Sunday, February 19, 2017

College Tuition Bubble: Far Too Many Unqualified Students Attending College

Everyone has heard about the ongoing and growing bubble in student loans -- which now totals $1.25 Trillion and rising even though the non-payment rate has hit 43%.  If you ever needed evidence of how broken Washington DC has become, this is it.  Outright defaults have reached at least 17% but the government is still making loans and doing so at very low interest rates.

Much of that $1.25 T student loan portfolio is held as an "asset" of the Federal Government (just like a bank's assets are their loan portfolio). It is, in fact, the LARGEST asset of the Fed Government. But 43% of it already looks very shaky. But don't expect any write-downs or "mark to market." Any kind of proper accounting or even accountability is now absent in every aspect of government.

The College "bubble" has all the makings of a free-money welfare scheme. According to the NAEP (National Assessment of Educational Progress), overall only 30% of 12th grade students perform at a "proficient" or better level. That's averaging the Reading and Math scores for those proficient or better. (See here for Math and here for Reading.)

One would think that a student should be performing "proficiently"or "advanced" at the 12th grade level before they are ready for college, right?  You thought wrong. Some 66% of high school graduates are going to college but only 30% of them are performing proficiently at the 12th grade-level.  It means that, overall, about 1/2 of kids going to college probably don't belong there.

Given this situation, one shouldn't be a surprised if about 1/2 of those college loans aren't payed back. But that's what we're seeing. Because 1/2 of these kids don't belong in college at all, it's not really doing them any good.  It's all a huge racket that benefits colleges--both good and bad ones and the not-for-profit and for-profit ones. All that money has inflated college tuition costs to the moon and has priced-out the next generation of college kids. And those student loans are a huge burden to an entire generation of young adults.

And if you look at the data for Black kids at the 12th grade level, only 12% of those kids are "proficient" or better at 12th grade studies but fully 70% of all black high-schoolers are going to college!  Only 12% of black kids are qualified for college but 70% are taking the money and going to school (and actually attending classes???).  Why? Because black teenage unemployment is sky high. And few blacks can pass up seemingly "free money." They are right though, politicians will bail them out before long -- all at taxpayer's expense.

So, about 83% of black college kids don't belong at college at all.  Correspondingly, the expected student loan default rates for blacks will be about 80% or higher.  This is already being seen in repayments from primarily black colleges are leading the list of institutions where NOT ONE DOLLAR OF STUDENT LOANS are being repaid.

So, this has all the marks of a "free-money" scheme (that will ultimately need a taxpayer bailout) and a welfare scheme to "benefit" or "help" black kids the most. It's also a huge "racket" to fund unworthy colleges and professors. For-profit colleges are benefiting enormously from all that "free money." See my blog post "Student Loan Racket In Action."

Think about how stupid Hillary, Sanders and others in the Democratic Party are who are in favor of "free college" for all. It would amplify the absurdity of the current tuition bubble and turn many colleges into high schools--which I suspect is already happening. How can it NOT be with so many "deficient" kids attending class?

And Congress is sitting on their asses watching the money fly out the window since it's assumed that taxpayers will pay the bill for the defaults. Shut down the whole damned thing! Only private banks should be making such loans!

Sunday, January 29, 2017

Are You the Enemy?

Trump's nearly single-handed battle against The Left has begun. The Left wants to destroy this country. They don't see it that way, but they do. They control the media outlets and it's become all-out war.  They are the enemy. The Left's mouthpieces like MSNBC, CNN, ABC, CBS (and basically all the others) are sinking into a self-destructive, screeching insanity in political matters. But Trump is playing them like fiddles by 'triggering' them to expose their lies and biases. They will lose. Trump is too clever for them.

It's sad because we, in fact, need rational, impartial, investigative journalism for the sake of our Democracy. We have it at alternative websites like Breitbart.com and ZeroHedge.com. But these sites have been targeted as "Fake News" by the REAL Fake News outlets like the Washington Post. They are they enemies.

