John F. Kennedy
vs
The Federal Reserve

Kennedy

John F. Kennedy vs The Federal Reserve

On June 4, 1963, a virtually unknown Presidential decree, Executive Order 11110, was signed with the authority to basically strip the Bank of its power to loan money to the United States Federal Government at interest. With the stroke of a pen, President Kennedy declared that the privately owned Federal Reserve Bank would soon be out of business. The Christian Law Fellowship has exhaustively researched this matter through the Federal Register and Library of Congress. We can now safely conclude that this Executive Order has never been repealed, amended, or superceded by any subsequent Executive Order. In simple terms, it is still valid.

When President John Fitzgerald Kennedy – the author of Profiles in Courage -signed this Order, it returned to the federal government, specifically the Treasury Department, the Constitutional power to create and issue currency -money – without going through the privately owned Federal Reserve Bank. President Kennedy’s Executive Order 11110 [the full text is displayed further below] gave the Treasury Department the explicit authority: “to issue silver certificates against any silver bullion, silver, or standard silver dollars in the Treasury.” This means that for every ounce of silver in the U.S. Treasury’s vault, the government could introduce new money into circulation based on the silver bullion physically held there. As a result, more than $4 billion in United States Notes were brought into circulation in $2 and $5 denominations. $10 and $20 United States Notes were never circulated but were being printed by the Treasury Department when Kennedy was assassinated. It appears obvious that President Kennedy knew the Federal Reserve Notes being used as the purported legal currency were contrary to the Constitution of the United States of America.

“United States Notes” were issued as an interest-free and debt-free currency backed by silver reserves in the U.S. Treasury. We compared a “Federal Reserve Note” issued from the private central bank of the United States (the Federal Reserve Bank a/k/a Federal Reserve System), with a “United States Note” from the U.S. Treasury issued by President Kennedy’s Executive Order. They almost look alike, except one says “Federal Reserve Note” on the top while the other says “United States Note”. Also, the Federal Reserve Note has a green seal and serial number while the United States Note has a red seal and serial number.

President Kennedy was assassinated on November 22, 1963 and the United States Notes he had issued were immediately taken out of circulation. Federal Reserve Notes continued to serve as the legal currency of the nation. According to the United States Secret Service, 99% of all U.S. paper “currency” circulating in 1999 are Federal Reserve Notes.

Kennedy knew that if the silver-backed United States Notes were widely circulated, they would have eliminated the demand for Federal Reserve Notes. This is a very simple matter of economics. The USN was backed by silver and the FRN was not backed by anything of intrinsic value. Executive Order 11110 should have prevented the national debt from reaching its current level (virtually all of the nearly $9 trillion in federal debt has been created since 1963) if LBJ or any subsequent President were to enforce it. It would have almost immediately given the U.S. Government the ability to repay its debt without going to the private Federal Reserve Banks and being charged interest to create new “money”. Executive Order 11110 gave the U.S.A. the ability to, once again, create its own money backed by silver and realm value worth something.

Again, according to our own research, just five months after Kennedy was assassinated, no more of the Series 1958 “Silver Certificates” were issued either, and they were subsequently removed from circulation. Perhaps the assassination of JFK was a warning to all future presidents not to interfere with the private Federal Reserve’s control over the creation of money. It seems very apparent that President Kennedy challenged the “powers that exist behind U.S. and world finance”. With true patriotic courage, JFK boldly faced the two most successful vehicles that have ever been used to drive up debt:

1) war (Viet Nam); and,

2) the creation of money by a privately owned central bank. His efforts to have all U.S. troops out of Vietnam by 1965 combined with Executive Order 11110 would have destroyed the profits and control of the private Federal Reserve Bank.

Executive Order 11110

AMENDMENT OF EXECUTIVE ORDER NO. 10289 AS AMENDED, RELATING TO THE PERFORMANCE OF CERTAIN FUNCTIONS AFFECTING THE DEPARTMENT OF THE TREASURY. By virtue of the authority vested in me by section 301 of title 3 of the United States Code, it is ordered as follows:

SECTION 1. Executive Order No. 10289 of September 19, 1951, as amended, is hereby further amended – (a) By adding at the end of paragraph 1 thereof the following subparagraph (j): “(j) The authority vested in the President by paragraph (b) of section 43 of the Act of May 12, 1933, as amended (31 U.S.C. 821 (b)), to issue silver certificates against any silver bullion, silver, or standard silver dollars in the Treasury not then held for redemption of any outstanding silver certificates, to prescribe the denominations of such silver certificates, and to coin standard silver dollars and subsidiary silver currency for their redemption,” and (b) By revoking subparagraphs (b) and (c) of paragraph 2 thereof. SECTION 2. The amendment made by this Order shall not affect any act done, or any right accruing or accrued or any suit or proceeding had or commenced in any civil or criminal cause prior to the date of this Order but all such liabilities shall continue and may be enforced as if said amendments had not been made.

JOHN F. KENNEDY THE WHITE HOUSE, June 4, 1963

Once again, Executive Order 11110 is still valid. According to Title 3, United States Code, Section 301 dated January 26, 1998:

Executive Order (EO) 10289 dated Sept. 17, 1951, 16 F.R. 9499, was as amended by:

EO 10583, dated December 18, 1954, 19 F.R. 8725;

EO 10882 dated July 18, 1960, 25 F.R. 6869;

EO 11110 dated June 4, 1963, 28 F.R. 5605;

EO 11825 dated December 31, 1974, 40 F.R. 1003;

EO 12608 dated September 9, 1987, 52 F.R. 34617

The 1974 and 1987 amendments, added after Kennedy’s 1963 amendment, did not change or alter any part of Kennedy’s EO 11110. A search of Clinton’s 1998 and 1999 EO’s and Presidential Directives has also shown no reference to any alterations, suspensions, or changes to EO 11110.

The Federal Reserve Bank, a.k.a Federal Reserve System, is a Private Corporation. Black’s Law Dictionary defines the “Federal Reserve System” as: “Network of twelve central banks to which most national banks belong and to which state chartered banks may belong. Membership rules require investment of stock and minimum reserves.” Privately-owned banks own the stock of the FED. This was explained in more detail in the case of Lewis v. United States, Federal Reporter, 2nd Series, Vol. 680, Pages 1239, 1241 (1982), where the court said: “Each Federal Reserve Bank is a separate corporation owned by commercial banks in its region. The stock-holding commercial banks elect two thirds of each Bank’s nine member board of directors”.

