+- +-

+-User

Welcome, Guest.
Please login or register.
 
 
 
Forgot your password?

+-Stats ezBlock

Members
Total Members: 39
Latest: Felipe_solarmining_chile
New This Month: 0
New This Week: 0
New Today: 0
Stats
Total Posts: 7214
Total Topics: 215
Most Online Today: 2
Most Online Ever: 48
(June 03, 2014, 03:09:30 am)
Users Online
Members: 1
Guests: 1
Total: 2

Post reply

Name:
Email:
Subject:
Message icon:

Attach:
(Clear Attachment)
(more attachments)
Allowed file types: doc, gif, jpg, jpeg, mpg, pdf, png, txt, zip, rar, csv, xls, xlsx, docx
Restrictions: 4 per post, maximum total size 1024KB, maximum individual size 512KB
Verification:

shortcuts: hit alt+s to submit/post or alt+p to preview


Topic Summary

Posted by: AGelbert
« on: June 18, 2017, 01:35:04 pm »


What Happens When The Oil Economy Collapses?

June 17th, 2017 by Zachary Shahan

SNIPPET:

The question is simple and stark, but there will be a gradient of effects, and side-effects, and after-effects. As the oil economy collapses, the world will change. And it will change a great deal.

Let’s start with some of the basics.

Oil company values — which are currently topping the charts — will collapse. That means that certain investors (many investors) will “lose money,” or see their net worth drop. To put this into a little more perspective, we highlighted recently that Tesla [TSLA] has passed the US “Big 3” automakers in market cap, currently sitting at $60.15 billion (compared to GM at $51.73 billion and Ford at $44.76 billion). Meanwhile, Exxon’s market cap sits at $354.59 billion, Chevron’s market cap is $204.76 billion, and Saudi Aramco’s expected to be valued at $1–10 trillion.


Venezuela today; the USA tomorrow? ???


Some of our top commenters have made it clear — the oil bubble could collapse at any moment.

Full article with GREAT comments guaranteed to give fossil fuelers Excedrin Headache number 666. :

https://cleantechnica.com/2017/06/17/happens-oil-economy-collapses/

Agelbert Commentt reply to a fellow that said Big Oil was being forced to transition Renewable Energy: Big Oil has done the "invest in green tech" head fake before, even while they kept funding denier stink tanks and astro-turf pseudo-science propagandists yammering about the sun "getting weaker" and the "greening of the earth" from all that extra CO2 our loyal servants from the fossil fuel industry are providing at "no charge".

"Beyond Petroleum" for BP?  Transition by  Shell? Nope!

As you said, big Oil will transition eventually to Green Clean Tech, but ONLY when they have no other option under the law. Until then they will continue to drag their feet and defend polluting profit over people and planet with tooth and corruption claw.

This essay clearly lays out the fact that the Fossil Fuel Industry faces huge liability issues in the immediate future simply because there is ample evidence that they have deliberately sabotaged government efforts to transition to Renewable Energy for several decades. Their criminal behavior is not just Criminal Negligence", but actually mens rea criminal involving premeditated harm to the public welfare. That is why the fossil fuel giants like Exxon have always done everything they could to make the courts their handmaidens (SEE: the remedy for the Exxon Valdez damage reduced to ONE TENTH of the initial amount by the Supine Supreme Court).

Why is Big Oil and Gas so apparently  suicidal and stubborn, when they have the capital in their coffers to totally transition to Renewable Energy?

SEE BELOW:


As Zach pointed out, Big Oil is part of the global economy. When Big Oil goes down ,and they will, the economy takes a massive hit. That "hit" will depend on how far along any particular segment of the global economy has gone towards a 100% transition to Renewable Energy. New Zealand is getting there. Denmark, Iceland, Scotland, Finland and Portugal, as well as Germany are doing great as well. But the USA, Russia and ALL the other petro-states except maybe Qatar (Qatar is moving in the right Renewable Energy direction - hence fossil fuel tool Trump's attempt to demonize them) will be the most negatively impacted by the collapse of the oil based global economy.

But there is another aspect of risk that human civilization is increasing by delaying the total transition, not just away from fossil fuels, but to an ACTIVE biosphere remediation program to return to 350 PPM of CO2.

This risk is about the coming gigantic ocean storm and wave activity. This is not hyperbole. Two peer reviewed scientific studies published over the last two years predict ocean wave activity beyond the ability of present ship design.

I wrote a rather long (practically a mini-e-book) a while ago in three parts. The bottom line on the risk to our civilization in general and global shipping in particular is laid out in the third part. 

People need to know what we are facing. People need to know the fossil fuel industry knows the score and does not care. They are the bad guy here.


Climate Change, Blue Water Cargo Shipping and Predicted Ocean Wave Activity: PART THREE

SNIPPET from the above article:

Global Civilization is threatened within 25 years or less by the scientifically predicted ocean surface wave activity in the Hansen et al June 2015 study * and the Dutton et al July 2015 study ** evidencing a 6 to 25 meter (19 to 82 feet!) sea level increase in the geological record when the CO2 parts per million (PPM) atmospheric concentration was between 300 and 400PPM. As of October of 2015, the CO2 concentration is at 400PPM. It is increasing at over 3PPM per year.

* Atmos. Chem. Phys. Discuss., 15, 20059–20179, 2015 doi:10.5194/acpd-15-20059-2015 © Author(s) 2015. CC Attribution 3.0 License.

Ice melt, sea level rise and superstorms: evidence from paleoclimate data, climate modeling, and modern observations that 2 C global warming is highly dangerous
J. Hansen1, M. Sato1, P. Hearty2, R. Ruedy3,4, M. Kelley3,4, V. Masson-Delmotte5, G. Russell4, G. Tselioudis4, J. Cao6, E. Rignot7,8, I. Velicogna8,7, E. Kandiano9, K. von Schuckmann10, P. Kharecha1,4, A. N. Legrande4, M. Bauer11, and K.-W. Lo3,4

www.atmos-chem-phys-discuss.net/15/20059/2015/
http://www.atmos-chem-phys-discuss.net/15/20059/2015/acpd-15-20059-2015.pdf

** Science 10 July 2015: Vol. 349  no. 6244  DOI: .1126/science.aaa4019 

Sea-level rise due to polar ice-sheet mass loss during past warm periods
A. Dutton1,*,  A. E. Carlson2,  A. J. Long3,  G. A. Milne4,  P. U. Clark2,  R. DeConto5,  B. P. Horton6,7,  S. Rahmstorf8,  M. E. Raymo9
 
http://www.sciencemag.org/content/349/6244/aaa4019.abstract
Posted by: AGelbert
« on: June 17, 2017, 02:35:58 pm »

Agelbert NOTE: Here the biological logic of closing the high seas to fishing (Dr. Lubchenco calls it the Wet West - referring to the "Wild West" term because anything goes and there is ZERO respect for sustainability) is mentioned, although also pointed out by Dr. Lubchenco is the fact that major governmetns refuse to do so. 

As Economist P. Dasgupta laments, collective action to stop, or even ameliorate, this crisis consistently fails to be achieved, even though we are basically out of time for additional delays.

Biological Extinction | Discussion #6

Casina Pio IV



Published on Mar 2, 2017

How to Save the Natural World on Which We Depend

PAS-PASS Workshop
Casina Pio IV, 27 February-1 March 2017

On our 4.54 billion year old planet, life is perhaps as much as 3.7 billion years old, photosynthesis and multi-cellularity dozens of times independently around 3.0 billion years old, and the emergence of plants, animals, and fungi onto land, by at least the Ordovician period, perhaps 480 million years ago, forests appearing around 370 million years ago, and the origin of modern groups such as mammals, birds, reptiles, and land plants subsequently. The geological record shows that there have been five major extinction-events in the past, the first of them about 542 million years ago, and suggests that 99% of the species that ever lived (5 billion of them?) have become extinct. The last major extinction event occurred about 66 million years ago, at the end of the Cretaceous Period, and, in general, the number of species on earth and the complexity of their communities has increased steadily until near the present.

Agelbert additional NOTE:  The global warming crisis is itself a symptom of the world view that gave us people like Trump. Unless he starts a nuclear war, he won't kill most of us; but Catastrophic climate change certainly will.

The source of the current and worsening crisis is lack of ethics among government and business elites.

Even though we ARE bordering on collapse, it is due to a concentration of ill gotten profits in a tiny group of rapacious oligarchs, not because the money is not there.

The Wall Street Capitalist "logic" has been debunked over and over. Privatization ALWAYS increases costs to society, not the other way around, as Wall Streeters fervently, and erroneously, believe.

The reason for that has been clearly laid out by eminent economists who do all the math, not just the convenient parts that 'justify' perpetual growth, on the costs human business activity on the biosphere we all require to live.

The "logic" of the business community is that IF a COST is not placed on exploiting the resources of the biosphere in an unsustainable (i.e. POLLUTION PRODUCING) manner, a de facto INCENTIVE exists, according to economic theory, to engage in rapacious biosphere damaging business practices. This, OF COURSE, assumes, as Capitalism's flawed economics education also seems to assume, that ethics play NO ROLE WHATSOEVER in business strategy and decisions to engage in whatever.

This is not only patently false, it is eventually suicidal in a finite resource environment (i.e. our biosphere).
ETHICS has been eschewed by Capitalists to the detriment of, not just the rest of us, but the biosphere as well. This incredibly short sighted attempt to claim monetary PROFIT obtained regardless of Social Costs INCURRED, BUT NOT PAID, is the be-all-end all of economics is sophistry at its worst. It is willful and deliberate cherry picking of what costs apply and what costs are "external". IOW, it's IRRATIONAL thinking passed off as "fiduciary responsibility to corporate profits".

This eminent economist (P. Dasgupta) exposes the ethical bankruptcy of this "incentive to be unethical" (Economic Theory of Income Accounting instead of the more comprehensive, BUT NOT USED, Wealth Accounting) in the following video (go to T7:29):

P. Dasgupta is answering a question asked of him at the time point I just gave you. He discusses flow accounts versus stocks and the historical reasons for it. He discusses the problems with measuring GDP.


SEE BELOW the results of Capitalist "economics" cherry picked "cost efficient privatization" over nationalization:


Posted by: AGelbert
« on: June 12, 2017, 10:10:27 pm »

Agelbert Note: A discussion about Capital (i.e. money for investment in environmental sustainability), Natural Capital, Biosphere Pollution and much more:   


Biological Extinction | Discussion #9

Casina Pio IV


Published on Mar 2, 2017
How to Save the Natural World on Which We Depend

PAS-PASS Workshop
Casina Pio IV, 27 February-1 March 2017
Posted by: AGelbert
« on: June 12, 2017, 02:03:30 pm »

Sunday, June 11, 2017

By William Rivers Pitt, Truthout | Op-Ed



We Are Not Broke: Trashing the Austerity Lies

Agelbert NOTE: A die hard Profit over Planet Capitalist weighs in with the typical baloney. I answer it.  ;D

didactic1  

Rivers clearly knows little about finance or business. Close the loopholes and you won't collect dollar for dollar more revenue. Assets can be sold, transferred, or converted to securities. By all means have public ownership of utilities, fuel resources, health and banking. But don't expect capitalists to turn over significant amounts of now untaxed income.


agelbert > didactic1

You clearly know little about William Rivers Pitt.

