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Rick Santelli Fired Up: 'If It Wasn't for the Tea Party We'd Be Rated Triple-B'
  • Posted on August 8, 2011 at 6:40pm

Rick Santelli — the man whose speech on stimulus and bailouts in February 2009 is credited with helping launch the Tea Party — was fired up in this morning about the lack of leadership in the White House and all the political wrangling around what is really a simple problem- the government spends too much money.

During the CNBC segment, Santelli ripped into the "blame Bush, blame the sun" culture currently on display in the White House. He said it's clear "we all know deep inside no country is the same it was five years ago," and as for stocks going down, "we're already Ralph Cramden on thin ice, now an infant's jumped onto our shoulders."

More than anything else, Santelli was livid about the political accusations that the Tea Party is to blame for the U.S. credit downgrade. Quite to the Contrary, Santelli said, "If it wasn't for the Tea Party, we'd have been rated triple B."

The Santelli portion starts around 3:10 into the clip below, courtesy of CNBC:

http://www.theblaze.com/stories/rick-santelli-fired-up-if-it-wasnt-for-the-tea-party-wed-be-rated-triple-b/

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Tries to evade a Federal Subpoena to open Obama files.

FEDERAL JUDGE ORDERS DIRECTOR OF HEALTH TO APPEAR IN COURT AND SHOW
CAUSE, WHY SHE REFUSES TO COMPLY WITH THE SUBPOENA AND ALLOW
INSPECTION OF OBAMA'S ORIGINAL BIRTH CERTIFICATE ON FILE, WHICH HE,
HIMSELF ALREADY MADE PUBLIC
Posted on | August 8, 2011 | No Comments
Taitz v Astrue motion to show cause
Today, as expected, Loretta Fuddy, director of health, continued
stonewalling
claiming privacy. See attached, scanned filed motion for order to show
cause
Motion was accepted by the US District Court in HI and was assigned to
the chief judge Susan Oke Moulvanney and magistrate Richard Puggliose.
Hearing is set for September 14th, 10 am courtroom 6. This will be
motion to compel and show cause for the director of Health to show
cause to the judge, why she is refusing to comply with the subpoena
and allow inspection of the original birth certificate, claiming
privacy, while Obama has already waived privacy, posting the alleged
birth certificate on line.
Fox news sent a crew. FOX HI reporter Andrew Pereira interviewed me
and my experts at the Health Department and in the Federal Court.
they will be reporting shortly.
Nationally Syndicated talk show host Rusty Humphries came to the
Health department and recorded the interview. He will be reporting on
280 stations.
I got a call from HI Reporter, their main news paper, I will give them
an interview shortly.
I gave an interview to Jerome Corsi, it will be in Net World Daily

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This potus has no bottom to how low he will stoop to defame, denigrate and degrade this country,,,
NOR how far he will go to ensure its destruction~!

http://politicons.net/outrage%E2%80%A6-obama-releasing-classified-osama-raid-mission-details-to-hollywood-to-create-movie-to-help-his-image-in-2012/

OUTRAGE… Obama Releasing Classified Osama Raid Mission Details To Hollywood To Create Movie To Help His Image In 2012


Posted: August 7th, 2011 2:39 PM | Author: Henry D'Andrea

Maureen Dowd, NY Times:

The White House is counting on the Kathryn Bigelow and Mark Boal big-screen version of the killing of Bin Laden to counter Obama's growing reputation as ineffectual. The Sony film by the Oscar-winning pair who made "The Hurt Locker" will no doubt reflect the president's cool, gutsy decision against shaky odds. Just as Obamaland was hoping, the movie is scheduled to open on Oct. 12, 2012 — perfectly timed to give a home-stretch boost to a campaign that has grown tougher.
 
The moviemakers are getting top-level access to the most classified mission in history from an administration that has tried to throw more people in jail for leaking classified information than the Bush administration.
 
It was clear that the White House had outsourced the job of manning up the president's image to Hollywood when Boal got welcomed to the upper echelons of the White House and the Pentagon and showed up recently — to the surprise of some military officers — at a C.I.A. ceremony celebrating the hero Seals.

The movie is scheduled to open on Oct. 12, 2012, a month before the 2012 presidential election. Is anyone going to have the money to go to a movie by 2012?









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Two Kinds of Plunder
... But of what plunder was he speaking? For there are two kinds of plunder: legal and illegal.

I do not think that illegal plunder, such as theft or swindling -- which the penal code defines, anticipates, and punishes -- can be called socialism. It is not this kind of plunder that systematically threatens the foundations of society. Anyway, the war against this kind of plunder has not waited for the command of these gentlemen. The war against illegal plunder has been fought since the beginning of the world. Long before the Revolution of February 1848 -- long before the appearance even of socialism itself -- France had provided police, judges, gendarmes, prisons, dungeons, and scaffolds for the purpose of fighting illegal plunder. The law itself conducts this war, and it is my wish and opinion that the law should always maintain this attitude toward plunder.