The Federal Reserve Banks are locally controlled by their member banks. Once again, according to Black’s Law Dictionary, we find that these privately owned banks actually issue money:

“Federal Reserve Act. Law which created Federal Reserve banks which act as agents in maintaining money reserves, issuing money in the form of bank notes, lending money to banks, and supervising banks. Administered by Federal Reserve Board (q.v.)”.

The privately owned Federal Reserve (FED) banks actually issue (create) the “money” we use. In 1964, the House Committee on Banking and Currency, Subcommittee on Domestic Finance, at the second session of the 88th Congress, put out a study entitled Money Facts which contains a good description of what the FED is: “The Federal Reserve is a total money-making machine. It can issue money or checks. And it never has a problem of making its checks good because it can obtain the $5 and $10 bills necessary to cover its check simply by asking the Treasury Department’s Bureau of Engraving to print them”.

Any one person or any closely knit group who has a lot of money has a lot of power. Now imagine a group of people who have the power to create money. Imagine the power these people would have. This is exactly what the privately owned FED is!

No man did more to expose the power of the FED than Louis T. McFadden, who was the Chairman of the House Banking Committee back in the 1930s. In describing the FED, he remarked in the Congressional Record, House pages 1295 and 1296 on June 10, 1932:

“Mr. Chairman, we have in this country one of the most corrupt institutions the world has ever known. I refer to the Federal Reserve Board and the Federal reserve banks. The Federal Reserve Board, a Government Board, has cheated the Government of the United States and he people of the United States out of enough money to pay the national debt. The depredations and the iniquities of the Federal Reserve Board and the Federal reserve banks acting together have cost this country enough money to pay the national debt several times over. This evil institution has impoverished and ruined the people of the United States; has bankrupted itself, and has practically bankrupted our Government. It has done this through the maladministration of that law by which the Federal Reserve Board, and through the corrupt practices of the moneyed vultures who control it”.

Some people think the Federal Reserve Banks are United States Government institutions. They are not Government institutions, departments, or agencies. They are private credit monopolies which prey upon the people of the United States for the benefit of themselves and their foreign customers. Those 12 private credit monopolies were deceitfully placed upon this country by bankers who came here from Europe and who repaid us for our hospitality by undermining our American institutions.

The FED basically works like this: The government granted its power to create money to the FED banks. They create money, then loan it back to the government charging interest. The government levies income taxes to pay the interest on the debt. On this point, it’s interesting to note that the Federal Reserve Act and the sixteenth amendment, which gave congress the power to collect income taxes, were both passed in 1913. The incredible power of the FED over the economy is universally admitted. Some people, especially in the banking and academic communities, even support it. On the other hand, there are those, such as President John Fitzgerald Kennedy, that have spoken out against it. His efforts were spoken about in Jim Marrs’ 1990 book Crossfire:”

Another overlooked aspect of Kennedy’s attempt to reform American society involves money. Kennedy apparently reasoned that by returning to the constitution, which states that only Congress shall coin and regulate money, the soaring national debt could be reduced by not paying interest to the bankers of the Federal Reserve System, who print paper money then loan it to the government at interest. He moved in this area on June 4, 1963, by signing Executive Order 11110 which called for the issuance of $4,292,893,815 in United States Notes through the U.S. Treasury rather than the traditional Federal Reserve System. That same day, Kennedy signed a bill changing the backing of one and two dollar bills from silver to gold, adding strength to the weakened U.S. currency.

Kennedy’s comptroller of the currency, James J. Saxon, had been at odds with the powerful Federal Reserve Board for some time, encouraging broader investment and lending powers for banks that were not part of the Federal Reserve system. Saxon also had decided that non-Reserve banks could underwrite state and local general obligation bonds, again weakening the dominant Federal Reserve banks”.

In a comment made to a Columbia University class on Nov. 12, 1963,

Ten days before his assassination, President John Fitzgerald Kennedy allegedly said:

“The high office of the President has been used to foment a plot to destroy the American’s freedom and before I leave office, I must inform the citizen of this plight.”

In this matter, John Fitzgerald Kennedy appears to be the subject of his own book… a true Profile of Courage.

This research report was compiled for Lawgiver. Org. by Anthony Wayne

What is the Federal Reserve Bank?

What is the Federal Reserve Bank (FED) and why do we have it?

by Greg Hobbs November 1, 1999

The FED is a central bank. Central banks are supposed to implement a country’s fiscal policies. They monitor commercial banks to ensure that they maintain sufficient assets, like cash, so as to remain solvent and stable. Central banks also do business, such as currency exchanges and gold transactions, with other central banks. In theory, a central bank should be good for a country, and they might be if it wasn’t for the fact that they are not owned or controlled by the government of the country they are serving. Private central banks, including our FED, operate not in the interest of the public good but for profit.

There have been three central banks in our nation’s history. The first two, while deceptive and fraudulent, pale in comparison to the scope and size of the fraud being perpetrated by our current FED. What they all have in common is an insidious practice known as “fractional banking.”

Fractional banking or fractional lending is the ability to create money from nothing, lend it to the government or someone else and charge interest to boot. The practice evolved before banks existed. Goldsmiths rented out space in their vaults to individuals and merchants for storage of their gold or silver. The goldsmiths gave these “depositors” a certificate that showed the amount of gold stored. These certificates were then used to conduct business.

In time the goldsmiths noticed that the gold in their vaults was rarely withdrawn. Small amounts would move in and out but the large majority never moved. Sensing a profit opportunity, the goldsmiths issued double receipts for the gold, in effect creating money (certificates) from nothing and then lending those certificates (creating debt) to depositors and charging them interest as well.

Since the certificates represented more gold than actually existed, the certificates were “fractionally” backed by gold. Eventually some of these vault operations were transformed into banks and the practice of fractional banking continued.

Keep that fractional banking concept in mind as we examine our first central bank, the First Bank of the United States (BUS). It was created, after bitter dissent in the Congress, in 1791 and chartered for 20 years. A scam not unlike the current FED, the BUS used its control of the currency to defraud the public and establish a legal form of usury.

This bank practiced fractional lending at a 10:1 rate, ten dollars of loans for each dollar they had on deposit. This misuse and abuse of their public charter continued for the entire 20 years of their existence. Public outrage over these abuses was such that the charter was not renewed and the bank ceased to exist in 1811.

