Canadian banking haven myth exposed

Canadian banking haven myth exposed

"One of the reasons that Canadians (and international commentators, other finance ministers and global financial institutions) buy this Canadian banking fairy tale is the way the government accounts for the money borrowed to support the banks." The sorry spectacle of Conservat

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Get rid of your mortgage, loans, because interest rates set to rise

Get rid of your mortgage, loans, because interest rates set to rise

Get rid of your loans, guys and gals, because we are going into a high interest rate period. Very high. It will be the equivalent of going into the double digit interest rates we had in the 80s where many people threw their house keys at the bank and we had record numbers of ba

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E-cigarettes save lives, money

E-cigarettes save lives, money

"We know that cigarettes have thousands of chemicals in them and we know that they are killing us. They have been for over a hundred years. So now, the e-cig industry comes along with only one or two chemicals in their mixture and people are freaking out over these as well. Whe

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US inches closer to big bank charges

US inches closer to big bank charges

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Canada’s home sales top predictions; why a real estate crash is inevitable

Canada’s home sales top predictions; why a real estate crash is inevitable

“The assurance of relatively low borrowing costs has likely given home buyers confidence while rising home values have kept new listings at a healthy level. Stable employment has provided some assurance to owners and buyers alike.” Our website is back after many months of

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Comparing today’s recession/depression to the 1980 recession

Comparing today's recession/depression to the 1980 recession

"Much like today, Americans were concerned not only with high unemployment but increasing budget deficits in the early 1980s. A September 1983 Gallup poll found that three-fourths of the public agreed that the federal government's budget deficit was a great threat (42%) or some

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Why savers are getting screwed

Why savers are getting screwed

"Without the intervention of economic policymakers, interest rates would be naturally higher. That would increase the cost of borrowing for businesses and consumers, but there would be some offsetting economic benefits. Savers are getting screwed by the current monetary policy

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Geithner admits USA bankrupt to US Senate

Geithner admits USA bankrupt to US Senate

"Never in our history has Congress failed to increase the debt limit when necessary. Failure to raise the limit would precipitate a default by the United States. Default would effectively impose a significant and long-lasting tax on all Americans and all American businesses

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World economies on verge of currency revaluations to deal with debt

World economies on verge of currency revaluations to deal with debt

"It is well enough that people of the nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning." -- Henry Ford Basically what the world central banks are doing is increasing their money by devaluin

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Is Obama the next Mugabe of Zimbabwe?

Is Obama the next Mugabe of Zimbabwe?

"America, Britain, Japan, Germany, France, Sweden, Holland, Norway, Canada and Australia make up the Fishmongers Group and their meeting on Tuesday will deliberate on the state of the inclusive government, debt relief, public finance administration and the controversial economi

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US raiding foreign countries with dollars, not soldiers

US raiding foreign countries with dollars, not soldiers

""The United States is going to China and saying: we want you to commit economic suicide, just like Japan did. We want you to follow the same thing: we want you to revalue your currency, we want you to squeeze your companies, we want you to go bankrupt,” says Michael Hudson,

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FDIC wants your retirement cash to save banks: Bloomberg

FDIC wants your retirement cash to save banks: Bloomberg

“The FDIC is constantly looking at structures where we can get the greatest opportunity to tap into capital that we have not had the success reaching through previous disposition methods,” FDIC spokeswoman Michele Heller said in an e-mailed statement. “We welcome and work

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Content By: The Coming Depression Editorial Staff (dates cited below)
Copyright: include link to this article on top of reproduction if you use it.
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debt posters
The US budget deficit is expected to hit a record 1.4 trillion dollars in 2009, some 950 billion dollars greater than the shortfall recorded last year, the Congressional Budget Office said Wednesday.

Congress’s non-partisan financial watchdog said the forecast federal deficit for the fiscal year that ended in September was the highest shortfall — relative to the size of the economy — since 1945 (AFP, 2009).


Comment

Looking at this problem, there are two responsible, conservative solutions: either raise taxes enough to balance the budget, or slash the federal budget (including defense spending) and end our costly, wasteful projects like nation building the Middle East and other areas of the world (anyone ever know the founders said “no entangling alliances?).

We can not continue forever the deeply immoral and irresponsible Bush-area spending wild and reckless foreign adventures by borrowing the money for it or passing off the debt to someone else (our children and grand children). America has become a beggar nation, a welfare queen, living off of other people’s money and trading the future of his children for short-term fixes.


Story continued

In this as in so many other things, Obama has fully adopted the disastrous policies of his predecessor, demonstrating yet (not that it was necessary) corruption and collusion between the two major parties, which – despite their different mascots – are owned by the same corporate entities.

The deficit resulted from both declining revenues and increased spending, stemming mostly from aid to the financial system and fiscal stimulus to jolt the world’s largest economy from a prolonged recession, the CBO said.

Revenues in 2009 were almost 420 billion dollars or 17 percent below receipts chalked up last year, the lowest level in over 50 years, it said.
At the same time, outlays increased by over 530 billion dollars or 18 percent in 2009 to the highest level also in over half a century.

The federal deficit in 2008 was 459 billion dollars.
The deficit estimates were based on data from daily statements from the US Treasury and CBO projections.

Treasury officials said they would report the actual deficit in the middle of this month.
The White House projected in August that the 2009 fiscal budget deficit would reach 1.58 trillion dollars.

It also estimated a whopping 9.05-trillion-dollar deficit for the 2010-2019 period, a two-trillion-dollar increase from the February estimate made a month after President Barack Obama entered office and inherited a gaping deficit from his predecessor, George W. Bush.

The CBO said the federal government recorded a deficit of 31 billion dollars in September, compared with a surplus of 42 billion dollars in the same month last year.

Original article continues at AFP

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