Listen and Talk to Your Emails

As an iPhone power user, I’ve been frustrated for years by the inability to have my emails spoken out loud … in the same way that Siri can read text messages out loud.

A new, free app fixes that.

Specifically, Talkler allows me to read all of my emails out loud while I’m driving, to delete emails I don’t want, and even to reply with verbal recordings to the email senders.

Here’s a screenshot showing what the basic Talkler interface looks like when you’re reading an email:

You’re going to be listening and talking most of the time … not looking at the interface. However, Talkler’s interface is clean and easy-to-use.

As one example, if you’re phone is on the seat next to you while you’re driving, you can tap anywhere on the screen once to pause an email, and tap again to start playing again.  Or you can scroll to the left to play the previous email, or to the right to play the next email.  In other words, you can control a lot of basic functions manually without looking at your phone.

Talker understands a variety of verbal commands:

And it understands quite a few synonyms and alternative phrases for those commands.

Power users can fiddle with the settings:

The one problem with Talkler is that it does not yet support outlook. The developers say they’re hard at work making it Outlook-compatible.

Try Talkler … We think you’ll like it.

Postscript:  There are other apps which read emails out loud … but they are buggy, and don’t work as well as advertised.

We’re not receiving any money or other perks from Talker.  We just think this is a killer app …

Forget “Peak Oil” and “Peak Credit” … Are We On the Downslope of “Peak Intelligence”?

Scientists say that we have much smaller brains than our ancestors had 20,000 years ago … and we might have gotten stupider since agriculture became widespread.

Indeed, Huffington Post reports that we’ve probably gotten dumber than even our Victorian ancestors:

A provocative new study suggests human intelligence is on the decline. In fact, it indicates that Westerners have lost 14 I.Q. points on average since the Victorian Era.

******

As for Dr. te Nijenhuis and colleagues, they analyzed the results of 14 intelligence studies conducted between 1884 to 2004, including one by Sir Francis Galton, an English anthropologist and a cousin of Charles Darwin. Each study gauged participants’ so-called visual reaction times — how long it took them to press a button in response to seeing a stimulus. Reaction time reflects a person’s mental processing speed, and so is considered an indication of general intelligence.

***

In the late 19th Century, visual reaction times averaged around 194 milliseconds, the analysis showed. In 2004 that time had grown to 275 milliseconds. Even though the machine gauging reaction time in the late 19th Century was less sophisticated than that used in recent years, Dr. te Nijenhuis told The Huffington Post that the old data is directly comparable to modern data.

Other research has suggested an apparent rise in I.Q. scores since the 1940s, a phenomenon known as the Flynn Effect. But Dr. te Nijenhuis suggested the Flynn Effect reflects the influence of environmental factors — such as better education, hygiene and nutrition — and may mask the true decline in genetically inherited intelligence in the Western world.

This new research was published in the April 13 issue of Intelligence.

There are several theories for why we are getting dumber, including the following (the first 2 come from the HuffPost article):

(1) Dr. Jan te Nijenhuis points to the fact that women of high intelligence tend to have fewer children than do women of lower intelligence. This negative association between I.Q. and fertility has been demonstrated time and again in research over the last century.

(2) “The reduction in human intelligence … would have begun at the time that genetic selection became more relaxed,” Dr. Gerald Crabtree, professor of pathology and developmental biology at Stanford University, told The Huffington Post in an email. “I projected this occurred as our ancestors began to live in more supportive high density societies (cities) and had access to a steady supply of food. Both of these might have resulted from the invention of agriculture, which occurred about 5,000 to 12,000 years ago.”

(3)  Humans evolved to eat a lot of Omega 3s:

Wild game animals have much higher levels of essential Omega 3 fatty acids than domesticated animals. Indeed, leading nutritionists say that humans evolved to consume a lot of Omega 3 fatty acids in the wild game and fish which they ate (more), and that a low Omega 3 diet is a very new trend within the last 100 years or so.

In other words, while omega 3s have just now been discovered by modern science, we evolved to get a lot of omega 3s … and if we just eat a modern, fast food diet without getting enough omega 3s, it can cause all sorts of health problems.

So something just discovered by science can be a central fuel which our bodies evolved to use.

Omega 3s – in turn – boost intelligence and help prevent cognitive decline.

Similarly, Science Daily notes:

Exposure to specific bacteria in the environment, already believed to have antidepressant qualities, could increase learning behavior, according to research presented at the 110th General Meeting of the American Society for Microbiology in San Diego.

“Mycobacterium vaccae is a natural soil bacterium which people likely ingest or breath in when they spend time in nature,” says Dorothy Matthews of The Sage Colleges in Troy, New York, who conducted the research with her colleague Susan Jenks.

***

“We found that mice that were fed live M. vaccae navigated the maze twice as fast and with less demonstrated anxiety behaviors as control mice,” says Matthews.

In a second experiment the bacteria were removed from the diet of the experimental mice and they were retested. While the mice ran the maze slower than they did when they were ingesting the bacteria, on average they were still faster than the controls.

Obviously, we don’t get in as much soil as our ancestors did.

(In addition, some bacteria in our gut greatly influence brain function.  Most native cultures ate fermented foods containing healthy bacteria.)

(4)  Exercise boosts intelligence … and our ancestors got a lot more exercise than we do!

In addition, high levels of cortisol – the chemical released by the body when one is under continuous, unrelenting stress – and poverty can physically impair the brain and people’s ability to learn.

On the other hand, relaxing activities like meditation and prayer have been shown to increase brain mass and connectivity in certain areas of the brain.

Hunter-gatherers had more leisure time – and a more playful attitude – than we do today.

(5) Toxic chemicals in the environment can reduce intelligence.  Examples include flame retardant, lead (found in many lipsticks), certain pesticides (and see this and this), and fluoride.

Fed Pours Huge Sums Into Foreign Bank Coffers

We noted even before the TARP bailout law was signed into law that bailout moneys could flow to foreign banks.

We were right. A large percentage of the bailouts went to foreign banks (and see this). And so did a huge portion of the money from quantitative easing. More here and here.

Ron Paul noted in 2011 that essentially 100% of New York Federal Reserve Bank loans went to foreign banks.

A former high-level Federal Reserve official said that the Fed is secretly bailing out Europe.

The Fed has bailed out Gaddafi’s Libyan bank, the Arab Banking Corporation of Bahrain, and the banks of Bavaria, Korea and Mexico … but has shafted normal Americans.

The Financial Times reported in February:

Foreign banks also have a striking amount of cash at the Fed, potentially aggravating the Fed’s PR problem. Analysts at Stone & McCarthy noted recently that there had been a steep increase in foreign banks placing reserves at the Fed and suggested that “US banks may have distaste for the opportunistic arbitrage”, between lower market rates and the interest on reserves, whereas overseas institutions “might not feel encumbered in the same fashion”.

Canada’s TD Bank, Germany’s Deutsche Bank and Switzerland’s UBS each have more than $12bn at the Fed.

Yesterday, Zero Hedge provided an update to this story.  ZH reports that the Fed’s quantitative easing program has injected huge sums into foreign banks:

The latest H.8 report demonstrates, as of the most recently weekly data, the Fed’s policies have led to foreign banks operating in the US holding an all time high amount of reserves, surpassing $1 trillion for the first time, or $1,033 billion to be precise.

This means that, as we expected several months ago, the only recipient of ongoing Fed money printing are not US banks, but foreign banks operating in the US. For those confused about the big picture, here is a chart showing the breakdown of cash held by big and small US banks as well as foreign banks, superimposed to total reserves created by the Fed since the start of the Great Financial Crisis. The correlation is 100%.

And just to prove that ALL the unsterilized cash from both QE2 and QEternity has essentially gone to support offshore banks, here is the conclusive chart showing the change in Fed reserves and cash held by foreign banks:

Finally, tying it all together, here is chart showing cash at US banks vs cash at foreign banks operating in the US. At $1.03 trillion in foreign cash, the Fed’s policies have once again led to more cash being held by foreign banks than all cash held by domestic banks.

