This page has been archived and commenting is disabled.

What Mitt Romney Also Said: A Glimpse Of The Endgame?

Tyler Durden's picture


By now everyone has heard the infamous Mitt Romney speech discussing the "47%" if primarily in the context of how this impacts his political chances, and how it is possible that a president "of the people" can really be a president "of the 53%." Alas, there has been very little discussion of the actual underlying facts behind this statement, which ironically underestimates the sad reality of America's transition to a welfare state. Recall Art Cashin's math from a month ago that when one adds the 107 million Americans already receiving some form of means-tested government welfare, to the 46 million seniors collecting Medicare and 22 million government employees at the federal, state and local level, and "suddenly, over 165 million people, a clear majority of the 308 million Americans counted by the U.S. Census Bureau in 2010, are at least partially dependents of the state."

Yes, Romney demonstrated potentially terminal lack of tact and contextual comprehension with his statement, and most certainly did alienate a substantial chunk of voters (most of whom would not have voted for him in the first place) but the math is there. The same math that inevitably fails when one attempts to reconcile how the $100+ trillion in underfunded US welfare liabilities will someday be funded. Yet the above is for political pundits to debate, if not resolve. Because there is no resolution. What we did want to bring attention to, is something else that Mitt Romney said, which has received no prominence in the mainstream media from either side. The import of the Romney statement is critical as it reveals just what the endgame may well looks like.

In response to an audience question:

Romney: [The] former head of Goldman Sachs, John Whitehead, was also the former head of the New York Federal Reserve. And I met with him, and he said as soon as the Fed stops buying all the debt that we're issuing—which they've been doing, the Fed's buying like three-quarters of the debt that America issues. He said, once that's over, he said we're going to have a failed Treasury auction, interest rates are going to have to go up. We're living in this borrowed fantasy world, where the government keeps on borrowing money. You know, we borrow this extra trillion a year, we wonder who's loaning us the trillion? The Chinese aren't loaning us anymore. The Russians aren't loaning it to us anymore. So who's giving us the trillion? And the answer is we're just making it up. The Federal Reserve is just taking it and saying, "Here, we're giving it." It's just made up money, and this does not augur well for our economic future. You know, some of these things are complex enough it's not easy for people to understand, but your point of saying, bankruptcy usually concentrates the mind.

Source: Mother Jones

And that is how the Fed effectively took over control of the United States, as without it, it is game over. This is also why the ongoing presidential election is a farce, and has absolutely no bearing or significance for the future of the US, whose true ruler does not reside at 1600 Pennsylvania Avenue, but instead holds America hostage in a powerful Stockholm Syndrome grip from the deep recesses of the Marriner Eccles building located, paradoxically, on Constitution Avenue.

Don't worry though: like any "true democracy", the real "leader" of the nation will never be eligible for popular vote. Ever.




P.S. It appears that Paul Krugman has promptly taken offense to the realization that Bernanke is "monetizing 75% of all debt." He has even promptly penned an article "Misinformed Monetary Mitt" proving the Noble prize-winning economist really has little understanding of the dynamics of debt monetization.

Here is the reality: under ZIRP, all bonds with a maturity inside the guaranteed 0% envelope are essentially cash equivalents. This means all bonds 3 years and less, which as is to be expected for riskless paper, have a coupon of roughly 0% (except Fed counterparty risk of course, because the only reason they should trade above 0% is if the Fed loses control of inflation and ends ZIRP prematurely before its announced end date now sometime in 2015). When the Treasury issues them the buyers takes on ZERO risk, thanks to ZIRP. This is also the reason why the Fed sells $45 billion in short-end paper each month, as part of Twist sterilization. In essence the only debt issuance that matters for the US Treasury is that of longer-dated issuance. This amounts to roughly $45 billion per month in the 10-30 year window, and is virtually all the debt that the Fed monetizes on the long-end as part of Twist. This is also knows as Flow as we have explained repeatedly, but we don't except someone still stuck teaching 1980s economics to understand this (Goldman explained this here)

But this is not news: back in February we noted that Under Twist the fed has monetized 91% of all LT gross issuance.

Between Twist 1 and 2, the Treasury has not auctioned off one dollar of gross LT debt to the private market, as evidenced by the total inventory of 10-30 year paper which has remained fixed at $650 billion. It is this liquidity limitation that forced Bernanke to monetize not more TSYs, but to commence buying Mortgage Backed debt.

The fact that Krugman does not get this simplest fact about the nuances in the Fed's monetization activities demonstrates just how dangerous it is to assume that just because someone has been awarded a Nobel, they automatically are an expert in something, anything, especially involving numbers.

And because we enjoy spreading knowledge, and for the benefit of even the most math-challenged Economics professors, here again is a simple clip showing how Romney is actually lowballing the real number of relevant gross issuance, which is nearly all in the critical 10-30 year ballpark, and where the Fed will soon be virtually the sole marginal market player.


- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Wed, 09/19/2012 - 17:29 | 2812962 kito
kito's picture

both of these candidates are for nearly 0% of the people.......hey mittens, come on, you know you love government handouts just as much as the other guy..............

Wed, 09/19/2012 - 17:31 | 2812970 kengland
kengland's picture

That's it. End corporate welfare and citizen welfare. END WELFARE

Wed, 09/19/2012 - 17:56 | 2813047 john39
john39's picture

most military spending is corporate welfare, directly or indirectly.... 

Wed, 09/19/2012 - 18:09 | 2813075 kito
kito's picture

tis true john...........all of the contractors...their shareholders..the millions of employees............ending military welfare would end millions of jobs......without the military pissing away billions of dollars on jets they will never fly, you could kiss most of the contractors good bye.........


and romney wants to INCREASE pentagon welfare............he says americans have to continue to foot the bill for the redistribution of money to keep millions of jobs afloat in the defense contracting business..............


obamney 2012..............both win, the country loses..........................

Wed, 09/19/2012 - 17:30 | 2812964 Desert Irish
Desert Irish's picture

Talking of math I'm still waiting to see how Romney is going to create 12 million new jobs? Austerity??? Give me a fucking break....


Wed, 09/19/2012 - 18:25 | 2813135 New_Meat
New_Meat's picture

Desert Irish: do you have any idea as to how jobs are created?

Let us know your additional knowledge before re-demonstrating your current knowledge.

- Ned

{and yes, I gave you the reddie--so far}

{{and yes, I was in my forties before I figured out that "Irish Pennant" was an ethnic slur. ;-) }

Wed, 09/19/2012 - 23:21 | 2813807 Desert Irish
Desert Irish's picture

Well Ned I'll rise to the bait and despite the lateness of the hour and you'll probably not even read this comment I'll respond. I do - and quite simply it boils down to supply and demand. Up to three years ago I was in charge of upwards of 180 men building high end resorts. Nowdays I'm lucky to have 6. That's quite the drop. No-one is willing to buy condo's in high-end resorts so there's an immediate loss of construction jobs. Not only that but even living in the land of granite it's cheaper to have granite finishes cut in China then finished in India so we now have a glut of stoneworkers. We buy our millwork from China direct so now we have a glut of millworkers. Carpet, wallpaper, electrical components, sprinkler pipes, fittings even the drywall studs come from somewhere in Asia. So the concrete and drywall is produced here and believe me we would use Chinese drywall if we could. So I have a bunch of contractors pouring concrete and forming with plywood and using some trim and doors (not the hardware that's all outsourced) manufactured in North America. When all construction is done the construction workers go to the next project and  some waiter or spa employee earning minimum wage plus tips is left - and that was in the good times!!!

So in answer to your question unless a bunch of banks (West LB cough...cough...) decide to embark on another spending spree only to lose another $5/6 billion those jobs are never coming back. So to create 12 million jobs we either borrow a shit load of money from god knows where and start building again in an over supplied market - we don't manufacture so no jobs are coming back there and no-ones rushing out to buy the F-35 for example - in fact the opposite. The service industry is relying on spenders so if there's no money out there - no service industry jobs. Transports need goods produced to transport and so where are 12 million jobs coming from - the good old standbye - infrastructure spending which is funded by government expenditure (ie; debt). Jobs are gone...get used to it and they are never coming back - this is the new normal....and Mitt's is as full of shit as any other politician.

