefunken Racoms, is actually selling these Ukrainian neo-Nazis their weapons. “Party like it’s Leningrad in 1942!” http://cyber-berkut.net/
But have any of us average Americans actually benefited from all this world-wide chaos? No, no, no and no. So who did? The American Deep State.
Footprint # 8: America. That’s us. It should come as no surprise to anyone even semi-conscious right now that our economy has tanked, we’re at each others’ throats and Corporations are now People. The propaganda machine that the Deep State now runs here would make Hitler proud! Or happily match up with George Orwell’s prescient observation that “War is Peace.” And this is all part of a plan to make Americans as dazed and confused as, say, Africans and the folks in the Middle East are now. But who the freak benefits from all this? Definitely not us. http://readersupportednews.
So then your next question should be, “How can we stop this, put an end to the American Deep State and return to being a democracy?” How can you even try to stop a shadow? It’s hard. But we could start by regulating Wall Street, limiting weapons manufacturers’ profits, making sure that our election laws never let anyone anywhere for any reason contribute more than $200 to any election campaign, having fact-checkers sort out all those blatant lies in campaign broadcasts, and fiercely guarding against election violations. Oh, and also get rid of all those Deep State bunkers, yachts and private internet rat-lines that we American taxpayers are paying for now.
Or perhaps we could just run a PowerBall lottery for every available position in Congress, on the Supreme Court and in the White House. Surely any random lottery winner would do a better job of resisting the American Deep State than those sorry wimps that we now have kissing the DS’s booties and being their gollums.
But however we go about it, we have just got to stop the American Deep State from murdering our democracy — before it’s too late and the American dream’s corpse arrives DOA at the morgue.
PS: See you at BoucherCon! It would be a mystery to me why anyone would not want to attend that.
The bad news is that John Dewey’s “progressives” are winning big. They mobilized every educational front group and every pedagogical gimmick to achieve the goal of controlling what goes on in the schools, as a way of achieving a fundamental transformation of America, to coin a phrase.
The educational front groups include the National Council of Teachers of Math, the Common Core Consortium, National Education Association, International Reading Association, National Science Foundation, the Department of Education, and many more. Their favorite pedagogical gimmicks include Whole Language, Reform Math, Balanced Literacy, Constructivism, Project-Based Learning, Cooperative Learning, 21st-Century Skills, and many more.
So it’s clearly a far-flung, intricately coordinated attack, like Hitler’s military roaring into Russia during the summer of 1941. The progressives want total control so they can turn the schools into social engineering experiments. Traditional approaches will be denigrated; knowledge will be disdained. John Dewey gave the marching orders 100 years ago. Our Education Establishment probably feels it is close to total victory, thanks to all the new gimmicks contained in Common Core Standards.
So how can there possibly be any good news? Hitler’s Wehrmacht could tell you. When you advance 100 miles into new territory, overrunning everything in sight, you can easily gobble up too much too fast.
At some point, even the most successful invaders find they have overextended their lines and exposed their flanks to counterattack. There’s the good news.
In education, this has a peculiar form. Quite simply, the public is starting to see the comic bizarreness of it all. Everywhere people look in education they see frantic activity (and frantic spending) but nobody’s learning very much. Millions of kids can’t read well or do simple math. Surely, someone must be playing a prank, and the whole country is being punked.
The public watches the foolishness and rolls their eyes. What, is the circus in town? Who are all these clowns running around with their funny little cars and pratfalls?
We see the garish makeup, the big red noses, the comedy routines. But we are no longer amused. What does this Clown Corps think it’s doing? How can they squander billions every day, but somehow the children get more ignorant and less literate?
Summing up, public education in America resembles a Rube Goldberg contraption with the Three Stooges operating all the levers. The good news is that the public can no longer take these people seriously, no more than the majority of the public now takes Obama seriously, and for the same reasons. The public sees the Emperor has no clothes, he’s tipsy, and stumbling around in public.
Here’s another way you know. Common Core rolled over the country–altogether 45 states embraced it, thanks to lavish bribes (stimulus money repurposed as Race to the Top grants). But now most of those states are suffering buyer’s remorse. Indiana has pulled out. Other states will follow. Hallelujah. The sooner every state cancels Common Core, the safer the country will be.
Another way you know is that the Internet is full of videos where children are crying because they can’t do their homework, parents are at meetings to denounce the failed methods used in the schools, and employers complain ever more loudly they can’t find educated workers.
In fact, Our Education Establishment has been practicing the art of going too far for decades. But now the public is noticing. The election of Obama may have pushed our education commissars over the edge. Perhaps they were worried they might have only eight years, and they needed to complete their project immediately. Helter-skelter, with a rush of urgency, they had to drive out every traditional approach, terminate every old-fashioned teacher, silence every conservative voice, and banish every administrator who wasn’t a complete toady. Common Core—with its top-down, same answer for every situation—was supposed to finish the job.
Recall the famous World War II movie A Bridge Too Far. Our Education Establishment has committed the strategic sin of A Gimmick Too Many.
Siegfried Engelmann explains the main flaw “The system adopts instructional programs and practices that have never been tried out on a small scale—like the Common Core standards. The same is true of many instructional programs. They are adopted, then tried out for the first time. That is completely backward.”
The main effort is to drive content out of the school. They’ve got a dozen pretexts for doing this. After you’ve deleted as much content as possible, you garble whatever is left. Each year, the typical student ends up learning less than the year before. We will hear constantly about “social justice,” which roughly translates “If everyone is mediocre, that’s fairer.”
All this dumbing down makes even the people in charge dumber. In the process, they make a mockery of their claim to be “educators.” Anti-educators is more accurate. It’s time for the circus to leave town.
You just have to love the wit and precision of a political image. Pat Dollard’s title NY Post Destroys Obama With Brutal Cover, says it all. The arrogant despot was indeed STRIPPED! The belated question is why did it take so long? In order to answer the obvious, most political analysts’ will fall into the partisan trap of party politics. Hope and change finally was seen as dictatorial haughtiness. Most voters do not believe that they are deceived by skilled liars when they cast their ballot. Yet, that is a pattern that is uninterrupted in most elections. Only the style of administrations differs, while the establishment continues to pull the strings and policies to move the consolidation of the New World Order forward.
That Nefarious Warrior Organism is eager to accelerate the next stage of the master plan. Under an openly NeoCon front, John McCain’s chairmanship of a Senate Armed Services Committee will get to pressure the public into believing that their national security requires vigorous interventionism. Before you think that the Democrats differ from this same post WWII strategy, it would be best to brush up on a necessary history lesson.
Obama never attempted to confront, much less reverse the foreign policy of defending an empire. At the core of American power is the use of force that threatens any regime, which will not capitulate to the dictates of the financial elites that put Obama in office. The same can be said for most of the presidencies from FDR onward. The mere attempt to buck this system got JFK killed and Reagan shot. Yet to even mention such vial thoughts earns the historiographer a place in the conspiracy hall of infamy.
The abandonment of truth is a primary requirement to be part of the system. The reverse also applies. To be a successful player in the corridors of power, the skills of deception and prevarication must be demonstrated. Obama excelled in this task. However, his usefulness is now over.
For the indoctrinated clones that only see politics through a progressive lens, dealing with defeat seems inconceivable. Conversely, the novice supporters of Republican candidates vote with the erroneous belief that the country will now get back on track. Both crowds operate in a mindset that does not work in the real world.
Winning a GOP majority in the Senate removes the crook Harry Reid and his Mafioso tactics but the added seats in the House just gives Boehner flexibility to ignore Tea Party representatives. When you hear of an atmosphere of collaboration between Obama and the new anticipated Senate leader Mitch McConnell, you should shudder.
Democracy Now provides a correct assessment on Obama & McConnell Pledge Cooperation; Will Fast-Tracking Secretive TPP Trade Deal Top Their Agenda?
“We get analysis from Lori Wallach of Public Citizen’s Global Trade Watch, who notes that while some analysts say GOP gains will accelerate the passage of fast-track legislation in Congress to enable an agreement on the TPP, “it is kind of hard for the Republicans to voluntarily delegate more authority to the guy they’ve been attacking as the imperial president who grabs power that’s not his.” The controversial so-called free trade deal involves 12 countries and nearly 40 percent of the global economy. Trade ministers from the 12 countries negotiating the trade deal are due to meet in Beijing ahead of the Asia-Pacific economic summit next week to continue negotiations.”
Oh if only such logic would be applied to the deal making sell out process. Here is a central point to most political arrangements. Forget about compromises, the deal boils down to serving the interests of the shady figures behind the officials. Corporatist Republicans want to continue the globalism sellout just as much as the Democrat partisans, who take the same contributions from the financial elites.
No honest observers of the nuclear fallout from the Reid run Senate can conclude that passing legislation through the conference process with the House was ever considered. Will the new GOP Senate leadership return to the 60 vote filibuster tradition? This test will determine if any optimism would return.
In a racy post on Facebook, the always provocative Karen De Coster asks: “Why the F$%K – Does a Congress with a 10% approval rating has a 90% Re-election rate?” Reelection Rates Over the Years provides added evidence of this tragedy.
Maybe the immediate query should be why the newly elected Republican Senators would vote for a known deal maker betrayer of principles like McConnell as their leader? For a more detailed analysis of Expectations after the 2014 Elections, the Radical Reactionary essay is worthy of a read.
THE MEGALOMANICALITY OF BARACK HUSSEIN OBAMA cites the Obama the Insane comes out with this… Delusional behavior occurs next out of a mad man.
- EXCERPT: “The American people sent a message,’ he claimed, ‘one that they’ve sent for several elections now. They expect the people they elect to work as hard as they do. They expect us to focus on their ambitions, and not ours.”
- EXCERPT: “Our economy is outpacing most of the world. But we’ve just gotta keep at it. Much of that will take action from Congress. And I’m eager to work with the next Congress.”
- EXCERPT: “He said he would only work with Republicans if they seek to ‘make responsible changes’ to the law. I’m going to be very receptive to hearing those ideas. Despite all the contention,” Obama claimed, “we now know that the law works.”
- EXCERPT: “Executive orders,” he said, “will be replaced and supplanted by a bill from Congress. You send me a bill that I can sign and those executive actions go away. But what I’m not gonna do is just wait.”
For some unsolicited advice for any honorable Democrats left in their party, consider the following. Jeffrey Steinberg of Executive Intelligence Review floated this option back in October 2010, Invoke the 25th Amendment To Remove Obama. Undoubtedly the situation has worsened dramatically since then. “LaRouche demanded the invocation of the 25th Amendment, which provides for the orderly removal of a President, and his replacement by the Vice President, due to physical or mental impairment.”
The actual 25th amendment says:
Whenever the Vice President and a majority of either the principal officers of the executive departments or of such other body as Congress may by law provide, transmit to the President pro tempore of the Senate and the Speaker of the House of Representatives their written declaration that the President is unable to discharge the powers and duties of his office, the Vice President shall immediately assume the powers and duties of the office as Acting President.
Thereafter, when the President transmits to the President pro tempore of the Senate and the Speaker of the House of Representatives his written declaration that no inability exists, he shall resume the powers and duties of his office unless the Vice President and a majority of either the principal officers of the executive department or of such other body as Congress may by law provide, transmit within four days to the President pro tempore of the Senate and the Speaker of the House of Representatives their written declaration that the President is unable to discharge the powers and duties of his office. Thereupon Congress shall decide the issue, assembling within forty-eight hours for that purpose if not in session. If the Congress, within twenty-one days after receipt of the latter written declaration, or, if Congress is not in session, within twenty-one days after Congress is required to assemble, determines by two-thirds vote of both Houses that the President is unable to discharge the powers and duties of his office, the Vice President shall continue to discharge the same as Acting President; otherwise, the President shall resume the powers and duties of his office.
Barack Hussein Obama thinks he is an emperor but is actually a dysfunctional psychopath. His dictates need to be ignored and his irrelevancy demands his replacement. Since the Congress does not have the courage to impeach this unhinged traitor, the Democratic careerists need to step up, (for no better reason) than to save their own skins.
Even a two year term under Joe “wacko” Biden would be preferable to an insane sociopath with his finger on the nuclear button.
Discard any pure or noble reasons for adopting such a removal process. Bank on sheer self-interest to blame all the failures on the best fall guy since Richard Nixon. The establishment needs a cover-up to distract the public from the coming economic collapse. When a liar commander in chief no longer is believable, his clothes are STRIPPED from the throne.
Republicans must feel maximum heat NOT to save Obama. Those cowardly chicken hawks will bomb anyone on the globe to maintain the empire, but will not lift a finger to remove a modern day Emperor Justin II. Praetorian Prefect warns of a bi-partisan malady. Now it is time to act and dispatch Obama to a disgraceful internment.
