Willem Buiter warns of massive dollar collapse

Americans must prepare themselves for a massive collapse in the dollar as investors around the world dump their US assets, a former Bank of England policymaker has warned.

Telegraph.co.uk

By Edmund Conway, Economics Editor
Published: 5:34PM GMT 05 Jan 2009

MPC founder member Willem Buiter. Photo: CHRISTOPHER COX

The long-held assumption that US assets - particularly government bonds - are a safe haven will soon be overturned as investors lose their patience with the world's biggest economy, according to Willem Buiter.

Professor Buiter, a former Monetary Policy Committee member who is now at the London School of Economics, said this increasing disenchantment would result in an exodus of foreign cash from the US.

The warning comes despite the dollar having strengthened significantly against other major currencies, including sterling and the euro, after hitting historic lows last year. It will reignite fears about the currency's prospects, as well as sparking fears about the sustainability of President-Elect Barack Obama's mooted plans for a Keynesian-style increase in public spending to pull the US out of recession.

Writing on his blog , Prof Buiter said: "There will, before long (my best guess is between two and five years from now) be a global dumping of US dollar assets, including US government assets. Old habits die hard. The US dollar and US Treasury bills and bonds are still viewed as a safe haven by many. But learning takes place."

He said that the dollar had been kept elevated in recent years by what some called "dark matter" or "American alpha" - an assumption that the US could earn more on its overseas investments than foreign investors could make on their American assets. However, this notion had been gradually dismantled in recent years, before being dealt a fatal blow by the current financial crisis, he said.

"The past eight years of imperial overstretch, hubris and domestic and international abuse of power on the part of the Bush administration has left the US materially weakened financially, economically, politically and morally," he said. "Even the most hard-nosed, Guantanamo Bay-indifferent potential foreign investor in the US must recognise that its financial system has collapsed."

He said investors would, rightly, suspect that the US would have to generate major inflation to whittle away its debt and this dollar collapse means that the US has less leeway for major spending plans than politicians realise.

Geithner Savaged On Unemployment During Fiery Capitol Hill Hearing

Burgess tells former New York Fed chief, “You should never have been hired” as Brady calls on Treasury Secretary to resign over Obama’s 7 million jobs deficit

Paul Joseph Watson
Prison Planet.com
Thursday, November 19, 2009

Congressman Michael Burgess scalded Treasury Secretary Tim Geithner during a fiery hearing on Capitol Hill this morning, telling the former New York Fed chief that he should never have been hired and demanding that the TARP program come to an abrupt end, shortly after GOP Rep. Kevin Brady had called on Geithner to resign.

“The public has lost all confidence in your ability to do the job,” Brady told Geithner during a heated Joint Economic Committee meeting, adding that he had failed to oversee an economic recovery before asking Geithner, “Will you step down from your post?”

Geithner responded by claiming that confidence in the economy was substantially stronger than before Obama took office, to which Brady responded, “Tell all of that to the millions of American who no longer have jobs because of your decisions,” adding, “At some point you have to take some responsibility for your decisions.”

“This is your budget! This is your bailout”, shouted Brady.

Obama pledged to create 3.5 million new jobs by 2010, however, with unemployment running at 10.2 per cent, and with 3.5 million jobs lost, the Obama jobs deficit stands at over 7 million.

Shortly after the fracas, Rep. Michael Burgess confronted Geithner on how TARP funds were used to bail out banks in Europe while the American people suffered with spiraling mortgage defaults and unemployment.

“We’ve got the TARP, it’s supposed to expire, why won’t we let it die a natural death rather than letting it painfully linger?” asked Burgess, to which Geithner responded, “We are working to put TARP out of its misery,” contradicting reports of a “second stimulus” being planned for early 2010.

Geithner’s claim that he was working aggressively to terminate TARP programs was met with Burgess’ response, “Well it looks like money is going out with little or no oversight,” which Geithner denied, despite the fact that Fed chairman Ben Bernanke admitted earlier this year that he didn’t know which foreign banks had received over half a trillion dollars in credit swaps when pressed by Congressman Alan Grayson, who this week introduced an amendment with Ron Paul to secure more oversight on money leaving the U.S. earmarked for foreign banks.

Burgess stressed that small businesses were frightened of adding jobs because they were worried about the potential costs of health care, regulation and the impact of the cap and trade program, stating, “We don’t need another stimulus, we need to provide some tax relief and then get the heck out of the way and the American economy will recover as it has always done.”

Referring to Brady’s comments, Burgess commented, “I don’t think that you should be fired, I thought you should never have been hired.”

“I’ll tell you, my constituents, they’re not just anxious, they are mad, they are fighting mad about what is happening in the economy, they’re fighting mad about what is happening in the stimulus,” concluded Burgess.

Watch the videos below.

ARE YOU ANGRY YET?

By Lynn Stuter
November 10, 2009
NewsWithViews.com

Tomorrow is Veterans Day, commemorating our men and women who fought (and died) to keep this country free under the Constitution and Bill of Rights established by our Founding Fathers.

On November 4, 2008, Barack Hussein Obama was elected to the office of president of the United States. The evidence grows that Obama is not an American citizen, was not eligible to the office he holds, should never have been allowed on the ballot in any of the 50 states.

1. Not one of the Senators of Representatives in Congress has actually seen Obama's birth certificate. They have seen pictures of a document posted on the internet, but they have not seen the actual birth certificate.

2. Hawaii claims to hold a birth certificate for Obama but that does not mean Obama was born in Hawaii. At the time Obama contends he was born (1961), Hawaii (Act 96, Session Laws of 1911, Special Session of 1909 and the Organic Act) allowed for the birth registration, in Hawaii, of foreign-born children. Until the actual birth certificate is produced and examined; where Obama was actually born is unknown and unproven.

3. No Hawaiian hospital is willing to own up to Obama being born there. Meanwhile, Obama and his half-sister have claimed he was born at two different hospitals. When Obama finally decided he was born at one particular hospital, internet sites set about to "correct" their stories to reflect his unproven claims, including the left-wing website, Snopes.com.

4. On page 26 of his book, Dreams from my Father (2004, paperback edition), Obama states he found his birth certificate in with other documents in his grandparents home. If Obama was actually born in Hawaii, such undermines the need for Hawaii to produce a laser printed document only produced after 2001—the Certification of Live Birth that has appeared in pictures on the internet, that Hawaii refuses to authenticate, and that forensic experts have dubbed a forgery.

