Posts Tagged ‘money supply’

Realize That Obama Has ‘Fundamentally Transformed’ America Into A Failed Marxist State. Just Ask Poor People And Liberals

September 9, 2013

Quick test.  Who said this:

“The economy is doing poorly. Everything is expensive. With high taxes, we’re not going to be able to pay rent.”

Wrong, Democrat.  It was NOT Karl Rove or some über right wing nutjob who only said this because he hates Obama (and that because he’s “racist”).  Nope.  It was a 34-year-old Hispanic father named Francisco Zuniga at an SEIU-sponsored protest event.  Who would have thought that out of the mouths of leftist whiners could drool wisdom???

This is the fifth year of the Age of Obama.  It is the fifth freaking year of a failed president whose only talent is blaming others for his massive failures.

Let’s break those words from Zuniga down:

“The economy is doing poorly.”

That is something that literally every single person who is not a demon-possessed liar and hypocrite without shame (i.e. a Democrat) knows as a fact.  Obama promised the world; he has delivered economic manure.

What else does Zuniga say?

“Everything is expensive.”

Well, thanks for noticing that little factoid, Francisco.  I’ve written ad nauseum about the Obama Federal Reserve policies that were necessary to “fund” Obama’s reckless and morally and fiscally insane federal spending.  We’ve had Quantitative Easing, we’ve had QE2, we’ve had Operation Twist, we’ve had QE3, and now we’re at “QE Forever.”  And these policies have basically arbitrarily added zeroes to the money supply computers.  As of March of this year, Obama’s chief Fedthug had added over $2 trillion to the money supply – a beyond insane 240 percent increase.

It’s actually probably a lot more than that “mere” 240 percent increase.  CNN Money says that rather than $2 trillion, it’s actually been at least $2.5 trillion.  And as Democrat Bernie Saunders notes, it’s actually an awful lot more than that, given the AT LEAST $16 trillion in “secret loans” that had taken place under Obama’s Federal Reserve.  I mean, holy hell, where did all this cash come from?  From Never-Never Land, that’s where.

Let me put it this way: when Obama took office from George W. Bush, the Federal Reserve balance sheet was $800 billion; it is now $3,601,523 BILLION under Barack Obama.

In an article I wrote three full years ago:

An increase in the money supply is rather like an overdose of drugs. And in this case the effect of the overdose will be hyperinflation. Basically, the moment we have any kind of genuine recovery, our staggering deficit is going to begin to create an ultimately gigantic inflation rate. Why? Because we have massively artificially increased our money supply beyond our ability to actually produce real wealth, and that means that money will ultimately be devalued. There’s simply no way it can’t be. If simply printing money solved financial problems, the government could just mail everyone several million dollars, and we could all retire. The problem is that more money chasing a limited supply of goods simply pushes up prices higher and higher without doing anything to solve the underlying economic problems. If we have a recovery, with increased economic activity, there will be increased demand on the money supply, forcing an upward climb in interest rates as a means of controlling the currency. And then we’ll begin to seriously pay for Obama’s and the Democrat Party’s sins. Paradoxically, the only thing preventing hyperinflation now is the recession, because people aren’t buying anything and therefore aren’t competing for those limited goods.

THAT is why we haven’t yet experienced truly catastrophic hyperinflation YET.  But the moment we ever actually start to get out of the economic hellhole Obama has dug us into, we will see inflation at levels that will shock and dismay you.  You mark my words.  And what we’ve now learned is that having become hooked on the hardcore narcotic known as QE crack, we can’t get off of it – because if we try the stock market will crash and people will start to panic.

Who is actually going to pay for all that money Obama invented?  I pointed out the sad reality a year ago:

Nobody’s talking about what that massive devaluation of our currency is going to ultimately cost us.  Nobody is talking about the fact that the people who are going to pay the highest tax as a result of this action – and it IS a regressive tax – will be retirees who will see the value of their savings drop even as they look at interest rates and pension funds that pay them nothing.  Retirees are not in a position to snort the crack of quantitative easing; they depend mostly on bonds.  And the Obama administration and the Federal Reserve have decided to stab the bond market  that older investors necessarily depend upon in the heart to artificially inflate the stock market.  Until they have to do it again.  And again.  And of course pretty soon again and again after that.

Commodities like oil and food – which conveniently are being ignored as proof positive that we are already seeing MASSIVE inflation – will continue to go up and up and up (see here and here and here for examples).   The fact of the matter is that prices are rising dramatically and HAVE BEEN rising dramatically, and what just happened today will sure that they CONTINUE to rise dramatically.  And everybody but Obama and the Federal Reserve know it.

And everything I predicted in that article and one I wrote back in 2011 turned out to be right.  Except I used the term “QE 4” and Obama’s economic wizards called it “QE Forever” instead.  And all the way back in 2010 I said it would fail, as it HAS failed.  You need to understand: as I pointed out in May 2011, quantitative easing is the economic equivalent of feeding a diabetic lots of sugar.  It is incredibly unhealthy and will ultimately kill the patient, but once you start feeding that sugar you can’t stop or the patient will crash and die for sure, just as Wall Street will crash and die if Obama stops giving them free sugar candy money.

