Lucky Number 13?

What’s the deal with 13?  Some people think it’s a bad number.  It’s just a number.  There was even a Thirteen Club started in the 1800’s to dispel superstition.

Well, we are at a unique time in history and the number 13 is a pivot point.

The United States National Debt is over $13 Trillion now.  I hope the Sleeper has awakened.

The National Debt and the out of control spending are leading our country to economic devastation.  At this rate we will be semi-defunct like Greece very soon.  Unfortunately, we won’t have the EU to bail us out.  No one will be able to bail the US out.

As reported in Bloomberg news, the United States National Debt will exceed our Gross Domestic Product in 2012.

The US currently receives the highest rating for its Treasury Bonds.  As soon as that rating drops you will see interest rates go through the roof.  Calculations of when that will happen is between 2013 and 2018.  If the debt goes up as fast as it is now look for 2013 to be the tipping point.

A Reuters news story on June 8th stated that according to a Treasury Department report to Congress, the National debt will reach $19.6 Trillion by 2015.  If that becomes true, the interest on the debt at only 4% would be almost 800 Billion.  Say for example we have to sell the bonds at a higher rate, say 6%, the interest rate payment will be almost 1.2 Trillion per year.

We are at the tipping point right now.  We need to eliminate the debt not add to it.

Below is the list of our Senators vote to raise the debt ceiling to 14.3 Trillion.  It’s simply raising the line of credit to ourselves.  Those who voted for it are the YEA’s and those against of the NAY’s

YEAs —60
Akaka (D-HI) Baucus (D-MT)  Bayh (D-IN) Begich (D-AK) Bennet (D-CO) Bingaman (D-NM) Boxer (D-CA) Brown (D-OH) Burris (D-IL) Byrd (D-WV) Cantwell (D-WA) Cardin (D-MD) Carper (D-DE) Casey (D-PA) Conrad (D-ND) Dodd (D-CT) Dorgan (D-ND) Durbin (D-IL) Feingold (D-WI) Feinstein (D-CA) Franken (D-MN) Gillibrand (D-NY) Hagan (D-NC) Harkin  (D-IA) Inouye (D-HI) Johnson (D-SD) Kaufman (D-DE) Kerry (D-MA) Kirk (D-MA) Klobuchar (D-MN) Kohl(D-WI) Landrieu (D-LA) Lautenberg (D-NJ) Leahy (D-VT) Levin (D-MI) Lieberman (ID-CT) Lincoln (D-AR) McCaskill (D-MO) Menendez (D-NJ) Merkley (D-OR) Mikulski (D-MD) Murray (D-WA) Nelson (D-FL) Nelson (D-NE) Pryor (D-AR) Reed (D-RI) Reid (D-NV) Rockefeller (D-WV) Sanders (I-VT) Schumer (D-NY) Shaheen (D-NH) Specter  (D-PA) Stabenow (D-MI) Tester (D-MT) Udall (D-CO) Udall (D-NM) Warner (D-VA) Webb (D-VA) Whitehouse (D-RI) Wyden (D-OR)

NAYs —39
Alexander (R-TN) Barrasso (R-WY) Bennett (R-UT) Bond (R-MO) Brownback (R-KS) Bunning (R-KY) Burr (R-NC) Chambliss (R-GA) Coburn (R-OK) Cochran (R-MS) Collins (R-ME) Corker (R-TN) Cornyn (R-TX) Crapo (R-ID) DeMint  (R-SC) Ensign (R-NV) Graham (R-SC) Grassley (R-IA) Gregg (R-NH) Hatch (R-UT) Hutchison (R-TX) Inhofe (R-OK) Isakson (R-GA) Johanns (R-NE) Kyl (R-AZ) LeMieux (R-FL) Lugar (R-IN) McCain (R-AZ) McConnell (R-KY) Murkowski  (R-AK) Risch (R-ID) Roberts (R-KS) Sessions (R-AL) Shelby (R-AL) Snowe (R-ME) Thune (R-SD) Vitter (R-LA) Voinovich (R-OH) Wicker (R-MS)

Not Voting – 1
Enzi (R-WY)

The vote was down party lines this time but when Republicans were in power they were not responsible spenders either.  There must be a moratorium on the deficit then gradually eliminate the debt.  Let’s have Congress pass a law that the national debt ceiling is lowered to $13 Trillion and gradually lower it at least 5% each year after that.  Lots of sacred cows will have to be slaughtered and there will be citizens complaining but if we are to survive surgery is required.

13 is a great number.  It is the number of colonies that joined to form the United States and the original number of stars on the US flag.  In the Great Seal of the United States there are: 13 olive leaves (with 13 olives), 13 arrows, and 13 stars, all forming a triangle over the eagle with the number 13 on each point.  On the pyramid there are 13 levels.

The Apollo 13 mission failed, but is one of the most inspiring space adventures in history.  All three astronauts returned safely to Earth.  I recommend the movie of the same name.

13 Trillion can be a turning point for America,  We can return safely to sound economics, yes we can, but not with the current spending intoxication.

Word Up Obama

Bad Economics Kill Economies!

Artificial manipulation in the short run kills stability in the long run.