Yes, we ARE bordering on collapse. But it is due to a concentration of ill gotten profits in a tiny group of rapacious oligarchs, NOT because the money is not there.

Your "logic" has been debunked over and over. Privatization ALWAYS increases cost to society, not the other way around, as you fervently, and erroneously, believe.

The reason for that has been clearly laid out by eminent economists who do ALL the math on the costs human business activity on the biosphere we all require to live.

The "logic" of the business community is that IF a COST is not placed on exploiting the resources of the biosphere in an unsustainable (i.e. POLLUTION PRODUCING) manner, a de facto INCENTIVE exists, according to economic theory, to engage in rapacious biosphere damaging business practices. This, OF COURSE, assumes, as your economics education also seems to assume, that ethics play NO ROLE WHATSOEVER in business strategy and decisions to engage in whatever.

This is not only patently false, it is eventually suicidal in a finite resource environment (i.e. our biosphere).

ETHICS has been eschewed by capitalists like you to the detriment of, not just the rest of us, but the biosphere as well. This incredibly short sighted attempt to claim monetary PROFIT obtained regardless of Social Costs INCURRED, BUT NOT NOT PAID, is the be-all-end all of economics is sophistry at its worst. It is willful and deliberate cherry picking of what costs apply and what costs are "external". IOW, it's IRRATIONAL thinking passed off as "fiduciary responsibility to corporate profits".

This eminent economist P. Dasgupta exposes the ethical bankruptcy of this "incentive to be unethical" (Economic Theory of Income Accounting instead of the more comprehensive, BUT NOT USED, Wealth Accounting) in the following video (go to T7:29):
P. Dasgupta is answering a question asked of him at the time point I just gave you. He discusses flow accounts versus stocks and the historical reasons for it. He discusses the problems with measuring GDP.


SEE BELOW the results of Capitalist "economics" cherry picked "cost efficient privatization" over nationalization:




http://www.truth-out.org/opinion/item/40903-we-are-not-broke-trashing-the-austerity-lies
Posted by: AGelbert
« on: June 07, 2017, 08:35:47 pm »

Inequality For All: A Visual Story

by Prof. Robert Reich

https://www.sandersinstitute.com/blog/inequality-for-all-a-visual-story
Posted by: AGelbert
« on: May 31, 2017, 09:46:40 pm »

Richard Wolff On The New Socialism

May 30, 2017

Big Picture Interview: Economist Dr. Richard Wolff, Capitalism's Crisis Deepens Essays on the Global Economic Meltdown/Democracy At Work. It's not just Bernie Sanders - democratic socialism is on the rise all over the Western world right now. How can the resurgent left seize this moment - and the means of production?
Posted by: AGelbert
« on: May 30, 2017, 06:01:11 pm »

Robert Reich : Universal Basic Income 

Published on May 26, 2017

Posted by: AGelbert
« on: May 24, 2017, 07:49:45 pm »


Economic Update: Rising Costs of Capitalism's Failures

Democracy at Work

Published on Apr 30, 2017
Posted by: AGelbert
« on: May 18, 2017, 07:25:06 pm »



Puerto Rico Debt Crisis: 'A Great Depression That Doesn't End'  :(


Published on May 17, 2017

Journalist, author, and Democracy Now! co-host Juan González says the Puerto Rican debt crisis, now entering a critical bankruptcy phase, results from a legacy of U.S. colonial domination and predatory Wall Street debt.
Posted by: AGelbert
« on: May 17, 2017, 08:45:56 pm »

Dr. Richard Wolff: The Return of Progressivism Around the World


Thom Hartmann Administrator's picture
May. 17, 2017 11:01 am

Economist Dr. Richard Wolff, Capitalism's Crisis Deepens Essays on the Global Economic Meltdown/Democracy At Work. It's not just Bernie Sanders - left-wing populists like the UK's Jeremy Corbyn are on the rise all over the world. The media calls them radicals - but are they actually just old-school FDR progressives?

For more information on the stories we've covered visit our websites at thomhartmann.com - freespeech.org - and RT.com. You can also watch tonight's show on Hulu - at Hulu.com/THE BIG PICTURE and over at The Big Picture YouTube page. And - be sure to check us out on Facebook and Twitter!



Posted by: AGelbert
« on: May 15, 2017, 02:44:37 pm »


https://theintercept.com/2017/05/09/puerto-ricos-123-billion-bankruptcy-is-the-cost-of-u-s-colonialism/

Puerto Rico’s $123 Billion Bankruptcy Is the Cost of U.S. Colonialism
Juan González

May 9 2017, 5:23 a.m.
Leia em português ⟶

Last week Puerto Rico officially became the largest bankruptcy case in the history of the American public bond market. On May 3, a fiscal control board imposed on the island’s government by Washington less than a year ago suddenly announced that Puerto Rico’s economic crisis had “reached a breaking point.” The board asked for the immediate appointment of a federal judge to decide how to deal with a staggering $123 billion debt the commonwealth government and its public corporations owe to both bondholders and public employee pension systems.

The announcement sparked renewed press attention to a Caribbean territory that many have dubbed America’s Greece. The island’s total debt, according to the control board, is unprecedented for any government insolvency in the U.S., and it is certain to mushroom quickly if no action is taken. Detroit’s bankruptcy, by comparison, involved just $18 billion — one-ninth the size of Puerto Rico’s.

Within days, Supreme Court Chief Justice John Roberts, acting under a provision of the Puerto Rico Oversight, Management, and Economic Stability Act (known as PROMESA), which was enacted last June, appointed federal Judge Laura Taylor Swain from the Southern District of New York to take over the Puerto Rico case. A former bankruptcy court judge who was appointed to the federal court by President Clinton, Swain famously presided over the long criminal trial of employees of the Bernie Madoff Ponzi scheme.

Few press reports on Puerto Rico’s troubles, however, have bothered to examine the deeper issues behind this crisis.


PUERTO RICO - JANUARY 01: Governer'S Place Party In Puerto Rico. (Photo by Keystone-France/Gamma-Keystone via Getty Images)

First, the colonial relationship that has prevailed between the U.S. and Puerto Rico since 1898 is no longer viable. Puerto Rico is the largest overseas territory still under the sovereign control of the United States, and it is the most important colonial possession in this nation’s history. That relationship produced uncommon profits for American subsidiaries on the island for more than a century, even as the federal government kept claiming that the Commonwealth of Puerto Rico, created in 1952, was a self-governing territory. But now, with a Washington-appointed board directly overseeing the island’s economy, and with a pivotal Supreme Court decision last year affirming that Congress continues to exercise sovereign power over Puerto Rico, the mask of self-governance has been removed.

The old commonwealth is effectively dead. Absent a huge infusion of U.S. public dollars to prop up its collapsing economy, a scenario that is nearly impossible with a Trump White House and a Republican-controlled Congress, that relationship cannot be revived. Political leaders in both Washington and San Juan, whether they like it or not, are being propelled to fashion a new political and economic status for the territory. They will have to finally decide whether to completely annex Puerto Rico as the 51st state or acknowledge that it still remains a distinct nation, with the right to its own sovereignty and independence.

Second, the impact of Puerto Rico’s bankruptcy will continue to reverberate throughout the U.S. bond market, far more than most Wall Street analysts have so far acknowledged. The PROMESA control board has warned that even with massive cuts to government services and new projected revenues from higher taxes and fees, Puerto Rico will still generate slightly less than $8 billion in budget surpluses over the next 10 years, when some $35 billion in debt service comes due. In other words, three-quarters of the debt cannot be repaid. That is not just a haircut for bondholders; it is a head-shaving, one that will send shock waves throughout the municipal bond market. After all, bonds backed by the full faith-and-credit of local government entities have long been considered among the safest of investments.

Years of court battles between Puerto Rico and contending groups of creditors are now certain. “The economy of Puerto Rico will be put on hold for years,” Andrew Rosenberg, adviser to the Ad Hoc Group of Puerto Rico General Obligation Bondholders, told the Associated Press. “Make no mistake: The board has chosen to turn Puerto Rico into the next Argentina.”


A Puerto Rican flag painted on the doorway of an abandoned building in San Juan, Puerto Rico, on May 1, 2016. Photo: Erika P. Rodriguez/Bloomberg News/Getty Images

The Debt Is Not Payable

Civil society groups contend that the plunder of the Puerto Rican people through predatory and even illegal bond deals that island politicians concocted together with top Wall Street firms will now be exposed.

Amazingly, the 23-page petition that the federal government’s own financial control board filed in U.S. District Court in San Juan reached the exact same conclusion that Puerto Rico’s former Gov. Alejandro García Padilla reached back in June 2015 — that the island’s debt is “not payable.”

In the nearly two years since García Padilla sounded the alarm, however, Washington has done almost nothing to alleviate the economic catastrophe afflicting 3.4 million U.S. citizens in Puerto Rico, except to establish the control board by enacting PROMESA.

On an island that has lost 10 percent of its population in the last 10 years, where 46 percent of the population lives below the U.S. poverty level, where the unemployment rate is more than 11 percent, and where the labor force participation hovers around 40 percent, lawmakers in Congress have kept insisting on greater austerity from Puerto Rico’s population. The reality is such dire conditions would never be tolerated among U.S. citizens in any other jurisdiction, yet they are allowed to persist in Puerto Rico.

During the past two years, the commonwealth government has sharply raised electricity and water rates. It has increased the sales tax (now a value added tax) to 11.5 percent. It has proposed ending all pensions for new workers and cutting existing benefits by an average of 10 percent. And last week, it announced the closing of 179 public schools for the coming school year. In addition, the control board has called for a $450 million cut over the next four years to the island’s 70,000-student public university.

Under the control board’s pressure, Gov. Ricardo Rosselló, who took office in January, is eyeing the privatization of the government-owned electric company, the water and sewer authority, even the public transit system. But even massive cuts and selling off public assets can’t solve the problem that there aren’t enough jobs on the island, that young people keep fleeing to the United States, and that Puerto Rico’s government is powerless to fashion its own economic and trade policy independently from the U.S.


Ricardo Rossello, governor of Puerto Rico, listens during a meeting at Puerto Rico Industrial Development Company (PRIDCO) headquarters in San Juan, Puerto Rico, U.S., on Tuesday, March 28, 2017.

Puerto Rico's economy has been contracting for a decade. Last year, almost 65,000 residents left the island, keeping pace with the previous two years, when the exodus reached the worst since at least the 1980s. Photographer: Alejandro Granadillo/Bloomberg via Getty Images

Ricardo Rosselló, governor of Puerto Rico, listens during a meeting at the Puerto Rico Industrial Development Company headquarters in San Juan, Puerto Rico, on March 28, 2017.

