What do you think? I’ve been betting on Sweden, but some of my compatriots say it will be the UK.
The news from Sweden’s election yesterday would indicate that Sweden has just stepped-up the pace in the all important race over the cliff for western civilization. Or has it?
The Wall Street Journal reports that the Swedish Left wing has pushed out the Center right with Leftists angry that their welfare state is eroding. They worry that health care isn’t as good nor is education as it used to be, but this article laughably makes no DIRECT link to the enormous influx of Muslim third-worlders Sweden has “welcomed” and the decline in the ability of the social safety net to hold them all. Continue reading →
In a story unlikely to receive attention from the mainstream media in the United States, a former Guantanamo Bay captive has been arrested in Spain for operating what authorities there say is a sophisticated jihadist recruitment network.
Spanish media is reporting that the one-time Gitmo prisoneris a 46-year-old Moroccan named Lahcen Ikassrien, who heads an Islamic cell that recruits fighters for the Syrian and Iraqi-based terror group known as Islamic State of Iraq and the Levant (ISIL). Ikassrien and seven others were arrested in Madrid recently as part of a dozen raids on terrorism cells in the Spanish capital, Madrid....
..One of the big reasons why I had to move into the “Van Down by the River” was because I simply COULD NOT FUNCTION using cash. When I was foreclosed upon because I could not provide the bank with a tax return (because I have declared a tax strike), I began investigating possible rental scenarios in preparing to move. Kids, you CANNOT rent an apartment “above the table”, pay the utilities on said apartment, insure a vehicle and scores of other necessary expenses in the former U.S. using cash today. Between IRS liens and mortgage foreclosures, my credit score is destroyed, which also disqualifies above-board rental. If you think that cash controls and the move to outlaw the use of cash is crazy talk, just stop and think about all of the myriad ways that IT IS ALREADY IMPOSSIBLE to pay with cash. We’re already 75% of the way there...
So I have been listening to some of these shows lately and find them thought provoking, balanced, fair and well outside the mainstream pap shoveled at us. Sort of like Coast-to-Coast radio but without the delusionas and voices coming out of the toasters and such. Go here and check it out: http://www.redicecreations.com/radio/nonsubscriber.php I will add a permalink to the blogroll. GE.
… Despite the Obama administration touting a budget deficit of “only” $680 billion in 2013, the GAO’s more accurate accounting shows a total government cost of $3.8 trillion on total revenue of $2.8 trillion.
In other words– the administration wasn’t exactly honest with the American people– the deficit was more like $1 trillion, not $680 billion.
But it gets worse.
The GAO added up ALL the US government’s assets in 2013. Aircraft carriers. The highway system. Land. Cash and financial assets. The total is $2.97 trillion. The liabilities, on the other hand, total $19.88 trillion. This includes the official public debt, plus all sorts of IOUs and loan guarantees.
This means the net EQUITY of the US government is -$16.9 trillion [poster note: yes negative folks. GE.]
Moreover, the US government’s cash position is a mere $206 billion… roughly 1.1% of its public debt. This isn’t enough to cover net interest payments for the next year.
Unlike a savvy investor who borrows cheap money to purchase productive assets, the US government borrows money to pay interest.
Preparation for disaster, whether natural or man-made, should be as vital as any ideal found in the various practices of religion and spiritualism. Preparedness should be treated with reverence, discipline and duty. The drive for preparation should be seated in the very heart of humanity. As individuals and as a society, we should hold preparedness dear, for it is an expression of the desire for survival and the key to maintaining our inherent freedoms. Without self-sufficiency, we set ourselves up for endless failure and enslavement. Continue reading →
Last week I wrote an article in response to the media’s vilification of preppers in the aftermath of the horrible tragedy in Newtown, Connecticut. The article was quoted in an article on Yahoo.com, to my great astonishment, and that is when I saw how little most people understand about prepping. You can see in most of the 4492 comments the article received that many folks just don’t “get it”.
