Facts are facts, and whether you believe mine or not is completely irrelevant to me, but should be very important to you if you’re making a decision that affects the future of your country, let alone your family! I spent the time to do what you weren’t willing to do because I had the time and the drive, and not to question anything that the ‘in the bag,’ ‘Deep State’ run, ‘Paid to Report’ Mainstream Media tells you to be factual, with its track record ever since Obama broke on the scene with Weather Underground bomber Bill Ayres, and Rev. ‘God Dam America’ Wright, but to take the time and do a little digging on your own to find out what the truth really is!
Aren’t you getting tired of people criticizing the facts that you know to be true, and have known them to be true for years! Then we have those who critiques never offering their version of the truth, especially when it comes to the claim that Obama the reason for today’s economic numbers when it comes to unemployment, the rise in the Stock Market, and the Trump ‘BOOM!’ are we suppose to believe while chasing American made companies out of the country to add to other countries GDP and unemployment rates that Obama’s economic and foreign policies, along with his economic prowess and his in depth understanding of the ‘Law of ‘Supply and Demand, is what did the trick for Trump’s success? Let’s break that down before the American people are lied to again. You do remember the good old old Obama promises that if you like your doctor you can keep your doctor, and if you like your ‘Healthcare Plan, you can keep your Healthcare Plan, and then his famous “It was a video that got 3 American soldiers plus 1 Ambassador murdered in Benghazi?
Like most of my friends, we were all baby boomers who’s parents were retiring on the interest they were making on their life savings, but when Obama started to play the bait and switch game by injecting the economy with what started out to be $40 Billion Dollars a month, and then raised it to $85 Billion Dollars a month, and doing it by basically printing money, he was actually adding that money to our National Debt, and if you had a little common sense you had to know that what was about to come, would come, and came, and caused the interest rates to go to ‘ZERO’ which took our parents retirement income and shoved it up their asses!
Obama started his first term with an apology tour to bash the country he was the President of, and then declaring to the world and the American People that America, especially in his own eyes, was nowhere near exceptional! Do you think at that stage that our individual ‘Red Flags’ should have been run up the flag pole as quickly as possible?
At that stage in our senior parents lives they had to make a choice of either making no money on the interest on their savings, which was caused by the infusion of money into the banking system by the Obama Fed so that the banks didn’t have to compete with America’s Senior investors to attract their dollars using interest rate seduction! As a result the Banks no longer had to attract depositor dollars because of the Fed’s generous printing and supplying that cash to do business which allowed the banks to not have to pay competitive interest rates to their depositors/customers!
The real crime here is that now our seniors, at basically gun point, had to take a shot in the Stock Market, and risk the money they’ve saved their entire lives that they intended to partially live off with the interest they’d thought they would be able to get for the rest of their lives! NOT!
Now lets add what’s going on in the ‘World’ factor into the formula using Obama’s feckless foreign policies and how insecure are allies are with Obama at the helm, his Apology Tour, and the intentional dismantling of our military with removing America, the number #1 country when it comes to its leadership role, off the world stage!
Talk about the insecurity of investors with America being replaced on the World Stage by Russia, China, North Korea, Iran, Syria, the ‘Puppet Russia.’ and even Cuba, I think you will find the only safe haven for investment dollars would still be in America, and on America’s markets, which is what gave the upward impetus to the Stock Market, and not as a result of Obama’s feckless cabinet where only 8% had ever hired or fired and employee in their lives!
‘The Fallacy of Obama’s Job Creation, and How the Obama Fed was Helping to Rig the Stock Market!’
Ten months ago, an NBC News/Wall Street Journal poll foreshadowed the driving forces of the 2016 presidential race by reporting that out of 1,000 adults surveyed, 59 percent indicated a desire for change. As insurgency candidacies have gained strength in both parties, the voters are clearly showing their discontent with business as usual in Washington, D.C.
What’s the reason for such a strong anti-establishment sentiment this election cycle? There are plenty of factors worth mentioning, but near the top of the list has to be the steep decline of America’s labor force participation rate.
