All the Facts.....

Bruce Krasting's picture


Okay, still confused about what the cliff deal means? I mean everyone is spinning this one way or the other, so if you just want the facts and the bottom line, who can you trust? .I have a place for you to get the Facts. The source of this information is impeccable, and ALL of the facts are spelled out in just 1,360 words.

Here's the (Link), It will take you to this page at the White House:




The White House presents the "facts" of this matter. But it leaves out a few facts that are, no doubt, inconvenient for the White House to fess up to. If the President's men really wanted to be honest about the facts, they would have added a paragraph:


-A consequence of the tax agreement is to increase payroll taxes on 155m American workers by $125B. We know this hurts middle and low income workers and their families. We understand that this is a very big tax increase, and that it will knock at least 1% of 2013 GDP (and beyond). We're sorry about this, it couldn't be helped. Nancy Pelosi and Harry Reid insisted it be this way.


Now about this fact sheet. Just a few items on the list of "Achievements" that stand out to me:


Strengthens our recovery next year by cutting taxes for the middle-class


This is twice wrong. Middle class taxes are going up $125b in 2013. And the consensus opinion is that the net effect of the tax deal is a drag on GDP of 1%.


Provides greater economic certainty for families and businesses


They gotta be kidding with this line. The tax deal leaves open the pesky questions of A) the debt limit, B) the sequestered amounts, C) cuts in entitlement spending, D) additional taxes and don't forget E) the President needs another Continuing Resolution (CR) to keep the lights on. (No budget from the Prez means another CR is required)

Me? I'm crapping in my pants over that list. The market may be happy today, but what is in front of is much more troubling than what is behind us.


Cuts the deficit and reduces the debt as a share of the economy over the next five years


Compared to what? The fact is the country just agreed to an additional $4t in debt. Here's the picture of the debt profile that is the result of this deal. That ugly orange stuff is the additional debt the country signed up for with the tax deal. How do you call this progress?




I guess if you really want the facts on this deal, you better look elsewhere.






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Cable Guy's picture

With all the technology at our fingertips you wonder why "the people" can't vote on all these important issues?  Why do we need these crooks "voting" on these important issues at 2 in the morning?  

JungleJim's picture

Ron Paul, Barry Goldwater ...

Cast Iron Skillet's picture

well, we all know it would be double-plus ungood if the inconvenient facts came out.

SmoothCoolSmoke's picture

I remember reading many comments here of how the Greeks were spineless idiots who were letting their politicians sell them up Shit Creek.  The Greeks should do this....and do that...and hang some pols...and fuck the banksters....screw the EU, etc., etc., etc.

Talk is cheap folks.

Looks to me like a lot of folks here owe the Greeks an apology.


q99x2's picture

Awh everyone knows they lie. Nobody believes them. People are storing food and buying guns for when Washington starts physically attacking and killing them. In Argentina near the end in 97 I think it was their citizens all expected their politicians to be lying to them. Same here. But it does seem kind of idiotic that the politicians even waste the time. I guess just another way to spend some tax dollars.

AldousHuxley's picture

government will let you have guns while they are buying drones.



One of these is not like the others..'s picture

I'd imagine that a 2$ bullet will kill a 20,000$ drone well enough, and if they fly 'em as low as they fly police helicopters over here that should be a practical proposition fro those of you with rudimentary marksmanship skills.

Here in the UK, our more rebellious motorists discovered that about £4 worth of petrol plus a surplus large tyre used creatively could very effectively destroy a £40,000 speed camera so effectively, that THEY GAVE UP on that particular income stream. Now we have discovered that angle grinder versus camera pole is also a very satisfying activity..

Later this year, builders expanding foam versus internal combustion engine exhaust sytem will be trialled against vehicles used for oppression... There is a lot of underground research going into denial of radio communications  and emp generation too. (I am told)

Civilian Asymettric warfare, isn't about IED's blowing people up, it's about breaking the fu^%ers economically. 

We are also cottoning on to the fact that if you just fail to reply to the letters, fail to pay the rip offs and in short MAKE THEM WORK FOR IT, there seems to be no actual effective mechanism in place to deal with the resistance (yet).

