The Hank Paulson Failure

I cannot say this is a conspiracy, but it reads like one. The long term plan appears to have been to kill American labor in favor of a new, more esoteric economy called finance. Finance,the rich man's clean way to make money, without getting one's hands dirty or putting up a cent of one's own cash, was put onto the racetrack by Alan Greenspan after Ronald Reagan gave it his head nod.

Greenspan's plan was to create unfettered free trade, and an unregulated world-wide free market full of leveraged derivative sales. He and his investment banker clones were giddy knowing that they could create huge piles of wealth just by taking debt, without ever having to hold a fraction of real capital. "Leverage me out!" "How far can we magnify a single dollar using these debt instruments", said Humpty Dumpty's investment banker?

Now, here we are with a Congressional $700 billion bail-out, with $150 billion in John McCain-Make-Mine- Tenderloin! Pork. I thought he hated pork? In that bill, the little guy and gal will have their life savings bank deposits FDIC insured. Doesn't that give you piece-of-mind?, until you find out you might have to wait 10 years to get your insurance check! Yes, the FDIC can take 10 years to settle your claim. Just how long can you wait? It might be better off under your mattress. At least, you can get at it when you need it. 

Can we trust the very people who created this financial meltdown to also oversee the implementation of the Paulson bail-out? That is what is happening. Paulson has assigned his pal from Goldman Sachs, Neel Kashkari (or is it cash n' carry) as his point-man to manage the flow of authorized congressional bail-out dollars as the financial institutions line up for their share. Also, another one of Paulson's thieves, Lloyd Blankfein, chairman of Goldman Sachs, was present at, what can be now called the International Treasury Heist Planning Meeting, which took place at the New York Federal Reserve Bank where a strategy conference on the implications of an AIG failure was laid out for the Bush Crime Family and their Bosses to "understand".

I love it when McCain says to Obama, "You just don't understand." That is correct, John Boy. He doesn't understand because Obama is not part of the Bush Crime Family like you are! It is a segregated club; don't you know? Only Republicons are let in. They're the only ones stupid enough to drink the Jim Jones Kool-Aid over and over again. Yet, brain-dead bobble-heads like McCain and the Gangstas are the only fools who would listen to a guy with an approval rating of 25% and falling. 

 

If AIG went bankrupt, Goldman Sachs would likely lose $20 billion. "We can't have that; 

can we, Paulie?", said "da Family" to Hank Paulson. This is why Paulson needs to be summoned to talk in front of a Grand Jury regarding his actions and his conflict-of-interests.

Paulson is roller skating on ice. Not just any ice, but thin ice, at best. He just cannot seem to get anywhere with any skill or accuracy. He gets the bail-out of $700 billion that he wanted so the world's central banks, especially China, which holds $400 billion in toxic derivative debt, can dump it on the U.S. taxpayer in exchange for freshly color laser printed dollars, in order to get re-capitalized. But on Tuesday, he switched gears and began to bail-out the Commercial Paper debt market so very short term commercial borrowing could continue. Just tell me who will borrow? Bush-brain tells us that auto dealers need to borrow to put new cars on their lots. Who is brave enough to buy a new car right now, unless they have enough expendable cash to part with? I guess, paying down one's house debt is not always a personal priority. Adding a new car loan takes precedence. This seems to be a time to reduce one's debt burden. Not increase it. Our president went on to tell us we need more McDonald's restaurants and they need some bail-out cash to build them. HUH? Did he mean that there aren't enough of them already during what appears to be an economic downturn? Rollin', rollin', rollin', that cash stream ain't but swollen, keep those bucks a movin', Rawhide.

Paulie, there is only $700 billion in your piggy bank. So, focus! Has he captured the golden egg laying goose yet?

Paul Craig Roberts (Counterpunch.org; "Can a Bailout Succeed") asked how does he stretch out $700 billion to cover $2.3 trillion in mortgage-backed securities held by "20 of the nation's largest financial institutions?" How will "the Paulie" do it? Mr. Roberts went on to state that the $2.3 trillion does not even include mortgages that were transformed into more complex derivatives, such as collateralized debt obligations, and then into, and more than likely, credit default swaps. WOW! That would be quite the clown trick. "Watch me pull a few trillion out of my hat. Presto!"