5. Obama has claimed dual citizenship at birth, American by his mother, Kenyan by his father (actually, this would be British as Kenya was a British colony at that time). Historically, "natural-born" requires two American parents. This makes Obama ineligible under Article II, Section 1, Clause 5 of the United States Constitution, irrespective of the birth certificate issue. Whether a dual citizen at birth, indications are that Obama because an Indonesian citizen and remains so today.

6. African newspapers have consistently claimed that Obama is "Kenyan-born". One such article that recently surfaced is dated 2004. This means he did not have dual citizenship at birth was a British subject at birth as his mother was not of the age required to confer her citizenship to Obama.

7. Obama's paternal step-grandmother, Sarah, also claims he was born in Kenya and she was present at his birth.

8. Obama was listed, in the Soetoro/Dunham divorce papers, as dependent on Lolo Soetoro for the purposes of education. As Obama was over the age of 18 at the time, he could only be considered the legal child of Lolo Soetoro if he was legally adopted by Soetoro. Evidence points to him being adopted by Lolo Soetoro, to becoming (ca 1966) an Indonesian citizen. No evidence exists that he was ever an American or that he reclaimed American citizenship. The terminology used in the divorce papers may have been to facilitate Obama in receiving foreign student aid to attend college in the United States.

9. Indications are that Nancy Pelosi and other Democrat National Committee personnel knew Barack Hussein Obama was not eligible to the office of president; that the nomination of a non-American as the Democrat candidate was deliberate.

Since his usurping of the office of president, Obama has worked tirelessly to dismantle what remains of the once great nation, the United States of America. He has

1. plunged this nation $1.4 trillion dollars further in debt, more than any president in history;
2. pushed every piece of Marxist legislation to come forth from the House and Senate;
3. taken over private companies in violation of the United States Constitution;
4. used the public coffers to bail out his Wall Street benefactors;
5. used his public office to promote and assist radical left-wing organizations like the Black Panthers, ACORN, and Moveon.org;
6. surrounded himself with czars who have a known Marxist agenda;
7. traveled the world denigrating America and the American people;
8. bowed in fealty to his Muslim brothers;
9. partied hearty in the White House at taxpayer expense while Americans lost their jobs;
10. insulted America's allies at every opportunity while affiliating himself with the leaders of Marxist regimes.

More recently, one of Obama's Muslim brothers shot and killed at least 13 people, wounded at least 31 at Ft Hood in Texas. While former President George Bush and his wife, Laura, met with families, the wounded, and mourners, Obama was in DC, twisting the arms of members of the U.S. House of Representatives to pass his Marxist healthcare reform bill (H.R. 3962). After all, if he can't kill them with bullets, what better way to kill them than by withholding (rationing) health care?

In commemorating the men and women who have died for our country, for the cause of freedom, Public Television broadcast a show Sunday night on the vast cemeteries that sprinkle the European landscape where Americans fought and thousands died in World War II. They fought for their country and for those who came after them, their progeny.

And now we stand at the precipice of the totalitarian state with a man occupying the White House, usurping the Oval Office, who isn't an American; who has, by his own actions and words, declared himself a Marxist.

The United States Congress, assembled, has refused to remove this usurper sitting illegitimately as our president.

The United States Supreme Court, and lower courts, have refused to address the growing body of evidence that Barack Hussein Obama is not our legitimate president; going so far as to make the ludicrous claim that they cannot overturn the vote of millions, in essence saying that popular vote (if it could even be claimed to be uncorrupted) is above the law.

The mainstream media of the United States has refused to expose this illegitimate president. Indications are that their actions are the result of threats and duress should they expose Obama for the fraud he is.

If those who are supposed to uphold our laws, according to their oath of office, refuse to do so, then they leave the American people no choice but to take matters into their own hands.

This past week we have seen three shootings occur in this country—in Florida, in Texas, and in Washington state. Each of these shootings was directed against a company or government entity seen as unjust. This is the direct result of the refusal of those entrusted to do so, to uphold the law; this is a direct result of the corruption that permeates our government and the companies now seen as partnered with it in the fascist state. When the rule of law breaks down, and it has, then anarchy reigns.

All the men and women who have died for this country, it would seem, from the War of Independence to present day, have died in vain.

Are you angry yet?

Where The Hell Is The Outrage?

Mish's Global Economic Trend Analysis

Where's The Outrage?

I don't know about you, but I am outraged.

I am outraged and not just about Goldman Sachs, but about a process that allows, even encourages political pandering, by time and time again rewarding leveraged riverboat gamblers and failed institutions and at taxpayer expense.

I am outraged that real people are suffering massively while the influence peddlers have stolen the country for their own personal benefit.

I am outraged at a political system that is totally unresponsive to the American people.

I am outraged by campaign contribution and lobbying processes that allows corporations to buy votes with donations.

I am outraged how legislators ignored the wishes of the people who clearly did not want these bailouts in the first place.

I am outraged that very little of this is in mainstream media. Why is this stuff not on the frontpage of every newspaper in the country or at least in the editorial pages?

I am outraged that the average US citizen is not aware of any of this, instead depending on CNBC, or "The View" for their interpretation of the world.

I am outraged how special interest groups have exercised their power to monopolize the economy for the benefit of themselves, US citizens be damned.

I am outraged that all these bailout programs are doing nothing to alleviate the massive consumer debt problems. Every program, virtually every program was designed to bailout lending institutions, not consumers.

I am outraged at fees charged by banks receiving bailouts.

I am outraged over government pension plans and government pay scales massively out of line with the private sector.

I am outraged that Congress and this administration thinks the solution to massive budget deficits are still higher budget deficits in excess of a trillion dollars.

I am outraged about indictments. Paulson Admitted Coercion to force a shotgun wedding between Bank of America and Merrill Lynch yet no indictments were handed out. Let the Criminal Indictments Begin: Paulson, Bernanke, Lewis.

I am outraged that US citizens are not concerned enough and not educated enough to demand change.

I am outraged that the two party system has failed. Neither party has delivered meaningful change on budgets, on taxes, on social security, on deficit spending, on the size of government, on military spending, or fighting needless wars.