Providing no information (particularly NEVER supplying your date of birth correctly), having no debts, using cash or barter wherever possible, failing to vote or register, also seems to lighten the burden. (And what IS the point in voting?)

THE GOLDEN RULE is make absolutely sure that ANY government interaction with you does not go easy, make it as expensive and time consuming as possible..  

And of course, when you are old and vulnerable, and alone in the world, then is the time to GO TO JAIL!!

FREE FOOD, NO RENT, EASY AND CONVENIENT ACCESS TO HEALTHCARE, AND you get to do something really naughty as well!!

Stop bitching and start fighting back, why don't you?

Disclaimer: The information provided here is for entertainment purposes only, and may be illegal in your country... Always exercise civil disobedience responsibly.  

Implicit simplicit's picture

Impeccable deductions Holmes. Define "responsibly" ;>)

One of these is not like the others..'s picture


Responsible civil disobedience is when you don't smash the banks big glass doors, (because someone might get hurt on the glass), you just feed super glue or epoxy into the lock...

H E D G E H O G's picture

aw fuck! half the nation on food stamps/welfare, a black puppet in the "white house", corrupt, fraudulent, lying, bought off, greedy demon representatives in the Capital, wars everywhere, debt up to our assholes, and no way in hell to EVER pay it off, money being digitized to infinety and beyond, the worlds biggest propaganda machine spewing out lies to the dysfunctual sheeple, taxes going up, incomes going down, housing busts/bubbles, stock market floating on hot fucking air, 401k's in dire jeopardy, precious metal manipulation on a global scale, major inflation, Big Brother, drones, terrorists at home and abroad, Bailouts, more Bailouts, states collapsing under their unfunded liabilities, SHIT, WHAT'S NOT TO BE HAPPY ABOUT IN 20 THIRTEEN!

Grill Boss's picture

Here are the facts, laid out, point by point very easy and most of it is stuff even ZHers' don't know, it boggles the mind why TD nor anyone else have even touched these subjects

YOU HAVE BEEN EXERCISING A BANKRUPTCY SINCE 1933 (That is '33 not 13) This is why all of this stuff is happening, your constitution is ALREADY null and void under the corporation

did I mention the IRS has NO LEGAL STANDING in the USA which has been shown valid in court?

Did i mention banks have ZERO liability for mortgages they issue and the bailout was a scam, and there were really no losses to 'cover'

Perhaps someone on one of these 'financial'  sites should bring this stuff up

Radical Marijuana's picture

Yeah, Grill Boss, I was already familiar with that Web site information, and lots of similar stuff. BUT, BUT, BUT, the reality is simply lies, backed by violence, and so, understanding the "truth" about that reality does not do much to change anything.

I believe that most of the readers on Zero Hedge are more interested in information which provides some basis for action. Personally, I tend to indulge in this stuff for its own sake, rather than for the sake of "actionable intelligence," since I have unfortunately become almost 100% convinced that the reality is REALLY so extremely bad that there is nothing effective that one can do to prevent or prepare for how much worse it is going to get!

Anyway, I repeat my point that learning the detailed history of how lies backed up by violence was able to gradually take control of the USA, more and more, until the overall situation ended up being just like HEDGEHOG wrote in the post above, does not change anything ... instead, I find that only makes me even more nearly 100% objectively depressed!

The Navigator's picture

Agree - 100% objectively depressed....... but optimistic.

Insanity cannot continue forever. Something will break, hopefully this year, thus optimistic.

combatsnoopy's picture

Sorry.  If you gained in the markets today, congrats.  I am a bitter hater and I'll admit to it.

Anywho, since when in the history of the world has the market ever climed 300 points on news of capital gains/estate tax hikes?

Okay first of all.  There are 47 million people on foodstamps.  They just extended federal government jobs for 2 months.  Is that worth um... 300 points? 

I didn't do enough microdots to see dancing teletubbies on my ceiling.  This is utterly surreal for me.  i'm going to pinch myself now...

H E D G E H O G's picture

"I didn't do enough microdots to see dancing teletubbies on my ceiling" super funny(1 green arrow up)

Trader-Scholar's picture

for auld lang syne:

sugar cubes, windowpane, owsley.........

