Just 53% Say Capitalism Better Than Socialism

Rush Limbaugh discusses the new Rasmussen poll that shows only 53% of Americans believe that capitalism is better than socialism. People under 30 prefer socialism, on third of Democrats prefer socialism.

Thursday, April 09, 2009

The latest Rasmussen Reports national telephone survey found that 20% disagree and say socialism is better. Twenty-seven percent (27%) are not sure which is better.

Adults under 30 are essentially evenly divided: 37% prefer capitalism, 33% socialism, and 30% are undecided. Thirty-somethings are a bit more supportive of the free-enterprise approach with 49% for capitalism and 26% for socialism. Adults over 40 strongly favor capitalism, and just 13% of those older Americans believe socialism is better.

Investors by a 5-to-1 margin choose capitalism. As for those who do not invest, 40% say capitalism is better while 25% prefer socialism.

There is a partisan gap as well. Republicans - by an 11-to-1 margin - favor capitalism. Democrats are much more closely divided: Just 39% say capitalism is better while 30% prefer socialism. As for those not affiliated with either major political party, 48% say capitalism is best, and 21% opt for socialism.

The question posed by Rasmussen Reports did not define either capitalism or socialism

It is interesting to compare the new results to an earlier survey in which 70% of Americans prefer a free-market economy. The fact that a “free-market economy” attracts substantially more support than “capitalism” may suggest some skepticism about whether capitalism in the United States today relies on free markets.

Other survey data supports that notion. Rather than seeing large corporations as committed to free markets, two-out-of-three Americans believe that big government and big business often work together in ways that hurt consumers and investors.

Fifteen percent (15%) of Americans say they prefer a government-managed economy, similar to the 20% support for socialism. Just 14% believe the federal government would do a better job running auto companies, and even fewer believe government would do a better job running financial firms.

Most Americans today hold views that can generally be defined as populist while only seven percent (7%) share the elitist views of the Political Class.

When one thinks of all of the people that have immigrated to our country in the last 100 years to escape fascist, socialist countries and their tyrannical leaders, the results of this poll are very scary. We clearly are headed down a road towards becoming the very third rate country that millions of immigrants have escaped from. I can only wonder what those who have escaped socialist countries for a life in the United States might think. They came for life, liberty and the pursuit of happiness, now they find that a large portion of our population are voting to make us the very monster they fled. We are indeed, living in sad times.

Typical Democrat....

A woman in a hot air balloon realized she was lost. She lowered her altitude and spotted a man in a boat below. She shouted to him, 'Excuse me, can you help me? I promised a friend I would meet him an hour ago, but I don't know where I am.'

The man consulted his portable GPS and replied, 'You're in a hot air balloon, approximately 30 feet above a ground elevation of 2346 feet above sea level. You are at 31 degrees, 14.97 minutes north latitude and 100 degrees, 49.09 minutes west longitude.

She rolled her eyes and said, 'You must be a Republican.'

'I am,' replied the man. 'How did you know?'

'Well,' answered the balloonist, 'everything you told me is technically correct, but I have no idea what to do with your information, and I'm still lost. Frankly, you've not been much help to me.'

The man smiled and responded, 'You must be a Democrat.'

'I am,' replied the balloonist. How did you know?'

'Well,' said the man, 'you don't know where you are or where you're going. You've risen to where you are, due to a large quantity of hot air. You made a promise that you have no idea how to keep, and you expect me to solve your problem. You're in exactly the same position you were in before we met, but, somehow, now it's my fault.'

How the Tax System Works

Suppose that every day, ten men go out for beer and the bill for all ten comes to $100.

If they paid their bill the way we pay our taxes, it would go something like this:

The first four men (the poorest) would pay nothing.
The fifth would pay $1.The sixth would pay $3.
The seventh would pay $7.
The eighth would pay $12.
The ninth would pay $18.
The tenth man (the richest) would pay $59.So, that's what they decided to do.
The ten men drank in the bar every day and seemed quite happy with the arrangement, until one day, the owner threw them a curve. "Since you are all such good customers," he said, "I'm going to reduce the cost of your daily beer by $20."
Drinks for the ten now cost just $80 total.
The group still wanted to pay their bill the way we pay our taxes so the first four men were unaffected.
They would still drink for free.
But what about the other six men - the paying customers? How could they divide the $20 windfall so that everyone would get his fair share?
They realized that $20 divided by six is $3.33.
But if they subtracted that from everybody's share, then the fifth man and the sixth man would each end up being paid to drink his beer.

So, the bar owner suggested that it would be fair to reduce each man's bill by roughly the same amount, and he proceeded to work out the amounts each should pay.And so:

The fifth man, like the first four, now paid nothing (100% savings).
The sixth now paid $2 instead of $3 (33%savings).
The seventh now pay $5 instead of $7 (28%savings).
The eighth now paid $9 instead of $12 ( 25% savings).
The ninth now paid $14 instead of $18 ( 22% savings).
The tenth now paid $49 instead of $59 (16% savings).
Each of the six was better off than before. And the first four continued to drink for free.
But once outside the restaurant, the men began to compare their savings."I only got a dollar out of the $20," declared the sixth man.
He pointed to the tenth man,"but he got $10!""Yeah, that's right," exclaimed the fifth man. "I only saved a dollar, too. It's unfair that he got ten times more than I!""That's true!!" shouted the seventh man. "Why should he get $10 back when I got only two? The wealthy get all the breaks!""Wait a minute," yelled the first four men in unison. "We didn't get anything at all.
The system exploits the poor!"The nine men surrounded the tenth and beat him up.
The next night the tenth man didn't show up for drinks, so the nine sat down and had beers without him.
But when it came time to pay the bill, they discovered something important.
They didn't have enough money between all of them for even half of the bill!And that, boys and girls, journalists and college professors, is how our tax system works.
The people who pay the highest taxes get the most benefit from a tax reduction.
Tax them too much, attack them for being wealthy, and they just may not show up anymore.
In fact, they might start drinking overseas where the atmosphere is somewhat friendlier.

How Our Economy Got Messed Up

Linda is the proprietor of a bar in Hawaii. In order to increase sales, she decides to allow her loyal customers - most of whom are unemployed alcoholics - to drink now but pay later.

She keeps track of the drinks consumed on a ledger (thereby granting the customers loans). Word gets around and as a result increasing numbers of customers flood into Linda's bar.

Taking advantage of her customers' freedom from immediate payment constraints, Linda increases her prices for wine and beer, the most-consumed beverages.

Her sales volume increases massively.

A young and dynamic customer service consultant at the local bank recognizes these customer debts as valuable future assets and increases Linda's borrowing limit.

He sees no reason for undue concern since he has the debts of the alcoholics as collateral.

At the bank's corporate headquarters, expert bankers transform these customer assets into DRINKBONDS, ALKBONDS and PUKEBONDS.

These securities are then traded on markets worldwide.

No one really understands what these abbreviations mean and how the securities are guaranteed.

Nevertheless, as their prices continuously climb, the securities become top-selling items.

One day, although the prices are still climbing, a risk manager (subsequently of course fired due to his negativity) of the bank decides that slowly the time has come to demand payment of the debts incurred by the drinkers at Linda's bar.

However they cannot pay back the debts.Linda cannot fulfill her loan obligations and claims bankruptcy.DRINKBOND and ALKBOND drop in price by 95 %.

PUKEBOND performs better, stabilizing in price after dropping by 80%.

The suppliers of Linda's bar, having granted her generous payment due dates and having invested in the securities are faced with a new situation.

Her wine supplier claims bankruptcy, her beer supplier is taken over by a competitor.

The bank is saved by the Government following dramatic round-the-clock consultations by leaders from the governing political parties (and vested interests).

The funds required for this purpose are obtained by a tax levied on the non-drinkers.

by Babith Thomas

Rohm Emanuel's famous quote $200 OIL

$200 OIL

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When oil prices collapsed from $147 a barrel in the summer of 2008 to $35 a barrel in January, American drivers, Congress, government bureaucrats, and the mainstream media refocused on other more pressing issues like executive bonuses, Michele Obama’s wardrobe, and the tax law knowledge of Obama’s cabinet.