Let me add another group of people to retirees I described above, Francisco: THE POOR.  Because most of the poor are on fixed incomes every bit as much as retirees are.  And their low wages, their welfare and their food stamps just aint going to keep up with the inflation that has resulted from printing money.  When you print money out of thin air, and you’ve got trillions more dollars chasing the same amount of finite resources, the value of those dollars goes down, down, DOWN.

It turns out that “free money” isn’t really so damn free, after all.

Commodities such as food and fuel are skyrocketing – especially gas as Obama’s failed Middle East policy rears its ugly head in Syria (although, mind you, Obama’s gas prices have been shockingly high all along) – and so, yeah, Francisco, “everything is getting more expensive.”

We’re to the point where we will soon be spending more money in interest to service our psychotic debt than we will on anything else.  By the next decade – and keep in mind we’re nearly half way there NOW – we will be spending the equivalent of the 2009 $862 billion Obama stimulus EVERY SINGLE YEAR.  Only those payments will be going to China while they mockingly laugh at our stupidity that made us their debt slaves.

You aint seen nothing yet, Francisco.  Thanks to Obama, your hell is going to get a lot more hellish.

What else did Francisco tell us?  He told us that Obama’s economy was crappy and thanks to Obama’s moral and fiscal idiocy, everything was more expensive now due to inflation.  What else did he say?

“With high taxes, we’re not going to be able to pay rent.”

I don’t need to point out which party and which failed president of which damn party is behind all those taxes, of course.

Let’s try to put this in terms that Francisco will understand if he doesn’t already: who owns your house you’re paying that rent on?  And what do you think happens when liberal demagogues “tax the rich”???  Here’s what will happen: when Obama and Democrats viciously tax “the rich” who own that house you rent, what’s that high-taxed owner going to do?  He’s going to raise your damn rent, THAT’S what he’s going to do.  And if you don’t like paying more in rent, you’d better show up with a huge mob of likeminded enraged sufferers with pitchforks and torches to drive Obama out of Washington before he creates another monster and kills again.

But you won’t, will you?

I want you to consider something about Obama’s “housing recovery” within Obama’s “economic recovery.”  They’re both radically and wildly FAILED.  I want you to consider, Mr. Zuniga, the ramifications of the fact that SIXTY PERCENT OF HOMES SOLD IN 2013 WENT TO CASH BUYERS.  Before I point out what that means, let me first point out how connected it is with the radically failed Obama Fed policies that have kept the money printing presses going night and day and day and night:

USA: 60 percent of homes sold in 2013 went to all cash buyers
Posted on August 16, 2013 by Stacy Herbert

Stacy Summary: This is what interest rate apartheid looks like.

USA:  60 percent of homes sold in 2013 went to all cash buyers

There was an odd sort of myth floating around the market that the cash buyer  crowd was somehow a tiny portion of the market, like a drop of water in the vast  ocean of home buying.  This delusional dream played into the fantasy that this  housing market was naturally rising because of overall household demand when in  reality, it is being driven by investors leveraging the artificial low rates  created by the Fed.  The flood of money from Wall Street has been large.  Even  anecdotally, it was apparent that cash buyers were driving the market given that  housing is a margin driven market.  That is, at any given time only a small  portion of all homes are on the market for sale.  However, an analysis by  non-other than Goldman Sachs shows that 60 percent of all 2013 home sales are  being driven by cash buyers.  That is, the middle class is largely being pushed  out of this game and has become the minority in this real estate market.

You see, Mr. Zuniga, these rich people are taking advantage of the crony capitalism (fascism) of Obama that has helped the elite investor class at the expense of the poor.  They’re snapping up the homes that YOU’RE going to rent.  And then they’re socking you with higher and higher rents.  Meanwhile, you’ve got virtually no change to ever own a home thanks to Obama.  The American dream is dead meat.  And did I mention this is the FIFTH year of the Age of Obama???  But it’s all Bush’s fault, much the way in the Big Brother society of 1984 it was all “Emmanuel Goldstein’s” fault.

Meanwhile, Mr. Zuniga, it’s getting harder and harder for you to even GET a job in Obama’s wildly failed economy.  The jobless rate just went down to 7.4%.  Hip-hip-hooray.  Only it did so as still MORE of the decimated American working class were destroyed into hopelessness at EVER finding a job.

There is an incredibly significant labor measure called the “labor participation rate.”  It is the percentage of working-age Americans who actually have a damn JOB.

There’s an article I wrote a little over a year ago that you ought to consider.  I detailed then the catastrophic plunge in the rate of Americans who actually have a job in the miserably failed Obama economy during and throughout the Obama regime.  At that time, it was the worst it had been in thirty years.  And I noted how each year under Obama’s failed Marxist State, it had just gotten worse and worse.  As an example, I recorded that in November 2010 – and note this AFTER the so-called “recovery” – the labor participation rate was the worst it had been in 25 years.  Which is to say far, FAR worse than anything Bush had ever done, you Democrat ideologues.  The next year, by August 2011, it was the worst in 27 years.  And by May of 2012, it was the worst due to Obama in 31 years.

Here we are, a year or so later, and how have things gone?  Just as I told you they would go under this failed president’s failed leadership and failed ideology: the labor participation rate is now the worst in 35 years.

And the reliably überliberal Los Angeles Times was forced to acknowledge it in these terms:

Although the unemployment rate ticked down to 7.3% last month — the lowest level since December 2008 — it fell largely for the wrong reason. More discouraged Americans gave up looking for work as the percentage of the population in the labor force dropped for the third consecutive month to its worst point in 35 years.