People of the United States of America….Your current President has an unsustainable philosophy!  After reading this post, watch to video to see what philosophy he subscribes to.

Your only real power in the US government is to pester, pester, pester your Senators and Congressional Representatives.  That’s it.  Kill this new proposed budget by the Obama Administration if you disagree with it by being a Congressional Pest.  It is so bloated it’s reaks like a pack of swollen dead skunks on the side of the road.  A one year deficit of 1.56 Trillion at least.  If revenue doesn’t meet expectations then its worse.

The total budget is $3.8 Trillion.  So, 41% of the proposed budget is provided by hawking some Treasury bills to the pawn shop, selling out our country.  Our national debt will be over $14 trillion if approved.

Call your Congressional leaders to say no on your behalf to such an outrageous glut.

We are as a people participating in one of the seven deadly sins – GLUTTONY – “the over indulgence and over consumption of anything to the point of waste.”

We the people are wasted, intoxicated with self indulgent spending and it’s coming to the point of no return.  A reversal must happen drastically and quickly.  If the deficit is eliminated that’s a start, then work on the debt.  In the long run our country will be extremely strong when it doesn’t have to pay $500 billion (and growing) for interest per year.  At current projections it will be a trillion a year soon just for Congresses credit card interest.

Congress VOTE NO.  Protest the Obama Administration’s budget by burning your martini’s at lunch, slap your favorite lobbyist, wear t-shirts on the floor of the house and senate that says “Down with the Deficit and Debt!”

The new American Motto must be “Pay Down As You Go” not just pay as you go.  We individually and collectively must get out of debt, the new bondage.  We are soon to be worse off than we were under the rule of King George.

A Second American Revolution must take place – a revolution of thought and action.

To remedy our sorry situation means hard choices.

1.  Cut the spending radically.  A serious spendectomy will be painful but necessary.

2.  Zero tax cuts until the National Debt is substantially reduced.

I propose scrapping ALL Federal Welfare and unconstitutional expenditures! – Wipe out Medicare/Medicaid, eliminate Social Security (pay back all that was paid in plus adjusted for inflation) and all unconstitutional expenditures (See the enumerated powers of Congress in the Constitution.  If it isnt in there SCRAP IT).  A gradual approach is always better but we are almost out of time for a gradual approach.

I propose a phased elimination of the of Social Security and Medicare/Medicaid taxes only when those programs are eliminate and only when the National Debt is seriously diminished.

Place the burden squarely back where it belongs – on the individual.  The individual then can go to their family, local community, church or charitable organizations, and their city or state if they want to assume the roll of charitable organization.  A much stronger social network exists rather than the monolithic impersonal cradle to grave approach.

Governments roll is that of governance and common defense.  Charity belongs with individuals, families and HMMM… charitable organizations.  Stop the raid on the Treasury!

My buddy Thane showed me this entertaining version of the economic theory battles raging today.  Thanks Thane!

Which Would You Scrap?

Those above items are the largest items on the budget.  The fourth one, the interest on national debt is enjoying the lowest interest rates in decades.  That will not last.  The time soon will come when no one will want to purchase anymore treasury bonds or promisary notes from the US.

When that happens you will see the interest rates go up fast unless we start paying down the debt.  The US is already in danger of losing its AAA credit rating.

In 2010, for every interest rate percentage increase, the US, will have to pay $120 billion more per year on the national debt.  A 4% interest rate increase would increase the annual interest payment to over $880 billion.  That is assuming we have no more deficit spending.  When’s the last time that happened??  1969.

Every decision will be unpalatable and downright painful.  Every American will scream that their Ox is being gored.  The federal government has no constitutional business running Social Security, Medicare/Medicaid, welfare and many other things its doing but seduction politics works.  It’s a Titanic heading for the iceberg and our politicians are having a party in the ballroom.

There is still time but I don’t see the political will from Americans and their politicians.

The people have proven they won’t vote for anyone who will take away their candy even if they have diabetes.

Disaster is imminent unless we get some real leadership in congress.

You Can Fool Some of the People Some of the Time

Are you a fool?  We’ve all been suckers but are you one right now?

I respect, admire and love Abraham Lincoln.  I love his statement:

You can fool some of the people all of the time, and all of the people some of the time, but you can not fool all of the people all of the time.

What percentage of the people do you need to fool to be totally effective?

The Answer —— 80% for a fool proof con job.  The closer you are to 80%, the less the minority matters.  Once you get to 80% the effect I call ‘The Reverse Pareto Principle’ kicks in.   In business, the Pareto Principle is basically that 80% of the effects come from 20% of the causes.

In politics, if you can convince 80% of the participating public of anything, the other 20% doesn’t matter.

For example, right now the American people are seduced into believing that they deserve or are entitled to Social Security, Medicaid/Medicare, etc.  As I’ve said before, theft in the name of charity is still theft. The governement has no business playing Robin Hood.  By the way, was Robin Hood sincerely trying to change the system or gaming the system?

Over 80% of the people believe they are entitled to what is outside of the Constitutional guidelines.   Yes, we are violating the spirit and the letter of the Constitution regardless of what certain Communistic Supreme Court judges rationalize.

