Saturday, July 30, 2016

A Return to Selective Immigration Policies

I wrote recently that higher median intelligence is a good predictor of higher degrees of civil order and democracy, rule of law, higher levels of education, higher levels of economic activity, and more wealth and happiness. The converse is true. Lower intelligence populations have disorderly societies, crime, poor achieving economies, poverty, less democracy and unhappiness.

Remember, only Northern Europeans (and descendants) and East Asians (and descendants) have median IQs of 100 or more. ALL THE REST are mostly in the 80s, call it 85 for an average. It doesn't sound like much, but 15 IQ points is the difference between advanced civilization and potential collapse. Just look at the social and economic conditions of all the countries shaded red or yellow on the map below.  It's because low IQ populations have very little logic, low levels of understanding, little comprehension of cause and effect of their behavior and low impulse control. Here's a map of the world showing estimated IQs per country. Click map for a huge image.


The yellow or red shaded countries in Central America and Caribbean have the lowest median IQs in that region and nearly the lowest in the world. They also have some of the highest murder rates in the world. The Middle East and Africa, with very low median IQs, are generally lands where tyranny, murder, war and poverty flourish.

In recent years, the Obama administration has been targeting mass, non-selective immigration from the poorest countries in Central America and the Middle East such as El Salvador, Honduras, Nicaragua and Syria where median IQs range from 79 to 81; on par with some of the lowest in the world. All these low-IQ countries have very high murder rates, high crime, high poverty, war and/or tyranny. Obama has literally been targeting mass, non-selective immigration from populations that are the WORSE OF THE WORSE in terms of cognitive ability. He has also admitted 100s of thousands of Middle East Muslims in recent years. The (vast) majority of these people have little to offer our country in terms of skills and a cultural heritage that is fundamentally incompatible with liberal Democracy. Look at Europe to see what I mean.

What Hillary/Obama Democrats want to do is turn America into a 3rd World hell hole so they can more easily manipulate these voters and remain in power to further damage this country and our heritage.

A Return to Sensible Immigration Policies


The history of the US immigration is mass migration from the highest IQ countries in Europe: Ireland, Germany and England. This has been a huge success. We shouldn't ruin that success with non-selective mass immigration from poor, low IQ countries. It creates a clash of civilization that we are seeing in Europe with mass immigration of Muslims from the Middle East.

Instead, the US should prefer SELECTIVE immigration from countries that have the highest median IQs, ie., Europe or E. Asia. But SELECTIVE immigration from any country can work for us. Our country should generally approve immigration for those who have demonstrated job skills, academic credentials, English language skills or those who have distinguished themselves in business, academics, the Arts or even athletics. In other words, we need immigrants who have something to offer our country.  It is our right to do so. As Donald Trump says, we need an immigration policy that puts America first.

Thursday, July 21, 2016

Black Officer Exposes Black Lives Matter Hypocrisy

From Officer Jay Stalien posted on Facebook:   I have come to realize something that is still hard for me to understand to this day. The following may be a shock to some coming from an African American, but the mere fact that it may be shocking to some is prima facie evidence of the sad state of affairs that we are in as Humans.
I used to be so torn inside growing up. Here I am, a young African-American born and raised in Brooklyn, NY wanting to be a cop. I watched and lived through the crime that took place in the hood. My own black people killing others over nothing. Crack heads and heroin addicts lined the lobby of my building as I shuffled around them to make my way to our 1 bedroom apartment with 6 of us living inside. I used to be woken up in the middle of the night by the sound of gun fire, only to look outside and see that it was 2 African Americans shooting at each other.

It never sat right with me. I wanted to help my community and stop watching the blood of African Americans spilled on the street at the hands of a fellow black man. I became a cop because black lives in my community, along with ALL lives, mattered to me, and wanted to help stop the bloodshed.

As time went by in my law enforcement career, I quickly began to realize something. I remember the countless times I stood 2 inches from a young black man, around my age, laying on his back, gasping for air as blood filled his lungs. I remember them bleeding profusely with the unforgettable smell of deoxygenated dark red blood in the air, as it leaked from the bullet holes in his body on to the hot sidewalk on a summer day. I remember the countless family members who attacked me, spit on me, cursed me out, as I put up crime scene tape to cordon off the crime scene, yelling and screaming out of pain and anger at the sight of their loved ones taking their last breath. I never took it personally, I knew they were hurting. I remember the countless times I had to order new uniforms, because the ones I had on, were bloody from the blood of another black victim…of black on black crime.

I remember the countless times I got back in my patrol car, distraught after having watched another black male die in front me, having to start my preliminary report something like this: Suspect- Black/ Male, Victim-Black /Male. I remember the countless times I canvassed the area afterwards, and asked everyone “did you see who did it”, and the popular response from the very same family members was always, “Fuck the Police, I ain't no snitch, Im gonna take care of this myself". This happened every single time, every single homicide, black on black, and then my realization became clearer.

I woke up every morning, put my freshly pressed uniform on, shined my badge, functioned checked my weapon, kissed my wife and kid, and waited for my wife to say the same thing she always does before I leave, “Make sure you come back home to us”. I always replied, “I will”, but the truth was I was never sure if I would. I almost lost my life on this job, and every call, every stop, every moment that I had this uniform on, was another possibility for me to almost lose my life again. I was a target in the very community I swore to protect, the very community I wanted to help. As a matter of fact, they hated my very presence. They called me “Uncle Tom”, and “wanna be white boy”, and I couldn’t understand why. My own fellow black men and women attacking me, wishing for my death, wishing for the death of my family. I was so confused, so torn, I couldn’t understand why my own black people would turn against me, when every time they called …I was there. Every time someone died….I was there. Every time they were going through one of the worst moments in their lives…I was there. So why was I the enemy? I dove deep into that question…Why was I the enemy? Then my realization became clearer.

I spoke to members of the community and listened to some of the complaints as to why they hated cops. I then did research on the facts. I also presented facts to these members of the community, and listened to their complaints in response. This is what I learned:

Complaint: Police always targeting us, they always messing with the black man.

Fact: A city where the majority of citizens are black (Baltimore for example) …will ALWAYS have a higher rate of black people getting arrested, it will ALWAYS have a higher rate of blacks getting stopped, and will ALWAYS have a higher rate of blacks getting killed, and the reason why is because a city with those characteristics will ALWAYS have a higher rate of blacks committing crime. The statistics will follow the same trend for Asians if you go to China, for Hispanics if you go to Puerto Rico, for whites if you go to Russia, and the list goes on. It’s called Demographics

Complaint: More black people get arrested than white boys.