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by Jim Quinn

Rohm Emanuel's famous quote regarding the current financial crisis, "Never let a serious crisis go to waste...it's an opportunity to do things you couldn't do before." was ignored last summer when oil prices reached $147 a barrel. The Obama administration has taken advantage of the financial crisis to ram through their socialist agenda which will add trillions to the National Debt. It will stimulate unions, bureaucrats, government employees, and defense contractors. It will do nothing to address the looming energy crisis which will sweep over the country shortly. Again, politicians and pundits will be shocked and astonished when oil soars. They will vilify oil companies, OPEC, and the dreaded speculators. They ignore the old fashioned supply and demand equation that even a dimwitted Congressman should be able to comprehend.

Instead of addressing the crucial issues that have led to the U.S. being dependent on foreign oil to the tune of $500 billion per year, Congress decided to spend your tax dollars on the following vital items (compliments of Casey Research):

• $200,000 for tattoo removal for gang members in California.
• $98 million for a Coast Guard ice breaker closing an ice-breaking gap. (what about global warming)
• $950,000 for a bikeway in Kentucky.
• $2 million for astronomy awareness in Hawaii.
• $190,000 for a Buffalo Bill Historical Center.
• $650 million for the digital to analog converter box program.
• $1.8 million to study the effect of swine odor on the environment. (rumor has it the study will be conducted in the halls of Congress)

When oil prices collapsed from $147 a barrel in the summer of 2008 to $35 a barrel in January, American drivers, Congress, government bureaucrats, and the mainstream media refocused on other more pressing issues like executive bonuses, Michele Obama's wardrobe, and the tax law knowledge of Obama's cabinet. The attention span of the average American is shorter than a gnat's. As they text and twitter through life, the energy infrastructure continues to rust away, decades old wells are closer to depletion, and alternative energy projects have been scrapped by the thousands. Peak oil likely occurred between 2005 and 2009. The production of oil will now embark on a long slow decline. The world is not prepared.

The history of energy in the United States is really only 160 years old, with coal being utilized starting in 1850 and oil only becoming a viable fuel beginning in 1900. Essentially, the world has found lakes of oil under the crust of the earth. If you pump 82 million barrels of oil from a lake per day, the lake will eventually go empty. New lakes are found every year, but the easy to get to lakes have all been found. The new lakes are deep under the sea or in tar sands and shale deposits. These sources take as long as a decade to reach and billions of infrastructure investment. With petroleum in permanent decline, the U.S. needed to have a plan 20 years ago.

Source: Department of Energy

Matt Simmons, the brilliant energy analyst and author of Twilight in the Desert, recently told Reuters, "We are three, six, maybe nine months away from a price shock. We are not talking about three to five years away -- it will be much sooner. These prices now are dangerously low. The lower prices fall, the less oil will be produced and the greater the chance of an oil spike."

In this scenario, low oil prices will continue to take oil fields out of production and reduce exploration. Once prices recover, companies will have trouble gearing back up due to the credit crunch, resulting in production increase delays. Simmons describes what will happen. "Unless oil demand falls by 10 or 15 percent per annum, which it is not going to do, then we don't need to wait for oil demand to come back before we have a supply crunch." This is on no one's radar.

Peak Oil

When pundits on CNBC speak authoritatively about peak oil being a fallacy, their misleading blather is believed by supposedly intelligent people. They expound that we are not running out of oil. There are billions of barrels left inside the earth. Peak oil does not mean that we are in imminent danger of running out of oil. Peak oil is the point in time when the maximum rate of global petroleum extraction was reached, after which the rate of production enters terminal decline. The aggregate production rate from an oil field over time usually grows exponentially until the rate peaks and then declines-sometimes rapidly-until the field is depleted. This concept is derived from the Hubbert curve, and has been shown to be applicable to the sum of a nation's domestic production rate, and is similarly applied to the global rate of petroleum production. M. King Hubbert created and first used the models behind peak oil in 1956 to accurately predict that United States oil production would peak between 1965 and 1970.

Source: Department of Energy

The depletion of existing sources is more rapid than any new sources that can be brought online. Production in the United States is in relentless decline. The view of Alaskan oil production from 1975 until today clearly shows how rapidly oil fields can decline. What has happened in the United States is now happening on a worldwide basis. The U.S. Department of Energy published a report from some of the top energy minds in the world in 2005. The lead author Robert Hirsch produced a comprehensive report on the peak oil issue called, Peaking of World Oil Production: Impacts, Mitigation, and Risk Management. The conclusions were frightening. What has the U.S, government done in response? NOTHING

The overwhelming majority of industry petroleum geologists, scientists, and economists who worked on the report projected global peak production being reached between 2005 and 2010. The report's disturbing conclusions are as follows:

• World oil peaking is going to happen, and will likely be abrupt.

• Oil peaking will adversely affect global economies, particularly those most dependent on oil.
  
• Oil peaking presents a unique challenge ("it will be abrupt and revolutionary").
  
• The problem is liquid fuels (growth in demand mainly from transportation sector).
  
• Mitigation efforts will require substantial time.

- 20 years is required to transition without substantial impacts

- A 10 year rush transition with moderate impacts is possible with extraordinary efforts from governments, industry, and consumers

- Late initiation of mitigation may result in severe consequences.

• Both supply and demand will require attention.
  
• It is a matter of risk management (mitigating action must come before the peak).
• Government intervention will be required.
• Economic upheaval is not inevitable ("given enough lead-time, the problems are soluble with existing technologies.")

Source: Hirsch Report

Considering that global oil production peaked or is peaking between 2005 and 2010, we are destined for the 3rd scenario of severe consequences. Economic upheaval is now inevitable. It is the American way to not do anything until it is too late. The Hirsch Report urges a crash program of new technologies and changes in manners and attitudes in the US and as well implying more research and development. The urging has gone unheeded. The worldwide global recession is the only reason you are not paying $5.00 a gallon for gasoline today. Supply did not increase, demand leveled off.

World demand "plummeted" from 87 million barrels per in early 2008 to 84 million barrels per day in early 2009, a full 3.5% decline. If the world economy levels off and resumes growth, demand will immediately surpass previous levels. The problem is that production has peaked and will likely drop below 80 million barrels in 2010. When demand is rising and supply is declining, only one thing can happen - higher prices.

The peaking of hydrocarbon supply is vital not just to our country's future, it is enormously critical to our global economic conduct. Optimists argue that oil has not peaked, and will not peak for decades. They base this on widely held beliefs, including the extent of the world's energy resource endowment, the ability of technology to recover larger amounts of oil once left behind, the lag time between high oil prices and the ramped-up drilling they kindle, the remarkable amount of unconventional oil that has become commercially feasible because of high prices, and undetermined technology advancements. Those who ridicule peak oil, think the term means "running out of oil" instead of the true definition: "oil production can no longer grow."

The optimists dismissed the fact that oil prices reaching $147 a barrel had anything to do with constricting market fundamentals. Instead, they argued that lofty crude prices were merely a by-product of a weak dollar, hedge fund speculation, geopolitical trepidation, downstream log jams, the Iraq war, Nigerian political turmoil and the craving for high prices within OPEC, which kept enormous spare capacity shut in. When prices skyrocket again, these optimists will produce new excuses. Facts are facts. Easily found cheap sources of energy are in terminal decline.

Matt Simmons explains the long and winding road to our current predicament:

• Between 1970 and 1979, world oil demand grew from 47 million barrels per day to 65 million barrels per day, a jump in 10 years of an astonishing 18 million barrels per day. This is how we ate up the world's spare capacity and at the same time caused U.S. supply to peak. Thus, the price of oil skyrocketed.
• From 1979 through 1983, demand fell four straight years, retreating back to 59 million barrels per day. Most of this change came as oil ended its role as a prime feedstock for power generation. This probably would have happened even if oil prices had not gone so high, as the world was finally rolling out nuclear fuel.
• Once demand hit bottom in 1983, it quietly began to grow again, though the growth was masked by the beginning of a prolonged collapse of oil use throughout the USSR. Nevertheless, total world demand grew from the 59 million base in 1983 to 69 million in 1994, an increase of 10 million barrels per day. This increase, interestingly, came at a time when most of the oil pundits were wringing their hands, declaring that oil demand was so stagnant that low oil prices were the new world order.
• In 1995, global oil demand finally edged over 70 million barrels per day for the first time in history. Between 1994 (the last time it was under 70 million barrels per day) and the end of 2008, demand grew to 86 million barrels per day ? a jump of 16 million barrels per day in 13 years. This explains why we used up every last pocket of spare productive capacity and ran out of drilling rigs.