The unemployment rate has been dropping – which has been as good for Obama politically as it has been catastrophic for the rest of America economically.  I predicted a year and a half ago:

At the rate we’re going in Obama’s God damn America, we will have zero percent unemployment and nobody will actually have a damn job.

And, yep, that’s the way we’re headed.

Democrats are demon-possessed bureaucrats.  That’s where they get their name from.  They claim that the labor participation rate is falling as older baby boomers retire.  But that is a LIE FROM HELL.  As an example, it is YOUNG ADULTS who are suffering the most due to Obamanomics.  People cannot find a job who need to work.

And because of ObamaCare, full-time jobs have been “fundamentally transformed” by Obama into part-time jobs with no health benefits.

And if you don’t believe me, again, just ask liberals.  A letter signed by the heads of the Teamsters, the UFCW and UNITE-HERE have this to say about Obama’s impact on workers and the hours they get to work:

When you and the President sought our support for the Affordable Care Act (ACA), you pledged that if we liked the health plans we have now, we could keep them.  Sadly, that promise is under threat. Right now, unless you and the Obama Administration enact an equitable fix, the ACA will shatter not only our hard-earned health benefits, but destroy the foundation of the 40 hour work week that is the backbone of the American middle class.

The letter from these liberal unions points out the obvious fact that Democrats refuse to acknowledge about their demonic ObamaCare takeover of healthcare:

First, the law creates an incentive for employers to keep employees’ work hours below 30 hours a week. Numerous employers have begun to cut workers’ hours to avoid this obligation, and many of them are doing so openly. The impact is two-fold: fewer hours means less pay while also losing our current health benefits.

Second, millions of Americans are covered by non-profit health insurance plans like the ones in which most of our members participate. These non-profit plans are governed jointly by unions and companies under
the Taft-Hartley Act. Our health plans have been built over decades by working men and women. Under the ACA as interpreted by the Administration, our employees will treated differently and not be eligible for subsidies afforded other citizens. As such, many employees will be relegated to second-class status and shut out of the help the law offers to for-profit insurance plans.

And finally, even though non-profit plans like ours won’t receive the same subsidies as for-profit plans, they’ll be taxed to pay for those subsidies. Taken together, these restrictions will make non-profit plans like ours
unsustainable, and will undermine the health-care market of viable alternatives to the big health insurance companies.

You want to know who is killing your dreams, Mr. Zuniga?  Democrats.

But you keep voting for them anyway, because you prefer lies and more socialism and more welfare and then more lies and still more socialism and still more welfare, to the truth that would set you free if you were willing to finally act like a man and be determined to stand up on your own two feet and demand an economic system that enables you to do that.

You’re siding with the wrong people, the wrong party, the wrong political philosophy.  You’re siding with the people who keep HURTING you.  As you’d understand if you stopped and thought about your own words.

You’re one of those people who still idiotically believes that when Obama “gives” you “free stuff,” it’s actually FREE.  Let me pop your bubble, Francisco: when ObamaCare taxes insurance companies, taxes drugs, taxes medical devices, and mandates (that means forces) the health industry to pay for all of these “free” benefits such as free birth control and 26-year-olds staying on mom and dad’s health plan, the cost of medical care rises FOR EVERYBODY.  And at the same time the quality of health care goes up for EVERYBODY.

And that has had the result that people are getting kicked off health plans rather than all the lies Obama promised.

You don’t understand that everything you and your Democrats want to do – such as force businesses to raise the minimum wage whether they can afford to do so or not, whether they will cut their work forces or not, whether they will be forced to raise prices (which will reduce demand and thus reduce jobs) on poor people who buy from them or not – undermines the economy and hurts the very poor people Democrats dishonestly claim to be trying to help.  Back in 2009, I predicted that Obamanomics with its totalitarian dictate on employers to pay higher wages would be a holocaust for minimum wage workers.  And I was right.  And I just keep being more and more right as Obama’s devastating and disastrous impact on the economy spreads like the cancer that it is.

In order for the economy to create jobs, and create enough jobs to get America out of the hellhole Obama put it in, the government needs to step off employers’ throats.  Quit forcing them to do stuff they can’t afford to do and cover stuff they can’t afford to cover.  Cut their taxes so they have an actual INCENTIVE to create jobs.  And for that matter cut the damn welfare incentive so that working-age adults who ought to be ashamed of themselves if they were capable of that virtue have an actual incentive to start working.

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Obama’s ‘Hope And Change’ At Work: Most Americans (Correctly) Believe Our Best Days Are Now Behind Us

April 28, 2011

History reminds us of a time – not all that long ago – when a charismatic leader promised a fundamental transformation that brought hope to a nation.

The leaders’s name was Adolf Hitler.  It didn’t end well.  Seriously.

The kind of fascistic irrationally euphoric Utopian rhetoric of Obama

“I am absolutely certain that generations from now, we will be able to look back and tell our children that this was the moment when we began to provide care for the sick and good jobs to the jobless; this was the moment when the rise of the oceans began to slow and our planet began to heal… This was the moment — this was the time — when we came together to remake this great nation …”

– hasn’t seemed to work out very well in the real world.  I mean who talks like that but a fascist demagogue promising a false Utopia, anyway?  Not that most liberals have any clue whatsoever about the real world, mind you.

