Below you see what Maryland Assembly and Baltimore pols are working for----if Maggie McIntosh keeps me from testifying at a Bill Hearing it is to keep me from making any progressive policy stance that reveals the big picture of what she and Maryland pols are working towards -----all working for Wall Street and global corporations!
I want to share articles that address some of the issues I brought up this week that the Maryland Assembly is pushing through its BILLS. Remember, Obama and Clinton neo-liberals consider the MIDDLE CLASS to be upwards of $150,000 to $500,000 and is pretending that neo-liberals are 'saving' Medicare and Social Security for those income groups by pushing the REAL middle/lower class off. All of these Trusts are being eaten by corporate fraud and not the people who paid payroll taxes for these benefits so these affluent 'new middle-class' citizens must understand they are not going to get Social Security or Medicare either. These privatization policies of 'student and disability savings accounts' and the myRA private investment savings account replacing Social Security are telling you Clinton Wall Street global corporate neo-liberals are killing these social programs as fast as Republicans. Who likes all these programs? Republican voters like Medicare and Social Security and probably Disability as much as the Democratic base of Labor and Justice.
THE MARYLAND ASSEMBLY IS BUILDING THE STRUCTURES FOR PRIVATIZED MEDICARE, MEDICAID, SOCIAL SECURITY, HIGHER EDUCATION LOANS, DISABILITY, AND K-12. BALTIMORE POLS LEAD IN DOING THIS BECAUSE THESE ARE JOHNS HOPKINS' NEO-CONSERVATIVE POLICIES.
Obama Seeks Fast Track for Trade Deal That Could Thwart "Almost Any Progressive Policy or Goal"
Friday, 20 March 2015 00:00 By Amy Goodman, Democracy Now! | Video Interview
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Every bond deal in Maryland and Baltimore has the preface that Moodys and S & P have rated Maryland with the AAA ranking and this justifies incredible amounts of debt. Remember as well all this bond leverage it tied to Property Tax----residential property tax because corporations do not pay property tax. As this article below states----rating agencies not tied to the last massive frauds and shown to be criminal----like Moodys and S & P----have already lowered US ratings to AA- a few years ago because of the FED's QE policies. The economic crash will happen when the FED stops this illegal manipulation of inflation and interest rates ----Bernanke pushed just like Greenspan allowing more and more bond fraud to occur so the coming crash will be huge----a Great Depression and he knows he is doing this just as Greenspan did.
While Maryland Assembly and O'Malley pretended Maryland is AAA----it is far worse than the US rating. Moodys did with credit bond leverage what it did with subprime mortgage loans-----gave fraudulent ratings of AAA.
ALL OF MARYLAND'S POLS ARE NEO-LIBERAL AND NEO-CON ARE ARE PLAYING ANYTHING GOES FOR WALL STREET PROFIT.
Remember, the GDP is rising because Obama and Clinton neo-liberals tied Credit Bond Leverage to GDP-----it is crazy stuff.
Monday, 17 September 2012
U.S. Credit Rating Downgraded
Written by Raven Clabough New American
The Federal Reserve has announced that it would begin yet another round of quantitative easing, a maneuver that has caused the independent and nationally recognized statistical rating organization Egan-Jones to lower the United States government to “AA-“ from “AA.” Egan-Jones specifically cited the third round of quantitative easing from the Federal Reserve, indicating it would hurt the U.S. economy and the nation’s credit quality.
In the explanation for the downgrade, Egan-Jones stated, “From 2006 to present, the US’s debt to GDP rose from 66% to 104% and will probably rise to 110% a year from today under current circumstances; the annual budget deficit is 8%. In comparison, Spain has a debt to GDP of 68.5% and an annual budget deficit of 8.5%.”
“We are therefore downgrading the US country rating from “AA” to “AA-,” the company announced.
Egan-Jones continued by addressing the impact that the company believes the next round of quantitative easing will have on the economy:
The Fed’s QE3 will stoke the stock market and commodity prices, but in our opinion, will hurt the US economy and, by extension, credit quality. Issuing additional currency and depressing interest rates via the purchasing of MBS does little to raise the real GDP of the US, but does reduce the value of the dollar (because of the increase in money supply), and in turn increase the cost of commodities (see the recent rise in the prices of energy, gold, and other commodities).
The increased cost of commodities will pressure profitability of businesses, and increase the costs of consumers thereby reducing consumer purchasing power.
In our opinion, QE3 will be detrimental to credit quality for the U.S.
On September 13, the Federal Reserve announced that it will begin a third round of quantitative easing, which entails the printing of more money which is then given to banks to hold or invest in order to increase stock prices.
The Federal Reserve stated September 13 that it is “concerned that, without further policy accommodation, economic growth might not be strong enough to generate sustained improvement in labor market conditions.”
Fed Chairman Ben Bernanke did his best to sell the notion of QE3, stating on September 13 that quantitative easing is not “comparable to government spending.”
Bernanke said the Fed will eventually “normalize its balance sheet by selling” recently-acquired financial assets back into the market.
“The odds are strong that the Fed’s asset purchase programs, both through their net interest earnings and by strengthening the overall economy, will help reduce rather than increase the federal deficit and debt,” Bernanke said.
This latest round of quantitative easing will involve the purchase of $40 billion in mortgage-backed securities by the Federal Reserve, paid for by printing money. The touted intent is to keep mortgage prices low, thereby encouraging people to purchase homes, and increase money circulation in the economy.
The Federal Reserve’s decision to pursue another round of quantitative easing is driven by the same Keynesian logic that has already proven to be detrimental to the economy. And as noted by The New American’s Charles Scaliger, the maneuver seems to indicate that the Federal Reserve is out of touch with the average American. Scaliger explains that most Americans are “too busy struggling to find or keep employment, pay down debts, and avoid foreclosures” to even consider purchasing a home. In the meantime, banks are not inclined to lend out the newly printed money for home purchases or “invest the new money productively.”
