The Martians Are Here

 

“This Time Vote For An American”

This is an email we recently sent to the Republican National Committee:

We are apolitical. Our reasoning is as follows: With the Supreme Court decision in United Citizens vs. FEC our individual votes were diluted, if not rendered, downright meaningless. Money buys influence. Influence wins elections. PR works. (see Edward Bernays).

One thing that really rankles me though, among the many other things that I’ve covered here, is the ability for a Martian to be elected president simply because his mother happened to be visiting earth, (if in fact she was), more specifically the US, when she gave birth. Now he’s going to have us all living the Dreams of His Favorite Martian. These are not the dreams of Our Favorite Martian, much less My Favorite Martian.

Look for this bumper sticker/slogan, which just came to us, to saturate the landscape sooner than later this year: THIS TIME VOTE FOR AN AMERICAN.

jaxoons

P.S.: Don’t ask us for money. We don’t have any.

 

(Dear Gentle Reader: Regardless of who is elected to federal office, don’t look for them to violate the tacit agreement established with the murder of JFK, MLK & RFK, between the actors, that would be those “hired” to pretend they have power, and the producers, those who actually have it. See previous posts for more on this subject. -jaxoons)
Posted in Blog | Comments Off

Inherited In Perpetuity

“For the great enemy of truth is very often not the lie–deliberate, contrived and dishonest–but the myth–persistent, persuasive, and unrealistic. Too often we hold fast to the cliches of our forebears. We subject all facts to a prefabricated set of interpretations. We enjoy the comfort of opinion without the discomfort of thought. “ -John F. Kennedy

What are the implications? Is it sinking in yet?

Were the Soviet Union to sink tomorrow under the waters of the ocean, the American military-industrial establishment would have to go on, substantially unchanged, until some other adversary could be invented. Anything else would be an unacceptable shock to the American economy.”George F. Kennan 1947 (Chief State Department foreign policy strategist)

“We should cease to talk about vague and unreal objectives such as human rights, the raising of the living standards, and democratization. The day is not far off when we are going to have to deal in straight power concepts. The less we are then hampered by idealistic slogans, the better.”
George F. Kennan 1947 (Chief State Department foreign policy strategist)

. . . There is no such thing in America as an independent press . . . We are the tools and vassals for rich men behind the scenes . . . Our talents, our possibilities and our lives are all the property of other men. We are intellectual prostitutes.”-John Swinton, former New York Times Chief of Staff

“We are grateful to the Washington Post, The New York Times, Time Magazine and other great publications whose directors have attended our meetings and respected their promises of discretion for almost forty years. It would have been impossible for us to develop our plan for the world if we had been subjected to the lights of publicity during those years. But, the world is now more sophisticated and prepared to march towards a world government. The supranational sovereignty of an intellectual elite and world bankers is surely preferable to the national auto-determination practiced in past centuries.”
David Rockefeller, founder of the Trilateral Commission, in an address to a meeting of The Trilateral Commission, in June, 1991.

 

In the following article Mr. Lofgren rightly points out “the crippling costs both human and financial” of the war in Iraq. But what he doesn’t address is where, or rather, to whom, the money went. Cui Fucking Bono, people? Ask it. Then Answer it. Who pays? Who receives? Cui Bono? The oldest legal question on the books. Someone Loses. Someone wins. As John F. Kennedy said, “Things do not happen. Things are made to happen.”

Cui Bono, Indeed:

Fascism should more appropriately be called Corporatism because it is a merger of state and corporate power.  – Benito Mussolini

December 20, 2011

Are Our Leaders Stupid, or Do They Think We are? 

(this has got to be rhetorical, right? -jaxon)

Propagandizing for Perpetual War

by MIKE LOFGREN

According to the Congressional Research Service, the United States has appropriated $806 billion for the direct cost of invading and occupying Iraq. Including debt service since 2003, that sum rises to approximately $1 trillion. The White House estimates the number of U.S. military wounded at 30,000; the web site icasualties.org states that U.S. military fatalities from the Iraq war now stand at 4484. It is impossible to estimate precisely the numbers of Iraqi civilian deaths, but they are frequently cited as being in excess of 100,000. There are now around two million internally displaced Iraqis in a country of 30 million inhabitants. As United States armed forces (but not up to 17,000 State Department employees, contractors and mercenaries) leave the country, Iraq is plunging into a sectarian and ethnically-fueled political crisis. Even if it survives that crisis and remains a unitary state, it will almost certainly be pulled closer to the orbit of Iran, our bogeyman du jour.