The Law Defends Plunder
But it does not always do this. Sometimes the law defends plunder and participates in it. Thus the beneficiaries are spared the shame, danger, and scruple which their acts would otherwise involve. Sometimes the law places the whole apparatus of judges, police, prisons, and gendarmes at the service of the plunderers, and treats the victim -- when he defends himself -- as a criminal. In short, there is a legal plunder, and it is of this, no doubt, that Mr. de Montalembert speaks.

This legal plunder may be only an isolated stain among the legislative measures of the people. If so, it is best to wipe it out with a minimum of speeches and denunciations -- and in spite of the uproar of the vested interests.

How to Identify Legal Plunder
But how is this legal plunder to be identified? Quite simply. See if the law takes from some persons what belongs to them, and gives it to other persons to whom it does not belong. See if the law benefits one citizen at the expense of another by doing what the citizen himself cannot do without committing a crime.

Then abolish this law without delay, for it is not only an evil itself, but also it is a fertile source for further evils because it invites reprisals. If such a law -- which may be an isolated case -- is not abolished immediately, it will spread, multiply, and develop into a system.

The person who profits from this law will complain bitterly, defending his acquired rights. He will claim that the state is obligated to protect and encourage his particular industry; that this procedure enriches the state because the protected industry is thus able to spend more and to pay higher wages to the poor workingmen.

Do not listen to this sophistry by vested interests. The acceptance of these arguments will build legal plunder into a whole system. In fact, this has already occurred. The present-day delusion is an attempt to enrich everyone at the expense of everyone else; to make plunder universal under the pretense of organizing it.

Legal Plunder Has Many Names
Now, legal plunder can be committed in an infinite number of ways. Thus we have an infinite number of plans for organizing it: tariffs, protection, benefits, subsidies, encouragements, progressive taxation, public schools, guaranteed jobs, guaranteed profits, minimum wages, a right to relief, a right to the tools of labor, free credit, and so on, and so on. All these plans as a whole -- with their common aim of legal plunder -- constitute socialism.

Now, since under this definition socialism is a body of doctrine, what attack can be made against it other than a war of doctrine? If you find this socialistic doctrine to be false, absurd, and evil, then refute it. And the more false, the more absurd, and the more evil it is, the easier it will be to refute. Above all, if you wish to be strong, begin by rooting out every particle of socialism that may have crept into your legislation. This will be no light task.

Socialism Is Legal Plunder
Mr. de Montalembert has been accused of desiring to fight socialism by the use of brute force. He ought to be exonerated from this accusation, for he has plainly said: "The war that we must fight against socialism must be in harmony with law, honor, and justice."

But why does not Mr. de Montalembert see that he has placed himself in a vicious circle? You would use the law to oppose socialism? But it is upon the law that socialism itself relies. Socialists desire to practice legal plunder, not illegal plunder. Socialists, like all other monopolists, desire to make the law their own weapon. And when once the law is on the side of socialism, how can it be used against socialism? For when plunder is abetted by the law, it does not fear your courts, your gendarmes, and your prisons. Rather, it may call upon them for help.

To prevent this, you would exclude socialism from entering into the making of laws? You would prevent socialists from entering the Legislative Palace? You shall not succeed, I predict, so long as legal plunder continues to be the main business of the legislature. It is illogical ­ in fact, absurd ­ to assume otherwise.

The Choice Before Us
This question of legal plunder must be settled once and for all, and there are only three ways to settle it:

The few plunder the many.
Everybody plunders everybody.
Nobody plunders anybody.

We must make our choice among limited plunder, universal plunder, and no plunder. The law can follow only one of these three.

Limited legal plunder: This system prevailed when the right to vote was restricted. One would turn back to this system to prevent the invasion of socialism.

Universal legal plunder: We have been threatened with this system since the franchise was made universal. The newly enfranchised majority has decided to formulate law on the same principle of legal plunder that was used by their predecessors when the vote was limited.

No legal plunder: This is the principle of justice, peace, order, stability, harmony, and logic. Until the day of my death, I shall proclaim this principle with all the force of my lungs (which alas! is all too inadequate). [2]

The Proper Function of the Law
And, in all sincerity, can anything more than the absence of plunder be required of the law? Can the law -- which necessarily requires the use of force -- rationally be used for anything except protecting the rights of everyone? I defy anyone to extend it beyond this purpose without perverting it and, consequently, turning might against right. This is the most fatal and most illogical social perversion that can possibly be imagined. It must be admitted that the true solution -- so long searched for in the area of social relationships -- is contained in these simple words: Law is organized justice.

