Middlebury Riots – a generation of daycare children?

Watching the latest Middlebury riots, the level of violence in our youth seems to have reached levels of entitlement without consequence. And this unruly behavior is rooted – at home – with parents. It is the parental responsibility to teach values and ethics to their children beginning in the home – so that they understand it is not tolerated, not permitted, and will have consequences. Unfortunately, it would seem that consequences in the home – in the schools – and now in the universities is non-existent.

Why?

Perhaps the correlation is that more and more our kids are not raised by parents, instead they are raised by institutions, as in DayCares. Not unlike the State raising children without moral boundaries, love, discipline, or virtue.

According to The National Center for Education Statistics, just 13% of children in the US get home-based relative care. This doesn’t mean a parent, it simply defers to ‘any relative’.

Twenty five years ago when daycares shifted from the helping hand to the prime parent, psychologists insisted there would be no ramifications. Instead they sought to encourage this altered state of the Family. They promoted daycares as a good, healthy, social environment. And they derided the home based mother as repugnant for holding their child back from an opportunity!

It’s much like Dr. Spock who decried that actually embracing or kissing your child could lead them into becoming a clingy cry=baby ninny. Or when our esteemed government told mother’s that formula was far superior to breast milk – and an entire generation was raised without antibodies to fight diseases.

We are now forced to live the consequence of this very stupid psychological mumbojumbo MESS.

New studies show that:

1) Children who attend daycare centers tend to exhibit more behavioral problems

2) Age of entry and quantity of time spent in daycare are directly correlated responses to the problem behavior

3) Children who spend more time in daycare more likely to exhinit negative behavior

4) Children in daycare during infancy linked to lower cognitive scores.

5) Extensive daycare experience associated with insecure attachment to mothers.

6) Parents who put their children in daycare are less likely to discipline and provide parental guidance to their children

7) Daycare children were more likely to have academic school problems, health problems as well as advanced behavioral problems.

OOPS! I guess all those expert psychologists from 25 years ago were all dead WRONG.

Further studies have shown that there is also greater inability to engage in a relationship. The new generation doesn’t want kids. They don’t want a family. Their entire world is conceived of self.   Another fabulous concept ingrained by the psychology kingdom. Self books, self need, self desire, pay attention to self, self is everything – until those selves become infatuated with nothing else.  It is an addiction – self absorption.

Daycare was not created to replace mom and dad, it was created to assist single mothers who needed to get off welfare and train in some employment capacity. But the media led us to believe that if the wealthy could have nannies, daycare was the middle class nanny so that moms could tend to ‘self’.

Growing up in a daycare is really not much different than growing up in an orphanage. Twelve hours each day under state rule, only to be taken home by a weary, exhausted mom who just wants to put their child to bed.  I remember when I had my daycare center and moms petitioned for me to have weekend overnights at the center for their children so they could go to bars, and parties and such…   I didn’t.

So if you want to know why these ‘children’ are now rioting at Berkeley, Ferguson, Middlebury, etc…, they have no discipline structure – and the Universities are so afraid they might lose money over disciplinary action, they fall further into an existential trap.

Odd Segway: Remember how the entitlers strove to shut down Ivanka Trump’s clothing line causing many department stores to pull her line? The retailers acted out of fear and succumbed to the bully tactics. But the result has been that her line is doing famously! And in the end, the retailers have lost sales , lost income, and lost respect as the majority spoke.

Imagine what support a university might find if the conservatives discovered that the school actually had values and consequences, and bullying, violent, bratty children – were no longer tolerated?

Federal Reserve Tyranny

The Telegraph is highlighting a story in which former Federal Reserve agent provocateur, Greenspan, denounces Trump, stating that he will return the US economy to 1970 levels, and stating that the EU has destroyed itself by supporting failing economies…

Of course this is the same Greenspan who was labeled the single handed catastrophe for a roller coaster economic joy ride during his tenure. To give him credit, maybe he feels he knows best based on the results of his abysmal failed decisions…

Specifically, Greenspan notes that ‘America’s huge debt pile’ can not withstand the Trump infrastructure policies. Well gee whilakers, has he been living in a vacuum? America’s debt was $2.34 trillion when Greenspan took over the Federal Reserve in 1987, rising to $8.5 trillion – an increase of just under 400% by the time he threw in his jacket – 2006.  After, during the reign of the Obama rule of order, the debt increased to $19.5 trillion – again more than doubling!

Why wasn’t Greenspan making any noise before? What policies led to an increase of 900%?  According to Greenspan it was all China’s fault…  Sound like a familiar game?  Blame?