In view of the crippling costs both human and financial as well as the strategic and moral disaster the invasion of Iraq precipitated, what sort of verdict do you think our leaders – leaders representing a presidential administration ostensibly opposed to the invasion and promising hope and change – bother to offer us? While junketing in Turkey on December 17, Secretary of Defense Leon Panetta told the press the following:

As difficult as [the Iraq war] was, I think the price has been worth it, to establish a stable government in a very important region of the world.

One’s only reaction to this statement is to blink in disbelief and wonder: is Panetta that stupid, or does he think that we, the supposedly self-governing citizens of this country, are that stupid? The kindest thing one can conclude is that this is some sort of throw-away line intended to provide solace to the families of those killed, or consolation to survivors who were maimed. But that is pretty thin gruel; one imagines those people, and their kin, have formed their own opinions about what happened and do not require a patronizing justification. And, in any case, if it was “worth it,” why shouldn’t we keep doing it, not only in Iraq but all over the world? Perpetual war for stable government, one might call it.

Another explanation that comes to mind is the propaganda aspect of it: some government hacks really do believe if they repeat something over and over, no matter threadbare or false, a large number of people will believe it. Republicans have used this technique for years, and it appears Democrats are well on their way to equaling them in mastering it. It seems to be at least a partially successful tactic: after all the bloodshed and the waste, a plurality of 48 percent of Americans still believes invading Iraq was the right decision, according to a Pew Research survey.

But, as Honest Abe said, you cannot fool all of the people all of the time. That same survey showed 46 percent, almost as many, believed it was the wrong decision. But even here, Panetta’s statement, and countless other ridiculous statements by government officials, are not without their utility. Most of us think of propaganda as brainwashing – as convincing people to believe something they would otherwise disbelieve. But we may underrate another, more subtle, utility of political propaganda.

In one of his wartime essays, George Orwell remarked on some of the patently ridiculous claims of totalitarian propaganda. In his view, the point wasn’t whether it was believable or not; in fact, the more ridiculous the better. The point was that government functionaries got to make the statement knowing full well it was ludicrous; news organizations dutifully printed it as if it were fact; and the public sphere was blanketed with the absurd propagandistic claim. As Orwell said about the goosestep march of totalitarian armies: yes, it looks ridiculous, but you dare not laugh.

That is the underrated objective of false government claims: even when they do not convince, they demoralize. Panetta’s statement will receive respectful coverage in the mainstream media; satraps of the establishment like David Gregory or Bob Schieffer will not argue with him on the Sunday morning talk shows beyond at most a very polite demurral; for all intents and purposes he will get away with it. And no ordinary citizen will ever be in a position to get in his face and tell him he’s shilling for destructive policies that are bankrupting us.

Because that’s how democracy, and truth, work in the United States these days.

MIKE LOFGREN retired in June 2011 after 28 years as a Congressional staffer. He served 16 years as a professional staff member on the Republican staff of the House and Senate Budget Committees.

via Propagandizing for Perpetual War » Counterpunch: Tells the Facts, Names the Names.

Posted in Blog | Comments Off

The Lone Gunman

FACT: There were no lone gunmen.

JFK     MLK    RFK

“For the great enemy of truth is very often not the lie–deliberate, contrived and dishonest–but the myth–persistent, persuasive, and unrealistic. Too often we hold fast to the cliches of our forebears. We subject all facts to a prefabricated set of interpretations. We enjoy the comfort of opinion without the discomfort of thought. “

                                          -John F. Kennedy

 

Posted in Blog | Comments Off

Whistlin’ in the dark past the graveyard…

Whistling in the dark.

'A day that will live in infamy'. Do you really know why, or are you whistling in the dark?

The Mother of All Conspiracies

“…everything that the Japanese were planning to do was known to the United States…” ARMY BOARD, 1944

Sacrifice at Pearl Harbor

The Real Deal

“For the great enemy of truth is very often not the lie–deliberate, contrived and dishonest–but the myth–persistent, persuasive, and unrealistic. Too often we hold fast to the cliches of our forebears. We subject all facts to a prefabricated set of interpretations. We enjoy the comfort of opinion without the discomfort of thought. “ -John F. Kennedy

We might find the following questions interesting for consideration and reflection based on American history since WWII. The facts do not even come close to resembling the myth.

But then, what else is new?

  1. if we accept the fact that FDR had foreknowledge of the attack on Pearl Harbor we might ask whether WWII was a concession to his class or just part of the plan.
  2. was the New Deal merely a means of ‘manufacturing consent’ among the public?
  3. ironically, did WWII actually represent the end of the American democratic republic?