We are confident that we speak for all when we say: “Thank you Ben – insolvent foreign banks appreciate your ongoing QE2 and QEternity-funded generosity“

In a separate report, ZH notes that Bank of Korea Governor Kim Choong-soo said:

World may face rate risk if U.S. exits from QE

Too bad that quantitative easing doesn’t help Main Street or the average American. It only helps big banks, giant corporations, and big investors. And by causing food and gas prices skyrocket, it takes a bigger bite out of the little guy’s paycheck, and thus makes the poor even poorer.

And it’s a shame that a study of 124 banking crises by the International Monetary Fund foundthat bailing out banks which are only pretending to be solvent  – like most of the big banks – harms the economy.

And what a farce that:

The bailout money is just going to line the pockets of the wealthy, instead of helping to stabilize the economy or even the companies receiving the bailouts:

• Bailout money is being used to subsidize companies run by horrible business men, allowing the bankers to receive fat bonuses, to redecorate their offices, and to buy gold toilets and prostitutes

• A lot of the bailout money is going to the failing companies’ shareholders

• Indeed, a leading progressive economist says that the true purpose of the bank rescue plans is “a massive redistribution of wealth to the bank shareholders and their top executives”

• The Treasury Department encouraged banks to use the bailout money to buy their competitors, and pushed through an amendment to the tax laws which rewards mergers in the banking industry (this has caused a lot of companies to bite off more than they can chew, destabilizing the acquiring companies)

A confluence of events last week has me reminiscing about the days gone by and apprehensive about the future. I’ve spent a substantial portion of my adulthood rushing to baseball fields, hockey rinks, gymnasiums, and school auditoriums after a long day at work. I’d be lying if I said I enjoyed every moment. Watching eight year olds trying to throw a strike for two hours can become excruciatingly mind-numbing. But, the years of baseball, hockey, basketball, and band taught my boys life lessons about teamwork, sportsmanship, winning, losing, hard work, and having fun. There were championship teams, awful teams and of course trophies for finishing in 7^th place. As my boys have gotten older and no longer participate in organized sports, the time commitment has dropped considerably. Last week was one of those few occasions where I had to rush home from work, wolf down a slice of pizza and head out to a school function. It was the annual 8^th grade Spring concert.

My youngest son was one of a hundred kids in the 8^th grade choir. I think it was mandatory, since none of my kids like to sing. As my wife and I found a seat in the back of the auditorium where we could make a quick escape at the conclusion of the show, neither of us were enthused with the prospect of spending the next ninety minutes listening to off-key music and lame songs. I’ve been jaded by sitting through these ordeals since pre-school. But a funny thing happened during my 30^th band concert. I began to feel sentimental about the past and sorrowful for the future for these Millennials.

The Millennial generation was born between 1982 and 2004. Therefore, they range in age from 9 years old to 31 years old. There are approximately 87 million of them, or 27.5% of the U.S. population. In comparison, the much ballyhooed Boomer generation only has 65 million cohorts remaining on this earth. The Millennials will have a much greater influence on the direction of this country over the next fifteen years than the currently in control Boomers. There has been abundant scorn heaped upon this young generation by their elders. In a fit of irrationality befit the arrogant, hubristic, delusional elder generations, they somehow blame a cohort in which 54 million of them are still younger than 21 years old for many of the ills afflicting our society. This disgusting display of hubris is par for the course among these delusional elders.

Are Millennials addicted to their iGadgets, cell phones and Facebook pages? Probably. Do they spend too much time on the internet and playing PS3 & Xbox? Certainly. Have they been indoctrinated in social engineering gibberish like diversity and planet worship by government run public school bureaucrats? Absolutely. Are they young, foolish, immature, irrational and not respectful towards their elders? You betcha. Teenagers have acted like this forever. You acted like that. The ongoing crisis in this country and our unsustainable economic system are in no way the result of anything perpetrated by the Millennial generation.

Can the Millennial generation be blamed for the $17 trillion national debt, $222 trillion of unfunded un-payable social obligations promised by corrupt politicians, $1 trillion of annual deficits, undeclared wars being waged across the globe on behalf of the military industrial complex arms dealer mega-corporations, economic policies that have resulted in 48 million people dependent on food stamps, tax policies that enrich those who write the code, trade policies that benefit corporations who gutted the industrial base and shipped jobs overseas to slave labor factories, or monetary policies that have destroyed 96% of the dollar’s purchasing power? They had no say in the creation of our untenable welfare/warfare state.

There are no Millennials among the 535 corrupt bought off politicians slithering down the halls of Congress. There are no Millennials running the Too Big To Control Wall Street banks. There are no Millennials in charge of the mega-corporations that buy and sell our politicians. There are no Millennials at the upper echelon of the Military Industrial Complex or in the upper ranks of the U.S. Military. But, and this is a big but, they have done most of the dying in the Middle East over the last ten years in our multiple undeclared preemptive wars of aggression. They have died under the false pretenses of a War on Terror, when they are truly dying on behalf of the crony capitalists who profit from never ending war. They have been fighting and dying to protect “our oil” that happens to be under “their sand”. If the energy independence storyline was true, why is our military perpetually at war in the Middle East?

The Millennials will also be required to do the heavy lifting over the next fifteen years of this Fourth Turning Crisis. The Silent Generation is dying off rapidly. The Boomer generation has done some hard living and some hefty eating and with the oldest of their cohort hitting 70 years old, their supremacy will begin to diminish over the coming fifteen years. At 87 million strong, and millions yet to reach voting age, the Millennials will become more influential by the day regarding the future course of this nation. The question is what will be left of this country by the time they assume control. They are saddled with $1 trillion of student loan debt, peddled to them by the government and Wall Street with the false promise of good paying jobs and the opportunity for a better life than their parents lived. They have obediently followed the path laid out by their elders, but they have been badly misled. This American dream has been shattered upon an iceberg of debt, delusion, deception and denial. The unsinkable American empire’s hubris and arrogance are leading to its demise. The Millennials are coming of age during a Crisis that will reach momentous magnitudes over the next fifteen years, and they had nothing to do with creating the circumstances which will propel the chaos and anarchy that ensues. But, they will bear the brunt of the dreadful consequences.

Generational Bridge

“The Boomers’ old age will loom, exposing the thinness in private savings and the unsustainability of public promises. The 13ers will reach their make or break peak earning years, realizing at last that they can’t all be lucky exceptions to their stagnating average income. Millennials will come of age facing debts, tax burdens, and two tier wage structures that older generations will now declare intolerable.” – Strauss & Howe - The Fourth Turning

The kids on the stage at the 8^th grade Spring concert were all around 14 years old. They are unaware they are in the midst of a twenty year period of Crisis. The boys are at that gawky looking stage with pimply faces and gawky limbs. The girls mature quicker than the boys at that age. These youngsters have barely begun their lives. I was amazed at their proficiency with a wide variety of musical instruments. They displayed poise and talent. The soloists exhibited composure well beyond their years. The performers were all musically endowed and proved that hard work and practice pays off. They were clearly enjoying themselves. They were all dressed in their Sunday best. I found myself enjoying the show despite my jaded attitude upon entering the auditorium. Even my son, wearing one of my ties, actually appeared to be singing during the choir performance. What I saw were hundreds of bright eyed Millennials with their hopes and dreams for a bright future intact. They have no idea what trials and tribulations await them.

I reached a milestone on the age chart last week that had me ruminating about yesteryear and contemplating the future. I reached the half century mark. Birthdays generally do not faze me, but the intersection of the 8^th grade concert and my landmark birthday had me pondering my purpose for inhabiting this world. I’ve likely realized two-thirds of my life. The final third of my life will be spent trying to maneuver through the minefields of this Fourth Turning. I’m a father to three Millennial boys. I consider it my duty to defend and support them during this Crisis. Strauss & Howe wrote their book in 1997 and predicted a Great Devaluation in the financial markets around the time Millennials were entering their twenties. This Crisis began in September 2008 with the worldwide financial collapse created by Wall Street “Greed is Good” Boomers, as the oldest Millennials entered their twenties. It continues to worsen as more Millennials approach their twenties. We’ve reached a point in history when the elder generations need to sacrifice in order to insure younger generations have a chance at some form of the American dream.

