A short, sweet, and simple version of a State Of The Union address that was delivered over 2,000 years ago, that is as appropriate for America today, as it was for Rome then.
“The budget should be balanced. Public spending should be reduced. The arrogance of officialdom should be tempered, and assistance to foreign lands should be curtailed, lest Rome become bankrupt.”
– Marcus Tullius Cicero,
Address to the Roman Senate, Approx. 45 B.C.
While the names of empires may change, the errors of their ways never do.
It appears the Climategate scandal is just the beginning of the unraveling of the international banker’s cap & tax, carbon trading, Ponzi scheme.
One day before new carbon emission tax laws were to go into effect, France’s Constitutional Court (the Conseil Constitutionnel) struck down the law because it exempted too many private corporations, and major industrial polluters.
It estimated that 93 per cent of industrial emissions outside of fuel use, including those of more than 1000 of the country’s most polluting industrial sites, would be exempt from the tax of €17 ($27) a tonne of emitted carbon dioxide.
The ruling is a blow for the President, Nicolas Sarkozy, as the measure was one of his flagship initiatives to cut emissions. It also leaves the Government with a €4.1 billion hole in its 2010 budget.”
Congratulations to the French for discovering the obvious…
Giving exemptions and free carbon credits to the major industrial polluters while taxing the people on their energy use and individual carbon footprint - violates the principal of tax equality.
But it’s not just about “tax equality.”
I wrote earlier about how U.S. taxpayers are not only going to lose millions of jobs (the U.S. will lose 2.2 existing jobs for each 1 new Green job created), but will also foot the bill under Obama’s “Recovery and Reinvestment Act” to pay for U.S. corporations to close down their American manufacturing plants and to ship their jobs abroad, where labor costs are lower, and where multi-national corporations will not be subject to carbon taxes and the same environmental laws, that they are in the U.S.
It’s also about creating a monopoly profiteering machine for select international bankers like Goldman Sachs, UN insiders like Maurice Strong, and politician’s like Al Gore and Obama’s cronies in Chicago from the Joyce Foundation…
“The Usual Suspects…Goldman, Gore, And UN Gangsters”
“For any non-scientist interested in the climate debate, there is nothing better than a ready primer to guide you through the complexities of atmospheric physics – the “hardest” science of climatology. Here we outline the essential points made by Dr. Gerhard Gerlich, a respected German physicist, that counter the bogus theory of Anthropogenic Global Warming (AGW).
Before going further, it’s worth bearing in mind that no climatologist ever completed any university course in climatology–that’s how new this branch of science really is. Like any new science the fall-back position of a cornered AGW proponent is the dreaded “appeal to authority” where the flustered debater, out of his or her depth, will say, “Well, professor so-and-so says it’s true – so it must be true.” Don’t fall for that proxy tree-ring counter’s gambit any longer. Here is the finest shredding of junk science you will ever read.
In a recently revised and re-published paper, Dr Gerlich debunks AGW and shows that the IPCC “consensus” atmospheric physics model tying CO2 to global warming is not only unverifiable, but actually violates basic laws of physics, i.e. the First and Second Law of Thermodynamics. The latest version of this momentous scientific paper appears in the March 2009 edition of the International Journal of Modern Physics.
The central claims of Dr. Gerlich and his colleague, Dr. Ralf Tscheuschner, include, but are not limited to:
1) The mechanism of warming in an actual greenhouse is different than the mechanism of warming in the atmosphere, therefore it is not a “greenhouse” effect and should be called something else.
2) The climate models that predict catastrophic global warming also result in a net heat flow from atmospheric greenhouse gasses to the warmer ground, which is in violation of the second law of thermodynamics.
Essentially, any machine which transfers heat from a low temperature reservoir to a high temperature reservoir without external work applied cannot exist. If it did it would be a “perpetual motion machine” – the realm of pure sci-fi.”
In addition to the German physicists, one of America’s top climatologist’s, Professor Richard Lindzen, who is the Alfred P. Sloan Professor of Meteorology, Department of Earth, Atmospheric and Planetary Sciences at MIT, has also debunked the theory of AGW global warming.