Are you the enemy?  Here's some great indications that you indeed are the enemy of this country (from Uncola at the BurningPlatform blog).
  1. If you believe the mainstream media is NOT the primary source of “fake news” in America today, then you are the enemy.
  2. If you believe Trump’s inauguration speech was “bleak”, “combative”, “militant”, “dark” or as having “anti-Semitic overtones”, then you are the enemy.
  3. If you propagate lies in order to perpetuate a political agenda under guise of impartiality, then you are the enemy.
  4. If you have the raging desire to physically assault someone walking on the street simply because they are wearing a Trump hat, then you are the enemy.
  5. If you believe the Russians “hacked” the 2016 presidential election, or that Trump is not a “legitimate” president, then you are the enemy.
  6. If you march in the streets because Trump is a misogynist, but believe Bill Clinton is not, then you are the enemy.
  7. If you believe Trump made fun of a handicapped reporter during the election, then you are the enemy.
  8. If you propose that Barron Trump might be autistic, or Tweet that he will be the country’s first homeschool shooter, or say that he is a date rapist to be, then you are the enemy.
  9. If you can’t sit by a Trump supporter on an airplane, or, lack the balls to tell your wife to “shut up”, then you are the enemy.
  10. Since the election of Donald Trump, if you have “thought an awful lot about blowing up the White House”, then you are the enemy.
  11. If you say that President Trump has wet dreams about his own daughter, then you are the enemy.
  12. If, under the guise of a political protest, you take to the streets causing violence and property damage, then you are the enemy.
  13. If you are more concerned about Trump’s inaugural crowd size instead of the “devastation and destruction in our schools, with our health care, in our economy, and with our small business owners”, then you are the enemy.
  14. If you are concerned regarding “the Disturbed Psychological Mindset Driving President Trump’s Climate Change Policies”, then you are the enemy. 
  15. If you think the world would be better off spending $70 to $90 Trillion to halt the very gradual and slight global (1.6 deg F in 100 years) warming underway, then you are the enemy.
  16. If you believe that Barack Hussein Obama was a good president, then you are the enemy.
  17. If you esteem Hillary Clinton’s vagina more than her honesty, then you are the enemy.
  18. If you value your own “welfare” more than your country, then you are the enemy.
  19. If you refuse to acknowledge, identify or speak the words “Islamic Terrorism” or “Islamic Extremism”, then you are the enemy.
  20. If you consider the phrase “black lives matter” to be just and fair, but the phrase “all lives matter” to be intolerant and racist, then you are the enemy.
  21. If you believe that little children should be subjected to the dangers of “gender neutral” bathrooms, then you are the enemy.
  22. If you believe in prosecuting hate speech and encourage “safe spaces” to protect students from free speech on college campuses, then you are the enemy.
  23. If you believe Donald Trump is a bigot, a racist, or a xenophobe, then you are the enemy.
  24. If, when discussing your political opponents, you use terms like “white privilege”, “toxic masculinity”, “Islamaphobia”, “xenophobia” or “homophobia”, then you are the enemy.
  25. If you value the skin color of Jesse Jackson, Al Sharpton and Barack Obama over the character and integrity of Dr. Ben Carson or Supreme Court Justice, Clarence Thomas, then you are the enemy.
  26. If you either subsidize, or receive payment for, protesting in the streets of America, then you are the enemy.
  27. If you support people from foreign countries invading America illegally, then you are the enemy.
  28. If you believe the United States Constitution and the Bill of Rights to be antiquated documents written by old, white slave-owners in order to infringe on your modern natural rights, then you are the enemy.
  29. If you believe only celebrities, politicians, the government, the rich, the powerful, law enforcement and the military deserve protection under the Second Amendment, then you are the enemy.
  30. If your politics result in the sacrifice of American workers upon the altar of globalism, then you are the enemy.
  31. If you are an individual, corporation or government agency illegally surveilling American citizens in violation of their Fourth Amendment rights, then you are the enemy.
  32. If you are a politician, member of the military, employed by a government alphabet soup agency or working in law enforcement while playing politics and abnegating your oath to the U.S. Constitution, then you are the enemy.
  33. If you are a politician who lies to get elected, or one who earns false respect, seeks illicit favors and accepts unearned wealth by giving away other people’s money while accepting bribes, then you are the enemy.

Saturday, January 21, 2017

Paul Craig Roberts: Trump's Declaration of War

January 20, 2017 Paul Craig Roberts  A brilliant and truthful article.

"President Trump’s brief inaugural speech was a declaration of war against the entirety of the American Ruling Establishment. All of it.

Trump made it abundantly clear that Americans’ enemies are right here at home: globalists, neoliberal economists, neoconservatives and other unilateralists accustomed to imposing the US on the world and involving us in endless and expensive wars, politicians who serve the Ruling Establishment rather than the American people, indeed, the entire canopy of private interests that have run America into the ground while getting rich in the process.

If truth can be said, President Trump has declared a war far more dangerous to himself than if he had declared war against Russia or China.

The interest groups designated by Trump as The Enemy are well entrenched and accustomed to being in charge. Their powerful networks are still in place. Although there are Republican majorities in the House and Senate, most of those in Congress are answerable to the ruling interest groups that provide their campaign funds and not to the American people or to the President. The military/security complex, offshoring corporations, Wall Street and the banks are not going to roll over for Trump. And neither is the presstitute media, which is owned by the interest groups whose power Trump challenges.

Trump made it clear that he stands for every American, black, brown, and white. Little doubt his declaration of inclusiveness will be ignored by the haters on the left who will continue to call him a racist just as the $50 per hour paid protesters are doing as I write.

Indeed, black leadership, for example, is enculturated into the victimization role from which it would be hard for them to escape. How do you pull together people who all their lives have been taught that whites are racists and that they are the victims of racists?


Can it be done? I was just on a program briefly with Press TV in which we were supposed to provide analysis of Trump’s inaugural speech. The other commentator was a black American in Washington, DC. Trump’s inclusiveness speech made no impression on him, and the show host was only interested in showing the hired protesters as a way of discrediting America. So many people have an economic interest in speaking in behalf of victims that inclusiveness puts them out of jobs and causes.

So along with the globalists, the CIA, the offshoring corporations, the armaments industries, the NATO establishment in Europe, and foreign politicians accustomed to being well paid for supporting Washington’s interventionist foreign policy, Trump will have arrayed against him the leaders of the victimized peoples, the blacks, the hispanics, the feminists, the illegals, the homosexuals and transgendered. This long list, of course, includes the white liberals as well, as they are convinced that flyover America is the habitat of white racists, misogynists, homophobes, and gun nuts. As far as they are concerned, this 84% of geographical US should be quarantined or interred.

