Almost Half of Immigrants to the U.S. – legal and illegal – are on welfare

That is the result of big government-sponsored culture of dependency — give it and they will come — and that is why Obama intends to legalize all illegals as soon as possible.

By STEPHEN DINAN| THE WASHINGTON TIMES | AUGUST 8, 2012

Immigrants lag behind native-born Americans on most measures of economic well-being — even those who have been in the U.S. the longest, according to a report from the Center for Immigration Studies, which argues that full assimilation is a more complex task than overcoming language or cultural differences.

The study, which covers all immigrants, legal and illegal, and their U.S.-born children younger than 18, found that immigrants tend to make economic progress by most measures the longer they live in the U.S. but lag well behind native-born Americans on factors such as poverty, health insurance coverage and home ownership.

The study, based on 2010 and 2011 census data, found that 43 percent of immigrants who have been in the U.S. at least 20 years were using welfare benefits, a rate that is nearly twice as high as native-born Americans and nearly 50 percent higher than recent immigrants.

The report was released at a time when both major presidential candidates have backed policies that would make it easier to immigrate legally and would boost the numbers of people coming to the U.S.

Steven A. Camarota, the center’s research director and author of the 96-page study, said it shows that questions about the pros and cons of immigration extend well beyond the sheer numbers and touch on the broader consequences of assimilating a population defined by tougher socioeconomic challenges.

“Look, we know a lot of these folks are going to be poor, we get it. But don’t tell the public it’s all going great, which is the story line I think a lot of people want to sell,” Mr. Camarota said. “There is progress over time. Every measure shows improvement over time, but still, the situation does not look like we’d like it to look, particularly for the less-educated. They lag well behind natives even when they’ve been here for two decades, and that is very disconcerting.”

Federal law requires that the government deny immigrant visas to potential immigrants who are likely to be unable to support themselves and thereby become public charges.

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Third World Welfare Recipients to Protest ‘Evil’ Capitalism

by Luis R. Miranda
The Real Agenda
January 30, 2012

What do the elites meeting in Davos, Switzerland have in common with the welfare state recipients in the third world nations? At least a couple of things. Both have immensely benefited from capitalism, yet both groups point to it as an evil system, responsible for things such as inequality and social injustice. Neither of the two groups say what kind of Capitalism they are referring to; Corporate Capitalism or real free market Capitalism. As we reported last week, elitists in Davos are circulating the idea that Capitalism is obsolete and that only a new system managed by their corporations and banks can bring the world back from its current slide into a second Great Depression. Over the weekend, thousands of attendants at the World Social Forum held in the city of Porto Alegre Brazil concluded that Capitalism is the greatest evil ever created and plan to protest against it next June.

Having lived in a third world nation for the first 20 years of my life helps me have a very good idea of the goods and evils that the welfare state is capable of creating. After living in a first world country for ten years, helps balance my view of both the welfare state and the closest example to free market Capitalism. My analysis concludes that the welfare state causes greater harm than good to people. Take a look at the Latin American nations whose people benefit from welfare. Both democratic and non-democratic nations create entitlement programs to supposedly benefit those who cannot help themselves. This welfare system is managed by the State, which taxes the middle class and to a lesser state the upper middle class and small segment of rich people to pay for the welfare programs.

