Bill Gross: Assets Are $15 Trillion Overvalued and Fed Will Keep Rates At 0% Forever To Keep the Fantasy Alive
By Daniel at 16 November, 2009, 8:25 pm
Henry Blodget| Oct. 28, 2009, 7:17 AM
PIMCO’s Bill Gross with a great monthly letter. Here are the key points:
* Over the past 30 years, paper asset prices rose 2X as much as they should have based on economic fundamentals
* This was the result of leverage
* The asset price rise in turn pumped up the economy’s fundamentals (Soros’s reflexivity)
* The government wants to restore the “old normal” (2007) not the “new normal” (slower growth as asset prices return to trend)
* Therefore… The Fed will keep rates at 0% for at least 18 months into sustained 4% growth
* Next year, when the inventory restocking effect wears off, 4% will be tough
Taking it one step further, Uncle Sam sez the jobless rate is around 10% on a national basis. There you go again, Mr. Sam, giving us the wrong finger again. The unemployment rate is double what you are stating or around 20%. In California, it is closer to 25%. There comes a point when American workers are simply dropped from the rolls and are no longer counted as unemployed. Their benefits have expired, they can’t find a job, and they become non-entities—some of them, including our American Veterans of Foreign Wars, consigned to live in tent cities. There are millions of people like that in the United States. Meanwhile “Hoards across the Border” continues.
There are also millions upon millions of illegal aliens who are taxing the system in one form or another and are not paying taxes into it. This is like having an entire population living underground in a parallel universe. Their children go to school, they shop at grocery stores, they use medical services, especially the emergency rooms, and many of them work but do not pay taxes because they live in a cash economy.
The governments answer to this dilemma is to legalize the importation of millions more thinking that this will be good for the Country. So just at the time when blue collar jobs are at a premium, and minimum wage jobs are even more important, we are going to grant permanent resident status to all who would cross our borders—terrorists included.
To their collective credit, Americans have always been generous. But we are entering a new stage of Bizarro Worldliness. It is time for a little outrage.
http://www.businessinsider.com/henry-blodget-bill-gross-assets-are-15-trillion-overvalued-and-fed-will-keep-rates-at-0-forever-to-keep-the-fantasy-alive-2009-10
In the future this data base could be established at airport terminals for departures and arrivals. It will be an ongoing fight against the opponents such as US chamber of Commerce, ACLU, Council of Foreign Relations, business organizations, agriculture and other groups. It is certain to be a bargaining chip in shoving through another Comprehensive Immigration Reform package, that will devastate America. An overflow of poor, uneducated humanity, looking for free health care will start pouring into our nation. Around the world rumors are already flying that if you slip across the sieve of a border, you can get work as low income and get all your taxes back by lying on the tax form. Tax credits for non-existent supported children is an industry, that costs the US taxpayer billions a year. If Napolitano thinks that –ALL–Democrats will accept another trillion dollar budget deficit, cause by a new BLANKET AMNESTY.
That bridge is still available in Brooklyn..? Very few Republicans will accept another AMNESTY? Not too much chance from Independents. Nor will legal immigrants or ethnic Americans who were born here, fought in four wars. Even people from South of the border are very reticent of allowing more people in, when there is 15 million unemployed. It means millions of low skilled workers would feel the crunch first, as already illegal immigrants who take their wages under the table, especially in Sanctuary States and undermine US labor?
I know quite a few Democrats who signed onto the Obama Presidency that will fight against any travesty called Comprehensive Immigration Reform? The one in 1986 was a complete disaster and unable to handle the sudden in surge of millions of more destitute people, thinking they were going to collect welfare? Our country is overrun with every conceivable crime, that includes murder, child and female violation, document fraud, transporting of illegal aliens, welfare fraud, house invasion, burglary, robbery, spousal abuse, gangs and other heinous activities The biggest scourge is drunken driving, which is killing and maiming citizens and residents on the highways and streets in rampant numbers. Go to THE DARK SIDE OF ILLEGAL IMMIGRATION site for statistics. The doors to America are wide open, but nobody in their right mind is going to accept the first surge of 2-3 million coming from the South when they hear Lady Napolitano proclaiming a new AMNESTY? Those who believe in America’s survival, without OVERPOPULATION as stated by the US Census bureau better read facts, not the lies at NUMBERSUSA. Those who want details of corruption in WASHINGTON and state government go to JUDICIAL WATCH. Overpopulation, traffic hell should go to CAPSWEB. Other sites of interest on Immigration enforcement is ALIPAC and AMERICAN PATROL. We the people have the ultimate power to throw out anti-sovereignty incumbent politicians. Call and command these do-nothings to–STOP–this facade at 202-224-3121.
