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"The US Is Bankrupt," Blasts Biderman, "We Now Await The Cramdown"

Tyler Durden's picture




 

Submitted by Chris Hamilton via Charles Biderman TrimTabs' blog,

US is Bankrupt: $89.5 Trillion in US Liabilities vs. $82 Trillion in Household Net Worth & The Gap is Growing. We Now Await the Nature of the Cramdown.

There are many ways to look at the United States government debt, obligations, and assets.  Liabilities include Treasury debt held by the public or more broadly total Treasury debt outstanding.  There’s unfunded liabilities like Medicare and Social Security.  And then the assets of all the real estate, all the equities, all the bonds, all the deposits…all at today’s valuations.  But let’s cut straight to the bottom line and add it all up…$89.5 trillion in liabilities and $82 trillion in assets.  There.  It’s not a secret anymore…and although these are all government numbers, for some strange reason the government never adds them all together or explains them…but we will.

The $89.5 trillion in liabilities include:

  • $20.69 trillion
    • $12.65 trillion public Treasury debt (interest rate sensitive bonds sold to finance government spending)
      • Fyi – $5.35 trillion of “intra-governmental” Treasury debt are not included as they are considered an asset of the particular programs (SS, etc.) and simultaneously a liability of the Treasury
  • $6.54 trillion civilian and Military Pensions and Benefits payable
  • $1.5 trillion in “other” liabilities http://www.fms.treas.gov/finrep13/note_finstmts/fr_notes_fin_stmts_note13.html.
  • $69 trillion (present value terms what should be saved now to make up the present and future anticipated tax shortfalls vs. present and future payouts).
    • $3.7 trillion SMI (Supplemental Medical Insurance)
    • $39.5 trillion Medicare or HI (Hospital Insurance) Part B / D
    • $25.8 trillion Social Security or OASDI (Old Age Survivors Disability Insurance)
      • Fyi – $5+ trillion of additional unfunded state liabilities not included.

Source: 2013 OASDI and Medicare Trustees’ Reports. (pg. 183), http://www.gao.gov/assets/670/661234.p

These needs can be satisfied only through increased borrowing, higher taxes, reduced program spending, or some combination.  But since 1969 Treasury debt has been sold with the intention of paying only the interest (but never repaying the principal) and also in ’69 LBJ instituted the “Unified Budget” putting all social spending into the general budget reaping the gains in the present year absent calculating for the future liabilities. If you don’t know the story of how unfunded liabilities came to be and want to understand how this took place, please stop and read as USA Ponzi explains nicely… http://usaponzi.com/cooking-the-books.html

$81.8 trillion in US Household “net worth”

According to the Federal’s Z.1 balance sheet http://www.federalreserve.gov/releases/z1/current/z1r-5.pdf, the US has a net worth of $81.8 trillion – significantly up from the ’09 low of $55.5 trillion…a $23 trillion increase in five years.  Fascinatingly, “household” liabilities are still $500 billion lower now than the peak in ’08 but asset “valuations” are up $22.5 trillion.  All while wages have been declining.  A cursory glance at the Federal Reserve’s $4 trillion in balance sheet growth in the same time period shows how the lack of growth in “household” liabilities (currently @ $13.7 trillion) has been co-opted by the Fed.

I believe it’s clear when incomes no longer supported credit and debt growth in ’08, consumers tapped out and in stepped the Federal Reserve to bridge the slowdown.  But what the Fed may or may not have realized is once they stepped in, there was no stepping out.

(Charles, would be great if you could export this chart from FRED to be included…or if you have a better idea to show this relationship, would be great???)

http://research.stlouisfed.org/fred2/graph/?g=GVF

How We Got Here – Growth of Debt vs. GDP

45 years of ever increasing debt loads, social safety net growth, corporate welfare.  45 years of Rep’s and Dem’s in the White House and Congress bought by special interests and politicians buying citizens votes with laws enacted absent the revenue to pay for them.   We have a Treasury and Federal Reserve willing to “innovate” and wordsmith to avoid the national recognition of the true difficulties and implications of our present situation.  45 years of intentionally avoiding an honest accounting of our national obligations, mislabeling, and misdirecting to pretend these obligations can and will be honored.  45 years of cornice like debt and promise accumulation simply awaiting the avalanche of claimant redemptions and debt repayments.

First, an historical snapshot for perspective of the last time US Treasury debt was larger than our economy (debt/GDP in excess of 100% in 1946) and subsequent progress of debt vs. GDP…and why anyone suggesting there is a parallel from post WWII to now is simply ill informed.

Post-WWII:

  • ’46-’59 (13yrs)
    • Debt grew 1.06x’s ($269 B to $285 B)
    • GDP grew 2.2x’s ($228 B to $525 B)
    • ’60-’75 (15yrs)
      • Debt grew 2x’s ($285 B to $533 B)
      • GDP grew 3.3x’s ($525 to $1.7 T) Income grew 3.3x’s ($403 B to $1.37 T)
        • ’65 Great Society initiated, ’69 unfunded liabilities begin under a “Unified Budget”

Post-Vietnam War:

  • ’76 -’04 (28yrs)
    • Debt grew 15x’s ($533 B à $7.4 T) Unfunded liability 15x’s ($3 T to $45 T)
    • GDP grew 7.3x’s ($1.7 T à $12.4 T) Income grew 7.4x’s ($1.37 T to $10.1 T)
    • ’05 -’14 (9yrs)
      • Debt grew 2.4x’s or 240% ($7.4 T à $17.5 T) Unfunded liability 1.5x’s ($45 T to $69 T)
      • GDP grew 1.4x’s or 140% ($12.4 T à $17 T) Income grew 1.4x’s ($10.1 T to $14.2 T)
        • Z1 Household net worth grew 1.25x’s from $65 T to $82 T…

http://www.bea.gov/newsreleases/national/pi/2014/pdf/pi0614_hist.pdf

If the trends continue as they have since ’75, Treasury debt will grow 2x’s to 3x’s faster than GDP and income to service it…and the results would look as follows in 10 years:

  • ’15 – ‘24
    • Treasury debt will grow est. ($17.5 T à $34 T to $44 T)
    • GDP* will grow est. ($17 T à $22 T to $24 T)…income growth likely similar to GDP.

* = I won’t even get into the overstatement of economic activity within the GDP #’s…just noting there is an overstatement of activity.

So, while the Treasury debt growth rate skyrocketed from ’05 onward and the GDP growth slumped to its lowest since WWII, the unfunded liabilities grew even faster.

