Category Archives: Poli-Econ

Trade Agreements & Political Half-Truths

Did you know that the last time the U.S. had a “Trade Surplus” ($12.4 Billion) was 1975?  By 2015 the Federal Trade Deficit, for just Fiscal Year 2015, was $539.8 Billion. Did you know that since 1992, when the WTO (Trade Treaties) was passed and thru Fiscal Year-End 2015 the Cumulative Trade Deficit was $10.2 Trillion and over the same period Federal Debt increased by $14.1 Trillion?

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Iran Welcomes the E.U. & Repudiates U.S. Dollar

Iranian President Hassan Rouhani returned to Tehran with a smile. The release of international sanctions has brought a bounty all its own to both the E.U. and Iran; 40 Billion Dollars’ worth.

Conspicuous as these events may be, there remain a few that reveal much more about the Obama Administration’s handling of both the Nuclear Agreement and Iraq/Syria. It continues to be my contention that the President deliberately avoided taking aggressive actions in either Syria or Iraq and for one very good reason. A pipeline from Iran to either the Black Sea and/or thru Syria to the Med (there is also a planned pipeline from Iran to the terminal hub in Turkey just west of Istanbul.)

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The Economy of Crude

Since the mid-70’s Crude Oil has taken on a form far beyond that of simple commodity. It has become a metering rod, a tool of political-economic influence closely controlled by a global-elite and easily dispersed or manipulated with a wink and a nod. An alternate currency, if you will, easily convertible into or leveraged by any currency you wish to target or transport.

Over the last 15 years the world has become highly fractured and non-responsive to manipulative inputs that had previously proven to be effective. Russia stubbornly refuses to collapse under the weight of Western Sanctions, Saudi Arabia is keenly aware that in order to continue milking its cash-cow it must protect the influence of OPEC as a key oil producer/market-maker and for this reason they’ve decided to continue flooding the global market.

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Economic Picture

As Rahm Emanuel said; “never let a serious crisis go to waste”. It is often the distraction of a crisis that leads our attention away from something far more critical. In fact, one might often wonder if the entire scheme isn’t manufactured for that specific purpose.

Condensed version: Both the global economic and political climates (presently) are eerily similar to that of the late 1920’s; serious economic and international unrest that led to what we now think of as WWII. It should be interesting to note that it was the advent of WWII that ultimately served as the genesis of the U.S. and ultimately Europe and Japans economic recovery.

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GOP Candidates Pitch Tax Plans; Meaningless!

If you don’t return regulatory power to Congress, if you don’t reign-in government index-based spending, if you do not get Government out of social mandates by moving them out of Government control, if you don’t induce regenerating a U.S. based Economy (vs. favoring otherwise) and if you do not restore a sound money/banking policy (which has concentrated capital within the existing system’s own speculative ventures) then renovating the Tax System is meaningless.

As it is, unelected officials are promulgating regulations (Laws) while growth in Government spending is inevitable because each year’s spending levels begin as a baseline with prior year spending. Add-in the established annual indexing and before you even consider additional programs you’re already above the prior year level.

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