Through 20 years of research, Ivan Stein has created a detailed understanding of the timeline of events leading up to these these historic times. These events include: economic depression, world war III, food & water shortage, martial law, exponential conscious evolution, earth changes, geophysical and magnetic pole shift, passing galactic equator, and entering a new ice age.
Economic Depression: Recent figures released by the U.S. government on the state of Medicare and Social Security have been raising red flags for several years now. In 2008, the government reported that Medicare would be paying out more than it receives starting in 2008 and the same with Social Security starting in 2016. Of course, those estimates assumed that nothing else occurs to further degrade the U.S. economy, tax revenue, or inflation that could push these programs into further jeopardy.
However, if you’re paying attention you realize that the real economic issues aren’t being discussed by our “fearful” leaders. No one wants to talk about the looming failures of Medicare or Social Security. No one wants to talk about our national debt, how it continues to grow, or how it will ever be repaid. No one wants to talk about these issues because they have no solutions.
We’ve already discussed the reason why the U.S. and world economies are on the brink of self-destruction as a consequence of our addiction to self-indulgence and over consumption, and our complacency with those who run the governments and control the monetary systems. The economic bubble that stands before us is the result of ongoing and unconscionable actions that date all the way back to the rebuilding process after World War II.
Over the past few years our economic world has been turned upside down. The current economic conditions in the U.S. and world are certainly no secret to those who are able to see and hear what’s really happening. With the rhetoric from the mass media, you may need to learn how to read between the lines, but there are obvious indicators everywhere that an economic collapse is looming on the very near horizon.
Many experts in the field of economic projections are speaking out about everything from economic indicators to economic patterns that are repeating from the time just prior to the great depression of 1929. So what will it take to get people to wake up and finally figure out that the next global economic depression is right around the corner?
Let’s remember that the U.S. accounts for 30% of all consumption on the planet with only 5% of the total population. That means that 30% of everything that’s manufactured is then purchased, consumed, and yes, from previous statistics, thrown away within 6 months by the U.S. consumer. Is it so difficult to imagine what will happen when the U.S. economy collapses? Is it so far fetched to realize that once this collapse occurs, it will drag the entire world economies with it? It would be no surprise if you have a good understanding of global economics and world markets.
So, how did the U.S. and world economies end up at this point in economic history?
Somewhere along the line, government, monitory, and world leaders decided that they needed to siphon money out of the world economies and launder it in order to finance their personal lifestyles and private projects. They needed a place where people were gullible enough to believe their lies. They needed a place where people could be seduced by money and then be willing to take the blame when it all fell apart. America became their ultimate experiment in greed and corruption. Does this sound familiar? It should, because it’s the basic plot for most Hollywood movies.
The Powers That Be (PTB) realized that, by giving people the illusion of wealth, that they would in turn experience the illusion of happiness, as well as the illusion of security. They knew that the illusion of wealth would allow them to control the masses so they wouldn’t ask questions, and if they did, the issue could be easily put back to sleep with the illusion of more money. So they gave the people a taste of that dream and flaunted that dream whenever someone achieved it. They threw money at the people until they became blinded and consumed by their own greed.
For over 50 years, the U.S. economic growth has been financed by debt. We were allowed to borrow, encouraged to hire, and brainwashed to consume all with little or no risk besides a bad credit report. As a result, the population became enslaved to the PTB’s agenda. Some were allowed to convert their opportunity into fame and fortune only to further seduce the masses into believing the illusion was possible for anyone.
Even today, the masses are being lulled into the belief that the economic collapse can somehow be avoided and even reversed, but this is only because people have become accustomed to the lies and deception of the PTB. The masses have not done their own research into the extent of the problem or asked the questions about how a recovery is even possible.
In the last 50 years we’ve lived through recessions, but nothing has ever been allowed to balance out naturally. The PTB simply printed more money to stimulate the economy while creating a perpetual and insurmountable debt. The U.S. government is doing everything possible to keep people from figuring out what’s going on. As you can see, it doesn’t take much to figure out that they have bankrupted America and the World, but it’s often challenging for people to even consider this fiscal mismanagement was deliberate.
Most of us have only read or heard about the great depression of 1929, but we are about to experience an economic collapse that is so much worse and first hand. Unfortunately, most people believe the propaganda that the governments are force-feeding the global population. Why not? We have believed their lies every other time there has been a financial crisis. In the past we didn’t even consider doing the math in order to see where this was all heading. This is not a new phenomenon, but one that has been building, like a pressure cooker.
The governments are trying to convince everyone that this is an unusual economic situation, but one that’s recoverable. This is the same propaganda they are using for the weather and geophysical anomalies, and if this were any other time in history, we might just believe them. What they don’t want you to know is that "this is a unique time in history”.
