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Biderman On Europe's Unquantified 'Delay-And-Pray' And US Government Criminal Fraud

Tyler Durden's picture




 

Repress extend-and-pretend; dismiss the can-kicking; and forget fake-it-til-you-make-it; Charles Biderman of TrimTabs recalls Jim Bianco's quote of the day on Spain's 'Delay-and-Pray' as the new normal for what is rapidly moving beyond farce in Europe. Beginning with the nations' own 'silly' perspective that the problem is 'unquantified' at the moment - implying it is in the trillions (which we already knew, but as long as they don't actually quantify it, it's not real - like the tooth fairy) - Charles goes on to destroy the hope that Germany can save them all (too big a problem now) and with state and local debt mounting trouble upon trouble the only outcome is a failure of the Euro. But it's not just Europe, between benefit payments and deficits, unexpectedly low returns for pension funds (thank you Ben), and union ignorance, the US is set for just as big a problem (though given the printing press we may just last a little longer). This leaves our union pension and government offocials with the same solution of 'delay-and-pray' as they hide in ever more intricate ways how much they are stealing from the future to cover the here-and-now. Biderman's back and this time he's really 'ranty' right to the end as he calls them out for criminal fraud.

 

 

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Tue, 05/29/2012 - 22:32 | 2474032 Cult_of_Reason
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David Stockman’s Not-So-Sunny View on the Economy

Former Reagan Budget Director David Stockman on government gridlock and the tax increases set to take effect on January 1, 2013

http://www.foxbusiness.com/on-air/cavuto/index.html#/v/1662069207001/david-stockmans-not-so-sunny-view-on-the-economy/?playlist_id=87065

 

C’mon Baby Gimme One More Chance

"The fact that we are here today to debate raising America's debt limit is a sign of leadership failure. It is a sign that the US Government cannot pay its own bills. It is a sign that we now depend on ongoing financial assistance from foreign countries to finance our Government's reckless fiscal policies. Increasing America's debt weakens us domestically and internationally.

Leadership means that, "the buck stops here." Instead, Washington is shifting the burden of bad choices today onto the backs of our children and grandchildren. America has a debt problem and a failure of leadership. Americans deserve better."

~ Senator Barack H. Obama, March 2006

https://p.twimg.com/AuB9pzrCMAAZBKA.jpg

Tue, 05/29/2012 - 23:10 | 2474099 Pegasus Muse
Pegasus Muse's picture

Delay and Pray shall soon become No Way José

Tue, 05/29/2012 - 23:56 | 2474159 Eireann go Brach
Eireann go Brach's picture

Bidderman is a criminal for telling the truth, ban him from Facebook!

Wed, 05/30/2012 - 10:05 | 2474367 The Big Ching-aso
The Big Ching-aso's picture

 

 

Then after that banish him to the archipelego known as Oakland.

Wed, 05/30/2012 - 07:44 | 2474692 Boxed Merlot
Boxed Merlot's picture

 America has a debt problem and a failure of leadership. Americans deserve better."

~ Senator Barack H. Obama, March 2006...

 

Scripts are funny that way.  Reagan may have been an actor too, but he delivered his lines in a much more believable fashion, probably because he himself believed it. 

Silly man, actually believing what you say, what an archaic concept.

 

For to win a crowd is not so great a trick; one only needs some talent, a certain dose of untruth and a little acquaintance with the human passions. But no witness for the truth - alas, and every human being, you and I, should be one - dares have dealings with a crowd. The witness for the truth - who naturally will have nothing to do with politics, and to the utmost of his ability is careful not to be confused with a politician - the godfearing work of the witness to the truth is to have dealings with all, if possible, but always individually, to talk with each privately, on the streets and lanes - to split up the crowd, or to talk to it, not to form a crowd, but so that one or another individual might go home from the assembly and become a single individual. "A crowd," on the other hand, when it is treated as the court of last resort in relation to "the truth," its judgment as the judgment, is detested by the witness to the truth, more than a virtuous young woman detests the dance hall. And they who address the "crowd" as the court of last resort, he considers to be instruments of untruth. For to repeat: that which in politics and similar domains has its validity, sometimes wholly, sometimes in part, becomes untruth, when it is transferred to the intellectual, spiritual, and religious domains. And at the risk of a possibly exaggerated caution, I add just this: by "truth" I always understand "eternal truth." But politics and the like has nothing to do with "eternal truth." A politics, which in the real sense of "eternal truth" made a serious effort to bring "eternal truth" into real life, would in the same second show itself to be in the highest degree the most "impolitic" thing imaginable.