In other words, does enough good will remain in the population to enable a President to unite the 16% America haters with the 84% America lovers?

Consider the forces that Trump has against him:

  1. Black and hispanic leaders need victimization, because it is what elevates them to power and income. They will turn a jaundiced eye toward Trump’s inclusiveness. Inclusiveness is good for blacks and hispanics, but not for their leaders.
  2. The executives and shareholders of global corporations are enriched by the offshored jobs that Trump says he will bring home. If the jobs come home, their profits, performance bonuses, and capital gains will go away. But the economic security of the American population will return.
  3. The military/security complex has a 1,000 billion annual budget dependent on “the Russian threat” that Trump says he is going to replace with normalized relations. Trump’s assassination cannot be ruled out.
  4. Many Europeans owe their prestige, power, and incomes to the NATO that Trump has called into question.
  5. The financial sector’s profits almost entirely flow from putting Americans into debt bondage and from looting their private and public pensions. The financial sector with their agent, the Federal Reserve, can overwhelm Trump with financial crisis. The New York Federal Reserve Bank has a complete trading desk. It can send any market into turmoil. Or support any market, because there is no limit on its ability to create US dollars.
  6. The entire political edifice in the US has insulated itself from the will, desires, and needs of the people. Now Trump says the politicians will be accountable to the people. This, of course, would mean a big drop in their security in office and in their income and wealth.
  7. There are a large number of groups, funded by we-know-not-who. For example, RootsAction has responded today to Trump’s forceful commitment to stand for all of the people against the Ruling Establishment with a request to “ask Congress to direct the House Judiciary Committee to open an impeachment investigation” and to send money for Trump’s impeachment.
  8. Another hate group, human rights first, attacks Trump’s defense of our borders as closing “a refuge of hope for those fleeing persecution.” Think about this for a minute. According to the liberal-progressive-left and the racial interest group organizations, the US is a racist society and President Trump is a racist. Yet, people subject to American racism are fleeing from persecution to America where they will be racially persecuted? It doesn’t make sense. The illegals come here for work. Ask the construction companies. Ask the chicken and animal slaughter houses. Ask the vacation area cleaning services.
This list of those on whom Trump has declared war is long enough, although there are more that can be added.

We should ask ourselves why a 70 year old billionaire with flourishing businesses, a beautiful wife, and intelligent children is willing to give his final years to the extraordinary stress of being President with the stressful agenda of putting the government back in the hands of the American people. There is no doubt that Trump has made himself a target of assassination. The CIA is not going to give up and go away. Why would a person take on the grand restoration of America that Trump has declared when he could instead spend his remaining years enjoying himself immensely?

Whatever the reason, we should be grateful for it, and if he is sincere we must support him. If he is assassinated, we need to take up our weapons, burn Langley to the ground and kill every one of them.

If he succeeds, he deserves the designation: Trump the Great!


Russia, China, Iran, Venezuela, Ecuador, Bolivia, and any other country on the CIA’s hit list should undersand that Trump’s rise is insufficient protection. The CIA is a worldwide organization. Its profitable businesses provide income independent of the US budget. The organization is capable of undertaking operations independently of the President or even of its own Director.

The CIA has had about 70 years to entrench itself. It has not gone away."

Sunday, January 15, 2017

The Trainwreck Of Black/Democrats Idiocy Continues to Run Amok

The trainwreck of the Democratic Party and their captive Black "leader's" idiocy is now running amok in this nation with their stupidity and racism taking a front and center position. Our ignorant half-black President, during his 8 year tenure, started a war on cops and a race war by automatically taking sides with black persons in their interactions with police  -- even before facts of the cases were known. Police officers across the nation have rightfully felt under attack and have stepped back in their patrols causing more black people to die as most violent crime in this country is squarely centered in black areas and committed by black men. So Obama, Holder and Lynch have black person's blood on their hands. They don't and can't see what their doing -- proving that they are entirely unfit for any responsible office. But they NEVER will see it.  These people are extremely ignorant. 

Blacks and their "leaders,"who are nearly all fools, charlatans, idiots and/or criminals, have been quick to jump on the Black Lives Matter and "Hands up, don't shoot" lies & nonsense. Both of these movements are built on proven lies. Whites are more than twice as likely to be shot by police even though blacks are committing crimes at 7 to 10 times the rate of whites!

Sworn Grand Jury witnesses and detailed forensic evidence proved that Michael Brown was charging Ferguson officer Darren Wilson when he was shot. This after Brown robbed a convenience store and attacked Wilson in his own patrol car!  Of course the Liberal media tried to make Brown some kind of hero. Black leaders were entirely sure he was a suitable martyr! The media, without any evidence whatsoever, tried to claim that Brown was a sweet young guy heading to college! The reality was that Brown was already a criminal, was fat and violent and was heading to jail-- not college. Liberal media and Democrats just make things up.

Facts are an anathema to Liberals and Democrats. Grand Jury verdicts are not respected. How is this the basis for civilized society?  It's not!

