THE ROAD AHEAD IS SERFDOM. (Bloomberg) — “President Barack Obama is poised to increase the U.S. debt to a level that exceeds the value of the nation’s annual economic output, a step toward what Bill Gross called a ‘debt super cycle.'”
It’s also a reaffirmation of the thesis of Vox Day’s book, The Return of the Great Depression. This depression is going to be worse than the first because of unprecedented levels of debt—government, business, household.
GOVERNMENT JOBS ought to be recorded as an increase in the nation’s debt; not as an addition to the country’s payroll. These jobs are financed through taxes, if the country is solvent; through more deficit spending and debt in the case of the USA.
How did government jobs ever make their way into the Labor Department’s jobs reports? Stupid question, the answer to which lies in the purpose and nature of state-generated statistics. Said jobs are nothing but debt and inflation.
Thus, when President Barack Obama declared, after the jobs report of May came out on Friday, “that the economy is getting stronger,” this meant that of 431,000 jobs “created,” 411,000 were temporary workers for the census. Only 41,000 were private-sector jobs. The latter is a meager ten percent of the former. (Don’t ask me how the 431,000 was arrived at.)
“Despite the improvement,” parrots the WSJ, “the persistently high unemployment rate is a reminder of how much more is needed to fix the job market.”
WRONG: it is a reminded of how much less is needed to fix the job market—less government.
The Canadian government, not the American one, “will ‘resist’ a bank tax, Industry Minister Tony Clement said Tuesday as ministers fanned out across the world to raise opposition to the proposal for avoiding another financial crisis. ‘Canada is, and will remain, opposed to a tax that would penalize financial institutions that remained strong and prosperous while many of the world’s banks failed,’ Clement told a press conference with Foreign Minister Lawrence Cannon.”
Clement said the bank tax would “encourage risky behavior” if it is used to create a bank bailout fund and “reward bad behavior” of those institutions responsible for the recent financial crisis in the first place.
As well, it would “unduly burden” Canadian banks and put them at a “competitive disadvantage” to other financial institutions.
As the AP reported a while back, “while the U.S. has seen 81 banks fail in 2009 alone, Canada has not experienced the failure of any major financial institution. There has been no crippling mortgage meltdown or banking crisis north of the border, where the financial sector is dominated by five large banks.”
I’ve often contended that if it cut back on its interventionist policies, Canada could become an economic giant. It has natural resources and a highly educated population. And as David Frum (another Canuck) reminds in this excellent piece (via alternativeright.com): Canada has an immigration system that doesn’t tolerate a tsunami of illegal alien illiterates, as does it adhere to a strict point system that benefits the country.
More HERE about the global regulatory regime debated by our oracular governors.
Business, Debt, Economy, Ethics, Federal Reserve Bank, Law, Morality, Private Property
Defaulters or deadbeats? As I’ve explained, “You don’t have a property title in the perceived value of your property. Nobody does.” You do, however, have an obligation to honor a contract. These borrowers think otherwise and are proud of themselves for being thieves.
NPR’s Paul Solman tells the story of some homeowners who have stopped paying their mortgages even though they can still afford them: “‘Strategic Defaulters’ Skip Mortgage Payments as Home Values Tumble.”