Professor Lindzen’s peer reviewed work states “we now know that the effect of CO2 on temperature is small, we know why it is small, and we know that it is having very little effect on the climate.”
Lindzen’s work provides irrefutable proof that the theory of Anthropogenic Global Warming is completely false.
“The Flip-Flop From Global Cooling - To Global Warming”
Thirty years ago, many of the very same scientists who are now selling us global warming, were pushing global cooling, threatening us with promises of a coming ice age that was supposed to arrive by the year 2000.
And not only did they do a complete flip-flop from global cooling to global warming, they got caught fudging the data and repressing any dissent from their peers, including re-writing Wikipedia pages that published any contradictory data.
And not only have they done a complete flip flop from global cooling to global warming…
And not only have they been caught threatening fellow scientists and stifling dissent…
And not only have they been caught fudging data…
Many of them are on public record for admitting that global warming is fraud science and is about selling the people a pre-determined agenda from the United Nations, the private international bankers, and the political insiders who funded them. And those insiders stand to pocket hundreds of billions of dollars of windfall, monopoly profits if global governments go forward with their cap & tax, carbon trading, Ponzi scheme.
Send copies of the articles and reports linked above to your Senators and Congressmen, and send them a copy of these quotes below from the very scientists from the UN’s IPCC (Intergovernmental Panel on Climate Change) who are trying to sell the hoax known as Anthropogenic Global Warming…
“No matter if the science of global warming is all phony…”
“We need to get some broad based support, to capture the public’s imagination… So we have to offer up scary scenarios, make simplified, dramatic statements and make little mention of any doubts… Each of us has to decide what the right balance is between being effective and being honest.” - Stephen Schneider, Stanford Professor of Climatology, lead author of many IPCC reports
“Unless we announce disasters no one will listen.” - Sir John Houghton, first chairman of IPCC
“It doesn’t matter what is true, it only matters what people believe is true.” - Paul Watson, co-founder of Greenpeace
“We’ve got to ride this global warming issue. Even if the theory of global warming is wrong, we will be doing the right thing in terms of economic and environmental policy.” - Timothy Wirth, Former U.S. Senator from Colorado, Under Secretary of State for Global Affairs in the Clinton Administration, and President of the United Nations Foundation (Kyoto Treaty & AGW activist).
“No matter if the science of global warming is all phony, climate change provides the greatest opportunity to bring about justice and equality in the world.” -Christine Stewart, former Canadian Minister of the Environment And UN Kyoto Delegate.
If the global warming, carbon tax scheme is not stopped…
America will lose millions of jobs (2.2 existing jobs lost for every 1 new green job created).
You will see scores of new taxes emerge that will confiscate your existing wealth, steal your children’s future, and create new bureaucracies that will invade, control, and tax every aspect of your life.
This morning on CNBC, Joe Kernen interviewed the man known as “Mr. Yen.” His real name is Eisuke Sakakibara. And for those not familiar with Sakakibara, he is Japan’s former deputy finance minister for international affairs.
For years Sakakibara’s comments moved global currency markets. And this morning on CNBC, “Mr. Yen” did something international bankers and former finance ministers rarely do, he told the truth…
Sakakibara said that U.S. Treasury Secretary Tim Geithner really wants a weaker U.S. Dollar.
The only question that remains, is how weak?
Today Sakakibara said he expected the dollar to continue weakening down to 85 yen, and reiterated remarks he made in September, that the market should expect intervention to defend the dollar should it fail to hold 80 yen.
And even with Sakakibara’s candor about Geithner’s overt weak dollar policy, his target for the dollar may still be optimistic.
In October, Daisuke Uno of Sumitomo Mitsui (Japan’s third largest bank), called for the dollar to drop to 50 yen by next year, and “eventually lose its role as the global reserve currency.”
Uno’s price target for the dollar may be more in step with the expectations of China, Russia, Brazil, and India, all who called for the replacement of the U.S. Dollar as the global reserve currency at the recent G-20 meetings.
And India didn’t wait long to walk it’s talk, purchasing 200 tons of IMF gold, which would certainly seem to signal that they do not sense the dollar being near a bottom. And this morning, new reports surfaced indicating the Indian Central Bank may buy the remaining IMF gold as well.
