In a System Based On Lies Why Would You Believe the Numbers?

Phoenix Capital Research's picture

If you want
a clear picture of how the US works today, all you need to do is look at the
latest budget “showdown.”


We have
Congress debating over $30+ billion in spending at a time when the Federal
Reserve is printing $100 billion per month or so to buy US debt.


Let’s think
about this for a minute. We have a debt problem. And according to our elected leaders, the way to address that
debt problem is to fight over some $30 billion in spending at the exact same time that unelected leaders
(the Fed) are printing three times that amount (at least that we know of) to
buy MORE US debt.


bizarre, but it reveals the real power structure in the US’s “democracy.” To
anyone who focuses on the numbers, not the noise, it’s obvious that Congress is
just a grand distraction from the folks who really decide things AKA the Fed/


How else can
you explain that EVERYTHING the Fed says to us (and Congress) is an outright
lie and yet no one does anything about it?





Not so much.


QE keeps interest
rates low?



The economy
is recovering?


No comment.


At this
point, how on earth any of the “experts” have credibility is beyond me.
Bernanke has definitely committed perjury at least once. He also clearly has no
understanding or finance or economics… or he’s a pathological liar.


President Dudley seems to think that an iPad has the same value to humanity as
food. And somehow we’re meant to believe that his ties to Goldman Sachs were
full severed when he became a public servant.


On top of
this, the Financial Reform bill was penned by two of the most corrupt members
of Congress in history. Even the former head of TARP has admitted that the
whole program was nothing more than a backdoor handout to Wall Street. And our
President who ran on a platform of “Change” has proven to be an even more
aggressive version of the leader he replaced.


In this
environment, the entire system is based on lies and illusions. What are the
odds that the stock market, corporate earnings, and other financial entities
are also based on lies?


On that
note, if you’re getting worried about the future of the stock market and have
yet to take steps to prepare for the Second Round of the Financial Crisis… I
highly suggest you download my FREE Special Report specifying exactly how to
prepare for what’s to come.


I call it The Financial Crisis “Round Two” Survival
. And its 17 pages contain a wealth of information about portfolio
protection, which investments to own and how to take out Catastrophe Insurance
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of 2008).


Again, this
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publish a FREE Special Report on Inflation detailing three investments that
have all already SOARED as a result of the Fed’s monetary policy.

You can
access this Report at the link above.





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Monk's picture

This has probably been the history of the U.S. economy the past four decades: borrowing for spending, including consumer spending.


anony's picture

I don't. 

I don't believe anything out of the mouth or pen or keyboard of any, particklelerly government elected or appointed human, financial mogul (inhuman), or minion, or frankly, anyone over the age of 3 and only then when he's asking for food.

It's hell but trying to figure out who or what to believe when people are telling you half truths half the time, and lying outright the other half, well, only a fool would continue to "believe".

As the wise man once answered when asked if he believed said, "Yes, I do. I believe I'll have another drink". 


falak pema's picture

well, after "lies, damn lies and statistics", we must now coin a new phrase. I would suggest...."FED QE-infinity non inflationary indices" that are in constant dollars ad-vitam aeternam.

PulauHantu29's picture

Does this mean my cousin Louie still gets his Free Cell Phone (with free 250 minutes) from Mr O's entitlement programs?

MarketFox's picture

Good points Graham....


Here are some more...


Democracy....when given a credit card....will max it out...and then ask for another....


Note that most all democracies are in a similar economic state....


Note that the core reasons are also political framework....Kings and Queens still exist....just different names.....


Note that wealth is concentrated in most democracies....



Democracies have too much flex with regards to the credit cards....



What is true in each that the governments are way too big and have to be cut down dramatically....The tax take should be mandated to no more than 10% as a basic consumption tax on consumable items....with absolutely no further taxation of any kind.....

Secondly there can be no further law change with respect to this....absolutely no debt allowed....none.... the revenues from this tax cannot be exceeded....