Egan-Jones contends that QE3 will not achieve what it is intended to do — raise the real GDP — but will instead reduce the value of the dollar.
Additionally, any efforts by the Fed to push interest rates down to zero “accentuates the negative consequences of this steady erosion in the dollar’s buying power by imposing a negative return on short-term bonds and bank deposits. In effect, the Fed has announced a course of action that will steal — there is no better word for it — nearly 10 percent of the value of Americans' hard earned savings over the next 4 years,” Forbes reported.
The Fed’s third round of quantitative easing has already provoked an increase in stock prices.
Many recognize that quantitative easing will prove to be harmful to the economy by increasing inflation and exacerbating all the existing problems that are currently plaguing the economy. Scaliger explains:
What is likely to result from QE3 is rising prices coupled with stubbornly stagnant unemployment figures. With gasoline again at record highs and grocery costs soaring, inflation is starting take a serious bite at the checkout counter.
A number of experts are in agreement with Egan-Jones’ assessment of QE3. In fact, according to an August survey by CNN Money, 93 percent of investment strategists were opposed to another round of quantitative easing, with 77 percent of economists also in agreement.
This is the second time this year that Egan-Jones has downgraded the credit rating. In April, Egan-Jones downgraded the U.S. credit rating to “AA” from “AA+” with a negative watch. That negative watch meant there was a 50 percent chance that the credit rating would be downgraded within the next three months. In fact, they were the firm that downgraded the U.S. last July even before Standard & Poor's did.
“Regardless of who does the downgrade, you have to pay attention — maybe they’re not as well known, but Egan-Jones has been ahead of the pack for a while,” Joe Saluzzi, co-manager of trading at Themis Trading told CNBC.
The Egan-Jones downgrade came just days after Moody’s warned that it would downgrade the United States’ credit rating if Congress is unable to reach an agreement on the fiscal cliff. According to the Congressional Budget Office, a failure to reach an agreement and permit the spending cuts and tax increases to take effect would send the economy into a recession.
Currently, both Moody’s Investors Service and Fitch give the United States an “AAA” rating, and Standard & Poor's has rated the United States “AA+.” However, all of those ratings have a negative outlook.
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The American people took a few years after the 2008 crash to pay off credit card debt that Wall Street jacked up with 20% interest rates and then turned around and used those credit cards again. Between the home buying and credit cards----this coming economic crash will be so deep and so long---that Americans will be in worse shape. This crash will see no Federal bailouts as Obama never recovered the massive corporate frauds and left $17 trillion and more in national debt. The goal of the global corporations is to soak the US with so much debt just as third world nations are that then go to the IMF for bailout----to hand all control and all public wealth to global corporations ----
Maryland TV runs these subprime auto loan commercials over and over-----they are just like subprime mortgage loans and people losing all their wealth from the last crash are simply trying to have transportation-----getting tied to these subprime loans that will take them deeper into poverty.
THIS IS WHAT YOUR BALTIMORE CITY HALL AND MARYLAND ASSEMBLY POLS DO EVERY DAY THEY ARE IN SESSION. HOW DO THEY LIVE WITH THEMSELVES YOU ASK? THEY ARE SOCIOPATHS!
Consumer debt is soaring. That’s good news (for now).
By Neil Irwin July 8, 2013 WASHINGTON POST
America is starting to re-leverage itself.
That's the implication of new data out Monday afternoon that shows that consumer credit -- credit cards, auto loans, student loans, basically every form of debt other than mortgages -- is rising by leaps and bounds.
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I thank Good Jobs First for shouting how bad these corporate subsidies are because they do not create real jobs.
The reason all of these corporate tax deals are happening is to protect these corporations from the coming economic crash and the revenue that will be needed afterwards will all come from residents of Maryland and not corporations. The American people must demand and elect pols that shout
EVERY STATE MUST HAVE A DOMESTIC ECONOMY DRIVEN BY WORKERS PAID ENOUGH TO BUY THE THINGS FAMILIES NEED TO SURVIVE AND TO LIVE A DEVELOPED WORLD LIFESTYLE.
If your pols are not shouting that your state needs to run on small and regional businesses and global corporations need to go----they are working for global corporate control of your state economy as is happening in Maryland. The first thing Bush neo-con Larry Hogan said when he was handed the Governorship----we need to bring national corporations to Maryland and he is going to push all of the same corporate tax subsidies Clinton neo-liberal O'Malley did that starves state and local government coffers.
THAT IS WHAT ALL OF THIS CREDIT BOND LEVERAGE AND CONSTANT CORPORATE TAX BREAKS IS STRUCTURING----AND IT IS NOT GOOD FOR 90% OF AMERICANS!
States giving billions in 'megadeals' to U.S. employers
By Pamela M. Prah, Pew/Stateline Staff Writer 11:41 a.m. EDT June 20, 2013
A supervisor observes work on the assembly line at a Chrysler plant in Detroit. In 2010, Michigan gave the company state tax credits valued at $1B, one of the state’s 29 "megadeals" in the past 35 years.(Photo: AP)
Michigan has given large tax breaks and subsidies to employers more often than any other state, according to a new report that tallies up state and local "megadeals," or incentive packages worth more than $75 million.
Good Jobs First, which tracks subsidies that state and local governments give to companies, found that Michigan has given 29 such deals to employers in the past 35 years. The state gave Chrysler and General Motors separate deals worth $1 billion each in 2010 and 2009, respectively.
But while Michigan offered "megadeals" most frequently, New York ranked first in overall spending on such giant packages, with $11.4 billion. New York also had the single most expensive deal: In 2007, the New York Power Authority gave aluminum producer Alcoa a 30-year discounted-electricity package worth an estimated $5.6 billion. Washington state had the second largest "megadeal," a $3.2 billion package of tax breaks and other subsidies it gave to Boeing in 2003.