Very few black persons are capable of reasoned, rational thought in these matters. This includes our Harvard-educated President (Harvard should demand their diploma back -- IF he really has one). Instead they want uninformed mob justice like exists in the Congo and much of Africa.

Just yesterday, our "black" DOJ, led first by racist Holder and now Lynch just announced that Chicago police are racist pigs citing the fact that excessive force is used against blacks at 10 times the rate of whites.  So their war against police of all races continues. But Lynch's report doesn't state the truth that, in Chicago, Blacks are murdered 15 times more often than Whites, or that Blacks commit murders at 20 times more often than whites, or that Police are 30 times more often to be killed by a Black than by a White?  It's not much better in any other urban area with large black populations; Memphis, St. Louis, New Orleans, Baltimore, Washington DC.  Black America is a royal mess! Black politicians are a royal mess! What good are Democrats??

First of all, it is extraordinary that black Americans cling to the corrupt Democratic party in the first place. The Republican party was created to eliminate slavery, it was the party of post-civil war Reconstruction in the South, and voted significantly more in support of voter rights and black civil rights in the 1960s.

It was the Democrats that brought an end to Federal troops in the South which brought a dark 100 year period which ended Reconstruction. Blacks lost Constitutional rights, lost voting rights and freedoms and were victims of Jim Crow laws that lasted until the 1960s.  Democrats are the party of the KKK. (West Virginia Democrat Robert Byrd was a KKK member for instance.)  Got that people, the Democrats are historically the party of black oppression.

The disputed election of Rutherford Hayes and Tiltden in 1876, an arrangement was made to give Hayes the Presidency but with the agreement that Federal troops would be removed from the South -- ending Reconstruction -- all to appease the Democrats in the South and their majority in the House of Representatives. Blacks voted Republican at that time and rightly felt betrayed.  It took about 100 years before civil rights were won again for black citizens following Brown vs.The Board of Education in 1954. Later, Republicans cast far more votes than Democrats to ratify civil rights laws in the 1960s.

So, the Democratic party's damage to US blacks continues to this day. "Government" is "helping" black people like they "helped" native American Indians. It's ruined them!  Money thrown at blacks to "help" them hasn't had the effect that was intended or expected. It has only brought the highest percent of single parents. highest unemployment, highest dropout rate, highest out of wedlock births. Highest instance of absent fathers. Poverty is higher than ever even after all that money spent to "help" people.  (Households with a single parents are very impoverished compared to intact families with fathers around.)  But US blacks can not see their own degraded condition or what caused it!

Because of their own blindness, US Blacks have no idea of what's good for them. Like lemmings running off a cliff, for 60 years blacks in Detroit kept electing black Democrat mayors who ran that city into the ground. Many were prosecuted by the FBI. After Detroit's bankruptcy, white lawyers under a Republican governor essentially took over. Detroit is the "crown jewel" of black Democratic party incompetence.

The black idiocy and racism continues today by supposedly sophisticated blacks like Corey Booker, Obama, and John Lewis. Like most Democratic party issues, they believe in things that are untrue. Efforts by Booker to call Trump's DOJ nominee Jeff Sessions a racist is very unfair and untrue. Sessions, as DA in Alabama prosecuted KKK members.  In reality, Sessions is more like Atticus Finch in the award-winning story "To Kill A Mockingbird." Atticus Finch was a high-integrity white lawyer who defended a black client in the story. In reality, principled and high-integrity people (Republicans) like Atticus Finch (and Jeff Sessions) became high level judges or prosecutors in the South and helped transform justice in the South. Sessions used to be praised by black leaders in recent years and decades. In fact, Booker was singing Session's praises only two years ago!  So, this public disrespect to Sessions was to appeal to their ignorant constituents?  Very phoney, very disrespectful, very deceitful and dishonest! What a transparent charade of lies! And Booker thinks this will help him?  How dumb is this nigga? Or how dumb are his constituents? (hint; very).

The trainwreck of black and Democratic Party ignorance and destruction continues in this country. John Lewis, black and increasingly irrational Democrat Congressmen, has called Trump's landslide electoral win "illegitimate" due to DNC leaks which reveals that Democrats are a bunch of scumbags and liars. I guess Lewis doesn't want facts to be revealed. Facts are pesky things.

From Paul Craig Roberts: "Trump made it clear that he stands for every American, black, brown, and white. Little doubt his declaration of inclusiveness will be ignored by the haters on the left who will continue to call him a racist just as the $50 per hour paid protesters are doing as I write.

Black and hispanic leaders need victimization, because it is what elevates them to power and income. They will turn a jaundiced eye toward Trump’s inclusiveness. Inclusiveness is good for blacks and Hispanics, but not for their leaders."

The final straw in the destruction of the Democratic Party would be to install radical Keith Ellison as DNC chair. Then the Democratic Party would become the party of the worse parts of Black America, not the other 87% of the country. I hope it happens!  It's fitting that they will willingly commit suicide.

Sunday, December 18, 2016

Judge Jeanine Rips Michelle Obama A New One

Michelle Obama appeared on Oprah where she intimated that Trump's election was the end of "hope" for America, saying "now we're feeling what not having hope feels like."  And Oprah was giving a stereotypical black "uh HUH" with her head nodding knowingly -- agreeing with Michelle.

