Is Anti-Globalist the Same as Anti-Capitalist? And News at the end.

I had a couple of people tell me the same thing today. They said that they had heard that the wealthy were selling of their stocks and bonds. I asked if they knew what they were buying instead. I know the answer, they are buying large amounts of property, luxury yachts, overpriced art and other hard assets that are not gold. They are putting their money into things that will not be destroyed when the currencies crash. You might wonder why the yachts. That should be obvious, in a global world, they can just go to another country when one is hit by riots or other civil disturbances. That is what the Russians in Cyprus did.

Now lets talk about the difference between globalism and capitalism, they are not the same thing. Recently, I saw an article that called people protesting the G8 (a meeting of the top 8 economies) "anti-capitalist". It was quite misleading. Russia was communist for years and that did not stop the United States from being a capitalist economy. Heck, every country in the world could be capitalistic and it would not mean that we would have to be in a globalist system. The opposite is also true, the whole world could have communistic or socialistic or any other kind of istic economy and it still would not require a globalist format.

Globalism is about an end to national sovereignty. It is that simple. Now, you might think this is a good or bad thing; but, it has nothing to do with capitalism. The European Union is an attempt at creating a framework for globalism. As the Eurozone continues to fail the "leaders" are calling for the EU to be turned into a federation, something resembling states in the United States. In fact, they are already their with 80% or so of their laws being written by the EU in Brussels rather than by the participating nations.

Now lets look at what capitalism is. It is private ownership of the wealth of a nation and the ability to trade amongst one another. Dealing pot is capitalistic, selling sex is capitalistic, selling your children is capitalistic, even murder for hire is capitalistic and any hitman will tell you. The question becomes, should there be limits on how we conduct business and what we sell? Should the courts have to enforce contracts that are to do illegal acts? If so, then what laws can we have to protect anyone?

There is a new movie out called "The Purge", it is about a future where for one night a year, nothing is illegal and everyone is on their own. That would be the definition of pure capitalism. The media likes to determine how we will view events rather than just give us the facts anymore. The mainstream media has become the pimps for whoever pays them and it is a shame. Look how quickly the term "job creators" was universally adopted by the media. They are appealing to our belief that the system works as intended and it does not. The system is rigged to benefit those who are already rich.

My concept of capitalism is a system where everyone has a chance to succeed based on their efforts. Slavery can exist within a capitalistic system. You can be sold into slavery or even sell yourself into slavery in a true completely capitalistic society. What concerns me today is that the mainstream media seems to support this type of capitalism. In Pakistan people sell their children to Arabs to be camel jockeys (this is not joke and is very cruel), they sell their kids so they can eat and that their kids can eat.

The alternative to a world where anything goes and communism is as varied as you can imagine. Communism supposedly rewards everyone the same and that has a tendency to be unfair, yet, it is no more unfair than being sold into slavery. We can have a world with rules where we benefit those based on their efforts and willingness to risk their own money. Instead we have an economy where CEOs make their money by risking the investors money rather than there own. Heck, if they make a mistake they can get paid even better. Rewarding people for gaming or misusing the system is not capitalism, it is lawlessness.

Bloomberg - Traders Said to Rig Currency Rates to Profit Off Clients. If I pay someone to help me and instead they steal from me, is that capitalism or insanity? You may wish to think that the problem is one of morals and on a level it is; but, these people are taught that manipulating the system is their job and they are rewarded for doing so. Just consider the bonuses we paid to bankers AFTER their banks failed and we had to bail them out. Is that the type of capitalism you think we should support, one without rules. Greenspan reportedly believed in that type of capitalism and that is why it is claimed he did not want the derivatives market regulated. Well, that may or may not be his reason, I believe he is okay with an Globalism.

Yahoo - Reuters - Regulator gives big banks two years to push out swaps trading. As part of financial reform laws, big banks that received bailouts are supposed to stop making certain types of high risk investments and trades; but, we are going to give them two more years. What do you think they will do with the assets that they have to move out of the system in the next two years, do you think they will try and game the system again. They will and have already begun.

CNBC - Cramer: Stock Market 'Do Not Enter' Sign?. Somethings can only hidden for so long and even Cramer has to tell the truth sometimes or he would lose all credibility.

Yahoo - Business Insider - Central Banks May Finally Be Losing Control

Bloomberg - Eminent Domain Debate for Mortgages Revived by Fed Paper. So, why would cities and counties that claim to be in such dire straights want to buy up homes? Seems odd that one of the biggest proponents was San Bernadino when they also declared bankruptcy and then it turned out that they lied and could fund their pensions as I previously discussed and as was verified by Calpers? Well, by taking over the homes at a cut rate, they can then rent them out and create a revenue stream for the long term. The homeowners won't complain because it will artificially inflate the property value.

