Friday, August 31, 2012

Same old nonsense to get elected.....

The US government can never go bankrupt or run out of money. The Feds can borrow, tax, steal, or print all they need. Period!

They have been doing it for our whole history why should they stop now. Because we want Republicans to win? Does anyone seriously believe there will be any substantive change made when they get in power? 

Don't hold your breath. Cutting Social Security, medicare, VA benefits, government employment put millions of us into the streets with hang man nooses and guns. 

So what will happen? Just like it always happens: Here's the excuse "the damn opposition party wont let pass these budget savings us so give us more money and your vote so we can win in November and take our government back!

The voters have done this about 50 times in our history and our politicians still suck!!!

Want my vote? Send me a big big check! I'll pay off a few bills and borrow twice as much and so will you. End of depression! 

Read the following all the way through and you'll see...We've been fed a load of horseshit.

A Disturbing Trend in Republican Convention Speeches | PRAGMATIC CAPITALISM

I’ve been watching a number of the Republican National Convention speeches and while I like a lot of what I’ve heard I have to say that there seems to be one overarching and rather disturbing trend in the rhetoric.   There is an endless discussion about the USA going bankrupt.  Even worse, there have been endless comparisons to Greece and other European nations.  This is an egregious misunderstanding of the way our monetary system works.  I won’t regurgitate all of what I just recently wrote in this piece, but this is really rather simple so I’ll pull a snippet: “The USA has an institutional arrangement in which it is a currency issuer. That is, while the Treasury is an operational currency user (meaning it must always have funds in its account at the Fed before it can spend those funds) it is always able to harness the banks to procure funds. This is achieved through bond auctions in which the dealers are required to bid. The NY Fed explains: Primary dealers ar

Wednesday, August 29, 2012

Insurance company denies Patti's disability....

A real screw up but should be able to win just might take awhile. Some days it don't pay to get out of bed. Still, we get Social Security and Medicare starting in February. I have to pay for her insurance until January as I can put her on my insurance at Walmart.

We're only talking four grand or so over 6 months but I don't need the aggravation . I don't want to use her 401k money if I can help it because I get taxed pretty heavy on it and we'll need the money next year.

Tuesday, August 28, 2012

We, when we buy something, pay all taxes on the manufacture....

Raise taxes on the "rich" and they take it out of our hides. Lower your hours, reduce your benefits, raise the prices you pay, or simply not hire or fire you in the first place.

Taxes don't fund the Federal government but make us do what the gang in Washington thinks is necessary for a better society. They reward their campaign contributors, punish their enemies and socially engineer you life. PERIOD.

Removing the income tax and replacing it with a sales tax would bring in much more money and you and I wouldn't be able to tell much difference. But if they want to control people's lives and the income tax does it..

Just think IRS audit or mention it in public and you will see what's what!

Yes! They own your ass!!!

» Sowell: The Paul Ryan Choice » Commentary -- GOPUSA

But, if what they want is emotionally satisfying rhetoric and a promise to give them something for nothing, to be paid for by taxing somebody else, then Obama is their man. This is not to say that the public will in fact get something for nothing or that rich people will just pay higher taxes, when it is easy for them to escape taxation by investing overseas -- creating jobs overseas. Even if most Americans do not have their own taxes raised, that means little, if they end up paying other people's taxes in the higher prices of goods and services that pass along the higher taxes imposed on businesses.

Monday, August 27, 2012


My brother Jake and his wife, Judy stopped over to help us sell our treasures. Unfortunately, had to sell the utility trailer. At least I made enough to pay off a credit card and almost half another. Won't be long if the mobile sells before we can move south for our retirement.

I'll probably stick with Walmart for awhile as Im accumulating 41k money, $ 50 every payday from them. Could transfer to Florida but might not get a full time job there and would loose my insurance.

We'll see whar happens this winter with Patti's health as I plan to send her to my daughter Tracy's for the winter.

Saturday, August 25, 2012

One of the good guys.....

The banks are up to their necks in drugs. Illegal drugs wouldn't exist as a problem if the money in it wasn't so big. That''s why we'll never solve the problem....Except we no longer participate in using them.