I believe each generation has an obligation to future generations. We are bridge between preceding generations and future generations. We have a civic obligation to manage the resources of the country in a prudent manner. It’s our duty to leave the country in a financially viable condition so younger generations have an opportunity to live a better life than their parents. Every generation that preceded the Millennials has achieved the goal of having a better standard of living than their parents. I don’t believe my boys will enjoy a better life than I’ve lived. We’ve lived well beyond our means for decades. Government, Wall Street banks, corporations and individuals have run up a $56 trillion tab and are sticking the Millennials with the bill.

The $17 trillion national debt accumulated by elder generations to benefit themselves and $222 trillion of unfunded entitlements promised to themselves is nothing but generational theft. It’s immoral and possibly the most selfish act in human history. I’m ashamed that my generation and older generations have committed this criminal act of theft. Deficit spending today with no intention of repaying that debt is a tax on future generations. This egotistical abuse of power by the current and past regimes must be reversed voluntarily or it will be done by force. I’m 50 years old and will dedicating my remaining time on this earth fighting to create a sustainable future for my kids and their kids. The lucky among us get eighty years on this planet to make a difference. When did the definition of success become dying with the most toys and spending your life screwing your fellow man by accumulating obscene levels of wealth at their expense? If Boomers and Generation X have any sense of guilt about what they have done, they would be willingly offering to sacrifice their ill-gotten entitlements.

Not only are those currently in power not proposing to scale back their spending, debt accumulation, or entitlement transfers, but they have accelerated the pace of each in the last five years. An already unsustainable corrupted economic structure is being driven towards collapse by psychopathic central bankers and cowardly captured politicians. These are acts of treason against the youth of this country and larceny on a grand scale. It will lead to generational warfare and these crooks will pay for their transgressions. Strauss & Howe suspected in 1997 the elders might cling to their illicit profits acquired at the expense of the Millennials:

“When young adults encounter leaders who cling to the old regime (and who keep propping up senior benefit programs that will by then be busting the budget), they will not tune out, 13er – style. Instead, they will get busy working to defeat or overcome their adversaries. Their success will lead some older critics to perceive real danger in a rising generation perceived as capable but naïve.” – Strauss & Howe - The Fourth Turning

The elders who represent the status quo do perceive real danger in the rising Millennial generation. The initial skirmishes occurred in the midst of the Occupy protests. The young protestors initially focused on the true culprits in the crashing of the financial system and vaporizing of the net worth of millions – Wall Street bankers and their sugar daddy at the Federal Reserve. In a display of status quo bipartisanship you had liberal Democrat mayors in cities across the country call out their armed thugs to beat the millennial protestors into submission while being cheered on by Fox News and the neo-cons.

The existing status quo regime provides the illusion of choice, but both political parties are interchangeable in their desire to control our lives, flex our military might around the globe, indebt future generations and write laws to favor their corporate and banking masters. The establishment is showing contempt for the futures of our youth. Their solutions to the criminally created financial crisis have been to reward reckless debtors and bankers at the expense of future generations. Their doling out of hundreds of billions in student loan debt and artificial propping up of home prices has effectively made it impossible for millions of young people to get their lives started. Boomers have done such a poor job saving for their retirements they are unable to leave the workforce. Since January 2009, despite adding $400 billion of student loan debt, Millennials have a net loss in jobs, while the Boomers have taken 4 million jobs.

Strauss & Howe anticipated that older people would be anguished to see good kids suffer for the mistakes they had made. They thought the elders couldn’t possibly be shallow enough, selfish enough, or immoral enough to deny the Millennial generation a chance at the American Dream. They were wrong. The old regime has no plans to step aside or sacrifice on behalf of younger generations. The implications of this resistance will be dire.

“The youthful hunger for social discipline and centralized authority could lead Millennial youth brigades to lend mass to dangerous demagogues. The risk of class warfare will be especially grave if the 20% of Millennials who were poor as children (50% in inner cities) come of age seeing their peer-bonded paths to generational progress blocked by elder inertia.” – Strauss & Howe - The Fourth Turning

The social mood in this country continues to deteriorate as the sociopathic financial elite accelerate their pillaging of the working middle class, steal money from senior citizens through zero interest rate inflationary policies, and enslave our youth in the chains of crushing debt and promise of dead end jobs. When the next leg down in this ongoing depression strikes like an F5 tornado, the simmering anger in this country will explode in a chaotic frenzy of violence and retribution. The chances of class and generational warfare have increased exponentially due to the actions of the elderly regime over the last five years.

Generational Sacrifice

“You got your whole life ahead of you, but for me, I finish things.” – Walt Kowalski – Gran Torino

A couple days after the Spring concert I was flipping through the 650 channels on my TV with nothing worth watching when I stumbled across the 2008 Clint Eastwood movie Gran Torino. This was the third episode within the week that had me thinking about the future of my kids. It was his highest grossing film in history. Eastwood played a bigoted tough guy Korean War veteran whose Detroit suburban neighborhood had deteriorated into a dangerous gang infested Asian war zone. The movie did not follow the standard Eastwood plot where he kills dozens of bad guys. He grudgingly befriends two young Millennial teenage Laos refugees who live next door. He had lost his wife of 50 years. He was in his 70s and dying from some undiagnosed illness. I viewed the movie as an allegory for the generational sacrifice that should be taking place now.

Eastwood’s character, Walt Kowlaski, decided to finish things his way. He realized the two Millennials would never find peace or have a chance at a better life until the criminal gang running the show in the neighborhood were confronted and defeated. He knew he was too old to kill six gang members singlehandedly, so he made a choice to sacrifice himself and be gunned down in cold blood in front of multiple witnesses so the perpetrators would go to jail and allow his Millennial companions to have a chance at a better life. He sacrificed his life for the good of young people who weren’t even related to him. This message has not connected with the elder generations who control the purse strings and political system in this country. The media propaganda machine supporting the existing regime continues to peddle a storyline that debt doesn’t matter, consumption is good, saving is for suckers, and passing the bill for unfunded entitlements to future generations is not immoral and cowardly. Walt Kowalski displayed courage, bravery, and valor that is sorely lacking in the elderly generations today.

At the age of 50 I have a choice with my remaining 20 or 30 years. I can choose to keep accumulating material goods with debt, voting for politicians who promise never to cut my entitlements, believing deficits growing to infinity are beneficial to the economic health of the nation, supporting the military industrial complex as they wage undeclared wars across the world, applauding the Orwellian fascist surveillance measures instituted to give the illusion of safety while sacrificing freedoms and liberties and selfishly looking out for my best interests. Or I can stand up to the corporate fascist old boy regime and lure them into a violent response that will ultimately lead to their downfall. I’m willing to sacrifice what is supposedly “owed” to me on behalf of my kids and all Millennials. They don’t deserve to start life in a $200 trillion hole created by their parents and grandparents. It is disconcerting to me that more Boomer and Generation X parents are unprepared, unwilling or too willfully ignorant to forfeit entitlements awarded them under false pretenses in order to preserve a decent standard of living for their children and grandchildren. The Bernaysian propaganda programmed into their brains over decades by the sociopathic central planning status quo has created this inertia.

The inertia will be replaced by frenzied activity when this unsustainable system ultimately fails. Time seems to be standing still. People have been lulled into a false sense of security even though history is about to fling us into a chaotic transformational period in history. How do I know this is going to happen? Because it happens every eighty years like clockwork. The best laid plans of the men running the show will be swept away in a whirl of pandemonium, violence, war and reckoning for sins committed against humanity. There will be no escape.

“Don’t think you can escape the Fourth Turning the way you might today distance yourself from news, national politics, or even taxes you don’t feel like paying. History warns that a Crisis will reshape the basic social and economic environment that you now take for granted. The Fourth Turning necessitates the death and rebirth of the social order. It is the ultimate rite of passage for an entire people, requiring a luminal state of sheer chaos whose nature and duration no one can predict in advance. The risk of catastrophe will be very high. The nation could erupt into insurrection or civil violence, crack up geographically, or succumb to authoritarian rule. If there is a war, it is likely to be one of maximum risk and effort – in other words, a total war. Every Fourth Turning has registered an upward ratchet in the technology of destruction, and in mankind’s willingness to use it.” – Strauss & Howe - The Fourth Turning

Our country has entered a period of Crisis. We may or may not successfully navigate our way through the visible icebergs and more dangerous icebergs just below the surface. The similarities between the course of our country and the maiden voyage of the Titanic are eerily allegorical.

