by I. Farron Balenze, CPW News Services
With a $20 trillion debt bomb ready to explode like Assad's nerve gas bombs dropped on a Syrian village (if it was Assad who dropped them and not a false flag event for building consent for war in Syria as part of the original NeoCon agenda outlined by NATO Commander Wesley Clark with U.S. wars in a seven nation list that now includes the exact 7 nations on Trump's no-fly list), Americans are, according to former Reagan White House Budget Director, David Stockman, getting ready to experience the blow back from the 2008 bailout, the 1980's S&L bailouts and chronic, long-term runaway gut stuffing motivated by mindless acceptance of Madison Avenue and Wall Street, Goldman Sachs hyper-hyped marketing of the American Dream. "Get out of stocks now," said Stockman. Stockman's assessment is shared by a number of notable world watchers including Frederick M. Mellon.
"As the exceptional nation America still believes that its people are deserving of a cool castle even if their sub-prime junk mortgages crashed and burned. Okay, many of those dream homes have vanished with the 2008 sub-prime housing bubble kaboom, but people are still taking what little castles they still have and are worshipping at the alter of 'buy Chinese,'" said Mellon.
"Most people don't realize that while their manufacturing jobs were being shipped to China, India, Korea or Malaysia, that the 2000-2008 housing bubble masked the effects of the Clinton/Bush backed NAFTA job stripping era....the period of "a giant sucking sound" described by H. Ross Perot in 1992. If you were a Benzene Bubba turning the spigot on your refinery job or got laid off in your oil patch roughneck job, you likely picked up part-time work in the building trades with your little hammer and saw. You learned to supplement your income by hanging Chinese ceiling fans for a mu-mu-clad hunk of housewife-secretary longing for the latest look in spinning fan blades or perhaps in Chinese-made aluminum can-lights installed for about $125 each into your living room or kitchen ceiling. You depended on Madison Avenue's Mad Men to sell the most modern unnecessary junk to help keep the trash/masher spinning and running up your formerly meager mortgage payment with a nifty home-equity loan," said Mellon whose economic theories have been previously covered in Winsip Custer.
According to Mellon the big banks raked in the cash from Paulson's 2008 bamboozle, the Federal Reserve shut down interest rates for retirees who have since been pulling from their dwindling savings for their rehabs using Chinese nic knacks at 19% from Lowes' or Home Depot. In the case of the Miami General Employees and Sanitation Workers Pension Fund, they invested the money in the oil patch, raked it off for the highest paid executives in the U.S. whose headquarters are in tax-sheltered Bermuda. The banks took taxpayer's money, promised to help those with upside down mortgages or that could have funded Social Security and other hard earned benefits, but it was all by design. Little Lucy homemaker/office worker saw Jimmy Stewart's It's A Wonderful Life so many times that she bought into George Bailey's line that "is it to much to ask for people to live and die in house....with a kitchen and bathroom?" The answer then as now is "no", but when Mr. Potter who owned the lumber mills and everything else teamed up with Wall Street and Fredie Mack and Fannie Mae and the others like Countrywide and the junk-bundling big banks that failed to use time-honored investment analysis like the 90% of Main Street local banks that were solvent in 2008, while the bubble was built on selling to Joe Sixpack a mansion based on bamboozled financials and the whole big bank barrel turned rancid and should have been dumped, but wasn't. Mr. Potter sent his manufacturing jobs to China and made another killing from the re-import of cheap corner molding and LED lights," said Mellon.
"Meanwhile, you go to Lowes or Home Depot on Sunday morning, skipping church, or squeezing in a 6:00 a.m. Mass at the local Cathedral and spend the day shoveling bagged manure-mixed manganese-rich compost onto your under-watered garden hoping for some nifty petunias," said Mellon who loves growing watermelons.
"Americans live in more than a housing bubble," said Mellon. Take the fact that NASA has to buy its rocket engines from Russia to lift supplies into space.....the RD-180 engine that burns kerosene and LG, liquid oxygen. Well, I hate to break the news, but if kerosene is the future of inter-galactic travel we're all having to stay here for a good while. Better to lay it on with developing renewable energy and high efficiency life styles and with all those earthquakes the world is experiencing like in Cushing, Oklahoma that scientists have indicated are the result of frack slurry sliding earth, better start living in decreasing density structures," said Mellon.
"Decreasing density structures?" Mellon was asked.
"A tee-pee," he said smilingly.