The National Oligarchy

The following paragraph echoes  information reported on the Glenn Beck show this week and is very disconcerting.  It appears that our government has been “captured” by a financial “oligarchy”.  We and our economy are now being run by Goldmann Sachs, the labor unions and the government.  The following statement was made by a former IMF chief economist.  I take his words and his warning very seriously and advise all thinking Americans to do so.  This is his statement and a link to his essay at the Atlantic. I had to look up the word oligarchy  to be sure of its meaning.

The crash has laid bare many unpleasant truths about the United States. One of the most alarming, says a former chief economist of the International Monetary Fund, is that the finance industry has effectively captured our government—a state of affairs that more typically describes emerging markets, and is at the center of many emerging-market crises. If the IMF’s staff could speak freely about the U.S., it would tell us what it tells all countries in this situation: recovery will fail unless we break the financial oligarchy that is blocking essential reform. And if we are to prevent a true depression, we’re running out of time.

by Simon Johnson

http://www.theatlantic.com/doc/200905/imf-advice

The Beat-Ing Goes On…

It seems the stimulus bill has protectionist, “buy American”,  regulations attached to it for businesses receiving from government coffers. This is already sparking a retaliatory trade war with our neighbor to the north. You gotta read this item over at the Washington Post. Talk about confusing and stupid.  How much more destruction can our country take?

Hurry up, states, with your Tenth Amendment resolutions.  Quickly, national grand juries, before we end up in a depression.

New Book, Anatomy of a Meltdown

“It’s the truth about the economic crisis that you don’t get from CNBC or the usual suspects. It defends the free market against the extremely unfortunate conventional wisdom that the meltdown we’ve observed represents the collapse of the free market. It is no such thing. This is to the contrary a government- and Federal Reserve-instigated crisis from beginning to end. It is extremely important for people who believe in the free market and in a free society to know how to defend themselves, to know what the arguments are, in order that we might resist the expansion of government power that will take place using this crisis as a pretext.”—Thomas E. Woods, Jr.

Run, don’t walk right over to TownHall.com and read this column by Bill Steigerwald. He interviews  Mr. Woods, the author of the book, who explains in simple, clear, concise terms how we got here financially and what the answer is. This column is a must read and I’m sure the book is too.

Obama Wants To Control The Banks

This is a reprint of a Stuart Varney column from the Wall Street Journal online.   Stuart is originally from England. I believe he knows what he’s talking about when he comments on what he sees  going on in our country.  Warning:  This could make blood shoot from your eyes.

Obama Wants to Control the Banks
There’s a reason he refuses to accept repayment of TARP money.

By STUART VARNEY

I must be naive. I really thought the administration would welcome the return of bank bailout money. Some $340 million in TARP cash flowed back this week from four small banks in Louisiana, New York, Indiana and California. This isn’t much when we routinely talk in trillions, but clearly that money has not been wasted or otherwise sunk down Wall Street’s black hole. So why no cheering as the cash comes back?

My answer: The government wants to control the banks, just as it now controls GM and Chrysler, and will surely control the health industry in the not-too-distant future. Keeping them TARP-stuffed is the key to control. And for this intensely political president, mere influence is not enough. The White House wants to tell ’em what to do. Control. Direct. Command.

It is not for nothing that rage has been turned on those wicked financiers. The banks are at the core of the administration’s thrust: By managing the money, government can steer the whole economy even more firmly down the left fork in the road.

If the banks are forced to keep TARP cash — which was often forced on them in the first place — the Obama team can work its will on the financial system to unprecedented degree. That’s what’s happening right now.

Here’s a true story first reported by my Fox News colleague Andrew Napolitano (with the names and some details obscured to prevent retaliation). Under the Bush team a prominent and profitable bank, under threat of a damaging public audit, was forced to accept less than $1 billion of TARP money. The government insisted on buying a new class of preferred stock which gave it a tiny, minority position. The money flowed to the bank. Arguably, back then, the Bush administration was acting for purely economic reasons. It wanted to recapitalize the banks to halt a financial panic.

Fast forward to today, and that same bank is begging to give the money back. The chairman offers to write a check, now, with interest. He’s been sitting on the cash for months and has felt the dead hand of government threatening to run his business and dictate pay scales. He sees the writing on the wall and he wants out. But the Obama team says no, since unlike the smaller banks that gave their TARP money back, this bank is far more prominent. The bank has also been threatened with “adverse” consequences if its chairman persists. That’s politics talking, not economics.

Think about it: If Rick Wagoner can be fired and compact cars can be mandated, why can’t a bank with a vault full of TARP money be told where to lend? And since politics drives this administration, why can’t special loans and terms be offered to favored constituents, favored industries, or even favored regions? Our prosperity has never been based on the political allocation of credit — until now.

Which brings me to the Pay for Performance Act, just passed by the House. This is an outstanding example of class warfare. I’m an Englishman. We invented class warfare, and I know it when I see it. This legislation allows the administration to dictate pay for anyone working in any company that takes a dime of TARP money. This is a whip with which to thrash the unpopular bankers, a tool to advance the Obama administration’s goal of controlling the financial system.

After 35 years in America, I never thought I would see this. I still can’t quite believe we will sit by as this crisis is used to hand control of our economy over to government. But here we are, on the brink. Clearly, I have been naive.

Mr. Varney is a host on the Fox Business Channel.

I heard it asked today on the news…what law was the President following when he fired GM’s executive Wagoner?  There is no law that gives him the power or the right to do that.  What laws give him the right to force TARP funds on unwilling banks? And then refusing to take it back.  Our government is one of laws.  What laws is the President following?  Or has he thrown the law out the window and is now doing what is right in his own eyes?  During the campaign he touted the fact that he taught Constitutional law.  What law is he following now?  What is going on now with the president and congress looks pretty law-less to my way of thinking.

The Giggling Comander-In-Chief…

This is from the 60 Minutes interview on March 22, 2009. Our normally stern president giggling like a schoolgirl. All this giggling has me baffled.  Especially since they say we are in a very serious economic crisis and our progressive leaders are spending like there’s no tomorrow. I did look closely at his eyes to see if there was any evidence of pot smoking, but couldn’t ascertain for sure if that was what was wrong with him.  What say you?

What Did I Tell You?

Before anyone jumps on the mass hysteria (What? They already have?) that is this week’s headlines about AIG, perhaps we should shuttle on over to the Washington Post and read this article.

While our movie star president blithely skips town (man, I’d be smoking 2 packs of cigarettes a day at this point) and makes a late night appearance on the Jay Leno show, it seems the employees of AIG who were not even part of the original problem there and who were begged to stay on to try to untangle the mess, are now fearing for their very lives.  They will give back the money they have been paid, but they will leave and AIG will probably collapse anyway now…and then where will that leave us?  And who first broke this “story” about the $165 million contracted payments?  I’d be very interested to know the answer to that.

…”the community organizer…must first rub raw the resentments of the people; fan the latent hostilities to the point of overt expression”–Saul Alinsky, Rules for Radicals

Rules for Radicals #13. Pick the target, freeze it, personalize it and polarize it.

Does anyone have any doubts about where this is all heading?  Has it been orchestrated?  You tell me.