The Roads to Hell ALWAYS Emanates from Government

After re-listening to speeches by Senator Elizabeth Warren, and Professor Jeffrey Sachs, that were given during the heat of the subprime meltdown, I was reminded why we will crash and burn before any true reform will be proactively implemented.  The same pattern of propaganda can be seen in Ukraine, Syria, and Iraq, where the pyromaniac’s in govt call for the US fire department after the US sets the fires.

The path to recovery must start with first acknowledging that you have a problem – and government has a big problem. Unfortunately, we have far too many psychopaths and sociopaths in govt – and the ones that aren’t crazed by power are narcissistic and so full of hubris they are incapable of even apologizing, much less admitting they made a mistake or that govt is the problem. What’s worse is the followers of these self-centered people suffer a cognitive dissonance that’s so severe they will go down with the ship, as if they were Bernie Madoff’s wife.

Business owners are no different from citizens that vote for the politician that will give them the most hand-outs. Like most enterprises, corporations don’t like competition, and many will do anything to gain an advantage, including committing fraud and bribing politicians. Govt doesn’t like competition either, and because they have the most power, those in powerful positions like their perks and power and want to keep it – which leads to even greater abuse.

obama 3 branches

Govt says they want to protect the consumer and prosecute corporate abuses. Instead, their ACTIONS implicate them as accomplices, as they chose not to prosecute the fraud and equally apply the rule of law. Who reversed Glass-Steagall by passing Graham-Leach-Bliley? Who unleashed the financial weapons of mass destruction (derivatives), and still will not rectify the problem? Last I checked, the CFTC, SEC, and Justice Dept are all part of govt. Who has not sent a single high-level banker to prison for fraudulently representing mortgage-backed securities, or manipulating LIBOR and municipal bond rates, precious metals, etc?

I suppose the govt doesn’t benefit much from sending fraudster to jail, compared to extracting large fines to fund the continuation of their jobs, perks, and power. Unfortunately, a bank robber is not discouraged if his only crime is paying a few percentage points of the take. I wish Ms. Warren, Mr. Sachs, and their supporters would please explain how more of the same is going to fix our problems.

Those that justify confiscating more taxpayer money or hunting American’s capital abroad (through policies like FATCA), fail to understand that capital seeks safety, even if it has to hide under mattresses. The only way we will ever recover from the squeeze of deflation and inflation is through innovation – and innovation requires capital. Govt’s insatiable thirst for cash, the refusal to prosecute the banksters, and the NSA’s hunt for cash (not terrorist) are causing capital to hoard and flee, which will destroy our economy and country. In fact, just today, China revealed it will have replacements for Microsoft, Apple, and Google shortly. One might recall that China, Germany, and other have announced they will stop buying certain US electronics for fear they might contain back-door spying capabilities.

The common and mistaken narrative from both ideological camps is the same – government can solve the problems, even though they are the source of the problems. Whether we are dropping bombs or printing money to cover-up previous mistakes, govt only makes the problems worse. Out of ignorance or ideological blindness, both sides fail to acknowledge the leading role played by govt in the ever repeating problems and crises. Of course, anyone that knows the tactics of govt understands that they have become infamous for creating problems and then positioning themselves as the solution.

Ms. Warren, like so many in govt that want to appear understanding and sympathetic, can articulate the problems very well – after the fact. The problem is their solutions always involve more govt, which is the source of the problems. The military analogy is calling for boots on the ground to defeat ISIS/al-Qaeda, when it was our own govt that provided weaponry to these same terrorist groups.


Even our own police are killing their fellow citizens at a rate that makes it 800% more likely to be killed by a cop than a terrorist (the latest data shows US police have killed 409 Americans, versus 8 for the Germany police, and ZERO for British and Japanese police). As a side note, it is critical that we reach as many police as possible to educate them on what their govt’s are capable of doing, and what they may be ordered to do, once the economy turns down again as we head into 2016. The civil unrest and confrontations with police will only increase as the economy weakens, which will not peak for another 4-5 years. The police must stand with the people, and not with their corrupt govt’s.