Although many could argue that without those welfare programs millions of people would be left to die of hunger and disease, the truth is that government contribution to the poor is insignificant when compared to monies collected through taxation. Take for example the country of Costa Rica, one of the most stable nations in Latin America. There, the central government debt accounts for 30% of the government’s total revenues. Meantime, the country only invests 17.3 percent of its GDP in public health, education, and social welfare combined. So while the bureaucracy eats a third of the government’s income, the poor and dependent have to share half of that amount. The Costa Rican economy has gone from a self-sufficient one to a service economy, where multinationals are allowed to install their factories tax free, but pay miserable salaries to the local workers. Costa Rica now depends heavily on tourism and the production of electronics and electronic components. Both activities are likely to slow down as the global economic crisis expands out of control. What does the lack of government leadership in Costa Rica result in? Poverty. Poor and once middle class neighborhoods such as Hatillo, San Sebastian, Sagrada Familia and even downtown San Jose have witnessed an an exponential increase in slums, crime and social unrest. Another example, Brazil, perhaps the fastest growing country in the developing world and one of the most socialist nations in America. The government headed by Dilma Rousseff has a total GDP of 2.9 trillion dollars. From that amount, the central government’s debt amounts to 54 percent of the GDP, while only investing a fraction in social programs. The tax burden in Brazil easily gets to 33 percent, much of it, as seen before, goes to finance of the most corrupt regimes in the planet. In this South American country, most people have to resort to the so-called underground economy (collecting cans and plastic bottles, selling fake brand merchandise and so on) to survive. High taxation together with little investment in infrastructure, for example, makes Brazil one of the most troublesome options for local and foreign investors. The gap between the rich and the poor in Brazil continues to grow, while the middle class is being stretched thinner and thinner.

But perhaps the greatest harm caused by the welfare state is not that it gives too little to the poor, but that makes them believe that such state of affairs is the only alternative to their lack of opportunities to grow as individuals. Since the poor classes become absolutely dependent on the bureaucracy to survive, that fact gives the State, in the eyes of the bureaucrats and the welfare recipients- an almost unlimited legitimacy to govern employing the Robin Hood plan: take from the rich and give to the poor. But as we pointed out before, much of the money taxed from the middle class is kept in the coffers of the central governments, as supposed to going to aid the poor.

As seen in developed nations, a smaller government and less taxation for individuals and entrepreneurs is the only combination of policies that spurs economic growth. The liberty to spend their money as they see it fit is what empowers people to grow and forge their own destinies. Personal and social growth derives from having the power to decide what is it that one as a person wants to do while accepting full responsibility for one’s decisions, both in the personal and social settings. The short-lived 20th century real free market Capitalism that derived from societies composed by free people is the only system that spurred ingenuity and development. Receiving a free welfare check once a month while sitting around waiting for someone else to take responsibility for one’s decisions, achieves exactly the opposite.

But according to the elites and many members of the World Social Forum, the world needs to be governed by a central entity that promotes and enforce a social and “green economy,” with priority being given to eradicating hunger. This initiative intends to put pressure on bureaucrats who will take part in the UN conference on sustainable development scheduled for June 20-22 in Rio de Janeiro. This meeting will be the fourth attempt by the globalist organization to convince third world nations that it is necessary to create a central entity with the power to demand for money from the middle classes in the developed world to give it to rich people in the third world. Previous attempts have failed due to revelations that the United Nations’ proposals to create a worldwide welfare system intends to erase the sovereignty of all signing participants.

How could it be that the elite of the world and the popular movements, that allegedly fight against those very same elite’s impoverishing policies actually agree on a way to solve the problems; namely end with Capitalism and install a global socialist system of governance? As The Real Agenda informed in 2010, movements like the World Social Forum are controlled dissidence, in other words, financed and managed by the very same elite who they claim to be fighting against. According to author Michel Chossudovsky, “the mechanisms of “manufacturing dissent” require a manipulative environment, a process of arm-twisting and subtle cooptation of individuals within progressive organizations, including anti-war coalitions, environmentalists and the anti-globalization movement. The inner objective is to “manufacture dissent” and establish the boundaries of a “politically correct” opposition. In turn, many NGOs are infiltrated by  informants often acting on behalf of western intelligence agencies. Moreover, an increasingly large segment of the progressive alternative news media on the internet has become dependent on funding from corporate foundations and charities.”

in his article “Manufacturing Dissent”: The Corporate Financing of the Protest Movement, Mr. Chossudovsky explains it is impossible to achieve a real mass movement of dissent, when those organizations that claim to support popular demands are heavily financed by the elite. He says regarding the World Economic Forum:

