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Tuesday, December 9, 2014

WWIII Is Guaranteed! "One Step Closer" To "All Out War" Says Russia

Russian President Vladimir Putin is issuing a warning, one Americans need to pay attention to before US politicians take us past the point of no return, if they haven't done so already.

While the media in Russia is "state-run," meaning that one never knows how much is true or how much is propaganda, the flip side of that particular coin is that nothing goes out over it without the express permission, or instigation of Russian leadership, so it is clear that when their articles are written or news spoken, it is exactly what Putin wants the world to know.

With that said, the very first paragraph of Russia Today's editorial titled "America tuned out as Congress bangs war drum against Russia," which states that US House resolution 758 has "brought the nation one step closer to all-out-war with Russia," is a dire warning directly from Russia to the populace of the United States.

Future historians - that is, assuming there are humans still around to contemplate history - may one day point to House Resolution 758 as the single piece of legislation that sparked a global conflagration between two leading nuclear powers.

The article also goes on to take a look at House resolution 758, breaking it down, giving a birds-eye view of how Russian leadership views these actions on the part of the US Congress and it appears that things are about to get much uglier.

Read the whole article over at RT.

Below is a discussion between Finance and Liberty's Elijah Johnson and Ann Barnhardt, where in the first video we hear how America has tossed out the "rule of law," and in the second video how "WWIII is Guaranteed."

Both segments are informative and show that we are on a collision course for a war that will have no winners because the entire world will take sides and the cost of lives may very well give the NWO what they want which is a 90% population decrease..... if not more.

Credit to Susan Duclos

ISIS releases a Guide to Buying and Selling Female Slaves

The Research and Fatwa Department of the Islamic State (ISIS) has released a pamphlet with ‘Questions and Answers on Taking Captives and Slaves.’


MEMRI  It was presumably released in response to the uproar caused by the many reports this summer that ISIS had taken Yazidi girls and women as sex slaves. Written in the form of questions and answers, it clarifies the position of Islamic law (as ISIS interprets it) on various relevant issues, and states, among other things, that it is permissible to have sexual intercourse with non-Muslim slaves, including young girls, and that it is also permitted to beat them and trade in them.


“Question 1: What is al-sabi?

“Al-Sabi is a woman from among ahl al-harb [the people of war] who has been captured by Muslims.


“Question 2: What makes al-sabi permissible?

“What makes al-sabi permissible [i.e., what makes it permissible to take such a woman captive] is [her] unbelief. Unbelieving [women] who were captured and brought into the abode of Islam are permissible to us, after the imam distributes them [among us].”


“Question 3: Can all unbelieving women be taken captive?

“There is no dispute among the scholars that it is permissible to capture unbelieving women [who are characterized by] original unbelief [kufr asli], such as the kitabiyat [women from among the People of the Book, i.e. Jews and Christians] and polytheists. However, [the scholars] are disputed over [the issue of] capturing apostate women. The consensus leans towards forbidding it, though some people of knowledge think it permissible. We [ISIS] lean towards accepting the consensus…”


“Question 4: Is it permissible to have intercourse with a female captive? 

“It is permissible to have sexual intercourse with the female captive. Allah the almighty said: ‘[Successful are the believers] who guard their chastity, except from their wives or (the captives and slaves) that their right hands possess, for then they are free from blame [Koran 23:5-6]’…” 


“Question 5: Is it permissible to have intercourse with a female captive immediately after taking possession [of her]? 

“If she is a virgin, he [her master] can have intercourse with her immediately after taking possession of her. However, is she isn’t, her uterus must be purified [first]…”

“Question 6: Is it permissible to sell a female captive? 

“It is permissible to buy, sell, or give as a gift female captives and slaves, for they are merely property, which can be disposed of [as long as that doesn’t cause [the Muslim ummah] any harm or damage.”


“Question 7: Is it permissible to separate a mother from her children through [the act of] buying and selling? 

“It is not permissible to separate a mother from her prepubescent children through buying, selling or giving away [a captive or slave]. [But] it is permissible to separate them if the children are grown and mature.”

“Question 8: If two or more [men] buy a female captive together, does she then become [sexually] permissible to each of them?