Saudi Arabia is Lying

Saudi Arabia has been claiming that they are capable of ramping up oil production from its many oil fields. The chart below tells a different story. The largest Saudi fields have entered permanent decline. The largest field in the world, Ghawar, was discovered in 1948 and peaked at 5.6 million barrels per day in 1980. It now produces 5.0 million barrels per day. The 3rd largest field in the world, Safaniyah, was discovered in 1951 and peaked at 2.1 million barrels in 1998. It now produces 1.3 million barrels per day. One third of global oil supply comes from 20 large fields discovered prior to 1970. They have all peaked. 94% of global supply comes from 1,500 wells. If Saudi Arabia had the ability to ramp up production, they most certainly would have in 2008 when prices rose over $100 a barrel. They did not, because they could not.

Source: Oil Drum

"World reserves are confused and in fact inflated. Many of the so-called reserves are in fact resources. They're not delineated, they're not accessible, and they're not available for production."

Sadad I. Al Husseini, former VP of Aramco, October 2007.

Worldwide reserves peaked in 1980, when production first surpassed new discoveries. Total worldwide reserves are reported to be 1,200 billion barrels. Much of the increases in reserves since 1980 are lies. Al Husseini argues that 25% of the proven reserves in the world are speculative and not accessible. The following chart tells a fascinating story. Amazingly, each of these OPEC countries had dramatic leaps in their proven reserves, with Saudi Arabia having a 50% increase in one year with no major new discoveries. These self reported figures are not audited or verified in any way. Since production quotas are based on total reserves, the higher your reserves, the bigger your piece of the pie. Since 1988, Saudi Arabia has pumped at least 44 billion barrels of oil, but still has proven reserves of 264 billion with no major new discoveries. If you believe that, I have a package of 1,000 subprime mortgages that is rated AAA I'd like to sell you.

Declared reserves of major OPEC Producers (billion of barrels)
BP Statistical Review - June 2008
Year	Iran	Iraq	Kuwait	Saudi Arabia	UAE	Venezuela	Libya	Nigeria
1980	58.3	30.0	67.9	168.0	30.4	19.5	20.3	16.7
1981	57.0	32.0	67.7	167.9	32.2	19.9	22.6	16.5
1982	56.1	59.0	67.2	165.5	32.4	24.9	22.2	16.8
1983	55.3	65.0	67.0	168.8	32.3	25.9	21.8	16.6
1984	58.9	65.0	92.7	171.7	32.5	28.0	21.4	16.7
1985	59.0	65.0	92.5	171.5	33.0	54.5	21.3	16.6
1986	92.9	72.0	94.5	169.7	97.2	55.5	22.8	16.1
1987	92.9	100.0	94.5	169.6	98.1	58.1	22.8	16.0
1988	92.9	100.0	94.5	255.0	98.1	58.5	22.8	16.0
1989	92.9	100.0	97.1	260.1	98.1	59.0	22.8	16.0
1990	92.9	100.0	97.0	260.3	98.1	60.1	22.8	17.1
1991	92.9	100.0	96.5	260.9	98.1	62.6	22.8	20.0
1992	92.9	100.0	96.5	261.2	98.1	63.3	22.8	21.0
1993	92.9	100.0	96.5	261.4	98.1	64.4	22.8	21.0
1994	94.3	100.0	96.5	261.4	98.1	64.9	22.8	21.0
1995	93.7	100.0	96.5	261.5	98.1	66.3	29.5	20.8
1996	92.6	112.0	96.5	261.4	97.8	72.7	29.5	20.8
1997	92.6	112.5	96.5	261.5	97.8	74.9	29.5	20.8
1998	93.7	112.5	96.5	261.5	97.8	76.1	29.5	22.5
1999	93.1	112.5	96.5	262.8	97.8	76.8	29.5	29.0
2000	99.5	112.5	96.5	262.8	97.8	76.8	36.0	29.0
2001	99.1	115.0	96.5	262.7	97.8	77.7	36.0	31.5
2002	130.7	115.0	96.5	262.8	97.8	77.3	36.0	34.3
2003	133.3	115.0	99.0	262.7	97.8	77.2	39.1	35.3
2004	132.7	115.0	101.5	264.3	97.8	79.7	39.1	35.9
2005	137.5	115.0	101.5	264.2	97.8	80.0	41.5	36.2
2006	138.4	115.0	101.5	264.3	97.8	87.0	41.5	36.2
2007	138.4	115.0	101.5	264.2	97.8	87.0	41.5	36.2

Dr. Ali Samsam Bakhtiari a former senior expert of the National Iranian oil Company, has estimated that Iran, Iraq, Kuwait, Saudi Arabia and the United Arab Emirates have overstated reserves by a combined 320-390 billion barrels, and "As for Iran, the usually accepted official 132 billion barrels is almost one hundred billion over any realistic estimate". Petroleum Intelligence Weekly reported that official confidential Kuwaiti documents estimate reserves of Kuwait were only 48 billion barrels, half as much as their reported 101 billion barrels. Essentially, the amount of oil reserves in the world is much lower than people think. The good news is that OPEC may have less clout in the future than they have had for the last 40 years.

Mexican Hat Dance

I'm sure that not many people in the U.S. realize that we get more oil from Mexico than Saudi Arabia. We are dependent on Mexico to supply us with 600 million barrels of oil per year. Without this supply, there would be shortages and much higher prices. Tijuana, we have a problem. Within five years, we will be getting ZERO barrels of oil per day from our neighbor to the south. Mexico has the distinguished honor of having a government more inept and short-sighted than our own. Hard to do.

Source: Perotcharts.com

Virtually all of the oil supplied from Mexico comes from the 2nd largest oil field in the world, Cantarell. It was discovered in the shallow waters of the Gulf of Mexico in 1977. It is run by the state owned oil company, Pemex. It held 17 billion barrels of oil. The Mexican government took the oil revenues and funded their wish list of programs in the country. Pemex has provided 40% of all revenues for the state. The state became so dependent they had Pemex build a nitrogen injection project on top of the well to push the oil out faster. It worked. In 2004, the well was providing 2.5 million barrels per day. It is now in irreversible decline at a rate of 15% per year. By 2012, it will only be producing 500,000 barrels per day.

Mexico has ridden this pony hard. They have not done any serious exploration in the Gulf of Mexico in 30 years. A newly discovered deep water well takes 10 years and billions of investment to bring on line. There is no doubt that Mexico's oil output will collapse in the next five years. They will not be capable of exporting any oil to the U.S. With the rest of the world having no spare capacity and demand higher than 2008, prices for gasoline in the U.S. will soar. In the meantime, we will ponder higher gas mileage requirements, not allow offshore drilling, and make no effort to convert our transportation fleet to natural gas. Congressmen will be outraged and indignant at the oil companies, when the writing was on the wall for a decade.

Crisis Part II

The flowchart below gives an extremely clear picture of what happened in the last year and what will happen in the next few years. The financial crisis and the energy crisis were intertwined and will continue to feed upon each other. Worldwide oil production peaked between 2005 and 2009. This, along with refinery shutdowns, hurricane related issues, and hedge fund speculation led to oil reaching $147 a barrel. This was the straw that broke the camels back and helped accelerate a downward spiral for consumers. The combination of plunging home values, retirement savings being cut in half and gas prices doubling led to the worst recession since the 1930's. The dramatic worldwide slowing caused by American consumers not going to Malls reduced demand enough to make the speculators go running for the hills. Oil prices plummeted 76% in a couple months to $35 a barrel. Now we are about to enter phase two of this comedy of errors. Again, the clueless leaders of our country will be taken by surprise. They've learned nothing.

