Deliberately Destroying America – Obama’s ‘Mission Accomplished’?

By Alan Caruba

It has taken three and a half years into Barack Obama’s presidency for most Americans to realize that he has been deliberately destroying America by driving up the nation’s debt and deficit, reducing privately held wealth, forcing millions onto the public dole, undermining its moral structure, and weakening the nation’s reputation internationally..

His latest lie is that “the private sector is doing just fine”, but the numbers tell the whole story and one can find them on an excellent blog, Economic Collapse, that offers seventy examples:

— The official U.S. unemployment rate has been above eight percent (8%) for 40 months in a row. Unofficially, it is estimated to be closer to fifteen percent (15%).

— In 2007, about ten percent (10%) of all unemployed Americans had been out of work for 52 weeks or longer. Today that number is above thirty percent (30%).

— An astounding forty-nine percent (49%) of all Americans live in a home where at least one member is receiving government benefits.

— The middle class is shrinking. Ninety-five percent (95%) of the jobs lost during the current recession were middle class jobs.

— Instead of cutting spending to reduce debt, the Federal Reserve is “monetizing” much of the U.S. debt. It purchased “approximately sixty-one percent (61%) of all government debt issued by the U.S. Treasury in 2011.

— Perhaps the most frightening statistic cited was a survey that found that sixty-three percent (63%) of Americans “believe that the U.S. economic model is broken.”

It is not broken. The economic model that propelled America into a superpower would continue to provide prosperity if the nation’s “entitlement” programs were reformed, if the obscene government spending and production of regulations were reduced, if government housing finance entitles such as Fannie Mae and Freddie Mac were eliminated, if the federal government’s purchase of the nation’s land mass was ended, if environmental laws without any basis in science were struck from the books, and if government control over the exploration and extracting of its vast energy reserves was greatly reduced.

It’s a tall order and it would require cleaning out a Congress that has imposed unsustainable burdens, including the highest corporate income tax in the world, and a level of taxation that requires those still holding jobs to annually work 107 days to earn enough money to pay local, state, and federal taxes.

If you check out the Progressive Caucus website, you will find nearly seventy members of the House are members and there is one from the Senate, the Socialist Bernie Sanders. In the 1950s they would have correctly been identified as Communists.

When Liberals and liberalism became unpopular, they began using the term Progressives. They are the descendents of every Democrat that voted for the New Deal, the War on Poverty, the creation of Fannie Mae and Freddie Mac, and the creation of the Departments of Energy, Education, and the Environmental Protection Agency. These are the people who in the early years of the last century imposed the income tax and engineered the creation of the Federal Reserve, a banking cartel that controls the economy.

At this point most conservatives have heard of Saul Alinksy’s 1972 book, “Rules for Radicals”, a guide to bringing about the destruction of the nation’s capitalist economic system and replace it with the kind of government that Barack Obama has tried to impose with the help of the many Communists and liberals in Congress.

Lesser known is the roadmap spelled out in 1988 by Columbia University sociologists, Richard Andrew Cloward and his wife Frances Fox Piven, both members of the Democratic Socialists of America.

The “Cloward-Piven Strategy” advocated a “massive drive to recruit the poor onto the welfare rolls” in order to sabotage it and bring about “a political and financial crisis.” As it turned out, it was the collapse of the housing market that brought about the financial crisis they wanted, but following the Bush administration emergency bail-out of the banking system, the Obama administration with its Democrat-controlled Congress set about imposing historic debt through its $821 billion “stimulus.” Present debt exceeds the entire annual Gross Domestic Product.

It followed that with an unnecessary and wasteful bail-out of General Motors and Chrysler (instead of permitting a normal bankruptcy that would diminish the power of the unions that brought it about), and massive “investments” in failed solar and other alternative energy companies. The EPA was set free to try to impose regulations that would shut down a major portion of the nation’s producers of electricity.

Even though voters returned majority power to Republicans in the House of Representatives in 2010 the trail of destruction has continued and the bills they have passed to end our present financial troubles have been locked up in a Democrat-controlled Senate that has not passed a budget in the last three years.

We are now five months from an election to remove Obama from power and electing conservative lawmakers to office. It’s a start in restoring America to its former prosperity.

For more click here.

Obama Blames the Banks – Hypocrisy Run Wild

by Richard Butrick via Stonegate Institute  (h/t Leslie Burt)

Speaking from the White House on Feb. 9th, Obama, assuming the air of a headmaster of boarding school, wagged his finger and proceeded to upbraid the “abusive” banks for their “irresponsible” and “reckless” policy of duping hapless blacks and other minorities into buying homes they couldn’t afford.

