The cost of Ever-Increasing Federal Regulation.
National Policy Digest, May 21, 2012. Regulatory
costs estimated by the Competitive Enterprise Institute are $1.75 trillion
annually and are equivalent to over 48 percent of the level of federal
spending itself. Regulatory compliance costs dwarf corporate income taxes
($198 billion), exceed individual income taxes ($956 billion) and even
surpass pretax corporate profits ($1.3 trillion). The 2011 Federal Register
finished at 81,247 pages, just shy of 2010's all-time record-high 81,405
pages. Agencies issued 3,807 final rules in 2011, a 6.5 percent increase
over 3,573 in 2010. These costly regulations do not only hit companies that
can afford them -- 822 of those 4,128 regulations in the works would affect
small businesses. Note: No one denies some regulations are needed.
However, most federal regulations are not needed and are putting the entire
U.S. economy at risk. With nearly 1000 new regulations every year affecting
small businesses, is it any wonder it is becoming impossible for small
businesses to stay in business?
What is Behind the Fall of Germany's Eco-Minister?
The Global Warming policy Foundation, May 17, 2012.
Norbert Röttgen was the
face of Germany’s green energy transition. That is until he was sacked by
Angela Merkel. Röttgen
aligned himself with a green goal, which can be stated politically, but
which cannot be reached technically. He is the first political victim of the
green energy transition - he will almost certainly not be the last.
for his sacking is the looming failure of the green energy transition. It
just doesn't work. Note: Just a few months after Britain's energy
secretary Chris Huhne was forced to step down, in part because of his
zealous support of alternative energy, Germany's
Röttgen was fired because economically viable
technology does not exist for wind and solar energy. Yet, Obama, Biden and
Gore continue to proclaim we must ramp up our support of green energy if we
want to maintain leadership in the industry. Leadership in what? Apparently
leadership in failure.
Incredible Evidence the U.S. and Europe Are Making a
Horrible Mistake. The
Daily Crux, May 9, 2012. This is long, but
important! While most countries in Europe borrowed massively to
get out of its recession, Sweden's finance minister Anders Borg did not. His
mission has been to pare back government. His 'stimulus' was a permanent tax
cut. To critics, this was fiscal lunacy. Borg, on the other hand, thought
lunacy meant repeating the economics of the 1970s and expecting a different
result. Three years on, it's pretty clear who was right. "Look at Spain,
Portugal, or the UK, whose governments were arguing for large temporary
stimulus," he says. "Well, we can see that very little of the stimulus went
to the economy. But they are stuck with the debt." Tax-cutting Sweden, by
contrast, had the fastest growth in Europe last year, when it also
celebrated the abolition of its deficit. He continued to cut taxes and cut
welfare-spending to pay for it. He even cut property taxes for the rich to
lure entrepreneurs back to Sweden. GDP growth rates for Sweden vs. the U.S.
from 2002 to 2011, and shows that Sweden's economy has outperformed the U.S.
economy over the last ten years by 0.8% per year on average. Over the last
two years (2010 and 2011), Sweden's real GDP growth has averaged 5%, or more
than twice the U.S. average of 2.35%, and provides evidence that Sweden's
supply-side approach to the 2007-2009 recession has been more successful
than the demand-side Keynesian approach in the U.S. Note: What more
can we say?!
Europe Burns—China Falters.
S&A Digest, May 14, 2012 (This is a members only site).
The European monetary
union in its current form is doomed. Greece is a basket case. Nearly
everything the politicians tell the public is a lie. Nearly everything the
public expects ("free" health care, lavish pensions) is a delusion.
Considering all this, the
euro is declining. It just reached its lowest low against the dollar in four
months. This recent decline has breached the 1.29 level… and the euro is
near its January low. It looks like the next leg of its bear market is
At the same time China is once again showing cracks in its economic outlook.
It could be very serious, but there is still mixed opinions on what is
happening. Note: As readers you know that there was never a time in
the past year that the euro and EU might weather the financial tornado they
are caught up in. All the rosy reports from the mainstream media were
basically wishful thinking or outright lies.
Green Power Failure.