The owners of the ship (Wall Street, Washington politicians, crony capitalists) are arrogant and reckless. They declare the ship unsinkable, while only providing half the lifeboats needed to save all the passengers in case of disaster in order to maximize their profits. The captain (Ben Bernanke) has been tendered the greatest cruise liner (United States) in history. The initial voyage across the Atlantic Ocean has drawn the financial elite ruling class (financers & bankers) onboard, occupying the luxurious state rooms on the upper decks. But, the lower decks are filled with young poor peasants (Millennials) who are sneered at and ridiculed by those in the upper decks. A maiden voyage should always be approached cautiously. A prudent captain would not take undue risks.

Our captain (Ben Bernanke) wants to make his mark on history. He considers himself an expert in navigating dangerous waters (Great Depression) because he studied dangerous waters at his Ivy League school. It doesn’t matter that he never actually captained a ship in the real world. He declares full steam ahead (reducing interest rates to 0% and throwing vast amounts of fiat currency into the engine room boilers). Midway through the voyage, the captain is handed a telegram warning of icebergs (potential financial catastrophe) ahead. If he slows down the vessel, he will not set the speed record and receive the accolades of an adoring public. He ignores the warning and steams on to his rendezvous (eternal disgrace) with destiny.

In the middle of the night, the lookouts (Ron Paul, John Hussman, Zero Hedge) cry iceberg!! But, it is too late. The great ship (United States) has struck an enormous iceberg (debt & currency crisis). At first, it seems like everything will be OK. The captain and crew assure the passengers that everything is under control and their evasive action has saved the ship. But below the waterline, the great ship (United States) is taking on water (toxic levels of debt, un-payable entitlement promises, trillion dollar deficits, political & financial corruption). The engine room (Federal Reserve) works frantically to alleviate the damage (QE to infinity). The captain is sure the compartmentalization of the ship will save it. One of the designers of the ship (David Stockman) sadly declares that the ship will surely sink. The captain orders the band (CNBC, Fox, MSNBC, CNN) on deck to distract the passengers from their impending fate with soothing music. The owners of the ship (Wall Street, Washington politicians, crony capitalists) aren’t worried. They collected their fees upfront and over-insured the vessel. They anticipate a windfall when the ship sinks. It worked last time.

To avoid mass panic, the crew (government apparatchiks) has locked the youthful poor peasants (Millennials) below deck. The captain and his crew are content to let them go down with the ship. They’ve decided the women, children, and senior citizens (Middle Class) can also be sacrificed. The financial elite ruling class (financers and bankers) are piling into the boats with the ship’s jewels, escaping the fate of the peasants. The captain (Ben Bernanke) has no intention of going down with the ship. In a cowardly act, he leaps onto the 1st lifeboat to be launched. We are on a voyage of the damned. The great cruise liner (United States) has a fatal wound and is headed for a watery grave. Are we going to let the owners, captain and crew dictate who will be saved in the few lifeboats or will we rise up and throw these guilty parties overboard?

It comes down to the abuse of power by a few evil men and their henchmen as they have centralized their control over our financial, political, economic and social institutions. The existing social order is an ancient, rotting, fetid swamp of parasites that will be drained during this Fourth Turning. The Millennials are rising and will be the spearhead of the coming revolution. As each day passes they will become a more powerful force and the power of the existing regime will wane. Meanwhile, the band will play on as the ship of state descends into the abyss.

Liberals and Conservatives Agree that the IRS Engages in Political Witch Hunts

Liberal website Mediaite and conservative Ron Paul agree on one thing …

The IRS targets political opponents under virtually every administration.

Mediaite reports:

The indispensable libertarian journalist James Bovard pointed out in the Wall Street Journal this morning that since its inception, the IRS has often used its enormous power and information-gathering skills for explicitly political ends.

Bovard explained how President Franklin D. Roosevelt, often revered as a hero by political progressives, used the tax collecting agency to pester those who opposed his enormous expansion of the federal government under the New Deal. During his three-and-a-half terms as president, the Roosevelt IRS took swings at anti-New Deal publishers like William Randolph Hearst and political rivals like prominent Republican Andrew Mellon and radical populist Huey Long.

Naturally, the fun didn’t end there. Another beloved president, John F. Kennedy later “raised the political exploitation of the IRS to an art form,” Bovard wrote, by launching an Organizations Audit Project that specifically targeted right-leaning groups like the American Enterprise Institute and the Foundation for Economic Education.

Bovard notes how Republican President Richard Nixon later picked up where Kennedy left off: “More than 10,000 individuals and groups were targeted because of their political activism or slant between 1969 and 1973, including Nobel Laureate Linus Pauling (a left-wing critic of the Vietnam War) and the far-right John Birch Society.” In the 1990s, Bill Clinton‘s IRS was found to have audited many conservative groups that were named in a White House report on groups and individuals critical of the Democratic president.

Was this current administration the next big culprit in line? Nope. Salon’s Alex Seitz-Wald points out that Obama’s predecessor, Republican George W. Bush, oversaw a great deal of IRS political harassment of left-leaning groups that criticized the administration. Progressive churches were targeted for their “political” sermons against the Iraq War while conservative pro-Bush churches were left alone under the same rules. Bush’s IRS also deliberately targeted Greenpeace, the NAACP, and other progressive NGOs.

During the Bush era, Rep. Walter Jones (R-NC) was one of the very few Republicans to call for an investigation into the fishy auditing practices of the IRS ….

Ron Paul writes:

“What do you expect when you target the President?” This is what an Internal Revenue Service (IRS) agent allegedly said to the head of a conservative organization that was being audited after calling for the impeachment of then-President Clinton. Recent revelations that IRS agents gave “special scrutiny” to organizations opposed to the current administration’s policies suggest that many in the IRS still believe harassing the President’s opponents is part of their job.

As troubling as these recent reports are, it would be a grave mistake to think that IRS harassment of opponents of the incumbent President is a modern, or a partisan, phenomenon. As scholar Burton Folsom pointed out in his book New Deal or Raw Deal, IRS agents in the 1930s where essentially “hit squads” against opponents of the New Deal. It is well-known that the administrations of John F. Kennedy and Lyndon Johnson used the IRS to silence their critics. One of the articles of impeachment drawn up against Richard Nixon dealt with his use of the IRS to harass his political enemies. Allegations of IRS abuses were common during the Clinton administration, and just this week some of the current administration’s defenders recalled that antiwar and progressive groups alleged harassment by the IRS during the Bush presidency.

The bipartisan tradition of using the IRS as a tool to harass political opponents suggests that the problem is deeper than just a few “rogue” IRS agents—or even corruption within one, two, three or many administrations. Instead, the problem lays in the extraordinary power the tax system grants the IRS.

The IRS routinely obtains information about how we earn a living, what investments we make, what we spend on ourselves and our families, and even what charitable and religious organizations we support. Starting next year, the IRS will be collecting personally identifiable health insurance information in order to ensure we are complying with Obamacare’s mandates. [For background, see this and this.]

The current tax laws even give the IRS power to marginalize any educational, political, or even religious organizations whose goals, beliefs, and values are not favored by the current regime by denying those organizations “tax-free” status. This is the root of the latest scandal involving the IRS.

Obviously, the fact that “everyone does it” is no defense. No one should do it … And anyone who does should be prosecuted.

Antiwar v. FBI

We’ve pointed out that there’s a much bigger story behind the AP and Fox spying scandal.

As we’ve reported for years, the government treats folks who speak out against war as potential terrorists.

We noted in 2011:

Anti-war websites like AntiWar.com are listed on various terrorist watchlists: see number 16 here, and number 37 here.

AntiWar’s sin? It is (according to the watchlists):

An unusual site, essentially an isolationist right-wing/libertarian site consciously designed to appeal to anti-war activists from the left as well.

The irony, of course, is [that] Americans want to put a stop to perpetual warfare …

Today, Antiwar.com – with the help of the ACLU – filed suit against the FBI:

Antiwar.com is taking the FBI to court.

The website’s founder and managing editor Eric Garris, along with longtime editorial director Justin Raimondo, filed a lawsuit in federal court today, demanding the release of records they believe the FBI is keeping on them and the 17-year-old online magazine.