Thu, 09/20/2012 - 07:06 | 2814228 New_Meat
New_Meat's picture

good answer and a greenie on ya.  clearly the jobs are not coming in overbuilt housing with, what, 2MM excess inventory. Boomberg radio has an interview this morning aligned with your comments as well.

I  un-reddied the earlier comment.

- Ned

Wed, 09/19/2012 - 18:36 | 2813178 sgt_doom
sgt_doom's picture

Mutt said "12 million jobs" he didn't say, "12 million jobs in America"...

Just like he said he paid his taxes, but nothing about his "federal taxes"....

Anne Romney says:  Mitt doesn't need the job (the presidency).

And the job doesn't need Mitt....

Thu, 09/20/2012 - 18:18 | 2816424 New_Meat
New_Meat's picture

"Just like he said he paid his taxes, but nothing about his "federal taxes"...."

y'know, that would be quite the fricken "October surprise"--you know, the FBI and IRS draggin' the Mittsta' through the perp walk on, say, October 18th?

It really is too bad that our very own "Dr. Richard Head" is around, otherwise, I'd have a mention for ya.

- Ned

Wed, 09/19/2012 - 17:30 | 2812966 Urban Redneck
Urban Redneck's picture

Well that should end the specualtion of whether the fed could actually be ignorant of the consequences of its actions.  I wonder if any of the congress critters will have the balls to confront Bernanke with that one the next time he graces them with his presence.

Wed, 09/19/2012 - 18:10 | 2813093 alentia
alentia's picture

Confress effectively borrowing FED's printed money. You want congress to tell FED stop giving us the money?


It would be same as you own a house with $100,000 left in mortgage you own to the bank, Do you have the balls to tell the bank to stop giving you $100,000, while you have no $100,000 to pay? And the bank effectively reposes your house.

Wed, 09/19/2012 - 17:31 | 2812967 Squid Vicious
Squid Vicious's picture

Romney worst republican candidate since... McCain... both surrounded by neo-conservative warmongers, nobody is on board with that already-proven disastrous foreign policy agenda...except for a few remaining "red state" fox news watching retards and uber-zionists, of course

Wed, 09/19/2012 - 17:33 | 2812974 YHC-FTSE
YHC-FTSE's picture

This is probably old new in the US, but in the UK we're only just learning about Mr.Romney's fantasies on wanting to drop a nuclear bomb on Chicago if he were, in his own words, a fanatic. 

Mitt Romney secret video: If I were fanatic I'd let off nuclear bomb in Chicago.

His fantasies make a lot of sense considering his financiers. And yes, the other clown currently residing in the white house is also a shill. You can't win.

Wed, 09/19/2012 - 20:48 | 2813479 blunderdog
blunderdog's picture

"No matter who you vote for, government gets in."

Wed, 09/19/2012 - 17:34 | 2812977 EvlTheCat
EvlTheCat's picture

Oh gee a Goldman Sack telling it like it is.. Guess it would be to much to hope for, that while they were shining the the beacon of truth, they would also implicate themselves in all the underhanded gambling, and market manipulation that has cost taxpayers so much?

Take your truth and ram it clown!

Wed, 09/19/2012 - 17:36 | 2812985 toady
toady's picture

This is news? I thought it was common knowledge. If not to the masses then at least to the people who can read, like all the fine folks here on ZH.

Wed, 09/19/2012 - 17:37 | 2812991 Mark Wilson
Mark Wilson's picture


Oh crap! A French magazine has printed pictures of the prophet Mohammed. That should be good for more outrage from the perpetually outraged.

Wed, 09/19/2012 - 20:48 | 2813480 blunderdog
blunderdog's picture

Damnit.  I thought it was gonna show his titties.

Wed, 09/19/2012 - 17:39 | 2812996 mr1963
mr1963's picture

At least Romney gets that - give some f-in credit. I would love someone to relay this to the affirmative action idiot we have in the white house and watch his eyes glaze over in total lack of comprehension.

Wed, 09/19/2012 - 20:08 | 2813383 EvlTheCat
EvlTheCat's picture

Like when Obama got that we shouldn't raise the debt limit, but as soon as he became President he forgot about it.  Romney doesn't get shit, other then money for being a lapdog.  Never give a fucking bureaucrat credit for anything!

"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 U.S. Government can’t 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.

Over the past 5 years, our federal debt has increased by $3.5 trillion to $8.6 trillion.That is “trillion” with a “T.” That is money that we have borrowed from the Social Security trust fund, borrowed from China and Japan, borrowed from American taxpayers. And over the next 5 years, between now and 2011, the President’s budget will increase the debt by almost another $3.5 trillion.

Numbers that large are sometimes hard to understand. Some people may wonder why they matter. Here is why: This year, the Federal Government will spend $220 billion on interest. That is more money to pay interest on our national debt than we’ll spend on Medicaid and the State Children’s Health Insurance Program. That is more money to pay interest on our debt this year than we will spend on education, homeland security, transportation, and veterans benefits combined. It is more money in one year than we are likely to spend to rebuild the devastated gulf coast in a way that honors the best of America.

And the cost of our debt is one of the fastest growing expenses in the Federal budget. This rising debt is a hidden domestic enemy, robbing our cities and States of critical investments in infrastructure like bridges, ports, and levees; robbing our families and our children of critical investments in education and health care reform; robbing our seniors of the retirement and health security they have counted on.

Every dollar we pay in interest is a dollar that is not going to investment in America’s priorities."

Wed, 09/19/2012 - 17:40 | 2812998 hannah
hannah's picture

whats funny is that the fed is FUCKING BAILING OUT THE WORLD...! all those $16trillion swaps were a fed print-fest and bailout for the world central banks. this is mucho grande than the usa......this is global. my butholio is un fuego just thinking about it....

Wed, 09/19/2012 - 17:41 | 2812999 q99x2
q99x2's picture

Here's another endgame. The globalists just gave up on global warming in favor of looting the Arctic.

Wed, 09/19/2012 - 18:55 | 2813225 blindman
blindman's picture

embrace the disgrace ongoing.

Wed, 09/19/2012 - 17:51 | 2813003 booboo
booboo's picture

In 1977 NASA launced Voyger into deep space and with it a Golden recording with sounds of earth on it, birds, whales, along with greetings in 50 different dialects.

It was a last minute project and one of the greetings was to be from a Navajo Indian Chief. Long after the represenative from NASA left the reservation and Voyger was launched the Chief he admitted to his people what he had really spoke that day into the recording device. "Watch out for these bastards, they will steal everything you have"

Wed, 09/19/2012 - 17:51 | 2813033 Henry Hub
Henry Hub's picture

Man, that is priceless! I like that story so much I'm not even going to fact check it. Wouldn't want to find out it's not true.

Wed, 09/19/2012 - 20:57 | 2813504 fuu
Wed, 09/19/2012 - 17:42 | 2813005 Gamma735
Gamma735's picture

The presstitutes will never make the Fed a real issue in any campaign.

Wed, 09/19/2012 - 17:43 | 2813010 dickizinya
dickizinya's picture

"sleep tight, ya morons!"


Holden Caufield

Wed, 09/19/2012 - 17:46 | 2813017 Irene
Irene's picture

Since almost 100% of ZH-ers believe the system is going down, I guess the question is who would you rather have in the WH, Mitts or Obama.  Hmmm.....  Let me see, Mormens who plan for bad times or Chicagoans who figure they'll just thug it out good times or bad?  It's a no brainer, even if you don't like the choice.  

Wed, 09/19/2012 - 17:59 | 2813055 Squid Vicious
Squid Vicious's picture

wtf is a Mormen? you sound like another under-educated and under-informed sean hannity watching type...but yeah if you put a gun to my head i guess I would pick Mitt Zombie... not a real solid endorsement though

Wed, 09/19/2012 - 18:40 | 2813187 Irene
Irene's picture

Typo, Mormon.  So sorry. But really, Squid, lighten up!!! (And no, I don't watch hannity, reilly, Too funny!)  I'm happy that you agreed with my point, though. And I don't think I was actually "solidly endorsing" Mitts. I was just asking, WTSHTF, who would you prefer to be in the WH.  Any prepper will tell you that the Mormons have made a friggin' science out of being prepared.  Frankly, it's refreshing to hear of people who acknowledge that bad times can hit on a moment's notice and you need to plan ahead.  

