It is time for a repost, a very important article that the public must grasp in order to understand the long term condition of our economy and to understand that present short term fixes are just that, short term. The title makes the point strongly enough.."How can President Obama restart an economy that has been moved offshore?"
You have to understand that before we have an economy that works, a real economy, we have to have economic activity that is more than just moving money around from place to place. Moving money is facilitated by those with real money to bolster segments of the economy, bubble creation, into inflationary cycles where the rich will bail out as they sense the asset bubble has run it's expansionary course and drain your cash from the bubble. The production of goods and services is the only real economic engine and that engine has flown the coop to foreign lands.
People have to understand that the Republican principal of "kill the beast" (Google it), is the intentional starvation of the government of funds for the purpose of killing Social Security and Medicare and Medicade. Realize that killing these programs is just a means to an end. The goal is to get people to pay into savings accounts to cover these programs with Wall Street holding the account funds on their books instead of on the governments books. Just what you need, Wall Street taking exorbitant risks with more of your money. The public is already drained of funds from the first bank bailouts to facilitate another.
Let's pray that as people are getting laid off that they are spending some time educating themselves on economic matters. An understanding of how we got where we are is the only way we will be able to turn it around. Republican obstructionism makes no sense unless you can see the big picture. Europe is teetering on the brink of government default, we are teetering on that same brink, corporations and the wealthy royal class will be moving in to "save us" and happily supply us with the new Feudalism. Full blown Fascism is in the future unless people wake up.
Sinclair Lewis makes a good point, "When fascism comes to America, it will be wrapped in the flag and carrying a cross.” What people have to understand about Fascism is that corporations will run all government programs(privatization). We will have the honor of organizations like "Blackwater" now "XE" running our police and security apparatus. Blackwater has shown itself in Iraq to be devoid of all moral and ethical blessings, under no bid contracts they have made a fortune which will gurantee their survivability until the day they can acquire that mega contract of providing a security aparatus for this American nation. Eric Prince the founder of Blackwater is a member of the far religious right, here comes the flags and crosses.
The return of America's manufacturing jobs is KEY to any sense of a return to former normalcy!
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From PAUL CRAIG ROBERTS :
Don't Look to Washington for Help
Rule by the Rich
The Democrats were destroyed as an independent party by jobs offshoring and so-called free trade agreements such as NAFTA. The effect of "globalism" has been to destroy the industrial and manufacturing unions, thus leaving the Democrats without a power base and source of funding.
Obama and the Democrats cannot be an opposition party, because Democrats are as dependent as Republicans on corporate interest groups for campaign funding.
The Democrats have to support war and the police state if they want funding from the military/security complex. They have to make the health care bill into a subsidy for private insurance if they want funding from the insurance companies. They have to abandon the American people for the rich banksters if they want funding from the financial lobby.
Jobs offshoring is too profitable for U.S. corporations for Obama to be able to save American jobs and restart the broken economy.
Americans are being squeezed out of health care not only by the loss of job benefits, but also by corporate takeover of medical practice from physicians. Today medical doctors are wage slaves of corporate health providers that leverage doctors by turning them into supervisors of physician assistants, lower paid people without medical degrees who perform the services that doctors once provided. As neither doctor nor physician assistant has any independence, there is no one to represent the patient’s care against the profits of the corporation.
Even environmental concerns are being used to create "cap and trade" rights to buy and sell the ability to pollute. Wall Street is licking its lips over a new source of leveraged derivative instruments.
The American public cannot even get reliable information about their plight as the "mainstream media" has been concentrated into a few corporate hands that do not permit independent reporting. The media is as dependent on corporate money as are politicians.
How can President Obama restart an economy that has been moved offshore? Millions of manufacturing jobs are gone, as are millions of jobs for college graduates, such as software engineering, Information Technology--indeed, any intellectual skill the product of which can be conveyed via the Internet. Even those intellectual skill jobs that do remain in the U.S. are filled increasingly by foreigners brought in on work visas.
The enormous damage done to the U.S. economy by jobs offshoring, work visas, and financial deregulation cannot be offset by government stimulus plans, which expand the debt burdens that are crushing Americans. The federal government’s massive budget deficits and the Federal Reserve’s easy monetary policy are setting the stage for an inflationary depression to follow a deflationary depression.
The Federal Reserve chairman says not to worry about inflation, because the Fed can take the money back out of the economy. But can the Fed take the money out without contracting the economy?
http://www.counterpunch.org/roberts01272010.html for complete article.
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Thomas Jefferson: " The modern theory of the perpetuation of debt has drenched the earth with blood, and crushed its inhabitants under burdens ever accumulating. "
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Hang onto your ass for it may be all that is left you!
Good Luck
KAK
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