These people are morons of the highest order. That includes Oprah and Obama too. Is there any black opinion leader in this country whose head is not filled with bullshit when it comes to politics?? Apparently not.  I have no hope for black people in this country.  They show no capability of ruling their communities or any country because they are full of the wrong ideas and unable or unwilling to change.  I hope that we never have another black President again in my life or even in the next 1000 years!  

Judge Jeanine rips Michelle a "new one" in the intro to her show last night; also found here and here: https://www.youtube.com/watch?v=ulJzWEc5rDU




A few quotes from Judge Jeanine as reported at ZeroHedge

"This from a woman, who in 2008, at 44 years old, said for the first time in her life she was proud of her country when her husband was running for president. And now, 8 years later, you're out of "hope," Michelle?"

"An outrage is when your husband struts up to the microphone at a national prayer breakfast and tells Christians to get off their high horses because Christians are afraid of Muslim terrorists cutting their heads off."

"Like the 13 hours those heroes were on a rooftop in Benghazi, your all powerful husband never bothered to explain to us where he was and what he was doing that night. All we know is that the only power that he was ready to unleash was Air Force One to fly to Las Vegas for a fundraiser the next morning so that you guys could live the life another four years in the White House."

"Michelle, you may not realize it, but Americans rejected you and everything you stand for. They know what hope is. Hope is when people, 30,000 at a time, stand in line, in the cold, with their children, hoping to get the glimpse of a man they think can change the course of their lives from the downward spiral that you and "Mr. Hope & Change" have put them on."

"I'll tell you what "Hope & Change" is, "Hope & Change" is when people show up 20,000 strong, after an election, desperate to see the man who actually brought back jobs, almost a 1,000, when your husband said it was impossible to bring them back at Carrier."

They never get it. The Left never gets it. That's why they are in a constant state of confusion and why they never learn anything. They are incapable of learning the correct lessons of the day.  It's hopeless. Leftism is a mental illness.

Tuesday, December 13, 2016

US Blacks Should Be More Realistic About Their Abilities

Viewership for NFL football games is noticeably declining, in part, due to viewership disgust for millionaire crybabies who disrespect of the very nation that's bestowed it's blessings on them. I'm talking of course about Colin Kaepernick.

Kaepernick is typical of the average Black American ---who has an average mental age of a 14 or 15 year old -- as an adult. This explains a lot. There's nothing wrong with low IQ, many of my friends are low IQ, but black "culture" in America is in a state of collapse. The "black man" in this country is a disaster and a huge burden on this country.

Kaepernick is sporting an absurdly oversized Afro these days as if he is trying to relive the 1970s-era of black-power activists (criminals?). But Kaepernick was raised by a white family and, more than most, enjoyed the benefits of our dominant white culture and a privileged upbringing.

But it's not enough. Like most of his ignorant brethren, his underpowered brain has bought into the Black Lives Matter and "Hands Up, Don't Shoot" lies and media propaganda which has tried to portray every police as a killer. Never mind that whites are shot by police twice as often as blacks even though blacks are committing crimes at 7 times the rate of whites.

Sadly, where there is a majority of black people, they ruin everything -- even in groups of millionaire athletes and entertainers. This includes NFL football now. Black athletes like Kaepernick are killing their golden goose. This is occurring at the same time that our black president continues to damage this country and world.

Time to Get Real About Your Abilities


I worked in Africa several different times and I completely enjoyed working with Africans there as they were jovial, warm, fun and didn't have a chip on their shoulders. These countries have no welfare programs or any other "program" since there isn't any money.

Africans have a more realistic understanding of their abilities relative to the descendants of Northern Europe (and Asia). That realism and no expectation of handouts helps make them happy, They aren't resentful or always blaming others for their problems. And their politicians aren't stoking anger at others.

The same can be said for SE Asian countries. They understand that they aren't even close in measuring up to the intellectual and political accomplishments of European whites or East Asians. This assessment is realistic. They see themselves comfortably as the "little brother" and foreigners are the "big brother." They work hard to build their countries and cultures to catch up.

Latinos here in America, unlike most blacks, are also realistic about their capabilities: they don't blame other people for their own problems and they like white people! Latinos have suffered plenty of historical discrimination. So the discrimination excuse doesn't fly!

US blacks should be more realistic about their capabilities -- it would make them much happier too. Their intellectual capability is significantly lower than European Whites and East Asians (and their descendants). It's just the way it is. It's no one's fault. It might change in hundreds of years or more. I hope it does. But there is no reason to be unhappy right here and now!

Monday, December 12, 2016

Paul Joseph Watson Exposes Democratic Party Post-Election Hysteria

"The left is willing to risk civil war in America & nuclear war with Russia because they're butt-hurt about losing.

Let that sink in."  (If the video doesn't play, here's the link).


There is zero evidence that Russia hacked anything related to the election itself or even the Wikileaks. They couldn't have hacked the election "machines" as those machines are not connected to the Internet.

The Democrats have gone completely insane and have initiated a McCarthy-esque witch hunt to vilify and/or disrupt Trump's solid electoral victory. These people have lost their collective minds.

