…..and not a buyer in sight at half your imaginary wish price.
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Comment by Whac-A-Bubble™
2014-07-26 09:29:45
According to Zilldo, my parent’s home in the Midwest has recently appreciated to over $90K. However, no home in their largish tract home development, full of houses with cookie-cutter similarity to my parent’s, has sold for north of $65K for the past year, and most of them have gone for much less.
Does anyone know how Zilldo cooks up its fantasy price estimates?
Comment by Housing Analyst
2014-07-26 09:35:01
They survey DebtDonkeys and ostriches with there empty skulls planted firmly in the sand…… And realturds.
Comment by MacBeth
2014-07-26 10:47:36
Who in their right mind bothers with Zillow?
Comment by Housing Analyst
2014-07-26 10:51:54
If you mean “zestimates/home values”, you’re right. However their market data is accurate.
Comment by MightyMike
2014-07-26 11:16:01
Does anyone know how Zilldo cooks up its fantasy price estimates?
They won’t say in detail.
What is a Zestimate?
The Zestimate® home valuation is Zillow’s estimated market value, computed using a proprietary formula. It is not an appraisal. It is a starting point in determining a home’s value. The Zestimate is calculated from public and user submitted data; your real estate agent or appraiser physically inspects the home and takes special features, location, and market conditions into account. We encourage buyers, sellers, and homeowners to supplement Zillow’s information by doing other research such as:
•Getting a comparative market analysis (CMA) from a real estate agent
•Getting an appraisal from a professional appraiser
•Visiting the house (whenever possible)
Is a Zestimate an appraisal?
No. The Zestimate is not an appraisal and you won’t be able to use it in place of an appraisal, though you can certainly share it with real estate professionals. It is a computer-generated estimate of the worth of a house today, given the available data. Zillow does not offer the Zestimate as the basis of any specific real-estate-related financial transaction. Our data sources may be incomplete or incorrect; also, we have not physically inspected a specific home. Remember, the Zestimate is a starting point and does not consider all the market intricacies that can determine the actual price a house will sell for.
Zillow Zestimates have always been wildly inflated, no matter what the market. They come across as pimps.
Comment by Guillotine Renovator
2014-07-26 11:57:20
Also, Zillow is the quintessential bubble company. It was conceived entirely based upon a housing mania which led to a perverse public obsession with the “value” of personal, as well as friends and neighbors, houses.
Comment by Selfish Hoarder
2014-07-26 12:59:25
I never trust zestimates. But comps are comps.
Comment by Dale
2014-07-26 19:23:48
zestimates = instant equity
Comment by Whac-A-Bubble™
2014-07-27 05:14:57
“The Zestimate® home valuation is Zillow’s estimated market value, computed using a proprietary formula.”
Sounds like something only a RealLiar™ could love!
Will China’s property bubble trigger a financial crisis? Concern is high this year thanks to deteriorating sales figures and reports of large price cuts. But China really is different. Though a correction is coming, the consequences will be more manageable than common sense might suggest.
No real property market existed in China until housing was privatized more than a decade ago. Then came the 2008 global financial crisis and Beijing’s credit expansion, after which Chinese land prices surged five-fold, triggering commensurate increases in property prices and other asset values. In other words, the market was trying to establish appropriate prices for an asset whose value was previously hidden by socialist fiat (a pattern also seen a decade ago in Russia).
Instead of a bubble, therefore, China’s sharp property-price increases could represent the real value of land in a densely populated country. If so, they would signal the Chinese economy’s financial deepening, not the imminent onset of a financial collapse.
A main concern is that China has allowed housing construction to outpace requirements, especially in second- and third-tier cities, so prices will fall. But the correction may not be destabilizing because long-term trends in Chinese property prices don’t fit the typical pattern of a bubble.
China’s property market has seen cyclical downturns followed by rebounds, most recently when housing prices started falling in late 2011 and then turned upward again in the second half of 2012. It is hard to find past bubbles that experienced such significant and persistent price declines before reversing and continuing to inflate. When prices start falling in a bubble situation, investors typically rush for the door and cause a collapse.
That China’s property market saw no such collapse in 2012 suggests that its high prices were supported by more than “irrational exuberance” and may be a reasonable floor—implying, in turn, that today’s prices may fall by about 20% over the coming year but not more than 30%.
…
How Isaac Newton went flat broke chasing a stock bubble
by Tim Price on December 10, 2013
London, England
[Editor's Note: Tim Price, Director of Investment at PFP Wealth Management and frequent Sovereign Man contributor is filling in for Simon today.]
For practitioners of Schadenfreude, seeing high-profile investors losing their shirts is always amusing.
But for the true connoisseur, the finest expression of the art comes when a high-profile investor identifies a bubble, perhaps even makes money out of it, exits in time – and then gets sucked back in only to lose everything in the resultant bust.
An early example is the case of Sir Isaac Newton and the South Sea Company, which was established in the early 18th Century and granted a monopoly on trade in the South Seas in exchange for assuming England’s war debt.
Investors warmed to the appeal of this monopoly and the company’s shares began their rise.
Britain’s most celebrated scientist was not immune to the monetary charms of the South Sea Company, and in early 1720 he profited handsomely from his stake. Having cashed in his chips, he then watched with some perturbation as stock in the company continued to rise.
In the words of Lord Overstone, no warning on earth can save people determined to grow suddenly rich.
Newton went on to repurchase a good deal more South Sea Company shares at more than three times the price of his original stake, and then proceeded to lose £20,000 (which, in 1720, amounted to almost all his life savings).
This prompted him to add, allegedly, that “I can calculate the movement of stars, but not the madness of men.”
…
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Comment by rms
2014-07-26 16:53:20
“In the words of Lord Overstone, no warning on earth can save people determined to grow suddenly rich.”
The minimum down payment in China is 30%. And if you bought at the very top yes if it goes down that much it would. But most people bought early and their housing units may have doubled or tripled by now, and many have paid off any mortgage since the loans are only for ten years. I agree with the prediction of 20% down with no more than 30%, which means very little impact on the overall Chinese economy. The banks will not eat any loss and the speculators will eat it, the government will not bail them out, so who cares the system is working like it should not like Obama’s first time homeowner program etc where taxpayers had to pay.
There are several gaping holes in this line of thought. The first is that most people bought before the bubble, so there cannot be a bubble. The second is the 30% down payment. LOL, this can of course be borrowed money. Equity in the house or no, a loan could be had against it to buy a second property, or a tenth. Do the math, this about the poorest country on earth (still). There isn’t enough money there to put 30% actual saved cash downpayments at Manhattan prices on all those housing units. If, like you say, there is only air supporting the Chinese housing market, what is the hard stop at a 20% decline?
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Comment by Albuquerquedan
2014-07-26 07:40:39
I did not say they could not have a bubble my argument and most of the information on China boil down to this.
1. Chinese housing prices will decline 20-30% in the next two years. (I think it will be low end of that range)
2. Despite the drag on the Chinese economy due to the housing correction, it will grow by 7 to 7.5% per year. (I think on the low end).
That is the forest and none of the posts about the trees alters those two points. Now, if you or whac have a different scenario post your numbers for all to see.
Comment by Housing Analyst
2014-07-26 07:46:05
They’ll fall to whatever reproduction costs are plus profit less depreciation.
I’ll wager that’s far more than 20%.
Comment by Albuquerquedan
2014-07-26 07:54:13
There isn’t enough money there to put 30% actual saved cash downpayments at Manhattan prices on all those housing units
Yes there is among the people that are buying them. Among the population of almost 1.4 billion people very few can afford those prices. However, 1% can and that is about 14 million people.
Comment by Blue Skye
2014-07-26 09:22:59
“post your numbers…”
$25 Trillion. Housing for 6 billion . Communist party press releases are not the forest and the biggest mountain of debt in the world spent on useless empty overcapacity is not a tree.
Comment by Albuquerquedan
2014-07-26 11:11:49
The average Chinese saves 30% of his or her income. The average American save around 5%. Joe and Joan Chang each making $10,000 dollars a year save together $6000 a year and save thirty thousand dollars within five years. This will buy you a $100,000 house which will buy you a nice house in most of China. In Beijing multiple everything by ten, and they will have the ability to buy a one million dollars house. I have posted the numbers supporting this, China external debt is 7% of GDP while our debt is around 100% of the GDP. That is because Chinese companies can borrow money from Joe and Joan Chang because they have savings which can be used for down payments. Americans can not understand this just like the Chinese cannot understand how the poor in this country can eat at McDonalds every day and have multiple pairs of $150 sneakers. It is about your culture and your IQ.
Mean urban household income = $8,000/yr. Of course these people will pay NY prices for not just one house, two or ten. Savings look good in a credit expansion if you include the paper gains in Golden Elephant Trust and such. Is that what’s happening?
So, where is all the $25 Trillion of debt? What will happen to this fantastic savings of the households if that pyramid implodes?
Comment by Albuquerquedan
2014-07-26 12:11:44
Blue Skye, people are only paying New York prices in first tier cities in the high income parts of the city.
Comment by Albuquerquedan
2014-07-26 13:35:17
Great site, while China’s housing in its world class cities is clearly out of line with rents, it is no where near NYC prices and if you go down to second and third tier it is easy to find $100,000 and less houses:http://www.globalpropertyguide.com/most-expensive-cities
Comment by Blue Skye
2014-07-26 19:50:19
Great! $100,000 house on an $8,000 income. Sounds sustainable, don’t you think?
Comment by "Auntie Fed, why won't you love ME?"
2014-07-26 21:27:09
Yes, by ABQDan’s logic, the person with $8,000/year will save $2,400/year. This means that they will have a down payment in 12.5 years, and that will “buy them a house”. It actually only covers the down payment on a lease, but that is irrelevent in his mind.
I suppose that means it would take a 30% loss to get wiped out. But so far as I am aware, there is no law of economics that limits real estate (or stock market) losses to only 20%. In fact, the Japanese experience since 1990 shows the potential for much larger losses than 20%-30% on asset values over a multi-decade period.
Not to suggest this could ever happen in China…
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Comment by Albuquerquedan
2014-07-26 11:32:22
No because you will not make any prediction about China because you know nothing about China. I think you are making the safe choice.
Comment by Albuquerquedan
2014-07-26 11:46:31
Thanks Obama. China’s household wealth will soon be higher than the U.S.
“For households at the median level of net worth, much of the damage has occurred since the start of the last recession in 2007. Until then, net worth had been rising for the typical household, although at a slower pace than for households in higher wealth brackets.”
But much of this gain in net worth was leveraged gain - a magically created gain that was magically brought into existence due to leveraging (lots and lots of leveraging) during the magical era of Borrow Your Way To Prosperity - and because it was leveraged gain the reversal of the previous gain erased a lot of magically created equity but left fully intact the downside of all that magical leveraging and magically created equity and this downside carried with it a particularly nasty and unsavory term (as many people have discovered) called “DEBT”.
DEBT! The equity vanished but the debt remained. (I hate it when it does that, as do most people.)
“But much of the gain for many typical households came from the rising value of their homes. Exclude that housing wealth and the picture is worse: Median net worth began to decline even earlier.”
Median net worth began to decline even earlier because:
1. Jobs that used to be located here left here and ended up in place such as China. The jobs didn’t disappear, they just moved. And when they moved the median net worth here suffered a hit and at the same time the median net worth in China (or wherever) got a boost.
2. Even though home equity increased during this Magical Era the equity did not remain in the house, noooooo, people such as David Lereah told us that if we left any equity in our houses then we were not managing our finances efficiently, so just as one should expect a population of Enlightened Financial Wizards to do, homebuyers by the millions (note the term “homebuyer” and maybe give a bit of thought to its true meaning) sucked out this equity and SPENT IT. And much of this sucked-out-and-spent equity ended up over in China (or wherever) which also added to China’s (or wherever’s) prosperity.
In other words, to sum up point 1 and point 2, China (or wherever) not only got our equity, which, deep down, has its roots in mortgages (aka, BORROWED MONEY) they also got our jobs. And these two things led to this:
“’The housing bubble basically hid a trend of declining financial wealth at the median that began in 2001,’” said Fabian T. Pfeffer, the University of Michigan professor who is lead author of the Russell Sage Foundation study.”
Comment by Combotechie
2014-07-26 17:34:49
China got a boost in its prosperity because the people in the United States and the people who populate many other countries in the Western World had, for a period of time that lasted for several years, TOTALLY LOST THEIR MINDS!
An event that is unlikely to happen again, at least to the same degree.
But China (and several other places) need it to happen again because these countries structured their economies on the premise that the U.S. and other countries would forever remain insane.
Which may be what happens, this remaining insane, but it is one thing to be insane and rich and quite another thing to be insane and broke - which is what we (or at least many of us, enough of us) are.
Comment by Whac-A-Bubble™
2014-07-27 05:17:35
“No because you will not make any prediction about China because you know nothing about China. I think you are making the safe choice.”
I predict you will make many more posts about Obama, to demonstrate your steadfast love and admiration.
If that’s true, then I would like to know how “less than most” people could have caused the values of the leases bought by the orginal most to double or triple in value.
To go by China’s 7.5% GDP growth in the second quarter, the country’s economy seems to be on the mend. But the most recent housing market data would suggest that recovery is still a ways off—and that things may still get a lot worse yet. Here’s a look at the trend in home-sale prices versus the previous month.
In 55 out of 70 of the major cities whose home sales the National Bureau of Statistics tracks, June prices came in lower than May’s—a huge leap considering that only half of the cities tracked reported falling prices in May. According to Wei Yao, economist at Société Générale, the decline of the 70-city average was the sharpest drop since Dec 2008. The year-over-year prices are still going up, but their rate of increase is slowing sharply too.
Of course, it’s no surprise that China’s housing market was in a shabby state in June; things have been looking grim for the last half-year. But what’s worrisome, says Yao, is that the sales volume contracted sharply despite large price cuts that developers had been offering throughout June. (The uptick in incidence of state-run newspapers urging people to buy homes suggests that things haven’t improved much in July. )
This is driving housing inventory to new highs. In the chart below from SocGen, the blue line reflects inventory in 35 major cities, while the tan line tracks the amount of floorspace under construction. As you can see, even as construction has slowed, inventory continues to soar.
The immediate concern, at least for China’s GDP-obsessed leaders, is economic growth, between 16% and 20% of which comes from real-estate investment. And that picture isn’t very pretty. Developers are struggling to get cash, notes Yao. And not just developers; despite the central bank’s command that banks loosen mortgage criteria, mortgages fell 2.6% compared with June 2013.
…
China is experiencing deflation, after many years of relentless inflation. They are fighting this with the biggest credit expansion in history and losing. China pegs “housing” at 17% of the CPI, but all the wasted construction and the materials and land sales likely make a much larger percentage of their “GDP”. The only way China is going to grow now is to continue the credit expansion at an ever increasing pace. They are already the most highly leveraged poor kids in the world.
You’re either pretending or confused — always hard to say which!