Of course, the banks pretty much own most of the government big shots in much of the world and if the " government leaders" don't play along they end up like Noriega, Husein, Osama, and a dozen or so more in the last 50 years.

And no, there's nothing we can do about it except report and bitch about it as long as millions of our citizens prefer to use this shit. Of course, most are hopeless addicts and your elected government is on the take to keep them that way.

You only have to look at cigarettes and alcohol legally killing millions. The only difference is the victims in these cases can get treatment without going to prison.

It took pretty much a revolution in our country  to make booze legal and treat drunks as victims of a disease after a generation of murder, crime and especially political corruption.

So' light at the end of the tunnel? Yeah, right! 

The Infiltrator - by Robert Mazur

ROBERT MAZUR spent five years undercover infiltrating the criminal hierarchy of Colombia’s drug cartels. The dirty bankers and businessmen he befriended—some of whom still shape power across the globe—knew him as Bob Musella, a wealthy, mob-connected big shot living the good life. Together they partied in $1,000-per-night hotel suites, drank bottles of the world’s finest champagne, drove Rolls-Royce convertibles, and flew in private jets. But under Mazur’s Armani suits and in his Renwick briefcase, recorders whirred quietly, capturing the damning evidence of their crimes. Then, at a staged wedding, he led a dramatic takedown that shook the underworld. In the end, more than eighty men and women were charged worldwide. Operation C-Chase became one of the most successful undercover operations in the history of U.S. law enforcement, and evidence gathered during the bust proved critical to the conviction of General Manuel Noriega.

Friday, August 24, 2012

Think there is a nickles difference between the candidates?...

Here's a lefty who agrees with me. The right-left dialogue for the most part is a scam. Nothing will change as far as the gang who owns our government is concerned. 

Representative Ryan’s Far-Right Agenda: The Media Can’t Take the Truth | NationofChange

First, in spite of all the name-calling about President Obama being a Kenyan socialist, he has pushed an agenda that most Republicans would have been comfortable with 20 years ago. His health care plan was put forward by the conservative Heritage Foundation in 1992, before Governor Romney put it in place in Massachusetts. His Wall Street reform leaves the too-big-to-fail banks bigger than ever, even after they helped to inflate a housing bubble, the collapse of which brought the economy to its knees. And, running large deficits in a downturn was a practice that Obama could tie to Presidents Nixon, Ford, Reagan, and both Bushes. It would be difficult to find a policy pushed by our Kenyan socialist president that would make a Nixon Republican unhappy.   By contrast, Representative Ryan has an extreme right-wing agenda that predates both Great Society and the New Deal. He has put forward plans that would cut and privatize both Social Security and Medicare. He has also called for essentially zeroing out most categories of federal spending.

Thursday, August 23, 2012

Signed Patti up for disability and Social Security.....

She no longer works and will get $774 a month from the government. Not a lot but we'll survive. At least she got 2 weeks sick pay coming and can retire and keep her 2 weeks vacation pay sometime next year.

Everything at the mobile in Bonners is for sale and should get enough to cover my debts.

If not, the banks can eat shit and die!!!!

Wednesday, August 22, 2012

This is news...

A big shot in Washington not prosecuted?  Wow what next, the president keepinfg his job after committing a felony? (Right Bill?)

Not in our government, right? 

Guest Post: Assange Or Corzine? | ZeroHedge

Priorities are a bitch. The United States won’t prosecute Corzine for raiding segregated customer accounts, but will happily convene a Grand Jury in preparation for prosecuting Julian Assange for exposing the truth about war crimes. From the New York Times: A criminal investigation into the collapse of the brokerage firm MF Global and the disappearance of about $1 billion in customer money is now heading into its final stage without charges expected against any top executives. After 10 months of stitching together evidence on the firm’s demise, criminal investigators are concluding that chaos and porous risk controls at the firm, rather than fraud, allowed the money to disappear, according to people involved in the case. 

Sunday, August 19, 2012

More scare mongering from people with too much free time......