"thanks for the memories"

lindaamick's picture

The payroll tax reduction was never communicated to Americans as something permanent.  It was a temporary measure.  The increase in taxes for the under $400k per year crowd is about restarting the monies going in to fund future Social Security viability. 

Restoring the payroll tax is good policy if you believe that Social Security should continue as a program. 

As a person forced to leave the workforce early (age 59) after 25 years service due to Bankruptcy of the company I can tell you that Social Security should be valued by all Americans. 

Not being a wall street type I lost 40% of my 401k in the 2008 time frame.  Since then my investments have continued to lanquish.   Even though I would have been able to retire on my savings had I been able to continue working until 65 AND my investments would have continued to earn the same rates as from 2000-2008, now there is no way.

Social Security has become VERY important to me.  

Young people should be mindful that the turmoils of the business world are chronic.  Social Security has been the one reliable port in the storm offering oldsters some form of income.   If we want to be a society of humane individuals, we should want old people to have this safety net.

SmoothCoolSmoke's picture

Agree.  Here's a question most get wrong: SS has taken in more money than it has ever paid out.  T or F?   The answer of course in True.  Had SS money been put in a "lock box" 20 years ago it's survival would not be in question.

SmoothCoolSmoke's picture

Agree.  Here's a question most get wrong: SS has taken in more money than it has ever paid out.  T or F?   The answer of course in True.  Had SS money been put in a "lock box" 20 years ago it's survival would not be in question.

SmoothCoolSmoke's picture

Agree.  Here's a question most get wrong: SS has taken in more money than it has ever paid out.  T or F?   The answer of course in True.  Had SS money been put in a "lock box" 20 years ago it's survival would not be in question.

combatsnoopy's picture

Didn't Bill Clinton take out the Social Security money out of it's own account and put it in the US Treasury? 

If you're blaming young adults, that's not going to solve your problem.  This is the trouble with baby boomers today.

CH1's picture

Young guys, old guys, whatever. The problem lies in a single, evil meme:

It is right for me to obey important people.

Tijuana Donkey Show's picture

Long cat food then? SSI is going to be inflated away, bit by bit, cut by cut. Plebs don't get retirement, just food stamps and hunger cramps.

The Navigator's picture

TJds - you're right, SSI will be nothing when we get there in 5-10 years.

I'm long on fishing poles, fishing skills, gardening, and seed harvesting - helps with those hunger cramps.

andrewp111's picture

I'm already long cat food since I have 2 hungry cats to feed. But little can costs much more per pound than chicken. You won't save money by feeding oldsters cat food. Now with low grade dog food like Alpo, they could slice it into patties and fry it up. That would save money.

Oldwood's picture

The payroll tax should have never been reduced in the first palce for the very reasons you state. But it was the populist thing to do. Social security was never intended to be the sole income source for retirement. It was supposed to be a suppliment. Now it is not sustainable without funding direct from the till of general revenues and will only get much worse. While many of us are pushing into the retirement years, it will be a fatal flaw in judgement to plan retirement on anything to do with social security. Some will likely have no choice but it will be a sad choice and a poor example to motivate younger taxpayers to contribute, especially when means testing comes into play combined with "chained CPI". They will look at us, resenting the overhead costs we represent as well as something they see no future in as a current investment. Social Security will be transformed into welfare and welfare will prove to be no more sustainable than the SSI it replaced.

akak's picture


Social security was never intended to be the sole income source for retirement. It was supposed to be a suppliment.

I think you are confusing "suppliment" with "suppository".

shovelhead's picture


Maybe thats why my vitamins taste so awful...

OpenThePodBayDoorHAL's picture

Michael Hudson asks the perfectly reasonable question: why is SocSoc the ONLY program that must be pre-funded? I mean why don't they need to pre-fund the next banker bailout? Why don't they need to pre-fund the next war(s)? Those seem to be paid for on a current basis, no problem. But when it comes to something for the actual PEOPLE, oh no gotta pre-fund it, and cut it if there's not enough money for the future.

Let's pre-fund the next banker bailout with a financial transaction tax...say $0.01 on shares held less than 1 second

Oldwood's picture

We need to prefund Social Security because we wont have enough people paying in the future to cover those receiving benefits. It used to be 12 paying for each receiving and soon will be 2 to one.