Govt sympathizers, like Ms. Warren and Professor Sachs, always gloss over the fact that the corporate lobbyists, that bribe politicians for favors, would not be successful if the politicians did not accept the campaign contributions (bribes). Because politicians place more value on their careers than the well-being of their constituents, they are also easily blackmailed (BTW, a proven function of the NSA is to find the dirt on politicians, military leaders, and other influential people for the express purpose of blackmail). Until the system is reformed, adding more regulations and regulators only means the problems and revolving doors get bigger.

Professor Sachs correctly states that big corporations have taken over politics; and that lobbyists, especially in the banking and health care industries, are a cancer on our political system. Any American that is half awake understands that we have too much money in politics, but what have the politicians done about the problem? Notorious lobbyist, Jack Abramoff, wrote extensively about the corruption in DC in his 2011 book, Capital Punishment. What was made clear is that the fraud and corruption are ALLOWED to metastasize because both parties benefit, immensely!  The politicians get rich and secure the necessary funding to buy propaganda commercials to get them re-elected, and the corporations get a phenomenal return on their investment (bribes).

As documented in a 2009 empirical study,  that measured the Return on Investment (ROI) from lobbying expenditures, multinational corporations are benefiting quite nicely from their bribes. Specifically, they are receiving benefits in excess of $220 for every $1 “invested”, or 22,000%. Of course, the vast majority of the benefits are unrelated to what is best for society. This cancer could immediately be cut out and removed if Congress would simply outlaw the practice with harsh punishments. However, they don’t, for the same reason they don’t outlaw insider trading for Congress, or term limits,  or force members of Congress to live by the same laws they force on everyone else. Again, how is more of the same going to fix our problems?

There will be no meaningful reform until short term-limits are in place, and those in govt are forced to live by the same laws they pass. I suggest de facto term limits until the message is received (vote out EVERY incumbent, every election, where incumbent includes anyone that has ever served in the past).

Why do people like Sachs support the G20 and believe in global governance, even though the evidence clearly shows the larger the organization, the more corrupt and inefficient they become? The problems with the G-20 are no different from the corrupt EU, IMF, and UN.  Govt’s and their supporter’s preach a Utopian view of the world to gain power, and then when the math forces reality into the open, govt throws the people under the bus. The next major sacrifice by the folks will be the donation of their pensions, retirement accounts, and even demand deposits. When insolvency causes the govt to “bail-in” their citizen’s money, what will govt sacrifice?  Will civil unrest grow or shrink? The problems caused by the insatiable demands of govt repeat throughout history because the passions of man never change. Even the citizens of that Socialist posterchild, France, are beginning to recognize that govt might just be the source of their problems.

With so much faith in govt, one would think these govt supporter’s would question why their govt has declared war on journalists and whistle blowers. Does anyone see the naiveté of people expecting truth and transparency from a body that loathes the very idea of truth and transparency? The mystery of our time is how people continuously place so much trust in the same group of people who lie to their face about virtually everything.

Ms. Warren and Mr. Sachs NEVER acknowledge the role govt has played in EVERY crisis and problem.  Lower education cost would be solved the same way lower health care cost could be achieved – allow competition and stop creating (subsidising) more dollars that chase limited goods. Who passes the laws that prevent the competition and facilitates excess dollar creation?

The American family would be better off if the govt contracted to the size supported by the taxes is can collect (no deficit spending), and if the govt did not outsource the money creation business to the Fed, which has caused accumulated interest expense to make up the majority of our nations debt. Congress could also eliminate fractional reserve lending, but none of it will ever happen because politicians care more about their careers than anything else.

Flawed and fraudulent govt policies, founded in Ponzi economics and unsustainable promises, are never able to satisfy the insatiable demands of governments, that always drive them to insolvency, which requires distractions (often wars) that the masses are more than willing to lap up. Why can’t people connect the dots and see how civil unrest and wars always follow economic collapse, which has always been caused by govt – due to the decline in disposable income and capital fleeing a desperate govt?

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