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I'm an electrical engineer and mathematician by training. My career has spanned diverse areas of expertise from being part of a team which designed the world's most powerful computers to corporate consulting around business transformation and information-based solutions to being a corporate sales and marketing executive in the information technology and business consulting space. I’ve led teams responsible for innovative and transformative solutions and been part of teams that helped set strategy for many of America's greatest companies. Two of my interests are econometrics, democratic finance and quantitative - qualitative analysis. Over the years I have developed risk-based models and trading systems meant to identify significant investment opportunities and periods of extreme risk. My blog is an outlet for another of my passions, writing. I generally consider myself a contrarian. Therefore, many of my rantings are meant to encourage people to question what they believe to be true. Terms of Use & Disclaimer: First off, I don't take anything on here too seriously and you shouldn't either. These are simply sardonic rantings of Bill, my alter ego, often meant to agitate for peaceful & nonviolent reform. This web site reflects the views of its authors. It is unaffiliated with any NASD broker/dealer. Statements on this site do not represent the views or policies of anyone other than its authors. The information on this site is provided for discussion purposes, comedic relief and entertainment only and are not investing recommendations. The authors may have positions in securities mentioned herein. Under no circumstances does this information represent a recommendation to buy or sell securities. While information discussed on this site was gathered from what are believed to be reliable sources, in no way is informational accuracy guaranteed. All information on this site may contain errors and omissions. Trading and investing involves high levels of risk. Always consult a licensed financial advisor or broker before making any and all investment decisions. Authors of this site and any sites which are fed by said site, including Open Salon and others, will assume no responsibility for the actions of the reader and user. Readers and users agree, as condition to accessing this site, to release and hold harmless this site's authors from all liability in connection with this site or any views posted on this site. All readers and users of this site agree that use of this site requires acceptance to the current Terms Of Use & Disclaimer and that current terms include any and all use and material from site inception. If you do not understand these statements in their entirety or do not agree to be bound by this current agreement, you must immediately discontinue use of this site. This Terms Of Use & Disclaimer may change at any time and it is the reader's and user's responsibility to review, understand and abide by any updates.

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FEBRUARY 4, 2013 7:09PM

Whitehouse Plays The Blame Game With Negative GDP

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Throughout all of 2012 I wrote of many things that were happening in the economy well before they were evident by anyone on Wall Street, in politics or in the mainstream media.  I certainly use algorithms and data for my analysis but let’s be frank, I’m not exactly Albert Einstein.  It’s easy to look good compared to institutionalized ignorance.  Compared to incompetent bureaucracy that only exists through legalized bribery and force.  

From the first quarter of 2012 on I wrote that money was draining out of the global economy faster than even 2008, and that corporate earnings were collapsing faster than at any time in the last decade.  A point that was confirmed after earnings were reported months later - Thomson Reuters then stated that corporate earnings had declined faster than at any time in the last 13 years.  And, I have written incessantly over the last eight years, including many times in 2012 that the Federal Reserve’s policies were not working.  Well, they may have been working if they were meant to bail out our masters but they were not fixing the economy.  So, simply from what I wrote numerous times, one should not be surprised by the just reported contraction in GDP in both Britain and the U.S.   But, Obama believes his political adversaries are to blame.  You know, the ones trying to destroy his legacy of incompetence, secrecy, cronyism, expanding wars and drone attacks. 

That a blogger in his underwear can provide more accurate analysis than  the Whitehouse as it pertains to what’s going on in the economy should give you pause for outsourcing your thinking to bureaucratic incompetence and institutionalized ignorance.   ie, Take back your power and think for yourself because they have no clue what they are doing.  But, they are good at doing more of it.  And, that will be their eventual demise. 

Now, we have the Whitehouse blaming everyone but themselves for the first drop in GDP since the 2008 collapse.   Really?  How long does institutionalized ignorance pull this nonsense?  The economy is not growing because the economy for countless Americans has effectively ceased to exist.  That dynamic has been growing exponentially for decades.   And, under Obama’s policies, it isn’t coming back.   The reality is intrinsic GDP without massive government spending on wars, cronyism and corporate welfare, which noted on here reached 70% of national income at one point, would have been negative for the last five years.  All five.   As noted on here before, there is a reason why transfer payments, after inflation, have swelled 800% in the last 30 years.  It has only been through monetary inflation and state antics that GDP shows any semblance of stability.  And if sequestration actually does happen, this could be the beginning of what will be Obama’s true legacy.  

Food stamp use, welfare rolls, poverty and nonliving wage jobs all continue on the increase under Obama and the Democrats.  Don’ t worry.  The Republicans would have probably done even worse. 

The real unemployment rate as it used to be calculated remains around 25%.   With four years of new workers rolling into the economy, there are more people unemployed today than when Obama took office.   And, as noted on here numerous times a service-based economy cannot grow so Obama’s trend of economic illiteracy continues to clearly move us in the wrong direction as our fearless leaders takes credit for a massive swell in bartender and Taco Bell jobs.   (I’d be more than willing to put on my straw hat and mosey on down to the Whitehouse and give our fearless leader a tutorial on failed economics and what he should be doing to restore democracy and democratic economics.  And, there are countless other Americans, probably millions, who could do the same thing were arrogance to actually be willing to consider its ignorance.)