The people’s movement has been hijacked. Selected intellectuals, trade union executives, and the leaders of civil society organizations (including Oxfam, Amnesty International, Greenpeace) are routinely invited to the Davos World Economic Forum, where they mingle with the World’s most powerful economic and political actors. This mingling of the World’s corporate elites with hand-picked “progressives” is part of the ritual underlying the process of  “manufacturing dissent”. The ploy is to selectively handpick civil society leaders “whom we can trust” and integrate them into a “dialogue”, cut them off from their rank and file, make them feel that they are “global citizens” acting on behalf of their fellow workers but make them act in a way which serves the interests of the corporate establishment: “The participation of NGOs in the Annual Meeting in Davos is evidence of the fact that [we] purposely seek to integrate a broad spectrum of the major stakeholders in society in … defining and advancing the global agenda … We believe the [Davos] World Economic Forum provides the business community with the ideal framework for engaging in collaborative efforts with the other principal stakeholders [NGOs] of the global economy to “improve the state of the world,” which is the Forum’s mission. (World Economic Forum, Press Release 5 January 2001).The WEF does not represent the broader business community. It is an elitist gathering: Its members are giant global corporations (with a minimum $5 billion annual turnover). The selected non-governmental organizations (NGOs) are viewed as partner “stakeholders” as well as a convenient “mouthpiece for the voiceless who are often left out of decision-making processes.” (World Economic Forum – Non-Governmental Organizations, 2010).

And about the World Social Forum:

From the outset in 2001, the WSF was supported by core funding from the Ford Foundation, which is known to have ties to the CIA going back to the 1950s: “The CIA uses philanthropic foundations as the most effective conduit to channel large sums of money to Agency projects without alerting the recipients to their source.” (James Petras, The Ford Foundation and the CIA, Global Research, September 18, 2002). The same procedure of donor funded counter-summits or people’s summits which characterized the 1990s People’s Summits was embodied in the World Social Forum (WSF): “… other WSF funders (or `partners’, as they are referred to in WSF terminology) included the Ford Foundation, — suffice it to say here that it has always operated in the closest collaboration with the US Central Intelligence Agency and US overall strategic interests; the Heinrich Boll Foundation, which is controlled by the German Greens party, a partner in the present [2003] German government and a supporter of the wars on Yugoslavia and Afghanistan (its leader Joschka Fischer is the [former] German foreign minister); and major funding agencies such as Oxfam (UK), Novib (Netherlands), ActionAid (UK), and so on.

According to Breitbart, this year’s World Social Forum opened its doors to members of several other anti-government movements such as Arab Spring, Spain’s “Indignant” movement, Occupy Wall Street, and students from Chile. All of these popular movements have criticized the globalist concept of “a green economy” because it is designed to give multinationals the largest profits by being in control of the so anxiously sought centralized global social government. Ironically, the Occupy Wall Street Movement is one of those groups that is coopted by globalist organizations and foundations.

Some of the speakers are the World Social Forum made it clear that their fight is a battle to convince 98 percent of the world’s population that there is a group composed by 1 percent that refuses to embrace the collectivist concept of social justice. This concept is based on the the belief that it doesn’t matter how people achieve success, economic or otherwise; they must give part of their property and income to a large group of self entitled conformists who need to get their checks on a monthly basis.

“The political and economic elites are the one percent who control the world and we are the one percent seeking to change it. Where are the (other) 98 percent?” said Chico Whitaker, one of the Forum’s founders. “There are many who are happy because each time they get more consumer goods, but many are concerned and unsatisfied. The challenge for us is to speak with them.” “If we do not raise the issue of inequality, we won’t solve the problems,” said Venezuelan sociologist Edgardo Lander. “If the system is not capable of redistributing and deal with inequality, we have to do it ourselves,” agreed Sam Halvorsen, of the Occupy London movement.

What these alleged leaders do not say is that nations governed by socialist or communist regimes are always less free, less successful, less equal and less independent. How long has there been Socialism and Communism? What have been their key contributions to ending poverty and misery, especially in third world countries? This is a questions that has probably never been asked in meetings like the World Economic Forum or the World Social Forum, however both movements and their supporters insist this is the way to go. Aren’t Socialism and Communism as outdated as Corporate Capitalism? On the other hand, what did real free market Capitalism achieved while it was allowed to work as an economic model?

