TYSON HAS LONG BEEN IDENTIFED WITH THE DEMOCRAT PARTY FOR OBVIOUS REASONS.
Tyson Foods Faces Boycott After Firing 1,200 Americans, ‘Would Like to Employ’ 42,000 Migrants - AND BIDEN - MAYORKAS - SCHUMER HAVE USHERED OVER THE BORDER 15 MILLION TO PICK FROM.
"Back during he the financial
crisis of 2008 to 2009, which wiped out trillions of dollars of the wealth and
retirement savings of middle-class families, we put the two major arsonists in
charge of putting out the fire. Former Democratic Sen. Chris Dodd of
Connecticut and former Democratic Rep. Barney Frank of Massachusetts were the
co-sponsors of the infamous Dodd-Frank regulations. Readers will recall that
good old Barney resisted every attempt to reign in Fannie Mae and Freddie Mac
and said he wanted to "roll the dice" on the housing market. That
worked out well"
*
"Wall Street billionaires are pushing a new plan
to swipe the profits of Fannie Mae and Freddie Mac from U.S. taxpayers–and in
the process revive the system of privatized-profits and public-risk that
contributed to the severity of the Great Financial Crisis."
Housing Policy Experts Warn Against Hedge Fund Plot to Seize Fannie Mae and Freddie Mac
A plan to release Fannie Mae and Freddie Mac from government control would recreate the system that delivered private gains to shareholders while putting taxpayers on the line for losses, a group of leading housing policy experts warned Tuesday.
Hedge funds have been shopping a scheme on Capitol Hill that would end the conservatorships of Fannie and Freddie and have them stop handing their profits over to the Treasury. The plan would deliver a huge windfall to investors who own stakes in the two mortgage giants.
While some of inside of the Trump administration are sympathetic to the Wall Street billionaires who would be the biggest beneficiaries of releasing Fannie and Freddie, the plan has run into opposition from housing policy experts on the left and the right who see it as a huge giveaway to the investors.
Breitbart described the plan, developed by the investment bank Moelis & Co, in November:
The Moelis plan stands out as a strikingly bold grab for control of the companies and their profits. It calls for the dividend payments to the Treasury to cease so that the companies can rebuild capital. Shockingly, it also calls for the cancellation of the senior preferred stock altogether–with no compensation for the past risk and future profits currently due to taxpayers. It is as if a company proposed to do a stock buyback by proposing to cancel its shares rather than purchasing them for cash.
This would be an unprecedented giveaway, more akin to government-authorized looting than a “housing finance reform” plan. Even calling it “corporate welfare” would be too generous because the beneficiaries wouldn’t be the companies, which have been prospering under the current arrangement. The beneficiaries would be the owners of the shares of the company, which would receive a massive promotion in the capital structure in exchange for nothing. This is something new–hedge fund welfare.
Taxpayers would surrender an asset–the senior preferred stock–that is expected to return hundreds of billions of dollars, reducing deficits and tax-burdens, over the next decade. And in return they would get nothing except perhaps the gratitude of billionaires.
On Tuesday, some of the most prominent housing policy experts in the U.S. came out against the plan in an op-ed published in the Hill.
Taking advantage of this congressional impasse, several of Fannie and Freddie’s largest investors have banded together to advocate a path out of this state of limbo. Remarkably, however, the path does not lead to a new system as policymakers had intended, but back to the very system we had before the crisis. Yes, the one that nearly took down the economy.
To their credit, the investors recommend retaining some of the reforms that have taken place in conservatorship, such as limits on what Fannie and Freddie can invest in, and higher capital levels. But they would leave untouched the fundamental structural flaw that was the system’s ultimate undoing: the dominance of a duopoly that is too big and too important for the nation ever to let fail.
This makes sense from the investors’ point of view, as Fannie and Freddie’s market power will bring them more profits. But it is absurd from the nation’s point of view.
By once again standing behind the solvency of these two institutions, which taxpayers would have to do for the very reasons we could not let them fail the last time around, we would again give Fannie and Freddie the incentive to take outsized risks.
The op-ed was written by six housing policy experts representing a broad range of political views. They are the former head of Fannie and Freddie’s regulator, Ed DeMarco, the former chief of the Mortgage Banker’s Association, Dave Stevens, Moody’s chief economist Mark Zandi, former McCain campaign economic adviser Doug Holtz-Eakin, Obama administration housing policy adviser Jim Parrott, and Lew Ranieri, the man who is often described as the father of the modern mortgage market.
President Donald Trump is reportedly planning to nominate Mark Calabria to head up the Federal Housing Finance Agency. Calabria, who is currently Vice President Mike Pence’s chief economist, has been sharply critical of the government’s large role in housing finance and the dominance of Fannie and Freddie in the mortgage market. His position on the Moelis plan is not currently known but it is likely to become a focus of his nomination hearing if he gets tapped to be the agency’s head.
THE BANKSTERS’ RENT BOYS & GIRLS IN CONGRESS GATHER ROUND TO UNLEASH
THE WHOLESALE LOOTING OF THEIR BANKSTER PAYMASTERS EVEN MORE….
After eight years of the Dodd-Frank bank “reform,” the American
financial oligarchy exercises its dictatorship over society and the government
more firmly than ever. This unaccountable elite will not tolerate even the most
minimal limits on its ability to plunder the economy for its own personal gain.
“Democrats Move Towards ‘Oligarchical
Socialism,’ Says Forecaster Joel Kotkin.”
NO POL IN
HISTORY SUCKED IN MORE BRIBES FROM BANKSTERS THAN BARACK OBAMA, AND HE DID IT
BEFORE HIS FIRST DAY IN OFFICE.
What did
the Wall Street banksters know that took us so long to find out???
