Daily Archives: August 19, 2012

In A Paper System, All Assets Are Backed by the Treasury Bond

In a gold-based monetary system, every asset is ultimately backed by gold. This does not mean that every debtor (including banks) keeps the full amount of its liability in gold coin just lying around. Why would one bother to borrow if one did not need the money?

It means that every asset generates a gold income and every asset could be liquidated for gold, if necessary. If a debtor declares bankruptcy, the creditor may take losses. But he can rely on the gold income stream for each asset or if need be he can sell the asset for gold.

In a gold-based monetary system, money is gold and gold is money. Money cannot disappear; it does not go “poof”. Bad credit can be defaulted and must be written off. But money merely changes hands.


What Recovery? Petroleum Deliveries Lowest Since September 2008; Weakest July Demand Since 1995

While the Achilles heel to the endless “economic data” BS coming out of China may be its electric production and demand, both of which show a vastly different picture than what the Beijing politburo’s very wide brush strokes paint, the US itself is not immune from indicators that confirm that anything the BEA dishes out should be taken with a grain of salt. One data set that we showed recently that paints a drastically different (read slowing) picture of the US economy which we noted recently is railcar loading of waste and scrap for the simple reason that “The more we demand, the more waste is generated by that production.” Of course, the propaganda manipulation machinery only focuses on the “entrance” of production, and completely ignore the “exit.” But an even far more important metric of the general health of the US economy may be none other than broad energy demand, in the form of petroleum deliveries and gasoline demand.


Labor Department $100 Million Giveaway to Stop State Layoffs

$100 million sounds like a lot of money but it does not go very far these days. It is less than .01% of the deficit.

The problem with such thinking is government programs start out “small,” then end up costing tens of billions of dollars as each party tries to outdo the other in an attempt to buy voters.

Please consider Labor Dept. Attempts to Stop Layoffs by Giving $100 Million to States to Subsidize Payrolls

The Labor Department announced on Monday that it will be awarding almost $100 million in grant funding to states to prevent layoffs by allowing businesses to pay employees as part-time workers and the federal government will pick up the tab for the cost of a full-time paycheck.


Anti-Obama Navy SEAL leader admits belief in ‘birther’ conspiracy

A new anti-Obama Navy SEAL group called Special Operations OPSEC Education Fund was created by a man who believes the president is secretly a socialist communist foreign-born interloper, or so he told Foreign Policy Magazine.

The “OPSEC” group claims it is “non-partisan,” and accuses President Obama of taking too much credit for ordering the operation that killed terrorist financier and spiritual leader Osama bin Laden. But the national media put the brakes on that claim Friday with OPSEC founder Larry Bailey’s admission to FP and a CNN broadcast featuring a thorough deconstruction of the group’s spokesman.

“I have to admit that I’m a Birther,” Bailey reportedly told FP in an exclusive interview. “If there were a jury of 12 good men and women and the evidence were placed before them, there would be absolutely no question Barack Obama was not born where he said he was and is not who he says he is.”

Bailey added that he believes the president’s father was secretly the famed African-American journalist and poet Frank Marshall Davis, who’s mentioned in Obama’s book “Dreams From my Father” as one of his dad’s old drinking buddies. The same theory is commonly espoused by World Net Daily conspiracy columnist Jerome Corsi and followers of his writing.


U.S. Army reports suicides more than doubled

Suicides among US Army soldiers more than doubled in July compared to June, the Pentagon said, the latest evidence of a worrisome trend that has vexed military leaders.

Among active-duty troops, 26 soldiers killed themselves last month, compared to 12 in June, according to an army statement.

The July toll was the highest for any single month since the Army began documenting suicides by month in 2009, officials said.

The army, which has borne the brunt of more than ten years of protracted ground wars in Iraq and Afghanistan, has suffered the highest suicide rates among all the US armed services.

Commanders have struggled to stem the problem, funding a myriad of programs and research to try to understand what is driving so many soldiers to take their lives.