Instead of repeated what the experts have already been saying about the economic projections, we’re going to take a look at some actual figures on the U.S. financial state. Before we do that, let’s consider that virtually all U.S. market and GDP growth has been achieved on borrowed money and easy credit. Everyone knows the U.S. is the largest debtor nation on the planet. In fact the only way any economy could grow as the U.S. economy over the past 50 years is to either have stockpiles of wealth to spend or borrow the money to spend.
Many people have indicated that the information you are about to read is too serious and too sobering for mortal man. The response is that all other methods of waking people up have been unsuccessful and time has run out. The only option now is to hit people over the head with the undeniable facts. So, here is a single statement for you to ponder… “Denial is not an option!”
As citizens of the United States, we are responsible and literally accountable for what actions our government has taken or will take on our behalf, but nobody has been watching the store. The U.S. government has made commitments and financial policy that serves only their three objectives; to maintain stability, ensure their legacy (retirement, pensions, and lifestyle), and finance their hidden agendas. The commitments have now ballooned to a point of absurdity.
Let’s look at some actual figures that represent what every single U.S. citizen owes in taxes today as a result of our governments’ lack of sound fiscal management and blatant deception. Before we discuss the commonly known debt, let’s first look at the lesser known figures of how much money will be required to repair or replace the U.S. infrastructure.
Our nation's physical infrastructure includes a variety of complex and interrelated systems that are critical components in providing for our quality of life and economic security. It includes: aviation, roads and bridges, dams, drinking and waste water, energy, hazardous and solid waste, navigable waterways, public parks and recreation, rail, schools, security, and transit. What people may not know is that most of the infrastructure is designed and estimated to last between 40 and 50 years. This means that the majority of the city, state, and local infrastructure is at or near the age of mandatory replacement. The bottom line is that city, state, and federal governments have huge expenditures looming on the very near horizon that they haven’t planned or budgeted for.
The government is well aware of this growing problem as represented by the recent creation of the National Infrastructure Bank Act of 2007. For our purpose, we will only discuss a few of the infrastructure replacement costs. It should be noted that these figures are estimates provided by the corresponding government agencies and do not represent the entire infrastructure replacement needs, however, they will provide an understanding of the magnitude of the problem. The below figures come directly from the National Infrastructure Bank Act of 2007 and are quite staggering. They represent the projections of the money that will be needed annually for the next 20 years in order to replace these failing systems.
We’ve already discussed the big secret with Medicare is that it’s under funded by $34 trillion. According to 2007 figures from the government, Social Security has a deficit of $13.6 trillion. There is $12 trillion in outstanding U.S. government bonds and another $10 trillion owed to the Federal Reserve Bank. The current administration now estimates they will spend an additional $9 trillion in borrowed funds over the next 10 years.
So, what does this figure represent to each and every citizen on the United States? First of all, does everyone realize that the government debt is our debt and can only be repaid by tax dollars? We can not hide from this debt and it can only be repaid by tax dollars. Depending on the source, there are approximately 304 million people in the U.S. Of course, this includes: every baby, child, teenagers, adult, immigrant, the retired, and elderly. This means that each U.S. Citizen owes:
If we consider that only those people and corporations that actually file a tax return are ultimately going to be paying back this debt, the situation looks even worse. According to the U.S. Internal Revenue Service, in 2007, only 139 million individual and 2.5 million corporate tax returns were filed. For arguments sake, we will leave in the 41% of the individual filers who owed zero taxes and those who paid some tax upfront and are later were refunded the full amount of the tax paid or more.
The above figures are estimates and do not account for interest, inflation, future unforeseen natural disasters, additional incurred debts, a terrorist attack, or other economic impacts such as rapidly rising oil prices or major shortfalls in tax revenue. And if we consider that a majority of these funds will need to be repaid in the next 20 years, the annual tax bill for every U.S. tax filer becomes:
Does anyone see the problem here? Do you really think the world governments and Powers That Be (PTB) don’t know about these facts and figures? As you can see, it doesn’t take a Phd in economics, mathematics, or finance to calculate the debt burden the U.S. government has placed on its citizens. This is not long division or differential equations, but simply accumulating the public debt figures, and applying basic mathematics.
The bottom line is that there is no way the U.S. government can raise taxes slow enough or fast enough to ever bring this debt burden into manageable range. Not that they could manage anything financial, no matter how large or small. How many people know that 50% of the U.S. government $1 trillion annual budget goes to military and defense?
These figures provide a chilling realization of just how impossible it is for the U.S. economy to recover from this government induced burden and provides a glimpse into the very near future collapse of world economies. Does anyone really believe economic analysts that work for the U.S. government, Federal Reserve Bank, or World Bank, are not aware of these facts? Once again, the U.S. population has become so complacent that they’ve let the preverbal fox in the henhouse.