Drumroll Please – Total Debt/Obligation growth vs. Debt

Let’s go back to our ’75-’14 numbers and recalculate based on total Federal Government debt and liabilities:

  • ’75-’14
    • debt (total government obligations) grew 33x’s 168x’s ($533 B à $17.5 T $89.5 T*)
    • GDP grew 10x’s ($1.7 T to 17 T)
      • Household net worth grew 15x’s ($5.4 to $82 T) while median household income grew 3x’s (est. $17k to $51k) while Real median household income grew 1.13x’s ($45k to $51k)

*$89.5 T is the 2012 fiscal year end budget number, the 2013 fiscal year end # is likely to be approx. $5+ T higher, or debt grew 180x’s in 40 years vs. 10x’s for GDP / income….but seriously, does it really matter if debt grew at 10x’s, 16x’s, or 18x’s the pace of the underlying economy…all are uncollectable in taxes and unpayable except for QE or like programs.

Why Can’t We Pay Off the Debt or Even Pay it Down?

Take 2013 Federal Government tax revenue and spending as an illustration:

  • $16.8 Trillion US economy (gross domestic product)
    • $2.8 Trillion Federal tax revenue (taxes in)
    • $3.5 Trillion Federal budget (spending out)
      • -$680 Billion budget deficit (bridged by sale of Treasury debt spent now and counted as a portion of GDP)
      • = $550 Billion economic growth?!?
        • PLEASE NOTE – The ’13 GDP “growth” is less than the new debt (although the new debt spent is counted as new GDP) and the interest on the debt will need be serviced indefinitely.

Why Cutting Benefits or Raising Taxes Lead to the Same Outcome

While many try to dismiss these liabilities assuming we will continue to only service the debt rather than repay principal and interest; assuming we turn down the SS benefits via means testing, delaying benefits, reducing benefits; assuming we will bend the curve regarding Medicaid, Medicare, and Welfare benefits; assuming we will avoid further far flung wars and military obligations and stop feeding the military industrial complex; assuming no future economic slowdowns or recessions or worse; assuming a cheap and plentiful energy source is found to transition away from oil.  But all these debts and liabilities are someone else’s future income they are now reliant upon; someone’s future addition to GDP.  If these debts or obligations are curtailed or cancelled to reduce the debt or future liability, the future GDP slows in kind and tax revenues lag and budget deficits grow.  Of course I do advocate these debts and liabilities cannot be maintained, but austerity (real austerity) is painful and would set the stage for a likely depression where the nation (world) proceeds with a bankruptcy determining what and how much of the promises made can be honored until wants, needs, and means are all brought back in alignment.

So What’s it All Mean?

Let’s get real, austerity is not going to happen and we aren’t going to balance the budget.  We’re never going to pay off our debt or even pay it down.  We’re rapidly moving from 4 taxpayers for every social program recipient to 2 per recipient.  And ultimately, now we aren’t even really paying the interest on the debt…the Federal Reserve is just printing money (QE1, 2, 3) to buy the bonds and push the interest payments ever lower masking the true cost of these programs.  Of course, interest rates (Federal Funds Rates) have edged lower since 1980’s 20% to todays 0% to make the massive increases in debt serviceable.

Politicians and central bankers have shown they are going to print money to fulfill the obligations despite the declining purchasing power of the money.  It’s not so much science as religion.  A belief that infinite growth will be reality through unknown technologies, innovations, and solutions that in four decades have gone unsolved but somehow in the next decade will not only be solved but implemented.  Because it is credit that is undertaken with a belief that the obligation will ultimately allow for future repayment of principal, interest, and a profit.  But without the growth, the debt cannot be repaid nor liabilities honored.  Without the ability to repay the principal, the debts just grow and must have ever lower rates to avoid interest Armageddon.  This knowledge creates moral hazard that ever more debt will be rewarded with ever lower rates and thus ever greater system leverage.  The politicians and central bankers will continue stepping in to avoid over indebted individuals, corporations, crony capitalists, cities, states, federal government from failing.  It is a fait accompli that a hyper-monetization has/is/will take place…and now it is simply a matter of time until the globe either becomes saturated with dollars and/or reject the currency (so much to discuss here on likely demotion or replacement of the Petro-dollar and more…).  Because the earthquake (unpayable debt and obligations) has already taken place, now we are simply waiting for the tsunami.  Forget debt repayment or debt reduction…forget means testing or “bending cost curves”…we’re approaching the moment where even at historically low rates we will not be able to pay the interest and maintain government spending…without printing currency as this generation of American’s have never seen.  Bad governance and bad policy coupled with disinterested citizens will demand it.

Epilogue – So Where Do you put your Money?

No one can really know what will have value in this politicized crony capitalistic system as the hyper-monetization ramps up…all I can suggest is to hedge your bets with some physical precious metals, some minimal leveraged real estate, but also stocks and bonds and even some cash…because although there are natural forces in favor of the tangible, finite goods…there are also equally determined forces bound to push bond yields down, real estate and particularly stock prices up.  Unfortunately, the more you know, the more you know you don’t know…invest and live accordingly.

 

 

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Mon, 08/04/2014 - 21:34 | 5047045 Cattender
Cattender's picture

so we're Bankrupt.. but, in a Recovery?? WTF??

Mon, 08/04/2014 - 21:40 | 5047073 ebworthen
ebworthen's picture

Yeah, and buy some stawks to support the ponzi.

Mon, 08/04/2014 - 22:11 | 5047206 mayhem_korner
mayhem_korner's picture

 

 

Wait..."ponzi" is not the short dude on Happy Days?

(Weak, I know.  But I'm two scotches in and that's the best I can muster.)

Mon, 08/04/2014 - 23:24 | 5047467 Yes_Questions
Yes_Questions's picture

 

 

Just two?

 

pffff.

 

Come back when you're serious.

 

;

Mon, 08/04/2014 - 23:44 | 5047511 SafelyGraze
SafelyGraze's picture

safelygraze comment re: biderman got taken out

what gives?

Mon, 08/04/2014 - 23:53 | 5047537 Dutti
Dutti's picture

Because safelygraze was in the downline  of "my sister made a million"

 

Tue, 08/05/2014 - 00:01 | 5047553 SafelyGraze
SafelyGraze's picture

doh!

of course.

thanks dutti.

Tue, 08/05/2014 - 02:51 | 5047762 Manthong
Manthong's picture

Cramdown?

It’s the Cram UP that I am concerned about.

Tue, 08/05/2014 - 07:37 | 5047968 Occident Mortal
Occident Mortal's picture

Come on guys.

The unfunded liabilities such as Medicaid and Medicare will just see entitlements watered down when the costs get too high. They will probably be sold off to JPMorgan along with some giant forced insurance bill that just happens to coincide with it. The government doesn't intend to default and collapse, with the flick of a pen they can do whatever the hell they like.