“Suicide is the toughest enemy I have faced in my 37 years in the Army,” said General Lloyd Austin, the US Army’s vice chief of staff.


Corporatism Is Not Capitalism: 7 Things About The Monolithic Predator Corporations That Dominate Our Economy That Every American Should Know

Right now, there is a lot of talk about the evils of “capitalism”.  But it is not really accurate to say that we live in a capitalist system.  Rather, what we have in the United States today, and what most of the world is living under, is much more accurately described as “corporatism”.  Under corporatism, most wealth and power is concentrated in the hands of giant corporations and big government is used as a tool by these corporations to consolidate wealth and power even further.  In a corporatist system, the wealth and power of individuals and small businesses is dwarfed by the overwhelming dominance of the corporations.  Eventually, the corporations end up owning almost everything and they end up dominating nearly every aspect of society.  As you will see below, this very accurately describes the United States of America today.  Corporatism is killing this country, and it is not what our founding fathers intended.


Russian attack submarine sailed in Gulf of Mexico undetected for weeks, U.S. officials say

A Russian nuclear-powered attack submarine armed with long-range cruise missiles operated undetected in the Gulf of Mexico for several weeks and its travel in strategic U.S. waters was only confirmed after it left the region, the Washington Free Beacon has learned.

It is only the second time since 2009 that a Russian attack submarine has patrolled so close to U.S. shores.


Genetically engineering ‘ethical’ babies is a moral obligation, says Oxford professor

Professor Julian Savulescu said that creating so-called designer babies could be considered a “moral obligation” as it makes them grow up into “ethically better children”.

The expert in practical ethics said that we should actively give parents the choice to screen out personality flaws in their children as it meant they were then less likely to “harm themselves and others”.

The academic, who is also editor-in-chief of the Journal of Medical Ethics, made his comments in an article in the latest edition of Reader’s Digest.

He explained that we are now in the middle of a genetic revolution and that although screening, for all but a few conditions, remained illegal it should be welcomed.


Harvard Study Confirms Fluoride Reduces Children’s IQ

A Harvard meta-analysis funded by the National Institutes of Health (NIH) has concluded that water fluoridation significantly lowers IQ scores in children, and may be a neurotoxicant that affects brain development More than 23 human studies and 100 animal studies have linked fluoride to brain damage Fluoride has immunosuppressive effects at low dosages, which can raise your risk of chronic disease, including cancer. Long-lost research linking fluoride to cancer has resurfaced in a Dutch film clip featuring Dr. Dean Burk, co-founder of the US National Cancer Institute and head of its cytochemistry department for over 30 years. In a taped interview, he equates water fluoridation to public murder

A recently published Harvard University meta-analysis funded by the National Institutes of Health (NIH) has concluded that children who live in areas with highly fluoridated water have “significantly lower” IQ scores than those who live in low fluoride areas.


N.Y. Fed says municipal bond defaults higher than ratings agency counts

Defaults on municipal bonds for decades have been far higher than reported by
rating agencies, bringing into question the true risk of a common investment
widely considered to be safe, according to a study released Wednesday by the Federal Reserve Bank of
New York.


Government And Banks Make Preparations For A Financial Collapse

Something really strange appears to be happening. All over the globe, governments and big banks are acting as if they are anticipating an imminent financial collapse. Unfortunately, we are not privy to the quiet conversations that are taking place in corporate boardrooms and in the halls of power in places such as Washington D.C. and London, so all we can do is try to make sense of all the clues that are all around us.

Of course it is completely possible to misinterpret these clues, but sticking our heads in the sand is not going to do any good either. Last week, it was revealed that the U.S. government has been secretly directing five of the biggest banks in America “to develop plans for staving off collapse” for the last two years.


