No Winners Only Loosers
This election may be a pivotal point in US history but the facts are already on the wall. No matter who wins the Presidency it is the American citizens who will be the unlucky looser's. Both Mit Romney and President Obama still are barking up the wrong tree sort of speaking in trying to put together an economic package that will ultimately stabilize the United States economy. Compounding what is being done here, overseas our foreign relations policy still can at a moments notice incite more international tension that may just erupt into a major conflict at the worst possible time. It seems that four years ago when the election thrust Obama into the White House ever since except for that foray into the Affordable Health Care Act and riding the world of Osama bin Laden the President has been on a non stop political campaign for another term. Meanwhile, the Republicans could only muster shallow candidates that only created more confusion as to how to remedy the current economic crisis.
The Obama Administration may have averted a larger tragedy with those bailouts but the fact remains they have failed to address the underlying factors that attributed to the massive eradication of middle class wage earning jobs. The most sobering fact is that since 1993 United States Corporations have given away over untold millions of middle income wage jobs that have never returned. Not only have they failed to recognize and address this fact but have relied on the Federal Reserve to substantiate any fiscal remedy they seem fit to introduce into the economy of the United States. All the Fed has done is increase our national debt. It appears that the present Administration is still banking on the dollar as the worlds most sought after currency. The dominance of the dollar is fast becoming undesirable as the Chinese Yen is taking over the worlds markets. It seem that the arrogance of Washington is loosing touch with reality and the sad fact remains that due to the failure of political will to resolve the issues that keep the majority of Americans subjected to third world status the United States is on a fast track to disaster.
To put the cards on the table in a little over a month the American Public will elect the next President. It seems that no matter which person wins each candidate still misses the boat. To but it bluntly, the Republicans have yet to locate the pier. The ship of state is set to sail but the Democrats are running a tad too late. The question remains as to why is it so difficult for these political parties to understand the true scope of the financial mess we as a country face today?
There are allot of contingencies and causes in place. First off we have had and continue to experience global imbalances along with very bad financial technology that all have lead to widespread underestimated risk. The failure has been the reluctance of either party to isolate and tackle the fundamental causes that have propelled the economic crisis we currently face. Continuing deteriorating conditions remain through-out the United States contrary to what is reported by the media.
The financial and economic reality from the past 25 years equates to misrepresentations portrayed by the media, the naive interpretations of economic conditions by the powers that be, the rationalizations of those bad outcomes and the blatant rejections of the clear warning signs of growing instability all have contributed to the real facts of our current fiscal and economic calamity.
The measures that the Obama Administration has taken are but mere palliatives that really are unlikely to pave the way for this nation to regain any semblance of stability. Meanwhile the Fed has only contributed to the massive debt we face. Take a look at what is being touted as the agenda by the Obama Administration where they propose that by raising taxes especially on the 1% which by the way is justified but he still faces a congress that is so antagonistic that whatever he tries to push through is met in a loggerjam in which the country still looses. Even if Obama wins this is the situation that still will remain. As for Romney, he still can't grasp the scope and the reality of today's economic world. To this date he hasn't presented much of a plan to reverse the four-year recession that has all the makings of a depression.
In reality so far this campaign both Obama and Romney are big spenders. Funding that could have been used for much better purposes. The one true fact remains that no matter how much money is wasted in the political infighting that seems to ruin practically every TV show lately is that the Fed has put the United States deeper in debt. Whatever solutions they try to initiate only results in a larger Federal deficit and a continued meltdown of the dollar. Whoever wins this November will have a partner in this: the Federal Reserve, whose sole purpose in the 21st century is to float trillions of dollars in fiat money regardless of the future cost. The recent policy by the Fed still showcases what the Fed is already trying to do
Ever since 9/11, the Federal Reserve has rejected any obligation to protect the integrity of the dollar. It has created trillions of dollars out of thin air to fend off the liquidity crisis that began in 2008 that still persists today. Congress and the past two Presidents have played a key role in making the dollar into, shall we say, Monopoly money. The Troubled Asset Relief Program bank bailout added $700 billion into the coffers of big banks. It was in the HBO movie “Too Big to Fail,” the question asked at the end is whether the banks can be counted on to lend it. The conclusion by the Chairman of the Federal Reserve and the Secretary of the Treasury is that of course they will. What they didn't do was actually make it easier for business or be the beneficiaries of the bailouts. In fact, it became very apparent that the banks just sat on that money without following through in the practice of loans to simulate economic activity. In general all they have done is make the process for any type of loan that much more difficult to obtain. It's like a gambling addict, the big banks have just doubled down on the easy money from the Fed and like any gambler they are very prone to loose it. In doing so the United States continues to forfeit it's national stability and security. Both political parties still can't or won't come to terms to what the Fed actually is trying to accomplish. The Fed really isn't trying to keep inflation in check. In reality they are something like the tobacco industry that claims that it is trying to stop smoking or the automobile industry claiming it is trying to control road congestion. We have to understand that ever since the Federal Reserve's conception in 1913 in reality it is in the business of generating inflation more, and not less, of it.
For the past ten years the Fed has given Washington a book of checks to accumulate as much debt as it wants. Given the political climate today both Omama and Romney which ever wins they play to spend the Fed's windfall like a homeless person would spend $1 million in lottery winnings. In theory the stimulus would work if the funding the first time went to the general public with enough up front capital so that in essence the Williams Theory of Economic Evolution would be fulfilled. It didn't happen. That first infusion of inflated funding went to the banks and the auto industries in a calculated move that only resulted to stave off a larger recession latter on. Guess what? That recession is and has been affecting the American public ever since 2007. Many economists insist that by spending and taxing more is the only way out of this quandary.
To explain how misguided both candidates are in relation to the overall economic picture today is the fact that they rely solely on the Fed to put together a stimulus plan based on inflated money that without the means to bay back that funding in place only contributes to more massive debt.
The reality today is that America does not have the ability in place to pay back the enormous amount of trillions of dollars of accumulated debt. We have inadvertently just squandered and thrown away the ability of the American public to have enough disposable income that equates to the taxes to actually pay down this nations debt.
Until both political parties realize that the failure of accepting the rational that the Fed is in business for itself and not the general American public, where that the policies that have been in place for over the past three decades especially our trade agreements have all contributed to the economic peril we face today this nation will only continue to slide down into the abyss where there is no climbing back out.