 

Same with pensions, the government can just push the pension age a little higher and bingo the liabilities are gone. Talk to people under 25 and most expect their pension rights to be removed completely before they ever reach pensionable age.

 

 

Tue, 08/05/2014 - 08:06 | 5048005 Thought Processor
Thought Processor's picture

 

 

All roads lead to reset.

 

 

Tue, 08/05/2014 - 09:06 | 5048225 ActionJackson
ActionJackson's picture

Yes, the gub'mint is really good at kicking the can down the road. Too bad for them that all roads end at some point.

Tue, 08/05/2014 - 11:45 | 5049110 teslaberry
teslaberry's picture

this is exactly the plan. all these obligations will be changed by law. '

'default' will be legally and slowly arranged as a series of legal maneuvers comprising unilateral negotiation between the government and its weakest creditors.

the people that will be most severely fucked are those with the least power, and those with the least voting power because of crony democracy (kronacracy, yea i just aid kronacry, you heard it here first !) .

who is the easiest to fuck over in a politically correct , hyper technological, effeminized , OLD , and SICK, society?

healthy working age men, that is who.

Tue, 08/05/2014 - 05:03 | 5047856 Eirik Magnus Larssen
Eirik Magnus Larssen's picture

Disconcerting numbers to be sure.

Tue, 08/05/2014 - 06:50 | 5047925 Dugald
Dugald's picture

 

Make it three and try harder.....

Mon, 08/04/2014 - 22:02 | 5047186 stocktivity
stocktivity's picture

I keep telling you...It's all Bullshit!!!

Tue, 08/05/2014 - 00:44 | 5047629 El Vaquero
El Vaquero's picture

Bullshit = bullish.  It's investing 101. 

Mon, 08/04/2014 - 23:39 | 5047502 rubiconsolutions
rubiconsolutions's picture

I guess I'm a little confused. If every dollar in existence was manufactured by way of debt through fractional reserve banking then there aren't really any assets from a dollar perspective, right? Sure, there are physical assets which some own outright but in the final analysis isn't the whole system just one big Ponzi which will inevitably collapse?

Tue, 08/05/2014 - 00:27 | 5047600 Mercuryquicksilver
Mercuryquicksilver's picture

What are you confused about? Does inevitable mean 1 month or 1 decade?

Tue, 08/05/2014 - 00:55 | 5047647 HardAssets
HardAssets's picture

Yes . . . the definition of 'inevitable' has gotten a lot of us in trouble. (or not, depending on what the definition turns out to be in the end)

Tue, 08/05/2014 - 09:52 | 5048461 Mr. Ed
Mr. Ed's picture

"…all I can suggest is to hedge your bets with some physical precious metals, some minimal leveraged real estate"

One thing IS inevitable: this kinda talk leads an ever increasing number of dupes willing to pay 5x - 10x or more than what land is actually worth... great advice Charles... got a little thing goin there with the NAR?

Tue, 08/05/2014 - 10:02 | 5048470 Mr. Ed
Mr. Ed's picture

ditto...(?)

Tue, 08/05/2014 - 10:03 | 5048482 Mr. Ed
Mr. Ed's picture

diito...(WTF!  who maintains this editor?)

Tue, 08/05/2014 - 10:05 | 5048525 Mr. Ed
Mr. Ed's picture

...or is the real estate bubble not big enough for ya yet?

Tue, 08/05/2014 - 06:17 | 5047895 Global Observer
Global Observer's picture

Money is needed to transfer wealth (commerce), but not to create it. As long as those creating these tokens of value (money) restrict their creation to that needed for trading the wealth being created, there is no reason for the system to fail, ever. However when people confuse money for wealth and demand endless of creation of these tokens and the creators oblige, it is bound to end in a collapse of the system. But as long as a society is capable of generating wealth, collapse of one token of value is not a catastrophe, other tokens of value will quickly replace it. Hyperinflation of Zimbabwe dollar didn't cause their economy or social fabric to collapse. People switched to using the US$ and South African Rand instead of the Zim $. If the US too is capable of generating actual wealth, collapse of the US$ is not the end of the world, merely a temporary inconvenience. If, on the other hand, the US has little capability to generate wealth, it will be more than a temporary inconvenience when the US$ collapses, because then the country's overall consumption has to be limited to what it can produce in terms of actual wealth. What the internal distribution of the consumption of the wealth produced is anybody's guess, but a very large percentage will hve to settle for significantly less than what they have been consuming so far.

Tue, 08/05/2014 - 06:20 | 5047897 FredFlintstone
FredFlintstone's picture

I think you are generally correct, but it will be more than an inconvenience to the middle-aged and elderly. Just ask a Russian.

Tue, 08/05/2014 - 07:24 | 5047957 BrokusDickusMaximus
BrokusDickusMaximus's picture

So, let's just say that a soldier (hypothetical) came across a vast stack of physical gold bars while in the midst of the Operation Iraqi Freedom. This (hypothetical) soldier now needs to convert said very large bars into fiat Federal Reserve Notes to further his retirement after the devastaing and vicious divorce he endured. I mean Craigslist and ebay might not be an option. I can't eat this shit if you know what I mean. The ex is sniffing around hard because she thinks there might be a payday headed her way. Anybody know a buyer that can keep his f@#king mouth shut? Everything is so tracked and video recorded that it makes it hard to do what I want.

Tue, 08/05/2014 - 07:58 | 5048001 Its_the_economy...
Its_the_economy_stupid's picture

BDM, Hypothetically, you're fooked. But actually, you're king o' the mountain.

Tue, 08/05/2014 - 09:34 | 5048367 ratpack1968
ratpack1968's picture

Hypothetically, it makes it harder to do what you want when you post your hypothetical dilemma on a website that is accessed by a large audience.

Tue, 08/05/2014 - 11:38 | 5049056 Ying-Yang
Ying-Yang's picture

You might consider asking the NSA where to exchange said gold since they are aware of said hypothetical problem?

Tue, 08/05/2014 - 06:28 | 5047904 Silverhog
Silverhog's picture

No recovery here in southern Masshole. Retail store summer sales fell off a cliff early June. Many saying worse sales record in over 30 years for many long timer businesses. State Sale Tax dept will be getting quite a jolt this coming quarter. 

Tue, 08/05/2014 - 08:24 | 5048033 pazmaker
pazmaker's picture

Fall River/ New Bedford?

Tue, 08/05/2014 - 08:59 | 5048186 ThirteenthFloor
ThirteenthFloor's picture

Silverhog > Good comment.  As retailer cashflow falls, inventory and supplies will drop off.  Get the essentials now.  Winter will be short of supplies.

