Global market sucker rallies keep pulling in investors

Market Alert from The Wall Street Journal Major U.S. stock indexes fell more than 3% as a surge in Italian bond yields and concerns about the transfer of power in Greece put the spotlight back on euro-zone sovereign-debt issues. The Dow Jones Industrial Average closed down 389.24 points, or 3.2%, to 11780.94,  the biggest one-day slide since Sept. 22. The Standard & Poor’s 500 fell 46.82 points, or 3.67%, to 1229.10, while the Nasdaq Composite declined 105.84 points, or 3.88 %, to 2621.65. The losses wiped out the previous two...

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Where in the world is Keynesian economics working?

For over two-and-one-half-years, Obama’s Keynesian experiment of flooding the economy with taxpayer dollars has failed, yet the president continues to peddle the idea that the only way to improve the economy is to spend more taxpayer’s dollars. The president has spent $800B in a failed attempt to increase jobs and stimulate the economy. All he has managed thus far is an increase in unemployment of over 9% for 26 of the last 28 months, with no net increase in jobs created in August. An Associated Press article in today’s...

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U.S. taxpayers spend too much filling the trough

Many in this country need to get off their collective butts, stop expecting someone else to pay their way and start paying their fair share of the taxes. Instead they feed at the government trough, expecting those of us who pay taxes to keep it filled. At least 45% of the people in this country pay no federal income taxes. That number will continue to grow, unless we change the way government does business. We need wholesale change, not nibbling at the edges of the trough like this past week’s debt ceiling cuts. Those “cuts”...

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European socialist lite is a proven financial failure that America should not emulate

Europe has higher tax rates than the United States because their governments need more of their citizen’s money to pay for their socialist lite programs. Since these programs can no longer be financially supported – as America is finding out with our current debt crisis – Spain, Portugal, Italy, Greece and others are going bankrupt. Soon most of these countries will rely on others to loan them additional money to spend trying to appease their now dependent citizens. It will not be the last time these countries will need to...

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When interest rates return to normal levels, debt interest will dwarf proposed debt reduction plans

The national debt is so much worse than the deficit reduction plans being debated in Congress, that when the current interest rates return to their 20 year average, the interest alone will be $4.9T over 10 years, dwarfing any savings from the current Democratic ($1T) or Republican ($2T) plans, whether we tax the rich or cut spending! Excerpt: First, a normalization of interest rates would upend any budgetary deal if and when one should occur. At present, the average cost of Treasury borrowing is 2.5%. The average over the last two decades was...

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