But the article I recently posted quoted a Chinese economist who claimed 60% of China’s GDP is real-estate dependent. The 60% figure is tied to the level of GDP, not GDP growth to which the 16%-20% figure pertains.
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Comment by Albuquerquedan
2014-07-26 11:35:51
A distinction without a meaningful difference if you had four working brain cells. Housing is related to about 60% of today’s growth but some how is only 10-15% of future growth? It is a totally bogus number and any one that understands economics knows it.
Comment by "Auntie Fed, why won't you love ME?"
2014-07-26 21:37:23
ABQDan:
GDP is not a form of growth. The change in GDP may represent growth, but only if it’s a positive number.
Comment by Whac-A-Bubble™
2014-07-27 05:19:20
Auntie Fed, clearly ABQDan is a propagandist. Remedial economics education will not help the situation one bit.
From flimsy fixtures to pestilential pipes, Beijing apartments generally come with one defect or another. So who needs an angry ghost added to the equation?
To help potential residents suss out whether their apartment might be prone to supernatural visitors with axes to grind, one Chinese property agency has created a database cataloging unnatural deaths—murders, suicides, etc.— that have occurred in Beijing homes.
According to an analysis posted on a site operated by China’s Ministry of Justice, no clear law exists that requires Chinese landlords or would-be sellers to disclose, say, a particularly brutal history attached to an apartment. To be sure, there’s precedent for buyers who weren’t aware of such a past to gain compensation through the courts if they feel duped. In one 2011 case, a buyer surnamed Wang ended up being awarded about 60,000 yuan after the seller failed to make clear that a previous resident had committed suicide on the premises.
Still, the site warns, caveat emptor.
Enter the haunted-home database. Such databases have also been created in cities such as Hong Kong and Taipei, where residents likewise have a strong aversion to homes with violent histories. In Hong Kong, for example, such homes are meticulously documented. Traditionally, they have been sold for discounts of as much as 30% and are particularly popular with expats, who agents say are less superstitious and disturbed by such pasts.
A report carried in the Beijing Youth Daily said that the Beijing-based database, created by property agency Home Link, currently features 900 entries. The paper said the database was created after the agency had run into a number of sticky situations in which customers learned about a violent death in their home only after a deal had already been finalized. The company didn’t respond to a request for comment.
…
You should wake up and be concerned. Your house is probably not tsunami proof. Besides, if you can’t pay the principle, what does the interest rate matter?
From same source as link that will soon post (China Daily) while Obama crashes small businesses with new taxes and regulations China is practicing Reaganomics and leaving the U.S. in the dust, excerpt:
Premier calls for banks to simplify lending process for first-time entrepreneurs
Premier Li Keqiang pledged more financial support for new businesses to encourage entrepreneurship amid the continuing downward pressure on the Chinese economy.
“The government and State-owned banks must conduct in-depth research, change their work styles and mindset to find ways to make it easier for new businesses, which are largely small businesses, to get loans,” Li said on Friday.
Earlier that day, Li had met owners of small and micro businesses in Shandong, wrapping up a two-day visit to the coastal province.
“Premier calls for banks to simplify lending process for first-time entrepreneurs.”
Yes! The solution to all financial problems is to borrow money!
“Premier Li Keqiang pledged more financial support for new businesses to encourage entrepreneurship amid the continuing downward pressure on the Chinese economy.”
China is destined to borrow its way to prosperity just as the Western countries have done!
Everywhere you care to travel on this planet you will find that people are smart.
Wouldn’t the idea of state-owned banks be contrary to Reaganomics - at least your theory of it.
Reaganomics also led to a great rise in the value of the dollar. The Chinese would never allow a dramatic rise in the value of their currency.
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Comment by Albuquerquedan
2014-07-26 08:00:25
China is moving toward a free market economy and that is Reaganomics, is it there yet, no. But it is precisely because they still have a way to go that they have so much potential. We had the lowest corporate tax rate when Reagan left office and a booming economy. We now have one of the world’s highest and virtually no growth. Coincidence? I think not. The world saw how to make an economy boom and we failed to keep up. Lola can post opinion articles about how our tax rate is really not that high, but in the real world corporations are trying to do reverse mergers with foreign countries to get their tax rates. This is conclusive proof that the corporate tax rate abroad is much lower.
Comment by Housing Analyst
2014-07-26 08:04:23
Could it be that its not just Lola attempting to keep a worn out lie alive on a two faceted polarized sinking ship?
Comment by MightyMike
2014-07-26 11:19:10
That’s interesting. A little something was written about this just yesterday.
Corporations used to pay almost one-third of federal taxes. Now it’s one-tenth.
Updated by Danielle Kurtzleben on July 25, 2014, 1:30 p.m. ET
Everyone agrees the corporate income tax is broken, but meaningful changes to it never seem to happen. And despite a flurry of recent attention, action on inversions — reincorporating a business in a foreign country in order to take advantage of lower rates — seems to keep being punted into the future.
Obama railed against inversions this week, calling for “economic patriotism.” But Senate Democrats say they don’t think Congress can address the issue before August recess, as Bloomberg reported this week. And even then, agreement looks tough: Republicans want broader tax-code reform, and not all Democrats are behind Obama.
Corporations are shouldering far less of a tax burden than they used to. Corporate tax revenues have declined as a share of GDP over the years, but individual tax revenues have held steady, according to a 2013 GAO report.
Corporations account for a much smaller share of the tax revenue pie than they used to. In 1952, corporations accounted for 32.1 percent of federal revenue. As of 2013, it was less than 10 percent.
It’s understandable why US corporations seek out inversions — the US has the highest nominal corporate tax rate among developed countries, with a 35 percent top federal rate and a 39.1 percent average combined rate. While other countries’ rates have fallen, the U.S.’s has stayed high.
But corporations are also very good at finding ways to pay less. The GAO found that all corporations who filed M-3s (a tax form for large and international corporations) paid an effective tax rate of 22.7 percent in 2013. Among profitable companies only, the rate was even lower, at 17 percent.
So even while the US corporate tax rate is high, its corporate tax revenue collections are low. That’s one reason why, as of 2011, the US was on the low end of corporate tax revenue among OECD nations.
Same leftist propaganda that is countered by the real world reality. If companies were actually paying a low amount they would not be trying to merge with countries all over the world to lower their taxes. It is simple as that.
Comment by MightyMike
2014-07-26 17:14:45
Those are just facts and you call them leftist propaganda. The fact that corporations are moving their profits to other countries doesn’t contradict the assertion that US corporate tax revenues are below average. It just means that they’re not the absolute lowest in the world.
It would be interesting if you consider the behavior of these corporations to be an argument for lowering our tax rates. It would mean that we’re not free to choose the tax rates that we want in our country. Large multinational corporations and foreign governments would dictate what tax rates we can have. You’re the one often invoking the word globalism. Would that be an example of globalism?
The Chinese housing has been in rough shape for more than a year. Quartz’s Gwynn Guilford charts the latest set of bad numbers. It’s not an out of control crash just yet – prices are still rising on a yearly basis – but the boom of the last decade is certainly over.
In May, Guilford argued that it may already “be too late for the Chinese government to stop its housing bubble from popping.” The problem, she said, was that economic growth had become too closely tied to housing investment. Matt O’Brien made a similar point when he said that a manufacturing-dominated view of China’s economy was out of date. After the financial crisis, demand for its exports dropped, and so China looked to housing, the sector at the heart of the crisis in the West, to drive its recovery.
And then recently, when a dip in the housing market caused slower economic growth, the government told banks to issue more mortgages. But more mortgages alone won’t necessarily mean more home buyers: credit standards will need to be loosened for that to happen. If you are worried about Chinese housing starting the next financial crisis, Simon Johnson has a relatively comforting prediction. He and co-author Peter Boone say that the whole thing will end not with a Lehman-like catastrophe, but a “ more standard credit bust, driven by the drying-up of the nonbank markets and some losses on bank loans.” In the context of bad outcomes, that’s definitely not the worst.
…
Obsessed with China Whac? Here is story why if we continue on our same path we will be as poor as central America, while China will be as rich as we are now. This country has always dealt with labor shortages with technological inventions until a few decades ago when we decided to import poor peasants. China is creating wealth be creating robots to take the place of cheap workers:
No. I just enjoy seeing what kind of propaganda you will throw out in response to my factual posts about the real situation on the ground over there.
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Comment by MacBeth
2014-07-26 10:57:17
Yes, you are obsessed. It’s one China post after another after another after another.
Personally, I don’t give a rat’s ass about China’s housing market. I don’t own a house, and I don’t hold U.S. Treasuries. I don’t live on the West Coast. And China’s not about to start a war, either. They can’t afford to, much like we can’t.
Comment by Housing Analyst
2014-07-26 11:01:28
crater
Comment by azdude
2014-07-26 12:31:32
go macbeth!
Comment by Whac-A-Bubble™
2014-07-27 05:24:06
“Yes, you are obsessed. It’s one China post after another after another after another.”
It’s an interesting topic to me, and apparently to Ben Jones as well.
But so far as I am aware, nobody has put a gun to your head and forced you to read posts about the Chinese housing bubble implosion. I suggest you ignore them if they seem uninteresting or irrelevant to your narrow little world view.
If the work can be done by a robot, then it can be done by a robot in the United States. It makes no sense to reason that China will get rich by selling robot-made stuff to people who live in countries that have more money.
BTW, there are only so many things that can be made with robots. I’m sure the robots will get better over time, but even the superior engineering capabilities of Japan and the United States have not been able to design robots that can make most stuff as well as a human for less money.
“It’s unbelievable how much you don’t know about the game you’ve been playing all your life.” — Mickey Mantle
Small-caps tend to get lot of attention by traders/investors because of their tendency to outperform bigger companies over large markets cycles. Many of these companies tend to trade with less dollar volume compared with large-cap equities, are highly sensitive to domestic growth expectations, and can be seen as a good indicator of risk sentiment beneath the surface.
On the latter point, I know everyone remains mesmerized by the Standard & Poor’s 500 Index, but the reality is that many stocks in the U.S. have been struggling in 2014, with market cap being a key decider of just how tough it’s been. The small-cap Russell 2000 Index meaningfully underperformed the S&P 500 this year in a shocking way, causing them to give back all of their 2013 outperformance, and sending it’s price ratio relative to large-caps all the way down to 2011 levels.
…
“The small-cap Russell 2000 Index meaningfully underperformed the S&P 500 this year in a shocking way, causing them to give back all of their 2013 outperformance, and sending it’s price ratio relative to large-caps all the way down to 2011 levels.”
Which means the large caps can use their newly-acquired Supermoney (the money that they have created out of thin air due to Mr. Market’s elevation of the prices of their shares) to buy up these small caps on the cheap (and they get to buy them on the cheap because Mr. Market made them cheap).
Plus, along with using Supermoney to buy, these large caps can use the regular-kind of money (the kind you and I use) to buy up these cheaply priced small-caps and they can get tons of this regular-type of money (but we can’t) very cheaply due to that ZIRP policy thingy that our clever folks at the Fed are using in order to save us all.
And once these large caps buy up these small caps they then can implement programs to “improve” them by stripping them of their costs (costs = employees) and they will call this process “synergy” and “streamlining” and “right sizing” and they will do this in order to get “lean-and-mean” so they can take on the rest of the world on a “level playing field”.
The Stealing of America by the Cops, the Courts, the Corporations and Congress
written by john w. whitehead
monday july 21, 2014
Homeland Security ICE
“What the government is good at is collecting taxes, taking away your freedoms and killing people. It’s not good at much else.”
—Author Tom Clancy
Call it what you will—taxes, penalties, fees, fines, regulations, tariffs, tickets, permits, surcharges, tolls, asset forfeitures, foreclosures, etc.—but the only word that truly describes the constant bilking of the American taxpayer by the government and its corporate partners is theft.
We’re operating in a topsy-turvy Sherwood Forest where instead of Robin Hood and his merry band of thieves stealing from the rich to feed the poor, you’ve got the government and its merry band of corporate thieves stealing from the poor to fatten the wallets of the rich. In this way, the poor get poorer and the rich get richer. All the while, the American Dream of peace, prosperity, and liberty has turned into a nightmare of endless wars, debilitating debt, and outright tyranny.
What Americans don’t seem to comprehend is that if the government can arbitrarily take away your property, without your having much say about it, you have no true rights. You’re nothing more than a serf or a slave.
In this way, the police state with all of its trappings—from surveillance cameras, militarized police, SWAT team raids, truancy and zero tolerance policies, asset forfeiture laws, privatized prisons and red light cameras to Sting Ray guns, fusion centers, drones, black boxes, hollow-point bullets, detention centers, speed traps and abundance of laws criminalizing otherwise legitimate conduct—is little more than a front for a high-dollar covert operation aimed at laundering as much money as possible through government agencies and into the bank accounts of corporations.
The rationalizations for the American police state are many. There’s the so-called threat of terrorism, the ongoing Drug War, the influx of illegal immigrants, the threat of civil unrest in the face of economic collapse, etc. However, these rationalizations are merely excuses for the growth of a government behemoth, one which works hand in hand with corporations to profit from a society kept under lockdown and in fear at all times.
Indeed, as I point out in my book A Government of Wolves: The Emerging American Police State, the real motivating factor behind erecting a police state is not to protect the people, but to further enrich the powerful. Consider the following costly line items, all part of the government’s so-called quest to keep us safe and fight terrorism while entrenching the police state, enriching the elite, and further shredding our constitutional rights:
$4.2 billion for militarized police. Almost 13,000 agencies in all 50 states and four U.S. territories participate in a military “recycling” program which allows the Defense Department to transfer surplus military hardware to local and state police. In 2012 alone, $546 million worth of military equipment was distributed to law enforcement agencies throughout the country.
$34 billion for police departments to add to their arsenals of weapons and equipment. Since President Obama took office, police departments across the country “have received tens of thousands of machine guns; nearly 200,000 ammunition magazines; thousands of pieces of camouflage and night-vision equipment; and hundreds of silencers, armored cars and aircraft.” While police departments like to frame the acquisition of military surplus as a money-saving method, in a twisted sort of double jeopardy, the taxpayer ends up footing a bigger bill. First, taxpayers are forced to pay millions of dollars for equipment which the Defense Department purchases from megacorporations only to abandon after a few years. Then taxpayers find themselves footing the bill to maintain the costly equipment once it has been acquired by the local police.
$6 billion in assets seized by the federal government in one year alone. Relying on the topsy-turvy legal theory that one’s property can not only be guilty of a crime but is also guilty until proven innocent, government agencies have eagerly cashed in on the civil asset forfeiture revenue scheme, which allows police to seize private property they “suspect” may be connected to criminal activity. Then whether or not any crime is actually proven to have taken place, the cops keeps the citizen’s property. Eighty percent of these asset forfeiture cases result in no charge against the property owner. Some states are actually considering expanding the use of asset forfeiture laws to include petty misdemeanors. This would mean that property could be seized in cases of minor crimes such as harassment, possession of small amounts of marijuana, and trespassing in a public park after dark.