It may sound like sacrilege, but prices below $50 a barrel are dangerously low. The crash in gasoline prices to below $2.00 a gallon has led to demand in the U.S. rising 6% above the demand in September 2008. Our American twitter society has already forgotten the $4.00 a gallon prices. Hybrids are rotting on car dealership lots. Everything that has happened since the price collapse will contribute to Crisis Part 2:

• OPEC cut supply by 4.2 million barrels per day from levels in September
• Projects that were viable at $80 a barrel have been scrapped. Ethanol and Tar Sands are only profitable above this level. Natural gas wells are being capped as prices plunged from $13 to $4.
• Worldwide rig counts have plunged from 3,500 to 2,700 in a matter of months.

• Existing wells throughout the world continue to decline at ever increasing rates.
• The Obama administration will restrict the expansion of coal powered plants, construction of new refineries and new drilling in the U.S.
• The enormous stimulus being rolled out throughout the world will generate increased energy demand as supply remains restricted.
• The banking crisis has resulted in no financing for energy projects that could relieve the long-term supply issues.
• Energy companies have been laying off skilled workers as their business has plummeted. When demand resumes, these workers won't be there.

Most people do not understand that all prices are set at the margin. There are 75 million houses in America. Only 4 to 5 million homes are sold per year. Therefore, 5% to 6% of the homes in the U.S. set the price for the other 70 million homes. This same concept applies to the last barrel of oil. When worldwide demand exceeded worldwide supply in late 2007 and early 2008, those last barrels of oil set the price. This explains why those last barrels of oil set the price above $100 a barrel. It wasn't greedy speculators and evil oil companies.

Source: International Energy Agency

It is clear that supply has stayed in the range of 86 million barrels per day while demand has dropped to the range of 84 to 85 million barrels per day. If oil demand rises by 3%, demand will outstrip supply again.

Source: International Energy Agency

$200 Oil Will Arrive

When I was ten years old my parents told me to never touch our stainless steel sink and the electric light switch above the sink at the same time. I couldn't resist. I tried it and got knocked on my ass. I never did it again. Americans are a different lot. Last year we got knocked on our ass by $4.00 gasoline. Instead of learning, we have sauntered back to the kitchen sink and we're reaching up for the electric light switch. I wonder what is going to happen this time.

Americans are used to making tough choices. They have made choices between the Hummer H3 (13 mpg) and the Hummer H2 (8 mpg). They've made choices between a BMW 650i (16 mpg) and a Mercedes S600 (13 mpg). The coming energy crisis will lead to choices between food or fuel for many people. The coming crisis is as clear as the housing bubble. Anyone with half a brain could see that home prices would need to fall 30% to 50% to get back to equilibrium. Therefore, no one in Congress, Wall Street, or CNBC saw it coming. Total world oil supply is in a permanent decline. Oil demand will continue to rise. Only a half wit would argue that prices will not rise dramatically in the coming years. Turn on CNBC to get the half wit view of oil prices.

Now the bad news for Americans; we make up 4.3% of the world's population and consume 26% of the world's oil. Europe makes up 6.8% of the world's population and consumes 11% of the world's oil. After the oil shock of the 1970's Europe decided to dramatically increase taxes on gasoline. The high cost of gasoline forced people to buy smaller fuel efficient cars. Today in Germany, their cars average 44 mpg, while in the U.S. our cars average 22 mpg. Whether Europe spent the taxes wisely is another question, but they did change behavior. No crude oil refineries have been built in the United States since 1976. During that time, hundreds of ethanol refineries have been built. It requires more energy to produce ethanol than ethanol produces. The United States has between 250 and 300 years of a coal supply. That is more than the amount of recoverable oil contained in the entire world. We will not utilize this resource because environmentalists say it is bad. Congressman Gary Miller describes the U.S. response to the 1970's oil shock.

In 1973, America imported 30 percent of its crude oil needs. Today, that number has doubled to more than 70 percent. Gas prices are as high as they are now in part because we've had no comprehensive national energy policy for the past few decades.

The peak oil shock that is coming will affect the United States more dramatically than any other country. Are you prepared for $5.00 a gallon gasoline? We are 20 years too late to stop this from happening. The American way of kicking all tough issues down the road is about to kick us in the ass, and no one is preparing Americans for the result. Happy talk and confidence building exercises will not solve the problem. We are not in control of our destiny. Our supply is drying up. More drilling will not work. Higher fuel efficiency standards will not work. Congressmen and TV pundits will posture, expound, skewer oil executives on TV, and get red in the face, but they have failed the American public again. The social upheaval that could occur from fuel shortages and outrageous prices will be ugly. Most Americans live in suburbs far from work. Our food supply requires trucks to deliver to our stores. The U.S. military consumes 400,000 barrels of oil per day and spends $13 billion of your tax dollars per year to keep their machines functioning. War for oil becomes more likely in that environment. Is that a farfetched scenario?

The population of the world will continue to rise. The United States has no control over that fact. Developing countries will grow more prosperous. People utilize more fossil fuels as they become more prosperous. $2,500 cars are now becoming available in China and India and the rest of Asia. In a Chinese car ownership survey, 96% of respondents said they paid cash for their cars. How un-American like. Imagine if GMAC could gain a foothold in China. More than 20,000 new cars per day are being sold to Chinese citizens who have never owned an automobile before. This is massive new demand being created for gasoline. China now has a middle class estimated at nearly 300 million people. 37% of people driving in China today did not know how to drive 3 years ago.

Oil will continue to be discovered, just not enough to keep up with demand. The pie chart below paints a disturbing picture. Only 30% of total oil reserves are light sweet crude. The other 70% is difficult and costly to bring to market. Few U.S. refineries can convert heavy crude into gasoline. Oil sands require massive amounts of water and natural gas to convert it into usable oil. The oil remaining to be discovered will be in deepwater wells. It takes at least 10 years to bring a deepwater well online. We are losing the race with time.

Source: Wikipedia

The only two people sounding the alarm have been Matt Simmons and T. Boone Pickens. Mr. Simmons warns that the best energy geologists and engineers are now retiring, with no one to take their place. The global oil and gas system infrastructure is rusting away and falling apart. The cost to rebuild our global energy infrastructure would be close to $100 trillion and would require 10 to 20 million workers. This would not be wasted money. Mr. Pickens argues that by investing $1 trillion to build wind facilities in the corridor from Texas to North Dakota we could produce 20% of the nation's electricity by 2020. This would free up our vast natural gas resources to be used as fuel for truck fleets and ultimately automobiles. The ideas of both men would create jobs in America and make us less dependent on Middle East oil.

None of these ideas will avert $5 gasoline in our near future. They may avert $10 gasoline and potentially a resource instigated World War 3. The choice is ours.

The Obama Deception New World Order

The Obama Deception is a hard-hitting film that completely destroys the myth that Barack Obama is working for the best interests of the American people. The Obama phenomenon is a hoax carefully crafted by the captains of the New World Order. He is being pushed as savior in an attempt to con the American people into accepting global slavery. We have reached a critical juncture in the New World Order's plans. and only by exposing the con can we help to save freedom in America. The Obama Deception is not about Left or Right: it's about a One World Government. The international banks plan to loot the people of the United States and turn them into slaves on a Global Plantation. Covered in this film: who Obama works for, what lies he has told, and his real agenda, and how his initial appointments and actions prove he serves the corporate oligarchs, not the American people. If you want to know the facts and cut through all the hype, this is the film for you. other locations.

http://www.youtube.com/watch?v=eAaQNACwaLw

http://www.megavideo.com/?v=TFHZ8MQQ

“GOVERNMENT BY THE PEOPLE”

THE END OF “GOVERNMENT BY THE PEOPLE”

PRESIDENTIAL INVALID -

VIRTUALLY BEYOND BELIEF, BUT ABSOLUTELY TRUE. DO YOUR OWN RESEARCH AND INVESTIGATE THE FACTS.

OUR CONSTITUTION SPECIFIES THE REQUIREMENTS TO BECOME PRESIDENT. ANYONE WHO “TAKES OFFICE” AND WHO DOES NOT MEET THE REQUIREMENTS WILL NOT BE PRESIDENT.

THE UNITED STATES OF AMERICA IS NOW IN A “CONSTITUTIONAL CRISIS.”