Now this must be said: When justice is organized by law -- that is, by force -- this excludes the idea of using law (force) to organize any human activity whatever, whether it be labor, charity, agriculture, commerce, industry, education, art, or religion. The organizing by law of any one of these would inevitably destroy the essential organization -- justice. For truly, how can we imagine force being used against the liberty of citizens without it also being used against justice, and thus acting against its proper purpose?
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Compromise, D.C.-Style
by Vedran Vuk

With a last-minute debt deal reached, I'm reminded of two holy words in Washington: "compromise" and "bipartisanship." It's amazing that the political elite have so twisted the English language as to lend virtue to these terms. In Washington, these words hold intrinsic value… similar to how "truth" and "honesty" do outside D.C. Unfortunately for the American public, Washington compromises have been and will continue to be the death knell of the U.S. economy – and particularly the free market.

Rarely does compromise ever benefit the small-government side of the argument. Instead, compromise increases the size of the state step by step. For example, suppose the left wants $2 billion for organic school lunches. Of course, the free-market guys are against this bill; they want $0 dollars in extra spending. So, what's the compromise? The two meet at $1 billion.

But this only makes one side better off. In a true compromise, each side would get something. In this case, spending grows by $1 billion, and the small-government side gets nothing from the deal. Future spending was simply reduced from $2 billion to $1 billion. The small-government advocates are further away from their goal than they were prior to the deal. In a way, this really isn't a compromise at all.

One could think of similar examples to prove the point. Suppose someone wanted to put ten drops of arsenic in your food. Does negotiating the person down to five drops improve the situation? No, it doesn't. That's exactly how America has been poisoned over time. Sometimes the dosages are smaller, but it's the same lethal stuff for our long-term fiscal situation.

This happens with regulation as well. Think about the Dodd-Frank Act. The financial industry has been fighting tooth and nail first with Congressmen and now with the government bureaucrats implementing the law to reach a compromise on the particulars of the law. But it's not a compromise where the financials win: Rather, it's a battle to lose less. "The struggle to lose less" has become the definition of a Washington compromise.

A real compromise would involve a tradeoff where both parties gain. For example, regulations could be increased on derivatives, with deregulation occurring in other parts of the financial sector. Trust me; there are plenty of harmful regulations on the books. Each party gains something and trades something else. That's how compromise works in the real world.

But don't expect to see this happen anytime soon – at least not in regard to the free market. In reality, these tradeoffs do happen. However, it works more like this: "I'll sign your war spending bill if you sign my local pork stimulus bill." Sure, that's a real D.C. compromise – and a third party is the real loser, i.e., the American taxpayer.

These kinds of compromises have also allowed the political leaches to bleed your bank accounts. Read this free report to learn all about it and to start profiting from it.

http://www.caseyresearch.com/articles/compromise-dc-style

Decade of Stimulus Yields Nothing But Mountain of Debt; What to Do About It?
Mike "Mish" Shedlock


Is there any kind of stimulus the US did not try in the last 10 years?

  1. We had 1% interest rates from Greenspan fueling housing.
  2. We had wars from Bush and Obama fueling defense industry employment.
  3. We had two rounds of Quantitative easing from the Fed.
  4. We had cash-for-clunkers.
  5. We had two housing tax credit packages.
  6. We had an $800 billion stimulus package from Congress for "shovel-ready" projects.
  7. We had stimulus kickbacks to states.
  8. We had HAMP (Home Affordable Mortgage Program).
  9. We had bank bailouts out the wazoo to stimulate lending.
  10. We had Small Business lending programs.
  11. We had central bank liquidity swaps.
  12. We had Maiden Lane, Maiden Lane II, and Maiden Lane III
  13. We had Single Tranche Repurchase agreements
  14. We had the Citi Asset Guarantee
  15. We had TALF, TARP, TAF, CPFF, TSLF, MMIFF, TLGP, AMLF, PPIP, and PDCF
  16. We had so many programs the Fed must have run out of letters because they were not given an acronym.

That is a partial list. Other than bailing out bondholders what exactly do we have to show for any of it? The one-word answer is "debt".

Decade of Stimulus Yields Nothing But Debt

Bloomberg's Caroline Baum wrote an excellent article on this theme. It was so good I asked if I could reproduce it in entirety.

With permission please consider Decade of Stimulus Yields Nothing but Debt: Caroline Baum

When George W. Bush took up residence in the White House in January 2001, total U.S. debt stood at $5.95 trillion. Last week it was $14.3 trillion, with $2.4 trillion freshly authorized by Congress Tuesday.

Ten years and $8.35 trillion later, what do we have to show for this decade of deficit spending? A glut of unoccupied homes, unemployment exceeding 9 percent, a stalled economy and a huge mountain of debt. Real gross domestic product growth averaged 1.6 percent from the first quarter of 2001 through the second quarter of 2011.

It doesn't sound like a very good trade-off. And now Keynesians are whining about discretionary spending cuts of $21 billion next year? That's one-half of one percent. And it qualifies as a "cut" only in the fanciful world of government accounting.