I am outraged at a Fed that purports to be "inflation fighters" when the only source of inflation in the word are central bankers, and their fractional reserve lending policies.

I am outraged that Greenspan and Bernanke could not see a housing bubble that 1000 bloggers could see.

I am outraged at the selective memory of Bernanke when speaking to Congress about these problems.

I am outraged that Bernanke's one sided response to asset bubbles, letting them grow without end, then bailing out the financial institutions that cause them.

I am outraged the Fed exists at all. It is a useless organization that cannot see bubbles, that panders to banks, that supports inflationary policies that are tantamount to theft by fraud.

I am outraged that the Obama Administration promised changed and did not deliver. "Yes We Can" was a lie. The reality is "It's Business As Usual, Only Worse, With Higher Deficits".

I am outraged there is not enough outrage over this.

Where the hell is the outrage?

Full article HERE

Bob Chapman on Alex Jones Tv:Economic Terrorism Against The Dollar

Alex talks with regular guest Bob Chapman of the International Forecaster about the economy.
http://theinternationalforecaster.com/

Force The Secrets From The Fed

The International Forecaster | October 16, 2009
By Bob Chapman

Our view is that the elitists are currently buying time for the dollar, and stalling the rally in precious metals, by weakening other currencies until they are ready for the big stock takedown/correction. This process of supporting the dollar is becoming extremely expensive and difficult, so they had to take the Dow down 200 points on Thursday to start some stock contagion in Asia and Europe to flush some money into dollars and treasuries. The FTSE, Nikkei and Hang Seng were all down big in the aftermath of Thursday’s US market takedown. We believe that the Illuminati will probably try to punish all the stock shorts in mid October on options expiration day by having one final round of short-covering before taking the markets down for the big correction to start a dollar rally just as the precious metals seasonal rally goes into full swing. This yellow fever crash is just a repeat of last year’s strategy, but it will not be as severe for purely political reasons. In this manner, they will flush everyone else out of their short positions so that only they can make any money when the boom gets lowered and there will be many put options that expire worthless in yet another round of total criminality reminiscent of what they just did to the gold and silver call options this month. They will make money on the big rise from short-covering, and then will reverse course to profit from the big takedown, all through the unregulated dark pools of liquidity so no one can see what is happening. This will be their last hurrah when it comes to suppressing precious metals, and gold and silver will come roaring back as any and all confidence is lost in the stock markets and the economy, and as the elitists are forced to start driving the markets back up again to avoid revolution. The dollar rally will quickly fizzle, and the elitists will start ratcheting the dollar back down again, this time toward the 71 area on the USDX, and who knows where from there.

The Illuminists, who own the Federal Reserve, are terrified that the Fed will be audited by the passage of HR1207 and SB604. They are now contemplating naming their borrowers. Our guess is guidelines and provision will be established for disclosure, but only to the Treasury Department.

Currently monetary-policy-operations regarding loans to banks and interest rate decisions are hidden from the General Accounting Office by law. The Fed, of course, doesn’t want you to see what they are up too. HR1207 would change that.

The opportunity to present a case for audit and investigation was created by the arrogance of the Fed when it refused to identify the recipients of trillions of dollars in emerging loans, and what was being accepted as collateral and what was its real value. In addition, the Fed loaned funds that didn’t require congressional approval and many wanted to see the extent and details of such lending. In this particular case Bloomberg News, which got a court order to do so was told by the Fed that it was a state secret. The Fed simply defied the court order and nothing has been done to force them to comply. We know $700 billion was lent through the TARP program and $500 billion in the currency swap program, but what about the rest of the loans? We have no idea where the money went or what if anything was pledged in return.

The bottom line is our government and the American people have a need to know who gets loans, what the collateral is, what secret deals the Fed have with other central banks, what secret accounts they have offshore, what are their swap agreements, how much money they have created secretly that Congress knows nothing about and what inside information is the Fed passing along to their friends in banking and Wall Street.

Treasury Secretary Geithner, under the FOIA release, made 80 contacts since taking his job, with Goldman Sacks, JP Morgan Chase, Citigroup and BlackRock. Some were by phone and some in person. Most calls were between Geithner and Goldman CEO Lloyd Blankfein. Can there be any doubt in your mind who controls our government?

Why is the Fed so secretive and why must they rely on public ignorance?

These actions are what we must be privy too. These are the kind of things that has sent the Fed into tantrums. Why is the Fed so secretive and why must they rely on public ignorance? No wonder 75% of those polled want an audit and an investigation. What astounds us is that so many people have come to understand that what the Fed does should not be secret. As an extension of that, if the people are successful, it will be a great victory for the populace. If this leads to the disbanding of the Fed, and its work’s taken over by our Treasury, we may be able to get our country back from the Illuminists. If we can bring about the end of the Fed, a monopoly, that has been looting and strangling our country and the seat of Illuminist power will be ended. Let’s all work together on this and make it happen. Contact every Senator and Representative and in a few lines let him or her know that you want the fed audited.

Turning now to our government we find that its deficit now exceeds 40% of expenditures; or 40% or more is borrowed and not serviced by revenues. Historically this is the point at which hyperinflation begins. This situation is going to get progressively worse because there is not going to be a recovery and unemployment will worsen. The deficit is projected to increase by $1 trillion a year for the next nine years minimum. Even if 3% growth could be mustered in five years the national debt could reach $18 trillion, which is short-term debt, which would be 100% of GDP.

That means funds would have to come from more taxes, increased savings or the Fed monetizes the debt. That means a falling dollar and hyperinflation. The Fed thus far has been able to get away with major monetization due to the major deflationary undertow. This de-leveraging process will go on for many years to come. That brings up the question how much money and credit has the Fed created and who has been given that money? A good part of it has gone to banks that are not lending it out.

Government cannot continue to do what it is doing, nor can the Fed continue to print money endlessly. This is certainly a formula that cannot continue.

We do not really know how much government debt the Fed has bought, because they won’t tell us. It is a state secret. Even if the Fed wanted to emulate what Paul Volker did in the early eighties they couldn’t. That should have been done long ago in 2001 and 2002. That was when the point of return was past. Now there is no way back.

There is no hope of a deficit reduction and once the Fed has lost momentum bond yields in the real market are going to rise.

In May inflation began to rise again. It will be far more noticeable next year.

