Have nothing to do with the [evil] things that people do, things that belong to the darkness. Instead, bring them out to the light... [For] when all things are brought out into the light, then their true nature is clearly revealed...

-Ephesians 5:11-13

Tag Archives: Economy

Question: What Happens when Socialists and Marxists Are Put in Charge?

This article was published by The McAlvany Intelligence Advisor on Friday, February 5, 2016:  

Nicolas Maduro

Nicolas Maduro (Photo credit: Wikipedia)

Answer: Venezuela.

The Marxist president (and student of Venezuela’s previous president Hugo Chavez) Nicolas Maduro has just administered the coup d’état: ordering the printing of so many bolivars that his own country’s printing presses could not handle the order. So he went to Germany, France, Canada, and the United Kingdom to place it. The initial supply – five billion of them! – arrived late last year in the holds of 36 Boeing 747 cargo jets, with another

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Is Rex Tugwell’s Brainchild the Cause of Puerto Rico’s Financial Woes?

This article was published by The McAlvany Intelligence Advisor on Wednesday, February 3, 2016:  

When Columbia law school graduate Franklin Roosevelt became president in 1932 he asked Rexford Guy Tugwell and two other Columbia professors to be his “brain trust.” Although Tugwell could never have been proven to be a member of the Communist Party USA, his fondness for centralized planning and his violent rejection of the free market informed his efforts to develop the New Deal.

He was a pure-bred hard-core collectivist who was enamored with Stalin’s centralization of agriculture in the Soviet Union, saying that

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Want to Revive a State’s Economy? Put in Place the Florida Model

This article was published by The McAlvany Intelligence Advisor on Friday, January 29, 2016:  

Rick Scott has always been an entrepreneur. While enrolled at the University of Missouri-Kansas City and working full-time at a local grocery store, Scott and his wife Ann bought two Kansas City donut shops. After getting his law degree, he went to work at a law firm specializing in the health care industry. In 1987, at age 34, he took all that they had in the bank and started Columbia Hospital Corporation. Two years later his company was merged with the Hospital Corporation of America to become Columbia/HCA.

In the next ten years it had grown to become

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Florida’s Economy Rebounds Thanks to Cuts in Taxes, Spending, Regulations

This article appeared online at TheNewAmerican.com on Wednesday, January 27, 2016:  

Almost immediately upon assuming Florida’s governorship in January, 2011, Rick Scott started cutting. He increased the state’s exemption level for corporate taxes from $25,000 to $50,000. He expanded the state sales tax exemption for manufacturing equipment. In 2013, he approved a three-year total exemption of that sales tax. In 2014, he pushed to raise the corporate tax exemption from $50,000 to $75,000. Last year he signed into law a $400 million cut in vehicle fees. In all, over the past five years he, with the help of a friendly legislature, has cut nearly 50 taxes.

Along the way

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Canadian Oil Company Thinks the U.S. Constitution is Still Relevant

This article was published by The McAlvany Intelligence Advisor on Friday, January 15, 2016:  

Keystone XL demonstration, White House,8-23-20...

The blogger at InvestmentWatch concluded last June that the “Constitution Is Irrelevant. Rule Of Law Is Dead. Ruling Class Oligarchy Is The Power.” In less histrionic terms, the New York Times agreed, noting that the Constitution is “losing its appeal” with people around the world. Some want to replace it, including a Supreme Court justice. Some want to amend it. The present administration apparently doesn’t bother itself over the matter. On the day after the State of the Union speech, Obama’s chief of staff, ignoring any Constitutional limitations on the power of the president to issue executive orders, said to get ready for “audacious executive actions” by the president in the last year of his second term.

But a Canadian oil company still thinks there’s relevance in the language of the Constitution,

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Puerto Rico Stiffs Bond Investors on Monday

This article was published by The McAlvany Intelligence Advisor on Monday, January 4, 2015:  

Coat of Arms of Puertor Rico

Coat of Arms of Puertor Rico

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OPEC Ignores Crude Oil Glut, Vows to Continue Pumping Flat Out

This article appeared online at TheNewAmerican.com on Monday, December 7, 2015:  

Following a contentious six-hour meeting on Friday, OPEC oil ministers meeting in Vienna announced that nothing will change: They will continue to pump at maximum rates despite the growing glut of oil in the world. Predictably, crude oil prices dropped, along with wholesale gasoline prices.