Three New Deals: Why the Nazis and Fascists Loved FDR

Mises Daily: Friday, September 22, 2006 by

Three New Deals:

Reflections on Roosevelt’s America, Mussolini’s Italy, and Hitler’s Germany, 1933-1939. By Wolfgang Schivelbusch. Metropolitan Books, 2006.

Critics of Roosevelt’s New Deal often liken it to fascism. Roosevelt’s numerous defenders dismiss this charge as reactionary propaganda; but as Wolfgang Schivelbusch makes clear, it is perfectly true. Moreover, it was recognized to be true during the 1930s, by the New Deal’s supporters as well as its opponents.
Continue reading

Posted in Blog | Comments Off

Slicing It & Dicing It

United States Healthcare Statistics

50th in Life Expectancy (CIA World)
47th in Infant Mortality
50 Million People Without Health Insurance

A New View

Below you will find a T.E.D. video with Hans Rosling the founder of Gapminder, the interactive statistical charting site and software.  Everyone should avail themselves of this remarkable tool. It is now possible to transcend myth and begin to build a mindset, or belief system, if you will, that is based on factual information.

An excellent example of how this might alter one’s views can be found in the statistics above. Many people that watched (or didn’t watch) Michael Moore’s documentary film Sicko accuse it of being disinformation. They point to statistics in the film as being either false, misleading, or discount these statistics by citing supposed long waits and exorbitant taxes related to universal health care coverage.

Regardless of what you might think of Michael Moore, the raw data above reveals that the disinformation is not coming from Moore and his film, but rather, from those that apparently are ignorant of the statistics, have an agenda based on selfish interest…or  have fallen prey to those with an agenda.

For people who wish to continue wrapping themselves in Old Glory and ignoring the relevance of statistics, things might begin to get a bit confusing…if they haven’t already. The Old Guard loves Old Glory. But it blinds many to their own best/self interests. We all love the “concept” of America and the “idea” of a democratic republic. But do we have this? It is not too difficult to connect the dots and realize that we are on a collision course with our most basic American principles.

A Boom With A View

BIG change is coming. Actually, it’s a tidal wave. It cannot be stopped. What kind of change do we want it to be? Do we have a choice? Here are a few statistics that might help clarify things:  U.S. population was 63.7% white in 2010. Of course, this means that 36.3% of U.S. population is non-white. The statistic which points most to change is that 90% of the population growth in the U.S. since 2000 has been minorities.  And 58% of this growth was Latino. What are the implications? We might want to think carefully about this as we consider the social and political changes that have occurred in the last decade…or even the last 5 years.

It is interesting when we look back at history and realize that huge changes took place that we were not fully aware of. It’s a bit like seeing children after a prolonged absence. Add to this the fact that most Americans are so overwhelmed with keeping up with life’s immediate demands, that their vision can be somewhat blurred. This can make one vulnerable to influence. One of the  techniques employed in hypnotism is to overload the mind, or consciousness, to a point where the individual will take direction subliminally. When masses of people are in such a state, very profound change can occur outside their awareness. They are susceptible to disinformation and, subsequently, manipulation.

One of the schools of thought regarding methods of problem solving, learning, and discovery is referred to in psychology as heuristics.  In psychology, heuristics are simple, efficient rules, hard-coded by evolutionary processes or learned, which have been proposed to explain how people make decisions, come to judgments, and solve problems, typically when facing complex problems or incomplete information. These rules work well under most circumstances, but in certain cases lead to systematic errors or cognitive biases.

It is important to remember events like the repeal of Glass Stiegall and the public’s apparent indifference to it. Where did that lead us? It is vitally important to remember that there were beneficiaries of the subsequent financial collapse and it’s aftermath. But who has the time, or energy to ponder such things, right? Much less, take action. It might bubble up into consciousness occasionally,  but after a long day of work and worry, we might ask ourselves, “what can we do about it anyway?”. Right?  Right. Checkmate.

Here are a few changes that have occurred recently that might help us see what lies before us. Each heading is a link. :

Citizens United vs. Federal Election Committee


National Defense Authorization Act

The National Defense Authorization Act greatly expands the power and scope of the federal government to fight the War on Terror, including codifying into law the indefinite detention of terrorism suspects without trial. Under the new law the US military has the power to carry out domestic anti-terrorism operations on US soil. Worse yet, it authorizes the military to detain even US citizens under the broad new anti-terrorism provisions provided in the bill, once again without trial.

Obama signed this piece of crap into law…but don’t worry, he said that “he never intends to use it on Americans.”  Phew…I feel a lot better knowing that, don’t you?