$11,000 per hour for a SWAT team raid on a government dissident. The raid was carried out against Terry Porter, a Maryland resident who runs a welding business, is married with three kids, is outspoken about his views of the government, and has been labeled a prepper because he has an underground bunker and food supplies in case things turn apocalyptic. The raiding team included “150 Maryland State Police, FBI, State Fire Marshal’s bomb squad and County SWAT teams, complete with two police helicopters, two Bearcat ‘special response’ vehicles, mobile command posts, snipers, police dogs, bomb disposal truck, bomb sniffing robots and a huge excavator. They even brought in food trucks.”
$3.8 billion requested by the Obama administration to send more immigration judges to the southern border, build additional detention camps and add border patrol agents. Border Patrol agents are already allowed to search people’s homes, intimately probe their bodies, and rifle through their belongings, all without a warrant. As one journalist put it, “The surveillance apparatus is in your face. The high-powered cameras are pointed at you; the drones are above you; you’re stopped regularly at checkpoints and interrogated.” For example, an American citizen entering the U.S. from Mexico was subjected to a full-body cavity search in which she was subjected to a variety of invasive procedures, including an observed bowel movement and a CT scan, all because a drug dog jumped on her when she was going through border security. Physicians found no drugs hidden in her body.
$61 billion for the Department of Homeland Security, one of the most notoriously bloated government agencies ever created. The third largest federal agency behind the Departments of Veterans Affairs and Defense, the DHS—with its 240,000 full-time workers and sub-agencies—has been aptly dubbed a “runaway train.”
“Call it what you will—taxes, penalties, fees, fines, regulations, tariffs, tickets, permits, surcharges, tolls, asset forfeitures, foreclosures, etc.—but the only word that truly describes the constant bilking of the American taxpayer by the government and its corporate partners is theft.
This is flat out thievery by Uncle Sam and it’s out of control.
See above. Honestly, we have a real housing bubble in the U.S. and no path to a resolution. You do a great job pointing that out but most of the factors that exist here do not exist there. Chinese have a lot of equity in their homes, they have wages growing ten percent a year and they have hundreds of millions of people that will be moving from the country to the cities creating demand. Finally they have 7% plus gdp growth. The resolution of the Chinese housing is easy to see with little disruption.
We have stagnant wages, 3.5% down payment loans, decreasing demand, and GDP growth below 2%. We need to worry about our own economy and our own housing bubble which appears will end very badly.
“The most dangerous man, to any government, is the man who is able to think things out for himself…Almost inevitably, he comes to the conclusion that the government he lives under is dishonest, insane, and intolerable.”
-H.L. Mencken, American journalist
It’s vogue, trendy and appropriate to look to dystopian literature as a harbinger of what we’re experiencing at the hands of the government. Certainly, George Orwell’s 1984 and Animal Farm have much to say about government tyranny, corruption, and control, as does Aldous Huxley’s Brave New World and Philip K. Dick’s Minority Report. Yet there are also older, simpler, more timeless stories—folk tales and fairy tales—that speak just as powerfully to the follies and foibles in our nature as citizens and rulers alike that give rise to tyrants and dictatorships.
One such tale, Hans Christian Andersen’s fable of the Emperor’s New Clothes, is a perfect paradigm of life today in the fiefdom that is the American police state, only instead of an imperial president spending money wantonly on lavish vacations, entertainment, and questionable government programs aimed at amassing greater power, Andersen presents us with a vain and thoughtless emperor, concerned only with satisfying his own needs at the expense of his people, even when it means taxing them unmercifully, bankrupting his kingdom, and harshly punishing his people for daring to challenge his edicts.
For those unfamiliar with the tale, the Emperor, a vain peacock of a man, is conned into buying a prohibitively expensive suit of clothes that is supposedly visible only to those who are smart, competent and well-suited to their positions. Surrounded by yes men, professional flatterers and career politicians who fawn, simper and genuflect, the Emperor—arrogant, pompous and oblivious to his nudity—prances through the town in his new suit of clothes until a child dares to voice what everyone else has been thinking but too afraid to say lest they be thought stupid or incompetent: “He isn’t wearing anything at all!”
Much like the people of the Emperor’s kingdom, we, too, have been conned into believing that if we say what we fear, if we dare to suggest that something is indeed “rotten in the state of Denmark,” we will be branded idiots and fools by the bureaucrats, corporate heads, governmental elites and media hotshots who have a vested interest in maintaining the status quo—or who at least are determined to maintain the façade that is the status quo. Yet the truth is staring us in the face just as surely as the fact that the Emperor was wearing no clothes.
Truth #1: The U.S. is on the brink of bankruptcy, as many economists have been warning for some time now, with more than $16 trillion in debts owned by foreign nationals and corporations. As one financial news site reports: “Internationally, the world is fed up with The Fed and the U.S. government’s unabashed debt growth. China, Russia, Iran, India and a host of other countries are establishing trade relationships that are bypassing the U.S. dollar altogether, a move that will soon see the world’s reserve currency lose purchasing power and status. In anticipation of this imminent collapse gold is being hoarded by private and public entities from Berlin to Beijing in an effort to preserve wealth before the Tsunami hits.”
Truth #2: We no longer have a government that is “of the people, for the people and by the people.” What we have now is a feudal monarchy, run by wealthy overlords and financed with the blood, sweat and labor of the underclasses who are kept in check by the increasingly militarized police. This sorry state of affairs is reinforced by a study which found that average citizens have “little or no independent influence” on the policy-making process. A similar study published by thePolitical Research Quarterly revealed that members of the U.S. Senate represent their wealthiest constituents while ignoring those on the bottom rung of the economic ladder.
Truth #3: Far from being a benevolent entity concerned with the well-being of its citizens, whether in matters of health, safety or security, the government is concerned with three things only: power, control and money. As an often quoted adage says, “Government is not reason; it is not eloquent; it is force. Like fire, it is a dangerous servant and a fearful master.” Unfortunately, the master-servant relationship that once had the government answering to “we the people” has been reversed. Government agents now act as if they are the masters and we are the servants. Nowhere is this more evident than in the transformation of police officers from benevolent keepers of the peace to inflexible extensions of the military hyped up on the power of their badge.
Truth #4: Our primary use to the government is as consumers, worker bees and bits of data to be collected, catalogued, controlled, mined for information, and sold to the highest bidder. Working in cahoots with corporations, the government has given itself carte blanche access to our phone calls, emails, bank transactions, physical movements, even our travels on foot or in our cars. Cybersecurity expert Richard Clarke envisions a future where data about every aspect of our lives will be collected and analyzed. Thus, no matter what the U.S. Supreme Court might have said to the contrary, the government no longer needs a warrant to spy on your cell phone activity or anything else for that matter. As the Washington Post recently revealed, 9 out of 10 people caught up in the NSA’s surveillance net had done nothing wrong to justify such intrusions on their privacy. Clearly, the government now operates relatively autonomously, answering only to itself and unbridled by the courts, Congress, the will of the people or the Constitution.
Truth #5: Whatever problems we are grappling with in regards to illegal immigrants flooding over the borders has little to do with the fact that the borders are porous and everything to do with the government’s own questionable agenda. How is it that a government capable of locking down roads, open seas, and air routes is unable to prevent tens of thousands of women and children from crossing into the U.S. illegally? Conveniently, the Obama administration is asking Congress for $3.8 billion in emergency funding to send more immigration judges to the southern border, build additional detention facilities and add border patrol agents. The funds would be managed by the Departments of Justice, Homeland Security, State and Health and Human Services, the very same agencies responsible for bringing about a rapid shift into a police state.
Truth #6: The U.S. government is preparing for massive domestic unrest, arising most likely from an economic meltdown. The government has repeatedly made clear its intentions, through its U.S. Army War College report alerting the military to prepare for a “violent, strategic dislocation inside the United States,” through its ongoing military drills in cities across the country, through its profiling of potential homegrown “dissidents” or extremists, and through the proliferation of detention centers being built across the country.
Truth #7: As Gerald Ford warned, “A government big enough to give you everything you want is a government big enough to take from you everything you have.” Too often, Americans have fallen prey to the temptation to let the government take care of whatever ails them, whether it be financial concerns, health needs, childcare. As a result, we now find ourselves caught in a Catch-22 situation wherein the government’s so-called solutions to our problems have led to even graver problems. In this way, zero tolerance policies intended to outlaw drugs and weapons in schools result in young children being arrested and kicked out of school for childish behavior such as drawing pictures of soldiers and crying too much; truancy laws intended to keep students in school have resulted in parents being arrested and fined excessively; and zoning laws intended to protect homeowners have been used to prosecute residents who attempt to live off the grid.
Truth #8: The U.S. is following the Nazi blueprint to a “t,” whether through its storm trooper-like police in the form of heavily armed government agents, to its erection of an electronic concentration camp that not only threatens to engulf America but the rest of the world as well via NSA surveillance programs such as Five Eyes. Most damning of all is the Department of Homeland Security’s self-appointed role as a national police force, a.k.a. standing army, the fundamental and final building block for every totalitarian regime that has ever wreaked havoc on humanity. Indeed, just about every nefarious deed, tactic or thuggish policy advanced by the government today can be traced back to the DHS, its police state mindset, and the billions of dollars it distributes to police agencies in the form of grants.
Truth #9: Not only does the U.S. government perpetrate organized, systematic violence on its own citizens, especially those who challenge its authority nonviolently, in the form of SWAT team raids, militarized police, and roaming VIPR checkpoints, but it gets away with these clear violations of the Fourth Amendment because the courts grant them immunity from wrongdoing. Expanding its reach, the U.S. also exports its violence wholesale to other countries through armaments sales and the use of its military as a global police force. Yet no matter how well trained, well equipped and well financed, America cannot police the world. As history shows, military empires, once over extended, inevitably collapse into chaos.
Truth #10: As I make clear in my book A Government of Wolves: The Emerging American Police State, the United States of America has become the new battlefield. In fact, the only real war being fought by the U.S. government today is the war on the American people, and it is being waged with deadly weapons, militarized police, surveillance technology, laws that criminalize otherwise lawful behavior, private prisons that operate on quota systems, and government officials who are no longer accountable to the rule of law.
So there you have it: facts rather than fiction, so naked that a child could call it for what it is, and yet so politically inconvenient, incorrect and uncomfortable that few dare to speak of them.
Even so, despite the fact that no one wants to be labeled dimwitted, or conspiratorial, or a right wing nut job, most Americans, if they were truly paying attention to what’s been going on in this country over the past few decades and willing to be truthful, at least to themselves, would have to admit that the outlook is decidedly grim. Indeed, unless something changes drastically for the good in the near future, it looks like this fairytale will not have a happy ending.
Down around the corner, half a mile from here
See FOR SALE signs standing, and you watch them disappear
Without HARP, where would you be now
Without H-A-A-A-R-P
You know I saw miss Lucy down along the tracks
She saved her home and her family but she won’t be paying back
Without HARP, where would she be right now
Without H-A-A-A-R-P
Well up in Illinois Central
And in the Southern States
Got to keep on pushin’ wood floors
Cause’ you know their payments late
Without HARP , where would you be now now now now
Without H-A-A-A-R-P
Well the Realtors keep on sellin’
And the wheels go round and round
The sales commissions cold and hard
And the prices don’t go down
Without HARP , where would you be right now
Without H-A-A-A-R-P ooh ooh
Where would you be now
After a brief lull, lenders are again ramping up pressure on delinquent Las Vegas homeowners, a new report shows.
The number of default notices filed in Clark County has climbed every month this year, from 194 in January to 735 in July as of Thursday, real estate tracking firm Auction Control Systems Ltd. reported today.
The company expects almost 1,000 default notices to be filed this month and 2,000 notices monthly by the fourth quarter.
Notices of default start the foreclosure process.
In a news release, ACS chief economist Anthony Martin said the uptick indicates that lenders have adjusted to state Senate Bill 321, which took effect Oct. 1.
If you closely examine the term “homeowner” and compare it to the more accurate term of “homebuyer”‘ all you proles out there just may make a long-overdue discovery of who it is that truly owns these houses.
Hint: It ain’t yours until you get the title, and you ain’t gettin’ the title until you are finished making all the payments.
Have any you you ignorant proles out there ever considered the term “free and clear” and thought of how misleading this statement is in that it suggests that one can be free but not clear?
“‘Free AND clear”? How about just one word and this one word is the word “free”, and if used correctly one should only be considered to be truly free if at the same time he is clear.
If he is not clear - if he is not clear of debts - then he is not truly free.
Happily for me most people do not understand this.
“The law, backed by the Nevada Association of Realtors, an advocacy group for real estate agents and brokers, has several exemptions and does not let delinquent borrowers keep their homes forever.”
COMPANY IN WHICH JOE BIDEN’S SON IS DIRECTOR PREPARES TO DRILL SHALE GAS IN EAST UKRAINE
Ukraine (or rather its puppetmasters) has decided to let no crisis (staged or otherwise) or rather civil war, go to waste..
Company In Which Joe Biden’s Son Is Director Prepares To Drill Shale Gas In East Ukraine
by ZERO HEDGE | JULY 26, 2014
Recall what we said earlier today: the proxy Ukraine war just like that in Syria preceding it, “is all about energy.”
Recall also the following chart showing Ukraine’s shale gas deposits, keeping in mind that the Dnieper-Donets basin which lies in the hotly contested eastern part of the nation and where as everyone knows by now a bloody civil war is raging, is the major oil and gas producing region of Ukraine accounting for approximately 90 per cent of Ukrainian production and according to EIA may have 42 tcf of shale gas resources technically recoverable from 197 tcf of risked shale gas in place.
Finally, recall our story from May that Joe Biden’s son, Hunter, just joined the board of the largest Ukraine gas producer Burisma Holdings. From the press release:
The youngest son of U.S. Vice President Joe Biden, Hunter Biden, has been appointed head of legal affairs at Ukraine’s largest private gas producer, Burisma Holdings.
Hunter Biden appointed head of legal affairs at Ukraine’s largest private gas producer, Burisma Holdings. / Burisma.com
R. Hunter Biden will be in charge of the Holdings’ legal unit and will provide support for the Company among international organizations. On his new appointment, he commented: “Burisma’s track record of innovations and industry leadership in the field of natural gas means that it can be a strong driver of a strong economy in Ukraine. As a new member of the Board, I believe that my assistance in consulting the Company on matters of transparency, corporate governance and responsibility, international expansion and other priorities will contribute to the economy and benefit the people of Ukraine.”
R. Hunter Biden is also a well-known public figure. He is chairman of the Board of the World Food Programme U.S.A., together with the world’s largest humanitarian organization, the United Nations World Food Programme. In this capacity he offers assistance to the poor in developing countries, fighting hunger and poverty, and helping to provide food and education to 300 million malnourished children around the world.
Company Background:
Burisma Holdings is a privately owned oil and gas company with assets in Ukraine and operating in the energy market since 2002. To date, the company holds a portfolio with permits to develop fields in the Dnieper-Donets, the Carpathian and the Azov-Kuban basins. In 2013, the daily gas production grew steadily and at year-end amounted to 11.6 thousand BOE (barrels of oil equivalent – incl. gas, condensate and crude oil), or 1.8 million m3 of natural gas. The company sells these volumes in the domestic market through traders, as well as directly to final consumers.
