Amid the din of an election year and escalating tensions toward global conflict, one stark reality stands out: the United States is on a swift path to financial ruin, and there seems to be no way to halt this course.
Delving into the intricacies of Washington’s fiscal health might feel like a dreary endeavor, especially when myriad more entertaining pursuits await. However, if gaining insight into our broken systems intrigues you, we invite you to read on.
So far in fiscal year 2024, spanning from October 2023 to May 2024, the federal government has disbursed $4.49 trillion. According to assertions from the Treasury Department’s fiscal data website, these expenditures were made “to ensure the well-being of the people of the United States.”
Yet, how this spending translates into well-being remains murky. Does it enhance your morning coffee experience? Does it alleviate your health ailments? Does it guarantee the availability of fresh produce at your grocery store? Continue reading
“It is well enough that people of the nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning.”
– Henry Ford
“Now Muscle Shoals has got the Swampers.”
– Lynyrd Skynyrd
Big, Big Dreams
“I will employ one million workers at Muscle Shoals, and I will build a city 75 miles long.”
These bold proclamations were made by Henry Ford after a trip to the Northern Alabama town in 1921, accompanied by his friend Thomas Edison. One can only imagine the visionary discussions that arose by the scenic banks of the Tennessee River, sparking these ambitious aspirations.
At the time, Muscle Shoals—unincorporated until 1923—boasted a mere population of around 750 residents and was still dotted with cotton fields. Additionally, only two generations prior, this area had been a hunting ground for the Cherokee.
Yet, Ford, along with the forward-thinking Edison, recognized potential. Ford envisioned transforming this quiet community into a bustling Southern center—a “Detroit of the South.” Continue reading
How would you react to a projected 44.47 percent increase in your monthly water bill by 2027?
Considering that consumer prices have already surged by 21.5 percent over the past four years, according to the government’s manipulated data, would this anticipated increase bring you comfort?
This is the rate hike proposed by California’s Golden State Water Company for residents of the Santa Maria Service District. If approved, as detailed in the public notice from a recent participation hearing notification sent to customers, the average residential bill is expected to rise from $67.94 in 2024 to $101.81 by 2027, excluding surcharges.
Other districts served by Golden State Water Company are facing similar increases. These hikes are part of the company’s General Rate Case (GRC) submitted last year to the California Public Utilities Commission, outlining local infrastructure investments and proposed water rates for 2025, 2026, and 2027. Continue reading
Caught between the rise and fall of consumer price inflation and interest rates lies the calculated intervention of central planners. Decisions made today can have lingering impacts tomorrow. The monetary policy missteps of the Federal Reserve in the past create challenging conditions today.
Recall the massive quantitative easing (QE) measures undertaken during the chaos of repo crisis and subsequent pandemic—when the Fed’s balance sheet ballooned from $3.7 trillion in September 2019 to $8.9 trillion by May 2022.
Essentially, the Fed conjured credit out of thin air to acquire U.S. Treasuries and mortgage-backed securities. Amid the collective expertise of thousands of economics PhDs, they deemed it wise to purchase these assets while yields were at unprecedented lows.
The fallout from this low-yield asset acquisition spree is evident weekly in the Fed’s H.4.1 data. As of May 30, the remittances owed to the U.S. Treasury reached a staggering deficit of $171.9 billion, a 163 percent increase compared to the same week last year. Continue reading