BARACK OBAMA IS NOT A NATURAL BORN CITIZEN OF THE UNITED STATES AS IS REQUIRED BY THE UNITED STATES CONSTITUTION AND HAS IN FACT USURPED THE OFFICE OF PRESIDENT

WELCOME TO ONE-PARTY RULE. NO, IT'S NOT THE DEMOCRAT PARTY ... IT'S A NEW MERGED “REPUBLICANDEMOCRAT” PARTY. THIS AFFECTS YOU AND YOUR FUTURE.

You WILL see a number of shocking events take place in the months ahead. This will include: exoneration or pardon of the governor of Illinois and other corrupt government officials; “generated crises,” generated to gain sympathy for and distract attention away from the new one-party government; targeted censorship of the Internet, newspapers and broadcasters who do not accept the merged “Republicandemocrat” Party line; threats and intimidations aimed at the livelihoods of people who know the truth; a number of unlawful arrests of protesters and others exercising their First Amendment rights; widespread illegal spying on private citizens including illegal wiretaps, searches and investigations executed against ordinary U.S. Citizens who do not accept one-party rule; gradual “suspension” of the Second Amendment leading to its elimination; a torrent of new federal laws aimed at private U.S. Citizens and businesses; illegal government seizures of private property under false pretenses; a “global warming emergency” declared, with special taxes and penalties imposed on U.S. Citizens, power companies, local governments and small businesses; rapidly accelerating Socialism; disregard for parts of the United States Constitution leading to complete suspension of what's left of the Constitution; greatly increased funding for now outmoded digital television broadcasting with emphasis on PBS to promote the Party line and values harmful to the best interests of U.S. Citizens and the U.S. economy; a greatly increased role for the United Nations into the everyday rights and affairs of private U.S. Citizens and local governments; total amnesty for people who entered the United States illegally and in many cases, continued to disregard U.S. laws afterward; the creation of a large, Constitutionally unlawful central military police force to enforce the Party line; return of the national draft - conscripting teenagers and young adults into unlawful paramilitary service against their fellow U.S. Citizens; declaration of a “national emergency” or emergencies; marshal law in specific areas, then nationwide.

The Bill of Rights

The Bill of Rights: A Transcription

The Preamble to The Bill of Rights

Congress of the United States
begun and held at the City of New-York, on
Wednesday the fourth of March, one thousand seven hundred and eighty nine.

THE Conventions of a number of the States, having at the time of their adopting the Constitution, expressed a desire, in order to prevent misconstruction or abuse of its powers, that further declaratory and restrictive clauses should be added: And as extending the ground of public confidence in the Government, will best ensure the beneficent ends of its institution.

RESOLVED by the Senate and House of Representatives of the United States of America, in Congress assembled, two thirds of both Houses concurring, that the following Articles be proposed to the Legislatures of the several States, as amendments to the Constitution of the United States, all, or any of which Articles, when ratified by three fourths of the said Legislatures, to be valid to all intents and purposes, as part of the said Constitution; viz.

ARTICLES in addition to, and Amendment of the Constitution of the United States of America, proposed by Congress, and ratified by the Legislatures of the several States, pursuant to the fifth Article of the original Constitution.

Note: The following text is a transcription of the first ten amendments to the Constitution in their original form. These amendments were ratified December 15, 1791, and form what is known as the "Bill of Rights."

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Amendment I

Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech, or of the press; or the right of the people peaceably to assemble, and to petition the Government for a redress of grievances.

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Amendment II

A well regulated Militia, being necessary to the security of a free State, the right of the people to keep and bear Arms, shall not be infringed.

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Amendment III

No Soldier shall, in time of peace be quartered in any house, without the consent of the Owner, nor in time of war, but in a manner to be prescribed by law.

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Amendment IV

The right of the people to be secure in their persons, houses, papers, and effects, against unreasonable searches and seizures, shall not be violated, and no Warrants shall issue, but upon probable cause, supported by Oath or affirmation, and particularly describing the place to be searched, and the persons or things to be seized.

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Amendment V

No person shall be held to answer for a capital, or otherwise infamous crime, unless on a presentment or indictment of a Grand Jury, except in cases arising in the land or naval forces, or in the Militia, when in actual service in time of War or public danger; nor shall any person be subject for the same offence to be twice put in jeopardy of life or limb; nor shall be compelled in any criminal case to be a witness against himself, nor be deprived of life, liberty, or property, without due process of law; nor shall private property be taken for public use, without just compensation.

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Amendment VI

In all criminal prosecutions, the accused shall enjoy the right to a speedy and public trial, by an impartial jury of the State and district wherein the crime shall have been committed, which district shall have been previously ascertained by law, and to be informed of the nature and cause of the accusation; to be confronted with the witnesses against him; to have compulsory process for obtaining witnesses in his favor, and to have the Assistance of Counsel for his defence.

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Amendment VII

In Suits at common law, where the value in controversy shall exceed twenty dollars, the right of trial by jury shall be preserved, and no fact tried by a jury, shall be otherwise re-examined in any Court of the United States, than according to the rules of the common law.

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Amendment VIII

Excessive bail shall not be required, nor excessive fines imposed, nor cruel and unusual punishments inflicted.

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Amendment IX

The enumeration in the Constitution, of certain rights, shall not be construed to deny or disparage others retained by the people.

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Amendment X

The powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively, or to the people.

AMENDMENT XI

Passed by Congress March 4, 1794. Ratified February 7, 1795.

Note: Article III, section 2, of the Constitution was modified by amendment 11.

The Judicial power of the United States shall not be construed to extend to any suit in law or equity, commenced or prosecuted against one of the United States by Citizens of another State, or by Citizens or Subjects of any Foreign State.

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AMENDMENT XII

Passed by Congress December 9, 1803. Ratified June 15, 1804.

Note: A portion of Article II, section 1 of the Constitution was superseded by the 12th amendment.

The Electors shall meet in their respective states and vote by ballot for President and Vice-President, one of whom, at least, shall not be an inhabitant of the same state with themselves; they shall name in their ballots the person voted for as President, and in distinct ballots the person voted for as Vice-President, and they shall make distinct lists of all persons voted for as President, and of all persons voted for as Vice-President, and of the number of votes for each, which lists they shall sign and certify, and transmit sealed to the seat of the government of the United States, directed to the President of the Senate; -- the President of the Senate shall, in the presence of the Senate and House of Representatives, open all the certificates and the votes shall then be counted; -- The person having the greatest number of votes for President, shall be the President, if such number be a majority of the whole number of Electors appointed; and if no person have such majority, then from the persons having the highest numbers not exceeding three on the list of those voted for as President, the House of Representatives shall choose immediately, by ballot, the President. But in choosing the President, the votes shall be taken by states, the representation from each state having one vote; a quorum for this purpose shall consist of a member or members from two-thirds of the states, and a majority of all the states shall be necessary to a choice. [And if the House of Representatives shall not choose a President whenever the right of choice shall devolve upon them, before the fourth day of March next following, then the Vice-President shall act as President, as in case of the death or other constitutional disability of the President. --]* The person having the greatest number of votes as Vice-President, shall be the Vice-President, if such number be a majority of the whole number of Electors appointed, and if no person have a majority, then from the two highest numbers on the list, the Senate shall choose the Vice-President; a quorum for the purpose shall consist of two-thirds of the whole number of Senators, and a majority of the whole number shall be necessary to a choice. But no person constitutionally ineligible to the office of President shall be eligible to that of Vice-President of the United States.

*Superseded by section 3 of the 20th amendment.

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AMENDMENT XIII

Passed by Congress January 31, 1865. Ratified December 6, 1865.

Note: A portion of Article IV, section 2, of the Constitution was superseded by the 13th amendment.

Section 1.
Neither slavery nor involuntary servitude, except as a punishment for crime whereof the party shall have been duly convicted, shall exist within the United States, or any place subject to their jurisdiction.

Section 2.
Congress shall have power to enforce this article by appropriate legislation.

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AMENDMENT XIV

Passed by Congress June 13, 1866. Ratified July 9, 1868.

Note: Article I, section 2, of the Constitution was modified by section 2 of the 14th amendment.