Now put it all together and what happens next should be rather clear.
Still confused? It’s very simple, really.
In a nutshell Ukraine (or rather its puppetmasters) has decided to let no crisis (staged or otherwise) or rather civil war, go to waste, and while the fighting rages all around, Ukrainian troopers are helping to install shale gas production equipment near the east Ukrainian town of Slavyansk, which was bombed and shelled for the three preceding months, according to local residents cited by Itar Tass. The reason for the scramble? Under peacetime, the process was expected to take many years, during which Europe would be under the energy dictatorship of Putin. But throw in some civil war and few will notice let alone care that a process which was expected to take nearly a decade if not longer while dealing with broad popular objections to fracking, may instead be completed in months!
“Civilians protected by Ukrainian army are getting ready to install drilling rigs. More equipment is being brought in,” they said, adding that the military are encircling the future extraction area.
The people of Slavyansk, which is located in the heart of the Yzovka shale gas field, staged numerous protest actions in the past against its development. They even wanted to call in a referendum on that subject. Environmentalists are particularly concerned with the consequences of hydrofracing, a method used for shale gas extraction, because it implies the use of extremely toxic chemical agents which can poison not only subsoil waters but also the atmosphere. Experts claim that not a single country in the world has invented a method of utilization of harmful toxic agents in the process of development of shale gas deposits.
Countries like the Czech Republic, the Netherlands and France have given up plans to develop shale gas deposits in their territories.
Not only them but also all-important Germany, which two weeks ago announced it would halt shale-gas drilling for the next seven years over groundwater pollution concerns.
Which clearly makes Ukraine, potentially the last place with massive shale gas deposits and no drilling ban, quite valuable to those who want to develop a major source of shale gas, one which reduces Europe’s reliance on Russian gas even more, yet one whose future depends on one simple question: who controls East Ukraine?
Because what better way to accelerate “next steps” than to start drilling for gas in the middle of the Donetsk republic as a civil war is waging in all directions, and where public mood has shifted decidedly against the local “separatists” in the aftermath of the MH-17 tragedy.
The punchline: who will develop the gas field in conjunction with Shell (jointly owned by the Netherlands and the UK: the two countries that loathe Putin the most in the aftermath of the MH-17 disaster) which in May 2012 announced a tender for the right to develop the Yuzovka shale gas deposit?
Burisma, Ukraine’s oil and gas production holdings, also has the right to develop the shale gas fields in the Dnieper-Donetsk basin of Eastern Ukraine. The same Burisma where R. Hunter Biden, Joseph’s son, was appointed a director two months ago.
Q.E.D.
You probably would like those pockets to be belong to George W. s or even better your cousin’s… . You don’t want to understand that there is no “democratic” Russia , it is the same Soviet Union and everything is still controlled by the same KGB. If before the communists were hiding their stolen millions $$$ today there is no need to do that… they do that the way “businessmen” do it in U.S. and corruption is little bit vulgar the in U.S. because they do it under the umbrella of KGB. Because Urania people don’t want to be under that umbrella… You guys in U.S. united with KGB chief Mr.Putin and your own KGB chief Ron Paul to bark against free will of Ukrainians … There is no civil war in Ukraine , it is only same Soviet aggression like it was in 1968 against Czechoslovakia…
“The youngest son of U.S. Vice President Joe Biden, Hunter Biden, has been appointed head of legal affairs at Ukraine’s largest private gas producer, Burisma Holdings.”
Looks like the North American Union is shaping up nicely.
ILLEGALS STILL CIRCUMVENTING TSA, CLAIMS BORDER PATROL WHISTLEBLOWER
“They bypassed TSA and boarded first. Even before me, an armed plain clothes law enforcement agent.”
Illegals Still Circumventing TSA, Claims Border Patrol Whistleblower
by ADAN SALAZAR | INFOWARS.COM | JULY 26, 2014
Illegal aliens are being loaded onto planes without being screened by TSA agents, a Border Patrol officer working in the Rio Grande Valley sector recently told Infowars.
Speaking out despite a federally imposed gag order, the officer, who spoke to Infowars on the condition of anonymity, but whose identity has been verified and confirmed, revealed that during a flight last week, he observed pregnant illegal immigrants “bypassed TSA” before boarding a plane.
Here’s the agent’s e-mail:
Good Morning,
I noticed that there were many pregnant adult female aliens and UAC [Unaccompanied Alien Children] teenage aliens on my flight from Corpus Christi to [redacted to protect officer's identity] this morning. They bypassed TSA and boarded first. Even before me, an armed plain clothes law enforcement agent. [Emphasis added]
The agent’s intel comes weeks after Border Patrol union reps alerted the media earlier this month that the federal agency tasked with policing airborne travelers was allowing illegals onto planes sans proper identification.
“The aliens who are getting released on their own recognizance are being allowed to board and travel commercial airliners by simply showing their Notice to Appear forms,” National Border Patrol Council #2455 spokesman Hector Garza told Breitbart News.
Following the allegations, the Department of Homeland Security fired back, issuing a statement claiming that “these reports are false. A notice to appear is not an acceptable form of I.D. at the T.S.A checkpoint.”
In the wake of the Breitbart story, the National Border Patrol Council also obtained a statement revealing the TSA had reversed its program following media attention.
“The policy reversal proves that the TSA has once again been caught lying to the American people in an attempt to cover up its malfeasance,” highlighted Infowars’ Paul Joseph Watson. “This latest scandal arrives months after it was revealed that the federal agency followed a State Department directive to spare members of the Muslim Brotherhood traveling to the US in 2012 a TSA pat down or any kind of secondary screening,”
Though brief, our Border Patrol whistleblower’s recent intel suggests that, in addition to using tax payer dollars to ship illegals virtually anywhere in the U.S. they want to go, the federal government is also allowing them to bypass security checkpoints every other traveler must go through.
The same agent made it known to Infowars last week that the Rio Grande Valley sector had received orders to begin releasing pregnant female illegal immigrants in “ANY stage of pregnancy,” even if they merely claimed to be pregnant.
“We do not have a method of testing for an actual pregnancy, either,” the agent wrote to us in an e-mail. “It appears that we have to take their word for it.”
“Sad to say a normal law abiding American citizen has to remove their shoes to get on an airplane these days and go through additional screening,” a Border Patrol union representative lamented to ValleyCentral.com. “For the U.S government to allow undocumented aliens access to our commercial transportation in the form of airlines is a giant security risk.”
Infowars did not receive comment from the Transportation Security Administration at time of publication, but will update this story with their response accordingly. We will continue to provide information from authentic whistleblowers as they reach out to us.
‘According to the Congressional Budget Office, “Israel is the largest cumulative recipient of U.S. foreign assistance since World War II. To date, the United States has provided Israel $121 billion (current, or non-inflation-adjusted, dollars) in bilateral assistance. Almost all U.S. bilateral aid to Israel is in the form of military assistance, although in the past Israel also received significant economic assistance.” Other special benefits also flow to the Israeli military. Each year, the U.S. pays for about 20 percent of Israel’s overall military spending, and the total places Israel as the 16th largest military spender in the world. “In 2007, the Bush Administration and the Israeli government agreed to a 10-year, $30 billion military aid package for the period from FY2009 to FY2018.” Obama has renewed that pledge.
The U.S. routinely supports Israel’s policies and avoids condemning Israel for its rights violations against Palestinians. It may never have done so. This week, for example, the U.S. cast the sole vote against the U.N. Human Rights Council Resolution concerning the Occupied Palestinian Territory. The vote was 29-1. A link to the full text of the resolution is here. (The texts vary slightly in different reports.)
Because the U.S. government has made itself virtually one with Israel, we must ask the question: What exactly is the U.S. supporting when it supports Israel? One cannot arrive at answers to this question without examining Israel’s history. One may make a start by reading Theodor Herzl’s 1896 pamphlet “The Jewish State”, a visionary tract. This provides insight into the goals of Herzl and his assumptions behind colonizing Palestine. How the colonization actually worked out has not been as he planned. Israel continues to be a problematic state, an expansionary state, and what is worse, a dangerous nuclear power state. Wikipedia has a number of articles on the history. This one provides a start. One thing the U.S. supports when it supports Israel is what Israel is doing in Gaza at this moment.
Murray Rothbard has a highly readable and valuable account of the history up to 1967.
Although America has stood in theory as a melting pot and a country that favored the assimilation of many peoples from all over the world, and in practice was against Black Nationalism, the U.S. government has supported Jewish Nationalism in Israel. It has supported a society that could only support such a state by being exclusionary and segregated, or even ethnically cleansed. The philosophy behind that state rested on Herzl’s assumptions, which in my view were deeply flawed. He simply ignored the native population of Palestine. He simply asserted that Jews were a people one people, that assimilation was out of the question and that a Jewish State was a solution to anti-Semitism. All of these assertions are questionable. He declared that “Palestine is our ever-memorable historic home.” Can any people or ethnic group of today return to the place where their ancestors originated with the idea of displacing its current residents and making their own State? No one would approve of such an idea. Anyway, this “historic home” idea was really not true of all Jews after 1,800 years had passed and Jews had had many, many homes in many lands. It was an appeal to a subset of Jews who wanted to emigrate and maintain their culture with others of their kind. Nor could this idea justify a Jewish State governing Palestine and its then current Arab inhabitants. But in addition Herzl’s philosophy in practice assumed a much more militant and exclusionary form as new generations appeared after him. In particular, David Ben-Gurion was an exponent of power and force.
Israel is a brutal state as the latest excesses of destruction and killing of innocent Palestinians in Gaza show. That’s what the U.S. supports’
Facing a tough but respectful grilling on Fox Business’s The Independents over his recent comments on Ukraine and the apparent downing of a Malaysia Air plane, Ron Paul argues that the US government wants to blame Russia for the shoot-down while providing no evidence for its conclusion. Paul points out that the US claim that Russia was to blame for the disaster because they supply weapons to the rebels in east Ukraine is hypocritical because the US has armed oppositionists in Syria who went on to attack the US-backed government in Iraq.
But the best moment was when one of the hosts trotted out the old “aren’t you’re blaming America?” question, which was previously used by the likes of Giuliani and the other neocons over the 9/11 attacks.
Responded Paul to the claim:
That is a misrepresentation of what I say. I don’t blame America. I am America, you are America. I don’t blame you. I blame bad policy. I blame the interventionists. I blame the neoconservatives who preach this stuff, who believe in it like a religion — that they have to promote American goodness even if you have to bomb and kill people.
They say ‘oh Ron Paul blames America therefore he’s a bad guy and we can’t listen to him.’ Well I’ll tell you what: the American people are listening more carefully now than ever before. …Non-intervention is the wave of the future.
FEDERAL JUDGE RULES DC BAN ON HANDGUNS UNCONSTITUTIONAL
Court ordered city to allow residents and non residents carry handguns outside their homes..
Federal Judge Rules DC Ban on Handguns Unconstitutional
by REUTERS | JULY 26, 2014
A federal judge on Saturday overturned Washington D.C.’s ban on carrying handguns outside the home, saying it was unconstitutional.
“There is no longer any basis on which this Court can conclude that the District of Columbia’s total ban on the public carrying of ready-to-use handguns outside the home is constitutional under any level of scrutiny,” Judge Frederick Scullin said in an opinion.
“Therefore, the Court finds that the District of Columbia’s complete ban on the carrying of handguns in public is unconstitutional,” he added in his 19-page ruling.
The court ordered the city to allow residents to carry handguns outside their homes and to let non-residents carry them as well.
That’s awesome! Not often do we see government limiting itself.
I miss Arizona (hot weather, haboobs, and all). Phoenix is a great place to own firearms and ammo. You can open carry there. Quite a place. Just have to get a good Java software developer job there with competitive salary (adjusted to lower cost of living than Irvine) and I’d be there in a flash.
You know its not the guns that matter its the illegal unregistered ones that mostly one minority uses in all their criminal activity, and we refuse to go after them with say a reasonable penalty of 5 years and no bail.
once you are on public property the gun has to be registered. And public housing as well ….who paid for it?
Name:Ben Jones Location:Northern Arizona, United States To donate by mail, or to otherwise contact this blogger, please send emails to: thehousingbubble@gmail.com
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Falls Church, VA Housing Prices Plummet 9% YoY As Inventory Balloons 73%; Demand Craters
http://www.movoto.com/falls-church-va/market-trends/
DC, NoVa, MD, the capital region is all one massive CRATER.
I’m up 10% in the last 15 months- keep voting dem
…..and not a buyer in sight at half your imaginary wish price.
According to Zilldo, my parent’s home in the Midwest has recently appreciated to over $90K. However, no home in their largish tract home development, full of houses with cookie-cutter similarity to my parent’s, has sold for north of $65K for the past year, and most of them have gone for much less.
Does anyone know how Zilldo cooks up its fantasy price estimates?
They survey DebtDonkeys and ostriches with there empty skulls planted firmly in the sand…… And realturds.
Who in their right mind bothers with Zillow?
If you mean “zestimates/home values”, you’re right. However their market data is accurate.
Does anyone know how Zilldo cooks up its fantasy price estimates?
They won’t say in detail.
What is a Zestimate?
The Zestimate® home valuation is Zillow’s estimated market value, computed using a proprietary formula. It is not an appraisal. It is a starting point in determining a home’s value. The Zestimate is calculated from public and user submitted data; your real estate agent or appraiser physically inspects the home and takes special features, location, and market conditions into account. We encourage buyers, sellers, and homeowners to supplement Zillow’s information by doing other research such as:
•Getting a comparative market analysis (CMA) from a real estate agent
•Getting an appraisal from a professional appraiser
•Visiting the house (whenever possible)
Is a Zestimate an appraisal?
No. The Zestimate is not an appraisal and you won’t be able to use it in place of an appraisal, though you can certainly share it with real estate professionals. It is a computer-generated estimate of the worth of a house today, given the available data. Zillow does not offer the Zestimate as the basis of any specific real-estate-related financial transaction. Our data sources may be incomplete or incorrect; also, we have not physically inspected a specific home. Remember, the Zestimate is a starting point and does not consider all the market intricacies that can determine the actual price a house will sell for.
http://www.zillow.com/zestimate/
Zillow Zestimates have always been wildly inflated, no matter what the market. They come across as pimps.
Also, Zillow is the quintessential bubble company. It was conceived entirely based upon a housing mania which led to a perverse public obsession with the “value” of personal, as well as friends and neighbors, houses.
I never trust zestimates. But comps are comps.
zestimates = instant equity
“The Zestimate® home valuation is Zillow’s estimated market value, computed using a proprietary formula.”
Sounds like something only a RealLiar™ could love!