The Budget Control Act of 2011 will save $917 billion over 10 years relative to the Congressional Budget Office's baseline. It leaves the tough work to a bipartisan congressional committee of 12, to be appointed by the leadership in each house. If this supercommittee fails to agree on a minimum of $1.2 trillion of additional savings over 10 years, automatic spending cuts -- evenly divided between defense and nondefense -- will kick in.

Is there any reason to think the same folks who couldn't agree on a grand bargain this past month will join hands and find commonality in the next three, with one month off for vacation?

Rosy Scenario

Even if the committee agrees on the prescribed savings by Nov. 23 and Congress enacts them by Dec. 23, as required, laws passed today aren't binding on future congresses.

Throw in the fact that revenue and budget forecasts tend to be overly optimistic, and there's even less reason to think Congress has put the U.S. on a sound fiscal path.

In a July 2011 working paper for the National Bureau of Economic Research, Harvard economist Jeffrey Frankel identified a pattern of over-optimism in official forecasts, a bias that gets bigger in outer years. (Who can forget the CBO's 2001 estimate of a 10-year, $5.7 trillion budget surplus?) A fixed budget rule, such as the euro area's Stability and Growth Pact with its mandated deficit-to-GDP ratios, only exacerbates the tendency.

"Political leaders meet their target by adjusting their forecasts rather than by adjusting their policies," Frankel writes.

First Installment

The deal hashed out in Washington at the eleventh hour this week does nothing to curb the unsustainable growth of entitlement spending -- on programs such as Medicare, Medicaid and Social Security. Medicare outlays have risen 9 percent a year for the last 30 years in a period of stable demographics, according to Steven Wieting, U.S. economist at Citigroup Inc. The automatic spending cuts outlined in the budget act would limit reductions in Medicare expenditures to no more than 2 percent a year.

By the end of 2012 or start of 2013, the federal government will be back at the trough with a request for additional borrowing authority. The debt will keep rising, and the ratio of publicly held debt to GDP will increase from 62 percent last year to as much as 90 percent in 2021, according to some private estimates, depending on what Congress does about the expiring tax cuts, the Medicare "doc fix" and the alternative minimum tax.

The CBO's estimate of $2.1 trillion in savings over 10 years is well short of the $4 trillion Standard & Poor's says is necessary to stabilize the debt and avoid a rating downgrade.

'Architectural Change'

No matter. Some prominent Keynesians are advocating more spending now for an economy that is sputtering. Alas, there is little appetite in this country, and less in Congress, for more spending in light of the questionable results. A lost decade doesn't seem like a good return on an $8.35 trillion investment. (For purists, only $6 trillion of the increase was in marketable debt, the kind of good old deficit spending Keynesians love.)

Maybe it's time to try something new and different. In 2002 I wrote a column titled, "How About Some Tax Reform Along With Tax Relief?"

How about it? Get rid of the loopholes. Better yet, scrap the entire tax code, which would decimate the lobbying industry. Implement a flat tax or a national sales tax. The time has come for what former Treasury Secretary Paul O'Neill calls "architectural change."

Can the Code

The current tax code is burdensome, inefficient and costly to administer. O'Neill says it costs the Treasury an estimated $800 billion annually, divided equally between administrative costs and uncollected revenue.

Eliminate the corporate and individual income tax, he says, and replace them with a value-added or consumption tax, with tax refundability for lower-income households.

"We should focus the tax system on raising revenue for the things we as a society need," O'Neill says.

Of course, what society needs is a matter of opinion. Without strong economic growth, the options are more limited, the choices more difficult. Fiscal stimulus can have only a short-term impact. The government taxes or borrows from Peter to pay Paul, reflecting a temporary transfer of resources, nothing more.

What does the nation have to show for chronic short-term thinking and policies like these? Long-term problems and a mountain of debt.

Keynesians Always Want More Stimulus

Baum wrote "Some prominent Keynesians are advocating more spending now for an economy that is sputtering."

She is too polite, but to follow suit I will not name-drop either.

Keynesians always want more stimulus. They claim they don't, but there is never a time any of them ever wanted to run surpluses or even a balanced budget out of fear of ending a nascent recovery or starting a "recession of choice" as one Keynesian clown put it.

More to the point, the idea that government or the Fed can micro-manage the economy stepping in as needed is absurd. Heck the Fed could not even see a housing bubble or a recession and it is supposed to manage the economy?

Look at the supporters of Fannie Mae in Congress. Look at Democrats whining about cutbacks in social programs 100% of the time. They are supposed to run a surplus?

Lesson of Japan

For over 20 years Japan tried Monetarist (various QE and interest rate) stimulus as well as Keynesian (fiscal) stimulus and all it has to show for it is the highest debt-to-GDP ratio of any major country in the word. Rest assured that is going to matter sometime within the next 5 years.

