Friday, September 25, 2009
The Dow Jones Stock Bubble
Today is September 25, 2009, and as this essay is written the Stock market is moving in the direction of 10,000, but one has to wonder what is driving it?
Certainly, it is not consumer spending, the reality is consumers, who make up 70 percent of the economy, have had to cut “way” back on buying because they have no money to spend, no savings left, and their Jobs continue to disappear.
Statistics show that one out of every six Americans, almost 17% of the workforce, is either unemployed or underemployed. This does not take into account those that are no longer collecting unemployment or other financial aid. Home values have fallen close to 50% of their 2007 high, and can no longer maintain the economy through refinancing. Indeed they are being foreclosed at record rates still.
Even more curious, how can the Dow be so far up when the government is crushing the economy with its huge deficits, and businesses are closing also at alarming record rates?
The explanation is simple. The Government, aided by Wall Street, is creating a stock market bubble through its debt financing, which is helping the bottom line of big business, including Health Care, Oil, and of course the Banks, part of the bubble is being created by black ops funding, CIA and Intelligence community investments.
The problem is however, this expanded government, isn't doing anything for the average working American, who continues to lose their job at record rates, whose belts continue to tighten, and who are getting almost nothing out of the rising Dow because they own few if any stock at all.
The reader is reminded that while consumer spending is down, government spending is up, but what is government spending but forced taxation? In this case, the government is taking money from us, money that we don’t have, and using our “future income” to support them the Banks, and big business. In real terms the government is taking from the citizens, our private property, and transferring this, private property, our wealth to big business. A substantial violation of the notion the framers of the constitution intended to guard against.
In the Federal constitution, Amendment 5 and 14, the relevant part “nor shall private property be taken for public use, without just compensation” where is our just compensation? What is the benefit to us by saving the Banks, only to allow them to continue foreclosing on our homes? What is the benefit to the government’s using our assets to salvage Wall Street, and to allow these investment houses to lavish in their large bonus structures, while the population succumbs to poverty created by these very same bankers?
We the consumer are not reaping any benefit or advantage from this forced taxation, this transfer of our wealth, our jobs are declining, our homes are being foreclosed, outsourcing has become the American big business staple, and these executives are lavishing in large salaries and big bonuses. Where is our benefit in all of this?
Yes, Wall Street is making money and the stock market is booming, and it's all funded by government, taxpayer supported debt. No one is really producing anything of value, just shuffling paper while Wall Street takes its trade fee.
It’s only the global Bankers, the Entrenched Media, and the Military Establishments linked around the world, and the International Traders that are reaping the benefits of this forced extraction. The investor will be used, and discarded as the money flows upward into the hands of those entrenched in the system, that (1) percent at the top. It is not that the Dow is up because government is "helping out" the Mega Corp. It is that the Mega Corp is Plundering the public treasury. In other words, in addition to plundering us as individuals, these same predators are plundering all of us collectively. They will continue to succeed until the American people have enough and stand tall, demanding their rights, and requiring the government to return to our constitutional form.
Wall Street is in charge, of this and their lobbyists there is no question, but there is a question to be answered, why is this a secret, why it is that Wall Street is quietly in charge, much less very quietly so? Why not just come out and say so?
I will leave you with this daunting question, how are we solving the problem of “too big to fail” by encouraging firms allegedly “too big to fail” to get bigger.