“It is forbidden to have intercourse with a female captive if [the master] does not own her exclusively. One who owns [a captive] in partnership [with others] may not have sexual intercourse with her until the other [owners] sell or give him [their share].”


“Question 9: If the female captive was impregnated by her owner, can he then sell her?

“He can’t sell her if she becomes the mother of a child…”

“Question 10: If a man dies, what is the law regarding the female captive he owned? 

“Female captives are distributed as part of his estate, just as all [other parts] of his estate [are distributed]. However, they may only provide services, not intercourse, if a father or [one of the] sons has already had intercourse with them, or if several [people] inherit them in partnership.”


“Question 11: May a man have intercourse with the female slave of his wife? 

“A man may not have intercourse with the female slave of his wife, because [the slave] is owned by someone else.”

“Question 12: May a man kiss the female slave of another, with the owner’s permission?

“A man may not kiss the female slave of another, for kissing [involves] pleasure, and pleasure is prohibited unless [the man] owns [the slave] exclusively.”


“Question 13: Is it permissible to have intercourse with a female slave who has not reached puberty?

“It is permissible to have intercourse with the female slave who hasn’t reached puberty if she is fit for intercourse; however if she is not fit for intercourse, then it is enough to enjoy her without intercourse.”

“Question 14: What private parts of the female slave’s body must be concealed during prayer? 

“Her private body parts [that must be concealed] during prayer are the same as those [that must be concealed] outside [prayer], and they [include] everything besides the head, neck, hands and feet.”


“Question 15: May a female slave meet foreign men without wearing a hijab? 

“A female slave is allowed to expose her head, neck, hands, and feet in front of foreign men if fitna [enticement] can be avoided. However, if fitna is present, or of there is fear that it will occur, then it [i.e. exposing these body parts becomes] forbidden.”

“Question 16: Can two sisters be taken together while taking slaves?

“It is permissible to have two sisters, a female slave and her aunt [her father’s sister], or a female slave and her aunt [from her mother’s side]. But they cannot be together during intercourse, [and] whoever has intercourse with one of them cannot have intercourse with the other, due to the general [consensus] over the prohibition of this.”


“Question 17: What is al-‘azl?

Al-‘azl is refraining from ejaculating on a woman’s pudendum [i.e. coitus interruptus].” 

“Question 18: May a man use the al-‘azl [technique] with his female slave? 

“A man is allowed [to use] al-‘azl during intercourse with his female slave with or without her consent.”


“Question 19: Is it permissible to beat a female slave? 

“It is permissible to beat the female slave as a [form of] darb ta’deeb [disciplinary beating], [but] it is forbidden to [use] darb al-takseer [literally, breaking beating], [darb] al-tashaffi [beating for the purpose of achieving gratification], or [darb] al-ta’dheeb [torture beating]. Further, it is forbidden to hit the face.”

Question 20: What is the ruling regarding a female slave who runs away from her master? 

“A male or female slave’s running away [from their master] is among the gravest of sins…”


“Question 21: What is the earthly punishment of a female slave who runs away from her master? 

“She [i.e. the female slave who runs away from her master] has no punishment according to the shari’a of Allah; however, she is [to be] reprimanded [in such a way that] deters others like her from escaping.”

“Question 22: Is it permissible to marry a Muslim [slave] or a kitabiyya [i.e. Jewish or Christian] female slave?

“It is impermissible for a free [man] to marry Muslim or kitabiyat female slaves, except for those [men] who feared to [commit] a sin, that is, the sin of fornication…”


“Question 24: If a man marries a female slave who is owned by someone else, who is allowed to have intercourse with her? 

“A master is prohibited from having intercourse with his female slave who is married to someone else; instead, the master receives her service, [while] the husband [gets to] enjoy her [sexually].”

“Question 25: Are the huddoud [Koranic punishments] applied to female slaves? 

“If a female slave committed what necessitated the enforcement of a hadd [on her], a hadd [is then] enforced on her – however, the hadd is reduced by half within the hudud that accepts reduction by half…”

Screen shot 2014-11-03 at 8.16.44 AM.JPG

“Question 27: What is the reward for freeing a slave girl?