The taxes would be collected locally....and no more than 10% of this tax would go towards federal expenses....



Then the chips fall where they may....



The next axe will be to the US legal structure which heavily favors those that can afford the lobbyist system.....The lobbyist system should be eliminated...


And this is just the tip of the iceberg.....

ebworthen's picture


Nice and to the point.

Not a lot of jawboning or political B.S., just the facts with charts, well done.

Throw in a chart or two of Gold, Silver, and food inflation and you have a pie in the face of the FED (who will pretend it is accidental whipped cream).


Seb's picture

A lot of charts posted on this site (not only in this article), do not start from zero on Y axis.

A graph (chart) is supposed to give a visual representation of some data so that the data is easier to interpret for a human than the same data printed in a table for instance. If the Y axis does not start from zero, then the chart is misleading and almost pointless as a visual aid.

max2205's picture

Like a company with a bad cash balance buying back shares as they drop further

Oh wait FED prints and buy debt with it. no biggie

NorthenSoul's picture

"Let’s think about this for a minute. We have a debt problem."

Could you spare another minute to think about the revenue problem we most obviously have to?

Why is it that no one wants to talk about that? Double entry accounting is too hard when it comes to governement budget, or what?

tony bonn's picture

dudley is not a public servant....he is a private employee of the fed....he serves the same plutocratic kleptocracy as bernanke....they are as big liars as the satan of the united states who was born in kenya and is currently today an indonesian citizen...and no one will do anything about it because all "reasonable" amerikans believe that the constitution is "nothing but a goddamned piece of paper" - george bush...

the american state is the most corrupt in surpasses rome in its barbarism and duplicity...the great babylon mammon roams the earth as a prowling menace seeking whom to devour....

docj's picture

You know, $39B is still, for the time being at least, a lot of money.  To you and me.

But to put it in perspective, that's about...

1% of the Federal budget

About what the Fed.Gov spends in deficit in just over a week (assuming a $1.7T deficit for 2011 - I know, I know)

Barely covers the estimated $30B in suspected annual fraud in just Medicaid.

And yet, look at the wailing and gnashing of teeth we've been treated to during this Kubuki theatre of the absurd.

And people wonder why I'm a cynic.

RockyRacoon's picture

I believe this PIE CHART explains it all.

docj's picture

Indeed it does, RR.

Mmmmmmm... pie.

Everyman's picture

There will be a time, when there is much violence in the United States and it will be directed at the guilty criminals.  There will be no equivocating, there will be no time for second guessing, as is stated here, it is all in the open, the corruption, the lies.

When enough people get hurt, there will be payback, it will happen.  It has happened in the ME/NA area, it will happen here.

Bernanke will have his head separated from his body at that time.

Time is coming.  People can see that the #31 billion budget is bullshit.  And they see Jamie Dimond getting yet another bonus.  People are getting tired, not long from there to violence and discontent.

Selah's picture


I had an interesting conversation with some active duty USMC guys. The idea of the "shut down" had them concerned. That's what brought up the conversation. Five Sergeants, two Staff Sergeants, and a Gunny.

Trust me, when it comes to violence, the US Marines will protect the liberty of the US citizens.

I wish that I had recorded it... It was an amazing rebuttal to the "FEMA Camp" conspiracy nuts.

Nice to have the USMC on our side!


Josey Montana's picture

USMC, Army Rangers and most combat units ... are us.  They will not fire on Americans.  They will not follow clearly unconstitutional or illegal orders. This does not mean they are not subject ot propaganda and lies to manipulate them. 


OTOH, federal LEOs are a real worry.  While there are not enough of them to put down a large peasant uprising, there are enough to terrorize us one at a time.

Sedaeng's picture

Exactly!  The 'patriotic' strings will be pulled.  Their higher ups will [present] them with 'intel' that states what they are targeting goes against the very freedoms they stand for.  Terror cells or whatever...