Antiwar.com says this is one more example of post-9/11 government overreach, and a stark reminder that the First Amendment has been treated as little more than a speed bump on the road to a government surveillance state. The lawsuit is particularly timely, considering recent scandals in which the Department of Justice secretly seized months of journalists’ phone records at the Associated Press, and did the same and more to a FOX News reporter, while the IRS is acknowledging it singled out conservative groups that criticize the government for extra scrutiny.

Suddenly, the press is more aware than ever that the state has the ability to secretly monitor its activities, heretofore thought of as constitutionally protected from government interference and intimidation.

“Freedom of the press is a cornerstone of our democracy, whether it’s AP or Antiwar.com,” said Julia Harumi Mass, staff attorney for the American Civil Liberties Union of Northern California, which is representing Antiwar.com in the case. “FBI surveillance of news organizations interferes with journalists’ ability to do their jobs as watchdogs that hold the government accountable.”

The suit was filed on Tuesday at the United States District Court, Northern District of California, San Francisco Division. Both Garris and Raimondo live and work in the San Francisco Bay area.

According to the suit, the ACLU has made several futile attempts to obtain the FBI files since a reader alerted Garris and Raimondo to this lengthy FBI memo in 2011. The details in question begin at page 62 of the heavily redacted 94-page document. It’s clear from these documents, the suit alleges, that the FBI has files on Garris and Raimondo, and at one point the FBI agent writing the April 30, 2004 memo on Antiwar.com recommends further monitoring of the website in the form of opening a “preliminary investigation …to determine if [redaction] are engaging in, or have engaged in, activities which constitute a threat to national security.”

“On one hand it seemed almost funny that we would be considered a threat to national security, but it’s very scary, because what we are engaging in is free speech, and free speech by ordinary citizens and journalists is now being considered a threat to national security and they don’t have to prove it because the government has the ability to suppress information and not disclose any of their activities – as witnessed with what is going on now at the AP and other things,” said Garris.

“The government’s attitude is they want to know all, but they want the public to know as little as possible.”

In response, the ACLU began filing requests in December 2011 under the Privacy Act and Freedom of Information Act (FOIA) for any records the FBI was currently holding on Antiwar.com, which describes itself as a Libertarian-inspired project of the Randolph Bourne Institute. It was clear from reading the memo that Antiwar.com came under the radar in part for its mission, which is characterized as publishing a non-interventionist “online magazine and research tool designed to keep the American people and the world informed about the overseas plans of the American government.” [Full disclosure, this writer is a regular contributor].

While openly acknowledging that we have an agenda, the editors take seriously our purely journalistic mission, which is to get past the media filters and reveal the truth about America’s foreign policy. Citing a wide variety of sources without fear or favor, and presenting our own views in the regular columns of various contributors, we clearly differentiate between fact and opinion, and let our readers know which is which.

The website was also targeted, according to the FBI memo, for links it published to counter-terrorism watch lists (which were already in the public domain), and for the people who were visiting Antiwar.com and/or talking it up at rallies. The FBI noted at least two of Raimondo’s columns and wondered openly, “who are (Antiwar.com’s) contributors and what are the funds utilized for?” This, after acknowledging there was no evidence of any crime being plotted or committed.

“This illustrates the troubling, continuing efforts of the federal government to monitor protected speech activity without evidence or even allegation of criminal activity,” said Mass, who explained that there are specific prohibitions against such surveillance and record-keeping in the 1974 Privacy Act [5 U.S.C 552a(e)(7)].

After Raimondo wrote about the FBI memo in August 2011, which at the time, independent journalist Marcy Wheeler at EmptyWheel.net deemed a “troubling story,” Antiwar.com started losing donors, and according to the lawsuit, it was big time.

In October 2011, one of Antiwar.com’s major donors withdrew his financial support from Antiwar.com out of concern that the FBI would monitor him if he continued to provide, as he wished to do, financial support to Antiwar.com. Since then, three significant donors have also withdrawn financial support, citing their fear that FBI interest in Antiwar.com would lead to surveillance of the donors as a reason for withdrawing financial support. As a result, Antiwar.com has lost about $75,000 per year since 2011 in otherwise expected contributions.

Reached over the weekend, Wheeler, who routinely investigates and reports on the impact of post-9/11 government surveillance on civil liberties for EmptyWheel.net, voiced her concern about the apparent FBI surveillance of Antiwar.com and its far-reaching implications.

“It’s likely (the) FBI is hiding one or another things: Bush era investigations into the peace community that were improper to start with, and/or the degree to which First Amendment activities have become one reason to investigate completely innocent activity,” she said.

After a series of FOIA requests, amended requests and empty responses, Garris and Raimondo have “received no agency determination setting forth whether Defendant FBI intends to produce records or any basis for withholding them,” since the last request dated May 24, 2012. Taking it to court, Mass said, is the next step.

“Our clients are entitled to obtain records the FBI has gathered about them and their online magazine,” she said. “This is especially important because the FBI’s surveillance has impacted our clients’ ability to maintain support for their website and has impacted their editorial choices– exactly the type of harm the First Amendment is supposed to protect against.”

***

[One of the reasons that the FBI was investigating the non-interventionist website is because] an article that listed Antiwar.com as a reference was handed out in 2002 at a “peaceful protest” at a British air base in the U.K.

***

“There are several unanswered questions regarding www.antiwar.com,” reads the FBI memo. “It describes itself as a non-profit group that survives on generous contributions from its readers. Who are these contributors and what are the funds used for?”

***

The unidentified agent writing the memo concludes, “it is recommended that ECAU (Electronic Communications Analysis Unit) further monitor the postings on the website … it is recommended that a PI (preliminary investigation) is opened to determine if [line redacted] have engaged in, or are engaging in, activities which constitute a threat to national security on behalf of a foreign power.”

This is the decisive point of the memo as it pertains to Antiwar.com: that Garris and Raimondo and Antiwar.com, for writing about a particularly sensitive subject and for linking to information that is already circulating around the Internet, may be a “threat to national security on behalf of a foreign power,” and therefore subject to secret surveillance. That would make any journalist, who say, linked a story to documents published by Wikileaks, which is currently under federal investigation, suspect too, surmised the plaintiffs.

“This sort of government activity is so chilling because it puts the fear of government at a higher level, and among the news media,” said Garris, noting the negative effect that federal leak investigations are already having on the free press. “Once the people aren’t able to get information, the government can, potentially, have unlimited power.”

According to Mass, the ACLU is filing a separate, administrative request to the FBI to find and further expunge any files it may have on Garris and Raimondo.

“The government,” concluded Mass, “cannot keep records about people’s exercise of free speech unless it is related to a criminal investigation.”

The government is spying on every American … and treating peaceful protesters as potential terrorists.

As we noted in March, the Constitution is on the ropes:

The threat of being labeled a terrorist for exercising our First Amendment rights certainly violates the First Amendment.   The government is using laws to crush dissent, and it’s gotten so bad that even U.S. Supreme Court justices are saying that we are descending into tyranny.

For example, the following actions may get an American citizen living on U.S. soil labeled as a “suspected terrorist” today:

• Being young (if you live near a battle zone, you are fair game; and see this)

• Using social media

• Reporting or doing journalism

• Speaking out against government policies

• Protesting anything (such as participating in the “Occupy” movement)

• Questioning war (even though war reduces our national security; and see this)

• Criticizing the government’s targeting of innocent civilians with drones (although killing innocent civilians with drones is one of the main things which increases terrorism. And see this)

• Asking questions about pollution (even at a public Congressional hearing?)

