In the United States, it is not just the federal government that has a horrific debt problem. Today, state and local governments across America are collectively deeper in debt than they ever have been before. In fact, state and local government debt is now sitting at an all-time high of 22 percent of U.S. GDP. Once upon a time, municipal bonds (used to fund such things as roads, sewer systems and government buildings) were viewed as incredibly safe investments. They were considered to have virtually no risk. But now all of that has changed. Many analysts are now openly speaking of the possibility of a municipal bond market crash in 2011. The truth is that dozens upon dozens of city and county governments are teetering on the brink of bankruptcy. Even the debt of some of our biggest state governments, such as Illinois and California, is essentially considered to be “junk” at this point. There are literally hundreds of governmental financial implosions happening in slow motion from coast to coast, and up to this point not a lot of people in the mainstream media have been talking about it.
Fortunately, a recent report on 60 Minutes has brought these issues to light. If you have not seen it yet, do yourself a favor and click on the video below and spend a few minutes watching it. It is absolutely stunning.
In the piece, one of the people that 60 Minutes interviewed was Meredith Whitney – one of the most respected financial analysts in the United States. According to Whitney, the municipal bond crisis that we are facing is a massive threat to our financial system….
“It has tentacles as wide as anything I’ve seen. I think next to housing this is the single most important issue in the United States and certainly the largest threat to the U.S. economy.”
State and local governments across the United States are facing a complete and total financial nightmare. The 60 Minutes report posted below does a pretty good job of describing the problem but it doesn’t even pretend to come up with any solutions….
Unlike the federal government, state and local governments cannot just ask the Federal Reserve to print up endless amounts of cash. If state and local governments want to spend more than they bring in, they must borrow it from investors.
If the municipal bond market crashes, and investors around the world are no longer willing to hand over gigantic sacks of cash to state and local governments in the United States, then the game is over. Either state and local governments will have to raise taxes or they will have to start spending within their means.
Most Americans have no idea what this would mean. For decade after decade, state and local governments throughout the nation have been living way, way, way above their means. If the debt cycle gets cut off, it is going to mean that many local communities around the nation will start degenerating into rotting hellholes nearly overnight.
We are already seeing this happen in places such as Detroit, Michigan and Camden, New Jersey but if the municipal bond market totally collapses we are quickly going to have dozens of Detroits and Camdens from coast to coast.
Let’s take a closer look at some of the state and local governments that are in some of the biggest trouble….
California
California is facing a 19 billion dollar budget deficit next year, and incoming governor Jerry Brown is scrambling to find billions more to cut from the California state budget. At this point, investors are becoming increasingly wary about loaning any more money to the state. The following quote from Brown about the desperate condition of California state finances is not going to do much to inspire confidence in California’s financial situation around the globe….
“We’ve been living in fantasy land. It is much worse than I thought. I’m shocked.”
Unfortunately, the economic situation in California continues to degenerate. For example, 24.3 percent of the residents of El Centro, California are now unemployed. In fact, the number of people unemployed in the state of California is approximately equivalent to the populations of Nevada, New Hampshire and Vermont combined.
The housing market in the state is also a major drag on the economy there. For instance, the average home in Merced, California has declined in value by 63 percent over the past four years.
The state of California is swamped with so much debt that there literally appears to be no way out.
Arizona
The state government of Arizona is so incredibly starved for cash that it actually sold off the state capitol building, the state supreme court building and the legislative chambers. Now they are leasing those buildings back from the investors that they sold them to.
Arizona also recently announced that it has decided to stop paying for many types of organ transplants for people enrolled in its Medicaid program.
Illinois
Illinois is widely regarded to be in the worst financial condition of all the U.S. states. At this point, Illinois has approximately $5 billion in outstanding bills that have not been paid.
According to 60 Minutes, the state of Illinois is six months behind on bill payments. 60 Minutes correspondent Steve Croft asked Illinois state Comptroller Dan Hynes how many people and organizations are waiting to be paid by the state, and this is how Hynes responded….
“It’s fair to say that there are tens of thousands if not hundreds of thousands of people waiting to be paid by the state.”
The University of Illinois alone is owed 400 million dollars. There are approximately two thousand not-for-profit organizations that are collectively owed a billion dollars by the Illinois state government.
New Jersey
The New Jersey state budget has been slashed by 26 percent, a billion dollars have been cut from education and thousands of teachers have been laid off.
But even with all of those cuts, New Jersey is still facing a $10 billion budget deficit next year, and the state has $46 billion in unfunded pension liabilities and $65 billion in unfunded health care liabilities that it is somehow going to have to address in the future.
Detroit
Detroit Mayor Dave Bing has come up with a new way to save money. He wants to cut 20 percent of Detroit off from essential social services such as road repairs, police patrols, functioning street lights and garbage collection.
Miami
One Miami commissioner declared earlier this year that bankruptcy may be the city’s only financial hope.
Philadelphia, Baltimore and Sacramento
Major cities such as Philadelphia, Baltimore and Sacramento have instituted “rolling brownouts” in which various city fire stations are shut down on a rotating basis.
Camden
The second most dangerous city in the United States – Camden, New Jersey – is about to lay off about half its police in a desperate attempt to save money.
Oakland
Oakland, California Police Chief Anthony Batts has announced that due to severe budget cuts there are a number of crimes that his department will simply not be able to respond to any longer. The crimes that the Oakland police will no longer be responding to include grand theft, burglary, car wrecks, identity theft and vandalism.
America used to be viewed as the land of great economic progress, but that is no longer the case. Sadly, all over the United States there are signs that we are actually going backwards as a country.
All over the nation, asphalt roads are actually being ground up and are being replaced with gravel because it is cheaper to maintain. The state of South Dakota has transformed over 100 miles of asphalt road into gravel over the past year, and 38 out of the 83 counties in the state of Michigan have transformed at least some of their asphalt roads into gravel roads.
Just think about that – we are actually going back to gravel roads.
What’s next?
But this is what is going to happen all over America if dozens of state and local governments start defaulting and the municipal bond market crashes.
In fact, don’t look now, but there are signs that a “bloodbath” in the municipal bond market has already begun. The months of November and December have been incredibly rocky for municipal bonds.
The days when U.S. states and cities could borrow seemingly endless amounts of incredibly cheap money are officially over.
So where are state and local governments going to get the money that they need?
Well, they are going to come and try to get it from you of course. Over the past two years, 36 of the 50 U.S. states have jacked up taxes or fees.
Many local governments are trying to raise funds any way that they can. For example, from now on if you are caught jaywalking in Los Angeles you will be slapped with a $191 fine.
This kind of thing is happening all over America. Police departments are being turned into revenue raising operations. Police are so busy writing tickets that they barely have any time to investigate actual crimes anymore.
But it simply is not going to be enough. State and local governments across the U.S. are facing financial holes of legendary proportions.
The 60 Minutes report above stated that the combined unfunded pension and health care liabilities of the 50 states is $1 trillion. Unfortunately, that is an estimate that is probably way too conservative. In fact, two prominent university professors have calculated that the combined unfunded pension liability for all 50 U.S. states is approximately 3.2 trillion dollars.
So if the municipal bond market does crash will the federal government step in and bail everyone out?
Well, this upcoming spring the $160 billion in federal “stimulus money” runs out. At that point there will likely be a huge cry for even more “stimulus money” for state and local governments.
Unfortunately, as I wrote about yesterday, the federal government is also flat broke and swimming in an ocean of endless red ink. Congress could potentially step in and try to bail all the state and local governments out, but in the end it is the American people who are going to have to pay the bill.
We are on the verge of a horrific economic collapse which is going to change life in this country as we know it forever. All of this debt is absolutely going to swamp us. Our politicians can keep trying to kick the can down the road for as long as they can, but eventually the financial nightmare that so many of us have been dreading is going to overtake us.
You are not going to believe some of the things that the U.S. government is spending money on. According to a shocking new report, U.S. taxpayer money is being spent to study World of Warcraft, to study how Americans find love on the Internet, and to study the behavior of male prostitutes in Vietnam. Not only that, but money from the federal government is also being used to renovate a pizzeria in Iowa and to help a library in Tennessee host video game parties. These are just some of the examples in a new report on government waste from Senator Tom Coburn entitled “Wastebook 2010“. Even as tens of millions of American families find themselves suffering through the worst economic downturn in modern history, the U.S. government continues to spend money on some of the craziest and most frivolous things imaginable. Every single year articles are written and news stories are done about the horrific government waste that is taking place and yet every single year it just keeps getting worse. So just what in the world is going on here?
It almost seems as though Congress actually enjoys inventing new ways to waste U.S. taxpayer money. It seems nearly inconceivable that anyone could keep a straight face while trying to justify spending money on many of the things in the list below.
At a time when the U.S. national debt is closing in on 14 trillion dollars, government waste just seems more out of control than ever. The following are 20 of the craziest things that the U.S. government is spending money on….