Also, I remember a conversation with the Marines guarding the US Embassy in the Greenzone. (I was over there from 2004-2007)  They said the Corps had become an immigration force, in that NON-US personnel are serving to gain their citizenship. Enough bodies to say they are now like a 'little mexico'.


I have been out since 93, I did not see that then.  I would bet though(if the above is true) that the NON-US personnel would have no problems firing on US citizens.


Semper FI

Julia's picture

I hope you are right. But we cannot forget Kent State, Daley's Chicago, or other times when our police/military have turned on the citizens of this country. The Marines aren't the ones put in the street (that would be the National Guard and local police) and we are stretched very thin across all the wars we are currently engaged in. So knowing that the Marines are on "our" side does not comfort me in the least.

And to the poster of this thread, Graham from Phoenix Capital, I read what Howard Beale wrote recently and I agree with him. You seldom present an original thought and basically rehash what ZH has already written about.

You are obviously here to get subscribers. If this is not the case, then why not just post a link to download your free stuff that is so important that doesn't require anyone giving you their names or email addresses. I have been to your site and I think you really are just fishing for new subscribers.

Try adding some real value in a post. Something with an edge, an angle, deep research. Something of substance.


DavidPierre's picture

Oh so true! 

The Kent State Murders, in 1970, was the final straw for me... left the USSA for good two months later.  There are so many more examples throughout the long and sordid epic of ameriKlan history.

1937: Ohio 

 Republic Steel is owned by Cyrus Eaton, a protege of John D. Rockefeller. In a country dominated by ruthless tycoons, Eaton stands out.

 Republic routinely spies on its workers and fires anyone engaging in union activity. The company maintains a stock of weapons including guns, tear gas and clubs at its various plants for use against workers.

When a walkout begins at Republic's Chicago mill, police enter the plant to drive union organizers out. The strikers then form a picket line in front of the plant's main gate. Police break the picket line, arresting more than twenty people.

As the workers attempt to once again establish their legal picket line, more than two hundred police, many armed with non-regulation clubs and tear gas supplied by Republic Steel, fire over two hundred shots at the workers and then attack with clubs. When the slaughter is over, four workers are dead, six will die later from their injuries and about sixty others are wounded, many seriously.

Many of the dead have been shot in the back.

At Eaton's mill in Ohio, a further six workers are shot to death.

The murders will be remembered in the labor movement as the Memorial Day Massacre.

So many just "Re-Hash" ... Very few original researchers or honest historians. 

Graham will either get tough or die.  His site, like many others ... 'a dime a dozen'... just more noise in the web.


OldTrooper's picture

You must be very glad you left the USA.  I know I'm very glad you left.

kevinearick's picture



Yes, those trained to seek the artificial comfort provided by the empire will naturally experience severe anxiety as the system collapses; that’s the whole point of the artificial borders creating dependence upon exploitation of unsustainable resources, and the associated monetary expansion of the credit tracks – CONTROL. The slaves and their masters, who chose their positions of their own volition, always end up being removed from the gene pool.


Jesus was a smart mother f***er; he reset the machine time to 0, fully expecting his disciples to behave the way they did, locking the rotor into a virus. Everything around you is a machine, specifically designed to pull people into the black hole of credit dependence … the assembly line, the fast food, sports, all of it. People are fed to be fattened up for slaughter, just like the food they eat, as they choose the pace of the machine around them rather than making the required effort to think for themselves. This planet can only support a few hundred million people without all those artificialities, which may only collapse over time, and that time is now.


Yes, we can tow the American Enterprise System into the future, but that requires space travel en-mass, which requires the appropriate launch platform to be built, now. That guy talking about the need for an appropriate horizon to shoot for is correct, but the empire, along with all of its inhabitants, can only see itself in the looking glass. The operators do not have until 2012 to provide yet another plan. All they have is the here and now to take action, to avert Armageddon.