According to some theories, the deficit as a percentage of GDP is more important than the actual debt, which measures the ability to payoff the debt. In addition, the Baby-Boomer generation was considered an economic boom as they created a Social Security Surplus from which the government borrowed to pay ‘other expenses’.  So according to the ‘government’, it ain’t so bad… really we promise…

But the age of the Baby-Boomers came to an end and government, for all their uncanny wisdom looked no further, didn’t plan ahead, didn’t think about their policies that would bring it all to a screeching halt.  And here we are – staring at a massive mess!

Over and over again we hear the reasoning Germany and Sweden give for allowing massive refugee’s into their hold – it’s to offset the diminishing population as childless couples became the norm after the Boomers and the economy is going to spiral and tank!   They need these young refugees to ultimately support their economies. Of course, they forgot to note that most of these refugees don’t want to work, aren’t qualified to work, have no language skills, and an agenda of ‘hate’.

As in – oops.

The Congressional solution?   Attack Social Security, of course!  Brilliant!   Increase the age of retirement, decrease the monthly payback of our money, and leave Congressional pensions alone and healthy.   YUM!   And a little icing is always in order –  give themselves a few raises as a pat on the back for their in-depth wisdom in coming up with this solution… while they whine that their meager salaries, benefits, pensions, and millions in assets cannot cover their day to day living…ta-da.

So what is Greenspan’s solution, this man of infinite knowledge?  He states that we should double or triple the capital requirements of banks so that they will be discouraged from making loans. Huh.  Isn’t that exactly what Obama did for eight years that created a vacuum of empty growth and the near decimation of the middle class?  Once again, the Wizard of Oz speaks behind the curtain of smoke and mirrors…

According to John Taylor, a former colleague of Greenspan, and a professor at Stanford, everything Greenspan did was the polar opposite of what he should have done. While Greenspan blamed China for his failed policies, Taylor blames – Greenspan.

According to Taylor, the boom-bust rollercoaster that Greenspan created could have been avoided if he had simply followed the methodology initiated by his predecessor.  Of course, there is the alternate theory that the Federal Reserve is really just a private boys club and should be eliminated altogether.

By comparison, the EU has the European Central Bank, which was only just established in 1998 to do what the Federal Reserve does in the US. As of today, their interest on reserves is -.4%, and their bank rate is 0%.   Sound like a winning strategy?

Despite it’s short life, the ECB is under considerable criticism for it’s lackluster performance, not to mention it’s controversial President, Mario Draghi. Previously from Goldman Sachs, a member of the Trilateral and Bildeberg group, a member of The Group of Thirty, and quite chummy with the Rockefellers, the cabal would seem to be a part of the shadow government, if not the leads.

FYI;  Bernanke, Greenspan, Volcker and Yellen were all chummy with the same cabal… ALL.

 

 

Trump’s China Policy = Anti-Globalization

Like most economic thesis, there exists the definition on paper, and the dichotomy of real life. Globalization, on paper, has some real benefits that could advance world economies as a whole, however, when placed in the hands of man, this same model is brimming with corruption.

It is this distinction that perhaps explains why Trump favors Russia while opposing China.   Russia opposes globalization because it saw the ramifications imposed by the Soros cabal in its attempt to infiltrate Russia’s economy.

“Where the money goes, so goes the power”.

Globalization is in reality a form of colonization.

Africa is the most obvious victim of the reality of globalization. On paper, when the money moves in the concept is to bring the level of the people to a heightened level of economic wealth.   The tag lines include;   Infrastructure Development, Jobs, and Greater Food Supply!   However, when these models moved into the African Land Grabs, they evicted the locals, brought in labor from outside, and exported the crops.

The people were actually worse off than before. And the ownership of land shifted to a global elite who then held greater access of control over the nation, ie, it isn’t Sudan any longer, in reality it is Open Society Foundation, or China, or US or Norway, or UK, or Saudi Arabia.

China is desperate. Their resources are nearing extinction and globalization is their bread and butter. In contrast, Russia is wealthy in natural resources and has managed to keep foreign nationals from breaking down that wall.   Trump’s proposal to befriend Russia holds many benefits including the shared ideology of anti-globalization philosophies.

Globalization was supposed to allow for les expensive exchange of goods, but in order to compensate for the loss of labor and manufacturing, 161 countries created the VAT tax on imports which in many countries is over 21%.   And while the cost of consumer goods is lower, the loss of jobs grows steadily higher. Less jobs, less wealth, more social entitlement necessary, more divisive attitudes, more anger.

Liberal agenda’s supported this trade-off because it buoyed personal gain, the greed factor inherent in globalization. In addition, globalization was the precursor to corporate emigration from the US as lower wages translated into bigger paychecks for CEO’s and CFO’s. Average CEO compensation compared to average worker wage has increased dramatically during this globalization transition, rising from an eighteen multiple to over 400x multiple.

The rich get richer.

Controlling the money is the key to controlling the people. That was the whisper behind the creation of the Federal Reserve, another globalization gift to the US.