Financial Times, May 11, 2012. Denmark, an early adopter of the
global-warming mania, now requires its households to pay the developed
world’s highest power prices — about 40¢ a kilowatt hour, or three to four
times what North Americans pay today (12¢ in U.S.). Germany, whose
powerhouse economy gave green developers a blank cheque, is a close second,
followed by other politically correct nations and distressed nations such as
Spain. Even in rock-solid Germany, up to 15% of the populace is now believed
to be in “fuel poverty” — defined by governments as needing to spend more
than 10% of the total household income on electricity and gas. Some 600,000
low-income Germans are now being cut off by their power companies annually,
a number expected to increase as a never-ending stream of global-warming
projects in the pipeline wallops customers. In the U.K., which has laboured
under the most politically correct climate leadership in the world, some 12
million people are already in fuel poverty (>25%). Note: In the past we have
shown why man cannot be causing global warming. Yet, the agenda of creating
global governance keeps governments imposing more and more draconian actions
to stop a non-existent problem at the expense of citizens.
these socialist citizens are now balking.
All (but one) of the Above. What's Up With That?
May 11, 2012. Obama's "All of the Above" so-called energy policy posted on
the web has a graphic showing the sources of our energy, with solar and wind
making up an equal portion when it is only 3% of the total. However, there
was a huge source of energy that was missing; coal. It wasn't even
mentioned. Yet coal gives us 46% of all our electricity. When the White
House received an avalanche of complaints, it relented and included, not
coal, but "clean coal." The technology for producing clean coal is
not even developed yet. Future cost estimates put it at $761 per ton
compared to $46 to $52/ton today. That's 17 to 14 times the current price!
That's "staggeringly, wildly, mind-blowingly higher than any other
conceivable measure designed to cut greenhouse-gas emissions.” Yet, that is
exactly what Obama promised to do in 2008 when campaigning for president.
Obama has revoked previously granted permits to mine coal and the new EPA
regs will prevent any new coal-fired electrical producing plants from being
built. Note: The lack of inclusion of coal in the Obama plan is a
common tactic of progressive ideology to change reality into whatever they
want. They hate coal, so by leaving it out of any plans, it theoretically
ceases to exist. Except coal does exist and to eliminate it will have
unbelievably harsh consequences. That doesn't seem to bother them. To hell
with the American people. They know what is best!
Biggest Question: Will Germany Adjust or Will the Euro
Die? The Daily Bell, May 9,
2012. What happens to the euro and
the EU primarily depends on Germany now. The
disastrous chain of events has essentially discredited the entire crisis
policy imposed on Europe by Germany. Combined fiscal and monetary
contraction has pushed much of southern Europe into a deflation "death
spiral", pulling the rest of Europe down with a delay. Even The Netherlands
is now in deep recession ... The EU institutions are slipping out of
Germany's control. The
election of François Hollande in France has radically altered Europe's
balance of power, and popular fury has done the rest across a string of
democracies. For 60 years, the
elites that want to run the world formally have patiently built up the EU
using all sorts of rhetorical tricks. At no time was it ever admitted that
the primary purpose of the EU was to create a kind of Charlemagne's Empire
that would serve as a building block of a new global order. But that was the
plan – evidently and obviously. And now "push has come to shove" and the
elites are faced with turning an unruly political pact into a real US-style
nation-state. Note: It is becoming increasingly likely after unraveling for
a year that the entire EU/euro structure will collapse. The question is now
shifting from "if" to "when?"
European Shares Slide Amid Greek Worries.
Fox Business News, May 8, 2012. The election of the Left Coalition party to
power which opposes the country's EU/IMF bailout austerity requirement is
very troubling to the EU. Athens General Index was down 0.7 percent after
falling 7 percent on Monday, while France's Credit Agricole , which owns
Greek bank Emporiki, fell 2.3 percent. "If the IMF stops paying Greece,
that's a country in starvation," says Justin Haque with Hobart Capital
Markets. The same fears are felt for France after it elected Socialist
Francois Hollands in an effort to reject austerity being discussed by .
France's CAC-40 index was down 1.8 percent. Note: The rejection of any
austerity measures by Greek and French citizens in order to weather the
financial crisis they heaped on themselves by social spending does not bode
well for the EU in general. They have been told the gut-wrenching economic
catastrophe that would result if they didn't get rid of the socialist
policies that were destroying them. They apparently didn't believe the
warnings. Will U.S. citizens be as deluded? Everything indicates they will.