#1 A total of $3 million has been granted to researchers at the University of California at Irvine so that they can play video games such as World of Warcraft. The goal of this “video game research” is reportedly to study how “emerging forms of communication, including multiplayer computer games and online virtual worlds such as World of Warcraft and Second Life can help organizations collaborate and compete more effectively in the global marketplace.”
#2 The U.S. Department of Agriculture gave the University of New Hampshire $700,000 this year to study methane gas emissions from dairy cows.
#3$615,000 was given to the University of California at Santa Cruz to digitize photos, T-shirts and concert tickets belonging to the Grateful Dead.
#4 A professor at Stanford University received $239,100 to study how Americans use the Internet to find love. So far one of the key findings of this “research” is that the Internet is a safer and more discreet way to find same-sex partners.
#5 The National Science Foundation spent $216,000 to study whether or not politicians “gain or lose support by taking ambiguous positions.”
#6 The National Institutes of Health spent approximately $442,340 to study the behavior of male prostitutes in Vietnam.
#7 Approximately $1 million of U.S. taxpayer money was used to create poetry for the Little Rock, New Orleans, Milwaukee and Chicago zoos. The goal of the “poetry” is to help raise awareness on environmental issues.
#8 The U.S. Department of Veterans Affairs spent $175 million during 2010 to maintain hundreds of buildings that it does not even use. This includes a pink, octagonal monkey house in the city of Dayton, Ohio.
#9$1.8 million of U.S. taxpayer dollars went for a “museum of neon signs” in Las Vegas, Nevada.
#10$35 million was reportedly paid out by Medicare to 118 “phantom” medical clinics that never even existed. Apparently these “phantom” medical clinics were established by a network of criminal gangs as a way to defraud the U.S. government.
#11 The Conservation Commission of Monkton, Vermont got $150,000 from the federal government to construct a “critter crossing”. Thanks to U.S. government money, the lives of “thousands” of migrating salamanders are now being saved.
#12 In California, one park received $440,000 in federal funds to perform “green energy upgrades” on a building that has not been used for a decade.
#13$440,955 was spent this past year on an office for former Speaker of the House Dennis Hastert that he rarely even visits.
#14 One Tennessee library was given $5,000 in federal funds to host a series of video game parties.
#15 The U.S. Census Bureau spent $2.5 million on a television commercial during the Super Bowl that was so poorly produced that virtually nobody understood what is was trying to say.
#16 A professor at Dartmouth University received $137,530 to create a “recession-themed” video game entitled “Layoff”.
#17 The National Science Foundation gave the Minnesota Zoo over $600,000 so that they could develop an online video game called “Wolfquest”.
#18 A pizzeria in Iowa was given $60,000 to renovate the pizzeria’s facade and give it a more “inviting feel”.
#19 The U.S. Department of Agriculture gave one enterprising group of farmers $30,000 to develop a tourist-friendly database of farms that host guests for overnight “haycations”. This one sounds like something that Dwight Schrute would have dreamed up.
#20 Almost unbelievably, the National Institutes of Health was given $800,000 in “stimulus funds” to study the impact of a “genital-washing program” on men in South Africa.
In light of all this, is it any wonder why the approval rating of Congress recently hit another new record low?
According to the most recent Gallup poll, only 13 percent of Americans approve of the job that Congress is doing.
Just think about that – only 13 percent!
Our politicians seem very confused about why there is so much anger in the country today. Well, there are certainly a lot of reasons for it, including the fact that the U.S. economy is on the verge of collapse, but it certainly doesn’t help that our government is basically flushing our tax dollars down the toilet and spending them on some of the most wasteful things imaginable.
It would be bad enough if the federal government was swimming in money, but the truth is that all of this waste is being committed at a time when the U.S. government is nearing bankruptcy.
Over the last 30 years, the U.S. national debt has gotten 13 times larger. We have accumulated the largest debt in the history of the world and there is no end in sight.
In fact, we are rapidly running out of people to borrow money from. According to the Wall Street Journal, in order to repay maturing bonds and finance the exploding budget deficit, the U.S. government will have to borrow 4.2 trillion dollars in 2011.
Eventually the rest of the world is going to lose confidence in the ability of the U.S. government to repay all of this debt. Once confidence in U.S. Treasuries is totally gone, and there are already signs this is starting to happen, the game will be over and the U.S. financial system will collapse.
But the U.S. Congress just continues to act like it is “business as usual” and the wasteful spending just continues to get worse. Someday historians will look back and think that we must have been a nation full of idiots and morons.
For decades our politicians have been spending us into oblivion, yet we keep sending the vast majority of them back to Washington D.C. every time an election rolls around and the mainstream media keeps assuring us that our “respected leaders” know exactly what they are doing and that everything is going to be okay somehow.
It is almost as if some sort of collective insanity has overtaken most Americans. The path we are on inevitably leads to national bankruptcy and the destruction of our financial system, but only a small percentage of the population seems to care.
Well, in the end we will reap what we have sown. Unfortunately, the economic pain that is coming is going to be devastating for all of us – including those of us who are awake and are trying desperately to change things.
What in the world are they thinking over at the Federal Reserve? The privately-owned central bank that runs the U.S. economy is now forcing local banks to remove every shred of Christian faith from their establishments. When Federal Reserve examiners recently visited a local bank in Perkins, Oklahoma they demanded that the bank take down a “Bible verse of the day” and crosses that were displayed on the teller’s counter. In addition, the agents from the Federal Reserve forced all bank personnel to remove buttons that said “Merry Christmas, God With Us”. The bank was also ordered to remove a “Bible verse of the day” from the bank’s website. According to Federal Reserve officials, all visible expressions of Christian faith by bank officials are now banned in all banks across the United States.
Now, before people start screaming “separation of church and state”, please keep in mind that the “state” is not involved here. The local bank in Perkins is a privately-owned financial institution. The owners of that bank should be able to express themselves however they want.
In addition, it is important to note that it was not an agency of the federal government or a federal court that ordered this private local bank to remove all traces of Christianity.
The truth is that the Federal Reserve is not part of the U.S. government. In fact, the Federal Reserve is about as “federal” as Federal Express is.
You doubt this?
Well, perhaps you will believe what the Federal Reserve is publicly saying about itself.
In defending itself against a Bloomberg request for information under the Freedom of Information Act, the Federal Reserve objected by declaring that it was “not an agency” of the U.S. government and therefore it was not subject to the Freedom of Information Act.
In the video posted below, former Federal Reserve Chairman Alan Greenspan makes it very clear that the Federal Reserve is above the law and need not answer to anyone in the federal government….
So where in the world does the Federal Reserve get the idea that they have the authority to tell a private bank that they cannot display a Bible verse of the day and that their employees cannot wear Christmas buttons?
No matter what you think about the faith of the owners of the local bank in Perkins, the truth is that we should all be concerned about the kind of precedent that this sets for free speech.
According to Federal Reserve officials, any visible expression of Christianity by a private bank may cause someone from another religion to be offended and feel as though they may be discriminated against by that bank. Therefore any expression of Christianity is “an appearance of discrimination” and thus must be banned.
Okay, so if any expression of Christianity is “an appearance of discrimination”, will federal officials soon use all of the federal “anti-discrimination laws” already on the books to ban all expressions of Christianity in all private businesses throughout the United States?
Once again, it is absolutely crucial to note that the local bank in Perkins is not a government building. Federal Reserve agents are telling private business owners how they can express themselves as they run their privately-owned business on private property.
The following is a local news report about this very disturbing incident….
Does anyone still believe that we have “freedom of speech” in the United States?
It is almost as if all forms of Christian expression are now regarded as something horribly dirty by our public officials.
Even if you are an atheist, this should deeply concern you as well. When freedom of speech is taken from some of us, it is only a matter of time until it is taken from the rest of us as well.
And since when does the Federal Reserve have any authority to tell any private citizen what they can or cannot say?
This is just another example of how the Federal Reserve has gotten completely and totally out of control. The Fed has become an unaccountable monster that is just running around doing just about anything that it wants to do.
It is for some very good reasons that many members of Congress are starting to publicly speak out against the Federal Reserve. Just recently it came out that the Federal Reserve has been handing out gigantic piles of nearly interest-free cash to their friends at the largest banks, financial institutions and corporations all over the globe. The American people have completely lost control over the financial system, and as long as the Federal Reserve remains in control that is going to continue to be the case.
But now, not only is the Federal Reserve at the core of the rapidly developing financial nightmare that is enveloping this nation, they are also attempting to tell private bank owners what they can and cannot say inside their own private businesses.
No matter what your faith is or even if you have no faith, you should be objecting to this. If the Federal Reserve is allowed to get away with this, it will be just a matter of time before U.S. government agencies come along and start ordering all private businesses to remove all traces of Christianity because they are “discriminatory” and they might offend someone.
The freedoms and liberties that previous generations fought and died to defend are being stripped away from us. If you plan to say something about it before they are all gone, now would be a good time to start.