Photo: Alejandro Granadillo/Bloomberg News/Getty Images

For decades, Puerto Rico was important to the American economy as a center of sugar cane growing, then as a tax haven for manufacturing and pharmaceutical companies, and as a military stronghold and bulwark against the spread of communism in Latin America. But now it is no longer needed for any of these things. Most of the U.S. military bases have closed, and Congress began in 1996 to phase out the island’s tax haven status. As soon as the last of the federal tax breaks — known as Section 936 — ended in 2006, corporations started leaving and the island plunged into a recession from which it has yet to recover. For the past 20 years, a succession of island governments has been closing structural operating deficits with borrowed funds supplied by Wall Street firms eager to market its triple tax-exempt bonds to wealthy and middle-class Americans and Puerto Ricans.

Investors were especially drawn to a provision of the Puerto Rico constitution that required the government to pay general obligation debt service ahead of any other expenses, and by the fact that Puerto Rico and its public corporations were legally prevented from resorting to Chapter 9 bankruptcy, the portion of the bankruptcy code that applies to most local governments and municipalities.

Until 1978, Congress had included all the territories and possessions of the United States under Chapter 9, so Puerto Rico had bankruptcy protection until then. But between ’78 and the early ’80s, there were several changes to U.S. bankruptcy law. In 1984, an amendment was inserted into the law by South Carolina Sen. Strom Thurmond that specifically excluded Puerto Rico from Chapter 9. No reason was given. No federal policy or interest in the change was spelled out in the amendment process. By a few simple phrases in an amendment that few people noticed, Congress laid the basis for the unique situation Puerto Rico confronted last year. It was not only broke, there was no established legal recourse for it to get a court to decide how its many creditors would get paid or how much.

The PROMESA bill Congress enacted at least created a new type of Chapter 9-like process for the island. The bill stipulates that if the Puerto Rican government and the control board cannot reach voluntary settlements with bondholders, a judge can be appointed and creditors forced to accept a settlement, known as a “cram-down.”

But the law’s constitutionality has yet to be tested, and with so much money at stake the various groups of bondholders are determined to wage a titanic legal battle against it.

On May 5, for instance, Ambac Assurance Corp., one of the major insurers of Puerto Rico bonds, filed suit in U.S. District Court in Puerto Rico against the Commonwealth and the Oversight Board, and did so with uncommonly strident language:

    Sovereignty confers great power, but it does not authorize lawlessness. This action seeks to halt the latest in a series of unconstitutional and unlawful acts that have been the unfortunate modus operandi of the Commonwealth government in seeking to manage its financial and economic distress. Instead of rectifying these abuses, the Oversight Board created by Congress to restore fiscal responsibility to the Commonwealth has affirmatively exacerbated them, giving its imprimatur to an ongoing scheme of constitutional and statutory violations that can only be called theft.

Ambac has insured billions of dollars in sales tax revenue bonds, known as COFINA bonds, that Puerto Rico has issued since 2006, and the company, along with other bond insures, faces enormous losses from any cram-down.

Meanwhile, another group of bondholders who were involved in $1.4 billion of Puerto Rico’s last major general obligation bonds, issued in 2014, filed suit in New York state Supreme Court. Those bondholders, led by hedge funds Aurelius Capital Management and Monarch Alternative Capital, insist that Puerto Rico’s Constitution requires them to be paid first from all available revenues. The general obligation bondholder group, along with many civil society groups, insist that all the COFINA bonds — and they represent nearly $18 billion of the total $74 billion bond debt — were illegally issued and should not be repaid.

That’s because the Puerto Rico constitution specifically forbids debt service and principal that surpasses more than 15 percent of annual government revenues. The Puerto Rico legislature specifically created COFINA to maneuver around that 15 percent limit, and it then guaranteed the payment of that debt from sales tax revenues. But the legality of that maneuver has never been tested in court.

While the contending bondholder groups battle in the courts, the PROMESA board has now sided with the Puerto Rico government that bondholders will have to accept major reductions in payments.

“From current revenues, the Commonwealth and its instrumentalities cannot satisfy their collective $74 billion debt burden and $49 billion pension burden and pay their operating expenses,” the fiscal control board concluded last week after months of poring over Puerto Rico financial records.

And the island’s budgetary crisis “is about to worsen exponentially,” the control board warned, “due to the elimination of approximately $850 million in Affordable Care Act Funds in fiscal year 2018.” The total loss of federal health care funds, according to the board, is expected to reach $16 billion over the next 10 years. On top of that, the government pension systems are almost out of cash and will need $1.5 billion a year just to keep up payments to current retirees. Unlike municipal workers in the U.S., most public employees in Puerto Rico are not part of the social security system, so those pensions are their only retirement income.

Meanwhile, Donald Trump and Republican leaders in Congress insist there will be no bailout of Puerto Rico, no extra federal assistance to the island’s population.

They want to ignore the fact that back in the 1990s under Bill Clinton and the Newt Gingrich Congress, Washington’s leaders realized they had to take drastic measures to save the District of Columbia from economic collapse. Congress established a fiscal control board just as it has with Puerto Rico.

But that board soon concluded that DC had structural problems that required federal help. In 1997, a reform package accomplished the following: the federal government assumed the city’s debts, it took responsibility for the local courts and prisons, it increased the rate for Medicaid reimbursements to the district, and it took over the city’s underfunded employee pensions.

As a result, the district emerged from economic calamity. Today it is a vibrant and prosperous city.

Federal lawmakers will either have to provide massive assistance to Puerto Rico, or they will have to move rapidly to change the island’s political and economic status. After a century of colonial rule by Washington and decades of predatory debt from Wall Street, the bill has come due.

Top photo: Pedestrians walk past an old hotel in the Condado area of San Juan, Puerto Rico, in 2015.

Posted by: AGelbert
« on: May 07, 2017, 10:06:34 pm »

Jim Rogers It s Time to Prepare MAY 2017 will be bad for the dollar, US economy & stock market


Financial Consultants

Published on Apr 30, 2017

Jim Rogers It s Time to Prepare MAY 2017 will be collapse for the dollar, US economy & stock market.
Posted by: AGelbert
« on: May 07, 2017, 09:35:53 pm »

The Collapse Is Confirmed! Signs Of The Imminent Economic Collapse 2017 Stock Market CRASH!


The Economist

Published on Mar 23, 2017

30 Things You Should Do To Prepare For The Imminent Economic Collapse 2017 Stock Market CRASH!

Posted by: AGelbert
« on: May 07, 2017, 08:54:17 pm »

Journeyman Pictures

Overdose: The Next Financial Crisis


Published on Jul 2, 2012

Overdose: The Next Financial Crisis. Award-winning documentary giving fresh insight into the greatest economic crisis of our age: the one still awaiting us.

Posted by: AGelbert
« on: May 05, 2017, 01:01:32 pm »

Last Edit: May 05, 2017


http://www.mohicanpress.com/mo08017.html

She sells seashells by the seashore. If she sells seashells by the seashore, how many seashore shells does she sell? This old tongue twisting pronunciation trainer underscores step one in the manufacture of Wampum. You needed a supply of a certain, special and very attractive type of Calcium Carbonate, which was limited in quantities, to begin to do WORK=ENERGY INPUT plus some ARTISTIC CREATIVITY on the seashells in order to produce a CURRENCY that was BOTH a medium of exchange AND a store of value.   

Wampum

In a barter economy, the transfer of goods and services from one party to another is hindered by the lack of liquidity of say, an animal, a bear skin or whatever. The lack of a medium of exchange that can be subdivided into small enough units for both parties to make up perceived different values in a barter transaction is the need that fosters the creation of "money" in the first place.

Wampum was initially a form of artistic expression as well as a form of communication (it was a store of value as jewelry and venerable truth through news and agreements).

However, as the quantity gradually increased and most natives agreed more or less on its value, wampum began providing the liquidity that a barter economy could not.

Consequently the Native Americans along the eastern area of North Amerca gradually adopted wampum as a currency in addition to valuing its beauty (jewelry = bling). The Natives that lived along the beach had an edge on those inland because of easy access to the raw materials.

Wampum beads  Photo: Stephen Lang (Source: AINS/NMAI)

http://www.mohicanpress.com/mo08017.html

Wampum is pretty and, until the Europeans showed up with metal hand tools, a good store of wealth because the amount of energy=work it took to make it as well as the amount of shells available  limited the amount of wampum in circulation.

But those metal thingamajigs the white devils brought made it EASY (LESS TIME & ENERGY=WORK) to make lots of pretty wampum (metal hand drills). This new wampum looked just as good or better than the older stuff made with less sophisticated (non-metal) tools.

At first everybody prospered. There was more wampum, and contrary to standard economic theory that when you increase the currency in circulation, you get inflation, this did not happen right away. Everybody, including the white devils  , were happy with the wampum economy.

But time passed and things changed.

http://www.mohicanpress.com/mo08017.html

Two things happened:

1)
The colonists, who had hitherto absorbed the wampum glut by their demand for the beads, lost interest in wampum partly because they didn't require as many furs (wampum was the currency the colonists used to buy pelts). Wampum lost value as a medium of exchange as the increase in available currency took its toll.

Counterfeiting exacerbated the problem of undermining the medium of exchange value of the currency. A given piece of wampum lost purchasing power because of wampum glut AND a competing currency of coinage.

2)
The artistic value part of wampum as a store of wealth suffered as well. Any philatelist can tell you that old stamps get their "value", not from a pretty painting on the stamp, but MAINLY from their scarcity.

This was depressing. Imagine all those hours spent painstakingly making wampum and that neighboring squaw that is all thumbs can suddenly make several times as much as you can just because she has a white devil metal thingamajig to goose production! And now the white devils don't want them as much as they used to either.  :P  :(

But as you can see below, despite its disappearance as a currency, wampum survives to this day as a product of patient craftsmanship, artistry and historical communication.

But it would never regain its position as a medium of exchange/currency.

Two Row Wampum Treaty from Elder, Yvonne Thomas.pic.twitter.com/EtjkqHsG9o The patient artistry and symbolism crafted in this wampum is an example of how wampum is a store of value. 
full article here:

http://indiancountrytodaymedianetwork.com/2013/05/25/celebrating-400-years-two-row-wampum-149469

What lessons can we take from the above Native American experience?

1) Money is created in order to ease the transfer of goods and services. This medium of exchange normally has the following qualities:

A. Liquidity

B. Durability

C. Portability

D. Agreed upon value per unit


2) The ENERGY it takes to create said money is directly proportional to a unit of said money as a store of value.



The extreme situation, never reached by wampum because it always took SOME skill and energy to make, is FIAT currency where it has ZERO value as a store of wealth.