The evidence is crystal clear that Obama is a fascist and a demagogue.  But the mainstream media is every bit as unlikely to tell the truth about Obama as Joseph Goebbels’ Ministry of Propaganda was likely to tell the truth about their Fuhrer.

The New York Times once said – as part of the irrational fascistic hype surrounding Obama – that:

WASHINGTON — At the core of Senator Barack Obama’s presidential campaign is a promise that he can transcend the starkly red-and-blue politics of the last 15 years, end the partisan and ideological wars and build a new governing majority.

Did Obama ever once come close to actually fulfilling that “core presidential promise”???

How about this: within 24 days of Obama assuming the presidency, The Wall Street Journal was rightly able to say this about our “transcending” figure:

President Barack Obama has turned fearmongering into an art form. He has repeatedly raised the specter of another Great Depression. First, he did so to win votes in the November election. He has done so again recently to sway congressional votes for his stimulus package

It wasn’t even a month after assuming the presidency that Obama began to dismiss the Republicans he had promised to reach out to:

“Don’t come to the table with the same tired arguments and worn ideas that helped to create this crisis,” he admonished in a speech.

It was barely only a month after assuming the presidency that Obama began to thumb his nose at the Republicans he had promised to reach out to:

 When [Republican Rep. Eric] Cantor tried to justify his own position, Obama responded: “Elections have consequences, and at the end of the day, I won.”

Were those really the words that would “transcend the starkly red-and-blue politics of the last 15 years”???  In taking that stand, was there actually any chance whatsoever that Obama would “end the partisan and ideological wars”???  Is anyone frankly so morally and intellectually stupid to see these tactics as they way to “build a new governing majority”???

And of course, shortly after the American people rejected Obama in the largest shallacking in modern American history and voted against the Democrat Party in droves, Nancy Pelosi began to further degenerate into fascism (where elections shouldn’t matter unless the fascists win them), saying: “elections shouldn’t matter as much as they do.”

And then we proceeded to see Democrats and liberals behave far more like fascists than people who gave a damn about elections or the consequences of elections in Wisconsin.

I think of the fact that Hitler never won more than 37% of the vote.  But the moment he seized power, “elections didn’t matter as much as they should have.”

Barack Obama is a man who has personally repeatedly demonized George W. Bush, Republicans, entire industries, businesses, and even medical doctors (remember how they amputate people’s feet and yank out their tonsils just to illegitimately profit?).  As a Senator, he personally attacked George Bush for his failure of leadership for having to raise the debt ceiling; now he’s personally attacking anyone who acts as cynically and despicably as he acted.  Obama personally demonized George Bush for trampling on the Constitution for Iraq even though Congress had directly authorized his actions; but this same cynical demagogue would attack Libya without any congressional authorization whatsoever.  Obama lectured Republicans that it hurt the country and the essential political debate to demagogue the other side with health care, only to viciously attack the Republicans the first time he thought it would politically help him to do so.  Rep Ryan – whom he invited to his speech just to single him out for attack – said, “What we got yesterday was the opposite of what [Obama] said is necessary to fix this problem.”  And Obama doesn’t just demonize his opponents; he falsely demonizes his opponents by telling demonstrable lies.

As I said, Obama is a fascist bully and a cynical demagogue.  And yet the mainstream media has the unmitigated chutzpah to continue to insanely depict this cynical, lying, hypocrite demagogue as an inspirational figure.

The American people and the mushroom have something in common: both are kept in the dark and fed manure.

So you can understand why the American people – for all the information available to them – are so terribly ignorant about just what the hell is going on in our political system.

But as misinformed and lied-to as Americans are when it comes to the sea of lies they are presented with as “news,” they are still aware that fewer of them have jobs, fewer of them have homes, their food cost more, their fuel cost more and that the quality of their lives are rapidly slipping away under the policies of a failed president and his failed party.

America’s Best Days
Those Confident That America’s Best Days Lie Ahead Down to 31%
Monday, April 25, 2011

Voter confidence that the nation’s best days are still to come has fallen to its lowest level ever.

A new Rasmussen Reports national telephone survey of Likely Voters shows that just 31% believe America’s best days are in the future. That’s down three points from last month and is the lowest result found in polling since late 2006.

Fifty-three percent (53%) believe America’s best days are in the past, also the highest measurement in over four years. Sixteen percent (16%) are undecided. (To see survey question wording, click here.)

Separate polling finds that only 22% of Likely Voters believe the United States is now heading in the right direction. That ties the lowest level found during Barack Obama’s presidency.

While majorities of Republicans (68%) and voters not affiliated with either major political party (52%) believe America’s best days are in the past, a plurality of Democrats (45%) thinks its best days still lie ahead.

Fifty-eight percent (58%) of white voters believe America’s best days have come and gone, but the same number of black voters (58%) feel the opposite is true.

[…]

And of course, it is true: America’s days truly ARE behind us as long as Barack Hussein Obama and as long as Democrats are able to continue to lead.  Either Democrats will go down, or America will go down.

But, liberals say, it was BUSH who made the economy fail.  Two things: 1) how many years should that line of garbage continue to succeed?  And 2) it was never true to begin with (also see here).

Do you know that Democrats had total control of both the House and the Senate from 2006 until 2010???