“Allah the exalted said [in the Koran]: ‘And what can make you know what is [breaking through] the difficult pass [hell]? It is the freeing of a slave.’ And [the prophet Muhammad] said: ‘Whoever frees a believer Allah frees every organ of his body from hellfire.'”       


NSA Controls Population Through Data Collection

War Clouds

The world is changing and becoming even more dangerous -- in a way we've seen before.

In the decade before World War I, the near-hundred-year European peace that had followed the fall of Napoleon was taken for granted. Yet it abruptly imploded in 1914. Prior little wars in the Balkans had seemed to predict a much larger one on the horizon -- and were ignored.

The exhausted Austro-Hungarian and Ottoman empires were spent forces unable to control nationalist movements in their provinces. The British Empire was fading. Imperial Germany was rising. Czarist Russia was beset with revolutionary rebellion. As power shifted, decline for some nations seemed like opportunity for others.

The same was true in 1939. The tragedy of the Versailles Treaty of 1919 was not that it had been too harsh. In fact, it was far milder than the terms Germany had imposed on a defeated Russia in 1918 or the requirements it had planned for France in 1914.

Instead, Versailles combined the worst of both worlds: harsh language without any means of enforcement.

The subsequent appeasement of Britain and France, the isolationism of the United States, and the collaboration of the Soviet Union with Nazi Germany green-lighted Hitler's aggression -- and another world war.

We are entering a similarly dangerous interlude. Collapsing oil prices -- a good thing for most of the world -- will make troublemakers like oil-exporting Iran and Russia take even more risks.

Terrorist groups such as the Islamic State feel that conventional military power has no effect on their agendas. The West is seen as a tired culture of Black Friday shoppers and maxed-out credit card holders.

NATO is underfunded and without strong American leadership. It can only hope that Vladimir Putin does not invade a NATO country like Estonia, rather than prepare for the likelihood that he will, and soon.

The United States has slashed its defense budget to historic lows. It sends the message abroad that friendship with America brings few rewards while hostility toward the U.S. has even fewer consequences.

The bedrock American relationships with staunch allies such as Australia, Britain, Canada, Japan and Israel are fading. Instead, we court new belligerents that don't like the United States, such as Turkey and Iran.

No one has any idea of how to convince a rising China that its turn toward military aggression will only end in disaster, in much the same fashion that a confident westernizing Imperial Japan overreached in World War II. Lecturing loudly and self-righteously while carrying a tiny stick did not work with Japanese warlords of the1930s. It won't work with the communist Chinese either.

Radical Islam is spreading in the same sort of way that postwar communism once swamped postcolonial Asia, Africa and Latin America. But this time there are only weak responses from the democratic, free-market West. Westerners despair over which is worse -- theocratic Iran, the Islamic State or Bashar al-Assad's Syria -- and seem paralyzed over where exactly the violence will spread next and when it will reach them.

There once was a time when the United States encouraged the Latin American transition to free-market constitutional government, away from right-wing dictatorships. Now, America seems uninterested in making a similar case that left-wing dictatorships are just as threatening to the idea of freedom and human rights.

In the late 1930s, it was pathetic that countries with strong militaries such as France and Britain appeased fascist leader Benito Mussolini and allowed his far weaker Italian forces to do as they pleased by invading Ethiopia. Similarly, Iranian negotiators are attempting to dictate terms of a weak Iran to a strong United States in talks about Iran's supposedly inherent right to produce weapons-grade uranium -- a process that Iran had earlier bragged would lead to the production of a bomb.

The ancient ingredients of war are all on the horizon. An old postwar order crumbles amid American indifference. Hopes for true democracy in post-Soviet Russia, newly capitalist China or ascendant Turkey long ago were dashed. Tribalism, fundamentalism and terrorism are the norms in the Middle East as the nation-state disappears.

Under such conditions, history's wars usually start when some opportunistic -- but often relatively weaker -- power does something unwise on the gamble that the perceived benefits outweigh the risks. That belligerence is only prevented when more powerful countries collectively make it clear to the aggressor that it would be suicidal to start a war that would end in the aggressor's sure defeat.

What is scary in these unstable times is that a powerful United States either thinks that it is weak or believes that its past oversight of the postwar order was either wrong or too costly -- or that after Afghanistan, Iraq and Libya, America is no longer a force for positive change.