The International Monetary Fund plan called the "Chicago Plan Revisited" basically calls for eliminating all household debt, a reset if you will. In exchange, instead of buying your house, you merely pay the interest on the original loan for life. Isn't it interesting that many people had interest only loans for the first five years, we already know they can make that payment. You are freed from your "debt" because you will never own anything again. It is not capitalism and yet it is.

Here is how it could go down. Your local municipality will buy houses in foreclosure, you will be allowed to live their as long as you live and make the interest only payment. You will be required to maintain "your" property and will have to agree to keep up payments unless you lose your job or die or whatever else they consider to be a valid reason for leaving.

Now, timing for all of this I still do not know. We are seeing the market volatility that I had predicted and certainly the warning signs are all there. I cannot tell you exactly how it will all unravel or if it will take a month or two years. If I see someone building roads and utilities out to an area where there are no people, I know people are coming; but, when is much more tricky. I wish that I could say that it won't be for two years and maybe it will not. I wish I could tell you for sure that it will begin this month; but, remember even if it does, there are a whole lot of other pieces that will have to follow and that could take two years or more. Everything will not happen at once, markets will all see downturns in a fairly short period; but the actual implementation of the solution may take a bit and will.

Now lets try the Pimpernel tax model. What if we guaranteed everyone to live at the poverty level. Everyone would be guarenteed at least $20,000 if they at least worked or did community service, we would just provide it to the disabled, elderly or undesirable if they could not provide for themselves. We could make it more or less based on whatever was determined to be needed, we could base it on the number of people in the family and skew for the number that are capable of working. What about a system that ensured that everyone who was willing to work could have food and a place to live even if we didn't have a job for them? And when a job became available that they were capable of doing that did not involve something that might be found morally offensive to some, if they did not take the job, they would lose their benefits. I mention this because in some countries where prostitution is legal, welfare recipients were expected to take those jobs even if they found it against their beliefs. I wrote about that a long time ago; but, am not going to go back and find it.

What if everyone else was taxed 15% of all income that they made each year, not on their holdings, on their income regardless of where it came from. You know what, we could pay off the national debt in under ten years and keep private ownership of houses and everything else. Here is a video that you should watch, it is not long.

YouTube - A TED Talk on Income Inequality by Nick Hanauer

Interesting Movie and some news.

First up is the news, the markets continue to swing wildly across the world and there is more to come I believe.

Yahoo - Reuters - Analysis: Euro bailout Troika nears end of road with patchy record.

Yahoo - Reuters - Every Major Asset Class Is Overpriced: Analyst.

YouTube - The Encounter 2010 DVDRip Xvid AC3 Freebee. This is an interesting video; but, is about an hour and a half long. I hope some of you take the time to enjoy and consider it.

There is no Privacy on the Internet

Not at my best today; but, I wanted to post a couple of things. Well, I guess a CIA/NSA former employee and current contractor has exposed the fact that the U.S. government spies on and reads everything, every e-mail, every tweet, just everything that is on the internet. Yahoo - Reuters - U.S. snooping revelations cause trouble for allies. This is not news to me, in fact I have talked about it before and the person who helped design the program had previously come out and said that it was being used against Americans and everyone else.

You might notice that other nations leaders did not freak about our spying, because they knew we did it and we gave them access too. The Chinese know we monitor everything on the internet too and they do too. So why all of the revelations at the same time. We just had a judge say that the government has the right to monitor all calls and internet traffic. Why let you know that everything you do is monitored? Because once you are over the initial indignation, you will accept it. I grew up with the government monitoring me, I could care less on a personal level. I find it amusing; but, they had a reason for monitoring me. I don't like the idea of everyone else losing their illusion of privacy. It changes the way people view their lives.

In other news.

Associated Press - Report: US hasn't seen expected 'Great Recovery'

Yahoo - CNBC - Wild Swings? Emerging Currencies Have It Worst

Yahoo - CNBC - Can Japan's Nikkei Escape From the Bears?

Yahoo - CNBC - Risk Appetite Still Dire, Worst Ever: UBS CEO

Yahoo - CNBC - Market Pullback Could Finally be at Hand

Yahoo - CNBC - Yen Rally Sends Shock and Selling Through Markets

Long Island Press - U.S. Military ‘Power Grab’ Goes Into Effect - Pentagon Unilaterally Grants Itself Authority Over ‘Civil Disturbances’
U.S. Troops in Afghanistan (Photo: Senior Airman Sean Martin, U.S. Air Force). They want you to know that if there are civil disturbances, the military will take action. They want you to know that and they want you to feel comfortable with it. You see, we are going to have markets collapse and they want you to not panic or overreact.