Should we tell him? We geezers will just have to spend every dime and not bury the money in the back yard. DUH!!! 
 You'll hear a lot of this bullshit because it makes people vote and spend their money on these silly people.

We have to remember that all money spent creates jobs, At Walmart, Micky D's, RV parks, gas stations, real estate offices, Dr's offices, political parties,etc etc.

These people will say anything to get your check? (Somebody should remind them that it's our money and we have a vote and guns.)

There is no problem with SS if the politicians would just leave the taxes alone! If the so called fund gets short add a couple of bucks to it and leave our money alone.

Bottom line? We need to get our jobs back the assholes in Washington sent to China and Mexico and this chicken little shit goes away with a revival of the middle class.

But that wouldn't be good for votes, would it? And who would give them money to scare the fuck out of us because Washington wants your retirement sitting on Wall Street greasing the gang's palms who are screwing over us and our so democratic called government.

Read this guy's article and you will see. About as silly as the Viet Cong invading Manhattan in their sampans!!!

America's Demographic Cliff: The Real Issue In The Coming, And All Future Presidential Elections | ZeroHedge

The stronger turnout of these voters, and their sheer numbers, are also likely to have an important impact on US political races in the years to come. They’re going to be the biggest voting bloc in American history, if patterns hold: 68% of them is almost 52 million, larger than the entire Black/African American voter population, for example. And like other older generations, according to a study by the Pew Research Center done in late 2011, Boomers have become slightly more conservative as they’ve aged, and slightly more of them (45% vs. 51%) intend to vote for Governor Romney in the upcoming election. However, given that one of their main concerns is the maintenance of entitlement spending, it seems unlikely that Boomers will continue to support a party that recommends reducing the deficit by cutting entitlements. All candidates, then, and especially the GOP, will need to take a hard look at the wants and needs of the Boomers. The 2012

Saturday, August 18, 2012

What happens when you run out of these stupid guys?.....

Does the gang in D.C. really believe this shit? Unarmed guards acting as bullet absorbers? HELLO anybody in there? And how much do you pay these nitwits? 

You can't make this shit up? Trust me.

Ready? The shooter had Chick Filet sandwichs in his back pack!!!!

No wonder! The screw ball was looking to waste homosexuals and the stupid guard got in his way. Of course, now the taxpayers have got to feed, clothe, and medicate this asshole for 30 or 40 years so I suppose not having a gun handy to blow the dip shit to Hell was good for the unemployment situation in town, right?

Did I not tell you you can't make this shit up? Read the whole article and go out and buy a gun because these dumb asses are headed for you.  

MILLER: Body blocking bullets - Washington Times

An unarmed security guard thwarted a gunman in Washington on Wednesday using nothing but his body - and that’s just what D.C. officials want. Mayor Vincent C. Gray cited Leonardo Johnson’s being shot in the arm while protecting coworkers at the Family Research Council (FRC) as proof the capital city’s restrictive gun laws are effective. It’s dangerous to think unarmed guards are always going to be able to protect the innocent from determined criminals. On Thursday, the mayor told NewsChannel 8’s Bruce DePuyt that he is “proud of the gun laws we have here in the District of Columbia,” which he called “the most stringent, restrictive” in the country.

Friday, August 17, 2012

Jesus...What can we blame for all the climate change?....

Going to have to blame the Chinese or the boogy man. At least we can bomb the Chinese, right? Next thing you know the "climate" scientists will be predicting a new ice age.......Wait been there done that!!!!

Use of natural gas credited for drop in CO2 emissions - Washington Times

In a surprising turnaround, the amount of carbon dioxide being released into the atmosphere in the U.S. has fallen dramatically, to its lowest level in 20 years, and government officials say the biggest reason is that cheap and plentiful natural gas has led many power-plant operators to switch from dirtier-burning coal. Many of the world’s leading climate scientists didn’t see the drop coming, in large part because it happened as a result of market forces rather than direct government action against carbon dioxide, a greenhouse gas that traps heat in the atmosphere.

Thursday, August 16, 2012

And we pay for it......