Before I report on Apostle Bill’s endeavor to involve his followers in his “grave sucking,” undertaking, I must tell you a brief story that involves an angel, a gift, and slaying a dragon.
Wednesday night at half past 11, I was in bed reading when a white lightning bolt struck the floor and out stepped a dazzling creature with wings the length of a 747. “Do not fear!” he said when he saw the alarmed expression on my face. “I am the angel Archibald!” My husband was sacked out next to me with a pillow over his head so he announced in a quiet voice, “I have come with a message from the Lord of hosts.”
A flood of feathers floated around the room so I covered my nose and mouth with both hands. But it was too late. “Ah-choo!”
“God bless you!” said the angel.
Now I was certain that he was the Lord’s messenger. I tapped my husband on the back and whispered, “Wake up.” Dead to the world. A poke in the ribs and, “Honey…you gotta see this.”
A muffled voice groaned, “Whuuut?”
“We have a visitor.”
The pillow came off his head and he sat bolt upright in bed. Seconds later he spotted Archibald hovering in the corner. “Holy cow!” he exclaimed.
“Cow?” said the angel, seeming a bit cross. “Hardly!” His eyes shifted from my stunned husband and settled on me. In a strong clear voice he stated matter-of-factly: “The Spirit of God has bestowed upon you a new gift. Forthwith you will become a blogger.”
He eyed me quizzically, waiting for my response. When none was forthcoming, he said firmly, “You are to use your new gift to expose ravenous wolves that have slipped into the sheep pen under the cover of darkness. These wolves are teaching doctrines of demons…”
I didn’t have to ask what he meant by doctrines of demons. He had to be alluding to Word of Faith…New Apostolic Reformation…Purpose Driven…Emergent…Social Justice…New Age…New Thought and other false teaching that had made its way into churches and seminaries while our shepherds snoozed. “I’ve tried telling people about false teaching, I said to myself, “but what I say goes in one ear and out the other.”
I heard the angel say: “There are counterfeits who call themselves new apostles and prophets. These men and women are giving Him (he glanced up at the ceiling) a bad name. Expose them as false teachers!” His wings ceased fluttering and he became as still as a stone. “Are you ready to serve the King?
“Are you kidding me?” I exclaimed in disbelief. “First of all, I’m not gifted to write – or at least I wasn’t, until now.” I searched for excuses. “And…and I got a B in English by the skin of my teeth—“
The angel cut me off sharply. “Certainly you do not think this is news to Him (he glanced up at the ceiling).”
True. God knows all things, including my grades in college. Perhaps He wanted to get me out of my comfort zone. Writing a blog would definitely accomplish that. One last try: “But…um… I’m nobody! No one will listen to a word I say.”
“Some will listen,” Archibald assured me. “And others will fall for lies. It is always that way with humans.”
I turned to my husband and said, “Tell him no one will take me seriously.”
My husband came out of his stupor and said in a serious tone, “God uses nobodies all the time. But there’s a catch. You’ve got to be willing.” He looked me straight in the eye. “Are you?”
Am I willing, I wondered? I needed but a moment to ponder his question. Yes, I guess I am, I said to myself. I’m more than willing. Suddenly I felt as if I could go out and slay a dragon. “OK, I’ll do it!” I glanced over at my husband. “The two of us can do it together.”
We high-fived and he said with a grin, “We make a good team.”
I gave Archibald a thumbs up. “We’re in.”
Poof! The angel disappeared, feathers and all.
The next morning I found a large silver feather on the floor where Archibald had appeared to us. He had left his calling card.
In part one I covered New Apostolic Reformation’s rock-star evangelist Todd Bentley and the shame he brought on the Name of our Lord and how “Super Apostles” Bill Johnson and Rick Joyner restored him to ministry despite his obvious character flaws. There were exaggerated healings and dangerous “healing” practices that included assaulting the sick with leg drops, high kicks and head punches which he claimed the Lord told him to do to people who came to him for help. Moreover, Bentley drank excessively, committed adultery and soon thereafter left his wife and children and married the adulteress. There’s a whole lot more to report on the fraud evangelist, but space does not allow. So – why bring him up again? Because he says angels visit him. It’s not uncommon for people who are into “signs and wonders” strange manifestations, and other esoteric experiences to boast of angel visitations. Two angels who supposedly come to Bentley are Emma-O and the Winds of Change. Winds is supposedly “a high-ranking angel over all the ones assigned to healing, breakthrough and revival unto harvest.”
To the best of my knowledge Todd Bentley has never met the Angel Archibald. But I have. Or have I?
Do you see the problem? I made up a story and so can you. Anyone with a vivid imagination can make up a story about angel visitations, trips to heaven, and whatnot. But there’s no way to validate all the wild claims people make. Sadly, NAR leaders pitch their stories to gullible sheeple who want desperately to believe that their heroes would never lie to them. This might explain why “Super Apostle” Rick Joyner’s followers hang on his every word as he looks straight into a video camera and testifies that he’s been to heaven. During one of his many visits he claims the Lord handed him the key to eternal joy. Watch the video he made and you’ll see that I’m not making this up. In it Apostle Rick crows that he’s had a number of encounters with Elijah, and he knows many others who’ve had Elijah encounters too! He’s quick to point out that it’s not necromancy (communicating with the dead) because Elijah was taken up to heaven without dying. At 9:20 minutes you’ll learn how he met Enoch.
But this is not about Rick Joyner’s spiritual gift of pulling the wool over the sheep’s eyes. So I’ll move on.
It’s hard to imagine anything more ludicrous than “grave sucking” yet Apostle Bill endorses this macabre practice. Grave sucking aka “mantle grabbing” occurs when the Holy Spirit draws powers from the bones of a deceased person who, while alive, was allegedly Spirit empowered. Since God’s mission for the dead is thwarted when he dies, the Spirit passes on his powers to individuals who visit their graves.
According to Victory Ministries, Apostle Bill led a group to John Lake’s grave where the following ensued:
He was looking for Lake’s anointing to heal the sick by a supernatural power. The people seeking this new paranormal anointing prostrated themselves upon Lake’s grave weeping, worshipping and expecting that Lake’s ministry power would strike them and his spirit would infuse them with a sign and wonders ministry like he had when he was alive. Thus, a new preternatural cult was formed that day that is now referred to as “grave sucking.”
Mr. Johnson testified about this bazaar act of desecration and necromancy (the practice of attempting to communicate with the spirits of the dead in order to predict or influence the future) that he and his group committed on Sid Roth’s radio show, “It’s Supernatural”
Johnson spun a weird mystical/Occult experience tale to Sid Roth about meeting the Late John Lake’s angel in the building where Lake had previously ministered in his healing rooms. He testified that two ladies went to a back room and they met a giant angel there that healed one of the women. They called Johnson and when he came into the room, he claimed there was an angel about 10 feet tall. Sid asked him, did you see the angel? Johnson replied “No, but I knew he was there and the angel said to me, ‘What took you so long, I’ve been here for 80 years!’” (Source)
It should surprise no one that Bill Johnson claims that he had a tête-à-tête with an angel.
What does the Bible say about playing around in the spirit realm?:
Let no one disqualify you, insisting on asceticism and worship of angels, going on in detail about visions, puffed up without reason by his sensuous mind, and not holding fast to the Head, from whom the whole body, nourished and knit together through its joints and ligaments, grows with a growth that is from God. (Colossians 2:18-19)
Bethel School Of Sorcery
Apostle Bill runs the Bethel School of Supernatural Ministry in Redding CA. According to its website:
(BSSM) is committed to the truth that God loves people, gave Himself for them and has given His Church supernatural power to bring individuals and nations into wholeness. The mission of BSSM is to equip and deploy revivalists who passionately pursue world-wide transformation in their God-given spheres of influence. Students are trained to continue in the ministry style of Jesus: to enjoy the presence of God, say what He is saying, and do what He is doing. (emphasis added)
Basically, BSSM trains people to heal the sick and raise the dead. This raises the question: why do these folks not bring dead people back to life in America, Canada and western European countries? Why only in the developing countries? If the dearly departed are coming out of their graves in the developed countries, the media would surely report on it.
The Redding Spotlight describes one man’s experience at Bethel Church (BC):
After a strange experience with an erratic Bethel School of Supernatural Ministry student who baby-sat his children, Bart McCurdy of Cottonwood decided to find out for himself what was going on at Bethel.
McCurdy said he attended a Friday night service at the church, during which he saw people painting on stage, dancing and flailing around on the ground. He found their worship music unconventional when one line of the same song was played for at least 11 minutes, he said.
McCurdy said the repetitive music, dancing, painting and excessive stimuli serve to get people worked up into an emotional frenzy where they’re expecting to see miraculous things.
“They come looking for that feel-good feeling, that high, for supposed miracles, supposed signs and wonders, speaking in tongues, gold dust, diamonds, feathers[floating down from the ceiling]. … It seems like they’re just ready for it,” he said.
Once, as she ran through her house frantically searching for her journals, the baby sitter told McCurdy the anti-Christ was in her house and Jesus was in hell saving people, he said. Shortly after that, she went into a trancelike state and said she felt 20 feet tall before losing consciousness…. The behavior made him believe she was demon-possessed, he said.
McCurdy said he regularly downloads podcasts of Bethel messages and hasn’t heard the Christian gospel message taught at Bethel. …
For by grace you have been saved through faith. And this is not your own doing; it is the gift of God, not a result of works, so that no one may boast. (Eph 2:8-9)
See also 1 Cor. 15:1-8
Despite the fact that Apostle Bill teaches a false gospel he’s hugely popular with many professing Christians. His book sales are in the millions. He’s become so popular that a large number of churches around the globe are affiliated with BC. This speaks volumes as to the current state of evangelicalism. Sadly, a growing number of believers have zero discernment, thus they accept every “wind of doctrine.” Translation: Every sort of false teaching that blows their way.
Christians have been warned that charismania, as some call it, represents a danger to millions of people around the globe, especially to LIEs (low information evangelicals) and the unsaved. Because of self-professed apostles and prophets such as C. Peter Wagner, Rick Joyner (mentioned in part one), Bill Johnson and a slew of others, we’ve seen an unbridled abuse of the Holy Spirit. After reading this series, I challenge you to do your own research (links below). Before starting, pray that God will reveal truth to you. What you’ll discover is that WoF/NAR teaching isn’t remotely close to historic orthodox Christianity — and it certainly isn’t the Christianity for which the martyrs shed their blood! Flee from it!
Strange Fire Conference Q&A—Phil Johnson interviews John MacArthur
The New Age Propensities of Bethel Church’s Bill Johnson–By John Lanagan
- Peter Wagner launches WLI Seattle, Sonrise Chapel, Feb. 3, 2008–Around 54:00 minutes into the session, Wagner responds during the Q&A. He tells the audience that when the Holy Spirit stopped revealing things through the written Word, He kept on revealing new things to us through the “Rhema Word.” He claims that the Holy Spirit still speaks to us today by giving us information that you cannot find in the 66 books of the Bible; info that the Bible doesn’t address, but it’s not contradictory.
Why I Must Speak Out Against the NAR and Bethel Church—Tony Miano, host of Cross Encounters radio, discusses, among other things, the music of BC’s music team Jesus Culture (more below). Listen to Tony tell of his Twitter chat with Beni Johnson, Bill’s pastorette wife.
Bill Johnson…scroll down—Apologetics Index
All About Angels—On Solid Rock resources
New Apostolic Reformation/Dominionism –On Solid Rock Resources
Bethel Church’s Music & Entertainment:
The Holy Spirit Makes A Movie? I Don’t Think So…—Amy Spreeman
Watch And Weep:
Try this Bethel Redding Snack Pack—My Word Like Fire
‘Wag the Dog’ is an expression which denotes, “to purposely divert attention from what would otherwise be of greater importance, to something else of lesser significance. By doing so, the lesser-significant event is catapulted into the limelight, drowning proper attention to what was originally the more important issue.”
Now, the Dog has been Wagged. Feel better? If you were voting for someone with an R beside their name you probably feel good. If you went for the big D, you are sad. No matter. The present trajectory is not going to change unless or until we take control of our own lives and our own communities.
What you just witnessed was a cast change of no real significance. One team of professional liars ‘D,’ is just giving liars team ‘R’ their turn. This is intended to distract us so we remain passive where it matters, here, where we live.
I understand why it happens. When we are hungry for hope, any hope, elections are very seductive. The fiery speeches and promises make things seem possible. But in the end nothing changes except the names of the rascals who are taking and spending your money and transferring more of your personal life to their direct control. Solving problems in our own community, ourselves, recedes into the distance again.
Several months ago I interviewed the candidate for Ohio’s 14th Congressional District. A classical Conservative was running. He answered every question asked just as President William Howard Taft or Senator Barry Goldwater would have done. He loved Barry’s line on gays in the military. “You don’t have to be straight to shoot straight.” He and Barry shared the same view on abortion, too, and on preserving the environment.