The case of the US dollar is BELOW ZERO as a store of wealth because, in addition to it being fiat, the supply is growing absent any energy input whatsoever. So the dollar loses value as it sits from Fed  inflation (counterfeiting). Legal Tender Laws force the citizenry to run around trying to preserve some value in a currency that shrinks in value year after year. Many of these value chasers go for PMs, paintings, land, antique cars, Early American antique furniture, etc. They are all looking for something that meets the criteria of liquidity, durability, portability and agreed upon value per unit to a greater or lesser degree.

3) Beyond the basic biochemical needs of proper nutrition, shelter and health, human culture places a great deal of value on tangibles and intangibles outside the default requirements of human life.



Humans will always value creativity and imaginative and useful innovations that bring beauty, comfort and utility to our lives as STORES OF VALUE.

What price can you place on a song? What value does a set of verses have that took a song writer 5 minutes to write after he had dreamed them versus a painstakingly written flute sonata?

Hard to say, right? One took a lot less ENERGY than the other, both in KWhs and artistic creativity, but may have sold for a lot more money.


What about greed and other economy influencing factors? ???

The issue of greed, hoarding, the amount of currency in circulation as a trigger for consumerism or the reverse are all PRODUCTS of distortions in an economy.

Most economists espouse the view  that currency does not simply encourage certain types of behavior deleterious to an economy, but DICTATES IT.

I don't feel that way because I view money as an EFFECT, not a CAUSE. I do agree that the money supply certainly must remain in a fairly constant proportion per capita to avoid distortions.

Food will never be currency simply because, even if you could freeze dry it with solar energy and store it also with solar energy for a hundred years or so to use it as you needed it, there is only so much food you or anybody else can eat.

People want furniture, tools, culture, beauty, some entertainment, etc. A prisoner in solitary confinement goes bonkers even though he has sufficient food, shelter and health care.

Life is MUCH more than food, shelter and health.

Those who disdain precious metals as a store of wealth feel that, since gold hoarders can't eat their gold, it therefore has no intrinsic value. However, as all gold bugs have noticed, gold has the following "money-like" attributes:

A. Liquidity
B. Durability
C. Portability
D. Agreed upon value per unit

Gold bugs observe, rightfully, that the US dollar retains the above attributes by the big gun the government has called Legal Tender Laws, not by reality. This amounts to a government distortion of the value of the currency to for the benefit of the owners of the Federal Reserve Banking Cartel and the detriment (i.e. impoverishment) of the average American citizen.  Consequently they take any excess dollars in their possession and quickly convert them something besides dollars because the value of said dollars, like wampum (eventually,) after the metal hand drills were introduced by the white devils, is going down.

Gold bugs watch the Fed money supply going exponential in direct proportion to the galloping inflation the government refuses to own up to. 

This is far worse than wampum inflation because this is raw counterfeiting of fiat! People aware of this start to buy this, that and the other with those magically shrinking dollars from collector's items like stamps to maybe antique furniture to paintings to rare coins to, you guessed it, gold!

Gold is hard to counterfeit. There is a way to use nuclear physics (this is not a joke, it's the real deal!) to transmute some cheap element to gold but the energy expenditure is greater than the energy needed to mine and produced finished gold from ore. However, when fusion becomes a reality, the equation for gold may change and, it too, will go the way of wampum. Don't worry gold bugs, it may be a while yet.*

The Federal Reserve Banking Cartel realizes there are a lot people out there on to their game so they start manipulating  the precious metals paper prices (tanking them) to drive the gold bugs back to the Fed fiat fantasy of a strong dollar. 

I observed this blatant and economically disastrous distotion of currency value and, after thinking about it a while, came to the conclusion that we need something like wampum but without those hand drills or the counterfeiting dye!   My wonderful and innovative Kilowatt Hour Monetary Standard is, horror of horrors,  greeted with hardy harrs and guffaws from the gnomes of the Federal Reserve.    Harrumph! 



ANY currency that is not BOTH a medium of exchange and a store of value will be corrupted, distorted, counterfeited and generally devalued, PERIOD. 


The "tokens" or other symbols used for such currency obviously introduces DEBT because there might be a whole lot more symbols, tokens or pieces of paper with funny squiggles on them than the ACTUAL store of value represented. THAT'S JUST A DETAIL. If you can avoid corruption and insure transparency, that can be minimized.

The "fear" that hoarders are going to trash the economy by taking money out of circulation is unfounded. That's merely an EFFECT of capitalism. It has nothing to do with the concept of money per se.

This EFFECT is really quite easy to prevent. All you have to do is progressively tax wealth (NOT INCOME!) above X net worth to keep a lid on excess capital accumulation. Thomas Jefferson was in favor of that, as a matter of fact (google it!).

Once everyone is on board with a stable currency like Kilowatt Hour Equivalents, I would also eliminate the difference between earned and unearned income (capital gains) and progressively tax that too. That appropriate and fair tax structure would serve as an additional DETERRENT hoard and a guarantee that the velocity of money will remain fairly constant. 

Have a nice day.

* Nuclear experiments have successfully transmuted lead into gold, but the expense far exceeds any gain.[7]  It would be easier to convert gold into lead via neutron capture and beta decay by leaving gold in a nuclear reactor for a long period of time.   :P


http://en.wikipedia.org/wiki/Nuclear_transmutation
Posted by: AGelbert
« on: May 04, 2017, 08:39:03 pm »

From Trump to Brexit - Neoliberalism is Dying...


May. 3, 2017 6:06 pm

Economist Kate Raworth, Doughnut Economics/Oxford University's Environmental Change Institute/Cambridge Institute for Sustainability Leadership. From Donald Trump to Brexit, the evidence is everywhere: neoliberalism is dying. So how can we create an economic system that works for the 21st century?



Posted by: AGelbert
« on: May 04, 2017, 05:26:06 pm »

Quote
Wampum, ke`kwuk, squau-tho-won; all are Algonquian words for shell beads or string of shell beads. Wampumpeage is a Narragansett word for "white beads strung". Throughout northeastern America, wampum was used for jewelry, gifts, communication, historical record of important events, religious ceremonies, and trade. It was the earliest form of currency known in North America. Its value was derived from the difficulty involved in producing the cylindrical bead from both Quahog and Whelk, and the scarcity of suitable shells. White beads were made from Whelk, purple-blackish from Quahog.

The beads were produced from the inner spiral of the shells. The spiral or column must be thick enough to withstand grinding, shaping and drilling. The shells were collected along the coastal shores during the summer, and worked in the winter months. The inner spirals were cut into cylinders measuring 1/4 inch long by 1/8 inch diameter. Each bead was then smoothed through grinding, polished, drilled, and finally strung on hemp fibers or sinew. It was difficult, tedious, and time consuming work. The proportionate scarcity of the Quahog dark beads doubled their value to that of white wampum.

http://www.mohicanpress.com/mo08017.html

She sells seashells by the seashore. If she sells seashells by the seashore, how many seashore shells does she sell? This old tongue twisting pronunciation trainer underscores step one in the manufacture of Wampum. You needed a supply of a certain, special and very attractive type of Calcium Carbonate, which was limited in quantities, to begin to do WORK=ENERGY INPUT plus some ARTISTIC CREATIVITY on the seashells in order to produce a CURRENCY that was BOTH a medium of exchange AND a store of value.   

Wampum

In a barter economy, the transfer of goods and services from one party to another is hindered by the lack of liquidity of say, an animal, a bear skin or whatever. The lack of a medium of exchange that can be subdivided into small enough units for both parties to make up perceived different values in a barter transaction is the need that fosters the creation of "money" in the first place.

Wampum was initially a form of artistic expression as well as a form of communication (it was a store of value as jewelry and venerable truth through news and agreements).

However, as the quantity gradually increased and most natives agreed more or less on its value, wampum began providing the liquidity that a barter economy could not.

Consequently the Native Americans along the eastern area of North Amerca gradually adopted wampum as a currency in addition to valuing its beauty (jewelry = bling). The Natives that lived along the beach had an edge on those inland because of easy access to the raw materials.

Wampum beads  Photo: Stephen Lang (Source: AINS/NMAI)

Quote
With the influx of more Europeans in the 17th century, notably the Dutch and English, metal tools became widely available to Indians in the east.

Among these tools were slender metal drills which greatly facilitated the production of wampum. These new tools enabled the Indians to produce uniform beads more quickly and with greater ease.

Applying basic economic principles to wampum as a commodity/currency in the 17th century, it might be assumed that wampum decreased in value as its production was sped up.

On the contrary, its value remained stable.

Again applying the basic economic rule of supply and demand, though the Europeans brought tools that helped to increase wampum production, they also balanced their contribution with an increased demand for the shell beads.

http://www.mohicanpress.com/mo08017.html

Wampum is pretty and, until the Europeans showed up with metal hand tools, a good store of wealth because the amount of energy=work it took to make it as well as the amount of shells available  limited the amount of wampum in circulation.

But those metal thingamajigs the white devils brought made it EASY (LESS TIME & ENERGY=WORK) to make lots of pretty wampum (metal hand drills). This new wampum looked just as good or better than the older stuff made with less sophisticated (non-metal) tools.

At first everybody prospered. There was more wampum, and contrary to standard economic theory that when you increase the currency in circulation, you get inflation, this did not happen right away. Everybody, including the white devils  , were happy with the wampum economy.

But time passed and things changed.

Quote
As the New England colonists adopted wampum as their standard currency, incidents of fraud (wampum counterfeit) increased.

Both Indian and Englishman were known to pass off inferior or fraudulent wampum to unsuspecting colonials.


In time, regulation and a standardized measure of wampum strands was implemented. A fathom (6 feet) was the most usual measurement and instantly denoted a specific monetary value measured against English shillings, pence, pounds, and so forth.

The fact that legislation was introduced, regulations regarding wampum manufacture were set down, penalties for counterfeit or inferior quality wampum trading were harsh, and in some colonies the rejection of dark wampum for only white (though its value was greater, it was easier to counterfeit by way of dye), all illustrate how dependent the colonists and Indians were on these shell beads.

There was some fluctuation in wampum's value, as is always the case with currency, but by and large, it remained uniformly acceptable and desirable to nearly the end of the 17th century in the colonies and into the 18th century along the frontiers.

Its worth, however, was tenable. Wampum was only good as long as the Indians prized it. If or when that was no longer the case, an economic crash could occur throughout the English colonies that would have had serious consequences in New England, and subsequently, in the mother country as well.

It was this realization, along with the declining demand for fur, that moved the New Englanders to gradually phase out wampum as a currency standard. With silver from the West Indies beginning to circulate in North America, wampum was slowly being replaced by that universally valued commodity, metal coinage.

http://www.mohicanpress.com/mo08017.html

Two things happened:

1)
The colonists, who had hitherto absorbed the wampum glut by their demand for the beads, lost interest in wampum partly because they didn't require as many furs (wampum was the currency the colonists used to buy pelts). Wampum lost value as a medium of exchange as the increase in available currency took its toll.