George Bush tried SEVENTEEN TIMES to warn Congress that unless we got control of the out-of-control Democrat-controlled Fannie Mae and Freddie Mac and the out-of-control housing and housing mortgage market that it was poisoning with piles of bad debt, our economy would go under.  The problem had festered because Bush had reappointed the first black Fannie Mae CEO because of political correctness.  Franklin Raines was a failure and a corrupt fraud who disguised massive debt.  Further, fearing the same political correctness, Republicans had allowed themselves to be repeatedly stymied in their attempts to reform the Government Sponsored Enterprises Fannie and Freddie as Democrats screamd “racism.”  John McCain was if anything even more clear in 2006 when there was still time to fix the developing crisis.  McCain wrote (in 2006):

Congress chartered Fannie and Freddie to provide access to home financing by maintaining liquidity in the secondary mortgage market. Today, almost half of all mortgages in the U.S. are owned or guaranteed by these GSEs. They are mammoth financial institutions with almost $1.5 Trillion of debt outstanding between them. With the fiscal challenges facing us today (deficits, entitlements, pensions and flood insurance), Congress must ask itself who would actually pay this debt if Fannie or Freddie could not?

McCain asked, “Who would actually pay this massive debt for these incredibly risky liberal policies if Fannie or Freddie could not?’  And we now have the answer to that question, don’t we???

Even the liberal New York Times recognized the threat posed by Fannie and Freddie.  And Peter Wallison all but predicted the collapse as early as 1999:

In moving, even tentatively, into this new area of lending, Fannie Mae is taking on significantly more risk, which may not pose any difficulties during flush economic times. But the government-subsidized corporation may run into trouble in an economic downturn, prompting a government rescue similar to that of the savings and loan industry in the 1980′s.

From the perspective of many people, including me, this is another thrift industry growing up around us,” said Peter Wallison a resident fellow at the American Enterprise Institute. ”If they fail, the government will have to step up and bail them out the way it stepped up and bailed out the thrift industry.”

 The same Peter Wallison who had predicted the disaster from 1999 wrote a September 23, 2008 article in the Wall Street Journal entitled “Blame Fannie Mae and Congress For the Credit Mess.”

Wallison was 100% correct, and had the FACT that he had accurately predicted the collapse to give him further credibility.  Democrats were 100% wrong.  Barney Frank was one of the unanimous Nazi-goosetepping Democrats who said stuff like this:

These two entities — Fannie Mae and Freddie Mac — are not facing any kind of financial crisis,” said Representative Barney Frank of Massachusetts, the ranking Democrat on the Financial Services Committee. ”The more people exaggerate these problems, the more pressure there is on these companies, the less we will see in terms of affordable housing.”

Basically a MONTH before Fannie and Freddie went bankrupt and started the entire housing mortgage market collapse in 2008, Barney Frank was still singing the same idiotic tune:

REP. BARNEY FRANK, D-MASS.: “I think this is a case where Fannie and Freddie are fundamentally sound, that they are not in danger of going under. They’re not the best investments these days from the long-term standpoint going back. I think they are in good shape going forward.

They’re in a housing market. I do think their prospects going forward are very solid.”

John McCain correctly predicted a disaster.  Barney Frank was still spouting outrageous lies just one month before the bottom fell out of Fannie Mae and Freddie Mac and then caused the bottom to fall out of the entire economy.  Republicans were right and Democrats were disasterously wrong.  And the American people responded by electing Democrats and purging Republicans.  Because we were lied to, and because we have become a bad people who believe lies.

Democrats blocked every single move by both the Republicans and by George Bush.  They actually threatened filibusters to prevent Bush from fixing the broken system that failed and it was DEMOCRATS who took our economy down the drain.

And Senator Barack Obama had more campaign money from Fannie Mae and Freddie Mac in a shorter time than anyone in Congress.  And he also had more campaign money from Lehman Brothers – a dirty Wall Street player that went belly up – in a shorter time than anyone else in Congress.  Obama was bought and owned by the people who blew up our economy.

Only a nation of fools would have voted for this inexperienced Marxist fool to run our nation.  But a nation of fools believed the worst media propaganda campaign since Joseph Goebbels plied his trade.

Even fools feel pain when they keep getting burned, though.  And Obama is burning America alive.

We are slipping.  Even fools can feel it:

26 Apr, 2011, 11.27AM IST,IANS
China’s economy to surpass that of US by 2016: IMF

BEIJING: The Chinese economy will surpass that of the US by 2016, the International Monetary Fund ( IMF )) has predicted.According to the IMF’s forecast, based on “purchasing power parities”, China’s gross domestic product (GDP) will rise from $11.2 trillion in 2011 to $19 trillion in 2016, while the American economy will increase from $15.2 trillion to $18.8 trillion.

China’s share of the global economy will ascend from 14 percent to 18 percent, while the US’ share will descend to 17.7 percent, China Daily reported.

The Economist had predicted in December 2010 that China would overtake the US in terms of nominal GDP in 2019.

 At the same time all of the other growing disasters is taking place, we have a crisis in the price of oil.  And Obama has done nothing but exacerbate that crisis with energy policies that are even more destructive than Jimmy Carter’s.

Do you feel your nation growing smaller and smaller and weaker and weaker?  That is the hope and change you voted for.