Here’s where we’re being fooled:

1. “I’ve paid into the system for years”
2. “It’s my right as an American (to get something for nothing)”
3. “It’s set up for me so why not take advantage of it”

Until the national debt and national deficits are wiped out, there is no reason for a tax cut.  Cutting taxes at this point without eliminating more than what is being spent is recklessly irresponsible and dangerous.  We are taxed too much but until we shake off the Socialism entrenched into the fabric of our country.

We must eliminate the Federal Dependency System.  Independence and Freedom must rule.

Here’s a nice website showing our collective irresponsibility.  The image below is as of 1-16-2010

Click on the image to get the latest shock.

All our collective Irresponsibility

Obama May Declare Carbon Di-Oxide a Dangerous Pollutant

The Truth Be Damned – Full Speed Ahead!

That seems to be what the Obama administration is doing regarding Global Warming.  After the recent fraudulent cooking of the Global Warming Books, the EPA acting under the guidance of President Obama may declare Carbon Di-Oxide a dangerous pollutant and start self creating rules and regulations on businesses in the US.

A big ship like the US Government needs a leader that has the ability to take decisive and correct action.  Ignore the warnings and you’ll get Titanic results.

The warnings of the Global Warming scam have been raised and yet the Obama administration seems to be blind to the fact of questionable data, lying scientists, deceitful profiteers in the name of saving our planet.  What’s new?

What’s old is the seeming willful ignoring of valid facts that we’ve been systematically lied to for a long time about Global Warming.

Note to Obama Administration, “When you’re headed for a cliff DO NOT “Put the pedal to the metal”.

If Obama allows the EPA to declare Carbon Di-Oxide a dangerous pollutant, he might as well go out and buy a big red nose, a big multi-colored rainbow wig, big floppy shoes and join Barnum and Baily’s Big Top.

READ THE WALL STREET JOURNAL TO SEE MORE WHAT I’M TALKING ABOUT

You’ve Got To Be Kidding

If I didn’t read it for myself, I would think someone is pulling a massive pre April Fools gag.

Regarding the Global Warming scientists emails being retrieved and distributed to the world, Barbara Boxer said the fraud exposers should be treated as criminals.

CRIMINALS?  They should be treated as Heroes!  Boxer has showed her true colors.

Boxer, the top liberal Democrat on the Senate Environment and Public Works Committee, said that the Climategate e-mail exposure should be treated as a crime.

Were it not for the clandestine files being hacked, we would not have been shown the truth, that many so called scientists consistently fudge the numbers for Global Warming.

I’m pinching myself.  She said WHAT?  The people who exposed these intellectual and political charlatans should be HERO’s.

Prince Albert Gore’s Nobel Peace Prize should be yanked and given to the real “Inconvenient Truth” Exposers.

The height of idiotic arrogance and purposeful ignorance of Barbara Boxer is shocking.

Face the music Barb – Your Ox Has Been Gored – Al Gored!  Grow up and accept your latest power and money grab ain’t gonna fly.  You should be arranging a federal holiday, “The Day Global Warming Died” to coincide with Thanksgiving so we could all thank God for honest hackers.

Word to Barb – those emails were supposed to have been disclosed previously.  If you want some criminals – there you go – or you could look in the mirror!

BARBARA BOXER SAYS HACKERS ARE CRIMINALS

The Temperature is Rising on the Global Liars

Anyone who has had faith in the religion of Global Warming must now repent and cast aside their folly.  Repent in sackcloth and ashes.  Be humble and seek forgiveness for the error of your ways.

There has been and is a systematic policy among these so called academics to steal money from the general population so they can steal more money.  It’s bad enough having a thief steal from your home.  They expect us to keep giving them the key to our home so they can rob us at will.

What an “Inconvenient Truth” for Prince Albert Gore to have the Truth Inconveniently revealed.

Raw data on Global Warming has been destroyed that would clearly show their manipulation of data .  Talk about a cover up.  Worse than “Tricky Dick Nixon”.  This is a gang of thieves that cannot be swept under the rug.

A full investigation of the UN crooks must be had.  We are supporting a criminal organization that is simply trying to fleece us.  They must be defrocked.

DATA IS DUMPED

IT’S WAY WORSE THAN YOU’RE BEING LED TO BELIEVE

Lies Lies Lies Yeah – Global Warming

Enjoy this classic and ask

“Who’s in Bed with Whom?”

The Liars have been caught red – or should I say “Warm” handed

The United Nations IPCC global scientific group has been hacked and found to be cooking the books to influence policy makers around the world to buy into the global warming hoax.  The inner circle of conspirators stand to make a great deal of money if Cap and Trade etc. goes through.  This includes Nancy Pelosi’s family, Prince Albert Gore and many other Decepticons.

An article in the New American:

Global warming alarmists are scrambling to save face after hackers stole hundreds of incriminating e-mails from a British university and published them on the Internet.

