Middle Class Dismissed

Detlev Schlichter: Global economic policy now firmly in the hands of money cranks

"During the early honeymoon between ‘Abenomics’ and financial reality, the idea of printing yourself to prosperity is likely to have imitators, with the UK being a prime candidate. In terms of total indebtedness, the UK is the one industrialized country that can compete with Japan, meaning it is in the same supersized debt-pickle. Over at Threadneedle Street, the Deputy Governor of the Bank of England, Paul Tucker, openly fantasized about negative interest rates recently, outgoing Governor Mervyn King voted for more QE (overruled), and Governor-elect Mark Carney promises to be, well, – flexible. Bottom line: desperation is spreading. Watch this place!" Continue reading →

Continue ReadingDetlev Schlichter: Global economic policy now firmly in the hands of money cranks

Which Dominoes Are Next to Fall in Europe?

"As we saw in The Real Cyprus Template (the one you're not supposed to notice), once the smart money exits the at-risk banking sector, it is allowed to fall. This suggests that one way to identify which dominoes are likely to fall next is to look at the smart money's deposits in each nation's banks. If the smart money has pulled most of its capital out, ECB and Eurozone authorities have a diminishing stake in propping up the domino. As a result, its fall becomes increasingly likely." Continue reading →

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For Most Homeowners, Gov’t Foreclosure Deal Brings A Few Hundred Bucks

"The government’s largest effort to compensate victims of the banks’ foreclosure practices is finally sputtering to an end. But for most of those eligible – nearly three million borrowers – it won’t be much of an ending: they’ll be receiving a check for $300 to $500. For many borrowers, it’s a likely an unsatisfying end to a process defined by years of frustration. Only about 11 percent of eligible borrowers filled out complaints, a low response rate both consumer advocates and the Government Accountability Office attributed to borrower confusion and poor outreach by regulators and the banks." Continue reading →

Continue ReadingFor Most Homeowners, Gov’t Foreclosure Deal Brings A Few Hundred Bucks

The Tunnel People That Live Under The Streets Of America

"Did you know that there are thousands upon thousands of homeless people that are living underground beneath the streets of major U.S. cities? It is happening in Las Vegas, it is happening in New York City and it is even happening in Kansas City. As the economy crumbles, poverty in the United States is absolutely exploding and so is homelessness. In addition to the thousands of 'tunnel people' living under the streets of America, there are also thousands that are living in tent cities, there are tens of thousands that are living in their vehicles and there are more than a million public school children that do not have a home to go back to at night." Continue reading →

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The ‘Rain Tax’

"In 2010 the EPA ordered Maryland to reduce stormwater runoff into the Chesapeake Bay so that nitrogen levels fall 22 percent and phosphorus falls 15 percent from current amounts. The price tag: $14.8 billion. And where do we get the $14.8 billion? By taxing so-called 'impervious surfaces,' anything that prevents rain water from seeping into the earth (roofs, driveways, patios, sidewalks, etc.) thereby causing stormwater run off. In other words, a rain tax. And who levies this new rain tax? Witness how taxation, like rain, trickles down through the various pervious levels of government until it reaches the impervious level — me and you." Continue reading →

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Jim Bovard: Farmers fight for the right to grow raisins

"Marvin Horne, a 67-year-old raisin farmer in Fresno, Calif., was fined almost $700,000 for refusing to surrender control of much of his harvest to the federal committee in 2002. Horne, who has been growing raisins for more than 40 years, has battled the raisin committee for more than a decade and describes its regime as 'involuntary servitude.' His challenge -- which is supported by many California raisin growers -- landed in front of the Supreme Court last month. According to the Obama Administration and USDA, the Raisin Administrative Committee needs vast power to protect farmers from selling too many raisins." Continue reading →

Continue ReadingJim Bovard: Farmers fight for the right to grow raisins

School forces 25 hungry students to throw away lunches when they couldn’t pay

"A group Massachusetts parents are outraged and at least one worker has been placed on administrative leave after about 25 students Robert J. Coelho Middle School in Attleboro were forced to throw away their lunches over concerns that they could not pay for the food. Parents said that some students cried and went home hungry. School officials told The Sun Chronicle that Whitson’s, the contractor responsible for providing lunches, made the decision to stop students from eating their lunch if there was not enough credit in the student’s pre-paid account or they were not able to provide cash for the meal." Continue reading →

Continue ReadingSchool forces 25 hungry students to throw away lunches when they couldn’t pay

Europeans slammed by austerity measures now enraged by political corruption

"A wave of corrosive political scandals at a time of economic woe is exacerbating the outrage of European citizens, who are channelling resentment into street protests or at the polls. Italy, Spain and Greece have all been hit by fraud or graft cases allegedly involving the top brass. France joined the ranks of scandal-hit nations this week after its former budget minister was charged with tax fraud. In France, outrage over the budget minister scandal has yet to erupt into popular protests. But in some countries of southern Europe, which for several years have been hit by austerity measures more severe than in France, fury has coiled into potent blowback." Continue reading →

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Downturn Millionaires – How to Make a Fortune in Beaten-Down Markets

"The price of gold bullion has fallen from its 2011 highs and the prices of good junior companies have been slashed to as little as half their former valuations. All the more reason to start returning broker phone calls according to David Galland, Casey Research managing director, speaking on the Friday eve of the webinar he is moderating that features some of the biggest names in the industry. The webinar features Casey Research Founder Doug Casey, Sprott Global Resource Investments Founder Rick Rule, International Speculator Editor Louis James, 'Endgame' Author John Mauldin and Diary of a Rogue Economist Editor Bill Bonner." Continue reading →

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Cyprus-Style “Bail-Ins” Are Proposed In The New 2013 Canadian Government Budget

"What you are about to see absolutely amazed me when I first saw it. The Canadian government is actually proposing that what just happened in Cyprus should be used as a blueprint for future bank failures up in Canada. The following comes from pages 144 and 145 of 'Economic Action Plan 2013' which you can find right here. Apparently the goal is to find a way to rescue 'systemically important banks' without the use of taxpayer funds. In other words, the banks will just be allowed to grab money directly out of your bank accounts to recapitalize themselves. That may sound completely and utterly insane, but this is how things will now be done all over the western world." Continue reading →

Continue ReadingCyprus-Style “Bail-Ins” Are Proposed In The New 2013 Canadian Government Budget