You had a chance to vote for him last Tuesday. No, it was not the Libertarian. The candidate was Michael Wager. He sounded shocked when I told him.
William Howard Taft, the president who went down to defeat in 1912, would have stopped the FED, nixed the IRS and made sure the Hetch Hetchy was not converted into a water supply for San Francisco. His views were known. He was a Conservative.
Oh. And the pledge of allegiance was written by a socialist whose goal was to stop the study of our founding documents in schools.
Direct governance by the people was the original form of government intended by our founders. We still need it.
“It’s not the underlying economics that’s driving things, it’s central bank liquidity.”
— Matt King, Citigroup
Soaring auto sales are not so much a sign of a strong economy as they are an indication of financial hanky-panky. We saw this same type of fakery play out in housing between 2004 – 2006, when prices went through the roof due to a mortgage-lending scam (“subprime”) that crashed the stock market and sent the economy reeling. Now the bigtime money guys are at it again, writing up auto loans for anyone who can sit upright in a chair and scribble an “X” on the dotted line. As a result, car sales have surged to over 16 million for the last 6 months. (A full 7 million more than the low point in January, 2009.) And it’s not hard to see why either. The finance gurus are packaging these sketchy subprimes into bonds, offloading them on eager investors, and recycling the profits into more crappy loans. It’s a perfect circle and it won’t end until the loans start blowing up, jittery investors head for the exits, and Uncle Sugar rides to the rescue with more bailouts.
But we’re getting ahead of ourselves. First take a look at these charts by House of Debt which shows the disparity between auto spending and other types of spending since the end of the slump in 2009.
House of Debt: “New auto purchases have driven the consumer spending recovery to a large degree. The chart below shows the spending recovery for new auto sales and for all other retail spending…
From 2009 to 2013, spending on new autos increased by 40% in nominal terms. All other spending increased by only 20%. Further, excluding autos, 2013 saw lower growth in nominal retail spending than 2012…
The concern is that a lot of auto purchases are being fueled with debt, given a strong recovery in the auto loan market. Below is the net flow of auto loans from 2002 to 2013. It is a net flow because it includes pay downs in addition to new originations. As it shows, auto lending in 2012 and 2013 tops any other year during the previous expansion from 2002 to 2007 (although it is still below the amount of new auto loans in 2000 and 2001).
(“Another Debt-Fueled Spending Spree?” House of Debt)
How about that? So there’s a bigger debt bubble in auto loans today than there was before the bust. But why? Is it because demand is strong, jobs are plentiful, wages are rising, the economy is growing, and people are optimistic about the future?
Heck, no. It’s because rates are low, credit is easy, and dealers are ready to put anyone with a license and a heartbeat into a brand-spanking new car no questions asked. Here are the details from an article in the New York Times titled “In a Subprime Bubble for Used Cars, Borrowers Pay Sky-High Rates” by Jessica Silver-Greenberg and Michael Corkery:
”Auto loans to people with tarnished credit have risen more than 130 percent in the five years since the immediate aftermath of the financial crisis, with roughly one in four new auto loans last year going to borrowers considered subprime — people with credit scores at or below 640.
The explosive growth is being driven by some of the same dynamics that were at work in subprime mortgages. A wave of money is pouring into subprime autos, as the high rates and steady profits of the loans attract investors. Just as Wall Street stoked the boom in mortgages, some of the nation’s biggest banks and private equity firms are feeding the growth in subprime auto loans by investing in lenders and making money available for loans.
And, like subprime mortgages before the financial crisis, many subprime auto loans are bundled into complex bonds and sold as securities by banks to insurance companies, mutual funds and public pension funds — a process that creates ever-greater demand for loans.
The New York Times examined more than 100 bankruptcy court cases, dozens of civil lawsuits against lenders and hundreds of loan documents and found that subprime auto loans can come with interest rates that can exceed 23 percent. The loans were typically at least twice the size of the value of the used cars purchased, including dozens of battered vehicles with mechanical defects hidden from borrowers. Such loans can thrust already vulnerable borrowers further into debt, even propelling some into bankruptcy, according to the court records, as well as interviews with borrowers and lawyers in 19 states.
In another echo of the mortgage boom, The Times investigation also found dozens of loans that included incorrect information about borrowers’ income and employment, leading people who had lost their jobs, were in bankruptcy or were living on Social Security to qualify for loans that they could never afford.” (“In a Subprime Bubble for Used Cars, Borrowers Pay Sky-High Rates”, New York Times)
Can you believe that this kind of chicanery is going on in broad daylight without the regulators stepping in? Think about it for a minute: If the NYT’s journalists can find “dozens of loans that included incorrect information about borrowers’ income and employment”, then why can’t the government regulators? It’s ridiculous. What we’re talking about here is a new version of “liar’s loans” where dealers are helping people who don’t have the means to repay the debt, to fudge the details on their loan application so they can drive off in a shiny new Impala.
Haven’t we seen this movie before?
Here’s more from USA Today: “In the first quarter of 2014, 24.9% of all new-car loans were 73 to 84 months long. Four years ago, less than 10% of loans were that long. In fact, such lengthy terms have pulled the average new-car loan to 66 months. That’s an all-time record.”
7 years to pay off a car? You got to be kidding me? It’s like a second mortgage. And there’s more, too. The average monthly payment and average amount financed hit record highs in the first quarter too. This is from Auto News:
“The average monthly new-vehicle payment was $474 in the first quarter, up 3.3 percent from a year ago. The average monthly used-vehicle payment was $352, up 1.1 percent, Experian Automotive said.
Also in the first quarter, the average amount financed on a new-vehicle loan was $27,612, an increase of $964, or 3.6 percent. For used vehicles, the average amount financed was $17,927, up $395 or 2.3 percent.”
So Americans are not just loading on more debt, they’re also assuming that they’re financial situation is going to be stable enough to make these large payments well into the future. Good luck with that.
It’s also worth noting that, in many transactions, dealers are actually lending more than the value of the vehicle. According to Reuters David Henry,
“The average loan-to-value on new cars rose to 110.6 percent… On used cars it rose to 133.2 percent…
Auto lenders often provide loans that exceed the value of cars they are financing because borrowers want cash to pay sales taxes and fees.”
(“U.S. car buyers borrow more as rates fall and standards loosen“, David Henry, Reuters)
Let me see if I got this straight: You walk onto a car lot without a dime in your pocket, and drive off in a brand new car with everything paid for upfront? Such a deal! Can you see why we think that the sales numbers are a big fake? This isn’t the sign of a strong economy. It’s the sign of another gigantic credit bubble rip-off. But what do the dealers get out of this thing? Is it really worth their while to botch the underwriting when they know that eventually they’ll have to repossess the vehicle? Sure, it is, because there’s big money in stuffing people into loans they can’t afford.
Here’s how the Times explains it: ”Auto loans to borrowers considered subprime, those with credit scores at or below 640, have spiked in the last five years. The jump has been driven in large part by the demand among investors for securities backed by the loans, which offer high returns at a time of low interest rates. Roughly 25 percent of all new auto loans made last year were subprime, and the volume of subprime auto loans reached more than $145 billion in the first three months of this year.”
Bingo. So not only do they make dough on the high interest rates they charge their subprime borrowers, (Sometimes 23 percent or more.) they also make it by selling the loan to investors who are eager to buy any manner of crappy bond provided it offers a better return than US Treasuries. This is the mess Bernanke created by fixing interest rates at zero for nearly 6 years. Zirp (zero interest rate policy) unavoidably leads to excessive risk taking by yield-crazed speculators. The voracious appetite for subprime securities (ABS–Asset-Backed Securities) has even surprised the bond issuers who are constantly beating the bushes looking for sketchier products. This is from the same article by the NY Times:
“Investors, seeking a higher return when interest rates are low, recently flocked to buy a bond issue from Prestige Financial Services of Utah. Orders to invest in the $390 million debt deal were four times greater than the amount of available securities.
What is backing many of these securities? Auto loans made to people who have been in bankruptcy.
An affiliate of the Larry H. Miller Group of Companies, Prestige specializes in making the loans to people in bankruptcy, packaging them into securities and then selling them to investors.
“It’s been a hot space,” Richard L. Hyde, the firm’s chief operating officer, said during an interview in March. Investors are betting on risky borrowers. The average interest rate on loans bundled into Prestige’s latest offering, for example, is 18.6 percent, up slightly from a similar offering rolled out a year earlier…. To meet that rising demand, Wall Street snatches up more and more loans to package into the complex investments.” (NYT)
HA! Now there’s a good way to feather the old retirement fund; load up on bonds made up of loans to people who’ve gone bust.
This is the impact that zero rates have on investor behavior. The abundance of cheap and plentiful liquidity invariably leads to trouble. And there are victims in this Central Bank-authored gold rush too, namely the unsophisticated borrowers who pay prohibitively high rates on beater vehicles that are typically worth less-than-half the value of the loan. (Check the NYT article for examples.)
The Times also notes that the ratings agencies have been playing along with the finance companies just as they did during the subprime mortgage fiasco. Here’s more from the Times:
“Rating agencies, which assess the quality of the bonds, are helping fuel the boom. They are giving many of these securities top ratings, which clears the way for major investors, from pension funds to employee retirement accounts, to buy the bonds. In March, for example, Standard & Poor’s blessed most of Prestige’s bond with a triple-A rating. Slices of a similar bond that Prestige sold last year also fetched the highest rating from S.&P. A large slice of that bond is held in mutual funds managed by BlackRock, one of the world’s largest money managers.” (NYT)
Ask yourself this, dear reader: How are the ratings agencies able to give “many of these securities top ratings”, when the investigators from the Times found “dozens of loans that included incorrect information about borrowers’ income and employment, leading people who had lost their jobs, were in bankruptcy or were living on Social Security to qualify for loans that they could never afford”?
Let’s face it: The regulatory changes in Dodd-Frank haven’t done a damn thing to protect the victims of these dodgy subprime schemes. Borrowers and investors are both getting gouged by a system that only protects the interests of the perpetrators. The sad fact is that nothing has changed. The system is just as corrupt as it was when Lehman went down.
So, how long can this go on before the market implodes?
According to the Times:
“financial firms are beginning to see signs of strain. In the first three months of this year, banks had to write off as entirely uncollectable an average of $8,541 of each delinquent auto loan, up about 15 percent from a year earlier, according to Experian…
In another sign of trouble ahead, repossessions, while still relatively low, increased nearly 78 percent to an estimated 388,000 cars in the first three months of the year from the same period a year earlier, according to the latest data provided by Experian. The number of borrowers who are more than 60 days late on their car payments also jumped in 22 states during that period….” (NYT)
(According to Amber Nelson at loan.com: “In the second quarter, the value of all auto loans late by 60 days or more was more than $4 billion, up 27 percent from the prior year, according to Experian.”)
So, yeah, the trouble is mounting, but that doesn’t mean that this madness won’t continue for some time to come. It probably will. It’ll probably drag-on until the economy turns south and more borrowers start falling behind on their payments. That will lead to more defaults, heavier losses on auto bonds, and a hasty race to the exits by investors. Isn’t that how the subprime mortgage scam played out?
Indeed. But at least there are signs of hope on the regulatory front. Check out this clip from an article at CNBC:
“In August, both Santander Consumer and General Motors Financial Co. acknowledged receiving Justice Department subpoenas in connection with a probe over possible violations of civil-fraud laws. And the Consumer Financial Protection Bureau and the Securities and Exchange Commission have both stepped up their scrutiny of the auto-loan market.” (“New debt crisis fear: Subprime auto loans“, CNBC)
So the SEC, the DOJ, and the CFPB are actually investigating the underwriting practices of these behemoth finance companies to see if they violated “civil fraud laws”?
Will wonders never cease?
Just don’t hold your breath waiting for convictions.
It was several decades ago when I began to understand that there were powerful forces loose in the world bent on destroying the United States of America. It happened when our markets were thrown open to foreign goods and our domestic industry was forced into a contrived world market.
I was working for a company that provided fabricated steel products to American manufacturers. When our markets were opened the U. S. companies that supplied our raw material began to shut down their operations being unable to compete with foreign manufactures. It was at this point that I began to wonder why powerful forces in our nation would intentionally harm their fellow citizens.
The process of using unreasonable competition to export manufacturing and technical knowhow has continued. Knowledgeable writers and film makers have written and produced many films and articles documenting the results of this malignant intent. During the 1930s a popular radio show called “The Shadow”, involved an invisible person that could enter the room, hear all that was being said but never be seen. Our nation is being controlled by a Shadow Government.