The messages were pirated from the Climatic Research Unit (CRU) of the University of East Anglia (UEA) and reveal correspondence between British and American researchers engaged in fraudulent reporting of data to favor their own climate change agenda. UEA officials confirmed one of their servers was hacked, and several of the scientists involved admitted the authenticity of the messages, according to the New York Times…

Climatologist Patrick J. Michaels, “This is not a smoking gun, this is a mushroom cloud.” The e-mails implicate scores of researchers, most of whom are associated with the UN’s Intergovernmental Panel on Climate Change (IPCC), an organization many skeptics believe was created exclusively to provide evidence of anthropogenic global warming (AGW).

Scientific liars?  It seems there is a scientific liars club, a Dead Scientist Society if you will.

Scientists are to be trusted as truth seekers.  This is worse than Enron, Worldcom, MCI, Merril Lynch, Fannie & Freddie Mac all put together because the costs would be far greater for far longer if we allow the liars to shove the “Crap and Trade” and other false science based laws down our throats.

Even Science Czar John Holdren involved in “Climategate”.

These researchers are worse than politicians.  Scientists are supposed to be smarter.  We’ve come to expect politicians to lie.  Just watch the Sunday political shows to see a fresh pack.  Of course there are some honorable politicians but they are in the minority.

I would like to see the Nobel Peace Prize Yanked from Prince Albert Gore.  Tell a lie long enough and people will believe it – UNTIL THE TRUTH COMES OUT!

Senator Inhofe of Oklahoma is leading the charge for a full blown investigation of “Climategate”.  Folks, this is huge.

Warming Liars found in New Zealand!

Other related posts:

Climategate

Global Shmorming

Al Gore’s A Wh__!

It’s Just a Trillion

What’s the big deal?  It’s just a trillion dollars to do the health care, or stimulus, or bailout, etc. etc.  We’re already in over our heads by 12 trillion right now sow what’s the big deal about another Trillion?

It was a big deal when the Federal Deficit and the Federal Budget cracked a Trillion back in the late 80’s.  It’s emotionally less of a big deal now isn’t it?

As I’ve said in previous posts, spending estimates for a new program are almost always extremely under estimated on purpose so the bills will pass.

Senators will vote soon on whether to raise the debt ceiling.  Is it a foregone conclusion that they will raise the debt limit for ‘We The People’?  Do they automatically have to vote yes?

If they vote no, what would happen?  We would automatically be forced to live within our means as a country.  Drastic cuts would have to happen.  The House of Representatives would be forced to slash and burn vast swatches of the budget.  The other option would be to default on our loans, our treasury bills and tell the holders of the notes to take a flying leap.  Our credit rating as a nation would be in the toilet and no one would loan the US any cash.

Does your Senator have the courage to do the tough job and vote no on the debt ceiling?  Do they have real courage so that our out of control House and Executive branch will do its job and only spend within our means?  The Senate was designed to be a wise protection group.  Do they have the will?

The only thing we little people can do is to call and write our Senators and Representatives and go to their town halls and tell them to say no to the increase of the debt ceiling and start cutting our spending now not down the road!

Put the Congressional Credit card back in the wallet or have it taken away.  Do we want to be the land of the free or the home of the enslaved?

The National Debt as of November 2009 is over $12 Trillion.

The average price of a home in the US is $175,000.  How many homes can you buy with $12 Trillion?

OVER 68 million homes!

Look at this graph and ask yourself, “How Long Can This Continue?”

What goes up cannot keep going up

The graph is 4 years out of date because the 2010 US federal budget is over $3.60 trillion.

Call, write and visit your Congressional followers.  Perhaps someday we will have real leaders.

Watch this video and multiply by 12, 13, 14…. or whatever our debt will be.

Nobel Prize?

Just before Obama was announced as the Nobe Peace Prize winner, Saturday Night Live powerfully and eloquently listed the achievements  for President Obama.

Click the image below and see the LOL truth.

What did he do to deserve the Nobel Peace Prize?

It’s the Debt Stupid!

What gives a bank confidence enough to loan someone a wad of cash?  There are many factors but the three main factors are:

1. Assets, liquid and hard
2. Cash flow – ability to make keep obligations.
3. Debt to income ratio.

The United Nations has now called for a new global reserve currency which has allowed the United States to build a huge trade deficit.  There are many implications for this action.

The old saying, “The Buck Stops Here!” is becoming a reality for the United States.  The US National Debt and Budget deficit, the national trade deficit, personal and business debt all are leading us to a crisis of catastrophic proportion.

The Buck spending must be drastically cut back before the Buck will stop on its own.  It will stop being of value.  It will stop being circulated.  It will stop providing a reason to trust the instrument.  It will stop the United States of America in its tracks.

Now, I wrote my senators Kyle and McCain both Republicans and asked them to vote against raising the debt ceiling later this year.  If we keep raising the ceiling Congress can keep spending and the problem deepens.

I got a response from Kyl’s aid that said he voted against the stimulus package and another big spending items but there was no commitment to stop raising the debt ceiling. So much for checks and balances in government.  It’s more like write the checks without balancing the check book.

If “We The People” in order to keep a union, press our Congressional representative in the House and Senate to NOT raise the ceiling, they will force themselves and the Executive branch to cut by default.  We cannot keep raising the debt ceiling.