While Sakakibara and Uno have given us a wide range in which the dollar may fall against the yen, what actual fundamental metrics should gold traders be looking at in which to gauge fair value for the dollar?
For months I’ve been pounding the table on the CBO numbers, as I firmly believe that America’s debt, deficits, and unfunded liabilities are now so large, that they can never be met by ANY combination of growth and taxes, which leaves America with only two choices…
Default on the debt, or devalue the dollar.
And for central bankers, the choice is obvious - devalue the dollar.
So how far do we need to devalue the dollar?
I believe the best answer to that question comes from James Rickards of Omins Research & Analysis.
I posted this video Monday, and if you didn’t take the time watch it in it’s entirety, do yourself a favor and do so now, it’s only a little over six minutes…
Rickards’ thesis is that the U.S. will only be able to meet about half of it’s contingent liabilities and will need to devalue the dollar by 50% to meet the other half. His model has the Fed inflating away the value of the dollar at a rate of 4% per year for 17 years.
He also believes the unspoken agenda that emerged from the G-20 meeting, is the IMF is now running Fed policy and the Fed has been ordered to take the US Dollar off into the corner and to slowly kill it, ultimately allowing for the emergence of SDR’s as the new global reserve currency.
Rickards sees the IMF and the Fed desirous of gold rising at a rate of 7-8% per year against a slow and managed devaluation of the dollar. However, if the market begins to front run the Fed and begins to dump dollars, a collapse is possible and gold would of course skyrocket.
And here’s the bet…
Will the IMF and the G-20 be able to negotiate and coordinate a slow and managed devaluation of the dollar against other global currencies, without it’s members front running that policy and dumping dollars en masse?
China isn’t waiting… they’re offloading dollar reserves for natural resources and establishing non-dollar denominated trade agreements for oil.
And India isn’t waiting… they’re directly buying IMF gold.
How fast the rest of the world wakes up to the planned death of the dollar will determine how high, and how fast, gold continues to rise. At some point in time the price of gold will surely get ahead of the story, but I don’t feel we’re quite there yet.
Technically, while gold has soared to new highs, gold shares are still about 6% off their March, 2008 all time highs. If gold continues to hold this rally, the HUI Gold Bugs Index may be only days away from setting new highs. And once gold shares begin to dominate that IBD list of new 52 week highs, a new herd of technical and momentum oriented traders will enter the gold trade.
With rumors hitting the news wires today that India may buy another tranche of IMF gold, and with talks of an early 2010 Stimulus II being planned, there are still major catalysts on the horizon to send gold and gold shares significantly higher.
Here’s a chart of how I see the present trading channel for the HUI Gold Bugs Index.
While we’re starting to approach the upper band of the trading channel (which is also pointing us toward a direct re-test of the old HUI 518 high), you have to give this rally in gold a chance to pull the HUI Index right through resistance and to new all time highs.
I’ve moved up tight trailing stops to the HUI 460 level which was resistance in October, but became support here in November on this big breakout move for gold. Any penetration of 460 could see the HUI re-test major trend support at 400, and I’m not willing to give back that much ground. HUI 400 would be my target for a re-entry trade on any break of 460.
Move those stops up, but keep a loose leash, and let’s see if gold can pull the HUI through resistance.
SliderOnTheBlack
Because this isn’t Howard Ruff’s, Jim Sinclair’s, and Doug Casey’s gold bull any more. It’s John Paulson’s, Paul Tudor Jones’, and David Einhorn’s gold bull.
The gold bugs driving this bull run don’t own fallout shelters and basements full of MRE’s, they own Penthouses on the upper East side, and weekend homes in the Hampton’s.
And John Paulson isn’t pitching 1 ounce Silver Eagles on late night TV, he’s pitching a new fund of gold mining shares with a minimum buy in of $10 million. Yes, you read that right…
A minimum buy in of $10,000,000.00
Last week John Paulson, he of the single most profitable thematic trade in Wall Street history, (making $15 billion shorting subprime mortgage bonds), announced the formation of a new gold oriented fund, this one devoted to the higher leverage of gold mining stocks, in which he will personally invest between $200-$250 million of his own money.
