Shocking Report Shows America’s Top 1% Now Richer than Bottom 90% COMBINED

As the federal government continues to fleece Americans to give that money to their corporate masters, the wealth gap is expanding, rapidly, according to a new report. By Matt Agorist Another jaw-dropping report was released this week that draws attention to the staggering wealth of just a small handful of people as compared to everyone else. America’s richest one percent now own more wealth than the poorest 90 percent of the entire country—combined. Indeed, according to the most recent data by economist Edward N. Wolff, this very elite group of people owns nearly half of the entire country’s wealth. The paper, written by economist Edward N. Wolff, used data from the federal Survey of Consumer Finances. The data showed that the wealth owned by the one percent shot up by nearly three percentage points since 2013, from 36.7 percent to 39.6 percent. That number represents the most wealth owned by the one-percenters in […] Read More

Why “The Fed Can’t Save Us”: The Simple Explanation From Austrian Business Cycle Theory

By Robert P. Murphy of Mises Institute The Fed Can’t Save Us In December, the Fed hiked its target for the federal funds rate, which is the interest rate banks charge each other for overnight loans of reserves. Since 2008 the Fed’s target for the Fed Funds Rate had been a range of 0 percent – 0.25 percent (or what is referred to as zero to 25 “basis points”). But last month they moved that target range up to 0.25 – 0.50 percent. Ending a seven-year period of effectively zero percent interest rates. From our vantage point, we already see carnage in the financial markets, with the worst opening week in US history. This of course lines up neatly with standard Austrian business cycle theory, which says that the central bank can give an appearance of prosperity for a while with cheap credit, but that this only sets the […] Read More

Why The Federal Reserve Should Be Audited

Submitted by John Crudele via NYPost.com, It is time for a comprehensive audit of Janet Yellen ’s Federal Reserve – and not just for the reasons presidential candidate Rand Paul and others have given. The Fed needs to be audited to see if its ruling body has broken the law by manipulating financial markets that are outside its jurisdiction. A thorough investigation of the Fed will show once and for all if its former chief Ben Bernanke and current Chairwoman Yellen should go to jail. I know, that’s a bold statement coming as it does on Sept. 1, 2015, with Wall Street still in half-bloom. But it won’t be so preposterous some day in the future if the stock market suffers a full-blown economy-busting collapse and Congress and everyone else are looking for scalps. The Fed should be audited as a brokerage firm would be — its financial holdings, […] Read More

Is the Federal Reserve DESTROYING America? | G. Edward Griffin

On December 23rd 1913, Woodrow Wilson signed into effect the Federal Reserve Act. This interview was recorded on the 100th anniversary of the Federal Reserve and is being brought back today as an encore presentation. Author of “The Creature from Jekyll Island: a Second Look at the Federal Reserve,” G. Edward Griffin exposes the Fed’s hidden objective over the past 100 years and why “if America does not abolish the Federal Reserve, the Federal Reserve will abolish America.” IN THIS INTERVIEW: – The Federal Reserve is a parasite to the U.S. economy ►0:54 – The Fed’s hidden objectives over the past 100 years ►6:12 – Fed chairman (now Janet Yellen, not Ben Bernanke) is just an employee, the banks run the show ►13:53 – We don’t need to audit the Fed; we need to abolish it! ►16:46

“Bernanke & Greenspan Have Destroyed America” Schiff & Maloney Warn “People Don’t Realize What Is Coming”

Ali and Frazier, Laurel and Hardy, Mayweather and Pacquiao, Liesman and Santelli, and now Schiff and Maloney. Peter and Mike join clash of the titan-like to discuss their investment strategies and expose the charts the government doesn’t want you to seeas “people like Bernanke are taken seriously still and the people that did predict [the crisis] are dismissed as lunatics half the time.” The wide-reaching conversation covers everything from gold and stocks to The Fed and The Dollar – Bernanke “took the coward’s way out because all he did was exacerbate the problems to postpone the day of reckoning.” The air is coming out of the bubble, they warn, “Bernanke and Greenspan have absolutely destroyed America. People don’t realize what is coming…” Full interview here: Full transcript below: Mike: I was in Puerto Rico a little while back and Peter Schiff invited me over to his house and we […] Read More

Bernanke Wants the U.S. President to Declare “Economic Emergencies” in Future Crises

Presidents should get the power to declare economic emergencies along the lines to declare war, said former Federal Reserve Chairman Ben Bernanke on Monday. It might make sense to give “the president some ability to declare emergencies or take extraordinary actions and not put that all on the Fed,” Bernanke said at a conference. “The constitution gives the president significant flexibility to respond to military situations,” in part because they are chaotic, he noted. “I am sure it is not politically possible, but it would be worth thinking about,” the former Fed chairman said. – From the MarketWatch article: Presidents Should Be Able to Declare Economic Emergencies: Bernanke For those of us who remain horrified and disgusted by the 2008-09 Federal Reserve and U.S. government bailout of the kleptocratic oligarchs who created the crisis, the above comments by the mastermind of this historic theft should be extremely concerning. Although bankers and oligarchs got everything they wanted and more […] Read More

The Widening Wealth Gap In The United States

Antonius Aquinas Activist Post A recently released Pew Research Center study confirms what every thinking American has understood for quite some time: the wealth gap between rich and poor has widened considerably since the onset of the financial crisis in 2008. The study’s statistics probably underestimate the plight of struggling families and individuals compared to upper-income groups, as the median wealth of upper-income families totaled $639,000 in 2013 – 6.6 times the median wealth of middle-income families of $96,000. This compares with 4.5 times the gap In 2007 between the two groups. Along with the widening wealth gap, the overall outlook for the middle and lower classes is decidedly bleak as stated in the report: “The latest data reinforce the larger story of America’s middle-class household wealth stagnation over the past three decades.” The study adds: “Middle- and lower-income families’ wealth levels in 2013 are comparable to where they […] Read More