Moe Howard's picture

The price of silver and gold is going up, started on the first day of the NY. The buying opportunity window has closed.

The buying opportunity window for brass and guns closed the day after the school shoot up.

He who hesitates gets nothing, or nothing but higher prices.

The Navigator's picture

My local WalMart was sold out of ALL .22LR and .223 and only had 1 box of 9mm - so you're right, brass window tightening.

re Ag Au: prices seem reasonable and stock available at the local coin shop, APMEX, and Ebay. 'Reasonable' if you're buying for "insurance" against inflation or currency risk, not necessarily as an investment, IMHO.

SAT 800's picture

Buying more silver bullion this week; as soon as my tax accountant gives me the "good number" that we know will cover the taxes; We're still negotiating since April; almost done. Good  Silver buying weather; mild inflation with a chance of bottomless disaster in the afternoon.

nobodyimportant's picture

Your tax accountant is going to tell you what your taxes are?  Has your accountant read the US Code Chapter 26 Section 86 1-8T?

Have you read the same code?  If so and your income is domestic why in the hell do you pay taxes on your income?  Yeah I know  - just volunteering to support the government - well God bless the ignorant!

Radical Marijuana's picture

I do not believe that there is longer term plan that makes sense, since the most insane possible plan is the one that will be actualized, namely, genocidal war, along with democidal martial law.

As the recent article by Charles Hugh-Smith about The Dangerous Blindspots of Clueless Keynesians

pointed out, their "solution" before was world war, and their "solution" this time will be a much more MAD world war, along with martial law in the USA. The government of the USA has NO long term plans that make any sense, other than the INSANE plans to start more wars, and impose martial law.

The fiscal "facts" do not matter, because we are headed into INSANE war and martial law. The first casualty of war is the "truth," since the history of war was that success depended upon deceits. Our society is now totally dominated by the Fraud Kings, that took over control covertly, from the War Kings that preceded, which had set up the systems of sovereign states, which then could be covertly taken over, and thereby have the sovereign powers to rob and to kill privatized.

Here is Gerald Celente restating the obvious trends for twenty minutes:!

He starts off saying that the flabbergasting frauds, done in unprecedented or never proven before ways, e.g., from MF Global, to Libor, make economic predictions almost impossible, since one has to include attempting to predict the next unprecedented level of astronomical fraud being engaged in, IN WAYS THAT NEVER HAPPENED BEFORE!

The future will be frauds done in astonishing new ways, which will perhaps suddenly be discovered, BUT those discoveries will again make no difference, and so, even more astounding frauds will happen next ...

The financial affairs of the Federal government of the USA are ridiculous riddles, unless one jumps up a level of INSANITY, to the realities of the plans to start more wars, and impose martial law. Of course, those are even less possible to understand in any rational way, however, those utterly irrational plans are the real reasons behind our puppet politicians allowing the financial problems to become runaways, whose numbers are NUTS, because there are no longer any mathematically sound ways to calculate any sane solutions.

Of course, the White House presents those numbers in ways which are aspects of those numbers being NUTS.

Of course, the only thing we see is the "can kicked on down the road" ... which is what we may well hope continues to be possible, because when it finally happens that the can cannot be kicked any further, then genocidal wars and demodial martial law will be the result.

The trillions and trillions more units of fiat money, made out of nothing, as debts, are backed by nothing but the weapons of mass destruction which are trillions of times more powerful than anything that previously existed in known human history. Since the trillions of dollars of additions debts depend upon weapons which are able to kill trillions of times more than anything that existed during previous war, predicting the future is like attempting to predict how some one who is insane will go through a psychotic breakdown.

Since the whole system is based on astronomically amplified FRAUDS, backed by the threat of the use of weapons which are astronomically amplified FORCE, and since that entire system has a foundation of HUGE LIES, as what it is actually built upon, therefore, it is impossible to imagine that it can continue indefinitely, without eventually collapsing into chaos. Our entire civilization is so totally controlled by delusional lies, as presented primarily through LYING BY OMISSION, which is what this article above illustrated, that there can be no doubt it is INSANE, and therefore, must be headed toward some psychotic breakdowns.  The only question is how long can it keep on sustaining itself, with more debts, backed by the threats of more violence, until that system destroys itself, through too much of its own "success" doing that?