In reviewing Tom Engelhardt’s new book “Shadow Government” Philip Giraldi writes “Shadow government operates invisibly and is accountable to no one —,.” From his review it appears that Engelhardt has confirmed the existence of a shadow government and enumerated many of it policies and machinations but failed to identify it. Read the review here. http://www.unz.com/article/
When lists of the wealthiest families in the world are compiled the name of Rothschild is always missing. The Rothschild wealth is shadow wealth. Their dominant presence in world financial circles is usually hidden.
Recently, I ran across an article by Lew Rockwell www.lewrockwell.com about an attack on his Website by the Neocons. If the Neocons have the power Rockwell describes (I believe they do.) they are surely a major force in the Shadow government of the United States of America. The article is entitled “The Neocons Hate Our Guts”
It begins with these words::
“The most despicable group of political gangsters in America want to destroy this site, and everything it stands for. Who are they? The neoconservatives.”
“Originating in Trotskyism, through their cells in New York City in the 1930s, this bunch now controls much of the American right, on which they have fastened their ideology of constant war, the police state, the welfare state, militarism, and Soviet-like thought control. The Trots sought, and seek, world power for themselves, through bloody world revolution. Trotsky even sought to have the state determine who could marry and who could have children, long before Hitler, to create a new, subservient man.”
“If you read their own books, they are open about their devotion to the “noble lie,” an idea they got from Plato. It is a virtue, they claim, to lie to the people, so that the right characters stay in power, under the guidance of the right advisors.” Read here http://lewrockwell.com/
There are serious problems in the United States of America. Some of these problems are a result of the efforts of these same neoconservatives Rockwell deplores. They are wealthy, powerful and ruthless and, as Rockwell laments, not unwilling to attach the weak and relatedly defenseless. They control the mass media allowing them to squelch any public discussion of their policies. Under their skirts hide the largest portion of so called American Christians who vapidly support an arch enemy of the God they pretend to worship.. Those that challenge their policies are threatened and, if possible, destroyed.
Voltaire is credited with this quote: “To learn who rules over you simply find out who you are not allowed to criticize.” If Voltaire was correct we had better wake up because the American people have lost control of their nation which is now being ruled by the neoconservatives.
Being disciples of Plato, Machiavelli, and Strauss; Neocons manipulate the nation with lies, half lies, and distortions. Their agenda for America is moral degradation, racial strife, suffocating multi-culturalism, open borders, stifling debt, pandemic mendacity, constant self-serving war, and ultimate destruction.
Their strategy is to use the United States of America to conquer the world with them as the “philosopher kings”. As we fight their war we accumulate debt to their kin who control the monetary system. Rockwell nails their agenda: “constant war, the police state, the welfare state, militarism, and Soviet-like thought control”.
The U. S. media is a source of constant propaganda, outright distortion, serious omissions, lies and detrimental manipulation; it serves a neocon agenda, at the expense of our citizens.
It is their lucre that motivates Presidential candidates and their media that controls them. True reformers like candidate Ron Paul are not allowed to gain traction. Elections are a sham.
Neocon promotion of immigration has destroyed our culture and open borders are jeopardizing national sovereignty.
We are on life support! Our manufacturing base has been perforated, our integrity is gone, our people are mostly ignorant, and our government is controlled by aliens. The neocon infusion of money will keep us afloat for as long as we are needed but what then?
At the founding of our nation we heard a lot about natural law. Natural law is a humanistic substitute for the Law God gave us in His Word. When we forsook Biblical Law we also forsook natural law. Homosexuality and homosexual marriage defy the created order while. centralization and multiculturalism destroy God-given diversity.
The legal system is in shambles. The courts fail to provide justice and the jails overflow with people that should never have been arrested. We lead the world in jailing our own citizens.
In a 1575 sermon entitled “Armed for the Fight Against Grave and Serious Error” John Calvin said, “—when a sin is deepening and spreading because of silent acquiescence in it, we must deal with it. If we only respond when the illness is deep-rooted we will be too late. — Anything that might hold us back must be cast aside, even if it involves family or friends, or those joined by the closes possible ties in this world. All such thing must be disregarded if souls purchased by the blood of the Lord Jesus Christ are being led astray to be ruined and lost forever, and if things that were once well established are being overturned. Other- wise, we will have a state of total confusion, to the extent that no one will know that the Gospel came from Jesus Christ.”
In 1575 Calvin spoke from the power of the Reformation backdrop. He understood the need to protect and defend the true Gospel. We have long since passed the “too late” point. Christianity has had open borders for too long. Error is pandemic making Calvin’s call for effective, prompt confrontation impossible. We are living in utter confusion where millions of Christians have forsaken the power of the Gospel and are lost forever. The dark clouds of despotism have already covered the United States of America and serious judgment seems imminent.
Notable dissident Adam Kokesh recently wrote: As long as we remain as pack animals, we will be restrained by those who would exploit us. As long as we willingly accept the subversion of our own potential, we will remain in such a childlike state of immaturity, uncertainty, and subservience. This is about how you think, how you act, how you treat other people, what you eat, what you buy, who you associate with, and how you appreciate the unique gift that is your own will. The message of freedom demands better people. Step up.
Kokesh does not set a specific criterion for “better people”. His admonition is on target – America will not change until its people change. Groups of humans may agree on principles of right and wrong but their agreement is based on the opinions of men and the opinions of men can be permanently changed by another more powerful man. Human concepts of right and wrong always lead to tyranny.
There is only one viable source of right and wrong – the Word of God. Human sources of right and wrong are mutable; Biblical right and wrong is immutable.
It was their distant relative, Moses, who received the Law from the Creator – Neocons need the perfect Law along with the rest of God’s creation. Disobedience got us into this mess and obedience is the only way out.
We exist at the pleasure of those who hold our debt. When we are no longer useful the nation will self-destruct.
Time will tell…
With the Abu Baker al-Siddiq Brigade, Zintan, Libya…
A second interview by this observer with Seif al Islam Gadhafi, formerly the heir apparent to his father Moammar, was sought and finally arranged as a follow up to an earlier one focusing of my interest in the Imam Musa Sadr case. That case involves a great crime against a great man and conciliator and his historic cause, and exposes those who betrayed him in Lebanon and two other countries while swearing their personal devotion and shedding crocodile tears over the past 36 years. That research is nearing completion and publication awaits DNA results from body samples more credible than the ones offered by the Bosnia laboratory two years ago and immediately demonstrated to be fraudulent. The story of why that particular lab was chosen and by who goes to the essence of the current stonewalling campaign with respect to informing the public about what exactly happened to Imam Sadr and his partners on 8/3l/1978 in Tripoli, Libya. It also identifies who instructed Gadhafi to kill them over the strong objections from the PLO’s Yassir Arafat who spoke with Gadhafi and tried to save the trio of Lebanese Shia.
But our discussion soon turned to other subject as Seif’s jailers may have taken seriously my joke that if they extended the original 20 minutes I was granted to two hours, I would deliver to them 10 US Visas and they could fill in any names the might choose. Truth told, of course I could not even get myself a passport renewal as former US Ambassador Jeffrey Feltman reportedly sneered at a US Embassy Christmas party a few years back, “Lamb will serve ten years hard time in the Feds for hobnobbing with terrorists (Hezbollah in those days…who knows today?) when we get him back home.” I admit that Jeff and I both have a problem with Hezbollah. His is because Hezbollah just may liberate Palestine and mine is that Hezbollah needs to do more in Lebanon and use 90 minutes of Parliament’s time, where it has the power, to grant Palestinian refugees in Lebanon the right to work and to own a home.
Meanwhile, Da’ish (IS) is metastasizing fast in Libya through its main affiliate al Fajr Libya (Libya Dawn) and plans to add Tripoli, to its Islamic Caliphate along with Baghdad, Damascus, Amman and Beirut during the coming months and if necessary, years. This, according to Seif al Islam and representatives of the Zintan brigades based southwest of Tripoli as well as two representatives of other tribes and militia moving toward supporting the still vital Gadhafi regime remnants.
Libya may be the lowest hanging ripe fruit within easy reach of Da’ish (IS) and its growing number of affiliates, according to US Ambassador Deborah Jones during a recent visit to the US Embassy in Malta, to discuss her own problems in Libya which include the 8/31/14 take-over by al Fajr Libya (FL) of the US embassy compound barely a month after it was evacuated and moved to Tunisia for the second time since February of 2011. Secretary of State John Kerry reassured the media in Washington recently that “the embassy was not really closed, but had moved out of Libya”. One Religion Professor at Tripoli University joked last week that “Kerry is correct, the US embassy is here but it’s in a state of occultation. We can’t see it but it’s around and watches us.” A Libyan photographer who was at the embassy compound when Al Fajr Libya (FL) arrived reported that the Da’ish (IS) affiliate had moved into buildings inside the embassy complex claiming that they would ‘protect it’ as they carted off boxes of documents for ‘safe keeping.’ FL is described by a former Dean at Tripoli U. as between al Nusra and Da’ish (IS) with a fragile partnership between the two and presenting to the public “A Good cop-Bad cop tag-team with differences to be worked out once all the infidels are vanquished.
Libya, as with the Arab Maghreb, is on the cusp of a new wave of Islamist groups, and is moving beyond al-Qaeda of Bin Laden, Zawahiri, and Abdelmalek Droukdel, to Baghdadi’s ISIS and its widely perceived logical offshoot ISIM being planted in North Africa and the Sahel. The threat of the Da’ish (Islamic State is already deeply anchored and expanding in the now lawless Libya, according to UN envoy Bernardino León. Several Libyan organizations recently announced their loyalty to IS leader Abu Bakr Al-Baghdadi. This has confirmed a speculation that IS has penetrated Libyan public institutions. The Ansar al-Sharia group, affiliated with ISIS, has declared authority during the last several days over the coastal city of Darna which is located strategically between Benghazi and the Egyptian border – just 289 km (179 miles) and 333 km (206 miles), respectively.
Countless militia are forming, merging, changing names and lying low as perceived interests dictate. Soldiers of the Caliphate in Algeria was retitled, revitalized and repackaged to enhance its appeal on social media as has the Furqan Brigade of the AQIM in Tunisia. Ansar Al-Sharia is another one becoming very active.The Uqba bin Nafi Brigade, has just declared allegiance to ISIS as has the Islamic Caliphate in the Islamic Maghreb. al-Ummah Brigade, which operates out of Libyan coasts and airports, another is Al-Battar is attracting pro-ISIS elements. Majlis Shura Shabab al-Islam (the Islamic Youth Shura Council), or MSSI. According to Libyan sources and journalist Adam al-Sabiri, writing in Al Akbar, Abu Bakr al-Baghdadi asked these elements to deploy to the Libyan front to counter the attacks by the Libyan army led by Khalifa Haftar as part of Operation Dignity seeking to “purge Libya of terrorists.”
Libyan friends, some from three years ago, advise that more people have been killed in the past three years than during the 2011 revolution and they now fear a Somalia-like “failed state” given all the weapons, lawlessness, and growing number of Islamists. The South of Libya has not been spared the lawlessness, as tribal battles continue for control of a lucrative smuggling trade. Friends point out that the country no longer even bothers to celebrate the National Holiday commemorating the 10/23/2011 “total liberation of Libya.” “It’s a cruel joke” my friend Hinde advised as she explains that many Libyans yearn for the stability of the Gadhafi days. “Maybe wanting to turn the clock back is the same in Iraq and Egypt and Syria?” she wondered.
“The rampant regional, ideological and tribal conflicts are worse than the rule of the dictator,” said Salah Mahmud al-Akuri, a doctor in Benghazi. “Some Libyans are looking back to the old regime.”
Amidst all the chaos, Libyan Prime Minister Abdullah Al-Thinni claimed last week that groups loyal to the IS, such as al Fajr Libya, are presently in control of the city of Derna and other Libyan towns and have begun summoning townspeople to public squares to witness declarations of fealty to Da’ish (IS), even beginning their signature public executions. Libya’s “government” claims that its “army” is preparing to expel Fajr Libya (FL) and retake the capital, as more militia rush to join FL. Prime Minister Abdullah al-Thani’s said in a statement this week that he gave orders to the government forces to “advance toward Tripoli to liberate it and to free it from the grip of al Fajr Libya”. The Libyan embassy in Washington told a House Foreign Affairs committee staffer that they expect that residents in Tripoli will launch “a civil disobedience campaign until the arrival of the army.” Walking around the former “Green Square” this observer saw no signs of this rather he observed citizens stocking up on necessities or packing their cars. Later, Thani added, military forces in the strife-torn country “have absolutely united to also recapture Libya’s second city Benghazi from the local IS affiliate, al Fajr Liyba (FL). Leading one to wonder whether the Libyan “army” will fare better than Maliki’s did in Mosul and Anbar.