Counterfeiting exacerbated the problem of undermining the medium of exchange value of the currency. A given piece of wampum lost purchasing power because of wampum glut AND a competing currency of coinage.

2)
The artistic value part of wampum as a store of wealth suffered as well. Any philatelist can tell you that old stamps get their "value", not from a pretty painting on the stamp, but MAINLY from their scarcity.

This was depressing. Imagine all those hours spent painstakingly making wampum and that neighboring squaw that is all thumbs can suddenly make several times as much as you can just because she has a white devil metal thingamajig to goose production! And now the white devils don't want them as much as they used to either.  :P  :(

But as you can see below, despite its disappearance as a currency, wampum survives to this day as a product of patient craftsmanship, artistry and historical communication.

Quote
It is interesting, if not ironic, to note that wampum remains valuable even today. A single wampum bead made from Quahog or Whelk, manufactured in New England coastal areas can cost up to $10! Overseas wampum is less expensive, but still demands a good price. Wampum, the first currency of the new world, has survived as a desired item long enough to be considered a classic.

But it would never regain its position as a medium of exchange/currency.

Two Row Wampum Treaty from Elder, Yvonne Thomas.pic.twitter.com/EtjkqHsG9o The patient artistry and symbolism crafted in this wampum is an example of how wampum is a store of value. 

Quote
Celebrating 400 Years of the Two Row Wampum

Vanessa Parker

May 25, 2013

In an effort to maintain a separate and peaceful coexistence, an agreement was made 400 years ago between a group of Haudenosaunee nations and the incoming European settlers who were rapidly arriving. That agreement remains valid today.

The Two Row Wampum was made with strings of wampum, or crushed shells, which were made into purple and white beads threaded onto strings, forming a belt.

]The white beads, located outside of two large purple rows of beads, represent the truth.

The purple beads are separated into two rows, one representing the canoe of the Haudenosaunee, the other representing the sailboat of the incoming Europeans.

Each row represents the separate cultures, traditions, governments and religions.

In between the purple rows run three rows of white beads. These represent peace, friendship and maintaining a sense of equality forever.
full article here:

http://indiancountrytodaymedianetwork.com/2013/05/25/celebrating-400-years-two-row-wampum-149469

What lessons can we take from the above Native American experience?

1) Money is created in order to ease the transfer of goods and services. This medium of exchange normally has the following qualities:

A. Liquidity

B. Durability

C. Portability

D. Agreed upon value per unit


2) The ENERGY it takes to create said money is directly proportional to a unit of said money as a store of value.



The extreme situation, never reached by wampum because it always took SOME skill and energy to make, is FIAT currency where it has ZERO value as a store of wealth.

The case of the US dollar is BELOW ZERO as a store of wealth because, in addition to it being fiat, the supply is growing absent any energy input whatsoever. So the dollar loses value as it sits from Fed  inflation (counterfeiting). Legal Tender Laws force the citizenry to run around trying to preserve some value in a currency that shrinks in value year after year. Many of these value chasers go for PMs, paintings, land, antique cars, Early American antique furniture, etc. They are all looking for something that meets the criteria of liquidity, durability, portability and agreed upon value per unit to a greater or lesser degree.

3) Beyond the basic biochemical needs of proper nutrition, shelter and health, human culture places a great deal of value on tangibles and intangibles outside the default requirements of human life.



Humans will always value creativity and imaginative and useful innovations that bring beauty, comfort and utility to our lives as STORES OF VALUE.

What price can you place on a song? What value does a set of verses have that took a song writer 5 minutes to write after he had dreamed them versus a painstakingly written flute sonata?

Hard to say, right? One took a lot less ENERGY than the other, both in KWhs and artistic creativity, but may have sold for a lot more money.


What about greed and other economy influencing factors? ???

The issue of greed, hoarding, the amount of currency in circulation as a trigger for consumerism or the reverse are all PRODUCTS of distortions in an economy.

Most economists espouse the view  that currency does not simply encourage certain types of behavior deleterious to an economy, but DICTATES IT.

I don't feel that way because I view money as an EFFECT, not a CAUSE. I do agree that the money supply certainly must remain in a fairly constant proportion per capita to avoid distortions.

Food will never be currency simply because, even if you could freeze dry it with solar energy and store it also with solar energy for a hundred years or so to use it as you needed it, there is only so much food you or anybody else can eat.

People want furniture, tools, culture, beauty, some entertainment, etc. A prisoner in solitary confinement goes bonkers even though he has sufficient food, shelter and health care.

Life is MUCH more than food, shelter and health.

Those who disdain precious metals as a store of wealth feel that, since gold hoarders can't eat their gold, it therefore has no intrinsic value. However, as all gold bugs have noticed, gold has the following "money-like" attributes:

A. Liquidity
B. Durability
C. Portability
D. Agreed upon value per unit

Gold bugs observe, rightfully, that the US dollar retains the above attributes by the big gun the government has called Legal Tender Laws, not by reality. This amounts to a government distortion of the value of the currency to for the benefit of the owners of the Federal Reserve Banking Cartel and the detriment (i.e. impoverishment) of the average American citizen.  Consequently they take any excess dollars in their possession and quickly convert them something besides dollars because the value of said dollars, like wampum (eventually,) after the metal hand drills were introduced by the white devils, is going down.

Gold bugs watch the Fed money supply going exponential in direct proportion to the galloping inflation the government refuses to own up to. 

This is far worse than wampum inflation because this is raw counterfeiting of fiat! People aware of this start to buy this, that and the other with those magically shrinking dollars from collector's items like stamps to maybe antique furniture to paintings to rare coins to, you guessed it, gold!

Gold is hard to counterfeit. There is a way to use nuclear physics (this is not a joke, it's the real deal!) to transmute some cheap element to gold but the energy expenditure is greater than the energy needed to mine and produced finished gold from ore. However, when fusion becomes a reality, the equation for gold may change and, it too, will go the way of wampum. Don't worry gold bugs, it may be a while yet.*

The Federal Reserve Banking Cartel realizes there are a lot people out there on to their game so they start manipulating  the precious metals paper prices (tanking them) to drive the gold bugs back to the Fed fiat fantasy of a strong dollar. 

I observed this blatant and economically disastrous distotion of currency value and, after thinking about it a while, came to the conclusion that we need something like wampum but without those hand drills or the counterfeiting dye!   My wonderful and innovative Kilowatt Hour Monetary Standard is, horror of horrors,  greeted with hardy harrs and guffaws from the gnomes of the Federal Reserve.    Harrumph! 



ANY currency that is not BOTH a medium of exchange and a store of value will be corrupted, distorted, counterfeited and generally devalued, PERIOD. 


The "tokens" or other symbols used for such currency obviously introduces DEBT because there might be a whole lot more symbols, tokens or pieces of paper with funny squiggles on them than the ACTUAL store of value represented. THAT'S JUST A DETAIL. If you can avoid corruption and insure transparency, that can be minimized.

The "fear" that hoarders are going to trash the economy by taking money out of circulation is unfounded. That's merely an EFFECT of capitalism. It has nothing to do with the concept of money per se.

This EFFECT is really quite easy to prevent. All you have to do is progressively tax wealth (NOT INCOME!) above X net worth to keep a lid on excess capital accumulation. Thomas Jefferson was in favor of that, as a matter of fact (google it!).

Once everyone is on board with a stable currency like Kilowatt Hour Equivalents, I would also eliminate the difference between earned and unearned income (capital gains) and progressively tax that too. That appropriate and fair tax structure would serve as an additional DETERRENT hoard and a guarantee that the velocity of money will remain fairly constant. 

Have a nice day.

*
Quote
Nuclear experiments have successfully transmuted lead into gold, but the expense far exceeds any gain.[7] It would be easier to convert gold into lead via neutron capture and beta decay by leaving gold in a nuclear reactor for a long period of time.   :P


http://en.wikipedia.org/wiki/Nuclear_transmutation
Posted by: AGelbert
« on: May 04, 2017, 02:43:47 pm »

The current PR crisis has a lot to do with Big Pharma.


Puerto Rico's Pharmaceutical Industry 'Terminally Ill'
Mon, 11/19/2007 - 4:59am
by Michael Melia, Associated Press Writer

CIDRA, Puerto Rico (AP) — First to go was a factory that produced generic drugs. Next, a pharmaceutical supply company said it would close. Then, GlaxoSmithKline PLC said last month it would shut its plant in this central Puerto Rico city.
 
Many people in Cidra now fear their hillside city, which has depended on pharmaceutical manufacturing for more than 30 years, is terminally ill.
 
''This is going to be pretty bad for a lot of people,'' said Frank Ortiz, a 42-year-old construction worker sitting in a cafe near the gated GlaxoSmithKline campus.
 
Cidra, a city of about 50,000, is not alone its sense of looming dread. The pharmaceutical industry appears to be in retreat across Puerto Rico — long a global hub of drug manufacturing thanks to tax breaks and the territory's unfettered access to the U.S. market.
 
Over the past 18 months, five major drug manufacturing plants have either closed or announced plans to do so, eliminating 3,000 relatively high paying jobs. The closures are a largely a result of higher energy costs, changing tax rules and industry consolidation.
 
Industry experts predict Puerto Rico is in danger of losing its position as one of the top five global drug-making centers unless the island offers better incentives and shifts more toward research as companies seek more sophisticated production methods.
 
''We are very good at manufacturing pills, but the pharmaceutical sector in its own way has been changing in the last few years,'' said Deepak Lamba-Nieves, research director for the Center for the New Economy, an independent think tank in Puerto Rico.
 
The island's pharmaceutical industry, which still produces 13 of the 20 best-selling drugs in the United States, gained dominance in the 1970s with the help of U.S. incentives. It accounts for a quarter of the island's gross domestic product, with $36.5 billion in annual exports.
 
Some of the losses have been offset by new investments in biotechnology — a related industry that Gov. Anibal Acevedo Vila has courted aggressively, marketing the territory as ''Bio Island'' and developing special tax breaks for research and development.
 
In addition to Cidra plants owned by Teva Pharmaceutical Industries Ltd. and GlaxoSmithKline, the other companies that have closed or announced plans to shut plants are Schering-Plough Corp., Watson Pharmaceuticals Inc. and Bristol-Myers Squibb Co.
 
As they look for slack in global supply chains, many companies find Puerto Rico is no longer a bargain due to changing tax structures and the cost of electricity supplied by oil-fired power plants.
 
For Watson, which makes generic drugs, the cost of operating a factory it closed in Humacao this year was comparable with plants in Corona, Calif., and Carmel, N.Y.
 
A company spokeswoman, Patty Eisenhaur, said Watson would have had to expand its plant in Humacao, on Puerto Rico's southeastern coast, to make it financially viable.
 
At least three of the plants that are closing also were facing pressure from the Food and Drug Administration to make investments to resolve quality control problems.
 
