How's all that hopey-changey stuff working out for you?

[Dr. Jet]

Go back and read all my predictions from the past; then go back and read the predictions from the Lefties. Who was closer to the truth? Hmmmm.....???

[Darin Jordan]

Doc... What are you complaining about?? I mean seriously... 1:00am votes in the middle of a snowstorm on a Sunday morning, after adding 300-400 pages to an already 2000+ page bill, much of the language of which has YET TO BE DETERMINED???

What could be more transparent than that???

I'm with ya man, and not afraid to say it... Merry Christmas!

[Dr. Jet]

Speaking of "Hope" and "Change", here's an interesting essay I saw:

Editor's note: One of the most controversial pieces we published this year was Porter's essay paralleling America's decline with Detroit's complete economic and political failure. We received more heated e-mails about this Digest than any in recent memory. Some called us "racists," though everything in the below essay is fact. Others agreed with our simple message... A socialist government is dangerous.

USA: The Next Detroit
By Porter Stansberry
From the October 28, 2009, S&A Digest

One of the most important things to remember about socialism – or coercion of any kind – is it fails eventually because human beings have an innate desire for liberty and a strong need for personal property rights. In fact, the origins of government lie in the need of agricultural communities to protect themselves from violence and theft. So it is particularly ironic that in more recent times, it is government itself that has more frequently played the role of bandit.

When you start taxing people at extreme rates to pay for socialist "benefits," when you start telling them which schools their children must attend, when you start giving jobs away to people based on race instead of ability... you quash human freedom, which bogs down productivity... and if continued for long enough, leads to social collapse.

I find it perplexing that only 20 years after the collapse of the Berlin Wall, the West continues to implement laws that mimic all of the failed policies of our former "communist" foes. In fact, our current president won the election by promising to "spread the wealth around." But... truth be told... we don't have to look to Eastern Europe or the Soviet Union to find a society destroyed by coercion, socialism, and the overreaching power of the State. We could just look at Detroit...

In 1961, the last Republican mayor of Detroit lost his re-election bid to a young, intelligent Democrat, with the overwhelming support of newly organized black voters. His name was Jerome Cavanagh. The incumbent was widely considered to be corrupt (and later served 10 years in prison for tax evasion). Cavanagh, a white man, pandered to poor underclass black voters.

He marched with Martin Luther King down the streets of Detroit in 1963. (Of course, marching with King was the right thing to do... It's just Cavanagh's motives were political not moral.) He instated aggressive affirmative action policies at City Hall. And most critically, he greatly expanded the role of the government in Detroit, taking advantage of President Lyndon Johnson's "Model Cities Program" – the first great experiment in centralized urban planning.

Mayor Cavanagh was the only elected official to serve on Johnson's task force. And Detroit received widespread acclaim for its leadership in the program, which attempted to turn a nine-square-mile section of the city (with 134,000 inhabitants) into a "model city." More than $400 million was spent trying to turn inner cities into shining new monuments to government planning. In short, the feds and Democratic city mayors were soon telling people where to live, what to build, and what businesses to open or close. In return, the people received cash, training, education, and health care.

The Model Cities program was a disaster for Detroit. But it did accomplish its real goal: The creation of a state-supported, Democratic political power base. The program also resulted in much higher taxes – which were easy to pitch to poor voters who didn't have to pay them. Cavanagh pushed a new income tax through the state legislature and a "commuter tax" on city workers.

Unfortunately, as with all socialist programs, lots of folks simply don't like being told what to do. Lots of folks don't like being plundered by the government. They don't like losing their jobs because of their race.

In Detroit, they didn't like paying new, large taxes to fund a largely black and Democratic political hegemony. And so, in 1966, more than 22,000 middle- and upper-class residents moved out of the city.

But what about the poor? As my friend Doug Casey likes to say, in the War on Poverty, the poor lost the most. In July 1967, police attempted to break up a late-night party in the middle of the new "Model City." The scene turned into the worst race riot of the 1960s. The violence killed more than 40 people and left more than 5,000 people homeless. One of the first stores to be looted was the black-owned pharmacy.

The largest black-owned clothing store in the city was also burned to the ground. Cavanagh did nothing to stop the riots, fearing a large police presence would make matters worse. Five days later, Johnson sent in two divisions of paratroopers to put down the insurrection. Over the next 18 months, an additional 140,000 upper- and middle-class residents – almost all of them white – left the city.

And so, you might rightfully ask... after five years of centralized planning, higher taxes, and a fleeing population, what did the government decide to do with its grand experiment, its "Model City"? You'll never guess...

Seeing it had accomplished nothing but failure, the government endeavored to do still more. The Model City program was expanded and enlarged by 1974's Community Development Block Grant Program. Here again, politicians would decide which groups (and even individuals) would receive state funds for various "renewal" schemes. Later, Big Business was brought into the fold. In exchange for various concessions, the Big Three automakers "gave" $488 million to the city for use in still more redevelopment schemes in the mid-1990s.