Supporters say such incentives are an effective way to retain or attract employers. "The auto industry has rebounded and factories and new shifts are being added all over Michigan. Of course the incentives from all levels of government helped," said former Michigan Gov. Jennifer Granholm, a Democrat who was governor between 2003 and 2011, when many of the packages were negotiated.
But Good Jobs First argues that these incentives don't always create the jobs promised. And while 45 states disclose some company-specific data from these deals, the information isn't uniform across state lines, making it difficult to evaluate the costs and benefits.
As Stateline's recent Legislative Review reported, one of the biggest recent deals was Oregon's decision to preserve Nike's preferential sales tax treatment for the next 30 years. That agreement, aimed at keeping Nike in the state, is worth an estimated $2 billion to the company, the report said.
Following Michigan, New York had the second most "megadeals," with 23; Ohio and Texas had a dozen each; Louisiana and Tennessee had 11 each; and Alabama, Kentucky and New Jersey all had 10 each, the report said.
Twenty-five of the packages involved relocations, 14 of them from one state to another. Florida this year, for example, awarded Hertz nearly $85 million in incentives to move from New Jersey to Estero, Fla. The remaining 11 deals involved relocations within a single state. For example, in 2011 Illinois gave Sears Roebuck $275 million to move its headquarters from downtown Chicago to a Chicago suburb instead of leaving the state.
Nationwide, since the late 1970s states and localities have spent more than $64 billion on large incentive packages designed to create or retain jobs, according to the report.
In total dollars spent on "megadeals," Michigan ranked second to New York with a total of $7.1 billion. Five states were in the $3 billion range: Oregon, New Mexico, Washington, Louisiana and Texas.
Twenty-nine companies have received two or more "megadeals." General Motors has gotten the most, with 11, followed by Ford with nine, Intel with six and four companies with four each: Boeing, Daimler (including Mercedes), Nissan and Toyota, the report said.
Absent from the report is Wal-Mart, the company that tops the Fortune 500 list. The company has received more than $1.2 billion in taxpayer assistance, according to a separate Good Jobs First account, but its individual deals were worth less than $75 million each and thus didn't qualify for this report.
Stateline is a nonpartisan, nonprofit news service of the Pew Charitable Trusts that provides daily reporting and analysis on trends in state policy.
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If you look below you see all the signs that Maryland is indeed on its way to third world status no matter how many times Maryland media and pols shout statistics that are not true. Maryland has the worst employment, wages never lower, fraud and corruption, media capture and public policy with no public input. Police actions unconstitutional, and global corporations taking more and more control of the economy.
WAKE UP MARYLAND AND AMERICANS----WE CAN STILL TURN THIS AROUND BUT WE NEED EVERYONE EDUCATING AND WE NEED GOOD PEOPLE RUNNING IN ALL DEMOCRATIC PRIMARIES TO GET RID OF CORPORATE POLS!
Monday, August 16, 2010
10 Signs The U.S. is Becoming a Third World Country
Activist Post
The United States by every measure is hanging on by a thread to its First World status. Saddled by debt, engaged in wars on multiple fronts with a rising police state at home, declining economic productivity, and wild currency fluctuations all threaten America's future.
The general designations of the ranking system for world status date back to the 1950s, and have included countries at various stages of economic development. Since the Cold War, the definition has come to be synonymous with repressive countries where a wealthy class of ruling elites segment society into the haves and have-nots, many times capitalizing on the conditions that follow an economic crisis or war.
While much of the world is still mired in poverty, the reduced cost of innovative tools such as computing and connectivity ironically puts traditional Third World countries at the forefront of a new lean-and-mean economy that is based on ideas of empowerment for the disenfranchised. For better or worse, the world is leveling due to Globalism. However, America and other over-leveraged countries face this re-balancing of the globe at a time when they have dwindling resources. We can speculate about who and what is to blame for America's fantastic fall, but for the purposes of this article we shall focus on the obvious signs that the United States is beginning to resemble a Third World country.
30,000 Section 8 wait for 455 vouchers
1. Rising unemployment and poverty: Unemployment numbers, food stamps, and home foreclosures continue to reach new record highs. The ugly reality of those numbers was recently on display when 30,000 people showed up to apply for public housing in East Point, GA for 455 available vouchers. Fights broke out, people were fainting from the heat while in line, and riot police showed up to handle the angry poor.
2. Economic dependence: The United States finished 2009 with a debt-to-GDP ratio of 85%, according to the International Monetary Fund (IMF). The current trend projects the United States to finish 2010 at 94% and 2011 at 98%. The 90% level has become the IMF's make-or-break point for countries hoping to grow their way out of debt. If the government debt load climbs above 90% of GDP, economic growth slows so much that growth is no longer a viable solution for reducing that debt, and the IMF insists on austerity measures. Surpassing this debt threshold has also caused China's lead credit rating agency to cut America's credit rating.
3. Declining civil rights: Everyday freedoms are often a casualty of a society in collapse. As the anger of the populace mounts in response to declining economic conditions and political corruption, the government counters by increasing draconian measures that restrict the political rights and civil liberties of its citizens.
America is becoming a country like China, which has one of the lowest scores according to Freedom House. In America, private discussions and movements are monitored, free speech is corralled, the freedom to assemble for protest is by government decree, and independent thought that questions the political system is increasingly looked upon with suspicion. A final indicator is when the government insists upon secrecy for its own actions, while new laws and systems are created to put the individual under nearly constant surveillance.
4. Increasing political corruption: When political corruption becomes the accepted norm, as opposed to the exception, then there's a good bet your country resembles the Third World. Congress and all major institutions face a growing crisis in confidence, where a record-low 11% of the population believe Congress is doing a good job. It now seems obvious to all observers that big corporations directly control the agenda in Washington -- much like typically corrupt Third World countries.