So Long, US Dollar.
Casey Research, April 25, 2012. More
than a year ago, the Russia and China moved away from the U.S. dollar and
have been using rubles and renminbi to trade with each other since. A few
months ago the second-largest economy on earth – China – and the
third-largest economy on the planet – Japan – followed suit, striking a deal
to promote the use of their own currencies when trading with each other. The
BRICS nations (Brazil, Russia, India, China, and South Africa) are doing the
same. Many other similar arrangements are being pursued. This weakens the
U.S. dollar as the world's reserve currency and it may soon hit the tipping
point at which point the value of the dollar will fall to zero. Note:
We have been warning of this for over a year. It is not imminent, but is
inevitable if we don't stop borrowing and increasing our national debt. The
only way that will happen is we throw the progressives out of office in
November and slash the federal government.
US Hiring Slows Sharply with Just 115K Jobs Added.
Fox News, May 4, 2012. US
unemployment rate fell to 8.1 percent, but only because more people gave up
looking for work. The Labor Department said Friday that the economy added
just 115,000 jobs in April. That's below March's upwardly revised 154,000
jobs and far fewer than the pace from earlier this year. But last month's
decline was not due to job growth. The government only counts people as
unemployed if they are actively looking for work. In April, the percentage
of adults working or looking for work fell to the lowest level in more than
30 years. At least 125,000 new jobs/month are needed to keep pace with
population growth. Note: Although it is too soon to be sure, the U.S.
may be heading back into recession like Europe, because of the cloud of
uncertainty created by Obama's policies and the fear of an EU meltdown.
Meanwhile U.S. media is telling Americans, "Don't Worry, Be Happy!"
Italy's Unicredit Continues It's Slide.
S&A Digest, May 2, 2012. (This is a members only site)
Shares of UniCredit, our
proxy for beleaguered European banks, fell more than 5%. Trading was halted
to stem the bleeding. We first started covering UniCredit in March 2010.
(For the full story, you can read Porter's issue from that month here.)
UniCredit is one of Italy's largest banks. It has already borrowed $300
billion from other European banks. And Italy's government already owes
creditors more than 120% of GDP. If there's a run on the bank, the losses
will be too big for Italy to handle without a huge international bailout.
It's a disaster… And there's no easy way out. Note: Along with
Spain's unraveling, the EU is getting closer and closer to the cliff whereby
the two nations and their banks are too big to save.
Green Corruption: Dept. of Energy "Junk Loans" and
Cronyism, Part One. EPA
Abuse, May 1, 2012. Gene Koprowski of The
Daily Caller unleashed the most outrageous part of the House Oversight’s
investigation –– “Obama energy officials funded solar firms despite ‘junk
bond’ ratings from S&P and Fitch.” Koprowski detailed the Department of
Energy’s (DOE) lack of caution in backing hundreds of millions of dollars in
loans for “tainted solar power projects.” Also documented are “other
dramatic abuses at the green energy firms,” the most egregious being those
firms which, received DOE funding, went bankrupt, “but not before paying
their executives bonuses.” Note: We have long said that this kind of
government intrusion into what should be left to the private market opens
the door wide open to corruption. We are not surprised. It will only get
Spanish Default Would Send US Stocks Plunging 20%.
MoneyNews.com, May 1, 2012. A Spanish default, which is increasingly likely,
will send U.S. stock markets falling as much as 20 percent, says economist
Harry Dent, author of "The Great Crash Ahead." "Spain is going to default.
The markets are in total denial on this," Dent tells CNBC. "It’s a question
of whether it’s going to happen sooner or later." Unemployment in Spain has
hit a sky-high 24.4 percent, yet Spanish authorities insist pain today will
lead to a more robust and streamlined economy tomorrow. Note: The EU banks
took a 50 to 70% loss on Greece's default that was made up by the ECB
printing money out of thin air (quantitative easing). Spain's 709 euro
sovereign debt is more than the ECB can bail out. It's the IMF to the rescue
or default. Guess who the IMF depends on to raise money? US.