Reddit Users Share 25 Ways To Make Your Life Easier

The tips are so savvy, they can be used anywhere. We’ve rounded up 25 of our favorites and are sharing them here.
  • Slick antiperspirant on your feet before hiking and running. It will cut down on blisters and keep your feet warm in the winter.
  • When camping, strap a head lamp to a gallon jug of water. The tent will be filled with ambient light.
  • Unscented dental floss can be used to cut cakes, cheeses and other soft foods perfectly.
  • Use a clean dustpan to fill a container that won’t fit in the sink.
  • Use Windex to remove carpet stains.
  • Use toothpaste to clean dirty headlights.
  • Use a pair of scissors instead of a Phillips-Head screwdriver in a pinch.
  • Apply cayenne pepper directly to a toothache to lessen the pain.
  • Wrap a wet paper towel around a beverage and stick it in the freezer to make it ice cold.
  • On vacation, hide emergency cash in an empty Chapstick container.

Mainstream Doctors Say Supporting the 2nd Amendment is a Mental Disorder

The medical industry in conjunction with Big Pharma want
to classify the right to keep and bear arms as a mental disorder in another
power grab to circumvent and eventually destroy our Constitutional 2nd
Amendment. More and more doctors are forcing the idea that we need a national
healthcare approach to the problem that the recent shootings provide. While
tobacco and alcohol is regulated, why not include the right to bear arms?


NOAA Requests Ammunition For The Weather Service

On 9 Aug 2012, the Department of Commerce, for the National Oceanic and Atmospheric Administration by way of the National Weather Service, put out a solicitation for a small variety of ammunition.
The solicitation breaks down the requirements: 16,000 rounds of ammunition for semiautomatic pistols to be factory-loaded .40 S&W caliber, 180-grain jacketed hollow point (JHP). 6,000 rounds of frangible, 125-grain CFRHT .40 caliber. 24,000 rounds of ammunition for semiautomatic pistols to be factory-loaded .40 S&W caliber, 180-grain jacketed hollow point (JHP).In all, 40,000 rounds of ammunition, and only 500 Transtar II blue 24″ x 40″ targets are being ordered.
All the ammunition and targets are being spread out over the US to three locations, Ellsworth, ME; New Bedford, MA; Wall, NJ; and St. Petersburg, FL. Only the 24,000 rounds are being sent to Florida, no targets will be shipped there.
This all comes after the Department of Homeland Security requested a contract with manufactures for over 63,000,000 roundsrounds over the next 4 years.

And this raises other questions: Could not the US Government simply re-allot the ammunition from DHS to DOC? What is it about being a weather person that requires the training and use of a firearm? What future event is coming that makes the National Weather Service believes it needs to train and arm its employees?We will report more about this as developments come in.


Stratfor emails reveal secret, widespread TrapWire surveillance system

Every few seconds, data picked up at surveillance points in major cities and landmarks across the United States are recorded digitally on the spot, then encrypted and instantaneously delivered to a fortified central database center at an undisclosed location to be aggregated with other intelligence. It’s part of a program called TrapWire and it’s the brainchild of the Abraxas, a Northern Virginia company staffed with elite from America’s intelligence community. The employee roster at Arbaxas reads like a who’s who of agents once with the Pentagon, CIA and other government entities according to their public LinkedIn profiles, and the corporation’s ties are assumed to go deeper than even documented.

The details on Abraxas and, to an even greater extent TrapWire, are scarce, however, and not without reason. For a program touted as a tool to thwart terrorism and monitor activity meant to be under wraps, its understandable that Abraxas would want the program’s public presence to be relatively limited. But thanks to last year’s hack of the Strategic Forecasting intelligence agency, or Stratfor, all of that is quickly changing.