Democrats are apoplectic that a foreign government might interfere with public opinion during the election season,  

But they, as usual, have no intellectual consistency when they cry over foreign influence but "had no objection whatsoever to Saudi Arabia bankrolling Hillary's campaign. They had no problem taking all that George Soro's money, did they?  They had no problem with the Obama State Department overthrowing the government of Ukraine. They had no problem with Obama interfering in the U.K.'s referendum on leaving the EU (which backfired spectacularly)."

The Obama/Hillary Left is completely and utterly unfit to govern anything or even themselves! We're seeing the end of sanity and the Democratic Party itself. It might also mean an end to America. How can this country prevail with such a large portion of the population afflicted with mental problems, willful ignorance and utterly lacking logical and intellectual capabilities?

Friday, November 18, 2016

The Second American Revolution Pt 2: The Massive Reset That We Need

In my blog post "Time For a New American Revolution: Burn Down Our Bloated, Failing Central Planning Bureaucracy," I ranted about the massive failure and waste that aptly describes the federal bureaucracy that has become a huge waste of our nation's resources. The completely incompetent, bloated Fed Govt is a huge $4 Trillion per year leech sucking all of the blood from the US economy. I suggested that much of it needs to be "burned down."

Such a drastic outcome would never come from any elected politician. Even Donald Trump is not considering a radical downsizing of any part of the government. If I were in Trump's shoes, I'd be hiring the heads of major departments with the sole goal of dismantling, privatizing or seriously downsizing them, including Education, HUD, Commerce, Energy, Homeland Security and TSA, Fannie Mae, Freddie Mac, Sallie Mae, Defense, and the Federal Reserve as a start. Many other agencies need a complete house-cleaning including the SEC, EPA, IRS, NLRB, for example. Oh, and the Federal Reserve, which has become the root of all evil, has to go!

Why do this?  Because the US government is ruining our economy and our society!

Stagnating incomes coupled with inflation of health care, rent, college tuition, even defense procurement costs are all the result of government spending or policy. Rising rents are caused by zero interest rates engineered by the Federal Reserve, who have created a new housing bubble that is pricing out a new generation of buyers and hurting the economy. If you can't buy, you must rent. But even the price of renting is a severe hardship to many, many people. It's really a catastrophe as record high house prices aren't sustainable at "normal" interest rates. The geniuses, the educated idiots like Bernanke and Yellen, haven't thought about what happens when rates and mortgage rates rise again with record high house prices?  No one can afford anything! "Government" is CAUSING THIS!

Meanwhile debt at all levels, and across the world continue to pile-up with no end in sight. Perhaps, like Japan, the US will be able to skate by and double our national debt (once again) in the coming decade or so.  It's possible. But peripheral countries like Nigeria, Venezuela, Italy, Portugal, Russia and many, many other countries can not sustain stagnated economies coupled with higher debts. Something will break. Sovereign debt defaults will bring down the banking system in Europe and start the end-game crisis.

Declining and zero interest rates have prolonged the debt game for 30 years, but that too is becoming exhausted. Now interest rates are rising. And it's entirely possible now that more debt hurts rather than help going forward a consequence of "debt saturation." The spike in interest rates after Trump's election has come with an expectation of much higher debt levels to be funded. Rising rates in anticipation of higher debt levels may be the mechanism where more debt hurts the economy.

The massive amount of debt written in recent decades, now totally unsustainable in a slow-growth environment, has to default to a more sustainable level. This will blow-up the entire world economy in a massive financial, economic and humanitarian crisis. In fact, analysts at Deutsche Bank said the following:
..the global financial system remains broken and extremely fragile. Secular stagnation trends are everywhere. The world has too big a debt burden for the current growth environment. We would feel far more comfortable if the world went through a huge creative destruction period where zombie, inefficient debt was allowed to default - thus 'right-sizing' the ratio between debt and GDP. However we've long accepted that this is highly unlikely to happen outside of perhaps a future break-up of the Euro.
Bottom line:  I’m afraid only financial catastrophe will force the kind of reset that is needed. With that, we need the Federal Government itself to go broke in the next financial crisis (for which, the Government will be rightly blamed). But, with the money printers still in business at the Federal Reserve, there is NO WAY the government can go broke. So, the Federal Reserve has to go. The "bureaucracy" can't be permitted to save itself at everyone else's expense.

The US government going broke is EXACTLY what is required to reset the welfare rot, toughen our ignorant, lazy, entitled population, end the money center ‘hedge fund’ banking cartels, cut down the drastically bloated government bureaucracy, and to create a massive deflation in medical, tuition, defense procurement, housing, rents and all other costs to levels that the people and the nation can afford. This becomes more clearly true when you realize that average incomes are never going to catch up with all the inflated prices if we continue our current path. Our delusional Federal Reserve head, Janet Yellen, has demanded even MORE inflation! But the reality is: Inflated prices need a drastic depression-like reduction. A government bankruptcy would pressure personal incomes too for a few years, but I think prices would drop a lot faster.

A repeal of the Revenue Act of 1913 (income tax law), passage of a balanced budget law and repeal of the Federal Reserve Act would force the radical overhaul of the Federal Bureaucracy as well. Note, in this scenario, payroll tax deductions could continue to fund Medicare and Social Security, but these taxes are only covering ~60% of actual spending in these categories, so even there cuts are required. Reduced government spending will drop all prices. A national sales tax could replace income tax for only the strictly Constitutional functions of the government.

