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DON’T BELIEVE THE HYPE

By ATWadmin On June 22nd, 2010 at 5:25 pm

Predictably, the statist mouthpieces fall into line and obediently repeat the mantra that the Chancellor’s budget today was an austerity package. Chief among them is the BBC which reports he moved “decisively” to tackle Britain’s record debts. As usual, it’s all rubbish.

George Osborne today had the greatest opportunity any Chancellor would ever will have to turn the war against the state in favour of civil society for the first time in decades. All he did was kick the can yet further down the road.

Yes, he resisted the urge to increase taxes yet urther on booze, fags and fuel, but in truth this is a small mercy because taxes on these pleasures are already punitive and could not realistically have been raised. While others spend weeks trawling through the details of the budget (such is the labyrinthine nature of the government’s books) two simple facts are clear:

Government today is spending money it does not have and will still be spending it does not have in a few years time. This wicked deception, a tax on the young and unborn will continue under this government.

And we see government will be spending more in five year’s time than it does today. After an unprecented and uncontrolled explosion in the size of government under the last lot, after twelve years of an ever-growing and intolerable burden on civil society, George Osborne today announced that government spending will increase still further.

Spending up, borrowing up, taxes on your children up, growth down. If someone can spot the austerity in this package they have better eyesight than me.

Two plus Three minus Four = Ermmmm?

By ATWadmin On June 8th, 2010 at 11:36 am

Economics is not the easiest of subjects to tackle, but with the help of published statistics, even a novice such as I can get to grips with some of the basics.

 

Mr. Micawber, or rather Charles Dickens, his creator, wasn’t daft.

 

As Mister Micawber stated “Annual income twenty pounds, annual expenditure nineteen pounds nineteen and six, result happiness. Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery.”

 

If you, or your country can balance the books, it means that you and your fellow citizens are living within their collective means. So when the new ConDom government states we should all prepare for austerity, I thought that I would lend a hand, in a simplistic way of course.

 

By trawling through the published statistics regarding the plethora of QUANGOs, or Quasi-Autonomous Non-Governmental Organisations, easily available on line, I was able, over the space of about half-an-hour to isolate some £42.9 billion pounds worth of expenditure, as listed in 2007, from these wholly-unaccountable bodies which could easily be saved by the abolition of the majority if not most of these ‘public service bodies’. I haven’t pinned the spreadsheet upon this post as I don’t know how to do that.

 

Most if not all of these bodies are staffed at the top by friends, fellow-travellers or buddies of the government in power at the time, with very few people who actually know what needs to be done in charge at any time.

 

Do we really need the so-called services of CapacityBuilders UK Ltd. which exists, at a cost of £34 million, allegedly to ‘invest in improving the quality of support and advice available to charities, voluntary and community groups and social enterprises’? Is it so vital to fund the Sianel Pedwar Cymra (S4C) – Welsh Fourth Channel Authority at a cost of £92 million in 2006? Would the Covent Gardening Marketing Authority be missed, especially at a cost of nearly £13 million in 2007 alone?

 

Some would state that the bodies which are funded so lavishly are there because they enrich our life, but the argument then arises as to what consists or comprises enrichment? Take the funding by the Big Lottery Fund for example. I applaud the use of £163,000 for Kidney Research, but would strongly query the allocation of £498,000 for the UK Coalition against Poverty. This outfit seems to be a lot of people who claim to know or want to know all about ‘Poverty’, and how to capitalise on that strange state. I question why one Pound should be spent by this bunch of free-loaders, especially as it is based in the ‘Poverty’ capital, Liverpool!

 

Saving the British from the fate of the Greeks won’t be simple, won’t be easy, but it should be done. Our tax money was hard-earned; and should not be squandered on socialistic clap-trap. Because, apart from throwing a mountain of cash at Northern Rock, along with the two or three other banks which thought they really ruled the world, that is where a great deal of our money is heading. If it isn’t being given to befriend Muslim fanatics, it’s been thrown away on thousands of other ‘really useful’ projects! 

UK (PRICE) INFLATION AT 17-MONTH HIGH

By ATWadmin On May 18th, 2010 at 8:55 pm

Not that the MSM increasingly acts as a mere conduit for press releases, but check out the critical analysis in the Telegraph:

Britain’s inflation rate jumped more than expected in April to hit a 17-month high, driven by big rises in tax on alcohol and tobacco, as well as women’s clothing and food prices.

More than expected? By whom?

What does anyone expect a £200billion counterfeiting operation to achieve? A fall in the price of bread?