Fact: Black People commit a grossly disproportionate amount of crime. Data from the FBI shows that Nationwide, Blacks committed 5,173 homicides in 2014, whites committed 4,367. Chicago’s death toll is almost equal to that of both wars in Iraq and Afghanistan, combined. Chicago’s death toll from 2001–November, 26 2015 stands at 7,401. The combined total deaths during Operation Iraqi Freedom (2003-2015: 4,815) and Operation Enduring Freedom/Afghanistan (2001-2015: 3,506), total 8,321.

Complaint: Blacks are the only ones getting killed by police, or they are killed more.

Fact: As of July 2016, the breakdown of the number of US Citizens killed by Police this year is, 238 White people killed, 123 Black people killed, 79 Hispanics, 69 other/or unknown race.

Fact: Black people kill more other blacks than Police do, and there are only protest and outrage when a cop kills a black man. University of Toledo criminologist Dr. Richard R. Johnson examined the latest crime data from the FBI’s Supplementary Homicide Reports and Centers for Disease Control and found that an average of 4,472 black men were killed by other black men annually between Jan. 1, 2009, and Dec. 31, 2012. Professor Johnson’s research further concluded that 112 black men died from both justified and unjustified police-involved killings annually during this same period.

Complaint: Well we already doing a good job of killing ourselves, we don’t need the Police to do it. Besides they should know better.

The more I listened, the more I realized. The more I researched, the more I realized. I would ask questions, and would only get emotional responses & inferences based on no facts at all. The more killing I saw, the more tragedy, the more savagery, the more violence, the more loss of life of a black man at the hands of another black man….the more I realized.

I haven’t slept well in the past few nights. Heartbreak weighs me down, rage flows through my veins, and tears fills my eyes. I watched my fellow officers assassinated on live television, and the images of them laying on the ground are seared into my brain forever. I couldn’t help but wonder if it had been me, a black man, a black cop, on TV, assassinated, laying on the ground dead,..would my friends and family still think black lives mattered? Would my life have mattered? Would they make t-shirts in remembrance of me? Would they go on tv and protest violence? Would they even make a Facebook post, or share a post in reference to my death?

All of my realizations came to this conclusion. Black Lives do not matter to most black people. Only the lives that make the national news matter to them. Only the lives that are taken at the hands of cops or white people, matter. The other thousands of lives lost, the other black souls that I along with every cop, have seen taken at the hands of other blacks, do not matter.

"Black Lives Matter" Based on Lies

According to the CDC, there are nearly 2 times more whites shot and killed during a "Legal Intervention" than blacks. Whites are 5 times more numerous than blacks in the population, but blacks are committing violent crimes at 7 times the rate of whites. Therefore police are likely to kill whites at MORE THAN 2 times the rate of blacks when you take into account the shear number of police encounters in violent situations and demographics.

The CDC database counts all violent deaths, including those as a result of “legal intervention,” which is defined as “injuries inflicted by the police or other law-enforcing agents, including military on duty, in the course of arresting or attempting to arrest lawbreakers, suppressing disturbances, maintaining order, and other legal actions.”

According to the CDC and for fatal firearm shootings, from 1999 through 2014, there were 3,412 white (non-Hispanic) people shot and killed during legal interventions, 1855 black (non-Hispanic), 1297 Hispanics, 137 Asians and 121 native American Indians. The total fatalities by police during that period totals 6822.

Hands Up Don't Shoot Is Bullshit

Michael Brown attacked Darren Wilson in his patrol car by hitting him then tried to gain control of the officer's gun. Once he relented, Wilson exited his car and ordered Brown to stop. The grand jury said that Michael Brown might have had his hands up but the forensic evidence supports the officer's claim that Michael was in fact "charging" at Officer Wilson at that moment.  

So, there you have it. 
  • Cops shoot blacks LESS OFTEN than white people during a legal intervention based on a large data set by the CDC. 
  • Michael Brown was a thug and he attacked an armed police officer TWICE in one encounter. Brown was in a murderous rage and was shot fair and square by an officer protecting himself. 
Black lives DON'T matter to black people, as blacks commit the majority of violent murders in this country, and 90% of those murders are against other blacks. Black lives only matter when the national press is involved.

Monday, July 18, 2016

What HAVEN'T Black People Ruined?

All of the violence coming out of the black community reminds me of the fact that the blacks ruin everything everywhere and all the time. Think of the wreckage of black lives in Ferguson and Baltimore due to emotional, fact-free violence which is just the latest of wreckage from the idiocy that is "black America." Sorry, but the black community in the US is a wreck of drugs, violence, gangs, prostitution, murder, stupidity & ignorance, illogic, immaturity, poverty, incarcerated men, fatherless children, STDs and HIV. Most other black majority areas in the world have the same situation with very few exceptions (none?).

All of the most dangerous cities in the US are the ones with large black populations. Black men, at 6% of the population commit 56% of gun murders and 59% of felony murders. Some 11% of black men are in jail right now. The published black high school graduation rate of 54% is exaggerated because no statistician is accounting for the large numbers of young black men/boys in jail. And 37% of those kids who drop-out are in jail.  $21 trillion has been spent on income support and benefits mainly for blacks since Johnson's Great Society, but poverty has increased! Despite all that money, one can easily make an argument that the Great Society has ushered-in a black cultural collapse.

The black "community" is a miasma of crime yet they disrespect and hate the police. The black community is most in need of police protection but is the most hostile to and uncooperative with police. They don't respect any authority figure -- black or white. And don't put a black person on a jury! They have little logic and believe really stupid things about police. Black jurors often don't want to convict black criminals.

Every housing project built to "help" the black community has been immediately wrecked and ruined. Most of them are now condemned or torn down. All of the well-meaning white men's tax dollars have been flushed down the toilet. What's left of inner cities are disasters and basically uninhabitable except for the most desperate or impoverished. And we're still spending $1 Trillion per year on programs primarily directed at these people. It's not working and black poverty is higher than ever.  It's because these programs have ruined black families and single parent households are much poorer than households with two parents. 

Black people and especially black men remain a huge burden to this country.

And it's not just the US.

Brazil, with a majority black and black/mix ethnicity, has a murder rate some 6 times that in the US. Brazil had 50,000 murders in one recent year (compared to about 15,000 in the US).  The Brazil murder total is approximately the entire US death toll from the 10 year long Viet Nam war. Why? Because black people caused it. Crime is also sky-high in most Latino and basically all black nations.

Conditions in Africa range from very poor to catastrophically bad. Poverty, dysfunction, tyranny, crime, murder, occasional genocides are very common in Africa. The same can be said of places like Haiti and Jamaica. There is little advanced civilization in evidence in most parts of Africa, Caribbean or US black populations. That isn't to say that they are bad people. But they have populations with the lowest cognitive ability (IQ) in the world. Some parts of Africa have median IQs estimated in the 60s, 70s and low 80s.