Fairfax, VA Housing Demand Collapses 31% YoY; Prices Plunge 12% As Excess Inventory Spikes 54%
http://www.movoto.com/fairfax-va/market-trends/
http://www.zillow.com/local-info/VA-Fairfax-home-value/r_4655/#metric=mt%3D30%26dt%3D1%26tp%3D5%26rt%3D8%26r%3D4655%252C53279%252C245345%26el%3D0
“Realtor, Friend Charged With Fraudulently Renting Out Vacation Properties”
http://www.bakersfieldcalifornian.com/local/x855032296/Local-Realtor-friend-charged-with-fraudulently-renting-out-vacant-properties
another day , another shyster goes down. Its old news.
“STL Realtor Facing Federal Fraud Charges”
http://www.971talk.com/news/missouri/stl-realtor-facing-federal-fraud-charges
San Luis Obispo, CA Rental Rates Plummet 18% YoY As Excess Housing Inventory Hits Market
http://www.zillow.com/local-info/CA-San-Luis-Obispo-home-value/r_6923/#metric=mt%3D46%26dt%3D1%26tp%3D5%26rt%3D8%26r%3D6923%26el%3D0
Is China’s property market a bubble?
Opinion Asia
China’s Property Market Is No Bubble
A correction is coming, but not a crash.
By Yukon Huang
July 24, 2014 12:44 p.m. ET
Will China’s property bubble trigger a financial crisis? Concern is high this year thanks to deteriorating sales figures and reports of large price cuts. But China really is different. Though a correction is coming, the consequences will be more manageable than common sense might suggest.
No real property market existed in China until housing was privatized more than a decade ago. Then came the 2008 global financial crisis and Beijing’s credit expansion, after which Chinese land prices surged five-fold, triggering commensurate increases in property prices and other asset values. In other words, the market was trying to establish appropriate prices for an asset whose value was previously hidden by socialist fiat (a pattern also seen a decade ago in Russia).
Instead of a bubble, therefore, China’s sharp property-price increases could represent the real value of land in a densely populated country. If so, they would signal the Chinese economy’s financial deepening, not the imminent onset of a financial collapse.
A main concern is that China has allowed housing construction to outpace requirements, especially in second- and third-tier cities, so prices will fall. But the correction may not be destabilizing because long-term trends in Chinese property prices don’t fit the typical pattern of a bubble.
China’s property market has seen cyclical downturns followed by rebounds, most recently when housing prices started falling in late 2011 and then turned upward again in the second half of 2012. It is hard to find past bubbles that experienced such significant and persistent price declines before reversing and continuing to inflate. When prices start falling in a bubble situation, investors typically rush for the door and cause a collapse.
That China’s property market saw no such collapse in 2012 suggests that its high prices were supported by more than “irrational exuberance” and may be a reasonable floor—implying, in turn, that today’s prices may fall by about 20% over the coming year but not more than 30%.
…
“When prices start falling in a bubble situation, investors typically rush for the door and cause a collapse…”
What is typical is a suckers rally on smaller volumes. Then you get your bubble collapse. Some on the HBB call it the “echo bubble”.
The argument that China cannot have a bubble because they have no long term price history is pretty lame.
How Isaac Newton went flat broke chasing a stock bubble
by Tim Price on December 10, 2013
London, England
[Editor's Note: Tim Price, Director of Investment at PFP Wealth Management and frequent Sovereign Man contributor is filling in for Simon today.]
For practitioners of Schadenfreude, seeing high-profile investors losing their shirts is always amusing.
But for the true connoisseur, the finest expression of the art comes when a high-profile investor identifies a bubble, perhaps even makes money out of it, exits in time – and then gets sucked back in only to lose everything in the resultant bust.
An early example is the case of Sir Isaac Newton and the South Sea Company, which was established in the early 18th Century and granted a monopoly on trade in the South Seas in exchange for assuming England’s war debt.
Investors warmed to the appeal of this monopoly and the company’s shares began their rise.
Britain’s most celebrated scientist was not immune to the monetary charms of the South Sea Company, and in early 1720 he profited handsomely from his stake. Having cashed in his chips, he then watched with some perturbation as stock in the company continued to rise.
In the words of Lord Overstone, no warning on earth can save people determined to grow suddenly rich.
Newton went on to repurchase a good deal more South Sea Company shares at more than three times the price of his original stake, and then proceeded to lose £20,000 (which, in 1720, amounted to almost all his life savings).
This prompted him to add, allegedly, that “I can calculate the movement of stars, but not the madness of men.”
…
“In the words of Lord Overstone, no warning on earth can save people determined to grow suddenly rich.”
+1 Fear and greed.
How does a 20% housing price decline look to somebody who recently bought with a 20% down payment? Would that roughly be a 100% loss of equity?
The minimum down payment in China is 30%. And if you bought at the very top yes if it goes down that much it would. But most people bought early and their housing units may have doubled or tripled by now, and many have paid off any mortgage since the loans are only for ten years. I agree with the prediction of 20% down with no more than 30%, which means very little impact on the overall Chinese economy. The banks will not eat any loss and the speculators will eat it, the government will not bail them out, so who cares the system is working like it should not like Obama’s first time homeowner program etc where taxpayers had to pay.
There are several gaping holes in this line of thought. The first is that most people bought before the bubble, so there cannot be a bubble. The second is the 30% down payment. LOL, this can of course be borrowed money. Equity in the house or no, a loan could be had against it to buy a second property, or a tenth. Do the math, this about the poorest country on earth (still). There isn’t enough money there to put 30% actual saved cash downpayments at Manhattan prices on all those housing units. If, like you say, there is only air supporting the Chinese housing market, what is the hard stop at a 20% decline?
I did not say they could not have a bubble my argument and most of the information on China boil down to this.
1. Chinese housing prices will decline 20-30% in the next two years. (I think it will be low end of that range)
2. Despite the drag on the Chinese economy due to the housing correction, it will grow by 7 to 7.5% per year. (I think on the low end).
That is the forest and none of the posts about the trees alters those two points. Now, if you or whac have a different scenario post your numbers for all to see.
They’ll fall to whatever reproduction costs are plus profit less depreciation.
I’ll wager that’s far more than 20%.
There isn’t enough money there to put 30% actual saved cash downpayments at Manhattan prices on all those housing units
Yes there is among the people that are buying them. Among the population of almost 1.4 billion people very few can afford those prices. However, 1% can and that is about 14 million people.
“post your numbers…”
$25 Trillion. Housing for 6 billion . Communist party press releases are not the forest and the biggest mountain of debt in the world spent on useless empty overcapacity is not a tree.
The average Chinese saves 30% of his or her income. The average American save around 5%. Joe and Joan Chang each making $10,000 dollars a year save together $6000 a year and save thirty thousand dollars within five years. This will buy you a $100,000 house which will buy you a nice house in most of China. In Beijing multiple everything by ten, and they will have the ability to buy a one million dollars house. I have posted the numbers supporting this, China external debt is 7% of GDP while our debt is around 100% of the GDP. That is because Chinese companies can borrow money from Joe and Joan Chang because they have savings which can be used for down payments. Americans can not understand this just like the Chinese cannot understand how the poor in this country can eat at McDonalds every day and have multiple pairs of $150 sneakers. It is about your culture and your IQ.
http://www.usdebtclock.org/world-debt-clock.html
Mean urban household income = $8,000/yr. Of course these people will pay NY prices for not just one house, two or ten. Savings look good in a credit expansion if you include the paper gains in Golden Elephant Trust and such. Is that what’s happening?
So, where is all the $25 Trillion of debt? What will happen to this fantastic savings of the households if that pyramid implodes?
Blue Skye, people are only paying New York prices in first tier cities in the high income parts of the city.
Great site, while China’s housing in its world class cities is clearly out of line with rents, it is no where near NYC prices and if you go down to second and third tier it is easy to find $100,000 and less houses:http://www.globalpropertyguide.com/most-expensive-cities
Great! $100,000 house on an $8,000 income. Sounds sustainable, don’t you think?
Yes, by ABQDan’s logic, the person with $8,000/year will save $2,400/year. This means that they will have a down payment in 12.5 years, and that will “buy them a house”. It actually only covers the down payment on a lease, but that is irrelevent in his mind.
“The minimum down payment in China is 30%.”
I suppose that means it would take a 30% loss to get wiped out. But so far as I am aware, there is no law of economics that limits real estate (or stock market) losses to only 20%. In fact, the Japanese experience since 1990 shows the potential for much larger losses than 20%-30% on asset values over a multi-decade period.
Not to suggest this could ever happen in China…
No because you will not make any prediction about China because you know nothing about China. I think you are making the safe choice.
Thanks Obama. China’s household wealth will soon be higher than the U.S.
http://www.nytimes.com/2014/07/27/business/the-typical-household-now-worth-a-third-less.html?_r=0
From the link:
“For households at the median level of net worth, much of the damage has occurred since the start of the last recession in 2007. Until then, net worth had been rising for the typical household, although at a slower pace than for households in higher wealth brackets.”
But much of this gain in net worth was leveraged gain - a magically created gain that was magically brought into existence due to leveraging (lots and lots of leveraging) during the magical era of Borrow Your Way To Prosperity - and because it was leveraged gain the reversal of the previous gain erased a lot of magically created equity but left fully intact the downside of all that magical leveraging and magically created equity and this downside carried with it a particularly nasty and unsavory term (as many people have discovered) called “DEBT”.
DEBT! The equity vanished but the debt remained. (I hate it when it does that, as do most people.)
“But much of the gain for many typical households came from the rising value of their homes. Exclude that housing wealth and the picture is worse: Median net worth began to decline even earlier.”
Median net worth began to decline even earlier because:
1. Jobs that used to be located here left here and ended up in place such as China. The jobs didn’t disappear, they just moved. And when they moved the median net worth here suffered a hit and at the same time the median net worth in China (or wherever) got a boost.
2. Even though home equity increased during this Magical Era the equity did not remain in the house, noooooo, people such as David Lereah told us that if we left any equity in our houses then we were not managing our finances efficiently, so just as one should expect a population of Enlightened Financial Wizards to do, homebuyers by the millions (note the term “homebuyer” and maybe give a bit of thought to its true meaning) sucked out this equity and SPENT IT. And much of this sucked-out-and-spent equity ended up over in China (or wherever) which also added to China’s (or wherever’s) prosperity.
In other words, to sum up point 1 and point 2, China (or wherever) not only got our equity, which, deep down, has its roots in mortgages (aka, BORROWED MONEY) they also got our jobs. And these two things led to this:
“’The housing bubble basically hid a trend of declining financial wealth at the median that began in 2001,’” said Fabian T. Pfeffer, the University of Michigan professor who is lead author of the Russell Sage Foundation study.”
China got a boost in its prosperity because the people in the United States and the people who populate many other countries in the Western World had, for a period of time that lasted for several years, TOTALLY LOST THEIR MINDS!
An event that is unlikely to happen again, at least to the same degree.
But China (and several other places) need it to happen again because these countries structured their economies on the premise that the U.S. and other countries would forever remain insane.
Which may be what happens, this remaining insane, but it is one thing to be insane and rich and quite another thing to be insane and broke - which is what we (or at least many of us, enough of us) are.
“No because you will not make any prediction about China because you know nothing about China. I think you are making the safe choice.”
I predict you will make many more posts about Obama, to demonstrate your steadfast love and admiration.
” 2014-07-26 11:46:31
Thanks Obama.”
Nailed it!
***CHINA PIMP ALERT***
“Most people bought early …”
If that’s true, then I would like to know how “less than most” people could have caused the values of the leases bought by the orginal most to double or triple in value.
Either way, it’s a lifetime diet of CraterTaters® at current grossly inflated asking prices of resale housing.
“How does a 20% housing price decline look to somebody who recently bought with a 20% down payment? Would that roughly be a 100% loss of equity?”
In California that would be the signal to take-out a 125% HELOC.
Pop
China’s housing market implosion is picking up speed
By Gwynn Guilford
July 21, 2014
Even deep price cuts aren’t tempting Chinese homebuyers. Reuters
To go by China’s 7.5% GDP growth in the second quarter, the country’s economy seems to be on the mend. But the most recent housing market data would suggest that recovery is still a ways off—and that things may still get a lot worse yet. Here’s a look at the trend in home-sale prices versus the previous month.
In 55 out of 70 of the major cities whose home sales the National Bureau of Statistics tracks, June prices came in lower than May’s—a huge leap considering that only half of the cities tracked reported falling prices in May. According to Wei Yao, economist at Société Générale, the decline of the 70-city average was the sharpest drop since Dec 2008. The year-over-year prices are still going up, but their rate of increase is slowing sharply too.
Of course, it’s no surprise that China’s housing market was in a shabby state in June; things have been looking grim for the last half-year. But what’s worrisome, says Yao, is that the sales volume contracted sharply despite large price cuts that developers had been offering throughout June. (The uptick in incidence of state-run newspapers urging people to buy homes suggests that things haven’t improved much in July. )
This is driving housing inventory to new highs. In the chart below from SocGen, the blue line reflects inventory in 35 major cities, while the tan line tracks the amount of floorspace under construction. As you can see, even as construction has slowed, inventory continues to soar.
The immediate concern, at least for China’s GDP-obsessed leaders, is economic growth, between 16% and 20% of which comes from real-estate investment. And that picture isn’t very pretty. Developers are struggling to get cash, notes Yao. And not just developers; despite the central bank’s command that banks loosen mortgage criteria, mortgages fell 2.6% compared with June 2013.
…
Economic growth tied to 16-20%, you were claiming 60% yesterday with some bogus story?
China is experiencing deflation, after many years of relentless inflation. They are fighting this with the biggest credit expansion in history and losing. China pegs “housing” at 17% of the CPI, but all the wasted construction and the materials and land sales likely make a much larger percentage of their “GDP”. The only way China is going to grow now is to continue the credit expansion at an ever increasing pace. They are already the most highly leveraged poor kids in the world.
You’re either pretending or confused — always hard to say which!
But the article I recently posted quoted a Chinese economist who claimed 60% of China’s GDP is real-estate dependent. The 60% figure is tied to the level of GDP, not GDP growth to which the 16%-20% figure pertains.
A distinction without a meaningful difference if you had four working brain cells. Housing is related to about 60% of today’s growth but some how is only 10-15% of future growth? It is a totally bogus number and any one that understands economics knows it.
ABQDan:
GDP is not a form of growth. The change in GDP may represent growth, but only if it’s a positive number.
Auntie Fed, clearly ABQDan is a propagandist. Remedial economics education will not help the situation one bit.
5:38 pm HKT
Jul 24, 2014
Culture
Ghost City: China Property Agency Launches ‘Haunted House’ Database
From flimsy fixtures to pestilential pipes, Beijing apartments generally come with one defect or another. So who needs an angry ghost added to the equation?
To help potential residents suss out whether their apartment might be prone to supernatural visitors with axes to grind, one Chinese property agency has created a database cataloging unnatural deaths—murders, suicides, etc.— that have occurred in Beijing homes.