Wed, 09/19/2012 - 19:36 | 2813321 Squid Vicious
Squid Vicious's picture

OK sorry everyone has a bad day at spelling i guess- lol, but the fact that they're all nuts following the "revelations" of a serial pedophile running from the law kind of negates everything you said, not sure what he would do in a "WTSHTF" scenario... and the "Chicagoan" thing is right out of Karl Rove talking points so I jumped to a conclusion, sorry again if inaccurate...

Wed, 09/19/2012 - 20:38 | 2813460 AllTheMarbles
AllTheMarbles's picture

I'm with Irene on this one, you go girl - just plain and simple common sense......more people should give it a try least once in your life.

As for Kitco, sgt_doom, Squid Vicious, etc......fuck off..... I for one am sick of these self-righteous  trolling shit for brains commies and socilalist pussies....just STFU

Once the SHTF

- we all know the arrogant self-centered trolls, whiners, and wieners will all  be hiding in their mom or grandma's basement again.....  We'll let you pussies know when it is safe to come out again........until then just go back to watching yourself jack-off or whatever else you idiots do to pass the time


Thu, 09/20/2012 - 06:30 | 2814194 Nimby
Nimby's picture

If they haven't stocked up on booze, they ain't prepared.

Wed, 09/19/2012 - 19:27 | 2813298 Cathartes Aura
Cathartes Aura's picture


wtf is a Mormen?

the plural of mor-man?

and hey, Irene, did you know that the mor-manz have their own food "welfare"?  that they deliver food boxes to their needy?  and that the food is full of High Fructose Corn Syrup, GMO's, etc?  like their man-datory emergency food supplies that they hope to make it through the coming "trials" with? 

hopefully they have a year's supply of their pharma too - Utah has ranked #1 in anti-depressants for years. . .

Wed, 09/19/2012 - 21:55 | 2813626 Dr. Sandi
Dr. Sandi's picture

If you've ever spent any time in Utah, you'd understand why Utah has ranked #1 in anti-depressants for years. I can't fault them for the anti-depressants, but I have to wonder why those who need the drugs don't just get the hell out and move to Oregon or Nevada or Washington or Montana or Wyoming.

Idaho, not so much. Probably better to stay in Utah.

Wed, 09/19/2012 - 22:07 | 2813659 Cathartes Aura
Cathartes Aura's picture

perhaps the anti-depressants (overwhelmingly taken by the sister-wives) are what assists their staying. . .

and Idaho is definitely one of their bug-outs.

Thu, 09/20/2012 - 03:02 | 2814062 object_orient
object_orient's picture

From #1 depressed Utah to #1 suicide Oregon? Probably not a wise move.

Wed, 09/19/2012 - 18:05 | 2813078 samsara
samsara's picture

Let's see here, do I want to get shot by a 45 or a 357 Hmmm. Well, the 357 leaves a smaller hole, Decisions Decisions.

He's Twice the man.....

And two times Zero is how much?

Wed, 09/19/2012 - 17:49 | 2813025 dogfish
dogfish's picture

I live in Massachusetts and i think Mitt is an honest man.  He did the best he could in a state totally controled by democrats.  Massachusetts has the highest per capita debt than any state in the union.

Wed, 09/19/2012 - 18:07 | 2813083 CCanuck
CCanuck's picture

You cannot reach that level of politics being honest, impossible in this system.

Somebody care to offer any other names of an Honest Politician at Upper State or Fedral level?

...Ron Paul is as close as you get, and that assumption is iffy at best.

Politics is the Art of Bullshitting at its finest. Top notch talent now performing!


Wed, 09/19/2012 - 18:55 | 2813226 Meatballs
Meatballs's picture

Nope. Connecticut. Check your facts before spewing BS.

Thu, 09/20/2012 - 02:59 | 2814060 dogfish
dogfish's picture

Wrong.  check state debt.

Wed, 09/19/2012 - 17:50 | 2813028 Dr. Engali
Dr. Engali's picture

The whole world knows we are bankrupt yet everybody is afraid to be the first to bail , because they all know it's going to be ugly. So the keep the music playing as long as they can, until they figure out what to do with all us plebes.

Wed, 09/19/2012 - 18:17 | 2813116 Alex Kintner
Alex Kintner's picture

When a guy you don't like is making a drunk fool of himself at the party -- you pour him another drink. hahaha

Wed, 09/19/2012 - 20:59 | 2813509 blunderdog
blunderdog's picture

Yeah, but you're hoping something changes before you have to ask him for a ride home...

Wed, 09/19/2012 - 20:53 | 2813489 Cloud9.5
Cloud9.5's picture

They have figured out what to do with us.  Why do you think DHS bought all that ammunition?

Wed, 09/19/2012 - 17:52 | 2813037 JohnKozac
JohnKozac's picture

Print, baby, print!

Wed, 09/19/2012 - 17:54 | 2813042 i love cholas
i love cholas's picture

Taxes are the root of all issues in this country. Reform the system and make it simple (K.I.S.S.) so we can stop hearing politicians bitch about taxes. 

Thu, 09/20/2012 - 06:22 | 2814185 Urban Redneck
Urban Redneck's picture


The more complicated you make the tax code the more ways there are avoid taxes, and the more you fuck the poor with the cumulative burdern of death by a thousand cuts. The current tax debate is filled with red herrings and emotional appeals that don't hold water against room temperature IQ intellectual inquiry.


1. Balance the budget (without the even cutting the current monstrosity)

2. Pay off the national debt within 3 years

3. Attract significant new and repatriated Capital, Savings and Investment (i.e. millions of new private sector jobs)

4. Not create significant inflation

The 1% and 10% Plan

Step 1- Pass a simple law to expire the U.S.C. and C.F.R. in 24 months. Congress and the Executive will have 12 months to redraft them at no more than 10% of their current word length, and the new laws and regulations will take effect 12 months later.

Step 2- Abolish ALL existing federal taxes: the Income Tax, the Capital Gains Tax, the Tax on Dividends and Interest, the Corporate Income Tax, the Death Tax, the Gasoline Tax, all the pending Obamacare taxes, and any other Federal taxes buried in the USC.

Step 3- Impose a 1% Federal tax on the MOVEMENT of money.


Without even worrying about anything as insignificant as the US cash economy and the movements of the USD 1T cotton-linen money supply, a 1% tax just on Fed cleared transactions (Fedwire, CHIPS, ACH, Checks, EBT, POS, and Credit Card) would have yielded SEVEN TRILLION DOLLARS in revenue in 2009 the last year for which data is available (and wouldn’t require the IRS for enforcement). Data from the Federal Reserve studies is available at:

And for an added kicker the HFT bots which cannot clear a 2% breakeven on a round trip will put their owners out of business and might restore at least a little integrity to the equity markets.

If you can’t audit the Fed you might as well tax it, and make everyone a 1%er in the process...

From a Geoplitical stanpoint it also makes strategic sense, since some Eurocrats and other nutballs want a supranational banking tax, if you don't eliminate the current system in the US and implement something which would serve as an impediment to supranational taxation, then you will end up eventually paying that tax in addition to the current menu of taxes.

Wed, 09/19/2012 - 17:54 | 2813043 dobermangang
dobermangang's picture

And now you know why gun sales are booming.  Got Guns?  I think I'll go to Aldis and get some more canned food.

Wed, 09/19/2012 - 19:07 | 2813250 MillionDollarBoner_
MillionDollarBoner_'s picture

I got me the canned food...three freezers full of meat... two acres to grow on... a side-by-side, an over-and under and an M500...ammo...a stack of PMs... now what did it forget...hmmmmm ;o)

Wed, 09/19/2012 - 21:57 | 2813632 Dr. Sandi
Dr. Sandi's picture

Shit, I hope you remembered to pay the electric bill.

Wed, 09/19/2012 - 17:55 | 2813044 MrTouchdown
MrTouchdown's picture

Just don't allow people receiving handouts from the gov't to vote.


Ooohhh we all know that'll never happen! hahaha

Wed, 09/19/2012 - 21:59 | 2813636 Dr. Sandi
Dr. Sandi's picture

Boeing doesn't vote anyhow. It's not a person. How come it still has its hand out?

