Monday, October 1, 2012

The Grand Bargain Of December 2012. Another Round Of Austerity.

There is talk that if Obama wins the elections that he will call a special session of the House and Senate to gut Social Security and other entitlement programs which already have been cut. Up for discussion is raising the retirement age again. A lot of unemployed men and women have been taking early retirement as soon as their unemployment benefits run out. Raising the retirement age cuts the amount of benefits they will receive each month. Reports that American life expectancy is being lowered because of mandatory vaccinations and the increased consumption of Genetically Modified foods would seriously question whether poor people who rely on cheap GMO food to balance their budgets will ever live long enough to retire. For those headed for disability and retirement  there are those Obamacare Death Panels. Might I point out that in Denmark the majority of those euthanized by their doctors did not volunteer to be killed. Most died because the hospital needed to save money or to free a bed for a new patient. Great Britain has a protocol of denying food and water to certain patients. It takes 4 days to die. 130,000 people a year are killed this way each year. The latest was a 22 year-old man. If we projected that UK death toll onto America, which has 5 times as many people, total American  intentional Death Panel deaths would be about 650,000 every year. This would free up a lot of money for Wall Street Bailouts and to fund wars for Israel.
The other scheme to lower retirement benefits as well as union and government pay increases linked to the consumer price index (CPI) is a chain weighted CPI. Currently, the federal government fudges the calculation of increases in consumer prices to reduce the level of both pay raises and benefits as both are tied to CPI increases. Let me explain how the government fudges those numbers before moving on to their new scheme. Currently, the real unemployment rate in America is 25% and the real inflation rate is 10% if you use the formulas government used back in 1980.  The federal government had not raised Social Security benefits for several years and then finally this year adjusted it 3% which amounts to a more than 10% cut. But it is possible to cut estimated inflation even further. It is called a  chain weighted CPI. Currently, the CPI is supposed to measure the basket of goods you bought last year against what those same items would cost this year. But suppose you changed your shopping patterns because you lost your job or retired or had your number of hours at work cut in half or your commissions went to hell. Then the government could change your basket and fudge on what is in the basket as well as what it costs. This gives them two chances to lie to you. They could even claim your cost of living went down.
I recently wrote a piece giving my estimate that by the end of 2013 Hyperinflation would put 280 million Americans nearly at or  below the poverty line. Just think what they could do with a chain weighted CPI when half of the people either cannot afford to eat or take up eating cat and dog food. And that is something your Banker Occupied Government would really like to have in place before they let Hyperinflation rip through America in 2013. As I have said many times in the past, I am expecting a Bretton Woods type conference to devalue the dollar which would double prices or more simply put cut your real wages in half. Suppose you were expecting a pay increase based upon the CPI. If half the people in America could not afford to buy food or buy gas for their cars, then there might not be any substantial chain weighted CPI based union pay increases. And that would be very good for New York bankers. That might not be good for you. But you do not own a bank and cannot cast a vote at a Bilderberg Society meeting.
Another agenda item at this special session could be passing a budget. President Obama signed Continuing Resolution HJ 117  on September 28th. It funds the federal government until March 27th 2013. This is a substitute for the 12 spending bills that did not pass. It might be better for the bankers to pass this in December rather than next year. Inflation and unemployment I guarantee will be higher in 2013. If Food Stamps are funded at a special session of the Congress,  then those 10, 20 or 30 million new applicants will just have to wait until October of 2013 to file an application for something to eat. I have been telling people since high school that the leading cause of inflation is poor people eating too much. It would appear that the New York bankers have finally begun to listen to me.
I have heard that the California ballot initiative to require all food with GMO content be labeled will win by a wide margin. I can guarantee you that a bill to make GMO labeling illegal will be introduced at the very next special session of Congress. It should pass both Houses unless you scream really loud. This will make the voters so angry they might even become activists.
If you remember the 2011 budget deal, Congressman Emanuel Cleaver of Kansas City who was the leader of the congressional Black caucus called it a Sugar Coated Satan Sandwich. It was front loaded with severe cuts to Medicare and Social Security. Those cuts were made by President Obama prior to negotiations. Why?  Paul Craig Roberts said NAFTA (North American Free Trade Agreement) cut Democrats off from their power and funding base in the unions. President Clinton sent 56,000 manufacturing plants and 12 million jobs overseas. America is still losing 23  manufacturing plants a day. Now Goldman Sachs, the Military Industrial Complex, the Pharmaceutical and Oil companies, the trial lawyers and the Zionists are their very best friends. That is why Goldman Sachs has  so many former executives holding powerful positions in Democratic administrations. It explains all those savage cuts being given up by Obama even before he started negotiating with Republicans. And it also explains the lack of party differences on taxes and the failure to prosecute bankers who commit crimes. One other thing Roberts said of importance. Post-industrial society means nothing. If you think about it, it just means you have a lot of unemployed people with no manufacturing base so they are guaranteed to become indentured serfs and to lose World War III.
The unconstitutional Super Congress of 13 did not produce any results, Democrats loaded their 6 members with party fund raisers, minorities and Zionists.The Austerity loaded December special session of Congress of course will include all of the losing and retiring incumbents. These men and women will do whatever their benefactors who make large cash donations to their retirement or offer them or their spouses lucrative no show jobs. This special session does not look good for us. Of these budget cutting schemes I think chain weighted CPI indexing could be the most devastating as I am expecting Hyperinflation to begin within months. Since Obama has demanded that Spain, Portugal and Greece not be kicked out of the Eurozone until after the elections, we could have a couple of hundred trillion dollars in Credit Default Swaps claimed against euro and interest rate losses. CDS are not guaranteed against loss by the people who sold this sham insurance against a loss in the  value of a currency or of a bond. The Banker Occupied Government never did require the bankers to set aside money to actually pay 700 trillion dollars in potential losses. That is what you are there for. The banks separated their CDS in separate corporations that are covered by Federal Deposit Insurance Corporation (FDIC).  Might I point out that the federal government has decided that something evil is coming our way as soon as January because US FDIC bank deposit insurance has been reduced by an undisclosed amount starting in 2103. Get ready for 21st century style bank runs and bank Holidays.
Of course all of this Austerity is counterproductive and actually reduces tax revenue as we can see in Europe. We do not have to go off that Financial Cliff in January or to accept savage budget cuts at that special session in December because all we have to do is to seize the tens of trillions of dollars the bankers stole from us. All of this Austerity is simply there to reduce you to Debt Slavery.
Notes: This is the article I mentioned explaining how Hyperinflation will push most Americans into poverty before the end of 2013.
So What Happens In 2013 When The Number Of Poor In America Goes From 100 To 280 Million?
The Mathematics Of Austerity: Proving Austerity Never Was Even Intended To Work
IMF Economists: ‘We Were Wrong.’ Will Someone Please Tell The Press And The Politicians.’
Holy Holohoax. My Government Wouldn’t Lie To Me.
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