My inbox was filled with a barrage of hate mail and a number of people felt compelled to leave angry and rather ignorant comments on my website. I got messages from people that called me “batshit crazy”, messages from gun control advocates, messages from people who directly blamed me and all other preppers for the massacre, and even one particularly hate-filled email from a person who said “I hope that your kids are killed at the next school shooting.”All of this leads me to reconfirm my belief that people sincerely do not understand why we do what we do, and that ignorance leads to fear.
People fear what they don’t understand and hate what they can’t conquer. — Andrew Smith…
A business enterprise is solvent when its operations are supported by its after-tax cash flow. Should cash flow be temporarily insufficient, borrowing against accounts receivable is the classic remedy. With serial borrowing however, operations-plus-debt-service eventually becomes unsupportable by cash flow, real or anticipated. Creditors withdraw when they see this, it’s insolvency or near enough. The business closes, its assets are liquidated and the proceeds distributed among its creditors. This is what’s happening to the US, aside from the liquidation part. Debt repudiation by inflation—watering down the currency—holds such comeuppance at bay, at least for a while. Continue reading →
“… bankers are greedy and have been for 1000 years” and “nothing is going to change” unless there are criminal sanctions; to which he follows up – briefly silencing the interviewer, “If some people end up in jail, maybe that will teach a lesson to somebody – or somebody will hang in the streets“. The professor goes on to note that the EU “summit was a failure” since markets were expecting much more and warns that without full debt mutualization, debt monetization by the ECB, or a quadrupling of the EFSF/ESM ‘bazooka’; Italian and Spanish spreads will continue to blow out day after day – leading to a crisis “not in six months but in two weeks“. The only entity capable of stopping this is the ECB which needs to do outright unsterilized monetization in unlimited amounts which is ‘politically incorrect’ to talk about and claimed to be constitutionally illegal. 2013 will be a very difficult year to find shelter as policy-makers ability to kick-the-can runs out of steam as he sees the possibility of a ‘Global Perfect Storm’ of a euro-zone collapse, a US double-dip, a China & EM hard-landing, and a war in the Middle East. Dr. Doom is back.” via ZeroHedge
An independent global think tank, LEAP/E2020, recently reported the opinion that “this second half of 2012 will really mark a major inflection point of the global systemic crisis;” “The shock of the autumn 2008 will seem like a small summer storm compared to what will affect the planet in several months.”
In fact LEAP/E2020 has never seen the chronological convergence of such a series of explosive and so fundamental factors (economy, finances, geopolitical…) since the start of its work on the global systemic crisis. Logically, in our modest attempt to regularly publish a “crisis weather forecast”, we must therefore give our readers a “Red Alert” because the upcoming events which are readying themselves to shake the world system next September/ October belong to this category. Continue reading →
… They think the path of a full-blown crisis would start in Greece, quickly move to the rest of Europe and then hit the U.S. Stocks and oil would plunge, the euro would sink against the U.S. dollar, and big banks would suffer losses on complex trades…
ACT I. What would Greece’s exit look like? In the worst case, it starts off messy.
ACT II. Here’s where things get scary.
ACT III. A full-blown crisis would cross the Atlantic through the dense web of contracts, loans and other financial transactions that tie European banks to those in the U.S., experts say...via News from The Associated Press
The Eurovision Song Contest doesn’t get a lot of attention in the United States, but on the Continent it’s long been seen as the perfect Euro-metaphor.
Years before the euro came along, it was the prototype pan-European institution, and predicated on the same assumptions. Eurovision took the national cultures that produced Mozart, Vivaldi and Debussy, and in return gave us “Boom-Bang-A-Bang” (winner, 1969), “Ding-Ding-A-Dong” (winner, 1975) and “Diggi-Loo-Diggi-Ley” (winner, 1984).
The euro took the mark, the lira and the franc, and merged them to create the “Boom-Bang-A-Bang” of currencies.