Serious analysts of the mortgage/banking/financial meltdown of 2008 have come up with a Byzantium of alternative theories regarding the essential factors involved in the meltdown. One straight-faced theory even has it that the core problem was a faulty mathematical model to evaluate risk. It is not as far-fetched as it may at first seem. Top banks from Goldman Sacks to JP Morgan to Morgan Stanley had quant departments using the model of a Chinese mathematician by the name of David X. Li. His model was called “The Formula from Hell” by Forbes magazine and here is how an excellent an article in Wired magazine put it:

For five years, Li’s formula, known as a Gaussian copula function, looked like an unambiguously positive breakthrough, a piece of financial technology that allowed hugely complex risks to be modeled with more ease and accuracy than ever before. With his brilliant spark of mathematical legerdemain, Li made it possible for traders to sell vast quantities of new securities, expanding financial markets to unimaginable levels. His method was adopted by everybody from bond investors and Wall Street banks to ratings agencies and regulators. And it became so deeply entrenched—and was making people so much money—that warnings about its limitations were largely ignored.

The theories are all over the map. Some notable disparate ones include:

1. Greenspan: “The problem is not the lack of regulation, but unrealistic expectations about what regulators are able to anticipate and prevent.”

2. Krugman: “What ended the era of U.S. stability was the rise of “shadow banking”: institutions that carried out banking functions but operated without a safety net and with minimal regulation.”

He referred to this lack of controls as “malign neglect.”

3. Economist Joseph Stiglitz singled out (1) the repeal of the Glass-Steagall Act which was enacted after the Great Depression and which had separated commercial banks and investment banks. The repeal led the risk-taking culture of investment banking to dominate the more conservative commercial banking culture, in turn leading to increased levels of risk-taking and leverage during the boom period; (2) the sheer complexity of layers upon layers of debt obligations based on pools of mortgages. “With this complicated intertwining of bets of great magnitude, no one could be sure of the financial position of anyone else-or even of one’s own position. Not surprisingly, the credit markets froze.”

4. Economist Robert Shiller argued that speculative bubbles are fueled by “contagious optimism, seemingly impervious to facts, that often takes hold when prices are rising. Bubbles are primarily social phenomena; until we understand and address the psychology that fuels them, they’re going to keep forming.”

5. The Financial Crisis Inquiry Commission (FCIC) reported in January 2011 that: “The three credit rating agencies were key enablers of the financial meltdown. The mortgage-related securities at the heart of the crisis could not have been marketed and sold without their seal of approval. Investors relied on them, often blindly. In some cases, they were obligated to use them, or regulatory capital standards were hinged on them. This crisis could not have happened without the rating agencies. Their ratings helped the market soar and their downgrades through 2007 and 2008 wreaked havoc across markets and firms.” [Note while the FCIC’s position that credit ratings played a major role still stands, its position that Fannie and Freddie played only a minor role has been shot down by the recent SEC investigation.]

In summary, the theories single out (1) over reliance on regulation, (2) lack of regulation of the shadow banking system, (3) repeal of the Glass-Steagall Act, (4) the inherent nature of socio-economic forces, (5) faulty credit evaluation. In none of the theories are the bankers singled out as the evil malefactors who duped innocents into taking on mortgages they could ill afford.

But Obama, after exhaustive analysis, knows where to point the finger. Not only that, even though none of the analyses above raised the specter that the financial meltdown was the work of if evil malefactors, Obama not only knows it was banks fault he knows the evil bankers did it. The evil bankers deliberately duped hapless blacks and other minorities into taking on mortgages they could ill afford and now they must pay for their misdeeds.

Obama’s cosmology is eerily similar to the cosmology of the evil “trickster” common to the folklore many primitive societies. Things go wrong because of the tricksters among us. There is no question that the blame-game mentality is front and center in Obama’s thinking. His world is peopled with “bamboozlers” and people who “scam” the system.

It now turns out, however, according to a recent IBD article, that President William Jefferson Clinton had set up a little-known federal body made up of 10 regulatory agencies — the Interagency Task Force on Fair Lending — to force banks to lower their lending standards so that blacks and other minorities could “own” homes. The Task Force apparently threatened lenders either to ease credit for low-income buyers or face investigations for lending discrimination and suffer the related bad publicity. This Task Force also apparently threatened to deny banks expansion plans and access to Fannie Mae and Freddie Mac. And guess who was one of the principle operatives of this government shakedown racket?