Oil prices are starting to spin out of control once again. In London, Brent North Sea crude for delivery in February hit 91.89 dollars a barrel on Friday. New York crude moved above 88 dollars a barrel on Friday. Many analysts believe that 100 dollar oil is a virtual certainty now. In fact, many economists are convinced that oil is going to start moving well beyond the 100 dollar mark. So what happened the last time oil went well above 100 dollars a barrel? Oh, that’s right, we had a major financial crisis. Not that subprime mortgages, rampant corruption on Wall Street and out of control debt didn’t play major roles in precipitating the financial crisis as well, but the truth is that most economists have not given the price of oil the proper credit for the role that it played in almost crashing the world economy. In July 2008, the price of oil hit a record high of over $147 a barrel. A couple months later all hell broke loose on world financial markets. The truth is that having the price of oil that high created horrific imbalances in the global economy. Fortunately the price of oil took a huge nosedive after hitting that record high, and it can be argued that lower oil prices helped stabilize the world economy. So now that oil prices are on a relentless march upward again, what can we expect this time?
Well, what we can expect is more economic trouble. The truth is that oil is the “blood” of our economy. Without oil nothing moves and virtually no economic activity would take place. Our entire economic system is based on the ability to cheaply and efficiently move people and products. An increase in the price of oil puts inflationary pressure on virtually everything else in our society. Without cheap oil, the entire game changes.
The chart below shows what the price of oil has done since 1950 (although it doesn’t include the most recent data). With the price of oil marching towards 100 dollars a barrel again, many people are wondering what this is going to mean for the U.S. economic “recovery”….
Just think about it. What is it going to do to U.S. households when they have to start spending four, five or even six dollars on a gallon of gas?
What is it going to do to our trucking and shipping costs?
What is it going to do to the price of food? According to the U.S. Bureau of Labor Statistics, food inflation in the United States was already 1 1/2 times higher than the overall rate of inflation during the past year. But that is nothing compared to what is coming.
During 2010, the price of just about every major agricultural commodity has shot up dramatically. These price increases are just starting to filter down to the consumer level. So what is going to happen if oil shoots up to 100, 120 or even 150 dollars a barrel?
Demand for oil is only going to continue to increase. Do you know who the number one consumer of energy on the globe is today? For about a hundred years it was the United States, but now it is China. Other emerging markets are starting to gobble up oil at a voracious pace as well.
Not that the price of oil isn’t highly manipulated. Of course it is. The truth is that the price of oil should not be nearly as high as it currently is. Unfortunately, you and I have very little say on the matter.
If the price of oil keep going higher, it is really going to start having a dramatic impact on global economic activity at some point. Meanwhile, oil producers and the big global oil companies will pull in record profits, and radical “environmentalists” will love it because people will be forced to start using less oil.
When it comes to oil, there are a lot of “agendas” out there, and unfortunately it looks like the pendulum is swinging back towards those who have “agendas” that favor a very high price for oil.
So what does that mean for all of us?
It is going to mean higher prices at the pump, higher prices at the supermarket and higher prices for almost everything else that we buy.
If the price of oil causes a significant slowdown in economic activity, it could also mean that a whole bunch of us may lose our jobs.
The ratio of corporate insider stock selling to corporate insider stock buying is at the highest it has been in nearly four years. This is so similar to what happened just prior to the last financial crisis. The corporate insiders are seeing the writing on the wall and they are flocking for the exits.
Many savvy investors are getting out of paper and are looking for hard assets to put their money in. For example, China is buying gold like there is no tomorrow. The Chinese seem to sense that something is coming. But of course they are not alone. All over the world top economists are warning that we are flirting with disaster.
On Friday, Moody’s slashed Ireland’s credit rating by five notches to Baa1, and is warning that even more downgrades may follow.
Just think about that for a moment.
Moody’s didn’t just downgrade Irish debt a little – what Moody’s basically did was take out a big wooden mallet and pummel it into oblivion.
Irish debt is now considered little more than garbage in world financial markets now. Unfortunately, Greece, Spain, Portugal, Italy, Belgium and a bunch of other European nations are also headed down the same road.
The truth is that the euro is much closer to a major collapse than most Americans would ever dream.
The world financial system is teetering on the brink of another major financial crisis, and rising oil prices certainly are not going to help that.
If the price of oil breaks the 100 dollar mark, it will be time to become seriously alarmed.
If the price of oil breaks the 150 dollar mark in 2011 it will be time to push the panic button.
Let’s hope that the price of oil stabilizes for a while, but unfortunately that is probably not going to happen.
The truth is that the economic outlook for 2011 is bleak at best, especially if the price of oil continues to skyrocket.
In the United States today, we are all being constantly bombarded by chemicals, poisons and toxins. Virtually everything that we eat or drink makes us less healthy. The vast majority of Americans gladly consume aspartame, fluoride, BPA, genetically-modified food, pesticides, high fructose corn syrup, pharmaceutical drugs and toxic vaccines without any concern that those substances may ruin their health. But the truth is that we are getting sicker and sicker and sicker as a nation. According to one recent report, the United States has dropped to 49th place in the world in overall life expectancy. Diseases such as cancer, heart disease and diabetes are absolutely exploding. So how in the world are we supposed to have a healthy and vibrant economy when virtually everything that we eat and drink is constantly making us sick?
Recently, my wife (who has always been extremely healthy) developed some alarming breathing problems. She did not appear to suffer from any known medical condition, so we were completely puzzled.
Finally, we started examining what we were eating and drinking. It turns out that she was putting some cream in her coffee that contained something known as “Polysorbate 80″. Polysorbate 80 is found in a vast array of dairy products and is even used in many vaccines. According to Drugs.com, “difficulty breathing” is indeed one of the known side effects of Polysorbate 80. Once my wife cut the Polysorbate 80 out of her diet, the breathing difficulties subsided. The following is how she describes what she went through….
Prior to my recent problems, I had never been in a situation were I felt as though there was very limited air available. When the breathing problems would flare up, I would take in deep breath after deep breath but I just couldn’t get any oxygen. My body tried to cope by constantly yawning which forced air into my lungs. Some days it wouldn’t be so bad, but on other days it was really frightening. My breathing was extremely labored at times. I constantly had to yawn throughout the day in order to catch a satisfying breath. One day my breathing was really labored – I was constantly gasping for deep breaths, but I wasn’t getting enough oxygen. I was about to cry. I felt as though I had dived to the bottom of a deep pool and I was almost out of air. My body was in a constant state of panic. I felt so tired and I was worried that I may collapse at any time. We got into the car, and I was almost ready to pass out. We had the windows rolled down to give me the feeling of lots of oxygen, but I felt like I couldn’t take any in. Fortunately that episode eventually subsided, but there were many days when I was in agony. You cannot imagine how horrible it is to gasp for breath and never seem to get enough. Several incidents really scared me. What was even more frightening was that I had no idea at the time what was causing all this.
Thankfully my wife is doing much better now, but there are thousands and thousands of others across the United States that are experiencing similar breathing problems and nobody has any answers for them.
So what are some of the other side effects of Polysorbate 80?
Well, Drugs.com says that the following are “common” side effects….
Constipation; cough; diarrhea; dizziness; headache; muscle, joint, back, or stomach pain; nausea or vomiting; pain, swelling, irritation, redness, or bruising at the injection site; unusual tiredness or weakness.
In addition, Drugs.com says that the following are severe side effects of Polysorbate 80 that an individual should seek immediate medical attention for….
Severe allergic reactions (rash; hives; itching; difficulty breathing; tightness in the chest; swelling of the mouth, face, lips, or tongue); blurred vision or vision changes; chest pain; confusion; fainting; fast or irregular heartbeat; flu-like symptoms (fever, chills, sore throat); one-sided weakness; pale skin color; redness, tenderness, or swelling of the calf; seizures; severe diarrhea, dizziness, headache, stomach pain, or vomiting; severe or persistent tiredness or weakness; slurred speech; sudden pain or numbness of an arm or leg; sudden shortness of breath; sudden trouble walking or loss of balance; swelling of the arms or legs; vision or speech problems; weight gain.
Remember, this is in countless dairy products all across the United States. Most Americans are absolutely clueless that they are pouring Polysorbate 80 into their coffee or that it is in the ice cream that they are eating.
Another major threat to our health is something called bisphenol-A (BPA). BPA is one of the most widely used chemicals in the entire world. If you eat canned food or you drink bottled water you most likely have BPA in your home and you don’t even know it.
According to Natural News, BPA is not only in virtually every American home, but it has also been linked to some very serious health problems….
It is used to harden plastic in everything from infant and water bottles to mobile phone and computer casings, and also to make linings for cans of food, beverages and infant formula. Yet a growing body of research has implicated the chemical as an endocrine (hormone) disruptor that can lead to cancer, birth defects, behavioral problems and other diseases.
Shouldn’t someone be doing something about this?
Of course.
But the truth is that the big corporations that are pushing these chemicals are much more powerful than those who are trying to watch out for our health.
In fact, authorities all over the United States are putting one very toxic chemical into our water on purpose.
It is called fluoride, and it is being put into our water supposedly because it is good for our teeth. What Americans are not being told is that fluoride is actually a highly toxic sedative and is causing a whole host of very serious health problems.