What happened? Even with all of their power and all of the money, centralized planners couldn't succeed with any of their plans. Nearly all of the upper and middle class left Detroit. The poor fled, too. The Model City area lost 63% of its population and 45% of its housing units from the inception of the program through 1990.

Even today, the crisis continues. At a recent auction of nearly 9,000 seized homes and lots, less than one-fifth of the available properties sold, even with bidding starting at $500. You literally can't give away most of the "Model City" areas today. The properties put up for sale last week represented an area the size of New York's Central Park. Total vacant land in Detroit now occupies an area the size of Boston – Detroit properties in foreclosure have more than tripled since 2007.

Every single mayor of Detroit since 1961 has been a Democrat. Every single mayor of Detroit since 1974 has been black. Detroit has been a major recipient of every major social program since the early 1960s and has received hundreds of billions of dollars in government grants, loans, and programs. We now have a black, Democrat president, who is promising to do to America as a whole what his political mentors have done to Detroit.

Those of you with a Democratic political affiliation may think what I've written above is biased or false. You may think what you like. But there is no way to argue that what the government has done to Detroit is anything but a horrendous crime. You may think what I've written above is merely a political analysis. Perhaps so, but politicians drive macroeconomic policy. And macroeconomic policy determines key financial metrics, like the trade-weighted value of a currency and key interest rates.

The likelihood America will become a giant Detroit is growing – rapidly. Politicians now control the banking sector, most of the manufacturing sector (including autos), a large amount of media, and are threatening to take over health care and the production of electricity (via cap and trade rules). These are the biggest threats to wealth in the history of our country. And these threats are causing the world's most accomplished and wealthy investors to actively short sell the United States – something that is unprecedented in my experience.

Regards,

Porter Stansberry

[Rumdog]

You guys are hilarious. Why are you sooo frightened by the evil Obama empire? My life has been going great. Maybe if you did more than just watch and read the news all the time and lived your lives you'd be a little happier with what you've got and not so damned pessimistic about everything. Or you could just become politicians yourselves.

[Bill-SOCAL]

Well here's the scoop on your latest "source" Dr. Jet. And yes, I am attacking him because it is important to know the bias or credibility of sources.

http://briandeer.com/vaxgen/porter-stansberry.htm

http://www.sec.gov/litigation/complaints/comp18090.htm

The guy is a known hypster who dances on the fringes of legality. Excellent source.

Beyond that it still amuses me to no end that seconds before Obama was sworn in the Repubs were STILL blaming Clinton for EVERYTHING. One second after he was sworn in the Repubs immediately blamed Obama. It is like GWB never happened. Too bad that is not reality.

[Efis]

I think you guys are saying no ONE party should have unchecked control of government. Right now if the dems want to pass a $10 trillion spending bill to make the green Jolly Rancher taste even better they can do it (and it wouldn't surprise me). The American people cannot and will not stop them....until August. Will the pendulum of power swing in an equal and opposite direction?

Why do you think everything that has been passed has had a "we've got to do it NOW NOW NOW FOR THE LOVE OF GOD NNNNNNOOOOOWWWWWW!!!" stigma attached to it? Because the August midterm elections are coming.

Blake

[tharmer]

I continues to amaze me that anyone with an IQ greater than their waist size can believe what the Republicans promulgate as fact. E.g. "Death Panels." Palinizers are the worst, but I hope they end up filibustering the bill when it comes back from committee. Then we should put a sign up that says, "Why [insert repub senator name here who is currently filibustering] you are talking, [x] people in your state have died because they didn't have insurance." The republicans have so little regard for the quality of life and the liberty (see the so called Freedom Act] of their citizens. When the repubs were in power they were able to demonstrate the total and complete failure of their financial and social policies. Rather than understand that and try to produce a conservatism that is more realistic and workable, they fled to extremism in the best sense of the fanatic, "...who, when the cause is lost, redoubles his effort." Purging the republican party of its moderates was shameful. Conservatism as a political philosophy is not bad, criminal, or worthless. Only the way the current set of republicans have hijacked, corrupted, and misused it is bad, criminal, and worthless. We've seen what eight years of republican "rule" produced...let's give Obama and the dems their eight years and then we can judge the competing policies. Unfortunately, the republicans started judging about a day after Obama started to try to clean up their mess. Obama could try to pass a bill giving a gazillion dollars to big business, for example the insurance industry and the republicans would line up to repudiate, denigrate, and defeat it. Wait! Isn't that just what happened?