"One of the premier institutions of
big business, JP Morgan Chase, issued an internal report on the
eve of the 10th anniversary of the 2008 crash, which warned that
another “great liquidity crisis” was possible, and that a
government bailout on the scale of that effected by Bush and Obama
will produce social unrest, “in light of the potential impact
of central bank actions in driving inequality between
asset owners and labor."
Obama,
of course, covered up his own role, depicting his presidency as eight
years of heroic efforts to repair the damage caused by the
2008 financial crash. At the end of those eight years, however, Wall
Street and the financial oligarchy were fully recovered, enjoying
record wealth, while working people were poorer than before, a widening
social chasm that made possible the election of the billionaire con man and
Demagogue in November 2016.
“The response of the administration was to
rush to the defense of the banks. Even before coming to power, Obama expressed
his unconditional support for the bailouts, which he subsequently
expanded. He assembled an administration dominated by the interests of
finance capital, symbolized by economic adviser Lawrence Summers and
Treasury Secretary Timothy Geithner.”
BEL AIR
MAXINE WATERS AND HER CRACK ALLEY CONSTITUENTS
WALL
STREET BANKSTERS AND THEIR BOUGHT DEMOCRAT POLS PREPARE FOR THE NEXT WAVE OF
BOTTOMLESS NO-STRING BANKSTER BAILOUTS…
Will this one finish
off the American economy?
*
Considering
her record and documented history of poor ethical and moral fitness, it’s
outrageous that Maxine Waters is up for chair of the ultra-powerful House
Financial Services Committee, which has jurisdiction over the country’s banking
system, economy, housing, and insurance.
"Wall Street billionaires are pushing a new plan to swipe the
profits of Fannie Mae and Freddie Mac from U.S. taxpayers–and in the process
revive the system of privatized-profits and public-risk that contributed to the
severity of the Great Financial Crisis."
*
The Moelis plan stands out as a strikingly bold grab for control of the
companies and their profits. It calls for the dividend payments to the Treasury
to cease so that the companies can rebuild capital. Shockingly, it also calls
for the cancellation of the senior preferred stock altogether–with no compensation for the past risk and future
profits currently due to taxpayers. It is as if a company proposed to do a
stock buyback by proposing to cancel its shares rather than purchasing them for
cash.
*
So will Maxine Waters be the crusading financial
protector of our 401k plans and save America from the next financial bubble?
Well, there will certainly be lots of harassment and shakedowns. But don't
count on her steering us clear of Wall Street excesses. If history is any
guide, Mad Maxine will be way too busy raising money from the people she is now
in charge of regulating. Stephen Moore is a senior fellow at The Heritage
Foundation
*
Waters, who represents some of Los Angeles’ poorest
inner-city neighborhoods, has also helped family members make more than $1
million through business ventures with companies and causes
that she has helped, according to her hometown newspaper. While she and her relatives
get richer (she lives in a $4.5 million Los Angeles mansion), her constituents get
poorer. JUDICIAL WATCH
Wealthy cities and elite zip codes thrived under the slow-moving economic recovery of President Obama while rural American communities were left behind, a study reveals.
The Economic Innovation Group research, highlighted by Axios, details the massive economic inequality between the country’s coastal city elites and middle America’s working class between the Great Recession in 2007 and Obama’s economic recovery in 2016.
Between 2007 and 2016, the number of residents living in elite zip codes grew by more than ten million, with an overwhelming faction of that population growth being driven by mass immigration where the U.S. imports more than 1.5 million illegal and legal immigrants annually.
The booming 44.5 million immigrant populations are concentrated mostly in the country’s major cities like Los Angeles, California, Miami Florida, and New York City, New York. The rapidly growing U.S. population — driven by immigration — is set to hit 404 millionby 2060, a boon for real estate developers, wealthy investors, and corporations, all of which benefit greatly from dense populations and a flooded labor market.
The economic study found that while the population grew in wealthy cities, America’s rural population fell by nearly 3.5 million residents.
Likewise, by 2016, elite zip codes had a surplus of 3.6 million jobs, which is more than the combined bottom 80 percent of American zip codes. While it only took about five years for wealthy cities to replace the jobs lost by the recession, it took “at risk” regions of the country a decade to recover, and “distressed” U.S. communities are “unlikely ever to recover on current trendlines,” the report predicts.
A map included in the research shows how rich, coastal metropolises have boomed economically while entire portions of middle America have been left behind as job and business gains remain concentrated at the top of the income ladder.
(Economic Innovation Group)
(Economic Innovation Group)
Economic growth among the country’s middle-class counties and middle-class zip codes has considerably trailed national economic growth, the study found.
For example, between 2012 and 2016, there were 4.4 percent more business establishments in the country as a whole. That growth was less than two percent in the median zip code and there was close to no growth in the median county.
The same can be said of employment growth, where U.S. employment grew by about 9.3 percent from 2012 to 2016. In the median zip code, though, employment grew by only 5.5 percent and in the median county, employment grew by less than four percent.
“Nearly three in every five large counties added businesses on net over the period, compared to only one in every five small one,” the report concluded.
Elite zip codes added more business establishments during Obama’s economic recovery, between 2012 and 2016, than the entire bottom 80 percent of zip codes combined. For instance, while more than 180,000 businesses have been added to rich zip codes, the country’s bottom tier has lost more than 13,000 businesses even after the economic recovery.
(Economic Innovation Group)
(Economic Innovation Group)
The gutting of the American manufacturing base, through free trade, has been a driving catalyst for the collapse of the white working class and black Americans. Simultaneously, the outsourcing of the economy has brought major wealth to corporations, tech conglomerates, and Wall Street.