Do you also realize the government doesn’t owe anything? The entire $93 trillion in debt is owned and owed equally by each and every citizen of the United States. If the U.S. government ever revealed their fiscal irresponsibility to the general public, there would be a near immediate revolution by the U.S. citizens. This is exactly what the PTB are trying to avoid.
Herein lies both the problem and an indication of why nobody wants to talk about the U.S. debt crisis. The question of why the government avoids the subjects of Medicare and Social Security is answered. The question of why everyone tries to avoid speaking about the U.S. debt and ongoing deficit figures is answered. The question of why these figures are never discussed together, as the total U.S. debt position, is answered.
Why would the Powers That Be (PTB) perpetuate such a scheme unless there was a purpose? Why would the banking industry continue to support this failed system with loans while deceiving the global population, unless they knew something that most people do not? And why would the U.S. government and Federal Reserve Bank take such drastic measures to prolong an inevitable collapse unless they had a reason?
Most of the economic indicators suggest that we are on a time table to repeat the economic depression of 1929. Even the stock markets are exhibiting fluctuations that mimic those just prior to the crash of 1929. These predictions, estimates, and fluctuations don’t even take into account any of the realistic possibilities that could catapult this already unstable economic situation directly into the next global depression. We’ve already mentioned them, but let’s recap.
The above figures are estimates and do not account for interest, inflation, future unforeseen natural disasters, additional incurred debts, a terrorist attack, or other economic impacts such as rapidly rising oil prices or major shortfalls in tax revenue.
For those who are aware of the events that lead up to the great depression of 1929, interest rates where a key factor. Prior to 1929, interest rates were lowered due to worsening economic conditions, but how many people realize that interest rates must eventually be raised again in order to achieve economic stability. Low interest rates reduce the value of the currency and create an inflationary condition. The monitory policy makers know this and their job is to try and balance interest rates with economic sustainability.
In other words, as soon as the PTB perceive the opportunity, through statistical analysis of the economic trends, interest rates must be raised once again. Ideally, they would be raised slowly at first until there are signs of sustainability, and then more rapidly. Our current situation with low interest rates is nearly parallel to the period prior to the 1929 crash. At some point very soon, the PTB must start to raise interest rates in order to reduce the risk of inflation and increase the value of the currency, however, without a sustainable recovery, such an increase can spells instant catastrophe for an already anemic condition.
Besides the purely economic factors such as rising interest rates or a rapid increase in oil prices, there are several natural and man-made factors that could easily tip the economic scales towards collapse. Some of these include a terrorist attack similar to the New York City World Trade Center in 2001 or a natural disaster on the scale of Hurricane Katrina in 2005.
New Orleans was one of the largest sea ports in the U.S. and was a vital import, export, and distribution center in the central U.S. and New York is a vital worldwide financial communication center. Even under what could be considered more stable economic conditions in 2001 and 2005, it has taken years to absorb the economic consequences from the events that are commonly referred to as 9/11 and Katrina.
How many people consider the economic impact from this type of disaster? We experienced it with Hurricane Katrina, but most people have short memories and even less understanding of the economic impacts from such events. Significant natural disasters can come in many forms include: hurricane, volcanic eruption, earthquake, or tsunami. Besides the pure costs in the form of public debt from disaster emergency funds, the displacement of entire city population, jobs losses, tax revenue losses, the disruption of business and confidence could become unrecoverable.
If a similar catastrophic event were to occur in another major city with economic and global ties, the consequences on an already ailing U.S. economy would be disastrous. Take for instance if such an event were to occur in Portland, Oregon; San Francisco or Los Angeles, California; Kansas City, Missouri; Chicago, Illinois, or New York City.
Shortfalls in tax revenues are already occurring on every level of U.S. government from city and state to federal. Is there anyone that sees this condition reversing sometime soon? Virtually every major city has been cutting hours, services, and staff just to stay in operation. California is in such dire straights that their bonds are nearly considered “junk”. Since California, by itself, is still one of the largest economies in the world, their collapse alone would send the U.S. into an immediate depression.
Here is an example of what can happen when a city gets into financial trouble.
In the 1970s, NYC did not file bankruptcy although it did teeter on the edge after the famous "Ford to NYC: Drop Dead" Daily News headline in 1975 when the President refused to grant the city any relief from its mountain of debt. What happened? The city worked out an arrangement with its creditors, but at a huge cost. Services were cut in mass proportion. The city became dirtier as sanitation services were cut back. There was virtually no maintenance on city subways for nearly a decade, as the graffiti-clad trains fell into a state of disrepair - yet transportation fares were raised 40%. Crime spiraled out of control as NYPD hiring was frozen just as crime was increasing. Free tuition at public NYC universities for NYC high school graduates was eliminated. Hours at libraries and services at public hospitals were cut back. The Board of Education staff was reduced by 20%. During this period in the early 70s, corporate taxes were raised to try and narrow the huge fiscal gap which resulted in a staggering 55 Fortune 500 companies exiting the city.