"The Crowd is Untruth"

Soren Kierkegaard

 

Tue, 05/29/2012 - 22:50 | 2474074 CrashisOptimistic
CrashisOptimistic's picture

Good post, Zaius.

Tue, 05/29/2012 - 23:08 | 2474095 tsx500
tsx500's picture

what else is new !?!?

Tue, 05/29/2012 - 23:44 | 2474145 earleflorida
earleflorida's picture

Lagardes is 56 yrs [dob 1/1/56] old. A couple years employed [two?] makes you eligible for full pension & benefits '4 life'!

http://www.imf.org/external/np/adm/rec/policy/pension.htm

Wed, 05/30/2012 - 02:33 | 2474370 Manthong
Manthong's picture

I think she looks like tan mom's dad.

Wed, 05/30/2012 - 05:31 | 2474516 Element
Element's picture

lol ... no wonder she wanted the job off DSK so bad.

Wed, 05/30/2012 - 07:38 | 2474698 DanDaley
DanDaley's picture

You seem surprised that a socialist (Do as I say, not as I do - the laws aren't for me, they're for you!) would act like a socialist.

Tue, 05/29/2012 - 22:44 | 2474044 printmoremoney
printmoremoney's picture

Without a legal system that persecutes criminals, there is no fraud. Just the New Normal.

Anybody have the guts to stand up to the FED and Chapter 7 them? They are a Private insolvent Bank, you know. Subject to the rule of law, right? 

Oops, they are the Law. It is 1824 all over again. That means the Military has to take over (because Andrew Jackson is dead). Same ole song and dance on this Planet. When a brave General arrests Dimon, Blankfein, Geitner, Obama and Bernanke and says he is throwing them in the Brink and is going to restore the Constitution, support him/her and grill some hotdogs and celebrate.

It is the last chance.

Wed, 05/30/2012 - 00:32 | 2474203 XitSam
XitSam's picture

Add Corzine to the list of criminals that should be persecuted.

Wed, 05/30/2012 - 08:21 | 2474820 ATM
ATM's picture

you meant "executed".

Wed, 05/30/2012 - 05:35 | 2474520 Element
Element's picture

You realise that if that happened ... Ron Paul actually would be the next president elect?

Wed, 05/30/2012 - 07:41 | 2474706 oleander garch
oleander garch's picture

Military dictatorship is another form of kleptocracy.  It is more of the same with medals and funny outfits.  Democracy and rule of law are the antidotes to kleptocracy. 

Wed, 05/30/2012 - 08:24 | 2474825 ATM
ATM's picture

democracy is kleptocracy by the majority over the minority. The answer is a Republic that is built to protect the rights of the individual against the mob.

Tue, 05/29/2012 - 22:37 | 2474047 FieldingMellish
FieldingMellish's picture

At least he's not in his jim-jams this time.

Tue, 05/29/2012 - 22:56 | 2474084 jomama
jomama's picture

hell, it's sausalito.  i'd be in my jim-jams too.

Wed, 05/30/2012 - 00:09 | 2474053 John Law Lives
John Law Lives's picture

Europe's Unquantified 'Delay-And-Pray':

Look for pundits to clamor louder and louder re. how a departure by Greece from the euro zone would be devastating, and don't be shocked if pro-bailout parties make gains in opinion polls as Greeks become scared.  This BS is playing out just like when Hank Paulson stumped for a massive TARP fund.  Pundits spread the fear and demand a bailout.  Too bad Sausage the Riot Dog couldn't piss on a few pro-bailout leaders.

Here is a prime example of fear mongering:

http://www.reuters.com/article/2012/05/29/greece-euro-idUSL5E8GTI5320120529

100% FUBAR.

Tue, 05/29/2012 - 22:41 | 2474057 Alpacanio
Alpacanio's picture

Thats ok. The imposter has signed another EO. A test for anyone who stands up to the bankers?

 

www.dailyjot.com

Tue, 05/29/2012 - 22:48 | 2474064 FinalCollapse
FinalCollapse's picture

In Spain they pray and in USA they steal while they still can.

When there is no more to steal here they will be 'wheels up' to their island paradise.

Tue, 05/29/2012 - 22:47 | 2474068 pashley1411
pashley1411's picture

We are all Greeks now.

Wed, 05/30/2012 - 01:24 | 2474078 tahoebumsmith
tahoebumsmith's picture

I'm a few hundred miles from Sausalito Charles but I could feel these tremors coming from you all day... This shit is really going to finally blow isn't it?

Tue, 05/29/2012 - 22:54 | 2474082 lailapa
lailapa's picture

Germans plunge Europe into a new Medieval Era.