How will it all end? One recalls the 1990 Eurovision finals in Zagreb: “Yugoslavia is very much like an orchestra,” cooed the hostess, Helga Vlahovi?. “The string section and the wood section all sit together.”
Shortly thereafter, the wood section began ethnically cleansing the dressing rooms, while the string section rampaged through the brass section pillaging their instruments and severing their genitals. Indeed, the charming Miss Vlahovic herself was forced into a sudden career shift and spent the next few years as Croatian TV’s head of “war information” programming. Continue reading →
If Raoul Pal was some doomsday spouting windbag, writing in all caps, arbitrarily pasting together disparate charts to create 200 page slideshows, it would be easy to ignore him. He isn’t. The founder of Global Macro Investor “previously co-managed the GLG Global Macro Fund in London for GLG Partners, one of the largest hedge fund groups in the world. Raoul came to GLG from Goldman Sachs where he co-managed the hedge fund sales business in Equities and Equity Derivatives in Europe… Raoul Pal retired from managing client money in 2004 at the age of 36 and now lives on the Valencian coast of Spain, from where he writes.” It is his writing we are concerned about, and specifically his latest presentation, which is, for lack of a better word, the most disturbing and scary forecast of the future of the world we have ever seen….
*Impose a tax on financial transactions.
*Impose a 75 percent income tax on earnings above 1 million euros ($1.32 million) and raise the rate to 45 percent for the income bracket between 150,000 euros and 1 million euros per year.
*Repeal 29 billion euros of tax breaks over the next five years.
*Increase total tax level to 46.9 percent in 2017 from 45.1 percent in 2012 (payroll and profit).
*Increase tax on biggest companies to 35 percent.
*Scrap Sarkozy’s 1.2 percent VAT increase.
*Raise state spending by 20 billion euros over five years.
*Allow those who have worked more than the legal minimum of 41.5 years to retire from the age of 60.
*Limit pay of executives at state-owned companies to 20 times the lowest wage.
*Hire 60,000 teachers and school employees and 5,000 police officers over next five years.
*Hire 150,000 youths in state-subsidized jobs over the next five years.
*Cut French president’s and Cabinet ministers’ pay by 30 percent. Continue reading →
“…According to Mitchell (who is a senior fellow at the Cato Institute), some wealthy Europeans are preparing for a level of chaos in their respective countries worthy of the title, “apocalyptic.” In Mitchell’s words:
About a year ago, I spoke at a conference in Europe that attracted a lot of very rich people from all over the continent, as well as a lot of people who manage money for high-net-worth individuals.
What made this conference remarkable was not the presentations, though they were generally quite interesting. The stunning part of the conference was learning — as part of casual conversation during breaks, meals, and other socializing time — how many rich people are planning for the eventual collapse of European society.
Not stagnation. Not gradual decline. Collapse.
As in riots, social disarray, plundering, and chaos. A non-trivial number of these people think the rioting in places such as Greece and England is just the tip of the iceberg, and they have plans — if bad things begin to happen — to escape to jurisdictions ranging from Australia to Costa Rica (several of them remarked that they no longer see the U.S. as a good long-run refuge)…”
“…. On Friday, Standard & Poor’s downgraded Belgium’s credit standing to AA from AA+, saying it might not be able to cut its towering debt load any time soon. Ratings agencies this week cautioned that France could lose its AAA rating if the crisis grew. On Thursday, agencies lowered the ratings of Portugal and Hungary to junk.
While European leaders still say there is no need to draw up a Plan B, some of the world’s biggest banks, and their supervisors, are doing just that…”
The “accident” many have been waiting for has finally happened, and it’s called Europe. That doesn’t bode well for the U.S. stock market.
A lot of technical analysts and financial pundits are expecting a standard-issue Santa Claus Rally once a “solution” to Europe’s debt crisis magically appears. There will be no such magical solution for the simple reason the problems are intrinsic to the euro, the Eurozone’s immense debts and the structure of the E.U. itself.