The dramatic decline of U.S. manufacturing at the hands of free trade—where more than 3.4 million American jobs have been lost solely due to free trade with China, not including the American jobs lost due to agreements like the North American Free Trade Agreement (NAFTA) and the United States-Korea Free Trade Agreement (KORUS)—has coincided with growing wage inequality for white and black Americans, a growing number of single mother households, a drop in U.S. marriage rates, a general stagnation of working and middle class wages, and specifically, increased black American unemployment.
“So, the loss of manufacturing work since 1960 represents a steady decline in relatively high-paying jobs for less-educated workers,” recent research from economist Eric D. Gould has noted.
Fast-forward to the modern economy and the wage trend has been the opposite of what it was during the peak of manufacturing in the U.S. An Economic Policy Institute studyfound this year that been 2009 and 2015, the top one percent of American families earned about 26 times as much income as the bottom 99 percent of Americans.
John Binder is a reporter for Breitbart News. Follow him on Twitter at @JxhnBinder.
Record high income in 2017 for top
one percent of wage earners in US
In 2017, the top one
percent of US wage earners received their highest paychecks ever, according to
a report by the Economic Policy Institute (EPI).
Based on newly released
data from the Social Security Administration, the EPI shows that the top one
percent of the population saw their paychecks increase by 3.7 percent in 2017—a
rate nearly quadruple the bottom 90 percent of the population. The growth was
driven by the top 0.1 percent, which includes many CEOs and corporate
executives, whose pay increased eight percent and averaged $2,757,000 last
year.
The EPI report is only
the latest exposure of the gaping inequality between the vast majority of the
population and the modern-day aristocracy that rules over them.
The EPI shows that the
bottom 90 percent of wage earners have increased their pay by 22.2 percent
between 1979 and 2017. Today, this bottom 90 percent makes an average of just
$36,182 a year, which is eaten up by the cost of housing and the growing burden
of education, health care, and retirement.
Meanwhile, the top one
percent has increased its wages by 157 percent during this same period, a rate
seven times faster than the other group. This top segment makes an average of
$718,766 a year. Those in-between, the 90th to 99th percentile, have increased
their wages by 57.4 percent. They now make an average of $152,476 a year—more
than four times the bottom 90 percent.
Graph
from the Economic Policy Institute
Decades of decaying
capitalism have led to this accelerating divide. While the rich accumulate
wealth with no restriction, workers’ wages and benefits have been under
increasing attack. In 1979, 90 percent of the population took in 70 percent of
the nation’s income. But, by 2017, that fell to only 61 percent.
Even more, while the
bottom 90 percent of the population may take in 61 percent of the wages, large
sections of the workforce today barely pull in any income at all. For
example, Social Security Administration data found that the bottom 54
percent of wage earners in the United States, 89.5 million people, make an
average of just $15,100 a year. This 54 percent of the population earns only 17
percent of all wages paid in America.
However unequal, these
wage inequalities still do not fully present the divide between rich and poor.
The ultra-wealthy derive their wealth not primarily from wages, but from assets
and equities—principally from the stock market. While the bottom 90 percent of
the population made 61 percent of the wages in 2017, they owned even less, just
27 percent of the wealth (according to the World Inequality Report
2018 by Thomas Piketty, Emmanuel Saez, and Gabriel Zucman).
The massive increase in
the value of the stock market, which only a small segment of the population
participates in, means that the top 10 percent of the population controls 73
percent of all wealth in the United States. Just three men—Jeff Bezos, Warren
Buffet and Bill Gates—had more wealth than the bottom half of America combined
last year.
Wages are so low in the
United States that roughly half of the population falls deeper into debt every
year. A Reuters report from July found that the pretax net income (that is,
income minus expense) of the bottom 40 percent of the population was an average
of negative $11,660. Even the middle quintile of the
population, the 40th to 60th percentile, breaks even with an average of only
$2,836 a year.
As the Social Security
Administration numbers show, 67.4 percent of the population made less than the
average wage, $48,250 a year in 2017, a sum that is inadequate to support a
family in many cities—especially, with high housing costs, health care,
education, and retirement factored in.
For the ruling class,
though, workers’ wages are already too much. The volatility of the stock market
and the deep fear that the current bull market will collapse has made
politicians and businessmen anxious of any sign of wage increases.
In August, wages in the
US rose just 0.2 percent above the inflation rate, the highest in nine years.
Though the increase was tiny, it was enough to encourage the Federal Reserve to
increase the interest rate past two percent for the first time since 2008.
Raising interest rates helps to depress workers’ wages by lowering borrowing
and spending. As the Financial Times noted, stopping wage
growth was “central” to the Federal Reserve’s move.
Further analysis of the
Social Security Administration data shows that in 2017, 147,754 people reported
wages of 1 million dollars or more—roughly, the top 0.05 percent. Their
combined total income of $372 billion could pay for the US federal education
budget five times over.
These wages, however
large, still pale in comparison to the money the ultra-rich acquire from the
stock market. For example, share buybacks and dividend payments, a way of
funneling money to shareholders, will eclipse $1 trillion this year.
Whatever the immediate
source, the wealth of the rich derives from the great mass of people who do the
actual work. Across the United States and around the world, workers, young
people, and students have entered into struggle this year over pay, education,
health care, immigration, war and democratic rights. This growing movement of
the working class must set as its aim confiscating the wealth and power of this
tiny parasitic oligarchy. Society’s wealth must be democratically controlled by
those who produce it.
THE STAGGERING ECONOMIC INEQUALITY UNDER
OBAMA'S ADMINISTRATION SERVING THE BILLIONAIRE CLASS.
THE
ENTIRE REASON BEHIND AMNESTY IS TO KEEP WAGES DEPRESSED AND PASS ALONG THE REAL
COST OF "CHEAP" MEXICAN LABOR TO THE AMERICAN MIDDLE CLASS.