According to students and staff at Tripoli University, (known as Fatah University during the Gadhafi decades) a few of whom this observer first met in the summer of 2011, and who lived the political events in their country since while some of their friends and relatives, as in Iraq, Syria and Lebanon, are preparing to leave and start a new life somewhere. Hasan, a Gadhafi supporter I was with nearly daily three years ago in Tripoli still curses what, “NATO did this to our country. The Gadhafi regime was changing as you know Franklin, but the reformers were prevented from making the changes that Seif al Islam and his associates got their father to agree to. Remember when Saif said “My father wants to live in a tent where he is most happy and write a history of the Jamahiriya (land of the masses). He will offer advice but have just a ceremonial role out of politics? You remember that? We believed Seif didn’t we?. Anyhow, khalas!, Libya is finished! NATO gave it to Da’ish just as they gave Afghanistan, Iraq and Syria to Iran.”
Libya is now moving beyond al-Qaeda of Bin Laden, Zawahiri, and Abdelmalek Droukdel, to Baghdadi’s ISIS and its widely perceived logical offshoot Islamic State in the Islamic Maghreb (ISIM-Damis) now expanding in North Africa and the Sahel. Former rebels who fought against Gadhafi have formed powerful militias and seized control of large parts of Libya in the past three years. Back in mid-august of 2011, the late American journalist Marie Colvin and I stood on the balcony of the Corinthia Hotel opposites the still empty Marriott where some kid was practicing sniping from the roof, at my expense, as I pointed out to Marie a body floating just off the beach of the Mediterranean across the road. We walked over and examined it and decided while it was dressed in religious garb the man may have been an army deserter; there were increasing numbers in those days, because of his military style boots. We alerted some militia guys driving along the corniche who said they would report the body and before long an ambulance did arrive. Two of the militia waded out waist deep and pulled in the bloated body to shore, unlaced his tan leather boots while holding their noses from the stench. They then threw the new boots in the back of their pick-up and drove off with no more than a smiling ‘shukran habibis’ (thanks dears). Later that day Marie and I counted a column of 143 pickups with AK-47 jubilant fist waving rebels entering along the coastal road toward downtown Tripoli having come from battles in the east around Misrata. In the next few days we discussed how there seemed to be countless ‘free-cigarettes, $200 on the first of each month and your personal Kalasnikov’ militia popping up like mushrooms after a summer rain. Three years ago one of their battle cries was “Death to Gadafi—Yes to Freedom!” Today one hears around Tripoli another slogan from the lips of young men many of whom may be the same, chanting, “Death to the kafirs (disbelievers,” or infidels) Yes to Islam!Abas (that’s all!”
Seif el Islam still resides at his cell in Zintan which, even though jail is jail, has been upgraded from when he was captured in the Sahara making his way toward Niger and his finger was cut off as a warning.
Seif, has proposed talks and is ready to participate in bringing together Libya’s warring parties and aiding the transition to what he claims he was working on before the February 17, 2011 uprising in Benzhazi which quickly spread. Seif’s team would likely include his father’s cousin and confident Ahmed Gaddaf al-Dam, former Deputy Foreign Minister Khaled Kane, long-time Libyan diplomat, the widely respected Omar el Hamdi now is Cairo, and Seif’s sister Aisha, now living with his mother and children in the Gulf.
Seif has no illusions of returning Libya to the past, but argues that elements of the former regime deserved to be heard. “We were in the process of making broad reforms and my father gave me the responsibly to see them through. Unfortunately the revolt happened and both sides made mistakes that are now allowing extreme Islamist group like Da’ish to pick up the pieces and turn Libya into an extreme fundamentalist entity in their regional plans.”
With respect to Seifs trials, whether ins the Tripoli courthouse or at the International Criminal Court in the Hague, the odds of either happening anytime soon, ior at all, are fading as negotiations for an arrangement are reportedly progressing.
A solution is being sought, according to sources at the Justice Ministry in Tripoli because there are many problems with Seifs case which was supposed to begin earlier this year, and the case has been criticized by a number of international actors. Not least for which how Libya and the ICC have handled their cases. For example, Human Rights Watch has accused the Libyan government of failing to provide adequate legal representation and the ICC it has been unable to compel the Libyan government to allow it access — just one of many challenges to the ICC’s legitimacy in recent years. Meanwhile it is likely that Seif’s jailers, who increasing respects and admires him, may have other ideas that would enhance their own standing in Libya. In addition, certain NATO countries are said to be privately discussing with Washington, Paris London and Bonn the idea of finding a role for Seif and certain of his associates and family members in “the new Libya.”
According to Seif, and former regime officials, several NATO countries have sent messages claiming they did not intend for his father to be killed but were searching during the summer of 2011 for a refuge for his father in Africa. Seif does not believe them.
Seif al Islam still has substantial influence among tribes still loyal to Gaddafi as well as former regime officials in the army and government. The delegation Seif could assemble, including Ahmad Gadaff al-Dam, would benefit from the latter’s still strong connections with Arab governments, Morocco, Egypt, Algeria, Saudi Arabia and the UAE as well as some European countries.
More on this and other subjects related to Seif and the growing international recognition over the need for expulsion of Islamists from Libya, and a possible significant role for Seif, are expected to be discussed publicly soon.
Here we go again.
Last week, the country’s biggest mortgage lenders scored a couple of key victories that will allow them to ease lending standards, crank out more toxic assets, and inflate another housing bubble. Here’s what’s going on.
On Monday, the head of the Federal Housing Finance Agency (FHFA), Mel Watt, announced that Fannie and Freddie would slash the minimum down-payment requirement on mortgages from 5 percent to 3 percent while making loans more available to people with spotty credit. If this all sounds hauntingly familiar, it should. It was less than 7 years ago that shoddy lending practices blew up the financial system precipitating the deepest slump since the Great Depression. Now Watt wants to repeat that catastrophe by pumping up another credit bubble. Here’s the story from the Washington Post:
“When it comes to taking out a mortgage, two factors can stand in the way: the price of the mortgage,…and the borrower’s credit profile.”
On Monday, the head of the agency that oversees the mortgage giants Fannie Mae and Freddie Mac outlined … how he plans to make it easier for borrowers on both fronts. Mel Watt, director of the Federal Housing Finance Agency, did not give exact timing on the initiatives. But most of them are designed to encourage the industry to extend mortgages to a broader swath of borrowers.
Here’s what Watt said about his plans in a speech at the Mortgage Bankers Association annual convention in Las Vegas:
Saving enough money for a downpayment is often cited as the toughest hurdle for first-time buyers in particular. Watt said that Fannie and Freddie are working to develop “sensible and responsible” guidelines that will allow them to buy mortgages with down payments as low as 3 percent, instead of the 5 percent minimum that both institutions currently require.”
Does Watt really want to “encourage the industry to extend mortgages to a broader swath of borrowers” or is this just another scam to enrich bankers at the expense of the public? It might be worth noting at this point that Watt’s political history casts doubt on his real objectives. According to Open Secrets, among the Top 20 contributors to Watt’s 2009-2010 campaign were Goldman Sachs, Bank of America, Citigroup Inc., Bank of New York Mellon, American bankers Association, US Bancorp, and The National Association of Realtors. (“Top 20 Contributors, 2009-2010“, Open Secrets)
Man oh man, this guy’s got all of Wall Street rooting for him. Why is that, I wonder? Is it because he’s faithfully executing his office and defending the public’s interests or is it because he’s a reliable stooge who brings home the bacon for fatcat bankers and their brood?
This is such a farce, isn’t it? I mean, c’mon, do you really think that the big banks make political contributions out of the kindness of their heart or because they want something in return? And do you really think that a guy who is supported by Goldman Sachs has your “best interests” in mind? Don’t make me laugh.
The reason that Obama picked Watt was because he knew he could be trusted to do whatever Wall Street wanted, and that’s precisely what he’s doing. Smaller down payments and looser underwriting are just the beginning; teaser rates, balloon payments, and liars loans are bound to follow. In fact, there’s a funny story about credit scores in the Washington Post that explains what’s really going on behind the scenes. See if you can figure it out:
“Most housing advocates agree that a bigger bang for the buck would come from having lenders lower the unusually high credit scores that they’re now demanding from borrowers.
After the housing market tanked, Fannie and Freddie forced the industry to buy back billions of dollars in loans. In a bid to protect themselves from further financial penalties, lenders reacted by imposing credit scores that exceed what Fannie and Freddie require. Housing experts say the push to hold lenders accountable for loose lending practices of the past steered the industry toward the highest-quality borrowers, undermining the mission of Fannie and Freddie to serve the broader population, including low- to moderate- income borrowers.
Today, the average credit score on a loan backed by Fannie and Freddie is close to 745, versus about 710 in the early 2000s, according to Moody’s Analytics. And lenders say they won’t ease up until the government clarifies rules that dictate when Fannie and Freddie can take action against them.” (Washington Post)
Can you see what’s going on? The banks have been requiring higher credit scores than Fannie or Freddie.
But why? After all, the banks are in the lending business, so the more loans they issue the more money they make, right?
Right. But the banks don’t care about the short-term dough. They’d rather withhold credit and slow the economy in order to blackmail the government into doing what they want.
And what do they want?
They want looser regulations and they want to know that Fannie and Freddie aren’t going to demand their money back (“put backs”) when they sell them crappy mortgages that won’t get repaid. You see, the banks figure that once they’ve off-loaded a loan to Fannie and Freddie, their job is done. So, if the mortgage blows up two months later, they don’t think they should have to pay for it. They want the taxpayer to pay for it. That’s what they’ve been whining about for the last 5 years. And that’s what Watt is trying to fix for them. Here’s the story from Dave Dayen:
“Watt signaled to mortgage bankers that they can loosen their underwriting standards, and that Fannie and Freddie will purchase the loans anyway, without much recourse if they turn sour. The lending industry welcomed the announcement as a way to ease uncertainty and boost home purchases, a key indicator for the economy. But it’s actually a surrender to the incorrect idea that expanding risky lending can create economic growth.
Watt’s remarks come amid a concerted effort by the mortgage industry to roll back regulations meant to prevent the type of housing market that nearly obliterated the economy in 2008. Bankers have complained to the media that the oppressive hand of government prevents them from lending to anyone with less-than-perfect credit. Average borrower credit scores are historically high, and lenders make even eligible borrowers jump through enough hoops to garner publicity. Why, even Ben Bernanke can’t get a refinance done! (Actually, he could, and fairly easily, but the anecdote serves the industry’s argument.)
(“The Mortgage Industry Is Strangling the Housing Market and Blaming the Government“, Dave Dayen, The New Republic)
Can you see what a fraud this is? 6 years have passed since Lehman crashed and the scum-sucking bankers are still fighting tooth-and-nail to unwind the meager provisions that have been put in place to avoid another system-shattering disaster. It’s crazy. These guys should all be in Gitmo pounding rocks and instead they’re setting the regulatory agenda. Explain that to me? And this whole thing about blackmailing the government because they don’t want to be held responsible for the bad mortgages they sold to the GSE’s is particularly irritating. Here’s more from Dave Dayen:
“After the housing market tanked, Fannie and Freddie forced the industry to buy back billions of dollars in loans. In a bid to protect themselves from further financial penalties, lenders reacted by imposing credit scores that exceed what Fannie and Freddie require. ….And lenders say they won’t ease up until the government clarifies rules that dictate when Fannie and Freddie can take action against them.”
So the industry has engaged in an insidious tactic: tightening lending well beyond required standards, and then claiming the GSEs make it impossible for them to do business. For example, Fannie and Freddie require a minimum 680 credit score to purchase most loans, but lenders are setting their targets at 740. They are rejecting eligible borrowers….so they can profit much more from a regulation-free zone down the line.
So, I ask you, dear reader; is that blackmail or is it blackmail?
And what does Watt mean when he talks about “developing sensible and responsible guidelines’ that will allow them (borrowers) to buy mortgages with down payments as low as 3 percent”?
What a joke. Using traditional underwriting standards, (the likes of which had been used for the entire post-war period until we handed the system over to the banks) a lender would require a 10 or 20 percent down, decent credit scores, and a job. The only reason Watt wants to wave those requirements is so the banks can fire-up the old credit engine and dump more crap-ass mortgages on Uncle Sam. That’s the whole thing in a nutshell. It’s infuriating!
Let me fill you in on a little secret: Down payments matter! In fact, people who put more down on a home (who have “more skin in the game”) are much less likely to default. According to David Battany, executive vice president of PennyMac, “there is a strong correlation between down payments to mortgage default. The risk of default almost doubles with every 1%.”
Economist Dean Baker says the same thing in a recent blog post:
“The delinquency rate, which closely follows the default rate, is several times higher for people who put 5 percent or less down on a house than for people who put 20 percent or more down.
Contrary to what some folks seem to believe, getting moderate income people into a home that they subsequently lose to foreclosure or a distressed sale is not an effective way for them to build wealth, even if it does help build the wealth of the banks.”