We can fruitfully start a speculative look into the future of the U.S. stock market and dollar with a quote from John Mauldin’s book Endgame: The End of the Debt Supercycle and How It Changes Everything:
Economic theory tells us that it is precisely the fickle nature of confidence, including its dependence on the public’s expectation of future events, which makes it so difficult to predict the timing of debt crises. High debt levels lead, in many mathematical economics models, to “multiple equilibria” in which the debt level might be sustained —or might not be.
Economists do not have a terribly good idea of what kinds of events shift confidence and of how to concretely assess confidence vulnerability. What one does see, again and again, in the history of financial crises is that when an accident is waiting to happen, it eventually does. When countries become too deeply indebted, they are headed for trouble. When debt-fueled asset price explosions seem too good to be true, they probably are. But the exact timing can be very difficult to guess, and a crisis that seems imminent can sometimes take years to ignite.
The accident has finally happened, and it’s called the euro/European debt crisis…
Economists from the Swiss bank Credit Suisse wrote on Monday that “it seems that we’ve entered the last days of the euro as we know it” and that “extraordinary things must happen for the currency and the European Union to survive.”
In a statement they released in light of the financial problems in Europe, the economists added that “in the short term, the ECB cannot handle the crisis and the new governments in Greece, Italy and Spain cannot do so either.”
Gerald Celente – Goldsek Radio – 16 Nov 2011 : they are going to keep interest rates to zero until 2012 – 2013 , and what does that mean ? it means if you have money in the bank you are wasting your time by keeping it in there cause you are not getting anything in return , you used to kep up with inflation , not anymore , they need to keep interest rates to zero so the Ponzi scheme could keep going , I am in Gold and Silver and mostly Gold and that’s where I’ll stay ….
… A leaked internal German government memo entitled “The Future of the EU: Required Integration Policy Improvements for the Creation of a Stability Union” actually proposes the creation of a “European Monetary Fund” which would be given the power to run the economies of troubled European nations. This “stability union” would be quickly followed by the creation of a full-fledged “political union”. Essentially, this leaked memo proposes the creation of a “European Superstate” which will be crammed down the throats of the rest of Europe whether they like it or not...
“… The primary reason for this is that there is a very serious agenda of TPTB and that consists on using crisis to consolidate power in a one-world government, headed by a global central bank that issues a global fiat currency. People have been saying this on the fringe for decades and have been called conspiracy theorists the whole time but if you look at how things are progressing today you’d have to be asleep to not notice that the guys in charge are completely and totally determined to bring this sick, twisted dream into place. That is why the agenda moves forward despite the repeated, desperate cries of the citizenry for them to stop.
“The west is establishing another client in Libya. Libya is the source of more oil than any other country in Africa, including Nigeria,” said John Pilger, a London-based journalist and documentary maker.” via PressTV – Invading Libya brings UK govt. £200bn.
“…This is not going to end well and so far there is nobody talking about what has to actually happen either here or there — that is, whatever services people want from government they must be willing to pay for them with current tax revenues...” via It’s Coming Folks (From Europe) in [Market-Ticker].
EU OFFICIAL SAYS DEAL REACHED ON GREEK DEBT-CUTTING PLAN: AP
‘PRIVATE CREDITORS TO TAKE 50% CUT ON GREEK BONDS, AP SAYS
EU official, who wished to remain anonymous, tells Bloomberg that euro-area leaders are set to approve accord for 50% writedown on Greek bonds
If true, this means that Portugal, Ireland, Spain and Italy will promptly commence sabotaging their economies (just like Greece) simply to get the same debt Blue Light special as Greece. It also means that, at least according to Barclays, we have a CDS credit event, although we are certain that Europe would never announce this deal unless ISDA (complete determinations committee list here) was onboard, and corrupt as always. In addition, Greece was unable to generate a 90% acceptance for a 21% haircut tender offer. And we are somehow supposed to believe they can do it with 50%? Lastly, as a reminder, on September 14, Moody’s put SocGen, BNP and Credit Agricole on downgrade review. This will be the trigger..”