The USA PATRIOT Act
In May 2011, Congress voted to extend the following sections of the USA PATRIOT Act through 2015:
• The government’s power under PATRIOT Section 215 to obtain secret court orders for “any tangible thing”—including Internet, phone, and business records—that the government believes is relevant to a terrorism investigation. Current legislation before Congress would reauthorize this power for six years.
• The government’s power to use non-specific “roving” wiretaps to monitor any phone number, email account, or other communications facility that the government believes is being used by its target. Current legislation before Congress would reauthorize this power for six years.
• The “lone wolf” wiretapping power, which allows the government it to monitor individuals who have no connection to any foreign power or terrorist group.

TSA

The Militarization of Police

 

Bill of Rights Be Damned

Those who would give up Essential Liberty to purchase a little Temporary Safety, deserve neither Liberty nor Safety. ~ Benjamin Franklin

1. Warrantless Wiretapping — In December 2005, the New York Times reported the National Security Agency was tapping into telephone calls of Americans without a warrant, in violation of federal statutes and the Constitution. Furthermore, the agency had also gained direct access to the telecommunications infrastructure through some of America’s largest companies. The program was confirmed by President Bush and other officials, who boldly insisted, in the face of all precedent and the common understanding of the law, that the program was legal. And, the agency appears to have been not only eavesdropping on the conversations of Americans in this country without warrants, but also using broad “data mining” systems that allowing it to analyze information about the communications of millions of innocent people within the United States.

2. Torture, Kidnapping and Detention — In the years following 9/11, our government illegally kidnapped, detained and tortured numerous prisoners. The government claims that it has the power to designate anyone, including Americans as “enemy combatants” without charge. Since 2002, some “enemy combatants,” have been held at Guantanamo Bay and elsewhere, in some cases without access by the Red Cross. Investigations into other military detention centers have revealed severe human rights abuses and violations of international law, such as the Geneva Conventions. The government has also engaged in the practice of rendition: secretly kidnapping people and moving them to foreign countries where they are tortured and abused. It has been reported the CIA maintains secret prison camps in Eastern Europe to conduct operations that may also violate international standards. Congress made matters worse by enacting the Military Commissions Act, which strips detainees of their habeas rights, guts the enforceability of the Geneva Conventions’ protections against abuse, and even allows persons to be prosecuted based on evidence beaten out of a witness.

3. The Growing Surveillance Society — In perhaps the greatest assault on the privacy of ordinary Americans, the country is undergoing a rapid expansion of data collection, storage, tracking, and mining. The FBI’s Investigative Data Warehouse, as an example, has grown to over 560 million records. Over and above the invasion of privacy represented by any one specific program, a combination of new technologies, expanded government powers and expanded private-sector data collection efforts is creating a new “surveillance society” that is unlike anything Americans have seen before.

4. Abuse of the Patriot Act— Several provisions of the Patriot Act were set to expire at the end of 2005 and, despite opposition from across the political spectrum and more than 400 community and state resolutions expressing concern about the Patriot Act, Congress reauthorized the law without reforming its most flawed provisions to bring these extraordinary powers back in line with the Constitution. Since then, the Justice Department’s Inspector General found that the FBI has issued hundreds of thousands of national security letters, a majority against U.S. persons, and many without any connection to terrorism at all.

5. Government Secrecy — The Bush administration was one of the most secretive and nontransparent in our history. The Freedom of Information Act has been weakened , the Bush administration led a campaign of reclassification and increased secrecy by federal agencies (including the expansion of a catch-all category of “sensitive but unclassified”), and made sweeping claims of “state secrets” to stymie judicial review of many of its policies that infringed on civil liberties. It even refused to grant government investigators the security clearances they needed to investigate the illegal and unconstitutional NSA wiretapping program. The Bush administration also expressed interest in prosecuting journalists under the Espionage Act of 1917: essentially trying to quell the media’s role in exposing questionable, illegal and unconstitutional conduct, including the maintenance of secret CIA prisons abroad and the NSA wiretapping program.

6. Real ID Although the full implementation of this travesty may be in doubt, at least in it’s original form, it raises a very serious question: Who thinks this stuff up?

The 2005 Real ID Act, rammed through Congress by being attached to a unrelated, “must pass” bill, lays the foundation for a national ID card and makes it more difficult for persecuted people to seek asylum. Under the law, states are required to standardize their drivers licenses (according to a still undetermined standard) and link to databases to be shared with every federal, state and local government official in every other state. Conservative estimates place the cost of the program at $10 to 12 billion. Opposition to the bill and its implementation remains fierce, and comes from groups such as the National Governor’s Association and the National Council of State Legislators.