“The Fed Is Heading For Another Catastrophe… Central Banking Has Lost Its Way” Stephen Roach Warns

Authored by Stephen Roach, originally posted At MarketWatch via Project Syndicate, America’s Federal Reserve is headed down a familiar — and highly dangerous — path. Steeped in denial of its past mistakes, the Fed is pursuing the same incremental approach that helped set the stage for the financial crisis of 2008-2009. The consequences could be similarly catastrophic. Consider the December meeting of the Federal Open Market Committee, where discussions of raising the benchmark federal funds rate were couched in adjectives, rather than explicit actions. In line with prior forward guidance that the policy rate would be kept near zero for a “considerable” amount of time after the Fed stopped purchasing long-term assets in October, the FOMC declared that it can now afford to be “patient” in waiting for the right conditions to raise the rate. Add to that Fed Chair Janet Yellen’s declaration that at least a couple more […] Read More

Exorbitant Cost Of Pseudo-Educating America: The Next Two-Trillion Dollar Bubble

Submitted by Ben Tanosborn, At $1.2 trillion student debt, we may only be 60 percent along the way, but rest assured that it won’t take but 3 to 5 years before this spectacular bubble bursts… and it will do so on the economic backs of the poor, and the ghostly – ghastly might be more apropos – remnants of a fast disappearing middle class. Two weeks ago, while doing a final screening of old papers kept for no-apparent good reason, I came across a few notes from a graduate business course which I taught over three decades ago.  An underlined hyphenated-word stood in front of me teasing both my memory and reason for its use: Porno-Economics.  Then, I quickly recalled that my reason for its use had absolutely nothing to do with the economics of porn; and how I explained to my class – mostly graduate engineers with families […] Read More

Tim Geithner Admits “Too Big To Fail” Hasn’t Gone Anywhere (And That’s The Way He Likes It)

Submitted by Mike Krieger of Liberty Blitzkrieg blog, But it is now clear that Geithner never believed his own talking points. To him, too-big-to-fail and the so-called moral hazard, or safety net, that it would create can’t really ever be fully taken away. During his lecture to Summers’s class, one student asked a question about “resolution authority,” a provision of the reform laws that is supposed to let the government wind down a complex financial institution without creating a domino effect. The question prompted Geithner onto a tangent about too-big-to-fail. “Does it still exist?” he said. “Yeah, of course it does.” Ending too-big-to-fail was “like Moby-Dick for economists or regulators. It’s not just quixotic, it’s misguided.” – From The New York Times Magazine article, What Timothy Geithner Really Thinks Never in a million years did I think I’d ever use an article by Andrew Ross Sorkin as the basis […] Read More

Exactly Like 7 Years Ago? 2014 Is Turning Out To Be Eerily Similar To 2007

The similarities between 2007 and 2014 continue to pile up.  As you are about to see, U.S. home sales fell dramatically throughout 2007 even as the mainstream media, our politicians and Federal Reserve Chairman Ben Bernanke promised us that everything was going to be just fine and that we definitely were not going to experience a recession.  Of course we remember precisely what followed.  It was the worst economic crisis since the days of the Great Depression.  And you know what they say – if we do not learn from history we are doomed to repeat it.  Just like seven years ago, the stock market has soared to all-time high after all-time high.  Just like seven years ago, the authorities are telling us that there is nothing to worry about.  Unfortunately, just like seven years ago, a housing bubble is imploding and another great economic crisis is rapidly approaching. […] Read More

David Stockman On ‘The QE Follies’: Bernanke’s Swell Gift To The Big Four Banks

Submitted by David Stockman via Contra Corner blog, I recently pointed out that the Fed’s 5-year campaign to drive the 30-year mortgage rate from 6.5% to 3.3% had accomplished nothing except to touch off another of those pointless “refi” booms which enable homeowners to swap an existing mortgage for a new one carrying a significantly lower interest rate and monthly service cost. Such debt churning exercises have been sponsored repeatedly by the Fed since the S&L debacle of the late 1980s. I further noted that this time the Fed had really outdone itself: During some periods upwards of 80% of new originations were not money purchase mortgages to finance a new home, the declared purpose of interest rate repression, but just refis of existing debt. By resorting to this maneuver to leave more money in the pocket of borrowers each month, our monetary central planners undoubtedly hoped that America’s flagging consumers would buy […] Read More

2014: David Stockman’s “Born Again Jobs Scam”: The Ugly Truth Behind “Jobs Friday”

Submitted by David Stockman via his Contra Corner blog, The mainstream recovery narrative has an astounding “recency bias”. According to all the CNBC talking heads, the 192,000 NFP jobs gain reported on Friday constituted another “strong” report card. Well, let’s see. Approximately 75 months ago (December 2007) at the cyclical peak before the so-called Great Recession, the BLS reported 138.4 million NFP jobs. When the hosanna chorus broke into song last Friday, the reported figure was 137.9 million NFP jobs. By the lights of old-fashioned subtraction, therefore, we are still 500k jobs short—notwithstanding $3.5 trillion of money printing in the interim. The truth is, all the ballyhooed “new jobs” celebrated on bubblevision month-after-month have actually been “born again” jobs. That is, jobs which were created during the Fed’s 2002-2007 bubble inflation; lost in the aftermath of the September 2008 meltdown; and then “recovered” during the renewed bubble inflation now underway. Stated differently, back when the NFP jobs count first clocked in at 137.9 million in the […] Read More