-Caveat Lector-

http://thunder.sonic.net/~doretk/ArchiveARCHIVE/MARK%20EVANS/BondholdersStreng

then.html
by Mark Evans
Sometimes we are told-or obliquely warned- about the future, even in the
media. An article in the Santa Rosa Press Democrat on Saturday, August 13,
1994, is such a case in point. The article, entitled "Federal Budget Experts
Find Entitlements Drying Up Well," is very telling if one has even a
rudimentary understanding of economic reality, an ear for discerning
doublespeak, and can read between the lines.

Senator Kerrey (formerly Governor) of Nebraska, it seems, has been for some
time the co-chairman of a blue-ribbon Senate Sub-Committee of "32 budget
experts" who have been agonizing and studying and debating (presumably
amongst themselves) about this problem of the budget for months now. "In
chilling detail, they left no doubt that unless Washington limits social
benefits-especially for health care-the government is headed straight toward
bankruptcy." That is a very interesting statement in light of the fact that
the U.S. government has been bankrupt for the better part of six decades now,
having gone into receivership to the international bankers back in 1938, a
fact which is known to every superior court and circuit court judge across
the length and breadth of the United States; a fact also which most of them
will rigorously deny and which only slipped out of one of them in an
unguarded moment.

So far, the bonded indebtedness or "bankruptcy" of the U.S. government has
not prevented it from levying all manner of taxes on the masses and
functioning, or allowing the IRS to function-fairly efficiently in this one
respect, at least-to channel money from the working- and middle-classes to
the elite circles who own the "preferred" stock in the right banks, in
service on the interest "due" on the national debt.

Keynesian economics and deficit-financing have allowed the U.S. government to
function very well indeed over the last sixty years, even while the national
debt increased from 13 billion-where it stood in 1933-to the more than 5
trillion dollars that it is today. We must always remember, and try to
comprehend, that this almost incomprehensible sum of 5 trillion dollars of
spent and dead money, which seems like a black hole in space to us, is a
mountain of gold in the form of interest-bearing securities to the
bond-holding classes, who collect their semi-annual, tax-exempt dividends on
this enormous sum. The article continues:

Among the most eye-catching findings: �The Social Security Trust Fund is on
track to go bankrupt in 2029. �The Medicare Trust Fund will go bankrupt in
2001. �Spending on social "entitlements," especially health benefit programs,
combined with interest on the national debt, is growing so fast that together
they will consume all federal tax revenues by 2012. . .

These dates may be accurate; on the other hand the well may go dry even
sooner. And what shall happen then is a question we should all consider. In
the meantime, this specter of the government "going bankrupt" is being used
as a bogeyman to scare, or persuade, the masses to accept the new austerity
measures that are being imposed top down on the American people in much the
same manner that the International Monetary Fund imposes austerity conditions
on any Third World country. Actually, going into bankruptcy might not be such
a bad thing to happen to the government, were it to do it lawfully, the way
any individual or family would. If the U.S. government were to file a Chapter
7 bankruptcy, liquidating all of the real estate and movables yet owned by
Uncle Sam, we, the people, could then witness who the real creditors are when
they come in like carrion crows to feast on the corpse.

It could also be convincingly argued in a court of law, in the context of
bankruptcy proceedings, that the national debt itself is a fraudulent entity
because it was incurred by fraud, and fraud has tainted every aspect of its
progress and accumulation from 1791, when Hamilton funded the near-worthless
revolutionary war bonds, through the National Bank Act of 1863, and the
Federal Reserve Act of 1913, until the present.

The ruling classes do not want the United States to actually file bankruptcy.
It functions quite well as an engine of neo-feudal tax-collection as it
stands. Why kill the goose that lays the golden eggs? They merely mean to
startle us by the threat of bankruptcy into accepting less-less
"entitlements" in the future and no health care, and the reversal of all the
token socialism left over from the New Deal. You will note that the article
lumps social "entitlements" (as if anyone could be so brazen as to think they
were "entitled" to anything from the government) together with the interest
on the national debt and states that "together they will consume all federal
tax revenues by 2013." Actually, the interest on the national debt is much
larger and is growing faster than the "entitlements" (spending on social
services). But the national debt is a sacred cow, one of the main cash cows
of the ruling classes and a cow that may not be sacrificed.

Historically, since the 1930s at least, social democrats and liberals have
believed intrinsically in the institutions of the graduated income tax, and
the Social Security System because of the beneficial aspects of the social
programs instituted under the New Deal. These institutions were accepted by
most progressives as fulfilling certain aspects of the agenda of Fabian
Socialism. Now, however, the fangs of the monster are beginning to show. It
seems that the only group of people who are "entitled" to anything any longer
are those mysterious owners of the Class A stock of the International
Commercial Banks, the recipients of the interest "due" on the national debt.

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