Spain's Collapse Is No Little Thing. The Daily Bell. April 27, 2012. Spain's financial
situation continues to worsen. S&P downgrades it to BBB+ with a serious warning. For well over
a thousand years, Spain has been at the epicenter of Europe and its fate has provided a
bellwether for Europe's larger situation. And whither Europe goes, so goes the West. Spain's
problems go well beyond bank borrowing, which is probably an increasingly unlikely scenario in
size anyway. The problems in Spain are both deep and pernicious – as are the difficulties the
rest of the PIGS in Southern Europe are subject to. Austerity is causing riots like the rest of the
PIIGS nations. The youth are fleeing Spain for better pastures elsewhere. Regional conflicts are
growing more tense. Note: Spain continues to worsen, as is Italy's. Riots are common. But we
are not being told because it could cause panic in the US.
Jim Rogers: Bernanke Has Never Been Right, Inflation Will Get Worse.
MoneyNews.com, April 27, 2012. (Posts are infrequent because of heavy travel schedule).
International investor Jim Rogers thinks a wave of inflation is coming to the United States.
“[Fed Chairman Ben] Bernanke and the Fed have zero credibility,” he tells Marketwatch.
“Bernanke has never been right about anything.” As a result, inflation will get out of control,
Rogers says. Consumer prices rose 2.7 percent in the year through March. We have inflation
in the U.S., and it’s going to get worse,” Rogers says. And the Fed won’t be able to do
anything about it. “They’ve printed staggering amounts of money. They’ve taken staggering
amounts of debt on their balance sheet. Much of it is garbage,” Rogers says. Note: Another
warning. Things continue to get much worse in Europe, but we are not being told.
Evidence of Nearby Supernovae Affecting Life on Earth.
WattsUpWithThat, April 24, 2012. After years of effort Svensmark shows how
the variable frequency of stellar explosions not far from our planet has
ruled over the changing fortunes of living things throughout the past half
billion years. Published in the Royal Astronomical Society,
its impact could be huge.
rays from exploded stars cool the world by increasing the cloud cover, leads
to amazing explanations, not least for why evolution sometimes was rampant
and sometimes faltered. In both senses of the word, this is a stellar
revision of the story of life. Svensmark stands the currently popular carbon
dioxide story on its head. Some geoscientists want to blame the drastic
alternations of hot and icy conditions during the past 500 million years on
increases and decreases in carbon dioxide, which they explain in intricate
ways. For Svensmark, the changes driven by the stars govern the amount of
carbon dioxide in the air. Climate and life control CO2, not the other way
around. Note: Svensmark has been
working on the cosmic radiation theory for over a decade and every year he
proves it a little more. If correct, it decimates the man-caused theory of
warming. See explanation:
If Socialist Wins France, European Union Will Be
Newsmax, April 24, 2012. It is likely French
President Nicolas Sarkozy will “squeak through” his upcoming election and
remain in office, but a Sarkozy loss would lead to a decline of the European
Union that could render it “irrelevant.” “If the Socialist wins, the decline
of the European Union will continue to the point where it may become
irrelevant in the context of geopolitics.” Note:
(Sorry for the gap in updates. I have been on the road almost continuously).
If Sarkozy's socialist opposition wins, he will resume the very socialist
policies that got France in its current mess. Since France is the
second-most important economy in the EU using the euro, it would undermine
the efforts to save the euro and EU from collapse. Will the U.S. finally see
the light? Not likely. Socialists are blind to their own destructive
Debt Crisis Plotted to Deliver the Euro to the IMF?
The Daily Bell, April 13, 2012. The eurozone is not equipped to bail out
Spain, the country's prime minister Mariano Rajoy has admitted, as global
traders continued to punish the nation's stocks and bonds. Christine Lagarde,
the boss of the
International Monetary Fund (IMF), also warned that Europe's rescue
mechanisms were not enough to restore confidence to global markets but said
the IMF could provide a "global firewall". Analysis: After the
2008 crash, it became clear that the EU's PIGS couldn't repay the loans.
This was likely the plan all along. After this realization set in, the
power elite that orchestrates this sort of thing ensured that the
solution to this manipulated dilemma was "austerity." The idea is evidently
and obviously to make people so miserable that they will eventually welcome
world government and world money. The power elite orchestrating this has
been using what we call directed history for at least a century and probably
closer to three. Note: If the writers are correct, it would mean the
U.S. dollar would not be far behind. We hope it doesn't happen, but
everything that has led to this point suggests that is a real possibility.
The End of Spain?
