only beneficiary out of the tax bill from hell will be the corporate/state axis. By setting aside the automatic sequestration
program reductions for a typical irresponsible useless promise the McConnell, Biden reach tentative
deal on sequester, con insults the intelligence of any rational taxpayer.
negotiating parties reached an agreement to delay it by two months with some spending cuts to offset the delay."
Without a serious reduction in the rate of growth, much less a real shrinking in
federal expenditures, deficit spending will shoot up higher than an addicted junkie. Examine the mess.
"According to the Congressional Budget Office, the last-minute fiscal cliff deal
reached by congressional leaders and President Barack Obama cuts only $15 billion in spending while increasing tax revenues
by $620 billion—a 41:1 ratio of tax increases to spending cuts."
This factor alone provides ample evidence
that the economy will sustain another substantial hit. Treading water is no way to save yourself when you are swimming inside
a whirlpool of spiraling intensity or diving into a pool drained of water.
2013 is likely to be another generous year for the financial vultures. Mergers and acquisitions may well come back
‘with a vengeance’, as international corporatists push hard for even greater consolidation. The suspect "Free
Trade" cabal has enormous support and protection from the selected public officials that administer a plutocrat economy.
Even under the distractions of higher taxes on the super affluent, their wealth will grow dramatically, as public subsistence
becomes more dependent on government handouts.
very good for the governing bureaucrat. This New Year provides immense promises for government expansion. The crowding out
of the credit markets for private business will continue as an inevitable result of public sector borrowing hitting new highs.
Private firms will struggle as disposable funds become rarer. The consumer has
shown remarkable restrains since the 2008 meltdown, but the internal built up demand for lifestyle replacement standards will
not generate the economic activity that so many financial experts tout.
Prospects of an intensified reoccurrence of the persistent recession are far more likely. The sustainability of Federal
Reserve monetization has limits. The crucial test of this desperate repurchase of debt created obligations will play out in
the bond market.
Another down grade of the U.S. credit status
over the next political battle of raising the borrowing limit is a major concern. The potential free fall of the Dollar and
international abandonment of the reserve currency standing is probably the greatest risk to the economy.
Any credit-based economy is at the mercy of the central banksters. Disregarding
the phony political rhetoric of the governance ideologues, the basic constructs of economic facts cannot be separated from
the harsh reality of a credit crunch.
Inflation is embedded
in the under reported consumer pricing statistics. Grocery prices will rise, while food stamps proliferate. This SNAP economy
is a telltale gauge of the wellness of the basic consumer. How can anyone believe that the prospects for a healthy economy
are in the cards for 2013?
The one unassailable conclusion
that is born out with every turn of the financial page is that the rich become richer, while the middle class struggles even
harder to make ends meet.
Many will fall into the trap that
rich people are the cause of the problem. Such social envy misses a proper perspective on wealth creation. The real reason
why the economy scrambles to democratize medium affluence is that the monopolists of politically protected conglomerates suppress
initiative and originative employment entrepreneurial enterprises.
entire political and tax system operates to diminish the chances of small business to compete against the virtual unrestricted
capital access of major public companies. 2013 will be a watershed year that regretfully will see the systemic demise of privately
The replacement of free enterprise, with state/capitalism
has produced a fascist economy.
When the establishment operates
under the favoritism principle, the inevitable result is that crony capitalists dig the graves of independent business operators,
with publicly funded shovels. How under this formula can the ordinary citizen expect to prosper when the supplanting of individual
intuitive is intentionally marginalized?
The financial markets
reflect uncertainty in the face of record corporate receipts. The balance sheets of companies have been rebuilt from the depth
of the housing implosion, with much assistance from public indebtedness. The globalist banks practice distress acquisitions,
deliberately designed to solidify interdependency at the price of personal autonomy.
With this acceleration of financial austerity for the average citizen, the gap between the corporate economy and
the main street market grows exponentially. Whatever degree of cash flow that the country enjoys in this New Year, the price
that will be paid to stretch out one last celebration of former fortune, will inescapably result in national poverty.
Just blaming the one percent ignores the institutional corruption that perpetrates
the war against the middle class. Hoping for a thriving 2013 dismisses the abject State of the Nation. The only relevant question
unanswered is whether the beleaguered taxpayer will revolt or just swallow another dose of Obama collectivism.
James Hall – January 2, 2013