• Paying cash at an Internet cafe

• Asking questions about Wall Street shenanigans

• Holding gold

• Creating alternative currencies

• Stocking up on more than 7 days of food (even though all Mormons are taught to stockpile food, and most Hawaiians store up on extra food)

• Having bumper stickers saying things like “Know Your Rights Or Lose Them”

• Investigating factory farming

• Infringing a copyright

• Taking pictures or videos

• Talking to police officers

• Wearing a hoodie

• Driving a van

• Writing on a piece of paper

• (Not having a Facebook account may soon be added)

And holding the following beliefs may also be considered grounds for suspected terrorism:

• Being frustrated with “mainstream ideologies”

• Valuing online privacy

• Supporting Ron Paul or being a libertarian

• Liking the Founding Fathers

• Being a Christian

• Being anti-tax, anti-regulation or for the gold standard

• Being “reverent of individual liberty”

• Being “anti-nuclear”

• “Believe in conspiracy theories”

• “A belief that one’s personal and/or national “way of life” is under attack”

• “Impose strict religious tenets or laws on society (fundamentalists)”

• “Insert religion into the political sphere”

• “Those who seek to politicize religion”

• “Supported political movements for autonomy”

• Being “anti-abortion”

• Being “anti-Catholic”

• Being “anti-global”

• “Suspicious of centralized federal authority”

• “Fiercely nationalistic (as opposed to universal and international in orientation)”

• “A belief in the need to be prepared for an attack either by participating in … survivalism”

• Opposing genetically engineered food

• Opposing surveillance

Attack on the Press

You know that the Department of Justice tapped scores of phone lines at the Associated Press.

You might have heard that the Attorney General of the United States isn’t sure how often reporters’ records are seized.

You might have learned that the Department of Justice is prosecuting a whistleblower regarding North Korea … as well as the chief Washington correspondent for Fox News who reported on what the whistleblower told him.  As the Washington Post notes:

[Department of Justice investigators] used security badge access records to track the reporter’s comings and goings from the State Department, according to a newly obtained court affidavit. They traced the timing of his calls with a State Department security adviser suspected of sharing the classified report. They obtained a search warrant for the reporter’s personal e-mails.

You might have read that the Department of Justice Inspector General published a new report today saying that former U.S. Attorney for Arizona Dennis Burke leaked a document intended to smear Operation Fast and Furious scandal whistleblower John Dodson, concluding:

We believe this misconduct to be particularly egregious because of Burke’s apparent effort to undermine the credibility of Dodson’s significant public disclosures about the failures in Operation Fast and Furious. We further believe that the seriousness of Burke’s actions are aggravated by the fact that they were taken within days after he told Deputy Attorney General Cole that he took responsibility for his office’s earlier unauthorized disclosure of a document to The New York Times, and after Cole put him on notice that such disclosures should not occur. Burke also knew at the time of his disclosure of the Dodson memorandum that he was under investigation by OPR for his conduct in connection with the earlier disclosure to The New York Times. As a high-level Department official, Burke knew his obligations to abide by Department policies and his duty to follow the instructions of the Deputy Attorney General, who was Burke’s immediate supervisor.

And you may even have caught ABC News’ report today that an armed minder trailed reporters … preventing them from being able to talk to whistleblowers:

As we traveled the public hallways of the building – watched over by security cameras – an armed uniformed police officer with the Federal Protective Service followed us. We were looking for a particular office—of someone who would not want to be seen talking to reporters–but chose to bypass it because of our official babysitter.

Asked why we were being escorted in a public building, the officer identified himself as Insp. Mike Finkelstein and said he was only trying to make sure that the newsmen were not a “nuisance.” He brushed aside further questions. The cop said a supervisor would call to explain.

One of the reporters wanted to know if the act of following the journalists was an effort intended to scare off any federal employee who might have considered speaking to the press. That’s sure what it looked like; and, even if that wasn’t the goal, it was the effect.

As of Friday night, no supervisor had called back.

After ABC News phoned and e-mailed the spokespeople in Washington repeatedly for more than 24 hours, a low-level staffer with Homeland Security finally responded. “After review by a supervisor, it was determined that the inspector acted according to proper security procedures and that no improper conduct occurred,” the spokesman said.

But there have been many similar scandals over the last couple of years.  For example:

• The Pentagon recently smeared USA Today reporters  because they investigated illegal Pentagon propaganda

• Reporters covering the Occupy protests were targeted for arrest

• The Bush White House worked hard to smear CIA officers,  bloggers and anyone else who criticized the Iraq war

• After Pulitzer Prize winning journalist Chris Hedges, journalist Naomi Wolf, Pentagon Papers whistleblower Daniel Ellsberg and others sued the government to enjoin the NDAA’s allowance of the indefinite detention of Americans – the judge asked the government attorneys 5 times whether journalists like Hedges could be indefinitely detained simply for interviewing and then writing about bad guys. The government refused to promise that journalists like Hedges won’t be thrown in a dungeon for the rest of their lives without any right to talk to a judge

• An al-Jazeera journalist – in no way connected to any terrorist group – was held at Guantánamo for six years … so the U.S. could find out about the Arabic news network. And see this

• Indeed, reporters who even speak with whistleblowers may be treated as terrorists.  And see this

In an effort to protect Bank of America from the threatened Wikileaks expose of the bank’s wrongdoing, the Department of Justice told Bank of America to a hire a specific hardball-playing law firm to assemble a team to take down WikiLeaks (and see this).

Wikileaks’ head Julian Assange could face the death penalty for his heinous crime of leaking whistleblower information which make those in power uncomfortable … i.e. being a reporter.

But – whatever you think of Wikileaks – that was the canary in the coal mine in terms of going after reporters.  Specifically, former attorney general Mukasey said the U.S. should prosecute Assange because it’s “easier” than prosecuting the New York Times.

Subsequently, Congress considered a bill which would make even mainstream reporters liable for publishing leaked information.

Journalist and former constitutional lawyer Glenn Greenwald notes today:

The Washington Post’s Karen Tumulty [says that "The alternative to 'conspiring' with leakers to get information: Just writing what the government tells you."]

That, of course, is precisely the point of the unprecedented Obama war on whistleblowers and press freedoms: to ensure that the only information the public can get is information that the Obama administration wants it to have. That’s why Obama’s one-side games with secrecy – we’ll prolifically leak when it glorifies the president and severely punish all other kinds – is designed to construct the classic propaganda model. And it’s good to see journalists finally speaking out in genuine outrage and concern about all of this.

***

Here’s an amazing and revealing fact: after Richard Nixon lost the right to exercise prior restraint over the New York Times’ publication of the Pentagon Papers, he was desperate to punish and prosecute the responsible NYT reporter, Neil Sheehan. Thus, recounted the NYT’s lawyer at the time, James Goodale, Nixon concocted a theory:

“Nixon convened a grand jury to indict the New York Times and its reporter, Neil Sheehan, for conspiracy to commit espionage . . . .The government’s ‘conspiracy’ theory centered around how Sheehan got the Pentagon Papers in the first place. While Daniel Ellsberg had his own copy stored in his apartment in Cambridge, the government believed Ellsberg had given part of the papers to anti-war activists. It apparently theorized further that the activists had talked to Sheehan about publication in the Times, all of which it believed amounted to a conspiracy to violate the Espionage Act.”

As Goodale notes, this is exactly “the same charge Obama’s Justice Department is investigating Assange under today,” and it’s now exactly the same theory used to formally brand Fox’s James Rosen as a criminal in court.

Indeed, this is not a partisan issue.  Bush was worse than Nixon on unlawful spying and harassment of reporters … but so is Obama.

Whistleblower Witch Hunt

But Obama has gone after whistleblowers more viciously than Bush, Nixon, or any president in history.  Indeed, the Obama administration has prosecuted more whistleblowers than all other presidents combined.

And the government goes out of its way to smear whistleblowers and harass honest analysts.

Even high-level government employees are in danger. For example, after the head of the NSA’s spying program – William Binney – disclosed the fact that the U.S. was spying on everyone in the U.S. and storing the data forever, and that the U.S. was quickly becoming a totalitarian state, the Feds tried to scare him into shutting up:

[Numerous] FBI officers held a gun to Binney’s head as he stepped naked from the shower. He watched with his wife and youngest son as the FBI ransacked their home. Later Binney was separated from the rest of his family, and FBI officials pressured him to implicate one of the other complainants in criminal activity. During the raid, Binney attempted to report to FBI officials the crimes he had witnessed at NSA, in particular the NSA’s violation of the constitutional rights of all Americans. However, the FBI wasn’t interested in these disclosures. Instead, FBI officials seized Binney’s private computer, which to this day has not been returned despite the fact that he has not been charged with a crime.

Other NSA whistleblowers have also been subjected to armed raids and criminal prosecution.