Add on top of all these potentials, the reality of tax increases at every level just to keep city, state, and federal governments in business. The concept of raising taxes to pay for shortfalls in tax revenue is nothing new, however, is quickly becoming a necessity rather than an option.
And don’t forget that the U.S. government will be raising taxes anyway. Not just to keep government operating, but also to pay for its $1 trillion federal annual budget and to repay the $93 trillion in debt. With the accelerating shortfall in income taxes, sales taxes and property taxes, it’s only a matter of time before taxes are raised on every level. This is no longer a matter of contemplation, but a matter of survival.
All of these factors influence, possibly the most important gauge of economic stability in the world today, the bond market. Most people may not realize how important the bond market is to the stability of global economies. Without bonds, every U.S. city, state, and federal government would be bankrupt already. In fact, the concept of the bond market may be the single most deceptive economic concept ever created. After all, what is a bond? A bond is nothing more than a paper I.O.U. written against the stability and longevity of a government, corporate, or private institution. In other words, bonds are nothing more than another means to live on borrowed money and borrowed time.
Who buys these bonds? Individuals, corporations, and even other countries loan money to the U.S. and receive their bonds as collateral. They do this with the promise and expectation that the bonds will be paid back over time. Municipal bonds have been considered a safe investment because they are repaid through ever increasing tax revenues that result from expanding economic growth.
What happens when tax revenues continue to fall and economic growth stalls? The answer is nothing if these economic conditions are short term, but what if these conditions become long term? Ultimately, if any level of the economy can’t sustain continuous growth, then the ability to repay these bonds decreases proportionally. As soon as a corporation or municipality is seen to be entering a period of economic risk, then no one is willing to buy their bonds any more.
California is already experiencing this reality as their bonds are being written down to “junk” status. Virtually every month now, California is unable to pay their bills until they sell more bonds or some other entity gives them another loan. The California government is so bloated in size and expenses and their shortfall in tax revenues so extreme, they are literally on the edge of bankruptcy every month. Does anyone believe that a city or state, under the current economic conditions, will be able to raise sales or property taxes to ward off financial shortfalls?
What happens when the bond holders come to the realization that their bonds are junk and will never be repaid? Nobody will want to buy bonds and the bond market will collapse. The collapse of the bond market can single handedly result in the collapse of the U.S. and global economies. It doesn’t matter if the bonds are corporate or municipal. Once the bond holders perceive they won’t be paid back ever, the bond market dries up and those entities that rely on bonds for the very existence will be forced into bankruptcy.
So why do you think the PTB continues to support the collapsing U.S. economy? The answer is that they have a plan. That plan is to keep everything looking normal for as long as possible in order to maintain stability and control. It’s no mystery to the PTB that the U.S. city, state, and federal governments can never repay their debts, but the only way they maintain stability is to keep buying that debt.
There are only three possibilities to recover from the current financial apocalypse. One is to raise taxes, however, it is not likely taxes could be raised fast enough to avoid bankruptcy or slow enough to avoid destroying the economic growth and the value of the U.S. dollar against world currencies.
Second is to have more money coming into the system than is being spent by the system. This implies reducing expenses on every level from individual to government, but also maintaining continuous economic growth. The only way to stimulate this possibility is sound fiscal management and borrowing more money, however, this only takes us further down the road of unsustainability.
Third is by divine intervention. What you say? This means forgiveness of all debt by the Federal Reserve Bank and bond holders, printing even more money, and giving it to every ailing corporation or Government, interest free? Not a plausible solution as it results in exponential inflation and an immediate collapse of the U.S. economy.
No matter how this plays out, it is a certain fact that the U.S. currency will be devalued to the point of extinction. In other words, a single U.S. dollar today may be worth only five cents tomorrow. The collapse of the U.S. dollar will go hand-in-hand with the collapse of the economy.
What does all of this mean for global economies and currencies? Has everyone been paying attention to the G20’s proposal to create three new global currencies? Does anyone see how much they know about what’s coming and how they are planning for this collapse?
Take note that the PTB has a plan and part of that plan is to let the global economies collapse. They know they can not stop the coming collapse, but what they can do is postpone it and then have a plan to further deceive the world population that they have everything under control. After all, control is the only way they can maintain their lifestyle at the expense of everyone else.
Once the rest of the world wakes up to the inevitable collapse and bankruptcy of the U.S. economy, the PTB will have no choice but to step back and let it fail. In order to maintain global control and stability, they must have a plan that is convincing to the mass population. Their solution will be to create new currencies and expand globalization of markets and economies.
By now, most people may have heard of the “Amero” and “North American Union (NAU)”. Without going into great detail, the NAU is the combination of Canada, Mexico, and the U.S. economies into one entity just as they did with the European Union. The Amero is the currency they have planned to replace the Peso, Canadian and U.S. dollars just as they did with the Euro. As much as people don’t want to believe this is coming, these are realities that are being planned while the mass population sleeps.