(“Low Down Payment Mortgages Have Much Higher Default Rates“, Dean Baker, CEPR)
Now take a look at this chart from Dr. Housing Bubble which helps to illustrate the dangers of low down payments in terms of increased delinquencies:
Data on mortgage delinquencies by downpayment. Source: Felix Salmon
“When the mortgage industry starts complaining about the 14 million people who would be denied the chance to buy a qualified mortgage if they don’t have a 5% downpayment, it’s worth remembering that qualified mortgages for people who don’t have a 5% downpayment have a delinquency rate of 16% over the course of the whole housing cycle.” (“Why a sizable down payment is important“, Dr. Housing Bubble)
So despite what Watt thinks, higher down payments mean fewer defaults, fewer foreclosures, fewer shocks to the market, and greater financial stability.
And here’s something else that Watt should mull over: The housing market isn’t broken and doesn’t need to be fixed. It’s doing just fine, thank you very much. First of all, sales and prices are already above their historic trend. Check it out from economist Dean Baker:
“If we compare total sales (new and existing homes) with sales in the pre-bubble years 1993-1995, they would actually be somewhat higher today, even after adjusting for population growth. While there may be an issue of many people being unable to qualify for mortgages because of their credit history, this does not appear to be having a negative effect on the state of market. Prices are already about 20 percent above their trend levels.” (“Total Home Sales Are At or Above Trend“, Dean Baker, CEPR)
Got it? Sales and prices are ALREADY where they should be, so there’s no need to lower down payments and ease credit to start another orgy of speculation. We don’t need that.
Second, the quality of today’s mortgages ARE BETTER THAN EVER, so why mess with success? Take a look at this from Black Knight Financial Services and you’ll see what I mean:
“Today, the Data and Analytics division of Black Knight Financial Services … released its November Mortgage Monitor Report, which found that loans originated in 2013 are proving to be the best-performing mortgages on record…..
“Looking at the most current mortgage origination data, several points become clear,” said Herb Blecher, senior vice president of Black Knight Financial Services’ Data & Analytics division. “First is that heightened credit standards have resulted in this year being the best-performing vintage on record. Even adjusting for some of these changes, such as credit scores and loan-to-values, we are seeing total delinquencies for 2013 loans at extremely low levels across every product category.”
Okay, so sales and prices are fine and mortgage quality is excellent. So why not leave the bloody system alone? As the saying goes: If it ain’t broke, don’t fix it.
But you know why they’re going to keep tinkering with the housing market. Everyone knows why. It’s because the banks can’t inflate another big-honking credit bubble unless they churn out zillions of shi**y mortgages that they offload onto Fannie and Freddie. That’s just the name of the game: Grind out the product (mortgages), pack it into sausages (securities and bonds), leverage up to your eyeballs (borrow as much as humanly possible), and dump the junk-paper on yield-chasing baboons who think they’re buying triple A “risk free” bonds.
Garbage in, garbage out. Isn’t this how the banks make their money?
You bet it is, and in that regard things have gotten a helluva a lot scarier since last Wednesday’s announcement that the banks are NOT going to be required to hold any capital against the securities they create from bundles of mortgages.
You read that right. According to the New York Times: “there will be no risk retention to speak of, at least on residential mortgage loans that are securitized.”
But how can that be, after all, it wasn’t subprime mortgages that blew up the financial system (subprime mortgages only totaled $1.5 at their peak), but the nearly $10 trillion in subprime infected mortgage-backed securities (MBS) that stopped trading in the secondary market after a French Bank stopped taking redemptions in July 2007. (a full year before the crisis brought down Lehman Brothers) . That’s what brought the whole rattling financial system to a grinding halt. Clearly, if the banks had had a stake in those shabby MBS— that is, if they were required to set aside 5 or 10 percent capital as insurance in the event that some of these toxic assets went south– then the whole financial collapse could have been avoided, right?
Right. It could have been avoided. But the banks don’t want to hold any capital against their stockpile of rancid assets, in fact, they don’t want to use their own freaking money at all, which is why 90 percent of all mortgages are financed by Uncle Sugar. It’s because the banks are just as broke as they were in 2008 when the system went off the cliff. Here’s a summary from the New York Times:
“Once upon a time, those who made loans would profit only if the loan were paid back. If the borrower defaulted, the lender would suffer.
That idea must have seemed quaint in 2005, as the mortgage lending boom reached a peak on the back of mushrooming private securitizations of mortgages, which were intended to transfer the risk away from those who made the loans to investors with no real knowledge of what was going on.
Less well remembered is that there was a raft of real estate securitizations once before, in the 1920s. The securities were not as complicated, but they had the same goal — making it possible for lenders to profit without risking capital.
The Dodd-Frank Act of 2010 set out to clean that up. Now, there would be “risk retention.” Lenders would have to have “skin in the game.” Not 100 percent of the risk, as in the old days when banks made mortgage loans and retained them until they were paid back, but enough to make the banks care whether the loans were repaid.
At least that was the idea. The details were left to regulators, and it took more than four years for them to settle on the details, which they did this week.
The result is that there will be no risk retention to speak of, at least on residential mortgage loans that are securitized.
“…..Under Dodd-Frank, the general rule was to be that if a lender wanted to securitize mortgages, that lender had to keep at least 5 percent of the risk…….But when the final rule was adopted this week, that idea was dropped.” (“Banks Again Avoid Having Any Skin in the Game”, New York Times)
No skin in the game, you say?
That means the taxpayer is accepting 100 percent of the risk. How fair is that?
Let’s review: The banks used to lend money to creditworthy borrowers and keep the loans on their books.
They don’t do that anymore, in fact, they’re not really banks at all, they’re just intermediaries who sell their loans to the USG or investors.
This arrangement has changed the incentives structure. Now the goal is quantity not quality. “How many loans can I churn-out and dump on Uncle Sam or mutual funds etc.” That’s how bankers think now. That’s the objective.
Regulations are bad because regulations stipulate that loans must be of a certain quality, which reduces the volume of loans and shrinks profits. (Can’t have that!) Therefore, the banks must use their money to hand-pick their own regulators (“You’re doin’ a heckuva job, Mel”) and ferociously lobby against any rules that limit their ability to issue credit to anyone who can fog a mirror. Now you understand how modern-day banking works.
It would be hard to imagine a more corrupt system.
Conspiracy theorists, those who look for the facts, ignoring the pressure of jeers, flawed appeals to authority, and intimidation, are the sanest among us. The steady migration of investigative journalists, who turn their backs on more lucrative employment, is only one indication of this.
In a recent article, Scientific Study Reveals Conspiracy Theorists The Most Sane Of All, the author, J. D. Hayes, cites a recent study, published July 2013, by psychologists Michael J. Wood and Karen M. Douglas of the University of Kent in the UK. It was entitled “‘What about Building 7?’ A Social Psychological Study of Online Discussion of 9/11 Conspiracy Theories.”
Their conclusion is that, contrary to those mainstream media stereotypes, “conspiracy theorists” appear to be more sane than people who accept official versions of controversial and contested events.
Attempts to demonize our perception on conspiracy theorists erects barriers to protect those whose profits are endangered by the truth.
These techniques for manufacturing opinion were outlined by Edward Bernays, whose book, “Propaganda,” asserts those who rule should use the trust accorded them in exactly this way.
Interestingly, Leo Strauss, whose political philosophy is in alignment with Bernays, asserted the same opinion. Strauss’ work was largely adopted by those who call themselves NeoConservatives who are anything but Conservative.
The opinion shared was that those in power are justified to lie, cheat and steal to keep and increase their power. The Kochs use these techniques in business and politically.
The use of the term, “Conspiracy Theory” increased rapidly in the wake of the JFK assassination due to its pejorative use in the MSM. This worked to stifle questions already being raised.
The issue which underlies the article by William Saletan, Conspiracy Theorists Aren’t Really Skeptics attempts to validate intellectual bullying, a logical extension of the philosophies of Bernays and Strauss. You don’t get more MSM than the Washington Post.
In the original formulation of American society those in positions of authority were morally and ethically obligated to explain themselves. The facts were to be available to all. Journalists investigated and reported the truth, as they saw it. This changed.
Saletan raised the issue of human psychology but failed to mention a perplexing issue which has long troubled us. This is the presence of those without conscience. For most of the 20th Century therapists believed these individuals could change, the problem was psychological. Today we know this is a neurological issue.
Advances in neurobiology have brought objective understanding. Now, thousands of criminals have been identified as psychopaths using an fMRI. The scan identified malfunctions in areas of the amygdala, which is now known to be associated with conscience, empathy, and compassion.
According to Dr. Robert Hare, serial murderers and con-men are always psychopaths. But Hare has also noted many who are also psychopathic are not violent and well able to control their impulses to gain far more expansive goals.
These individuals are highly intelligent. At any time there are 20,000 psychopaths with I.Q.s over 180 at large in the United States.
It would be instructive to see test results from MRI scans done on Dick Cheney, Karl Rove, and their cadre.
The cost of psychopathy has been calculated at around 360 billion a year – in the US. This does not include the highly intelligent ones which, clearly cost far more, given the impact of Cheney and company on America. Could the people who so desperately wanted torture as a tool be emotionally normal?
Today, experts believe the explanation for the financial meltdown now ongoing can be explained by the concentration of psychopathic individuals in corporations, finance and government.
The characteristics of the condition include calloused unconcern for others. This accounts for the oil companies which routinely externalize their costs, leaving those harmed by the toxic waste they cause, to struggle and die.
Those without conscience, willing to lie for their own profit, have long been with us. But today they can avoid the troublesome issue of having their actions known and understood. They have learned to spin.
To ensure this continues they must continue manufacturing public opinion about their previous actions. This is why they began using the term, “Conspiracy Theory.” They work vigorously to ensure the facts remain hidden.
Refusing to accept the officially mandated opinion on any subject, be in the JFK assassination or whether or not to give your child pharmaceuticals as treatment for ADHD has been used to categorize individuals who refuse to accept predigested conclusions as crazy, stupid or paranoid. When this happens, rest assured, some corporation’s profits could be impacted.
This is a form of control intended to intimidate and inject fear. It also marginalizes vast numbers of people, keeping them in fear so they can be controlled.
To that end they, I call them Greedvilleins, also use our love of each other, country, loyalty, and trust, to manipulate us into wars which profit them and place us in perpetual debt.
If you limit what is acceptable to hold as opinions and deny people full access to the facts you destroy the trust basis of our society. Emotionally normal people are not comfortable when they cannot trust those around them.
These are rational responses to existing conditions.
What is insane is trusting psychopaths. Yet these are now common in finance and government. You can be sure they will routinely act with a sublime lack of conscience, for your freedom, your assets and your very life.
To cope with these conditions many still refuse to think about it, thus avoiding extreme anxiety. Others, for instance those who look for the facts, and are demeaned as “conspiracy theorists.”
The presence of highly intelligent psychopaths among us, who generally avoid being prosecuted, is one of these explanations.
Saladan’s article passes today as investigative journalism. It pays well and explains why so many truly honest journalists left to work in the alternative media.
When I started my radio talk show back in 1994–and for the next six years hosting the show–I was considered a hero by conservatives everywhere. Between my leadership position with the Moral Majority back in the 1980s and my radio talk show in the 1990s, I walked shoulder-to-shoulder with practically every notable conservative leader, including Christian leaders, one could think of. I traveled the country speaking with, and for, the most visible conservative leaders in America. I became friends with a host of U.S. congressmen and senators, not to mention several State governors. I even sat at the “king’s table” with President Ronald Reagan and Vice President George H.W. Bush. I was one of the “darlings” of conservatism. Just about anybody who was anybody was a guest on my show.
I only mention all of that so readers can understand my background–along with the “rest of the story” that brought me to where I am today.
Back in those days, I fell right in lock-step with the left-right paradigm: Republicans were good; Democrats were bad. And even if the Republican was downright bad, he wasn’t as bad as the Democrat. That doctrine was sacrosanct and unassailable. And I believed that malarkey as much as anyone.
I started smelling a rat in 1996 when the GOP anointed Bob Dole as the next “conservative” Republican who was going to lead us to the Promised Land. I knew Dole well enough: he was anything but a conservative. In fact, he joined the likes of Richard Nixon and now John Boehner who say that they have never read the Republican Party platform. Boehner has gone so far as to say that he doesn’t know anybody who has read it. He probably told the truth there. The vast majority of Republican leaders in Washington, D.C., have not read it, don’t care what it says, and give no heed to it. I knew in my heart that Bob Dole would be a horrible President, and that he would NOT give a hoot in hades about obeying the Constitution. Plus, I had developed a great respect for and friendship with Pat Buchanan, who was an ardent conservative constitutionalist. So, I was supporting Pat’s presidential candidacy.