Tue, 08/05/2014 - 08:55 | 5048169 ThirteenthFloor
ThirteenthFloor's picture

Brain hasn't quite found out the body is dead.

Give it a few months.  They will not be peace for Christmas.

Mon, 08/04/2014 - 21:37 | 5047046 LetThemEatRand
LetThemEatRand's picture

$69T in unfunded SS and Medicare liabilities?  Meet Ebola.  Ebola?  Meet $69T in unfunded SS and Medicare liabilities.   I'm going to go get a drink.  Talk amongst yourselves.

Mon, 08/04/2014 - 21:38 | 5047067 fonzannoon
fonzannoon's picture

Oh the sweet irony. Biderman went Schiff. But only after he got everything else wrong first.

 

https://www.youtube.com/watch?v=dLA09a9Ws0Q

Mon, 08/04/2014 - 21:50 | 5047111 LetThemEatRand
LetThemEatRand's picture

Did your wife forgive you yet for hitting her with the power washer upon her return from the City?  Still laughing at that one.

No doubt Biderman is a Johnny Come Lately.  It's going mainstream, which I think probably means something.

Mon, 08/04/2014 - 22:26 | 5047284 CrazyCooter
CrazyCooter's picture

I don't have a dog in this hunt (paying off debt with a small bit of metals and cash out of the system), but didn't Biderman run the "float shrink" ETF which is pretty much on the money with all this insane buy back BS going on that is proping up stocks?

Maybe he is an asshole. Maybe he is a con. But unless I miss something, he has it nailed (for now).

Of course, that can change in a few weeks when the modern world gets Ebola and survivors are selling blood transfusions for ... right, survivors are in the FEMA camps whose guards are selling their blood for tens of thousands of dollars.

Regards,

Cooter

Mon, 08/04/2014 - 22:27 | 5047293 fonzannoon
fonzannoon's picture

he also famously went 100% short the S&P I believe around 1,500 on the nose.

Mon, 08/04/2014 - 22:36 | 5047323 LetThemEatRand
LetThemEatRand's picture

Didn't know that.  Based on that, it sounds like he's a muppeteer.  So the S&P is probably poised to double from here.  

Tue, 08/05/2014 - 00:01 | 5047554 CrazyCooter
CrazyCooter's picture

Personally the ride I think I am on is "stawks double, food quadruples" or something along those lines.

The press will pretend that chalk water is milk (hedonics, etc) and we all ride down hill to hell.

Personally, I don't give a pinch of coon shit about biderman, I just know him from all the float-shrink-etf posts (he used to get a lot of traffic and even more hate) from a while back on ZH. Topically, it seemed like a good call. I don't have any money in the market and never will ... the rest of my life.

Fuck you Wall Street.

Regards,

Cooter

Tue, 08/05/2014 - 01:03 | 5047659 El Vaquero
El Vaquero's picture

What?  The 20+ pounds of squash on my counter and the elk steak I had for dinner with said squash was pretty cheap when all costs were added up.  The strawberry-green chile jam I made the other day was pretty damned cheap too.  I've found that hot pickled green beans kick ass too for not that much.  Oh, and tested some of the mustard seed for pickling that I got from fucking Albertson's, and it germinates.  Guess what I'll be planting soon.

 

Food doesn't have to quadruple for everybody.

Tue, 08/05/2014 - 01:24 | 5047683 Bananamerican
Bananamerican's picture

Well, yeah, but it's still 20 lbs of SQUASH El Vaq....

Tue, 08/05/2014 - 01:33 | 5047689 El Vaquero
El Vaquero's picture

Squash is good.  I saw "organic" yellow squash for $3.99/12oz the other day.  I'm pulling that much out every one to three days, and then I have the patty pans, the zuchinnis, the patty pan-yellow hybrid, the zuchchini-yellow hibrid, and all of the winter squash that is just now starting to produce, as in the female flowers have finally appeared. 

 

PS, I didn't red you.  My grandfather hated squash, and he was born on a farm in the territory of New Mexico.  If you know anything about the native diet, you know that squash is kind of a big deal.

Tue, 08/05/2014 - 09:08 | 5048238 FreeNewEnergy
FreeNewEnergy's picture

El Vaquero, need to correct you. SQUASH IS AWESOME!

I have been harvesting mammoth spaghetti squash (from heirloom seeds) in my back yard for two weeks. Biggest one was over six pounds. They are beautiful, oval-shaped, yellowish, delicious and nutritious. And, they are a snap to prepare. Just cut in half, scoop out the seeds (save them, but one squash will produce enough seed that you'll never need any more), place face down in over, cook at 325 for about 30 minutes.

Comes out like spaghetti with a fork. I tried some with grilled chicken, sauteed olives, onions and my own home-grown broccoli in olive oil and butter. A little  garlic, pepper and grated cheese and I thought I had died and gone to heaven.

Best part is I didn't plant these three squash plants in my garden, because last year, I had three and they went everywhere. These three came up by themselves. Gotta love mother nature. Now they're battling with the equally-voracious three cucumber plants for domination of the garden.

These cucumber plants are serious climbers. Those I planted myself, near the seven-foot deer netting. Well, they've climbed up that and one actually reached over and grabbed ahold of a branch of a tree. I now have the only cucumber tree in America, or, at least in upstate NY.

But the squash is incredible. Figured the pioneers must have ate a lot of squash during the winter. It can be stored for as long as six months in proper conditions, without refrigeration.

Biderman may tout, gold, silver, stawks, cash, but my money's on Mother Nature and spaghetti squash.

Mon, 08/04/2014 - 22:30 | 5047305 LetThemEatRand
LetThemEatRand's picture

Biderman was right, but for the wrong reasons.  If he were honest, he would have said "the economy is fucked, but go long because the Fed is going to paper it all over and it will work for a while."  Like most of his ilk, he defended the system on CNBC.

Mon, 08/04/2014 - 23:31 | 5047478 Hal n back
Hal n back's picture

actually Biederman said a few weeks ago in response to the question of when this market rally ends, he said it ends when the govt and Fed stop really printing, and when the corporations can no longer do buybacks.

Tue, 08/05/2014 - 06:15 | 5047894 conscious being
conscious being's picture

Simple answer to that question. The market rally ends when Vlad says it does.

Tue, 08/05/2014 - 00:07 | 5047567 CrazyCooter
CrazyCooter's picture

One of my favorite, and little well known southern metaphors is approximately "two johns in a whore house fighting over a bible."

Its essential meaning is arguing a bout a particular truth when the actors are fatally flawed. The lesson extends from this, which is simply never seek truth from a flawed actor.

One can avoid a lot of trouble in life following this advice.