The Coming American Dictatorship revisited by John Silveira Issue #77

“It’s been that way throughout all of history. The biggest enemy of mankind has not been foreign invaders, or terrorists, or serial killers, or muggers on the street. The most dangerous threat to humanity is almost always our own governments. Hitler killed million of Germans including German Jews. Stalin oversaw the deaths of 20 to 80 million Soviet citizens, Mao another 60 million in China. The Khmer Rouge of Cambodia killed 3 million Cambodians, and who knows how many people Idi Amin killed in Uganda? These aren’t isolated cases. All throughout history the primary killer of people has always been their own kind. Governments have been responsible for more deaths to the governed than war or plague. And the people who are most likely to deprive you of your rights and freedoms are your own government. Terrorists aren’t going to suspend your rights to free speech, the press, the right to bear arms, or jury trials. Neither are Colombian drug lords nor muggers. It’s John Ashcroft, Charles Schumer, George Bush, Tom Daschle, and their kind who will do it.

Tuesday, August 14, 2012

Patti signs up for Social Security a week from Thursday...

Disability takes about three months to get so we will sign her up at Walmart's private insurance. It's only a matter of time befor she can't do anything by herself and she's tired all the time. 

Time is catching up with us all, I guess.

Monday, August 13, 2012

As I've been saying....

The world is awash in American money and eventually it will all come home. When it does we boom until the next bust. But with the Dems threatening to take it the money away through taxation it ain't gonna happen aytime too soon.

Troubles Abroad Keep Cash Flowing to U.S. -

Fears the U.S. will go over the "fiscal cliff" at the end of the year suggest not much has changed in Washington since the debt-ceiling battle hit the struggling economy a year ago. Also unchanged: Investors still appear convinced that the U.S. is the safest of borrowers, despite rising angst about government debt around the world. Why is Treasury debt still seen as one of the world's safest assets? The U.S. "effectively got a pass," said Tom Porcelli, chief U.S. economist at RBC Capital Markets. "If you needed to fly into the safety of a country, the U.S. was the best of the worst." How long this will last depends how long it takes the global backdrop to improve. Enlarge Image The U.S., despite losing its coveted triple-A debt rating from Standard & Poor's last August, remains a magnet for money fleeing the globe's trouble spots. As Europe's debt crisis rages, turmoil in Greece, Spain or Italy sends investors rushing into the safe arms of the U.S. government.

Sunday, August 12, 2012

And it was ugly, let me tell you......

Friday Humor: Olympics Edition | ZeroHedge

Sometimes, some things are best left unsaid: Weightlifting commentator: "This is Gregoriava from Bulgaria. I saw her snatch this morning during her warm up and it was amazing."

Dressage commentator: "This is really a lovely horse and I speak from personal experience since I once mounted her mother."

Boxing Analyst: "Sure there have been injuries, and even some deaths in boxing, but none of them really that serious."

Softball announcer: "If history repeats itself, I should think we can expect the same thing again."

Basketball analyst: "He dribbles a lot and the opposition doesn't like it. In fact you can see it all over their faces."

At the rowing medal ceremony: "Ah, isn't that nice, the wife of the IOC president is hugging the cox of the British crew."

Soccer commentator: "Julian Dicks is everywhere. It's like they've got eleven Dicks on the field."

Tennis commentator: "One of the reasons Andy is playing so well is that, before the final round, his wife takes out his balls and kisses them . . . Oh my God, what have I just said?"

And finally, Obama calls Phelps: "Congratulations Michael, but remember you didn't win all those medals, someone else did. After all, you swam in public pools, built by state employees using tax dollars. You got training from the USOC, and ate food grown by the Department of Agriculture. You should play fair and share your medals with the people who can barely keep their head above water, let alone swim." 

Saturday, August 11, 2012

Where's the IRS?

Oh yeah, they don't investigate the elite. Forgot. Just ask Oba mama's cheats, right?