The fragile cartel’s members are pumping close to 31.5 mbd (million barrels per day) and would pump more if they could. They are already above the mythical “ceiling” of 30 mbd. When Iran, which currently provides 2.7 mbd to that number, recovers from U.S.-imposed sanctions, it expects to pump four mbd by next summer, adding further downside pressure on crude oil prices.

At these prices nearly every barrel OPEC members sell to the world market is sold at a loss. But the ministers are persuaded that,

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Brazil’s Petrobras Scandal Widens, Threatens President Rousseff

This article appeared online at TheNewAmerican.com on Friday, November 27, 2015:  

On Wednesday three top people in the Operation Car Wash/Petrobras Oil scandal were arrested in Brazil, possibly signaling the beginning of the end of the reign of Brazilian President Dilma Rousseff (shown above with former President Lula).

Ever since businessman Hermes Magnus told police in 2008 that a gang of criminals was trying to launder money through his electronics company, using the Tower Gas Station (and car wash and currency exchange) as the center, the investigation has grown ever wider.

Massive sums from Petrobras executives were transferred to overseas bank accounts using

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Saudi Arabia Announces Its Willingness to “Stabilize” Oil Prices

This article appeared online at TheNewAmerican.com on Tuesday, November 24, 2015:  

On Monday Saudi Arabia’s council of ministers confirmed the rumors that the leader of the OPEC cartel is now willing to “stabilize” world oil prices, saying in its announcement:

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A Black Swan Event and $4 Oil?

This article was published by The McAlvany Intelligence Advisor on Friday, November 20, 2015:  

Eight years ago Nassim Taleb’s book The Black Swan was named by the Sunday Times as one of the twelve most influential books since World War II. Now serving as Distinguished Professor of Risk Engineering at the New York University Polytechnic School of Engineering, Taleb continues to build on his view that “black swan” events have a greater impact on culture and the economy simply because they are unexpected. As Chris Anderson explains in his review of Taleb’s book:

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Recession Indicators: Pick one

This article was published by The McAlvany Intelligence Advisor on Wednesday, November 18, 2015:

As a general rule a recession is two quarters of negative growth (aka decline) in the country’s gross domestic product (GDP). GDP, in simplest terms, is a measure of industrial production, employment, real (inflation-adjusted) income, and wholesale and retail trade.

The trick is knowing when a recession is coming. Even trickier is knowing what to do about it beforehand.

The Bureau of Economic Analysis (BEA) said GDP

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More Signs the Economy Is Slowing

This article appeared online at TheNewAmerican.com on Tuesday, November 17, 2015:  

The latest Empire State Manufacturing Survey issued by the New York Federal Reserve Bank on Monday confirms an increasingly ominous economic trend: The fourth consecutive monthly decline in its index is the longest since early 2009.

Its authors didn’t even try to sugarcoat it:

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World Oil Glut Swells to 3 Billion Barrels, Driving Prices Down Further

This article appeared online at TheNewAmerican.com on Monday, November 16, 2015:  

Friday’s November report from the International Energy Agency (IEA) confounded so-called experts who have repeatedly predicted a bottom in oil prices. After West Texas Intermediate (WTI) briefly dropped below $40 a barrel in August, bulls were delighted to see prices for crude bounce up over $50 and stay there — right up until October.

The IEA report tried to corral all the complexities of the oil market into its two-page report:

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Fourth Republican Debate: Feisty, Hilarious, Little Change in Polls

This article appeared online at TheNewAmerican.com on Wednesday, November 11, 2015:  

A more orderly and respectful atmosphere surrounded the fourth Republican debate on Tuesday night, a sharp contrast to last month’s debate where the moderators became the issue. That didn’t mean there were no fireworks, or disagreements, just that the tone was more serious, as the candidates tried to shore up their positions and their poll numbers as they approached the final debate in December.