A large war is looming, one that will be far more costly than the preventative vigilance that might have stopped it.

Credit to TownHall.com

I Escaped The Illuminati

The Shinar Directive...Part One

As far back as the beginning of time and within every major culture of the ancient world, an astonishingly consistent story is told of “gods” that descended from heaven and materialized in bodies of flesh. From Rome to Greece—and before that, to Egypt, Persia, Assyria, Babylonia, and Sumer—the earliest records of civilization tell of the era when powerful beings known to the Hebrews as Watchers and in the book of Genesis as the Benei ha-Elohim (“Sons of God”) mingled with humans, giving birth to part-celestial, part-terrestrial hybrids known as Nephilim. The Bible says this happened when men began to increase on earth and daughters were born to them. When the Sons of God saw the women’s beauty, they took wives from among them to sire their unusual offspring. This event is recorded in Genesis 6:4 this way:
There were giants in the earth in those days; and also after that, when the sons of God came in unto the daughters of men, and they bare children to them, the same became mighty men which were of old, men of renown.
When this Scripture is compared with other ancient texts, including Enoch, Jubilees, Baruch, Genesis Apocryphon, Philo, Josephus, and others, it unfolds to some that the giants of the Old Testament, such as Goliath, were the part-human, part-animal, part-angelic offspring of a supernatural interruption into the divine order of the species. The apocryphal Book of Enoch gives a name to the angels involved in this cosmic conspiracy, calling them “Watchers.” We read:
And I Enoch was blessing the Lord of majesty and the King of the ages, and lo! the Watchers called me—Enoch the scribe—and said to me: “Enoch, thou scribe of righteousness, go, declare to the Watchers of the heaven who have left the high heaven, the holy eternal place, and have defiled themselves with women, and have done as the children of earth do, and have taken unto themselves wives: Ye have wrought great destruction on the earth: And ye shall have no peace nor forgiveness of sin: and inasmuch as they delight themselves in their children [the Nephilim], The murder of their beloved ones shall they see, and over the destruction of their children shall they lament, and shall make supplication unto eternity, but mercy and peace shall ye not attain.” (1 Enoch 10:3–8).
According to Enoch, two hundred of these powerful angels departed “high heaven” and used women (among other things) to extend their progeny into mankind’s plane of existence. Departing the proper habitation God had assigned them was grievous to the Lord and led to divine penalization. Jude described it this way:
[The] angels which kept not their first estate, but left their own habitation, he hath reserved in everlasting chains under darkness unto the judgment of the great day. (Jude 6)
Yet beyond such historical accounts from apocryphal, pseudepigraphic, biblical, and Jewish traditions related to the advent of the Watchers and the “mighty men” born of their union with humans, mythologized accounts say these “gods” used humans to produce demigods (half-gods). In fact, when the ancient Greek version of the Hebrew Old Testament (the LXX or Septuagint) was made, the word “Nephilim”—referring to the part-human offspring of the Watchers—was translated gegenes, the same terminology used by the Greeks to describe the Titans and other legendary heroes of partly celestial and partly terrestrial origin, such as Hercules (born of Zeus and the mortal Alcmena) and Gilgamesh (the two-thirds god and one-third human child of Lugalbanda and Ninsun).

Credit to Raiders News Update

Putin Prepares to Win While Obama Prepares to Surrender

Does anyone really think that any nuclear-armed nation, whether it would be the United States, China and especially Russia will ever accept defeat to a rival nation, in conventional warfare, without subsequently inflicting the maximum penalty on its opponent? There is little question in most experts minds that the loser of a “conventional” World War III will not hesitate to unleash its nuclear weapons as a last ditch means to “even the score”

Obama’s Complacency Is Our Number One National Security Concern

Forbes writer, James Conca, has expressed the view in a dramatic report that when it comes to matching the growing Russian military threat, that America’s most pressing concern is complacency. Conca noted that the recent reports that Russia has gained the upper hand in nuclear weapons capability against the United States, has been met with indifference from this administration.

Making matters worse, Conca observed that this current administration fired the one General who was going to shape up America’s Intercontinental Ballistic Missile command. Now he’s gone and our ICBM’s sit in less than a state of readiness.