The passport requirements, the global HR system, Family Law, and all that stuff composing the velvet martial law system must be dismantled immediately. For those on the outside of the empire, it’s six of one, half dozen of the other. It’s easier to start from scratch with far fewer people, but re-batching affects the distance of the next launch, and the whole point is to expand life, diversity, out into the universe. The earth is simply a cocoon, and we cannot stay in the artificial comfort of a cocoon forever.


Everything is all ready to go. The only question is how many people will be in the fuselage, and how many will be ignited in the tanks, as the new empire lifts off. The more people that fight the outcome, the greater the momentum of disorder fueling it. They are blowing up their own system now, due to the irrationality associated with anxiety inherent to collapsing volume under increasing pressure. Just get into the freaking fuselage, which requires a uniquely useful set of skills.


Empires are slave states; that’s what they are and that’s what they do, for a very good reason. The kids are going to pilot this thing, whether the existing empire operators like it or not. The old operators can re-take control when the craft is returned to auto-pilot, which is all they are capable of handling.


Oil will blow up.

DizzySailor's picture

Damn if that did not ruin my Saturday nite Buzz after a great Ag ride on Friday.

B9K9's picture

Temper, temper. It appears you may be a tad bit upset. Note that you really can't do anything effective in that state of mind. When you come to hold a grudging respect, perhaps even a dark admiration for the complete & utter take-down, then you might be ready to carefully weigh your options.

What seems to be rarely said, is that the chosen are so entrenched, that even with the 'Net and fairly wide information, they are still firmly in control. In fact, it could be said they're even a little brazen in their in-your-face approach nowadays.

However, their entire model rests on growth. Peak oil, no growth (at least sufficient to service the Ponzi interest charges). No growth, no system - as it is currently constructed. The criminals get away with what they are doing because they are protected by the rule of law. Take away that veneer, and who knows what might occur?

DavidPierre's picture

"...the chosen are so entrenched..."

1947-1950 ...  Nazi shyster and Hitler Project kingpin Allen Dulles creates a money laundering front organization to provide cash to the imaginatively named International Rescue Committee (IRC) which is being used to import Nazi war criminals into the U.S. for domestic political purposes. Dulles' latest money laundering outfit is called, with typical creativity, the Crusade for Freedom (CFF) and is fronted by none other than B-movie actor, stool pigeon and conspicuous non-combatant, Ronald "Bloodbath" Reagan.

CIA director-to-be William Casey manages the Nazi immigration program on behalf of the State Department.

Additional cash to get as many Nazis as possible into the U.S. is provided by, what a surprise, the Rockefeller and Ford Foundations.

The Nazis imported into the U.S. by the IRC and the CFF will eventually coalesce into the fascist far right wing of the Republican Party now known by the popular label as Neo-Cons.


DavidPierre's picture


 As about ten thousand top Nazi war criminals and mass murderers are being safely spirited out of Europe by Heinz "Henry" Kissinger, Allen Dulles and their co-conspirators to be incorporated into various U.S. government agencies and U.S. puppet dictatorships around the world, ordinary German soldiers, mainly conscripts, are being herded into concentration camps and subjected to starvation and mistreatment by the U.S.

William Draper, a partner in the New York investment firm of Dillon, Read and Company, is appointed head of the Economics Division of the U.S. Control Commission in occupied Germany. He is given the job of taking apart the Nazi corporate cartels which, in partnership with American corporations and financiers, had installed, financed and armed Adolf Hitler for the takeover of Germany and the attempted takeover of half the world.

It is a subject about which Draper is extraordinarily well informed since he has spent fifteen years of his life, and has grown very, very wealthy, financing and assembling the Nazi cartels in the first place.

 Dillon, Read was largely reponsible for financing the rebirth of the German armaments industry in the period between the two world wars. Draper's company set up, financed and had directors on the board of Fritz Thyssen's German Steel Trust which was Hitler's biggest German corporate contributor and which provided almost half of Germany's steel and a third of its explosives throughout World War Two.

Draper's role in unleashing the Nazis on the world goes beyond merely financing them and arranging their cartels.