Regards,

Cooter

Tue, 08/05/2014 - 10:12 | 5048557 DanDaley
DanDaley's picture

The lesson extends from this, which is simply never seek truth from a flawed actor.

 

Not to be a fucking prig, or a prick, I'd say you have to find truth where you find it no matter the source, and you can't reject something out of hand simply because you hate the source (the so-called genetic fallacy)...in other words, you can't say 2 + 2 don't equal 4 because Hitler or Obama said so, and I hate them so it can't be true. Even Obama can say true things by accident once in a while, so you just have to use discernment.

Mon, 08/04/2014 - 22:25 | 5047279 shovel ready
shovel ready's picture

talk about nice use of references to make your point!

i didn't realise biderman was such a convert.

to his credit, he certainly comes off as a gentleman - apologizing for interrupting schiff.

Mon, 08/04/2014 - 22:33 | 5047316 thamnosma
thamnosma's picture

No inflation in all these "contracting" years either -- I noticed the ticker showing Brent at 62.00

Tue, 08/05/2014 - 01:25 | 5047685 El Vaquero
El Vaquero's picture

 

Oh the sweet irony. Biderman went Schiff. But only after he got everything else wrong first.

At least he didn't pull a Mike Norman and go batshit insane. 

Mon, 08/04/2014 - 21:40 | 5047075 knukles
knukles's picture

Between the 4 Horsemen (ebola got dibs on the white horse) and idiocy (Time for resurrection of the Krugmanesque $1 Trillion plastic coins we're doin' fine, just fine.

Mon, 08/04/2014 - 21:59 | 5047118 LetThemEatRand
LetThemEatRand's picture

One word, Benjamin:  trilliondollarplasticcoin.

EDIT:  Does Kerry count as his own horse, or does someone need to be riding him?

Tue, 08/05/2014 - 01:20 | 5047679 DeadFred
DeadFred's picture

White, red, black, pale and spavined horses, doesn't that make five?

Mon, 08/04/2014 - 22:10 | 5047161 medium giraffe
medium giraffe's picture

The horse's name is Binky, btw. :)

 

http://wiki.lspace.org/mediawiki/index.php/Binky

Mon, 08/04/2014 - 22:32 | 5047306 DoChenRollingBearing
DoChenRollingBearing's picture

 

 

knukles

In addition to physical PMs, now go long eucalyptus oil (at health food stores, GNC, etc.).  It's one of the very strongest antispetics around.  Put a dab on your hankie and breathe through it in an epidemic of something nasty...

Tue, 08/05/2014 - 01:10 | 5047668 El Vaquero
El Vaquero's picture

Look up all of the historical evidence PLUS all of the speculation surrounding Imhotep.  The real one, not the fake one in that Brandon Fraser movie.  You'll find all sorts of shit surrounding ancient medicine that actually has a basis in reality.  It won't get you through a bout of Ebola or Pneumonic Plague, but for most ailments, you'll be good to go.

 

Actually, it might get you through a bout of the Pneumonic Plague.  But I wouldn't bet my life on it, unless the wager was placed for me by the plague and a lack of access to modern medical care. 

Tue, 08/05/2014 - 07:44 | 5047980 dizzyfingers
dizzyfingers's picture

"long eucalyptus oil"

...also Tea Tree oil. Have used it for years for cuts, scrapes, abrasions,  blisters, etc. Nary one infection. Don't ingest!

Mon, 08/04/2014 - 22:16 | 5047245 Taint Boil
Taint Boil's picture

 

 

Ebola is going to take care of those “liabilities” – no worries, part of the plan.

Tue, 08/05/2014 - 00:07 | 5047566 trulz4lulz
trulz4lulz's picture

Much cheaper to just burn it.

Tue, 08/05/2014 - 07:32 | 5047966 neuronius
neuronius's picture

Isn't that the mafioso modus operandus?  When you can't squeeze another dime out of it, burn it down and collect insurance, a la Goodfellas...

Mon, 08/04/2014 - 21:36 | 5047056 Spitzer
Spitzer's picture

Schiff radio is over at the end of the month. He's too busy with other things.

Hopefully RT courts him for a show.

Mon, 08/04/2014 - 21:42 | 5047085 fonzannoon
fonzannoon's picture

really he is too busy? That's why his show is over? Dude I don't know about that.

Mon, 08/04/2014 - 21:51 | 5047117 hobopants
hobopants's picture

Schiff isn't on your guru list huh?

Mon, 08/04/2014 - 21:56 | 5047152 fonzannoon
fonzannoon's picture

I used to follow him a lot. he is now calling yellen's bluff on raising rates. he has got rates wrong even when he got gold right. i think yellen is about ready to make a total ass out of him

Mon, 08/04/2014 - 22:07 | 5047194 hobopants
hobopants's picture

You thinking a token couple of basis points or the real deal? Seems like all the doom Gurus are saying it's impossible for them to pull off without causing havoc in the markets.

Mon, 08/04/2014 - 22:26 | 5047272 kill switch
kill switch's picture

I gave Schiff $700,000.00 to invest and he lost me almost all if it...REDBANK ENERGY @$00.00 down $23,000.00 no due dili it was a leveraged custer fuck...down $17,000.00 PWE Penn West Pat...and on it goes....I'm still in good shape as I have diverted my assets in real things....you can guess...No fucking stocks overseas......I now have $8,000.00 in Europac AND WILL JUST ABANDON IT...On the com it was 3% in and out.....

Mon, 08/04/2014 - 22:27 | 5047287 LetThemEatRand
LetThemEatRand's picture

If I were you, I would change my handle from "kill switch" to "kill Schiff."   

Mon, 08/04/2014 - 22:29 | 5047299 kill switch
kill switch's picture

It sucked but it didn't kill me....

Mon, 08/04/2014 - 22:35 | 5047320 fonzannoon
fonzannoon's picture

man i remember Schiff going on and on about canadian energy income a while back and watching that sector get creamed. if he really tanked u like that i feel for you man. thats rough.

Mon, 08/04/2014 - 22:45 | 5047355 kill switch
kill switch's picture

 

The finance minister of Canada imposed a tax on the Canadian trusts on OCT 31 and had everyone in the government keep it under the rug until it sprang...Mother fucker.....If I fucked the mafia out of billions of dollars I would be in a sedan trunk, but not these assholes...

Mon, 08/04/2014 - 23:06 | 5047411 Terminus C
Terminus C's picture

You aren't the mafia so that's why they get away with it.  Trusting other people with your money is a bad idea.

Mon, 08/04/2014 - 23:24 | 5047449 kill switch
kill switch's picture

 

I did some due dili on some of it  but at the time I was busy making more...You know how it goes....P.S. How do you know..Do you know where the finance minister is ??????

