American Ruling Class

The case against cronies: Libertarians must stand up to corporate greed

"In the age of crony capitalism, libertarians must declare that some means of pursuing profit are immoral and call on executives to reject them. This would create a positive case for capitalism -- arguing that the pursuit of profit, in the context of fair and open competition, helps the whole society. The new corporate social responsibility, redefined for libertarians, must stand athwart crony corporatism yelling 'stop.'" Continue reading →

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The Next Head of Fannie and Freddie Gutted ‘Audit The Fed’ Legislation

"Now that GSEs Fannie and Freddie are basically government agencies, they are run by FHFA, the GSE regulator. And it looks like the next head of FHFA will be Mel Watt, the Congressman who gutted Ron Paul's Audit the Fed legislation. According to Bloomberg: 'Paul, a member of the House Financial Services Committee, said Mel Watt, a Democrat from North Carolina, has eliminated 'just about everything' while preparing the legislation for formal consideration. Keith Kelly, a spokesman for Watt, declined to comment. Watt’s district includes Charlotte, headquarters of Bank of America Corp., the biggest U.S. lender.'" Continue reading →

Continue ReadingThe Next Head of Fannie and Freddie Gutted ‘Audit The Fed’ Legislation

Ron Paul on Bernanke’s Criminal Gang

"I am disappointed, but not surprised, that the Federal Reserve decided to hand the American people more of the same failed policies that caused and then perpetuated our current financial crisis. Chairman Bernanke may believe there is no inflation, but try telling that to seniors who are on a fixed income, students trying to save for college, and the millions of other Americans who are contending daily with rising prices. If the problem was the Fed not printing enough, and Congress not spending enough, why have the trillions of dollars in monetary stimulus only benefited big banks and corporations?" Continue reading →

Continue ReadingRon Paul on Bernanke’s Criminal Gang

Bye-Bye, Bernanke… Hello Timmy?

"Paul Brodsky, a founder of QB Asset Management, with a decidedly different take. As some background, Paul's hypothesis – not unlike that of many Casey Researchers – is that governments will have no choice but to continuously accelerate money creation, which will lead to a reset of the global financial system sooner rather than later. Therefore the Fed doesn't need someone with sterling academic credentials as its next chairperson – it needs a diplomatic,'relationships' type to lead the US through the coming economic upheaval. And he believes that dark horse is Timothy Geithner." Continue reading →

Continue ReadingBye-Bye, Bernanke… Hello Timmy?

Who Are the Monarchs of Money?

"Quietly, without much public fuss or discussion, a new ruling class has risen in the richer nations. These men and women are unelected and tend to shun the publicity hogged by the politicians with whom they co-exist. They are the world's central bankers. Every six weeks or so, they gather in Basel, Switzerland, for secret discussions and, to an extent at least, they act in concert. The decisions that emerge from those meetings affect the entire world. And yet the broad public has a dim understanding, if any, of the job they do. In fact, these individuals now wield at least as much influence over the lives of ordinary citizens as prime ministers and presidents." Continue reading →

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Bill Bonner: The Grandest Larceny of All Time

"Along come the central banks. They're creating a new type of wealth. It is not wage income. It is not the product of capital investments. It is not the result of technology or productivity increases or hard work or self-discipline... or any of the other things that lead to wealth and prosperity. Instead, it is created by the central bank 'out of thin air.' The result? During the first two years of the nation's economic recovery, the mean net worth of households in the upper 7% of the wealth distribution rose by an estimated 28%, while the mean net worth of households in the lower 93% dropped by 4%. There may be a 'recovery' going on. But it is a recovery for the rich." Continue reading →

Continue ReadingBill Bonner: The Grandest Larceny of All Time

Average Wealth of Members of Congress: House $6.5 Million, Senate $13.9 Million

"By law, members of Congress are only required to report their wealth and liabilities in broad ranges. It's therefore impossible to precisely determine how much value their assets are worth, or have gained or lost. from year to year. The Center for Responsive Politics determines the minimum and maximum possible asset values for each member of Congress to calculate a member's average estimated wealth." Continue reading →

Continue ReadingAverage Wealth of Members of Congress: House $6.5 Million, Senate $13.9 Million

Congress repeals law barring members’ insider trading

"Congress passed the Stop Trading on Congressional Knowledge (STOCK) Act in 2012 in response to the public outcry over members' self-serving insider trading scandal last year. As with most laws, what is a crime for citizens was not illegal or unethical for members of Congress and their staffs. It was a fleeting moment of transparency and accountability. Like a cowardly thief in the night, members of Congress quietly colluded to repeal the reporting requirements of the STOCK Act this year by unanimous consent: The shameful ordeal took all of 10 seconds in the Senate and 14 seconds in the House." Continue reading →

Continue ReadingCongress repeals law barring members’ insider trading

The Corruption of Capitalism in America Excerpt: Chapter 17, Serial Bubbles

"Never before in history had the nation's financial system been pummeled by two gigantic bubbles and two devastating crashes in such a brief interval. That Greenspan's heir apparent managed to detect the Great Moderation at the midpoint of this cycle of financial violence was only added testimony to the degree to which monetary policy had become unhinged. It was no longer plausible, therefore, to describe the New York Stock Exchange, NASDAQ, and the various venues for equity derivatives as a free market for raising and trading equity capital issues. Instead, they were violently unstable casinos, ineptly stage-managed by a central bank." Continue reading →

Continue ReadingThe Corruption of Capitalism in America Excerpt: Chapter 17, Serial Bubbles