unfunded (3)


We now have FEWER people working in AMERICA than we've at any time had SINCE 1981 during the early days of the Reagan administration.  We also have more people working for the government than at any time in history outside of war.
Bernanke Sobers Up, Comes Clean, Sort of
            Ben Bernanke had a National Press Club audience laughing while doling out some super-serious information yesterday. For example, he reminded them that the country’s projected deficit and debt level are actually not only unsustainable but impossible . . . because the nation’s creditors at some point in the future would wise up and refuse to continue financing our country’s spending.
            ALERT:   Before going further with the blog itself . . . the nation’s latest jobless numbers came out earlier today: 9.0% unemployment sounds like an improvement over the recent 9.4%  . . . unfortunately, the fact is that virtually all of the “drop” in unemployment can be traced to unemployed persons who have stopped reporting in to the nation’s Workforce Centers and therefore “fell off” the statistical data base. True unemployment now stands at just a tad below 20% if all the unemployed; and  forcible part-time workers are included . . . not to mention all the grossly under-employed who lost better jobs and are working at stop-gap situations.  Only 36,000 jobs were created last month, almost 110,000 short of the projected 145,000.  1.4 million people gave up looking for jobs through official channels last month:  1.4 million!  We now have FEWER JOBS in AMERICA than we've seen at any time SINCE 1981 during the early days of the Reagan administration. The situation is getting so hopeless that more than half of the unemployed are no longer using the official Workforce procedures . . . these fictitious unemployment numbers just prove that when it comes to statistics, garbage in = garbage out. Now let’s get back to Ben Bernanke . . . . 
            “By definition, the unsustainable trajectories of deficits and debt (outlined by the Congressional Budget Office, CBO) cannot actually happen because creditors would never be willing to lend to a government whose debt . . . is rising without limit.” Currently the National Debt is stated at about 60% of the economy or Gross Domestic Product (GDP) officially; but in reality the figure is much closer to 95% than 60%. More on this soon . . . Bernanke said that the 90% threshold is projected by 2020 and debt would be 150% of GDP by 2030. But Bernanke’s citing of $9.5 trillion in national debt was sinfully inaccurate because it omitted the $4.6 trillion owed by the government to trust funds for things such as Social Security and Medicare, which have paid out cash to the Treasury in exchange for promissory notes. The full national debt – when both forms of debt are included is roughly $14.6 trillion.   
Mr. Bernanke also failed to acknowledge the 180-ton blue whale splashing about in the Lincoln Memorial Reflecting Pool, the fact that not including all our welfare programs and barring deliberately infecting all our nation’s elders simultaneous with ebola . . . the federal government is already obligated for roughly $113 TRillion in services via Social Security, Medicare and the federal side of Medicaid. He also was less than forthcoming about the fact that Obamacare is now shifting a huge burden in Medicaid from the Feds onto the unwilling states which will presumably bankrupt every single state by 2026 (2023 in some less optimistic projections). To emphasize the point he was semi-obscuring, Bernanke quoted economist Herbert Stein, “If something can’t go on forever, it will stop” to exceedingly nervous Press Club laughter.
The Fed chairman strongly admonished Congress to act soon to cut spending or increase revenues (taxes), or some mix of the two,  because otherwise the U.S. economy will suffer a severe correction. “One way or the other, fiscal adjustments sufficient to stabilize the federal budget must occur at some point,” he said. Bernanke avoided predicting when the U.S. might experience a debt crisis similar to what Greece and other European countries have experienced. Bernanke suggested lawmakers should forget politics and not use the debt and debt ceiling as “bargaining chips” or resort to playing political “chicken.” He also seemingly assured Republicans that their understanding was correct,   “Under current law, if the debt limit is not extended, for a time, the Treasury has various resources that it can use to make payments on our national debt,” he said, “but beyond a certain point, (our federal government) would not have those resources and the United States could conceivably — I think this is very remote, but it’s not something you want to play around with — the United States would be forced into a position of defaulting on its debt,” he said. “And the implications of that for our financial system, for our fiscal policy, for our economy would be catastrophic.”
The twin drivers of this unsustainable national path toward debt (and he did not mention, but also toward UNfunded liabilities), according to Bernanke is the double barrel impact of rising health care costs and exploding baby boomer retirements on entitlement programs such as Medicare, Medicaid and Social Security. “Our ability to control health care costs, while still providing high-quality care to those who need it, will be critical for bringing the federal budget onto a more sustainable path.”   He tempered pessimism with a slightly optimistic look at the overall economy citing “increased evidence that a self-sustaining recovery in consumer and business spending may be taking hold,” but immediately slipped back into pessimism saying the economy “does look to be growing more quickly, but is still in a deep hole, is still very far from where we’d like it to be.”
Coupled with Bernanke’s speech the Senate Budget Committee heard from numerous “experts” about the most serious threats facing the hoped for economic recovery: the housing crisis; state, local and federal budget shortfalls; unrest in Egypt and its possible effects on shipping via the Suez Canal and on the price of oil; and the continuing European debt crisis. Home prices are expected to fall another 5% this year and 14-17 million Americans are currently “underwater” on their homes (owing more than their homes are worth now, not to mention after a further 5% drop in prices). Overall this amounts to an expected total average home price drop of 35% between 2007 and the end of this year possibly igniting another round of the vicious cycle of default, foreclosure and greater downward pressure on home prices.
The pressure is not all at the federal level either.   Ray Scheppach, executive director of the National Governor’s Association said that the Obamacare mandated explosion in Medicaid enrollment (coupled with other demands on the states shifted from the federal government) was the “700 pound gorilla” in the room as it increased costs to the states by 190 million by 2019. If the recession (which has been officially “ended” for over nineteen months now . . . you and I know better, any time home prices are down over 1/3 of their value in four years: that’s a recession!) continues, Rajjpuut concludes that the Obamacare-created meltdown of the states will happen sooner (2023) rather than later (2026). As far as bailouts, several of the witnesses at the senate hearing implied that there was no appetite for state bailouts.   Going back to Bernanke, he failed to mention that the Federal Reserve Banks under his command had been busy printing paper money and creating electronic money for the better part of twenty-seven months and there was, believe it or not, some obscure chance that the nation’s major creditors (such as China, Russia, India, Brazil, Japan and others) might not only notice but also object to his willful policy of inflation. Since technically the math says that the current dollar is worth 3.4 pennies worth of the late 2008 dollar . . . this could also be a problem, eh?
In short, Mr. Bernanke seems to be sobering up, but he’s still not admitting his drunken money-creation, so overall the prognosis for the patient is very, very, bad.
Ya’all live long, strong and ornery,
PS remember this:  We now have FEWER people working in AMERICA than we've known at any time SINCE 1981 during the early days of the Reagan administration.  We also have more people working for the government than at any time in history outside of war.  At a projected cost of 2 - 3.5 real jobs lost in the real economy for every government job created, is it any wonder?
Here's a chart of the eleven recessions the country's suffered through since World War II.   Notice the "V" shape typical of recession recovery is not present now thanks to government interference . . . .