Section 1.
All persons born or naturalized in the United States, and subject to the jurisdiction thereof, are citizens of the United States and of the State wherein they reside. No State shall make or enforce any law which shall abridge the privileges or immunities of citizens of the United States; nor shall any State deprive any person of life, liberty, or property, without due process of law; nor deny to any person within its jurisdiction the equal protection of the laws.

Section 2.
Representatives shall be apportioned among the several States according to their respective numbers, counting the whole number of persons in each State, excluding Indians not taxed. But when the right to vote at any election for the choice of electors for President and Vice-President of the United States, Representatives in Congress, the Executive and Judicial officers of a State, or the members of the Legislature thereof, is denied to any of the male inhabitants of such State, being twenty-one years of age,* and citizens of the United States, or in any way abridged, except for participation in rebellion, or other crime, the basis of representation therein shall be reduced in the proportion which the number of such male citizens shall bear to the whole number of male citizens twenty-one years of age in such State.

Section 3.
No person shall be a Senator or Representative in Congress, or elector of President and Vice-President, or hold any office, civil or military, under the United States, or under any State, who, having previously taken an oath, as a member of Congress, or as an officer of the United States, or as a member of any State legislature, or as an executive or judicial officer of any State, to support the Constitution of the United States, shall have engaged in insurrection or rebellion against the same, or given aid or comfort to the enemies thereof. But Congress may by a vote of two-thirds of each House, remove such disability.

Section 4.
The validity of the public debt of the United States, authorized by law, including debts incurred for payment of pensions and bounties for services in suppressing insurrection or rebellion, shall not be questioned. But neither the United States nor any State shall assume or pay any debt or obligation incurred in aid of insurrection or rebellion against the United States, or any claim for the loss or emancipation of any slave; but all such debts, obligations and claims shall be held illegal and void.

Section 5.
The Congress shall have the power to enforce, by appropriate legislation, the provisions of this article.

*Changed by section 1 of the 26th amendment.

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AMENDMENT XV

Passed by Congress February 26, 1869. Ratified February 3, 1870.

Section 1.
The right of citizens of the United States to vote shall not be denied or abridged by the United States or by any State on account of race, color, or previous condition of servitude--

Section 2.
The Congress shall have the power to enforce this article by appropriate legislation.

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AMENDMENT XVI

Passed by Congress July 2, 1909. Ratified February 3, 1913.

Note: Article I, section 9, of the Constitution was modified by amendment 16.

The Congress shall have power to lay and collect taxes on incomes, from whatever source derived, without apportionment among the several States, and without regard to any census or enumeration.

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AMENDMENT XVII

Passed by Congress May 13, 1912. Ratified April 8, 1913.

Note: Article I, section 3, of the Constitution was modified by the 17th amendment.

The Senate of the United States shall be composed of two Senators from each State, elected by the people thereof, for six years; and each Senator shall have one vote. The electors in each State shall have the qualifications requisite for electors of the most numerous branch of the State legislatures.

When vacancies happen in the representation of any State in the Senate, the executive authority of such State shall issue writs of election to fill such vacancies: Provided, That the legislature of any State may empower the executive thereof to make temporary appointments until the people fill the vacancies by election as the legislature may direct.

This amendment shall not be so construed as to affect the election or term of any Senator chosen before it becomes valid as part of the Constitution.

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AMENDMENT XVIII

Passed by Congress December 18, 1917. Ratified January 16, 1919. Repealed by amendment 21.

Section 1.
After one year from the ratification of this article the manufacture, sale, or transportation of intoxicating liquors within, the importation thereof into, or the exportation thereof from the United States and all territory subject to the jurisdiction thereof for beverage purposes is hereby prohibited.

Section 2.
The Congress and the several States shall have concurrent power to enforce this article by appropriate legislation.

Section 3.
This article shall be inoperative unless it shall have been ratified as an amendment to the Constitution by the legislatures of the several States, as provided in the Constitution, within seven years from the date of the submission hereof to the States by the Congress.

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AMENDMENT XIX

Passed by Congress June 4, 1919. Ratified August 18, 1920.

The right of citizens of the United States to vote shall not be denied or abridged by the United States or by any State on account of sex.

Congress shall have power to enforce this article by appropriate legislation.

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AMENDMENT XX

Passed by Congress March 2, 1932. Ratified January 23, 1933.

Note: Article I, section 4, of the Constitution was modified by section 2 of this amendment. In addition, a portion of the 12th amendment was superseded by section 3.

Section 1.
The terms of the President and the Vice President shall end at noon on the 20th day of January, and the terms of Senators and Representatives at noon on the 3d day of January, of the years in which such terms would have ended if this article had not been ratified; and the terms of their successors shall then begin.

Section 2.
The Congress shall assemble at least once in every year, and such meeting shall begin at noon on the 3d day of January, unless they shall by law appoint a different day.

Section 3.
If, at the time fixed for the beginning of the term of the President, the President elect shall have died, the Vice President elect shall become President. If a President shall not have been chosen before the time fixed for the beginning of his term, or if the President elect shall have failed to qualify, then the Vice President elect shall act as President until a President shall have qualified; and the Congress may by law provide for the case wherein neither a President elect nor a Vice President shall have qualified, declaring who shall then act as President, or the manner in which one who is to act shall be selected, and such person shall act accordingly until a President or Vice President shall have qualified.

Section 4.
The Congress may by law provide for the case of the death of any of the persons from whom the House of Representatives may choose a President whenever the right of choice shall have devolved upon them, and for the case of the death of any of the persons from whom the Senate may choose a Vice President whenever the right of choice shall have devolved upon them.

Section 5.
Sections 1 and 2 shall take effect on the 15th day of October following the ratification of this article.

Section 6.
This article shall be inoperative unless it shall have been ratified as an amendment to the Constitution by the legislatures of three-fourths of the several States within seven years from the date of its submission.

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AMENDMENT XXI

Passed by Congress February 20, 1933. Ratified December 5, 1933.

Section 1.
The eighteenth article of amendment to the Constitution of the United States is hereby repealed.

Section 2.
The transportation or importation into any State, Territory, or Possession of the United States for delivery or use therein of intoxicating liquors, in violation of the laws thereof, is hereby prohibited.

Section 3.
This article shall be inoperative unless it shall have been ratified as an amendment to the Constitution by conventions in the several States, as provided in the Constitution, within seven years from the date of the submission hereof to the States by the Congress.

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AMENDMENT XXII

Passed by Congress March 21, 1947. Ratified February 27, 1951.

Section 1.
No person shall be elected to the office of the President more than twice, and no person who has held the office of President, or acted as President, for more than two years of a term to which some other person was elected President shall be elected to the office of President more than once. But this Article shall not apply to any person holding the office of President when this Article was proposed by Congress, and shall not prevent any person who may be holding the office of President, or acting as President, during the term within which this Article becomes operative from holding the office of President or acting as President during the remainder of such term.

Section 2.
This article shall be inoperative unless it shall have been ratified as an amendment to the Constitution by the legislatures of three-fourths of the several States within seven years from the date of its submission to the States by the Congress.

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AMENDMENT XXIII

Passed by Congress June 16, 1960. Ratified March 29, 1961.

Section 1.
The District constituting the seat of Government of the United States shall appoint in such manner as Congress may direct:

A number of electors of President and Vice President equal to the whole number of Senators and Representatives in Congress to which the District would be entitled if it were a State, but in no event more than the least populous State; they shall be in addition to those appointed by the States, but they shall be considered, for the purposes of the election of President and Vice President, to be electors appointed by a State; and they shall meet in the District and perform such duties as provided by the twelfth article of amendment.

Section 2.
The Congress shall have power to enforce this article by appropriate legislation.

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AMENDMENT XXIV

Passed by Congress August 27, 1962. Ratified January 23, 1964.

Section 1.
The right of citizens of the United States to vote in any primary or other election for President or Vice President, for electors for President or Vice President, or for Senator or Representative in Congress, shall not be denied or abridged by the United States or any State by reason of failure to pay poll tax or other tax.

Section 2.
The Congress shall have power to enforce this article by appropriate legislation.

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AMENDMENT XXV

Passed by Congress July 6, 1965. Ratified February 10, 1967.

Note: Article II, section 1, of the Constitution was affected by the 25th amendment.