Even small amounts of fluoride consumed from tap water can damage your bones, teeth, brain, disrupt your thyroid function, lower IQ and/or cause cancer, according to evidence revealed in a groundbreaking 2006 National Research Council (NRC) fluoride report produced by a panel of experts who reviewed hundreds of published fluoride studies.
The Natural Health and Longevity Resource Center has published a list of ten of the most significant health dangers that the scientific research has shown that fluoride causes…..
1. Fluoride exposure disrupts the synthesis of collagen and leads to the breakdown of collagen in bone, tendon, muscle, skin, cartilage, lungs, kidney and trachea.
2. Fluoride stimulates granule formation and oxygen consumption in white blood cells, but inhibits these processes when the white blood cell is challenged by a foreign agent in the blood.
3. Fluoride depletes the energy reserves and the ability of white blood cells to properly destroy foreign agents by the process of phagocytosis. As little as 0.2 ppm fluoride stimulates superoxide production in resting white blood cells, virtually abolishing phagocytosis. Even micro-molar amounts of fluoride, below 1 ppm, may seriously depress the ability of white blood cells to destroy pathogenic agents.
4. Fluoride confuses the immune system and causes it to attack the body’s own tissues, and increases the tumor growth rate in cancer prone individuals.
5. Fluoride inhibits antibody formation in the blood.
6. Fluoride depresses thyroid activity.
7. Fluorides have a disruptive effect on various tissues in the body.
8. Fluoride promotes development of bone cancer.
9. Fluorides cause premature aging of the human body.
10. Fluoride ingestion from mouth rinses and dentifrices in children is extremely hazardous to biological development, life span and general health.
But perhaps even more dangerous is the sweetener known as aspartame. Today, aspartame is an ingredient in literally thousands of different food and drink products. In fact, it is often marketed in “health products” such as diet sodas.
According to an article on Mercola.com, aspartame is one of the most toxic substances being added to our foods….
Aspartame accounts for over 75 percent of the adverse reactions to food additives reported to the FDA. Many of these reactions are very serious including seizures and death. A few of the 90 different documented symptoms listed in the report as being caused by aspartame include: Headaches/migraines, dizziness, seizures, nausea, numbness, muscle spasms, weight gain, rashes, depression, fatigue, irritability, tachycardia, insomnia, vision problems, hearing loss, heart palpitations, breathing difficulties, anxiety attacks, slurred speech, loss of taste, tinnitus, vertigo, memory loss, and joint pain.
According to researchers and physicians studying the adverse effects of aspartame, the following chronic illnesses can be triggered or worsened by ingesting of aspartame: Brain tumors, multiple sclerosis, epilepsy, chronic fatigue syndrome, parkinson’s disease, alzheimer’s, mental retardation, lymphoma, birth defects, fibromyalgia, and diabetes.
Eye
blindness in one or both eyes
decreased vision and/or other eye problems such as: blurring, bright flashes, squiggly lines, tunnel vision, decreased night vision
pain in one or both eyes
decreased tears
trouble with contact lenses
bulging eyes
Ear
tinnitus – ringing or buzzing sound
severe intolerance of noise
marked hearing impairment
Neurologic
epileptic seizures
headaches, migraines and (some severe)
dizziness, unsteadiness, both
confusion, memory loss, both
severe drowsiness and sleepiness
paresthesia or numbness of the limbs
severe slurring of speech
severe hyperactivity and restless legs
atypical facial pain
severe tremors
Psychological/Psychiatric
severe depression
irritability
aggression
anxiety
personality changes
insomnia
phobias
Chest
palpitations, tachycardia
shortness of breath
recent high blood pressure
Gastrointestinal
nausea
diarrhea, sometimes with blood in stools
abdominal pain
pain when swallowing
Skin and Allergies
itching without a rash
lip and mouth reactions
hives
aggravated respiratory allergies such as asthma
Endocrine and Metabolic
loss of control of diabetes
menstrual changes
marked thinning or loss of hair
marked weight loss
gradual weight gain
aggravated low blood sugar (hypoglycemia)
severe PMS
Other
frequency of voiding and burning during urination
excessive thirst, fluid retention, leg swelling, and bloating
increased susceptibility to infection
Additional Symptoms of Aspartame Toxicity include the most critical symptoms of all
death
irreversible brain damage
birth defects, including mental retardation
peptic ulcers
aspartame addiction and increased craving for sweets
hyperactivity in children
severe depression
aggressive behavior
suicidal tendencies
Aspartame may trigger, mimic, or cause the following illnesses:
Chronic Fatigue Syndrome
Epstein-Barr
Post-Polio Syndrome
Lyme Disease
Grave’s Disease
Meniere’s Disease
Alzheimer’s Disease
ALS
Epilepsy
Multiple Sclerosis (MS)
EMS
Hypothyroidism
Mercury sensitivity from Amalgam fillings
Fibromyalgia
Lupus
non-Hodgkins
Lymphoma
Attention Deficit Disorder (ADD)
Sadly, there are thousands more toxins and chemicals that are being put into what we eat and what we drink. The next time you go to the supermarket, just pick up a few products and start reading the labels. You may find yourself incredibly shocked by what you find.
Does it seem like people all around you are constantly getting sick? Well, the truth is that we have created an incredibly toxic environment for ourselves. Diseases such as cancer, heart disease and diabetes have skyrocketed in recent years. We like to think of ourselves as being so “advanced”, but the truth is that we are constantly becoming less healthy as a nation.
It is hard to imagine any prosperous economy that is full of sick and dying people. But if we don’t stop constantly poisoning ourselves by what we eat and by what we drink our national health is going to continue to fall apart.
Just like in almost every other category, America is in a deep state of decline. We like to think that we should be telling everyone else in the world how they should be doing things, but the truth is that our own nation is a complete and total mess.
If your own health is not what it should be, you might want to take another look at what you are eating and what you are drinking. A small change can make a big difference.
Many of you have decided that you are going to attempt to start a business in the United States today. Many of you are still convinced that this is “the land of opportunity” and that starting a business is fairly easy. Are you sure about that? Are you certain that you have considered all of the headaches involved? Are you sure that you are ready to handle the thousands of regulations that apply to your business and the mountains of paperwork mandated by various levels of government? Are you prepared to deal with entrenched unions, predatory lawyers and rabid environmentalists? The truth is that the business environment has never been this toxic in all of U.S. history. So even if you are able to start a viable business that can compete with the monolithic global corporations that dominate our economy, you still might not be able to make it. In the end, thousands upon thousands of businesses across America have been doomed to failure by ridiculous regulations, mountains of paperwork, health insurance costs, predatory lawsuits or corrupt government officials. So do you really think that you can beat the odds?
Historically, small businesses have been the driving force behind America’s economic growth. But today, we have made the business environment so complicated that small business owners are being completely smothered by red tape.
The following are 10 areas that anyone wishing to start a small business had better think about before moving forward. When you really stop and think about it, the fact that anyone out there is still attempting to start small businesses in America today is absolutely amazing.
#1 Regulations
If you plan to start a business in America today, you better get a hold of a good lawyer. In fact, if you want to be safe, you better get a small army of lawyers. You are going to need an expert on the federal regulations that apply to your business, you are going to need an expert on the state regulations that apply to your business and you are going to need an expert on the local regulations that apply to your business.
There are going to literally be thousands of regulations that apply to any business started inside the United States today. There is no way that you will ever be able to learn them all. Not only that, but the truth is that your lawyers will only be aware of a small fraction of them.
Do you know what the Federal Register is? The Federal Register is the primary source of regulations for U.S. government agencies. In 1936, the number of pages in the Federal Register was about 2,600. Today, the Federal Register is over 80,000 pages long. That is just one example of how bad things have gotten.
So what do you do? Well, just do your best to try to learn about the major regulations that apply to your business and pray that you don’t end up violating some important regulation that you are not even aware of.
#2 Paperwork
Do you know what paperwork the federal government expects you to fill out? Do you know what paperwork the state government expects you to fill out? Do you know what paperwork the city or the county expect you to fill out? Do you know what paperwork you will be required to fill out when hiring a new employee?
The truth is that the paperwork burden on small businesses has multiplied in recent years. Many small business owners are so swamped with paperwork that they barely have time to conduct their actual businesses.
For example, the U.S. Food and Drug Administration is projecting that the food service industry will have to spend an additional 14 million hours every single year just to comply with a new federal regulation that mandates that all vending machine operators and chain restaurants must label all products that they sell with a calorie count in a location visible to the consumer.
14 million hours just to comply with one ridiculous regulation? Yes, that is how bizarre things have gotten in America in 2010.
#3 Fees And Fines
Many small business creators in America are absolutely horrified to learn of the fees and fines that they must pay before they can ever even open their doors. Much of the time it is revenue-starved local governments that are the biggest culprits.
For example, a reader of this column named Gene recently shared his regulatory horror story with us….