The war of 1812 left the country in economic chaos, seen by bankers as another opportunity for easy profits. They influenced Congress to charter the second central bank, the Second Bank of the United States (SBUS), in 1816.

The SBUS was more expansive than the BUS. The SBUS sold franchises and literally doubled the number of banks in a short period of time. The country began to boom and move westward, which required money. Using fractional lending at the 10:1 rate, the central bank and their franchisees created the debt/money for the expansion.

Things boomed for a while, then the banks decided to shut off the debt/money, citing the need to control inflation. This action on the part of the SBUS caused bankruptcies and foreclosures. The banks then took control of the assets that were used as security against the loans.

Closely examine how the SBUS engineered this cycle of prosperity and depression. The central bank caused inflation by creating debt/money for loans and credit and making these funds readily available. The economy boomed. Then they used the inflation which they created as an excuse to shut off the loans/credit/money.

The resulting shortage of cash caused the economy to falter or slow dramatically and large numbers of business and personal bankruptcies resulted. The central bank then seized the assets used as security for the loans. The wealth created by the borrowers during the boom was then transferred to the central bank during the bust. And you always wondered how the big guys ended up with all the marbles.

Now, who do you think is responsible for all of the ups and downs in our economy over the last 85 years? Think about the depression of the late ’20s and all through the ’30s. The FED could have pumped lots of debt/money into the market to stimulate the economy and get the country back on track, but did they? No; in fact, they restricted the money supply quite severely. We all know the results that occurred from that action, don’t we?

Why would the FED do this? During that period asset values and stocks were at rock bottom prices. Who do you think was buying everything at 10 cents on the dollar? I believe that it is referred to as consolidating the wealth. How many times have they already done this in the last 85 years?

Do you think they will do it again?

Just as an aside at this point, look at today’s economy. Markets are declining. Why? Because the FED has been very liberal with its debt/credit/money. The market was hyper inflated. Who creates inflation? The FED. How does the FED deal with inflation? They restrict the debt/credit/money. What happens when they do that? The market collapses.

Several months back, after certain central banks said they would be selling large quantities of gold, the price of gold fell to a 25-year low of about $260 per ounce. The central banks then bought gold. After buying at the bottom, a group of 15 central banks announced that they would be restricting the amount of gold released into the market for the next five years. The price of gold went up $75.00 per ounce in just a few days. How many hundreds of billions of dollars did the central banks make with those two press releases?

Gold is generally considered to be a hedge against more severe economic conditions. Do you think that the private banking families that own the FED are buying or selling equities at this time? (Remember: buy low, sell high.) How much money do you think these FED owners have made since they restricted the money supply at the top of this last current cycle?

Alan Greenspan has said publicly on several occasions that he thinks the market is overvalued, or words to that effect. Just a hint that he will raise interest rates (restrict the money supply), and equity markets have a negative reaction. Governments and politicians do not rule central banks, central banks rule governments and politicians. President Andrew Jackson won the presidency in 1828 with the promise to end the national debt and eliminate the SBUS. During his second term President Jackson withdrew all government funds from the bank and on January 8, 1835, paid off the national debt. He is the only president in history to have this distinction. The charter of the SBUS expired in 1836.

Without a central bank to manipulate the supply of money, the United States experienced unprecedented growth for 60 or 70 years, and the resulting wealth was too much for bankers to endure. They had to get back into the game. So, in 1910 Senator Nelson Aldrich, then Chairman of the National Monetary Commission, in collusion with representatives of the European central banks, devised a plan to pressure and deceive Congress into enacting legislation that would covertly establish a private central bank.

This bank would assume control over the American economy by controlling the issuance of its money. After a huge public relations campaign, engineered by the foreign central banks, the Federal Reserve Act of 1913 was slipped through Congress during the Christmas recess, with many members of the Congress absent. President Woodrow Wilson, pressured by his political and financial backers, signed it on December 23, 1913.

The act created the Federal Reserve System, a name carefully selected and designed to deceive. “Federal” would lead one to believe that this is a government organization. “Reserve” would lead one to believe that the currency is being backed by gold and silver. “System” was used in lieu of the word “bank” so that one would not conclude that a new central bank had been created.

In reality, the act created a private, for profit, central banking corporation owned by a cartel of private banks. Who owns the FED? The Rothschilds of London and Berlin; Lazard Brothers of Paris; Israel Moses Seif of Italy; Kuhn, Loeb and Warburg of Germany; and the Lehman Brothers, Goldman, Sachs and the Rockefeller families of New York.

Did you know that the FED is the only for-profit corporation in America that is exempt from both federal and state taxes? The FED takes in about one trillion dollars per year tax free! The banking families listed above get all that money.

Almost everyone thinks that the money they pay in taxes goes to the US Treasury to pay for the expenses of the government. Do you want to know where your tax dollars really go? If you look at the back of any check made payable to the IRS you will see that it has been endorsed as “Pay Any F.R.B. Branch or Gen. Depository for Credit U.S. Treas. This is in Payment of U.S. Oblig.” Yes, that’s right, every dime you pay in income taxes is given to those private banking families, commonly known as the FED, tax free.

Like many of you, I had some difficulty with the concept of creating money from nothing. You may have heard the term “monetizing the debt,” which is kind of the same thing. As an example, if the US Government wants to borrow $1 million ó the government does borrow every dollar it spends ó they go to the FED to borrow the money. The FED calls the Treasury and says print 10,000 Federal Reserve Notes (FRN) in units of one hundred dollars.

The Treasury charges the FED 2.3 cents for each note, for a total of $230 for the 10,000 FRNs. The FED then lends the $1 million to the government at face value plus interest. To add insult to injury, the government has to create a bond for $1 million as security for the loan. And the rich get richer. The above was just an example, because in reality the FED does not even print the money; it’s just a computer entry in their accounting system. To put this on a more personal level, let’s use another example.

Today’s banks are members of the Federal Reserve Banking System. This membership makes it legal for them to create money from nothing and lend it to you. Today’s banks, like the goldsmiths of old, realize that only a small fraction of the money deposited in their banks is ever actually withdrawn in the form of cash. Only about 4 percent of all the money that exists is in the form of currency. The rest of it is simply a computer entry.