From this information, you can now see the U.S. and global economic collapse and next worldwide depression are imminent, but you also begin to see how the entire process is being controlled by the PTB in order to maintain stability. No different than a corporation, the PTB is planning their global bankruptcy.
Global Debt Bubble: The basic premise of the Global Debt Bubble is that it’s mathematically impossible to repay all principle and interest on global debts by borrowing more money.
By now, it should be a well known fact that through insidious and careful planning, the “powers that be” have successfully gained control over a majority of the world economies and governments through fiscal manipulation and economic slavery. Although this is not difficult to understand, it is often ignored by those who continue to maintain their convenient denial of the facts.
The following explanation provides a reasonable and rational understanding of how personal wealth and monetary control have created the current Global Debt Bubble.
With this debt currency model, one might ask “How would a country every get out of debt to the Elite?” Answer: NEVER.
Although unlikely and unrealistic, one possibility for a government or country to eliminate this debt would be if the Elite forgave all debt of interest and principle from the government or country. It doesn’t take a genius to realize this is not a realistic option.
Another option might be to remove all currency in circulation, destroy it, and then replace it with a new currency that is devalued to an equivalent of the principle and interest on the previous currency in circulation (debt). This option would give the false and misleading appearance of a new currency with no existing debt, but would also result in an instant devaluation of all new currency in circulation. With this option, any future debt would only be incurred when additional currency is printed by the Elite and placed into circulation. This option has already been planned for implementation by the Elite as soon as an existing currency reaches the point of total collapse. This is also why the IMF is having ongoing discussions on the creation of three (3) new global currencies.
Is there any method for a country or government to maintain a currency and provide their population with a reasonable lifestyle without borrowing currency from the Elite or creating debt? Answer: YES, ABSOLUTELY.
It is a well known fact that throughout history, various countries and governments have created and maintain their own currency model by printed and circulated their own debt-free currency. In such models, all currency was printed, exchanged, or loaned without interest. These models resulted in equality and prosperity for the entire population as the currency in circulation is generally only increased in order to keep pace with population growth or to improve the standard of living.
Due to the obvious advantages of a debt-free currency model for any government or country, various people and organizations throughout history have attempted to stop the Elite from gaining control over their currency. Although at times successful, the majority of these countries and governments were eventually influenced or forced to abolish their debt-free model and to replace them with the Elite’s debt model.
In essence, the Global Debt Bubble is the result of a carefully designed debt currency model that has been forced upon nearly every country and government by the Elite in order to extract all wealth from the countries in the form of interest while devaluing the currency and plunging the populations into ever increasingly poverty.
Health Care: Our growing addictions and dependencies to easy solutions have created a whole new set of issues for the sustainability of physical health. It’s already known that when populations eat less processed foods, they live longer and have fewer medical needs. That’s assuming their environment hasn’t been polluted by the refuse of consumerism. Not only are processed foods addictive by taste, but they are also addictive for convenience. We have become a world of lazy people who are addicted to mass media entertainment and convenience while sacrificing exercise and nutrition.
Did you know that, as a planet, we produce more sugar than all the fruits and vegetables combined? Check these statistics if you have any doubts. This one figure reflects the state and deterioration of human health and uncontrollable addictions. Why do we need so much sugar? If a food tastes either sweet or salty it is often considered good and desirable to the palette. Basically, everything comes down to the law of consumption. If a food tastes good, then people will consume it and the most convenient way to make something taste good is to add sugar or salt. The manufacturers of processed foods are well aware of this fact, but are still only feeding our own addictions and lack of self restraint.
Then take into account that much of nutrition is destroyed when food is pasteurized, processed, or cooked. This means that only some of a processed food is used by the body and the rest becomes waste and is often toxic. This is one more reflection on how a high percent of our natural resources become waste shortly after consumption. The bottom line is that our addictions to unhealthy and convenient diets are destroying the body’s ability to maintain a healthy state and are slowly killing us.
The primary cause for deteriorating health is the lack of a diet that supports the body’s ability to repair itself. Where does this put us on the health front? It means that we have become reliant on medication and the medical establishment because we are eating destructive rather than constructive foods. A perfect example is all of the prescription and over-the-counter digestive aids for those with that so called incurable disease “irritable bowel syndrome”.
Just as over consumption can only be fixed through drastic changes on an individual level, the same holds true for our health. No one can force you to eat healthier food, that’s up to the individual. This means that processed foods will remain the foundation of human diet and the medical establishment will remain a controlling force in people’s lives as long as a majority of the population eats unhealthy diets. No one is saying that we don’t need health care for catastrophic events such as random life threatening accidents, illnesses, or terminal conditions. If there is a long-term need for the medical system, this would certainly be it.