Started a new business this year in AZ. Paid over $10,000 in fees for permitting, $10,000 in fee for elec hookup, $10,000 in fees for gas hook up and an extra $200 fee per month just for the “privilige” of having gas. Adding up all the fees to start our business, I don’t think we would do it again. We are now just getting to the point that we are making our bills each month, and so we are not taking a paycheck, and don’t anticipate one for at least another year. Our family has been in business for ourselves for decades,and we know what we are doing, but the rising fees caught us off guard. Cities, municipalities, counties and states are raising all fees at astronomical rates to help offset the slump in their real estate income (since banks apparently don’t have to pay real estate taxes)…I’m telling you every business person I know is on their last leg.
#4 Taxes
The United States has one of the most (if not the most) repressive business taxation scheme in the world. As a small business owner, do you know what taxes you will be expected to pay? It is not just federal income taxes and state income taxes that you will be paying. In a previous article, I detailed the various forms of taxes that Americans pay each year and most of them apply to small businesses as well….
Accounts Receivable Taxes
Building Permit Taxes
Capital Gains Taxes
CDL license Taxes
Cigarette Taxes
Corporate Income Taxes
Court Fines (indirect taxes)
Dog License Taxes
Federal Income Taxes
Federal Unemployment Taxes (FUTA)
Fishing License Taxes
Food License Taxes
Fuel permit taxes
Gasoline Taxes
Gift Taxes
Hunting License Taxes
Inheritance Taxes
Inventory tax IRS Interest Charges (tax on top of tax)
IRS Penalties (tax on top of tax)
Liquor Taxes
Local Income Taxes
Luxury Taxes
Marriage License Taxes
Medicare Taxes
Payroll Taxes
Property Taxes
Real Estate Taxes
Recreational Vehicle Taxes
Road Toll Booth Taxes
Road Usage Taxes (Truckers)
Sales Taxes
Self-Employment Taxes
School Taxes
Septic Permit Taxes
Service Charge Taxes
Social Security Taxes
State Income Taxes
State Unemployment Taxes (SUTA)
Telephone federal excise taxes
Telephone federal universal service fee taxes
Telephone federal, state and local surcharge taxes
Telephone minimum usage surcharge taxes
Telephone recurring and non-recurring charges taxes
Telephone state and local taxes
Telephone usage charge taxes
Toll Bridge Taxes
Toll Tunnel Taxes
Traffic Fines (indirect taxation)
Trailer registration taxes
Utility Taxes
Vehicle License Registration Taxes
Vehicle Sales Taxes
Watercraft registration Taxes
Well Permit Taxes
Workers Compensation Taxes
#5 Health Insurance
Do you know if you will be required to provide health insurance for your new employees? Have you familiarized yourself with the new 2,409 page health care law enough to be able to set up a health insurance program?
As a result of the new health care law, health insurance premiums for employees are shooting through the roof. Are you going to be able to afford them? Would it be better to have fewer employees and work each of them harder so that you won’t have to provide health coverage for as many people?
Will you be able to compete with the companies in your industry that have received waivers from having to comply with the new health care law?
In the United States, our system places the burden of providing health care on to the backs of employers. So are you ready to handle that burden?
#6 Pensions
Will the employees of your new business need pensions? Do you know how to set up a 401K program? Do you know what defined benefit plans are?
You can literally sit through an entire law school course on pension law and still understand virtually nothing about the subject. The truth is that if you plan to provide your employees with some kind of pension program you had better hire someone who can at least pretend that they know what they are talking about to set it up for you.
#7 Foreign Competition
Especially if you are creating a small business that does manufacturing, you are going to have to deal with foreign competition.
So are you going to be able to compete with the companies in your industry that pay their workers on the other side of the world less than a tenth of what you are paying to your American workers?
On the other side of the world, companies often don’t have to worry about unions, worker’s comp, health benefits, retirement benefits, nightmarish environmental regulations, crushing taxes or miles of paperwork and red tape.
Are you certain that you can compete against that?
#8 Lawsuits
The more successful you become, the more inviting of a target you are going to be for predatory lawsuits. The truth is that the courtrooms of America are packed with thousands of them, and the lawyers that bring them are hardly ever held accountable.
All of your hard work can go down the drain in a single moment. There are hordes of lawyers out there that make their living by filing lawsuits against small to mid-size businesses.
The truth is that if you are running a small business, you are probably doing something wrong.
Just hope and pray that a predatory lawyer does not find out.
#9 Environmentalists
Protecting the environment is a good thing. Unfortunately, there are many radical “environmentalist” groups that consider it to be a bad thing that humans even breathe because it produces carbon dioxide.
When Audi ran their now famous “Green Police” commercial during the Super Bowl last year, most Americans laughed it off and thought that nothing like that could ever happen in America. Well, it turns out that it is happening in America.
Not only are government environmental regulations totally nightmarish at this point, but there are a growing number of radical environmentalist groups that are running around the country filing lawsuits against whoever they feel like.
#10 The Federal Government
Are you prepared for a federal government that can literally change all the rules at any time?
Many businesses across America are frozen in their tracks at this point because they don’t know what Obama and the U.S. Congress are going to do next.
The truth is that things are getting really bizarre in this country. For example, federal agents recently raided an Amish farm at 5 A.M. in the morning because they were selling “unauthorized” raw milk.
If federal agents will raid an Amish farmer at 5 AM in the morning over some raw milk, do you think that they are going to have any mercy on your small business when the time comes?
The America that once embraced “free enterprise” and the entrepreneurial spirit is dead and gone.
Now we are a country filled with bureaucrats and red tape from sea to shining sea.
Is it any wonder why we can’t compete with the rest of the world?
Is it any wonder why so many millions of Americans are unemployed and can’t find jobs?
In an attempt to “solve” our problems we just keep passing more “reform” which means even more rules and regulations for our businesses to follow.
Just as they are doing on an individual level, the government is attempting to watch, track and control everything that our businesses are doing.
Everywhere you look in American society today, the government is gradually tightening the steel-fisted grip that is has around everyone and everything. Pretty soon you won’t even be able to sneeze without the government telling you how to do it correctly.
Is that really the kind of society that we all want to live in?
What a nightmare.
Do you have a horror story from starting a business in America that you would like to share? If so, please feel free to post it in the comments section below….
Is the United States about to go to war with the most bizarre nation on earth? A lot of Americans would actually welcome “the Korean War Part 2″, but before people get too excited it is important to keep in mind that we have never been at war with a nation that actually possesses nuclear weapons. At this point it is unclear exactly how powerful North Korea’s nuclear weapons are, but nearly everyone does agree that they are crazy enough to use them. North Korea reportedly has thousands of missile batteries that are capable to hitting the 10 million people that live in Seoul. The death and devastation that an all-out strike on Seoul could potentially cause is almost unimaginable. In fact, the 24.5 million people living either in or around Seoul make it the second largest metropolitan area in the world. The next conflict on the Korean peninsula will be extremely bloody. Nobody should be wishing for that.
Unfortunately, the next Korean war seems closer than ever. Tensions on the peninsula are at a record high. Today, North Korea has one of the largest armies in the world. Some reports claim that they have over 1 million soldiers on active duty. But South Korea is highly militarized as well, and there are 28,000 U.S. troops stationed in South Korea that the North Koreans would have to contend with.
Right now the rest of the world is getting quite nervous, because a war between nuclear powers could get out of hand very quickly. If North Korea hits South Korea with nuclear weapons, it seems almost certain that the U.S. would hit North Korea with nukes. The death and destruction that would result would be unprecedented.
So what does China think about all of this? Well, North Korea would not be acting so belligerent right now if they did not have permission from China. Perhaps China is trying to send a message to the West.
On the other hand, there are others that believe that it could go a lot deeper than that. The regime in North Korea is on the verge of collapsing in on itself. Even the Chinese are getting tired of propping up their government and dealing with their nonsense. The truth is that a new Korean war could benefit the Chinese in several ways.
First of all, South Korea (the biggest U.S. ally in the region) would be absolutely devastated even if they “won” the war. That would cripple an incredibly important geopolitical chess piece.
Secondly, the U.S. would be embroiled in yet another costly conflict and would undoubtedly suffer some costly losses as well. The opinion of the rest of the world toward the United States would darken even more – especially if nuclear weapons were used.
Thirdly, China could gain a ton of “leverage” by stabbing North Korea in the back after the conflict had started. In return for supporting the U.S./South Korean coalition, China could ask for all kinds of things that they wouldn’t even dream of getting right now. In fact, it is not unthinkable to imagine China walking away with a significant chunk of North Korea in the aftermath of the war. The Chinese government is regularly involved in “border disputes” (just Google it), and China would never pass up a chance to pick up a big slice of new territory.
In the end, the “winner” of any new war on the Korean peninsula would probably be China. The U.S. would get rid of the “North Korean problem”, but it would come at a great cost. It is hard to imagine any scenario that would end up greatly benefiting the United States.
Let us hope that a new all-out Korean war does not erupt. North Korea is ruled by delusional leaders who are insane enough to actually use nuclear weapons. If you doubt this, just consider the following 11 facts….