Right now we are following their path and it clearly is not working.

How About We Try Something Different?

I am with Caroline here, how about trying something different like scrapping the tax code?

I will add my standard three ideas 100% guaranteed to help cities and states.

  1. Scrap Davis and all prevailing wage laws
  2. Eliminate collective bargaining of public unions
  3. Institute national right-to-work laws

If you want to try something really radical (yet perfectly sensible), here is an idea that is also guaranteed to help: get rid of the Fed and its perpetual bubble-blowing, moral-hazard, bail-out-the-bondholder policies.



http://globaleconomicanalysis.blogspot.com/2011/08/decade-of-stimulus-yields-nothing-but.html



Al Gore Hissy Fit - Recorded for Our Delight

watch?v=VKiepplqmow

Verbatim Text provided on Michelle Malkin's website:

The model of media manipulation used then [cigarette companies delaying implementation of the surgeon general's report on the hazards of smoking], Gore said, "was transported whole cloth into the climate debate. And some of the exact same people — I can go down a list of their names — are involved in this. And so what do they do? They pay pseudo-scientists to pretend to be scientists to put out the message: 'This climate thing, it's nonsense. Man-made CO2 doesn't trap heat. It may be volcanoes.' Bullshit! 'It may be sun spots.' Bullshit! 'It's not getting warmer.' Bullshit!" Gore exclaimed.

"When you go and talk to any audience about climate, you hear them washing back at you the same crap over and over and over again," he continued. "There's no longer a shared reality on an issue like climate even though the very existence of our civilization is threatened. People have no idea! … It's no longer acceptable in mixed company, meaning bipartisan company, to use the goddamn word climate. It is not acceptable. They have polluted it to the point where we cannot possibly come to an agreement on it."

 

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Why Is the Stock Market Plunging?
Monday, August 08, 2011
by Robert P. Murphy

Investors the world over are still reeling from last Thursday's massive plunge in the US equity markets, in which the major indices all gave up more than 4 percent. It was the worst day for the US stock market since December 2008.

None of this should surprise those conversant with Austrian economics. The "fundamentals" of the economy have been and remain awful because the government and Federal Reserve are consistently doing the wrong things. The apparent recovery, fueled by Bernanke's sheer money creation, has been bogus all along.


Bubble, Bubble, Bubble

For some reason, people still cling to the vague hope that -- at least if we wait long enough -- the market always goes up, and "buy and hold" is a great strategy. Let's look at a long-term chart of the S&P 500:

Figure 1

Does the above chart really look like the US stock market is in store for smooth sailing? Just about everyone except Chicago School economists now recognizes, after the fact, that the United States obviously went through a tech and dot-com bubble in the late 1990s and then a housing bubble a few years later. Is it really so difficult to understand that trillions in government budget deficits over the past few years, coupled with unprecedented inflation by the central bank, have set the economy up for yet another crash?

To recapitulate my argument from a previous article: Alan Greenspan's low-interest-rate policy in the wake of the dot-com crash spawned the housing bubble. Greenspan's Fed didn't actually eliminate the need for a recession, but instead postponed the crisis and made it fester. When reality hit in September 2008, Ben Bernanke was in charge of the Fed and implemented his predecessor's failed approach times ten.

No matter how many pundits and famous economists declare otherwise, Bernanke did not save the day with his interventions. He has simply postponed the day of reckoning yet again, and we can expect the final crisis to be much worse than the mere collapse of a few major investment banks. (The short documentary Overdose makes the case in a chilling fashion.)


Ben Bernanke Engineered the "Recovery," All Right

In a perverse way, the pundits are correct in crediting Ben Bernanke's extraordinary programs for "rescuing" the stock market. If we zoom in on the chart of the S&P 500 and superimpose the monetary base, we can see how closely the two have moved since the crisis began.

Figure 2

Although the above chart shows a decent fit, in reality the stock market responded very quickly to changes in the expectations of Fed expansion. Specifically, the sharp upswing in the S&P 500 in March 2009 coincided with the announcement of the Fed's full strategy for (what we now call) QE1, and the market rally in the late summer of 2010 began as knowledgeable Fed officials made it clearer and clearer that QE2 would kick in after the fall elections.

Of course, those economists who believe Bernanke is engaging in a tight-money policy would point to the above as evidence in their favor -- the Fed just needs to print more, because it's worked twice already! But if one believes that showering trillions of newly created dollars into the financial sector (with the specific aim of bailing out the very parties who made reckless loans and investments during the housing bubble) is not conducive to a healthy recovery, then the booming stock market of the last few years should have been an ominous sign. Note that this isn't 20/20 hindsight; other Austrians and I have been warning that this "recovery" has been bogus all along, and that the stock market could collapse at any time.


