30 Reasons Why People Should Be Getting Really Nervous About The State Of The U.S. Economy
The same long-term trends that were ripping the U.S. financial system apart a month or two ago are still continuing to do so. Millions upon millions of American families are still deeply suffering. So exactly what in the world is going on here? Well, this is what is known as a “sucker’s rally”. Those on the inside know better than to throw money at this market. In fact, corporate insiders are now selling off stock so fast you would think it is going out of style.
Meanwhile, hordes of innocent rubes are jumping back into the stock market thinking that it is the perfect time to get in.
The truth is that these “good times” are only temporary. Don’t get used to them. The following are 30 reasons why people should be getting really, really nervous about the state of the U.S. economy….
Bernanke’s QE 2 Will Sink Just Like The Titanic
Their stated goal is to boost the economy and create jobs. However, since economic growth cannot be achieved by printing money, their QE 2 will sink just as surely as the Titanic.
Worse still, by keeping rates too low, the Fed has enabled the US government to grow significantly larger than it otherwise could had its borrowing been restrained by higher rates. Absent these low rates, Washington likely wouldn’t
have passed expensive new healthcare and financial regulation reforms; they would be too busy trying to keep the lights on in the Capitol.
Higher interest rates and a commitment from the Fed to refrain from purchasing Treasury debt would force the government to dramatically reduce spending. If we combine less government spending with fewer regulations, reform our tax code in a way that stops punishing savings and investment, stop all government subsidies for real estate so that prices can fall to affordable levels, and allow all insolvent entities to fail, then a real recovery will take hold.
Why Is Indiana Putting Armed Security Guards Into 36 Unemployment Offices Across The State?
Did you ever think that things in America would get so bad that we would need to put armed guards into our unemployment offices? Well, that is exactly what is happening in Indiana.
So is America going to become an armed camp where the people and institutions with money are protected by armed guards from the hordes of frustrated unemployed workers that can’t feed themselves or their families?
Americans are certainly not in a good mood about the economy. According to a recent poll conducted by CNBC, 92 percent of Americans believe that the performance of the U.S. economy is either “fair” or “poor”.
Foreclosuregate Explained: Big Banks on the Brink
Banks are in a big pickle. If they can prove they own the title to properties they want to foreclose on, they are liable to the IRS for unpaid taxes and penalties. If they don’t, the are liable to be sued by bond holders for lack of due diligence in the bundled mortgages they sold to investors.
A Real Estate Mortgage Investment Conduit is what the name implies – an empty pipe that allows banks to collect fees as trustees of MBS’ without owning any of the assets that back them. It also allows them to avoid taxes and title transfer fees since they only pass through titles to property held as collateral for the MBS’ they sell.
New Hidden Missile System Unknown To Feds
The promotional video for the Club K Missile system is part of the marketing campaign by a private, Russian-based weapons manufacturer. The cruise missile system is hidden in a 40-foot shipping container. It can fire four long range satellite-guided missiles from a ship, train or tractor-trailer.
“To look at an entire weapons system that can be put on a cargo ship and deployed is frightening,” said Brent Brown an international security consultant, “It is a pretty devastating piece of technology that could have all kinds of collateral damange.”