The ‘Missing Evidence’ in Romney’s Tax Records | NationofChange

Harry Reid has provoked outrage among liberals as well as conservatives, who seem to believe he has violated propriety by repeating gossip about Mitt Romney's taxes. The Senate leader says someone connected with Romney told him that the Republican candidate paid no income taxes for a period of 10 years. Offended by Reid's audacity, commentators on the right have indicted him for "McCarthyism," while others on the left have accused him of inventing the whole story. Evidently the chief complaint against Reid — aside from aggressiveness unbecoming a Democrat — is that he cited "an extremely credible source" who he has so far declined to name. Some journalists have gone so far as to suggest that Reid must be lying because he won't identify the source.

Thursday, August 09, 2012

Thank the Gods for the nuke, baby....

I love the sound of the crazy left whinning in the morning. Boo hoo the Japs had to surrender because we cheated and killed too many all at once and saved thousands of Americans.

Makes you kind of wonder whar planet these cowards came from, doesn't it?

The Science of Genocide | NationofChange

On this day in 1945 the United States demonstrated that it was as morally bankrupt as the Nazi machine it had recently vanquished and the Soviet regime with which it was allied. Over Hiroshima, and three days later over Nagasaki, it exploded an atomic device that was the most efficient weapon of genocide in human history. The blast killed tens of thousands of men, women and children. It was an act of mass annihilation that was strategically and militarily indefensible. The Japanese had been on the verge of surrender. Hiroshima and Nagasaki had no military significance. It was a war crime for which no one was ever tried. The explosions, which marked the culmination of three centuries of physics, signaled the ascendancy of the technician and scientist as our most potent agents of death.


Wednesday, August 08, 2012

This is news?....

The ruling elites are like two peas in a pod? They marry each other, their children go to the same schools, join the same clubs,m wwatch the same TV news shows, read the same books and magazines and anything else together. They know nothing of how you live, work or die and could just about give a shit.

Make sure you keep voting for them and giving them your money, O.K.?

Now you know: Obama and Bush are cousins | Times 247

What do Barack Obama, Thomas Jefferson, George W. Bush and the other past U.S. presidents have in common? Besides holding the coveted title of commander-in-chief, it appears that all of them but one are cousins.  The remarkable discovery was made by 12-year-old BridgeAnne d’Avignon, of Salinas, California, who created a ground-breaking family tree that connected 42 of 43 U.S. presidents to one common, and rather unexpected, ancestor: King John of England. ‘They all have the trait of wanting power,’ d’Avignon told the station WFMY.

Tuesday, August 07, 2012

You would think the IRS would be on it, right?

Not with the Oba mama gang. Income taxes are for the working stiff! Not for the ruling elite.

NUGENT: Whacky Harry Reid talks trash about Romney - Washington Times

You have to know that times are desperate in the Obama campaign when Sen. Harry Reid is trotted out to contend that Mitt Romney didn’t pay taxes for a decade. Never one to let facts get in the way, the Democratic Senate majority leader offered no damning public statement regarding his views on Mr. Obama’s tax cheat czar Timothy Geithner a few years ago or good old leftist buddy Tom Daschle’s failure to pay his taxes. Then there is my favorite, Rep. Charles Rangel of “what me worry, who me, what taxes?” fame. Where has Mr. Reid been on the subject of dozens of staff members of the Obama administration who are delinquent in paying almost $1 million in taxes

Sunday, August 05, 2012

Got to take care of the people who own our government....

Oba mama will hit the jackpot when he leaves office. Just like broke dick Clinton, remember? But they're after our SS and VA checks, trust me.

I have to agree with this guy because it's obvious theirs little difference in the two parties. They call each other names and make a lot of promises but nothing changes. The gang hangs together.

Not to say they don't squable snd bitch but little happens that will change the way the Empire is falling.