According to an analysis posted on a site operated by China’s Ministry of Justice, no clear law exists that requires Chinese landlords or would-be sellers to disclose, say, a particularly brutal history attached to an apartment. To be sure, there’s precedent for buyers who weren’t aware of such a past to gain compensation through the courts if they feel duped. In one 2011 case, a buyer surnamed Wang ended up being awarded about 60,000 yuan after the seller failed to make clear that a previous resident had committed suicide on the premises.
Still, the site warns, caveat emptor.
Enter the haunted-home database. Such databases have also been created in cities such as Hong Kong and Taipei, where residents likewise have a strong aversion to homes with violent histories. In Hong Kong, for example, such homes are meticulously documented. Traditionally, they have been sold for discounts of as much as 30% and are particularly popular with expats, who agents say are less superstitious and disturbed by such pasts.
A report carried in the Beijing Youth Daily said that the Beijing-based database, created by property agency Home Link, currently features 900 entries. The paper said the database was created after the agency had run into a number of sticky situations in which customers learned about a violent death in their home only after a deal had already been finalized. The company didn’t respond to a request for comment.
…
I dont have time to worry about chinas problems, we have enough of our own.
Could it impact us, well sure. A lot of things could impact us.
no go out and buy some chinese products so I can get a lower interest rate on my house!
You should wake up and be concerned. Your house is probably not tsunami proof. Besides, if you can’t pay the principle, what does the interest rate matter?
He’s living off of credit.
From same source as link that will soon post (China Daily) while Obama crashes small businesses with new taxes and regulations China is practicing Reaganomics and leaving the U.S. in the dust, excerpt:
Premier calls for banks to simplify lending process for first-time entrepreneurs
Premier Li Keqiang pledged more financial support for new businesses to encourage entrepreneurship amid the continuing downward pressure on the Chinese economy.
“The government and State-owned banks must conduct in-depth research, change their work styles and mindset to find ways to make it easier for new businesses, which are largely small businesses, to get loans,” Li said on Friday.
Earlier that day, Li had met owners of small and micro businesses in Shandong, wrapping up a two-day visit to the coastal province.
“Premier calls for banks to simplify lending process for first-time entrepreneurs.”
Yes! The solution to all financial problems is to borrow money!
“Premier Li Keqiang pledged more financial support for new businesses to encourage entrepreneurship amid the continuing downward pressure on the Chinese economy.”
China is destined to borrow its way to prosperity just as the Western countries have done!
Everywhere you care to travel on this planet you will find that people are smart.
I like it! I love it! I want some more of it!
” (China Daily) ”
Direct PRC official propaganda.
“The government and State-owned banks…”
Wouldn’t the idea of state-owned banks be contrary to Reaganomics - at least your theory of it.
Reaganomics also led to a great rise in the value of the dollar. The Chinese would never allow a dramatic rise in the value of their currency.
China is moving toward a free market economy and that is Reaganomics, is it there yet, no. But it is precisely because they still have a way to go that they have so much potential. We had the lowest corporate tax rate when Reagan left office and a booming economy. We now have one of the world’s highest and virtually no growth. Coincidence? I think not. The world saw how to make an economy boom and we failed to keep up. Lola can post opinion articles about how our tax rate is really not that high, but in the real world corporations are trying to do reverse mergers with foreign countries to get their tax rates. This is conclusive proof that the corporate tax rate abroad is much lower.
Could it be that its not just Lola attempting to keep a worn out lie alive on a two faceted polarized sinking ship?
That’s interesting. A little something was written about this just yesterday.
Corporations used to pay almost one-third of federal taxes. Now it’s one-tenth.
Updated by Danielle Kurtzleben on July 25, 2014, 1:30 p.m. ET
Everyone agrees the corporate income tax is broken, but meaningful changes to it never seem to happen. And despite a flurry of recent attention, action on inversions — reincorporating a business in a foreign country in order to take advantage of lower rates — seems to keep being punted into the future.
Obama railed against inversions this week, calling for “economic patriotism.” But Senate Democrats say they don’t think Congress can address the issue before August recess, as Bloomberg reported this week. And even then, agreement looks tough: Republicans want broader tax-code reform, and not all Democrats are behind Obama.
Corporations are shouldering far less of a tax burden than they used to. Corporate tax revenues have declined as a share of GDP over the years, but individual tax revenues have held steady, according to a 2013 GAO report.
Corporations account for a much smaller share of the tax revenue pie than they used to. In 1952, corporations accounted for 32.1 percent of federal revenue. As of 2013, it was less than 10 percent.
It’s understandable why US corporations seek out inversions — the US has the highest nominal corporate tax rate among developed countries, with a 35 percent top federal rate and a 39.1 percent average combined rate. While other countries’ rates have fallen, the U.S.’s has stayed high.
But corporations are also very good at finding ways to pay less. The GAO found that all corporations who filed M-3s (a tax form for large and international corporations) paid an effective tax rate of 22.7 percent in 2013. Among profitable companies only, the rate was even lower, at 17 percent.
So even while the US corporate tax rate is high, its corporate tax revenue collections are low. That’s one reason why, as of 2011, the US was on the low end of corporate tax revenue among OECD nations.
http://www.vox.com/2014/7/25/5936837/chart-us-corporations-declining-tax-burden-inversions-corporate-tax
Same leftist propaganda that is countered by the real world reality. If companies were actually paying a low amount they would not be trying to merge with countries all over the world to lower their taxes. It is simple as that.
Those are just facts and you call them leftist propaganda. The fact that corporations are moving their profits to other countries doesn’t contradict the assertion that US corporate tax revenues are below average. It just means that they’re not the absolute lowest in the world.
It would be interesting if you consider the behavior of these corporations to be an argument for lowering our tax rates. It would mean that we’re not free to choose the tax rates that we want in our country. Large multinational corporations and foreign governments would dictate what tax rates we can have. You’re the one often invoking the word globalism. Would that be an example of globalism?
Did Reaganomics include government-owned banks in there somewhere? I don’t remember that part.
Data Dive
China’s housing problem
By Ben Walsh
July 21, 2014
The Chinese housing has been in rough shape for more than a year. Quartz’s Gwynn Guilford charts the latest set of bad numbers. It’s not an out of control crash just yet – prices are still rising on a yearly basis – but the boom of the last decade is certainly over.
In May, Guilford argued that it may already “be too late for the Chinese government to stop its housing bubble from popping.” The problem, she said, was that economic growth had become too closely tied to housing investment. Matt O’Brien made a similar point when he said that a manufacturing-dominated view of China’s economy was out of date. After the financial crisis, demand for its exports dropped, and so China looked to housing, the sector at the heart of the crisis in the West, to drive its recovery.
And then recently, when a dip in the housing market caused slower economic growth, the government told banks to issue more mortgages. But more mortgages alone won’t necessarily mean more home buyers: credit standards will need to be loosened for that to happen. If you are worried about Chinese housing starting the next financial crisis, Simon Johnson has a relatively comforting prediction. He and co-author Peter Boone say that the whole thing will end not with a Lehman-like catastrophe, but a “ more standard credit bust, driven by the drying-up of the nonbank markets and some losses on bank loans.” In the context of bad outcomes, that’s definitely not the worst.
…
Obsessed with China Whac? Here is story why if we continue on our same path we will be as poor as central America, while China will be as rich as we are now. This country has always dealt with labor shortages with technological inventions until a few decades ago when we decided to import poor peasants. China is creating wealth be creating robots to take the place of cheap workers:
http://www.chinadaily.com.cn/business/tech/2014-07/26/content_17929627.htm
“Obsessed with China Whac?”
No. I just enjoy seeing what kind of propaganda you will throw out in response to my factual posts about the real situation on the ground over there.
Yes, you are obsessed. It’s one China post after another after another after another.
Personally, I don’t give a rat’s ass about China’s housing market. I don’t own a house, and I don’t hold U.S. Treasuries. I don’t live on the West Coast. And China’s not about to start a war, either. They can’t afford to, much like we can’t.
crater
go macbeth!
“Yes, you are obsessed. It’s one China post after another after another after another.”
It’s an interesting topic to me, and apparently to Ben Jones as well.
But so far as I am aware, nobody has put a gun to your head and forced you to read posts about the Chinese housing bubble implosion. I suggest you ignore them if they seem uninteresting or irrelevant to your narrow little world view.
If the work can be done by a robot, then it can be done by a robot in the United States. It makes no sense to reason that China will get rich by selling robot-made stuff to people who live in countries that have more money.
BTW, there are only so many things that can be made with robots. I’m sure the robots will get better over time, but even the superior engineering capabilities of Japan and the United States have not been able to design robots that can make most stuff as well as a human for less money.
Is the recovery in stock prices helping you find a job?
It seems stock prices can rise making people feel wealthy but when people go to cash out at the same time that wealth can evaporate quickly.
Seems we have a lot of people holding their stocks hoping they keep going up. That did not end well in 2000.
Once inflation comes back, isn’t it a given that stock prices will go up in synch?
Wait a minute…it looks like stock prices are already massively inflated. Whazzup with that?!
p o n z i
July 25, 2014, 3:34 p.m. EDT
Unbelievable collapse in small-cap stocks
By Michael A. Gayed
“It’s unbelievable how much you don’t know about the game you’ve been playing all your life.” — Mickey Mantle
Small-caps tend to get lot of attention by traders/investors because of their tendency to outperform bigger companies over large markets cycles. Many of these companies tend to trade with less dollar volume compared with large-cap equities, are highly sensitive to domestic growth expectations, and can be seen as a good indicator of risk sentiment beneath the surface.
On the latter point, I know everyone remains mesmerized by the Standard & Poor’s 500 Index, but the reality is that many stocks in the U.S. have been struggling in 2014, with market cap being a key decider of just how tough it’s been. The small-cap Russell 2000 Index meaningfully underperformed the S&P 500 this year in a shocking way, causing them to give back all of their 2013 outperformance, and sending it’s price ratio relative to large-caps all the way down to 2011 levels.
…
“The small-cap Russell 2000 Index meaningfully underperformed the S&P 500 this year in a shocking way, causing them to give back all of their 2013 outperformance, and sending it’s price ratio relative to large-caps all the way down to 2011 levels.”
Which means the large caps can use their newly-acquired Supermoney (the money that they have created out of thin air due to Mr. Market’s elevation of the prices of their shares) to buy up these small caps on the cheap (and they get to buy them on the cheap because Mr. Market made them cheap).
Plus, along with using Supermoney to buy, these large caps can use the regular-kind of money (the kind you and I use) to buy up these cheaply priced small-caps and they can get tons of this regular-type of money (but we can’t) very cheaply due to that ZIRP policy thingy that our clever folks at the Fed are using in order to save us all.
And once these large caps buy up these small caps they then can implement programs to “improve” them by stripping them of their costs (costs = employees) and they will call this process “synergy” and “streamlining” and “right sizing” and they will do this in order to get “lean-and-mean” so they can take on the rest of the world on a “level playing field”.
So, it is indeed ALL GOOD!
The Stealing of America by the Cops, the Courts, the Corporations and Congress
written by john w. whitehead
monday july 21, 2014
Homeland Security ICE
“What the government is good at is collecting taxes, taking away your freedoms and killing people. It’s not good at much else.”
—Author Tom Clancy
Call it what you will—taxes, penalties, fees, fines, regulations, tariffs, tickets, permits, surcharges, tolls, asset forfeitures, foreclosures, etc.—but the only word that truly describes the constant bilking of the American taxpayer by the government and its corporate partners is theft.
We’re operating in a topsy-turvy Sherwood Forest where instead of Robin Hood and his merry band of thieves stealing from the rich to feed the poor, you’ve got the government and its merry band of corporate thieves stealing from the poor to fatten the wallets of the rich. In this way, the poor get poorer and the rich get richer. All the while, the American Dream of peace, prosperity, and liberty has turned into a nightmare of endless wars, debilitating debt, and outright tyranny.
What Americans don’t seem to comprehend is that if the government can arbitrarily take away your property, without your having much say about it, you have no true rights. You’re nothing more than a serf or a slave.
In this way, the police state with all of its trappings—from surveillance cameras, militarized police, SWAT team raids, truancy and zero tolerance policies, asset forfeiture laws, privatized prisons and red light cameras to Sting Ray guns, fusion centers, drones, black boxes, hollow-point bullets, detention centers, speed traps and abundance of laws criminalizing otherwise legitimate conduct—is little more than a front for a high-dollar covert operation aimed at laundering as much money as possible through government agencies and into the bank accounts of corporations.
The rationalizations for the American police state are many. There’s the so-called threat of terrorism, the ongoing Drug War, the influx of illegal immigrants, the threat of civil unrest in the face of economic collapse, etc. However, these rationalizations are merely excuses for the growth of a government behemoth, one which works hand in hand with corporations to profit from a society kept under lockdown and in fear at all times.
Indeed, as I point out in my book A Government of Wolves: The Emerging American Police State, the real motivating factor behind erecting a police state is not to protect the people, but to further enrich the powerful. Consider the following costly line items, all part of the government’s so-called quest to keep us safe and fight terrorism while entrenching the police state, enriching the elite, and further shredding our constitutional rights:
$4.2 billion for militarized police. Almost 13,000 agencies in all 50 states and four U.S. territories participate in a military “recycling” program which allows the Defense Department to transfer surplus military hardware to local and state police. In 2012 alone, $546 million worth of military equipment was distributed to law enforcement agencies throughout the country.
$34 billion for police departments to add to their arsenals of weapons and equipment. Since President Obama took office, police departments across the country “have received tens of thousands of machine guns; nearly 200,000 ammunition magazines; thousands of pieces of camouflage and night-vision equipment; and hundreds of silencers, armored cars and aircraft.” While police departments like to frame the acquisition of military surplus as a money-saving method, in a twisted sort of double jeopardy, the taxpayer ends up footing a bigger bill. First, taxpayers are forced to pay millions of dollars for equipment which the Defense Department purchases from megacorporations only to abandon after a few years. Then taxpayers find themselves footing the bill to maintain the costly equipment once it has been acquired by the local police.
$6 billion in assets seized by the federal government in one year alone. Relying on the topsy-turvy legal theory that one’s property can not only be guilty of a crime but is also guilty until proven innocent, government agencies have eagerly cashed in on the civil asset forfeiture revenue scheme, which allows police to seize private property they “suspect” may be connected to criminal activity. Then whether or not any crime is actually proven to have taken place, the cops keeps the citizen’s property. Eighty percent of these asset forfeiture cases result in no charge against the property owner. Some states are actually considering expanding the use of asset forfeiture laws to include petty misdemeanors. This would mean that property could be seized in cases of minor crimes such as harassment, possession of small amounts of marijuana, and trespassing in a public park after dark.
$11,000 per hour for a SWAT team raid on a government dissident. The raid was carried out against Terry Porter, a Maryland resident who runs a welding business, is married with three kids, is outspoken about his views of the government, and has been labeled a prepper because he has an underground bunker and food supplies in case things turn apocalyptic. The raiding team included “150 Maryland State Police, FBI, State Fire Marshal’s bomb squad and County SWAT teams, complete with two police helicopters, two Bearcat ‘special response’ vehicles, mobile command posts, snipers, police dogs, bomb disposal truck, bomb sniffing robots and a huge excavator. They even brought in food trucks.”