Wed, 09/19/2012 - 18:01 | 2813060 razorthin
razorthin's picture

Failed Treasury auction? Maybe. In the meantime, the Fed is like that burning raft upon which the Vikings set their dead king out to sea.

Wed, 09/19/2012 - 18:05 | 2813076 Alex Kintner
Alex Kintner's picture

"Other than Romney" is gonna win. I'm betting the ant farm on it. And since Mittwit said he will gut SS and Medicare which I need (and paid for over the years), I'm glad he's going down. Fuk him.

Thu, 09/20/2012 - 06:24 | 2814188 Nimby
Nimby's picture

Actually, you didn't pay for your Social Security or Medicare, dipshit.  I pay for your Social Security and Medicare.  Jesus, I wish you Boomers died before you got old.  Worst. Generation. Ever.

Thu, 09/20/2012 - 06:26 | 2814191 Urban Redneck
Urban Redneck's picture

When the monthly SS check doesn't even buy a cart of groceries to feed a family for a week or two the Social Security system is just as gutted.

Wed, 09/19/2012 - 18:13 | 2813080 Catullus
Catullus's picture

It was a great speech. If it didn't come from Romney, it might as well have come from Ron Paul. It's also why the GOP will never win with this platform.

And watch the neoconservatives turn on Romney when they realize he can't win. All these people think about is power. And if their man won't be in power, he's a piece of shit. That's how this goes.


It's just made up money. That's what's preventing an outright default.

What's hilarious is that in order to keep their welfare programs, you have to continuously dilute the payment. That 47% or 55% or 65% will just increasingly fall further and further behind.

Wed, 09/19/2012 - 18:07 | 2813081 Quinvarius
Quinvarius's picture

What is interesting is tha the deflationists equate a failed treasury auction or a default with a strong dollar and deflation.  It is interesting how little they know.  There are no examples of that.  They would be better suited trying to understand why it never happens than trying to live in a fantasy world.  Both sides of the coin are always hyperinflation.

Wed, 09/19/2012 - 18:08 | 2813085 sessinpo
sessinpo's picture

I'm sorry TD but I have to make a statement about your last comment.

"Don't worry though: like any "true democracy", the real "leader" of the nation will never be eligible for popular vote. Ever."


So how would that comment work if the popular vote went to a corrupt politician? Maybe a corrupt socialist or a corrup capitalist? Maybe a corrupt liberal or a corrupt conservative?


In other words, the popular vote is not relevant as the solution. We can have the same problems with a popular vote as we do with an electorial college.

Wed, 09/19/2012 - 18:09 | 2813087 docj
docj's picture

Why is this getting no press? Because nobody wants to tell the Emporor he's naked to his face.

Romney knew this at least in May (which is when this tape was made), and still wanted the job. I can only figure, because say what you will about the guy but he's no dope, that he thought somehow he could "fix" the problem - probably trusting waaaaaaay too much in his own abilities.

But once he's the nominee he's supposed to have access to the same information as the current WH renter - and you'll notice he's been pretty gaffe-tastic since. He probably got a look at the "real" numbers and said "You've got to be kidding me" (being Mormon he probably doesn't curse, at least not out loud) and is now simply in the mode of making a good show of losing so this all doesn't come down like a house of cards 2-months into HIS watch.

Wed, 09/19/2012 - 18:18 | 2813115 Bear
Bear's picture

Gaffes are in the eye of the beholder or filtered through the eye of the MsM. Ironically, today when someone tells the truth everyone calls it a gaffe.

Wed, 09/19/2012 - 20:11 | 2813395 Almost Solvent
Almost Solvent's picture

So, Mitt has gone on some truthsayer tour? 


Mittens is as fucking sold out as Obama and as dependant on the status quo as all his rich backers (and Obama's)

Thu, 09/20/2012 - 06:37 | 2814204 Urban Redneck
Urban Redneck's picture

 "real" numbers??? They been public and the haven't changed since May.

China hasn't bought any additional Treasuries in 2011 or 2012

September 2010 - Chinese UST Holdings 1151.9B

June 2012 (Most Recent Comp) - Chinese UST Holdings 1147.0B

Net US Treasury Holding Change -0.4%

September 2010 - Chinese F/X Reserves (ex. gold) 24542.75B

June 2012 - Chinese F/X Reserves (ex. gold) 32400.05B

Net F/X Reserves Change +32.0%

While the US fiscal year ends in 10 days, corresponding CNB data won't be available until the calendar year end.


Wed, 09/19/2012 - 18:10 | 2813095 blindman
blindman's picture

there is in mind and logic inductive and deductive
reasoning, the heart is love.
inductive goes from the particular fact, observation,
to the general principle. deductive goes from the
general principle to imply or deduce a suspected
fact or incident.
this is how they, we, end up being "governed" by
wrong or "bad" ideas or false principles and premises.
in induction you have what has been identified as
"fraudulent induction", or people being induced by
fraudulent statements of fact or expectation, assuming
flawed presumptions propagated by "experts" and insiders
to be sound or true. my assertion is that these
fraudulent induced ideas and memes are dictating
to us a paradigm of collapse because these induced
"facts" lead us to a false principle. in the mind
a principle is a principle and as such must be
adhered to even if it is false, as long as the individual
believes it is a principle, once of that status in the mind there is nothing but a truer principle that can intervene regarding the power of the principle.
so there is the battle line and ground.
identifying fraudulently induced commitments and
"events". also see control fraud and its effect on
money supply, debt and deflation. scam, in short.
induction (n.) late 14c., "advancement toward the grace of God;" also (c.1400) "formal installation of a clergyman," from O.Fr. induction (14c.) or directly from L. inductionem (nom. inductio) "a leading in, introduction," noun of action from pp. stem of inducere "to lead" (see induce).

As a term in logic (early 15c.) it is from Cicero's use of inductio to translate Gk. epagoge "leading to" in Aristotle. Induction starts with known instances and arrives at generalizations; deduction starts from the general principle and arrives at some individual fact. As a term of science, c.1800; military service sense is from 1934, American English.

so how is it that the rich and well off are not
the recipients of the welfare of the state when
there are no investors of the government bonds, bills
and notes by the same entity that creates the federal
debt notes that they hold as a symbol of their superiority and they project as the justification,
by that account, their rightful claim to the future
of distribution of energy and allowance to the many
disabled and dis enfranchised? here we are. having
bailed out the bankrupt banks, bondholders and corporate
from their inability to be prudent and economical, after
they have enronized their books, looted their own
establishments and passed it off on the unborn, and now
they would like to tell the world we must be austere
and confiscate the property of the dying, poor and collective.
what a fucking show these dirt bags can put on; clown
cluster fuck, is that an ivy league course?
rightful distribution of everything from toil to produce,
the enemy of the class structure as it were. ongoing

Wed, 09/19/2012 - 18:20 | 2813125 chart_gazer
chart_gazer's picture

the fed can buy every last $ of US debt (with newly printed money), then say..."poof, it doesn't exist - gone". what have they lost?  -- nothing.  US gov, you owe us nothing, we made money throughout the process and transfered the profits to the treasury. lets do it some more!

Wed, 09/19/2012 - 18:24 | 2813134 razorthin
razorthin's picture

Ummm...when debt is gone and dollars have not been destroyed with it, what is that?  Hint: starts with h and ends with yperinflation.  So what shall they lose?  Their heads!

Wed, 09/19/2012 - 18:22 | 2813131 Westcoastliberal
Westcoastliberal's picture

Mittster may realize the situation, but he sure as hell doesn't want to put the burden of paying taxes on his fellow "elite". In fact under his tax plan the rich would pay LESS and the not so rich would pay MORE taxes.  And that's no solution to the problem.

While on the subject of Mr. Mittster, some of those in the 47% that he roundly alienated may have been potential voters in his column due to the sad fact that many unaware, low information, Fox watching Americans routinely vote against their own interests, due to the GOP's pandering to the "Christian right".  My guess is some of those voters will now stay home rather than vote for Satan, er ah, Obama.

Wed, 09/19/2012 - 18:25 | 2813143 Catullus
Catullus's picture

The tax revenues don't matter anyway. The cash flow deficit is too great as is. It's now all on the Fed to purchase the +$1 trillion a year in new debt issued and roll the existing debt. Tax revenues are so last century.