I would love to know the real rate of (price) inflation. My two three penneth is that it’s going on for ten per cent, making us all much poorer very quickly, as evidenced by the fella who changes the fuel price on the scoreboard at my local BP garage; he was up the ladder three times by the time I’d filled up the motor tonight. Save your legs and stay up there pal.

Look at housing, look at food, look at fuel, they’re all on the up pronto while the government, Bank of England and CBI throw electrical goods (which always fall in price) into the basket to mask what they’re doing to our money.

THE STATE-BANKING NEXUS WINS AGAIN

By ATWadmin On May 6th, 2010 at 6:33 pm

Senator Jim DeMint is a name I know, although others are better placed to comment on his character and judgement. One thing he knows, however, is that it’s the little people who will fund the Greek state’s creditors:

Congress didn’t learn their lesson after the $700 billion failed bank bailout and let world leaders shake down U.S taxpayers for international bailout money at the G-20 conference in April 2009. G-20 Finance Ministers and Central Bank Governors asked the United States, the IMF’s largest contributor, for a whopping $108 billion to rescue bankers around the world and the Obama Administration quickly obliged […]

Only one year later, the IMF is sending nearly $40 billion to bailout Greece, the biggest bailout the IMF has ever enacted. Right now, 17 percent of the IMF funding pool that the $40 billion bailout is being drawn from comes from U.S. taxpayers. If that ratio holds true, that means American taxpayers are paying for $6.8 billion of the Greek bailout […]

America can’t afford to bail out foreign countries with borrowed dollars from China and certainly shouldn’t allow state sponsors of terror a hand in that process. This has to stop if we are going to survive as a nation.

And let’s be clear here again; it is the creditors who will be the recipients of this money, not the Greek people or state. The little people in the US and Great Britain and elsewhere are being shaken down by their governments so that the IMF (a creature of governments) can make good the money which banks loaned to the Greek corporate state at risk. That risk is implied in the interest rates charged. If creditors seek to minimise the downside in the risk return, they can wave away the risk premium in the first place.

This is how it works in the free(ish) markets, banksters.

But of course we have nothing like free markets. We have a state-banking nexus which trousers enormous returns on the upside and hands the bill to taxpayers on the downside. It is the greatest of all criminal rings in operation.

Hugh Hendry knows the game and identifies the culprits below: mainly French and German banks which are on the hook for mainly billions of Euros and which now, curtesy of our governments, have their hands in our pockets. Hendry is the boss of Eclectica Asset Management, always laconic, always unsentimental and always a pundit whose words ought to be heeded. His solution is for Greece to default, pay 30 cents in the Euro to the banksters, let the banksters take the hit and then start over again with its own currency.

Not for him the charade of shoring up a broken Euro “for Europe”, but then he’s unsentimental and no Euro-dreamer. What the markets say is the truth or, as someone puts it, you may ignore economics but economics will not ignore you. This is his message to Merkel, for whom he is derisive: “When the truth becomes unpalatable, what is the truth. Angela Merkel, when we say she is being generous, there is nothing generous about spending taxpayers’ money in another country, that is not generosity, that is merely trying to salvage a bankrupt set of political ideology. So to blame the messenger when it’s the truth that hurts, I find that inexcusable.”

Hendry below offers up his truth below, which he backs with his own money against the Euro highly successfully. It’s a treat of a discussion, I recommend watching to the end (roll it to 3.10 when he comes in)-

IT WOULD BE EASIER TO HANG THEM ALL

By ATWadmin On April 29th, 2010 at 7:47 pm

As I write, the three co-leaders of the Lib/Lab/Con faction are taking part in a live debate on BBC1, this one focussed on the economy and recession apparently (nah, watching the football here).

Don’t kid yourselves, these three haven’t the slightest intention of discussing the economy and recession; the very point of the debates is to shore up the crumbling state edifice and ensure the status quo.

Even if an economics debate should break out, that Brown continually gets away with the economically incontinent line that the Tories would take £6billion out of the economy by increasing taxes slightly less severely than Labour, tells you everything about the quality of the contestants.

Now Mervyn King, the Governor of the Bank of England, he’s just had an economics debate and the truth of what was said is a million miles closer to the truth than whatever the three wallies will tell you tonight:

“I saw the Governor of the Bank of England last week when I was in London and he told me whoever wins this election will be out of power for a whole generation because of how tough the fiscal austerity will have to be.”

This is our situation because we have reached the limits of the debt-driven regulatory state. Unless and until these three prats tell you that if government doesn’t severely contract then market reality will make it do so, you are listening to drivel.

WHAT’S THE POINT OF THE MSM?