The stock market cannot seem to get any legs to hop and remain into positive territory without the Plunge Protection Team pitching money into the market, in spite of an investment bank and commercial paper debt bail-out. Why? Don't they trust the Goldman Sachs bagman? The sky IS falling Chicken Little and the world markets are getting hailed on.

Mike Whitney (Counterpunch.org; "Still on the Edge of the Abyss"; 10-6-08) quoted Henry Liu in his article "Liquidity Boom and Looming Crisis", in the Asia Times, "Unlike real physical assets, virtual financial mirages that arise out of thin air can evaporate again into thin air without warning. As inflation picks up, the liquidity boom and asset inflation will draw to a close, leaving a hollowed economy devoid of substance...A global financial crisis is inevitable." 

Main Street translates that into " The ride, it ain't over. We're on the way down, so hold onto your hat, Joe!"

Thanks for reading, Jerry

The October Surprise-The Final Bailout, a New Faith-Based Initiative

Barack Obama demonstrated an observation John McCain had made of him, although for a  different reason one might expect. McCain called Obama stubborn. How right he was! Obama had stubbornly given McCain too many passes during the debate. For one thing, McCain needed to be called on his view that the surge had worked, therefore the war in Iraq strategy was correct. Wrong, John! The reason the surge had quieted the bloodshed is not a result of the troop increase but because Muqtada al-Sadr declared a ceasefire BEFORE the troops landed on the ground. Al-Sadr will likely make a run for Iraq's prime minister position, therefore he wanted to quiet the resistance.  In addition, the Pentagon paid the Sunni Awakening Council millions of dollars to resist shooting at our soldiers, while we occupy Sunni territory. But the original mission of the surge was to give "breathing room" to the Iraqi parliament so they all: Kurds, Sunnis, and Shias could come to a power-sharing agreement. This has not happened; and, a year has passed! Therefore, the mission for the surge has failed.

A second Obama "Rope-the-Dope" opportunity missed was McCain's "love for the troops" statement, and how his "take care of them" line was false. McCain has not taken care of them. He voted against increasing funds, early on and before the outrage over the lack of protection for soldier safety, which Rumsfeld failed to deliver. The nation's anger over the lack of body armor, and inadequate Humvee plating became a huge outcry. Plus, soldiers were calling for additional time off between deployments, and "Stop-Losses". Soldiers were not even offered the same G.I. Bill that McCain was offered; nor were soldiers receiving timely medical and psychiatric care; injured soldiers even had to pay for their own clothes and phone cards while in the hospital; and, we all recall the deplorable conditions that Walter Reed Hospital had fallen into. All of these examples were not championed by McCain- the Change Candidate, the Maverick, the Outspoken One; and, he had to be led kicking and screaming to "take care of them". McCain did not vote for additional down time between deployments. His reason to vote against the upgrade to the G.I. Bill was because he felt soldiers would not stay in the service long enough for his liking. He voted with the president over 90% of the time. 

Obama needs to get-up-to-speed and utilize every defensive and offensive strategy available, otherwise the mentally-ill Republicon candidate will, once again, frame the debate. 

Also, it is OK to acknowledge specific points that you and your opponent agree on, but limit them to one or two. Keep the rest to yourself, Barack!

If Obama has not realized that McCain is a mean, angry, and mentally-ill individual, at this point in the race, then he has a real problem. When McCain got up on stage to debate Obama, he fell back into his months as a POW mustering his deeply rooted survival mechanisms needed to resist the physical and mental torture laid on him by his Vietcong captors. McCain has never resolved those psychiatric problems, and therefore, would use them as president, negatively impacting upon his decision-making, if elected. In addition, his judgement is impaired. Just look at his choice of a running mate. What was wrong with Olympia Snowe, John? Not dumb enough? Too much experience? Not a strong enough Hillary vote grabber? Oh, Olympia couldn't see Russia from her house! And, did not have a witch-doctor for a pastor; or read too many newspapers; or could recall more than one Supreme Court case. And, of course, did not look like Tina Fey!

As Michael Whitney ( Counterpunch.org) described in his article, (of which I will add literary color!), Hank "The Paulie" Paulson staged a take over of the entire financial system not unlike a small time crime boss gathering forces to overthrow a kingpin crime mobster's money laundering business. Whitney said, "He rose to power in a stealthily-executed Bankster's Coup in which he, and his coterie of dodgy friends declared martial law on the U.S. economy while elevating himself to supreme leader." This even held true on 10-1-08. It is Paulie's October Surprise, aided and abetted by the Congress, and his side-kick Bada Bing Bernanke. These two cranks held the congress at gunpoint threatening to blow the lid off of the entire pop-stand if they didn't turn over the money. "Give me the money or the whole place will go up in smoke." Then he turned to the knee-shakin' bankstas, and said, "I own ya know, boys!"