Wall Street and investors do not seem to understand that the budget and the budget deficit is too difficult to carry. If taxes are raised as they were in 1937, it will cut off any possible recovery and collect less taxes overall. Such a move could also boost non-filers up over 40%. We are about to find out you cannot print or borrow your way into prosperity.

The cuts have to come from the federal government. This is far better than raising taxes, especially when federal workers make almost twice as much as workers in the private sector. There are many solutions available, but our Congress is unwilling to use them for political reasons. The longer the solutions are avoided the worse the problem is going to be.

Banks, Wall Street and government choose to avoid the consequences of deep structural maladjustments that they were responsible for creating. They are trying to perpetuate a bubble rather than fix the problem. Is it any wonder the dollar continues to fall. Unprecedented stimulus, with more probably on the way, has not stabilized the economy. It hasn’t even stopped rising unemployment. The velocity of unemployment has declined, but the numbers are still rising. Every move by Wall Street, government and banking is for short-term performance and it is not working.

What is needed is long-range planning, but, of course, that never entered their minds. Stocks may be up but the economy isn’t. The debasement continues and the dollar is taking the flack, because inflation cannot be avoided. The Illuminists suppressed gold and silver for years hoping investors and the public wouldn’t realize what was being done to the dollar. That doesn’t work anymore, because the government is out of gold and if they are not out they are close to it. Granted the dollar isn’t the only weak currency. For six years every world currency has fallen versus gold, but no one wants to talk about that. The dollar gets all the heat because gold is traded in dollars and it is the world’s reserve currency as well. Switching from one currency to another isn’t going to work. It is not the answer, only gold is.

The lending bubble has been broken. Next is the bear market rally stock bubble. Deflation is snapping at our heels, as credit is no longer easily available. Bank lending is off 14% yoy. The game of de-leveraging is over except for banks and they are basically all already in dollars. That leaves even less flexibility for lenders. That means the Fed’s monetary policy has to be ever more expansive to be effective. In turn, this along with zero interest rates, these elements drive the dollar lower and gold higher.

In the latest sign of weakness in Louisville-area employment, about 10,000 people applied over three days for 90 jobs building washing machines at General Electric for about $27,000 per year and hefty benefits.

Full article HERE

Dollar loses reserve status to yen & euro

Source: NY Post

Ben Bernanke's dollar crisis went into a wider mode yesterday as the greenback was shockingly upstaged by the euro and yen, both of which can lay claim to the world title as the currency favored by central banks as their reserve currency.

Over the last three months, banks put 63 percent of their new cash into euros and yen -- not the greenbacks -- a nearly complete reversal of the dollar's onetime dominance for reserves, according to Barclays Capital. The dollar's share of new cash in the central banks was down to 37 percent -- compared with two-thirds a decade ago.

Currently, dollars account for about 62 percent of the currency reserve at central banks -- the lowest on record, said the International Monetary Fund.

Bernanke could go down in economic history as the man who killed the greenback on the operating table.

After printing up trillions of new dollars and new bonds to stimulate the US economy, the Federal Reserve chief is now boxed into a corner battling two separate monsters that could devour the economy -- ravenous inflation on one hand, and a perilous recession on the other.

"He's in a crisis worse than the meltdown ever was," said Peter Schiff, president of Euro Pacific Capital. "I fear that he could be the Fed chairman who brought down the whole thing."

Investors and central banks are snubbing dollars because the greenback is kept too weak by zero interest rates and a flood of greenbacks in the global economy.

They grumble that they've loaned the US record amounts to cover its mounting debt, but are getting paid back by a currency that's worth 10 percent less in the past three months alone. In a decade, it's down nearly one-third.

Full story HERE

Robert Fisk reveals truth behind 'dollar demise' report

RussiaToday
October 08, 2009

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Famous British journalist Robert Fisk spoke to RT on his bombshell report, which caused the dollar to plummet. He says that the thunder of denials that the greenback is to be dropped in oil deals w...

Famous British journalist Robert Fisk spoke to RT on his bombshell report, which caused the dollar to plummet. He says that the thunder of denials that the greenback is to be dropped in oil deals was expected, but the information he published was correct.

Film "Fall Of The Republic" Exposes How Brand Obama Is Destroying America

Alex Jones’ highly anticipated documentary lifts the lid on how seductive tools of propaganda are being used to hypnotize the masses into accepting tyranny

Paul Joseph Watson
Prison Planet.com
Tuesday, August 25, 2009

Alex Jones’ highly anticipated upcoming documentary Fall of the Republic: The Presidency of Barack Obama boldly lifts the lid and unveils the fraud behind Brand Obama and how the globalists are using their newest, and slickest ever puppet to destroy the last vestiges of America’s freedom, Constitution and economy, all while helping the bankers loot the country clean.

The film exposes the agenda that Obama was put in place to accomplish, a world government allied with a bank of the world run by globalist eugenicists hell-bent on destroying America’s first world status and replacing it with a hollow shell of tyranny.

The mind control, the television programming, and all the media talking points that serve to reinforce the image of Brand Obama are laid bare, unveiling the naked ruth, as legendary author and documentary film maker John Pilger recently discussed, that Obama is nothing more than a corporate marketing creation, a skilled hypnotist using seductive tools of propaganda – race, gender and class – to hoodwink the masses into accepting his rhetoric while ignoring the contradiction of his actions.

The film exposes how Brand Obama says one thing – to make people buy into the brand – and then the real Obama does another.

The burgeoning police state, warrantless wiretapping, secret arrests, indefinite detention of citizens, torture, the war in Afghanistan, the war in Pakistan, have all been expanded under Brand Obama despite his promises to reverse them all.

The real question to ask is not which class Obama claims to represent or fight for, but which class Obama serves. Fall of the Republic leaves no room for doubt that the class Obama serves is the elite and it is their agenda he is diligently following.