My feeling is that only crisis will change the trend to ever bigger government. Let it burn!

Sunday, November 13, 2016

Democrats Headed to Political Wilderness, Not GOP

The result of the election not only went to Trump, but GOP governors also gained ground (+3), where Republican governors now hold 33 out of 50 statehouses (66%) and hold a similar number of state legislatures. This is the most since 1920.

It's Democrats that are headed to the political wilderness, not Republicans. It's entirely fitting as the Democratic Party has become the epicenter of failure, corruption, delusion, false narratives and deception. Check out this map of Congressional Districts that are held by Republicans.

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Friday, November 11, 2016

Uh Oh, Higher Rates Herald Downward Economic Spiral

From Brexit panic lows, interest rates on the 10 year US Treasury bond have gone from 1.35% to 2.1%. And rates are still rising. World rates are rising too.

Some of that rise is due to a violent reversal of a bubble mania flight to bonds worldwide immediately after Brexit. Some of it is that Trump has spoken the most obvious truth in the world: that interest rates have to rise from zero and negative levels. Since Trump's election, interest rates have risen significantly.

Central banks around the world have also begun to hint that QE will end in the future. The US Federal Reserve has vowed to raise Fed Funds rate to 0.75% in December.

All of these extremely low "emergency" rates had to end at some point since NIRP and especially ZIRP is killing banks, retirees, pension funds, insurance companies and capitalism itself. Even the educated-idiots, who occupy our institutions and central banks, could see this (finally). It's insane and never been seen in 5000 years of history!  Now the same investor front-running that drove $11 Trillion in debt to negative interest rates has now begun to reverse. The front-running was investors "getting ahead" of the Central Bank buying of bonds during QE. That's likely reversing now.

Rates may also be rising because Trump has signaled significantly more debt spending. I think we're seeing the dynamic that higher debt equates to rising rates. If so, rising rates will slow an already slowing world economy.  We're seeing the end of debt's utility to create growth as shown in the following graph:

Debt Saturation Means Debt Begins to Hurt The Economy. China is now in a similar position

The End of China's Debt Bubble Is Near

To build on my blog post "We're Reaching the End of Road," here's the dynamics that could lead to a significant downward financial and economic spiral:

  1. Slowing economy causes rising government debt (has been true for decades due, in part, to persistent trade deficits)
  2. Suddenly the prospect of rising debt is, in part, causing rates to rise in US
  3. Rising rates cause US dollar strength which hurts the emerging market/commodity producing countries
  4. Rising rates also hurt business, mortgage and consumer loans, Economy slows further into contraction
  5. Slow growth causes debt distress in corporate world and corporate rates rise further. Debt distress in sovereign debt of commodity-producing countries causes their rates rise further
  6. Debt distress turns into debt defaults
  7. Defaults hurt the banking sector that is already teetering on the edge of default, especially in the EU. 
  8. Financial crises risk a repeat of 2008 financial crisis; or even worse
  9. Debt defaults and banking crises lead to recession, then Depression 

As I've said, we're reaching the end of the road of debt and prosperity. I believe that we are on the precipice of a financial maelstrom that could change history and endanger millions of lives around the world.

Thursday, November 10, 2016

Expect Negative Returns On Stocks And Bonds Going Forward

The Trump rally probably has legs here that will take indices to even higher highs. But prices matter. Historically, if you buy at these market levels, your expected returns are going to be very low, ie., negative for the next 7 years..

According to respected GMO, your expected returns for the next 7 years is now negative 3% for stocks and negative 2% for bonds.  So, if you buy US bonds for 2% yield, you can expect no return at all as prices will likely fall.  Worse, you can expect negative price returns for equities AND the prospect of stomach churning declines of 30 to 50% along the way!  It won't be a pleasant ride. At equity prices today, you're not being compensated sufficiently to endure such risk!

GMO: Expected Asset Returns for Next 7 Years
We're enjoying the 3rd large peak in equity prices in the past 15 years. But two times already, equities plunged 50%  after those peaks.  We've going to have a down cycle in prices going forward! 