Let’s say you’re approved to borrow $10,000 to do some home improvements. You know that the bank didn’t actually take $10,000 from its pile of cash and put it into your pile? They simply went to their computer and input an entry of $10,000 into your account. They created, from thin air, a debt which you have to secure with an asset and repay with interest. The bank is allowed to create and lend as much debt as they want as long as they do not exceed the 10:1 ratio imposed by the FED.

It sort of puts a new slant on how you view your friendly bank, doesn’t it? How about those loan committees that scrutinize you with a microscope before approving the loan they created from thin air. What a hoot! They make it complex for a reason. They don’t want you to understand what they are doing. People fear what they do not understand. You are easier to delude and control when you are ignorant and afraid.

Now to put the frosting on this cake. When was the income tax created? If you guessed 1913, the same year that the FED was created, you get a gold star. Coincidence? What are the odds? If you are going to use the FED to create debt, who is going to repay that debt? The income tax was created to complete the illusion that real money had been lent and therefore real money had to be repaid. And you thought Houdini was good.

So, what can be done? My father taught me that you should always stand up for what is right, even if you have to stand up alone.

If “We the People” don’t take some action now, there may come a time when “We the People” are no more. You should write a letter or send an email to each of your elected representatives. Many of our elected representatives do not understand the FED. Once informed they will not be able to plead ignorance and remain silent.

Article 1, Section 8 of the US Constitution specifically says that Congress is the only body that can “coin money and regulate the value thereof.” The US Constitution has never been amended to allow anyone other than Congress to coin and regulate currency.

Ask your representative, in light of that information, how it is possible for the Federal Reserve Act of 1913, and the Federal Reserve Bank that it created, to be constitutional. Ask them why this private banking cartel is allowed to reap trillions of dollars in profits without paying taxes. Insist on an answer.

Thomas Jefferson said, “If the America people ever allow private banks to control the issuance of their currencies, first by inflation and then by deflation, the banks and corporations that will grow up around them will deprive the people of all their prosperity until their children will wake up homeless on the continent their fathers conquered.”

Jefferson saw it coming 150 years ago. The question is, “Can you now see what is in store for us if we allow the FED to continue controlling our country?”

“The condition upon which God hath given liberty to man is eternal vigilance; which condition if he breaks, servitude is at once the consequence of his crime, and the punishment of his guilt.”

Source: http://www.john-f-kennedy.net/thefederalreserve.htm

The American Dream
Tuesday, November 15, 2011

Will the shocking insider trading revelations that have come to light in recent days finally be enough to motivate the American people to start throwing all of the con men and charlatans out of Congress?  On Sunday, 60 Minutes opened up a huge can of worms when it did a feature story on insider trading by members of Congress.  Up until now, the vast majority of Americans had no idea that insider trading was actually legal for members of Congress.  In fact, as will be documented later on in this article, members of Congress have been using secrets that they have learned during the course of their duties to make huge amounts of money in the stock market.  If you can believe it, during the financial crisis of 2008 some members of Congress were making huge stock moves that would only pay off if the stock market crashed really hard at a time when they should have been focusing on creating legislation that would help the U.S. financial system survive.  It is hard not to feel sick after learning how low some of our “leaders” have stooped to enrich themselves.  Now that the American people are learning the truth, how can they ever trust Congress again?

Even before these revelations about insider trading by members of Congress came to light, the approval rating for Congress was sitting at about 11 percent.

There is a widespread feeling in this country that our political system simply does not work any longer.

Nearly all of our “leaders” seem to be wealthy elitists that are rapidly becoming wealthier.  Today, the average net worth for a member of Congress is approximately 3.8 million dollars, and the collective net worth of all of the members of Congress increased by 25 percent between 2008 and 2010.


It would be one thing is they were accumulating all of this wealth legitimately.  However, it is just not right for members of Congress to use government secrets and inside information that is not available to the general public to make huge profits in the stock market.

If any of the rest of us engage in insider trading, it could get us thrown into jail.

But as a recent CNBC article noted, members of Congress can pretty much get away with it as much as they want to….

When you buy and sell stocks based on secrets you learned at the office, it could be insider trading.

But when a United States Senator does it, it’s probably perfectly legal.

That’s because the SEC has largely determined that trading stocks based on advance knowledge of action in Congress is not insider trading.

But just because it is legal, that does not make it right.

Former Washington lobbyist Jack Abramoff made headlines recently when he claimed that “a dozen members of Congress and their aides took part in insider trading“.

Well, it turns out that there has been a whole lot more insider trading going on than that.

If you have not seen the recent 60 Minutes report on this issue yet, you really should take a few minutes and watch it….

One of the politicians featured in the 60 Minutes story was Nancy Pelosi.

Pelosi has been doing incredibly well financially in recent years.  For example, her net worth soared by 62 percent in 2010.  If you can believe it, Nancy Pelosi is now worth 35.2 million dollars.

That is a nice chunk of change.

So has she been getting a little bit of “extra help” along the way?

According to a recent CNN article, one very preferential stock deal involving a credit card company went very well for her.  It also turns out that there was credit card legislation that was pending in the House at the time….

Pelosi and her husband participated in an initial public offering of Visa in 2008, according to CBS. They bought 5,000 shares at the initial price of $44; two days later, shares were trading at $64, CBS said.

The network reported the investment came at the same time a piece of legislation that was opposed by credit-card companies was making its way through the House.

But what is even worse is what many members of Congress did with secret information that they were told by U.S. Treasury Secretary Hank Paulson and Federal Reserve Chairman Ben Bernanke at the start of the financial crisis of 2008.

On September 16, 2008 Paulson and Bernanke held “closed door meetings” with members of Congress and warned them that the financial system was about to totally collapse.

But instead of racing out to save the financial system, author Peter Schweizer says that many of our representatives in Congress raced out to save their stock portfolios.

In his new book, Schweizer alleges the following….

*Schweizer says that U.S. Senator Dick Durbin sold $74,715 worth of stock on September 17th and $42,000 worth of stock on September 18th.

*Schweizer says that U.S. Representative Jim Moran sold off shares in 90 different corporations on September 17th.

*Schweizer says that U.S. Senator Sheldon Whitehouse sold off at least $250,000 worth of stock between September 18th and September 24th.

*Schweizer says that U.S. Representative Spencer Bachus bet very heavily against the stock market in the days following the September 16th meeting and made tens of thousands of dollars doing so.