China’s view of globalization is preeminent. Undoubtedly, the advancement has earned them greater wealth and super power status in a few short years. Since 1978, China’s GDP has grown at a massive 9.8% annually, while the US average is a piddlin’ 2.8% average.  Our net exports with China are a growing embarrassing deficit, and the benefit of less expensive goods is obviously, of little consequence to the wealth of Americans.

So why is Trump pro-Russia and anti-China?

The downward spiral that real globalization has wreaked upon the US economy, as opposed to the fancy writings on worthless paper that hype a failed policy that has created massive income disparity and loss of wealth!

De Blasio’s Blubbering Bumbles

Mayor De Blasio seems to be confident that he doesn’t need Trump, won’t abide by the rules, and will circumvent the law in order to maintain a healthy, wealthy and wise New York City bereft of Government subsidies…

The audited financial statements for fy 2015 say – Not So Much! Below is just a small fraction of the discrepancies:

  1. The audit found that DOE’s controls and management over its computer hardware were not sufficient to ensure that it could properly account for the computers it had purchased. DOE did not maintain a centralized inventory of computer hardware purchased from Apple and Lenovo. Further, DOE did not reconcile the individual DOE sites’ inventory records with its Asset Management System (AMS), the database used by DOE to record computer hardware delivered to DOE. Consequently, auditors could not rely on information in AMS, and the system could not properly identify where all of the computers paid for by DOE were located.
  2. An audit examined whether NYCHA had adequate controls in place to accurately monitor and track vacant apartments in its public housing developments the audit found that NYCHA had inadequate controls over the monitoring and tracking of its vacant apartments. NYCHA did not ensure that vacant apartments were repopulated with new tenants in a timely manner.
  3. The audit disclosed weaknesses in DHS’ oversight and controls over its emergency contracts. DHS did not have formal monitoring procedures, nor did it have sufficient evidence that oversight and monitoring activities for the contracts that were the subject of the audit took place. In addition, DHS personnel did not adequately review or check invoices and supporting documentation for accuracy prior to payment. Finally, emergency contract managers did not perform satisfaction assessments of shelter clients as required by the City’s PPB Rules Chapter 4, §4-01(e).
  4. The audit found that DCAS does not adequately account for and manage its inventory of City office space. The agency does not have a reliable computer system or an effective tracking tool to assist in processing moves and renovations, or with maintaining an inventory of all City office space.
  5. The audit determined that HRO failed to implement proper controls to ensure the appropriate, prompt and efficient delivery of services to applicants for benefits under the BIB Single Family Program. Specifically, HRO failed to effectively monitor the work of the multiple consultant companies hired to carry out the program. As a result, by December 31, 2013, seven months after the program began accepting applications and over a year after the storm devastated homes along the coast of New York City, only 960 of the roughly 20,000 program applicants had met with HRO to discuss the options available to them through the BIB program and zero applicants had actually received any program benefits.
  6. The audit found significant deficiencies in NYCHA’s internal procedures that resulted from management’s failure to institute adequate controls over inventory operations. Consequently, there is limited assurance that the inventory at the satellite warehouses and the development storerooms is adequately protected against misappropriation or theft.
  7. In the case of the City, liabilities and deferred inflows of resources exceed assets and deferred outflows of resources by $181.8 billion at the close of the most recent fiscal year,

Net Pension Liability for the City is $52 billion as of FY June 2015.

IN FY 2013, Federal aid to fund the NYC budget amounted to roughly $46 billion representing about 28% of their revenue.

Pensions and debt service amounted to over 21% of the annual budget…

30.3% of working families are 200% below the poverty rate, 22.2% of children in the city are in poverty, and 35% of single parent families live in poverty.

Is De Blasio’s Blubbering against Trump based on his own successes? Obviously not, yet he threatens to extend the deficit hole of New York City by forfeiting 28% of the City’s revenue base so he can personally fund abortions, pensions, Medicaid, and HUD housing deficiencies…

Stupid Is As Stupid Does…

China Trade vs Trump: Never Underestimate your Opponent

We are witnessing a phenomenal shift in world economic and military priorities – and it will rock the axis!

While old schoolers, McCain and Hillary Democrats continue to scream about the evil of Russia, the business climate is shifting and the once very reserved Xi Jinping, is showing cracks.

Turning on a dime, Trump is focusing on economic drives instead of military regime and war. For decades the US has concentrated on the military cockfight that has been endless since WWI. Instead of building, we have been massively destroying. In the meantime, China was able to quietly and slowly run the race of the Tortoise and the Hare.   They had no interference. And the smug win is now on a precipice that could revolutionize the future!

That being said, there is a delicate balance. However, what Trump is advocating is a new Power strategy, a new Power broker, and an Offensive Action instead of the whiny defense we’ve been playing. Xi’s response shows his weakness. Warning Trump to maintain status quo, warning Trump to back off, “warning Trump” is not going to win points.