Low Median Intelligence Causes Disorderly, Impoverished and Miserable Populations


Only Northern Europeans and East Asian populations (and their descendants) have median IQs of 100 or more. All the rest of the world is lower -- averaging in the 80s -- including blacks and Hispanics.  High median IQs easily explains the success of the US, Canada, Australia and Northern Europe. White English-speakers invented political and economic freedom and have created the most successful, prosperous and orderly societies the world has ever seen.  East Asians (and descendants) have created great cultures as well.

But black populations here and in Africa have the lowest median IQs in the entire world. And not surprisingly, black communities are a disaster of crime, ignorance, disorder, dysfunction, poverty and misery. Conditions in most parts of Africa range from dreadful to "medieval" and even "prehistoric." Most African "cultures" here and there are in total cultural collapse. In the US, there is little logic, little intelligence, little impulse control in this low intelligence population. The average black adult has a much lower intellectual (and emotional) maturity corresponding to their lower median IQ of 85. It's very obvious, but you are forbidden to say publicly any of this.

Black make up 13% of the US population and represent a huge burden to the country. Not just this country, but to anyplace where they are a significant minority or majority.

White majorities will disappear in 40 years in the US and the US will see lower per-capita GDP, higher crime and a predominance of populist politicians that will bring the end to the greatest country on earth. It's happening very rapidly under Obama, our token black president. Him and every other black leader in the US would lead their country to 3rd world status. 

The good news for quite a few US blacks that are responsible and reasonable (about 1/2 of them?) is that they can escape majority black communities and live among much more peaceful white and/or Hispanic communities. But the trainwreck of the black culture is not far away and can still strike out and ruin things even for those folks and everyone else. That's why if a few blacks move into your neighborhood, it's almost certain that crime will go up ---not from your neighbors -- but from their unsavory "friends"and associates. The black trainwreck affects even the good black folks.  The bottom 25% of a population can ruin an entire population and that's what we're seeing.

Friday, July 8, 2016

America's March to 3rd World Status, Then Collapse

The US is now rapidly following places like Argentina and Venezuela in it's descent into 3rd world status.  I gave warning that the US was becoming Venezuela in March 2013 in US Becoming Venezuela; Obama is Chavez-lite. What I wrote remains even more valid now.

Just this week, Hillary received a "pardon" from her crony buddies that clearly exposed the cozy cult of elites who are immune from the law, prosecution and accountability. The absence of accountability is particularly important for our current elites given that everything they have done in the past 7 years or more has been a complete and utter failure. Not one success. It's been all failures and flops and then all lies to cover them up.  All lies, all the time.

Hillary's entire intent of her off-the-record and insecure personal email "arrangement" was all about avoiding any record of her hustling for political contributions to her slush fund. She's sold access to anyone with money, including foreign enemies, all for her personal enrichment to the tune of $100 million or more. It's all about "pay to play." She completely failed as Secretary of State because her only intent was to use her office for her financial gain. She doesn't give a shit about anyone but her. She's a total disaster for this country. And we're told that she is the most qualified candidate ever by the most incompetent President ever.

The lesson is that law and order is now bought and paid-for if you are one of the "connected" or "privileged ones." Never mind that General Petraeus was prosecuted vigorously for his pillow talk and supposedly endangering national security. (I guess he was Republican?)  The little guy goes to jail for a marijuana roach in his pocket, but thieving, lying Hillary, who has enriched herself immensely by using her office for her own benefit, is allowed to break the law and endanger the security of the country, and faces no consequences or accountability. Hillary is the equivalent to Christina de Kirchner, who was allowed to do huge damage to Argentina while enriching herself immensely.  Law and order under Obama is largely gone (except for repeated slap-downs by the Supreme Court) and is replaced by propaganda, crony connections and manipulations for the "elite" and "connected." Obama is Chavez-lite and Hillary is De Kirchner.

The key thing about the march to 3rd world, is when politicians will say or do anything to stay in power and don't give a shit about the good of their country. This is made worse when the media is in bed with these very people and act as their propaganda apparatus to "cover up" the truth. Obama has never given a damn about the good of the country. His election wasn't about the good of the country, only to "tick off boxes"to promote the Left's socialist agenda. We had to have a "black president"! Tick! Never mind that the candidate was utterly unqualified and un-vetted to the point of absurdity. Now we are told that we have to tick the box "Woman President" despite Hillary's self-serving behavior and a record of perfect failure. Both of these people have failed at EVERYTHING; both foreign and domestic. The entire Left is unfit to govern at all.

This past week was very instructive in many ways. Just think about what happened. Attorney General Lynch had a hush-hush meeting with Bill Clinton in private, shooing away reporters and blacking out any coverage, probably with death threats.  So, here's the nation's top lawyer violating all the rules of litigation, good sense and the intent of the law and meets with the party being investigated to arrange a cozy little deal.  I heard that Secret Service agents were livid. Only a local reporter brought this meeting to light.

A few days later, FBI director Comey lists all of her outrageous violations but concludes that it wasn't a good case for a prosecutor. Because Lynch's position was totally compromised by her outrageous and truly stupid behavior, Comey was given the "right" to decide whether to prosecute or not -- which isn't his job! It's Lynch's!

During Comey's testimony to Congress, privileged Hillary was on Air Force One, enjoying all the wonderful spoils paid for by hard-working Americans, on her way to a campaign event where Obama proclaimed that Hillary was the most qualified and deserving candidate ever; maybe better than George Washington.  Oh how far we've fallen. Our country's leaders once were the most spiritually and intellectually enlightened people on earth. Now we have hucksters, grifters and parasites.

But that's not all.

Then, Obama once again starting flapping his lips about yet another white police officer's encounter with a black suspect that ended in a shooting of the black guy.  Naturally Obama sides with the black guy and spouts off about police violence without knowing anything about the case.  Does he EVER know the specifics before making a fool of himself??  (and again the "media" protects him.)   This inflamed an already inflamed situation and shooting sprees broke out in Dallas, with irate blacks killing 5 innocent WHITE police officers. Similar things happened in other cities.

Obama had already started a war on police with irresponsible statements in previous cases. That resulted in police pulling back and allowed huge surges of black (on black) violence increasing dramatically in Ferguson, Baltimore and other places. Because of Obama's irresponsibility and stupidity, many blacks have died. Obama has now started a race war and this has caused both black and white people to die.   Worse. President. Ever.

