Magic Growth Numbers — Paul Craig Roberts

Everyone wants good news, so the government makes it up. The latest fiction is that US real GDP grew 4.6% in the second quarter and 5% in the third.

Where did this growth come from?

Not from rising real consumer incomes.

Not from rising consumer credit.

Not from rising real retail sales.

Not from the housing sector.

Not from a trade surplus.

The growth came from a Bureau of Economic Analysis survey of consumer spending on services. The BEA found that spending on Obamacare drove the US real GDP growth to 5% in the third quarter.
Here Is The Reason For The “Surge” In Q3 GDP

In America, unlike in other countries, a huge chunk of medical spending goes to insurance company profits, not to health care. Another big chunk goes to paperwork, which has a variety of purposes such as collecting personal information on patients and combating fraud (probably the paperwork costs more than fraud). Another chunk goes for tests and procedures in order to justify further procedures. For example, if a doctor thinks a patient’s diagnosis requires a MRI, he must often first order an x-ray to establish that a cheaper procedure does not suffice. If a cancerous skin growth needs to come off, first a biopsy must be done to establish that it is a cancer so that a needless removal is not performed. And, of course, medical practicians must order unnecessary tests in order to protect themselves from the liability of relying on their medical judgment.

The Rest Of The Story Here

2015: Year Of The Collapse?

Dec 23, 2014 InfoWars.com

Fed Chairman Janet Yellen is playing footsie with our interest rates. As the looming derivatives bubble expands, we take a look back at the real message quietly given to the U.S. economy by the privately owned Federal Reserve.

Merry Christmas America: Appeals Court Affirms MERS Right to Steal Your Home

23 Dec, 2014 by Dave Hodges

Eighth Circuit Court of Appeals Affirms Dismissal of Minnesota Counties’ Lawsuit

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MERSCORP Holdings, Inc.is well known for being an organized criminal enterprise. Their assets should have been seized and its corporate officers along with the minion robo signers should all be in prison. However, Americans are increasingly living in a country with no rules for it was announced yesterday that the U.S. Court of Appeals for the Eighth Circuit affirmed the ruling by the District Court of Minnesota that there is no mandatory recording requirement under Minnesota law and this led to the the dismissal of the complaint by 87 Minnesota counties against MERS for failing to legally file titles upon resale or transfer.

On several occasions, I have interviewed Dave Krieger, the author of Clouded Titles. He asserts that MERS must present a chain of custody pertaining the to the title of home which follows every sale your title. The popular phrase which surfaced five years ago “Show me the note” was reflective of the belief that before a bank, or a title company repossess your home, the bank/title company must show a complete chain of custody of the note in a court of law. Krieger has provided inservices for various District Attorneys around the country.

In the case of The County of Ramsey and the County of Hennepin, v. MERCORP Holdings, Inc., Mortgage Electronic Registration Systems., et al., the two counties, on behalf of eighty-seven Minnesota counties, filed a class-action suit alleging that the Lenders’ use of MERS System deprived the Counties of recording fees for mortgage assignments by allowing parties to bypass recordation with the Counties causing the loss of statutory recording fees and creating gaps in chains of title. The counties assert that they are being denied revenue from the failure to file each and every home mortgage following a sale. More importantly, this practice leaves homeowners, who may be current on their mortgage payments or may have totally paid off their home mortgage, to being vulnerable to having their home seized because they might be paying the “wrong” mortgage company. In other words, America, when you write out your mortgage check, you cannot be sure that the company that you are writing the check to really holds the note to your home.

Ray Charles could see that this practice is wholly illegal and fraudulent. EVERY SINGLE HOMEOWNER IN AMERICA IS NOW VULNERABLE TO THIS HEINOUS PRACTICE!

The Eighth Circuit also declined to certify a question to the Minnesota Supreme Court as requested by the Counties of Minnesota. The Circuit Court erroneously ruled that, “ … because we believe Minnesota case law establishes that Minnesota law imposes no duty to record a mortgage or a mortgage assignment with the county recorder…”

This is where the ruling gets interesting and casts the court in the light of being a criminal accomplice after the fact. The Circuit Court amazingly cited a number of Minnesota Court cases interpreting the Recording Act that find that recording is permissive. (See e.g., Jackson v. MERS). The Court proclaimed that the district court held that the wording “shall be recorded” in the Recording Act does not require recordation of land transfers, but instead informs parties where they should record their instrument if they desire the benefits of recording the security instrument, namely providing notice of the lien and its priority. In other words, it is now legal to steal and to commit conspiracy in hiding the fact that the bank/title company is engaged in theft.

