Recovery? What Recovery?

The Nattering One muses... Long Term Unemployment, Foreclosures and the Ghost Inventory are up. Well, at least one thing is going down, Housing Prices.

This is for all the pollyannas who think that a recovery is under way and the economy has turned the corner...

The omission is... the economy flipped over three times, struck a tree and burst into flames.

Read em, weap and NEVER FORGET, dangling chads in Florida, shady Diebold machines in Ohio, and ALL the IDIOTS (now politically reinventing themselves) that voted for Shrub Jr and Chaney's eight year reign of terror are DIRECTLY to blame.

Now, Now, baby ducks, you do have something to look forward to, as we've nattered all along, we haven't bottomed yet and the worst is yet to come.

Long Term Unemployment Up

The jobs crisis has left so many people out of work for so long that most of America's unemployed are no longer receiving unemployment benefits.

The number of unemployed has been roughly stable this year. Yet the number receiving benefits has plunged 30 percent.

Early last year, 75 percent were receiving checks. The figure is now 48 percent — a shift that points to a growing crisis of long-term unemployment. Nearly one-third of America's 14 million unemployed have had no job for a year or more.

The Census Bureau says unemployment benefits kept 3.2 million people from slipping into poverty last year. It defines poverty as annual income below $22,314 for a family of four.

The Congressional Budget Office has estimated that each $1 spent on unemployment benefits generates up to $1.90 in economic growth.

Foreclosures Up

The U.S. foreclosure rate has climbed to its highest level in seven months, suggesting that lenders are moving beyond a "robo-signing" scandal that had temporarily slowed bank takeovers, according to a private firm that tracks the activity. This could dry up the pipeline of inventory and improve the market for a time, but a major uptick in foreclosures might hurt the market later.

Home Prices Down, Ghost Inventory Up

Record low mortgage interest rates appeared to have put a floor under home values this summer. After falling steadily last winter, the CoreLogic index flattened out this summer.

But the latest drop leaves home prices 4.1 percent lower than they were in September 2010.

The outlook for home prices remains clouded by the continuing wave of foreclosures that has left the market with many more sellers than buyers.

Some banks have slowed the pace of foreclosures to avoid adding more unsold inventory to their books. As lenders slash prices of foreclosed properties, those “distressed” sales force prices of all homes lower.

"The acceleration in the rate at which the CoreLogic house price index is falling reflects the slowing in the pace of job creation and wider economic growth earlier this year," said Paul Diggle, a housing economist with Capital Economics.

Though mortgages are cheap for those who qualify, banks are only lending to those with top credit scores. Some would-be buyers are waiting for signs that prices have bottomed.

Demand has also been held back by the millions of American households that are “underwater” –- owing more on their loan than their house is worth.

“Against this backdrop, we don’t think house prices will post consistent gains for at least another two years,“ said Diggle.

There were 3.5 million homes on the market in September, or about 8.5 months’ worth of supply based on the current level of demand, according to the National Association of Realtors.

Housing analysts generally figure that supply and demand are well balanced with about a six months’ supply of homes.

But with millions of foreclosures stalled in the courts or on hold by banks, there is a large “shadow” inventory that continues to weigh on prices. Diggle figures there are about 4 million homes in that pipeline.

Credit Based Inflation or Why We're Not in Kansas Anymore?

Credit inflation helped inflate home prices and in turn forced people to borrow even more money to make home purchases. This is the web of debt that caught the population in a never ending loop.

Why does the FED target 2% inflation but not 0%? Inflation makes sure that savers are punished. If people are allowed the save money to buy their homes, then the cycle will end. Thus SAVING and paying CASH must be blocked at all costs.

Never forget that the FED works for the banking industry and makes sure that bankers earn interest at the expense of the rest of the population.

The best thing Americans can do to improve their life style is to avoid taking mortgages.

This is going to prevent the financial industry from making a claim on people’s 30 year earnings for simply creating money out of thin air.

This is outright robbery of the people. This practice of usury must be declared illegal. This is no different than slavery.

But bankers are organized where as the people are not! Individuals and not a powerful lobby which faces the bankers. Thus each individual is helpless and at the mercy of usurers.

All of the prices, and salaries you see around you were based on inflated credit that happened over 50 years. It is based on a money supply that is almost entirely bank credit.

People borrowed and borrowed and spent. The amount of money borrowed reached sky high. You earned in good times! Now, everything is reversing course!

What’s going on with the world’s economy? Foreclosures are up, unemployment is skyrocketing - and this may only be the beginning.

Some think the cause is reckless government spending. Bur even financially conservative countries like Ireland are in trouble.

The true cause of the economic problem is the debt based monetary system.

Could it be that solutions to the world’s economic problems are embedded in the most beloved children’s story of all time, “The Wonderful Wizard of Oz”?

The yellow brick, the emerald city of Oz, even Dorothy’s silver slippers were powerful symbols of author L. Frank Baum’s belief that the people (not the big banks) should control the quantity of a nation’s money.

The bottom line: No More National Debt. All our money is created out of debt. But nations don’t have to borrow money from banks.

Sovereign nations can create their own money (debt free) just as Abraham Lincoln did. But will it not cause inflation if we let the government simply print money?

Well, banks are already creating money out of nothing and it is causing inflation as we all know it. We might as well collect the interest ourselves!

Banks, finance and insurance profits should be made by the people and for the people. Not by the elite and for the rich.

Excerpts above from Web of Debt.

The Nattering One muses... A debt free monetary system is the fix. If you want the truth, dare to watch this award winning 2 hour documentary "The Secret of Oz".

Take the time to learn how the bankers going back to Christ have put the screws to the populace. History keeps repeating itself.

As Col. Nathan Jessup nattered: "You want the truth? You can't handle the truth."