*Schweizer says that U.S. Senator John Kerry bought up approximately $350,000of Bank of America stock and approximately $550,000 of Citigroup stock during October 2008 and November of 2008.  It was during this time period that the bailout programs for the big banks were being developed and debated.

Are you feeling sick to your stomach yet?

But it isn’t just members of Congress that are using secrets to make money in the stock market.  According to an article in the Wall Street Journal, quite a few Congressional staffers have also been making questionable trades….

“At least 72 aides on both sides of the aisle traded shares of companies that their bosses help oversee, according to a Wall Street Journal analysis of more than 3,000 disclosure forms covering trading activity by Capitol Hill staffers for 2008 and 2009.”

But nobody is getting into trouble for any of this.

This is how corrupt our system has become.

And there are scientific studies that show that members of Congress have been doing significantly better in the stock market than the general public has been doing.

For example, one study from 2004 found that members of Congress do even better in the stock market than corporate insiders do….

“A 2004 study of the results of stock trading by United States Senators during the 1990s found that that senators on average beat the market by 12% a year. In sharp contrast, U.S. households on average underperformed the market by 1.4% a year and even corporate insiders on average beat the market by only about 6% a year during that period. A reasonable inference is that some Senators had access to – and were using – material nonpublic information about the companies in whose stock they trade.”

A recent CNBC article mentioned another recent study that found that investments by members of the U.S. House of Representatives beat the market by about 6 percent a year….

In the 2011 study “Abnormal Returns From the Common Stock Investments of Members of the U.S. House of Representatives,” four university professors found that a portfolio that mimics the purchases of House Members beats the market by 55 basis points per month, or approximately 6 percent annually. That study looked at 16,000 common stock transactions made by approximately 300 House delegates from 1985 to 2001.

Clearly all of this is not just some huge coincidence.

So why doesn’t Congress just pass a law to make it illegal for members of Congress to make trades based on insider information?

Well, a few members of Congress have actually tried to introduce such legislation, but it has never gone anywhere.

It turns out that members of Congress like things just the way that they are.

Being a member of Congress is one of the best jobs in the country.  It is a great way to become famous, get rich and live the high life.

As mentioned earlier, only 11 percent of the American people think that Congress is doing a good job, and yet we keep sending the same people back to Congress time after time.

Since 1964, the reelection rate for members of the U.S. House of Representativeshas never fallen below 85 percent.

Yes, our system is a joke, but the joke is on us.

So do any of you out there actually believe that we have a chance of changing this deeply corrupt system?

Please feel free to leave a comment with your opinion below….

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EFF
June 26, 2011

Efforts to harness law enforcement resources in the service of copyright enforcement continue apace. Last Thursday, the so-called “illegal streaming” bill passed the Senate Judiciary Committee (although that’s still some way away from becoming law). The bill would increase criminal copyright penalties to allow jail time of up to five years for infringing a copyright by “publicly performing” the copyrighted work, such as playing a sporting event broadcast or motion picture. (Currently, the maximum criminal penalty for unlawful public performance is a fine and/or prison sentence of up to one year.) Fortunately, there are limitations on when the new criminal penalties would apply. For example, only 10 or more unlawful public performances within a 180-day period would trigger the provisions. In addition, the current criminal statute contains basic thresholds such as a requirement that the infringement be willful.

The basis for the bill appears to derive from a list of legislative requests issued earlier this year by the Obama Administration’s IP Enforcement Coordinator, including a recommendation to establish that online streaming of infringing content can be punished as a felony. The push to increase penalties from misdemeanor (which they are now) to felony (which they would be under the bill) apparently is being driven in part by a belief that law enforcement will be more motivated to prosecute crimes that have more severe penalties, no matter that the criminal laws are supposed to be designed to deter and punish bad guys, not instigate good guys. We have to question the judiciousness of devoting spare government resources to prosecuting this kind of activity. It seems to us that illegal public performance is the kind of economic concern that can be effectively managed through existing civil remedies. Moreover, criminal copyright prosecutions need to show all the elements of civil copyright infringement, something civil courts are traditionally much better versed in.

In general, a “public performance” of a work under the Copyright Act occurs when a work is performed before a substantial gathering of people (for example, a concert) or when the work is transmitted in a way that it can be accessed by members of the public, even if individuals receive the performance in different places or at different times (for example, a TV broadcast).

As an initial matter, it’s hard to narrow the kinds of activities such a bill could potentially encompass. Practically speaking we wouldn’t expect to see most of these pursued or prevailing; however, uncertainty and the fear of prosecution and defense expenses could well discourage innovation in online services and lawful speech.

For example, while the legislation conceivably could capture hosting platforms like YouTube and caching services like Akamai, the lack of volitional conduct on the services’ part likely exonerates them. Presumably, too, one who merely embeds or links to a video would not be deemed to be making a public performance. Although at least one court has found copyright infringement where a website streamed content inline from another website, we believe that case was wrongly decided. On the other hand, ongoing law enforcement efforts to invoke provisions of the criminal law to seize domain names of websites that link to streaming content suggest that linking may yet be a target.

Online video distributors and providers of subscription TV services who rely on statutory licenses may have more pronounced concerns given that a violation of those licenses might appear to risk triggering the felony provisions. Likewise, copyright holders may use the threat of prosecution as leverage against broadcasters who transmit content pursuant to a license under dispute.

As for the individual who believes she is making a fair use of copyrighted work, she’ll want to be pretty confident or hope she can argue other thresholds in the bill are not met. It doesn’t seem likely this is the kind of activity prosecutors will pursue; then again, who wants to take a chance on five years’ jail time?

The Alex Jones Channel

June 26, 2011

Alex confronts the efforts of the corporatist and bankster warmongers to take their destabilization campaign into Pakistan and crank up the conflict in Libya.

Paul Joseph Watson
Infowars
Tuesday, June 21, 2011

A bill that would criminalize invasive TSA pat downs in Texas has risen like a phoenix from the flames, with Governor Rick Perry being forced to include the item on the agenda for the current special session of the legislature, setting the stage for what could potentially become a watershed moment in the battle to peel back a federal power grab that has characterized the advance of big government.

TSA Pat Down

Despite initially shirking responsibility by erroneously claiming that the bill did not have enough support to pass, Governor Perry was forced to place the item on the special session agenda yesterday, meaning TSA workers could face a year in jail or a $4,000 fine if they “touch the anus, sexual organ, buttocks, or breast of another person, even through that person’s clothing for the purpose of granting access to a building or a form of transportation,” according to the text of the legislation.

