Morality101.net

This is a followup to America is History which I wrote and submitted to Digg last week.  Our government made a surprising move which is delaying the collapse for a short while, but the collapse is beyond avoidable.  This is my attempt to warn you — protect whatever assets you have as best you can, and prepare for a long dark age.

On that day, it appeared certain that WaMu, then Morgan-Stanley, then Goldman-Sachs were going to wipe out, and the domino effect would follow.  However, right after my original post, Bush, Paulson & Bernanke finally emerged from their caves to announce we were in horrible trouble.  Hell, we knew that, and so did they (well not the sheeples).  So Dodd blurted out “meltdown” and Congress, which had surely also known disaster was coming, finally had to go to work – now that’s different!  The bailout solution presented is horrible!   If our 537 elected officials had done anything right before this housing/mortgage crisis began, this whole dilemma may never have arisen.

This I shall elaborate just a tad more.  The trigger which began the housing/mortgage fiasco was NOT caused by greedy anyone, nor by overpaid CEO’s, nor by inadequate regulation.  It was caused by The Fed manipulating interest rates, which caused first the housing boom and then, after millions of ARM’s had been stupidly signed by sheeples, The Fed raised the rates, causing ARM payments to rise to impossible and triggered so many defaults.  Meanwhile our brain-dead Congress just watched the turds roll by, as they’ve done since 1911 when they created The Fed.

By now you should pretty well know all that, but there is at least one action you should take TODAY (because time is fleeting!), an email complaint to your congressmen – this site makes it quite easy and you can/should edit their form prose to say what YOU think!  America is in collapse way beyond recovery, hell we might as well say goodbye now.

Just this morning we got a really shocking revelation started it’s rounds on Digg (if you wish to promote and comment).  THEY KNEW this was coming months ago.  Ahhhhh, NOW we get the news!

Well, Congress is now battling not only about the original language, but also trying to add all sorts of riders to the bill.  Those riders are largely from socialist Democrats, and I heard this woman on the TV insisting on even more dictatorial riders, so I went to see who the hell that was, and sho’ nuf, it was Hillary!  If a bunch of these riders should pass, the $700 billion cost-guess will mushroom to the stratosphere.  Actually, ANY bailout bill will make everything worse, not better.  For those who get hurt in the process, well gee, you did it to yourselves, deal with it!

Every time that Congress spends our stolen tax-dollars, some entity, corporate or person, gets a benefit at the your expense.  They call it transfer payments, aka robbing Peter to pay Paul.  Paul gets the benefit, while Peter gets the shaft. The only moral and Constitutional exception is defense (note that I did not say offense).

Again as I have said often, the root cause bringing our collapse is our failure to insist on basic morality — the right to life and the right to sustain that life and to maximize our happiness.  I hope you will read enough while you are here to grasp how simple it could be!  Maybe you would also like to come back from the dark age?  If there is a next time, this is the foundation to do it right.

Up thru most of 1972 I built custom homes for $15 per SqFt, decent homes with redwood exteriors, turnkey with appliances and carpeting for a small family cost about $17,500.  30 years later, you know it, that same house cost $120,000 or more.  You bought your house from a tract builder, and paid $200,000 with a lot,

Okay, you took an adjustable rate mortgage because you couldn’t afford fixed-rate.  Then a couple of things went sour, your ARM shot up and now the bank owns your house.  C’mon, you were in over your head when you signed that mortgage!.  So now you’re crying to the government to help your sorry ass because you screwed up?  Get a grip, people, it’s not my fault and I won’t pay taxes to support you!

But maybe the government will pass a welfare bill for you anyway, because I really have nothing to say about it, do I?  It’s called taxation without representation – today that’s supposedly okay, but I will disagree with that immoral bullfeathers to the day I die.

Well let’s look at what may have REALLY happened here.

The Fed opined that the economy had heated up a too much, so they tightened money.  Things slowed down, so maybe you lost your job?  For sure, when your lender saw interest rates rising, he caught you by the ARM and raised interest/payments over your head.  Happened to many folks, so don’t feel like the Lone Ranger. So there were a bunch of foreclosures on homes bought at inflated prices.

So the bankers start whining about their Owned-Real-Estate portfolios growing out of control, and the banks had lost their liquidity.  They couldn’t resell the foreclosed homes and they didn’t have $$ to make new loans, awwwwwwwww.  Bear-Stearns then became the first of many on the brink of disaster, so the Fed quickly gave them a huge loan guarantee which saved B-S’s butt while it was sold to someone else.  But then, realizing the foreclosures were continuing, the Fed acted to make more money available by dropping the discount rate, not once, but several times, down to record low rates!  This enabled the bankers to come to the Fed window and borrow needed liquidity.  By this the bankers were temporarily saved, but you?  You aren’t allowed in the line to the Fed window, that’s a banker’s-only club.

So all this manipulation by the Fed, plus the mushrooming national debt, have weakened our dollar to the brink of collapse.  So what should we expect the Fed to do next?  They’ll soon enough be tightening money again, in a misguided attempt to strengthen the dollar.  When that happens, I suppose we’ll see some more foreclosures, but we will also start seeing the bankers tumble, and that could be domino-time.  There’s really nothing much else to be done, it’s about over, folks.  It won’t matter one whit who wins the next election.