By ATWadmin On April 8th, 2010 at 6:31 pm

THE TORIES (dunno, must be an election of something) have said that they curb Labour’s planned £6 billion National Insurance tax rise. For days the Prime Mentalist has been saying that this withdrawal of £6bn from the economy will kill the recovery. For days the MSM has been reporting – without question – the Prime Mentalist’s statements that this withdrawal of £6 billion from the economy will kill the recovery (yeah, I know). It comes to a pretty pass when Her Majesty’s Gutter Press is shamed by the Daily Mash when it asks, on what planet does Gordon Brown make the slightest sense?

Meanwhile Wayne Hayes, some arsehole from Stevenage, said: “I have been trying like a bastard to get my head round this idea that a national insurance cut will take money out of the economy.

“So I started to think really hard about what the economy is and I came to the conclusion that it’s actually me and everyone else. Together we are ‘the economy’. D’you see?

“So if the government gives money back to me that means the money is going into the economy not out of it. The money just goes from one place to another, it doesn’t disappear – unless of course I put it all on some piece of shit horse and then lose it, which I probably will because I’m such an arsehole.

“But that’s still okay because then the bookie gets the money and now he can spend it on things – though knowing him it’ll just be loads of booze and whores – but even then the brewery and the skank will have the money.

“So the money still exists, in the economy, it’s just that it’s gone from me to a bookie to a skank.

“I worked that out all by myself, by the way.”

RON PAUL TEACHES ECONOMICS TO BERNANKE

By ATWadmin On March 26th, 2010 at 5:34 pm

Federal Reserve Chairman Ben Bernanke went before the House Financial Service Committee yesterday where he was blasted by Ron Paul over the Fed’s increasingly mad monetary policy. This is part of what he said:

What the Federal Reserve still fails to realize is that intervention in the economy is always harmful […] the Fed only sees what is seen, the superficial results of its policies, and not what is unseen, the effects of its monetary intervention throughout the economy. Monetary inflation leads to malinvestment and causes the boom phase of the business cycle. Once the malinvestment is realized the bust phase occurs, and these malinvested resources need to be liquidated in order for the economy to recover.

But the Fed actively works to prevent this liquidation and does everything in its power to continue inflating in order to prolong the boom. The first act of intervention begets the second and subsequent interventions, each bigger than the first, as each economic bust gets larger and more severe […]

The Soviet Union’s economy failed because of its central planning, and the United States economy will suffer the same fate if we continue down the path toward more centralized control.

Rightly, he didn’t say that the Soviet economy collapsed because of bad decisions by central planners, but that it did so simply by the fact that it was centrally planned. With each government act, with every intervention “begetting second and subsequent interventions” (which they always do, because they never work) we submit more and more to that same state central planning.

His full statement is here.

ANOTHER UNCLE SAME BAILOUT

By ATWadmin On March 25th, 2010 at 5:10 pm

BRUSSELS (Reuters) – The leaders of Germany and France clinched agreement on a joint European-IMF financial safety net for debt-stricken Greece just before an EU summit on Thursday, the French president’s office said.

This fella will be well chuffed –

Just don’t tell him he’s bailing out a country where hairdressers retire at 50 on full benefits. And now that’s sorted they can move on to Portugal, Spain, Italy …

DR RON PAUL ON OBAMACARE

By ATWadmin On March 22nd, 2010 at 7:46 pm

Congressman Paul discusses the economic, moral and constitutional implications of Obamacare. Thank the Lord one man inside the Lootway is serious, and that happens to be the one man there who understands money and economics.

While Obammunists party like it’s 1917 and Republicans herald the Obama meltdown later this year, one thing has been overlooked and that’s the usual thing; the country is bankrupt, the American economy cannot afford Obamacare and Congress has just brought the inevitable, nasty end much closer.

EDDIE GEORGE COMES CLEAN

By ATWadmin On March 21st, 2010 at 6:21 pm

The ex-Governor of the Bank of England spills the beans:

The Bank of England deliberately stoked the consumer boom that has led to record house prices and personal debt in order to avert a recession, the former Bank Governor Eddie George admitted yesterday.

As Greenspan did over there.

Under Lord George’s governorship, rates were slashed from 6 per cent in 2001 to 3.5 per cent in 2003, pushing house price inflation above 25 per cent and high street spending growth to its highest since the late-Eighties boom.

Aren’t we glad these partners in crime managed to avoid recession a few years ago? Problem is, there’s a bunch of people who can explain the stupidity of fuelling booms by slashing rates, because the booms must go bust. Could be time we listened to what they say.