THE RULING ELITE CALLED Posted by jimquinn

Posted 07/30/10

I just got off the horn with the Ruling Elite. We had an emergency conference call and to tell you the truth, they ain't happy. You little people are not responding the way you are supposed to. A significant portion of you are not getting more optimistic because they tell you to. Instead of just reading the headline on Bloomberg that durable goods orders skyrocketed in June, you actually read the details that said durable goods orders plunged. It is getting difficult for the ruling elite to keep the masses sedated and dumbed down. These damn bloggers, with their facts and critical thinking, are throwing a wrench into the gears. Obama and his crack team are working round the clock to lock down the internet, but it will take time. Not that they are totally dissatisfied. They've been able to renovate their penthouses and purchase new mansions in the Hamptons with the billions in bonuses you supplied through TARP. The $1.2 trillion supplied by your children and grandchildren to buy up toxic mortgages off their balances sheets was a godsend. They will never call you suckers, to your face.

Their spirits were buoyed by the 2,600 pages DONK (Dodd/Frank) financial reform bill. So many loopholes, so little time. Obama and his crack team of Obamanistas in the White House, supported by their mouthpieces in the mainstream media, have been able to easily manipulate the non-thinking masses into believing this bill would have stopped the last financial crash and will stop the next one. The Ministry of Truth has been working overtime utilizing Federal Reserve paid shill economists like Alan Blinder and Mark Zandi to perpetuate the myth that the actions taken in the last 18 months have averted a Depression, saved 8 million jobs, created a long-lasting recovery, wiped out Swine Flu, and earned Paul Krugman a nobel prize in fiction.

This is where we have a problem. The worshippers of Keynes, that rule the country, are pissed off at you. Don't you realize that government spending of your money, borrowed from the Chinese, with the bill passed to your grandchildren, was supposed to reinvigorate your animal spirits. They handed you other people's money to buy cars and homes and what do you do? You stop buying cars and homes as soon as they stop paying you to buy cars and homes. You ungrateful bastards. Bennie has been hugely successful at ruining the retirements of millions of grandmothers by paying them .20% on their money market accounts while forcing mortgage rates for 30 years down to 4.5%. And still you don't buy houses. Timmy has instructed Fannie Mae to make home loans to anyone with a pulse who can make an X on a piece of paper. No money down, no proof of income, no assets. Just like the good old days. Still you don't buy houses. What is wrong with you?

The criminal banking elite have more than bent over backwards to get this economy humming. They have patiently stood by while you haven't made your mortgage payments for two years while still residing in the house. They've pretended to go along with the brilliant HAMP (Home Affordable Modification Program) plan, masterminded by the rocket scientists in the White House. Just because virtually no one has been able to qualify for the plan and the redefault rate is 75%, doesn't mean it hasn't worked wonders for the economy. The awesome part of not making people pay their mortgages is that they were able to make payments on their credit cards. That allowed the mega elite banks to pretend that consumers are flush and relieve their loan loss reserves while not writing off the bad mortgages and reporting billions in profits for the 2nd Quarter. It is good to be the ruling elite.

The ruling elite are letting you slide on your mortgages and you have the gall to withdraw $20 billion from U.S. equity funds and not buy into this fake stock rally. Don't you realize that when the stock market goes up, the economy follows? Everyone knows this. But, instead you sit on the sidelines and refuse to invest in the stock market. The super computers of the mega-banks are getting tired of trading with each other and single-handedly making the stock market appear safe. Just because the ruling elite have vaporized $10 trillion of your net worth in the last two years, you hold a grudge? Remember the mantra "Stocks For the Long Run" that the ruling elite burned into your brains through CNBC and the rest of the shillstream media? Why are you so suspicious of our advice. Ignore the fact that the S&P 500 today is at the exact level it reached on March 24, 1998. They meant the really really long term.  

Here is the message from the ruling elite to you ignorant masses: Debt got us into this mess and it sure as hell is going to get us out. They have convinced the mainstream media that the reason the economy is sputtering is because the average Joe is not doing their part. This crazy concept of saving for a rainy day seems to be catching on. This is very dangerous. Savings could lead to investment and long-term stability. The ruling elite will have none of that foolishness. The mainstream media is telling you that this new found austerity will push us back into recession. The talking heads continue to pound away that you have reduced your spending too much, when anyone with a calculator and half a brain (Krugman doesn't make the cut) can determine that the decrease in consumer debt outstanding is completely the result of write-offs by the mega elite banks. Consumers are living off their credit cards at this point.