There is so much I would love to tell you about the rest of that primary, but let me fast forward to the end of the season. Toward the end of that 1996 GOP primary season, the congressman that my radio talk show was largely responsible for helping get elected, Joe Scarborough, came to me and pleaded, saying, “Chuck, I’m the only Republican congressman to not have already endorsed Dole. I’ve held out for as long as I can. Pat can’t win the nomination. It’s over. Dole will be the candidate. We have to rally behind Dole in order to beat Bill Clinton. You have to help me.”
I caved. For the sake of “party unity” and “defeating Bill Clinton,” I totally capitulated. Remember the sacred doctrine: Republicans are always good guys, and Democrats are always bad guys. And if even if the Republican is a bad guy he is not as bad as the Democrat.
So, there I was, standing next to Senator Bob Dole and Congressman Joe Scarborough at a press conference at the General Aviation office at the Pensacola, Florida, regional airport publicly endorsing the Republican Bob Dole for President of the United States. Albeit, I was still wearing my Pat Buchanan lapel pin. My defiance wasn’t dead, only crippled.
As I walked to my car after the press conference, I felt sick. I mean, totally and thoroughly sick. I had betrayed my convictions and my conscience, and I knew it. I vowed then and there that I would never again support a candidate—any candidate, no matter what his or her party label–for any public office that I did not believe in my heart would at least be faithful to the essential principles of liberty upon which our country was built.
For the next four years I marched forward with my radio talk show extolling the principles of liberty as loudly as I knew how. Mind you, the bitter taste of my compromise stayed in my mouth. It never went away. Still hasn’t. In addition, the next four years afforded me great opportunity to awaken to a host of truths, including the truth that both major parties in Washington, D.C., were actually not all that different. I came to realize that what Pat Buchanan had said was really true: “There are not two political parties in Washington, D.C., just two wings of the same bird of prey.”
One of the highlights of that awakening came when I interviewed David Schippers, who was the lead counsel for the House Judiciary Committee in the Bill Clinton impeachment hearings. He told me that as he pleaded with Republican leaders in the Senate (Trent Lott, Ted Stevens, etc.) to look at the evidence that his legal team had gathered, one of the “good guy” Republican senators said, “David, we don’t care if you have a video tape of the President raping a woman, then standing up and shooting her dead, we are not going to vote to remove this President from office.”
Schippers, a lifelong Democrat, was absolutely stunned. You can imagine. Schippers was a tough, no-nonsense, right-is-right, law-and-order kind of guy. He was the guy who took on the Chicago mafia–and won. He was an honest Democrat who was willing to unveil the criminality of a corrupt Democrat. Now he was watching a group of Republican senators in Washington, D.C., make the mafia look like good guys.
Schippers wrote a book of the whole sordid ordeal called, “Sellout: The Inside Story of President Clinton’s Impeachment.” It was published by Regnery Publishing. If you’ve never read it, you should do so immediately. The real story will shock you. And you will discover that, no, the Republicans are NOT always good guys–or even the “lesser of two evils.”
Enter the 2000 presidential elections. By now, my eyes were much wider open than they had been four years ago. But when G.W. Bush first ran for President, he said all of the right things. He said he was pro-life, pro-Constitution, pro-liberty, pro-less government, pro-Bill of Rights, etc. So in 2000, I supported G.W.
I’m still doing my radio talk show (and by now I was writing this column); I’m still a conservative hero; I’m still basking in the “success” of being a conservative Republican “darling.”
But that’s when the fun started! It didn’t take very long to realize that G.W. Bush was as phony as a three dollar bill. He was no “conservative.” He was not pro-liberty, pro-Bill of Rights or anything of the kind. G.W. Bush was Bill Clinton on steroids! Bill Clinton tried to pass what became known as the USA Patriot Act, but couldn’t get it done. Bush passed it with ease. He signed the Military Commissions Act into law; he gave America an unconstitutional national police force known as the Department of Homeland Security. Bill Clinton never attempted and could never have accomplished such things. G.W. Bush introduced the “preemptive war” doctrine to America. He invaded nations that had absolutely NOTHING to do with 9/11. He signed a law authorizing U.S. federal agents–or even military troops–to seize American citizens on U.S. soil and incarcerate them indefinitely without a subpoena or court order of any kind, without habeas corpus, without legal counsel, or any other requirement of justice guaranteed in our Bill of Rights. In truth, everything that Barack Obama is using today to abuse the power of the presidency, he borrowed from G.W. Bush.
So, by 2002 and 2003, and with the bitter taste of Bob Dole still gagging me, I made a decision: I will no longer protect and support Republicans for the sake of “party unity” or for the sake of “he’s not as bad as the Democrat.” No! In truth, it dawned on me that many times Republicans were WORSE than Democrats. From now on I was going to be faithful to my convictions and to the truth as I understood it.
Many of these “pragmatic political scientists” view politics as nothing more than mathematical formulas, test tube experiments, and lab rats. They will support and endorse any formula, no matter how evil the immediate process might be, in order to obtain their supposed “greater good” objective. They recognize absolutely nothing moral or immoral as it relates to politics. It is just “science.” Nothing is right; nothing is wrong; it’s all about putting in the right formulas in order to obtain some lofty, utopian, long-term objective.
In theological terms, the above is called “moral relativism.” In philosophical terms, it is called, “the end justifies the means.” In military terms, it is called, “might makes right.” In business terms, it is called, “what’s good for General Motors is good for America.” And it’s all a bunch of horse manure!
Republican shills will accept practically any evil committed by Republicans under the rubric of the “lesser of two evils” mantra. Democrat apologists will do the same for their fellow Democrats. In truth, party loyalists from both the Republican and Democrat parties in Washington, D.C., are giving America the royal SHAFT.
Our first and greatest president, George Washington, tried to warn us about this danger in his masterful “Farewell Address.” Washington said that the “spirit of party” (meaning, the preoccupation with, and loyalty to, political parties) was our “worst enemy.” He said it was “sharpened by the spirit of revenge,” and that it “perpetuated the most horrid enormities.” He said that the “spirit of party” led to “a more formal and permanent despotism.” He said the leaders of political parties would be elevated “on the ruins of public liberty.” He said it is “the interest and duty of wise people to discourage and restrain it.”
Washington went on to say that the “spirit of party” “agitates the community with ill-founded jealousies and false alarms.” He said it “opens the door to foreign influence and corruption.” He said the “force of public opinion” must always “mitigate and assuage it.” Then, Washington ended this section of the address saying, “A fire not to be quenched, it demands a uniform vigilance to prevent its bursting into a flame, lest instead of warming it should consume.”
Every warning George Washington gave us concerning the “spirit of party” has come true in modern America. Party hacks place more loyalty to doing what is good for their party than doing what is good for their country. In many respects, their preoccupation with party partisanship has become their own worst enemy, just as Washington warned. These party shills constantly demonstrate the “spirit of revenge.” In the name of fighting FUTURE despotism, party hacks constantly surrender to an IMMEDIATE and “more formal and permanent despotism.” Party members are “elevated [elected] on the ruins of public liberty.” Party shills are constantly agitating “the community with ill-founded jealousies and false alarms [especially about how bad the other party’s candidate is].” Party shills stand back and say nothing when their party opens the door to “foreign influence and corruption.” Again, to them, party is more important than country.
The fascination with “political science” demonstrated by party hacks reveals a complete lack of moral conscience. Remember, to party hacks, nothing is right or wrong, only better or worse. Their mantra is, “Our party is better; their party is worse.” And virtually every moral and constitutional malfeasance committed by the favored party member is justified under this mantra.
Thus, Bill Clinton’s repeated perjuries could take the Office of The President of The United States to the brink of disgrace and ruin and, yet, he could still be thought a hero by Democrats. And G.W. Bush’s unconstitutional wars and assaults against the Bill of Rights could take the American people to the brink of totalitarian government and, yet, he could still be thought a hero by Republicans.
Needless to say, when I started telling the truth about G.W. Bush on my radio talk show (just as I had done when Clinton was in office), the “darling” luster quickly vanished. Suddenly, where I was once a hero, now I was a villain. Where I was once a man with great conviction and honor, now I was considered extremist–or even evil. But I was standing for the exact same principles and ideals I had always stood for. But because I was no longer loyal to the “spirit of party,” I became a political outcast. George Washington was exactly right!
As most readers know, I went on to run for President of the United States after Ron Paul was defeated in the Republican primaries in 2008. There was no way in hades I was going to pull another Bob Dole poison pill out of the GOP Big Pharma pill box and vote for the Neocon John McCain. So, when hundreds of Pat Buchanan/Ron Paul conservatives asked me to help keep the voice of constitutional government alive in the 2008 presidential campaign by seeking the presidential nomination of the Constitution Party, I did just that. And as far as I know, I am the only candidate for President that Ron Paul publicly endorsed since Ronald Reagan.
And, no, I didn’t vote for the Neocon Mitt Romney in 2012. And I won’t vote for any Neocon candidate in 2014. And should the GOP nominate another Neocon for President in 2016, I won’t vote for him either.
The liberties of the American people protected in the Bill of Rights are not test tube rats to be scientifically dissected and analyzed by party hacks, who love to call themselves political scientists. Our liberties and freedoms are not subject to the pragmatic “lesser evil” agendas of party shills–be they Democrats or Republicans.
We have been trading Democrats for Republicans and vice versa for as long as any of us can remember. And where has it gotten us? I realize that compromise is necessary in many aspects of politics–but NOT when it comes to the fundamental tenets of the Bill of Rights and Declaration of Independence. Compromise of those fundamental tenets is not compromise at all; it is appeasement and the worst kind of surrender. And to support those who commit such crimes in the name of party partisanship is the worst kind of patriotism.
Here is the problem. The political scientists and hacks among us do NOT recognize in any way, shape, manner or form, the SPIRITUAL warfare that we face. They do not recognize the spirit of darkness that governs in high places. They cannot recognize nor comprehend that the Evil One can just as easily accomplish his devilish purposes through a Republican office-holder as he can through a Democrat office-holder. Even many professing Christians seem to suffer from this myopia. It seems lost to them that there could be very powerful people who are masters at manipulating “conservative Republicans” and “liberal Democrats” alike for their own wicked and evil purposes. Well, there are; and they do. To single out one party as inherently “worse” and another party as inheritably “better” is the height of naiveté.
In fact, in many ways an “in the dark” Republican is MORE DANGEROUS than an “in the dark” Democrat, because the Republican is operating under the ruse of “light.” An enemy who wears the uniform of a friend is more dangerous than an enemy who wears the uniform of an enemy. That’s why G.W. Bush got away with a whole lot more than Bill Clinton did. And that’s why Mitt Romney would have gotten away with a whole lot more than Barack Obama has. And that’s why your local Neocon Republican congressional or senatorial candidate will get away with a whole lot more than your local Democrat candidate.
I made my decision as I walked away from a press conference with Bob Dole back in 1996. Somehow, in that short walk from the press room to my car, I came to agree with George Washington; and I traded the “spirit of party” for the “Spirit of ’76.” And I’ve never looked back.
It is ironic that John Fund claims some kind of victory by pointing out a highly marginal way of stealing a few votes via the unusual opportunity of finding unused ballots. In his recent article, James O’Keefe Strikes Again, the back slapping was thick and gleeful.
James O’Keefe, again, scored a media event in these last days before the coming election. This time he was not dressed up in his pimp dudes, but he should have been.
The election would have to extraordinarily close for this kind of voter fraud to matter. Argument like these are like blaming the national debt on shop lifting by senior citizens. It happens, but it is rare.
The Big Game is being run by the Number Two Man on Fund’s own speed dial, Karl Rove. Stealing Elections was essential if the Number One Man on Fund’s speed dial in the same period, Dick Cheney, of Halliburton, was to win and so become even richer. The three are linked by common interests as well as a solid and long term friendship. They scratch each other’s backs, as the expression goes.
When John beats up a woman, or otherwise misbehaves, they are there for him.
Fund, having made himself a kind of a ‘reputation’ for pimping the idea of Voter Fraud lays it on thick and cheesy in his article.
The other side, located in Colorado, make themselves look pathetic because a NeoCon had to give them this exciting idea – and these twits golly gosh, gee’d all over James O’Keefe instead of showing him the door.
Franklin’s state director, Meredith Hicks, told O’Keefe that committing voter fraud using unused ballots was perfectly okay. “That’s not even lying or stealing, if someone throws out the ballot. If you want to fill it out you should do it,” she told O’Keefe on tape.
Note: Cheating is always wrong. It destroys trust in the integrity of the entire electoral process and is repulsive in anyone.
That said, can’t you see this woman rooting round in people’s trash cans looking for those ballots? How would you know when they would appear? Many of these ballots will end up in the trash, but only after election day. “Oh. Never mind, that was yesterday.” Others will be used as grocery lists, book marks, made into paper airplanes and other purposes for which they were not intended. Some will also be used for voting.