-terry

[domwilson]

I'm still trying to understand the irrational obsession of Obama. Scrutinizing his every move. The guy bows to the emperor of Japan, which is proper greeting, and suddenly he's showing weakness to our advisaries. Since WWII has japan been an advisary? If he bent the other way then I could see concern. The guy makes a speech at a Home Depot and it becomes fodder for the "Obsessionalists."
In any other time, Dick Cheney would have been dismissed as a crazed old man. But some actually listen to his ramblings. Michael Steele looks like he should be sitting on someone's back dash bobbling his head. And be just as silent. Does anyone else see this general obsession with Obama as somewhat questionable and disturbing?

[Darin Jordan]

Does anyone else see this general obsession with Obama as somewhat questionable and disturbing?

I don't see him being scrutinized even as much as Bush was, so NO, I don't find this critique disturbing in the least...

What I do find disturbing is the general level of denial as to what the agenda is, what is being done, and what actions are being carried out...

Seems there is a decent number of people out there who are choosing to ignore what is REALLY happening in the name of supporting some dream-world ideals that "should be"... but never actually ever have been, nor could ever be...

[domwilson]

Being scrutinized and being made fun of are two different things. While I agree that both are probably equal in being made fun of. I see Obama being scrutinized far more than GWB. And to some levels that are in it's simplest description; crazy.

[Steven Vaccaro]

Change? After tax season that's about all I have left.

[Darin Jordan]

Being scrutinized and being made fun of are two different things. While I agree that both are probably equal in being made fun of. I see Obama being scrutinized far more than GWB. And to some levels that are in it's simplest description; crazy.

The Left makes fun of people because they don't really have enough validity in their critisisms to make them stick...

I disagree with you about Obama being scrutinized "more"... but you can believe what you want. While I know you try to protray yourself as a "centrist", you seem to be very defensive of Obama and his actions, which, in my opinion, gives you a Left tilt... The critisism of Obama is warranted, and necessary, and justified, just like it is for any other public official who is spending our $$$ and making laws that I must obide by. When he does something that warrants praise, we'll praise him. And, of course, by their very nature, the left will then start critisizing him...

[domwilson]

The Left makes fun of people because they don't really have enough validity in their critisisms to make them stick...

I disagree with you about Obama being scrutinized "more"... but you can believe what you want. While I know you try to protray yourself as a "centrist", you seem to be very defensive of Obama and his actions, which, in my opinion, gives you a Left tilt... The critisism of Obama is warranted, and necessary, and justified, just like it is for any other public official who is spending our $$$ and making laws that I must obide by. When he does something that warrants praise, we'll praise him. And, of course, by their very nature, the left will then start critisizing him...

The old "If you are not with us, you are against us." scenario. While your opinion is yours, and yours alone. It seems like a deflection towards me. I am not a centrist. But more of a realist. You referenced in the past that you have nothing personal against Obama. That you just don't like his policies. That I can respect and sometimes agree with you on. But Often, people attack the man on a personal or relatively benign subject matter. This gets somewhat tiring and suggests underlying reasons for the attacks. I like discussing various political subjects with you guys. But somehow, it gets taken to a level that is unwarranted and unneccessary. Delving into personal attacks not only of Obama but in those who question the attacks. If you see me as left tilting, leaning, embracing, coddling etc. That's cool. I'll relay that to some who call me conservative, rightwinging, old fashioned, fanatical, etc. and you guys can all have a big laugh at my expense. I'm big enough and strong enough to handle it.

[Darin Jordan]

The old "If you are not with us, you are against us." scenario.

REALLY??? You read THAT into my post???

You have to believe something beyond reality to think most of this stuff is going to work the way they suggest it will... When they are saying one thing, and the CBO says another, and when they promise one thing, and then do another... I'm sorry, but to suggest that this type of behavior should just be accepted and tolerated and to just let it go and "see what happens" and to "give it a chance to work"... is just not acceptable... ALL of this warrants a critical review. I don't care WHO is standing on the podium, or is the mouthpiece at the time...

[Jeff Wohlt]

All I can say is this nation is in a sad state of affairs and not going to get better. Do I blame current leaders...no...I blame most of it over the last 10 years. Not about our childrens future and a better America...what can we do now and forget what it cost since the people have to pay for it.

Other areas systems such as what is being planned will be crashing...Canada's health system will be. My brother lives 40 miles from them in VT and is a healthcare provider and says they are getting so many coming over to get good healthcare from us.

It does make me mad as hell when sides will not agree because of party diffrences and not what is good for the American people. Lobbyists continue to fill pockets to sway votes and get their clients richer. This is about money and not a great care system.

A friggin revolution is what we need!!! This is OUR country folks! How many of you have written or contacted your Rep and Senator? They MUST hear from you. You can ask their assisants how they feel about a bill and how they are expected to vote, etc.

Both Parties are to blame for the BS!!

MAKE THE CALL!