deficit

Bait and Switch - Stealing from Social Security to Pay for Wars and Bailouts

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Republicans regard Social Security as an "unfunded liability," that is, a giveaway that is interfering with our war-making ability.

By paul craig roberts

The American Empire is failing. A number of its puppet rulers are being overthrown by popular protests, and the almighty dollar will not even buy one Swiss franc, one Canadian dollar, or one Australian dollar. Despite the sovereign debt problem that threatens EU members Greece, Ireland, Spain, and Portugal, it requires $1.38 dollars to buy one euro, a new currency that was issued at parity with the US dollar.

The US dollar's value is likely to fall further in terms of other currencies, because nothing is being done about the US budget and trade deficits. Obama's budget, if passed, doesn't reduce the deficit over the next 10 years by enough to cover the projected deficit in the FY 2012 budget.

Indeed, the deficits are likely to be substantially larger than forecast. The military/security complex, about which President Eisenhower warned Americans a half century ago, is more powerful than ever and shows no inclination to halt the wars for US hegemony.

The Money Party Deficit Reduction Scam and Social Security

Michael Collins

President Obama announced the new National Commission on Fiscal Responsibility and Reform on February 18 to address astronomical federal budget deficits. There has been considerable speculation that this commission will target current and future benefits for Social Security recipients to achieve its goals.

Why would this be the case? We need look no further than the treatment of major retirement funds over the past 20 years to get the answer. When the mob needed cash, it looted the Teamsters retirement fund. When large corporations or government entities get in trouble, they effectively borrow from their employee retirement funds by delaying required payments or otherwise gaming the programs. This provides a source of ready cash, a quick vehicle to cover management errors, or jack up their bonuses.

Think of the Social Security Trust Fund (trust fund) as the most lucrative retirement fund in the country, the ultimate pot of gold, and you'll immediately understand why it is that for decades, big business has plundered the trust fund. How does this happen?

The Biggest Retirement Fund Rip Off Ever

About that Chinese March 2010 Trade Deficit, Can you even trust their numbers?

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As expected, the China March trade deficit is being used as political cannon fodder to claim China does not manipulate it's currency. (Uh, yes they do).

Firstly, the numbers

The $7.24 billion trade deficit in March reported Saturday by China's customs administration was China's first since a $2.26 billion deficit in April 2004.

The claim is imports rose 60% from January to March, 2010.

Exports $112.11 billion in March, up 24.3 percent from a year earlier. Imports reached $119.35 billion, up 66 percent compared to the same period last year.

In the first three months of this year, China still posted a global trade surplus of $14.5 billion, down 76.7 percent from the first quarter of 2009. The trade surplus was $7.6 billion in February and the combined January-February surplus was $21.8 billion.

The Coming $50 Billion State Unemployment Bill

$10.9 Billion.

That's the amount of money currently lent by Federal Department of Labor (DOL) to a group of 15 states whose unemployment insurance (UI) trust funds have run dry. And it's about to get a whole hell of a lot worse. By the end of the year that number will likely have have grown to 35 states. Total DOL emergency loans to states at that time? Nearly $50 billion dollars. The situation will be far worse for some states than others. The states appearing in red on the map below are those that will need DOL loans to keep unemployment benefits rolling.

How do we prevent another Bust-out?

http://www.correntewire.com/bust_out_the_republican_approach_to_governance

http://www.hbo.com/sopranos/episode/season2/episode23.shtml

Herewith from the Encyclopedia of Credit:

Bustout
The intentional act of driving a company into insolvency in order to extract as much of the assets as possible form the company for the use of the operators.

Here Comes The Show - Congressional Hearings, Debt and Conjecture

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Multiple Screens! 360 Panavision! Let the shouting begin! The Committee on Oversight and Government Reform will hold hearings the next two days. Committee Chair Representative Waxman:

Lax oversight and reckless investments on Wall Street are causing massive disruption throughout our economy. Our hearings will examine what went wrong and who should be held to account.

Up on the executive chopping block are:

DAY 1: Causes and Effects of the Lehman Brothers Bankruptcy

  • Dr. Luigi Zingales, Professor of Finance, University of Chicago
  • Dr. Robert F. Wescott, President, Keybridge Research LLC
  • Nell Minow, Chairman of the Board and Editor, The Corporate Library
  • Gregory W. Smith, General Counsel, Colorado Public Employees’ Retirement Association

America's Addiction

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“A moderate addiction to money may not always be hurtful; but when taken in excess it is nearly always bad for the health.”
- Clarence Day

America needs an intervention.
Like any addict, America can't see the dependency problem that is killing it. President Bush tells us that we have an addiction to oil, and he's right. But that isn't the addiction that is killing us.
The monkey that we need to get off our backs is the dependency on other people's money. If we don't kick this habit it will ruin us for sure.

"Money doesn't mind if we say it's evil, it goes from strength to strength. It's a fiction, an addiction, and a tacit conspiracy."
- Martin Amis

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