Conca notes that even the U.S. State Department has acknowledged that not only has the the U.S. nuclear arsenal fallen behind Russia but so has basic U.S. military technology. The U.S. State Department admits that America is now the underdog should hostilities involving nuclear weapons between the two nations actually break out. Obama is out to lunch and seems oblivious to the threat. The Forbes investigation goes on to say that Russia is absolutely ready and their new long-range cruise missiles that are ready for mobile deployment by land or sea.

Hagel Speaks Out and Gets Fired

Defense Secretary, Chuck Hagel, is now gone from his position. Why? This is probably due to the fact that Defense Secretary Hagel stated that “routine neglect of our nuclear weapons programs over the years has compromised our ability to respond to an actual threat.” This is a clear indictment of the six year presidency of Obama and the fact that he’s done nothing to keep up with Putin. Shortly after this statement, Hagel was fired as Defense Secretary. Is there any doubt what team Obama is playing for?

Russia Withdraws From Nuclear Attacks
Putin announced his warlike intentions, last month, in that he plans to severely scale down nuclear security cooperation with the United States. Translation, Russia does not need, nor want, the protection it formerly achieved through limitations on nuclear weapons.

This aggressive posture, according to The New York Times, is seen as Russia’s way of saying that it requires no outside assistance in securing the country’s nuclear assets and network.

Or as observers would say, it could be Moscow’s strong message to the West and the United States in particular that it cannot be pressured about Ukrainian borders, where Russian troops are amassing by the tens of thousands.

Mutually Assured Destruction Is a Thing of the Past

Michael Snyder writing for The Right Side News exposed the fallacy that due to the outdated doctrine of ”mutually assured destruction,” Russia is opposed even to a nuclear confrontation. In fact, Snyder demonstrated that the opposite is true. A nuclear confrontation is something that Putin may not desire, but he is not backing down. The following five developments have been identified which indicate that Russia is fully intending on winning World War III.

1. Radar-beating missile delivery system.

2. Russia has spent nearly $72 billion on arms in 2011 and is planning on spending well over a half a billion dollars to upgrade its weapons systems by 2016 including the development of the ability to cripple America with cyber attacks.

3. Russia’s nuclear forces are turning mobile and the new stealth technology extends fromundetectable bombers to silent running nuclear submarines.

4. According to PRAVDA, Russia has 5,000 nuclear weapons of different tactical classes including Iskander warheads and torpedo, aerial and artillery warheads, all right next to Europe. The United States has reduced its nuclear arsenal from 31,000 (1967) to a mere 1,600. Obama has openly spoken of reducing our arsenal to 300 nuclear missiles.

5. According to The Financial Times, satellite killers were launched into orbit May of 2014.This move by the Russians, parallels what the Chinese have already accomplished and tested. The intent is to blind American forces on the battlefield and at sea.

6. Obama has continued to weaken U.S. nuclear forces through the removal Nineteen nuclear launch officers. This is not a scenario were the United States can simply say “next man up”. These are highly specialized positions requiring highly specialized training that can only be realized through extensive field experience.

Obama Continues To Poke a Stick In the Eye of the Bear

Obama continues to provoke Putin with needless sanctions which do nothing to address the crisis in Ukraine. Meanwhile, it has become clear that Putin is also planning a Red Dawn scenario for the United States. And of course, this would not be possible without the direct complicity of President Obama.

In conclusion, it is one thing to intellectually understand how Obama is destabilizing both the military and its leadership. However, it is emotionally earthshaking to be able to trace Obama’s deliberate treason toward to our national defense. From a military perspective, we are in grave danger and this will be the topic of the next part of this series.

Credit to Common Sense

Another Fabricated Jobs Report

Everything we hear from the US government, the puppet governments of its vassal states, and the presstitute media is a lie. Truth is the declared enemy of the West. Those who try to tell the truth do so at cost to themselves. These costs can range from exclusion and slander to watch lists to prosecution and imprisonment. Brave people like Julian Assange, Edward Snowden, William Binney, and Bradley Manning have paid an extremely high price for standing up for truth against evil.