While the defensive argument focuses on Treasury Notes and a Trade Balance, our trade balance operates at a massive deficit each and every year. That isn’t working! Instead, focusing on the offensive, China has a tremendous (Yuuuge) fresh water deficiency, and oil scarcity; two highly necessary commodities that support not just trade but sustenance.

China is the third largest importer of US goods topping out at $380.8 billion in 2016 according to government reports. However, what is more important is the deficit of trade with China which is consistently 400%!   That means that China needs the US 4 times more than the US needs China…   And Xi, is nervous.

Since 2003, food exports from the US to China have risen 500%. Over 20% of China’s farmland has been polluted by industrial waste. Even more crucial is the fact that China has to import about 40% of it’s agriculture water needs.   But it isn’t just agri related, China imports bottled water from Taiwan, South Korea, the US and a smaller portion from Canada.

Water is Gold.

Does this make China our new enemy? NO! It simply means that recognizing a shift in priorities, toward better trade pacts, may not be what China – wants – but it will create a true re-alignment of trade balance that alleviates the ridiculous deficit we have made our norm.

But even more fun is the fact that a Trump alliance with Russia goes against every grain of George Soros and his cabal of World Order philanderers. It means that the entire chaos agenda, racial divide and terrorist rise in order to create a destroyed world from which a new world can rise – may have just been decimated.   And The Hunger Games? Simply a fantasy future, and not the destiny direction Soros and Hillary fought for so adamantly.

China, Soros, Rothschilds? Take heed your own philosophy, Sun Tzu’s, The Art of War, “never underestimate your opponent”.

Negotiation not Threats and Warnings will be the new norm!

Politicians Move Over

My daughter-inlaw’s doctor is retiring this year. Not because he wants to, but because it just isn’t worth it any more. He claims his income has barely changed since the 1980’s! Costs have risen exponentially. Insurance, rent, equipment he can’t afford. And in doing a bit of research, I find he is absolutely right!

While the increase for primary care and ob-gyn’s flattened to a growth rate of just 9% over the last three decades – total, malpractice insurance has taken a heavy toll with rates running as low as about $15,000 annually, to over $120,000.   Beaten up by lawyers and insurance companies, doctors are calling it quits.

Slamming doctors for gouging their patients on their $150,000 salary, we fail to even flinch over the compensation package for United Healthcare’s CEO who made $66 million in 2014 (this doesn’t even touch the other executives). That would cover 440 doctors salaries per year… Of course, United is whining about losing money… despite health insurance premiums rising about 300% over the last decade.  Sounds like massive mismanagement to me.

Add to the fray the burnout rate for doctors in the US and the numbers are staggering, ranging from 40% to 53%! In addition, in a survey they stated that the number one cause of their burnout and bias was that their patient had emotional problems including maligning the doctor, demanding drugs, and entitlement. The second cause of burnout was patient obesity, third was ability to comprehend or intellectual barriers.

In the US, 33% of doctors are over 50 and 25% are over 60. The profession that was about ‘helping people’ has churned into a cog of assembly line medical practices dictated by insurance companies, pharma companies and regulators. As a result, a massive shortage is predicted to take hold in the next 3-5 years.   Sixty percent of doctors predict that the entire practice of medicine is in jeopardy.

While nurses and PA’s were supposed to alleviate the pressure and load, they are reporting equal burnout themselves. As more doctors retire, those left will be handed an even heavier burden, raising their burnout, and the domino effect could conceivably spiral out of control.

Taking with them will be the malpractice attorneys who have a smaller base to sue in order to provide their income, raising the bar for higher value lawsuits, higher malpractice premiums, and… implosion.

This is what happens when politicians run countries instead of businessmen. I am reminded of a time when my son’s teacher marked him an F because he left his paper in his locker and she refused to let him get it. When I challenged her decision, a board of teachers faced me off and told me they were just teaching him a lesson of how life worked in the real world work force…

Of course, none of these ‘teachers’ had spent one day in the real world work force or they would have known that a boss would NEVER fire an employee who left their briefcase in the car – they would simply groan and tell them to retrieve it – like any normal human being!

Unfortunately, when you work for the politicized government, it would seem that normalcy is left at the door.

Even Sarah Palin’s ridiculous tantrum over Trump giving a tax break to one company in order to entice them to stay in the US, was rife with political mentality. She would prefer that Trump follow the dictum of rules that requires years if not decades to change…while giving lobbyists a chance to make any bill impossible to pass as they load it down with thousands of political additives – a Molotov cocktail.

China’s military spending is massively dwarfed by the US, which doesn’t include NATO – 400-500% greater! What do they do with their surplus? Expand their economy through business relations. Ditto – Russia. So while our own economy is drained, the very competitors we condemn are allowed to grow exponentially.