Hacktivists aligned with the loose-knit Anonymous collective took credit for hacking Stratfor on Christmas Eve, 2011, in turn collecting what they claimed to be more than five million emails from within the company. WikiLeaks began releasing those emails as the Global Intelligence Files (GIF) earlier this year and, of those, several discussing the implementing of TrapWire in public spaces across the country were circulated on the Web this week after security researcher Justin Ferguson brought attention to the matter. At the same time, however, WikiLeaks was relentlessly assaulted by a barrage of distributed denial-of-service (DDoS) attacks, crippling the whistleblower site and its mirrors, significantly cutting short the number of people who would otherwise have unfettered access to the emails.


“A Vision Of The Future”: Military Magazine Details Plan For Putting Down Domestic Uprising

Civil libertarians have been concerned for years with the move toward greater use of the military in domestic operations by both President George W. Bush and now by President Barack Obama. The military continues to shift resources for prepare for large-scale domestic operations. Most recently, the Marines moved to create a battalion to allow the military to “be capable of helping control civil disturbances, handling detainees, carrying out forensic work, and using biometrics to identify suspects.” Now the Small Wars Journal, a respected publication closely followed in the U.S. military, has published an article entitled “Full Spectrum Operations in the Homeland: A ‘Vision’ of the Future”by retired Army Col. Kevin Benson of the Army’s University of Foreign Military and Cultural Studies at Fort Leavenworth, Kan., and Jennifer Weber, a Civil War expert at the University of Kansas. It lays out not just the military but the legal basis for military operations to crush domestic insurrections in the United States.

The authors write how the military must be prepared to act against citizens when they received orders regarding domestic threats to the government. What is troubling is the lack of balance in the article and the general assumption of legality in the full spectrum of such operations. What is clear is that, again, Congress is allowing for such preparations without any serious discussion or review. The assumption of legality will soon become the acceptance of legality in domestic use of military forces.

The article lays out how the existing policies regarding “full spectrum” operations require the military to prepare for internal campaigns against our own citizens: “full spectrum operations in the coming two decades (US Army Training and Doctrine Command, The Army Operating Concept 2016 – 2028, TRADOC Pamphlet 525-3-1, dated 19 August 2010, p. iii. Hereafter cited as TD Pam 525-3-1. The Army defines full spectrum operations as the combination of offensive, defensive, and either stability operations overseas or civil support operations on U.S. soil).”


Mega-Banks Plan for Collapse with Contingency Plans and Private Police Force

The biggest banks in the US have been given advisement by US regulators that they must make plans to stave off a complete financial collapse without relying on the US government. Bank of America, Goldman Sachs and other technocrats have secretly crafted worst-case scenarios in which they can continue to thrive during a full-blown domestic monetary crisis.

The Federal Reserve and the US Office of the Comptroller of the Currency (OCC) named Citigroup Inc., Morgan Stanley and JPMorgan Chase & Co. as well as others to devise “recovery plans” in 2010. Banks were directed to have schemes to remain afloat by selling off assets, finding alternative sources of funding, reducing risky measures that make a quick buck. These strategies were to be perfected with “no assumption of extraordinary support from the public sector.”


Max Keiser: We’re in A Financial Holocaust

On the Sunday, August 12 edition of Infowars Live, Alex
hosts Max Keiser discussing the ravaged state of the U.S. economy and fragility
of markets as published in a recent Fox News article The Coming Economic


Gerald Celente on Eurozone Reckoning Day and how Goldman escapes charges!

Welcome to Capital Account. After its yearlong
investigation, the Justice Department said that it will not bring charges
against Goldman Sachs or any of its employees for financial fraud related to the
mortgage crisis. Is this justice or, as Gerald Celente often says, is this “just
us” big bankers getting away with whatever we want? (VIDEO)


Report: One-third of Americans now on federal welfare

110 million Americans are now on federal assistance.
During the years from 2000 to 2011, the number of Americans dependent upon some
form of federal assistance grew almost exponentially. During the last four years
alone Americans participating in programs providing federal food assistance grew
from 14 million to 47 million. The number “110 million” represents Americans
receiving financial assistance other than Social Security and Medicare. In fact,
financial aid for food make up a significant portion of those on the government
welfare roles.