After high-level CIA officer John Kiriakou blew the whistle on illegal CIA torture, the government prosecuted him for espionage.

Even the head of the CIA was targeted with extra-constitutional spying  and driven out of office.

The Most Gagged Person in the History of the United States

One example of the extreme gagging of whistleblowers is former FBI translator Sibel Edmonds.

The ACLU described Edmonds as:

The most gagged person in the history of the United States of America.

Edmonds has been deemed credible by the Department of Justice’s Inspector General, several senators (free subscription required), and a coalition of prominent conservative and liberal groups.

Edmonds’ allegations have been confirmed by numerous Pentagon, MI6 and FBI officials, including 18-year FBI counter-intelligence expert John Cole.

Famed Pentagon Papers whistleblower Daniel Ellsberg says that Edmonds possesses information “far more explosive than the Pentagon Papers”.

Ellsberg also said that the government has ordered the media not to cover 9/11:

Ellsberg seemed hardly surprised that today’s American mainstream broadcast media has so far failed to take [former FBI translator and 9/11 whistleblower Sibel] Edmonds up on her offer, despite the blockbuster nature of her allegations [which Ellsberg calls "far more explosive than the Pentagon Papers"].

As Edmonds has also alluded, Ellsberg pointed to the New York Times, who “sat on the NSA spying story for over a year” when they “could have put it out before the 2004 election, which might have changed the outcome.”

“There will be phone calls going out to the media saying ‘don’t even think of touching it, you will be prosecuted for violating national security,’” he told us.

* * *

“I am confident that there is conversation inside the Government as to ‘How do we deal with Sibel?’” contends Ellsberg. “The first line of defense is to ensure that she doesn’t get into the media. I think any outlet that thought of using her materials would go to to the government and they would be told ‘don’t touch this . . . .‘”

Indeed, the mainstream British newspaper the Sunday Times started publishing a series of articles exposing the scandal which Edmonds had uncovered.   But U.S. State Department pressure killed the series.

What are Edmonds’ allegations … that the media is too cowardly to report … that the most famous whistleblower in history calls “more explosive than the Pentagon Papers”?

Among other things, Edmonds says that the U.S. government worked with Bin Laden and his top lieutenant 3 months after 9/11 … as part of an ongoing operation of launching war under false pretenses.

Now that would be a big story if true, wouldn’t it?

The mainstream media is finally awakening to the fact we are flirting with tyranny … and is finally starting to push back.

The best defense is a strong offense, and it is use it or lose it time for the Constitution and Bill of Rights.

The press should shake of its sleepiness and start talking to the whistleblowers (like Edmonds)  it’s been ignoring for years … to find out what the government is working so hard to hide.

European Union Launches Investigation Into Manipulation of Oil Prices Since 2002

CNN reports:

The European Commission raided the offices of Shell, BP and Norway’s Statoil this week as part of an investigation into suspected attempts to manipulate global oil prices spanning more than a decade.

None of the companies have been accused of wrongdoing, but the controversy has brought back memories of the Libor rate-rigging scandal that rocked the financial world last year.

***

A review ordered by the British government last year in the wake of the Libor revelations cited “clear” parallels between the work of the oil-price-reporting agencies and Libor.

“[T]hey are both widely used benchmarks that are compiled by private organizations and that are subject to minimal regulation and oversight by regulatory authorities,” the review, led by former financial regulator Martin Wheatley, said in August . “To that extent they are also likely to be vulnerable to similar issues with regards to the motivation and opportunity for manipulation and distortion.”

***

In a report issued in October, the International Organization of Securities Commissions — an association of regulators — said the ability “to selectively report data on a voluntary basis creates an opportunity for manipulating the commodity market data” submitted to Platts and its competitors.
Responding to questions from IOSCO last year, French oil giant Total said the price-reporting agencies, or PRAs, sometimes “do not assure an accurate representation of the market and consequently deform the real price levels paid at every level of the price chain, including by the consumer.” But Total called Platts and its competitors “generally… conscientious and professional.”

***

“Even small distortions of assessed prices may have a huge impact on the prices of crude oil, refined oil products and biofuels purchases and sales, potentially harming final consumers,” the European Commission said this week.

USA Today notes:

The Commission … said, however, that its probe covers a wide range of oil products — crude oil, biofuels, and refined oil products, which include gasoline, heating oil, petrochemicals and others.

***

The EU said it has concerns that some companies may have tried to manipulate the pricing process by colluding to report distorted prices and by preventing other companies from submitting their own prices.

***

Unlike oil futures, which set prices for contracts, the data used in the MOC process is based on the physical sale and purchase of actual shipments of oil and oil products.

***

According to Statoil, the EU investigation stretches back to 2002, which is when Platts launched its MOC price system in Europe. The suspicion is that some companies may have provided inaccurate information to Platts to affect the oil products’ pricing, presumably for financial gain.

Fox points out:

At issue is whether there was collusion to distort prices of crude, refined oil products and ethanol traded during Platts’ market-on-close (MOC) system – a daily half-hour “window” in which it sets prices.

But the European Commission also is examining whether companies were prevented from taking part in the price assessment process.

The Guardian writes:

The commission said the alleged price collusion, which may have been going on since 2002, could have had a “huge impact” on the price of petrol at the pumps “potentially harming final consumers”.

Lord Oakeshott, former Liberal Democrat Treasury spokesman, said the alleged rigging of oil prices was “as serious as rigging Libor” – which led to banks being fined hundreds of millions of pounds.

He demanded to know why the UK authorities had not taken action earlier and said he would ask questions of the British regulator in Parliament. “Why have we had to wait for Brussels to find out if British oil giants are ripping off British consumers?” he said. “The price of energy ripples right through our economy and really matters to every business and families.”

***

Shadow energy and climate change secretary Caroline Flint said: “These are very concerning reports, which if true, suggest shocking behaviour in the oil market that should be dealt with strongly.

“When the allegations of price fixing in the gas market were made, Labour warned that opaque over-the-counter deals and relying on price reporting agencies left the market vulnerable to abuse.

“These latest allegations of price fixing in the oil market raise very similar questions. Consumers need to know that the prices they pay for their energy or petrol are fair, transparent and not being manipulated by traders.”

Shadow financial secretary to the Treasury Chris Leslie said: “If oil price fixing has taken place it would be a shocking scandal for our financial markets.

The Telegraph reports:

“97 per cent of all we eat, drink, wear or build has spent some time in a diesel lorry,” said a spokesman for FairFuel UK, the lobbyists. “If it is proved, they have been gambling with the very oxygen of our economy.”

***

Platts – to determine the benchmark price – examines just trades in the final 30 minutes of the trading day. A group of half a dozen analysts gather round a trading screen and decide on the final price. As with much that goes on in the City, it is a surprisingly old-fashioned method, reliant on gentlemanly conduct. Critics say it leaves the market open to abuse, and the price can suddenly spike or fall in the final minutes of the day.

The New York Times notes of agencies like Platt and Argus Media:

Their influence is extensive. Total, the French oil giant, estimated last year that 75 to 80 percent of crude oil and refined product transactions were linked to the prices published by such agencies.

The Observer writes that manipulation of the oil markets has long been an open secret:

Robert Campbell, a former price reporter at another PRA, Argus – he is now a staffer at Thomson Reuters, which also competes with Platts and others on providing energy news and data – said this a few days ago in a little-noticed commentary: “The vulnerability of physical crude price assessments to manipulation is an open secret within the oil industry. The surprise is that it took regulators so long to open a formal probe.”

Reuters points out that the probe may be expanding to the U.S.:

In Washington, the chairman of the Senate energy committee asked the Justice Department to investigate whether alleged price manipulation has boosted fuel prices for U.S. consumers.

“Efforts to manipulate the European oil indices, if proven, may have already impacted U.S. consumers and businesses, because of the interrelationships among world oil markets and hedging practices,” Sen. Ron Wyden (D-Ore.), chairman of the Senate Energy and Natural Resources Committee, wrote in a letter to Attorney General Eric H. Holder Jr.

Wyden also asked Justice to investigate whether oil market manipulation was taking place in the United States.

Not only are petroleum products a multi-trillion dollar market on their own, but manipulation of petroleum prices would effect virtually every market in the world.