In 2005, GlaxoSmithKline agreed to fix deficiencies that allowed tablets of Paxil, a treatment for depression, to split apart before reaching consumers. At the nearby Teva plant, acquired through a recent takeover of Ivax Corp., inspectors last year found drugs contaminated by manufacturing or cleaning equipment.
 
The U.S. tax breaks that transformed Puerto Rico from an impoverished, agrarian society to a manufacturing hub offered the best deals for companies that moved to depressed areas outside the capital.
 
Wage credits gave companies incentives to create the maximum number of jobs under section 936 of the U.S. Internal Revenue Service — approved by Congress in 1976 to allow companies to send profits to the U.S. with minimal taxes.
 
Since section 936 expired last year and companies are reducing the size of their workforces, a cloud of uncertainty has formed over small cities where pharmaceuticals have clustered including Cidra, Manati and Barceloneta.
 
''There is pain, sadness and even fear,'' said the mayor of Cidra, Angel Malave Zayas, whose city will lose $2.8 million in annual taxes and 900 jobs from the GlaxoSmithKline plant alone.
 
The companies that run the remaining pharmaceutical manufacturing plants, which employ more than 20,000 people, have kept their taxes low in many cases by declaring their operations here as foreign corporations, allowing them to take advantage of local tax structures.
 
But with a local law governing industrial tax breaks due to expire next year, some critics say lawmakers' inability to agree on a renewed version so far is making investors nervous and driving away business.
 
''We are losing time, we are losing momentum and we are being negatively hit,'' said Elizabeth Plaza, president of the local consulting firm Pharma Bio-Serve Inc., which recently opened a branch in Ireland.

https://www.manufacturing.net/news/2007/11/puerto-ricos-pharmaceutical-industry-terminally-ill



AND

I provide a historically accurate post and you post about the whining of the pharmaceutical industry. SHOW ME the profits from 50 years of pollution and being the NUMBER ONE suppler of valium (until via gra made there TOO took its place) and THEN we can TALK about the "jobs" and other allegedly "nice things" the pharmaceutical exploiting assholes provided for Puerto Rico.

An ENTIRE TOWN had to be evacuated near Humacao because Elli Lilly lied about WHAT THEY LEFT IN THE SOIL THERE to the developer who built a housing community on it!

Your post lacks objectivity because it focuses on the present while ignoring the pollution filled past.

I see that my plea for empathy for the people of Puerto Rico has fallen on deaf ears.  

Posted by: AGelbert
« on: May 04, 2017, 02:17:40 pm »

https://www.rt.com/usa/387052-puerto-rico-bankruptcy-promesa/
‘Breaking point’: Puerto Rico files for historic $70bn bankruptcy
4 May, 2017

The Commonwealth of Puerto Rico is seeking the largest municipal bankruptcy filing in US history, after failed negotiations with creditors over its $70 billion debt crisis. That’s more than four times the debt Detroit collapsed under.

On Wednesday, the Financial Oversight and Management Board for Puerto Rico announced they had moved to place the US territory into federal bankruptcy court, making it the largest entity of the US government to seek refuge from creditors in the courts in history.

Chairman of the Oversight Board José Carrión said the filing was made to “provide a method for the Commonwealth and its instrumentalities to achieve fiscal responsibility and access to the capital markets,” according to a press release.

US territories are barred from filing for a traditional bankruptcy like most US cities or states. Last year, Congress approved the Puerto Rico Oversight, Management and Economic Stability Act (PROMESA) to address the impending financial crisis Puerto Rico was already facing.

Under the PROMESA bill, the oversight board and the Title III process were created. Title III, which is similar to the Chapter 9 bankruptcy, allows Puerto Rico and other US territories to restructure their debt under the supervision of a federal judge.

The announcement came a day after major creditors sued Puerto Rico over defaults to its bonds. The Commonwealth held several meetings with creditor representatives to come to an agreement. However, on Monday at midnight, a temporary court stay that protected Puerto Rico from lawsuits expired and negotiations were ended.

“We have sustained our position to negotiate in good faith, but before the current scenario, we choose to protect our people,” Puerto Rico Governor Ricardo Rossello said in a tweet Wednesday.

Rossello sent a letter to the Financial Oversight and Management Board on Tuesday, saying he hopes the Title III proceedings will “accelerate the negotiation process, leading to as much creditor consensus where possible and achieving where necessary a prompt and efficient judicial resolution of any issues or disputes.”

Ted Hampton, an analyst at Moody’s Investor Service, says the bankruptcy process is a “positive step.”

"Although a court proceeding will take considerable time and likely involve losses for all Puerto Rico bondholders, it will be an orderly process," Hampton says.

On Wednesday, the oversight board declared the Commonwealth was “unable to provide its citizens with effective services,” according to court filings obtained by The Deal.

That document shows Puerto Rico’s 10-year recession has led them to declare a “fiscal and socioeconomic crisis without precedent” in its history. Since 2007, the Commonwealth said it has seen a 14 percent decline in gross national product, a 23 percent decrease in employed persons and a 10 percent drop in population.

According to the US Census Bureau, 46 percent of Puerto Rico’s residents live below federal poverty levels, compared to the national average of 14 percent and 36 percent in Detroit.

Puerto Rico has approximately $74 billion of bond debt and $48 billion of unfunded pension liabilities. The previous largest public bankruptcy in the US was set by Detroit in 2013 when it declared a total of $18 billion of bond debt and retirement obligations.

“The result is that Puerto Rico can no longer fully pay its debt and pay for government services. Nor can Puerto Rico refinance its debt—it no longer has access to the capital markets,” the oversight board said in the court filing. “In short, Puerto Rico’s crisis has reached a breaking point.”

Puerto Rico’s current fiscal plan sets aside $800 million a year for debt payments, however, it is only a fraction of the $35 billion it owes in interest in payments over the next 10 years. The cost of fully paying off their debt would be around $3.5 billion a year
.

I wanna know who is holding PR bonds?  Somebody is going to have to take a lot of write downs.



RE


People who do not know about what happened in Puerto Rico and WHY it happened should not post about Puerto Rico.

The Palloy post is not objective. People are dying because of this unrestrained Capitals Asset Stripping.

And this ain't no musical, RE.

Objectivity in posting on this subject dictates that you endeavor to explain how Puerto Rico was DELIBERATELY made a cash cow by Wall Street starting over 100 YEARS ago. The first fascist f u c k POTUS assigned to "govern" Puerto Rico at the beginning of the 20th century became a millionaire (in money of THAT TIME!) by "arranging" the laws so he could OWN all the sugar lands, set up a corporation, and sell sugar to the continental US - Puerto Rico and Cuba were the MAIN source of refined sugar to the US back then.

But in the middle 1950's Wall Street decided to REALLY get serious about asset stripping the place and began a gigantic "tax free" bond scheme.  For over half a century, retirement funds all over the USA have PROFITED from that bond scheme while the island economy was steadily impoverished.

Finally, the Ponzi scheme reached the point where the fraud became visible to all. So NOW, all the bought and paid for fascist bastards in the Banco Popular de Puerto Rico that now RUN that benighted island (a "BOARD" of NON-elected bankers that makes ALL the financial decisions on the Puerto Rico debt - a debt those same bankers made millions off of in fees  ) have decided that SOMEBODY has to take up the slack for all those "irresponsible" poor and middle class Puerto Ricans who "allowed" all that debt to accumulate. LOL!

It's the Greek trick all over again, of course.   

Please Doomstead Diners, stop blaming the victim. Puerto Rico has NEVER been actually allowed to govern itself. This is not their fault. This is the fault of asset stripping crooks in Wall Street and their lackeys in Puerto Rico, PERIOD.

RE,
That musical West Side Story left out the part about the repeated use of Puerto Ricans in Puerto Rico as test subjects for measuring the effects of a plethora of chemical toxins on humans.

It also leaves out the part about the massive amount of pollution from pharmaceutical corporations running wild down there.

Then there are the radionuclides in the water off of Vieques... The cancer rate is through the roof down there.

The wages are s h i t down there.

People have shorter, and more miserable life spans down there BECAUSE of all this empathy deficit disordered FOR CAPITALIST PROFIT activity down there.

It's not funny, RE; it's trajic.  :(
Posted by: AGelbert
« on: May 03, 2017, 03:08:47 pm »

Class Warfare Breaks Out In Philly 

Trashing a strangers property is not justice.  When the FBI pretends to be anarchists plywood is already in the basement ready to board up the windows.  The means to pay the glaziers the next day is already worked out. 
.
.
.
Social control.  Keep the haters hating.

Trashing a strangers property is not justice. 

Yes it is, it is a form of retribution for the inequity of the distribution of wealth.  It matters not who the "stranger" is, only that the stranger is displaying an inordinate amount of wealth.  So you get payback for his greed by destroying his wealth.  That is Justice.

For those of you who are against the idea of Capital Punishment for the Rich, this is certainly a better solution, and probably would be a worse torture for them than death itself.

RE

I'm torn by this.  On the one hand I feel as you do RE.  On the other, at this point in my life, if I could be rich, I would be. 

Money, money, money...it's always about the fuckin' money and whether you have enough of it or not.  GM lamented the other night about this because apparently I feel the same way about money that her father did, and he blew his head off in the end. 

Do I want to be concerned about money?  Hell no, but then who really does want to be?  That's why we want a lot of it...so that we don't have to be concerned with having enough.  If you don't have enough than it's a constant concern.  As time moves forward we will definitely have more of this type of behavior.  The more the unequal divide between haves and have-nots grows the more chances we'll have for this type of lashing out.  The more desperate people get the more desperate measures they will take for some type of justice. 

I learned at 18 years old, while studying "criminal justice" in college that there is no justice.  In fact, this realization was the beginning of the end of my college career.  I lost interest in studying criminal justice after 18 hours of classes on the topic.  What was the point in learning how to pretend that there is such a thing as justice in our system?  The cops get them and the lawyers get them off, pending they have the  money that is.  Now the cops mostly don't even get them, at least not the ones that deserve to be gotten.  Now the cops mostly get the down trodden and desperate, the mentally abused, the non-violent drug offenders, and the innocent, and then they are forced into legal slavery via a for profit private prison industry.  What type of behavior would you expect in return? 

The economic non-persons continue to grow, as do the refugees.  This while the rich get even richer, and the divide between haves and have-nots grows even more as a society.  In real terms this divide is bigger now than it has ever been.  Albeit it's hard to tell when there is free entertainment and cheap beer.  I expect to see more of this type of behavior as we move forward.  I imagine most of those involved really don't have much to lose, and so why not lash out and get some justice for yourself.  They damn sure aren't going to get any justice any other way because they can't afford to get it. 

And there it is again!  You have to be able to afford to be the change just as you have to be able to afford to buy your legal justice.  Otherwise you resort to vandalism. 