Socialists and Communists like to answer to this question saying that their agenda is not intended to promote consumerism, and that free market societies are bound to become large groups of individuals possessed by the desire to have more and more. A possible answer to that idea is that only free market Capitalism has the power to ‘naturally’ end consumerism as market forces define what is needed and what there’s too much of. As we have now learnt, all artificially created bubbles tend to explode, unless they are artificially maintained (i.e. the financial bubble, the housing bubble and the derivatives bubble. All of them created by the globalist elite.). What has the World Economic Forum or the World Social Forum said about those bubbles? Nothing. No investigations on the real causes of the current economic crisis, no official investigation on who benefited from the impoverishment of millions in both the developed and underdeveloped nations.

It doesn’t matter that there is a credibility and morality gap, as Klaus Schwab, founder of the annual World Economic Forum, said last week in Davos. The elite and their controlled dissidents will continue to push for a change for the worst; a globalist socialist system where it will be OK to rob from the productive to give to the unproductive. The push is to drive the corporate welfare system and the social welfare system as the models for a world where the elite will have complete control of the resources, production, and the welfare checks.

As Society Breaks Down, People Beg for Tyranny

by Luis R. Miranda
The Real Agenda
August 11, 2011

It’s been at least 15 years since I heard calls for people to wake up because the greatest crisis in humanity’s existence was rapidly approaching. Today, as I watch video and photos from London, and previously from Syria, Egypt, the United States and Lybia, I cannot help but think that those who sought to warn us were simply and plainly correct. Perhaps the most surprising fact is that those truth tellers, who were often identified as conspiracy theorists, told us how it would happen and as the break point got closer and closer, they were even able to predict different aspects of the fall with outstanding precision.

Who would have believed 15 years ago that the world would crumble to its knees and would beg for the implementation of tyrannical policies and regimes in order to bring back law and order? I certainly didn’t. Before I began studying history and current events, I thought society would be able to take care of itself and avoid disaster. But the latest video feeds from London and everywhere else clearly show that society is lost in the foggy alternative reality they were born into 50 or more years ago. The social engineers played their hand well and now have most of the population consuming itself in a web of self-degradation, death and perversion fed to us as the sexiest fad for almost half a century.

In England, polls show that upwards of 65 percent of people are now calling for the use of rubber bullets, water canyons, police abuse and other tyrannical practices because they are too afraid to organize with their neighbors and take care of the looters that are destroying decades-old family businesses, homes, cars, shoe and clothing stores and other property to get their hands on the latest electronics, jewelry and various valuable products by breaking windows, smashing store front doors and pulling citizens from the their cars to smash their heads on the streets. Instead, British people are now calling for a government sponsored Police State.

Notice that most of the places that are being affected by riots and unrest are sections of the society whose members are unarmed and who cannot defend themselves because their government, which cannot protect them 24/7, implemented regulations to ban the people’s right to be armed and to defend their properties and their families. London shows signs of the most recent confrontation between members of the government-dependent underclass and the hard-working middle class, just as the social engineers planned it. As governments cut spending in a failed attempt to fix deficits and reduce their debt, it is exactly the underclass that feels the pinch first. But instead of attacking government policies and the entities responsible for the financial collapse, this uneducated underclass takes it upon themselves to beat the daylights out of middle class folks who suffer from the bank-sponsored self-inflicted financial crisis.

The financial and political apartheid taking place in the world -where governments steal the people’s pension funds to invest them in fictitious financial products, banks get bailed-out as they charge interest rates and / or fees for people to keep money in their accounts, the government cuts social security and medical care spending, people’s paychecks and pension buy less food- will continue to increase social volatility not only in London or Greece, but in the Americas, Asia, Africa and everywhere else. The Social Experiment failed horribly. But then again, it was meant to fail. The divisions meant to occur in order to monopolize, control and conquer arrived right on time.