In the time that Obama has been president, we’ve gone from predicting China would overtake us by 2030, to 2019, to just five years away.  And mark my words, it will be moved up yet again, before they overtake Obama’s ignorant stupidity even faster than that.

Under Obama, and due to his immoral and criminally reckless policies, we are spending like fools and at the same time insanely inflating our money supply (under the euphamism of “qantitative easing” or QE2.  And here are the results:

APRIL 23, 2011
Dollar’s Decline Speeds Up, With Risks for U.S.
BY TOM LAURICELLA

The U.S. dollar’s downward slide is accelerating as low interest rates, inflation concerns and the massive federal budget deficit undermine the currency.

With no relief in sight for the dollar on any of those fronts, the downward pressure on the dollar is widely expected to continue.
The dollar fell nearly 1% against a broad basket of currencies this week, following a drop of similar size last week. The ICE U.S. Dollar Index closed at its lowest level since August 2008, before the financial crisis intensified.

“The dollar just hasn’t had anything positive going for it,” said Alessio de Longis, who oversees the Oppenheimer Currency Opportunities Fund.

Thanks to your fool-in-chief president, your dollar is worth less and less.  And your gas and your food cost more and more.  Food now costs more than at any time since 1974, thanks to the Democrat messiah.

Or maybe he’s not such a fool.  Because maybe this is what he wanted all along.  Read this article on “the Cloward and Piven Strategy” created by liberals/progressives to implode America written in 2008 (you could also read my own article written in 2009).  And then see what top SEIU official Steven Lerner – who left the “workers of the world unite; it’s not just a slogan anymore” radical union at the same time #1 White House visitor Andy Stern did – had to say about deliberately trying to cause a financial crisis that will implode America.

The United States of America is dangerously close to complete collapse.  One wrong move, one piece of bad news, just one thing, could send us into a collapse that will be impossible to stop.

And we are either being led by a total fool, or even worse, we are being led by a man who is actively plotting to collapse America to impose a radical leftwing ideology, and who doesn’t care one iota more about the American people than Adolf Hitler cared about the German people.

I’m sure you have probably picked up on my angry tone.  I am angry; I’m beyond angry.  Why?  Because I see the beast foretold by the book of Daniel and the book of Revelation coming.  I see the collapse coming, and the Antichrist riding in on his white horse to save the day.  And I see that the same liberals, the same progressives, the same Democrats who caused this collapse will be the ones to welcome this coming world dictator.  And it will be these same Democrats who call for the American people to take his mark on their hands or on their foreheads so that they can join the rest of the world and buy and sell.

Rest assured, Obama’s reckless fiscal policies are not just undermining America; they are undermining the entire world.  The unrest in the Middle East (which again says “Last days as foretold by the Bible” all over it) is directly attributed to Obama’s monetary policies, according to the G-2o and the central banks.

Barack Obama is a false messiah.  The Democrat Partyis the party of hell.  And they are leading us to hell on earth right now.  Today.

And we are voting for hell.

You mark my words.  It won’t be long now.  The beast is coming.  And if you vote Democrat, you have already voted for him by paving the way for his soon-arrival.

Get ready for hell.

The Pathological Stupidity Of Obama’s ‘Fairness’ Meme Of Taxing The Rich

April 13, 2011

We need to balance our insane budget deficit, Democrats say.  And it’s time the rich paid their fair share.

All the top 10% of earners paid is 73 percent of the income taxes collected by the federal government.  That’s nothing.  It’s those poor poor who suffer the most.  The bottom 50% have to pay a whole bunch of nothing.  It’s just brutal for them every April.  They want to write a check to the government, but only the rich get to do stuff like that.  And the bottom 40% are so screwed by our federal income tax system that they actually are forced to accept free money in addition to paying a whole bunch of nothing.  Unless the Associated Press is lying about it.

Nothing makes me more annoyed than the phrase “give the rich tax cuts.”  Because it presumes that the government owns us and graciously allows us to keep some of what we earn.  The way liberals understand things, they own all the means of production.  They own my labor and whatever I earn from my labor.  And I am lucky if the commissars allow me to keep enough to feed myself.  It derives from a tenant of Marxism: “From each according to his ability, to each according to his need.”  At the core is central planning; government stands above us, it stands above God (which is why consistent Marxists deny God exists and religion is merely an opiate of the masses), and government should redistribute everything according to its divine power.

That is the intrinsic logic of their view that allowing the rich or anyone else to keep more of their own money is considered a cost to the government.  But it ISN’T a cost to the government to allow me to keep more of my own money; anymore than it is a cost to me to allow my next door neighbor to keep more of his own tools.

Obama gave an address in which he paid lip service to reducing spending – even though his budget that he released only TWO MONTHS AGO didn’t reduce any spending at all – and in fact stated that it would be dangerous to do so.  Obama has no plans to cut spending; in fact, the deficit in just the first six months of this year shot up another 15.7%.  Obama is going to do what he’s been doing since he started running for president; he’s going to offer meaningless rhetorical platitudes about cutting spending and reducing costs, while demonizing the rich and demanding that the ONLY people who pay REALLY START TO PAY.

Obama is going to talk about “fairness.”