Wed, 09/19/2012 - 18:46 | 2813204 Alex Kintner
Alex Kintner's picture

Or end the Pointless wars immediately. And cut Military spending by 90% to bring it in line with what other countries spend.

Thu, 09/20/2012 - 06:47 | 2814211 Urban Redneck
Urban Redneck's picture

False Paradigm- "unaware, low information, .. Americans routinely vote against their own interests"

Who has presided over the largest theft of wealth in American history, stolen from the masses and given to the bankers?

It was sold as "hope and change", but in a roughly evenly divided country, "they" continue to cling to the "hope and change" as if it was meant to better "their" station in life, as opposed to the banks' balance sheets.  It doesn't matter if you slice the pie R/D, Payor/Non-Payor- It's all about the Inflation and the Bailouts to support the Banks which own the equity of the FED, at the expense of everyone else (not half of everyone else).

Wed, 09/19/2012 - 18:24 | 2813137 MillionDollarBoner_
MillionDollarBoner_'s picture

Can you spell "schadenfreude"?

Wed, 09/19/2012 - 18:26 | 2813141 JR
JR's picture

Obama’s campaign strategy has been to stay away from economic issues and fault Romney on personal issues. Both candidates are avoiding the war issue.

But the leaking of the Romney video may backfire big time against Obama. And in spite of the criticisms of Romney regarding the video, even coming from Republicans, the real domestic campaign issue is now on the table, namely the welfare state and its immediate implications for sinking the Republic.

Congress will not deal with the farm bill until after the election because its primary contentions involve the food stamp program, SNAP. Taxpaying Americans are not politically correct when it comes to their anger about transferring their income to non-productive citizens and non citizens. And right or wrong, Romney has just confirmed that of all the things he misunderstands, this is one where hits the mark.

So for millions of people, including those independents that both political parties desperately seek, the race portrays Obama’s “I believe in redistribution” and “I believe in sharing the wealth so that everybody gets a shot” with Romney's signal that on welfare he may be a conservative after all.

Finally, regardless of one’s position, there is an issue in the campaign.

BTW, the mention of Medicare in this welfare context is inappropriate in that most of the people legitimately receiving Medicare pay taxes;  that’s how they got Medicare, with earnings. And most people with past earnings pay taxes. Not only that, most non-welfare elderly retired couples must pay an additional $5000-$7500 in premiums for their Medicare insurance with supplement. And I ain’t talkin’ Medicaid, however the government hides it under the ‘Medicare” umbrella.


Wed, 09/19/2012 - 19:38 | 2813324 roadsnbridges
roadsnbridges's picture

Kristol and Rove are not republicans; they are repubicunts.

Wed, 09/19/2012 - 21:21 | 2813545 blunderdog
blunderdog's picture

most non-welfare elderly retired couples must pay an additional $5000-$7500 in premiums for their Medicare insurance with supplement.

You mean even on MEDICARE medical care isn't FREE?!?!!?!?

HOW CAN THIS BE when Medicare is socialized medicine?!?!  And they just passed even MORE socialized medicine in '03, plus now with YET AGAIN the new addition of STILL YET MORE socialized medicine with ObamaCare now too!!! 


As you can imagine, the non-wealthy elderly couples aren't forced to make those same payments.  I'm sure they get exactly the same quality of care, though.  That must be the socialism part.

Wed, 09/19/2012 - 18:25 | 2813142 Milton Waddams
Milton Waddams's picture

This isn't something new.

At the request of Treasury, the Fed was pegging interest rates throughout WW2 and up to the Korean War.

The difference between then and now is the economic / demographic headwind then was inflation opposed to de or dis-inflation now.

It's print baby, print... at least until the propagandists of the emerging economies can condition their population to become the voracious, mindless consumers that are in the process of dying-off in the mature economies.

Wed, 09/19/2012 - 19:08 | 2813251 riphowardkatz
riphowardkatz's picture

Yes its for sure deflation that is why gold, silver, platnim, food, rent, medical bills, tuition, stock market, are all raging. 

I am guessing there will still be deflation dudes spouting off when gold doubles again.

You are on the bleeding edge with your deflation call. 

Wed, 09/19/2012 - 18:29 | 2813152 JohnKozac
JohnKozac's picture

Prisoners riot in California:


They want a "Get out of Jail Free" card.



Wed, 09/19/2012 - 18:31 | 2813164 Yen Cross
Yen Cross's picture

 The "Pride of lions", had better get off that ( Bernanke $) aka [carcass/carrion] , as the [entitlement hyenas] are circling in the distance! /sarc

Wed, 09/19/2012 - 18:32 | 2813168 boiltherich
boiltherich's picture

Mr magic underpants can I say yet again go fuck himself

Wed, 09/19/2012 - 18:33 | 2813170 eugene12
eugene12's picture

The real key for me is the profound, and I mean profound, ignorance that continues to be displayed by supposedly intelligent, educated people who do not understand Medicare or Social Security.  Neither is "welfare" or an "entitlement".  These are programs paid for over a lifetime of contributions by millions of Americans. The continued inclusion of these programs in the word "welfare" is an insult to those of us drawing them.  If  there is any indication of the decay of the American educational system or the depths to which some writers will sink to prove their agenda, this is it.  Romney and Obama are simply an indication of the levels of ignorance to which we have sunk.  In fact, I can muster some respect for Romney and Obama as they are simply politicians for whom morality or ethics are but words but for the scum who continue to write such misrepresentations, I can muster nothing but contempt. 

Wed, 09/19/2012 - 18:44 | 2813196 razorthin
razorthin's picture

And the same scum won't go within a mile of discussing the bloated military-industrial complex and perpetual off-balance sheet wars.

Wed, 09/19/2012 - 18:45 | 2813200 Yen Cross
Yen Cross's picture

Thanks for defining the difference between "entitlement" & "welfare-45mm on foodstamps",

Where exactly do all those "Government Unions" fit in?

Wed, 09/19/2012 - 19:45 | 2813349 roadsnbridges
roadsnbridges's picture

We aren't talking pensions here?

Wed, 09/19/2012 - 19:10 | 2813256 JR
JR's picture

Excellent post. And these mischaracterizations unfortunately are often circulated on purpose, especially by bankers, central planners and their bought Congressman  who would use these potential reimbursements for their own selfish use.

It was none other than Obama as a Democrat senator speaking at the Goldman-sponsored Hamilton Project who promised his “friend Bob” Rubin the cuts in Social Security that the ex-Goldmanite was seeking.

Another socialist mathematical trick is to claim SS bankruptcy by transferring SS trust funds into the General Fund where Congress is able to use it for their special projects, especially those projects for their top lobbyist donors or for projects that keep them in office.

At the same time, Congress frees up more tax money for itself by charging to SS and Medicare the welfare costs for its retirees dependent on welfare and free Medicaid, i.e., the Democrat voter base. It’s called wealth redistribution by sleight of hand.

Unfortunately, so-called cost-cutters such as Paul Ryan can target "welfare" programs for cutting as government waste with supporters such as Rush Limbaugh pretending this is a legitimate reduction in the size of government. But the Social Security money does not belong to the Congress and was taken from taxpayers by law through their earning years. IOW, this is balancing a budget that Congress has wastefully expanded by stealing the private monies of Social Security owners held in trust by the Congress.


Wed, 09/19/2012 - 19:23 | 2813287 Yen Cross
Yen Cross's picture

 That "General Entitlement Fund", is about to be pillaged again, as we near the "debt ceiling cap", right around or shortly after election day!

   1.6 Trillion was negotiated, during the last "debt ceiling increase", and was supposed to last at least "16 months"!

 Excellent post J.R. +10. I would give ya a hug if you were with me!

Wed, 09/19/2012 - 23:05 | 2813783 JR
JR's picture

Thanks! Yen. I’ll take a rain check. I owe you, anyway.


Wed, 09/19/2012 - 19:42 | 2813344 Tyler Durden
Tyler Durden's picture

The problem with numerous paid-in entitlement programs is that they have been virtually all, ill-conceived. As is well-known the actuarial accounting for Social Security never assumed age of death to be much greater than the retirement age. See below from the SSN itself:

Q7:  Is it true that life expectancy was less than 65 back in 1935, so the Social Security program was designed in such a way that people would not live long enough to collect benefits?