Business people understand what Trump is doing, politicians don’t. And politicians have created the massive mess we are in today – and that would include both parties.

Breitbart vs Kelloggs – WAR

Kelloggs CEO, John Bryant, has announced that Breitbart News does not uphold to their ‘value structure’ and therefore they will no longer advertise with them… However, they have no problem employing children as young as eight years old to work in hazardous conditions in their Indonesian plant…according to Amnesty International.

Of course, the actions of the CEO in making a personal statement about advertising that has now caused the stock to drop, sales to be boycotted, and revenue to fall, could be cause for a class-action lawsuit by shareholders. Was he acting for himself? Or for the company and his duty to his shareholders?

Stupid is as stupid does.

Bryant, an Australian, was supposedly acting on the dictum of his Master, George Soros.

Of course, it wouldn’t be the first class-action lawsuit against the company since Bryant was CEO. In 2014, they settled a suit due to false and misleading labeling on their Kashi Brand which will ladeled with chemicals including; pyridoxine hydrochloride, calcium pantothenate, hexane-processed soy ingredients, ascorbic acid, glycerin and sodium phosphate. Thought that Kashi was pure and natural?

In 2013, they were sued for false advertising – and lost. Tch. Tch.

There was a five year wage class-action suit they lost in 2013, and twice they were ordered to pull products from the shelves, once for metal fragments found in the food and another for the presence of 2-methylnaphthalene in the packaging.

OXFAM has asked shareholders to pressure Kelloggs to cease and desist from their deforestation policies, and for their human rights violations at their factories in Thailand and Tennessee, where conditions are considered ‘deplorable’.

Apparently, these issues pale compared to the atrocities of Breitbart News which has … reported from a conservative profile…

They have come under continued media scrutiny for their high sugar content and massive use of high fructose corn syrup in their product lines. The two main ingredients of their cereals are typically sugar and Monsanto corn.

Worse: While Bryant was CEO, between 2013 and 2015 Operating Profit tanked 62%, per share value tanked 65%, and the number of employees rose by 10%.   And during his tenure as CEO (since 2011), Bryant’s compensation package has risen by 50% to a whopping figure of about $10million in 2015!

The Kellogg Foundation was a financial supporter of Black Lives Matter, and has ties back to the Clinton Foundation through a web of tentacles strung through the American India Foundation for which Billy is an honorary Chairman. The AIF was cited for illegally raising political contributions on behalf of Clinton without having the authority to do so as it was not properly registered. The Kellogg Foundation, which is the largest institutional owner of Kellogg shares, has also been a major donor to the Soros Open Society Foundation.

Bryant currently holds about 296,000 shares of Kelloggs via Direct and Indirect ownership, at a value of about $72 per share – for a total value of $21,331,000. For the previous three years, as of 2015, Mr. Bryant sold off Kellogg stock options for over $25.4million, and sold $78million in stock, and $7.2million in equity grants for a whopping $111million pocketed.

Not a bad haul for someone dedicated to ethical and corporate values and responsibility…awww shucks!

Fracking – Killing Our Planet… Softly

Between 1847 and 1994 Texas experienced 110 earthquakes, or roughly less than 1 per year. So far this year there have been 66 according to Earthquake Tracker.

In 2015, Oklahoma experienced 907 earthquakes, in 2014 there were 585 and in 2013 there were 109. Between 1978 and 1999 the average number of quakes per year was 1.6.

Between 1915 and 2015, Colorado had about 394 earthquakes, or about 4 per year. This year we have had 25… so far.

While the media calls them ‘man-made’, they refuse to call them for what many of them are, a consequence of wastewater injections from fracking and oil. It’s kind of like calling Islamic terrorists, hooligans who just need a hug. And yet our esteemed Climate Crucifiers have no problem attributing global warming to every person on this planet. Why the hypocrisy?

The 300,000 fracking wells in the US currently provide 67% of all our natural gas needs. But it comes at a cost that may or may not out weigh the benefits. Wastewater is injected into the ground, but this injection is filled with volatile chemicals that are considered ‘trade secrets’ by the industry… Really? Upwards of 40,000 gallons of chemicals are used per fracking and include up to 600 different chemicals in the fracking fluid. Some of those include; benzene, toluene, ethylbenzene, carbon monoxide, nitrogen oxides and xylene. All of which are considered hazardous and carcinogenic causing cancer, organ damage, nervous system disorders, birth defects and death. Methane Gas is by far considered to cause the greatest damage to the environment and is a by-product of fracking. Methane Gas is considered to be the main cause of ‘man-made climate change, ie global warming’. That would mean if the climate crucifiers really want to halt global warming they need to add wastewater injections to the modus – something they will never do.