As I said in my post Don’t Look At This, do we have the leadership that will do what it takes?  It doesn’t look like it right now.  When will it be too late?

When the US currency falls from grace, you will see a disruption of monumental proportions.  The Chinese, Japanese, Saudies, and other countries of the world will stop buying the Treasury Bonds to fund our ever increasing debt.  Our own people, pension funds, investment funds etc. will lose confidence in the long term stability of the dollar and stop buying the Treasury bills.

We will have increased interest rates and our creditors will come calling.  Our current spend-oholic days will be over and the balance sheets will be very bloody.  We won’t be able to sell our debt.  Nobody will be buying.  We will also have to repay our obligations.

$12 Trillion at least right now is the total debt we owe.  Some items haven’t been posted but the checks have been written.  How much is $12 Trillion?  Let’s say we have 140 million working people in the US right now.  That is about $86,000 per working person.  Interest each month is about $360 at 5%.  Double that if it goes to 10%.  If you want to pay down on the principle of the debt say, $200 per month it would take 35 almost 36 years to pay off.

I didn’t include the current deficit spending.  We are not even paying our current government bills.  This year we overspent $1.8 Trillion dollars.  That’s another almost $1100 per month per working person, almost $13,000 per year per working person.

So, if we add this all up:  $360 interest plus $200 pay down on principle plus $1100 for current deficit spending, that equals $1660 per month every working person must pay to keep up and pay down the debt a little.  That is always a moving target but I hope you get the idea.

There are more people retiring at a greater rate so instead of helping pay current bills and reducing debt they will be pulling money out instead.  What are we going to do?  The crisis is real and the rest of the world sees it even if we refuse to.

We the people must DEMAND accountability from our representatives and ourselves.

All Federal welfare has to stop on every level and provide only the basics of a Federal Government as outlined in the constitution.  We are breaking the rules every day.  We violate and expect no consequence?  Let us wake up as a people and do the right thing, do the hard thing, do the American thing.

So, we can’t afford to borrow any more.  The Buck must Stop Here!  Our people and our land of freedom are our biggest asset, our cash flow represents our ingenuity and business but our debt to income is a serious problem that affects the first two.  Do it now or have it done to you worse later.

Poland Doesn’t Like Obama’s Socialism

Nothing personal  – It’s just business.

I went to a little get together last night at a friends house for dinner.  Another guest at the party went to The Czech Republic for 3 weeks on business and had just returned.  The weather and countryside was beautiful.  He visited Prague and other notable cities as well as Auschwitz.  He commented that he didn’t know how anyone could possibly believe Ahmadinejad’s fairy tails that the Holocaust didn’t happen.

One attorney he was working with was from Poland.  It was an off hand comment the attorney made after discussing Obama pulling out of the missile defense program but it was powerful.

The attorney said, “In Poland, we don’t like Obama’s socialism that leads to Communism.  We’ve already been there and hated it.”

Let’s see.  In one of the Obama sick care bills the penalty for not buying health insurance is $1900.  The criminals that fail to pay penalty is being slapped with a misdemeanor and could face up to a year in jail or a $25,000 penalty per Thomas A. Barthold (Chief of Staff of Joint Committee on Taxation).

Let’s see, I would rather buy bread than insurance?  I would rather starve than dis-obey Obama?

Oh, now I’m one of those wild people who distort his truth.  Let me reiterate –

“In Poland, we don’t like Obama’s socialism that leads to Communism.  We’ve already been there and hated it.”

We’re not fully there and I hate it.

A Really Smart Guy Agrees With Me?

What, did this guy read my blog and rip off my thoughts?

Here is what he said in a nut shell.  By the way, he is one of the Guru’s that THE financial Guru’s worship.  His name is Julian Robertson.

You may not know Julian Robertson. He is a legend in the hedge fund industry. So when Mr. Robertson talks, people definitely listen.

On CNBC, he said “It’s almost Armageddon if the Japanese and Chinese don’t buy our debt… I don’t know where we could get the money. I think we’ve let ourselves get in a terrible situation and I think we ought to try and get out of it.”

“We’re in for some real rough sledding…I really do think the recession is at least temporarily over. But we haven’t addressed so many of our problems and we are borrowing so much money that we can’t possibly pay it back, unless the Chinese and Japanese buy our bonds.”

He was asked if Japan or China would stop buying our bonds.  He suggested that neither country would want to stop buying, but the Japanese in particular might be forced to. Japan has been in a recession for nearly 20 years. Robertson suggests that they might actually need the money at some point down the road.

Imagine that.  Others want to cash in their chips on the US debt someday.  so, not only will we not be able to sell new bonds but we’ll have to pay back the old ones.  Do I hear “There’s a run on the BANK!”  If all the US creditors came a callin at the same time, what would that be like?

Robertson says it is a tragedy that we’ve been put into this positions by our leadership “who seem afraid to tell the public that we have big problems…We need to stop spending, cut back, and increase savings – and until that happens I don’t think we are out of the woods.”

Robertson thinks that inflation may be a real threat in the future. Robertson says, “If the Chinese and Japanese stop buying our bonds, we could easily see [inflation] go to 15 to 20 percent.” He also said, “It’s not a question of the economy. It’s a question of who will lend us the money.  If they don’t… It’s crazy.”