Mike Whitney went on to write that "the days of the republic are over." Section 8 of the first bailout bill said that--

                 "Decisions by the Secretary pursuant to the authority of the Act are non-reviewable                      and committed to agency discretion, and may not be reviewed by any court of law                      or any administrative agency."

Does this sound like a democracy? Neo-fascism has now been passed into law by Congress. This is a milestone moment. The Republicons, and assisted by Democons, have moved for the legalization of corruption and to be directed by a unitary executive Treasury Secretary, assisted by the Federal Reserve chairman! The foxes are now in charge of the henhouses. "No one comes in or goes out without see us first, hens!"

Obama voted "yes". It is all about the bankstas, who have brought nothing to economic growth but a financial tsunami, while abandoning a national economic CPR plan which would begin to improve economic growth. Peter Morici, Noriel Roubini, Dean Baker and others have outlined a plan that would not reward the fraudsters on Wall-Street. Unfortunately, Obama is not listening to them, either. Nobel Prize winner, Joseph Stiglitz, and Jared Bernstein are at the bottom of his advisory list, and these two should be at the top. Peter Morici's article describing how we got to this point, and his excellent solution to the crisis can be read here.

There was no Democratic congressional outrage over the Putin-style takeover of the private financial system by the Treasury and Fed, enriching these corrupt Wall-Street CEOs who will show gratitude by writing large campaign contribution checks to the Republicon Party. Will the capitulating Democons be left out? "Oh please, throw me a bone!"

The Act stated this: "designating financial institutions as financial agents of the Government, and they shall perform all such reasonable duties related to this Act as financial agents of the Government as may be required of them." I guess this means that loans will be dished out as dictated by the Government! Only those who give sizable campaign contributions are allowed into the newly established Mr. Paulie's Credit Club House.

There it was laid out by the kleptocracy that the U.S. government now controls the financial institutions, which will be paid for by the taxpayers. Don't you feel excited to be part of the game now?

According to a highly respected economist, Michael Hudson, the Treasury will use $800 billion from the Social Security Administration's account to bail-out/buy-out the Banksta Gangsta fraudster's over-leveraged, under-capitalized, and value-less toxic derivatives sitting on their balance sheets. Go ahead and use the middle classes' freshly withheld and hard-earned social security contributions. Steal from the poor and give to the ultra-rich who gambled it all away and now want a government handout so they don't miss payments on their existing vacation homes, or luxury cars, or Radcliffe tuition payments, or Lear jets, or Italian vacations, or 500 karat diamond necklaces. These bankstas are very likely Republicons who don't even pay a fraction of their incomes into social security, while most of us pay 100% of our incomes into the fund.

Bush, Paulson, Bernanke, and now, Obama, and McCain, along with their human side-arms, held a gun to the heads of millions of Americans, making up a majority of them, called, emailed, protested in the streets, and faxed their voices by bellowing out that they do not want to take the poison pill, which they were told was the thing to do for the country. They are all like the preacher, Jim Jones, who told his cult followers to take the Kool-Aid suicide drink for the good of the cause.

I cannot even recall Bush or his crime family henchmen ever doing ANYTHING for the "good of the country" unless it involved a Lie-Based Initiative Greed Program. Read the Act here. Dig more here.

Are you happy that the Royal Bank of Scotland and every other foreign central bank in the world holding bad debt will get a chunk of bailout money by selling it to the Treasury, and in return will receive bailout taxpayer money? Why? To keep them from dumping dollars on the open market? Now, it could also be to allow those banks to freely obtain Treasuries which could later be used to BUY Treasuries, next year, to help pay for an increasingly rising budget deficit. Today it is $410 billion. Will it be higher for 2009, and not lower as Bush has projected? 