Mon, 08/04/2014 - 23:55 | 5047541 Terminus C
Terminus C's picture

Gov't ministers are the ultimate in mafioso.  Fuck them and the horses they rode in on.

Mon, 08/04/2014 - 22:41 | 5047341 hobopants
hobopants's picture

Ya, I can't bring myself to invest in any of his funds...I think he is right on the big picture stuff, but trading on that hasn't exactly worked out too well these last five years. I just stack, hopefully that will at least keep my savings from taking a crap if (when) stuff ever goes sideways.

Sorry about that loss, I think I would be in agreement with Rand, a change of handle is in order.

 

 

Mon, 08/04/2014 - 22:50 | 5047361 kill switch
kill switch's picture

I would be in agreement with Rand, a change of handle is in order.

 

I like my handle....

 

Not worth it as I hope he had fun with my fiat to pay for his house staff..

Mon, 08/04/2014 - 23:00 | 5047385 LetThemEatRand
LetThemEatRand's picture

You got another $700K to blow?  I have a 13 year old lab mix (and his vet) that need a sponsor, and I won't even tell you you're getting your money back.  In all seriousness, you are a better man than I.  I lost a few hundred K on bad advice from myself, and I still want to kill me.

Mon, 08/04/2014 - 23:12 | 5047429 kill switch
kill switch's picture

 

I do ,,,but I'm more focused on how I distribute it....and don't kill yourself,, we need you here as I enjoy your posts,,,,not always agree, but who the fuck does with me..

Cheers LetThemEatRand.....

Mon, 08/04/2014 - 23:19 | 5047438 LetThemEatRand
LetThemEatRand's picture

No worries, kill switch.  I may want to kill me for my bad financial advice to myself, but that would be letting myself off the hook too easily.  And the lab mix needs the vet bills paid etc.  Cheers.  Make it all back.

Mon, 08/04/2014 - 23:27 | 5047471 kill switch
kill switch's picture

If I do give me your vets address....and his wire transfer info..

Tue, 08/05/2014 - 00:28 | 5047598 elephant
elephant's picture

you got my respect - thanks for sharing your story.  It helps me to know I am not alone in having been screwed by expectations of collapse

Tue, 08/05/2014 - 06:23 | 5047899 conscious being
conscious being's picture

The Magumbo Guru always new what he was talking about.

Mon, 08/04/2014 - 22:52 | 5047370 lanchende
lanchende's picture

What time frame was that? Except for 2013 I've done OK w him. You in a managed account?

Mon, 08/04/2014 - 23:07 | 5047405 kill switch
kill switch's picture

No I gave him complete control,,,, my fucking mistake ,,,In 2005.....As I knew his father before I new him,,,His father had integrity and I thought it rubbed off...And I don't giva a fuck about his father's incometax views, I guess I agreed with him on that.. And I did and he sits in jail in min.....And that sucks..

Tue, 08/05/2014 - 01:28 | 5047687 PrecipiceWatching
PrecipiceWatching's picture

You lost 700K and don't seem that bothered by it ?!

 

Apparently I am very small potatoes among the ZH crowd.

 

Wow.

Tue, 08/05/2014 - 02:11 | 5047718 dark_matter
dark_matter's picture

He's from Zimbabwe.

Tue, 08/05/2014 - 07:48 | 5047984 Lostinfortwalton
Lostinfortwalton's picture

Did you ever consider Exxon-Mobil? Pays a decent dividend, too.

Mon, 08/04/2014 - 21:41 | 5047057 wanderintheland
wanderintheland's picture

Good. Congress can take a permanent 'vacation' since we can't afford to pay them for doing absolutely nothing anyway. You too, Obummer. Someone break out the pink slips.

Tue, 08/05/2014 - 04:07 | 5047812 capitallosses
capitallosses's picture

They can keep their jobs and get paid handsomely if ONLY THEY WOULD DO NOTHING!

Mon, 08/04/2014 - 21:38 | 5047066 Bill of Rights
Mon, 08/04/2014 - 21:40 | 5047071 TheRideNeverEnds
TheRideNeverEnds's picture

hahaha did he forget the fact that we print our own money? 

Mon, 08/04/2014 - 22:02 | 5047184 Dr. Engali
Dr. Engali's picture

That's not money the fed is printing, it's currency. There is a big difference, namely money provides a store of value.

Tue, 08/05/2014 - 07:12 | 5047938 Escrava Isaura
Escrava Isaura's picture

Dr. Engali,

Money (dollar, Euro) is median of exchange.

Currency (say a gram of gold, wheat) is the median of weight.

Remember: Medium of exchange, unit of account, and store of value.

Germany hyperinflation was because of too much money in circulation and German Mark was not a global currency, such as the dollar.

US (Fed) is not making the same mistake as Germany did, either.

Mon, 08/04/2014 - 22:11 | 5047226 Bossman1967
Bossman1967's picture

it's all digital no value no shit just hypothetical bullshit
watch this 209876546886 now Janet put that in my account no biggie

Mon, 08/04/2014 - 21:40 | 5047074 jaap
jaap's picture

this is great work

Mon, 08/04/2014 - 21:42 | 5047081 q99x2
q99x2's picture

Asymmetric warfare by the globalists and banksters against the populations of the world has begun. Good luck Biderman ole buddy.

Mon, 08/04/2014 - 22:38 | 5047331 espirit
espirit's picture

@ q

Aren't "we the people" likened to nickels in front of the steamroller?

My delusion is that TPTB will go after each other in the throes of battle, and the proles are just collateral damage.

Mon, 08/04/2014 - 21:42 | 5047084 Buster Cherry
Buster Cherry's picture

A new version of the message of doom I've been hearing and preparing for.since 2008. We've had so many tripwire events yet nothing ever boils over.

Im ready to just get the earplugs and put on the blinders and say damn the torpedos.

Maybe those kids.on the other side of.the fence.have it right by smoking doobies all day while their Igadgets raise them to adulthood.

Mon, 08/04/2014 - 22:13 | 5047233 KnuckleDragger-X
KnuckleDragger-X's picture

They've got an app for that...

Mon, 08/04/2014 - 23:02 | 5047401 Salah
Salah's picture

I'd say the last week of this month is a serious contender, Buster.  Mars conjuncts Saturn, both squared by Venus which trines Uranus....gets my vote for #2 in 2014, only after the Grand Square in April that kicked off all this Ukraine stuff.  And that's where Uranus revists the scene of those crime(s) in October-November.   It'll be lively enough for you.

Mon, 08/04/2014 - 23:49 | 5047523 Buster Cherry
Buster Cherry's picture

I upvoted you because I've been drinking.

