Axiom: American’s are not well informed

fake-jobs-unemployment-data

Too many uninformed Americans are enabling the administration to lay claim to a 4.7% unemployment rate without challenge. If these same citizens would become literate about economics, politics, current events, and our economy perhaps there would be real change happening in America. Instead, we have legions of dolts accepting whatever government of the MSM says about our economy without any critical analysis of their claims.

Here is a recent example of a government pronouncement being largely unchallenged by uniformed citizens.

Unemployment down to 4.7%

If unemployment calculated as it was until the Kennedy administration the U6 unemployment rate would be 23%. See chart above. Would people not be a bit angry at the administration’s economic performance if they knew unemployment was at 23%?

The crowing about all of the new jobs would be challenged if we had more literate citizens. What is happening without any outcry is approaching a criminal manipulation (read fraud) of employment numbers to make it appear there is job growth by our elected officials.

“John Williams of Shadow Government Statistics has parsed the BLS numbers carefully. He reports that the BLS inflates its monthly account of new hires with approximately 200,000 fake jobs, including jobs conjured up by its so-called “Birth/Death Model” that are meant to account for new employment in startup companies that are too new to count.

Notwithstanding the fact that the BLS has been adding an average of 200,000 fake jobs to the monthly payroll report in recent years (as confirmed by the March 2015 benchmark downside revisions that subtracted 206,000 jobs), the actual employment picture has become so weak that they have brazenly added additional monthly upside biases”.¹

Wake up America before it’s too late.

  1. Davidson, J. D. (2016, June 18). Fake Jobs Plague the U.S. Economy. Retrieved June 22, 2016, from Fake Jobs Plague the U.S. Economy

 

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Yes we are moving towards a police state

www.usnews.com

These two republicans (McConnell and Cornyn) are among over fifty US senators who are willing to stomp upon the 4th amendment to the United States Constitution. Shame on them!

Cloture on S.Amdt. 4787 (McCain) to H.R. 2578: To amend section 2709 of title 18, United States Code, to clarify that the Government may obtain a specified set of electronic communication transactional records under that section, and to make permanent the authority

What they were attempting to do is support an amendment to legislation that would give the FBI power to take internet records, including browser histories and email metadata, without a court order.¹

What happened to probable cause and securing a court ordered search warrant to find and prosecute the ‘bad guys’?  Given our government’s all consuming desire for power and control, do we want this?

1. Nelson, Steven. “Senate Falls 1 Vote Short of Giving FBI Access to Browser Histories Without Court Order.” US News. U.S.News & World Report, 22 June 2016. Web. 22 June 2016.

Does America have problems?

Please consider some of these random facts before answering.

 

  1. Fourteen percent of the US population participates in the food stamp program
  2. Over thirty-five percent of Americans are on some form of means tested welfare
  3. A violent crime occurs every 26 seconds in America
  4. Income level at which a typical family of four will owe no income taxes is up to $50,250
  5. Certificate of Deposit (CD) Rate for a 6 Month CD in 2015 are down to 0.85 %
  6. The total number of Business and Nonbusiness bankruptcy filings in 2014 was 936,795
  7. Average credit card debt per household is now $15,799 and the percentage of consumers that carried an unpaid balance in the past 12 months was 56%
  8. In the countries Ranked by Average IQ the United States is in 19th place
  9. The total number of high school dropouts annually in the US is 3,030,000
  10. Percent of US high school graduates who can’t read is 19 %
  11. The Percent of adult U.S. population that is overweight 68 % and the percent of adult U.S. population that is obese is 34 %
  12. The Average Yearly Salary of a Federal worker is $68,691 and their Average Yearly Health, Pension and Benefits is $41,785

Our leaders have failed

The Bureau of Economic Analysis (BEA) can provide us with information about the health of the economy. Whether that information is genuine, I leave that question up to experts like Walter J. “John” Williams who has devoted a significant effort debunking some of government’s economic data.  However, the BEA’s data shows from 1790 to 2000, U.S. Real Gross Domestic Product (RGDP)  growth averaged 3.79% per year.This growth enabled many US  citizens to realize the “American Dream”.

However, we are not experiencing this level of economic growth any longer. “2015 will have been the tenth year in a row that RGDP growth came in at under 3.0%. The longest previous such run in U.S. economic history was only four years, and the last time that this happened was during the Great Depression (1930 – 1933)”¹ .  This clearly demonstrates our current leaders in the federal government have failed us.

The election of 2016 must be about having the government support economic growth because without growth deficits, debt, divisions, and despair will only become larger.

 

Works Cited:

  1. Woodhill, L. (2016, February 1). Barack Obama’s Sad Record on Economic Growth. Retrieved from Realclear Politics: http://www.realclearmarkets.com/articles/2016/02/01/barack_obamas_sad_record_on_economic_growth_101987.html

     

Who will get a haircut?

With the recent SCOTUS decision in Puerto Rico v. Franklin California Tax-Free Trust  it is clear the government in Puerto Rico will not be able to restructure its own debt.  My guess is congress will pass its legislation setting up a financial review board for the island who will force haircuts upon some of Puerto Rico’s debt holders. This should be the canary in the coal mine for other municipal and sovereign debt holders. Chicago, the State of Illinois, Detroit and maybe even California will have great difficulty paying off their debt and heir bond holders will see harsh haircuts.  Just ask the GM bold holders how much trust one can place in governmental debtors.

A question

The United States is a member of the United Nations and claims to support the Universal Declaration of the Rights of Man. I question how the United States resolves its position on Article 26.

Article 26.¹

(1) Everyone has the right to education. Education shall be free, at least in the elementary and fundamental stages. Elementary education shall be compulsory. Technical and professional education shall be made generally available and higher education shall be equally accessible to all on the basis of merit.
(2) Education shall be directed to the full development of the human personality and to the strengthening of respect for human rights and fundamental freedoms. It shall promote understanding, tolerance and friendship among all nations, racial or religious groups, and shall further the activities of the United Nations for the maintenance of peace.
(3) Parents have a prior right to choose the kind of education that shall be given to their children.

Do they in America today?

  1. The United Nations. (1948). Universal Declaration of Human Rights.