Of course stress is also a factor in the human body’s ability to maintain a healthy state and repair itself from ailments. Stress is not new to the world of human beings; however, it has certainly been amplified by growing addictions to competition, consumption, greed, and self-indulgence. There are numerous studies that prove stress has a negative impact on your overall state of health.
And let’s not forget about the impact on the body from environmental pollutants which are commonly referred to as causing everything from global warming to cancer. The Story of Stuff reveals just how toxic our environment has and continues to become, primarily at the hands of corporations and manufacturing.
Whatever elements are responsible for the break down of our physical health on a collectively and individually level is less of importance than the fact that the overall population is spiraling into an abyss of poor health. Until the general populous awakes up to their destructive habits or is capable of taking responsibility for their physical health issues, the medical establishment will remain a necessary evil.
Until we take full responsibility for our individual and collective health, we will remain dependent on a system that can never provide an adequate health care solution. Instead, we have become addicted to medical treatments and drugs, rather than addressing the body’s response to some external influence. As a result, the medical industry has grown to one of the largest and most powerful lobbies and institutions in modern times.
Whether you choose to blame the government for this trend, it is certain they are aware of the economic importance of maintaining the medical industry. The U.S. government created Medicare to support this industry, not your health. If the government wanted to help you remain healthy, they would ban 90% of all processed foods, manufacturing methods, and chemicals and provide educational programs about healthy diets and lifestyles. As we all know, this is not the case.
Now let’s discuss the consequences of our own lack of self-awareness to reverse our state of health and the governments’ deliberate actions to keep us addicted to medications and unhealthy lifestyles. The consequence is that we now have a medical industry that not only sustains our economic growth, but is absolutely necessary for our economic stability. Between the money from Medicare, insurance, and direct expenses and all the people who are employed by the industry, it’s no wonder the government is so eager to maintain it.
The governments’ attempt to reform health care isn’t about helping the population become healthier, it’s about maintaining an industry that drives our ailing economy and keeps people under control by keeping them on “controlled” substances. They aren’t even addressing the real long-term problem with the medical industry, but only how to keep it operating over the short-term. Why is that? Because they know that Medicare and Social Security can not be saved and once either of them fails, the result will be mass poverty, starvation, chaos, and ultimately revolution.
When the government talks about health care reform, they’re only talking about keeping it alive for the short-term. Did anyone notice that none of major presidential candidates in the last election addressed the imminent collapse of Medicare and Social Security? Instead they spoke of health care reform and universal health care. In other words, since they don’t have a way to fix the system, they only addressed a way to make healthy people pay for a system they don’t even use.
The government is very aware that Medicare is and has been collapsing for decades and essentially ever since it was created. According to Geoff Colvin, senior editor at large for Fortune Magazine, whenever he asked Alan Greenspan what he considers the greatest threat to the U.S. economy, he answered immediately and with a single word: Medicare. And the title of Geoff’s article on March 4, 2008 reads “The $34 trillion problem: Medicare is poised to wreak havoc on the economy. And our presidential candidates are avoiding the issue.”
By now, most people should be aware of the $34 trillion problem with Medicare, but few seem to understand what it really means? This is how much money isn’t in the Medicare account, but will be required to continue making payments for the next 75 years. In other words, the payments being made by every working person right now are only paying for those who are already collecting Medicare. This means that in order for those who are currently working and paying into Medicare to actually receive Medicare benefits, $34 trillion must be deposited into the Medicare account.
Medicare provides a wide range of services and subsidies to more than 40 million old and disabled Americans. That means that almost 15% of the U.S. population needs Medicare for their very survival. The $34 trillion under funding of Medicare, as reported in the Financial Report of the U.S. Government, even assumes that Medicare payments to doctors will be slashed drastically, by some 41% over the next nine years, as required by current law. But we all know that won't happen and in fact, every year for the past six years, Congress has overridden the mandatory cuts. In other words, by not making these cuts, the financial picture is much worse than $34 trillion.
In 2006, reports showed that Medicare was projected to go bankrupt in 2020 which was actually 20 years sooner than previous projections. In 2008, Medicare’s annual spending exceeded revenue brought in from taxes, forcing Medicare to begin spending its reserve funds. According to the Medicare Trustees, Medicare will now be bankrupt by 2017 and in order for it not to happen sooner, Medicare will have to cut benefits or payment rates by 19%. As you can see, in only the last two years, the projected bankruptcy of Medicare has gone from 2020 to 2017 and since nothing is being done to pay back the $34 trillion or make Medicare sustainable; it’s likely the bankruptcy will occur even sooner.