Tue, 08/05/2014 - 02:07 | 5047715 dark_matter
dark_matter's picture

Finally a really good comment.

Tue, 08/05/2014 - 08:29 | 5048053 Its_the_economy...
Its_the_economy_stupid's picture

SALAH,

i just can't stop laughing.

Mon, 08/04/2014 - 21:44 | 5047092 robertocarlos
robertocarlos's picture

The first step is admitting you have a problem. The next step is changing your behavior. Not going to happen.

Mon, 08/04/2014 - 21:45 | 5047101 Coletrane
Coletrane's picture

only one way to get rid of dat debt.
WOAR !!!!!

Mon, 08/04/2014 - 21:59 | 5047169 Space Animatoltipap
Space Animatoltipap's picture

With Russia, China and Iran. At the same time. Not just with some test ground like Iraq or Afhanistan. 

Mon, 08/04/2014 - 22:17 | 5047247 Harbanger
Harbanger's picture

The entire West is in debt.  EU debt is 87.48% of GDP.  US debt is 71.99%

Tue, 08/05/2014 - 05:57 | 5047880 oudinot
oudinot's picture

US debt is 104% of GDP. One must include the intra govt. borrowing.

Tue, 08/05/2014 - 06:13 | 5047890 FredFlintstone
FredFlintstone's picture

Comparing government debt to GDP is ridiculous as if the entire economic output of a country is available for debt retirement. I think the metric is there to put normal, taxpaying "folks" at ease because they might have a mortgage that is 2 to 3 times their gross income.

However, our government's income is not GDP, but tax receipts, which will be $3T this year. This would make our government debt about 500% of our government revenue. We are borrowing $600 billion this year or 20% of our income.

So this is like a family with a $100k income, $500k in mortgage, car loans and CC debt  and racking up another $20k in debt this year.

"Folks" that family is our government and someone is going to get fucked.

Mon, 08/04/2014 - 22:11 | 5047208 dhengineer
dhengineer's picture

That's a Keynesian wet dream.  WWI resulted in the bankruptcy of four empires and a change of reserve currency.  WWII resulted in most of the Western world actually believing that the dollar was as good as gold (morons!).  If we are actually stupid enough to believe the Krugmans of the world, assuming we prevail, we will be even further in debt, with China and Russia standing there with their hands out, demanding repayment.  In reality, they do not have to fire a shot.  All they have to do is to sell, sell, sell all the Treasury paper they own, and then stand for delivery of virtually all the remaining scraps of gold and silver the Comex and LBMA can lay their sweaty little mitts on.  Meanwhile, Saudi Arabia demands gold or Yuan or Rubles for oil.  Game, set, match.  It will look like the end of the Battle of the Bulge: our vastly superior military literally dead in the water for lack of fuel, within rock-throwing distance of the fuel dumps at Antwerp.  And then the entire third world shows up demanding actual cash for the tons of Fed paper that the Chinese exchanged for crops, fuel, commodities, and mineral rights. 

Moar woar indeed!

Tue, 08/05/2014 - 01:21 | 5047680 El Vaquero
El Vaquero's picture

Think about it.  If you're the average moron who doesn't give a shit if it doesn't have to do with a Kardashian ass or an NFL team, what are you going to think when your window gets broken?  Are you going to be livid, ready to whoop some ass, or, when some fuck like Krugman comes along and says its good for the economy, are you going to get pissed, then, when nothing comes of that, start to rationalize? 

Mon, 08/04/2014 - 21:57 | 5047159 Duc888
Duc888's picture

 

 

 

Hey man....

uhhhhh....

"just go shopping"

hahahahahahahahahahahahahahahahahahahaaha

aaaaaaah, and, even better....

"We'll grow our way out of the economic downturn"

....hahahahahahahahaha

"The oil will pay for the war"......

hahahahahahahahaha

This will be the most open administration"...

hahahahahahahahahahaha

Keep voting you shmucks.

Red team, blue team....hahahaha

Go USA!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

Mon, 08/04/2014 - 21:59 | 5047168 grid-b-gone
grid-b-gone's picture

 "Invest and live accordingly."

Diversification and avoiding debt will help, but in a cramdown, PM confiscation a la 1938 is an option.

It is not completely irrational that the way to combat the inevitable is to join in. Dip from the turd-free punchbowl knowing full well you will eventually get hit by the full force of a reset.

I'm not that bold or daring. Cuba, Venezuela, Argentina, post-war Germany, post-war Japan, Confederate states, holders of Continental dollars... there are plenty of instances of historical resets. Most of us are proof that a massive economic reset does not last past a generation.

Still, I think I'll diversify, strive to be debt-free, and hope to hold enough marketable assets to weather catastrophy without ending up in a tar paper shack or FEMA camp. That $299/mth truck with the back-up display might be nice for as long as it lasts, but for me, the thought of running out of options at some point in the future does not trump what easy money can buy today. 

Mon, 08/04/2014 - 22:06 | 5047201 christiangustafson
christiangustafson's picture

That would be 1933, sir.

FDR wasn't in office even 3 months before dropping that steaming load.

Mon, 08/04/2014 - 22:01 | 5047174 Duc888
Duc888's picture

 

 

Buster cherry :Getting your tonsils glazed by strangers is no way to make a living sweetheart.

 

So I guess throat yoghurt isn't on the menu this evening?

Mon, 08/04/2014 - 22:03 | 5047180 christiangustafson
christiangustafson's picture

Odious debt, bitchez ...

Unless the youth of today, and of the future, step up and do their part.

Mon, 08/04/2014 - 22:23 | 5047273 harleyjohn45
harleyjohn45's picture

the youth of today are on the cell phone.

Mon, 08/04/2014 - 22:36 | 5047327 bunnyswanson
bunnyswanson's picture

Last year, I had dinner and a lengthy discussion regarding the state of affairs in this country with an elderly gentleman who lives up the street.  I did not see him again until today.  He told me that shortly following that, within days, he had a massive heart attack.

I think we are in serious trouble. 

Tue, 08/05/2014 - 05:19 | 5047868 grekko
grekko's picture

My 17 y.o. son has a pretty good grasp of the situation. He knows he has a role to play in the coming years, and is ready for it. I'm quite proud of him. As for other youth, it depends on who raised them, and how.

Tue, 08/05/2014 - 05:56 | 5047879 FredFlintstone
FredFlintstone's picture

What role is he preparing to play?

Mon, 08/04/2014 - 22:29 | 5047295 Bossman1967
Bossman1967's picture

the youth of today are taught we don't no shit and that we are greedy selfish people. only trust your government. our kids have no hope. my son told me that the American dream is dead and just because I didn't vote for Obama I was a racist so fuck the youth. they will get whats comming then they will ask us what to do

Mon, 08/04/2014 - 22:02 | 5047182 mayhem_korner
mayhem_korner's picture

 

 

I am not bankrupt, and a net payer into the system.  I'm declaring my land a sovereign nation.