You may not know Julian Robertson. He is legendary in the hedge fund industry. When Mr. Robertson talks, people listen.

On CNBC today he said, “It’s almost Armageddon if the Japanese and Chinese don’t buy our debt… I don’t know where we could get the money. I think we’ve let ourselves get in a terrible situation and I think we ought to try and get out of it.”

“We’re in for some real rough sledding…I really do think the recession is at least temporarily over. But we haven’t addressed so many of our problems and we are borrowing so much money that we can’t possibly pay it back, unless the Chinese and Japanese buy our bonds.”

He was asked if Japan or China would stop buying our bonds.  He suggested that neither country would want to stop buying, but the Japanese in particular might be forced to. Japan has been in a recession for nearly 20 years. Robertson suggests that they might actually need the money at some point down the road.

Imagine that.  Others want to cash in their chips on the US debt someday.  so, not only will we not be able to sell new bonds but we’ll have to pay back the old ones.  Do I hear “There’s a run on the BANK!”  If all the US creditors came a callin at the same time, what would that be like?

Robertson says it is a tragedy that we’ve been put into this positions by our leadership “who seem afraid to tell the public that we have big problems…We need to stop spending, cut back, and increase savings – and until that happens I don’t think we are out of the woods.”

Robertson thinks that inflation may be a real threat in the future. Robertson says, “If the Chinese and Japanese stop buying our bonds, we could easily see [inflation] go to 15 to 20 percent.” He also said, “It’s not a question of the economy. It’s a question of who will lend us the money.  If they don’t… It’s crazy.”

This is his older interview but very interesting:

Orphan Israel

Sticks and Stones may Break my Bones but names will never hurt me?

That’s the biggest crock ever.  That’s a child’s rhythmic defense from somebody’s tongue lashing hurting them.  We all know that words are powerfully damaging.  Just ask President Obama being told in front of the world “You Lie!”

Nancy Pelosi doesn’t like candid words that go against her and moved to sensor them from the Congressional language.

What do President Obama and Comrade Pelosi have to say about Iran’s president Mahmoud Ahmadinejad’s continued lethal language against Israel?

As reported in a Reuters story today, his words of threat to annihilate Israel continue uncensored and unchecked.  Who is going to say or do anything about the 900 lb. gorilla in the room?

Will the Obama administration create a resolution condemning the destructive tongue? This is no remote island king with a central nervous system breakdown.  This is Iran with 70 million people, rich oil reserves, and nuclear weapon capability soon.

VIENNA AP – Experts at the world’s top atomic watchdog are in agreement that Tehran has the ability to make a nuclear bomb and is on the way to developing a missile system able to carry an atomic warhead, according to a secret report seen by The Associated Press.

In the article Ahmadinejad repeats his deluded belief that the holocaust didn’t happen.  For those of us who were not there during and immediately after World War II, he in essence is calling our parents, grandparents in the military and intelligence services liars.  He’s calling the elderly woman I met in Phoenix a few years ago, who was on the chopping block when Allied forces saved her from the executioner, a liar.  Steven Spielberg and all the descendants who went through Oscar Schindler’s saving efforts have been duped and deluded and are simply pawns if you believe Ahmadinejad.   Don’t bother asking any of the countless eyewitnesses in the German forces who have apologized for not doing more.

Ahmadinejad is under some powerful hypnotic force to be able to sweep the mountains of evidence that Hitler was who he said he was, and did what he said he was going to do, when he got into power.  Hitler’s plans were written in ‘Mein Kampf’ and formalized in other documents, that his Aryan superiority was being threatened by the lazy Jews.  He made good on his promises when in power.

At the time, warnings were raised and ignored inside and outside of Europe.  Most good people couldn’t believe that leaders and a whole country would participate in something so outrageous.

Fast forward to today.  Is history repeating itself?  Do our leaders believe that Ahmadinejad is posturing or do they take him seriously?  Will he use Iran’s nuclear capabilities for power generation or simply generating power for himself?

Do we roll over and play possum?  It’s not the USA that he’s threatening, or it it?  It isn’t a far stretch from “Death to Israel!” to “Death to America!”  (Wait a second, that sounds familiar.)  Death to Freedom?

What are the activities of the Obama Administration telling us?  Make your own conclusions.

This article from a former top US intelligence official warns that the Obama Admin. is breaking ties of friendship and may push for the dissolution of the Jewish state.

Just dissolve the state of Israel thenAhmadinejad won’t bomb it, right?  That will solve the problem, just take away the State of Israel’s power to govern themselves and the problems go away.

The only problem is that about 80% of the humans are Jewish, that’s if Ahmadinejad will concede that Jews are people.  I’m not joking.  Ahmadinejad may reason, how can you get rid of the problem Jewish people cause, without getting rid of the people.

Don’t make the mistake and believe that if you get rid of the State of Israel organization that you get rid of extremist Arabs hatred of Jews.  Extremists are in power right now.  Imagine if we allowed Hitler to develop and deploy nuclear weapons?  Consider this: What’s in store for those who do nothing?