A:  Not really. Life expectancy at birth was less than 65, but this is a misleading measure. A more appropriate measure is life expectancy after attainment of adulthood, which shows that most Americans could expect to live to age 65 once they survived childhood. (See more detailed explanation.)

Another problem is the manipulated accounting behind COLA adjustments, which are only a recent invention:

Q8:  When did COLAs (cost-of-living allowances) start?

A:  COLAs were first paid in 1975 as a result of a 1972 law. Prior to this, benefits were increased irregularly by special acts of Congress.

There has always been inflation, and always ways to game it.

And so on: many comparable examples can be found in all other entitlement programs.

The prior point is valid: many people have paid into these schemes, which are pyramid in nature, and are based on promises that could never be kept given current and future demographic trends.

Yet despite being paid in, they are unviable. In the parlance of our times: "they are unfair". Many people who have paid diligently into SSN, Medicare, etc, will end up collecting far less than they have put in, if anything. That is the pure math, absent massive inflation the welfare benefits promised will never be paid out.

That does not make it good, for those seeking an ethical qualifier. It makes it what it is: unsustainable. Like everything else in the modern "developed" world.

Wed, 09/19/2012 - 20:14 | 2813409 Almost Solvent
Almost Solvent's picture

exactly. math is such a bitch, so why pay her any attention.

Wed, 09/19/2012 - 22:04 | 2813649 Dr. Sandi
Dr. Sandi's picture

Because I foolishly put her in charge of my banking.

Wed, 09/19/2012 - 23:00 | 2813773 JR
JR's picture

Good points, Tyler, and well said; thanks.

It’s a scam, or as you say, a financial pyramid, i.e., a fraudulent moneymaking scheme that's forcing people by law to make payments to others above them in a hierarchy while expecting to receive payments themselves, which they won't.

The government has come out of this in fine shape, so far, but many people are cheated. And with inflation, they cheat ‘em every year; that’s the idea. If the government can give trillions to bail out the banks, it can start beefing up the Social Security program.

It’s a program forced by government; therefore, the government is responsible for making it work, which it hasn’t. Instead, Congress figured out a way it could come out ahead and make the people pay for the government.

SS would have worked somewhat better as a supplemental retirement program had the government caused payouts to rise in tandem with inflation. In that government is the inventor of inflation, it had a duty to make it right.  If it’s going to make you pay into Social Security and Medicare then it has a responsibility not to game you with both inflation and health care price gouging.

SS and Medicare should never have been government programs in the first place. People should have been allowed to earn their own money and build their own retirement. But to actually force these programs, then government has the responsibility to make them work. And if the government doesn’t and it's short, the Congress should subtract the cost from the defense budget and pay up on the contracts it already has made.


Wed, 09/19/2012 - 19:44 | 2813347 khakuda
khakuda's picture

You are correct, and right to be pissed, but I think the problem is that the politicians have raided these for other purposes over the years and there isn't enough money in there to keep promises (at least they have with Social Security, I don't know about Medicare, all I know is that it isn't enough to cover rising healthcare costs).

I'm of the age where I don't expect these to be there for me, although I've been paying in for decades.  I just add the social security tax into my Federal tax rate and assume it's gone.  It's either not going to be there or be means tested and anyone with $20,000 or some other minimal number in other interest/dividend/pension income probably won't qualify.

The government is like an alcoholic (no offense to alcoholics, who are more noble) who won't admit he has a problem.  The US has a balance sheet with off balance sheet liabilities that would make Enron proud.  It doesn't follow GAAP accounting.  It's idea of reducing deficits is to project an ever larger continual growth in the deficit and then claim savings and reductions of the deficit when they don't rise as much.  The are now to the point where not enough people buy their bonds, so they Fed prints money out of thin air and buys them.  That's a Ponzi that would make Madoff proud.

Wed, 09/19/2012 - 21:28 | 2813554 blunderdog
blunderdog's picture

Medicare and Social Security payments are made out of the revenue produced by a TAX levied separately from income and capital gains taxes.

You have no contract, and your past payments were never saved for your future benefits--they were used to fund government's activities at the time.  The so-called "unfunded liabilities" are already determined *not* to be legally-mandated, so anything they've told you about what you can expect to receive can be changed OVERNIGHT.

Don't let 'em fool ya.  Hopefully you see a return on that shit.  I suspect it'll be comparable to the return you've gotten from the income and sales and property taxes you've paid most of your life, too.

Wed, 09/19/2012 - 23:06 | 2813782 Alexandre Stavisky
Alexandre Stavisky's picture

Money spent long ago.  Sorry, you were lied to.  Those contributions were just taxes and spent on the goofy society we now inhabit.  Besides add all your money put in the pot, compound it at 1.8% (any more was Ponzi) and distribute it until its gone.  Doesn't go far.  You'll have to deduct the other benies you enjoyed provided by the sleight of budgetary hand.  Every jot and tittle will be repaid.  This world and the next.

There are no longer true patriots or those who would live free or die in the tattered remnant of a constitutional republic.  Since none will stand for the necessary rebalancing of society, nor renounce the welfare state, revolution or disorderly chaos is all that is left.  It will be ugly.

Wonder if Robespierre or Marat paid pensions, or assisted healthcare, or distributed routinely food?  What happened to the bonds throughout france, or any of the prior regime's promises?  French revolution was on snail mail pace.  Try it in the 21st century at the speed of light.  With some of the blackest, most malevolent beings to be encountered.

Aristos barely escaped with their lives.  Liquid wealth flowed into and combined with Britain's banking system.  The miserable were self-reliant or dead.

Hope it all works out.  We're out of elegant solutions.

Wed, 09/19/2012 - 18:38 | 2813181 blindman
blindman's picture

Steve Forbert's Midsummers Night's Toast
Here's to all you, all you lucky dogs, it's heads or tails Here's to all you filthy rich, I wish you well Here's to all the pretty women made for cash And here's to dashing daddy's son, he's such a flash
Well, I been lookin' and walkin' 'round the sunset squareSingin' an' talkin' with my friends down thereSittin' an' listenin' with a young man's earTo all the rainbow dreams
Here's to all the shitty jobs that I despiseHere's to two-bit guarantees and other liesHere's to roads of burning tar and hot cementAnd here's to money in my hand and where it went
I, I got my fingers a-tapping on the hard stone stepsI'm waiting for lightning and the rains to fallYoung lovers are loafin' with their sidewalk smiles And all their rainbow dreams
Amy Alice in the summerWith a sack lunch and a punch cardSee my sister with a drag jobOh man, she feels like, she's a hundred years ago
Well, here's to people living lives that they regretWork your fingers to the bone and sink in debtHere's to all those shaky tricks what hustlers tryYou know their easy money is oft' times hardYou know they flash a grin an' they wink their eye
I, I been livin' an' breathin' in the rat trap town Tryna get over where the wall breaks downHoldin' my head up with my thin tired armsAnd all my rainbow dreams, yeah

Wed, 09/19/2012 - 18:44 | 2813199 blindman
blindman's picture

both o hussein and romrad are welfare queens,
just from different neighborhoods.
good luck. ben is the distribution captain,
he will work for anyone who pays him well and
is willing to finance his need, an ordinary guy.

Wed, 09/19/2012 - 18:57 | 2813231 ultraticum
ultraticum's picture

What a wonderful revelation for Romney, candidate for leader of the (un)Free World.  Too bad his top donors are Fed cartel members/owners. 

Yeaaaaahhh!  Meet the new boss . . . same as the old boss.   We don't get fooled again


Wed, 09/19/2012 - 19:05 | 2813246 riphowardkatz
riphowardkatz's picture

Why would the fed stop buying the debt? I will answer myself, they will not.

Wed, 09/19/2012 - 19:08 | 2813253 KarlGDenninger
KarlGDenninger's picture

Hear ye hear ye my brothers ...i s

i speak for biff the unruly...supreme angel of god. He has asked me to find faithful. The world has limited time. On december 23rd it will end. Biff.jesus and allah have promised me 44000 followets. I have only two. We must beexcavate ajd hollow out the earth. There we will hoide. I am designing a drill ...but i need donations. Join my sermon on sundays. God be with you. Shalom

Wed, 09/19/2012 - 19:14 | 2813265 Atomizer
Atomizer's picture

How the media is distorting Obama poll numbers.