Our puppet politicians, and the masses of muppets that they pander to, are all living inside of delusional systems, whereby the best organized gangs of criminals have taken control of the governments, and therefore, have been able to control everything to enable their FORCE BACKED FRAUDS ...

Unfortunately, there is no practical point to understanding any of this. It is still out of control, and therefore, it is still going to happen anyway. We are constantly pumping more and more energy into the established systems of FORCE BACKED FRAUDS, despite that means the debts get amplified by TRILLIONS, along with the threats from weapons that are amplified by TRILLIONS!

Too bad, so sad, that there is apparently no the slightest chance of any sane public debate about any of that. Tragically, as far as I can tell, understanding and writing about these problems will not make any difference!

There is nothing sane that can be done about a runaway system that is set up so that it depends on exponentially growing debts, OR ELSE ... except to watch and wait for that "OR ELSE" ... The FACT that the NUMBERS are in the TRILLIONS means these problems are practically beyond the imagination of the people who have created that situation, or accepted that situation being created ...

The paradox is that there is nothing more intellectually compelling and important to worry about than these runaway financial insanities, however, that appears to be a totally useless thing to bother to do, since they are still runaways, WHICH will still result in INSANE "SOLUTIONS."

SAT 800's picture

Fixing the problems of the United States is trivial; once you understand what they are; I could have it all straightened out and headed in the right direction with ninety days; but I'd have to be an absolute dictator. As it is; nothing is possible. Just the same old clown act, over and over.

Radical Marijuana's picture

Actually, giving ANYONE absolute death control ("absolute power") would be the worst form of insane central planning, which would backfired even more badly! What we should do is enable a greater use of information, and higher consciousness, by having more people participate in directing the use of their power.  The problems we have now are due to sovereign powers being more than 99% privatized, so that tiny elites make all the decisions ("central planning") which means more ignorance, and less consciousness, and thus, worse and worse decisions!

The basic problem is that people refuse to be scientific about themselves, since doing that requires accepting the axioms that human reality is ALWAYS based on organized lies, operating organized robbery. The government is the assembling and channelling of sovereign powers to rob and to kill, ("history of war"). Power was always distributed, since everyone has some degree of power to rob ("taxation") and to kill ("enforce taxation"). The problems have arisen because those who were the best at being dishonest, and backing that up with violence, have covertly been able to take control over the political processes, so that their puppet politicians would legalize their lies, backed by legalized violence.

Thereby, the powers to rob and to kill, which belong to We the People ended up being effectively privatized. The vast majority of people do not understand that, and do not want to understand that. Some of those who talk about some kind of "revolution" partially understand that ... There is nothing theoretically wrong with a democratic republic, as a way to assemble and channel the People's powers to rob and to kill. However, I am not aware of any public figure that understands that enough, since there is barely any public audience to agree with or approve of that. 

Unfortunately, the path we are on now is for too much "success" by tiny elites being able to privatize the powers to rob and to kill, enabling them to engage in too much "central planning." Therefore, we are on the path towards psychotic breakdown of the runaway triumph of frauds, backed by force, becoming so grossly unbalanced, that the corrections must be collapses into chaos, resulting in genocidal wars, along with democidal martial law.

There is NO WAY that "Fixing the problems of the United States is trivial; once you understand what they are." On the contrary, attempting to fix those problems cannot be done by any other way that having to muddle through the MADness that overwhelmingly dominates the USA, as well as the whole global system of electronic fiat money frauds, backed by atomic bombs.

The transformations to cope with sciences such as physics and biology making weapons that are billions and trillions of times more destructive than ever before in human history, THEORETICALLY require that we change our political sciences through radical paradigm shifts, similar to how physics and biology, etc., already went through drastic paradigm shifts, in order to become orders of magnitude more effective in generating technologies that work!

Of course, as this article points out, "All the Facts ..." coming out of the White House, and the Congress, and the mass media, are pretty well nothing but the best professional lies that money can by, and so, the greatest fraud, the "money" itself, is paying for all the rest of the lies, to automatically get worse and worse, faster and faster!!!