Is that a drone I hear overhead?  Bueller?  Anyone?

Mon, 08/04/2014 - 22:02 | 5047183 Duc888
Duc888's picture

 

 

Hey man, just sell the T bonds to Belgium.

hahahahahahahaha

Smooth sailin' from here on in.

 

Mon, 08/04/2014 - 22:04 | 5047192 yrad
yrad's picture

Reset. Fixed.

Mon, 08/04/2014 - 22:08 | 5047209 JustObserving
JustObserving's picture

According to Kotlikoff, real debt was $222 trillion two years ago and more than $244 trillion today:

Kotlikoff is a truth teller. The drones in government don’t follow the same accounting concepts as the real world. When you put government fake accounting into real world numbers, you realize that the government isn’t running annual deficits of $1.3 trillion per year, but deficits of $11 trillion per year. Every year the present value of the unfunded obligations made by our politicians goes up because the promises are one year closer to being honored.

The true present value of future obligations is $222 trillion. This is $700,000 per person. This is $1.9 million per household. This is what you currently owe. Do you feel better?

August 9, 2012

http://www.theburningplatform.com/2012/08/09/the-real-national-debt-is-2...

Tue, 08/05/2014 - 08:11 | 5048012 the not so migh...
the not so mighty maximiza's picture

oww man i think i going to hurl

Mon, 08/04/2014 - 22:11 | 5047221 Bernanke'sDaddy
Bernanke'sDaddy's picture

CAN I HEDGE WITH LINKEDIN STOCK?????.?.?

Mon, 08/04/2014 - 22:11 | 5047225 ualfltdispatch
ualfltdispatch's picture

If you like your Cloward-Piven, you can keep your Cloward-Piven.

Mon, 08/04/2014 - 22:31 | 5047307 Bossman1967
Bossman1967's picture

fuck Cloward and well Pivon can blow me

Mon, 08/04/2014 - 22:15 | 5047239 HeavydutyMexica...
HeavydutyMexicanOfTheNorthernKingdom's picture

89+ Trillion?!  Pfffft....dude that's less than 100 Trillion dollar coins!  We can totally swing that!

Mon, 08/04/2014 - 22:19 | 5047257 Uncle Remus
Uncle Remus's picture

$82 Trillion in assets marked to Unicorn, maybe.

Mon, 08/04/2014 - 22:23 | 5047274 bunnyswanson
bunnyswanson's picture

Canada

USA

 

Which country would you prefer to be in during a catastrophic collapse of the infrastructure?

 

 

Mon, 08/04/2014 - 23:06 | 5047410 The Most Intere...
The Most Interesting Frog in the World's picture

Too cold in Canada.

Tue, 08/05/2014 - 00:10 | 5047575 steelrules
steelrules's picture

That's the way we like it, ya'll think we live in igloo's up here...

Tue, 08/05/2014 - 02:18 | 5047728 John_Coltrane
John_Coltrane's picture

They don't call it "the great White north" for nothing.  Short growing seasons, and the ingenuity and cognitive demands of living in cold conditions are the reason for the superiority of northern WASP cultures (and average IQs) vs that of, say, the spear chucking, kleptocratic, ebola and malaria ridden ones located near the equator.  You don't need much science and technology to get a coconut from a palm tree or spear a monkey-perhaps the reason Africa was a wheel-free continent before colonization.*  And as a bonus microbes do poorly below freeezing.

*That be racsist!

Tue, 08/05/2014 - 06:06 | 5047885 oudinot
oudinot's picture

You are a simpleton saying canada 'has a short growing season'.

Anyone who knows anything about agricultue knows that the amount  'heat units' during the growing season is the true measure.

Since Canada is north in the spring summer the sun rises at 5 am and sets at 1100 pm  giving more heat units than can be had south of the border.

Tue, 08/05/2014 - 09:29 | 5048328 FreeNewEnergy
FreeNewEnergy's picture

+100 to John_Coltrane for use of "spear chucking." Haven't heard that one in years, and yepper, it be totally raciss! Now, if I can just convince a few of the spear chucking types around here that life is better in Alabama or Louisiana, or maybe Venezuela, than up here on the North Coast, my little corner of the world would be a better place, overall, just sayin'.

Tue, 08/05/2014 - 10:24 | 5048623 PrecipiceWatching
PrecipiceWatching's picture

2 for 1 for Canada.

Yet the place remains largely EMPTY, with no major waves of immigration to such a wonderful place.

 

Yea Canada.  Such a condescending, socialist paradise.

 

 

Mon, 08/04/2014 - 22:24 | 5047282 Kreditanstalt
Kreditanstalt's picture

Because there really IS no solution...My vote for Best Post of the Year so far!

Mon, 08/04/2014 - 22:26 | 5047285 10mm
10mm's picture

Funny.  Every sheep ass I encounter want9 to talk about football. 

Mon, 08/04/2014 - 23:35 | 5047496 Kreditanstalt
Kreditanstalt's picture

They've got enough BREAD - so far - so they chatter about CIRCUSES...

Mon, 08/04/2014 - 22:30 | 5047301 MATA HAIRY
MATA HAIRY's picture

 

this is one reason why the corporations, the corporate media, hollywood, academia and the government are so intent on cramming as many immigrants, legal or illegal, as possible into america.

 

Our overlords are going to grow our way out of this debt by cramming as many worker-consumers into this human livestock ranch called America

Tue, 08/05/2014 - 05:41 | 5047874 hootowl
hootowl's picture

TPTB have to quickly replace the 60 million American babies that have been murdered in the wombs of their American mothers, or the whole array of economic Ponzis will collapse.

Mon, 08/04/2014 - 22:37 | 5047328 redwater
redwater's picture

I believe Obama is doing a Cloward-Piven, and is intentionally destroying the country.

I also believe he's the politician we deserve.

This debt is a culmination of many, many administrations. Decades and decades of financial, political-corporate, bankster bullshit and corruption.

 

Tue, 08/05/2014 - 01:55 | 5047708 sylviasays
sylviasays's picture

"I believe Obama is doing a Cloward-Piven, and is intentionally destroying the country. I also believe he's the politician we deserve."

Why do "we" deserve a POTUS like Obama?

Many of us didn't vote for him, and those who did generally belong to the FreeShitArmy. 

While the debt may have begun under many administrations, the Obama regime has added almost $6.5 trillion dollars to the debt since taking office which now is over $17 trillion dollars. 

 

 

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