5. Military patrolling the streets: The rise of a militarized police state is a hallmark of most Third World countries, particularly in times of rapid economic collapse. America's declaration of the War on Terror has created a constant threat to National Security that has allowed for the military to be deployed on American soil. Building upon the War on Drugs, this has created a fusion between the military and local police, where military-grade weapons and tactics are being used against American citizens in a cascade of violent confrontations over non-violent offenses. Military checkpoints are moving farther inland, away from meaningful border control functions, and a full-blown military presence in American cities has been planned by the U.S. Army War College.
6. Failing infrastructure: As 46 of 50 states are on the verge of bankruptcy, cities are going dark, asphalt roads are returning to the stone age, and nationwide budget cuts are leaving students without teachers, supplies, or a full-time education. These are common features one will see as they travel through the poorest of Third World countries.
7. Disappearing middle class: During the last presidential debate season, they argued that a family income of $250K was solidly middle-class. Well, Census data shows less than 15% of families make over $100K, and only 1.5% of families make over $250K. The income gap between the rich and poor has increased at a staggering pace, while many more middle-class folks join the ranks of the poor every day. Cavernous income gaps may be what Third-World nations are best known for.
U.S. Dollar Monetary Base8. Devalued currency: The value of the Federal Reserve Note (U.S. dollar) has declined 96% since the inception of the Federal Reserve in 1913. The value of the dollar is based on its supply in circulation and, to a lesser extent, the demand for those dollars. For the last three years, the monetary base has spiked literally off the charts. It can be argued that the dollar has become America's top export as the world's reserve currency, and if the volatile dollar is scrapped, which the U.N. and IMF now suggest, then demand will plummet, killing the currency.
9. Controlling the media: A government-influenced media that censors information is a key component of Third World countries. In some countries it is openly owned by the State. In America, privately-owned major media is not as balanced or as diverse as it seems; the concentration of ownership has led to censorship when national and corporate interests have sometimes overlapped. The persecution of high-profile investigative journalists such as WikiLeaks is set amid a backdrop of the proposed Internet censorship of bloggers who wish to remain anonymous. The end of net neutrality creates a pay-to-play system that can lead to further corporate and government control of information and opinion. Cybersecurity initiatives are the final nail in the coffin, as the entire free flow of information can be vetted in a China-style system of "identity management." On the street, the police state and media control have converged in the recent rise of arrests for those who videotape the police. This is a huge blow to First Amendment rights and the role of photojournalists who wish to document public police behavior.
10. Capital Controls: Many nations have enforced capital controls as their economies collapse. It most recently happened in Argentina and Venezuela as they sought to keep the remaining wealth within their borders. The SEC already has adopted policies to allow money market funds to suspend withdrawals during a financial crisis, while the recent HIRE bill (HR 2487) puts restrictions on Americans moving capital to foreign countries. Some economists suggest that the national debt has gotten so high that the government must now force investment of private capital into U.S. Treasury debt.
Key economic indicators point to a situation potentially worse than the Great Depression. The land of opportunity for so many is devolving into a system of government corruption, corporate looting, and military rule that threatens to sink the American Dream. The capital flight from America has left a dwindling middle class holding an empty bag. This style of underinvestment in the foundation of society is similar to what already has led to the exodus from the rural Midwest. Now, there are ominous signs of a silent exodus of young, intelligent professionals seeking opportunities to realize their dreams outside of America; they are becoming known as Generation Xpat. Lastly, many skilled immigrants have returned to their home countries to seek a better quality of life, which might be the scariest indicator of all.
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This is of course what Baltimore and Maryland have had installed for a few decades----it is the source of open hostility towards anyone expressing progressive policy. You see it is Obama and Clinton neo-liberals pushing harder what Bush neo-conservatives started----THEY ARE THE SAME.
It is important to remember that Wall Street and DeutscheBank targeted Europe and the UK with the same subprime mortgage frauds that took down the US economy in 2008 and Europe has gotten no justice from the massive frauds either. But these banks hit Europe with even more fraud-----sovereign debt fraud----that made the economic collapse deeper. This is why Europe is having a harder time. The sovereign debt fraud is the exact same bond fraud that is happening now in the US thanks to Obama, Congress, and the FED. Obama and neo-liberals created the same conditions for economic crash as Bush did with the subprime mortgage fraud except that this credit bond leverage fraud will be far worse ----it will take the US to the level of economic collapse as Greece. See why they are loading the bond debt and do not want anyone telling the public? Greece was literally sold out by its 'Socialist' leaders just as Americans are by their Bush neo-cons and Clinton neo-liberals----and sent to TROIKA management for austerity just as is happening in the US with Congress ending all of our War on Poverty and NEW DEAL programs. This coming bond crash will literally place most of America into the hands of IMF and global corporations will come in to take control of the government officially. THIS IS WHAT TRANS PACIFIC TRADE PACT IS ABOUT. This is what Baltimore has had in place for decades and it is primed to be the Greece all planned, deliberate, and all fraudulent and criminal. American's will really come out to protest but by then the massive looting of America----like the Russian Perestroika ----will have all those assets overseas. As you see here-----Europeans are holding their own----they are organized and fighting and they may come out of this still having a Democratic developed world society. The US on the other hand has all of its national labor and justice leaders working with the Clinton neo-liberals to create all of these conditions with no educating and not protest. LET'S WAKE UP AND GET ENGAGED-----
WE CAN STILL REVERSE THIS IF EVERYONE KNOWS IT IS ILLEGAL, DELIBERATE, AND CAN BE VOIDED!
Greece: 20,120 Protests in Four Years by Ioanna Zikakou - Apr 25, 2014
Protests appear to have become somewhat of a “national sport” in Greece, after it was revealed that four to five protests have been taking place daily over the last four years.
The Greek Minister of Public Order, Nikos Dendias, provided the House of Parliament with data showing that a total of 20,120 protests have taken place across Greece from when the country first entered the Memorandum 1,420 days ago.