The Race Toward 3rd World Status


The key takeaway is that we've reached a point where the politicians care not one bit about the good of the country and are only focused on their own benefits and agenda of personal gain. This is what happens in dramatically collapsed countries like Venezuela and Argentina.

Obama and Hillary and most others have done nothing to fix any problem in this country, and have only created more of them.  It's especially sad when nearly everything the Federal government is doing is broken and unfixed. We're headed headlong into another financial crisis in the next few months as nothing was really fixed in 2009, especially in Europe (even worse than the US). Our nation's finances are in worse shape than ever. Obama has doubled our national debt to $19 Trillion with nothing to show for it.  All that money was pissed away.  Central bank emergency measures remain in place 8 years after the last emergency. Obama's government crows like an idiot how the economy is so good and how he saved the world. The truth is we're well and truly near the end of a very long charade.

Zero interest rates are destroying Capitalism itself and any hope for the future. Insane academicians at central bankers all around the world are running rampant destroying savers, pensioners, pension funds, insurance companies and capitalism itself. And it appears that they created a new mandate to support the stock and bond market to protect elites!!  Bumbling Obama destroyed our health insurance marketplace and caused an extremely damaging price spiral. College tuition is being inflated at 3 times the rate of inflation by government loans/guarantees. Never mind that the next generation is completely screwed. Nothing is fixed. Already 14% of graduates are officially in default on their debts with little hope and even less money. Some 43% of debtors are not repaying their loans (see the next blog entry). No, the job market isn't good. It's crap!  The big banks are now basically nationalized and are illegal sources of funds for the government.  Nothing is done. The robbery and damage continues. Politicians love the Central Bankers because they are "covering up" for the failure of politicians to do or fix anything. And I'll bet big bucks that Janet Yellen is a proud Democrat.

In the next crisis, these insane and destructive central bankers will start wholesale money printing to buy (monetize) government debt as the economy fails and tax revenues collapse. The final collapse will be an inflationary collapse like we're seeing in Venezuela!!  The Federal Reserve should have already been reformed or eliminated by now to prevent this. But again, nothing is done.  Oh, how far we've fallen.

Obama and the Left have started a class war, a war on business, a war on police and a race war. They want to promote dissent & conflict to justify "emergency" measures then "emergency powers." We're already very close to financial and social collapse. Sounds like Chavez and Maduro to me.  You watch.

Other observations and evidence of our descent into 3rd world status:
  • Law and order no longer exists in this country whether you're talking about immigration law abuse, or even the normal function of our Constitutional government. I'm referring to Obama's refusal to work with Congress, the people's elected representatives, is totally unconstitutional!  And our President is pledged to uphold the Constitution!  He's taken an oath to swear this!
  • We've learned that you're now protected if you're one of the connected "elites" as easily demonstrated by Hillary's abuse of office and abuse of our national security.  The media is complicit in a cover-up of this situation. Sounds like the Politburo in the old USSR. Because it is!
  • The Left is control of the media outlets to the extent that it is clearly propagandistic. Truth is hidden. Real journalism is dead. It's sad because Democracy depends on a robust and independent media. Instead, we're well on the road to tyranny.
  • Leftists control college curricula and are indoctrinating our impressionable young people into Leftist principles. It's paid off as large numbers of millenials support Socialism and Bernie Sanders. It shows how ignorant our graduates are.  They have never been taught how Socialism destroys societies.  Journalism schools are apparently teaching nothing but Leftism judging by the bias of our media outlets.
  • Skyrocketing debt is direct threat to our republic. It's even worse then it looks due to the ongoing entitlement demographic crisis
  • Meanwhile, the population is being kept distracted by iPhones and they are being subsequently manipulated by Google and Facebook--always toward The Left of course.
  • Ever bigger and wasteful & counterproductive govt. is the rule, despite the fact that everything related to government function is failing and/or wasteful and/or counterproductive.
  • The prosperous are falsely attacked of 'not paying their fair share" but it's a total lie. The top 40% is paying nearly ALL taxes.  But prosperous people must be vilified to "extract" and "confiscate" more of their money. Think Chavez once again. The failing government needs more and more money--other people's money.  All to redistribute to the most unworthy people to buy votes.
  • Moves to disarm the population leaving only the elites with gun protection. Think Venezuela right now!
  • Vilifying prosperous people even though wealthy people make the right choices, do the right things. All to extract or confiscate money to redistribute to unworthy people who do the wrong things, make all the wrong choices. It's really about buying votes.
  • Open borders is a long term ploy to indiscriminately allow large numbers of the most unsophisticated and poorly-educated immigrants from the poorest, most violent countries in Central America and make them "grateful" for the Leftist party and vote that way.  It's all about buying votes. It's an outrageous scam and it's being covered-up by MSM.
  • The Left not only destroys societies but destroys private markets like the government takeover of the US health insurance market (Obamacare). Refusing to change it even though it has only helped 2% while the remaining 98% suffer. Media covers-up the disaster.
  • Income inequality is rising, poverty at new highs despite our supposed "recovery"and all the handouts.  
  • Politicians and the government are bought and paid-for by various interests.  There's a unholy alliance between Big government and Big Business. This results in favored cartels including the Military-Industrial complex,  the healthcare insurers, drug companies and the "saved" big banks. It's all about money. The good of the country is not a primary concern.
Crisis is coming to our country and world and it's being brought to you by failed politicians and horrible central bankers. It's "baked-in." Crises have already enveloped many countries in Latin America, Africa, and the Middle East. Crisis always starts at the periphery and works toward the core. Next will be Europe and Russia. The Brexit vote is signaling EU political and financial collapse there in the months ahead. China is drowning in bad debts--- debts taken out to literally "save the world" in 2009 until 2014. Massive devaluations in China will reverberate around the world. Banking crises in Europe will bring back financial crisis conditions soon to the entire world. I don't see a way out as everything is so broken.

This may very well happen before the November election. It's entirely probable that a full-fledged crisis is so scary that only Mr. Trump is seen as strong enough to face it.

Thursday, June 16, 2016

The Student Loan Racket In Action

The Atlanta Journal Constitution recently reported that 43% of student loans are not being repaid. But, despite this, the Federal Government keeps making (or guaranteeing) more and more of them. Total student loans outstanding has quadrupled in a decade to over $1.2 Trillion.  And our wonderful and wise government is making even more of them at very low interest rates!  College loans are one of the few and largest "assets" of the US government. But default's are rising fast. What's going on here?

Congress knows there is huge problem and refusing to do anything about it. Their plan is to eventually bail-out these "students" and put $100s of billions of debt onto the taxpayers shoulders!  They don't care!  Trump is right, the system is rotten and people in Government are very, very stupid.