Protestants have once again taken up their favorite sport, witch hunt.

Are they ready to take that risk ?

It was Germany that took huge loans from the American FED. It was Germany that put the markets up to buying ownership shares of the European Central Bank, which has burdened the States with sins. It was this State that lured the rest of the Europeans into a dissolute life so that it can pass the burden of its debts, hence its own sin to them. The current epidemic of debt crisis has begun from Germany, it is just that it kept its disease a secret and at the expense of everybody else, and now that it is in a better shape, it has gone hunting in order to take advantage of the disease it itself had created. The first State to have sickened has gone hunting for the one who was most weak in dealing with the disease, and that was Greece. If Germany had not been over-indebted, the European states would have never been vulnerable to the markets’ attacks. If Germany had not been over-indebted the European states would have never been forced to mortgage their existence so that Germany’s bosses can get their money.

These hypocrites know the truth and still attack everybody else. This attack, though, is not an easy task. It requires a specific manipulation but mostly it requires specific leadership which will be able to see this through; a leadership of brutes who will restore the nightmare of previous Nazis; a leadership of the driving force of collective responsibility who led to all kinds of Holocausts. The Germans had to put new life into this nightmare anew, and collective responsibility was that nightmare.

-------

GREECE ranks among the witches of Salem

http://eamb-ydrohoos.blogspot.com/2012/05/greece-among-salem-witches.html

Tue, 05/29/2012 - 23:19 | 2474109 El Oregonian
El Oregonian's picture

I believe you could of boiled it down to: "We're just plain SCREWED!". There, 'nuff said.

Wed, 05/30/2012 - 06:34 | 2474603 Bendromeda Strain
Bendromeda Strain's picture

He has quite a tongue for slander, let him exercise it.

Tue, 05/29/2012 - 23:03 | 2474091 Matt
Matt's picture

The States can print IOUs, which are as good as money.

Depending on an 8 percent return is quite a predicament. Sounds like they need Bernie Madoff back in the game, guaranteeing 12 percent. 

Tue, 05/29/2012 - 23:34 | 2474137 Jena
Jena's picture

In March, CalPERS thought about reducing the 8% return to 7.5, as advised by their actuary but compromised at 7.75.

Per a WSJ article:

"A Calpers spokeswoman said a main factor behind the vote was a push by local governments to maintain the status quo. A decrease, the spokeswoman said, could have bumped up the amount of money public employers pay toward government workers' pensions.

 "Public pension plans have a median annual assumed rate of return of 8%, according to a recent report by Wilshire Associates, an investment consulting firm. Calpers lowered its rate to 7.75% from 8% in 2004.

 "Pension plans are typically funded by investment returns as well as contributions from public employers and government workers. Pension plans considering the adoption of a more-conservative annual rate of return are faced with having to shift a greater financial burden on to public employers, since typically contributions from employees legally can't be changed."

 That is a tough sell to state and local governments, faced with steep budget shortfalls and sluggish tax revenue.

 

http://online.wsj.com/article/SB10001424052748703566504576203002720034510.html

 

 

Wed, 05/30/2012 - 03:52 | 2474421 StychoKiller
StychoKiller's picture

Why didn't they RAISE it to 10%?  If you're gonna be delusional, go full retard!

Wed, 05/30/2012 - 13:32 | 2476393 Jena
Jena's picture

I thought the rule was never go full retard.  But I guess given the group we're discussing...

Wed, 05/30/2012 - 08:31 | 2474845 Offthebeach
Offthebeach's picture

"Public employers"= tax serfs.

Wed, 05/30/2012 - 18:38 | 2477595 Matt
Matt's picture

It seems they really screwed the pooch when they wrote those contracts. Basically, the Unions are forcing the Government to default on the pensions, since they cannot increase taxes and they cannot borrow more and they cannot raise employee contributions for the pension funds.

Should make for some exciting drama when it all comes to a head.

Tue, 05/29/2012 - 23:10 | 2474100 ISEEIT
ISEEIT's picture

What if the Fed backs down? Seriously. The threats are extreme ( not the least of China going rogue and turning GOLD). The fuc##rs have got to be shitt##g themselves at this point. They are in a box. What if all the other tools have decided not to play and the Fed is left alone? I am obviously not breaking new ground in speculating ( like that word asshole?) that the Fed is truly screwed because they relied on faulty (Keynesian) models. The Fed making a major move now , or should I say the Feds next big flawed (hopefully it is flawed, not intentional, one does need to wonder. And the truth in that is what I really want to know. Are they just stupid and wrong? Or right and evil?) HUGE difference and a valid question for anyone not already tuned out.