E-VERIFY OVERTIME CAN REDUCE THE 20-30 MILLION ILLEGAL IMMIGRANTS IN THE WORKPLACE BY “ATTRITION.” WE DON’T NEED DEPORTATION ON A MASSIVE SCALE AS THEY WILL LEAVE ON THERE OWN. POLITICIANS CAN ADD AMENDMENTS TO THE 1986 IMMIGRATION BILL, INSTEAD OF THE TRAVESTY OF FORCING A NEW ONE ON THE FINANCIALLY HURTING AMERICAN PEOPLE?
Bloggers nationwide brought to the public attention the need to stop the infiltration of illegal immigrants in the workplace. Now the voice of –THE PEOPLE–are demanding sealing the borders tight and that every corrupt politician catering to corporate welfare–MUST GO, Starting with Sen.Harry Reid (D-NV) Special attention should be drawn to incorrigible governors, lawmakers, mayors judges and elected officials who have ordained policies of SANCTUARY STATES.
Hopefully E-Verify will become a nationwide vetting system to remove illegal workers from your office or from your factory? It has shown its efficiency, because the open border organizations have moved heaven and earth to smash it? Now it is firmly entrenched in every American workers mind, that it can save their jobs. Even Sen.Harry Reid, who tried to table E-Verify failed miserably and now, is funded for another 3 years. This gives reputable politicians time to make E-Verification mandatory as it’s been evaluated as a good immigration enforcement instrument and it could be introduced for other purposes. As a national legal people’s identifier and combined with other data bases, it usages could be essential to recognize fraudulent drivers license, auto registration. Child support, health care and many other verifications of individual who think they are safe from government. But its main restrictions will to terminate foreign nationals appropriating US workers jobs.
In the future this data base could be established at airport terminals for departures and arrivals. It will be an ongoing fight against the opponents such as US chamber of Commerce, ACLU, Council of Foreign Relations, business organizations, agriculture and other groups. It is certain to be a bargaining chip in shoving through another Comprehensive Immigration Reform package, that will devastate America. An overflow of poor, uneducated humanity, looking for free health care will start pouring into our nation. Around the world rumors are already flying that if you slip across the sieve of a border, you can get work as low income and get all your taxes back by lying on the tax form. Tax credits for non-existent supported children is an industry, that costs the US taxpayer billions a year. If Napolitano thinks that –ALL–Democrats will accept another trillion dollar budget deficit, cause by a new BLANKET AMNESTY.
That bridge is still available in Brooklyn..? Very few Republicans will accept another AMNESTY? Not too much chance from Independents. Nor will legal immigrants or ethnic Americans who were born here, fought in four wars. Even people from South of the border are very reticent of allowing more people in, when there is 15 million unemployed. It means millions of low skilled workers would feel the crunch first, as already illegal immigrants who take their wages under the table, especially in Sanctuary States and undermine US labor?
I know quite a few Democrats who signed onto the Obama Presidency that will fight against any travesty called Comprehensive Immigration Reform? The one in 1986 was a complete disaster and unable to handle the sudden in surge of millions of more destitute people, thinking they were going to collect welfare? Our country is overrun with every conceivable crime, that includes murder, child and female violation, document fraud, transporting of illegal aliens, welfare fraud, house invasion, burglary, robbery, spousal abuse, gangs and other heinous activities The biggest scourge is drunken driving, which is killing and maiming citizens and residents on the highways and streets in rampant numbers. Go to THE DARK SIDE OF ILLEGAL IMMIGRATION site for statistics. The doors to America are wide open, but nobody in their right mind is going to accept the first surge of 2-3 million coming from the South when they hear Lady Napolitano proclaiming a new AMNESTY? Those who believe in America’s survival, without OVERPOPULATION as stated by the US Census bureau better read facts, not the lies at NUMBERSUSA. Those who want details of corruption in WASHINGTON and state government go to JUDICIAL WATCH. Overpopulation, traffic hell should go to CAPSWEB. Other sites of interest on Immigration enforcement is ALIPAC and AMERICAN PATROL. We the people have the ultimate power to throw out anti-sovereignty incumbent politicians. Call and command these do-nothings to–STOP–this facade at 202-224-3121.