For example, the Cato Institute notes how many industries use oil:

U.S. industries use petroleum to produce the synthetic fiber used in textile mills making carpeting and fabric from polyester and nylon. U.S. tire plants use petroleum to make synthetic rubber. Other U.S. industries use petroleum to produce plastic, drugs, detergent, deodorant, fertilizer, pesticides, paint, eyeglasses, heart valves, crayons, bubble gum and Vaseline.

The India Times explains that:

The price variation in crude oil impacts the sentiments and hence the volatility in stock markets all over the world. The rise in crude oil prices is not good for the global economy. Price rise in crude oil virtually impacts industries and businesses across the board. Higher crude oil prices mean higher energy prices, which can cause a ripple effect on virtually all business aspects that are dependent on energy (directly or indirectly).

The Federal Reserve Bank of San Francisco points out:

When gasoline prices increase, a larger share of households’ budgets is likely to be spent on it, which leaves less to spend on other goods and services. The same goes for businesses whose goods must be shipped from place to place or that use fuel as a major input (such as the airline industry). Higher oil prices tend to make production more expensive for businesses, just as they make it more expensive for households to do the things they normally do.

***

Oil price increases are generally thought to increase inflation and reduce economic growth.

***

Oil prices indirectly affect costs such as transportation, manufacturing, and heating. The increase in these costs can in turn affect the prices of a variety of goods and services, as producers may pass production costs on to consumers.

***

Oil price increases can also stifle the growth of the economy through their effect on the supply and demand for goods other than oil. Increases in oil prices can depress the supply of other goods because they increase the costs of producing them. In economics terminology, high oil prices can shift up the supply curve for the goods and services for which oil is an input.

High oil prices also can reduce demand for other goods because they reduce wealth, as well as induce uncertainty about the future (Sill 2007). One way to analyze the effects of higher oil prices is to think about the higher prices as a tax on consumers (Fernald and Trehan 2005).

The Post Carbon Institute notes (via OilPrice.com) that high oil prices raise food prices as well:

The connection between food and oil is systemic, and the prices of both food and fuel have risen and fallen more or less in tandem in recent years (figure 1). Modern agriculture uses oil products to fuel farm machinery, to transport other inputs to the farm, and to transport farm output to the ultimate consumer. Oil is often also used as input in agricultural chemicals. Oil price increases therefore put pressure on all these aspects of commercial food systems.

Figure 1: Evolution of food and fuel prices, 2000 to 2009
Sources: US Energy Information Administration and FAO.

Economists Nouriel Roubini and Setser note that all recessions after 1973 were associated with oil shocks.

Interest Rates Are Manipulated

Unless you live under a rock, you know about the Libor scandal.

For those just now emerging from a coma, here’s a recap:

• The big banks have conspired for years to rig interest rates … upon which $800 trillion in assets are pegged

• This was the largest insider trading scandal ever … and the largest financial scam in world history

• Local governments got ripped off bigtime by the Libor manipulation

• Libor is still being manipulated

Derivatives Are Manipulated

The big banks have long manipulated derivatives … a $1,200 Trillion Dollar market.

Indeed, many trillions of dollars of derivatives are being manipulated in the exact same same way that interest rates are fixed: through gamed self-reporting.

Gold and Silver Are Manipulated

The Guardian and Telegraph report that gold and silver prices are “fixed” in the same way as interest rates and derivatives – in daily conference calls by the powers-that-be.

Everything Can Be Manipulated through High-Frequency Trading

Traders with high-tech computers can manipulate stocks,  bonds, options, currencies and commodities. And see this.

Manipulating Numerous Markets In Myriad Ways

The big banks and other giants manipulate numerous markets in myriad ways, for example:

• Engaging in mafia-style big-rigging fraud against local governments. See this, this and this

• Shaving money off of virtually every pension transaction they handled over the course of decades, stealing collectively billions of dollars from pensions worldwide. Details here, here, here, here, here, here, here, here, here, here, here and here

• Charging “storage fees” to store gold bullion … without even buying or storing any gold . And raiding allocated gold accounts

• Committing massive and pervasive fraud both when they initiated mortgage loans and when they foreclosed on them (and see this)

• Pledging the same mortgage multiple times to different buyers.  See this, this, this, this and this.  This would be like selling your car, and collecting money from 10 different buyers for the same car

• Cheating homeowners by gaming laws meant to protect people from unfair foreclosure

• Pushing investments which they knew were terrible, and then betting against the same investments to make money for themselves. See this, this, this, this and this

• Engaging in unlawful “frontrunning” to manipulate markets. See this, this, this, this, this and this

• Engaging in unlawful “Wash Trades” to manipulate asset prices. See this, this and this

• Otherwise manipulating markets. And see this

• Participating in various Ponzi schemes. See this, this and this

• Charging veterans unlawful mortgage fees

• Cooking their books (and see this)

• Bribing and bullying ratings agencies to inflate ratings on their risky investments

You literally have nothing more valuable to attend to (registration info here, including for only Sunday evening; Monday evening is free).

Among public banking’s available benefits:

• State budget deficits end as state-owned banks create at-cost credit. The US has only one state with increasing budget surpluses: the only one with a state-owned bank.
• State taxes are entirely paid with ~5% public mortgages and credit.
• Trillions in taxpayer surpluses are returned from documented government CAFRs (Comprehensive Annual Financial Report) as at-cost credit replaces rainy-day funds.
• Truth in banking opens debt-free money: US national debt is ended forever, and we have full employment for the best infrastructure we can imagine (documentation here, here, here).
• Truth in banking and money can open truth everywhere: unlawful US wars can end, poverty can end, trillions of more dollars returned in the broader economy, and even truth from corporate media.

Trillions in taxpayer surpluses are returned: California’s Comprehensive Annual Financial Report (CAFR) shows ~$100 billion in surplus taxpayer accounts that dwarf the $16 billion budget deficit. California also has ~$500 billion in claimed “investments” for pension costs. But the state received only $1 billion net from $500 billion “invested” (one-fifth of one percent) while Wall Street investors received over $2 billion in fees. The entire state has ~14,000 different government entities with CAFR taxpayer surplus totals conservatively data-sampled at the game-changing sum of $8 trillion ($650,000 surplus assets per California household).

The idea of a state budget deficit in light of this sum is tragic-comic!

Importantly and related to CAFR trillions hidden in plain sight, remember that McKinsey’s former Chief Economist James Henry documents from similar public documents that $21 to $32 trillion are held in off-shore tax havens. These assets were transferred there by the same “masters” who tell the 99% that there somehow is no money to fund infrastructure: we must accept overcrowded schools, crumbling roads, and watch vulnerable human beings suffer and die from poverty.

Of course, when we have useful work to be done, available resources and labor, and are told by the same “masters” that what is missing to connect them is green paper, this becomes a helpful public lesson in critical thinking and civic competence. Please remember also that because infrastructure investment returns more economic output than the cost of investment, the results are full employment, the best infrastructure we can imagine, and falling prices.

So, while it would be helpful to reclaim these trillions, we don’t need them when we create public money and credit at our command. We would only need to reclaim them from those who acquired these trillions through criminal fraud. And I recommend Truth & Reconciliation for those criminals among our 1%.

In context of the above bullet points:

• Florida economist and Governor candidate Farid Khavari documents that 2% mortgages, 6% credit cards, and 3-4% commercial and vehicle loans would replace all state taxes. A floating interest rate could also cover state budget deficits.
• Monetary reform creates debt-free money to directly pay for public goods and services. Because infrastructure returns more economic benefits than costs, we have astounding triple benefits: government could become employer of last resort for infrastructure investment (creating full employment), falling prices because economic output increases more than infrastructure investment cost, and the best infrastructure we can imagine. Creating debt-free money is certainly another tool to end state budget deficits (documentation here, here, here).
• Being on a roll for Truth also frees other money: unlawful US wars can end, poverty can end that also increases productivity, and trillions of more dollars returned in the broader economy from other areas of parasitic oligarchic behaviors “covered” from public understanding by corporate media.

Each of the bullet-point topics will have its own article to explain in detail within the context of public banking, along with an open letter to economics teachers/professors, and a final call to the public for their action. Those links will be added at my hub articles at Washington’s Blog and Examiner.com as I complete them.