Section 1.
In case of the removal of the President from office or of his death or resignation, the Vice President shall become President.

Section 2.
Whenever there is a vacancy in the office of the Vice President, the President shall nominate a Vice President who shall take office upon confirmation by a majority vote of both Houses of Congress.

Section 3.
Whenever the President transmits to the President pro tempore of the Senate and the Speaker of the House of Representatives his written declaration that he is unable to discharge the powers and duties of his office, and until he transmits to them a written declaration to the contrary, such powers and duties shall be discharged by the Vice President as Acting President.

Section 4.
Whenever the Vice President and a majority of either the principal officers of the executive departments or of such other body as Congress may by law provide, transmit to the President pro tempore of the Senate and the Speaker of the House of Representatives their written declaration that the President is unable to discharge the powers and duties of his office, the Vice President shall immediately assume the powers and duties of the office as Acting President.

Thereafter, when the President transmits to the President pro tempore of the Senate and the Speaker of the House of Representatives his written declaration that no inability exists, he shall resume the powers and duties of his office unless the Vice President and a majority of either the principal officers of the executive department or of such other body as Congress may by law provide, transmit within four days to the President pro tempore of the Senate and the Speaker of the House of Representatives their written declaration that the President is unable to discharge the powers and duties of his office. Thereupon Congress shall decide the issue, assembling within forty-eight hours for that purpose if not in session. If the Congress, within twenty-one days after receipt of the latter written declaration, or, if Congress is not in session, within twenty-one days after Congress is required to assemble, determines by two-thirds vote of both Houses that the President is unable to discharge the powers and duties of his office, the Vice President shall continue to discharge the same as Acting President; otherwise, the President shall resume the powers and duties of his office.

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AMENDMENT XXVI

Passed by Congress March 23, 1971. Ratified July 1, 1971.

Note: Amendment 14, section 2, of the Constitution was modified by section 1 of the 26th amendment.

Section 1.
The right of citizens of the United States, who are eighteen years of age or older, to vote shall not be denied or abridged by the United States or by any State on account of age.

Section 2.
The Congress shall have power to enforce this article by appropriate legislation.

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AMENDMENT XXVII

Originally proposed Sept. 25, 1789. Ratified May 7, 1992.

No law, varying the compensation for the services of the Senators and Representatives, shall take effect, until an election of representatives shall have intervened.

Dumbing down US

This is what the Mainstream Media has done to US and school kids, and young people....

A Background to Bilderberg

Sunday, June 8, 2008, marked the last day of this year’s annual Bilderberg meeting, which took place in Chantilly, Virginia. The American Friends of Bilderberg, an American Bilderberg front group, which organizes the American participant list for the annual Bilderberg conference, issued a rare press release this year. It stated that, "The Conference will deal mainly with a nuclear free world, cyber terrorism, Africa, Russia, finance, protectionism, US-EU relations, Afghanistan and Pakistan, Islam and Iran. Approximately 140 participants will attend."1

Bilderberg, which has been meeting annually since 1954, is a highly secretive international think tank and some say, policy-forming group made up of representatives from North America and Western Europe and was founded by Joseph Retinger, Prince Bernhard of the Netherlands and Belgian Prime Minister Paul Van Zeeland. The Bilderberg Steering Committee, made up of around 30 people, (with no official list available), "decided that it would invite 100 of the most powerful people in Europe and North America every year to meet behind closed doors at a different five-star resort. The group stresses secrecy: What's said at a Bilderberg conference stays at a Bilderberg conference."2

Usually, the Bilderberg Conference is held in Europe for three years in a row, with the fourth year holding a meeting in North America. However, the previous North American conference was held in 2006 in Ottawa. So why did they break tradition to hold the conference in North America this year? Speculation abounds around a discussion of a possible attack on Iran, the American-centered global financial crisis, as well as the current US Presidential elections.

Bilderberg has long been an important forum for up-and-coming politicians of Western nations to be introduced to the global financial elite; the heads of the major multinational corporations, international banks, world financial institutions, global governing bodies, think tanks, and powerful individuals of the likes of David Rockefeller and various European monarchs, including Queen Beatrix of the Netherlands, daughter of founding member, Prince Bernhard, as well as Queen Sofia and King Juan Carlos of Spain.

According to The Globe and Mail, such Canadian Prime Ministers have, in the past, (often before becoming Prime Minister), attended a Bilderberg Conference as a guest, including Pierre Trudeau, Jean Chretien, Paul Martin and Stephen Harper.3 Tony Blair attended Bilderberg before becoming Prime Minister,4 as did the current British Prime Minister, Gordon Brown, who also recently called for the establishment of a "new world order."5

Interestingly, as the Washington Post reported, Vernon E. Jordon, a high-powered American executive, who sits on several corporate boards, including American Express, Xerox, J.C. Penney, Dow Jones, and Sara Lee, to name a few, also happens to be a very close friend of former President Bill Clinton. However, "it was Jordan who first introduced then-Gov. Clinton to world leaders at their annual Bilderberg gathering in Germany in 1991. Plenty of governors try to make that scene; only Clinton got taken seriously at that meeting, because Vernon Jordan said he was okay."6 Clinton subsequently became President.

Barack and Bilderberg

Recently, there has been much discussion about Barack Obama having possibly attended the recent Bilderberg conference in Virginia. This speculation arose when Barack Obama and Hillary Clinton sneaked off for a secretive meeting while in Virginia. As the AP reported, "Reporters traveling with Obama sensed something might be happening between the pair when they arrived at Dulles International Airport after an event in Northern Virginia and Obama was not aboard the airplane. Asked at the time about the Illinois senator's whereabouts, [Obama spokesman Robert] Gibbs smiled and declined to comment."7

The press that had been traveling with Obama were not made aware of the secretive meeting until the plane that they assumed Obama would be present on was moving down the runway, prompting many angry questions from the press towards Obama’s spokesman, Robert Gibbs. One reported asked Gibbs, "Why were we not told about this meeting until we were on the plane, the doors were shut and the plane was about to taxi to take off?" to which he responded, "Senator Obama had a desire to do some meetings, others had a desire to meet with him tonight in a private way and that is what we are doing." This preceded another question, "Is there more than one meeting, is there more than one person with whom he is meeting?" Gibbs simply replied, "I am not going to get into all the details of the meeting." He again later repeated that, "There was a desire to do some meetings tonight, he was interested in doing them, others were interested in doing them, and to do them in a way that was private."8

On Friday, June 6, it was reported that Bilderberg tracker, Jim Tucker, "called Obama’s office today to ask if he had attended Bilderberg. A campaign spokeswoman refused to discuss the matter but would not deny that Obama had attended Bilderberg."9

Bilderberg to Pick Obama’s Vice President

As the Financial Times reported in May of this year, Barack Obama appointed James A. Johnson, the former CEO of Fannie Mae, "to head a secret committee to produce a shortlist for his vice-presidential running mate." A short list was discussed by the article, which listed, other than Hillary Clinton, "Jim Webb, the former secretary of the navy, Vietnam veteran and senator for Virginia; Tim Kaine, the governor of Virginia; John Edwards, the former vice-presidential candidate in 2004; Ted Strickland, the governor of Ohio; and Kathleen Sebelius, the governor of Kansas." Other potential nominees include "Sam Nunn, the former chairman of the Senate armed services committee; and Wesley Clark, the former head of Nato in Europe."10

James A. Johnson, the man Obama asked to pick his running mate, played the same role for John Kerry back in 2004, and he selected John Edwards. As the New York Times reported, "Several people pointed to the secretive and exclusive Bilderberg conference of some 120 people that this year drew the likes of Henry A. Kissinger, Melinda Gates and Richard A. Perle to Stresa, Italy, in early June, as helping [Edwards] win Mr. Kerry's heart. Mr. Edwards spoke so well in a debate on American politics with the Republican Ralph Reed that participants broke Bilderberg rules to clap before the end of the session." The Times further reported, "His performance at Bilderberg was important,'' said a friend of Mr. Kerry who was there. ''He reported back directly to Kerry. There were other reports on his performance. Whether they reported directly or indirectly, I have no doubt the word got back to Mr. Kerry about how well he did."11

James A. Johnson, Vice Chairman of Perseus, a merchant banking firm, is also a director of Goldman Sachs, Forestar Real Estate Group, Inc., KB Home, Target Corporation and UnitedHealth Group Inc., is also a member of the American Friends of Bilderberg, the Council on Foreign Relations, the Trilateral Commission and is an honorary trustee of the Brookings Institution.12 It is likely that Obama’s running mate will be chosen by Johnson at this years Bilderberg Conference.