Although the Obama administration has loudly touted reports that the U.S. economy has generated 14.1 million new jobs over the past 70 months and now sits at a 5.0 percent unemployment rate, the labor force participation rate has been in virtual free-fall. From March 2010 through December 2015, the percentage dropped from 64.9 percent to a 62.6 percentage, falling to levels not seen since the Carter administration. By contrast, the rate was 67.2 percent when George W. Bush took office in January 2001.
How can the economy currently be producing a “record” number of jobs while the labor force participation rate continues to decline? In order to answer that question, we have to recognize what goes into each calculation.
Per the Bureau of Labor Statistics, the definition of the labor force participation rate is as follows: “The labor force participation rate is the percentage of the population that is either employed or unemployed (that is, either working or actively seeking work).”
The following bullet points are components of the calculation:
- People with jobs are employed.
- People who are jobless, looking for a job, and available for work are unemployed.
- The labor force is made up of the employed and the unemployed.
- People who are neither employed nor unemployed are not in the labor force.
The official unemployment rate cited by the U.S. government is U-3 unemployment, which is defined as follows: “The number of unemployed people as a percentage of the labor force.”
The standard unemployment rate is an extremely narrow calculation that leaves out large swaths of the population — which explains why true employment in the United States is substantially worse than reported. What are the primary factors?
- The weak economy. Although the economy is technically creating jobs, manufacturing and other higher-paid industries have remained moribund, leaving a large number of potential workers discouraged and out of the labor pool. According to the Bureau of Labor Statistics, there were 663,000 discouraged workers not included in the labor pool as of December 2015.
- Young people are entering the work force later. With the percentage of individuals possessing at least one advanced degree rising from less than 25 percent in 1995 to over 33 percent today, more and more young workers are delaying entry into the workforce.
- Disability and government assistance is increasing. Approximately 8.8 million people are on disability insurance, a figure that has doubled over the past 20 years. Likewise, the number of people on one or more means-tested assistance program has been on the rise as well, reaching 21.3 percent of the population in a 2012 report. Although not all individuals on assistance programs are out of the labor force, there is a strong correlation.
- The aging of America. As the Baby Boomers retire, the pool of available American workers shrinks. On July 22, 2014, Senator Rob Portman (R-Ohio) wrote in the Wall Street Journal that approximately 10,000 people retire each day, a number that has been fact-checked and found to be correct. The roughly 4 million retirees every year dwarfs the 2-3 million new jobs created.
It’s clear that despite the much-ballyhooed 5.0 percent unemployment rate, the U.S. employment situation is in far worse shape than the Obama administration would lead one to believe. At least in part, this unspoken fact explains why polls regarding the direction of the country show we’re on the wrong track by a 30 percent+ margin.
Between bickering politicians, a slow-growth economy, and the declining labor force participation rate, it’s little wonder why 59 percent of polled Americans seek change — which will likely be reflected at the ballot box.
Walter McLaughlin has been in banking and commercial lending for nearly 30 years, specializing in business financing. He manages a small business lending department for a regional bank with offices in Washington, Oregon, Idaho, California, and Utah, winning awards for four consecutive years. He received his bachelor’s degree in finance from California State University, Northridge in 1986 and graduated from the Stonier Graduate School of Banking in 1997.
Written by Walter McLaughlin
‘2009-Fed Plans to Inject Another $1 Trillion to Aid the Economy’
The Federal Reserve sharply stepped up its efforts to bolster the economy on Wednesday, announcing that it would pump an extra $1 trillion into the financial system by purchasing Treasury bonds and mortgage securities.
Having already reduced the key interest rate it controls nearly to zero, the central bank has increasingly turned to alternatives like buying securities as a way of getting more dollars into the economy, a tactic that amounts to creating vast new sums of money out of thin air. But the moves on Wednesday were its biggest yet, almost doubling all of the Fed’s measures in the last year.
The action makes the Fed a buyer of long-term government bonds rather than the short-term debt that it typically buys and sells to help control the money supply.
The idea was to encourage more economic activity by lowering interest rates, including those on home loans, and to help the financial system as it struggles under the crushing weight of bad loans and poor investments.
Investors responded with surprise and enthusiasm. The Dow Jones industrial average, which had been down about 50 points just before the announcement, jumped immediately and ended the day up almost 91 points at 7,486.58. Yields on long-term Treasury bonds dropped markedly, and analysts predicted that interest rates on fixed-rate mortgages would soon drop below 5 percent.