AND IT'S WORKING!
SEN. BERNIE SANDERS
“Calling income and wealth inequality the "great
moral issue of our time," Sanders laid out a sweeping, almost unimaginably
expensive program to transfer wealth from the richest Americans to the poor and
middle class. A $1 trillion public works program to create "13 million
good-paying jobs." A $15-an-hour federal minimum wage. "Pay
equity" for women. Paid sick leave and vacation for everyone. Higher taxes
on the wealthy. Free tuition at all public colleges and universities. A
Medicare-for-all single-payer health care system. Expanded Social Security
benefits. Universal pre-K.” WASHINGTON EXAMINER
YOU THOUGHT OBAMA INVITED
OBAMANOMICS and started the assault on the American middle-class?
NOPE!
“By the time of Bill Clinton’s election in 1992, the Democratic
Party had completely repudiated its association with the reforms of the New
Deal and Great Society periods. Clinton gutted welfare programs to provide an
ample supply of cheap labor for the rich (WHICH NOW MEANS OPEN BORDERS AND NO
E-VERIFY!), including a growing layer of black capitalists, and passed the 1994
Federal Crime Bill, with its notorious “three strikes” provision that has
helped create the largest prison population in the world.”
Clinton
Foundation Put On Watch List Of Suspicious ‘Charities’
The report found that the growth of global inequality has accelerated
sharply since the 2008 financial crisis, as the values of financial assets have
soared while wages have stagnated and declined.
Millionaires projected to own 46 percent of global private wealth by 2019
By Gabriel Black
18 June 2015
Households with more than a million
(US) dollars in private wealth are projected to own 46 percent of global
private wealth in 2019 according to a new report by the Boston
Consulting Group (BCG).
This large percentage, however,
only includes cash, savings, money market funds and listed securities held
through managed investments—collectively known as “private wealth.” It leaves
out businesses, residences and luxury goods, which comprise a substantial
portion of the rich’s net worth.
At the end of 2014, millionaire households owned about 41
percent of global private wealth, according to BCG. This means that
collectively these 17 million households owned roughly $67.24 trillion in
liquid assets, or about $4 million per household.
In total, the world added $17.5
trillion of new private wealth between 2013 and 2014. The report notes that
nearly three quarters of all these gains came from previously existing wealth.
In other words, the vast majority of money gained has been due to pre-existing
assets increasing in value—not the creation of new material things.
This trend is the result of the
massive infusions of cheap credit into the financial markets by central banks.
The policy of “quantitative easing” has led to a dramatic expansion of the
stock market even while global economic growth has slumped.
While the wealth of the rich is growing at a breakneck pace,
there is a stratification of growth within the super wealthy, skewed towards
the very top.
In
2014, those with over $100 million in private wealth saw their wealth increase
11 percent in one year alone. Collectively, these households owned $10 trillion
in 2014, 6 percent of the world’s private wealth. According to the report,
“This top segment is expected to be the fastest growing, in both the number of
households and total wealth.” They are expected to see 12 percent compound
growth on their wealth in the next five years.
Those families with wealth between
$20 and $100 million also rose substantially in 2014—seeing a 34 percent
increase in their wealth in twelve short months. They now own $9 trillion. In
five years they will surpass $14 trillion according to the report.
Coming in last in the “high net
worth” population are those with between $1 million and $20 million in private
wealth. These households are expected to see their wealth grow by 7.2 percent
each year, going from $49 trillion to $70.1 trillion dollars, several
percentage points below the highest bracket’s 12 percent growth rate.
The
gains in private wealth of the ultra-rich stand in sharp contrast to the
experience of billions of people around the globe. While wealth accumulation
has sharply sped up for the ultra-wealthy, the vast majority of people have not
even begun to recover from the past recession.
An Oxfam report from
January, for example, shows that the bottom 99 percent of the world’s
population went from having about 56 percent of the world’s wealth in 2010 to
having 52 percent of it in 2014. Meanwhile the top 1 percent saw its wealth
rise from 44 to 48 percent of the world’s wealth.
In
2014 the Russell Sage Foundation found that between 2003 and 2013, the median
household net worth of those in the United States fell from $87,992 to $56,335—a
drop of 36 percent. While the rich also saw their wealth drop during the
recession, they are more than making that money back. Between 2009 and 2012, 95
percent of all the income gains in the US went to the top 1 percent. This is
the most distorted post-recession income gain on record.
As the Organization for Economic
Co-operation and Development (OECD) has noted, in the United States “between
2007 and 2013, net wealth fell on average 2.3 percent, but it fell ten-times
more (26 percent) for those at the bottom 20 percent of the distribution.” The
2015 report concludes that “low-income households have not benefited at all
from income growth.”
Another report by Knight
Frank, looks at those with wealth exceeding $30 million. The report notes
that in 2014 these 172,850 ultra-high-net-worth individuals increased their
collective wealth by $700 billion. Their total wealth now rests at $20.8
trillion.
The report also draws attention to
the disconnection between the rich and the actual economy. It states that the
growth of this ultra-wealthy population “came despite weaker-than-anticipated
global economic growth. During 2014 the IMF was forced to downgrade its
forecast increase for world output from 3.7 percent to 3.3 percent.”
DICK MORRIS:
On America’s First Family of Crime….. NO! Not
the Bushes again!
Clinton global hucksterism – Selling out America
like they sold out the Lincoln Bedroom.
HILLARY CLINTON: CRONY CLASS’ “Hope
and Change” huckster’s successor!
“I serve Obama’s cronies first, illegals second
and together we will loot the American middle-class to double our figures. It’s
called BAILOUTS! Evita Peron Clinton
At this point, Clinton is
the choice of most multimillionaires to be the next occupant of the White
House. A recent CNBC poll of 750 millionaires found 53 percent support for
Clinton in a contest with Republican Jeb Bush, 14 points better than Obama’s
showing in the 2012 election with the same group.