Let The Trade Wars Begin

Here it comes.  The trade wars.  This is the first real shot being fired.

In a New York Post article Saturday September 12, 2009, the Obama Administration is firing the first shot that will escalate into what I believe will turn into The Trade Wars of our lifetime. Newtons laws don’t take into account human nature so ‘Every action has an equal and opposite reaction’ only works in physics.  In the world of dynamic world economics it goes something like this ‘Every action has an exaggerated and inequitable over reaction which reverberates until available energy and resources to over react are exhausted.

This is the most extreme of consequences but it is one.  The pressures are continuing to build.

Something was bound to happen.  The Bush Administration failed to act  against the industriously undermining policies and practices of the Chinese government who fixed their currency, suppressed equity inside and outside their borders, while the Bush doctrine was to hope that everyone would just play nice and it would all come out in the wash.

With the imbalanced valuations of commodities and a mans labor and intellect from country to country, with its command economy, China is simply playing for keeps.

The US Government unfortunately is in a very vulnerable position, the most vulnerable in peace time history.

It has a recession on its hands, a trade deficit, a budget deficit and a national debt business and personal debt at record highs, and a congress that spends constantly like drunk in a liquor store with a stolen credit card.  They’re still trying to spend their way into prosperity.  Here’s a reminder video showing the mentality of Congress.  Even though it’s almost a decade old, the interview still rings true.  The emperor has no clothes.

Make no mistake, there is always economic war before the bombs and bullet ones.  Be prepared for what may come.  Be good Boy Scouts and Girl Scouts.

An Apology for ‘You Lie’

Who should be apologizing?  The one who lied or the one who called it like it is?

Why isn’t President Obama apologizing for lying?

The other South Carolina Senator confirmed about Joe Wilson, “… he’s right that the bill could allow coverage for illegal immigrants,” Sen. Jim DeMint said. “Democrats twice defeated amendments that would have required citizenship verification of these programs, and the nonpartisan Congressional Research Service has confirmed that illegal immigrants could receive coverage under the bill. As Americans have learned on the bailouts, stimulus, and now health care, the President’s rhetoric does not match his policies.”

Why isn’t anyone busting BO’s chops hard for “Making a mistake” about his bill that he’s trying to shove through the halls.  Isn’t he smarter than making a blaring mistake like that?  What, he’s got a bunch of buffoons on staff that can’t read?  Perhaps they’re not allowed to read bills like Congress hasn’t been allowed to lately.

I’m sorry but if you’re calling groups of people liars and individuals who disagree liars right before making a huge stupid blatant LIE/MISTAKE in front of the Congress and the country, you should be called out immediately.  Three cheers for Joe the Congressman!  He was the voice of truth seekers everywhere.

After President BO lied there was a little grumbling heard from other Congressmen when he said There are also those who claim that our reform efforts would insure illegal immigrants.  This too is false.”  Grumble grumble.  “The reforms I’m proposing would not apply to those who are here illegally.”  Representative Joe Wilson had perfect audio timing  and said, “You Lie!”  Just like a bolt from the blue or one of Mike Tyson’s uppercuts to his opponents jaw, it was a moment of truth.

We need more Congressmen to speak up like that, raise a stink and make a scene.  To quote Steve Martin.. Excuuuuuuse ME!  Didn’t the Damn-O-Crats rudely boo President Bush many times during his addresses to Congress, call him all sorts of names as well as liar?  What you don’t like it back at you?  It’s undignified?  Your poop don’t stink?

I’m ashamed of Democrats and Republicans decimating the constitution, and fiscal responsibility in the name of political greed.  The Democrats win, the Republicans win and the people lose!

I say time for a little shaking of the liberty tree so that some of the lies will fall out!

How High is Too High?

Call your Senator!

The dollar is falling again, the UN wants to strip the dollar as the standard currency, gold went above $1000 per ounce and our government wants us to go further into debt?

If the Senate authorizes it, the debt ceiling will be raised above $12 Trillion.  I keep running into people who say “Trillion?’  They can’t comprehend it.

Do the American people have the will and the power to say no to ourselves?   It’s mine!  I deserve it!  I’m entitled.  We’re entitling ourselves to death.  Can we take

The world is starting to say no to us more and more.  The Chinese who hold $2 Trillion of our debt could hurt us tremendously right now.  All they would have to do is refuse to buy any more Treasury bonds.  The implications would be felt worldwide.  All sorts of scenarios are possible then.

Call your Senator and say HELL NO.  We want to pay down the debt not get it bigger and bigger.

I blame both parties but our current leadership is speaking out of both sides of the mouth.  Do we expect anything less?

“Washington is shifting the burden of bad choices today onto the backs of our children and grandchildren,” Guess who said that?  Obama  in 2006 before a Senate vote to extend the debt limit. “America has a debt problem and a failure of leadership.”  Oh REEEEEEELY Now.

Who is to blame now?  Who is going to lead?  Who will make the hard decisions that will lose votes?

Lose our country or lose some votes, what’s more important?  Political courage, a famine in the land.

Read more details at The Hill.