The Russian president, Medvedev has said today in the Australian News that U.S. economic hegemony is coming to an end as he spoke before a Russian-German development forum. "We must work together towards building a new and more just financial-economic system in the world on the principles of multi-polarity, supremacy of the law and taking account of mutual interests." Does it really matter exactly why we got ripped off other than we got ripped off? It has been done. Here is another tidbit about the bailout. Banks can hold as little as ZERO reserves to cover deposits.  How about that? This bailout has nothing to do with Main or Side Street as the Bush Crime Family and their congressional surrogates have led us to believe. It is about protecting the Crime Family and those linked to it worldwide. It is about protecting the wealthiest among us and keeping their purses full. No bankruptcy courts for them. No transparency for their balance sheets or debt valuations. No indictments.  Steely Dan wrote a song in the 1970s called Royal Scam; and that is what we now have before us!

Obama said today, 10-1-08, that if he becomes president, he will thoroughly examine the bill and make sure the taxpayers are paid back in full. Oh yes. Don't you feel better already? Once the house catches fire, in a few months, he will come back with the fire extinguisher. 

Barack,  you really give me comfort.

Thanks for reading,  Jerry

TIDBIT: McCain says that because Sarah Palin was a PTA member helps make her qualified to take the seat of the president, if need be. He went on to say she has experience, yet Obama doesn't have experience? Is McCain of sound mind? Watch the clip here.  Watch the entire 9-30-08 Des Moines Register interview here.

POSTSCRIPT: We have been saying all along that we don't need these big financial institutions to function as a nation! Watch the Dr. Dean Baker video on the next page. I agree with his assessment that we don't need these banks. Only the shareholders, and CEOs want this bailout! Just tell the depositors to remove their life savings and redeposit it in their local and regional banks.

A Letter From John McCain To His Supporters

Hello My Friends,

I am so glad I can write to you on my new computer. I have been taking lessons from Sarah Palin's future son-in-law, Johnson Inmi Levi, or something like that. Now, you have probably heard that I am a technophobe when it comes to these new fangled computer things. The reason for this is because Cindy, who owns more homes than all the president's combined living today, feels it is just too hard for me to carry it around from one home to the other. Sometimes, we don't know where we are going to sleep from one night to the next. To set it up, plug it in, hook up the printer, and all that stuff, it ends up being too much work for me. It is so much easier to carry my fountain pen and a few cocktail napkins if I need to write down anything important.

You know, Barack might have raised many more campaign dollars than me, but I have more Facebook friends than he does. I am so popular. People say that I have a lovable face. Just as they say similar things when speaking about Alvin the Chipmunk.

It is now coming out that I was a critical component in the bringing of the Blackberry into the marketplace. Now, didn't they say something like that about Al Gore and the Internet? And, didn't I poke fun at him for being such an elitist? Anyway, I just love to mix those Blackberry's in with my yogurt, and flaxseed. It is so good for ya, too!

For years, my friends, I have been referred to as a Maverick. It is great to be in the same league as James Garner! Ya' know, he was a Maverick, too. I have been fooling everyone because I am really no Maverick. Actually, a person who is a maverick is one who stands up against those who are trying to persuade him to go along with them. But, my friends. I have done just the opposite over the last 8 years. I have voted with the president's wishes over 90% of the time. I have voted with the president when he wanted to go after Saddam and gin up a war based on lies, as well as with his war on terror, which will likely cost all of us nearly $2 trillion, and when he decided to create the bloated Homeland Security department, the largest entity in the government next to the Pentagon. It has been great giving HLS grants to the states, such as Wyoming, which have been supporting my political party. They were getting more money, per capita than New York City, the very site of the worst terrorist attack. Now, you might not think Wyoming needed such an infusion of HLS monies, but Dick Cheney did. Anyway, you don't want to piss off Dick, if you get my drift. Even though it has not made us safer, my friends, it has made us travel lighter. You don't need to carry on all that shampoo or toothpaste on the plane with you. The hotels give you all you need. And that is a good thing.

I want you to know that I voted with the president when he kept jacking up the fiscal budget deficit, which is now projected to be in the hole $410 billion, which is nearly twice that of last year, (and I don't mean Jackson Hole, Mr. Dark Side),  and the national debt, which is reaching $10 trillion. Now that the government assumed Freddie and Fannie's guaranteed $5 trillion mortgage debt, the total is now over $15 trillion! WOW.  I just love to spend money. Just look at my shoes! Also, did you know that the United States is a $13 trillion economy? Our debt is now bigger than our economy. Don't worry too much. I think Sarah can help me fix that. She has a lot of experience with dat, or should I say debt.

