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

Federal prosecutors are nearing criminal charges against some of the world’s biggest banks, according to lawyers briefed on the matter, a development that could produce the first guilty plea from a major bank in more than two decades. In doing so, prosecutors are confronting

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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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dinosaur federal worker

“You could always count on your increase,” said Danielle Swain of Manassas, an analyst for the foreign export service of the Agriculture Department who is nervous about the cut to her commuter-rail subsidy. “If you don’t get a bonus, this is all you get. They’re picking on the government because they assume we sit around and don’t do anything. Well, it’s not true.” — by Lisa Rein and Perry Bacon Jr.

President Obama on Monday announced a two-year pay freeze for most of the 1.9 million civilians who work for the federal government, as he tried to address concerns over a mushrooming deficit and placate Republicans who have targeted the workforce for big cuts.

“Getting this deficit under control is going to require some broad sacrifices, and that sacrifice must be shared by the employees of the federal government,” Obama said in a White House speech. He called federal workers “patriots who love their country” and said the cut is not just “a line item on a federal ledger.” But he said he is asking federal workers to sacrifice for the country as “they’ve always done.”

The president’s proposal comes just before a fiscal commission he appointed is scheduled to issue a final report Wednesday on how to staunch deficit spending. The panel’s leadership has recommended a three-year pay freeze for most federal workers. Source

paycheques compared usa public private 2010

The Real Deal

This “save” is nothing but a drop in the bucket. It’s a disgrace to the employees. It shows a lack of respect to the employees. It is symbolic only. A person who “serves” their country must personally and financially contribute to reducing the deficit? Why must one citizen be forced to contribute financially based solely on their employment choice?

A person who chose private employment doesn’t have to take a pay freeze. I think a persons pay should not be tied to whether the Government has a surplus or deficit. However, if it must be tied to the financial results of the Government, then in good times, you would expect the opposite. A huge pay increase. Indeed, it’s all about votes.

What about the financial market? Why doesn’t the government start taking away from the banks and financial institutions what they stole from the workers? These CEO’s and executives have ruined the middle class. People have lost their jobs, houses and lives, but these executives have made millions on behalf of the common workers well being. If you put a stop to the crony capitalism (greed) and you will put a stop to the down fall of our society and to the debt of north America and other nations. The middle class is what keeps our society going, not these greedy executives.

Canada in same boat

It can’t happen soon enough in Canada at all government levels. In Ottawa their municipal employees are the most over-paid, with the provincial following and the federal bringing up the rear so to speak. All are over-compensated when compared to individuals in the private sector who actually contribute positively to the nation’s GDP. Public employees are what’s called ‘overhead’ in any private company which means that they provide necessary but non-moneymaking services. This needs to be constantly monitored to ensure that it doesn’t grow too large

These austerity measures show us two things:

1) Hundreds of thousands of American families are going to have less money to spend for 2 years, which will damage the economy.

2) America must be in a financial crisis if they need to introduce “austerity measures” like Europe, which will erode investor confidence and damage the economy even further. If the US government is in such financial straits, it signals consumers to stop buying, businesses to stop spending, and foreign investors to stop investing.

Federal employees are among the hundreds of thousands of Americans who took on more mortgage than they could handle, and are fighting off foreclosure. Some of those employees were depending on their raises, and now they’re going to lose their homes.

All of this to potentially save $60 billion over 10 years (less than $20 per capita per year), during which time the government is expected to run a deficit of $9 trillion. It’s a drop in the bucket that will cost the American economy far more than $60 billion over that period, and could cost hundreds of employees their homes. And all of this to make a political statement?

Unlike Canada, where the ruling party must vote the way the Prime Minister tells them to, Congress is not obliged to go along with Obama’s plan. This plan will fail to make it through Congress, for all the right reasons, and Obama will look like an idiot. He should fire whoever gave him this advice.

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