#1 The first “Great Leader” of North Korea, Kim Il-Sung, is deeply revered in North Korea. In fact, there are over 500 statues of Kim Il-sung scattered throughout the country. Many Koreans apparently believe that Kim Il-Sung actually created the world.
#2 It is said that hanging up pictures of Kim Il-Sung is compulsory for every household in North Korea.
#3 Millions of North Korean citizens have literally starved to death over the past 10 years.
#5 It has been reported that during times of extreme hunger in North Korea, cannibalism is quite common. Several years ago the Washington Post shared what one 29-year-old female defector told them about what is going on inside the country….
“When one is very hungry, one can go crazy. One woman in my town killed her 7-month-old baby, and ate the baby with another woman.”
The sad thing is that the 29-year-old female defector didn’t even consider what she had seen to be wrong….
“I can’t condemn cannibalism. Not that I wanted to eat human meat, but we were so hungry. It was common that people went to a fresh grave and dug up a body to eat meat. I witnessed a woman being questioned for cannibalism. She said it tasted good.”
#6 In 1987, North Korea began construction on the Ryugyong Hotel, which would have been the tallest hotel in the world if it had been finished on schedule in 1989. Instead, construction of the bizarre 105-story skyscraper that somewhat resembles a pyramid was suspended in 1992, and the unfinished structure was just a massive concrete shell towering over Pyongyang completely empty for the next 16 years. Work began once again on the project in 2008, and it is anticipated that it will finally be completed in 2012.
#7 One of North Korea’s greatest “tourist attractions” is the Pueblo – a U.S. naval vessel that the North Koreans captured from “the imperialist Americans” back in 1968.
#8 According to North Korean media, Kim Jong-il is a phenom at just about everything. It is claimed that he shot 38 under par (including 11 holes-in-one) the first time he ever played golf.
“While Interviewee 17 was in the North Korean Army, his unit was dispatched to widen the highway between Pyongyang and the nearby port city of Nampo. They were demolishing a vacated house in Yongkang county, Yongkang district town, when in a basement between two bricks they found a Bible and a small notebook that contained 25 names, one identified as pastor, two as chon-do-sa (assistant pastors), two as elders, and 20 other names, apparently parishioners, identified by their occupations. The soldiers turned the Bible and notebook over to the local branch of Department 15 of the Korean Workers Party (KWP), but the Party officials said it was up to the military police unit, Bowisaryungbu gigwanwon, to investigate. Tracked down at their place of work through the listing of occupation in the notebook, the 25 persons were picked up without formal arrest by the military bowibu. The interviewee was not aware of any judicial procedures for those seized. In November 1996, the 25 were brought to the road construction site. Four concentric rectangular rows of spectators were assembled to watch the execution. Interviewee 17 was in the first row. The five leaders to be executed – the pastor, two assistant pastors, and two elders – were bound hand and foot and made to lie down in front of a steamroller. This steamroller was a large construction vehicle imported from Japan with a heavy, huge, and wide steel roller mounted on the front to crush and level the roadway prior to pouring concrete. The other twenty persons were held just to the side. The condemned were accused of being Kiddokyo (Protestant Christian) spies and conspiring to engage in subversive activities. Nevertheless, they were told, “If you abandon religion and serve only Kim Il Sung and Kim Jong Il, you will not be killed.” None of the five said a word. Some of the fellow parishioners assembled to watch the execution cried, screamed out, or fainted when the skulls made a popping sound as they were crushed beneath the steamroller. Interviewee 17 thought, at the time, that these church people were crazy. He thought then that religion was an “opiate,” and it was stupid for them to give up their lives for religion. He heard from the soldiers who took away the other twenty prisoners that they were being sent to a prison camp.”
#10 A few years ago when China was sending humanitarian aid into North Korea the North Koreans decided that they would just start keeping the trains as well. The Chinese crews were sent back over the border on foot.
#11 A song entitled “No Motherland Without You” was written specifically for Kim Jong-il and is one of the most popular songs in North Korea. It is regularly sung by the North Korean military.
Are you convinced yet? The truth is that North Korea is very, very dangerous and they should not be underestimated. Let us hope that the United States never has to fight another war with them.
Black Friday – the day after Thanksgiving when millions of Americans line up before the crack of dawn at retail stores across the nation hoping to find great deals on cheap plastic stuff made outside the United States. The Friday after Thanksgiving has become an “unofficial holiday” in recent years, and in fact in many ways it is starting to become as big as Thanksgiving itself. A recent search on Google News found over 31,000 stories about “Thanksgiving” and over 24,000 stories about “Black Friday”. Almost every major news organization has been running stories about Black Friday for weeks now. Some of the biggest retailers, including Wal-Mart, Sears, Old Navy and Toys R Us, have had such success with Black Friday sales that they have decided to stay open for Thanksgiving now. You would think that we could all have one day off to spend with family and friends to give thanks for all that we have been blessed with, but apparently that is not going to be possible. Just like so many of our other holidays, the true purpose behind having a holiday called “Thanksgiving” is being totally obliterated by a tsunami of greed. Meanwhile, more Americans than ever are living in poverty this year and very few people even seem to notice.
Not that there is anything wrong with enjoying all the things you and your family have been blessed with. However, perhaps we should all take time this week to remember the tens of millions of Americans that are going to be deeply suffering this winter. They keep telling us that “the recession is over” and yet poverty continues to spread like an out of control plague. But for most Americans life is still relatively “normal”, and so the horrible suffering going on out there doesn’t really affect them.
The truth is that the U.S. economy is dying. Americans have been living beyond their means for decades, and now we are starting to pay the price for the gigantic mountains of debt that we have accumulated. But instead of preparing for harder times and looking for ways to help those who are hurting, most Americans are preparing for another orgy of shopping this holiday season….
*According to a new study by America’s Research Group and UBS, more Americans than ever before will be out shopping this Black Friday.
Meanwhile, nearly 15% of all American households experienced a food shortage at some point during 2009, and experts anticipate that the final number for 2010 will be even worse.
*Approximately 48.9 percent of all Americans plan to shop on Black Friday this year.
Meanwhile, many other Americans only have a very, very cold winter to look forward to. According to the National Energy Assistance Directors’ Association, more than 10 million U.S. households will not be able to afford to heat their homes this winter without assistance, which would be a new all-time record.
*The National Retail Federation estimates that holiday retail sales will hit $447.1 billion for 2010.
Meanwhile, more Americans are on food stamps than ever before. Today, more than 43 million Americans are enrolled in the food stamp program. The number of Americans on food stamps has increased almost 60 percent since 2007. If our economy is getting better, then why is hunger spreading like an out of control virus?….
*Millions of American families will be streaming into Wal-Mart and Target to buy foreign-made electronic gadgets this upcoming Friday.
Meanwhile, millions of other American families would gladly give up their Thanksgiving meals in exchange for a decent job for a family member. According to one recent survey, 28% of all U.S. households have at least one person that is looking for a full-time job. Unfortunately, there are not even close to enough jobs to go around in post-industrial America.
*Consumer Reports has posted a Black Friday shopping guide that encourages people to be prepared to wait in line out in the cold for several hours if they want to get the “best deals”….
It’s not always worth breaking down the ‘door.’ … But consumers shouldn’t bother to show up unless they are willing to wait in line, sometimes for hours before the store opens, and should be prepared for possible disappointment. There are no guarantees.
Meanwhile, there are millions of American children that barely have enough to eat. According to one recent study, approximately 21 percent of all children in the United States are living below the poverty line in 2010.
The age of consumerism is coming to a close so enjoy it while it lasts.
Sadly, many proponents of “free trade” (which is actually not “free” or “fair” at all) point to the “great deals” available on Black Friday as evidence that globalism works.
Yes, you might get 20 extra bucks off on that 32-inch television, but in the end American workers are going to be supported somehow.
Either we provide jobs for American workers that enable them to feed their families or we provide for them by giving them food stamps and unemployment checks.
The United States has lost over 42,000 factories since 2001. Are you willing to have your taxes raised to provide food and shelter for all of those displaced workers?
The following is how Wikipedia defines deindustrialization….
Deindustrialization (also spelled deindustrialisation) is a process of social and economic change caused by the removal or reduction of industrial capacity or activity in a country or region, especially heavy industry or manufacturing industry. It is an opposite of industrialization.
In case you haven’t noticed, that is what is happening to America.
As of the end of 2009, less than 12 million Americans worked in manufacturing. The last time less than 12 million Americans were employed in manufacturing was in 1941.
Not that all trade is a bad thing. Trading with other nations such as Canada and Germany that have similar standards of living and that pay their workers similar wages could potentially be beneficial to both sides.
However, merging our economy with nations such as communist China was a colossal mistake. In China, most workers earn less than a tenth of what most American workers make. Today, our factories, our jobs and our wealth are being transferred to China at a pace that is almost unbelievable.
In 1985, the U.S. trade deficit with China was 6 million dollarsfor the entire year. In the month of August alone, the U.S. trade deficit with China was over 28 billion dollars.