Under the terms of the Texas Constitution, Perry has the authority to forward bills for the consideration of the special session, and that’s precisely what he did yesterday, announcing, “Legislation relating to prosecution and punishment for the offense of official oppression of persons seeking access to public buildings and transportation.”

Following Perry’s announcement, sponsor of the bill Senator Dan Patrick stated, “The people’s voice has been heard in Austin. Thanks for the literally thousands of calls & e-mails. This is a “Come & Take It Moment” again for Texas… Once again Texas will take a stand that will reverberate around the nation.”

Absent the dirty tricks that shot down the progress of the legislation the first time around, the bill should have no problems in getting enough votes to be passed – the majority of state Senators support SB 29, with a number still undecided and just two against. The schedule for the special session is due to run until June 30, but Perry also has the authority to extend this deadline.

The real test will be how the federal government reacts to the passage of the legislation, a response which is likely to be characterized by two separate arguments.

One – the feds will simply claim that the bill is superseded by the Supremacy Clause of the US constitution, arguing that states cannot regulate the federal government, and will order TSA goons to continue groping Americans. This will kick start a massive states’ rights battle, but TSA workers will still be reticent to abuse their power for fear of lawsuits. However, if they pursue this route, the feds won’t have a leg to stand on. The Supremacy Clause merely states that the Constitution is supreme, not that the authority of the government is supreme. Indeed, if anything the Supremacy Clause works in favor of the anti-pat down bill because it reinforces the protections guaranteed by the fourth amendment against unreasonable searches and seizures.

Two – the government will adopt an altogether more aggressive approach and repeat their threats of financial terrorism by resolving to impose a federal blockade to prevent flights operating out of Texas airports. This tactic was used to kill HB 1937 before it could even reach the Senate last month following the circulation of a letter written by DoJ Attorneys that threatened to cancel all commercial flights in the state. The power of the federal government to impose a de facto “no fly zone” over Texas is non-existent. If this is attempted, Texas airports could simply replace all TSA workers with private screeners and give the feds a symbolic middle finger. What’s more likely to happen is some kind of compromise deal, but TSA agents would still be less likely to carry out grope downs for fear of lawsuits.

Years of growing outrage over TSA grope-downs and naked body scanners has culminated in this momentous showdown. The outcome of this fight will determine the course of this issue for years to come, and will shape whether the TSA becomes a literal occupying army in a Sovietized America, or whether the organization itself and the Homeland Security takeover in general withers and dies.

URGENT – Contact the undecided Senators on this list and urge them to show their support for Senator Dan Patrick’s TSA Anti-Groping bill — SB 29.

*********************

Paul Joseph Watson is the editor and writer for Prison Planet.com. He is the author of Order Out Of Chaos. Watson is also a regular fill-in host for The Alex Jones Show.

Michael O’Brien
Politico
February 23, 2011

Sometimes it’s necessary to get out on the streets and “get a little bloody,” a Massachusetts Democrat said Tuesday in reference to labor battles in Wisconsin.

Rep. Michael Capuano (D-Mass.) fired up a group of union members in Boston with a speech urging them to work down in the trenches to fend off limits to workers’ rights like those proposed in Wisconsin.

“I’m proud to be here with people who understand that it’s more than just sending an email to get you going,” Capuano said, according to the Statehouse News. “Every once and awhile you need to get out on the streets and get a little bloody when necessary.”

Read entire article

Paul Craig Roberts
Prisonplanet.com
Feb 17, 2011

The United States government has overestimated the amount of shame that it and American citizens can live down.  On February 15 “the indispensable people” had to suffer the hypocrisy of the U.S. Secretary of State delivering a speech about America’s commitment to Internet freedomwhile the U.S. Department of Justice (sic) brought unconstitutional action against Twitter to reveal any connection between WikiLeaks and Bradley Manning, the American hero who, in keeping with the U.S. Military Code, exposed U.S. government war crimes and who is being held in punishing conditions not permitted by the U.S. Constitution. The corrupt U.S. government is trying to create a“conspiracy” case against Julian Assange in order to punish him for revealing U.S. government documents that prove beyond every doubt the mendacity of the U.S. government.

This is pretty bad, but it pales in comparison to the implications revealed on February 15 in the British newspaper, The Guardian. [Curveball: How US was duped by Iraqi fantasist looking to topple Saddam, February 15, 2011]

The Guardian obtained an interview with “Curveball,” the source for Colin Powell’s speech of total lies to the United Nations about Iraqi Weapons of Mass Destruction.

Colin Powell’s speech created the stage for the illegal American invasion of Iraq.The Guardiandescribes “Curveball” as “the man who pulled off one of the greatest confidence tricks in the history of modern intelligence.” As The Guardian puts it, “Curveball” “manufactured a tale of dread.”

U.S. “intelligence” never interviewed “Curveball.” The Americans started a war based on second-hand information given to them by incompetent German intelligence, which fell for “Curveball’s”lies that today German intelligence disbelieves.

As the world now knows, Saddam Hussein had no weapons of mass destruction (WMD). The Bush/Cheney Regime, of course, knew this, but “Curveball’s” lies were useful to their undeclared agenda. In his interview with The Guardian“Curveball,” Rafid Ahmed Alwan al-Janabi, admitted that he made the whole story up. He wanted to do in Saddam Hussein and told whatever fantasy lie he could make up that would serve his purpose.

If the Bush/Cheney Regime had really believed that Saddam Hussein had world-threatening weapons of mass destruction, it would have been a criminal act to concentrate America’s invading force in a small area of Kuwait where a few WMD could have wiped out the entire U.S. invasion force, thus ending the war before it began.

Some Americans are so thoughtless that they would say that Saddam Hussein would never have used the weapons, because we would have done this and that to Iraq, even nuking Baghdad.  But why would Saddam Hussein care if he and his regime were already marked for death? Why would a doomed man desist from inflicting an extraordinary defeat on the American Superpower, thus encouraging Arabs everywhere? Moreover, if Saddam Hussein was unwilling to use his WMD against an invading force, when would he ever use them?  It was completely obvious to the U.S. government that no such weapons existed. The weapons inspectors made that completely clear to the Bush/Cheney Regime.  There were no Iraqi WMD, and everyone in the U.S. government was apprised of that fact.