Of these protests alone 6,266 took place in Attica, which means that in the Attica region an average of 4.5 demonstrations are taking place every day.
I want to share articles that address some of the issues I brought up this week that the Maryland Assembly is pushing through its BILLS. Remember, Obama and Clinton neo-liberals consider the MIDDLE CLASS to be upwards of $150,000 to $500,000 and is pretending that neo-liberals are 'saving' Medicare and Social Security for those income groups by pushing the REAL middle/lower class off. All of these Trusts are being eaten by corporate fraud and not the people who paid payroll taxes for these benefits so these affluent 'new middle-class' citizens must understand they are not going to get Social Security or Medicare either. These privatization policies of 'student and disability savings accounts' and the myRA private investment savings account replacing Social Security are telling you Clinton Wall Street global corporate neo-liberals are killing these social programs as fast as Republicans. Who likes all these programs? Republican voters like Medicare and Social Security and probably Disability as much as the Democratic base of Labor and Justice.
THE MARYLAND ASSEMBLY IS BUILDING THE STRUCTURES FOR PRIVATIZED MEDICARE, MEDICAID, SOCIAL SECURITY, HIGHER EDUCATION LOANS, DISABILITY, AND K-12. BALTIMORE POLS LEAD IN DOING THIS BECAUSE THESE ARE JOHNS HOPKINS' NEO-CONSERVATIVE POLICIES.
Obama Seeks Fast Track for Trade Deal That Could Thwart "Almost Any Progressive Policy or Goal"
Friday, 20 March 2015 00:00 By Amy Goodman, Democracy Now! | Video Interview
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Every bond deal in Maryland and Baltimore has the preface that Moodys and S & P have rated Maryland with the AAA ranking and this justifies incredible amounts of debt. Remember as well all this bond leverage it tied to Property Tax----residential property tax because corporations do not pay property tax. As this article below states----rating agencies not tied to the last massive frauds and shown to be criminal----like Moodys and S & P----have already lowered US ratings to AA- a few years ago because of the FED's QE policies. The economic crash will happen when the FED stops this illegal manipulation of inflation and interest rates ----Bernanke pushed just like Greenspan allowing more and more bond fraud to occur so the coming crash will be huge----a Great Depression and he knows he is doing this just as Greenspan did.
While Maryland Assembly and O'Malley pretended Maryland is AAA----it is far worse than the US rating. Moodys did with credit bond leverage what it did with subprime mortgage loans-----gave fraudulent ratings of AAA.
ALL OF MARYLAND'S POLS ARE NEO-LIBERAL AND NEO-CON ARE ARE PLAYING ANYTHING GOES FOR WALL STREET PROFIT.
Remember, the GDP is rising because Obama and Clinton neo-liberals tied Credit Bond Leverage to GDP-----it is crazy stuff.
Monday, 17 September 2012
U.S. Credit Rating Downgraded
Written by Raven Clabough New American
The Federal Reserve has announced that it would begin yet another round of quantitative easing, a maneuver that has caused the independent and nationally recognized statistical rating organization Egan-Jones to lower the United States government to “AA-“ from “AA.” Egan-Jones specifically cited the third round of quantitative easing from the Federal Reserve, indicating it would hurt the U.S. economy and the nation’s credit quality.
In the explanation for the downgrade, Egan-Jones stated, “From 2006 to present, the US’s debt to GDP rose from 66% to 104% and will probably rise to 110% a year from today under current circumstances; the annual budget deficit is 8%. In comparison, Spain has a debt to GDP of 68.5% and an annual budget deficit of 8.5%.”
“We are therefore downgrading the US country rating from “AA” to “AA-,” the company announced.
Egan-Jones continued by addressing the impact that the company believes the next round of quantitative easing will have on the economy:
The Fed’s QE3 will stoke the stock market and commodity prices, but in our opinion, will hurt the US economy and, by extension, credit quality. Issuing additional currency and depressing interest rates via the purchasing of MBS does little to raise the real GDP of the US, but does reduce the value of the dollar (because of the increase in money supply), and in turn increase the cost of commodities (see the recent rise in the prices of energy, gold, and other commodities).
The increased cost of commodities will pressure profitability of businesses, and increase the costs of consumers thereby reducing consumer purchasing power.
In our opinion, QE3 will be detrimental to credit quality for the U.S.
On September 13, the Federal Reserve announced that it will begin a third round of quantitative easing, which entails the printing of more money which is then given to banks to hold or invest in order to increase stock prices.
The Federal Reserve stated September 13 that it is “concerned that, without further policy accommodation, economic growth might not be strong enough to generate sustained improvement in labor market conditions.”
Fed Chairman Ben Bernanke did his best to sell the notion of QE3, stating on September 13 that quantitative easing is not “comparable to government spending.”
Bernanke said the Fed will eventually “normalize its balance sheet by selling” recently-acquired financial assets back into the market.
“The odds are strong that the Fed’s asset purchase programs, both through their net interest earnings and by strengthening the overall economy, will help reduce rather than increase the federal deficit and debt,” Bernanke said.
This latest round of quantitative easing will involve the purchase of $40 billion in mortgage-backed securities by the Federal Reserve, paid for by printing money. The touted intent is to keep mortgage prices low, thereby encouraging people to purchase homes, and increase money circulation in the economy.
The Federal Reserve’s decision to pursue another round of quantitative easing is driven by the same Keynesian logic that has already proven to be detrimental to the economy. And as noted by The New American’s Charles Scaliger, the maneuver seems to indicate that the Federal Reserve is out of touch with the average American. Scaliger explains that most Americans are “too busy struggling to find or keep employment, pay down debts, and avoid foreclosures” to even consider purchasing a home. In the meantime, banks are not inclined to lend out the newly printed money for home purchases or “invest the new money productively.”
Egan-Jones contends that QE3 will not achieve what it is intended to do — raise the real GDP — but will instead reduce the value of the dollar.