7. No Fly and Selectee ListsNow I think I understand TSA a little better. Since there have been, quite literally, zero, as in NADA, terrorists acts committed within our borders since 9/11, I was beginning to wonder. Let’s see…we’ve spent how much? The argument is that because of TSA blah, blah, blah…OK, how many actual attempts have there been? And in the ten years prior to 9/11 how many were there? Well, at least it provides jobs. Kind of like building bridges to nowhere. Just don’t make any waves or you might find yourself on the Selectee list. Stop it…DON’T TOUCH ME THERE!

The No-Fly list was established to keep track of people the government prohibits from traveling because they have been labeled as security risks. Since 9/11 the number of similar watch lists has mushroomed to about 720,000 names, all with mysterious or ill-defined criteria for how names are placed on the lists, and with little recourse for innocent travelers seeking to be taken off them. These lists name an estimated 30,000 to 50,000 people. The lists are so erroneous several members of Congress, including the late Senator Ted Kennedy (D-MA), had been flagged.

8. Political Spying — Government agencies — including the FBI and the Department of Defense — have conducted their own spying on innocent and law-abiding Americans. Through the Freedom of Information Act, the ACLU learned the FBI had been consistently monitoring peaceful groups such Quakers, People for the Ethical Treatment of Animals, Greenpeace, the Arab American Anti-Defamation Committee and, indeed, the ACLU itself. In August 2007 the Pentagon announced that it would be shutting down its TALON database program, which illegally gathered information on anti-war activists across the country.

Note: On the other hand, how many of us knew about it at the time. What makes us so sure we know anything about what our government is doing?

9. Abuse of Material Witness Statute — In the days and weeks after 9/11, the government gathered and detained many people — mostly Muslims in the US — through the abuse of a narrow federal technicality that permits the arrest and brief detention of “material witnesses,” or those who have important information about a crime. Most of those detained as material witnesses were never treated as witnesses to the crimes of 9/11, and though they were detained so that their testimony could be secured, in many cases, no effort was made to secure their testimony. The government apologized for wrongfully detaining 13 people as material witnesses. Some were imprisoned for more than six months and one actually spent more than a year behind bars!

10. Attacks on Academic Freedom — The Bush administration used a provision in the Patriot Act to engage in a policy of “censorship at the border” to keep scholars with perceived political views the administration did not like out of the United States. The ACLU filed a lawsuit challenging this ideological exclusion, charging that it was being used to prevent United States citizens and residents from hearing speech protected by the First Amendment. Additionally, government policies and practices have hampered academic freedom and scientific inquiry since 9/11, creating a system where science has come under siege. The government has moved to over classify information and has engaged in outright censorship and prescreening of scientific articles before publication.

 

Until next time. Good luck.

jaxon

P.S.: Wonder why that white van with the dish on it’s roof has been parked across the street all day? Hmmm…think I’ll go over and check it out.)

 

Creative Commons License
Jaxoons-Cartoons, Lampoons & Oligarch Goons by
RE Jackson
is licensed under a
Creative Commons Attribution-NonCommercial-
NoDerivs 3.0 Unported License
.
Permissions beyond the scope of this license may be available at jaxoons@gmail.com.

Posted in Blog | Comments Off

Truth or Consequence

Audio clip: Adobe Flash Player (version 9 or above) is required to play this audio clip. Download the latest version here. You also need to have JavaScript enabled in your browser.

Truth is by nature self-evident. As soon as you remove the cobwebs of ignorance that surround it, it shines clear. ~ Mohandas Gandhi

Unthinking respect for authority is the greatest enemy of truth. ~ Albert Einstein

“What luck for the rulers that men do not think” ~ Adolf Hitler

A person may cause evil to others not only by his actions but by his inaction, and in either case he is justly accountable to them for the injury. ~ John Stuart Mill

“The great masses of the people will more easily fall victims to a big lie than to a small one.” ~ Adolf Hitler

“Through clever and constant application of propaganda, people can be made to see paradise as hell, and also the other way round, to consider the most wretched sort of life as paradise.” ~ Adolf Hitler

“Throughout history, it has been the inaction of those who could have acted; the indifference of those who should have known better; the silence of the voice of justice when it mattered most; that has made it possible for evil to triumph.” ~ Haile Selassie  

Reality Link 1.   Reality Link  2.   Reality Link 3.   Reality Link 4.

What consequence for denial and inaction?

Perhaps our collective fate has been sealed by previous indifference to acts of treason. But our apparent apathy to the following events, will most assuredly, underscore the inevitable tragedy that we will be served up as to history.
 

9/11 WTC & Pentagon   The false flag operation that murdered over 3000 Americans and the subsequent invasion and mass murder of 1.5 million Iraquis and Afghanis based on “Big Lie”. The coverup and denial by the media and government of objective scientific evidence contradictory to the “official story”. The unwillingness of government to conduct an independent and objective investigation.

