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Posts Tagged ‘Medicaid’

America’s Debt Could Soon Spark A European-Style Crisis

June 23, 2011 Comments off

economictimes

US debtWASHINGTON: America’s rapidly growing national debt could soon spark a European-style crisis unless Congress moves forcefully, the Congressional Budget Office warned Wednesday in a study that underscores the stakes for a bipartisan group working on a plan to reduce red ink.

Republicans seized on the nonpartisan report to renew their push to reduce costs in federal benefit programs such as Medicare, the federal government health care program that benefits the elderly.

At issue is the $9.7 trillion of US debt held by investors and foreign countries like China, the measure that economists deem most important. Government accounts like the Social Security trust funds account for the rest of the $14.3 trillion total debt.

Democrats and Republicans have been stepping up budget talks aimed at averting what could be the disastrous first-ever default on U.S. government debt. A bipartisan group led by Vice President Joe Biden tasked with reaching an agreement has not made the politically difficult compromises on the larger issues, such as Read more…

NIA Releases U.S. Economic and Inflation Update

June 6, 2011 Comments off

inflation.us

The official U.S. unemployment rate rose during the month of May to 9.1%, up from 9% in April, with only 54,000 non-farm jobs being created for the month. The real unemployment rate including short and long-term discouraged workers is now 22.3%. The Bureau of Labor Statistics (BLS) used the birth/death model to produce a positive monthly bias during the month of May of 206,000 jobs, up from 175,000 in April, 117,000 in March, and 112,000 in February. Without the birth/death model, 152,000 jobs were lost during the month of May.

 

By utilizing the birth/death model, the BLS is assuming that during the month of May, the number of new jobs created by start-up businesses were 206,000 greater than the number of jobs lost from companies going out of business. NIA finds this assumption to be Read more…

Pinks Slips Coming For 450,000 State and Local Government Employees in 2012

June 3, 2011 Comments off

shtfplan

In June of 2010 we noted that well known financial sector analyst and the woman who blew the doors open on the 2008 mortgage crisis, Meredith Whitney, was forecasting that two million government employees would see their jobs cut over coming years because of fiscal problems.

It’s happening.

Over 300,000 jobs have been cut in fiscal year 2011, and that number is about to increase 50% going into 2012:

Around 450,000 people who work for U.S. states, counties, cities, towns and villages could get pink slips in fiscal 2012, sharply up from the 300,000 positions shed this year, a report said on Monday.

The number of job cuts will rise mainly because the federal stimulus program Read more…

The Federal Reserve Must Implement QE3

April 7, 2011 Comments off

Gold prices surged today to a new all time high of $1,463.70 per ounce, while silver prices soared to a new 31-year high of $39.785 per ounce. Silver is now up 129% since NIA declared silver the best investment for the next decade on December 11th, 2009, at $17.40 per ounce. The gold/silver ratio is now down to 37, compared to a gold/silver ratio of 66 when NIA declared silver the best investment for the next decade. This means that not only is silver up 129% in terms of dollars since December 11th, 2009, but silver has also increased in purchasing power by 1.78X in terms of gold.

Gold is the world’s most stable asset and the best gauge of inflation. This brand new breakout in the price of gold leads us to believe that the Federal Reserve is getting ready to unleash QE3 at the end of June. The Fed will surely not call it QE3, but NIA can pretty much guarantee that the Fed will continue on with their purchases of U.S. treasuries. If the Fed pauses after QE2, it will mean that treasury bond yields will need to surge to a level where they attract enough private sector and foreign central bank Read more…

China’s Secret Plot to Dump the Dollar

March 26, 2011 1 comment

…and 3 Surprising Places You Should Put Your Money Right Now to Avoid the
Carnage and Prosper.

If you thought the 2008 market freefall was bad, wait until you see what’s on the horizon.

  • The government is spending money like a drunken sailor.
  • Federal printing presses are working at warp speed, cranking out BILLIONS in inflation-feeding bailout dollars.
  • And now China has put a plan into motion that could threaten your solvency… UNLESS Read more…

Tsunami of Inflation to Hit U.S. with Japan Crisis

March 17, 2011 Comments off

inflation.us

The earthquake, tsunami, and nuclear disaster that hit Japan this past week and the destruction that it caused is nothing compared to the tsunami of inflation that will soon hit the U.S. as a result of this crisis. A tsunami of inflation in the U.S. will mean a complete collapse of our monetary system, which could lead to millions of deaths due to a lack of food and heat. 44 million Americans are now dependent on food stamps, but when the U.S. dollar becomes worthless as a result of hyperinflation, the government will no longer have the power to support these Americans and many of them will simply starve to death.

Japan’s citizens were smart enough to save up $885.9 billion in U.S. treasuries to spend in a situation like it finds itself in today. The U.S. has no such savings and is the world’s largest Read more…