Inflation Lifts All Boats

None of the above analysis implies that investors should dump all equities immediately. It is true that the prospects for real economic growth are terrible -- especially in the Western countries -- over the next decade, because of increased regulations and swollen government debt loads. But at the same time, various central banks, especially the Federal Reserve, have been all too willing to create new money as an apparent solution to every crisis. (A case in point was the absurd proposal for the Treasury to issue two trillion-dollar platinum coins to evade the statutory debt ceiling.)

In this environment, someone relying on fixed-income investments (such as private annuities or, heaven forbid, government retirement checks) could be wiped out by massive price inflation. As awful as the US real-estate and stock markets might be in the short and medium run, holding a portion of one's wealth in assets not denominated in fiat currency may turn out to be a very wise defensive move. (The problem with shooting the moon on precious metals is that for all we know the dollar will crash next year and Obama will make it illegal to buy and sell gold.)


Conclusion

The US economy still needs to recover from the festering malinvestments that accumulated during the previous two booms. By pushing interest rates down to zero and bailing out the very people who made such bad financial decisions in the first place, the Fed and Treasury are doing everything they can to exacerbate the problem.

In this volatile world economy, investors can expect continued volatility in the stock market. The only thing we can really be sure of is that the government will use each new crisis to justify further extensions of its power. At some point the feds will probably seize the highly volatile 401(k)s and other stock-market holdings from citizens and replace them with "safe" government annuities.

Knowledge of Austrian economics doesn't render someone an expert investor, but it certainly gives advance warning of the major trends in the economy. Those investors who rely on the Keynesians featured at CNBC think that another stimulus package or QE3 might do the trick.



Robert Murphy is an adjunct scholar of the Mises Institute, where he teaches at the Mises Academy. He runs the blog Free Advice and is the author of The Politically Incorrect Guide to Capitalism, the Study Guide to "Man, Economy, and State with Power and Market," the "Human Action" Study Guide, The Politically Incorrect Guide to the Great Depression and the New Deal, and his newest book, Lessons for the Young Economist.






The News Factor


HUMOR … Farmer witnesses crash of Air Force One

Posted: 08 Aug 2011 05:00 AM PDT

Thanks for the forward David … too funny to keep!! Please copy … paste … forward to your friends! This farmer tells it like it is. A plane crashed on a farm in the middle of rural Michigan.Panic stricken, the local sheriff mobilized and descended on the farm in force. When they got there, the [...]


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Warning: New Synthetic Opiate "Krokodil" Rots Away Flesh

Russians are committing suicide via drug addiction. The country has more heroin users than any country in the world. Now, Russians are turning to a deadly synthetic opiate -- a desomorphine nicknamed "Krokodil" (crocodile) -- which they concoct in their kitchen sink.

No doubt Krokodil will soon arrive on America's shores, if it hasn't already.

H/t my friend Sol.

~Eowyn

A heroin user prepares the drug in Zhukovsky, near Moscow A heroin user prepares the drug in Zhukovsky, near Moscow

Krokodil: The drug that eats junkies

A home-made heroin substitute is having a horrific effect on thousands of Russia's drug addicts

By Shaun Walker - UK's The Independent - June 22, 2011Oleg glances furtively around him and, confident that nobody is watching, slips inside the entrance to a decaying Soviet-era block of flats, where Sasha is waiting for him. Ensconced in the dingy kitchen of one of the apartments, they empty the contents of a blue carrier bag that Oleg has brought with him – painkillers, iodine, lighter fluid, industrial cleaning oil, and an array of vials, syringes, and cooking implements.

Half an hour later, after much boiling, distilling, mixing and shaking, what remains is a caramel-coloured gunge held in the end of a syringe, and the acrid smell of burnt iodine in the air. Sasha fixes a dirty needle to the syringe and looks for a vein in his bruised forearm. After some time, he finds a suitable place, and hands the syringe to Oleg, telling him to inject the fluid. He closes his eyes, and takes the hit.

Russia has more heroin users than any other country in the world – up to two million, according to unofficial estimates. For most, their lot is a life of crime, stints in prison, probable contraction of HIV and hepatitis C, and an early death. As efforts to stem the flow of Afghan heroin into Russia bring some limited success, and the street price of the drug goes up, for those addicts who can't afford their next hit, an even more terrifying spectre has raised its head.

The home-made drug that Oleg and Sasha inject is known as krokodil, or "crocodile". It is desomorphine, a synthetic opiate many times more powerful than heroin that is created from a complex chain of mixing and chemical reactions, which the addicts perform from memory several times a day. While heroin costs from £20 to £60 per dose, desomorphine can be "cooked" from codeine-based headache pills that cost £2 per pack, and other household ingredients available cheaply from the markets.

It is a drug for the poor, and its effects are horrific. It was given its reptilian name because its poisonous ingredients quickly turn the skin scaly. Worse follows. Oleg and Sasha have not been using for long, but Oleg has rotting sores on the back of his neck.