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Exactly Why Progressivism Sucks,

FDR’s/Obama’s Second Bill of Rights

and our Actually $212 TRillion PROBLEM

You do recall candidate Obama’s pledge not to raise taxes on anyone earning less than $250,000 a year? A pledge already worthless? Well consider this, in just a bit over five months, all the Bush tax cuts we’ve been enjoying will be rescinded, but that’s not a tax increase is it? Well, welcome to Bill of Rights Hell, Obamastyle . . . .

Barack Obama would like to take all the credit/blame for his radical legislative program but it’s been around since there have been left-wing progressives interested in “progressing beyond” the United States Constitution which they regard as “outdated” or even “an inferior and ill-conceived document.” Barack Obama himself calls it outdated and adds that it’s merely “a catalog of negative rights.”

Woodrow Wilson was the first recognized Progressive (Teddy Roosevelt was actually the first and mildest** one, however). Wilson, an educator and President of Princeton University wrote several books re-writing history and most particularly the history of the founding of the nation and of the founders. Wilson, according to real history – not progressive history, was an abject racist and the first to segregate the armed forces since Civil War Days. D.W. Griffith’s racist silver screen masterpiece “The Birth of a Nation” which glorified the Ku Klux Klan as the most vital element in post Civil War history, was premiered at the White House for Wilson and his Cabinet.