Sen. Bernie Sanders – America’s answer to Wall
Street’s looting, the war on the American middle-class and jobs for legals!
“At this point, Clinton is the choice of
most multimillionaires to be the next occupant of the White House. A recent
CNBC poll of 750 millionaires found 53 percent support for Clinton in a contest
with Republican Jeb Bush, 14 points better than Obama’s showing in the 2012
election with the same group.”
THE CRONY CLASS:
OBAMACLINTONOMICS
was created by BILLARY CLINTON!
Income inequality grows
FOUR TIMES FASTER under Obama than Bush.
“By the
time of Bill Clinton’s election in 1992, the Democratic Party had completely
repudiated its association with the reforms of the New Deal and Great Society
periods. Clinton gutted welfare programs to provide an ample supply of cheap
labor for the rich (WHICH NOW MEANS OPEN BORDERS AND NO E-VERIFY!), including a
growing layer of black capitalists, and passed the 1994 Federal Crime Bill,
with its notorious “three strikes” provision that has helped create the largest
prison population in the world.”
*
“Calling
income and wealth inequality the "great moral issue of our time,"
Sanders laid out a sweeping, almost unimaginably expensive program to transfer
wealth from the richest Americans to the poor and middle class. A $1 trillion
public works program to create "13 million good-paying jobs." A
$15-an-hour federal minimum wage. "Pay equity" for women. Paid sick
leave and vacation for everyone. Higher taxes on the wealthy. Free tuition at all
public colleges and universities. A Medicare-for-all single-payer health care
system. Expanded Social Security benefits. Universal pre-K.” WASHINGTON
EXAMINER
OBAMA’S WALL STREET and the
LOOTING of AMERICA – SECOND TERM
The
corporate cash hoard has likewise reached a new record, hitting an estimated
$1.79 trillion in the fourth quarter of last year, up from $1.77 trillion in
the previous quarter. Instead of investing the money, however, companies are
using it to buy back their own stock and pay out record dividends.
Megan McArdle Discusses How
America's Elites Are Rigging the Rules - Newsweek/The Daily Beast special
correspondent Megan McArdle joins Scott Rasmussen for a discussion on America's
new Mandarin class.
WHO
REALLY PAYS FOR THE CRIMES OF OBAMA’S CRONY DONORS???
LAST WEEK BARACK OBAMA
CELEBRATED FIVE YEARS OF THE LOOTING BY HIS WALL STREET BANKSTERS… now it’s
back to cutting social programs to pay for all that rape by the 1% he
represents. The following week it will be back to the AMNESTY HOAX to legalize
Mexico’s looting of America and make it legal that Mexicans get our jobs first…
they already do!
As in previous budget
crises under the Obama administration, the events are being stage-managed by
the two corporate-controlled parties to give the illusion of partisan gridlock
and confrontation over principles—in this case, whether to go forward with the
implementation of the Obama health care program—while behind the scenes all
factions within the ruling elite agree that massive cuts must be carried
through in basic federal social programs.
OBAMA’S
CRONY CAPITALISM – A NATION RULED BY CRIMINAL WALL STREET BANKSTERS AND OBAMA
DONORS
Culture of
Corruption: Obama and His Team of Tax Cheats, Crooks, and Cronies
by Michelle Malkin
In her shocking new
book, Malkin digs deep into the records of President Obama's staff,
revealing corrupt dealings, questionable pasts, and abuses of power throughout
his administration.
PATRICK
BUCHANAN
After Obama
has completely destroyed the American economy, handed millions of jobs to
illegals and billions of dollars in welfare to illegals…. BUT WHAT COMES NEXT?
Millionaires
projected to own 46 percent of global private wealth by 2019
By
Gabriel Black
18 June 2015
Households with more than a million (US)
dollars in private wealth are projected to own 46 percent of global private
wealth in 2019 according to a new report by the Boston Consulting
Group (BCG).
This large percentage, however, only
includes cash, savings, money market funds and listed securities held through
managed investments—collectively known as “private wealth.” It leaves out
businesses, residences and luxury goods, which comprise a substantial portion
of the rich’s net worth.
At the end of 2014, millionaire households
owned about 41 percent of global private wealth, according to BCG. This means
that collectively these 17 million households owned roughly $67.24 trillion in
liquid assets, or about $4 million per household.
In total, the world added $17.5 trillion
of new private wealth between 2013 and 2014. The report notes that nearly three
quarters of all these gains came from previously existing wealth. In other
words, the vast majority of money gained has been due to pre-existing assets
increasing in value—not the creation of new material things.
This trend is the result of the massive
infusions of cheap credit into the financial markets by central banks. The
policy of “quantitative easing” has led to a dramatic expansion of the stock
market even while global economic growth has slumped.
While the wealth of the rich is growing at
a breakneck pace, there is a stratification of growth within the super wealthy,
skewed towards the very top.
In 2014, those with over $100 million in
private wealth saw their wealth increase 11 percent in one year alone.
Collectively, these households owned $10 trillion in 2014, 6 percent of the
world’s private wealth. According to the report, “This top segment is expected
to be the fastest growing, in both the number of households and total wealth.”
They are expected to see 12 percent compound growth on their wealth in the next
five years.
Those families with wealth between $20 and
$100 million also rose substantially in 2014—seeing a 34 percent increase in
their wealth in twelve short months. They now own $9 trillion. In five years
they will surpass $14 trillion according to the report.
Coming in last in the “high net worth”
population are those with between $1 million and $20 million in private wealth.