S&A Digest, April 11, 2012.
only) Spain is the latest and biggest
casualty in the European debt crisis. It's shaping up as the fourth European
country in need of a bailout, after Greece, Ireland, and Portugal. Spain's
709 billion euros of sovereign debt is larger than the debt of those other
three countries combined. Spanish citizens are protesting in the streets.
Demonstrations could turn violent as Spain's prime minister, Mariano Rajoy,
continues cutting the federal budget. As part of the European Union, Spain
can't act on its own to devalue its currency to fix its debt problems.
Neither can Italy, the next shoe likely to drop in Europe... Note: To
read the mainstream media, you'd think the EU had solved its financial
problems. While I hope it does, it is near criminal to not warn Americans
that a similar disaster would hit us like a tsunami if the EU goes down.
50 Top Astronauts, Scientists, Engineers Sign Letter
Claiming Extremist GISS is Turning NASA into a Laughing Stock!
No Tricks Zone, April 10, 2012. As former
NASA employees, we feel that NASA’s advocacy of an extreme position, prior
to a thorough study of the possible overwhelming impact of natural climate
drivers is inappropriate. We believe the claims by NASA and GISS, that
man-made carbon dioxide is having a catastrophic impact on global climate
change are not substantiated, especially when considering thousands of years
of empirical data. With hundreds of well-known climate scientists and tens
of thousands of other scientists publicly declaring their disbelief in the
catastrophic forecasts, coming particularly from the GISS leadership, it is
clear that the science is NOT settled. At risk is damage to the exemplary
reputation of NASA, NASA’s current or former scientists and employees, and
even the reputation of science itself. Note: These scientists and
astronauts say it all.
Spain Borrows $3.4 billion; The Fed Says It won't
Print More Money. S&A
Digest, April 5, 2012. (members only) With over a trillion dollars in debt
coming due, and close to a default, Spain was still miraculously able to
sell $3.4 billion in new debt at 5.68% interest (up from 5.45% the day
before), still low for the risk involved. Meanwhile the Fed says it is
unlikely to print more money out of thin air. Quote: "There's no reason
whatsoever to believe the never ending decline of the U.S. dollar is over.
The Fed can print, therefore, it will print. That is 100% certain, no matter
what anyone says. The U.S. dollar has lost 95% of its value since the Fed
was created in 1913. That's not a coincidence. And now, the Fed says it's
targeting 2% inflation. In other words, the Fed has pledged to manage our
currency in a way that causes it to lose 2% of its value annually. I'll
never sell my gold." Note: If you are foolish enough to buy Spanish
debt and believe the Fed, you will believe anything. What more can we say?
Solar Trust of America Files Bankruptcy.
Reuters, April 3, 2012. The 1,000-megawatt Solar Power Project being built
near Blythe, CA by Solar Trust is now in doubt as Solar Trust declares
bankruptcy. This is the largest solar farm in the world and last April won a
2.1 billion conditional loan guarantee from the Energy Department. Note:
There has been a slew of bankruptcies in the U.S. and Europe in recent
months because green energy is not cost effective, even with huge subsidies.
We have been warning of this for years. The largest solar cell manufacturer
in the world, Germany's Q-Cells also
declared bankruptcy on April 3. The Blythe Solar Power Project was
featured on our Cap and Trade Insanity YouTube video at
Fed Buying 61 Percent of US Debt.
Money News, March 28, 2012. The
Federal Reserve is propping up the entire U.S. economy by buying 61 percent
of the government debt issued by the Treasury Department, a trend that
cannot last. "Last year the Fed purchased a stunning 61 percent of the total
net Treasury issuance, up from negligible amounts prior to the 2008
financial crisis. U.S. economy and markets are at risk for a sharp
correction if conditions aren’t normalized. Note: That's like
borrowing from yourself to pay yourself so you can pay your rent, buy food
and buy that Cadillac you've always wanted. Then your accountant tells you
its OK because he doesn't want to hurt your feelings. Would someone in the
Obama administration wake up and stop this madness before there is no way to
stop a catastrophic economic meltdown?
Biggest Rally in Stock Market Since 1998 – But Don’t
Get Too Excited
S&A Digest, April 2, 2012.
The benchmark S&P 500
stock index rose 12% rally for the quarter – the biggest first-quarter rally
since 1998. Global central bankers' loose monetary policy is the culprit.