Robopoll records silence as support for Obama

Wed, 09/19/2012 - 19:15 | 2813267 Tombstone
Tombstone's picture

Pay for the $100 trillion in unfunded promises?  These jokers will not be able to fund the $16 trillion debt we have currently.  What happens when and if the economy grows and interest rates get back to normal?  The interest payments will suck up any increase in tax receipts and then some.  We are doomed until the whole thing blows up and the central planners end up in hell, where all good Markies go.

Wed, 09/19/2012 - 19:17 | 2813271 cougar_w
cougar_w's picture

This part is utter nonsense:

"whose true ruler does not reside at 1600 Pennsylvania Avenue, but instead holds America hostage in a powerful Stockholm Syndrome grip from the deep recesses of the Marriner Eccles building located, paradoxically, on Constitution Avenue."

We don't have a "ruler", not at 1600 nor anywhere else. We are not held hostage. There is no outside force or shadowy cabal working against American interests here.

What is working against American sovereign interests is simply -- all of the Americans.

The citizens allowed this to happen. For whatever reason -- greed, ignorance, laziness, gullibility, doesn't matter -- we allowed it to begin and we allowed it to continue and now only we can reverse the damage done.

Yes Americans will have to overcome greed, ignorance, laziness and set aside their precious gullibility. And then, Americans must do the very painful work of unwinding 100 years of turning our backs on a crime committed against the future. Because the future has finally arrived, ready to collect on the bill due it, and either we pay that bill and move on or we get ourselves taken to the woodshed for a 100 years beating.

No, I am not hopefull. We're talking about Americans here, afterall. But all of that is the work of the moment -- it is the only work that matters -- and until we stop looking behind the curtain for some imagined wizard to hang we won't be spending enough time in front of a mirror confronting the true face of failure.

Wed, 09/19/2012 - 19:29 | 2813301 Tyler Durden
Tyler Durden's picture

"Hostage" in the sense that should anything ever be changed, or merely threatened to, we all "get it", when the CTRL-P process ends. See: 3-page term sheets.

"Stockholm Syndrome" in the sense that the nation has allowed this kidnapping to occur, because as part of it it has obtained implicit promises that at some point in the distant future, some welfare entitlement will be showered upon the people given various status quo milestones: retirement, pension, becoming morbidly obese, etc., if only they remain willing and most importantly docile participants in the charade. See: the myths behind the Bismarck welfare state.

Otherwise you are totally correct.

Wed, 09/19/2012 - 19:43 | 2813345 Temporalist
Temporalist's picture

Under Stockholm Syndrome does one include addicts?  The pusherman always got what you need (money, drugs, power).


Thu, 09/20/2012 - 00:26 | 2813921 AurorusBorealus
AurorusBorealus's picture

Easy on Bismark.  Bismark's welfare programs were paid for by revenues and in hard currency.  It had long been the province of the monarch to provide some support for his subjects in times of trouble in exchange for their loyalty.  Bismark's social welfare was much more an extension of noblesse oblige than state socialism.  Furthermore, Bismark's programs were paid for mostly by import and export tariffs not by taxing the labor of the working class or by devaluing the currency.  There is nothing wrong with a "poor law" (I am not a libertarian)... but to steal from the working poor to give to the non-working poor... I have serious problems with this, as I suspect all ZH readers do.

Wed, 09/19/2012 - 21:52 | 2813618 ozziindaus
ozziindaus's picture

Well there is someone or something that has some influence RULE over the US.....

Wed, 09/19/2012 - 19:22 | 2813280 Atomizer
Atomizer's picture

One last post, please watch.. Thank you


Obama Calls For Society Based On Collectivism, Hails Union Power In Uncovered 1995 Video…<- A must watch 

Notice the same dialogue with IMF Collectivism protocol? 

July 2011 rescue package for Greece

Wed, 09/19/2012 - 19:33 | 2813312 Everybodys All ...
Everybodys All American's picture

Say what you will about Romney... I can take him or leave him. Obama is Hugo Chavez and has told you over and over again.

Wed, 09/19/2012 - 19:24 | 2813288 caimen garou
caimen garou's picture

mitt and barry two peas in a pod,I'll tell you the end game, obama wins the election and we all eat shit sandwiches! just start johnny apple seeding your money now redistribution on the way! oh and by the way our fuck up congress can't get their heads out of their asses to do anything worth a fuck! rant over...

Wed, 09/19/2012 - 20:34 | 2813448 mendolover
mendolover's picture

Agreed.  At this point MR can't say a single thing that will get me to pull a lever for him.  If I really used my imagination and went really shallow, maybe I could vote for him because I think Ann would make a classier FLOTUS?  I don't know.

Ron Paul 2012!!!

Fight Organized Crime - Re-elect No One!!!

Wed, 09/19/2012 - 19:24 | 2813289 roadsnbridges
roadsnbridges's picture

Four years ago, these comments would have been dominated by Ozombies.

My, how times have changed.

Wed, 09/19/2012 - 19:34 | 2813318 Everybodys All ...
Everybodys All American's picture

Come here on the weekends and they will run you over.

Wed, 09/19/2012 - 19:27 | 2813291 dolph9
dolph9's picture

Romney isn't going to win, that much is obvious.  You have to remember something about the liberal/democratic side.  They may not like Obama much, but they will vote for him, just like the conservatives voted for Bush in 2004.

I'm a former liberal and still fairly connected to that side.  And trust me, they will vote for Obama.  If only because they think Obamacare will help them out, and they still have a deep fear and loathing of the republicans that comes from 8 years of trauma, not easily forgotten.

And you guys will have a breakdown, just like the liberals did in 2004.

And we'll circle the drain a little longer until the endgame sometime in 2016-2020.

Wed, 09/19/2012 - 19:39 | 2813327 Everybodys All ...
Everybodys All American's picture

You might be right. I hold out hope that the 2010 elections were not an aberration. How in the world do people come to grips with this high of an unemployment rate and this low of a gdp. If the president were a ceo he would have been fired twice already. I have no great affinity for Romney but I just do not understand the mentality to reward this level of incompetence with four more.

Wed, 09/19/2012 - 20:32 | 2813444 Nimby
Nimby's picture

You think we have until 2016-2020?

Wed, 09/19/2012 - 20:54 | 2813493 blunderdog
blunderdog's picture

+1 Being somewhat familiar with your body of work here, I disagree with your dumbshit hateful ass on almost everything substantive, but that post is EXACTLY correct about this upcoming election.

(I don't think ObamaCare's any kind of issue, though.  Anyone who would've really needed help has figured out it's just more bullshit, and anyone who was previously happy with their healthcare knows it's nothing but downside.)

Wed, 09/19/2012 - 20:57 | 2813505 Overfed
Overfed's picture

But you're still thinkin' like there is really a difference. O'bomb-a=Shrub enhanced.

I can't give you a big analysis as to why, but I think we'll be lucky to make it to 2014 before this slow-motion trainwreck goes to warp speed. No matter  who 'wins' the "election".

Wed, 09/19/2012 - 19:25 | 2813292 Flakmeister
Flakmeister's picture

What about the other end game, that is when 1000 American families own everything....

Wed, 09/19/2012 - 20:54 | 2813490 Overfed
Overfed's picture

You really think O'bomb-a is gonna do anything to prevent that?

Wed, 09/19/2012 - 22:28 | 2813699 Flakmeister
Flakmeister's picture


Is that a lame attempt at baiting me?

Wed, 09/19/2012 - 19:36 | 2813320 Atomizer
Atomizer's picture



It’s coming folks. IMF is looking for young muppets who have been indoctrinated by Ivory league Marxist teachings. 

It can be an exciting job, just don’t go against the FUND. If you do, you may find yourself inconveniently caught in a MSM scandal involving bribing midgets for sexual favors. Don’t delay, join today!



Thu, 09/20/2012 - 03:29 | 2814084 object_orient
object_orient's picture

Ah yes, those cloistered academics in their ivy towers in the Ivory league.