Like many other members of the Hitler Project, including the Harrimans, Prescott Bush and the Dulles brothers, Draper is a key figure in the American eugenics movement, the engine which drove the Nazis' master race delusions.

Instead of being prosecuted for his role in creating the Nazi monster, Draper is given the power to decide who will keep their assets, who will lose them and, for all practical purposes who will or will not be prosecuted for war crimes. It is hardly suprising that Draper ensures that most of the backers of the Hitler Project retain their assets.

An example of Draper's efforts of behalf of his erstwhile Nazi friends and clients is the fate of the Rockefellers' partner in numerous Nazi businesses, including Auschwitz, IG Farben. Far from being dismembered and destroyed, the so-called "daughters" of IG Farben, which include Bayer, BASF and Hoechst among many other corporations, today completely dominate the world chemical and pharmaceutical industry.

Following Farben in importance to the Nazis were the steel and weapons makers, Krupp and Thyssen.

Thanks to the efforts of Nazi financier William Draper, they too are doing just fine today, merged in very happy marriage as one of the world's largest steel producers and owning, in total, some 670 companies around the world.

The star spangled elements of the Nazi cartels such as the Rockefellers' Standard Oil (Exxon-Mobil), General Electric, IT&T, Ford, General Motors, IBM, Dupont and Alcoa, carry on without missing a beat.

But ensuring that his former clients in the Third Reich do not suffer too much isn't Draper's greatest accomplishment. He is, amongst many other things, an amateur magician, a card-carrying member of the Society of American Magicians, and he puts his gift of deception to good use.

He and his colleagues evolve the truly magical idea that the ordinary German people are solely responsible for, and collectively guilty of, the rise of Adolf Hitler and for the Nazi crimes which followed.

The reality is, of course, that ordinary Germans were the first victims of the Hitler Project organized by Draper and his clubmates in New York and their corporate clients in Germany. Germans were propagandized and terrorized into submission to the Nazis, opposition politicians were assassinated, their country was hijacked and they were conscripted into Nazi armies to kill and die for the New World Order.

It was ordinary Germans whose country was utterly devastated by bombing, the civilian targets anyway.

Millions of carpenters, farmers, factory workers, school children, shopkeepers, teachers, housewives and old people who wanted nothing more than to be left alone to live their lives, had their homes, farms and businesses destroyed, their lives snuffed out or shattered.

These ordinary German people, in the Draper-invented lie, are responsible for the horrors of Nazism. Not the Harrimans, not the Bushes, not the Duponts, not the Warburgs, not the Morgan interests, not the Dulles brothers, not the Rockefellers, not General Motors, not John J. McCloy, not Henry Ford, not IBM, not Dupont and certainly not Sosthenes Behn and IT&T. Not even Krupp, Thyssen or IG Farben. And, not even that dependable old Nazi financier and stalwart of the Hitler Project, William Draper himself.


The people who financed Hitler, who provided hundreds of thousands of weapons to the SS and the SA so that they could terrorize the German population into submission and murder all political opponents bear no responsibility.

The people who financed and organized massive pro-Nazi propaganda campaigns inside Germany, bear no responsibility.

The people who funded and provided the impetus for the eugenics movement in Germany which led to the gas chambers, bear no responsibility.

The people who made the panzers, aircraft aluminum, bombs, armor plate and radar, and made a fortune doing it, bear no responsibility.

The people who provided the fuel and manufactured the dive bombers bear no responsibility.

The people who built and operated the concentration camps bear no responsibility.

 The people who used slave labor bear no responsibility. The people who were developing the Nazi atomic bomb bear no responsibility.

The people who made billions of dollars financing and arming Hitler and made more billions "defeating" him and then made more even billions "rebuilding" Europe bear no responsibilty.

After all, that's just good business.