Additionally, any efforts by the Fed to push interest rates down to zero “accentuates the negative consequences of this steady erosion in the dollar’s buying power by imposing a negative return on short-term bonds and bank deposits. In effect, the Fed has announced a course of action that will steal — there is no better word for it — nearly 10 percent of the value of Americans' hard earned savings over the next 4 years,” Forbes reported.
The Fed’s third round of quantitative easing has already provoked an increase in stock prices.
Many recognize that quantitative easing will prove to be harmful to the economy by increasing inflation and exacerbating all the existing problems that are currently plaguing the economy. Scaliger explains:
What is likely to result from QE3 is rising prices coupled with stubbornly stagnant unemployment figures. With gasoline again at record highs and grocery costs soaring, inflation is starting take a serious bite at the checkout counter.
A number of experts are in agreement with Egan-Jones’ assessment of QE3. In fact, according to an August survey by CNN Money, 93 percent of investment strategists were opposed to another round of quantitative easing, with 77 percent of economists also in agreement.
This is the second time this year that Egan-Jones has downgraded the credit rating. In April, Egan-Jones downgraded the U.S. credit rating to “AA” from “AA+” with a negative watch. That negative watch meant there was a 50 percent chance that the credit rating would be downgraded within the next three months. In fact, they were the firm that downgraded the U.S. last July even before Standard & Poor's did.
“Regardless of who does the downgrade, you have to pay attention — maybe they’re not as well known, but Egan-Jones has been ahead of the pack for a while,” Joe Saluzzi, co-manager of trading at Themis Trading told CNBC.
The Egan-Jones downgrade came just days after Moody’s warned that it would downgrade the United States’ credit rating if Congress is unable to reach an agreement on the fiscal cliff. According to the Congressional Budget Office, a failure to reach an agreement and permit the spending cuts and tax increases to take effect would send the economy into a recession.
Currently, both Moody’s Investors Service and Fitch give the United States an “AAA” rating, and Standard & Poor's has rated the United States “AA+.” However, all of those ratings have a negative outlook.
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The American people took a few years after the 2008 crash to pay off credit card debt that Wall Street jacked up with 20% interest rates and then turned around and used those credit cards again. Between the home buying and credit cards----this coming economic crash will be so deep and so long---that Americans will be in worse shape. This crash will see no Federal bailouts as Obama never recovered the massive corporate frauds and left $17 trillion and more in national debt. The goal of the global corporations is to soak the US with so much debt just as third world nations are that then go to the IMF for bailout----to hand all control and all public wealth to global corporations ----
Maryland TV runs these subprime auto loan commercials over and over-----they are just like subprime mortgage loans and people losing all their wealth from the last crash are simply trying to have transportation-----getting tied to these subprime loans that will take them deeper into poverty.
THIS IS WHAT YOUR BALTIMORE CITY HALL AND MARYLAND ASSEMBLY POLS DO EVERY DAY THEY ARE IN SESSION. HOW DO THEY LIVE WITH THEMSELVES YOU ASK? THEY ARE SOCIOPATHS!
Consumer debt is soaring. That’s good news (for now).
By Neil Irwin July 8, 2013 WASHINGTON POST
America is starting to re-leverage itself.
That's the implication of new data out Monday afternoon that shows that consumer credit -- credit cards, auto loans, student loans, basically every form of debt other than mortgages -- is rising by leaps and bounds.
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I thank Good Jobs First for shouting how bad these corporate subsidies are because they do not create real jobs.
The reason all of these corporate tax deals are happening is to protect these corporations from the coming economic crash and the revenue that will be needed afterwards will all come from residents of Maryland and not corporations. The American people must demand and elect pols that shout
EVERY STATE MUST HAVE A DOMESTIC ECONOMY DRIVEN BY WORKERS PAID ENOUGH TO BUY THE THINGS FAMILIES NEED TO SURVIVE AND TO LIVE A DEVELOPED WORLD LIFESTYLE.
If your pols are not shouting that your state needs to run on small and regional businesses and global corporations need to go----they are working for global corporate control of your state economy as is happening in Maryland. The first thing Bush neo-con Larry Hogan said when he was handed the Governorship----we need to bring national corporations to Maryland and he is going to push all of the same corporate tax subsidies Clinton neo-liberal O'Malley did that starves state and local government coffers.
THAT IS WHAT ALL OF THIS CREDIT BOND LEVERAGE AND CONSTANT CORPORATE TAX BREAKS IS STRUCTURING----AND IT IS NOT GOOD FOR 90% OF AMERICANS!
States giving billions in 'megadeals' to U.S. employers
By Pamela M. Prah, Pew/Stateline Staff Writer 11:41 a.m. EDT June 20, 2013
A supervisor observes work on the assembly line at a Chrysler plant in Detroit. In 2010, Michigan gave the company state tax credits valued at $1B, one of the state’s 29 "megadeals" in the past 35 years.(Photo: AP)
Michigan has given large tax breaks and subsidies to employers more often than any other state, according to a new report that tallies up state and local "megadeals," or incentive packages worth more than $75 million.
Good Jobs First, which tracks subsidies that state and local governments give to companies, found that Michigan has given 29 such deals to employers in the past 35 years. The state gave Chrysler and General Motors separate deals worth $1 billion each in 2010 and 2009, respectively.
But while Michigan offered "megadeals" most frequently, New York ranked first in overall spending on such giant packages, with $11.4 billion. New York also had the single most expensive deal: In 2007, the New York Power Authority gave aluminum producer Alcoa a 30-year discounted-electricity package worth an estimated $5.6 billion. Washington state had the second largest "megadeal," a $3.2 billion package of tax breaks and other subsidies it gave to Boeing in 2003.