Obama’s Second Term Agenda: Cutting Social Security, Medicare, and/or Medicaid « naked capitalism

This is probably the least important Presidential election since the 1950s. As an experienced political hand told me, the two candidates are speaking not to the voters, but to the big money. They hold the same views, pursue the same policies, and are backed by similar interests. Mitt Romney implemented Obamacare in Massachusetts, or Obama implemented Romneycare nationally. Both are pro-choice or anti-choice as political needs change, both tend to be hawkish on foreign policy, both favor tax cuts for businesses, and both believe deeply in a corrupt technocratic establishment. So while the election lumbers on like the death rattles of the wounded animal known American democracy, no one on either side is asking what the plan is for the next term. For Obama, his team is going into rooms of donors and shouting “Supreme Court”, while mumbling something about bipartisanship and $4 trillion, or Simpson-Bowles. What this means is that term two of the Obama White House will be organized around cutting entitlements.

Saturday, August 04, 2012

Are we sure the jails are big enough.....

Like anyone is going to prosecute, right? (Don't tell him the law has been bought, ok?)

Corrupt Government Officials Should Be In Jail … Alongside Corrupt Banksters | ZeroHedge

Wall Street fraud caused the Great Depression and the current financial crisis. Top economists and financial experts agree that our economy will never recover unless Wall Street fraud is prosecuted. Yet the government has more or less made it official policy not to prosecute fraud, and instead to do everything necessary to cover up for Wall Street.  For example, the Obama administration is prosecuting fewer financial crimes  than under Reagan or either Bush. For example, we pointed out in 2010: The government’s entire strategy now – as during the S&L crisis – is to cover up how bad things are.   But it is not only a matter of covering up fraud that has already happened. The government also created an environment which greatly encouraged fraud.   Here are just a few of many potential examples: The government-sponsored rating agencies committed massive fraud (and see this) The Treasury department allowed banks to “cook their books” Regulators knew of and allowed the use of debt-hiding accounting tricks by the big banks Tim Geithner was complicit in Lehman’s accounting fraud, (and see this), and pushed to pay AIG’s CDS counterparties at full value, and then to keep the deal secret. And as Robert Reich notes, Geithner was “very much in the center of the action” regarding the secret bail out of Bear Stearns without Congressional approval. William Black points out: “Mr. Geithner, as President of the Federal Reserve Bank of New York since October 2003, was one of those senior regulators who failed to take any effective regulatory action to prevent the crisis, but instead covered up its depth” The former chief accountant for the SEC says that Bernanke and Paulson broke the law and should be prosecuted Freddie and Fannie helped to create the epidemic of mortgage fraud The government knew about mortgage fraud a long time ago. For example, the FBI warned of an “epidemic” of mortgage fraud in 2004. However, the FBI, DOJ and other government agencies then stood down and did nothing. See this and this. For example, the Federal Reserve turned its cheek and allowed massive fraud, and the SEC has repeatedly ignored accounting fraud. Indeed, Alan Greenspan took the position that fraud could never happen Paulson and Bernanke falsely stated that the big banks receiving Tarp money were healthy, when they were not Arguably, both the Bush and Obama administrations broke the law by refusing to close insolvent banks Congress may have covered up illegal tax breaks for the big banks Economist James K. Galbraith wrote in the introduction to his father, John Kenneth Galbraith’s, definitive study of the Great Depression, The Great Crash, 1929: The main relevance of The Great Crash, 1929 to the great crisis of 2008 is surely here. In both cases, the government knew what it should do. Both times, it declined to do it. In the summer of 1929 a few stern words from on high, a rise in the discount rate, a tough investigation into the pyramid schemes of the day, and the house of cards on Wall Street would have tumbled before its fall destroyed the whole economy. In 2004, the FBI warned publicly of “an epidemic of mortgage fraud.” But the government did nothing, and less than nothing, delivering instead low interest rates, deregulation and clear signals that laws would not be enforced.

Thursday, August 02, 2012

Simple solution here.....

Politically impossible at this time but a national sales tax on all transactions eliminate tax shelters, oversea banking scams, and especially, government snooping into people private lives. 

Of course, that's the reason we have all these tax laws, to screw with people and control them.