The next level of this game involves considering who these demons would prefer to be running the front for them going forward?

Hard times and yet another panic might play well into their ultimate objectives.

I submit that it is worth considering the possibility of no further 'open' Fed stimulus and multiple elections then decided on 'elections' that play into fear and nationalism predicated on the assumption that sheeple will go for whoever seems most inclined to offer them the least amount of 'immediate pain'.

The political left wins.

Humanity loses.

65+% odds.

Just random thoughts.

Tue, 05/29/2012 - 23:19 | 2474110 Poor Grogman
Poor Grogman's picture

The global debt ponzi can't function without massive inflationary money supply growth, which is the opposite of what a strong economy needs to function correctly.

That is the rub, we must exit the current system or watch things crumble around us.

Germany has the historical hard knocks and knowhow to initiate and maintain a hard money system.

If this happens they will quickly consolidate power as a global industrial powerhouse, as other nations beset by inflation fall rapidly by the wayside.

It is one of the oft repeated "facts" that we hear all the time, that higher inflation is needed to boost economic growth, and pay of sovereign debt.

Why not ask a German how that inflation worked out for them?

Or for that matter ask someone in the UK how well old Mervs inflation is helping their economy.

High inflation produces a social tinderbox, if history is any lesson (is there any other) Mervyn King is playing with matches....

Wed, 05/30/2012 - 02:22 | 2474359 MikeMcGspot
MikeMcGspot's picture

Debt makes such a good fire, the smell of fiat burning in the morning air like pine trees in the woods about a campfire. The tinder is on the ground now. Summer is comming and things are getting hot up north. We are gathering wood. Lighting the match. Just the way it is and has been for so long.

Tue, 05/29/2012 - 23:23 | 2474115 metastar
metastar's picture

Key Words:

CRIMINAL FRAUD!

Translation:

Off With Their F*CKING Heads!

What this country needs is a return to Rule Of Law!

Tue, 05/29/2012 - 23:36 | 2474138 veyron
veyron's picture

How's your long FB position Biderman?

Tue, 05/29/2012 - 23:44 | 2474148 xtop23
xtop23's picture

Roses are red, violets are blue, pretending your solvent, does not make it true.

Wed, 05/30/2012 - 00:39 | 2474219 MisterMousePotato
MisterMousePotato's picture

Pithy, but ... your = you're.

Wed, 05/30/2012 - 01:52 | 2474302 xtop23
xtop23's picture

Damn, yore right.

Curse my droid.

Tue, 05/29/2012 - 23:59 | 2474163 q99x2
q99x2's picture

Obama set to arm Italy's drones in milestone move

The president's solution to those that accuse others of fraud: Kill them.

Not to worry about fraud here in the US, our drones are already flying.

Wed, 05/30/2012 - 03:28 | 2474404 AurorusBorealus
AurorusBorealus's picture

Most interesting story in the news.  The whole of the West is preparing for revolution.  Trust me when I say that the rest of the world sees this.  I wonder what Italian overseas assets sit waiting to be picked off by an intrepid former colony.

Wed, 05/30/2012 - 18:42 | 2477603 Matt
Matt's picture

Outside of Libya, does Italy have any recent former colonies?

Wed, 05/30/2012 - 00:15 | 2474183 natty light
natty light's picture

The Ben Bernank can control interest rates at the fed funding level, but he can't do anything about local debenture offerings, right? Won't state and local bond spreads blow out like in Europe? 

Wed, 05/30/2012 - 02:08 | 2474340 MikeMcGspot
MikeMcGspot's picture

She said there is no reason and the truth is plain to see. I love Biederman.

Wed, 05/30/2012 - 05:59 | 2474580 Go Tribe
Go Tribe's picture

Would someone remind me what was so bad about separate currencies? Seems attractive at this point.

Wed, 05/30/2012 - 06:26 | 2474596 rufusbird
rufusbird's picture

Excellent Post. The reason we come to read ZH is to find the truth. Biderman tells it. There is a new one percenter. The people who want to know and read the truth, like it is told on Zerohedge.

 

Wed, 05/30/2012 - 07:12 | 2474643 Seize Mars
Seize Mars's picture

Biderman: Unions committing criminal fraud? What? I'm shocked. Shocked!

Unions acting in concert with governmental officials, fraudulent? Shocked!!

Wed, 05/30/2012 - 08:51 | 2474926 Shizzmoney
Shizzmoney's picture

Are we going to get a video from Biderman next week on the fraud being committed daily over at JP Morgan?  Stanley Morgan and Facebook?

*crickets*

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