"If you miss the vein, that's an abscess straight away," says Sasha. Essentially, they are injecting poison directly into their flesh. One of their friends, in a neighbouring apartment block, is further down the line.

"She won't go to hospital, she just keeps injecting. Her flesh is falling off and she can hardly move anymore," says Sasha. Photographs of late-stage krokodil addicts are disturbing in the extreme. Flesh goes grey and peels away to leave bones exposed. People literally rot to death.

Russian heroin addicts first discovered how to make krokodil around four years ago, and there has been a steady rise in consumption, with a sudden peak in recent months. "Over the past five years, sales of codeine-based tablets have grown by dozens of times," says Viktor Ivanov, the head of Russia's Drug Control Agency. "It's pretty obvious that it's not because everyone has suddenly developed headaches."

Heroin addiction kills 30,000 people per year in Russia – a third of global deaths from the drug – but now there is the added problem of krokodil. Mr Ivanov recalled a recent visit to a drug-treatment centre in Western Siberia. "They told me that two years ago almost all their drug users used heroin," said the drugs tsar. "Now, more than half of them are on desomorphine."

He estimates that overall, around 5 per cent of Russian drug users are on krokodil and other home-made drugs, which works out at about 100,000 people. It's a huge, hidden epidemic – worse in the really isolated parts of Russia where supplies of heroin are patchy – but palpable even in cities such as Tver.

It has a population of half a million, and is a couple of hours by train from Moscow, en route to St Petersburg. Its city centre, sat on the River Volga, is lined with pretty, Tsarist-era buildings, but the suburbs are miserable. People sit on cracked wooden benches in a weed-infested "park", gulping cans of Jaguar, an alcoholic energy drink. In the background, there are rows of crumbling apartment blocks. The shops and restaurants of Moscow are a world away; for a treat, people take the bus to the McDonald's by the train station.

In the city's main drug treatment centre, Artyom Yegorov talks of the devastation that krokodil is causing. "Desomorphine causes the strongest levels of addiction, and is the hardest to cure," says the young doctor, sitting in a treatment room in the scruffy clinic, below a picture of Hugh Laurie as Dr House.

"With heroin withdrawal, the main symptoms last for five to 10 days. After that there is still a big danger of relapse but the physical pain will be gone. With krokodil, the pain can last up to a month, and it's unbearable. They have to be injected with extremely strong tranquilisers just to keep them from passing out from the pain."

Dr Yegorov says krokodil users are instantly identifiable because of their smell. "It's that smell of iodine that infuses all their clothes," he says. "There's no way to wash it out, all you can do is burn the clothes. Any flat that has been used as a krokodil cooking house is best forgotten about as a place to live. You'll never get that smell out of the flat."

Addicts in Tver say they never have any problems buying the key ingredient for krokodil – codeine pills, which are sold without prescription. "Once I was trying to buy four packs, and the woman told me they could only sell two to any one person," recalls one, with a laugh. "So I bought two packs, then came back five minutes later and bought another two. Other than that, they never refuse to sell it to us, even though they know what we're going to do with it." The solution, to many, is obvious: ban the sale of codeine tablets, or at least make them prescription-only. But despite the authorities being aware of the problem for well over a year, nothing has been done.

President Dmitry Medvedev has called for websites which explain how to make krokodil to be closed down, but he has not ordered the banning of the pills. Last month, a spokesman for the ministry of health said that there were plans to make codeine-based tablets available only on prescription, but that it was impossible to introduce the measure quickly. Opponents claim lobbying by pharmaceutical companies has caused the inaction.

"A year ago we said that we need to introduce prescriptions," says Mr Ivanov. "These tablets don't cost much but the profit margins are high. Some pharmacies make up to 25 per cent of their profits from the sale of these tablets. It's not in the interests of pharmaceutical companies or pharmacies themselves to stop this, so the government needs to use its power to regulate their sale."

In addition to krokodil, there are reports of drug users injecting other artificial mixes, and the latest street drug is tropicamide. Used as eye drops by ophthalmologists to dilate the pupils during eye examinations, Dr Yegorov says patients have no trouble getting hold of capsules of it for about £2 per vial. Injected, the drug has severe psychiatric effects and brings on suicidal feelings.

"Addicts are being sold drugs by normal Russian women working in pharmacies, who know exactly what they'll be used for," said Yevgeny Roizman, an anti-drugs activist who was one of the first to talk publicly about the krokodil issue earlier this year. "Selling them to boys the same age as their own sons. Russians are killing Russians."

Zhenya, quietly spoken and wearing dark glasses, agrees to tell his story while I sit in the back of his car in a lay-by on the outskirts of Tver. He managed to kick the habit, after spending weeks at a detox clinic ,experiencing horrendous withdrawal symptoms that included seizures, a 40-degree temperature and vomiting. He lost 14 teeth after his gums rotted away, and contracted hepatitis C.