Super Rich Stash At Least $21 Trillion In Secret Tax Havens | Finance

At least $21 trillion of unreported private financial wealth was owned by wealthy individuals via tax havens at the end of 2010. This sum is equivalent to the size of the United States and Japanese economies combined. There may be as much as $32 trillion of hidden financial assets held offshore by high net worth individuals (HNWIs), according to our report The Price of Offshore Revisited, which is thought to be the most detailed and rigorous study ever made of financial assets held in offshore financial centres and secrecy structures. We consider these numbers to be conservative. This is only financial wealth and excludes a welter of real estate, yachts and other non-financial assets owned via offshore structures. The research for the Tax Justice Network (TJN) by former McKinsey & Co Chief Economist James Henry comes amid growing concerns about an enormous and growing gulf between rich and poor in countries around the globe. Accompanying this research is another study by TJN, entitled "Inequality:You Don’t Know the Half of It, which demonstrates that all studies of economic inequality to date have failed to account properly for this missing wealth. It concludes that inequality is far worse than we think. Other main findings of this wide-ranging research include: • Our analysis finds that at the end of 2010 the Top 50 private banks alone collectively managed more than $12.1 trillion in cross-border invested assets for private clients, including their trusts and foundations. This is up from $5.4 trillion in 2005, representing an average annual growth rate of more than 16%. • The three private banks handling the most assets offshore on behalf of the global super-rich are UBS, Credit Suisse and Goldman Sachs. The top ten banks alone commanded over half the top fifty’s asset total – an increased share since 2005. • The number of the global super-rich who have amassed a $21 trillion offshore fortune is fewer than 10 million people. Of these, less than 100,000 people worldwide own $9.8 trillion of wealth held offshore. • If this unreported $21-32 trillion, conservatively estimated, earned a modest rate of return of just 3%, and that income was taxed at just 30%, this would have generated income tax revenues of between $190-280 bn – roughly twice the amount OECD countries spend on all overseas development assistance around the world. Inheritance, capital gains and other taxes would boost this figure considerably. • For our focus subgroup of 139 mostly low-middle income countries, traditional data shows aggregate external debts of $4.1 trillion at the end of 2010. But take their foreign reserves and unrecorded offshore private wealth into account, and the picture reverses: they had aggregate net debts of minus $10.1-13.1 trillion. In other words, these countries are big net creditors, not debtors. Unfortunately, their assets are held by a few wealthy individuals, while their debts are shouldered by their ordinary people through their governments. Read more here:

Wednesday, August 01, 2012

Absolute nonsense in a our fiat system....

A sovereign government can borrow all it needs of it's own currency and there is no "crowding out of private borrowers". Private borrowers can't borrow today because they are broke or have enough borrowed money and or are afraid to borrow more.

Europe is not in a sovereign system but is a group of states without a central independant bank. 

Abandoning Ship | Peak Prosperity

A further concern is that government borrowing is crowding out the private sector.  Private sector borrowers are being badly squeezed, not only for capital investment funding but also for their working capital requirements. The consequence is that governments with large budget deficits are not going to get the future tax revenues assumed in economic forecasts. This is why the only solution to the Eurozone’s problems is a round of massive and immediate cuts in public spending. Without these cuts, the destruction of real savings, vital to the economic wellbeing of society itself, continues. In the past, this destruction was a relatively slow process, but the speed at which it is now happening has accelerated exponentially. The importance of cutting public spending has become more urgent; unfortunately, the election of President Hollande in France has delayed this process. Help from outsiders only delays the inevitable and increases their exposure to the Eurozone’s problems. Lending to Eurozone countries by US banks has expanded in all the cases shown in the chart below, though lending totals have fluctuated widely. But total lending (the heavy black line) is still up 67% from December 2007. A cynic might say that the Fed has encouraged US banks to increase their lending to the Eurozone, on the basis that no banker in his right mind would have otherwise done so. But if this is true, the Fed has little flexibility to continue with this support, given that commercial bankers will be increasingly reluctant to commit further funds. It explains President Obama’s interest in the current state of the Eurozone, because if it goes down, there will have to be a major capital injection into US banks to keep them solvent. We get used to trillions being thrown around, but that is government spending and money-printing; in the context of the Wall Street banks, the quantities are not small, with the lending total at end-December 2011 being $347bn.