According to the IBD article it was the Justice Department, along with HUD, which regulated Fannie and Freddie, that proved to be the most aggressive member of the fair-lending task force. Eric Holder, then acting as deputy AG, ordered lenders actually to “target” African-Americans for home mortgages they couldn’t otherwise afford. Obama, as a community organizer, brought law suits against banks to ease credit for home buyers. “In other words, the same two officials now leading the charge to punish “abusive” lenders had egged them on before the crisis.”

The intellectual conceit of overriding professional economic analysis with one’s own bogeyman theory is breathtaking. To proceed then to blame banks and call them evil for doing what Obama and his sidekick Holder blackmailed banks into doing is beyond the bounds of acceptability.

The Loons are Running the Asylum

By Dr. Ileana Johnson Paugh

We have always had crazy people, citizens lacking common sense, the misinformed, the ignorant, the purposeful deceptive, but we never used to put them in charge, until now.  We are turning into europameristan because we think, it is not happening yet in our own back yards, neighborhoods, or towns.

We shake our heads in disbelief, joke about it, talk about it, write about it, while we are losing ground every day to a minority fringe bent on destroying everything around us and installing their ideas of civilized society: anarchy, socialism, Marxism, fascism, and Islamism.

Small areas of the country that do not represent America elect politicians like Barbara Boxer who make damaging policy for the rest of the country. She said yesterday, “Climate deniers in this country are endangering humankind.” In reality, the global warming hoax group is purposefully trying to destroy our economy by imposing United Nations mandated taxes on the United States, taxes earmarked for third world dictatorships.

Boxer tried unsuccessfully to pass cap and trade last year after bullying Roy Spencer during his testimony on cap and trade. “She did not allow him to finish any sentence that she did not want to hear. She displayed no tact, class, or understanding of the scientific issues, making trite and embarrassing comments of a global warming cheerleader.”

We allow Occupiers to create chaos, filth, disease, and destruction in our cities in the name of democracy in action, freedom of speech, and political correctness. They want anarchy, chaos, drugs, unions, free trade, no borders, free food, free housing, free school, free cars, free gasoline, free day care, free clothes, free perennial vacations, and free health care, all paid for by the producing “evil capitalists.”

We allow mainstream media to guide and control everything in this country because they know best what is good for the rest of the United States: socialism and Marxism.

We permit the indoctrination of our children in schools into the leftist agenda of globalism, environmentalism, diversity, socialism, and communism.

We allow third world dictatorships at the United Nations to control our land, water, and energy use via UN Agenda 21 and carbon credit tax in the name of social justice necessitated by a faux man-made global warming.

The head master of a second grade school in the U.K. cuts off the heat to an entire primary school during the coldest day in December to assuage his environmental guilt over his carbon footprint. The temperatures dipped to 1 degree Celsius while students shivered and were unable to perform their tasks. Parents were furious that this man chose to “save the planet” at the expense of their children’s misery.

Al Gore, politicians, the rich Marxist advocates and communism-loving Hollywood fire up their jets or taxpayer provided jets to go on shopping sprees, vacations, and other leisurely activities with total disregard for pollution or their carbon footprint. Yet we are expected and forced to alter our life styles fundamentally in order to fit into their agenda of rolling back life to middle ages.

The globalists invented the measurement of carbon footprint and water footprint for the masses but the oligarchs in power are exempted from such life style changes. They can pollute away. Entire countries can stop their economic activities and it would barely nullify a few days of China’s polluting industries.

We allow the federal government to replace parents and parental responsibilities. Detroit schools want to remain open during the Christmas holidays with the stated purpose to offer three meals a day to students and food baskets to their families. We do have food stamp programs in place and food banks, we do not need to keep schools open at great taxpayer expense. It is absolute insanity!

We allow TSA to dehumanize and humiliate us at airports in the name of air travel safety, an idea developed by progressives to better control mass transit. If we refuse the highly intrusive scanners, total strangers who seem to enjoy their newfound power are eager to molest us during pat downs.

“Sen. Susan Collins on Wednesday blasted the Defense Department for classifying the Fort Hood massacre as workplace violence and suggested political correctness is being placed above the security of the nation’s Armed Forces at home.”

We allow voter fraud, political corruption, and squandering of our Treasury in the name of fairness, equity, social justice, and re-distribution of wealth. We are shamed and bullied into believing that protesting the corruption makes us bigots and racists.

We bailed out European banks that made irresponsible loans to irresponsible countries like Greece, Italy, Spain, and Portugal who spent lavishly on social programs while expecting the “dumb and ignorant” U.S. to be the military protector and policeman of the world.