The topics included questions on

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Is Now the Time to Buy Walmart Stock?

This article was published by The McAlvany Intelligence Advisor on Friday, October 16, 2015:  

English: Exterior of a Wal-Mart Supercenter in...

Exterior of a Wal-Mart Supercenter in Madison Heights, Virginia.

Walmart (WMT) hit 90 in early January, and hasn’t come close since. On Tuesday this week it traded at 67, just before the company’s announcement that shook the markets. Following that announcement the stock traded at 60, down 10 percent on the day and 30 percent from January.

Pundits leaped on the news, claiming that

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Walmart’s Stock’s Selloff Hinges on Perceived Economic Gloom

This article appeared online at TheNewAmerican.com on Thursday, October 15, 2015:  

English: Inside the Walmart (still branded as ...

Inside the Walmart at West Plains, Missouri.

Within minutes of Walmart’s announcement  on Wednesday that the world’s largest retailer would see its profits drop between six and 12 percent next year, the company’s stock started a decline that only ended after it had lost 10 percent of its value, its worst single-day performance in 37 years.

Despite a previous warning from Walmart in August that its quarterly profits, year-over-year, would likely fall by 15 percent, and despite the company’s stock continuing its decline from $90 a share in January to $67 before the announcement, investors were caught off guard. Now trading below $60 a share, investors have seen the value of their Walmart holdings drop

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House Bill to Lift Crude Oil Export Ban Faces Obama Veto

This article appeared online at TheNewAmerican.com on Monday, October 12, 2015:  

On Friday the House of Representatives succeeded in passing a bill that would lift the 40-year-old ban on exporting crude oil, but failed to get enough votes to overcome the expected Obama veto of the measure, if it gets that far. Twenty-six Democrats joined with 235 Republicans in support of lifting the ban — far short of the 290 votes needed to override the certain White House veto.

The bill now goes to the Senate for consideration. Senate Majority Leader Mitch McConnell hasn’t indicated whether he will bring the bill to the floor. If he does,

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Want a Raise? Work for the Government

This article appeared online at TheNewAmerican.com on Friday, October 9, 2015:  

It used to be that the way to get ahead was to work harder, work smarter, find your passion (à la Tony Robbins), marry the boss’s daughter, or be the boss’s daughter (or son). But, according to the latest study from the Cato Institute, the best way is to “sell your soul to the company store” (apologies, Johnny Cash): Work for the government. Preferably, the federal government.

Since the 1990s, federal government employees have enjoyed greater increases in salary growth than those in the private sector, with federal workers in 2014 earning 78 percent more, according to the latest report from Cato, entitled “Downsizing the Federal Government.”

In 2014, based on numbers provided by the U.S. Bureau of Economic Analysis (BEA), the average federal worker in 2014 made

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Will Glencore’s Financial Troubles Trigger an International Collapse?

This article appeared online at TheNewAmerican.com on Wednesday, September 30, 2015:  

Investors in the stock of Glencore, the giant commodities mining and trading company founded by Marc Rich (disgraced friend of Bill Clinton), lost almost a third of their portfolios’ value on Monday, only to see the company’s stock price rebound strongly the next two days. The company’s statement seemed reassuring to those unwilling to dig deeper:

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Brazil Teetering on the Edge of Recession, or Worse

This article appeared online at TheNewAmerican.com on Monday, September 28, 2015: 

English: Official photo of President Rousseff,...

President Dilma Rousseff

Brazilians are facing a bleak future. The combination of last week’s downgrade of the country’s government debt to junk, along with downgrades on the debt of many of its major industries, and the unfolding “Operation Car Wash” scandal at Petrobras (the massive government-owned oil company), all spell trouble for an economy already in decline.

Brazil’s currency, the real, was once pegged to the dollar, but

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Many of the articles on Light from the Right first appeared on either The New American or the McAlvany Intelligence Advisor.