The underclass as well as the dumbed down middle-class that for centuries sucked off the system through government established dependence programs only woke up after finding themselves with no jobs, no pension, no savings and no future. They woke up from their eternal state of slavery because the bribery scheme known as welfare that the government used to hook them up is suddenly crashing down, and they have not safety net to fall onto. What do I mean by bribery scheme? In 2007, the richest country in the planet had at least 52.6 percent of the people receiving government aid of some sort: pensions, social security and so on.. One in five Americans held a government job or a job that depended on government spending. Around 19 million used food stamps and 2 million got subsidized housing. If that is not government bribery, I don’t know what is it. The social engineers made sure from the start that only two classes existed: the productive class and the parasitical class. Both the government and the dependent classes are equally violent towards those who produce and who support them throughout their lives.

But perhaps one of the most abhorrent aspects of the current societal collapse is that the social engineers point to the underclass and the working class as those responsible for the crisis. That’s right. They accuse the so-called “useless eaters” for their greed and for living beyond their means and hold them responsible for the crisis we now experience. Both the underclass and a large part of the middle class are in part responsible for their greed and decadence. But weren’t they born and bathed into a system that promoted and facilitated their greed, decadence and dependence? Of course they were. Should the underclass and the middle class then be held responsible for the now developing crisis because they were greedy and dependent? Of course not. But that is what the bankers, the social engineers want the dumbed down majority to think, and that is why tonight racial divides grow bigger in London, the United States, Africa and Asia. The underclass believes that the middle class are the ones responsible for the crisis because they are successful business owners and were able to take care of themselves and their families. In the meantime, the bankers who are responsible for both classes’ misery run rampant ripping people off around the world.

The people are to blame, say the bankers, because they want more services but don’t want to pay more taxes. Due to the fact millions have not bought the propaganda, the government is now playing the collectivist card. “There is no need to look for anyone to blame because we must now come together to solve our problems”. Neither the government nor the banks want the taxpayers to fully understand that these two entities are solely responsible for the current state of affairs. Governments have bribed citizens openly for at least a century in order to control them, therefore it is insane to believe that someone will buy the government and bank sponsored propaganda.

While millions of people lose their jobs, homes and lives because they cannot afford them, a few decadent scum bags consume themselves in fake tribalism, racism, theft and violence while the cowardly ones wait for the state to do something and beg for Martial Law and a Police State. Those who accepted the American-created culture of death, sex, thuggery, drug use, suicide and gang oriented behaviours are now acting as what they always dreamed to be: a bunch of disaffected slaves with no jobs or future that look up at rappers, singers, sports figures, electronics, alcohol and drugs to fulfill their empty lives. The world went from praising explorers, scientists, fire fighters, inventors and community leaders to worship ‘bling’ and Madison Avenue-created delusion.

Those who took advantage of a corrupt debt-based system to get their holiday vacation, car and house loans were shocked after the banks that own their livelihoods cut off lines of credit three years ago to put an end to the fantasy reality they were accustomed to for so many years. Those who foolishly believed that paying into the public pension system would guarantee them some devalued change to live the rest of their lives, even though many had warned of its non-existence, were not only fools, but also irreparable willful ignorants. They trusted their government so much to give them everything, that no room was left to think that the same State could one day decided to take it all away; which is what is happening now. So now, the most dependent members of society are blaming other citizens and not the banks and the governments for their misery. Why? Because blame is the base of Statism and the State has shown people well to accept the blame game when it favours the State. They are now begging the social engineers to put an end to their misery. Events like the riots in London and the United States are just the beginning of what is turning out to be a long summer and a coming long winter. Street violence, crime and government opposition will be used by the controllers to take away more of our rights. Government will use armies and violence against peaceful protesters before bringing out austerity and a more visible Police State, to crush people’s right to speak and arm to themselves, track social media, email accounts, and any other sign of dissent.

Now, this is what a broken down society looks like in the developed world. Can you imagine what will it look like in socialist or inherently paternalistic poor countries when austerity, hunger and deep misery gets there?