The question is: Is truth more powerful than the sword or is truth just an inconvenience and a threat to a reassuring life of delusion?

Some readers tell me that having to face the truth saps their confidence in the future.

Others express their disgust with clueless, complacent and willfully ignorant Americans who even if they understood what was going on lack the courage to defend their civil liberties and the truth that is liberty’s foundation. As one put it, “People are victims until they know the truth, but when they learn the truth and remain victims they become volunteers.”

This site is for those who do not want to be deceived by lies and become volunteers.
It is your site. It depends on your support. My enthusiasm is determined by your enthusiasm.

Another Fabricated Jobs Report — Paul Craig Roberts

Update: Tyler Durden points out that income and payroll tax receipts do not support the job claims made for the 2014 economy: http://www.zerohedge.com/news/2014-12-07/something-stinks-inside-bls-jobs-data

Friday’s payroll jobs report is another government fairy tale or, to avoid polite euphemisms, another packet of lies just like the House of Representatives Resolution against Russia and every other statement that comes out of Washington.

Washington is averse to truth. Washington can only lie.

First let’s pretend that the 321,000 new jobs that the government claims the economy created in November are true, and let’s see where these jobs are.

Specialty trade contractors, which I think are home and office remodelers, accounted for 20,000 jobs. I doubt that people are putting money into houses and buildings that are worth less than the mortgage.

Manufacturing accounted for 28,000–a very high monthly figure for recent years, one that is unbelievable in view of the rise in the trade deficit and declines in consumer spending on furniture (-3.8%), major appliances (-8.3%), women’s apparel (-17.7%), and household textiles such as towels and sheets (-26.5%), and when US business investment consists of corporations repurchasing their own stocks.

The rest of the claimed jobs are in private domestic services, that is, they are third world jobs. Retail trade claims 50,200 and transportation and warehousing claims 16,700. These numbers are impossible to believe in view of the closings of middle class department stores and Black Friday and Cyber Monday sales flops.

Financial activities claims 20,000, most of which appear to be insurance related–perhaps the growth of Obamacare bureaucracy.

Professional and business services claims 86,000, a very large number for recent years. What are professional and business services?

Professional and business services are “accounting and bookkeeping services” (16,400 jobs)–a possible (temporary) increase as W2s for 2014 are coming due to be issued–and ”administrative and support services (40,600 jobs)–mainly temps.

Next we come to “health care and social assistance” with 37,200 jobs concentrated in “ambulatory health care services” and “social assistance.”

Then we have “food services and drinking places” with 26,500 claimed jobs.

Bringing up the rear is Government employment with 7,000 jobs.

What are we to make of these job claims?

It is unlikely that there were 26,500 new jobs for waitresses and bartenders when consumer spending on restaurants, alcohol, and entertainment declined by 3.8%, 4.5%, and 5.4%. http://www.zerohedge.com/news/2014-12-02/middle-class-spending-crash-explained Restaurants and bars do not hire more people when demand is dropping.

No one hired 50,200 new retail clerks when anchor stores of shopping centers are closing and strip malls stand abandoned in unfinished construction.

If we are sufficiently gullible to believe the BLS jobs report of 321,000 new jobs in November, we should be disturbed that the vast bulk of the jobs are third world domestic service jobs that do not produce exports to offset the massive trade deficit of the US offshored economy. Moreover, the majority of these jobs do not produce sufficient income for a person to establish a household or qualify for a mortgage or car loan.

America is bleeding herself dry so that corporate executives and shareholders can live the high life on bonuses and capital gains resulting from exploited foreign labor and the destruction of the American middle class.

Now, let’s move on to other conclusions. John Williams, an expert on government statistical data, points out, ignored of course by the presstitute media, that full-time employment in America today is 2,400,000 less than employment in 2007.

What this means is that the US is short 2.4 million jobs from 7 years ago. So how is there an ongoing recovery? In the meantime the population has grown.

Remember, the official unemployment rate is low, because discouraged workers who cannot find jobs are not counted as unemployed. To be counted as unemployed, you have to be actively searching for a job. As job search is expensive and unemployed people have no money, when job search produces no results people give up. They are unemployed but not counted as such.