While Paulson’s hedge funds already hold $3 billion dollars worth of positions in the GLD ETF, and gold mining shares such as AngloGold Ashanti and Kinross Gold, Paulson told the Wall Street Journal he was looking to increase his personal exposure to gold, and that his new fund was aimed at outperforming the metal.
“The gold fund will invest in gold-related shares and gold derivatives and will aim to outperform gold prices. Mr. Paulson at Tuesday’s investor meeting countered that the bull run was only beginning for gold.
He noted that central banks around the globe have gone from sellers of gold to buyers, and that the global supply of gold is constrained.
While harmful inflation isn’t on the horizon, he said, Mr. Paulson argued that there is a risk of a burst of inflation down the road. That’s because in the past there’s been a lag between a surge in money supply and higher inflation. Gold often does well when inflation rises.
Mr. Paulson told investors that the Federal Reserve will prove reluctant to raise interest rates, given the weakness in the economy, which also could pave the way for higher inflation, at least at some point, another reason for his growing conviction about gold.
Worth about $6 billion, Mr. Paulson said he was starting the new fund in part to give himself more personal exposure to gold, according to an investor at the meeting.
The embrace of gold is relatively new for Mr. Paulson. The hedge-fund manager, who mostly invested in merger deals until detecting a housing bubble in 2006, had done no gold investing as of a year ago.”
Gold Bug Sentiment: An Anchor, Or a Rudder?
But not everyone in goldbugdom is as optimistic as John Paulson. Gold bugs themselves have been selling gold mining shares into every rally, with the HUI Gold Bugs Index of gold mining shares still nearly 10% below their March, 2008 highs, even as gold surges to new all time highs.
And market sentiment tracker Mark Hulbert has noted that “the average gold timer is now more bullish than on each of the past four occasions in which the gold market has topped out.”
The Hulbert Gold Newsletter Sentiment Index (HGNSI) reflects the average recommended gold market exposure among gold timing newsletters tracked by The Hulbert Financial Digest. And as of Thursday night, the HGNSI stood at 68%, which exceeds the prior high of 65% registered on the four previous assaults on $1,000 gold, all of which proceeded corrections in the gold price.
So who’s right?
Are the new highs in sentiment toward gold justified, merely reflective of an ongoing environment where central banks are flooding the global landscape with a sea of liquidity, are engaged in quantitative easing, and a war of competitive currency devaluations?
Or, are Central Banks about to come to their senses, and remove the punch bowl before their massive liquidity injections begin to work their way into the consumer economy and ignite the inflation engine?
Consider inflation the icing on the cake. The primary driver of this gold bull is competitive currency devaluation. And the country with the greatest need for currency devaluation is the United States.
Two Options: Default, or Devalue
I’ve pounded the table on this for nearly a year on my forum at Silicon Investor. The Congressional Budget Office/CBO numbers tell you everything you need to know…
“Tax rates would need to be raised by “substantial” amounts to finance projected spending.
Specifically, “the tax rate for the lowest bracket would have to be increased from 10 percent to 25 percent; the tax rate on incomes in the current 25 percent bracket would have to be increased to 63 percent; and the tax rate of the highest bracket would have to be raised from 35 percent to 88 percent.”
“The top corporate income tax rate would also increase from 35 percent to 88 percent.”[4]
“Such tax rates would significantly reduce economic activity and would create serious problems with tax avoidance and tax evasion. Revenues would probably fall significantly short of the amount needed to finance the growth of spending; therefore, tax rates at such levels would probably not be economically feasible.”[5]
The CBO just spelled it out in plain and simple english: America is bankrupt. There is no way the United States can either grow, or tax it’s way out from under this massive debt obligation, it can only inflate it away. And those CBO numbers were before last fall’s market meltdown and an additional $23.7 trillion dollars in debt, bailouts, and backstops.
America has only two options: Default, or Devalue.