Citizens United vs. Federal Election Committee    The ratification of the Corporate State that this decision represents.

Fascism should more appropriately be called Corporatism because it is a merger of state and corporate power. ~ Benito Mussolini

Financial Collapse & Wall Street   The unwillingness of government to hold perpetrators accountable including: Banks, Ratings Agencies, Regulators, Government agencies, ie.: Federal Reserve. Fines for firms like Goldman Sachs for fraud are insufficient and do nothing as deterrents in the face of the rewards garnered.

Bailouts   Moving private corporate debt to the American taxpayer.

FCC & The Media Monolpoly

 

Hey George, what’s a shadow government? I dunno, Lenny.

Audio clip: Adobe Flash Player (version 9 or above) is required to play this audio clip. Download the latest version here. You also need to have JavaScript enabled in your browser.

Posted in Blog | Tagged | Comments Off

Doubling Down

If you’re wondering who the “fish” is . . . cash out immediately.


The ‘All In Bet’. . .We’re All In

Re Hypo the Cation Shadow BankingRehypothecation: When a broker pledges hypothecated client owned securities in a margin account to secure a bank loan. Hypothecation: When a person pledges a mortgage as collateral for a loan, it refers to the right that a banker has to liquidate goods if you fail to service a loan. The term also applies to…Pledged Asset: An asset that is transferred to a lender for the purpose of securing debt. The lender of the debt maintains possession of the pledged asset, but does not have ownership unless default.
 

Gary Gorton Shadow Banking

Automatic Earth                                                                                          

Wednesday, December 14, 2011

Self-Destructive Psychology of Sharks

“You cannot survive without that intangible quality we call heart. The mark of a top player is not how much he wins when he is winning but how he handles his losses.

If you win for thirty days in a row, that makes no difference if on the thirty-first you have a bad night, go crazy, and throw it all away.” ~Bobby Baldwin

There still remains a large population of stubborn “fish” in the developed world, who are clinging on to hopes of an economic recovery like incredulous poker players cling on to hopes of winning all their money back by playing three cards to a straight or a flush.

These are the people who continuously get their clocks cleaned and then reload their chips in a vicious cycle of defeat; the people who keep the game alive and profitable for the “sharks”.

At the same time, the bankrolls of fish have been diminished so severely and their egos bruised so badly that an increasing number are simply being forced out of the game for good. They can no longer ignore the fact that their lofty expectations have been flattened into silver dollar pancakes, and that they may find themselves lacking food to eat the next day if they continue gambling with what little wealth they have left.

The Stubborn Psychology of Fish

“It’s only when the school of fish stream towards the exits in unison that the “game” becomes wholly unprofitable for solid players. Until that tipping point arrives, our bets will continue to scream “I have a monster!” at the top of their lungs, and the fish will continue to make crying calls in stubborn disbelief.

The psychology of fish always leads them from a state of comfortable wealth to one of utter destitution over time, as they incessantly chase their losses, throwing bad money after even worse money.

As the total amount of money sunk into the pot exponentially increases along with net losses, the fish find it that much more difficult to simply walk away from the game. In the long-run, however, every fish goes for broke and is simply unable to purchase any more chips to play with.

Continue reading

Posted in Blog | Tagged | Comments Off

4 Close Inspection

Audio clip: Adobe Flash Player (version 9 or above) is required to play this audio clip. Download the latest version here. You also need to have JavaScript enabled in your browser.

Will Justice Be Served?

The Great Abyss

Home values have dropped on average about 5% nationwide in the last year. Since 2006 home values have lost $9 trillion (with $1.7 trillion of that being lost in 2010 alone [see Zillow]). At their height, average home prices reached almost $270,000.00. Today average home price is at $165,000.00.Of course, these numbers vary by region, but on average, the losses are similar.

Cities where losses exceeded 10% in 2010
Miami-Fort Lauderdale (-15.4%).
Atlanta (-14.5%)
Detroit (-13.9%)
Phoenix (-13.0%)
Seattle (-11.6%)

Homes, by and large, represent collateral on the majority of loans held by banks. They are foreclosing at a rapid rate, but whether legal or not, what are they doing with all these homes? The bottom has fallen out of the housing market and continues to slide. What is going on here?

Question: Where is all this debt? Taxpayers ponied up $700 billion of their family’s future. The Fed soaked up a little and has been giving the banks free money for the last 3 years. Actually, worse than that, they’ve  been paying interest on it. But we’re talking TRILLIONS here. Shouldn’t the banks be bankrupt, or are they, and we just don’t know it? Can someone enlighten me?