The Rest Of The Story Here

Fed Caused Oil Crash, Stocks Next

America’s Big Five Are Plunging the World Into Another Banking Crisis

In his story titled ‘Memories of Financial Crisis Fading as Risks Rise’ an AP economics writer Paul Wiseman points to several factors which banking analysts describe as ‘worrying’:

— a surge in subprime auto loans for financially stretched buyers,

— a US Congress recent vote to ease regulations aimed at reduction of risks to taxpayers and of course,

— the unprecedented rise of America’s five biggest banks which now account for 44 percent of bank assets, compared to 38 percent in 2007…

Says financial consultant Peter Koenig, former World Bank economist, based in Zurich:

I think there is what we would call an impending banking crisis. A new banking crisis is looming on the horizon, I believe. And then, of course, there are many layers to this banking crisis and many elements to it. And if I may, I would like to, perhaps, address three of them, which give clear signals that something is not correct and will not be sustainable over time.

The points that I would like to make are not necessarily listed in order of priority, because they are related, and make no mistake – the coming crisis, like the one in 2008, which is still lingering, is planned. And it is planned by the international banking and financial elite, which is led by Wall Street with the support of the Fed and of the European Central Bank.

And, of course, the purpose of that is to make the rich financial elite richer and actually rob the common people of their savings and of their social system. That has been the case before and it is certainly happening again. And that’s what is looming.

The first one of these elements I want to talk about is the derivative market. It is frightening. There currently is an estimated way over $700 trillion globally outstanding in derivatives. And some people say it is over a quadrillion. But I’m conservative, I think this is probably a good enough figure, because it doesn’t really matter at this point. Even the $700 trillion is about ten times the global GDP of 72.6 trillion – an estimate of 2014.

And you look at the five largest US banks, they alone, each of them has more than $40 trillion in derivatives exposure. If they decide tomorrow to call in the debt at once, or even in part, it would create the worldwide tsunami with, possibly, a result in the collapse of the Western monetary system.

Hear The Radio Interview Here

Signs US Economy in Trouble

Is Government Faithful to the Constitution?

By Judge Andrew P. Napolitano December 18, 2014

When the government is waving at us with its right hand, so to speak, it is the government’s left hand that we should be watching. Just as a magician draws your attention to what he wants you to see so you will not observe how his trick is performed, last week presented a textbook example of public disputes masking hidden deceptions. Here is what happened.

Last week was dominated by two huge news stories. One was the revelation by the Senate Intelligence Committee of torture committed by CIA agents and contractors on 119 detainees in the post-9/11 era — 26 of whom were tortured for months by mistake. In that revelation of anguish and error were the conclusions by CIA agents themselves that their torture had not produced helpful information. President Barack Obama acknowledged that the CIA had tortured, yet he directed the Department of Justice not to prosecute those who tortured and those who authorized it.

The other substantial news story was the compromise achieved by Congress and the White House to fund the government through the end of September 2015. That legislation, which is 2,000 pages in length, was not read by anyone who voted for it. It spends a few hundred billion dollars more than the government will collect in tax revenue. The compromise was achieved through bribery; members of Congress bought and sold votes by adding goodies (in the form of local expenditures of money borrowed by the federal government) to the bill that were never debated or independently voted upon and were added solely to achieve the votes needed for passage. This is how the federal government operates today. Both parties participate in it. They have turned the public treasury into a public trough.