Student loans surged especially after 2009.  The government is providing these loans as a welfare program to placate young people where there are few jobs or other opportunities available for them. (There are few jobs for them because of the destruction caused by the Government!!)

It's a huge racket for schools in general and for-profit schools in particular. All of the Federal money flooding their way is enabling even more lobbying efforts to keep the money coming!  But "students" are racking up debt that much will never be repaid -- witness that 43% are not being paid now and outright defaults are north of 13%..

College Tuition Money Soaring Thanks to Federal Government
The result has been that government and government-backed money are inflating college tuition (just like government spending is inflating medical and housing costs). College is now un-affordable for this and the next generation without huge expenditures or huge debt.

College Tuition Inflation Caused By US Government Is Astonishing
Now, 43% of Loans Are Not Being Paid back...and probably never will.


Observing The College Tuition Racket First Hand


I live on an urban block with Condos and apartments about a 1/2 mile away from an Art Institute school.  Art Institute rents nearby apartments and re-leases them to their students so that they can walk to school.  I often see the students walk to and from school.  The vast majority of them are black and many are obviously gay.

Here's what is going on. These kids are getting students loans either from the Federal Government (most likely) or from other institutions whose loans are "guaranteed" by the Feds.

The problem is that very few of these kids will get jobs even if they finish. If they get jobs, it's unlikely that they will earn enough to live AND pay back their loans. Many won't finish at all. Bottom line: most of these loans won't be paid back. Stats support this.

With all the defaults coming in this loan category, you can be confident that taxpayers will be on the hook when Congress bails out these students at taxpayer's expense. But Congress is CAUSING this problem and the plan all along is to put the burden on US taxpayers.   

The interesting thing is that black students of primarily black schools are leading the list of schools where students are failing to ever repay even a single $1 of their loans.

Black Colleges Lead The List of Institutions where Not Even $1 of Loans Are Repaid
Black Colleges Are Where Most Loans Are Not Being Repaid

Tuesday, May 17, 2016

Socialism is the Immoral System--Not Capitalism

From C. Bradley Thomson from his 1993 article via Zero Hedge. My comments in brackets:

"Throughout history there have been two basic forms of social organization: collectivism and individualism. In the twentieth-century collectivism has taken many forms: socialism, fascism, Nazism, welfare-statism and communism are its more notable variations. The only social system commensurate with individualism is laissez-faire capitalism.

The extraordinary level of material prosperity achieved by the capitalist system over the course of the last two-hundred years is a matter of historical record. But very few people are willing to defend capitalism as morally uplifting.

It is fashionable among college professors, journalists, and politicians these days to sneer at the free-enterprise system. They tell us that capitalism is base, callous, exploitative, dehumanizing, alienating, and ultimately enslaving.

The intellectuals’ mantra runs something like this: In theory socialism is the morally superior social system despite its dismal record of failure in the real world. Capitalism, by contrast, is a morally bankrupt system despite the extraordinary prosperity it has created. In other words, capitalism at best, can only be defended on pragmatic grounds. We tolerate it because it works.

Under socialism a ruling class of intellectuals, bureaucrats and social planners decide what people want or what is good for society and then use the coercive power of the State to regulate, tax, and redistribute the wealth of those who work for a living. In other words, socialism is a form of legalized theft.

The morality of socialism can be summed-up in two words: envy and self-sacrifice. Envy is the desire to not only possess another’s wealth but also the desire to see another’s wealth lowered to the level of one’s own. Socialism’s teaching on self-sacrifice was nicely summarized by two of its greatest defenders, Hermann Goering and Benito Mussolini. The highest principle of Nazism (National Socialism), said Goering, is: “Common good comes before private good.” Fascism, said Mussolini, is “a life in which the individual, through the sacrifice of his own private interests… realizes that completely spiritual existence in which his value as a man lies.”

Socialism is the social system which institutionalizes envy and self-sacrifice: It is the social system which uses compulsion [Government is force] and the organized violence of the State to expropriate wealth from the producer class for its redistribution to the parasitical class.

Despite the intellectuals’ psychotic hatred of capitalism, it is the only moral and just social system.

Capitalism is the only moral system because it requires human beings to deal with one another as traders — that is, as free moral agents trading and selling goods and services on the basis of mutual consent.

Capitalism is the only just system because the sole criterion that determines the value of a thing exchanged is the free, voluntary, universal judgment of the consumer. Coercion and fraud are anathema to the free-market system.

It is both moral and just because the degree to which man rises or falls in society is determined by the degree to which he uses his mind [explains why US was great bastion of Capitalism as US was settled with mostly higher IQ European immigrants than most of the world.]

Capitalism is the only social system that rewards merit, ability and achievement, regardless of one’s birth or station in life. [This is why lower IQ populations can't cope with Capitalism and fall to the siren call of Socialist/Populist politicians and ultimate disaster; like countries in Africa, S. America, Middle East, etc, etc. Lower IQ populations are basically any population other than N Europeans/E Asians and their descendants]

Yes, there are winners and losers in capitalism. The winners are those who are honest, industrious, thoughtful, prudent, frugal, responsible, disciplined, and efficient. The losers are those who are shiftless, lazy, imprudent, extravagant, negligent, impractical, and inefficient [like many minorities].

Capitalism is the only social system that rewards virtue and punishes vice. This applies to both the business executive and the carpenter, the lawyer and the factory worker.

But how does the entrepreneurial mind work? Have you ever wondered about the mental processes of the men and women who invented penicillin, the internal combustion engine, the airplane, the radio, the electric light, canned food, air conditioning, washing machines, dishwashers, computers, etc.?

What are the characteristics of the entrepreneur? The entrepreneur is that man or woman with unlimited drive, initiative, insight, energy, daring creativity, optimism and ingenuity. The entrepreneur is the man who sees in every field a potential garden, in every seed an apple. Wealth starts with ideas in people’s heads.

The entrepreneur is therefore above all else a man of the mind. The entrepreneur is the man who is constantly thinking of new ways to improve the material or spiritual lives of the greatest number of people.

And what are the social and political conditions which encourage or inhibit the entrepreneurial mind? The free-enterprise system is not possible without the sanctity of private property, the freedom of contract, free trade and the rule of law.

But the one thing that the entrepreneur values over all others is freedom — the freedom to experiment, invent and produce. The one thing that the entrepreneur dreads is government intervention. Government taxation and regulation are the means by which social planners punish and restrict the man or woman of ideas.

Welfare, regulations, taxes, tariffs, minimum-wage laws are all immoral because they use the coercive power of the state to organize human choice and action; they’re immoral because they inhibit or deny the freedom to choose how we live our lives; they’re immoral because they deny our right to live as autonomous moral agents; and they’re immoral because they deny our essential humanity. If you think this is hyperbole, stop paying your taxes for a year or two and see what happens.