Bernanke just acknowledged that the Fed “loaned” $7.7 trillion to banks in 2008. Congress had “no idea to whom these loans were made.” Bernanke claimed that he “saved the world from total catastrophe.”

We bailed out national and international banks that were “too big to fail” because they bundled bad loans with good ones on the forced direction of Freddie Mac and Fannie Mae. Christopher Dodd, Barney Frank, and Maxine Watters assured us that both institutions were solid. Acorn and the Democrats picketed the homes of bankers to shame them into giving out mortgages to those unqualified who could not pay back the loans. If bankers refused, they were “racists and bigots.”

We are bailing out EU countries now through the International Monetary Fund because this regime does not want socialism to fail before the 2012 elections. The beloved socialist pet of the Democrats and this administration is floundering once again.

We are allowing the destruction of the best healthcare in the world, making the U.S. into the socialist utopia in which thousands of people will die untreated because of rationing of care, disregard for human life, gross negligence, and government malpractice.

Only in an insane world would people believe that adding 30 million more patients to the health care pool would make medical care better.

Only in a utopian world makes sense to bankrupt a country in order to fund socialized health care that is a disaster anywhere else it has been tried or is currently used.

The sane majority is allowing the fringe minority to dictate how we live, eat, drink, travel, worship, and ultimately what and how we think.

Only a deliberately blind populace would commit cultural, religious, political, and economic suicide by allowing a Marxist minority to control 306 million people with political correctness and lawlessness.

The current regime has destroyed jobs, homes, investments, and health care, yet the President is still the only one who can save us? How many more radical activists can we afford to put on the judicial bench in the next four years? How many more progressives can we afford to put on the Supreme Court in the next presidential term?

Our President is criticizing the Internet as a job killer in banking and phone industries, trying to excoriate the economic sector for the lack of job creation under his watch. People understand that Congress and Obama’s policies have caused the severe economic downturn. There is no denying it. He should know that Internet activity accounts for 21 percent of GDP growth.

The class warfare intensifies with the tired rhetoric that the rich must pay their fair share in taxes. “T. Boone Pickens has paid $665 million in income taxes since age 70.”  Forty-seven percent of the population does not pay any federal taxes yet receive earned income tax credit. How much more something for nothing should they get?

If you do not own stock in a corporation, why do you care how much the stockholders decide to pay their “fat cats?” They are not responsible for your financial problems. You may have made poor choices in life. You may have chosen to drop out of school, or you may have chosen unwisely education in fields that are not employable. It is not the corporate world’s fault for your unlucky choices. Politicians are at fault because they made the laws, funded them, and accepted campaign contributions from corporations.

People are weary of the tired out excuse that Obama inherited everything from Bush. George Bush’s economic policies set a record of fifty plus months of job creation. Bush asked Congress 17 times, starting in 2001, to stop Fannie Mae and Freddie Mac because it was financially risky for the U.S. economy.

On January 3, 2007 the Democrats took over the Senate and Congress. On that day, the Dow Jones Industrial Average closed at 12,621.77, the GDP growth was at 3.5 percent, and the unemployment rate was 4.5 percent. Barney Frank took over the House Financial Services Committee and Chris Dodd took over the Senate Banking Committee. Fifteen months later we had an economic meltdown in the Banking and Financial Services.

Democrats controlled the budget process for 2008, 2009, 2010, 2011 and they still have not passed a budget. Nancy Pelosi and Harry Reid bypassed George Bush entirely, passing continuing resolutions to keep government running until Obama took office. In 2009 they passed a massive omnibus spending bill to complete the budget.

“The deficit Democrats did inherit was the 2007 deficit, the last of the Republican budgets, the lowest deficit in five years, and the fourth straight decline in deficit spending.” Since Obama was an Illinois Senator, he should say, “I inherited a deficit that I voted for and then I voted to expand that deficit four times since my inauguration, to the highest level in U.S. history.”

There is organized and well-planned chaos coming from all directions at unrelenting speed. I am not sure how much longer this country can survive at this rate of insanity. We have become a threadbare carpet held together by very thin strings, threatening to break at any moment if we do not handle it gently. The sane majority must prevail.

Dr. Ileana Johnson Paugh is a freelance writer (Canada Free Press, Romanian Conservative), author, radio commentator, and speaker. Her book, “Echoes of Communism, is available at Amazon in paperback and Kindle. Short essays describe health care, education, poverty, religion, social engineering, and confiscation of property. Visit her website, ileanajohnson.com.