Hidden in the law that authorized the government to spend more than it will collect was a part about funding for the 16 federal civilian intelligence agencies. And hidden in that was a clause, inserted by the same Senate Intelligence Committee that revealed the CIA torture, authorizing the National Security Agency to gather and retain nonpublic data for five years and to share it with law enforcement and with foreign governments. “Nonpublic data” is the government’s language referring to the content of the emails, textmessages, telephone calls, bank statements, utility bills and credit card bills of nearly every innocent person in America — including members of Congress, federal judges, public officials and law enforcement officials. I say “innocent” because the language of this legislation — which purports to make lawful the NSA spying we now all know about — makes clear that those who spy upon us needn’t have any articulable suspicion or probable cause for spying.

The need for articulable suspicion and probable cause has its origins in the Fourth Amendment to the Constitution, which was written to prohibit what Congress just authorized. That amendment was a reaction to the brutish British practice of rummaging through the homes of American colonists, looking for anything that might be illegal. It is also a codification of our natural right to privacy. It requires that if the government wants nonpublic data from our persons, houses, papers or effects, it must first present evidence of probable cause to a judge and then ask the judge for a search warrant.

Probable cause is a level of evidence that is sufficient to induce a judge into concluding that it is more likely than not that the place to be examined contains evidence of crimes. In order to seek probable cause, the government must first have an articulable suspicion about the person or place it has targeted. Were this not in the law, then nothing would stop the government from fishing expeditions in pursuit of anyone it wants to pursue. And fishing expeditions turn the presumption of liberty on its head. The presumption of liberty is based on the belief that our rights are natural to us and that we may exercise them without a permission slip from the government and without its surveillance.

Until last week, that is. Last week, Congress, by authorizing the massive NSA spying to continue and by authorizing the spies to share what they have seized with law enforcement, basically permitted the fishing expeditions that the Fourth Amendment was written to prevent.

How can the president and Congress defy the Constitution, you might ask? Hasn’t every member of the government taken an oath to uphold the Constitution? Doesn’t the Constitution create the presidency and the Congress? How can politicians purport to change it?

The answers to these questions are obvious, as is the belief of most of those in government that they can write any law and regulate any behavior and ignore the Constitution they have sworn to uphold whenever they want, so long as they can get away with it.

US Government Most Corrupt On Earth

By Greg Hunter On December 17, 2014
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By Greg Hunter’s USAWatchdog.com

Former Assistant Treasury Secretary Dr. Paul Craig Roberts thinks the only thing that explains the plunge in the Russian ruble is that it is being attacked by America. Roberts contends, “It is not a currency crash in the sense there are no economic reasons for the ruble’s fall. Unlike the United States, which has a massive trade deficit, and if the currency markets were not rigged, the dollar would be collapsing, the Russian economy has a trade surplus. Therefore, there is no pressure on its currency for economic conditions.” Dr. Roberts goes on to say, “This is not some independent action of market forces. So, it’s either hedge funds, currency speculators like Soros, or it’s an Act of War on behalf of the United States government by the Federal Reserve or the Exchange Stabilization Fund. . . or possibly both hedge funds working with the federal government.”

Manipulating the markets, any market, is supposed to be illegal, but don’t count on the bankers going to jail. Dr. Roberts, who has a PhD in economics, thinks, “The big banks, the big Wall Street money, are essentially agents of the government. This is why they don’t get prosecuted. This is why they can break all kinds of laws, commit felonies and settle with a fine. This is what we’ve been watching in the financial arena. When these financial gangsters are caught, instead of being indicted and put on trial, they pay money.”

How could the Russians retaliate? Dr. Roberts says, “If the Russians wanted to do payback, it’s very easy for them. The next time all of these contracts, paper gold contracts, are dumped on the futures market, the Russians need to go and buy them all up, then demand delivery because there is no gold to deliver. The whole system would collapse. So, the Russians could cause a gold squeeze here anytime they want. . . . They would blow the system wide open because they can’t make delivery.”

On war, Dr. Roberts says recent resolutions passed in Congress certainly point to it. Dr. Roberts explains, “These resolutions demonize Russia and define it as a great threat. They call on Obama to arm the Ukrainians so we can use the Ukrainians to fight Russia. In other words, we are going to fight Russia down to the last Ukrainian. Of course, the Ukraine can’t fight Russia. The whole purpose of this is to have the Russians slap them down, then we can go to the Europeans and say see, see the Russians invaded and look how dangerous they are. You’re next. They will be in Berlin tomorrow. They’ll be in London by the end of the week. Paris will fall, and Rome will burn. We can’t wait to tell the Europeans this because the whole purpose of this is to completely break every kind of relationship, economic, political and cultural, between Russia and Europe. That’s what Washington’s goal is. That’s what it’s all about. This includes attacks on the ruble and sanctions. They are setting up a war that nobody can win, for what reason? For American superiority? You don’t have superiority if the world is awash in radioactive waste and there is nuclear winter. The climate has collapsed. The whole thing is an absurdity.”