The requirements for success in a free society demand that ordinary citizens order their lives in accordance with certain virtues — namely, rationality, independence, industriousness, prudence, frugality, etc. In a free capitalist society individuals must choose for themselves how they will order their lives and the values they will pursue. Under socialism, most of life’s decisions are made for you.

Both socialism and capitalism have incentive programs. Under socialism there are built-in incentives to shirk responsibility. There is no reason to work harder than anyone else because the rewards are shared and therefore minimal to the hard-working individual; indeed, the incentive is to work less than others because the immediate loss is shared and therefore minimal to the slacker.

Under capitalism, the incentive is to work harder because each producer will receive the total value of his production — the rewards are not shared. Simply put: socialism rewards sloth and penalizes hard work while capitalism rewards hard work and penalizes sloth.

According to socialist doctrine, there is a limited amount of wealth in the world that must be divided equally between all citizens. One person’s gain under such a system is another’s loss.

According to the capitalist teaching, wealth has an unlimited growth potential and the fruits of one’s labor should be retained in whole by the producer. But unlike socialism, one person’s gain is everybody’s gain in the capitalist system. Wealth is distributed unequally but the ship of wealth rises for everyone.

Sadly, America is no longer a capitalist nation. We live under what is more properly called a mixed economy — that is, an economic system that permits private property, but only at the discretion of government planners. A little bit of capitalism and a little bit of socialism.

When government redistributes wealth through taxation, when it attempts to control and regulate business production and trade, who are the winners and losers? Under this kind of economy the winners and losers are reversed: the winners are those who scream the loudest for a handout and the losers are those quiet citizens who work hard and pay their taxes.

As a consequence of our sixty-year experiment with a mixed economy and the welfare state, America has created two new classes of citizens. The first is a debased class of dependents whose means of survival is contingent upon the forced expropriation of wealth from working citizens by a professional class of government social planners. The forgotten man and woman in all of this is the quiet, hardworking, law-abiding, taxpaying citizen who minds his or her own business but is forced to work for the government and their serfs.

The return of capitalism will not happen until there is a moral revolution in this country. We must rediscover and then teach our young the virtues associated with being free and independent citizens. Then and only then, will there be social justice in America."

Wednesday, April 20, 2016

More "Black" Stuffed Down Your Throat

I hear that our Liberal overlords in government, media and film have decided to shove even more "black" down your throat. Today they have decided to put Harriet Tubman on the $20 bill. To hell with Andrew Jackson's great contribution to history as President. Nothing against black Republican Tubman, but Liberal governments and Media outlets have decided that they must glorify black persons at every opportunity. Never mind that the entire black race is descending into an abyss of stupidity, crime, depravity and violence. "Welfare" has nearly ruined black families and black culture in America can be best described as "in total collapse."  That huge disparity is amazing.

All this black "love" and "promotion" can't be for financial gain, as black incomes are suffering the worse under our "token black President." Obama, our first affirmative action president, has predictably failed in every way imaginable. Poverty in this country is higher than ever. Dependence on government is higher than ever. Obama, a huge flop, was promoted all his life without merit or responsibility by Liberal affirmative action programs, then propelled into the Presidency by Liberal media outlets who are proven to be entirely propaganda outlets for Liberal causes. Obama is entirely a creation of Liberals complete with entirely insufficient credentials and capabilities -- including cognitive ability.  This shouldn't be surprising since nearly 90% of blacks have IQs lower than than the white average of 100.

They're still at it, putting black faces all over the TV and movie screens. It's embarrassing as it's so obvious.  But night after night I have to watch a nearly 90% parade of black criminals dominating the surveillance crime videos shown on my local news. This is true even though the majority of persons in my city are Latinos. The news readers NEVER say the race of perpetrators because it would be entirely too incriminating to the black race. And the wider national media suppresses the truth of the black cultural collapse. Media never reported "flash robs" and "knock-out crimes"were virtually 100% black criminal phenomenas.
As of this week, there's a Jesse Owens movie coming out (a black man who won four gold medals at the 1936 "Nazi" Olympics). Never mind that 55 other Americans won medals that year, but Liberal Hollywood HAS to glorify the black person! There's plenty of movies and shows about black athletes, since they excel in many sports. But they rarely shine in academic or higher education. In fact, without the lower standards of Liberal affirmative action, there would be very few blacks in top graduate schools.

Given that, one black doctor becomes an acclaimed neurosurgeon and they make a movie about it (Dr. Ben Carson). I bet Liberal Hollywood wouldn't have done it if they knew Carson was a Republican who would run for President. Hollywood loves black persons only as long as they tow the line and are obedient Democrats. If not, the long knives come out.  There's a Jackie Robinson movie coming too.  Black, black and more black.

Blacks All Over Television


Media companies in the US are putting blacks all over TV in a cultural "affirmative action."  America's Funniest Videos has a black host now. I watched that show the other night and blacks are very prominently displayed in front rows-- way out of proportion to black person's 12% of the general population. Wayne Brady has the host of The Price is Right. Steve Harvey now has several shows now.  A TV series "Underground" has premiered. Black, black and more black.  I'm sick of it really.

Only about 2% of physical science PhDs in this country are black. This means that there are 1000's of highly distinguished white and foreign astrophysicists out there and very, very few black ones. But this doesn't stop "media" to promote  black astrophysicist Neil deGrasse Tyson to become a 'star' on television's 2nd rate reincarnation of TV series "Cosmos." Tyson is ok, but the new Cosmos series was a dumbed-down high school level science program using cartoon sequences for illustration. Black "promotion" and "dumbed-down" go hand in hand. More Leftist destruction!

And he's not the only rare astrophysicist selected for a prominent role as a TV "expert" either.  Hakeem Oluseyi, a black astrophysicist, hosted 'Outrageous Acts of Science' and 'Alien Encounters' and "You Have Been Warned" on TV.  All this to "program" public opinion.

Tyson's and Oluseyi's promotion to prominent positions on TV are a clue to a wider effort by media to promote black persons TO BE SEEN as equal and high achieving -- a cultural "affirmative action" so to speak. Yeah, it's great that these men made it through graduate school, but media folks had to dig very deep to find guy's like Tyson and Hakeem Oluseyi since there's so few.  Meanwhile there's 1000's of highly accomplished white astrophysicists.  

And how come I have to put up with blacks on CNN or most any other TV show panels at least one in four; which is double their 12.5% representation in the population? The answer is that 95% of the time they voice Democratic party positions. And we know Media journalists are 93% Democratic and fully "indoctrinated" in Leftism at our universities. And where are the Latinos??? Latinos are more numerous in this country than blacks.