But his fate is essentially a miraculous escape – after all, he's still alive. Zhenya is from a small town outside Tver, and was a heroin addict for a decade before he moved onto krokodil a year ago. Of the ten friends he started injecting heroin with a decade ago, seven are dead.

Unlike heroin, where the hit can last for several hours, a krokodil high only lasts between 90 minutes and two hours, says Zhenya. Given that the "cooking" process takes at least half an hour, being a krokodil addict is basically a full-time job.

"I remember one day, we cooked for three days straight," says one of Zhenya's friends. "You don't sleep much when you're on krokodil, as you need to wake up every couple of hours for another hit. At the time we were cooking it at our place, and loads of people came round and pitched in. For three days we just kept on making it. By the end, we all staggered out yellow, exhausted and stinking of iodine."

In Tver, most krokodil users inject the drug only when they run out of money for heroin. As soon as they earn or steal enough, they go back to heroin. In other more isolated regions of Russia, where heroin is more expensive and people are poorer, the problem is worse. People become full-time krokodil addicts, giving them a life expectancy of less than a year.

Zhenya says every single addict he knows in his town has moved from heroin to krokodil, because it's cheaper and easier to get hold of. "You can feel how disgusting it is when you're doing it," he recalls. "You're dreaming of heroin, of something that feels clean and not like poison. But you can't afford it, so you keep doing the krokodil. Until you die."

Some of the names in this story have been changed

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I wonder if this is one of those shovel ready jobs skippy was talking about?

 

An American small Biz owner has  just started his own business in Afghanistan. He's making land mines that look like prayer mats. It's doing well.

Hmm, big band. Me like big bang.

follow me.

 

 

 

 

Almost there.

He says prophets are going through the roof.    Groan. Totally Non PC  Just the way I like it. this should bring some nice comments. :D

~Steve~                                             H/T  my partner.. :D  Miss May.

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CAP News
Ryan Seacrest, Bravo Create Imam 'Jersey Shore'
Ryan Seacrest, Bravo Create Imam 'Jersey Shore'

DETROIT (CAP) - Fresh off their announcement of a new reality show, Shahs Of Sunset, featuring wealthy, wayward Persian Americans in California, Ryan Seacrest and Bravo have announced that next year, they'll be moving the concept to the Midwest with a new demographic: Imam Americans.

The Real Housewives network announced this week that it was developing a show with Seacrest tentatively titled Imams Of Dearborn that will document Dearborn, Michigan's colorful Muslim cleric community.

"The series will offer rich characters and relatable storylines about everyday life - love, work, friendship, ritual prayers, fasting, making sure their wives' hair isn't showing - steeped in a diverse culture, which is wildly entertaining and fun," Seacrest said in a statement. "Except when it's misused as an excuse to justify Islamic terrorism, which is admittedly less fun."

Dearborn is home to as many as 30,000 people of Arab ancestry, many of whom attend the Islamic Center of America, North America's largest mosque. The area has also attracted hundreds of Imams, many more than there are congregations to accommodate them.

As a result, many of them spend their time hanging around the shores of Lake Erie lifting weights, having Qur'an recitation contests and whistling at women in burkas. It's this lifestyle the series hopes to capture, according to Bravo.

"Armed with flowing robes, scraggly beards and designer skullcaps, they've got it and they're not afraid to flaunt it," Bravo said in a statement, while adding that the group also "knows the value of family and tradition, especially if that tradition happens to involve multiple subservient wives."

"Also, watch the hilarity that ensues when they're taken off flights and strip searched at Detroit Metro Airport!" the statement continues.

According to Seacrest, the characters "The Testamentation" and "Burki" featured in promos for the show are played by actors, but that he was sure the actual clerics and their families would be just as colorful and interesting.

"And you can bet that we're going to do our darndest to find ones we can call The Testamentation and Burki," he added.

Critics are skeptical, noting the failure of the 2009 Rachael Ray vehicle So You Think You're A Terrorist and al Qaeda's 2010 declaration of responsibility for Jay Leno. "Muslims and TV just don't mix," said Washington Post TV critic Tom Shales, noting that the networks would be much wiser to do more shows based on Twitter feeds.

And some leaders in the Muslim community have also objected to the show's concept. "I think we can safely say that a depiction of Muslims, particularly Muslim clerics, as lakeside slacker party animals is not what America needs right now," said Rasoolullah Mohammed of the American Society of Muslims. "It's just as insulting and offensive as when Tiger Woods converted to Islam for the virgins."

Asked what he thought about Seacrest's other new idea for a show, Rabbis Of Miami Beach, in which Jewish Rabbis lift weights, have Torah recitation contests and cluck at women in yarmulkes, Mohammed responded, "Oh, heh - that one's pretty hilarious."
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