Trailer:

Full article HERE

OBAMA CARE PASSED IN STIMULUS BILL; MORE TREACHERY IN SEPTEMBER

By: Devvy
August 17, 2009
NewsWithViews.com

"The catalogue of means and actions which might be imposed upon an employer in any business, tending to the satisfaction and comfort of his employees, seems endless. Provision for free medical assistance, nursing, clothing, food, housing, and education of children, and a hundred other matters might with equal propriety be proposed as tending to relieve the employee of mental strain and worry. Can it fairly be said that the power of Congress to regulate interstate commerce extends to the prescription of any or all of these things? It is not apparent that they are really and essentially related solely to the social welfare of the worker and therefore remote from any regulation of commerce as such? We think the answer is plain. These matters obviously lie outside the orbit of congressional power”. - Railroad Retirement Board v. Alton Railroad Co, 295 U.S. 330, 55 S. Ct. 758 1935)

In my last column, I explained why Marxist Hillary Clinton's attempt to take over of another sector of private industry (health care) failed. It wasn't just a massive back lash from we the people, but because she was advised it would not pass a constitutional challenge. Now that the American people are beaten down with massive government regulations that ruined the finest health care system in this world and a population that is sick and dying, the shadow government is making another attempt to take over another private sector, even though the U.S. Constitution forbids such legislation.

If you are not aware of it yet, ObamaCare as it's being called - Part One was actually buried in the phony stimulus bill. That massive rape was signed into law by the usurper president in February. As Dr. Dave Janda writes, what is being debated now is Part Two. What, you say? Yes, your member of Congress (and mine) pulled another fast one and deceived all of us. Again.

Here is the link to the draconian 'American Investment and Recovery Act of 2009; the same failure as all the wasteful government programs implemented by FDR that prolonged the "Great Depression."

The creation of more worthless federal boards and councils were in the stimulus bill and are now in place. According to Dr. Dave Janda:

"The first part of The Obama Health Care Plan was buried in The Stimulus Bill which was signed into law by the President in February. It is the second part of The Health Care Plan which is now being debated in Congress."

"The underlying method of cutting costs throughout the plan is based on rationing and denying care, not preventing health care need. The plan's method is the most inhumane and unethical approach in cutting costs. The rationing of care is implemented through a Council, equivalent to the National Health Care Board in the British Health Care System. The name given to this panel is The Federal Coordinating Council For Comparative Effectiveness Research (“Federal Council”). (Section 9201 H.R. 1 Version of the Stimulus Bill.)

"President Obama has already appointed the fifteen member Federal Council. According to the Stimulus Bill, p.152, all members of the Council must be “senior federal officers or employees.” Thus, medical treatment will be dispensed by a group of bureaucrats from their ivory towers, not by the hands-on practitioners in the presence of the patients. The council was funded with $1.1 BILLION from The Stimulus Bill."

"According to former New York Lieutenant Governor and Health Policy Analyst Dr. Betsy McCaughey, the Federal Council will set a cost effectiveness standard for treatment. (Stimulus Bill p. 464) Translation.....if you are over 65 or have been recently diagnosed as having an advanced form of cardiac disease or aggressive cancer, dream on if you think you will get treated.....pick out your box..."

You can go to those pages in the bill linked above and verify that Dr. Janda is accurate in his assessment. One of the members of this worthless and totally unnecessary "Federal Council" is Ezekiel J. Emanuel, MD, PhD, brother of America hater, Rahm Emanuel, Comrade Obama/Soetoro's Chief of Staff.

What this means is that the phony stimulus recovery act set up part of the foundation for implementing the unconstitutional provisions in ObamaCare Two. If you read the sections above, all of them are clearly unconstitutional because the courts have ruled that Congress has no authority to legislate medical practice or direct medical practice within the states of the Union:

In Linder v. United States, 268 U.S. 5, 18, 45 S. Ct. 446 (1925), The court ruled: "Obviously, direct control of medical practice in the of states is beyond the power the federal government."

In U.S. v. Anthony, 15 Supp. 553, 555, (S.D. Ca., 1936) and U.S. v. Evers, 453 F. Supp. 1141, 1150 (M.D. Ala., 1978), the court ruled: "...The direct control of medical practice has been left to the states."

And, in Railroad Retirement Board v. Alton Railroad Co., above, the United States Supreme Court said, "These matters obviously lie outside the orbit of congressional power.”

There are hundreds of provisions of ObamaCare Two that are simply and without question unconstitutional. That means your member of Congress (house or senate) has no legal authority to vote for any such legislation. We must continue pounding on these craven scoundrels in Congress (both parties) to defeat Part Two. Let your congress critter and senator know that we the people now know about Part One being deceptively shoved down our throats. We now know the urgency to get Part Two passed: This vile "Federal Council" is now set up and just needs the rest of the treachery to get underway. I say fire them by defeating Part Two. Get rid of these useless paychecks feeding off the fruits of our labor.

Let your U.S. Senator know that any enforcement attempts will be met with lawsuits from individuals, businesses and organizations who are directly impacted by these unconstitutional laws. This monstrous piece of legislation is going to force coverage on nearly all Americans by subsidizing the poor. And, of course, it will penalize individuals and employers who don't purchase health insurance. (Remember those factual links at the bottom of my last column - the numbers and failures don't lie.) Hopefully, more states of the Union will pass emergency legislation to opt out of any legislation signed into law so their citizens don't have to file the lawsuits. They won't do it unless you contract your state rep and senator and tell them this is urgent - even if they are out of session; call their offices. Let's stop future grief before it becomes a nightmare.

Don't fall for the big, splashy headlines from yesterday: White House appears ready to drop 'public option' WASHINGTON – "Bowing to Republican pressure and an uneasy public, President Barack Obama's administration signaled Sunday it is ready to abandon the idea of giving Americans the option of government-run insurance as part of a new health care system." These poltroons have always known the U.S. Constitution does not authorize ANY form of government run insurance for health care, period. Junk the whole bill and take one reform at a time that is within the jurisdiction of the feds, i.e., get this bill passed as soon as they get back:

H.R. 2117, the Health Freedom Protection Act, will end FDA and FTC censorship. Public support for the bill is critical. We the people have the right to seek prevention in our efforts to stay healthy even if it cuts into the profits of the big pharmaceutical companies that buy the favors of Congress.

Pre-existing conditions is one of the biggest cons run by HMOs. I know. My daughter was hit twice by illegal aliens who skipped away scott free thanks to Congress and Bush. She will be on medication for the rest of her life. No HMO would take her when she was self employed if she left her current insurer. That insurance was obtained before the accidents when she worked for a company that had health insurance. She was automatically extended coverage as long as I could pay the premiums every month on time.