Now, we can all play the blame game that this was George Bush’s fault but in actuality Clinton/Gore is substantially more complicit.   But regardless, both parties are equally responsible.  The failed ignorance of one party cannot survive without the failed ignorance of the other, and that will likely lead to the demise of both.  The real question is when does Obama ever take responsibility for this crisis?  He can’t continue to blame everyone else forever.  At some point it has to be his policies that are failing.  He was elected to take responsibility.  After four years, haven’t we had enough finger pointing?  Is this Congress or this Whitehouse ever going to take responsibility for anything?  Well, other than 20,000 drone attacks.  Of course not.  As noted on here many times, people who seek authority are most often disconnected from their humanity.  A hallmark trait of that persona is a lack of responsibility.  And, this blame game after four years of failed economic policy is simply more evidence of that fact.  All, by the way, as more Americans rot due to institutionalized incompetence because a working democracy has been turned into a platform for institutionalized looting rather than being able to service democracy or our citizens.

This is far worse than the Great Depression and it will never get better.  Ever.  Under the corporatist-fascist pro-business policies (anti-democratic, anti-living wage, anti-new business and anti-working markets) of both political parties.  The symptoms are simply being hidden by marginal and unlivable government transfer payments, a completely checked-out media, massive money printing to bail out the rich, elites, corporations and banking criminals and a secret corporate government bent on doing the will of our masters. 

Four more years.  Change you can believe in.

Whitehouse blames Republicans for GDP contraction

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TL you write in your underwear? I have been saying that this is worse than the great depression ever since Paul Craig Roberts turned me on to shadow stats. The only difference being the Social Services net that Obama has covers his incompetence. We should have voted republican I don't mind starving as a means to an end and you know what my end is. I'm not backing down off of it either. Theres only one way to fix this.
[r] TL, Yes, it is stunningly depressing. And more fresh hells as you say to come.

This from Patrick Martin at wsws about Obama and Medicare and also one of Obama's "tells" when he forcefully announces tough austerity but then reassures the victims he will not burden them which is total bullshit. Remember when Bush praised an agency or group and then the next thing you knew he cut funding. Obama plays the same game:

"Both President Obama and a top economic adviser have confirmed that Medicare, the federal program that underwrites the cost of health care for more than 50 million elderly and disabled people in the United States, is a prime target in the budget-cutting negotiations now going on behind the scenes in Washington.

"While talks continue on social program cuts that will affect tens of millions and ultimately the majority of the American people, public attention is being diverted to a series of secondary issues, such as prospective gun legislation. There was, for example, enormous media attention given to a photograph of Obama shooting skeet with a shotgun at Camp David, including a protracted debate over when the photograph was taken and whether the president could be said to be a hunter.

"The real business of the Democrats and Republicans, however, is laid out in the Saturday radio addresses by Obama and a spokeswoman for the congressional Republicans, both of them calling for substantial cuts in domestic social spending.

"Obama’s address repeated his empty claims of an economic recovery. He failed to note the radical divergence between the boom in business profits, stock prices and corporate CEO pay and the disastrous state of the job market, with workers’ wages and benefits continuing to decline.

"Obama then turned to the question of the deficit, with his usual mixture of doubletalk and demagogy, declaring, “We all agree that it’s critical to cut unnecessary spending. But we can’t just cut our way to prosperity.”

"In a passage from the brief address that was not quoted in media accounts, Obama continued, “Already, Republicans and Democrats have worked together to reduce our deficits by $2.5 trillion. That’s a good start. But to get the rest of the way, we need a balanced set of reforms. For example, we need to lower the cost of health care in programs like Medicare that are the biggest drivers of our deficit, without just passing the burden off to seniors.”

"The last phrase is typical of Obama speechmaking, and of all the declarations by big business politicians in Washington. First, you signal to your corporate masters what you plan to do, i.e., make drastic cuts in Medicare. Then you reassure the victims of this policy that they aren’t really the target.

"In truth, that is exactly what the White House and congressional Democrats and Republicans are planning. They will impose the burden of the fiscal deficit on the backs of the most vulnerable sections of the working class: the elderly, the disabled, young people and the poor."

end of quote

But, seriously, TL, what's the difference between God and Obama? God doesn't think he's Obama!

Obama chooses life and death over peoples he doesn't begin to know anything about. Obama chooses who rots in detention cages for the rest of their days. Obama chooses who gets deported.

And he is a busy guy. A technocrat. Keep those dronings going in your deposition matrix. Keep those deportations going. Never mind what Obama said in his speech to woo the Hispanic voters.

Jill Stein had offered a Green New Deal that offered real robust STIMULUS, that promised jobs, health care, good education, ending the wars, diplomacy.

Jill who? Corporate media took good care to eclipse her answers.

What a freakshow of a universe, TL! I'm forever seeing bubbles!

best, libby
ooopsie, here's link:

There is only one way to fix this. It's to replace this system. :p How that happens has yet to be determined and yes I know where your end is. The more tyrannical the system is, the quicker it will essentially force a reaction. Which is essentially Newton's Third Law or karma. So, voting for Republicans might have worked out better. ie, You are most certainly accurate.

Thanks for the link, Libby. I read the WSWS and agree completely. And God certainly doesn't have an Obama complex but we do know with some degree of certainty that Obama likely has .......