Supporters say such incentives are an effective way to retain or attract employers. "The auto industry has rebounded and factories and new shifts are being added all over Michigan. Of course the incentives from all levels of government helped," said former Michigan Gov. Jennifer Granholm, a Democrat who was governor between 2003 and 2011, when many of the packages were negotiated.
But Good Jobs First argues that these incentives don't always create the jobs promised. And while 45 states disclose some company-specific data from these deals, the information isn't uniform across state lines, making it difficult to evaluate the costs and benefits.
As Stateline's recent Legislative Review reported, one of the biggest recent deals was Oregon's decision to preserve Nike's preferential sales tax treatment for the next 30 years. That agreement, aimed at keeping Nike in the state, is worth an estimated $2 billion to the company, the report said.
Following Michigan, New York had the second most "megadeals," with 23; Ohio and Texas had a dozen each; Louisiana and Tennessee had 11 each; and Alabama, Kentucky and New Jersey all had 10 each, the report said.
Twenty-five of the packages involved relocations, 14 of them from one state to another. Florida this year, for example, awarded Hertz nearly $85 million in incentives to move from New Jersey to Estero, Fla. The remaining 11 deals involved relocations within a single state. For example, in 2011 Illinois gave Sears Roebuck $275 million to move its headquarters from downtown Chicago to a Chicago suburb instead of leaving the state.
Nationwide, since the late 1970s states and localities have spent more than $64 billion on large incentive packages designed to create or retain jobs, according to the report.
In total dollars spent on "megadeals," Michigan ranked second to New York with a total of $7.1 billion. Five states were in the $3 billion range: Oregon, New Mexico, Washington, Louisiana and Texas.
Twenty-nine companies have received two or more "megadeals." General Motors has gotten the most, with 11, followed by Ford with nine, Intel with six and four companies with four each: Boeing, Daimler (including Mercedes), Nissan and Toyota, the report said.
Absent from the report is Wal-Mart, the company that tops the Fortune 500 list. The company has received more than $1.2 billion in taxpayer assistance, according to a separate Good Jobs First account, but its individual deals were worth less than $75 million each and thus didn't qualify for this report.
Stateline is a nonpartisan, nonprofit news service of the Pew Charitable Trusts that provides daily reporting and analysis on trends in state policy.
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If you look below you see all the signs that Maryland is indeed on its way to third world status no matter how many times Maryland media and pols shout statistics that are not true. Maryland has the worst employment, wages never lower, fraud and corruption, media capture and public policy with no public input. Police actions unconstitutional, and global corporations taking more and more control of the economy.
WAKE UP MARYLAND AND AMERICANS----WE CAN STILL TURN THIS AROUND BUT WE NEED EVERYONE EDUCATING AND WE NEED GOOD PEOPLE RUNNING IN ALL DEMOCRATIC PRIMARIES TO GET RID OF CORPORATE POLS!
Monday, August 16, 2010
10 Signs The U.S. is Becoming a Third World Country
Activist Post
The United States by every measure is hanging on by a thread to its First World status. Saddled by debt, engaged in wars on multiple fronts with a rising police state at home, declining economic productivity, and wild currency fluctuations all threaten America's future.
The general designations of the ranking system for world status date back to the 1950s, and have included countries at various stages of economic development. Since the Cold War, the definition has come to be synonymous with repressive countries where a wealthy class of ruling elites segment society into the haves and have-nots, many times capitalizing on the conditions that follow an economic crisis or war.
While much of the world is still mired in poverty, the reduced cost of innovative tools such as computing and connectivity ironically puts traditional Third World countries at the forefront of a new lean-and-mean economy that is based on ideas of empowerment for the disenfranchised. For better or worse, the world is leveling due to Globalism. However, America and other over-leveraged countries face this re-balancing of the globe at a time when they have dwindling resources. We can speculate about who and what is to blame for America's fantastic fall, but for the purposes of this article we shall focus on the obvious signs that the United States is beginning to resemble a Third World country.
30,000 Section 8 wait for 455 vouchers
1. Rising unemployment and poverty: Unemployment numbers, food stamps, and home foreclosures continue to reach new record highs. The ugly reality of those numbers was recently on display when 30,000 people showed up to apply for public housing in East Point, GA for 455 available vouchers. Fights broke out, people were fainting from the heat while in line, and riot police showed up to handle the angry poor.
2. Economic dependence: The United States finished 2009 with a debt-to-GDP ratio of 85%, according to the International Monetary Fund (IMF). The current trend projects the United States to finish 2010 at 94% and 2011 at 98%. The 90% level has become the IMF's make-or-break point for countries hoping to grow their way out of debt. If the government debt load climbs above 90% of GDP, economic growth slows so much that growth is no longer a viable solution for reducing that debt, and the IMF insists on austerity measures. Surpassing this debt threshold has also caused China's lead credit rating agency to cut America's credit rating.
3. Declining civil rights: Everyday freedoms are often a casualty of a society in collapse. As the anger of the populace mounts in response to declining economic conditions and political corruption, the government counters by increasing draconian measures that restrict the political rights and civil liberties of its citizens.
America is becoming a country like China, which has one of the lowest scores according to Freedom House. In America, private discussions and movements are monitored, free speech is corralled, the freedom to assemble for protest is by government decree, and independent thought that questions the political system is increasingly looked upon with suspicion. A final indicator is when the government insists upon secrecy for its own actions, while new laws and systems are created to put the individual under nearly constant surveillance.
4. Increasing political corruption: When political corruption becomes the accepted norm, as opposed to the exception, then there's a good bet your country resembles the Third World. Congress and all major institutions face a growing crisis in confidence, where a record-low 11% of the population believe Congress is doing a good job. It now seems obvious to all observers that big corporations directly control the agenda in Washington -- much like typically corrupt Third World countries.
