Sigh...........

Well, I look around at un-employment in Alberta where I live. I was recently in St Thomas Ontario, once an economic powerhouse....now a small community struggling to lure business of any size. A diminished tax base and employment opportunities in Ontario will place continual pressure on the Governments to run deficits.

Deficit: at the end of the Fiscal Calendar year is exported to the Debt side of the Balance sheet.

Example:

Current Debt 80 billion

The debt is sold as Bonds/Treasuries/Fixed income debentures etc....

The interest on this debt is : you guessed it : paid by you the tax payer !

The interest comes out of tax dollars.

So a deficit of 25 billion ( which means you wrote cheques for 25 billion in your overdraft ) at the end of the fiscal year....becomes additive....so now....

Debt is 105 billion.

No worries you sell this debt as above and continue to financially bend over the working people...

There comes a point at which people don't believe you can pay your debts ( A small part of North America, The United States, ...is one of these debtor nations )

This is all of Canada too. If you add up the municipal, provincial, federal and other committed debt (bonds, interest bearing instruments I could find )...it is a staggering 4.9 trillion dollars. I estimated this looking at 15 major cities, published provincial debt, and of course the federal debt. I then extrapolated this on a pro-rata population basis. I did not include solvency obligations for pensions including CPP which of course would send this figure rocketing. And remember one thing : Pensions rely on investment returns and premiums paid by the working people. This is fundamentally why governments need to get bigger...hire more people...more contribution premiums = a facade of solvency. Just wait !!

So in order to make people feel better about themselves....you lower interest rates so people can earn less and afford more. In addition to this ...you lower the price of consumed goods by ignoring imported cheapo Chinese, Mexican, Indian etc. ... made goods.

Their are many other concerns the plague the average tax payer. Above Debt/Deficit explanation is the major silent financial killer seeking us all !

Eventually, you build a wall so high ...your great great grandchildren...cannot climb over it.

People just aren't getting it :

• Average wages are going Down
• Average government Wages are going up
• Government is increasing in size every day and with every election
• Oil is heavily manipulated in the U.S. ( 25 % of global consumption ) and we use 100 million barrels a day or 1 billion barrels of oil every 10 days. Next time you here an excess of 5 million barrels was found here or there or in this country or reserve, Laugh uncontrollably, why, because 5 million barrels is roughly 5 hours worth of oil in the U.S. alone !
• Gold is contract shorted on th COMEX to suppress the price ( 300 oz contract to 1 physical ounce available ) ....why, the Chinese have probably 15,000 to 25,000 tons of the stuff. No export what so-ever....and import to boot.

Why take the time to read this. Time is all you have. The next run-up in Oil is inevitable !

Non-renewable resources like Gas/Oil use will not change in Time....Time and Tide are forever. Take the time...Love who your with and understand that ...Time is on your side....until you have none left ! Time and Math correlate equally ! Remember that.... I don't care if you dont think like i do or if you agree with me. I have a calculator by my side at all times...to do just that : analyze Time.

I dislike politicians...and readily admit I am to lazy to run for government and don't really care enough at the end of the day. When you take the time to understand you will realize...all the political parties have become fiscally unconscious and socially conscious...It's too late...to much time has passed !

I hope anyone who understands this becomes wealthy ! Till next week.

Remember!! Dig the Hole first!... You bring shovel, I'll bring the lime.........

Captain Time