LD,
Your worthy thoughts are discussed and paraphrased in detail in a famous book. If you have not read Les Misérables. please do. The cop in the story is the K-Dog type of character. Those types are very inflexible, lack empathy and are quick to demonize the desperate downtrodden as "criminals" while they look the other way when the privileged elite criminals (who sanctimoniously and perpetually demand that the government defend their "property rights")  cynically and deliberately destroy the property rights of the poor by toxic pollution zoning and racist police activity ONLY in poor neighborhoods, along with destroying the dignity of the poor by requiring them to work for unjust subsistence wages[/i]).

I am sick to death of cherry picking bigots who see only what they want to see and play word games to avoid facing the objective truth that our society is about as sick and odious as it can get BECAUSE of those that run it, not because of those victimized by it.


Les Misérables by Victor Hugo
Quote
Upton Sinclair described the novel as "one of the half-dozen greatest novels of the world," and remarked that Hugo set forth the purpose of Les Misérables in the Preface:[3]

So long as there shall exist, by reason of law and custom, a social condemnation, which, in the face of civilization, artificially creates hells on earth
, and complicates a destiny that is divine with human fatality; so long as the three problems of the age—the degradation of man by poverty, the ruin of women by starvation, and the dwarfing of childhood by physical and spiritual night—are not solved; so long as, in certain regions, social asphyxia shall be possible; in other words, and from a yet more extended point of view, so long as ignorance and misery remain on earth, books like this cannot be useless.   

https://en.wikipedia.org/wiki/Les_Mis%C3%A9rables

Posted by: AGelbert
« on: April 25, 2017, 05:43:15 pm »


Russia Leaving Global Banking System: Dumping US Dollar for Gold

AnonHQ

Russia is one of the more powerful nations in the world.  With the power, however, comes enemies. One of its enemies has a slight financial hold over Russia, and that power comes in the form of Dollars. The relationship between the east and west is now at a stalemate; Moscow’s reaction to western encroachment and accusations comes from President Vladimir Putin, who has proposed to withdraw the Russian state from the international banking system, moving towards a more traditional gold-based system.

Russia isn’t alone in this. BRICS nations such as Brazil, India, China, and South Africa are all planning their exit from the international banking mafia for more financial independence.

However, for President Putin, the threat came in the form of the Worldwide Interbank Financial Telecommunication system, or the SWIFT system, which allows easy transfer of money internationally, such as via American express. The problem, however, is the international banks are threatening to bar Russian access from this system if they leave the ‘big club.’

Many economists have informed the world leaders of the consequences facing them if they remove Russia from the SWIFT system. Ewald Nowotny, an economist and a policy maker for the European Central Bank highlighted how if Russia is removed from the SWIFT system international companies conducting business in Russia will be the first to suffer.
global banking

However, according to Elvira Nabiullina, a Russian economist and former economic advisor to President Putin and the head of the Central Bank of Russia, if Russia is removed from the Worldwide Interbank Financial Telecommunications then Russia’s banks won’t collapse. She explained how they have devised a new system that will continue operations in the SWIFT format and will work as an alternative for the country.

According to a report published last year, more than three hundred banks in Russia have adopted the SWIFT alternative – the System for Transfer of Financial Messages, or SPFS as the Russians call it.

Furthermore, to enhance the SPFS system, Russia’s Central Bank’s first international branch in Beijing was opened, and the Chinese opened a financial institution in Russia to strengthen the financial relationship between the two nations and the beginnings of the ‘de-dollarization’.

As for the Federal Reserve and other international financial institutions that trade in non-physical currency and futures, and all other riskier practices; are now buying bulk quantities of physical gold – leaving their old practices behind.

According to Mac Slavo who writes for SHTFplan, the NGOs ran by Soros have been questioned and kicked out, along with Rothschild establishments.

“It seems that only all out war will ever settle these power plays for the dominance or death of the U.S. petrodollar, which is ultimately controlled by the same few hands that steer and control the central banks of nearly all the world’s nations,” wrote Mac Slavo. “Only by stealth and monotony have these activities remained in the shadows.”


Thank you for that extremely important news, AZ.


That is interesting. You know AZ, any serious study of 90% PLUS of every bellicose action the U.S. has initiated will reveal that the main reason behind those actions were, and are, forcing anybody and everybody out there to accept the "full faith and credit" of fiat ex-nihilo created currency by the plutocrats (i.e. THE MOST DEFENDED counterfeiting racket in history).

What Russia just did is fightin' words for the U.S. corporate crook fascist bastards ruining the place.



There may not be a banking system after next week.

El Diablo Blonde Pompadour  may tell the fed to **** themselves.


Are you kidding? Trumpelthinskin worships the ground the Fed defecates on.  :P

The only way the banking system disappears is if the bankers want it to (temporarily while nuclear war decreases 90% of the population).

NASA says they are working on a cool greenhouse gizmo to keep astronauts fed in space. I'll betcha the plutocrats already have several working versions of that to enable them (in theory  ;) bankers are greedy, but not particularly intelligent) to live in their bunkers while we-the-people get wasted.     

NASA is designing small away-from-home-ecosystems to make space exploration sustainable

Last updated on April 25th, 2017  at 1:45 pm by Alexandru Micu


http://www.zmescience.com/science/nasa-greenhouse-sustainability/

Posted by: AGelbert
« on: April 24, 2017, 09:43:39 pm »

Maritime Flags of Convenience Visualized

August 20, 2016 by John Konrad


http://gcaptain.com/maritime-flags-of-convenience-visualized/

Agelbert NOTE:
The following is from May 12, 2012. But it's still rather BUSY out there now. I'm looking forward to the day when all that shipping STOPS. 
This Mesmerizing Interactive Map Displays Ship Movements Across the Globe

April 22, 2017 by Mike Schuler

http://gcaptain.com/this-mesmerizing-interactive-map-displays-ship-movements-across-the-globe/
Posted by: AGelbert
« on: April 13, 2017, 07:18:08 pm »

Global Capitalism April 2017: Trump’s Big Economic Plans Fade


Democracy At Work   

Published on Apr 13, 2017


Help us reach 50,000 subscribers! SUBSCRIBE to our channel and suggest our channel to friends.

Special thanks to this month's sponsor: John O'Sullivan of Ludlow, England. To sponsor an upcoming episode visit: www.democracyatwork.info/sponsor
--

Global Capitalism: "As Trump’s Big Economic Plans Fade, What's Next?" with Richard D. Wolff

Co-sponsored by Democracy at Work, Left Forum & Judson Memorial Church
Wednesday, April 12th 2017 at 7:30pm

Judson Memorial Church (239 Thompson Street at Washington Square, Manhattan)

These programs begin with 30 minutes of short updates on important economic events of the last month, then Wolff analyzes several major economic issues. This month, these issues will include:

1. Two connected failures: to repeal Obamacare, to get “tax reform”

2. The injustice of the US tax system (in honor of April 18 tax due day)


3. The economics of the US-China link and its bumpy contradictions


Our goal: To develop all participants’ understanding and ability to explain current economic events and trends to others. We open the floor to questions and comments when time permits.


Agelbert NOTE: More proof that Capitalism is actually Robin Hood IN REVERSE.   

And yes, the tax system is part and parcel of the socially destructive Capitalist mens rea modus operandi. Did you know that Yale University doesn't pay property tax on its GOLF COURSE (no classes are held there, sports fans)? Did you know that, BECAUSE OF THAT, the poor and middle class of New Haven have to FUND the police, fire department, etc., that the YALE STUDENTS, FACULTY (AND THEIR CHILDREN) USE?   


Posted by: AGelbert
« on: April 10, 2017, 08:43:27 pm »



Is There a Crisis of Capitalism When Private Companies Cause Car Accidents to Make Money?   



Thom Hartmann Program

Published on Apr 10, 2017

Thom covers a story of private red light camera companies purposely shortening yellow light times to increase ticket revenue, but are they putting human lives at risk to make a quick, predatory buck?

Posted by: AGelbert
« on: April 03, 2017, 09:51:38 pm »

Agellbert NOTE: Professor Hudson exposes Orwellian Doublethink (I call it mindfork!) used to confuse us so the plutocratic parasites can continue to steal from we-the-people. 

D@W Exclusive: Michael Hudson on Junk Economics

Michael Hudson, author of the newly released 'J is for Junk Economics,' says the media and academia use well-crafted euphemisms to conceal how the economy really works.


Published on Apr 2, 2017

D@W's Paul Sliker and Dante Dallavalle talk with author and economist Michael Hudson, one of the world’s six economists who accurately predicted the 2007-2008 financial crisis. His new book, J is for Junk Economics, reveals how the mainstream economic vocabulary has been turned around in an Orwellian way to mean just the opposite of what words used to mean. Michael explains how the media and academia use well-crafted euphemisms to conceal how the economy really works, the economy under Obama vs. Trump, and what might be coming next.

Help us reach 50,000 subscribers! SUBSCRIBE and share this video with friends.

For more from d@w visit our website: www.democracyawork.info
Posted by: AGelbert
« on: March 23, 2017, 09:24:46 pm »

How Class Works by Dr. Richard Wolff



Marxism 101: How Capitalism is Killing Itself with Dr. Richard Wolff


Published on Mar 22, 2016

Despite a concerted effort by the U.S. Empire to snuff out the ideology, a 2016 poll found young Americans have a much more favorable view of socialism than capitalism. 

Though he died 133 years ago, the analysis put forward by one of the world’s most influential thinkers, Karl Marx, remains extremely relevant today. The Empire’s recent rigged presidential election has been disrupted by the support of an avowed socialist, Bernie Sanders, by millions of voters.

To find out why Marx’s popularity has stood the test of time, Abby Martin interviews renowned Marxist economist Richard Wolff, Professor Emeritus of Economics at UMass - Amherst, and visiting professor at the New School in New York.

Prof. Wolff  gives an introduction suited for both beginners and seasoned Marxists, with comprehensive explanations of key tenets of Marxism including dialectical and historical materialism, surplus value, crises of overproduction, capitalism's internal contradictions, and more.
Posted by: AGelbert
« on: March 20, 2017, 06:37:19 pm »



Modern Money & Public Purpose 1: The Historical Evolution of Money and Debt


Published on Sep 22, 2012

Moderator: William V. Harris, William R. Shepherd Professor of History and Director, Center for the Ancient Mediterranean, Columbia University

Speaker 1: L. Randall Wray, Research Director of the Center for Full Employment and Price Stability and Professor of Economics, University of Missouri-Kansas City

Speaker 2: Michael Hudson, President, Institute for the Study of Long-Term Economic Trends and Distinguished Research Professor, University of Missouri-Kansas City

Tuesday, September 11, 2012

About the Seminar Series:

Modern Money and Public Purpose is an eight-part, interdisciplinary seminar series held at Columbia Law School over the 2012-2013 academic year. The series aims to present new perspectives and progressive policy proposals on a range of contemporary issues facing the U.S. and global macroeconomy. Seminars will feature a mix of academics and practitioners on topics ranging from the history of debt and money and the structure of the financial system to economic human rights for the 21st century.

http://www.modernmoneyandpublicpurpos...