Notable among this year’s Bilderberg guests are Kansas Governor, Kathleen Sebelius, who the Financial Times reported was on Johnson’s short list of nominees. In fact, Sebelius is the only person mentioned as a possible running mate in the Financial Times article that was officially listed on the Bilderberg list of attendees.13 Could this be a sign that she may be the chosen one? Time will tell. However, another Democratic politician present at the meeting was Tom Daschle, so perhaps he is working his way back into politics.

The Bilderberg
"Blackout"

The press corps' noncoverage of that weekend conference in Chantilly, Va.

By Jack Shafer
Posted Monday, June 9, 2008, at 8:32 PM ET

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About this time each year, the Bilderberg group convenes a weekend conference in a hotel or resort somewhere in North America or Europe in which 120 or so billionaires, bankers, politicians, industrialists, scholars, government officials, influentials from labor and education, and journalists assemble to discuss world affairs in private.

This year, the 56^th Bilderberg meeting took place over the weekend at the Westfields Marriott in Chantilly, Va., seven miles from Washington Dulles International Airport. As in previous years, Bilderberg critics are berating the mainstream press for observing a "blackout" of a group they believe directs a secret, shadow government.

The critics claim that Bilderberg grooms future American presidents and future British prime ministers, pointing to Bill Clinton's attendance in 1991 and Tony Blair's in 1993. Time magazine reported in 2004 that John Edwards impressed attendees at the Bilderberg session in Italy, after which John Kerry asked him to join his presidential ticket.

According to the 1980 book Trilateralism: The Trilateral Commission and Elite Planning for World Management, President Dwight D. Eisenhower was enthusiastic about sending staffers to Bilderberg, President John F. Kennedy drew heavily from Bilderberg alumni—Dean Rusk, George W. Ball, George McGhee, Walter Rostow, Arthur Dean, and Paul Nitze—to staff his administration, and many Carter administration officials had attended the retreat.

According to a list published by one critic, the attendees of Bilderberg 2008 include Henry Kissinger, Ben S. Bernanke, David Rockefeller, Vin Weber, Henry Kravis, Robert B. Zoellick, Donald Graham, Vernon Jordan, Charlie Rose, and their equals from Europe. Protestors staked out the elite at the hotel's entrance and recorded "surveillance" videos inside and outside the minimum-security facility before the event commenced.

About this much the Bilderberg critics are right: The mainstream media ignored Bilderberg 2008. According to Nexis, Wonkette and Raw Story noted the event and the critics' objections on the Web. A simple Web search produces Bilderberg detractors Alex Jones and Jim Tucker sounding their alarms.

And about this, too, the Bilderberg critics are right: The meeting of 120 prominent world figures probably constitutes some kind of news. Yet to be fair to the mainstream press, it's tough to report from a private gathering locked down tight by professional security.

Bilderberg organizers expect participants to keep the weekend's discussions off-the-record, stating in a press release this year that "the privacy of the meetings has no purpose other than to allow participants to speak their minds openly and freely." Bilderberg isn't the only international group that asks participants to zip their lips. The United Kingdom's Chatham House enshrined such a rule back in 1927, and similar requirements apply at some Council on Foreign Relations and Aspen Strategy Group meetings, just to name a few. Private groups meet in almost every town in the world for confidential chats. It's the way of the world. Bilderberger gab does occasionally leak, as with John Edwards' 2004 talk, but the poshes and powerful generally zip their lips.

What do you suppose would result if, say, the Washington Post had assigned a reporter to Chantilly's luminary jamboree? The Associated Press sent a reporter to cover the 1978 Bilderberger session in Princeton, N.J., but all he filed was a scene piece describing "men in gray suits and sunglasses" chasing him away from the "off limits" grounds of the Henry Chauncey Conference Center. From that dispatch (by Steve Hindy):

Kissinger casually strolled around a small manmade pond Saturday, coming within a few feet of the road leading into the complex.

He circled the pond twice, first with a gray-haired pipe-smoking man and then with a younger man. Kissinger appeared grave and attentive while the men talked of things like "range limitations."

Kissinger looked annoyed and declined comment when approached by a reporter.

One of two Secret Service agents trailing the former secretary nodded sympathetically saying, "You've got to give it your best shot."

And yet the "mainstream press" can hardly be accused of blacking out Bilderberg. The New York Times has mentioned Bilderberg a couple dozen times since 1981, according to Nexis, including in a 2004 piece titled "A Secret Conference Thought To Rule the Word." Other pieces in the Washington Post, Chicago Tribune, and the Boston Globe refer to the group. Just last month, Anne-Marie Slaughter mentioned the Bilderbergers in her Post review of a new book, Superclass: The Global Power Elite and the World They Are Making.

Of course, Bilderberg critics don't want to read mentions in the press. They want to see confirmation of their theories that the group operates in a sinister, behind-the-scenes fashion to exploit the powerless and throttle liberty.

How, exactly, are reporters supposed to do that when the critics rarely provide falsifiable evidence of Bilderberg malevolence? Would a shadow government, should it exist, really convene annually at a hotel to hash out the world's fate? Would it really issue a press release about its latest meeting? Would it routinely assume the security risks of inviting new blood in? (Couldn't the notorious Bilderberger Conrad Black negotiate his way out of prison by exposing the group? Or is Bilderberg so powerful that it controls the federal prison system, too?) It largely limits its attendees to North Americans and Europeans. Are the Japanese, Indians, Chinese, Brazilians, Australians, South Koreans, and Singaporean so timid that they stand aside and let the Bilderbergers have their way with the world without making a peep?

That's not to say the critics' inquiries never produce anything of value. I enjoy reading the documentary material they dig up and can only encourage them to dig deeper. Just last month, Barack Obama tapped a prominent Bilderberger, James A. Johnson, to vet possible vice presidential candidates. Johnson provided similar veep vetting for the Democratic Party in 2004—which, as noted above, resulted in the selection of a Bilderberg attendee. The AP also reports that Johnson helped Walter Mondale pick a veep nominee in 1984.

Who is Jim Johnson? He's the former head of Fannie Mae, a power on Wall Street, and a regular Bilderberg attendee. As recently as 2006, Johnson has been the treasurer of the nonprofit American Friends of Bilderberg Inc., according to the group's Form 990 on file at Guidestar.org. According to the fractured jargon of the filing, American Friends of Bilderberg is in the business of "Organizing & sponsoring conferences which study & discuss significant problems of the Western Alliance. Collaborating on the Bilderberg meetings held in Europe & North America." The group spent $112,533 in 2006.

Still, the fact that an active Democratic supporter has performed return duty as a veep vetter stops several stations short of arriving at a shadow government. It does, however, indicate that Johnson's political influence may be underscrutinized by the press and that his career is deserving of extra study and attention. A May 24 Wall Street Journal story, "Power Broker Helps Obama Search for Running Mate," does just that. Although it makes no mention of Johnson's Bilderberg connection, it drops a gentle dig that associates Johnson's Fannie Mae service with the home-loan crisis.

Without a doubt, Bilderberg ends up stimulating speculations that it's a nefarious organization. In an earlier generation, some theorists regarded the Council on Foreign Relations as a similar shadow government for its furtive ways. But as the CFR opened up in recent decades, holding many sessions on the record, it has become as threatening as the World Economic Forum at Davos.

Maybe there's a lesson in there for the Bilderbergers. Letting the press in for a closer look at what goes on would go a long way to reduce the shouting while preserving the group's right to think out loud. Or maybe all the heavy security and skulking about is a deliberate marketing ploy by Bilderberg to differentiate its yacht cruise from the ocean voyage that is Davos.

Jack Shafer is Slate's editor at large.

Article URL: http://www.slate.com/id/2193220/