Herbert Hoover, a Republican like Teddy Roosevelt, believed in government involvement in peoples’ lives to a much greater extent than Teddy did. He sought to involve the government in welfare schemes and to give price supports to farmers among other progressive farm programs. He dramatically reversed the Harding-Coolidge trend of substantially lowered taxes and substantially lowered government spending (over a 45% reduction in both cases in response to the “Invisible Depression” Harding had inherited from Wilson). After the Crash of October ’29 under Herbert Hoover, the Depression was ending with the bottoming out of the stock Market three months after Franklin Delano Roosevelt’s inauguration (in March, in those days). FDR had run on a promise to return to common sense and cutting taxes and cutting government spending which had cut Wilson’s Depression down to size very quickly and left it known as the “Invisible Depression.”

FDR’s policies extended the Depression another nine years from taking office and presumably would not have ended the Depression at all except for the U.S. entry into the war in December of 1941. In the United States that period in history is known as the “Great” Depression but the rest of the world had a rough three years and simple call it a little ‘d’ depression.

FDR’s Second Bill of Rights was aimed, as many progressive schemes are, at redistributing wealth and its been adopted in whole cloth by Barack Obama. The harm done by FDR was incalculable. Hoover only created two new government agencies, FDR created forty. Barack Obama’s Obamacare health care “reform” has created 390+ new government agencies in just one law. Again, as most people sense, Obamacare has little to do with health care and will NOT cut health care costs it is just a method of grabbing more control for the government and redistributing wealth.

Before FDR’s 1944 inauguration (his 4th!) speech he paid homage to the idea but he’d already come out specifically talking about his agenda of redistributing wealth during his earlier 1944 State of the Union Address. The “Second Bill of Rights” according to FDR are “positive rights,” that is what government can do for or to its citizens (after taxing them unmercifully for the money to do it with). He included:

1. The right to a useful and renumerative job

2. The right to earn enough to provide not only food and clothing but

also recreation

3. The right of every farmer to raise and sell his products at a return that

would give him and his family a decent living

4. The right of every family to a decent home

5. The right of every businessman, large and small, to trade in an atmosphere of freedom from unfair competition and domination from monopolies at home and abroad

6. The right to adequate medical care and the opportunity to achieve and enjoy good health

7. The right to a good education

8. The right to adequate protection from the economic fears of old age, sickness, accident and unemployment.

Quite the socialist agenda, whereas the Founding Fathers said, we’ll keep the government out of your hair and maximize the money you can keep from what you earn and thus maximize your freedom to take care of your needs as you perceive them, FDR said we’ll tax the hell out of you and then give you some of your money back in the form of cradle-to-grave Nanny-state protection, not noticing that this would destroy the economy’s ability to create jobs and make it a lot less likely that anyone would have money to be taxed. This is clearly virtually identical to Lyndon Johnson’s “Great Society” progam.

Let’s look at item #4, in 1977 Jimmy Carter and his dual-chamber Democratic majority in congress passed the CRA of ’77 (Community Reinvestment Act) which for the first time required banks and local lenders to knowingly make bad home loans to otherwise ineligible clients. Fanny Mae and Freddie Mac were added to this travesty in 1992; these “rights” were expanded again twice in 1995; and the Bill Clinton final expansion in '98 (the third expansion under Slicky Willy) put the whole process on steroids and with the help of the Cloward-Piven Strategics of ACORN . . . created the sub-prime lending crisis at the root of today’s economic debacle.

And think of this, the United States had enjoyed for over half a century by far the world’s highest home ownership percentage (62-65%) so there was no problem. What exactly is wrong with renting a home, especially when one is young? What about the rights of landlords to operate their business and perform a clearly useful service?

Item #2 has raised its ugly head often since LBJ’s days, the right to a “guaranteed income.” Wow! Do you mean the right of the lazy and unproductive to extort money from those who earn it fairly by trading their goods and services and talent and education in the free market?

Item #8 is likewise quite interesting. This is the welfare “RIGHT” is it not? At present, our country not only has a $14TRillion national debt, but also $110 TRillion of UNfunded liability courtesy of Social Security, Medicare and the federal side of Medicaid. No one ever talks about these things or this UNfunded liability . . . but something that’s even less obvious and even more secret: roughly $88 TRillion in UNfunded welfare liability is also coming our way in the next 44-45 years.

#6 is Obamacare and its travesties are just coming to light. It is a nightmare fiscally, will destroy the health insurance industry and the health care industry as we know it. Count on old folks dying courtesy of the rationing which the newly-appointed health care director openly expressed. As well, a lot of infants also will prove to be “not viable enough” to warrant all the health care bucks and services and time that would be needed to keep them alive. And from having the highest cancer cure rate in the world, count on the United States gravitating toward the rate of Great Britain where early intervention against cancer is somewhat of a joke.