Posted by: AGelbert
« on: March 20, 2017, 05:23:12 pm »

Enjoy this timeless financial wisdom Published on Sep 24, 2015 


Michael Hudson, Financial Parasites Like Libertarian Peter Schiff
Posted by: AGelbert
« on: March 06, 2017, 08:54:40 pm »

 

Agellbert NOTE: Don't miss this excellent 5 part interview where Professor Hudson exposes Orwellian Doublethink (I call it mindfork!) used to confuse us so the plutocratic parasites can continue to steal from we-the-people. 



'J is for Junk Economics': Michael Hudson on TRNN (1/5)

Michael Hudson, author of the newly released 'J is for Junk Economics,' says the media and academia use well-crafted euphemisms to conceal how the economy really works.




'J is for Junk Economics': Michael Hudson on TRNN (2/5)

 Trump's infrastructure plan will privatize all the benefits for the financiers and make sure that the population at large gets zero benefit from it while paying the costs, says economist Michael Hudson.




'J is for Junk Economics': Michael Hudson on TRNN (3/5)


Trump is planning to turn the U.S. economy into a Russian-style kleptocracy, says economist Michael Hudson.



March 3, 2017

'J is for Junk Economics': Michael Hudson on TRNN (4/5)


Economist Michael Hudson takes on the mythology surrounding government budgets and explains how the term 'stability' has been used as a cover for financial fraud.




March 4, 2017

'J is for Junk Economics': Michael Hudson on TRNN (5/5)

Economist Michael Hudson explains why social security does not need to be 'pre-funded' by its beneficiaries.

SHARMINI PERIES: It's The Real News Network. I'm Sharmini Peries, coming to you from Baltimore.

   I'm speaking with Michael Hudson about his new book "J Is For Junk Economics: A Guide to Reality in the Age of Deception".

   Thanks for joining me again, Michael.

MICHAEL HUDSON: Good to be here.

SHARMINI PERIES: So, Michael, on page 260 of your book you deal with the issue of social security and it's a myth that social security should be pre-funded by its beneficiaries. Progressive economic taxes should be abolished in favor of a flat tax. Just one tax rate for everyone you say. We talked about this earlier but let's apply what this actually means when it comes to Social Security.

MICHAEL HUDSON: The mythology is to try to convince people that after all, if they're the beneficiaries of social security, it should be pre-funded. Well, that's like saying that you're the beneficiary of an education, you have to pay for the schooling. You're the beneficiary of healthcare, you have to pay for that. You're the beneficiary of America's military spending, that keeps us from being invaded next week by Russia, you have to spend for all that.

Where do you draw the line? Nobody really anticipated in the 19th century that people would have to pay for their own retirement. This was viewed as an obligation of society and you had the first pension social security program in Germany under Bismarck. And the whole idea is social security is a public obligation. There are certain rights of citizens and the rights should be after your working life you deserve a retirement. And you have to be able to afford this retirement and not have to beg in the street for money. So the wool that's been pulled over people's eyes is to imagine that because they're the beneficiaries of social security they have to actually pay for it.

And this was Alan Greenspan, a trick that he pulled basically in the 1980s when he was head of the Greenspan Commission. He said, "Let's achieve what we need to do in America. We need to traumatize the workers. We need to squeeze them so much that they will never have the courage to strike. Never have the courage to ask for better working conditions. Let's really squeeze them and the best way to do it is to very sharply increase their taxation. But we won't call it a tax. Of course it's a tax, but we will say it's not a tax, it's your contribution to your social security." And now this is 15.4% of everybody's pay check. It comes right off the top. What Greenspan did was say, "Let's make the wage earners, as a whole, pay this FICA cut out of their pay check every month, let's lend it to the government and now with all of this huge surplus that we're squeezing out of the wage earners there's a cut-off point now." The cut-off is around 120,000. Rich people don't have to pay for the social security funding, only the wage earner class has to. This is lent to the government to actually enable the government to say, "We have so much extra money in our budget pouring in from social security that now we can afford to cut taxes on the rich."

So the sharp increase in social security tax for the wage earners went hand-in-hand with the sharp reduction in the taxes on real estate, on finance and on the ... TA(?) part of society. The people who live on economic rent, not by working, not by producing goods and services but by making more money on their real estate, on their stocks and bonds in their sleep. And that's how the five percent have basically been able to make their money.

So the whole idea that social security has to be funded by the beneficiaries has all been a setup for them to claim now, we can't afford to pay any of the money because the budget doesn't have enough money. Social security's running a budget and after running a surplus since 1933, for 70 years, now we have to begin paying it out, that's the deficit, that's the disaster, we have to begin cutting back social security. What Donald Trump is saying we want wage earners to have to starve in the street after they retire.

   The federal reserve has just published statistics saying the average American families, 55 and 60 years old, only has about $14,000 worth of savings. This isn't enough. The whole idea is there's been a vast looting of pension funds, very largely by Wall Street and that's why the investment banks have had to pay tens of billions of dollars of penalties for cheating the pension funds. The current rate of return risk-free is 0.1% on government bonds so the pension funds don't have enough money to pay pensions. So the idea is that what people thought there was going to be available for their retirement, all of a sudden isn't.

There are so many corporate pension funds that are going bankrupt that the Pension Fund Guarantee Corporation doesn't have enough money to bail it out. It's in deficit. And if you're going to be a corporate raider, if you're going to be a Governor Romney or whatever and you take over a company, you do what Sam Zell did with the Chicago Tribune, you loot the pension funds, you empty it out to pay the bond-holders that have lent you the money to buy out the company and you say, "I'm sorry there is nothing there. It's wiped out." Half of the employee stock ownership programs have gone bankrupt. That was already a critique made in the 1950s and the 1960s.

In Chile, the Chicago boys, who really developed this program, University of Chicago economists, made it possible for the Chilean who privatized and who privatized the social security system, to set aside a pension fund managed by the company, mostly they invested in its own stock. The company would then set up an affiliate that would actually own the company under an umbrella then leave the company with the pension fund to go bankrupt having already emptied out all of the pension fund and a loan to be a corporate shell.

So it's all a shell game basically for this. And there's no social security problem whatsoever. Of course, the government has enough money to pay social security. That's what the tax system is all about. But if you do what Donald Trump does and you say we're not going to tax the rich and if you do what Alan Greenspan did and we're not going to make rich people even contribute to the social security system, then, of course, it's going to show a deficit. It's supposed to show a deficit when people retired. It was always intended to show a deficit but now that the government actually isn't using social security surpluses to make the pretense that you can afford in the budget to cut taxes on the rich     , now they're baiting and switching. So it's basically part of the shell game and explaining that myth is partly what I tried to do in my book.

SHARMINI PERIES: And if the rich people don't have to contribute to the social security base, are they able to draw on it?

MICHAEL HUDSON: They will draw social security up to the given wage that they didn't pay social security on, which is up to $120,000 these days. So yes, they will get the little bit but all of the real wealth, the people that make more than $120,000, all that is completely exempt from the social security system. What they have done are the rich people who run the corporations give themselves golden parachutes.

And even for the companies that have engaged in massive financial fraud, the large banks, City Bank, Western Union -- all of these have golden parachutes. They still are getting enormous pensions for the rest of their lives. And they're talking as if, well, the pensions are in deficit, corporate pensions, but that's because the corporate pensions, for the leading officers, are quite different from the pensions to the blue-collar workers and the wage earners as a whole, so again, there's a whole kind of fictitious economic statistics that are used in the dictionary is mathy-ness(?). The idea that if you can put a number on something it's somehow is scientific and the number you put on is realistic when it really is the product of corporate accountants and lobbyists reclassifying income in a way that it doesn't appear to be income.

And somehow taking money out and giving it to the richest 5% and making it appear as if all this deficit is the problem of the 95%, that's blame the victim economics. And you could say that's the way that the economic accounts are being presented by congress to the American people is a blame the victim economics. >:( That it's your fault social security's going bankrupt and it's all a mythology of saying we should not treat retirement as a public obligation just as we should not treat healthcare as a public obligation. We should have the highest healthcare costs in the world so that out of your pay check, which is not increasing, you're going to have to pay more and more for FICA withholding for social security, more and more for healthcare for the pharmaceutical monopoly and the health insurance monopoly. More and more to use public services for transportation to get to work because the state is not funding that anymore because we've cut taxes on the rich and so we don't have the money to do it. And you're going to privatize the roads so now you're going to have to pay to use the road to drive to work if you don't have public transportation.

So you're turning the economy really into what used to be called feudalism. Except we don't have serfdom, people can live wherever they want, but they all have to pay to this new sort of hereditary financial real estate public enterprise class that is transforming the economy.

SHARMINI PERIES All right, Michael. Many, many, many things to learn from your great book, "J Is For Junk Economics: A Guide to Reality in the Age of Deception". Michael is actually on the road promoting the book. So if you have an opportunity to see him at one of the places he's going to be speaking you should check out his website, michaelhudson.com

   And so I thank you so much for joining us today, Michael. And, as most of you know, Michael Hudson is also a regular guest on The Real News Network and we'll be unpacking his book and some of the concepts in it on an ongoing basis. So please continue to stay tuned for those interviews.

   Thank you so much for joining us today, Michael.

MICHAEL HUDSON: Pleasure.

SHARMINI PERIES: And thank you for joining us on The Real News Network.

http://therealnews.com/t2/index.php?option=com_content&task=view&id=31&Itemid=74&jumival=18584


Posted by: AGelbert
« on: March 06, 2017, 08:28:15 pm »

 

March 6, 2017

High Frequency Trading in the Trump Era   

White-collar criminologist Bill Black sits down with the Real News to spell out how the ballooning HFT industry works exactly, and where it's headed under President Trump.


http://therealnews.com/t2/story:18589:High-Frequency-Trading-in-the-Trump-Era

+-Recent Topics

Global Warming is WITH US by AGelbert
Today at 02:37:11 pm

Wind Power by AGelbert
June 21, 2017, 10:01:29 pm

Electric Vehicles by AGelbert
June 21, 2017, 07:53:48 pm

Corruption in Government by AGelbert
June 20, 2017, 07:30:41 pm

The Big Picture of Renewable Energy Growth by AGelbert
June 20, 2017, 04:46:42 pm

Fossil Fuel Profits Getting Eaten Alive by Renewable Energy! by AGelbert
June 20, 2017, 02:52:28 pm

War Provocations and Peace Actions by AGelbert
June 19, 2017, 04:52:20 pm

Intelligence by AGelbert
June 18, 2017, 02:23:09 pm

Money by AGelbert
June 18, 2017, 01:35:04 pm

Corporate Fascist Corruption of Christianity by AGelbert
June 17, 2017, 06:52:42 pm

Free Web Hit Counter By CSS HTML Tutorial