Why was there no wonder or comment in the “free” media that the White House accused Iraq of possession of terrible weapons of mass destruction, but nevertheless concentrated its invasion force in such a small area that such weapons could easily have wiped out the invading force?

Does democracy really exist in a land where the media is incompetent and the government is unaccountable and lies through its teeth every time if opens its mouth?

“Curveball” represents a new level of immorality.  Rafid al-Janabi shares responsibility  for one million dead Iraqis, 4 million displaced Iraqis, a destroyed country, 4,754 dead American troops, 40,000 wounded and maimed American troops, $3 trillion of wasted US resources, every dollar of which is a debt burden to the American population and a threat to the dollar as reserve currency, ten years of propaganda and lies about terrorism and al Qaeda connections, an American “war on terror” that is destroying countless lives in Afghanistan, Pakistan, Yemen, Somalia, and which has targeted Iran, and which has destroyed the Bill of Rights, the US Constitution, and the civil liberties that they guarantee.  And the piece of lying excrement, Rafid al-Janabi, is proud that he brought Saddam Hussein’s downfall at such enormous expense.

Now that Rafid al-Janabi is revealed in the Guardian interview, how safe is he?  There are millions of Iraqis capable of exterminating him for their suffering, and tens of thousands of Americans whose lives have been ruined by Rafid al-Janabi’s lies.

Why does the U.S. government pursue Julian Assange and WikiLeaks for telling the truth when“Curveball,” whose lies wiped out huge numbers of people along with America’s reputation, thinks he can start a political party in Iraq? If the piece of excrement, Rafid al-Janabi, is not killed the minute he appears in Iraq, it will be a miracle.

So we are left to contemplate that a totally incompetent American government has bought enormous instability to its puppet states in the Middle East, because it desperately wanted to believe faulty “intelligence” from Germany that an immoralist provided evidence that Saddam Hussein had Weapons of Mass Destruction.

And America is a superpower, an indispensable nation.

What a total joke!

——————

Dr. Paul Craig Roberts is the father of Reaganomics and the former head of policy at the Department of Treasury. He is a columnist and was previously an editor for the Wall Street Journal. His latest book, “How the Economy Was Lost: The War of the Worlds,” details why America is disintegrating.

The American Dream
February 17, 2011

For a moment, imagine that you are awakened one night by a heavily-armed team of federal agents dressed in all black breaking into your home.  As you confront them, they hand you a piece of paper that says that your son has been identified as a “terrorist” and that they are there to take him away.  They pull your son out of bed, they throw him on the floor and the use a taser on him repeatedly.  Then they handcuff him and haul him away without telling you a thing about where they are taking him.  Your son suddenly has no rights because the Patriot Act supersedes the U.S. Constitution.  That’s right – because your son has been identified as a “terrorist” because of something that he has said on the Internet he no longer has any constitutional rights.  Your underage son is held indefinitely and is subjected to “enhanced interrogation” because he has been identified as a “threat”.  You are not able to get your son back for years even though it turns out that he is completely and totally innocent.  If you think that such a thing cannot happen to you then you are a fool, because this kind of thing is happening over and over across the United States and it is all legal because of the Patriot Act.

America is rapidly turning into a horrible Big Brother police state and most of our politicians are fully supporting this transformation.  In fact, the U.S. House of Representatives gave us quite a Valentine’s Day gift the other day when it voted to once again extend provisions of the Patriot Act that allow for domestic surveillance of American citizens, wire tapping of American citizens and warrantless searches of the homes of American citizens.

What was perhaps most disappointing was that a large number of “Tea Party politicians” cast votes in favor of renewing the Patriot Act provisions.

The majority of Americans were absolutely disgusted when the Bush administration instituted the Patriot Act and many other police state measures and they voted for Barack Obama hoping for something different.

Well, it turns out that Barack Obama has been even worse.

Have you been to an airport lately?  Yeah, those “naked body scanners” and “enhanced pat-downs” are a lot of fun, aren’t they?

Many Americans voted for Tea Party candidates during the last election hoping that they would be willing to stand up for liberty and freedom.

Well, it turns out that many of them caved when it came time to vote on the extension of Patriot Act provisions.

So is there anyone out there that we can vote for that will stand up for liberty and freedom?

The truth is that this is not a conservative issue and it is not a liberal issue.

This is an American issue.

But doesn’t the Patriot Act keep us safe from terrorism?

No.

Just the other day Dr. Vahid Majidi, the FBI’s assistant director in charge of the FBI’s Weapons of Mass Destruction Directorate, admitted that even with all of our “security measures” the chance that the U.S. will be hit a weapon of mass destruction is 100 percent….

“There’s a probability of 100 percent that a WMD event will happen.”

But even if the Patriot Act could keep us “safer”, is that any reason for us to live the rest of our lives as “cattle” in a Big Brother police state that is becoming more like George Orwell’s 1984 every single day?

Are we willing to forever renounce being “the land of the free and the home of the brave” just so that we can feel a bit more secure?

The truth is that the U.S. government is not really protecting us anyway.  Our border with Mexico is wide open and millions of people have been pouring across it unchecked.  It would be ridiculously easy for any potential “terrorists” to smuggle dangerous weapons into this country.

So please don’t try to tell me that the U.S. government is actually serious about national security.  Until the U.S. government is willing to do something about the border they should not be asking the American people to give up a single ounce of liberty or freedom for the sake of “security”.

But instead of securing the border and doing other practical things that would actually keep this country safer, our government has become absolutely obsessed with watching us, tracking us, listening to us, “assessing” us and controlling us.

In the process, the America that we all once loved is rapidly being destroyed.  Because of laws like the Patriot Act, our country now more closely resembles East Germany during the Cold War than the nation that our founding fathers originally established.

Government whistleblower Susan Lindauer, who has been arrested under the Patriot Act for protesting the Iraq war, recently authored an article in which she described why Americans should be much more frightened by the Patriot Act….

The American people are not nearly as frightened as they should be. Many Americans expect the Patriot Act to limit its surveillance to overseas communications. Yet while I was under indictment, Maryland State Police invoked the Patriot Act to wire tap activists tied to the Chesapeake Climate Action Network, an environmental group dedicated to wind power, solar energy and recycling. The DC Anti-War Network was targeted as a “white supremacist group.” Amnesty International and anti-death penalty activists got targeted for alleged “civil rights violations.”