Before we consider how to make Medicare sustainable, let’s discuss what it will take to pay back this $34 trillion under funding balloon which is growing every year as the government continues to postpone the mandated cuts in payments to doctors. Depending on the source, there are approximately 310 million people in the U.S. including babies, children, teenagers, adults, and those who are retired. This means that in order to pay back the $34 trillion, each and every individual in the U.S. would need to come up with $109,677. That includes babies, the unemployed, and the retired. And how would the government raise that money? Can you imagine how many years and what kind of tax increases would be required? Now can you see why nobody wants to talk about the $34 trillion problem with Medicare?
Paying back the $34 trillion does not even address achieving sustainability with Medicare, but it’s absolutely necessary if Medicare is going to provide for our children and future generations. So how do we make Medicare sustainable? It’s a good question and surprisingly the answer is not that difficult. All you need to understand are the basics of sustainable economics. In other words, the only way that an economic industry remains sustainable is if it receives the money it needs to maintain itself and/or expand. There lies the problem.
The only way to make Medicare sustainable would be to take drastic measures. This would include a combination of cutting recipient benefits, cutting payments to the medical industry, and raising taxes. A 19% reduction in benefits has already being discussed by the Medicare Trustees. Congress has been mandated by law to cut payments to doctors by some 41% over the next nine years; however, every year for the past six years; Congress has overridden the mandatory cuts. Tax increases are inevitable, but how do you raise taxes in order to make Medicare sustainable and also recover the $109,677 per person to pay back the $34 trillion. And let’s not forget that any measures to make Medicare sustainable must also include the future realities of increasing health expenses, inflation, and increasing demand for medical treatment due to the lack of healthy diets. This is why Treasury Secretary Henry Paulson, one of the Medicare trustees, warned of a “fiscal train wreck unless something is done”.
Now here’s the kicker and the real reason why the Medicare issue is being whitewashed. Whether the economy is ailing or not, raising taxes to fix the problems with Medicare will destroy our economy. There is no way to raise taxes slow enough or fast enough to fix Medicare and save the medical industry simultaneously and the government knows this.
If the government reduces benefits or abolishes the Medicare program, it would need to do so for both existing and future participants. The ripple affect from such a plan would cause the destruction of personal livelihood, as well as the medical industry. Basically, any possible solution will destroy the medical industry, our economy, and the lives of all people who are currently utilizing these programs, but this is not the main reason why governments are avoiding the issue.
The main reason is how this will look to the global markets. Just as the bond market is affected by how other countries perceive the viability and strength of the U.S. economy, a collapse in Medicare will shock the world markets and their faith in the ability of the U.S. economy and government. Therefore, the collapse of Medicare will have a ripple affect that circles the globe as countries lose faith in the U.S. stock markets, U.S. Bonds, and the U.S. economy.
Medicare is failing and along with it, the U.S. economy. The government has no choice, but to prop them up for as long as possible until they can no longer postpone their imminent failure. By all the recent news and debate on health care reform, it appears the "Powers That Be" are creating the temporary illusion of addressing the issue, but all along, they are simply trying to buy more time. The time bomb is ticking as they play a waiting game until the world economies collapse and they no longer need to deal with the issue of health care reform at all as they are forced into the implementation of a socialized medical system.
Over Consumption: To summarize, the human population has been allowed and encouraged to over consume, use and abuse our natural resources to a point where society at large is at an epic crossroads. In other words, as a global population, we have not only become unsustainable, but are knocking on the door to our own extinction.
The cause of this phenomenon can be traced back to various decisions by world governments and controlling influences from the Powers That Be (PTB) shortly after World War II. Whether it started with a paper by Victor Lebow, a 20th century economist, entitled "Price Competition in 1955" (Journal of Retailing, Spring 1955) or he independently reflected the conclusion of the PTB, doesn’t really matter.
Lebow's paper discussed the cost of maintaining the American lifestyle in 1955, and the effect this cost had on retail profits. Lebow wrote:
“Our enormously productive economy demands that we make consumption our way of life, that we convert the buying and use of goods into rituals, that we seek our spiritual satisfactions, our ego satisfactions, in consumption. The measure of social status, of social acceptance, of prestige, is now to be found in our consumptive patterns. The very meaning and significance of our lives today expressed in consumptive terms. The greater the pressures upon the individual to conform to safe and accepted social standards, the more does he tend to express his aspirations and his individuality in terms of what he wears, drives, eats- his home, his car, his pattern of food serving, his hobbies".
He further wrote: "These commodities and services must be offered to the consumer with a special urgency. We require not only “forced draft” consumption, but “expensive” consumption as well. We need things consumed, burned up, worn out, replaced, and discarded at an ever increasing pace. We need to have people eat, drink, dress, ride, live, with ever more complicated and, therefore, constantly more expensive consumption. The home power tools and the whole “do-it-yourself” movement are excellent examples of “expensive” consumption.”