By EDMUND L. ANDREWS
Federal Reserve to Keep Buying $85 Billion In Bonds Each Month Until Job Market Improves!
Barack Obama will go down in history as having sold more Treasuries and at lower interest rates than any U.S. president. He’s also leaving a debt burden that threatens to hamstring his successor.
2012
The Fed announced after its September meeting that it would purchase $40 billion a month in mortgage bonds for as long as it deems necessary. And in December, the Fed expanded the program to $85 billion a month, adding $45 billion a month in Treasury bond purchases. The Treasury purchases replaced an expiring bond-purchase program.
2013
Unemployment rates have meandered down to 7.3 percent and this too is a pretend number. When you factor in all the people who have dropped out of the labor force that statistic moves into the teens. The labor participation rate at 63.2 percent is at its lowest in a generation.
Two thirds of all new hires over the last year are temporary employees.
The Fed bought $1.7 trillion of Treasuries from 2009 to 2014, soaking up the equivalent of a quarter of the increase in debt outstanding. While its securities purchases helped support the bond market, the era of extraordinarily low rates also crimped returns for fixed-income investors.
The Obama Fed simply fired up the printing presses and printed out of thin air $85 billion of new money each and every month. This is money that goes directly into the money supply. Nobody knows the ultimate denouement of money printing on this scale. Germany tried “abnormal” money printing in the early 1920’s after W.W. I and the result were hyperinflation, collapse of the German economy, and the rise of Hitler.
“How the Obama Fed was Helping to Rig the Stock Market”
“The Fed is exchanging about $4 billion in newly created money every business day for various types of bonds. All else being equal, the Fed’s bond buying puts more money in investors’ hands to buy other assets, including stocks.”
I had thought that the major bond dealers sold back to the Treasury the bonds that they bought from the Treasury, making it pretty much of a wash transaction. What I had not realized, until I saw what David wrote, is that major bond traders when they sell Treasury’s back to the Fed on the same day then buy other bonds from other bond dealers. And as this buying and selling goes down the chain, Voila. Apparently, some of the Fed’s newly created money ends up in the equity market.
Here is what happens, as I see it now. Every day, Federal Reserve traders are buying about $4 billion in long- term Treasury’s and mortgage bonds from major trading houses. How does the Fed pay for those purchases? Simple. The Fed gives the seller a credit on their Federal Reserve statement. Remember, the Fed is a bank that can legally give away money. Meanwhile, the seller of bonds to the Fed can then withdraw some or all of that money, or leave it on deposit with the Fed.
In other words, the Fed doesn’t pay anyone anything. All the Fed does is in essence create new money to give the seller. So let us follow that newly created money. The major dealers who sell the bonds to the Fed can take that money and buy other bonds in the open market. The new seller then gets paid with that newly created money, which in the bank clearing system, acts just the same as money you and I work for.
Therefore, to make this really simple, the Fed creates $4 billion a day and eventually some of that money goes into equities. And that, of course, helps keep stock prices elevated. So, it doesn’t matter that we are having major problems with the underlying economy and markets that normally would depress stock prices.
Charles Biderman, Contributor
‘Intelligent Investing Contributor Group’
‘Evolution of Unemployment Rate to a Distorted Value and Misrepresentation’
Regardless of what people say about the unemployment rate under Obama, the manipulation stated a while ago and well before Obama was anywhere near the government. The most drastic change to the unemployment rate that skewed the calculation into a meaningless number that politicians use to their advantage, was done under Clinton! Since this change the OFFICIAL unemployment rate is a farce. This bullshit value is used to project unemployment rate that distorts true picture and well under-values employment rates.
I mean a so-called discourage worker who has not ‘supposedly’ looked for work in 30 days is removed from the calculation, which has a positive effect on the unemployment rate (hence has the equivalent of listing these unemployed workers as employed).
Brief History:
JFK – Coined the term discourage workers.
Nixon – Created the bullshit manipulation seasonally adjustment.
Reagan (the only legit change) – Classified members of the military as employed, which makes sense.
Clinton – Took the discouraged workers and removed them from the unemployment calculation.
Bush – continued this boneheaded unemployment rate to make his numbers look better than they are.