John Williams points out that most of the 321,000 new jobs were created by manipulating seasonal adjustments and by the birth-death model that arbitrarily adds jobs that the BLS model assumes were created that month. The BLS never provides any proof of those phantom jobs.

John Williams also points out that many of the payroll jobs are part-time jobs and one person often has several jobs. As no one can live on one part time job, many households and individuals are sustained by multiple part-time jobs. The jobs are not a measure of the number of employed, because many persons hold several jobs in order to make ends meet.

Keep in mind that much of the increased activity in the highly touted payroll employment numbers is tied to multiple part-time jobs held by individuals. In other words there is double and triple counting of those employed.

The alleged “recovery” is based on severely understated inflation. When an item in the inflation index rises in price, a lower priced item is substituted for it or the price increase is called a “quality improvement” and not registered in the inflation index. This keeps the official inflation rate low. Therefore, when nominal GDP is deflated by the understated inflation index, real GDP growth is the result. The growth is an illusion. In fact, the “real” GDP growth is merely the non-measured price rises or inflation that is not captured by the erroneous methodology.

There is practically no official inflation, but somehow the price of ground beef rose 17 percent during the year. http://www.globalresearch.ca/low-inflation-the-price-of-ground-beef-has-risen-17-percent-over-the-past-year/5409588 Presstitutes and PR flacks explain away the price rise as the result of drought while others blame the price increase on smaller beef herds.

With inflation outpacing the growth of real incomes, consumer purchasing power is falling. Real spending fells with the fall in purchasing power. John Williams’ inflation estimates are much higher than the government’s and indicate that the bulk of the population is experiencing extreme financial hardship.

An economy based on consumer spending cannot grow when real consumer incomes and/or consumer credit do not grow. As these are not growing, the “recovery” is a fiction created by a measure designed to understate inflation.

In the 21st century “democratic” Western policymakers have brought about an extraordinary concentration of income and wealth in elite hands, while subjecting the vast majority of Western populations to financial stress.

The ladders of upward mobility have been taken down. A new aristocracy of wealth has been created along with a militarized police state to defend the aristocracy’s interests. A political-economic-social system has been created in the West in which only the elite have a stake.

This stake is based on a house of cards. The utterly corrupt central banks of the West, a collection of gangsters, have kept the house of cards standing longer than I thought possible. But it will be a historical first if a house of cards stands forever. The derivatives exposures of four American banks exceed by several times the world GDP. There is no way these exposures are covered by the banks’ capital or by their depositors deposits.

Wall Street and the presstitute media have manufactured the impression that all is well, and those fools driven by greed have gone along with the manufactured impression. But the facts are otherwise.

Credit to Paul Craig Roberts

New Law Would Make Taxpayers Potentially Liable For TRILLIONS In Derivatives Losses

