Driving home while listening to WDEL a commercial came on about a local brokerage firm, and the whole point of this commercial was to convince the listener that the market had bottomed out and it was time to invest…..

It went through a list of problems as to why people would not want to give them their money….

Record breaking cost of fuel.
Plummeting housing market
The falling dollar
The high price of food

At that point I lost interest at what they were saying for something had suddenly occurred to me.

In chronological order…. going backwards…..this is how our current crises happened.

The high price of food
Record breaking cost of fuel
The falling dollar
The plummeting Housing Market..

Each line, or event, was caused mostly by the event or line directly underneath it.

For example the high price of food is tied to the high cost of energy required to get that food to market….as well as the decrease of our food supply as large amounts of food jumped from the ground into our cars.

The high price of fuel is predominantly a result of the falling dollar. For example if a barrel is profitable at $66 dollars on the world market, and our dollar has fallen 50% of its value last year….. our cost of gasoline to us is $132 dollars a barrel.

The falling dollar is a result of the rest of the world’s acknowledgment of the huge pile of unsecured debt hanging over our heads. As seen on Martin Luther King weekend of this year, there is little confidence in America’s ability to provide security. Our dollar is garbage, and will remain so as long as major companies like Bear Stearns can fold overnight…….

So all our woes come down to the housing debacle. Back when the upcoming housing crises was first discovered, and the exact extent of how much unsecured debt’s ink was drying on the paper of most of our investment houses, became known……the dollar fell, which raised up the price of fuel, which in turn pumped up the cost of everything, including the provision of food “for our families.”

So how did this bubble based on housing costs ever get started? Simply because of one piece of legislation that got slipped into a late night omnibus bill (by one Senator Phil Gramm(R) Tex) which deregulated leveraged securities. With no regulation requiring anyone to monitor these massive (billions of dollars) transactions, large amounts (in billions) of loans were leveraged without any adequate collateral to back them up……

In other words, exactly the same sequence of events occurring within the 1929 stock market which eventually led to the Great Depression, occurred again because of this one piece of legislation sneaked in by Phil Gramm. Again, far from the eyes of government regulators, our entire economy was traded several times over on the sham, and huge transactional profits were pocketed:…..very, very large transactional profits, all done over packages worth 1% of their traded value…..

By the way, in case you did not know………Phil Gramm is McCain’s number one principal economic adviser….

In other words, the single one man responsible for all of our economic woes, is currently advising the Republican candidate for U. S. President…..who himself has admitted that he knows little about economics…..

Has any party ever picked a bigger loser?

Think about it.

Now…. listen to this. One of the central planks in Obama’s economic package, paraphrased by David Anderson, goes something like this….

We don’t need to make radical change, but if you just rolled it (required leverage amount) back to 20% then we would still have liquidity in the market and no additional government interference with investors.

Every Libertarian and Federalist should support such free thinking …………..I’m telling you …Obama is not your typical Democrat, just as Reagan was not your typical Nelson Rockefeller Republican……..

But in contrast, the relationship between Gramm and McCain, especially when one considers Gramm’s pivotal role in bringing our country to its knees,……..bears additional scrutiny…..