I've lately spent a lot of time discussing the bogus accounting, misleading machinations, and brazen scams taking place in the world of high (low?) finance. Even so, it's hard to argue with those who say the real masters of dodgy, three-card-Monte-style paper shuffling are our elected officials based in Washington, D.C. (not to mention various other seats of power around the nation).
In "Total Federal Debt Rose by More Than $550 Billion This Fiscal Year," Angry Bear blog gives us the lowdown on the most recent data point in a series that's been touted as "good news" by the current administration, but which just happens to be about 60 percent shy of reality.
Total Federal Debt (TFD) stood was just over $9 trillion as of 9/30/2007 as compared to $8.45 trillion as of 9/30/2006. The increase in TFD – which most folks would call the General Fund Deficit (GFD) – was $556.3 billion for the year....Of course, the water carriers for this Administration prefer to talk about the Unified Deficit (UD), which is the increase in the debt held by the public (DHP). That increase was only $220.3 billion BECAUSE intra-government holdings (IGH) of debt rose by a staggering $336 billion over the fiscal years. IGH is mainly that Social Security Trust Fund reserve that the White House wants you to believe doesn’t exist.
But here’s the thing. Since 2005, the reason that the unified deficit has been rising is NOT a declining General Fund Deficit but rather increases in those Trust Fund surpluses. That’s right – not only are the reserves rising but their rate of increase (the surplus) has been increasing. But then the White House water carriers don’t want you to know this. After all – there is no Trust Fund reserve and here at Angrybear, one of our readers says we are not allowed to talk about this staggering and continuing General Fund Deficit.
What all this points to is, that there will be hyper inflation ,the monetization of the debt will clear the way for the NWO, to trample the constitution .This will free all personal debt ,as well as national debts.
A clean slate will occur.
the Canadian Dollar will be used as the backbone of the Amero. It is all coming,I have no doubts.
The result will serve untill a world currency can be derived probably one of credits and not money.
Posted by: daveDave | October 12, 2007 at 10:33 PM
MP,
If you have a minute, could you comment on the massive bailout for Citigroup and other holders of SIVs that is making the rounds this weekend: http://tinyurl.com/2888ov
So much for free markets. The last eight weeks have made an absolute mockery of our financial system...teetering on the brink of insolvency? No problem. Just queue up at the Fed, pander for changes to key reserve rec. laws, and then throw more leverage at equities to bail out your counterparties.
How can Kudlow and his libertarian friends even proclaim that we have free markets? Anyway, if you have time, I'm sure the readers of your blog would like to know your mind on the SIV moral hazard explosion plan.
Thanks,
JDB
Posted by: J. Bridges | October 13, 2007 at 05:10 PM
I'm sure you can guess what I think about this. Nonetheless, like all the other smoke-and-mirrors manueverings going on lately, this effort will prove to be nothing more than a reshuffling of deck chairs on a sinking Wall Street Titanic.
Posted by: Michael Panzner | October 13, 2007 at 05:56 PM