Even the Chairman for the Council of Economic Advisors, under President Eisenhower, stated the “U.S. economy’s ultimate purpose is to produce consumer goods”. At some point along the path to economic and social recovery after WWII, the concept of conspicuous consumption was born and integrated into the U.S. and eventually, the world economies. However, it appears that no one was raising the concern or red flag over sustainability of this innovative revolution which has lead us blindly to where we are today.
From The Story of Stuff which was released in late 2007, you may begin to realize just how unsustainable our current human population is on planet Earth. In the past 30 years, we have consumed 30% of Earth’s natural resources. The worst part is that only a few of these resources, such as the forests, can even be replenished by mankind. To give some indication of the severity of this crisis, we now have only 20% of old growth forest remaining and 75% of fisheries are producing at or above capacity. The U.S., being the most abusive global consumer with only 5% of the world population, accounts for 30% of the annual worldwide consumption. And to make matters worse, were you aware that 99% of raw materials are discarded within 6 months by various means of being burned, buried, or tossed into the oceans? For more facts and information on The Story of Stuff, please visit their website.
A few of Earth’s natural resources such as trees and fish can be replenished, but the reality is that most of the other natural resources can never be replenished by mankind. Earth has a finite amount of oil, coal, and virtually every other resource that is used to sustain life or manufacture our consumable goods.
Recycling is the option that everyone likes to throw out as the way to save our planet and achieve sustainability, but this is only because people don’t have all the facts. The fact is that for every one can of waste that’s created by consumers, 70 cans are created by corporations. This means that consumers account for discarding only 1.4% of all natural resources that end up as waste. Unfortunately, the majority of waste that’s created by corporations and consumers is toxic or unable to be recycled.
Just for conversation, let’s consider the possibility to recycle 100% of consumer waste or in other words, the entire 1.4% of the total waste. But what they also don’t tell you is that, only about 15% of that waste is actually capable of being recycled. This means that in the best and most optimal circumstances, only .2% of consumer waste can be reused, the rest still ends up as waste. Is this shedding some light on the problem? The population has been brainwashed into believing that consumers are responsible for the problem and that all we need to do is home recycling to fix the problem. The bottom line is that unless we achieve a high enough recycling rate for corporate waste, recycling will not enable us to achieve anything except conscious awareness.
Now consider how long we have before we consume enough of Earth’s natural resources so that human life is no longer sustainable. If The Story of Stuff is accurate, we know that 30% of Earth’s natural resources have been consumed in the past 30 years. Let’s use a conservative estimate of 10% for our global consumption of natural resources in all the previous history up to 1975. Just a guess, but it would appear to be a conservative estimate. This means that we have consumed 40% of Earth’s total natural resources up to this moment in human history. No matter how you graph this data, you will generate a consumption curve that is exponential. With a little extrapolation, you would also realize that the human population is likely to consume another 30% - 40% of Earth’s remaining resources within the next 10 years. This means that sometime before the year 2020, mankind will have consumed 80% of Earth’s natural resources.
Many would probably like to assume that we have until 2020 to fix this problem, but this also assumes that we don’t run out of some essential resources before then. What happens if 100% of drinkable water, forests, or coal runs out before then?
It doesn’t take a genius to understand that the only way to achieve sustainability in any environment is to consume only what can be replenished or replaced at an equal rate. Not only is our current rate of consumption unsustainable and irresponsible, but our rate of consumption over the next few years will be catastrophic and unconscionable. Does anyone really believe that with a continuously expanding world population, that our consumption rates will stabilize or actually start reversing?
The only way to reverse this spiraling abyss would not only be to halt consumption at their current levels, but we would actually need to reduce our consumption levels to those of nearly 50 years ago. And how do you accomplish that when the world population is continuing to expand out of control with more and more people are uneducated, starving, and suffering?
The Earth experience involves learning everything from conscious evolution to sustainability. Learning to replace what we have destroyed and depleted is part of this experience, but more importantly is learning how to balance our existence with nature.
Here is a quote from the movie “Matrix” that expresses man-kinds’ impact on nature and our natural resources. “I’d like to share a revelation that I’ve had during my time here. It came to me when I tried to classify your species. I realized that you’re not actually mammals. Every mammal on this planet instinctively develops a natural equilibrium with the surrounding environment, but you humans do not. You move to an area and you multiply, and multiply until every natural resource is consumed. The only way you can survive is to spread to another area. There is another organism on this planet that follows the same pattern. Do you know what it is? A virus. Human beings are a disease, a cancer of this planet. You are a plague.”
How do we move the entire world consciousness from irresponsible over consumption to responsible under consumption overnight? If you live outside the matrix and in any form of reality, then you know this is not possible while the world is controlled through greed and self-indulgence. It’s also not realistic to think that these control factors and the PTB are going to disappear and everyone else is going to achieve a sufficient level of belief and understanding overnight. As you can see, with only our patterns and addictions to over consumption and not even taking anything else into consideration, the world as we know it is unsustainable and spiraling rapidly into total catastrophic collapse.