I sat down to watch the Grammy awards a month ago hosted by LL Cool J. Within a 1/2 minute the first award was for the Rap category! Sadly the popularity of rappers (criminals) shows how decayed and collapsed black (and young white) culture is. When white youth fawn over these criminals, it makes me sick for our country. Rap is not even art in my opinion. Mostly they steal melodies from other artists for their bullshit rantings.

Media Systematically Suppresses Unflattering News Involving Blacks


I'm sick of this "propaganda" proselytizing the "wonderful" black community, when the truth is that the black community is in near total collapse.

Media is often caught not reporting negative news wrt blacks.  Take the recent racial attack on white veteran Chris Marquez in DC after being harassed by a couple of black thugs in a DC McDonalds. These black low-lives beat and robbed him. These urban blacks are about as close to animals as could be. Media often refuses to cover black-on-white crime.

The Media is also relatively silent about the surge in violence in urban areas like Baltimore and St Louis after Obama and black Baltimore mayor attacked law enforcement in the wake of Baltimore riots. All to "promote" Freddie Gray as "important" black life. Yes, every life is important, but does a career criminal like Gray with 18 arrests already in his young life really matter so much? It's a similar situation to thug Michael Brown in Ferguson. These guys are unworthy martyrs.

Law enforcement has recently been under attack by our black racist President who only speaks out (usually in ignorance) in instances when white officers shot at black persons, but NEVER speaks out for white officers under attack from black assailants. But blacks commit the majority (56%) of violent crime in this country despite their 12.5% representation in the population.

About 150 blacks PER WEEK are dying at the violent hands of other blacks and the media doesn't report it!  This dwarfs all other crime in this country including the occasional shooting of a black person by police. Younger black men are committing crimes at 10 times the rate of whites and 7 times the rate of whites for all black men.  Black men are committing more than 55% violent and gun crimes despite being only 6% of the population.  Black men outnumber white men in prisons or 7 times higher rate than whites!  Black men are derelict dads too with some 80% of young black kids abandoned by their deadbeat dads.  And it didn't use to be that way.

But you'll never hear any of this reported anywhere in the liberal media.

Sunday, March 27, 2016

Trump Is Right On Immigration and Trade Too

I've mentioned before that Trump is right on immigration. The US Government, especially the Obama administration, is nearly 100% derelict in it's duty to enforce immigration laws. But it's been poor for a long time. As a result, we've seen surges of illegal immigration. And catch and release has been the norm for a long time. Not enough is done to deport those with expired visas as the government is not tracking them and has no idea where they are. Even criminal illegal aliens are not getting deported.

We've reached peak insanity, peak stupidity, peak absurdity, peak-political correctness, peak dishonesty, peak corruption and peak cronyism.  No where is this more obvious than in the Obama administration and Obama Democrats. This is why Trump is rising. However indelicately he speaks, Trump is mostly correct in his observations about immigration, trade, cronyism, jobs, the problem of Islam and the stupidity and incompetence of Washington DC.

He's right about our 40 year history of lousy trade deals. Various trade deals have led to the greatest wealth transfer in human history — out of America! For 40 years, both parties have been passive as first Japan, then China and other Asian countries have essentially robbed us blind through chronic trade imbalances with America. Trump reminds us that NAFTA has also led to chronic trade deficits with Mexico.  Entire industries have been exported along with high paying jobs. For 40 years, both parties have been passively watching this happen. Now, in economically hollowed-out America, drug addiction is epidemic.

These persistent trade (and current account) deficits have actually bankrupted this country. But this fact is not yet obvious as the effects of the "greatest wealth transfer in the history of the world" have been mitigated by $9 Trillion in debt-fueled spending in Obama's short time alone.  Add another $3 Trillion in "money printing" deposited directly into the big banks.  And the emergency policy of zero interest rates continues for 7 years running. This is masking outright Depression. 

Another reason why chronic trade deficits haven’t already “visibly” bankrupted the US is that we no longer have sound money (gone is Bretton Woods and long-gone is a gold standard).  With a gold standard, the country who imports too much, relative to exports, would see gold outflows. Since gold is money, loss of gold slows the country importing too much and balances trade. Also, with a gold standard, the Treasury and Federal Reserve can't just willy-nilly pump up the money supply like they are doing now. In our era of "fiat" paper money, the central bank and Treasury continue pumping up "money" to keep the game going.  We’re bankrupted but not yet “visibly”.

We've really reached the end of the road of can kicking. From Fast Collapse or Slow?, I explain why this is so.

Trump is signaling an end to “globalization” which is bankrupting our nation, killing our industries and jobs market, hurting incomes and the middle class. It had to end sometime. Incomes for non-elite workers have continued dropping especially since 2008. Struggling consumers in the US don’t have any money left to buy Chinese stuff!  This is bringing down China; exports from China are down 25% this past year.  Suddenly their massive debt is souring (as is our debts).  We’ll all go down together.

There will be revolution in America too, but hopefully it will be mostly at the ballot box. Trump has rightly recommended stopping ALL immigration for a year or two. Our immigration system is utterly and completely broken (as you know).  Trump is completely right that we’re ruled by a bunch of fools and stupid people (Why would really clever people work for the Federal government?). We haven’t won a war since WWII. We are losing royally on trade.  Everything at the Federal Govt is broken and unfixed. Trump is right to be proud that he’s nobody’s puppet since he’s self-funding.  I hope he proposes campaign finance reforms to get money out of politics. That would be truly ground-breaking.  The funniest thing of all is that Trump is the billionaire for the common people!!  Just let that sink in!  

Basically There Is No Women's Pay Gap

There is, in fact, a 23% gap in women's pay nationwide but it's largely explained by logical reasons -- not discrimination. In fact, despite 7 years of phony rhetoric, there continues to be real pay gap between men and women employees in the White House itself.

Again, rational people like economics professor Mark Perry have long explained the pay gap. But irrational Democrats need to keep alive myths and "causes" like this. Because without them, they are irrelevant!  For this reason, they ignore "facts"and information that inconveniently contradict their phony "problems" because they really are, in fact, irrelevant.  That irrelevance was never more clear with Obama completely distracted from world events while playing around in the 3rd world banana republic of Cuba and tango dancing in Argentina while Europe is under siege due to what Obama would call "workplace violence".

Economics professor Mark Perry says "the differences in raw wages may be almost entirely the result of the individual choices being made by both male and female workers.”
  • Men work longer hours,
  • Men work in more physically demanding occupations like farming, construction, roofing, logging, truck drivers and working on oil rigs,
  • Women work in family-friendly workplace environments like teaching elementary school that coincide with their children’s schedules (with summers off, etc.),
  • Men take less time off, or no time off, for child birth and child care to minimize their time away from the labor force that might affect their earnings.