$3.8 billion requested by the Obama administration to send more immigration judges to the southern border, build additional detention camps and add border patrol agents. Border Patrol agents are already allowed to search people’s homes, intimately probe their bodies, and rifle through their belongings, all without a warrant. As one journalist put it, “The surveillance apparatus is in your face. The high-powered cameras are pointed at you; the drones are above you; you’re stopped regularly at checkpoints and interrogated.” For example, an American citizen entering the U.S. from Mexico was subjected to a full-body cavity search in which she was subjected to a variety of invasive procedures, including an observed bowel movement and a CT scan, all because a drug dog jumped on her when she was going through border security. Physicians found no drugs hidden in her body.
$61 billion for the Department of Homeland Security, one of the most notoriously bloated government agencies ever created. The third largest federal agency behind the Departments of Veterans Affairs and Defense, the DHS—with its 240,000 full-time workers and sub-agencies—has been aptly dubbed a “runaway train.”
ronpaulinstitute.org/…-by-the-cops,-the-courts,-the-corporations-and-congress.aspx - 45k -
“Call it what you will—taxes, penalties, fees, fines, regulations, tariffs, tickets, permits, surcharges, tolls, asset forfeitures, foreclosures, etc.—but the only word that truly describes the constant bilking of the American taxpayer by the government and its corporate partners is theft.
This is flat out thievery by Uncle Sam and it’s out of control.
Is it “go time” yet?
Unfortunately, it may be past go time.
Time to go boost my ammo caches in the Pike National Forest.
Got 7.62×39?
I guess putting a GPS on a Preppers car locating all of their caches would be an easy way for you to build your ammo supply.
Nice post PS….
“China Home Prices Fall in Record Cities, Signaling More Easing”
http://www.bloomberg.com/news/2014-07-18/china-home-prices-fall-in-record-number-of-cities-on-price-cuts.html
See above. Honestly, we have a real housing bubble in the U.S. and no path to a resolution. You do a great job pointing that out but most of the factors that exist here do not exist there. Chinese have a lot of equity in their homes, they have wages growing ten percent a year and they have hundreds of millions of people that will be moving from the country to the cities creating demand. Finally they have 7% plus gdp growth. The resolution of the Chinese housing is easy to see with little disruption.
We have stagnant wages, 3.5% down payment loans, decreasing demand, and GDP growth below 2%. We need to worry about our own economy and our own housing bubble which appears will end very badly.
There ya go, posting more old data about China. Can’t you see that article is already eight days old by now?
Global Crater Formation
Labor Force Participation Rates Hits Another New Low
http://data.bls.gov/pdq/SurveyOutputServlet
A nation of unemployed, indebted citizens
Who will not be buying $500,000 starter homes anytime soon, or ever.
Or $200,000 starter homes.
It’s not just the $500,000+ owners/mortgagees who find themselves bag holders, you know.
u should see the some of the neighborhoods in sacramento county. U have pockets of nice older neighborhoods surrounded by ghettos.
The nice neighborhoods have starter homes at like 400k, its absurd.
The only cheap stuff is where people are scared to live.
In 20 years, Colorado will be the same.
Co and Ca will mirror rust belt states in under ten years. Mark your calendar.
Ten Truths About the American Police State
How the Feds Fund the Local Police State
“The most dangerous man, to any government, is the man who is able to think things out for himself…Almost inevitably, he comes to the conclusion that the government he lives under is dishonest, insane, and intolerable.”
-H.L. Mencken, American journalist
It’s vogue, trendy and appropriate to look to dystopian literature as a harbinger of what we’re experiencing at the hands of the government. Certainly, George Orwell’s 1984 and Animal Farm have much to say about government tyranny, corruption, and control, as does Aldous Huxley’s Brave New World and Philip K. Dick’s Minority Report. Yet there are also older, simpler, more timeless stories—folk tales and fairy tales—that speak just as powerfully to the follies and foibles in our nature as citizens and rulers alike that give rise to tyrants and dictatorships.
One such tale, Hans Christian Andersen’s fable of the Emperor’s New Clothes, is a perfect paradigm of life today in the fiefdom that is the American police state, only instead of an imperial president spending money wantonly on lavish vacations, entertainment, and questionable government programs aimed at amassing greater power, Andersen presents us with a vain and thoughtless emperor, concerned only with satisfying his own needs at the expense of his people, even when it means taxing them unmercifully, bankrupting his kingdom, and harshly punishing his people for daring to challenge his edicts.
For those unfamiliar with the tale, the Emperor, a vain peacock of a man, is conned into buying a prohibitively expensive suit of clothes that is supposedly visible only to those who are smart, competent and well-suited to their positions. Surrounded by yes men, professional flatterers and career politicians who fawn, simper and genuflect, the Emperor—arrogant, pompous and oblivious to his nudity—prances through the town in his new suit of clothes until a child dares to voice what everyone else has been thinking but too afraid to say lest they be thought stupid or incompetent: “He isn’t wearing anything at all!”
Much like the people of the Emperor’s kingdom, we, too, have been conned into believing that if we say what we fear, if we dare to suggest that something is indeed “rotten in the state of Denmark,” we will be branded idiots and fools by the bureaucrats, corporate heads, governmental elites and media hotshots who have a vested interest in maintaining the status quo—or who at least are determined to maintain the façade that is the status quo. Yet the truth is staring us in the face just as surely as the fact that the Emperor was wearing no clothes.
Truth #1: The U.S. is on the brink of bankruptcy, as many economists have been warning for some time now, with more than $16 trillion in debts owned by foreign nationals and corporations. As one financial news site reports: “Internationally, the world is fed up with The Fed and the U.S. government’s unabashed debt growth. China, Russia, Iran, India and a host of other countries are establishing trade relationships that are bypassing the U.S. dollar altogether, a move that will soon see the world’s reserve currency lose purchasing power and status. In anticipation of this imminent collapse gold is being hoarded by private and public entities from Berlin to Beijing in an effort to preserve wealth before the Tsunami hits.”
Truth #2: We no longer have a government that is “of the people, for the people and by the people.” What we have now is a feudal monarchy, run by wealthy overlords and financed with the blood, sweat and labor of the underclasses who are kept in check by the increasingly militarized police. This sorry state of affairs is reinforced by a study which found that average citizens have “little or no independent influence” on the policy-making process. A similar study published by thePolitical Research Quarterly revealed that members of the U.S. Senate represent their wealthiest constituents while ignoring those on the bottom rung of the economic ladder.
Truth #3: Far from being a benevolent entity concerned with the well-being of its citizens, whether in matters of health, safety or security, the government is concerned with three things only: power, control and money. As an often quoted adage says, “Government is not reason; it is not eloquent; it is force. Like fire, it is a dangerous servant and a fearful master.” Unfortunately, the master-servant relationship that once had the government answering to “we the people” has been reversed. Government agents now act as if they are the masters and we are the servants. Nowhere is this more evident than in the transformation of police officers from benevolent keepers of the peace to inflexible extensions of the military hyped up on the power of their badge.
Truth #4: Our primary use to the government is as consumers, worker bees and bits of data to be collected, catalogued, controlled, mined for information, and sold to the highest bidder. Working in cahoots with corporations, the government has given itself carte blanche access to our phone calls, emails, bank transactions, physical movements, even our travels on foot or in our cars. Cybersecurity expert Richard Clarke envisions a future where data about every aspect of our lives will be collected and analyzed. Thus, no matter what the U.S. Supreme Court might have said to the contrary, the government no longer needs a warrant to spy on your cell phone activity or anything else for that matter. As the Washington Post recently revealed, 9 out of 10 people caught up in the NSA’s surveillance net had done nothing wrong to justify such intrusions on their privacy. Clearly, the government now operates relatively autonomously, answering only to itself and unbridled by the courts, Congress, the will of the people or the Constitution.
Truth #5: Whatever problems we are grappling with in regards to illegal immigrants flooding over the borders has little to do with the fact that the borders are porous and everything to do with the government’s own questionable agenda. How is it that a government capable of locking down roads, open seas, and air routes is unable to prevent tens of thousands of women and children from crossing into the U.S. illegally? Conveniently, the Obama administration is asking Congress for $3.8 billion in emergency funding to send more immigration judges to the southern border, build additional detention facilities and add border patrol agents. The funds would be managed by the Departments of Justice, Homeland Security, State and Health and Human Services, the very same agencies responsible for bringing about a rapid shift into a police state.
Truth #6: The U.S. government is preparing for massive domestic unrest, arising most likely from an economic meltdown. The government has repeatedly made clear its intentions, through its U.S. Army War College report alerting the military to prepare for a “violent, strategic dislocation inside the United States,” through its ongoing military drills in cities across the country, through its profiling of potential homegrown “dissidents” or extremists, and through the proliferation of detention centers being built across the country.
Truth #7: As Gerald Ford warned, “A government big enough to give you everything you want is a government big enough to take from you everything you have.” Too often, Americans have fallen prey to the temptation to let the government take care of whatever ails them, whether it be financial concerns, health needs, childcare. As a result, we now find ourselves caught in a Catch-22 situation wherein the government’s so-called solutions to our problems have led to even graver problems. In this way, zero tolerance policies intended to outlaw drugs and weapons in schools result in young children being arrested and kicked out of school for childish behavior such as drawing pictures of soldiers and crying too much; truancy laws intended to keep students in school have resulted in parents being arrested and fined excessively; and zoning laws intended to protect homeowners have been used to prosecute residents who attempt to live off the grid.
Truth #8: The U.S. is following the Nazi blueprint to a “t,” whether through its storm trooper-like police in the form of heavily armed government agents, to its erection of an electronic concentration camp that not only threatens to engulf America but the rest of the world as well via NSA surveillance programs such as Five Eyes. Most damning of all is the Department of Homeland Security’s self-appointed role as a national police force, a.k.a. standing army, the fundamental and final building block for every totalitarian regime that has ever wreaked havoc on humanity. Indeed, just about every nefarious deed, tactic or thuggish policy advanced by the government today can be traced back to the DHS, its police state mindset, and the billions of dollars it distributes to police agencies in the form of grants.
Truth #9: Not only does the U.S. government perpetrate organized, systematic violence on its own citizens, especially those who challenge its authority nonviolently, in the form of SWAT team raids, militarized police, and roaming VIPR checkpoints, but it gets away with these clear violations of the Fourth Amendment because the courts grant them immunity from wrongdoing. Expanding its reach, the U.S. also exports its violence wholesale to other countries through armaments sales and the use of its military as a global police force. Yet no matter how well trained, well equipped and well financed, America cannot police the world. As history shows, military empires, once over extended, inevitably collapse into chaos.
Truth #10: As I make clear in my book A Government of Wolves: The Emerging American Police State, the United States of America has become the new battlefield. In fact, the only real war being fought by the U.S. government today is the war on the American people, and it is being waged with deadly weapons, militarized police, surveillance technology, laws that criminalize otherwise lawful behavior, private prisons that operate on quota systems, and government officials who are no longer accountable to the rule of law.
So there you have it: facts rather than fiction, so naked that a child could call it for what it is, and yet so politically inconvenient, incorrect and uncomfortable that few dare to speak of them.
Even so, despite the fact that no one wants to be labeled dimwitted, or conspiratorial, or a right wing nut job, most Americans, if they were truly paying attention to what’s been going on in this country over the past few decades and willing to be truthful, at least to themselves, would have to admit that the outlook is decidedly grim. Indeed, unless something changes drastically for the good in the near future, it looks like this fairytale will not have a happy ending.
tenthamendmentcenter.com/2014/07/20/ten-truths-american-police-state/ - 87k -
“violent, strategic dislocation inside the United States”
Is it “go time” yet?
“During times of universal deceit, telling the truth becomes a revolutionary act.”
- George Orwell;
And subject to torture and imprisonment.
natty light cans piling up today?
Enjoying your schooling?
‘He who controls the past controls the future. He who controls the present controls the past.’
George Orwell
? for Realtors
http://www.youtube.com/watch?v=HP_NE4XZGAc - 142k -
Doobie Brothers – Long Train Running Lyrics
Down around the corner, half a mile from here
See FOR SALE signs standing, and you watch them disappear
Without HARP, where would you be now
Without H-A-A-A-R-P
You know I saw miss Lucy down along the tracks
She saved her home and her family but she won’t be paying back
Without HARP, where would she be right now
Without H-A-A-A-R-P
Well up in Illinois Central
And in the Southern States
Got to keep on pushin’ wood floors
Cause’ you know their payments late
Without HARP , where would you be now now now now
Without H-A-A-A-R-P
Well the Realtors keep on sellin’
And the wheels go round and round
The sales commissions cold and hard
And the prices don’t go down
Without HARP , where would you be right now
Without H-A-A-A-R-P ooh ooh
Where would you be now
Bravo Jethro!
One of my favorite Jeff Saturday posts was the Raven parody. At least I think it was his, sometime in 2006 or 7.
This should liven up my neighborhood.
Banks moving more aggressively against delinquent Las Vegas homeowners, report says
“Known as the Homeowner’s Bill of Rights…”
Bahahahahahahahahahahahahahahahahahahahahahaha …
If you closely examine the term “homeowner” and compare it to the more accurate term of “homebuyer”‘ all you proles out there just may make a long-overdue discovery of who it is that truly owns these houses.
Hint: It ain’t yours until you get the title, and you ain’t gettin’ the title until you are finished making all the payments.
Bahahahahahahahahaha …
Have any you you ignorant proles out there ever considered the term “free and clear” and thought of how misleading this statement is in that it suggests that one can be free but not clear?
“‘Free AND clear”? How about just one word and this one word is the word “free”, and if used correctly one should only be considered to be truly free if at the same time he is clear.
If he is not clear - if he is not clear of debts - then he is not truly free.
Happily for me most people do not understand this.
“The law, backed by the Nevada Association of Realtors, an advocacy group for real estate agents and brokers, has several exemptions and does not let delinquent borrowers keep their homes forever.”
Just seven years or so.
Yippeeeeee! Kick them out of the houses already, Mr. Banker. Kick them the fork out.
COMPANY IN WHICH JOE BIDEN’S SON IS DIRECTOR PREPARES TO DRILL SHALE GAS IN EAST UKRAINE
Ukraine (or rather its puppetmasters) has decided to let no crisis (staged or otherwise) or rather civil war, go to waste..
Company In Which Joe Biden’s Son Is Director Prepares To Drill Shale Gas In East Ukraine
by ZERO HEDGE | JULY 26, 2014
Recall what we said earlier today: the proxy Ukraine war just like that in Syria preceding it, “is all about energy.”
Recall also the following chart showing Ukraine’s shale gas deposits, keeping in mind that the Dnieper-Donets basin which lies in the hotly contested eastern part of the nation and where as everyone knows by now a bloody civil war is raging, is the major oil and gas producing region of Ukraine accounting for approximately 90 per cent of Ukrainian production and according to EIA may have 42 tcf of shale gas resources technically recoverable from 197 tcf of risked shale gas in place.