How did Health Net in California deal with it once she lost her job because she couldn't work for seven months because of those accidents? By law they had to pick her up. But, in five years her premiums went from $127.50 per month to $600/mo. What they did was try to force her out by continuing to raise the monthly premium. Now, had she married a fellow who was already employed for say, the local school district who has health care coverage, she would automatically be picked up even with her pre-existing conditions which requires medication, not massive hospital bills. These HMOs discriminate against single, self employed men or women. She now works full time in a field where there is automatic coverage as part of the employee benefit package. She is now fully insured even with the same pre-existing condition. This is the kind of imbalance that needs to be corrected at the state level where these corporations do business. That is real health coverage reform.

The other side of the coin no one wants to talk about regarding health care is the refusal by the American people to reform their eating habits and the astronomical cost of obesity in America:

The cost of being a fat American: $147 billion to treat obesity in 2008 - "Obese people spent 42% more than people of normal weight on medical costs in 2006, a difference of $1,429, the study found. Prescription drugs accounted for much of the increase."

Obese Americans now outweigh the merely overweight. Current studies show that just in the past year alone, adult obesity rates grew in 23 states; there was no reduction in any state of the Union. Do you know that 2/3rds of adult Americans are now fat or obese? Roughly 72 million. That is staggering. Equally horrible is that childhood obesity is skyrocketing with almost 1/3rd of America's children and teens are now fat or obese. Why, even Comrade Obama/Soetoro's new "Surgeon General" (one of the biggest waste of taxpayer money) is fat. What kind of example is she setting?

If Americans want to take a big bite out of health care costs, they need to look in the mirror.

We don't need any taxpayer funded programs to do this, just common sense. You stop eating ALL processed foods and junk food from fast "food" joints. Read the labels. Eat fresh fruits and vegetables and get exercise every single day even if you just walk. America didn't start getting fat until massive consumption of fast foods and poor eating habits and took over.

While this massive resistance is going on to fight this bogus health care reform, there are other bills Congress wants passed and signed into law by the usurper: Cap and Trade is one. Second is the complete take over of all our food and right to grow it.

These liars, crooks and thieves are scheduled back to session on September 8, 2009. We must keep the heat on to stop a final "cap and trade" bill from passing. We have pounded on these lawbreakers and are close to defeating "cap and trade." We must not let up until we win: Climate Change Measure Should Be Set Aside, U.S. Senators Say. The Federal Department of Energy was created on August 4, 1977. The goal was to provide lots of things; the reality is just one more huge failure sucking up hundreds of millions of taxpayer dollars. We don't need more of the same with this "cap and trade" that will further steal the fruits of our labor and bring us nothing but more grief, laws, regulations and unemployment.

These insane lunatics in the House of Representatives have passed H.R. 2749: Food Safety Enhancement Act of 2009. This is one of THE most dangerous pieces of legislation next to the take over of health care and "cap and trade." The complete take over of our food supply must be stopped. This unconstitutional legislation will make criminals of anyone who dares to grow food in their own yard. That bill has NOTHING to do with food safety. It has everything to do with total control by a totalitarian government apparatus. Stay in the face of your federal senator during this recess and tell them to throw out H.R. 2749 and leave us alone.

That bill is also all about the Tenth Amendment and let me quote from the Farm-to-Consumer Legal Defense Fund:

"S.510 calls for federal regulation of how farmers grow and harvest product. Farmers selling food directly to local markets are inherently transparent and accountable to their customers, and there is no reason to impose these regulations on them."

If you study all these bills in depth, there is no question this is the final thrust to Sovietize these united States of America. Those who don't do a single minute of research or who want mother government to run their health care lash out at anyone who opposes such draconian laws. Millions of desperate Americans attack those of us who believe the Constitution matters and holding his/her member of Congress accountable for destroying this country. The U.S. Constitution means nothing to them. They do not understand that only a free market will create affordable health care and coverage like we used to have before Congress began passing laws that have made an absolute mess of the system. These are the voices of America's destruction.

Please, if you don't know about those bills, read the material in the links section and get on the phone to your member of Congress. Get to those town hall meetings. Spread the word to family, friends, business colleagues and people at your church. We the people demand these bills get killed once and for all. They are unconstitutional and there's no money to pay for them. The American people are being driven into poverty while Congress continues to write hot checks. We know the agenda is world government and that means full and complete control over every aspect of our lives.

Pathological liar, Obama/Soetoro, will do and say anything to get these bills to his desk. With the truth and our voices we can defeat them. Then we must go after the states of the Union in January to stop all of this through the power of the purse and the power of the sword. State legislators: I wrote about this a year ago. Here is the truth about what will happen if you don't implement these measures in your state as quickly as humanly possible; click here.

Important links:

1 - HR 2749: Totalitarian Control of the Food Supply
2 - HR 2749 - Welcome to the Global Plantation

1 - Cap & Trade Rape Passed - What must be done next
(See links at bottom of column for the truth)

1 - Shocking video of ACORN thugs and local police outside a town hall meeting preventing people from speaking to each other, under threat of law.

1 - Video: Health Care Reform Without Medical Liability Reform is No Reform At All
2 - Health Care Reform: It's ALL about money
3 - Don't Be Fooled by Obama's '45 Million' Uninsured
4 - The Health Care Steamroller in a Nutshell: The HMO From Hell
5 - Obamacare Will Take Away Your Children
6 - How many more will die before FDA ghouls are held accountable?
7 - 'Obamacare:' What does the Constitution have to say?
8 - Ohio --- A Testimonial
9 - FDA Does Not Regulate Medical Practice
10 - Dr. Ron Paul: Health care is not a right

Are you the constant patient?

1 - The High Price of America's Gluttony June 4, 2003
2 - Sloth, gluttony & the coming medical financial tsunami January 25, 2007
3 - Master mini file on diseases

Obama-backed plan volunteers Americans to pay global taxes

Cliff Kincaid
World Tribune
June 26, 2009

The United Nations is proceeding, with President Obama’s acquiescence, to implement a global plan to create a new international socialist order financed by global taxes on the American people.

The Conference on the World Financial and Economic Crisis and its Impact on Development that begins today will consider adoption of a document calling for “new voluntary and innovative sources of financing initiatives to provide additional stable sources of development finance...” This is U.N.-speak for global taxes. They are anything but “voluntary” for the people forced to pay them.