In a speech last month, Fed Chairman Bernanke said to further reduce
unemployment, we must expand production and consumer demand, which "can be
supported by continued accommodative policies." And over the weekend,
European Union members voted to add 500 billion euros ($667 billion) to the
existing 300 billion-euro rescue fund – bringing the total to over $1
trillion. With liquidity flowing so freely, stocks are rallying. Note:
In the past 2 years the market has not been connected to the overall economy
as has been the historic norm. The market has boomed, without a
corresponding improvement with the economy, because it is driven by almost
free money being made available to the market. The market booms, the economy
struggles to make a small improvement.
Eurozone Puts up $670 billion in Fresh Bailout Money
to Calm Debt Fears.
Washington Post, March 30, 2012. The 17 countries that use the euro will put
up another €500 billion ($670 billion) in fresh money to help countries with
debt troubles — a big increase from the previous €300 billion limit, but
unlikely to calm concerns that large countries like Spain or Italy will not
be protected if they run into trouble. Together, Italy and Spain hold more
than €2.5 trillion ($3.3 trillion) in debt and a default — or even the serious threat of a
default — could pummel banks across Europe and spread panic on global
markets. Note: As explained on 26th, this will probably not be
sufficient and more printing will be needed. This, of course, leads to more
inflation which leads to a further hollowing of the EU's financial strength.
Expect the value of the dollar to strengthen (temporarily) against the euro.
EPA Propose Contentious Carbon Limits on Power Plants.
Money News, March 27, 2012. The
Environmental Protection Agency proposed Tuesday the long-delayed rules that
require new coal plants to cut their emissions in half, which would
effectively bar the building of any new coal plants. The rules are expected
to affect only new plants, not modified plants, which would be a concession
to industry. However, the new proposals could set the stage for the EPA to
regulate them in the coming years. Note: Cheap natural gas power
plants will eventually replace coal plants, but it would take decades. It
may never happen because the EPA is coming out with major new restrictions
on natural gas plants as well. This is all part of Obama's stated intention
of destroying the fossil fuel industry in America and forcing us to go to
extremely expensive alternative green energy. Why? Ostensibly because CO2 is
causing global warming, even though there is not one bit of empirical
scientific evidence that supports the theory.
Elites Crush PIGS – Old Game Plan Made Anew?
The Daily Bell, March 27, 2012.
Spain's economy contracts as recession fears grow ... The
Spanish economy has shrunk for the first time in two years, increasing fears
the country could be heading for a recession. The country's economy shrank
by 0.3% in the three months to December, after stagnating in the previous
quarter. Household spending fell by 1.1% from the previous quarter, while
spending by public bodies dropped by 3.6%. The country has the highest
jobless rate in the
EU, with almost one in four
people out of work. Note: The analysis goes on to explain that the
southern nations continue to unravel even as the mainstream press leads us
to believe that things are stabilizing.
China, QE3 and ECB’s Money Printing
S&A Digest, March 26, 2012 (This is a
members only site). The past half year analysts have gone back and forth
whether China will have a hard or soft landing from its economic woes.
China’s $3 trillion in foreign reserves, strengthening banking system (it
was a real mess) and expanding consumer economy have now convinced most that
it will be a soft landing with little to no ripple effect. If so, one of the
economic lynchpins that could have started the economic global dominoes
falling has been neutralized. “In a speech today, Bernanke said the drop in
the unemployment rate encourages him. However, reducing the jobless rate
further will require more expansion of production and consumer demand, which
"can be supported by continued accommodative policies," he said. In other
words… we're standing by, ready to print more money at the first sign of a
hiccup.” At the same time Angela Merkel, Germany's chancellor, is also
loosening monetary policy... Today, Merkel agreed to temporarily increase
the European Union's bailout fund. It’s gone from €440 billion late last
year to €940 billion early this year to €1.3 billion today. Problems in
Spain and Portugal will probably require even more printing. Note: Cautious
optimism for a few months?
Is This Finally Proof We’re
Not Causing Global Warming?