These households are expected to see their wealth grow by 7.2 percent each
year, going from $49 trillion to $70.1 trillion dollars, several percentage
points below the highest bracket’s 12 percent growth rate.
The gains in private wealth of the
ultra-rich stand in sharp contrast to the experience of billions of people
around the globe. While wealth accumulation has sharply sped up for the
ultra-wealthy, the vast majority of people have not even begun to recover from
the past recession.
An Oxfam report from January, for example, shows
that the bottom 99 percent of the world’s population went from having about 56
percent of the world’s wealth in 2010 to having 52 percent of it in 2014.
Meanwhile the top 1 percent saw its wealth rise from 44 to 48 percent of the
world’s wealth.
In 2014 the Russell Sage Foundation found
that between 2003 and 2013, the median household net worth of those in the
United States fell from $87,992 to $56,335—a drop of 36 percent. While the rich
also saw their wealth drop during the recession, they are more than making that
money back. Between 2009 and 2012, 95 percent of all the income gains in the US
went to the top 1 percent. This is the most distorted post-recession income
gain on record.
As the Organization for Economic
Co-operation and Development (OECD) has noted, in the United States “between
2007 and 2013, net wealth fell on average 2.3 percent, but it fell ten-times
more (26 percent) for those at the bottom 20 percent of the distribution.” The
2015 report concludes that “low-income households have not benefited at all
from income growth.”
Another report by Knight Frank,
looks at those with wealth exceeding $30 million. The report notes that in 2014
these 172,850 ultra-high-net-worth individuals increased their collective
wealth by $700 billion. Their total wealth now rests at $20.8 trillion.
The report also draws attention to the
disconnection between the rich and the actual economy. It states that the
growth of this ultra-wealthy population “came despite weaker-than-anticipated
global economic growth. During 2014 the IMF was forced to downgrade its
forecast increase for world output from 3.7 percent to 3.3 percent.”
OBAMA’S CRONY CAPITALISM
A NATION RULED BY CRIMINAL WALL
STREET BANKSTERS AND OBAMA DONORS
After Obama has completely destroyed
the American economy, handed millions of jobs to illegals and billions of
dollars in welfare to illegals…. BUT WHAT COMES NEXT?
“The yearly income of a
typical US household dropped by a massive 12 percent, or $6,400, in the six
years between 2007 and 2013. This is just one of the findings of the 2013
Federal Reserve Survey of Consumer Finances released Thursday, which documents
a sharp decline in working class living standards and a further concentration
of wealth in the hands of the rich and the super-rich.”
"The American phenomenon
of record stock values fueling an ever greater concentration of wealth at the
very top of society, while the economy is starved of productive investment, the
social infrastructure crumbles, and working class living standards are driven
down by entrenched unemployment, wage-cutting and government austerity
policies, is part of a broader global process."
HILLARY CLINTON'S
BIGGEST DONORS ARE OBAMA'S CRIMINAL CRONY
BANKSTERS!
"A defining expression
of this crisis is the dominance of financial speculation and parasitism, to the
point where a narrow international financial aristocracy plunders society’s
resources in order to further enrich itself."
Federal
Reserve documents stagnant state of US economy
21 July 2015
The
US Federal Reserve Board last week released its semiannual Monetary Policy
Report to Congress, providing an assessment of the state of the American
economy and outlining the central bank’s monetary policy going forward. The
report, along with Fed Chair Janet Yellen’s testimony before both the House of
Representatives and the Senate, as well as a speech by Yellen the previous week
in Cleveland, present a grim picture of the reality behind the official talk of
economic “recovery.”
In her prepared remarks to Congress last Wednesday and Thursday, Yellen said,
“Looking forward, prospects are favorable for further improvement in the US
labor market and the economy more broadly.”
She reiterated her assurances that while the Fed would likely begin to raise its
benchmark federal funds interest rate later this year from the 0.0 to 0.25
percent level it has maintained since shortly after the 2008 financial crash,
it would do so only slowly and gradually, keeping short-term rates well below
historically normal levels for an indefinite period.
This was
an expected, but nevertheless welcome, signal to the American financial elite,
which has enjoyed a spectacular rise in corporate profits, stock values and
personal wealth since 2009 thanks to the flood of virtually free money provided
by the Fed.
"But as Yellen’s remarks and the Fed report indicate, the explosion of
asset values and wealth accumulation at the very top of the economic ladder has
occurred alongside an intractable and continuing slump in the real economy."
In her
prepared testimony to the House Financial Services Committee and the Senate
Banking Committee, Yellen noted the following features of the performance of
the US economy over the first six months of 2015:
* A sharp
decline in the rate of economic growth as compared to 2014, including an actual
contraction in the first quarter of the year.
* A
substantial slackening (19 percent) in average monthly job-creation, from
260,000 last year to 210,000 thus far in 2015.
* Declines
in domestic spending and industrial production. In her
July 10 speech to the City Club of Cleveland, Yellen cited an even longer list
of negative indices, including:
* Growth
in real gross domestic product (GDP) since the official beginning of the
recovery in June, 2009 has averaged a mere 2.25 percent per year, a full one
percentage point less than the average rate over the 25 years preceding what
Yellen called the “Great Recession.” * While
manufacturing employment nationwide has increased by about 850,000 since the end
of 2009, there are still almost 1.5 million fewer manufacturing jobs than just
before the recession.
* Real GDP
and industrial production both declined in the first quarter of this year.
Industrial production continued to fall in April and May.
* Residential
construction (despite extremely low mortgage rates by historical standards) has
remained “quote soft.”
*
Productivity growth has been “weak,” largely because “Business owners and
managers… have not substantially increased their capital expenditures,” and
“Businesses are holding large amounts of cash on their balance sheets.”