"War is a Racket"

And there is another group who, it seems, bear no responsibility, the Jewish financiers who labored mightily for decades, and increased their fortunes, building the Third Reich into a formidable war machine. Among them are the Warburg family which was instrumental in creating the three most important Nazi cartels, IG Farben, Krupp and Thyssen and who arranged finance for the acquisition of the Hamburg Amerika steamship line which was instrumental in the takeover of Germany by the Nazis. Members of the Warburg family sat on the board of directors of IG Farben alongside their Nazi clients. Other Jewish-owned businesses which played vital roles in the Hitler Project include the New York investment houses of Kuhn-Loeb, Hallgarten and Company and Goldman-Sachs. And William Draper's own WASPish-sounding Nazi finance house of Dillon, Read, had been founded by Clarence Dillon who was of Jewish descent and had been born Clarence Lapowski.


Draper's great deception, the creation of the myth of the collective guilt of the ordinary German people for the horrors of Nazism, is still in full force and effect to this day. Germany is awash in memorials to the Jewish and Soviet victims of Nazism.

There is virtually no recognition of non-Jewish German dead including the almost 600,000 civilians killed by Allied bombing. Since the end of the war, some sixty billion dollars has been paid by the German people in compensation to some of the victims of Nazism. That money has not come from the Bushes or the Harrimans or the Dulles brothers. It has not come from the Rockefellers or the Fords or the Duponts. It has not come from the Warburgs or even from William Draper. It has come, inevitably, from ordinary Germany taxpayers who, it seems, just can't be punished enough for "their" collective crime.

Optimusprime's picture

"The Nazis imported into the U.S. by the IRC and the CFF will eventually coalesce into the fascist far right wing of the Republican Party now known by the popular label as Neo-Cons."


Hoo boy.  No doubt this accounts for the fact that most neo-cons are Jews and ALL neo-cons are Israel-firsters.  Get a clue before you post.

TBT or not TBT's picture

They also forced record labels and radio stations to play their front group The Beatles, with backward masked messages intended to nazify our youth.  But not only, there were domestically grown vectors too, such as Elvis, and Bruce Springsteen.  

Is it a coincidence that both Donald "Unknown Unknowns" Rumsfeld and Richard Perle both listened to this music?

Bicycle Repairman's picture

"The Nazis imported into the U.S. by the IRC and the CFF will eventually coalesce into the fascist far right wing of the Republican Party now known by the popular label as Neo-Cons."

Going to have to see a little more discussion here.

Bansters-in-my- feces's picture

"Bernanke has definitely committed perjury at least once"

Understatement of the year award.
Bansters-in-my- feces's picture

Wow, the key words in the story are enough to make one puke.

Ruffcut's picture

The bernanke is the biggest bullshitter. The district of criminals then follows suit making it seem less a lie. As if they are the real ones in the trenches trying to fix the umimportant problems and giving the banksters full power.

It is one of the most disgusting events of our time. It makes you only option to look out for number one, which further divides the nation.

Trust no one, not even yourself.

ivars's picture

USA debt growth has characteristic pre-crash signs in it-log-periodic growth pattern turning into super-exponential peak , meaning a correction (REDUCTION) by e.g. 3-5 trillion in 2013-2014. The buildup for this crash started at least at 1945, if not earlier. ( look Sornette/Johanson for how such crash buildup can be seen in growth patterns).

But by what mechanism? Here are few thoughts on that..

Coincidentaly, 2013 timetable for debt correction  ( crash reduction) coincides with independently derived graph for silver prices 2011-2013 which show a definite upwards trend (at level 100 usd).

So its actual devaluation of world reserve currency, by tying it to PM at some rate ( higher than 100 usd for silver, higher than 3600 Usd for gold). Interesting approach with huge geopolitical consequences. I will check the continuation of that graph to see at what levels USD may be tied to PMs if it happens in 2013 or 2014.

I checked. If it happens in 2013, its basically the same 100 USD/ ounce ( 3600 USD for gold). If it happens in 2014, it will be 150 USD/ounce ( 5400 USD /ounce for gold).

Does that level is what other people have been mentioning for USD gold standard based on some other assumptions?