I know it has been hard on all of you in the middle class. You know, that's anyone living on Main Street or Side-Street who is making under $5 million per year. It is hard to see your jobs being shipped overseas. And, I am responsible for that, but I sure like those cheap items we can now buy at the Dollar Store or Wal-Mart. (OOOOH, that smarts.) Don't you think so, too?

I enjoyed voting on behalf of the president's request to give our Pentagon a budget that makes up one-third of our yearly expenditures, which has now reached $2.9 trillion! Yikes! "Cindy, that is more than you make in a year!"

I have sided with the president even this year, when I helped him usher in a record high current account deficit for the first quarter of 2008, which has reached $176.4 billion! That means we imported more goods and services from elsewhere than we exported to other countries by $176.4 billion. Doesn't that make you feel better now? We have to continue to lower the value of our great dollar in order to start to catch up.

Sarah and I want to drill, drill, drill away from foreign oil. By drilling off-shore our coasts. We might get somewhere around 200,000 barrels per day in around 10 years, but already, we are seeing a decline in our oil usage by around 600,000 barrels per day. Conservation is already working, but that does not help my friends at the oil companies make their yacht payments! Alternative energy is good, but nuclear is better. I want to build more nuclear plants, even though we have not solved our current problem of safely storing the nuclear waste. Wind and solar and geo-thermal are great, but then the power companies might just have to buy back your extra-solar energy. Exxon would not like that.

Oh yes, my friends, I even took the bold stand, along side our president, by voting against an upgrade to our tried and true G.I. Bill. I felt that by giving our returning soldiers, who fought so gallantly in Iraq and Afghanistan, a G.I. Bill that would allow them to receive a full and complete education paid for by all of us, was just too much to ask of them. Even though my father and grandfather were admirals, and I was a P.O.W, I don't know if you know that about me, I decided to stand up, instead of standing down, on behalf of our soldiers. You understand, don't you?

My friends, you have heard me talk about the fundamentals of our economy. They are strong, you know? They are strong for all of my friends in corporate America. All of our dear campaign-contributing friends, who have made huge sums of money running such failed companies as Enron, Freddie Mac and Fannie Mae (I just love her chocolates!), Merrill Lynch, Countrywide, AIG, Morgan Stanley, Lehman Brothers (You know that those guys were Jewish; just like my mench friend, Joe Lieberman. They're my friends, too.), and Halliburton. You get the idea.

I know it is a little hard for my postal carrier, barber, neighborhood teacher, bus driver, cashier, and others to make ends meet, but remember, the fundamentals are strong. President Bush, and Carl Rove told me so. Or, is it the fundamentalists are strong. Oh, I can't remember which way that all goes. Sorry, my friends! I'll have to ask Sarah Palin about that one.

And yes, former Senator Phil Gramm, the very person who was instrumental in taking down this economy back in 1999, along with his friend, Alan Greenspan, and even though the fundamentals are strong, as I am told, was my key economic advisor until he called all of you "wimps and whiners; and had psychological-recession-on-the-brain problems." I had to fire him. But he still comes over and we hang out. But it is all for fun now. I replaced him with Alaskan Governor Sarah Palin, so she can help me with all those important economic details, as my running mate. Or, am I HER running mate? I can't remember.

I have stood by my friend, George Bush, even though he humiliated me and my family when I ran against him for the 2000 nomination to be the Republicon candidate for president. He was so evil to me, but, you know, I had to give it up, suck it in, put on a happy face, show a stiff upper lip, raise my head up high, turn the other cheek, let bygones be bygones, stop crying over spilled milk, show my good side (I am not sure which one that is.), kick up my high step, whistle a happy tune, and let it all float under that Bridge to Nowhere so I could have MY TURN to be King! I wannabe the Change President. You give me a dollar, and I will give you back fitty cents in change. That's the new economy I talk about, my friends. You gonna like it!

I have told America that I do not like lobbyists, yet I have had 133 lobbyists work on my Straight Taking, or is it Talking Express campaign, just because there is no one else around here in Washington to hire! The place is bone dry. If they aren't lobbyists, then they are politicians. SO, what's the difference? You take what you can get, as they say.