Wednesday, November 2, 2016

Hillary's Horrible and Sordid Legacy

Here's the real and sad story of Hillary's legacy for your consideration (quite a few points taken from Wikileaks 100 Most Damaging Leaks): 
  1. Bill and Hillary both profited enormously from Hillary's role at the State Department, to the tune of $100 million and more. She had ZERO accomplishments as Sec of State except enriching herself and the Clinton slush fund otherwise known as the Clinton Foundation. She was all about "pay for play" peddling influence for money. Shameful! There is not one successful US policy during her entire "reign" as Sec of State -- only a 100% record of failures.
  2. Clinton foundation is mostly a fraudulent charity. It's virtually all about business and influence peddling.
  3. Hillary/Obama's pivot to Asia is nearly a complete joke. All talk and no action. Many Asian countries are aligning with China due to the US vacuum.
  4. Hillary/Obama's "Russia reset" is a complete joke. Now we're nearly at war with Russia in Syria 
  5. Hillary's Iran deal is a farce. Secret deals with the Iranians negated much of the deal's significance. Iran is more in control of the Middle East now than ever thanks to Hillary and Obama.  Iran and Russia are the dominant players in the Mideast. US influence is finished.
  6. Hillary and Obama completely botched US Syria policy, virtually handing Syria to Russia. Now our "sour grapes" administration is trying to pick a fight with Russia in Syria risking world war.
  7. Hillary/Obama's ISIS "strategy" has really been no strategy at all except stonewall and wait until their administration is over, They want to lie and delay and leave the mess for the next administration.  Fine upstanding people, huh?
  8. The US's hasty departure from Iraq and the result has been the rise of ISIS, thanks to Hillary, is a massive immigration crisis into Europe, which is destabilizing Europe. 
  9. ISIS is speading out of the Middle East into Europe and elsewhere, while the US southern border remains even more porous thanks to Obama. Maybe someone from ISIS will kill Obama? That would be entirely fitting.
  10. Hillary and Obama both explicitly depend on an ignorant public to impose their agenda. Jonathan Gruber, one of the paid consultants for Obamacare, admitted on video that the administration's strategy for imposint Obamacare depended on "dumb" Americans that are uninformed. Sad. Oh, and the administration denied that Gruber was a consultant at all. LIARS!!  
  11. Hillary wants a 100% government-run healthcare system at a time when the US government can't do ANYTHING well. Obamacare worsened costs and quality of US healthcare. A complete US takeover of the healthcare industry will be disastrous. Remember Obamacare is just a rehashed Hillary-care.
  12. Hillary Clinton denied Libyan Ambassador Stevens request for security....then he was murdered. Then the entire Obama administration lied about the real cause for weeks. Nothing was done to help even though the attack in Benghazi lasted 13 hours. Even in the following days, the facilities in Benghazi were ransacked by militants and ordinary Libyans. The truth is that Obama and Hillary didn't give a shit. These people don't care about anyone whether it's US interests or Americans!! 
  13. Hillary Clinton used her power as Sec. State, to facilitate a Uranium mine deal in Kazakhstan, which netted her Clinton Crime Foundation over $30 million dollars...The Russian government owns the mine and is using the ore to replenish their nukes, which are aimed at you.
  14. Hillary and Obama botched US policy in Libya, quickly backing the ouster of Gaddafi. The result is total chaos. Now ISIS has infiltrated Libya.
  15. Hillary/Obama quickly got behind the ouster of Mubarak in Egypt and installed the horrible Muslim Brotherhood (Obama's pals). A year later, Egypt had a 2nd revolution to get rid of those Islamist Fascists.
  16. Hillary Clinton is the darling of Wall Street donations.
  17. Hillary Clinton voted for all of the Bush's wars.
  18. Bill Clinton managed to divert 93% of $13 Billion of aid money intended for Haitians to party's outside of Haiti. Haiti organizations got only 7%
  19. Hillary Clinton voted for all of the Wall Street bailouts.
  20. Hillary Clinton dreams of completely "open borders”
  21. Hillary Clinton supports and protects a serial woman abuser (Bill Clinton) who has raped and abused and used women like a disposable diaper.
  22. Hillary Clinton received money from and supported nations that she KNEW funded ISIS and terrorists
  23. Hillary was hateful, neglectful, above the law, “contemptuous” to her security detail, and “blatantly disregarded” security, (FBI docs)
  24. Hillary has public positions on policy and her private ones
  25. Hillary and Democrat supporters like Soros have been paying people to incite violence and unrest at Trump rallies, then they try to demonize Trump as hateful and "creating a culture of hate and violence" Who are the real haters?
  26. Hillary's campaign wants "unaware" and "compliant" citizens
  27. Top Hillary aides mock Catholics for their faith
  28. Hillary deleted her incriminating emails. State covered it up. Asked about using White House executive privilege to hide from Congress
  29. Bribery: King of Morocco gave Clinton Foundation $12 million for a meeting with Hillary, 6 months later Morocco gets weapons
  30. State Department tried to bribe FBI to un-classify Clinton emails (FBI docs)
  31. Hillary caught on tape about rigging the Palestine election 
  32. Latinos are "needy". Latino outreach is "taco bowl engagement"
  33. Clinton campaign was in direct communication with DOJ regarding Hillary's investigation
  34. Bill Clinton receives $1 million "birthday gift" from ISIS-funding Qatar while Hillary was SoS, Qatar receives arms flow increases of 1,482%
  35. Hillary cheated in debates: DNC head Donna Brazile caught giving MULTIPLE debate questions to Hillary
  36. Hillary campaign prays for shooters in news stories to be white
  37. Rigging the primaries against Bernie Sanders (DNC favored Hillary)
  38. Rigging the primaries against Bernie Sanders (Hillary’s team)
  39. Clinton Foundation schemed with Big Pharma: keep the price of AIDS drugs high in America and NO to cheaper generic versions
  40. Hillary Clinton supports and protects a serial woman abuser (Bill Clinton) who has raped and abused and used women like a disposable diaper.
This is a record of someone as President of a corrupt 3rd World country, not President of the United States.  If she becomes President, then the US will truly become a 3rd world country.