In case you are wondering, that is not a good trend.
Every single month, tens of billions of dollars more goes out of the United States than comes into it.
In other words, we are being drained.
But that isn’t going to stop tens of millions of Americans from running out on Black Friday and buying huge piles of stuff that nobody really needs with money that they can’t really afford to spend.
America is in the midst of a long-term economic decline, but nearly everyone in the media keeps expecting the economy to “snap out of it” and for the good times to start rolling once again.
Unfortunately, things aren’t going to get better. This is about as good as things are going to get.
The federal government has piled up the biggest mountain of debt in the history of the world. Our state and local governments are drowning in a sea of red ink. Average Americans are seeing their incomes decline and their standards of living go down. The greatest economic machine in world history is being dismantled and most Americans have become so dumbed-down that they don’t even understand what is going on.
But as they say, ignorance is bliss.
So enjoy this “Black Friday” while you still can. Perhaps the memories of these good times will keep us warm during the truly dark days that are ahead.
Over the past several decades, no matter which political party has been in power the government has continued to become a larger part of our lives. These days many people are speaking of the “nanny state” that we have created, but the reality is far worse than that. The truth is that the government has become a gluttonous, out of control behemoth that is gobbling up everything in sight and that is attempting to exert full spectrum dominance over our lives. Today, the government seems to have an insatiable hunger to watch us, track us and control us. Now they even want to feel our private parts before we get on an airplane. No matter what politicians we send to Washington D.C., it just seems to get worse and worse. Anyone who still believes that we live in “the land of the free” is completely and totally delusional.
It isn’t just in one particular area that all of this government intrusion into our lives is so offensive. What we are witnessing is the government slowly digging its fingers even deeper into our lives in a thousand different ways. Sadly, most Americans see the government as the one who is supposed to take care of them from the cradle to the grave, as the one who is supposed to fix all of the problems in society and as the one who is their ultimate authority.
This is in direct contradiction to the concept of a “limited government” that our Founding Fathers tried so desperately to enshrine in our founding documents. The American people need a big-time wake up call. The following are 8 examples of how the U.S. government is attempting to take even more control over our lives….
#1 Taking Total Control Of Our Food – S. 510 “The Food Safety Modernization Act”
S. 510, “The Food Safety Modernization Act”, is another huge power grab by the FDA and the federal government over our food supply. The bill is written so broadly and so vaguely that nobody really knows what it means. The potential for abuse of these vague new powers would be staggering. So will the government abuse these powers? Those who are in favor of the bill say that of course the government will be reasonable, but those who are opposed to the bill point to all of the other abuses that are currently taking place as evidence that we simply cannot trust the feds with vague, undefined powers.
Fortunately, the Tester Amendment has been attached to S. 510 at least for now, but big agriculture is not happy about this, and they will be doing everything they can to get it kicked out of the final version of the law. In any event, if this food safety law does get passed, tens of millions of Americans will be left wondering what they are allowed to grow in their back yards, what seeds they are allowed to save and what can and cannot be sold at farmer’s markets.
In case you think this is paranoid, just consider what is already happening. It has been documented that the feds recently raided an Amish farmer at 5 AM in the morning because they claimed that he was was engaged in the interstate sale of raw milk in violation of federal law. If the feds are willing to stoop so low as to raid Amish farmers, do you think they will have any hesitation when the time comes to raid your home?
#2 Taking Total Control Of Air Travel – The Dehumanizing Full Body Scanners And “Enhanced Pat-Downs”
Totalitarian governments throughout history have always sought to dehumanize their subjects. Sadly, that is exactly what is happening in America today. If you want to get on an airplane in the United States, you will now be forced to either let TSA agents gawk at your naked body or let TSA agents grope your entire body including your genitals.
What these TSA agents are being instructed to do to ordinary Americans is so bizarre that it is hard to believe. It is being reported that in many instances TSA agents are actually reaching down the pants of male travelers and up the skirts of female travelers. One retired special education teacher was left humiliated, crying and covered with his own urine after an “enhanced pat-down” by TSA agents. Quite a number of women that have been through these “enhanced pat-downs” have used the phrase “sexual assault” to describe the experience.
So is this what America has become? A place that is so “dangerous” that we all must be treated like prison inmates? Large numbers of Americans are swearing that they will simply not fly anymore, but what happens when these “enhanced pat-downs” start showing up at our schools, our shopping centers and our sporting events someday?
#3 Taking Total Control Of Our Health Care – The Loss Of Our Health Freedom
Once upon a time, Americans had control over their own health care decisions. That is no longer true today. Thanks to major changes in our health care laws, the health care landscape in America has been dramatically changed. Americans are now forced to participate in the officially-sanctioned health care system by purchasing health insurance. But Americans cannot just get any kind of health insurance policy that they want. Our health insurance choices are now tightly constrained by thousands of regulations.
Not only that, but doctors in America no longer have the freedom to treat patients however they see fit. Only “approved” treatments are permissible, and now the federal government is going to be telling doctors which of those “approved” treatments are “cost-effective” enough. As the new health care laws are fully implemented over the next decade, the American people are going to become truly horrified not only about how much their health insurance premiums are going up, but also about how much health freedom they have actually lost.
#4 Taking Control Of Our Money – Multiplying Taxes
Whenever one tax goes down, it seems like several other taxes either go up or get invented. The truth is that Americans are being drained by the federal government, state governments and local governments in dozens upon dozens of different ways. To our various levels of government, our primary function is to serve as a revenue source. Each year it seems like they find more ways to stick it to us. In fact, it looks like 2011 is going to be a banner year for tax increases. If you doubt this, just see my previous article entitled “2011: The Year Of The Tax Increase“.
#5 Taking Control Of Our Businesses – Thousands Of Ridiculous Regulations
Why would anyone in America even attempt to be an entrepreneur today? Most small businesses are literally being strangled by hordes of red tape.
Just consider how things have changed in America. The Federal Register is the main source of regulations for U.S. government agencies. In 1936, the number of pages in the Federal Register was about 2,600. Today, the Federal Register is over 80,000 pages long.
The following is just one example of how bizarre things have gotten in this country. The U.S. Food and Drug Administration is projecting that the food service industry will have to spend an additional 14 million hours every single year just to comply with new federal regulations that mandate that all vending machine operators and chain restaurants must label all products that they sell with a calorie count in a location visible to the consumer.
Do we really need to spend 14 million more hours telling Americans that if they keep eating hamburgers and fries that they are likely to get fat?
But it is not just the federal government that is the problem. One reader recently described how difficult it was to try to run a business in the state of California….
Had 10 employees, but one almost exclusively to deal with government regs, taxes, reporting etc, Received a $144 penalty for a .33 (yes, cents)error on my quarterly payroll taxes from Cal Franchise Tax Board. I called to ask if that was not a bit repressive, why level penalize someone for what was obvisouly a didminimus error? I was told “we would have penalized you if it was .03!” I said, I did not volunteer to be the income tax collector for the State and Fed government, you should be paying me to do all this work and insane paper pushing. Reply: “That is part of the PRIVILIGE of being a business owner!!!”
#6 Taking Control Of Our Environment – The Green Police
The government is using the “green movement” as an excuse to take an unprecedented amount of control over our lives. From coast to coast, communities have been given government grants to track our trash with RFID microchips. The following are just some of the communities that will now be using microchips to track what we throw away….
*Cleveland, Ohio
*Charlotte, North Carolina
*Alexandria, Virginia
*Boise, Idaho
*Dayton, Ohio
*Flint, Michigan
Not only that, but some cities are now starting to fine citizens for not recycling properly.
In Cleveland, Ohio if an RFID tracking chip signals that a recycle bin has not been brought out to the curb within a certain period of time, a “trash supervisor” will actually sort through the trash produced by that home for recyclables.
According to Cleveland Waste Collection Commissioner Ronnie Owens, trash bins that contain over 10 percent recyclable material will be subject to a $100 fine.
Does that sound like America to you?
Now we don’t even have the freedom to throw out trash the way we want to.
#7 Taking Away Our Independence – The Exploding Welfare State
You don’t have much freedom if you can’t take care of yourself. But in America today, tens of millions of Americans have literally become completely dependent on the government for survival. Over 42 million Americans are now on food stamps. Approximately one out of every six Americans is enrolled in a federal anti-poverty program.
The number of Americans living in poverty has increased for three consecutive years, and the 43.6 million poor Americans in 2009 was the highest number that the U.S. Census Bureau has ever recorded in 51 years of record-keeping.
The more Americans that are destitute and totally dependent on the government the easier it will be for the government to control them. Today a rapidly growing percentage of Americans fully expect the government to take care of them. But this is not what our founders intended.
#8 Taking Away Our Patriotism – We Are Even Losing The Freedom To Be Proud Of America
Do you ever think things will get so repressive in America that a group of high school students will be forbidden from singing the national anthem at the Lincoln Memorial? Well, that has already happened. Do you think that areas of our nation will ever become so anti-American that they will forbid students from riding to school with an American flag on their bikes? Well, that has already happened.