Fox Business - Wall Street Zooms Higher as Traders Cheer Data

Well that is the news. Have a great week.

I told you to expect market volatility, don't fret about it.

The market is unstable to trick you, so that professional traders can make money off your mistakes. The markets are rigged, it is simply a fact. LIBOR was rigged and so is the stock market, insiders intentionally move the market to bottom feed off of it. The so called experts make money off telling you how to trade; but, the professionals know what you are being told too. The only way for small investors who are not connected to make money is to have long term goals and invest in companies that have a high underlying value and limited debt. Hang on tight, it is going to get even weirder in the days to come.

Are we a nation? New Libetarianism

Ron Paul said some things I agreed with and a whole bunch that I did not. He is an example of the Libertarians. It is a form of anarchy and just as useless. We used to say "United we stand, divided we fall". Now we say it is everyman for himself. That doesn't seem to be working for 99% of us. We have lost our sense of family and even of being in a committed lifelong relationship.

Yahoo - Big Data Download - Cato Institute: Why Outsourcing Is a Good Thing. The article and interview are junk. It came out that U.S. companies could be investing in America; but, are choosing to stockpile money and this is the response from the shills at the Cato Institute. What a surprise.

Lets look at it in the simplest of terms, should American companies seek to be part of America and help America or not? How bout this, should we be giving tax breaks to companies that are shipping jobs overseas? These people are not really Libertarians, they are just another form of Globalists. The guy from the Cato Institute even said as much, he claims to be all pro United States but then talks about how we have too much, how we are only 5% of the world. He also says that we don't ship jobs oversees for lower wages and less stringent rules. How can anyone treat him as honest or credible and then he spins a bunch of statistics and leaves out the truth. He states that foreign automakers and other foreign industry leaders pay 25% more than the average American gets in wages, he leaves out that they make considerably less than others working for American companies in the same industry.

Here is my question, is America better off by having high unemployment and having American companies move the industries that we created to other countries where the people are treated like complete cattle and paid a dollar a day? If what he was saying was true and we were going to other countries to help them then wouldn't we them to pay the same wages as we get when they go to outside countries and wouldn't we want them to make sure the factories that did work for them were as environmentally friendly as we require American companies to be. And Mr. and Mrs. Consumer, we you refuse to buy products that were produced with cheap labor and less environmental impact?

Not to let the left off. There are many young people who are both anti-Globalist and pro-Anarchy. Anarchy is the most extreme form of globalism. Either you believe in the nation state or you do not. If you do believe in the nation state then you must accept collectivism to some level. Do you want to have roads, sewers, public services, police, fire... Have we become so polarized and ridiculous that we cannot understand that no extreme is the answer and that it is a question of balancing interests. Maximizing personal freedom; but, not to the detriment of the community. Or, is there no community and just personal interest? Only evil people seek to divide and conquer.

216.95 drop in the Dow Jones, more to come

Pretty much what I have been telling you, extreme volatility and then we will see the big crash and it will be much bigger.

Telegraph - Global shock as manufacturing contracts in US and China
Manufacturing has begun to contract in the US and China for the first time since the Lehman crisis, raising fears of a synchronized downturn in the world’s two largest economies.

Not a lot of good signs out there. You might think I want to gloat over being right about these things; but, there is nothing to gloat over. What is coming is going to be bad and the solution will change your way of life.

UPDATE: It is just past 9 at night and I was looking at financial news when I noticed that all of the Asian stock exchanges were down. Lets see how Europe does overnight.

Yahoo - CNBC - Companies Spend Cash on Investors, Not Workers. An interesting article, companies are sitting on $1.8 trillion in cash and instead of investing in their companies, they are buying up their own stock. They are not interested in manufacturing or jobs, they are interested in short term gains for stockholders and longterm gains for their management.

CIM Group in the news

Yahoo - Business Wire - CIM Group Fundraises, But Not as Registered “Investment Advisor,” Says UNITE HERE. According to a group called "UNITE HERE", the CIM Group has not filed as an investment adviser. According to the article this is okay because they are a real estate investment firm. Now 28 of the 30 top real estate investment firms did submit the documents and register.

Why does this matter if it is not illegal. The reason is simple, they are heavily funded by public pensions. One would think that Calpers, Lacers and the other public pensions would require their real estate investment firms to be fully transparent. How transparent is CIM Group? Lets see, practically nothing is known about two of it's owners. There is practically no information on Mr. Shaul Kuba or Mr. Avi Shemesh. Their company controls, according to their website, over $9 billion in assets.