On the teetering economy and possible economic collapse, Dr. Roberts says, “We know something serious is wrong. The only provision of Dodd-Frank that has any teeth is the provision that says if the big banks are going to be casinos and gamble on derivatives, they cannot do that in the depository institution where depositors have their accounts. They have to farm it out into subsidiaries. So, if the subsidiaries get into trouble, the subsidiaries have no access to depositors’ money. This is the only real reform part of Dodd-Frank. Citigroup got put into the recent spending bill, the repeal of this, so they can gamble on derivatives, and taxpayers and depositors are on the hook for the losses. Why would you do that unless you had a lot of derivatives trouble. It could easily be the oil derivatives. . . . The banks can gamble all they want and they are covered by the FDIC, which has no money. . . . This gives the banks access to depositors’ money. . . . This is sick, and it shows the United States government is the most corrupt government on earth, far more corrupt than Russia or China.”

Join Greg Hunter as he goes One-on-One with economist Dr. Paul Craig Roberts.

(There is much more in the video interview with Dr. Roberts.)

AMERICA’S SECOND 9/11 IS UPON US

16 Dec, 2014 by Dave Hodges

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America’s first 9/11 served to turn America into a police state under dictatorial control. In the name of protecting the people from experiencing another 9/11, it became “necessary” to protect Americans from their Constitutional liberties in the name of fighting the “evil doers”. After 9/11 we saw the creation of the American Stasi and SS organizations in the name of the creation of the Fusion centers, the inception of the Department of Homeland Security, the growing menace of the sexual assault artists from the TSA, the creation of unconstitutional no fly lists, the creation of a government enemies list (i.e. MIAC Report), the implementation of permanent detention under the NDAA, the implementation of an embedded police state surveillance grid under the NSA where no secret is safe and even our pastors became agents of the rogue government under the creation of the Clergy Response Teams.

When X-Files characters of Mulder and Scully used to say “trust nobody”, they must have been talking about the time we are living in.

AMERICA’S SECOND 9/11 IS ALMOST UPON US!

America Is In the Early Days of An Economic Collapse

The absolute and complete destruction of the financial collapse headed our way, is going to manifest in three areas: (1) the theft of retirement accounts, (2) the theft of bank accounts, and (3) false flag(s) distractions to cover the theft of bank accounts and retirement accounts.

The events listed above will arrive simultaneously and will be visited upon the American people like a thief in the night. There will no real warning, only a declared bank holiday that will be declared on a Friday late in the afternoon in order to minimize the publics volatility by planning the roll out of the event going into a weekend. There will be no announcement that your retirement accounts have been looted by the bankers, retirees will simply not receive their retirement checks. Your ATM cards will not work and grocery stores will begin to feel the strain through the weekend as some people will begin to see these events for what they are and begin panic buying and shortages will appear almost overnight. This is why America embarked on the 1033 plan to militarize the police because the military and the foreign troops training on our soil cannot be everywhere. This is also why we are seeing such an increased rate of police brutality across the country, because the police are being trained that the American people are the enemy and in this scenario, they are correct.

Military assets will have been positioned weeks prior to the collapse to contain the rioting that will ensue inside of cities experiencing the most civil unrest. There will be no 9/11 to call, you will be on your own. The rioting will begin in earnest by Tuesday or Wednesday following the closure of the banks. Why? Because most Americans have not prepared for what is coming and they are only nine meals away from life-threatening starvation. Within 72 hours of the commencement of civil unrest, many personnel connected to essential services will walk off the job in order to protect their families on a 24/7 basis. How do we know this is true, just look at what happened in the aftermath of Hurricane Katrina.

The Rest Of The Story Here