Derivatives - Banksters - Public Domain
If the quadrillion dollar derivatives bubble implodes, who should be stuck with the bill?  Well, if the “too big to fail” banks have their way it will be you and I.  Right now, lobbyists for the big Wall Street banks are pushing really hard to include an extremely insidious provision in a bill that would keep the federal government funded past the upcoming December 11th deadline.  This provision would allow these big banks to trade derivatives through subsidiaries that are federally insured by the FDIC.  What this would mean is that the big banks would be able to continue their incredibly reckless derivatives trading without having to worry about the downside.  If they win on their bets, the big banks would keep all of the profits.  If they lose on their bets, the federal government would come in and bail them out using taxpayer money.  In other words, it would essentially be a “heads I win, tails you lose” proposition.
Just imagine the following scenario.  I go to Las Vegas and I place a million dollar bet on who will win the Super Bowl this year.  If I am correct, I keep all of the winnings.  If I lose, federal law requires you to bail me out and give me the million dollars that I just lost.
Does that sound fair?
Of course not!  In fact, it is utter insanity.  But through their influence in Congress, this is exactly what the big Wall Street banks are attempting to pull off.  And according to the Huffington Post, there is a very good chance that this provision will be in the final bill that will soon be voted on…
According to multiple Democratic sources, banks are pushing hard to include the controversial provision in funding legislation that would keep the government operating after Dec. 11. Top negotiators in the House are taking the derivatives provision seriously, and may include it in the final bill, the sources said.
Sadly, most Americans don’t understand how derivatives work and so there is very little public outrage.
But the truth is that people should be marching in the streets over this.  If this provision becomes law, the American people could potentially be on the hook for absolutely massive losses
The bank perks are not a traditional budget item. They would allow financial institutions to trade certain financial derivatives from subsidiaries that are insured by the Federal Deposit Insurance Corp. — potentially putting taxpayers on the hook for losses caused by the risky contracts.
This is not the first time these banks have tried to pull off such a coup.  As Michael Krieger of Liberty Blitzkrieg has detailed, bank lobbyists tried to do a similar thing last year…
Five years after the Wall Street coup of 2008, it appears the U.S. House of Representatives is as bought and paid for as ever. We heard about the Citigroup crafted legislation currently being pushed through Congress back in May when Mother Jones reported on it. Fortunately, they included the following image in their article:
Derivatives Bill From Liberty Blitzkrieg
Unsurprisingly, the main backer of the bill is notorious Wall Street lackey Jim Himes (D-Conn.), a former Goldman Sachs employee who has discovered lobbyist payoffs can be just as lucrative as a career in financial services. The last time Mr. Himes made an appearance on these pages was in March 2013 in my piece: Congress Moves to DEREGULATE Wall Street.
Fortunately, it was stopped in the Senate at that time.
But that is the thing with bank lobbyists.  They are like Terminators – they never, ever, ever give up.
And they now have more of a sense of urgency then ever, because we are moving into a period of time when the big banks may begin losing tremendous amounts of money on derivatives contracts.
For example, the rapidly plunging price of oil could potentially mean gigantic losses for the big banks.  Many large shale oil producers locked in their profits for 2015 and 2016 through derivatives contracts when the price of oil was above $100 a barrel.  As I write this, the price of oil is down to $65 a barrel, and many analysts expect it to go much lower.
So guess who is on the other end of many of those trades?
The big banks.
Their computer models never anticipated that the price of oil would fall by more than 40 dollars in less than six months.  A loss of 40, 50 or even 60 dollars per barrel would be catastrophic.
No wonder they want legislation that will protect them.
And commodity derivatives are just part of the story.  Over the past couple of decades, Wall Street has been transformed into the largest casino in the history of the world.  At this point, the amounts of money that these “too big to fail” banks are potentially on the hook for are absolutely mind blowing.
As you read this, there are five Wall Street banks that each have more than 40 trillion dollars in exposure to derivatives.  The following numbers come from the OCC’s most recent quarterly report (see Table 2)
JPMorgan Chase
Total Assets: $2,520,336,000,000 (about 2.5 trillion dollars)
Total Exposure To Derivatives: $68,326,075,000,000 (more than 68 trillion dollars)
Total Assets: $1,909,715,000,000 (slightly more than 1.9 trillion dollars)
Total Exposure To Derivatives: $61,753,462,000,000 (more than 61 trillion dollars)
Goldman Sachs
Total Assets: $860,008,000,000 (less than a trillion dollars)
Total Exposure To Derivatives: $57,695,156,000,000 (more than 57 trillion dollars)
Bank Of America
Total Assets: $2,172,001,000,000 (a bit more than 2.1 trillion dollars)
Total Exposure To Derivatives: $55,472,434,000,000 (more than 55 trillion dollars)
Morgan Stanley
Total Assets: $826,568,000,000 (less than a trillion dollars)
Total Exposure To Derivatives: $44,134,518,000,000 (more than 44 trillion dollars)
Those that follow my website regularly will note that the derivatives exposure for the top four banks has gone up significantly since I last wrote about this just a few months ago.
Do you want to be on the hook for all of that?
Keep in mind that the U.S. national debt is only about 18 trillion dollars at this point.
So why in the world would we want to guarantee losses that could potentially be far greater than our entire national debt?
Only a complete and utter fool would financially guarantee these incredibly reckless bets.
Please contact your representatives in Congress and tell them that you do not want to be on the hook for the derivatives losses of the big Wall Street banks.
When this derivatives bubble finally implodes and these big banks go down (and they inevitably will), we do not want them to take down the rest of us with them.
Credit to Economic Collapse