Wed, 09/19/2012 - 19:43 | 2813328 tony wilson
tony wilson's picture

only presdent romney and maybe jeb bush can help us now.

nobody outside der bush clan udderstands der troble dese arabs in iren have caused us apart from mr romney.

nobody udderstands maps and world histry and countin cash money like romney

nobody has a stronger finger for pressin der button on dem i nukum bombs wid siria and irens name on dan romney

nobody aparts from bush,hilary clinton,obama,bill clinton,mr rockefella and i luv children baron rothschilds and lord liar blair no won but dem folks nose and have der sheer patreotick guts to kill a million brown folks for are freedomes

wes need a presdent like obama but a white one dat kills more.obama is a coward he only killed 100 thosand dat is in effishant

wes need a killin to be done by a reel busnessman wid more effishantsee and high body count

since jeb bush jr is havin to much fun partyin wid der mexican drugs cartel we patreotts have 1 chooce predent romney

god help us all

Thu, 09/20/2012 - 04:12 | 2814112 MikeMcGspot
MikeMcGspot's picture


 Oh my savior, my caption, my captain! Warm mittens will keep me safe in the winter cold,


Wed, 09/19/2012 - 19:40 | 2813338 newworldorder
newworldorder's picture

Bennie is doing the only thing he can do, which is to fund the financial system till the end.


Given our present circumstances; - Continued globalization, almost open and unchecked immigration, full outsourcing, financial fraud, unfunded $1.5 trillion borrowing per annum, aging demographics and an ungovernable political system, the ability of the electorate to fix things is not there.


Most do not know that it needs fixing, much less the pain and sacrifice that will be needed to fix the political system. We are still living in the utopia of the mind. Homeland security is aware of all this and they are preparing, given their recent ammunition purchases.

Wed, 09/19/2012 - 19:49 | 2813359 Tum
Tum's picture

Um, is anyone as floored and stunned as I am right now? I had to read what Romney said three times to make sure I read it correctly. I'm shocked he has the understanding of how screwed we are and what's really going on. Does this change any of your opinions of him?

Wed, 09/19/2012 - 20:30 | 2813441 Nimby
Nimby's picture

Yes, I'm stunned.  No, it doesn't change my opinion.

Wed, 09/19/2012 - 22:21 | 2813661 Dr. Sandi
Dr. Sandi's picture

Stunned is a pretty good word to describe the prezelection rhetoric so far this season.

Wed, 09/19/2012 - 22:12 | 2813670 lakecity55
lakecity55's picture

Hell, I thought better of him after hearing the illegally-recorded, edited tape from motherfuckerjones.

Maybe now I can just hold my breath instead of my nose at the polls.

Wed, 09/19/2012 - 23:38 | 2813844 tsuki
tsuki's picture

Yes.  I live next to Okaloosa County where 73% of the economic activity is generated by the Military-Industrial Complex, and Romney wants to up the defense budget.  Keep those Treasury checks coming, WOOT.


Great understanding. 

Thu, 09/20/2012 - 02:36 | 2814045 walküre
walküre's picture

He calls FORTY SEVEN PERCENT of Americans VICTIMS and classifies them as MOOCHERS.


Do 47% of Americans get TRILLIONS in .GOV contracts either through the front or the backdoor?

What's that? Biggest campaign contributor of Bush's campaign was BIG PHARMA??? Well, tickle me pink Elmo.

BIG PHARMA wouldn't have been the biggest beneficiary of MEDICARE AND MEDICAID by chance now? Would they?

Romney is the kind of guy who thinks of himself as GOD or someone doing GOD'S work while denouncing anyone trying to SURVIVE on food stamps.

Who are the biggest beneficiaries of GOVERNMENT HANDOUTS? Always have been.

Wed, 09/19/2012 - 19:59 | 2813376 I am a Man I am...
I am a Man I am Forty's picture

"failed treasury auction" => good one, that's funny, either that or they are going print, buy more, rinse and repeat, and devalue the purchasing power of all the mostly stupid Americans

interest rates go up and it is game over, and just who is going to pull the game over trigger?  crickets chirping

Wed, 09/19/2012 - 20:10 | 2813392 Zymurguy
Zymurguy's picture

The soap box and ballot box have not worked... time to break out another box.

Declare our natl. debt odious and re-establish this nation.

Wed, 09/19/2012 - 20:10 | 2813396 Yen Cross
Yen Cross's picture

O/T, is just me? Or is Asia, incapable of finding a "BID", on anything!?  Back to the future,"Monday open" cut my meager gains on "FUCKING Thursday" seems in order! NO?

   Q-Fucking E, drinks on, some deserted Japanese island!

Wed, 09/19/2012 - 20:15 | 2813410 orangegeek
orangegeek's picture

Gold is up, Markets are up, US Dollar is down and oil is down.

SP500 is doing its rise on lower volume again.

Will be interesting to see if this holds through earnings season - early October.


Obama is bailing quickly to get that second term and Romney is obliging.  Who wants to inheret this mess?

Wed, 09/19/2012 - 20:15 | 2813412 Atomizer
Atomizer's picture



With the recent upheaval of civil unrest created from within and passed globally abound to all slave minions. How would like to understand their cause/effect effort’s in keeping you in fear? 

Now, how many of you would like to have some candy?

If Footmen Tire You, What Will Horses Do? (1971) 

Exposing the weakness only prevails success in identifying the cancer operating in disguise as a paid government servant.   Winks  

Wed, 09/19/2012 - 20:32 | 2813443 Yen Cross
Yen Cross's picture

  I'm just messing with ya guy/gals. We got options expiries/spx rebalancing to look forward to!

Wed, 09/19/2012 - 20:33 | 2813446 Yes_Questions
Yes_Questions's picture



Had a Romney supporter (and person I generally like btw) go off all talking point styles on how many americans live off the govt.

I asked him if he understood who actually controls the money.  Poor fellow just went on and on about how Obama spends this and debt that, didn't seem to get what a central bank is/does.


Can't wait to share the Gawker Video with him from Daily Bail above.  I bet he'll say yes, Romney will be good on the kill list thing.


But, on a side note, wouldn't it be something if Romney gaffes more reality about the FED's currency conjuring as of late and its commitment to do so until employment improves?  What if he actually points to this, say at the end of September should U3 show dramatic "improvement", as something Obama can't take credit for, because the FED did it through QE.


The FED is people my friend and that muslim is not! he'll dog whistle.



Wed, 09/19/2012 - 20:42 | 2813469 Lost Wages
Lost Wages's picture

Oh Shitt!

Wed, 09/19/2012 - 20:43 | 2813470 tony bonn
tony bonn's picture

"...but the math is there...'

and it doesn't matter a whit......obomney have enacted government give aways in massachusetts and nationally.....obamney is a spendthrift big government goon no matter what he pretends - you can look at his government record - although i think that the romney half has shredded more documents than his obama half....

yes, the bob dole of 2012 is headed for political extinction...while soetoro is gearing up to murder americans with his desperately fought ndaa assassination program.....but that's what lying indonesians do best....

government welfare is not intended to help but to enslave....senior citizens and welfare mamas can vote for either candidate knowing full well that they will be given even more benefits from the enslaving state....

big government is big debt which is big wall street.

Wed, 09/19/2012 - 20:48 | 2813475 tony wilson
tony wilson's picture

talking of end games..

anyone get the feeling a false flag attack is a comin.

it is gonna have to be big to get the mobs on us streets howling for brown blood.


the date that this happens will have to have resonance and have numerical symbolism.

Wed, 09/19/2012 - 20:56 | 2813502 blunderdog
blunderdog's picture

I always have that feeling.  That's part of how I know I'm an American.

Wed, 09/19/2012 - 21:04 | 2813518 Yen Cross
Yen Cross's picture


Wed, 09/19/2012 - 21:32 | 2813563 blunderdog
blunderdog's picture

My ENTIRE LIFE, the government has been doing a great deal of preachy talking about how horrible and scary and bad everything out there is going to be if we don't support it while it tries to protect us and save us and fix stuff for us.

I've spoken to older folks.  It's been the same for them, too.

Wed, 09/19/2012 - 21:59 | 2813631 Yen Cross
Yen Cross's picture

 Older folks? ( WELCOME to "entrepreneur-ship")  We !, weell slightly younger, (Invented it!) 

  Crazy Airplanes and Rockets, that (WE) can fly!  'can't guarantee the outcome'', but looks better than some stupid "skating video"?


Wed, 09/19/2012 - 22:47 | 2813735 blunderdog
blunderdog's picture

Bartender?  I think he means well, but more ice for this gent, please.

Do NOT follow this link or you will be banned from the site!