I want you to know, my friends, that I want to raise your taxes, but don't spread that around! There are a lot of bail-outs to pay for. It is very likely, if I become president, I will have to raise your taxes, just because so many people are out of work, real wages have declined, and consumers are not spending as much, which is shrinking the overall economy. (Did you know that consumer spending makes up over 70% of the GDP?) It is not right for Barack to just raise taxes on the upper income groups, and corporations, who deserve to not pay any taxes. Let's lower their tax rate to 0%. You wouldn't mind, would you? Barack would cut the tax rate for 95% of workers and their families. He would raise the tax rate on the upper class from 35% to 39%. That is just horrible! We cannot have that! That would cripple us. President Eisenhower had the top upper class tax bracket pay 91% in taxes (1954-1963). From 1922-1981, the uppermost tax bracket paid between 58-70% in taxes. From 1944 to 1963 (basically wartime years) the tax rate was above 91%. We cannot have the top tier income earners pay higher taxes during wartime or terror-time. No way; Cindy would be so mad at me if I did that!

We need to raise taxes on everyone, and to make permanent the Bush Tax-Shift Cuts. Now, how will that all work? What this all means is that I will have to raise taxes on my defined "Middle Class" (HEHE) in order to pay for our military, HLS, and the rest of the budget, unless I keep borrowing from China and those sheiks and kings and princes' in the Middle East, raising our budget deficit, and national debt. "I can take you higher." Oh, I just love the duo Blind Ambition. I am so hip, right? Also, if you get employer-based health care, I will tax those benefits, too, lowering your real wages.

The president and I, along with a despicable former senator Rickie Santorum, want to privatize Social Security. You should like that idea because then you can take your hard earned money and put it into the losing stock market. You saw it drop over 500 points just last Monday (9-8-08), and over 300 on that Wednesday (9-10-08) giving all Americans real pause in our equities market. But then, Bernanke, Paulson and President Bush had to go ahead and bail-out every major lending bank with a near $1 trillion transfusion of government dollars because those top executives don't want to lose their country club memberships before New Years. They bought brand- new handmade Chinese suits and made their dinner reservations already!

Now, if you would  have taken your Social Security, and put it into the stock market back around 1997, you would have likely not made a fricken penny. But, OOHH, remember, our fundamentals are strong. Social Security is an insurance policy that you pay into and is invested in our country so that when you are of age to receive it, you will get a check based upon your contribution. Now, if only we Republicons did not borrow from it beginning way back with President Reagan, there wouldn't be any IOUs in that Social Security Lock Box Al Gore wanted to keep away from the legislators. I am so glad the Supreme Court kept him out of the White House, since it would have hurt President Bush's feelings. And you know how sensitive he is. Anyway, my party has already borrowed so much from Social Security that we need to privatize it so you can just keep it under your mattress for safekeeping.

Now, I have written a lot for my very first keyboarded letter. And finally, I want to say that I have approved this message. I think I do. Don't I? Now Senator, type your name. Ok Johnson. No Senator, it's Levi. Sorry, my friend.

Sincerely Yours,

Jon Sitney McCaine

Postscript:

Link to Andover College's Bush War Crimes Trial. Read here.

Professor Andrew Bacevich, retired Army colonel, speaks on the Iraq War and foreign policy. Click on "Listen now".

Thanks for reading, Jerry

Rove Fixing 2008 Election!

Carl Rove fixed the 2004 election! Greg Palast has 500 of Rove's lost secret emails. he has the caging lists that Rove said did not exist because such actions were not done. The Bush Plan was to keep black and hispanic voters from casting their votes, even if they were fighting the Bush War in Baghdad. Palast, a BBC reporter, explains that in spite of the evacuation plan goal for New York City is to save lives, the FEMA evacuation plan for New Orleans when drowning was not to be implemented in that same way!

There is a war in America and it is between Wall Street and Main and Side Street. Greg Palast explains it.

This is the Wall Street-Republicon Party. This is John McCain's political party. Remember, Bush was celebrating McCain's birthday as New Orleans was drowning and McCain did not say a word.

This video is a must see. View it on our video blog page. It will blow your mind!

Thanks, Jerry

Toxic Banking Bailout- The September Surprise!

The political system is once again, creating a new quandary for our nation due to its failure to build a transparent government. Without appropriate supervision of its operations, and a necessary level of regulation to make sure the system responds to its own best interests and practices, and not for a select few, our democracy cannot work effectively.

This is how the derailment occurred under the direction of Alan Greenspan, the former chairman of the Federal Reserve, our nation's central bank dating back to 1913. Along with a capitulating series of presidents, who followed the prescribed philosophy of unbridled and secretive capitalism under a trickle-down theory through a pyramid-style economic methodology. Alan Greenspan, Ben Bernanke, Hank Paulson, Phil Gramm, and many within the Republican and Democratic Parties have presented us with the unbelievable meltdown we are all witnessing.