The ‘fairness’ meme
April 12, 2011 – 4:47 am – by Roger Kimball

We don’t know exactly what Barack Obama is going to say when he fires up his teleprompters at George Washington University tomorrow. The color, we do know, however: it’s red, as in “red ink,” what Mitch Daniels at his speech at CPAC earlier this year called “the new red menace.” (I like to think that the invocation of the old “red menace,” the Communist, socialist one, was deliberate: it is, I would argue, apt.)

The substance of the speech, as ABC notes, is “closely held.” Everybody thinks that there will be at least pro forma acknowledgement that spending on such programs as Medicare and Social Security needs to be reined in. But the big O will also return to one of his favorite themes, a by-word from his 2008 campaign: “increased taxes on the wealthy” (that’s according to “White House officials”).

Here’s my bet: the operative word in Obama’s speech tomorrow night, the mantra that will be repeated endlessly not only by O but also by the left-wing commentariat, is “fairness.” You remember his campaign shtick: the Saddleback Church event, for example, when Rick Warren asked candidates John McCain and B.O. about taxes. “Define rich,” he asked. McCain tossed out an income of $5 million, which elicited derision. But the gravamen of his response came in the elaboration: “I don’t want to take any money from the rich. I want everybody to get rich.”

How different was B.O.’s response: What he was looking for, he said, was “a sense of balance, and fairness in our tax code. It is time for folks like me who make more than $250,000 to pay our fair share.”

“Our fair share.” That, as I noted at the time, is B.O.’s refrain. “[W]e will save Social Security for future generations by asking the wealthiest Americans to pay their fair share.” It’s a small step from the invocation of “our fair share” to Obama’s call for a tax on “the windfall profits of oil companies,” a tax increase on capitals gains, elimination of the tax on Social Security tax, etc., etc.

The crucial point here is that what Obama is interested in is not increasing revenue but in promulgating redistributionist policies that make it harder for people to prosper economically. William McGurn, writing in The Wall Street Journal back then, recalled Obama’s response to ABC’s Charlie Gibson when Gibson observed that raising taxes led to decreased revenues: “Well, Charlie,” Obama replied, “what I’ve said is that I would look at raising the capital gains tax for purposes of fairness.”

“For purposes of fairness”: that means, “for purposes of economic egalitarianism.”

McGurn observed:

[I]t doesn’t really matter whether a tax increase actually brings in more revenue. It’s not about robbing from the rich to give to the poor. Robbing from the rich will do, especially if it’s done in the name of fairness.

Now there are good reasons Mr. Obama is not likely to pursue the revenue side of the fairness question. As this newspaper noted in a recent editorial, the latest data from the Internal Revenue Service does not show to Mr. Obama’s advantage. As we come to the end of the Bush administration, the top 1% of American taxpayers already pay 40% of all income taxes — the highest level in 40 years. The top 10% of income earners pay 71% of the taxes.

The bottom line is that when Obama invokes “fairness,” he wants us to feel guilty about economic success. This is the secret of his appeal to the socialistically inclined.

It worked in 2008. Let’s see how it goes down tomorrow. Over the last two years, Barack Obama has presided over an economic Armageddon. Everyone knows about that $14 trillion that is the federal debt. Few people, I suspect, really appreciate what that unimaginable figure represents. And the kicker is, $14 trillion is only a tithe of the trouble. As Kevin Williamson and others have pointed out, the country’s real debt, when you facotr in state indebtedness and unfunded so-called “entitlement” liabilities, is closer to $130 trillion. That horror-movie figure is just too awful to contemplate, so I will draw a veil.

[…]

For the record, I wrote an article entitled, “Tax Cuts Increase Revenues; They Have ALWAYS Increased Revenues,” in which I documented that every single time the United States has reduced the income tax rate, federal revenues have gone up.  I go back to Warren Harding to document that.  I include John F. Kennedy, Ronald Reagan, and George Bush – who increased federal revenues by lowering tax rates.

But this recurring documented fact of U.S. history is tantamount to rocket science to liberals.  Because they adhere to the entirely unrealistic premise that if I were to double your taxes, I would collect double the revenue, because people wouldn’t react to the tax increase by altering their behavior.

Recent developments give me a crystal clear example of why liberals couldn’t be more wrong:

Gas Price Rise, Americans Drive Less
By Rachel Smith
Posted: Apr 12, 2011 10:30 a.m.

Americans are taking rising gas prices seriously. They’re already driving less, “reversing what had been a steady increase in demand for fuel,” the Associated Press writes. “For five weeks in a row, they have bought less gas than they did a year ago.”

The average price of gas is an obvious indicator of why national fuel consumption is dropping. At the end of March, AAA reported that gas reached an average of $3.60 nationally. Today, AAA says the national average is $3.79 for regular grade, a 29 cent jump in about two weeks. Business Week reports that many analysts forecast that these numbers will worsen, and expect that consumers could pay as much as $5 a gallon this year due to political unrest in North Africa and the Middle East, which supply much of the United States’ oil. The $5 per gallon speculation has been floating around the industry for some time, but last year, CNN stated that former president of Shell Oil, John Hofmeister predicted that Americans could pay $5 a gallon by 2012. Analysts have bumped that date up.

“Drivers are already reacting to the change,” writes Kicking Tires. “In the first week of April, consumption was down 3.6%, or 2.4 million gallons of gasoline,” based on data from MasterCard Spending Pulse.