*
Reflecting the general stagnation and even slump in the real economy, core
inflation rose by only 1.2 percent over the past 12 months.
The
Monetary Policy Report issued by the Fed includes facts that are, if anything,
even more alarming, including:
* “Labor
productivity in the business sector is reported to have declined in both the
fourth quarter of 2014 and the first quarter of 2015.” * “Exports
fell markedly in the first quarter, held back by lackluster growth abroad.”
* “Overall
construction activity remains well below its pre-recession levels.”
* “Since
the recession began, the gains in… nominal compensation [workers’ wages and
benefits] have fallen well short of their pre-recession averages, and growth of
real compensation has fallen short of productivity growth over much of this
period.”
* “Overall
business investment has turned down as investment in the energy sector has
plunged. Business investment fell at an annual rate of 2 percent in first
quarter… Business outlays for structures outside of the energy sector also
declined in the first quarter…”
The report incorporates the Fed’s projections for US economic growth, published
following the June meeting of the central bank’s policy-setting Federal Open
Market Committee. They include a downward revision of the projection for 2015
to 1.8 percent-2.0 percent from the March projection of 2.3 percent to 2.7
percent.
That the US economy continues to stagnate and even contract is indicated by two
surveys released last week while Yellen was testifying before Congress. The Fed
reported that factory production failed to increase in June for the second
straight month and output in the auto sector fell 3.7 percent. The Commerce Department
reported that retail sales unexpectedly fell in June, declining by 0.3 percent.
These statistics follow the employment report for June, which showed that the
share of the US working-age population either employed or actively looking for
work, known as the labor force participation rate, fell to 62.6 percent, its
lowest level in 38 years. During the month, some 432,000 people in the US gave up
looking for a job.
The disastrous figures on business investment are perhaps the most telling
indicators of the underlying crisis of the capitalist system. The Fed report
attributes the sharp decline so far this year primarily to the dramatic fall in
oil prices and resulting contraction in investment and construction in the
energy sector. But the plunge in oil prices is itself a symptom of a general
slowdown in the world economy.
Moreover, a dramatic decline in productive investment is common to all of the
major industrialized economies of Europe and North America. In its World
Economic Outlook of last April, the International Monetary Fund for the first
time since the 2008 financial crisis acknowledged that there was no prospect
for an early return to pre-recession levels of economic growth, linking this
bleak prognosis to a general and pronounced decline in productive investment.
The American
phenomenon of record stock values fueling an ever greater concentration of
wealth at the very top of society, while the economy is starved of productive
investment, the social infrastructure crumbles, and working class living
standards are driven down by entrenched unemployment, wage-cutting and
government austerity policies, is part of a broader global process.
The economic crisis in the US and internationally is not simply a conjunctural
downturn. It is a systemic crisis of global capitalism, centered in the
US. A
defining expression of this crisis is the dominance of financial speculation
and parasitism, to the point where a narrow international financial aristocracy
plunders society’s resources in order to further enrich itself.
While the economy is starved of productive investment, entirely parasitic and
socially destructive activities such as stock buybacks, dividend hikes and
mergers and acquisitions return to pre-crash levels and head for new heights.
US corporations have spent more on stock buybacks so far this year than on
factories and equipment.
The intractable nature of this crisis, within the framework of capitalism, is
underscored by the IMF’s updated World Economic Outlook, released earlier this
month, which projects that 2015 will be the worst year for economic growth
since the height of the recession in 2009.
"Back during he the financial crisis of 2008 to 2009, which wiped out trillions of dollars of the wealth and retirement savings of middle-class families, we put the two major arsonists in charge of putting out the fire. Former Democratic Sen. Chris Dodd of Connecticut and former Democratic Rep. Barney Frank of Massachusetts were the co-sponsors of the infamous Dodd-Frank regulations. Readers will recall that good old Barney resisted every attempt to reign in Fannie Mae and Freddie Mac and said he wanted to "roll the dice" on the housing market. That worked out well"
*
"Wall Street billionaires are pushing a new plan to swipe the profits of Fannie Mae and Freddie Mac from U.S. taxpayers–and in the process revive the system of privatized-profits and public-risk that contributed to the severity of the Great Financial Crisis."
Housing Policy Experts Warn Against Hedge Fund Plot to Seize Fannie Mae and Freddie Mac
A plan to release Fannie Mae and Freddie Mac from government control would recreate the system that delivered private gains to shareholders while putting taxpayers on the line for losses, a group of leading housing policy experts warned Tuesday.
Hedge funds have been shopping a scheme on Capitol Hill that would end the conservatorships of Fannie and Freddie and have them stop handing their profits over to the Treasury. The plan would deliver a huge windfall to investors who own stakes in the two mortgage giants.
While some of inside of the Trump administration are sympathetic to the Wall Street billionaires who would be the biggest beneficiaries of releasing Fannie and Freddie, the plan has run into opposition from housing policy experts on the left and the right who see it as a huge giveaway to the investors.
Breitbart described the plan, developed by the investment bank Moelis & Co, in November:
The Moelis plan stands out as a strikingly bold grab for control of the companies and their profits. It calls for the dividend payments to the Treasury to cease so that the companies can rebuild capital. Shockingly, it also calls for the cancellation of the senior preferred stock altogether–with no compensation for the past risk and future profits currently due to taxpayers. It is as if a company proposed to do a stock buyback by proposing to cancel its shares rather than purchasing them for cash.
This would be an unprecedented giveaway, more akin to government-authorized looting than a “housing finance reform” plan. Even calling it “corporate welfare” would be too generous because the beneficiaries wouldn’t be the companies, which have been prospering under the current arrangement. The beneficiaries would be the owners of the shares of the company, which would receive a massive promotion in the capital structure in exchange for nothing. This is something new–hedge fund welfare.