Really, it makes you cringe.
There is a magnitude of difference between this level of electoral dishonesty and the Big Game. That is where the real money is and this article is evidence John Fund is still Pimping for the same folks who profited by murdering a million and a half Iraqis, killing off babies doomed by the effects of DU to short and horrible lives, and other war crimes galore. Remember Bush and his administration’s excitement over ‘rendering’ people?
You can’t say Fund is not consistent. So are No. One SpeedDial and No. Two SpeedDial.
To get the money you have to win the election and if you are Dick Cheney or George Bush you can’t win unless you cheat.
Rove is not into retail, he is all about Whole Selling out America with Ballot Fraud via cool electronics. He has made millions this way. Cheney, No. Two SpeedDial, made billions.
Fund and Friends are all Pimps. They should dress the role.
American journalist Serena Shim was beheaded — and “not with a sword but a cement truck,” to paraphrase T.S. Elliott.
Right before she lost her head in a brutal “accidental” collision with a cement truck the size of a freight train, Shim had reported that not only was Turkey supplying ISIS foreign fighters and terrorists from such places as Pakistan and Chechnya with weapons and material, but Turkey was also spiriting wounded ISIS terrorists back over the Syrian border into Turkey, hidden in NGO aid trucks, so they could be treated in Turkish hospitals.
Turkish Intelligence is highly suspected of setting up this tragic hit on Shim, hoping to silence her — but its actions have backfired and all it has really accomplished is to make the whole world put Turkey under a microscope, asking questions about Shim’s bloody death and the role that the Turkish intelligence agency played in this beheading.
“Turkey. how could you have sunk so low?” the whole world now asks.
“Hey, it was easy,” Turkey replies. “What else could we do?” What else could Turkey do indeed — when the usual crew of polished and professional American and Israeli neo-con con-men (not to be mistaken for actual honest, hardworking and sorely hoodwinked Americans and Israelis) simply showed up at its doorstep, waved their magic wands over Turkish president Erdogan’s head and promised to get him the old Ottoman Empire back if only he would attack Syria. (Or else.)
And then with his eyes dazzled by dreams of glittering booty, Erdogan fell for the con — hook, line and sinker. Of course he did. And then he opened Pandora’s box and let ISIS in.
According to Middle East expert Judith Bello, the Washington Post published a map “of the flow of 15,000 fighters flowing into Syria from more than 80 nations, hardly the foot soldiers of a civil war. Most of these fighters have entered Syria through Turkey.”
A sorry cancer-like epidemic of death, destruction and deceit has spread over the Middle East in the last few decades. And Turkey, the “Sick Man of Europe,” has been the latest nation to catch it.
Welcome to the cancer ward, President Erdogan.
On Thanksgiving this year, Turkey will obviously have nothing to be thankful for, what with ISIS sitting at its table and expecting its dinner — unless Turkey starts “chemotherapy” immediately. My prescription for Turkey? “Stop messing around with ISIS, stop believing the empty promises of American and Israeli neo-con-men, and start behaving in Turkey’s citizens’ best interests instead.”
Turkey has been trying to join the European Union for years now. But who wants a Turkey in the EU that has already proven itself to be just another Middle Eastern “soiled dove” for American and Israeli con-men? Erdogan has thrown the baby out with the bathwater here.
Just because Iraq, Libya, Egypt, Jordan, Qatar, Yemen, Kuwait and Saudi Arabia have all been diagnosed with the kind of fuzzy thinking that can only be caused by cancer of the part of the brain that governs common sense and self-preservation, this doesn’t mean that Turkey has to waste away too. Beheading a journalist is common in these other neo-con infected countries. But one would expect that a sophisticated and modern country like Turkey, a potential member of the EU even, might be immune. But apparently not.
President Erdogan, what were you THINKING!
PS: Looks like the average American and Israeli isn’t immune from catching the cancer of stupid thinking either. If we aren’t a lot more careful and watchful and vigilant than we are right now, then we too may soon be contracting this Turkish and Middle Eastern disease — and then watch our own journalists get beheaded too.
“…that dream of a land in which life should be better and richer and fuller for everyone, with opportunity for each according to ability or achievement. It is a difficult dream for the European upper classes to interpret adequately, and too many of us ourselves have grown weary and mistrustful of it. It is not a dream of motor cars and high wages merely, but a dream of social order in which each man and each woman shall be able to attain to the fullest stature of which they are innately capable, and be recognized by others for what they are, regardless of the fortuitous circumstances of birth or position.”
– James Truslow Adams, The Epic of America (1931)
The American Dream has been defined many ways by writers of both poetic and prosaic bent, but its essentials tend to involve life, liberty and the pursuit of happiness (or property, depending on your source).
The Declaration of Independence, upon which an entire nation was radically brought into existence, asserts that not only are all men created equal but that this is a “self-evident” truth. By this “unanimous Declaration of the thirteen united States of America,” a contract was agreed to, that their union would be founded on this principle. Thus, America was endowed with its dream at the moment of its conception: the freedom to succeed.
The United States has promoted a self-congratulating exceptionalism for decades, waving its Declaration and Constitution in the faces of other sovereign nations as if the latter had never considered such concepts. Our capital F “Freedom” sets us apart from the rest of the world, as the political rhetoric has repeated ad nauseam, no matter the freedoms enjoyed by democracies on almost every continent. And yet our basic freedom, the freedom to succeed, America’s contractual promise, has been shrinking for thirty years.
The freedom to succeed transcends economic systems but it is most potently expressed by capitalist gains. The ability to go “from rags to riches” is ingrained in this nation’s ethos and there is nothing intrinsically immoral about that goal. However, the current state of American inequality reveals a very real and expanding gap between the rich and poor that betrays the foundational endowment of this Union. When the freedom to succeed is denied every citizen, their equality is equally denied.
Recently, the Pew Research Center released a poll on what international citizens consider the greatest threat to the planet. Conducted between March 17 and June 5 of this year, the survey received answers from 48,643 respondents in 44 countries. In the U.S. and Europe, the growing gap between the rich and the poor was overwhelmingly considered the greatest danger to world prosperity. Over a quarter of Americans ranked “Inequality” as number one, above Religious & ethnic hatred, Pollution, Nuclear weapons and Infectious diseases.
This is hardly startling news considering that the median net worth of American households fell by 35 percent ($106,591 to $68,839) between 2005 and 2011, according to the U.S. Census Bureau. It is, however, disturbing that inequality remains so prevalent five years after the Great Recession.
Capitalism is not the problem. The problem is that we have let inequality advance in this country so gradually that its obviousness is masked by its familiarity. Below, I outline eight facts about inequality in America that every American should know.
1) 400 Americans have more wealth than half of all Americans combined. This ratio has been verified by Politifact and former Labor Secretary Robert Reich. To put it into context, last year the U.S. Census Bureau estimated that there were over 316 million people living in the United States. That means 400 Americans have more money than over 158 million of their fellow citizens. Their net worth is over$2 trillion, which is approximate to the Gross Domestic Product of Russia.
One explanation for the vast discrepancy in wealth is the definition of “worth,” which includes everything a person or household owns. This means savings and property but also mortgages, bills and debt. Poorer households can owe so much in debt that they possess a negative net worth.
2) America has the second-highest level of income inequality, after Chile. The Organization for Economic Cooperation and Development studies thirty-four developed countries and ranks them both before and after taxes and government transfers take effect (government transfers include Social Security, income tax credit and unemployment insurance). Before taxes and government transfers, America ranks tenth in income inequality. After taxes and transfers, it ranks second. Whereas its developed peers reduce inequality through government programs, the United States’ government exacerbates it.
3) The current state of inequality can be traced back to 1979. After the Stock Market Crash of 1929, the gap between the rich and the poor began to narrow. For fifty years, wages differed between the upper- and working-classes, but a robust middle-class took shape and there remained ample opportunity for working-class individuals to ascend.
In his book, “The Great Divergence,” journalist Timothy Noah traced today’s inequality to the beginning of the 1980s and the widening gap between the middle- and upper-classes. This gap was influenced by the following factors: the failure of American schools to prepare students for new technology; poor immigration policies that favor unskilled workers and drive down the price of already low-income labor; federally-mandated minimum wage that has failed to keep pace with inflation; and the decline of labor unions.
4) Non-union wages are also affected by the decline of unions. The Economic Policy Institute claims that 20 percent of the growth in the wage gap between high-school-educated and college-educated men can be attributed to deunionization.
Between 1978 and 2011, union representation for blue-collar and high-school educated workers declined by more than half. This has also diminished the “union wage effect,” whereby the existence of unions (more than 40 percent of blue-collar workers were union members in 1978) was enough to boost wages in non-union jobs – in high school graduates by as much as 8.2 percent. Not only did unions protect lower- and middle-class workers from unfair wages, they also established norms and practices that were then adopted by non-union employers. Two prime examples are employee pensions and healthcare.
Today, about 13 percent of workers belong to unions, which has reduced their bargaining power and influence.
5) There is less opportunity for intergenerational mobility. In December 2011, President Obama spoke at Osawatomie High School in Kansas. He was very clear about the prospects of the poor in today’s United States:
“[O]ver the last few decades, the rungs on the ladder of opportunity have grown farther and farther apart, and the middle class has shrunk. You know, a few years after World War II, a child who was born into poverty had a slightly better than 50-50 chance of becoming middle class as an adult. By 1980, that chance had fallen to around 40 percent. And if the trend of rising inequality over the last few decades continues, it’s estimated that a child born today will only have a one-in-three chance of making it to the middle class – 33 percent.”
As refreshing as that honesty is, Obama promised no fix beyond $1 trillion in spending cuts and a need to work toward an “innovation economy.”
In a speech one month later, Obama’s Chairman of Economic Advisers, Alan Krueger, elaborated on the dire state of America’s shrinking middle-class. The contraction, he stated, could partially be attributed to “skill-biased technical change”: work activities that have become automated over time, reducing the need for unskilled labor and favoring those with analytical training. He also highlighted the 50 year decline in tax rates for the top 0.1 percent, increased competition from overseas workers, and a lack of educational equality for children. Poor children are denied the private tutors, college prep and business network of family and friends available to their wealthier peers, which locks them into the class they are born into.
6) Tax cuts to the wealthiest have not improved the economy or created more jobs. Krueger also revealed that the tax cuts of the 2000s for top earners did not improve the economy any better than they did in the 1990s (meanwhile, income growth was stronger for lower- and middle-class families in the 1990s than in the last forty years).
Tax rates for the top income earners in America peaked in 1945 at 66.4 percent. Following decades of gradual reductions, they have since been cut in half. During the same time, the payroll tax has increased since the 1950s and individual income tax has bounced between 40-50 percent through the present day. Conversely, corporate tax declined from above 30 percent in the 1950s to under 10 percent in 2011.
All of these tax cuts are made ostensibly to improve the economy and create jobs. However, the National Bureau of Economic Research has concluded that it is young companies, “regardless of their size,” that are the real job creators in America. Tax cuts to the wealthiest do not create jobs.
7) Incomes for the top 1% have increased (but the top 0.01% make even more). Between 1979 and 2007, the average incomes of the 1 percent increased 241 percent. Compare that to 19 percent growth for the middle fifth of America and 11 percent for the bottom fifth. Put another way, in 1980 the average American CEO earned forty-two times as much as his average worker. In 2001, he earned 531 times as much.
Average income across the 1 percent is actually stratified into widely disparate echelons. Compare the $29,840 average income for the bottom 90 percent to the $161,139 of the top 10 percent. Compare the $1 million average income of the top 1 percent to the $2.8 million of the top 0.1 percent. Yet both still pale beside the $23 million average income of the top 0.01 percent.
If those numbers seem a bit overwhelming, Politizane has created a video that illustrates this staggering inequality:
8) The majority of Congress does not feel your pain. Empowered by the Constitution to represent their constituents, United States Congress members are, for the first time in history, mostly millionaires. The 2012 financial disclosure information of the 534 current Congress men and women reveals that over half of them have a net worth of $1 million or more.
After the past seven facts it is difficult to read this last one and believe that these 268 legislators have the best interests of the remaining 99 percent at heart. But if that is too presumptuous a leap, it is not too bold to say that wealthier donors, lobbyists and special interest groups enjoy greater access to these lawmakers than the average American.
In January, Congress failed to extend emergency benefits for unemployment, leaving 1.3 million people without federal aid. Congress then went on a weeklong recess that kept them from debating the issue until the end of the month. The bill was too divisive for Republicans and Democrats to reach an agreement on, though unemployment was then above 7 percent nationally.
Thankfully, the unemployed have their Congress working for them. And at $174,000 annual pay, those representatives are sure to return from their vacations committed to fresh solutions.