One of the best ways to combat rising gas prices is to drive less, but there are other simple things you can do. […]

Even uneducated, ignorant and frankly stupid people understand this incredibly basic concept: cost goes up, activity goes down.  And yet you have liberals with PhDs staffing agencies such as the Congressional Budget Office utterly fail to understand that if they make taxes go up, they will end up with reactions that will invariably produce less revenue for the government.

If even high-school dropouts understand that if the price of gasoline goes up, they need to drive less, how is it that brilliant businessmen won’t realize that if their tax rates go up, they need to protect their money?

Here’s another analogy that might be spot on the money.  Suppose your going to work and a mugger jumps you and takes all your money.  As he’s walking off, counting your (well, his now) cash, he says, “I hope you’ve got as much dough tomorrow, because I’m going to mug you again.”  Now, if you’re smart, you won’t be happening by that way at all the next day.  But if you’ve absolutely got to go that way to get to work, will you have as much money that next day?  Not if you’ve got a single functioning brain cell.  On my analogy, if you figure out some other way to get to work, that’s tax avoidance.  If you stash your cash somewhere so you don’t have it for the robber to take, that’s tax sheltering.  And if you’re too stupid to understand that this is what people do when their taxes go up, that’s liberalism.

The more taxes increase, the more activities that were previously not worth doing – such as sheltering assets, moving assets overseas, investing in collectibles, purchasing tax-exempt investment vehicles, or just dodging taxes – become worth doing.

And so,what happens every single time happens yet again.  Raise taxes expecting more revenue, get less revenue, and hurt the economy in the process by penalizing productivity and investment risk and thereby restricting growth.  And when you encourage growth by reducing the tax burden and allowing people to keep what they earn, lo and behold, cetaris parabis, there is a surge in activity, an increase in economic growth and a corresponding increase in federal tax revenue.

I say “cetaris parabis” because if you throw in a socialist Fannie Mae and Freddie Mac that undermine something as vital as our housing mortgage market by imposing morally and fiscally insane policies until the system comes crashing down, such as what occurred leading up the crash in 2008, the best tax rates in the world can’t save the system.

Here are just a few articles I wrote on that subject, in order of date written with the earliest listed first:

Biden: ‘We Misread The Economy, And It’s All Republicans’ Fault

AEI Article: How Fannie And Freddie Blew Up The Economy

Barney Frank And Democrat Party Most Responsible For 2008 Economic Collapse

More Proof Democrats Destroyed The Economy In 2008: The Ongoing Fannie Mae/Freddie Mac Disaster

We need to have intelligent economic policies.  If we don’t have such policies, we’re going to struggle regardless of our tax rates.

Quickly, another liberal policy that will not even possibly work is the Federal Reserve QE2 (that’s the second shot at quantitative easing) that artificially reduces interest rates by artificially increasing the money supply in order to increase lending.

Here’s the problem with that.  Short term, it might seem to work.  The stock market looks at the apparent backstopping of our economy and follows the leader (Uncle Sam) up until the ship starts to sink.  After which they will sell, sell, sell.  But the ship ALWAYS sinks.  Why?  Because you have a lot more dollars chasing after the same supply of finite goods and services (if anything, in the last few years, we have a LOWER supply of finite goods and services).  So what happens?  More dollars chasing less stuff.  That’s inflation.  It will INVARIABLY require more devalued dollars to buy the same things.  The more you inflate the money supply, the worse that inflation gets.  And we have massively increased our money supply.

Let me go back to what I wrote going on a year ago now:

An increase in the money supply is rather like an overdose of drugs.  And in this case the effect of the overdose will be hyperinflation.  Basically, the moment we have any kind of genuine recovery, our staggering deficit is going to begin to create an ultimately gigantic inflation rate.  Why?  Because we have massively artificially increased our money supply beyond our ability to actually produce real wealth, and that means that money will ultimately be devalued.  There’s simply no way it can’t be.  If simply printing money solved financial problems, the government could just mail everyone several million dollars, and we could all retire.  The problem is that more money chasing a limited supply of goods simply pushes up prices higher and higher without doing anything to solve the underlying economic problems.  If we have a recovery, with increased economic activity, there will be increased demand on the money supply, forcing an upward climb in interest rates as a means of controlling the currency.  And then we’ll begin to seriously pay for Obama’s and the Democrat Party’s sins.  Paradoxically, the only thing preventing hyperinflation now is the recession, because people aren’t buying anything and therefore aren’t competing for those limited goods.

And let me point out that we’re looking at huge inflation now – even as Obama declares victory over the recession – in insanely rising gas prices, food prices, clothes prices, all prices:

Hope ‘n Change Coming To Fruition: Cost Of EVERYTHING About To Go Up

Instability, Food Riots And A Heaping Dose Of ‘I Told You So’

Just like I said would happen.  And just like the long list of economists said would happen when they begged Obama not to do the $3.27 trillion stimulus.

This phenomenon is going on all over the world because most of the world is tied to the U.S. dollar – the currency that Obama has been poisoning hoping for short-term political gains.

And, again, a temporary extension of the Bush tax cuts (which doesn’t help businesses and individuals who are desperately searching for consistency so they can predict their costs) is not going to help us out of this kind of moral and fiscal insanity.

But what we are going to see is Obama now demagoguing all the massive economic failure that his own policies are responsible for creating in the first place to demand that the rich “pay their fair share.”