“Unregulated Greed has Destroyed the Capitalist System”

Paul Craig Roberts

I write about major problems: the collapsing US economy, wars based on lies and deception, the police state based on “the war on terror” and other fabrications such as those orchestrated by corrupt police and prosecutors, who boost their performance reports by convicting the innocent, and so on. America is a very distressing place. The fact that so many Americans are taken in by the lies told by “their” government makes America all the more depressing.

Often, however, it is small annoyances that waste Americans’ time and drive up blood pressures. One of the worst things that ever happened to Americans was the breakup of the AT&T telephone monopoly. As Assistant Secretary of the US Treasury in 1981, if 150 percent of my time and energy had not been required to cure stagflation in the face of opposition from Wall Street and Fed Chairman Paul Volcker, I might have been able to prevent the destruction of the best communications service in the world, and one that was very inexpensive to customers.

The assistant attorney general in charge of the “anti-trust case” against AT&T called me to ask if Treasury had an interest in how the case was resolved. I went to Treasury Secretary Don Regan and told him that although my conservative and libertarian friends thought that the breakup of At&T was a great idea, their opinion was based entirely in ideology and that the practical effect would not be good for widows and orphans who had a blue chip stock to see them through life or for communications customers as deregulated communications would give the multiple communications corporations different interests than those of the customers. Under the regulated regime, AT&T was allowed a reasonable rate of return on its investment, and to stay out of trouble with regulators AT&T provided excellent and inexpensive service.

Secretary Regan reminded me of my memo to him detailing that Treasury was going to have a hard time getting President Reagan’s economic program, directed at curing the stagflation that had wrecked President Carter’s presidency, out of the Reagan administration. The budget director, David Stockman, and his chief economist, Larry Kudlow, had lined up against it following the wishes of Wall Street, and the White House Chief of Staff James Baker and his deputy Richard Darman were representatives of VP George H.W. Bush and did not want s substantial Reagan success that would again threaten the Republican Establishment’s hold over the party. Baker and Darman wanted to be sure that George H. W. Bush, and not Jack Kemp, succeeded Ronald Reagan, and that required a muted Reagan success that they could claim as theirs for moderating an “extremist” program.

I told Secretary Regan that if I had another deputy assistant secretary, I could reach a reasonable conclusion whether the breakup of AT&T was sensible. He replied that he was sure that was the case, but that once I had three deputies the headlines in the Washington Post and New York Times, Business Week, Newsweek, and so on, would be: “Supply-sider builds empire at Treasury.” He said it would sink me and that without me he could not get the President’s economic program out of the President’s administration. “Which do you want to do,” he asked, “save AT&T or cure stagflation?”

Curing stagflation gave America twenty more years. Ironically, the good times started to erode when Reagan’s other goal was accomplished and the Soviet Union dissolved in 1990. “The end of history” resulted in India and China opening their labor markets to American capitalists, who began producing offshore with foreign labor the products that they sold to Americans. The labor costs savings pushed up corporate profits, shareholders’ returns, and managerial bonuses. But it deprived Americans of middle class incomes and wrecked the balance of trade. The US income distribution and the trade deficit worsened.

Many progressives blame the worsening income distribution on the Reagan tax rate reductions, but the real cause is the offshoring of manufacturing, industrial, and professional service jobs, such as software engineering.

None of us in the Reagan administration foresaw jobs offshoring as the consequence of Soviet collapse. We had no idea that by bringing down the Soviet Union we would be bringing down America. During the Reagan years India was socialist and would not allow foreign corporations, had they been interested, to touch their labor force. China was communist and no foreign capital could enter the country.

However, once the Soviet Union was gone from the earth, the remaining socialist and communist regimes decided to go with the winners. They opened to Western corporations and sucked jobs out of the developed West.

But this is a different story. To get back to deregulation, nothing has worked for the consumer since deregulation. Deregulation permitted corporations to impose their costs of operation on customers without having to send them a bill. For example, corporations use voice recognition technology to keep customers from salaried customer representatives. I remember when a customer with a problem could call a utility company or bank and have the problem immediately corrected.