Question: What about homeowners who have lost 40-60% of their home’s value?  In many cases this represented the major portion of their net worth.

What next?

jaxon

Posted in Blog | Comments Off

The Wave

Surfin’ USA   The Beach Boys

Audio clip: Adobe Flash Player (version 9 or above) is required to play this audio clip. Download the latest version here. You also need to have JavaScript enabled in your browser.

Dude! Board of Directors NOT surfboard.

The Capitol in Washington, D.C., is seen with a marble chimera rhyton that stands in front of the Rayburn House Office Building in the foreground.By Dennis Cauchon, USA TODAY
Updated 6/13/2011 7:31 PM

U.S. funding for future promises lags by trillions

The federal government’s financial condition deteriorated rapidly last year, far beyond the $1.5 trillion in new debt taken on to finance the budget deficit, a USA TODAY analysis shows.

The government added $5.3 trillion in new financial obligations in 2010, largely for retirement programs such as Medicare and Social Security.

That brings to a record $61.6 trillion the total of financial promises not paid for.

This gap between spending commitments and revenue last year equals more than one-third of the nation’s gross domestic product.

Medicare alone took on $1.8 trillion in new liabilities, more than the record deficit prompting heated debate between Congress and the White House over lifting the debt ceiling.

Social Security added $1.4 trillion in obligations, partly reflecting longer life expectancies. Federal and military retirement programs added more to the financial hole, too.

Corporations would be required to count these new liabilities when they are taken on — and report a big loss to shareholders. Unlike businesses, however, Congress postpones recording spending commitments until it writes a check.

The $61.6 trillion in unfunded obligations amounts to $528,000 per household. That’s more than five times what Americans have borrowed for everything else — mortgages, car loans and other debt. It reflects the challenge as the number of retirees soars over the next 20 years and seniors try to collect on those spending promises.

“The (federal) debt only tells us what the government owes to the public. It doesn’t take into account what’s owed to seniors, veterans and retired employees,” says accountant Sheila Weinberg, founder of the Institute for Truth in Accounting, a Chicago-based group that advocates better financial reporting. “Without accurate accounting, we can’t make good decisions.”

Michael Lind, policy director at the liberal New America Foundation‘s economic growth program, says there is no near-term crisis for federal retirement programs and that economic growth will make these programs more affordable.

_____________________________________________

ALERT

Terribly sorry to interrupt…

Reality Check. Check, Please!

“Those who remain unconvinced that rising debt levels pose a risk to growth should ask themselves why, historically, levels of debt of more than 90 percent of GDP are relatively rare and those exceeding 120 percent are extremely rare. Is it because generations of politicians failed to realize that they could have kept spending without risk? Or, more likely, is it because at some point, even advanced economies hit a ceiling where the pressure of rising borrowing costs forces policy makers to increase tax rates and cut government spending, sometimes precipitously, and sometimes in conjunction with inflation and financial repression (which is also a tax)?” – Rogoff & Reinhart

What if there is no growth? 100% debt/GDP leads to less growth which leads to less money to pay debt which leads to higher interest rates which leads to more debt which leads to less growth which leads to less money to pay debt which leads to higher interest rates which leads to…Dizzy yet?

_____________________________________________

“The false claim that Social Security and Medicare are about to bankrupt the United States has been repeated for decades by conservatives and libertarians who pretend that their ideological opposition to these successful and cost-effective programs is based on worries about the deficit,” he says.

USA TODAY has calculated federal finances based on standard accounting rules since 2004 using data from the Medicare and Social Security annual reports and the little-known audited financial report of the federal government.

The government has promised pension and health benefits worth more than $700,000 per retired civil servant. The pension fund’s key asset: federal IOUs.

Posted in Blog | Comments Off

Europe and The Land of Oz

Audio clip: Adobe Flash Player (version 9 or above) is required to play this audio clip. Download the latest version here. You also need to have JavaScript enabled in your browser.

SHOW US THE MONEY

Where is it coming from?  Thin air? Do you like turnips?

Find an interesting array of other Confidence Games & Tricks at bottom of page.**

We’re In The Money  Ginger Rogers

Audio clip: Adobe Flash Player (version 9 or above) is required to play this audio clip. Download the latest version here. You also need to have JavaScript enabled in your browser.

If you wondering what language Ms. Rogers is singing the second to last verse in, it is Pig Latin.  (See Follow The Money: Playwrights Tackle The Global Financial Crisis.)

