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The yield on treasury bills dropped to their lowest yield on record after the Fed did its $600 billion trick last week – much like what happened in Japan in the 1990s. The yield actually became negative at times in Japan in the last 20 years as it continued to flood the financial markets with more and more money. And that didn’t help; Japan has still not recovered.

The United States, like Japan, is suffering from an internal decrease in demand for products and housing because of negative intrinsic population growth beginning 40 years ago. Decreased demand and decreased consumption from fewer consumers cannot be cured with financial programs.

Stock prices are increasing because bond yields, treasury yields and interest rates are falling … not because of a better economy.  What will happen to stock prices, pension funds, 401k accounts when interest rates increase again?  Look at Japan and Europe as the examples.   Both are struggling, increased money supply has not helped, and so now both are calling for increases to their birth rates.

Because this administration will not step up to this problem of decreased demand from low birth rates, it is succumbing to the pressure of Wall Street to artificially inflate stock prices. The Fed is flooding the financial markets with additional capital to decrease interest rates, which then drives up stock prices. The Fed is causing even bigger problems for the future with its current manipulations.  The only ones who win are on Wall Street – and they were big donors to Obama in 2008.

Obama called on Republicans in his Saturday radio address to compromise, to join his team helping correct the economy – when it has been the Democrats who have not compromised or included the Republicans since 2007 when Democrats took control of Congress.  He said that America wants his agenda pursued and that people are just frustrated with the economy, but not his agenda.

The task of rescuing the nation continues. Read more in Michael Master’s “Save America Now! The New Revolution to Save Freedom and Liberty”

Presumptive Speaker John Boehner says that Republicans were elected on Nov 2 to stop the Obama agenda, cut the size of government, cut spending and repeal the “insurance” bill.  He pointed out that government is accountable to the voters and that the voters were clear in their message.  He encouraged Obama and Democrats to join the Republican effort to do the will of the voters.

A standoff is in the making.

Obama says that he wants to cut government spending, but also says he does not want to cut taxes as much as Republicans because he needs the tax revenue to pay for his programs (huh?).

So, let me get this straight. Obama wants to take money out of the economy so he can spend it on what he wants, and then he wants the Fed to replace it with money that will cause interest rates to decrease.

That is nonsense. The lack of business expertise in this administration is frightening.

To add more nonsense to the equation, Obama thinks that he can replace the decreased American consumption with more export business. Obama claimed that his trip to Asia would open up new markets for American goods, goods that cost three times more to make in the U.S. than what they cost to make in Asia.  The only goods America makes that are not available at substantially cheaper prices in Asia are military weapons.  So is Obama selling military weapons to Asia?  Or is he selling them our surplus lawyers and defeated Democrats?

The Democratic Party incurred the largest amount of losses in the federal and state elections of 2012 since the losses of the Republican Party in 1932.

The American people have rejected the agenda of Barrack Hussein Obama.

Are the Republicans going to have the courage to stop Obama? Will they reject his spending, his use of the Fed and his unending programs?

In addition, will the Republican House ask for proof of Obama’s citizenship before the next election?  Will it subpoena his college applications, his passports and his long-form birth certificate since the Democratic House did not do this job before the last election?  The Democrat-controlled House vetted McCain’s citizenship, but not Obama’s.  So, will this Republican-controlled House vet Obama’s documents for the 2012 election?

We are about to see if the Republican Party has the courage to represent we the people in this fight to save America.

 


Michael Master is the author of “Save America Now!”

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