The late John Kenneth Galbreith, claimed that the trickle-down theory was responsible for the Panic of 1896. It was called by the elites of the time "The Horse and Sparrow Theory", meaning that if you fed the horse enough oats, the horse would pass on its good fortune to the sparrows hanging out along the road. No Sh*t! There is absolutely no example of trickle-down theory working anywhere in the world, as far as I have found, that would justify continuing it, beyond this point in time. It is only an idealistic, pie-in-the-sky theory.

I am no economist, but only a lay person intrigued by the crime story that has surrounded the privileged elite controlling the credit markets starting with the most powerful on top and moving on down to those who wanted to buy a piece of the wealth-accumulating dessert. 

This 30-year run has led us to where we are today. 30 years ago this crime story began establishing its foothold, building its operations and soldiers creating a cyber-wealth empire, which has amounted to somewhere between $450-500 trillion in worldwide toxic derivatives now woven throughout the fabric of foreign central banks, financial institutions, private equity funds, hedge funds, pension funds and sovereign wealth funds. Now this cyber-wealth is on the verge of melting down exposing deceptive, secretive, greedy, and extremely under-capitalized practices. 

What has been uncovered is that President Reagan's free market, trickle-down economic express-train policy, driven by his senior engineer Alan Greenspan, has finally hit the inevitable wall. Its theory was to let those at the top of the pyramid acquire all the wealth they could, and through its basic fundamentals trickle-down as a stimulus to those "sparrows" hanging along the roads of Main and Side Street. We just saw that it failed. Those 10% at the top have acquired massive amounts of wealth, while the economy has failed leaving the middle class to suffer with foreclosures and the shrinking of real wages. What we also witnessed was the top of the pyramid collapse, and and the top-tier wealth accumulators seeing their lending financial institutions fall into conservership, insolvency or bankruptcy because of their trickle-down principles. These institutions have ended up holding toxic debt that was virtually worth-less requiring them to activate their distress calls to congress and the White House. "Help, help. Save our wealth."

Now the Treasury, Fed, and President have decided to create a new Pyramid Scheme but not molded out of private free market theory, but from a socialistic, unitary executive model, which would allow the Federal Reserve, a private entity, to use taxpayer funds to buy private corporations, as they consolidate power over the private economy. 

By infusing the largest failing financial institutions with the previous recipients of the Fed's 2% open window, we will witness over one trillion dollars of taxpayer-treasury funds being given out to the Bush "Haves and Have-Mores". In addition, the Fed has provided foreign sovereign wealth funds, and foreign central banks with taxpayer-treasury funds because they're angry over their losses resulting from the Pyramid Scheme, since they ended up buying leveraged-out, AIG insured (through credit default swaps that are worth-less), and collateralized debt obligations made mostly out of mortgage debt. YIKES! Those countries took a major wealth-loss hit and want the U.S. government to bail them out, too. They seem to have forgotten that such investments are NOT safe, nor guaranteed by the U.S.  government, but risky. This has been the Great Unwinding for those at the top, or close to the top of the Pyramid Scheme. If you were not such a big player, you ended up drowning. As with the Titanic, only the elite and privileged got to the lifeboats in time leaving those in steerage to meet their fate. Remember, they all were told that the Titanic was unsinkable. That was what Greenspan and the financial institutions told their trickle-down investors, as well. SOL, as they say.

The new trickle-down fundamental is to privatize the earnings and socialize the losses. This is what McCain means when he says the fundamentals are good. They are good for the wealthiest 10% of Americans, not the many who have seen a $300 per year loss in real wages.

So how will it all unwrap over the next month, three months, 12 months? If I knew, I would be a rich guy, too. I'd be on Letterman, Oprah, Leno, and Larry King. O'Reilly would be begging me to go on his show, but I would refuse and call him a jerk on the phone. I'd be on a big-time tour, with Bono, and Krugman, and Roubini, giving out advice and selling my book and Internet newsletter. I'd have a cottage by the lake, and a loft in the city. I'd be sitting pretty during the Great Unwinding. There would be groupies wanting me to analyze their investment portfolios. You know the schtick.