No more. There was an error in my phone bill today, which I had corrected without result on two previous occasions. As everyone knows by now, it takes 10-15 minutes, usually, to get a live person who can actually fix the problem. After listening to sales pitches for 12 minutes, I got a live person. Once the problem was understood, it was pronounced to be an upper level problem out of his hands. I waited another 10 minutes while he tried to reach a superior who had the code to fix the problem that the phone company had produced in my account. The entire time I listened to product advertisements.

How many times has this happened to you?

Whoever invented these artificial voice capabilities is the enemy of mankind. Whomever a customer calls–utilities, credit card companies, banks, whatever, the customer gets a voice machine. Some voice machines never tell the customer how to get a live person who can, on occasion, actually fix the problem.

In my opinion, the strategy behind the endless delays is to cause the customers to give up, slam the telephone down and play the higher incorrect bill as it is cheaper in time and frustration to correcting the problem and being billed in the correct amount. These ripoffs of the customer are produced by Wall Street pressures for higher earnings.

The frustrations, of course, multiply when one reaches an offshored service somewhere in the Third World. The incentive is to hang up and to pay the excessive bill so that phone, internet, or credit card services are not cut off

Had Don Regan and I known that the high speed Internet was in our future and that American corporations would use it to destroy the jobs traditionally filled by US university graduates, possibly we would have decided to save the regulated telephone monopoly and to deliver the economy over to stagflation.

The reason is that sooner or later something would have been done about stagflation, but nothing whatsoever has been done about offshoring. Saving the economy from offshoring would have been a greater achievement than saving the economy from stagflation. However, in my time stagflation, not offshoring, was the problem.

I regret that I did not have a crystal ball.

Deregulation proponents will say that the breakup of AT&T gave us cell phones and broadband, as if foreign regulated communication companies and state monopolies do not provide cell phone service or high speed Internet connections. I can remember attending corporate board meetings years ago at which the European members had digital cell phones with which they could call most anywhere on earth, while we Americans with our analogue cell phones could hardly connect down the street.

What deregulation did was to permit Wall Street to push the deregulated industries– phone service, airlines, trucking, and later Wall Street itself– to focus on profits and not on service. Profits were increased by curtailing service, by pushing up prices and by Wall Street creating fraudulent financial instruments, which the banksters used America’s reputation to market to the gullible at home and abroad.

Consider air travel. Admit it, if you are my age you hate it. The deterioration in service over my lifetime is phenomenal. Studies in favor of airline deregulation focused on short flights between A and B and concluded that small airlines serving high density areas were more efficient because they were not regulated. What was left out of the analysis is that regulated airlines served low density areas and permitted free stopovers. For example, if one was flying from the US to Athens, Greece, the traveler could stopover in London, Paris, and Rome without additional charges. Moreover, passengers were fed hot meals even in tourist class. In those halcyon days, it was even possible to travel more comfortably in tourist class than in first class, because flights were not scheduled in keeping with full capacity. Several rows of seats might be unoccupied. It was possible to push up the arm rests on three or four center aisle seats, lay down and go to sleep.

Perhaps the best benefit of regulated air travel for passengers was that airlines had spare airliners. If one airplane had mechanical problems that could not be fixed within a reasonable time, a standby airliner was rolled out to enable passengers to meet their connections and designations. With deregulation, customer service is not important. The bottom line has eliminated spare airliners.

With deregulated airlines, Wall Street calls the tune. If your flight has a mechanical problem, you are stuck where you are unless you have some sort of privileged status that can bump passengers from later fully booked flights. “Studies” that focus only on discounted ticket price omit major costs of deregulation and thereby wrongly conclude that deregulation has benefited the consumer.