Taxpayers would surrender an asset–the senior preferred stock–that is expected to return hundreds of billions of dollars, reducing deficits and tax-burdens, over the next decade. And in return they would get nothing except perhaps the gratitude of billionaires.
On Tuesday, some of the most prominent housing policy experts in the U.S. came out against the plan in an op-ed published in the Hill.
Taking advantage of this congressional impasse, several of Fannie and Freddie’s largest investors have banded together to advocate a path out of this state of limbo. Remarkably, however, the path does not lead to a new system as policymakers had intended, but back to the very system we had before the crisis. Yes, the one that nearly took down the economy.
To their credit, the investors recommend retaining some of the reforms that have taken place in conservatorship, such as limits on what Fannie and Freddie can invest in, and higher capital levels. But they would leave untouched the fundamental structural flaw that was the system’s ultimate undoing: the dominance of a duopoly that is too big and too important for the nation ever to let fail.
This makes sense from the investors’ point of view, as Fannie and Freddie’s market power will bring them more profits. But it is absurd from the nation’s point of view.
By once again standing behind the solvency of these two institutions, which taxpayers would have to do for the very reasons we could not let them fail the last time around, we would again give Fannie and Freddie the incentive to take outsized risks.
The op-ed was written by six housing policy experts representing a broad range of political views. They are the former head of Fannie and Freddie’s regulator, Ed DeMarco, the former chief of the Mortgage Banker’s Association, Dave Stevens, Moody’s chief economist Mark Zandi, former McCain campaign economic adviser Doug Holtz-Eakin, Obama administration housing policy adviser Jim Parrott, and Lew Ranieri, the man who is often described as the father of the modern mortgage market.
President Donald Trump is reportedly planning to nominate Mark Calabria to head up the Federal Housing Finance Agency. Calabria, who is currently Vice President Mike Pence’s chief economist, has been sharply critical of the government’s large role in housing finance and the dominance of Fannie and Freddie in the mortgage market. His position on the Moelis plan is not currently known but it is likely to become a focus of his nomination hearing if he gets tapped to be the agency’s head.
THE BANKSTERS’ RENT BOYS & GIRLS IN CONGRESS GATHER ROUND TO UNLEASH THE WHOLESALE LOOTING OF THEIR BANKSTER PAYMASTERS EVEN MORE….
After eight years of the Dodd-Frank bank “reform,” the American financial oligarchy exercises its dictatorship over society and the government more firmly than ever. This unaccountable elite will not tolerate even the most minimal limits on its ability to plunder the economy for its own personal gain.
“Democrats Move Towards ‘Oligarchical Socialism,’ Says Forecaster Joel Kotkin.”
NO POL IN HISTORY SUCKED IN MORE BRIBES FROM BANKSTERS THAN BARACK OBAMA, AND HE DID IT BEFORE HIS FIRST DAY IN OFFICE.
What did the Wall Street banksters know that took us so long to find out???
"One of the premier institutions of big business, JP Morgan Chase, issued an internal report on the eve of the 10th anniversary of the 2008 crash, which warned that another “great liquidity crisis” was possible, and that a government bailout on the scale of that effected by Bush and Obama will produce social unrest, “in light of the potential impact of central bank actions in driving inequality between asset owners and labor."
Obama, of course, covered up his own role, depicting his presidency as eight years of heroic efforts to repair the damage caused by the 2008 financial crash. At the end of those eight years, however, Wall Street and the financial oligarchy were fully recovered, enjoying record wealth, while working people were poorer than before, a widening social chasm that made possible the election of the billionaire con man and Demagogue in November 2016.
“The response of the administration was to rush to the defense of the banks. Even before coming to power, Obama expressed his unconditional support for the bailouts, which he subsequently expanded. He assembled an administration dominated by the interests of finance capital, symbolized by economic adviser Lawrence Summers and Treasury Secretary Timothy Geithner.”
BEL AIR MAXINE WATERS AND HER CRACK ALLEY CONSTITUENTS
WALL STREET BANKSTERS AND THEIR BOUGHT DEMOCRAT POLS PREPARE FOR THE NEXT WAVE OF BOTTOMLESS NO-STRING BANKSTER BAILOUTS…
Will this one finish off the American economy?
*
Considering her record and documented history of poor ethical and moral fitness, it’s outrageous that Maxine Waters is up for chair of the ultra-powerful House Financial Services Committee, which has jurisdiction over the country’s banking system, economy, housing, and insurance.
"Wall Street billionaires are pushing a new plan to swipe the profits of Fannie Mae and Freddie Mac from U.S. taxpayers–and in the process revive the system of privatized-profits and public-risk that contributed to the severity of the Great Financial Crisis."
*
The Moelis plan stands out as a strikingly bold grab for control of the companies and their profits. It calls for the dividend payments to the Treasury to cease so that the companies can rebuild capital. Shockingly, it also calls for the cancellation of the senior preferred stock altogether–with no compensation for the past risk and future profits currently due to taxpayers. It is as if a company proposed to do a stock buyback by proposing to cancel its shares rather than purchasing them for cash.
*
So will Maxine Waters be the crusading financial protector of our 401k plans and save America from the next financial bubble? Well, there will certainly be lots of harassment and shakedowns. But don't count on her steering us clear of Wall Street excesses. If history is any guide, Mad Maxine will be way too busy raising money from the people she is now in charge of regulating. Stephen Moore is a senior fellow at The Heritage Foundation
*
Waters, who represents some of Los Angeles’ poorest inner-city neighborhoods, has also helped family members make more than $1 million through business ventures with companies and causes that she has helped, according to her hometown newspaper. While she and her relatives get richer (she lives in a $4.5 million Los Angeles mansion), her constituents get poorer. JUDICIAL WATCH