MailOnline, March 26, 2012. Current theories of
the causes and impact of global warming have been thrown into question by a
new study which shows that during the Medieval Warm Period (900 to 1300 AD)
the whole of the planet heated up. It then cooled down naturally during the
little ice age (1400 to 1850 AD). Until now, the UN’s Intergovernmental
Panel on Climate Change (IPCC) argues that the Medieval Warm Period was
confined to Europe – therefore that the warming we’re experiencing now is a
man-made phenomenon. But this research provides hard evidence the Medieval
Warm Period extended to the Antarctic and therefore enveloped the whole
world. It was much warmer then than it is today, strongly suggesting the
earth’s temperature is naturally cyclic, not man-caused. Note: There is
overwhelming circumstantial research evidence that the Medieval Warm Period
was a global event but the IPCC chose to ignore it because it weakened the
man-caused warming theory. This research proves beyond question the Medieval
Warm Period was a global phenomenon. The IPCC has chosen to ignore a large
body of good evidence that man is not causing global warming. One by one
good science is proving the IPCC wrong. Don’t expect IPCC to admit it
though. The man-caused warming alarmism was never about science, but rather
a global agenda.
The EUR/USD: Finally Hitting the Mark?
Absolute Wealth, March 20, 2012. With the signs of a
recovering economy, the US dollar is getting stronger relative to the euro.
The United States has shown sustained job growth. This is the largest
indicator that the States are in recovery. At this point, there is no
evidence that Europe can say the same and that fact is catching up with the
EUR/USD currency pair. Europe may need one more bailout. Inflation will hurt
both economies, but will hurt the EU far more. Even so, inflation has not
been figured into these analyses and could throw both economies into another
recession, or worse. Note: The US recovery is still very soft and
almost anything could reverse it. There are two real possibilities. First,
Israel could (will?) attack Iran causing oil prices to skyrocket. The US is
very vulnerable to this because progressive Democrats have fought every
effort over the past 20 years to increase the supply of domestic oil. I have
long warned derailing domestic oil production is a national security issue.
That is exactly what it has become. The second possibility? There is a good
chance that Obama will somehow force the Fed into QE3 to really make the US
economy look robust by elections in November. But it will be short-lived.
Brutal inflation would set in that will destroy the faux recovery. It
wouldn’t matter to Obama, however. He would get his second term to complete
his total transformation of America into socialism.
Title Wave of Muni-Bond Defaults
A "tidal wave" of defaults in the municipal bond
market is still building and will eventually hit the United States. Many
U.S. cities, towns and municipalities are insolvent but are treading along
similar to how Greece did for years before officially defaulting. Most
defaults involved healthcare and things like multifamily housing projects,
although more failures in the last two years came from smaller cities unable
to pay services, pensions and salaries, Moody’s finds. Note: We
warned of this about a year ago in a series of articles. It is now
happening. It is nothing short of incredible that the public unions are
still demanding their health care and pension plans that are double what the
private sector because “they deserve them.” Gov. Scott Walker fixed the
problem in Wisconsin last year and the state has recovered from a huge
deficit. Yet, the unions are forcing a recall election and there is a good
chance the voters will recall him, elect a governor that will reverse his
actions that saved the state, and promptly commit financial suicide. It
simply defies reason and reality.
Trump Warns ‘Massive Inflation’ Coming,
Newsmax, March 5, 2012. Billionaire
Donald Trump says the U.S. economy is poised for “massive inflation” and
is warning investors to take steps now to protect themselves. Trump also
thinks skyrocketing oil prices will cripple the U.S. economy. “Right now,
[oil] is at an all-time record for this time of the year, in the summer they
predict $5 gasoline, maybe $6.” But Trump isn’t the only expert warning the
U.S. economy may go off the cliff. Robert Wiedemer, author of the New York
Times best-selling book
stated in a recent interview, “The data is clear, 50% unemployment, a 90%
stock market drop, and 100% annual inflation . . . starting in 2012.” Note:
I have been finishing my new book Plundered and have let my facebook/twitter
updates languish. Despite what you hear on the news, things are not getting
better. It’s all an illusion and Europe is still being held together
(barely) with duct tape and bailing wire. $1.47 trillion is being held by
banks and deposited in the Fed rather than loaning it to small business.
When it is finally released, or QE3 gets underway in earnest, every analyst
predicts high inflation (+10 percent) by the end of 2012 and inflation as
high as 100 percent by 2014. That, along with $5 + gasoline prices will sink
our economy to another Great Great Depression.