Monday, March 21, 2016

Entire Myth of Obama's Competence Built On Lies

When Obama burst on the political scene, he had no record to run on. He had no real notable career or accomplishments on his resume. His only claim to legitimacy was his Columbia and Harvard academic degrees.

The Journal of Blacks in Higher Education states clearly that, without affirmative action, that "the numbers and percentages of blacks in our leading graduate and professional schools would drop to very low, nearly nonexistent levels." Clearly this is true. There are so many qualified white applicants. The Journal also ominously notes that the black-white gap is actually widening.

So, the reality is that, with near 100% certainty, Obama only attended these universities due to lower admission standards of affirmative action. There are far too many highly qualified White and Asian applicants. Affirmative action is based on Liberal justices "making laws" from their benches. Liberalism in action!

And Obama clearly didn't do well at Harvard or Columbia. If he had a great record, why didn't he release his transcripts? It's because he couldn't tolerate objective scrutiny. Even Obama himself has intimated that he was a lazy student. But, his academic credentials are the only notable thing on his CV.

We know that the elections of Obama were significantly due to Liberal media manipulation of public opinion. They falsely painted Obama as having a superior intellect with superior ideas. He might even be somewhat "above average" intelligence as he's able to speak well and conjugate verbs unlike a large portion of blacks, but he's hardly brilliant.

According to the Bell Curve and statistics, "brilliant" blacks are very rare statistically (0.027%). Yes, he's 1/2 black, so he might have inherited high intellect genes from his white side, but for 7 years he's shown a telling lack of logic and consistency, an inability to adjust or learn and a high degree of incoherence in his statements and policy.  He's even said some ridiculous things about matters of law that shows he's not a law expert at all, despite having gone to Harvard Law. ("It would be unprecedented if the Supreme Court overturned a law like the ACA")

So, the reality is that Obama is a mediocre intellect promoted far beyond his capabilities through the omission of information and tricks used by Leftist media to paint an exaggerated narrative. Leftism is imposed by tricks, lies and even omission of truth. He never was a professor of Law as was claimed. He was a senior lecturer -- not a professor: another trick.

He was a senior lecturer, but we're not told the reason as to why he left this post.  Maybe it was because he was a massively arrogant prick that no one could stand??  Probably. No resume information has been provided. No job references were provided either. And the "Media" didn't ask for any either. So much whitewashing of truth!!

So, Obama, handed softball questions by Leftist media through both of his campaigns shielded him from being exposed. Leftist tricks are nearly entirely responsible for his rise.

So the entire myth of Obama's competence and prestige is built on lies, omissions and "propaganda." 

So, it's not surprising that his performance in office has been dismal. His record is one of nearly perfect failure. Instead, he's been a wrecking ball for social cohesion, a disaster in ALL matters of foreign policy, and his only major legislation, ObamaCare, was squeezed through passage using horrible tactics, has remained a disaster with public approval down to 29% among whites (a low 37% overall).  It's helped 2 or 3% but hurt 98%.  That's considered success in his incompetent world.

Wednesday, February 17, 2016

They Don't Know What They Are Doing

The problem with economists is that they are just a bunch of academic statisticians with no real world or business experience. They don't really know about how the economy or business works. Even worse, for our times, is that they know nothing of finance and the world of wholesale global finance. Everything in finance has changed and the Federal Reserve keeps showing the same ignorance and making the same mistakes.

The "eurodollar" and it's various derivatives took over the world from about 1990 until 2008, funded the US housing, debt and equity bubbles (confounding Greenspan), crashed in 2008/09, but was partially and temporarily resurrected until about 2013. It's has been shrinking ever since.  It's in full collapse in 2016 and taking world commerce with it.  See the chart below for the big picture view.

The Fed and Yellen apparently know nothing about this.This is why they are completely lost. Their "Keynesian" money manipulations are not working at all. And after years now of total and utter failure, evidence showing their continued failures is called "transitory" by our schoolmarm chairwoman.



Evidence of the demise of the "Eurodollar," crashing again like 2008, is revealed by distress at Morgan Stanley, Credit Suisse, Deutsche Bank, Barclays, RBS and other money center banks especially in Europe. All have been cutting dividends, raising capital repeatedly and firing employees in the past year. Their earnings have turned into huge losses as they exit the leveraged "Eurodollar" markets as fast as they can. The fact that the stock price of Deutsche Bank is cratering day after day to new post-2009 lows should be understood as a canary in a coal mine. Since "eurodollars" are a bank balance sheet phenomenon, this "money" is disintegrating or disappearing world-wide and taking down every asset class with it.  It explains the commodity collapse, China's collapse, oil's collapse and soon the world economy.

Into all of this, Yellen just tightened liquidity!!


"Eurodollar" currency swaps/forwards/etc are virtually the entire basis of international trade. When a company in Sweden buys something from a company in Japan, their banks buy and sell "dollar" currency forwards/swaps to fund the transaction. Their traded "instruments" becomes part of the "Eurodollar" derivative complex which exists on (or off) bank balance sheets as "derivatives".

There are few dollars backing "Eurodollars". It's substantially unregulated and there are few margin or reserve requirements. It's nearly pure leverage. The problem is that, in times of crisis, like in 2008, there's no safe place to go --except to hold dollars. Thus the "eurodollar" system is essentially a huge dollar "short". That's why demand for dollars has driven the dollar sharply higher in the past year -- especially against weaker currencies like the Brazilian Real, Indonesian Rupiah, Mexican Peso, etc. There is a struggle for liquidity worldwide as this leverage collapses. The world is short of dollars in a $trillion QE world!

Commerce and trade is predicated on this market functioning normally. When it doesn't, there's a huge problem like in 2008 when world trade came to a standstill. Now, the "Eurodollar" market is not functioning again as banks like Morgan Stanley and Deutsche Bank scramble to exit these markets as fast as possible. The real economy is suffering and world trade is shrinking in 2016. No one knows enough to address the problem. So economic damage is ongoing and accumulating. And it won't stop until the underlying problem is addressed. By then, I'll be too late.

Yellen and all the "economists" (statisticians?) at the Fed apparently don't really see what's happening. Why else would they have raised the Fed Funds rate and withdrawing liquidity in the middle of a building dollar liquidity shortage? They literally don't know what they're doing. The Fed's complete failure to accomplish any of their goals such as creating 2% inflation, or to create a solid recovery, continues. Everything that confounds Janet is labeled "transitory". That song is getting real old.

She, and all the other central planners in the world don't know what they're doing.