Some of the chemicals are rather funny given their commercial use: wood parquet adhesive, stain remover, deodorant, hair conditioner, varnish, volumizing conditioner, sunscreen, lotion, dog shampoo, tire repair, roach killer, haircolor shine, etc… So if my hair conditioner can help to create earthquakes, I think I need to consider what it is doing to my scalp! YUCK.

The earth is angry!

But even this doesn’t compare to the amount of precious water that is expended in order to supply us with natural gas – low estimates of 1200 gallons to high estimates of 9.6 million gallons of water per well, depending on the location. Given water is by far more valuable than natural gas, why are we continuing to deplete this most precious resource?   Water and droughts are a world concern.  Oil land natural gas are not.  While we need oil and gas for nearly everything in a developed society, we can not survive at all – without water.  There is a difference.

But then it becomes clear: we ‘export’ more natural gas than we import – why would we export at all if we don’t have enough to supply households 100%? Because the price paid by various countries is considerably higher than the cost.  As the saying goes, money is not the root of all evil, but it sure can make some dervish devils out of its holders.  Balance could be a better criteria.  Tell the truth!  If the reasoning is an 800% profit margin then don’t tell us it is energy independence!. 

Wastewater injections are not just a natural gas phenomena, oil wells are a culprit as well.  Find an alternative?  The current injection method is not what was used ’50 years ago’, and the current number of wells is not ‘what it was 50 years ago’!  Multitudes magnified thousands fold – do make a difference in the outcome!  Fracking over known fault-lines – isn’t terribly conscientious.

Despite the drop in the price of natural gas over the decade, the industry is not too nervous about their profit margin given that We The People continue to subsidize the oil and gas industry to the tune of $4.8 billion per year, most of which goes to the ‘Big Oil Conglomerates’ – Exxon, Chevron, Shell, BP, and Conoco Phillips.

WAIT! Shell oil is based in the Netherlands and BP in the UK – so what the heck are American taxpayers doing subsidizing oil companies that don’t even pay taxes in the US? Oh bother… truth.

Back to earthquakes.

It isn’t all bad though – the oil companies do support nearly 10 million employees and the big three from the US pay an effective tax rate far above any other industry! The price of a gallon of gas in Europe is easily double what we pay in the US, and the oil and gas industry pumps more than $500 billion into the US economy annually.  Nothing to sneeze at!

But at what point do we consider the negatives of wastewater injection as over-riding the positives of natural gas companies making hefty profits on exports?   While profits are the mainstay of capitalism, stewardship should be a n equal concern.  Does that mean I think wind turbines are the answer?  No.  Does that mean solar is the answer?  Decades have proven that answer – No.  Do I have the answer?  No.  But all you Engineers!  Seems to me you could have an answer – if you wanted.

As the price of oil and natural gas remain ‘tanked’, which translates to lower tax revenue paid to the government, which translates to higher subsidies, there comes a point of financial collapse in basic supply and demand ideals. To the point that we actually, effectively probably pay more than Europe.  So, at what point is this simply calamitous? We import our gas from Canada, they aren’t harboring ISIS or shouting death to America, so is it really such a bad thing to “trade” from their stockpiles?

Separately, The CDC has yet to investigate the health ramifications of the chemical processes used in fracking – at all, despite the known carcinogens and environmental damage. Instead, they chose to create a massive orgy of fear around the Zika virus which has been around for over 60 years, including in the US. But you see, in the Zika instance, pharma saw the opportunity to reap major profits! The Fracking industry would see losses if the truth were parlayed. Profit makes the world go ’round.  It is a good thing.  But in all things their needs to be balance.  And personally, I kind of like the planet that God created.  God gave us a responsibility – not to shirk – to tend to this planet.  

So when you go before the gates of Heaven and defend that all the earthquakes were God’s hand in the making and cause, when He shakes His head, are you going to argue with Him?

We have become a Pay for Play in all our corporate and government institutions and just never realized how deep it goes. It’s all something of a shell game or Ponzi scheme, because in the end, after lost revenues, subsidies, ‘medical issues’, and tax havens, our effective price per gallon is more likely to be in the $8 to $10 range, well above Europe. And natural gas?  Well given we sell more than we retain, at the very least be honest – it isn’t about energy independence, it’s about making a buck.  

The pump price is simply a mirage to give us a feel good glow

Healthcare Crisis – Staggering Increases!

Health Insurance premiums for individuals are about to literally skyrocket! Posted increases range from 9% to 50%… with regulators supposedly agreeing to the rate hikes because the insurance companies claim ‘huge losses’. Oklahoma, Arizona, Minnesota, and Tennessee will bear the largest brunt with less than a handful of states getting the 9% increase. Really?

Because that’s not what their posted financial statements indicate – at all.

United Healthcare: 2016 – Boasting an increase in revenues of 12% year over year, earnings growth of 19%, cash flow up 22%, stable medical trends, increased investment, and a 25% growth in dividends! Hardly a company in crisis mode needing to increase premiums upwards of 50%.