#7 is the right to a good education. Wow, Ph.D’s for everyone? Rajjpuut went through college courtesy of the GI Bill he earned and five different jobs he held and wound up with a 3.92 GPA despite taking as many as 29 hours in two different quarters. A lot of people getting through on mommy’s and daddy’s money wasted their education and their time in Rajjpuut’s not-so-humble opinion . . . what’s wrong with people working to put themselves through college? Why should anyone be guaranteed a college education as Barack Obama has promised to provide?

#1 the right to a useful and remunerative job. Really? What about the right of an employer to hire who he needs and only who he needs and to pay them what he must to get good work out of them all the while keeping his company afloat? Study after study has shown that minimum wage laws just put more people out of work and threaten the solvency of more businesses . . . so much for government interference in the marketplace.

#3 means that an inferior farmer has the right to survive and charge enough to cover his ineptitude. He grows cotton in the north and succeeds in half the years but is frozen out in the other half, why should anyone give him more than top dollar for an inferior, at best crop?

#5 Sounds pretty nice. Actually, the policies of FDR favored big business and cut the throat of small business which is one great reason why the Depression lasted almost ten more years after FDR came to power. But if it really were true, big IF that, just as in the case of the farmer, why should someone be forced to pay more than top dollar if the product is inferior or the process to produce it is inefficient? So much for the “Second Bill of Rights!

In other words, FDR who gave the country almost ten extra years of Depression and who ran promising to cut taxes and cut spending but did just the opposite, was the king of the early progressives and the first clearly socialist president and was aiming to move the country toward something quite close to communism. And remember he only created 40 new government agencies Ol’ FDR, while Obama created 390+ just in one law: Obamacare. Gotta love them progressives, don’t you?

Ya’ll live long, strong and ornery,

** Building the Panama Canal and establishing National Parks have to be called progressive by anybody, not that they were bad but that the people had NO say in their implementation; why not have a parks amendment voted on? Teddy feared it wouldn't pass or it wouldn't pass quickly enough or wouldn't set aside enough money, etc., etc., so he abrogated the people's right to decide the issue . . . .
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America as Desired by Obama . . .

Morally, Fiscally Bankrupt

You’ve seen those commercials where someone is saying, “ . . . we don’t make things in America any more . . . ,” a sad commentary on what was once the greatest manufacturing country the world ever knew becoming the greatest outsourcing country the world has ever known. Somewhere along the way America lost its greatness. Now, at a moment in our history where greatness is required of our leaders, instead we’ve been blessed with Marxist ideologue Barak Obama who, eschewing mediocre 2nd World status for the country is aiming us toward abject and utter Banana Republicdom$$. His economic policies have all led in the wrong direction and merely enriched the wallets of his supporters, but out of charity let’s forget all that, let’s look at his plans for our future.

Obama has promised his economic and energy policies will “bankrupt the coal industry” and “necessarily cause the price of electricity to skyrocket.”



And all of this madness is based upon a lie called “global warming” which even the ultra-liberal London Times has denounced:


It’s never ever been about cleaning up the atomosphere or about us making the environment better, Obama’s “handler” Joel Rogers has admitted that cap and trade will NOT stop “pollution,” it will just tax those who emit . . . which is a two-fold lie . . . it will tax all of America and all Americans virtually out of existence while enriching the pockets of almost twenty progressive foundations (such as the Tides Foundations, the Joyce Foundation and numerous shadow foundations funded by these two) while, must we remind you, carbon dioxide is NOT actually a pollutant. Profit for the liberal elite and power for Obama. Here’s the endgame he’s brought in store for us . . . .


People like Al Gore (5th largest owner), Obama, Rogers, Richard Sandor, Maurice Strong, Franklin Raines, George Soros, about a dozen Goldman Sachs people and the Goldman Sachs firm itself (10% owner), Gore’s London-based Generation Investment Management company -- all of these groups through their ownership of CCX (the Chicago Climate eXchange) which with the passage of cap and trade legislation will gain commissions on virtually every single “trade” in what Richard Sandor has admitted will be annually “a $10 TRillion industry.” Since cap and trade produces NOT ONE new product and adds NOT ONE new service for Americans or the world . . . this means that America’s $15 TRillion economy will become a $25 TRillion economy overnight (with no new products or services and thus all prices will rise 67% the ultimate tax on breathing . . . . The time has come to ask not “Who is John Galt?” but rather “Where is John Galt”** because the country needs him NOW.