The military industrial complex continues to do the heavy lifting for this economy. If they weren't blowing up bridges, power plants and orphanages in foreign countries and then rebuilding them at ten times the expected cost, how would they possibly spend $895 billion per year. It ain't easy to waste that kind of money annually. Whenever some crazy dude like Ron Paul questions the need to spend as much as the rest of the world combined on the military, some potential terrorists are captured in the nick of time and the threat level is raised to Orange (thanks Tom Ridge). The "professional" journalists on the major networks then do their part in this farce by spreading fear among the general population. Rinse and repeat.

So, we now find ourselves at the edge of the abyss again. The ruling elite have a great plan. It involves more debt, more stimulus, more printing, more accounting fraud, more pain for the masses, and of course more bonuses for Wall Street. If you, the little people, will just follow this 10 step plan, the ruling elite will be just fine:

1. Stocks are undervalued according to the same "experts" who told you they were undervalued in October 2007. Take out a loan and buy mega-banks stocks, commercial real estate developers, and bankrupt car companies.
2. General Motors, in a brilliant strategic coup, has bought  "subprime" auto loan company Americredit. What else does a government/union owned car company need? The fact that GMAC has lost $10 billion of taxpayer funds in the last year shouldn't worry you about your investment in GM. If you can't sell cars to people with no income, no job and no prospects for repaying the seven year 0% loan, who can you sell a car to. When the government pays Goldman Sachs millions to convince you to buy the stock of GM in its Fall IPO, ask no questions and just buy buy buy.
3. Ignore the fact that Citicorp, Bank of America, and Wells Fargo would be declared insolvent if the FASB had not caved into threats from the Federal Reserve and Treasury. Just buy their stocks. Trust Wall Street.
4. Enough austerity already. You haven't bought a new HDTV in six months. It's like you've been living in a 3rd world country. If you have any equity left in your house, borrow against it and buy something big and glitzy. Make sure you show it off to your shallowest neighbors. They will go out and buy something bigger and glitzier on credit. Before you know it we have a recovery. Keynesianism 101.
5. Stop frequenting financial blogs like Naked Capitalism, Credit Writedowns, Dollar Collapse, Market Oracle, 321Gold, Jesse's Cafe Americain, Of Two Minds, Zero Hedge, Mike Shedlock, or Barry Ritholtz. These sites will just shower you with facts, analysis and truth. Watch CNBC, Fox, MSNBC and the other corporate media to get the ruling elite approved view of the world.
6. If you are currently renting or living in your mother's basement, have no job, no savings and no prospects, Fannie Mae wants to put you in your very own house. Mortgage payments are optional. The 50% of Americans that pay taxes will gladly fund your new abode.
7. If you are approaching the 99th week of unemployment, have no fear. The ruling elite will use the MSM to run hundreds of sob stories about only two years on the dole being immoral and cruel. The White House will present a study from "impartial" economists that proves that extending unemployment benefits to 156 weeks will create or save 3 million jobs.
8. The stress of this recession has been too much. You need to whip out that credit card and book a trip to Disney World or Dollywood. Worry about funding that 401k sometime in the future.
9. Unquestioningly accept the fact that Iran is an imminent threat to your safety and liberty. Support the obliteration of this evil nation based upon information provided by the CIA (WMD slamdunk) and the Israelis.
10. Lastly, call your Congressman and tell them to extend the tax cuts for the rich. As you have probably concluded, the ruling elite are rich. They don't like paying taxes. That is why they employ thousand of tax lawyers. Since the expiration of the Bush tax cuts will hurt the ruling elite the most, a full court press of disinformation is in order.

The ruling elite expect you to comply without question. Have they ever led you astray before?

"WHAT IF WE GIVE EVERYONE A HOUSE AND A PRE-APPROVED CREDIT CARD?"

"CAN YOU BELIEVE THEY GAVE US $700 BILLION? WHAT ARE YOU DOING WITH YOUR $40 MILLION BONUS?

WHAT COMES AFTER A QUADRILLION?

"3 Reasons The New Financial Regs Won't Fix Anything" Posted by Matt Hawes

Posted 07/16/10

http://www.youtube.com/watch?v=_ehjC_XUsWE  (H/T: YAL Blog)

Thanks, Scott Brown Posted by Matt Hawes

Posted 07/15/10 Last updated 07/15/10

Once again, Scott Brown, Susan Collins, and Olympia Snowe have caved in to the demands of the Senate majority and helped enable the passage of a horrendous bill.

Cloture on the Dodd-Frank financial "reform" legislation was approved 60-38.  See the vote here.

Update: The bill cleared final passage 60-39.  See the vote here.

The K Street Funnel Posted by Tim Shoemaker

Posted 06/23/10 Last updated 06/23/10

We've written several articles and letters to you explaining the dangers of the DISCLOSE Act, and here Tim Carney takes a look at some of the motives behind why Democrats would seek to impose new regulations on the First Amendment.