Aetna: While their results aren’t as spectacular as United, their year over year revenue increased 8%. They made the statement in the quarterly report that increases in membership thru their Government business accounted for the most growth. But their Balance Sheet showed an interesting change. Assets increased 32% including cash offset mainly by long term debt which is most likely connected to their takeover of Humana for $37 billion in cash and stock.

Does that mean that rate increases are actually designed to help insurance companies payoff debt due to merger and acquisitions? Or is it to relieve the burden that the Government has assumed under the Obamacare initiative to provide subsidies? In either case, the cost of health care is about to implode on people whose earnings have changed little to none to compensate for this enormous increase.

Blue Cross is characterized as a nonprofit and thus their financials reflect a relatively small year to year variance in accordance with their status per state law.

Kaiser also paints a rosy picture of their membership, revenues and future reporting year over year growth of a solid 15%.

United Healthcare’s CEO has a base salary, incentives, and stock options that has varied from $102 to $21 million depending on whether/or how much of his stock options he decides to exercise. So I would guess that he is hardly in ‘dire straits’ as a result of the ‘massive heathcare losses’…

Why doesn’t the Government care about the increases? Because it would seem to NOT apply to them. In a table that provides rates for government employees by state and by carrier, the rates for 2016 vs 2017 showed little to NO increase in premium cost – and in some cases showed a ‘reduction’ in premium cost. This would indicate that the individual coverage increases are now subsidizing government employees!

In Colorado, both Humana and United Healthcare are abandoning the individual marketplace next year and those having insurance will have to find a new carrier. In some counties across the US there are NO insurance companies offering healthcare under the exchange. For example – 400,000 individuals in southern Arizona will have no choice – no insurance. And entire states are reporting that only one healthcare carrier is now offering insurance creating a monopoly of pricing in which case by case costs can vary at the whim of the carrier.

It has become what it was designed to be – a complete, utter, failure so as to usher in a massive government one issuer plan nationwide as major carriers gobble up every smaller issuer. In the end – one will remain standing. And that one will become the government’s chosen program.

Given the government option has failed so miserably in the UK and Canada where mass exodus has people flying to India and Cuba to get treatments, it is preposterous to use those systems as an example for the US. France boasts healthcare for all, but a shortage of doctors is creating an implosion. Wait times for an MRI can be over a month and a CT scan 2 ½ months. They claim a shortage of equipment, and equipment failures have resulted in thousands of deaths. While the ‘public insurance’ services everyone, the wealthy tend to purchase private insurance which offers more comprehensive care, less wait times, and thus a chasm of ubers vs. everyone else is created.

Of course salaries vary widely in the medical field in the US vs UK and EU. Doctors and nurses in the UK earn less than half what their peers earn in the US, which translates into the cost for procedures as well. And while salaries are half, the cost of living in the UK is only about 13% lower than the US.

Does Socialized medicine work?

While the individuals have benefited from lower healthcare costs in France, whose system is ranked #1 in the world, it has come at a cost. Touting out of pocket healthcare costs as nearly nothing, the system has become over-burdened and operates at a deficit despite heavy revenue from taxes. As a result, France continues to cut jobs in their national hospitals which of course increases wait times, stress, quality and effectiveness.

And while the aging populations of Germany and France have been the main source of the burden, the idea that bringing in large swathes of young refugees to populate, procreate, and become an added source of revenue as they begin to fill jobs – was incredibly short sighted. Instead, they have brought in a host of diseases that were previously erradicated.

Mirroring that system in the US would require a massive overhaul of our tax system, massive income and sales tax increases, use tax increases, property tax increases, and a standard of living cut in half.

Middle class will become the new poverty as healthcare becomes the catalyst.

APPLE’S Ireland Tax Debacle – Could Unravel EU

The Apple implication has the potential to effect over 700 US companies who get special tax treatment in Ireland. While Ireland’s effective tax rate is just 12.5%, Apple’s negotiated effective tax rate was  .05%. They are not alone. Dell, Google, and Microsoft also paid well below the effective rate. In 2010 all companies, indigenous and foreign in Ireland paid an effective rate of just 6.5%.

But it isn’t just Ireland. Offshore accounts are said to hold over $1.2 trillion in cash. That would amount to about $620billion in potential tax revenue.

Apple leads the pack, but a close second is Pfizer, then GE, Microsoft, IBM, Merck, Johnson & Johnson, Cisco, Citigroup, Google, etc… Tax Havens are big business! Accounts are with The Netherlands, Cayman’s, Channel Islands, Switzerland, Panama, etc… because, bottom line it’s about money and the US tax structure is not appealing. Most insurance companies set up shop in Bermuda or the Caymans. Even US Defense companies are avoiding taxes. It’s a nightmare that is only growing exponentially while our government refuses to take definitive action to lower our base and lure jobs and revenue back home.