The most important truth YOU need to get out of this blog is this, The situation is bad, critical, nearing meltdown and yet, NO ONE IS TALKING ABOUT THE MOST IMPORTANT TRUTHS FACING OUR COUNTRY TODAY. On occasion they’ll mention the roughly $14 TRillion national debt now growing by leaps and bounds under Obama . . . but no one is talking about the $110 TRillion in Unfunded obligations^^ the nation faces from Social Security, Medicare and the federal side of Medicaid . . . nor are they mentioning that it’s highly likely that our Unfunded obligations from Welfare and similar entitlement programs could add another 80% to that figure pushing the nation toward total debt and unfunded obligations in excess of $215 TRillion.

In fact, the U.S. congresses and presidents have made a policy of definitely NOT TALKING about these matters since about 1977 when the combinations of building social security obligations, the new welfare state, Lyndon Johnson’s “Great Society” met the new wave of outrageousness with Jimmy Carter’s Community Reinvestment act of 1977 when for the first time the federal government REQUIRED lenders to make knowingly bad loans. The fact that this evil mortgage guarantee program could be expanded four times (’92, twice in ’95 and put on steroids in ’98) while the set-asides since 1934 and 1965 were blithely ignored shows you how corrupt the system was. But in orders of corruption, you ain’t seen nothing yet, baby, because Barack Obama’s now in charge.

Of course, Barack Obama who reportedly was extremely morose during the years 1989-93 when the Berlin Wall fell and the Warsaw Pact nations and U.S.S.R discarded communism . . . now has his opportunity to deliver to the world an utterly bankrupt United States of America and all will end well in the future hee-hee-ho-ha-hee-hee-ho-ha-ha-ha-ha-ha . . . the combination of what progressives have already done to us with their “spread the wealth FDR and LBJ ‘Great Society’ schemes” and what Barack Obama is doing to us, will make disaster concepts like nuclear winter and other contemplated environmental disaster scenarios seem like a day at the beach.

Ya’ll live long, strong and ornery,


$$ and meanwhile our media does not report that the real unemployment rate (a.k.a. the functional unemployment rate has reached 17.6% and with underemployment## we're now talking about 22% of the country facing job problems

##underemployment involves only having part-time work; former managers, etc. now having fulltime McDonalds' jobs and the like

^^ Look at how this played into the hands of the progressive enemy among us (folks like Saul Alinsky author of “Rules for Radicals”; and Richard Cloward and Frances Piven whose Cloward-Piven strategy was employed by them to create the American Welfare Rights Organization, AWRO, in 1967 with a black militant named Wiley to bankrupt the city of New York and just miss bankrupting the entire state of New York by using street intimidation tactics to get eight million new welfare recipients on the rolls by 1969. Cloward and Piven when bragging (orally and in writing) about their “accomplishments” recommended that voter registration and housing be their followers’ next areas of emphasis. The picture of President Clinton signing the Motor Voter Act with both C and P of C-P Strategy standing directly behind him is classic. MVA was called “a license for massive voter fraud” for good reason, now a Ms. Fernandez in the Department of Justice, already infamous for not prosecuting the 2008 New Black Panthers’ voter intimidation case and telling roomfuls of people that the DOJ will NOT prosecute Black defendants in voting cases with White victims, in the same roomful of people has stated that Motor Voter Act laws (weak as they are) so that the dead, the moved away, the duplicate and triplicate and other fraudulent voters carried on the rolls of a city, etc. can not be removed from the rolls. And who has been key in voter registration and in housing abuses? Lawyers like Barack Obama shaking down banks and other lenders forACORN . . . ACORN which gave us at least 18 full-out years warring against the system they hate and getting loans for people without I.D., without wealth or income, without jobs, without credit references, with abysmal credit ratings, people without rental histories, people without even rental addresses, and most important of all, even illegal immigrants. Somehow we’re NOT supposed to tie together the fact that the sub-prime lending crisis was the main ingredient in our poisoned soup?

**actually Rajjpuut would NOT recommend either the Fountainhead or Atlas Shrugged from Ayn Rand but instead “Capitalism the Unknown ideal,” “For the New Intellectual,” “The Virtue of Selfishness,” or for fiction fans the brief novelette “Anthem.”

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