Finally, recall our story from May that Joe Biden’s son, Hunter, just joined the board of the largest Ukraine gas producer Burisma Holdings. From the press release:
The youngest son of U.S. Vice President Joe Biden, Hunter Biden, has been appointed head of legal affairs at Ukraine’s largest private gas producer, Burisma Holdings.
Hunter Biden appointed head of legal affairs at Ukraine’s largest private gas producer, Burisma Holdings. / Burisma.com
R. Hunter Biden will be in charge of the Holdings’ legal unit and will provide support for the Company among international organizations. On his new appointment, he commented: “Burisma’s track record of innovations and industry leadership in the field of natural gas means that it can be a strong driver of a strong economy in Ukraine. As a new member of the Board, I believe that my assistance in consulting the Company on matters of transparency, corporate governance and responsibility, international expansion and other priorities will contribute to the economy and benefit the people of Ukraine.”
R. Hunter Biden is also a well-known public figure. He is chairman of the Board of the World Food Programme U.S.A., together with the world’s largest humanitarian organization, the United Nations World Food Programme. In this capacity he offers assistance to the poor in developing countries, fighting hunger and poverty, and helping to provide food and education to 300 million malnourished children around the world.
Company Background:
Burisma Holdings is a privately owned oil and gas company with assets in Ukraine and operating in the energy market since 2002. To date, the company holds a portfolio with permits to develop fields in the Dnieper-Donets, the Carpathian and the Azov-Kuban basins. In 2013, the daily gas production grew steadily and at year-end amounted to 11.6 thousand BOE (barrels of oil equivalent – incl. gas, condensate and crude oil), or 1.8 million m3 of natural gas. The company sells these volumes in the domestic market through traders, as well as directly to final consumers.
Now put it all together and what happens next should be rather clear.
Still confused? It’s very simple, really.
In a nutshell Ukraine (or rather its puppetmasters) has decided to let no crisis (staged or otherwise) or rather civil war, go to waste, and while the fighting rages all around, Ukrainian troopers are helping to install shale gas production equipment near the east Ukrainian town of Slavyansk, which was bombed and shelled for the three preceding months, according to local residents cited by Itar Tass. The reason for the scramble? Under peacetime, the process was expected to take many years, during which Europe would be under the energy dictatorship of Putin. But throw in some civil war and few will notice let alone care that a process which was expected to take nearly a decade if not longer while dealing with broad popular objections to fracking, may instead be completed in months!
“Civilians protected by Ukrainian army are getting ready to install drilling rigs. More equipment is being brought in,” they said, adding that the military are encircling the future extraction area.
The people of Slavyansk, which is located in the heart of the Yzovka shale gas field, staged numerous protest actions in the past against its development. They even wanted to call in a referendum on that subject. Environmentalists are particularly concerned with the consequences of hydrofracing, a method used for shale gas extraction, because it implies the use of extremely toxic chemical agents which can poison not only subsoil waters but also the atmosphere. Experts claim that not a single country in the world has invented a method of utilization of harmful toxic agents in the process of development of shale gas deposits.
Countries like the Czech Republic, the Netherlands and France have given up plans to develop shale gas deposits in their territories.
Not only them but also all-important Germany, which two weeks ago announced it would halt shale-gas drilling for the next seven years over groundwater pollution concerns.
Which clearly makes Ukraine, potentially the last place with massive shale gas deposits and no drilling ban, quite valuable to those who want to develop a major source of shale gas, one which reduces Europe’s reliance on Russian gas even more, yet one whose future depends on one simple question: who controls East Ukraine?
Because what better way to accelerate “next steps” than to start drilling for gas in the middle of the Donetsk republic as a civil war is waging in all directions, and where public mood has shifted decidedly against the local “separatists” in the aftermath of the MH-17 tragedy.
The punchline: who will develop the gas field in conjunction with Shell (jointly owned by the Netherlands and the UK: the two countries that loathe Putin the most in the aftermath of the MH-17 disaster) which in May 2012 announced a tender for the right to develop the Yuzovka shale gas deposit?
Burisma, Ukraine’s oil and gas production holdings, also has the right to develop the shale gas fields in the Dnieper-Donetsk basin of Eastern Ukraine. The same Burisma where R. Hunter Biden, Joseph’s son, was appointed a director two months ago.
Q.E.D.
Another Obamite lining his pockets…… How can this be?
F R A U D
You probably would like those pockets to be belong to George W. s or even better your cousin’s… . You don’t want to understand that there is no “democratic” Russia , it is the same Soviet Union and everything is still controlled by the same KGB. If before the communists were hiding their stolen millions $$$ today there is no need to do that… they do that the way “businessmen” do it in U.S. and corruption is little bit vulgar the in U.S. because they do it under the umbrella of KGB. Because Urania people don’t want to be under that umbrella… You guys in U.S. united with KGB chief Mr.Putin and your own KGB chief Ron Paul to bark against free will of Ukrainians … There is no civil war in Ukraine , it is only same Soviet aggression like it was in 1968 against Czechoslovakia…
Above should be “Ukrainian” people…
“The youngest son of U.S. Vice President Joe Biden, Hunter Biden, has been appointed head of legal affairs at Ukraine’s largest private gas producer, Burisma Holdings.”
Another fugg’n “appointment.” WEHT meritocracy?
Looks like the North American Union is shaping up nicely.
ILLEGALS STILL CIRCUMVENTING TSA, CLAIMS BORDER PATROL WHISTLEBLOWER
“They bypassed TSA and boarded first. Even before me, an armed plain clothes law enforcement agent.”
Illegals Still Circumventing TSA, Claims Border Patrol Whistleblower
by ADAN SALAZAR | INFOWARS.COM | JULY 26, 2014
Illegal aliens are being loaded onto planes without being screened by TSA agents, a Border Patrol officer working in the Rio Grande Valley sector recently told Infowars.
Speaking out despite a federally imposed gag order, the officer, who spoke to Infowars on the condition of anonymity, but whose identity has been verified and confirmed, revealed that during a flight last week, he observed pregnant illegal immigrants “bypassed TSA” before boarding a plane.
Here’s the agent’s e-mail:
Good Morning,
I noticed that there were many pregnant adult female aliens and UAC [Unaccompanied Alien Children] teenage aliens on my flight from Corpus Christi to [redacted to protect officer's identity] this morning. They bypassed TSA and boarded first. Even before me, an armed plain clothes law enforcement agent. [Emphasis added]
The agent’s intel comes weeks after Border Patrol union reps alerted the media earlier this month that the federal agency tasked with policing airborne travelers was allowing illegals onto planes sans proper identification.
“The aliens who are getting released on their own recognizance are being allowed to board and travel commercial airliners by simply showing their Notice to Appear forms,” National Border Patrol Council #2455 spokesman Hector Garza told Breitbart News.
Following the allegations, the Department of Homeland Security fired back, issuing a statement claiming that “these reports are false. A notice to appear is not an acceptable form of I.D. at the T.S.A checkpoint.”
In the wake of the Breitbart story, the National Border Patrol Council also obtained a statement revealing the TSA had reversed its program following media attention.
“The policy reversal proves that the TSA has once again been caught lying to the American people in an attempt to cover up its malfeasance,” highlighted Infowars’ Paul Joseph Watson. “This latest scandal arrives months after it was revealed that the federal agency followed a State Department directive to spare members of the Muslim Brotherhood traveling to the US in 2012 a TSA pat down or any kind of secondary screening,”
Though brief, our Border Patrol whistleblower’s recent intel suggests that, in addition to using tax payer dollars to ship illegals virtually anywhere in the U.S. they want to go, the federal government is also allowing them to bypass security checkpoints every other traveler must go through.
The same agent made it known to Infowars last week that the Rio Grande Valley sector had received orders to begin releasing pregnant female illegal immigrants in “ANY stage of pregnancy,” even if they merely claimed to be pregnant.
“We do not have a method of testing for an actual pregnancy, either,” the agent wrote to us in an e-mail. “It appears that we have to take their word for it.”
“Sad to say a normal law abiding American citizen has to remove their shoes to get on an airplane these days and go through additional screening,” a Border Patrol union representative lamented to ValleyCentral.com. “For the U.S government to allow undocumented aliens access to our commercial transportation in the form of airlines is a giant security risk.”
Infowars did not receive comment from the Transportation Security Administration at time of publication, but will update this story with their response accordingly. We will continue to provide information from authentic whistleblowers as they reach out to us.
What Does the U.S. Support When It Supports Israel?
http://www.lewrockwell.com/2014/07/michael-s-rozeff/when-the-us-supports-israel/
‘According to the Congressional Budget Office, “Israel is the largest cumulative recipient of U.S. foreign assistance since World War II. To date, the United States has provided Israel $121 billion (current, or non-inflation-adjusted, dollars) in bilateral assistance. Almost all U.S. bilateral aid to Israel is in the form of military assistance, although in the past Israel also received significant economic assistance.” Other special benefits also flow to the Israeli military. Each year, the U.S. pays for about 20 percent of Israel’s overall military spending, and the total places Israel as the 16th largest military spender in the world. “In 2007, the Bush Administration and the Israeli government agreed to a 10-year, $30 billion military aid package for the period from FY2009 to FY2018.” Obama has renewed that pledge.
The U.S. routinely supports Israel’s policies and avoids condemning Israel for its rights violations against Palestinians. It may never have done so. This week, for example, the U.S. cast the sole vote against the U.N. Human Rights Council Resolution concerning the Occupied Palestinian Territory. The vote was 29-1. A link to the full text of the resolution is here. (The texts vary slightly in different reports.)
Because the U.S. government has made itself virtually one with Israel, we must ask the question: What exactly is the U.S. supporting when it supports Israel? One cannot arrive at answers to this question without examining Israel’s history. One may make a start by reading Theodor Herzl’s 1896 pamphlet “The Jewish State”, a visionary tract. This provides insight into the goals of Herzl and his assumptions behind colonizing Palestine. How the colonization actually worked out has not been as he planned. Israel continues to be a problematic state, an expansionary state, and what is worse, a dangerous nuclear power state. Wikipedia has a number of articles on the history. This one provides a start. One thing the U.S. supports when it supports Israel is what Israel is doing in Gaza at this moment.
Murray Rothbard has a highly readable and valuable account of the history up to 1967.
Although America has stood in theory as a melting pot and a country that favored the assimilation of many peoples from all over the world, and in practice was against Black Nationalism, the U.S. government has supported Jewish Nationalism in Israel. It has supported a society that could only support such a state by being exclusionary and segregated, or even ethnically cleansed. The philosophy behind that state rested on Herzl’s assumptions, which in my view were deeply flawed. He simply ignored the native population of Palestine. He simply asserted that Jews were a people one people, that assimilation was out of the question and that a Jewish State was a solution to anti-Semitism. All of these assertions are questionable. He declared that “Palestine is our ever-memorable historic home.” Can any people or ethnic group of today return to the place where their ancestors originated with the idea of displacing its current residents and making their own State? No one would approve of such an idea. Anyway, this “historic home” idea was really not true of all Jews after 1,800 years had passed and Jews had had many, many homes in many lands. It was an appeal to a subset of Jews who wanted to emigrate and maintain their culture with others of their kind. Nor could this idea justify a Jewish State governing Palestine and its then current Arab inhabitants. But in addition Herzl’s philosophy in practice assumed a much more militant and exclusionary form as new generations appeared after him. In particular, David Ben-Gurion was an exponent of power and force.
Israel is a brutal state as the latest excesses of destruction and killing of innocent Palestinians in Gaza show. That’s what the U.S. supports’
Ben Jones and Macbeth, an article you each would like. And I like it too:
Ron Paul: I don’t blame America, I Blame Neocons
http://www.lewrockwell.com/2014/07/daniel-mcadams/i-dont-blame-america/
Facing a tough but respectful grilling on Fox Business’s The Independents over his recent comments on Ukraine and the apparent downing of a Malaysia Air plane, Ron Paul argues that the US government wants to blame Russia for the shoot-down while providing no evidence for its conclusion. Paul points out that the US claim that Russia was to blame for the disaster because they supply weapons to the rebels in east Ukraine is hypocritical because the US has armed oppositionists in Syria who went on to attack the US-backed government in Iraq.
But the best moment was when one of the hosts trotted out the old “aren’t you’re blaming America?” question, which was previously used by the likes of Giuliani and the other neocons over the 9/11 attacks.
Responded Paul to the claim:
That is a misrepresentation of what I say. I don’t blame America. I am America, you are America. I don’t blame you. I blame bad policy. I blame the interventionists. I blame the neoconservatives who preach this stuff, who believe in it like a religion — that they have to promote American goodness even if you have to bomb and kill people.
They say ‘oh Ron Paul blames America therefore he’s a bad guy and we can’t listen to him.’ Well I’ll tell you what: the American people are listening more carefully now than ever before. …Non-intervention is the wave of the future.
FEDERAL JUDGE RULES DC BAN ON HANDGUNS UNCONSTITUTIONAL
Court ordered city to allow residents and non residents carry handguns outside their homes..
Federal Judge Rules DC Ban on Handguns Unconstitutional
by REUTERS | JULY 26, 2014
A federal judge on Saturday overturned Washington D.C.’s ban on carrying handguns outside the home, saying it was unconstitutional.
“There is no longer any basis on which this Court can conclude that the District of Columbia’s total ban on the public carrying of ready-to-use handguns outside the home is constitutional under any level of scrutiny,” Judge Frederick Scullin said in an opinion.
“Therefore, the Court finds that the District of Columbia’s complete ban on the carrying of handguns in public is unconstitutional,” he added in his 19-page ruling.
The court ordered the city to allow residents to carry handguns outside their homes and to let non-residents carry them as well.
That’s awesome! Not often do we see government limiting itself.
I miss Arizona (hot weather, haboobs, and all). Phoenix is a great place to own firearms and ammo. You can open carry there. Quite a place. Just have to get a good Java software developer job there with competitive salary (adjusted to lower cost of living than Irvine) and I’d be there in a flash.
What’s a haboob? Is that like an entertained mammary gland?
I thought it was an entertaining mammary gland.
You know its not the guns that matter its the illegal unregistered ones that mostly one minority uses in all their criminal activity, and we refuse to go after them with say a reasonable penalty of 5 years and no bail.
once you are on public property the gun has to be registered. And public housing as well ….who paid for it?
In a perfect world, there would be no public property. And of course I am against any registration of anything. Registration is statist.
“In a perfect world, there would be no public property.”
No football stadiums, baseball parks, freeways, museums, concert halls, port complexes, airports, city halls, etc etc etc…
Do you have any countries in mind which fit your ideal model?
Who says football stadiums, baseball parks, freeways, museums, concert halls, port complexes, and airports cannot be owned by private companies?
You are the same one who would say only government could shoe the people and provide shoes if for 100 years all shoes would be made by government.
Every seen a toll road? I’ve been on a few in Orange County. And in Colorado.
phony scandals