And it’s not just the CBO saying so. Former U.S. Comptroller General David Walker has been lobbying Congress and Main Street America about the same reality. Here’s what David Walker had to say about the U.S. debt problem nearly two years ago on “60 Minutes.”
If you’re a gold bug, here’s the single most valuable 6 minutes and 34 seconds of advice that you may have ever received concerning gold…
Reality vs. Jack Bauer and “24″
What’s attracted John Paulson, Paul Tudor Jones and David Einhorn to gold, nine years into the cycle, and after it’s quadrupled in price, is this…
– America can not grow, or tax it’s way out from under it’s mountain of debt.
– We can only repay approximately half of America’s debt and unfunded liabilities through growth and taxes.
– There are only two choices for the remaining $30 trillion+ that we can not repay, default on the debt, or inflate it away by devaluing the U.S. Dollar.
James Rickards is not a Wall Street cheerleader.
He’s the Senior Managing Director for Market Intelligence at Omnis, Inc. and co-head of the firm’s practice in “Threat Finance & Market Intelligence,” advising investment firms, governments, and national security agencies on global finance.
Forget the rumors about bank holidays, Comex defaults, and Tungsten filled gold bars. This is about default vs. devaluation of the dollar. The numbers from both the CBO and former Comptroller General David Walker tell you everything you need to know about gold and the dollar.
I know cliffhanger stories about imminent bank holidays, U.S. embassy’s stockpiling foreign currencies and the Chinese hurriedly drilling 4 hole assays into their tungsten filled gold bars are almost as exciting as Jack Bauer’s week to week adventures of “24″… but if you really want to know what’s driving gold, and why John Paulson, David Einhorn, and Paul Tudor Jones are now carrying the gold bull ball, now you know.
In 1954 Congress formed the Reece Committee to investigate the influence the large tax exempt foundations such as the Rockefeller, Carnegie, and Ford Foundations were wielding over America’s foreign policy, governmental affairs, and education system.
This is the story of Norman Dodd, who was the chief investigator of the Reece Committee. And what follows are two interviews with Norman Dodd, one conducted by G. Edward Griffin and the other by Dr. Stan Monteith.
Before you dismiss this as Red Scare hyperbole, or recycled McCarthyism, let me share a portion of the interview where Rowan Gaither, the President of the Ford Foundation, who upon learning of the Reece Committee’s investigation, asked Mr. Dodd to come to his office in New York and openly admitted the agenda of the large tax exempt foundations…
“Merging Capitalism With Communism”
Norman Dodd: “Mr. Gaither had sent for me, when I found it convenient to be in New York. He asked me to call upon him at his office, which I did.
Upon arrival, after a few amenities, Mr. Gaither said, “Mr. Dodd, we have asked you to come up here today, because we thought that, possibly, off the record, you would tell us why the Congress is interested in the activities of foundations such as ourselves.”
And, before I could think of how I would reply to that statement, Mr. Gaither then went on, and voluntarily stated, “Mr. Dodd, all of us who have a hand in the making of policies here, have had experience either with the OSS during the war, or with European economic administration after the war.
We have had experience operating under directives. The directives emanate, and did emanate, from the White House. Now, we still operate under just such directives. Would you like to know what the substance of these directives is?”
I said, “Yes, Mr. Gaither, I would like very much to know.” Whereupon, he made this statement to me:
“Mr. Dodd, we are here to operate in response to similar directives, the substance of which is that we shall use our grant-making power so to alter life in the United States, that it can be comfortably merged with the Soviet Union.”
The main theme found in the Reece Committee’s investigation was the desire of the foundations and those behind them, to create a system of world governance through the “social engineering” of the American people. And the President’s Commission on Higher Education, published in 1947, acknowledged that the foundations were working towards indoctrinating the American people psychologically, socially and politically, to the necessity of world government.”
And concerning foreign policy, the Trustees of the Carnegie Endowment at one time focused on a single question: “If it is desirable to alter the life of an entire people, is there any means more efficient than war to gain that end?” And after discussing that question at a very high academic and scholarly level for a year, they came to the conclusion that there are no known means more efficient than war to alter the life of an entire people.