In January, when the Supreme Court ruled in the Citizens United case that Congress shall, in fact, make no law abridging the freedom of speech, Schumer warned, "This opens the floodgates and allows special interest money to overflow our elections and undermine our democracy." Schumer, as the top recipient of money from Wall Street, real estate, and the insurance industry, knows about being awash in special-interest money.

So is he just blowing smoke? Not exactly. Citizens United overturned a federal ban on organizations using money to praise or critique politicians just before Election Day. In other words, businesses, unions and activist groups are now as free to talk about Chuck Schumer's proposals as Chuck Schumer or the New York Times are. This is no good for Schumer, not only because it makes it easier for criticism of him to reach Americans' tender ears, but also because it allows groups and businesses to go over his head, so to speak.

Now, business can speak directly to Americans. This mitigates their need to beg politicians and hire lobbyists. That's bad news for politicians, who may speak as if they despise lobbying but who regularly tell business to lobby more.

There are numerous reasons politicians prefer business to hire access-based lobbyists.  First, there is a well documented revolving door between Hill staffers and K Street lobbyists and second, is the money.  Access-based lobbyists not only donate their own fortunes to party campaign committees, but those of the industries they lobby on the behalf of as well. 

Following Schumer's money helps explain why politicians want all political discourse to be funneled through the crooked mile that runs from K Street to Capitol Hill. According to the Center for Responsive Politics, Schumer is the No. 2 recipient of lobbyist contributions so far this election -- Senate Majority Leader Harry Reid, D-Nev., is No. 1. All of the top seven and 11 of the top 15 are Democrats. Democrats have raised $11.7 million from lobbyists this cycle -- twice as much as Republicans have raised.

Issue-based advocacy organizations such as Campaign for Liberty do not raise funds for politicians.  We are a thorn in the politician's side by subverting the K Street funnel and directly communicating with their constituents regarding their actions during the legislative season.  Politicians will do anything they can to avoid the legislative and electoral seasons from being tied together.  What they hate the most is when they are held accountable for their actions taken during the legislative season in the electoral season, which is exactly what the Citizens United ruling allowed. 

As Carney concludes...

Speech restrictions draw businesses to K Street, where politicians can more easily demand cash and cooperation. Who wants the First Amendment ruining such a fine arrangement?

(H.R. 5175 - The DISCLOSE Act will likely come before the Rules Committee today and be on the floor for a vote tomorrow - keep the pressure up!)

Why is the gun rights lobby helping Chuck Schumer help unions? Posted by Matt Holdridge

Posted 06/18/10

From WSJ.com:

The National Rifle Association slipped into a Beltway backroom this week to cut a deal with Democrats on their new campaign-finance legislation. Conservatives are ripping the gun-rights group for selling out free speech, and fair enough. But don't underestimate the political sellout. The NRA has potentially armed unions and Democrats for the midterm elections.

To understand the bigger game behind the DISCLOSE Act—which the House may vote on today—look no further than its two authors: New York Sen. Chuck Schumer and Maryland Rep. Chris Van Hollen. What has brought these two men together in a sudden and fervent (and previously unexpressed) passion to now lead the campaign-finance wars?

Mr. Van Hollen currently heads the Democratic Congressional Campaign Committee. Mr. Schumer, until recently, headed the Democratic Senatorial Campaign Committee, and remains a member of his party's leadership. Put another way, Mr. Van Hollen and Mr. Schumer exist to protect incumbents and elect more Democrats.

The story goes on,

And the unions? Carved out. The bill technically requires both corporations and unions to report donors of more than $600 a year. But that number wasn't pulled out of a hat. The average dues of the nation's 15 largest U.S. unions were $377 in 2004. And while government contractors are restricted, the bill contains no such bars for unions that receive federal money or have collective bargaining agreements with government. The AFL-CIO and SEIU can continue speaking loudly and anonymously.

The one hang-up: The NRA. The gun group was bitter (and rightly so) that it would have to out its own donors. And its pressure on those Blue Dogs that it helps in elections was making it hard for Democrats to round up the votes. The result was this week's special deal, which was tailored to exempt the NRA from key disclosure burdens.

Finally,

As for the bill itself, even some Democrats have admitted it is likely unconstitutional. But the goal here isn't lasting legislation. The goal is to have this in place for this midterm election, when Democrats are at a low point, and when an empowered union base and a silenced corporate presence could make the difference between keeping the House and losing it. If the Supreme Court strikes it down after that, so be it. Cynicism at its finest.

The NRA's worst nightmare is that the courts strike down its blatant carveout and leave other parts of the bill intact. The group would then get to live under the same restrictions it helped impose on the rest of the country. Until then, the organization can wake up each morning knowing it handed a bazooka to the unions that exist to elect Democrats who oppose everything it believes in. Some deal.

Read the rest here.

Contact your representative today and urge them to oppose the "DISCLOSE Act."