There is NO WAY that any "absolute dictator" could do anything else but make things even worse, even faster! The ONLY way to make things better is to enable a greater use of information, and higher consciousness. However, that continues to be practically impossible as long as the vast majority of We the People are too brainwashed to be able to understand the basics regarding the power to rob, and the power to kill. We can not make and maintain a better dynamic equilibrium between those powers as long as everyone using those powers gets to lie so much, so easily about that, because enough others believe in similar bullshit regarding the basic facts.

At present, the American powers to rob and to kill are almost totally privatized, and directed by Huge Lies! However, any future realities must still be based on those basic facts, that there are organized systems of lies, operating organized robberies. The good solutions must come from evolving better ecological balancing of those systems. BUT, at the present time, the psychotic collapse into chaos and mass murder appears to be the path that those insanely out of control systems ARE on now ...

onlooker's picture

 DRUDGE 3:15 EST – The U.S. Senate voted 89-8 to approve legislation to avoid the fiscal cliff despite having only 3 minutes to read the 154-page bill and budget score.

Oldwood's picture

Dem folks is so smart they really don't need to read much anyhow. They just kind of ooze and absorb knowledge. Besides if they wus to read it they might have to admit some blame for what it done did to us!

SAT 800's picture

They have super reading powers; which they got from turning in a special Captain Crunch ring and two box tops. You have to keep on top of these things, or it's hard to understand what's going on.

odatruf's picture

Not to stick up for them, but for many of these issues the game has been played so many times that reading the bill is redundant.  They've voted to kick the can on the doc fix so many times that any member who is going to learn anything by reading this bill, already knows that it is the same as every other omnibus bill over the past dozen years except that it is now permanent instead of just for one year.  Same with the AMT. And the tax rates for most of the filers, and learning about the new highest rates takes less than a second.

Like I said, I have no (current) profit in defending these people. But, it really isn't rocket science and most of it is perfectly digestible over a lobbyists-funded, martini-fueled lunch at the Caucus Room.



SAT 800's picture

Yes, of course. they know what they need to know. their pork is in there; they got their pay raise; and aside from that, they BASICALLY DON'T GIVE A SHIT.

GMadScientist's picture

I've never understood why they can't use the ancient art of interpolation to ameliorate some of the hatred from necessary increases.

Say 0.5% per year in payroll tax bumps over 6 years for a total 3%...instead of a step-function 2% immediately.

It'd be well-forecast and businesses could plan around it.

Buncha fuckin' retahds!

Tijuana Donkey Show's picture

The 2% payroll tax hike is to distract you from the screaming inflation rate, which is the real tax. Here is the real donkey dicking everyone is getting, and no one really notices. Like a unconscious frog in a pot being slowly boiled, who will wake up too late. I mention inflation to people around me, and they think I'm talking about tires or blow up dolls. The BLS says it's 36% since 2000, the real number is MUCH higher. The real question is this, if old people eat all the cat food, what do the cats eat? (Old people.....)

GMadScientist's picture

Burning the frog with a parabolic mirror to distract it from the boiling water...

Hard to notice inflation when you're not the one paying!

Getting Old Sucks's picture

Bruce, why are you calling the end to the TEMPORARY payroll tax cut a tax increase?

Oldwood's picture

Curious as to which tax rate is permanent? You mean like SSI that was 1% and then 2% and then more and more and more until it was a little less and is now more again? Or the permanent income tax that was just 2% on the top 1% and then it was raised to 90%? The temporary tax rates we were just saved from were in place for about ten years. In the current world that is about as permanent as it gets.

GMadScientist's picture

Because he's looking at it from the perspective of the taxpayer, not the government.

Getting Old Sucks's picture

What are the facts of the initial cut? Not saying that they shouldn't be perm cause it doesn't matter at this point, but to call it an increase is just being Bullshitic (new term haha) as our government.

Implicit simplicit's picture

If it is more than the day before it is technically an increase. What is the cut off time period for the definition of increase and decrease in the tax world?Were the "temporary" tax cuts considered a cut-a decrease?

I know the temperture decreased today, but it is only temporary, I hope.