 

The two enemies of the people are criminals and government, so let us tie the second down with the chains of the Constitution so the second will not become the legalized version of the first. ~ Thomas Jefferson

 

The Top 5 Contributors to IMF Represent Over 40% Of Funding

Their Public Debt as % of GDP is:

1. U.S.: 99.3% 2. Japan: 234%  3. Germany : 76.5%  4. France: 87.6%  5. U.K.: 81.9%

Portugal: 87.1%   Belgium: 103.1%   Greece: 139.3%   Italy : 119.7%   Spain: 70.2%

European Economies

The Deepening Crisis

This is an interactive map. Click on the headings to follow the “money”.

Nov 10th 2011, 17:48 by The Economist online

The interactive graphic above (updated November 10th 2011) illustrates the depth of the problems that the European economy faces. The euro-zone crisis reached a critical stage when Italy joined the seven per-cent club, the group of euro-zone countries whose borrowing costs (as measured by ten-year bond yields) have gone above 7% and stayed there. Its public debts are close to 120% of GDP. Only Greece has a greater burden. Ireland’s is lower but it has a large budget deficit so is adding to its debt at a rapid pace. So is Britain but it has benefited from being a non-euro haven and can still borrow very cheaply.Italy’s situation is not yet critical because the government does not have to refinance all its debts quickly at punishing interest rates. The average maturity of its public bonds is around seven years. Only in Austria and Britain is it longer. GDP grew in most countries in the first half of 2011, though there were marked differences in performance. Germany was sprightly. So were the countries around with which it trades most heavily. By contrast GDP in Greece and Portugal has crashed under the weight of austerity. More recently, the crisis has sapped the strength of even the so-called “core” euro-zone countries. The strains of the euro area’s sovereign-debt crisis make a recession in the early months of 2012 likely.In many countries unemployment has not gone up by as much as one might expect given the depth of the 2008-09 crisis. Germany has lower unemployment than it enjoyed in the boom years. The worst-affected countries include Ireland and Spain, where a collapse in construction has swollen the dole queues. Youth unemployment is especially high in Spain, prompting protests. Britain has fared better because its tight planning laws limited the growth of its construction sector during the global housing boom. But sluggish growth and the prospect of renewed recession mean that joblessness is rising again in Britain as well as in Germany.

Reality Check. Check, Please!

“Those who remain unconvinced that rising debt levels pose a risk to growth should ask themselves why, historically, levels of debt of more than 90 percent of GDP are relatively rare and those exceeding 120 percent are extremely rare. Is it because generations of politicians failed to realize that they could have kept spending without risk? Or, more likely, is it because at some point, even advanced economies hit a ceiling where the pressure of rising borrowing costs forces policy makers to increase tax rates and cut government spending, sometimes precipitously, and sometimes in conjunction with inflation and financial repression (which is also a tax)?” – Rogoff & Reinhart

Let’s see, if we’ve got this right: The new EU “bailout” plan will see more debt which will lead to less growth which will lead to less money to pay down debt which will lead to higher interest rates which will lead to more debt which will lead to less growth which will lead to less money to pay down debt which will lead to higher interest rates which will lead to…Dizzy yet? Turnips, anyone?

**List of Confidence Games & Tricks

This list of confidence tricks and scams should not be considered complete, but covers the most common examples. Confidence tricks and scams are difficult to classify, because they change often and often contain elements of more than one type. Throughout this list, the perpetrator of the confidence trick is called the “con artist” or simply “artist”, and the intended victim is the “mark”.

As an aside, some friends and I were victims of the Money Exchange scam while visiting Morocco as young students back in the 70′s. Remember the Marrekech Express? The trick worked because, first of all, the kids were so cute. And secondly, and most importantly, we really wanted to believe them.

It’s like Europe today. We really want to believe. But rather than a pact that will go down in history as a great moment for Europe and the world, as it is being lauded by many, it is far more likely that it will be remembered as one of the great attempts at a Confidence Game. Who knows, maybe it will even join this list?

Get-rich-quick schemes

Get-rich-quick schemes are extremely varied; these include fake franchises, real estate “sure things”, get-rich-quick books, wealth-building seminars, self-help gurus, sure-fire inventions, useless products, chain letters, fortune tellers, quack doctors, miracle pharmaceuticals, Nigerian money scams, charms and talismans. Variations include the pyramid scheme, the Ponzi scheme, and the Matrix sale.

Count Victor Lustig sold the “money-printing machine” which he claimed could copy $100 bills. The client, sensing huge profits, would buy the machines for a high price (usually over $30,000). Over the next twelve hours, the machine would produce just two more $100 bills, but after that it produced only blank paper, as its supply of hidden $100 bills would have become exhausted. This type of scheme is also called the “money box” scheme.

Continue reading

Posted in Blog | Tagged | Comments Off