When trucking was regulated, truckers would stop to provide roadside assistant to stranded travelers. Today, with deregulated trucking, every minute counts toward the bottom line. Not only do truckers no longer stop to aid stranded travelers, they travel at excessive speeds that endanger automobile drivers. Trucks have expanded in size, weight and speed. Trucks raise the stress level on interstate highway drivers and destroy, at taxpayers expense, the roads on which they travel.

Conservatives and especially libertarians romanticize “free market unregulated capitalism.” They regard it as the best of all economic orders. However, with deregulated capitalism, every decision is a bottom-line decision that screws everyone except the shareholders and management.

In America today there is no longer a connection between profits and the welfare of the people. Unregulated greed has destroyed the capitalist system, which now distributes excessive rewards to the few at the expense of the many.

If Marx and Lenin were alive today, the extraordinary greed with which Wall Street has infected capitalism would provide Marx and Lenin with a better case than they had in the 19th and early 20th centuries.

Government Austerity: The Match that Lights the Fire

PrisonPlanet.com

Top historians, social and financial analysts are warning that the draconian austerity measures currently being prepared by governments in the west will cause riots and even revolutions as people react with fury in response to their jobs, savings, basic public services, pensions and welfare money being seized by the financial terrorists who caused the economic collapse in the first place.

British historian Simon Schama is a creature of the establishment and he makes it clear whose side he is on at the end of his recent column for the Bilderberg-controlled Financial Times entitled, The World Teeters on the Brink of a New Age of Rage. However, the fact that he is an elitist at heart only makes Schama’s predications all the more alarming. This is someone on the inside who is painfully aware of the fact that the imminent attempt on behalf of the globalists to enforce so-called “austerity measures” on the people of the west, which in reality is a euphemistic term for the next leg of the new world order, is not just going to cause riots and mass social unrest, but it could even lead to revolution if the elite allow the situation to spiral out of their control.

Schama’s forecast that “we might be on the threshold of an age of rage” is not to be taken lightly. This isn’t coming from Alex Jones, Max Keiser or Gerald Celente, it’s coming directly from a man considered to be Britain’s pre-eminent contemporary historian.

Schama writes that the coming austerity measures, particularly in America where anger “targeted at an elitist federal authority is raging through the US like a fever,” will require “Barack Obama to be more than a head tutor. It will need him to be a warrior of the word every bit as combative as the army of the righteous that believes it has the Constitution on its side, and in its inchoate thrashings, can yet bring down the governance of the American Republic.”

In other words, Obama will have to ditch “misplaced obligations of civility” and become an authoritarian enforcer in order to emerge successful against the rising tide of Constitutionalist rage that will be directed against the coming austerity fascism.

We’ve all seen the numerous videos of protesters in Greece rioting, fighting police, and even firebombing banks and killing people in reaction to the crippling austerity measures imposed by the government in the name of appeasing the mandates of the European Union’s near $1 trillion dollar bailout package. However, the establishment media as a whole has largely failed to identify precisely what those austerity measures are, and more importantly how they will almost undoubtedly lead to massive social dislocation in the UK and the United States when implemented.

The austerity measures currently being considered and indeed implemented in the UK and other European countries, with the United States not too far behind, can be summarized as follows.

– Massive cuts to public services that are two or three times larger in size than anything we’ve witnessed since the second world war.

– Both capping of and reduction of salaries for public sector workers that will inevitably lead to huge strikes, bringing whole countries to a standstill for weeks on end, further eviscerating any economic recovery. Public sector workers in France and Spain are already staging large industrial strikes. As we saw in Greece, strikes routinely lead to riots and violence.

– Shocking tax increases that if they mirror previous trends could amount to an astounding 98 per cent tax on all earnings over a low level of income. Such increases would virtually eliminate the middle class because all earnings over around £20,000 ($28,000) would almost entirely go straight to the government. Knowing that such exorbitant hikes would cause millions of people to try to evade tax, thousands of new tax inspectors are being hired to crackdown on evaders. In the United States, 16,000 new IRS agents were recently hired in anticipation of people avoiding massive tax hikes that are in the pipeline, as well as new taxes as a result of Obamacare, which will begin to be implemented in the coming years.     Read More…