If you think everything is OK and we’re going to be able to keep our promises to all the Social Security and Medicaid and Medicare and welfare recipients, look at these graphs:

As you can see here, in the 1950’s the elderly were not a huge segment of the population.  Today, they are far more substantial.  In 2050 we’ll be imbalanced.   The number one item of the US budget is Medicaid/Medicare at over $700 billion.  #2 is Social Security.  #3 is Interest on the debt.  #4 is Defense department.

Pretty soon, the elderly portion will be burying us alive.

May He Rest In Peace as well as His Policies

I lived in the Boston area many moons ago.  I went on the Freedom Trail, an awesome experience.  It starts in Boston Commons, a little grassy park in the middle of the downtown concrete jungle of Boston.  A little booth at the time led me down a painted red stripe on the sidewalk which turned into red bricks and back and forth all the way through the historic parts of old Boston, Paul Revere’s house, the Old North Church – one if by land, two if by sea (or is it the other way around?), Bunker/Breeds hill and the USS Constitution, Old Ironsides at the end of the trail.

I then went as a squeaky behind the ears young adult lad to the Kennedy Presidential library.  I admired the display of his heroic events on the PT-109 boat and mused a bit over the desk he used as President.  I read the statement of his father Joseph Kennedy that goes something like, “It’s not the money a man’s made but the family he’s raised.”

I left the library feeling good about my experience and chose to share my experience the next morning with a respected older man that I worked with at the time.  I fully expected a statement of congratulations in observing a great statement.  I instead was shocked and surprised at his reaction.  He launched into a bitter attack on Joseph Kennedy’s character as having helped fuel mobsterism and civil discord during the prohibition era.  I had no idea that bootlegging and running illegal operations is how the Kennedy’s came up with their nest egg.  What a surprise.

That was my innocent introduction to a more intimate understanding of the Kennedy family.  President Kennedy was assassinated when I was a baby or toddler.  I really wish that had never happened.

Edward (Ted) Kennedy is to be honored for his good.  The bad will hopefully be forgiven and forgotten.

I do hope that with Ted Kennedy’s passing that his ideals for a full USA Socialistic health care system also passes with him and not in  Congress.

Ted Kennedy took a large roll in pushing Medicaid/Medicare upon the USA like a drug dealer pushes some free cocaine on a new user.  That way the user is hooked and wants more and will do whatever they can to get it.  Forget about consequences, they’ve got to have it now.

The unfunded liability of Medicaid/Medicare is burying the USA and we don’t even realize it.  $700 Billion this year and climbing.  It is the largest item in the budget, more than Social Security, Interest on the debt, or Defense Department.  The baby boomers will become baby beggars soon and the till and well will be dry.  I’m at the end or just out of the Boomer Generation depending on who you talk to.  Forget about it you Gen X’ers there’s none left for you either.

I’m all for true Socialism – people freely giving anything and everything if they so choose to who, what where or how they choose.

No hard feelings Ted.  Rest in Peace.

Is it Racist to call someone a Racist?

My two cents about Glenn Beck and the attacks on his TV/radio show.

Glenn Beck’s pocketbook is under a boycott attack by a group that doesn’t like that Glenn said President Barak Obama has a “deep-seated hatred for white people or the white culture.” then responding to a clarifying question said, “I’m not saying he doesn’t like white people. I’m saying he has a problem.  This guy is, I believe, a racist.”

Personally I don’t believe anyone can eliminate 100% prejudicial bias from their perspective because of their perspective.  If you are a 100% ethnicity or 50-50 or like me a 25-25 10-10-10-5-5-5-3-2 or something like that, you just can’t get away from your rose colored glasses (no pun intended).

My ancestors fought with some of my other ancestors which is probably why I hate myself sometimes.

I’ve empathized with my black friends who tell me of their experiences being pulled over by cops who say and do things that are obviously prejudicially motivated.  I hate that.  I however as a white man in America have been pulled over by white cops who said some rude and demeaning things to me but I wasn’t about to get uppity with them and have them pull a Rodney King on me.

I don’t like to fight because no matter who wins everyone loses at least a little bit.  Sometimes you have to but those instances are extremely rare and most of the time can be avoided.

Was it stupid for Obama to say the Cambridge police acted stupidly?  Yes.  Has he said things that appear to be racist?  Yes.  Has he associated closely with some who appear to be racist?  Yes.  Was Professor Gates reacting as a jaded black man fighting against “The Man?”  Looks like it.  Did Mr. Gates have any alcohol on the plane?  Too many questions.

A talk show host talks for a living.  What was his purpose to call the President a racist?  Ratings or strong belief?

If it were me I wouldn’t have used those words to avoid inflammation.  Inflammatory language in society as well as inflammation in our bone joints simply hurts.

It is not racist to call someone a racist.  Some people just are, no doubt about it.  Perhaps we should let some people just think that they are not racist, even if they are, to have more civility.

Ronald Reagan said it best

In 1961 a private citizen Ronald Reagan spoke out against socialized medicine.   Who could say it better?

We’ve already set the precedent of socialized medicine with Medicare / Medicaid.  Abolish it.  We’re not a totally stupid nation are we?.  There are solutions to get a free country.  Communism and Socialism are not the answers.