5. Military patrolling the streets: The rise of a militarized police state is a hallmark of most Third World countries, particularly in times of rapid economic collapse. America's declaration of the War on Terror has created a constant threat to National Security that has allowed for the military to be deployed on American soil. Building upon the War on Drugs, this has created a fusion between the military and local police, where military-grade weapons and tactics are being used against American citizens in a cascade of violent confrontations over non-violent offenses. Military checkpoints are moving farther inland, away from meaningful border control functions, and a full-blown military presence in American cities has been planned by the U.S. Army War College.
6. Failing infrastructure: As 46 of 50 states are on the verge of bankruptcy, cities are going dark, asphalt roads are returning to the stone age, and nationwide budget cuts are leaving students without teachers, supplies, or a full-time education. These are common features one will see as they travel through the poorest of Third World countries.
7. Disappearing middle class: During the last presidential debate season, they argued that a family income of $250K was solidly middle-class. Well, Census data shows less than 15% of families make over $100K, and only 1.5% of families make over $250K. The income gap between the rich and poor has increased at a staggering pace, while many more middle-class folks join the ranks of the poor every day. Cavernous income gaps may be what Third-World nations are best known for.
U.S. Dollar Monetary Base8. Devalued currency: The value of the Federal Reserve Note (U.S. dollar) has declined 96% since the inception of the Federal Reserve in 1913. The value of the dollar is based on its supply in circulation and, to a lesser extent, the demand for those dollars. For the last three years, the monetary base has spiked literally off the charts. It can be argued that the dollar has become America's top export as the world's reserve currency, and if the volatile dollar is scrapped, which the U.N. and IMF now suggest, then demand will plummet, killing the currency.
9. Controlling the media: A government-influenced media that censors information is a key component of Third World countries. In some countries it is openly owned by the State. In America, privately-owned major media is not as balanced or as diverse as it seems; the concentration of ownership has led to censorship when national and corporate interests have sometimes overlapped. The persecution of high-profile investigative journalists such as WikiLeaks is set amid a backdrop of the proposed Internet censorship of bloggers who wish to remain anonymous. The end of net neutrality creates a pay-to-play system that can lead to further corporate and government control of information and opinion. Cybersecurity initiatives are the final nail in the coffin, as the entire free flow of information can be vetted in a China-style system of "identity management." On the street, the police state and media control have converged in the recent rise of arrests for those who videotape the police. This is a huge blow to First Amendment rights and the role of photojournalists who wish to document public police behavior.
10. Capital Controls: Many nations have enforced capital controls as their economies collapse. It most recently happened in Argentina and Venezuela as they sought to keep the remaining wealth within their borders. The SEC already has adopted policies to allow money market funds to suspend withdrawals during a financial crisis, while the recent HIRE bill (HR 2487) puts restrictions on Americans moving capital to foreign countries. Some economists suggest that the national debt has gotten so high that the government must now force investment of private capital into U.S. Treasury debt.
Key economic indicators point to a situation potentially worse than the Great Depression. The land of opportunity for so many is devolving into a system of government corruption, corporate looting, and military rule that threatens to sink the American Dream. The capital flight from America has left a dwindling middle class holding an empty bag. This style of underinvestment in the foundation of society is similar to what already has led to the exodus from the rural Midwest. Now, there are ominous signs of a silent exodus of young, intelligent professionals seeking opportunities to realize their dreams outside of America; they are becoming known as Generation Xpat. Lastly, many skilled immigrants have returned to their home countries to seek a better quality of life, which might be the scariest indicator of all.
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This is of course what Baltimore and Maryland have had installed for a few decades----it is the source of open hostility towards anyone expressing progressive policy. You see it is Obama and Clinton neo-liberals pushing harder what Bush neo-conservatives started----THEY ARE THE SAME.
It is important to remember that Wall Street and DeutscheBank targeted Europe and the UK with the same subprime mortgage frauds that took down the US economy in 2008 and Europe has gotten no justice from the massive frauds either. But these banks hit Europe with even more fraud-----sovereign debt fraud----that made the economic collapse deeper. This is why Europe is having a harder time. The sovereign debt fraud is the exact same bond fraud that is happening now in the US thanks to Obama, Congress, and the FED. Obama and neo-liberals created the same conditions for economic crash as Bush did with the subprime mortgage fraud except that this credit bond leverage fraud will be far worse ----it will take the US to the level of economic collapse as Greece. See why they are loading the bond debt and do not want anyone telling the public? Greece was literally sold out by its 'Socialist' leaders just as Americans are by their Bush neo-cons and Clinton neo-liberals----and sent to TROIKA management for austerity just as is happening in the US with Congress ending all of our War on Poverty and NEW DEAL programs. This coming bond crash will literally place most of America into the hands of IMF and global corporations will come in to take control of the government officially. THIS IS WHAT TRANS PACIFIC TRADE PACT IS ABOUT. This is what Baltimore has had in place for decades and it is primed to be the Greece all planned, deliberate, and all fraudulent and criminal. American's will really come out to protest but by then the massive looting of America----like the Russian Perestroika ----will have all those assets overseas. As you see here-----Europeans are holding their own----they are organized and fighting and they may come out of this still having a Democratic developed world society. The US on the other hand has all of its national labor and justice leaders working with the Clinton neo-liberals to create all of these conditions with no educating and not protest. LET'S WAKE UP AND GET ENGAGED-----
WE CAN STILL REVERSE THIS IF EVERYONE KNOWS IT IS ILLEGAL, DELIBERATE, AND CAN BE VOIDED!
Greece: 20,120 Protests in Four Years by Ioanna Zikakou - Apr 25, 2014
Protests appear to have become somewhat of a “national sport” in Greece, after it was revealed that four to five protests have been taking place daily over the last four years.
The Greek Minister of Public Order, Nikos Dendias, provided the House of Parliament with data showing that a total of 20,120 protests have taken place across Greece from when the country first entered the Memorandum 1,420 days ago.
Of these protests alone 6,266 took place in Attica, which means that in the Attica region an average of 4.5 demonstrations are taking place every day.
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