The next concepts the Carnegie Endowment focused on, was - “how do we involve the United States in a war and how do we control those wars?” They concluded they could control wars by controlling the diplomatic machinery of the United States, thereby controlling the U.S. State Department. And shortly thereafter, the Carnegie Endowment set up “The Council of Learned Societies” through which all major appointments to the U.S. State Department would be approved.
In the interviews, Dodd talks about how the foundations through controlling the U.S. State Department, betrayed Chaing Kai -shek and allowed China to fall to communism by purposely delaying crucial arms shipments to resupply the Nationalists.
The Carnegie Endowment also focused on controlling the educational system, but realized the task was far too great for them alone. So they approached the Rockefeller Foundation with the suggestion that the task be divided between the two of them. The Rockefeller Foundation focused on domestic education and the Carnegie Endowment on International education. And one of the first steps they took was to enlist the help of the Guggenheim Foundation, which specialized in awarding teaching fellowships. They then persuaded the Guggenheim Foundation to award teaching fellowships based on their recommendations alone.
The Carnegie Endowment also funded the American Historical Association, basically contracting them to re-write history. They also gave the AHA a $400,000 grant to propose the future of the United States would be best served by a “collectivist” form of government, giving birth to the liberal, socialist leanings of academic America.
Here are the Norman Dodd interviews…
“The Hidden Agenda”
G. Edward Griffin’s Interview With Norman Dodd
“The Enemy Within”
Dr. Stan Monteith’s Interview With Norman Dodd
An excellent follow up to the Norman Dodd interviews are Gary Allen’s two books, “None Dare Call It Conspiracy” and “The Rockefeller Files.” Here is Congressman John Schmitz’s introduction to “None Dare Call It Conspiracy.”
“The story you are about to read is true. The names have not been changed to protect the guilty. This book may have the effect of changing your life. After reading this book you will never look at national and world events in the same way again.
None Dare Call It Conspiracy will be a very controversial book. At first it will receive little publicity and those whose plans are exposed in it will try to kill it by the silent treatment. For reasons that become obvious as you read this book, it will not be reviewed in all the “proper” places or be available on your local bookstand. However, there is nothing these people can do to stop a grass roots book distributing system.
Eventually it will be necessary for the people and organizations named in this book to try to blunt its effect by attacking it or the author. They have a tremendous vested interest in keeping you from discovering what they are doing. And they have the big guns of the mass media at their disposal to fire the barrages at None Dare Call It Conspiracy.
By sheer volume, the “experts” will try to ridicule you out of investigating for yourself as to whether or not the information in this book is true. They will ignore the fact that the author admits that some of his ideas are conjecture because the people who know the truth are not about to confess. They will find a typographical error or argue some point that is open to debate. If necessary they will lie in order to protect themselves by smearing this book. Psychologically many people would prefer to believe those who pooh-pooh the information herein because we all like to ignore bad news. We do so at our own peril!
Having been a college instructor, a State Senator and now a Congressman, I have had experience with real professionals at putting up smokescreens to cover up their own actions by trying to destroy the accuser. I hope that you will read this book carefully and draw your own conclusions and not accept the opinions of those who of necessity must attempt to discredit the book. Your future may depend upon it.”
October 25, 1971
John G. Schmitz
United States Congressman
You can not understand the present, let alone anticipate the future, without first understanding the past. The Military Industrial Complex that Eisenhower warned us about, has always used the Hegelian Dialectic of “thesis-antithesis-synthesis.” There must always be an enemy. The thesis of Capitalism must have the opposing antithesis in Communism, to create the desired synthesis, the blending of the two as proposed by the foundations.
But why would the international bankers and those that control the multi-national corporations support communism, socialism, or anything other than democracy and capitalism?
Because as John D. Rockefeller III said, “competition is a sin.”
Communism has never been about a revolution where the workers of the world unite and prosper.
Communism has always been financed and supported by the international bankers and the multi-national corporations. And they’ve always preferred the monopoly capitalism of communism, or fascism, where governments combine with private corporations and force their profit making regimes upon the people, as we are now seeing in America with forced vaccinations from Big Pharma, and the mandate that the citizenry buy health insurance, or face fines and imprisonment.