But based upon my gut intuition, the Bush Bailout Plan is unsustainable. The Bush Crime Family Conspiratorial Mothership has one goal in mind, and that is to retain power for their constituents at the top of the Pyramid. The only way to do this is to get McCon elected. If and once elected, the Bush/Cheney crime bosses will hop off the White House grand cruise ship and onto their exiting water craft for safer ground. McCon and McPalin will be left to drift in the dangerous economic waters for 4 years as they so desperately campaigned for.

What the McCons don't realize is that the U.S. does not have any money of its own left to spend, therefore, they must print more for the Grand Infusion. They rely on foreigners to supply us with funds to shore up and patch up a leaking dyke. Will there be a time they will curtail their generosity toward a nation who has squandered it for "more wars, my friends", or the Halliburton/Blackwater/etc war machine, or the huge spying enterprise, or the aggression and hostility directed toward others? There is a strong possibility of it ended up backfiring into their faces affecting their own self-interests. Can the dollar improve under this new socialized economy? Or will we see that these emperors, in fact, have no clothes, as the credit market fails to loosen up out fear as cash-strapped consumers put up the duct tape and plastic around their lives waiting for the economic fallout to pass further freezing up the economy. Does this sound like 1931?

Deflation is not to be disregarded. Nor is inflation, for that matter, as it impacts upon many life-sustaining essentials. A value-less dollar is a possibility. Can banks go under while holding on to their government/taxpayer-paid-for and issued treasury life preservers? Yes! How can the U.S. repair and rebuild Iraq and Afghanistan while we, too, crumble under the tribulations of war right here at home? I don't see much time left.

The top-tier banksta gangstas wanted a guarantee that no "economic insurgents" would fire upon their financial institution's value, which remains weak, rotten, and vulnerable. Plus, these CEO administrators want to make a ton more money by wagering on themselves without the threat of the big, bad "economic insurgents" betting against them. This is how neo-fascism works. The government protects its own and, in this case, it's the big political party supporters and holders of the oligarchy's wealth. It all comes at a price! The Republicon Party and those making up the Demo-Con sub-party capitulators, such as Lieberman, will see bigger and fatter contributions fill their purses unless congress stands up to the Paulson/Bernanke/Bush/Banksta criminals.

The Bush administration responded to those he refers to as "my base" who wanted to protect themselves form the "economic insurgents", who are also known as "short sellers". These are investor/traders who bet that the stock price would fall because the company's fundamentals are not strong. Short selling has now been declared illegal for 800 chosen stocks, including G.E., allowing the "haves" to bet on themselves without the fear of the "insurgents" coming after their unbridled speculation.

Bush once said, "we fight them there, so we don't have to fight them here." But the war is right here in America and most people don't realize it, although it has been very clear to many more of us this week. The war in Iraq and Afghanistan was partly created as a distraction from the economic war right here in America brought to us by the Wall-Street Gangstas, and their crime bosses. There is a war between Wall-Street, and those living on Main and Side Street. Protect Wall-Street first. They get the U.S. backed Protection Service. March forward and manipulate the heck out of the markets. Give protection money to foreign central banks and sovereign wealth funds to keep them from dumping their U.S. Treasury bills and bonds, or dollars on the open market. By showering them with bailout funds, Hank "The Paulie" Paulson, and "Bada Bing" Bernanke, along with the White House crime bosses, have encouraged those international bankers to continue to fund our debt, USING OUR GOVERNMENT ISSUED BAILOUT MONEY. WOW! What a deal!

I believe if the government wants to socialize these financial institutions, then take them over. Cut the investors out. Let them take their hits. Replace the greedy CEOs. Remove their golden parachutes, bonuses, salaries, stock options and send them home. Raise taxes on the top-tier wage earners. Carve up these mega-financial institutions into smaller, more controllable, transparent and regulated entities. These corporate thieves, foot soldiers and "benefactors" must feel the pain and not the middle class who were victimized by their rise and fall.

In addition, we need to realize our hegemonic failure in the Middle East and shut the wars down. Leave the bases and stop the human and economic losses. Orchestrate a massive industrial rebuilding movement that would focus on alternative energy and re-engineer an alternative energy grid. And finally, provide single-payer health care allowing workers to move between employers, or start their own businesses without the fear of losing coverage,  and remove the heavy health care burden experienced by businesses, which drains valuable capital needed for expansion. 

You have just read my views from only one set of eyes and one mind.