The most “popular” proposals, which could generate tens of billions of dollars in revenue for global purposes, involve taxes on greenhouse gas emissions and financial transactions such as stock trades.

The document was agreed to at an informal meeting of expert “facilitators” and was made available on June 22 at 3 p.m. It is doubtful that any changes will be made to it.

The conference was postponed from June 1-3 to June 24-26 at the U.N. in New York. While the “outcome document” has been watered down somewhat from the previous version, it still reaffirms attainment of the U.N.’s Millennium Development Goals, which would require the payment of $845 billion from U.S. taxpayers. A commitment to the MDGs was a stated objective of the Global Poverty Act, which Barack Obama had introduced as a U.S. senator. It requires the U.S. to devote 0.7 percent of Gross National Income to foreign aid.

Now, as President, Obama can bypass the Congress and simply direct his Ambassador to the U.N. Susan Rice to approve the U.N. conference document. Then the pressure will be increased on Congress to come up with the money and satisfy our “international commitments.”

This is the pattern that he followed in regard to more money for the International Monetary Fund (IMF). After agreeing at the G-20 summit to provide more money for the IMF, the Obama White House slipped the cash and credit into the recently passed emergency war funding bill. The Obama White House had added billions in cash, as well as a $100 billion line of credit, for the IMF.

Rep. Mike Pence commented, “This legislation, which includes $108 billion in loan authorizations for a global bailout, for the International Monetary Fund — at a time when this government has run up a $2 trillion annual deficit — I believe does a disservice to taxpayers and to those that defend us. Passing a $108 billion global bailout on the backs of our soldiers is just not right.”

The U.N. conference document explains where all of this is leading — the destruction of the American dollar as the world’s reserve currency and the build-up of global institutions such as the IMF and the U.N.

It declares that “We acknowledge the calls by many states for further study of the feasibility and advisability of a more efficient reserve system, including the possible function of SDRs in any such system and the complementary roles that could be played by various regional arrangements.” SDRs are Special Drawing Rights, a form of international currency that enables global institutions like the International Monetary Fund to provide more foreign aid to the rest of the world. The U.S. pays for SDRs through its financial contributions to the IMF.

If implemented, the document would officially mark the end of the United States as the world’s leading economic power.

Full story HERE

Ron Paul: Obama’s ‘goal’ is economic collapse

Raw Story
By David Edwards and Stephen Webster

Published: June 23, 2009

Ron Paul, the popular Republican Congressman from Texas, is ripping into the president and Congress for what he sees as their “goal” with round after round of stimulus: complete economic collapse.

“From their spending habits, an economic collapse seems to be the goal of Congress and this administration,” he said in his June 22, 2009, weekly address.

He added that Democrats who voted for the president’s war funding request, which gave an additional $106 billion to military operations in Afghanistan and Iraq — among other, unrelated items — were actually voting in favor of the wars, not just authorization of the president’s agenda.

He called it an affront to everyone who believed a vote for Obama was a vote for a peace candidate.

The president’s insistence on including an additional $108 billion in asset exchange with the International Monetary Fund is merely “buying global oppression,” he said.

Paul added that, “this [bill sent] $660 million to Gaza, $555 million to Israel, $310 million to Egypt, $300 million to Jordan and $420 million to Mexico; and some $889 million will be sent to the United Nations for so-called peace keeping missions.”

In other words, the latest U.S. war funding was an “International bailout,” he said.

The legislation’s provisions for the IMF included 100 billion dollars for the New Arrangements to Borrow (NAB), a credit instrument providing the multilateral institution with additional resources to deal with exceptional risks to the stability of the international monetary system.

They also include an expansion of the nation’s special drawing rights by five billion SDRs, adding roughly eight billion dollars to the IMF’s financial firepower.

The 100 billion dollars for the NAB acts as a credit line for the IMF in case member countries need emergency loans that exceed the institution’s resources. As such, the money is not considered an immediate budget expense.

Sen. Jim DeMint (R-SC) had proposed to strip out the IMF funds, but his measure was defeated in May by a vote of 64-30.

“Not only does sending money to the IMF hurt citizens here, evidence shows that it even hurts those it pretends to help,” Paul said. “Along with IMF loans come IMF required policy changes called ’structural adjustment programs,’ which amount to forced Keynesianism. This is the very fantasy-infused economic model that brought our own country to its knees.”

This audio is from Congressman Ron Paul’s weekly address, released June 22, 2009.

Download video via RawReplay.com

Ron Paul Slams Federal Reserve’s New Dictatorial Powers

Congressman tells MSNBC that the very entity responsible for the economic crisis is now more powerful than Congress

Paul Joseph Watson
Prison Planet.com
Friday, June 19, 2009

Responding to the Obama administration’s new regulatory reform plan, which will officially hand the Federal Reserve complete dictatorial control over the U.S. economy, Congressman Ron Paul told MSNBC that the Fed was now more powerful than Congress.

Paul emphasized that no amount of regulation could compensate for a financial system created and controlled by the Federal Reserve that was completely unstable to begin with.

“The regulations should be on the Federal Reserve. We should have transparency of the Federal Reserve. They can create trillions of dollars to bail out their friends, and we don’t even have any transparency of this. They’re more powerful than the Congress,” said Paul.

As we reported yesterday, the new rules would see the Fed given the authority to “regulate” any company whose activity it believes could threaten the economy and the markets.

Obama’s regulatory “reform” plan is nothing less than a green light for the complete and total takeover of the United States by a private banking cartel that will usurp the power of existing regulatory bodies, who are now being blamed for the financial crisis in order that their status can be abolished and their roles handed over to the all-powerful Fed.

“They’re giving a tremendous amount of more power to the Federal Reserve - the very institution that created our problem. That’s about the way Washington works,” said the Congressman

“Too much regulations to begin with, so they give it more. The Federal Reserve creates the problem, so we give them more power. It’s fiat money that’s the problem, so we allow them to double the money supply - you can’t solve the problems that way. That’s like saying you can take care of a drug addict by just giving them more drugs,” concluded Paul, adding that the lack of understanding about how the Federal Reserve created the problem and how the free market ought to work was the root of the crisis.

Watch the clip below.