Fortunately, there was such an uproar over what happened to 13-year-old Cody Alicea that it made national headlines and he ended up being escorted to school by hundreds of other motorcycles and bicycles – most of them displaying American flags as well. The school reversed its policy and now Cody can ride his bike to school every day proudly displaying the American flag.
But what if nobody had decided to stand up?
That school would have gotten away with banning the flag if the American people had allowed them to.
Our liberties and our freedoms are under attack from a thousand different directions and they are being stripped away from us at a blinding pace.
It has gotten to the point where most of us just sit in our homes and enjoy the “freedom” of digesting the “programming” that is constantly being hurled at us through our televisions. Of course the vast majority of that programming is produced by just 6 monolithic corporations that control almost everything that we watch, hear and read.
Power and money have become more highly concentrated in America today than ever before, and yet most Americans don’t even realize it.
Most Americans are so busy just trying to survive from month to month that they don’t even have time to think about the deeper issues. At the end of the night most of them are so exhausted from serving the system that all they can do is collapse on the sofa and turn on some programming.
But the American people desperately need to wake up. Without liberty and freedom our country cannot work. But our freedoms and liberties are being stripped away a little bit more each and every day.
The America that so many of us grew up adoring is dying right in front of our eyes. If you plan on saying something about it, you better do so before it is too late.
You are not going to believe some of the things that the U.S. government is spending money on. According to a shocking new report, U.S. taxpayer money is being spent to study World of Warcraft, to study how Americans find love on the Internet, and to study the behavior of male prostitutes in Vietnam. Not only that, but money from the federal government is also being used to renovate a pizzeria in Iowa and to help a library in Tennessee host video game parties. These are just some of the examples in a new report on government waste from Senator Tom Coburn entitled “Wastebook 2010“. Even as tens of millions of American families find themselves suffering through the worst economic downturn in modern history, the U.S. government continues to spend money on some of the craziest and most frivolous things imaginable. Every single year articles are written and news stories are done about the horrific government waste that is taking place and yet every single year it just keeps getting worse. So just what in the world is going on here?
Municipal Bond Market Crash 2011: Are Dozens Of State And Local Governments About To Default On Their Debts?
Fortunately, a recent report on 60 Minutes has brought these issues to light. If you have not seen it yet, do yourself a favor and click on the video below and spend a few minutes watching it. It is absolutely stunning.
In the piece, one of the people that 60 Minutes interviewed was Meredith Whitney – one of the most respected financial analysts in the United States. According to Whitney, the municipal bond crisis that we are facing is a massive threat to our financial system….
State and local governments across the United States are facing a complete and total financial nightmare. The 60 Minutes report posted below does a pretty good job of describing the problem but it doesn’t even pretend to come up with any solutions….
Unlike the federal government, state and local governments cannot just ask the Federal Reserve to print up endless amounts of cash. If state and local governments want to spend more than they bring in, they must borrow it from investors.
If the municipal bond market crashes, and investors around the world are no longer willing to hand over gigantic sacks of cash to state and local governments in the United States, then the game is over. Either state and local governments will have to raise taxes or they will have to start spending within their means.
Most Americans have no idea what this would mean. For decade after decade, state and local governments throughout the nation have been living way, way, way above their means. If the debt cycle gets cut off, it is going to mean that many local communities around the nation will start degenerating into rotting hellholes nearly overnight.
We are already seeing this happen in places such as Detroit, Michigan and Camden, New Jersey but if the municipal bond market totally collapses we are quickly going to have dozens of Detroits and Camdens from coast to coast.
Let’s take a closer look at some of the state and local governments that are in some of the biggest trouble….
California
California is facing a 19 billion dollar budget deficit next year, and incoming governor Jerry Brown is scrambling to find billions more to cut from the California state budget. At this point, investors are becoming increasingly wary about loaning any more money to the state. The following quote from Brown about the desperate condition of California state finances is not going to do much to inspire confidence in California’s financial situation around the globe….
Unfortunately, the economic situation in California continues to degenerate. For example, 24.3 percent of the residents of El Centro, California are now unemployed. In fact, the number of people unemployed in the state of California is approximately equivalent to the populations of Nevada, New Hampshire and Vermont combined.
The housing market in the state is also a major drag on the economy there. For instance, the average home in Merced, California has declined in value by 63 percent over the past four years.
The state of California is swamped with so much debt that there literally appears to be no way out.
Arizona
The state government of Arizona is so incredibly starved for cash that it actually sold off the state capitol building, the state supreme court building and the legislative chambers. Now they are leasing those buildings back from the investors that they sold them to.
Arizona also recently announced that it has decided to stop paying for many types of organ transplants for people enrolled in its Medicaid program.
Illinois
Illinois is widely regarded to be in the worst financial condition of all the U.S. states. At this point, Illinois has approximately $5 billion in outstanding bills that have not been paid.
According to 60 Minutes, the state of Illinois is six months behind on bill payments. 60 Minutes correspondent Steve Croft asked Illinois state Comptroller Dan Hynes how many people and organizations are waiting to be paid by the state, and this is how Hynes responded….
The University of Illinois alone is owed 400 million dollars. There are approximately two thousand not-for-profit organizations that are collectively owed a billion dollars by the Illinois state government.
New Jersey
The New Jersey state budget has been slashed by 26 percent, a billion dollars have been cut from education and thousands of teachers have been laid off.
But even with all of those cuts, New Jersey is still facing a $10 billion budget deficit next year, and the state has $46 billion in unfunded pension liabilities and $65 billion in unfunded health care liabilities that it is somehow going to have to address in the future.
Detroit
Detroit Mayor Dave Bing has come up with a new way to save money. He wants to cut 20 percent of Detroit off from essential social services such as road repairs, police patrols, functioning street lights and garbage collection.
Miami
One Miami commissioner declared earlier this year that bankruptcy may be the city’s only financial hope.
Philadelphia, Baltimore and Sacramento
Major cities such as Philadelphia, Baltimore and Sacramento have instituted “rolling brownouts” in which various city fire stations are shut down on a rotating basis.
Camden
The second most dangerous city in the United States – Camden, New Jersey – is about to lay off about half its police in a desperate attempt to save money.
Oakland
Oakland, California Police Chief Anthony Batts has announced that due to severe budget cuts there are a number of crimes that his department will simply not be able to respond to any longer. The crimes that the Oakland police will no longer be responding to include grand theft, burglary, car wrecks, identity theft and vandalism.
Nassau County, New York
In New York, the country of Nassau (one of the wealthiest counties in the state) has a budget deficit that is approaching 350 million dollars.
America used to be viewed as the land of great economic progress, but that is no longer the case. Sadly, all over the United States there are signs that we are actually going backwards as a country.
All over the nation, asphalt roads are actually being ground up and are being replaced with gravel because it is cheaper to maintain. The state of South Dakota has transformed over 100 miles of asphalt road into gravel over the past year, and 38 out of the 83 counties in the state of Michigan have transformed at least some of their asphalt roads into gravel roads.
Just think about that – we are actually going back to gravel roads.
What’s next?
But this is what is going to happen all over America if dozens of state and local governments start defaulting and the municipal bond market crashes.
In fact, don’t look now, but there are signs that a “bloodbath” in the municipal bond market has already begun. The months of November and December have been incredibly rocky for municipal bonds.
The days when U.S. states and cities could borrow seemingly endless amounts of incredibly cheap money are officially over.
So where are state and local governments going to get the money that they need?
Well, they are going to come and try to get it from you of course. Over the past two years, 36 of the 50 U.S. states have jacked up taxes or fees.
Many local governments are trying to raise funds any way that they can. For example, from now on if you are caught jaywalking in Los Angeles you will be slapped with a $191 fine.
This kind of thing is happening all over America. Police departments are being turned into revenue raising operations. Police are so busy writing tickets that they barely have any time to investigate actual crimes anymore.
But it simply is not going to be enough. State and local governments across the U.S. are facing financial holes of legendary proportions.
The 60 Minutes report above stated that the combined unfunded pension and health care liabilities of the 50 states is $1 trillion. Unfortunately, that is an estimate that is probably way too conservative. In fact, two prominent university professors have calculated that the combined unfunded pension liability for all 50 U.S. states is approximately 3.2 trillion dollars.
So if the municipal bond market does crash will the federal government step in and bail everyone out?
Well, this upcoming spring the $160 billion in federal “stimulus money” runs out. At that point there will likely be a huge cry for even more “stimulus money” for state and local governments.
Unfortunately, as I wrote about yesterday, the federal government is also flat broke and swimming in an ocean of endless red ink. Congress could potentially step in and try to bail all the state and local governments out, but in the end it is the American people who are going to have to pay the bill.
We are on the verge of a horrific economic collapse which is going to change life in this country as we know it forever. All of this debt is absolutely going to swamp us. Our politicians can keep trying to kick the can down the road for as long as they can, but eventually the financial nightmare that so many of us have been dreading is going to overtake us.