It’s all about ‘special interests’, and ‘lobbying’. It’s about 6.5% is better than nothing, which somehow seems to allude our government.

If Ireland and The Netherlands had tax agreements with these foreign companies, how can the EU override and demand ‘back taxes’? The EU Commission, within the weighty arm of the OECD, has rules of taxation which state that no one company may benefit from a lower rate than any other company. While the EU is building a case, both Apple and Ireland are already building an appeal.

The over-reaching arm of the EU Commission could create a wave of EXITS, as other governments see the advantage that Ireland has reaped in it’s tax haven status. On the other hand, if the appeal fails, 700 companies could make a mass exit from Ireland and be searching for the next best haven to grant a deal. Given the BREXIT, the UK stands to lure those thirsty behemoths. Or – Ireland becomes the next IREXIT.

Since joining the EU in 1973, Ireland has received over 50 billion euro from the EU Commission. The first year Ireland had a surplus contribution to the EU was in 2014. Undermining what has been a struggling economy could have exponential consequences and send their revenues, employment, and GDP spiraling! These foreign corporations have been a boom to Ireland, creating needed jobs, consumer spending, and growth. Ireland will fight this ruling because it could be their death.

In the meantime, the US has launched a retaliation scheme against Deutsche Bank for their role in the mortgage crisis and is threatening a levy of $14 billion. All of this parallels the military cock fights between the US and China or the US and Russia. In the end – both die. And that’s the game only this time its a bully match in economics.

The most pointed question is why now? Apple and other US companies have been enjoying these tax advantages for over a decade! Why would the EU choose now to take a stand? And what would be the trickle-down effects on other tax havens and corporations?

The idea that the EU is simply discipling Apple is ridiculous. Timing is everything. With BREXIT, is the US creating a divide with the EU?Is this furthering the Fall of Europe after the refugee crisis? Hit them with massive refugee chaos, crime, and now economic behemoths closing up shop…

Or could this be a way of encouraging the very unpopular TTIP which would allow corporations to sue governments for loss of revenue due to laws they view as impairing their profits?

Or is the Commission looking for a way to curb their losses with BREXIT?

It wouldn’t be the first time the EU Commission has come under controversy for initiating stupid laws:

  1. a ban on high powered small appliances, including vacuum cleaners, was proposed…
  2. banana’s that were deemed to have an ‘unnatural curvature of the spine’ were banned
  3. children under the age of eight can not blow up balloons
  4. restricted sale on incandescent light bulbs because they were not eco friendly
  5. tea bags can not be recycled as they are thought to spread foot and mouth disease
  6. cucumbers can not bend by a gradient of more than 1/10
  7. banning the labeling of bottled water as able to fight dehydration

Obviously the Commission has a lot of time on their hands to come up with a plethora of ridiculous rules! But has their blue book of rules become much like the US tax code? TOO LARGE!

The Commission was created in 1951 for the sole purpose of acting as the authority for the European coal and steel industries. Like other governmental agencies; NATO, UN, etc.., they have managed to expand their control like a sea awash in octopi. And while the Commission may impose fines for a member states failure to comply with rules and regulations, few, if any members can throw the first stone on the prostitute, for they are all equally guilty of infractions.

But Apple is not a member state of the EU, their tax agreement was with Ireland. If Ireland infringed on their ability to contract, that does not necessarily mean Apple is complicit in any manner unless it can be proven they knew their arrangement was illegal. The result? Ireland would be compelled to pay penalties, reorganize their tax structure, and create equally weighted taxes on every corporation. While their tax rate at 12.5% is still quite attractive, companies may shift to greener grasses.

However:

While the TTIP trade deal between the US and EU has been temporarily tabled while it is renamed and rebranded to push thru without warning to the European citizens who vehemently oppose it, it could be that TTIP will give these corporations the power to sue the EU Commission for laws that unfairly reduce it’s profit… and that may be the purpose of this entire fiasco. Seven hundred corporations in Ireland could become the new benefactors of TTIP – an agreement that will give governmental power to corporations who will create a system that is above government and thus away from The People in the elective process.

In addition, The Obama administration warned the EU that retaliation will be forthcoming should they proceed against Apple. Enter the new Deutshe Bank penalty imposed by the US. But oddly there is no mention of compelling Apple to bring jobs and tax revenue back to the US. Nor is their acknowledgement that the fundamental reason for corporations searching tax havens is because the US corporate tax system is NONCOMPETITIVE!

Overall – it would seem that the US is steamrolling into a parallel universe in which we have no allies left! Alienating Brazil, Venezuela, Russia, China, the Philippines, the EU, Pakistan, the Middle East, and India waffling…we are left with a hodge podge of allies who may or may not be around tomorrow.

FYI: shortly before the announcement of the EU going after Apple – Soros dumped all his shares.