Government Bailouts Will Make Things Worse

Thomas Woods on Alex Jones Tv

(excellent analysis of how we have been robbed, and why we as a whole want to trust the thieves to save us, in very layman's terms . . . if you would like to have the ammo to discuss this topic with friends, etc, this is good place to start . . . )

President of the Federal Reserve Bank of Kansas City Warns of Oligarchy

Washington's Blog | June 6, 2009

As I have previously pointed out, two top IMF officials and the former Vice President of the Dallas Federal Reserve have all warned that the U.S. has been taken over by an oligarchy.

Wednesday, the head of the Federal Reserve Bank of Kansas City, Thomas Hoenig, agreed:

If we hesitate to make needed changes, we will perpetuate an oligarchy of interests that will fail to serve the best interests of business, the consumer and the U.S. economy...

In discussing any aspect of financial reform, one of the most significant changes that must be accomplished is the end of "Too Big to Fail" . . . Institutions must be allowed to fail, no matter their size or political influence...The effect is to lower the costs to these firms and significantly raise costs to the taxpayer and, ultimately, to fundamentally weaken our financial system.

Grand Theft Auto: How Stevie the Rat bankrupted GM

by Greg Palast
Monday, June 1, 2009

Screw the autoworkers.

They may be crying about General Motors' bankruptcy today. But dumping 40,000 of the last 60,000 union jobs into a mass grave won't spoil Jamie Dimon's day.

Dimon is the CEO of JP Morgan Chase bank. While GM workers are losing their retirement health benefits, their jobs, their life savings; while shareholders are getting zilch and many creditors getting hosed, a few privileged GM lenders – led by Morgan and Citibank – expect to get back 100% of their loans to GM, a stunning $6 billion.

The way these banks are getting their $6 billion bonanza is stone cold illegal.

I smell a rat.

Stevie the Rat, to be precise. Steven Rattner, Barack Obama's 'Car Czar' - the man who essentially ordered GM into bankruptcy this morning.

When a company goes bankrupt, everyone takes a hit: fair or not, workers lose some contract wages, stockholders get wiped out and creditors get fragments of what's left. That's the law. What workers don't lose are their pensions (including old-age health funds) already taken from their wages and held in their name.

But not this time. Stevie the Rat has a different plan for GM: grab the pension funds to pay off Morgan and Citi.

Full article HERE

Gerald Celente Trends Alert - The "Bailout Bubble" - The Bubble to End All Bubbles

Kingston, NY -- The biggest financial bubble in history is being inflated in plain sight, said Gerald Celente, Director of The Trends Research Institute. "This is the Mother of All Bubbles, and when it explodes," Celente warns, "it will signal the end to the boom/bust cycle that has characterized economic activity throughout the developed world."

Either unwilling or unable to call the bubble by its proper name, the media, Washington and Wall Street describe the stupendous government expenditures on rescue packages, stimulus plans, buyouts and takeovers as emergency measures needed to salvage the severely damaged economy.

"All of this terminology is econo-jargon," said Celente. "It's like calling torture 'enhanced interrogation techniques.'

Washington is inflating the biggest bubble ever: the 'Bailout Bubble.' "This is much bigger than the Dot-com and Real Estate bubbles which hit speculators, investors and financiers the hardest. However destructive the effects of these busts on employment, savings and productivity, the Free Market Capitalist framework was left intact. But when the 'Bailout Bubble' explodes, the system goes with it."

Full article HERE

Federal Reserve Cannot Account for $9 Trillion

Source: Money News

The Federal Reserve apparently can't account for $9 trillion in off-balance sheet transactions.

When Rep. Alan Grayson (D-Orlando) asked Inspector General Elizabeth Coleman of the Federal Reserve some very basic questions about where the trillions of dollars that have come from the Fed's expanded balance sheet, the IG didn't know.

Worse, nobody at the Fed seems to have any idea what the losses on its $2 trillion portfolio really are.

"I am shocked to find out that nobody at the Federal Reserve is keeping track of anything," Grayson says.

Grayson asked Coleman if her agency had done any research into the decision not to save Lehman Brothers, which “sent shockwaves through the entire financial system,” Coleman said it had not.

“What about the $1 trillion plus expansion of the Federal reserve’s balance sheet since last September?” Grayson asked.

“We have different connotations,” Coleman replied. “We’re actually conducting a fairly high-level review of the various lending facilities collectively.”

Translation: Nobody at the Fed knows where the money went.

Full story HERE

Attorney says AIG case gaining significance

Action seeks damages for company's collapse, bailout

---

WorldNetDaily

An attorney who has filed a $200 billion lawsuit against Treasury Secretary Tim Geithner, former Treasury Secretary Henry Paulson and former Securities and Exchange Commission Chairman Christopher Cox over the collapse and taxpayer bailout of American International Group says the case suddenly is becoming more important.

Tim Geithner

As WND has reported, the case was brought by attorney Larry Klayman and his public interest law firm, Freedom Watch USA, on behalf of shareholders of AIG who have watched the value of the company plummet by some $214 billion.

The class action lawsuit filed in federal court in Los Angeles is a "wide reaching" claim that will do what Congress cannot, Klayman has told WND, adding. "The American people, not the compromised ruling elite in Washington, D.C., have begun a second American Revolution to take the country back from the con men on Wall Street, and on Pennsylvania Avenue – who under successive administrations played a central role in the meltdown of the U.S. financial system and economy."

But he says now that AIG has admitted that it paid out an estimated $455 million in bonuses that mostly previously were kept secret, Klayman said, "This case now takes on even greater significance, as the Obama administration is doling out more money to banks, nationalizing auto companies, and socializing the country in a manner that could never have been even dreamed of by Karl Marx."

"This administration, which clearly is trying to seize on the economic crisis to move the country toward near total government control, is ironically itself intellectually bankrupt and incompetent to boot," Klayman stated.

"President Obama is all talk; but behind the flash and feel-good presentations, there exists a neophyte who simply does not have a grip on the body politic of the country or economics," Klayman continued. "Time will show that this period in American history is likely to produce disastrous results, following a prior period when an unintelligent and disengaged president –George W. Bush – did his own severe damage.

"It now is up the American people, collectively and through citizen action, such as by joining Freedom Watch, to look after their own interests and not depend on government as their savior. The American people have only one savior, and He is not President Obama," the attorney said.

Full story HERE