Lindauer is speaking from experience when she talks about the Patriot Act.  Just hope and pray that you never have to go through what she had to go through because of the Patriot Act….

I cannot forget. I cannot forget how I was subjected to secret charges, secret evidence and secret grand jury testimony that denied my right to face my accusers or their accusations in open court, throughout five years of indictment. I cannot forget my imprisonment on a Texas military base for a year without a trial or evidentiary hearing.

I cannot forget how the FBI, the US Attorneys Office, the Bureau of Prisons and the main Justice office in Washington — independently and collectively verified my story— then falsified testimony to Chief Justice Michael Mukasey, denying our 9/11 warnings and my long-time status as a U.S. intelligence Asset, though my witnesses had aggressively confronted them. Apparently the Patriot Act allows the Justice Department to withhold corroborating evidence and testimony from the Court, if it is deemed “classified.”

I cannot forget threats of forcible drugging and indefinite detention up to 10 years, until I could be “cured” of believing what everybody wanted to deny— because it was damn inconvenient to politicians in Washington anxious to hold onto power.

At least there are a few members of Congress that attempted to oppose the renewal of the Patriot Act. For example, Senator Rand Paul recently explained why he opposes renewal of this freedom-killing law….

“The Senate yesterday proposed a three-year extension of the PATRIOT Act, a move that would not have allowed for any hearings, amendments, or debate. I objected to this deal. I realize that I might not have the votes to stop this bill, but we should at least discuss this in public as adults.

“We should have the opportunity to explain why the Constitution is being violated. We should talk about how we do not have to give up who we are in order to fight terrorism. It is not acceptable to willfully ignore the most basic provisions of our Constitution—in this case—the Fourth and First Amendments—in the name of ‘security.’”

Unfortunately, most of our other politicians have stood by and have done nothing to stop the horrific abuses that are taking place under this law.  A good friend of ours, Charlie McGrath, recently lamented this fact in a recent video….

What in the world is happening to this country?

One of the worst things about all of this is that Christians are actually some of the strongest supporters of the Patriot Act.

The mainstream media has brainwashed many of them into believing that the Patriot Act is “conservative” and that it is going to keep us safe from terrorism.  Somehow Christians have been duped into believing that the more power Barack Obama and his minions have to control our lives the safer we all are going to be.

But the truth is that laws like the Patriot Act are transforming this nation into a totalitarian regime.  We are becoming more like North Korea, Communist China, the USSR and Nazi Germany every single day.

As a Christian, I deeply oppose laws such as the Patriot Act.  The Scriptures warn us of a time when a future world government will attempt to brutally dominate all the nations on the planet.  Just read the book of Revelation some time.

Any law that takes our liberties and freedoms away is another step in the direction of totalitarianism.  Every time another new law like the Patriot Act gets passed we get closer to the time when government completely dominates and controls every single aspect of our lives.

Christians should be loudly denouncing any attempt to strip our liberties and freedoms away.  Christians should be loudly denouncing the destruction of our constitutional rights.

Transforming our government into a hardcore socialist police state and handing it all kinds of extreme “Big Brother” powers is not going to make us safer.

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We were sold a pack of lies by the Bush administration and now the Obama administration is trying to cram even more lies down our throats.

Many of us had hoped that Tea Party politicians would be different and would stand up for our liberties and freedoms, but now we can clearly see that many of them will not.

In the past, Americans would ready George Orwell’s 1984 and would think that nothing like that could ever happen in the United States of America.

Well, it is happening in the United States of America.

Are you going to stand up and say anything about it?

Ron Paul
Prisonplanet.com
Feb 15, 2011

For the past three decades, the Federal Reserve has been given a dual mandate: keeping prices stable and maximizing employment. This policy relies not only on the fatal conceit of believing in the wisdom of supposed experts, but also on numerical chicanery.

Rather than understanding inflation in the classical sense as a monetary phenomenon– an increase in the money supply- it has been redefined as an increase in the Consumer Price Index (CPI). The CPI is calculated based on a weighted basket of goods which is constantly fluctuating, allowing for manipulation of the index to keep inflation expectations low. Employment figures are much the same, relying on survey data, seasonal adjustments, and birth/death models, while the major focus remains on the unemployment rate. Of course, the unemployment rate can fall as discouraged workers drop out of the labor market altogether, leading to the phenomenon of a falling unemployment rate with no job growth.

In terms of keeping stable prices, the Fed has failed miserably. According to the government’s own CPI calculators, it takes $2.65 today to purchase what cost one dollar in 1980. And since its creation in 1913, the Federal Reserve has presided over a 98% decline in the dollar’s purchasing power. The average American family sees the price of milk, eggs, and meat increasing, while packaged household goods decrease in size rather than price.

Loose fiscal policy has failed to create jobs also. Consider that we had a $700 billion TARP program, nearly $1 trillion in stimulus spending, a government takeover of General Motors, and hundreds of billions of dollars of guarantees to Fannie Mae, Freddie Mac, HUD, FDIC, etc. On top of those programs the Federal Reserve has provided over $4 trillion worth of assistance over the past few years through its credit facilities, purchases of mortgage-backed securities, and now its second round of quantitative easing. Yet even after all these trillions of dollars of spending and bailouts, total nonfarm payroll employment is still seven million jobs lower than it was before this crisis began.

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Deception at the Fed 101210banner4

In this same period of time, the total U.S. population has increased by nine million people. We would expect that roughly four million of these people should have been employed, so we are really dealing with eleven million fewer employed people than would otherwise be expected.

It should not be surprising that monetary policy is ineffective at creating actual jobs. It is the effects of monetary policy itself that cause the boom and bust of the business cycle that leads to swings in the unemployment rate. By lowering interest rates through its loose monetary policy, the Fed spurs investment in long-term projects that would not be profitable at market-determined interest rates. Everything seems to go well for awhile until businesses realize that they cannot sell their newly-built houses, their inventories of iron ore, or their new cars. Until these resources are redirected, often with great economic pain for all involved, true economic recovery cannot begin.

Over $4 trillion in bailout facilities and outright debt monetization, combined with interest rates near zero for over two years, have not and will not contribute to increased employment. What is needed is liquidation of debt and malinvested resources. Pumping money into the same sectors that have just crashed merely prolongs the crisis. Until we learn the lesson that jobs are produced through real savings and investment and not through the creation of new money, we are doomed to repeat this boom and bust cycle.

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