Busted: Bankers and The Global Economy

February 24, 2010

U.S. Consumer Confidence Remains Low Despite Projected Optimism

The measure of U.S. consumer confidence fell in February to the lowest level since April 2009 as the outlook for jobs diminished. This is an obvious sign spending will be slow “as the economy recovers.” The banking community is gridlocked and recent short-term gains in the business community indicate an upturn. Meanwhile, a real recovery depends on consumers. Why?

Since consumer spending accounts for approximately 70 percent of overall U.S. economic activity depressed consumer confidence will undoubtedly lead to less consumer spending and sluggish growth in the economy. The economy that I refer to is the real economy as opposed to the Wall Street economy. The fact remains that if consumers have a lack of confidence in the economy, they are not likely to engage in spending sprees if they can and they certainly won’t make major purchases like appliances, houses and automobiles.

Despite media hype and the government spending, Americans are not seeing any real change in the economy. Politics seems to continually pin its hopes on Wall Street and stock market as a measure of confidence. Wall Street, now absorbed into the banking system, continues to function within the same dynamics as before the meltdown. Bundling securities continues unabated even though this, in large measure, has resulted in substantial reverses in resolving bank debt and cleaning up the meltdown mess. Lawmakers remain weak willed even though hands have been figuratively slapped for financial illiteracy by the Federal Reserve, the new kingpin of financial law.

This is no different from allowing the “Big 3” Credit Tracking Agencies to run the show in managing consumer credit, a definite conflict of interest since these businesses and the Federal Reserve have so much to gain from the system in place. This is illustrative as to why so little has been accomplished. The system has its’ hands in its’ own pockets. Corporations have adopted functions of government as lines continue to blur. The system grows with little benefit to anyone as corruption further stagnates the system. Politics is working in the same way to involve health care on a larger level. The government may have a system of checks and balances, but the founders of the country did not count on the corporate oligarchy now in place.

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June 25, 2009

The Free Lunch: Digital Economy Creates Expectations

Filed under: corporatism, economy, money, technology — Tags: , , , , , , , , , , — digitaleconomy @ 10:33 am

free lunchAs savvy users storm the internet and costs for running the internet drop, the business world is discovering that the traditional business model may be on its ear. Internet businesses like Amazon also find themselves in a commanding position to make money in a diminishing market at the expense of traditional business. This has actually been in evidence for quite some time as the downward pressure on prices online continues, and along with it, the opportunity to make a buck. This has been evident in the world of freelance, as the global digital economy takes prices, including levels of fraud and piracy to new unheard of levels. Making a buck online is no longer an assumption as old internet models fail to produce the desired result: profits. Computer users expect to use services and acquire goods for free, without cost to themselves. Already, many services online are free. Business is being forced to comply in order to compete since online customers refuse to pick up the tab. Free has evolved from a marketing gimmick to an expectation. Naturally, business continues to resist the drive of the consumer. Now internet services are being used with the hope of baiting consumers, but this isn’t working as the average user becomes more cynical and savvy. The old maxim “keep your money in your pocket” continues to prevail as the world of business wonders how to keep the business world strictly business.

May 26, 2009

Corporate Control through the Digital Economy

The digital economy has become synonymous with the large amount of global data, often blindly called information, that the world creates through life on the internet. Those corporate rustlers in the data storage business are doing very well indeed even though the immediate rewards of this investment remain mostly in the future while the world endures the continuing fallout from a global financial meltdown.

end of advertisingMost of this corporate benefit has been on the backs of corporate slavery in the backrooms and factories of the third-world as the increasing strength of a global corporate fascism grows and concretes influence in the world. Jobs in America and any economic powerhouse have been sold to the lowest bidder, typically overseas by corporate junkets that claim to have your best interests at heart. They have sold you their truth that life is simply about consumption of goods. Live for the moment. Just do it. Obey your thirst. Corporate fascists are there to rake in the profits while that opportunity exists in the hope of building a global society that they can further rule, influence and plunder.

Right after 9/11, George Bush did not instruct Americans to pray or to unite in common purpose in religious temples. Instead, President Bush encouraged America to go out and shop in temples of commerce. America must not allow terrorists to divert the economy that defines ‘our’ society and power. Through that very economic engine and toil, corrupt and cynical corporate executives of financial institutions have plunged the economies of virtually every nation into the tailspin of recession and employment stagnation. This action of corporate fascists has not been truly recognized and they remain in control as never before as the controllers of currency and commerce. They remain central to ongoing efforts to revive the decimated global economy.

Fascist corporatism now defines the world. America and much of the modern world has a fear of any lack of consumption like the global economy is enduring now. We must be convinced that we must buy now and pay later for the very system in place depends on this reality. Even worse, America has come to realize that the rest of the world has been funding this endeavor in recent years as the fever of fascist consumerism broke with the economic overheating. Much of the world and notably most Americans can no longer continue to eat at the trough of ardent consumerism that has been propelled into superstardom over the last several decades. Credit has been maxed out and personal income commandeered by corporate and government fascists as they stoke the temporary delusions of their bottom line.

The human race has turned the space race into the information age of science and technology, an endless storage bin of computer space into which we cast our hopes, dreams and fantasies, even our futures and of course, the corporate bottom line…for better or worse. We are addicted and will be manipulated to meet the needs of the current powers in place or those that reside in the future.

human lobsterIs there any other reason for the expansion of millions of terrabytes of digital power out there? Does home video really make that much money for corporate fascists? Hardly. Do personal blogs hold the purpose of the world? Unlikely. We are simply human lobsters in what will be a boiling pot given enough time. Humans are food for government control and corporate fascists. We haven’t realized the plans of the power structure in place just yet, even as the plans of those in influence continue to evolve and materialize. It is all about the power of psychology and what information global corporates can mine from your life to benefit themselves, their financial structure and to build their future. Google has only begun to mine data from your life. They may well know more about you than you do. Once that data is used to influence and manipulate, advertising and data mining achieve their pinnacle of success in the name of convenience and customer service.

The American miracle of the internet now holds the building blocks of a new global economy and global manipulation that has never been seen before. The ‘new fascists’ proclaim innovation in technology and processes with the idea of world domination for their own good. The rights of the individual mean nothing in the grand scheme. The small businessman must be crushed or controlled by higher powers. You are simply a means to their end: record profits and control of the market at any cost. The internet will be their social tool. The digital economy is an expansion of the human third-world flesh factory as billions of human lives continue to pour into a global mechanism of control and manipulation.

November 5, 2008

Post-Election Rays of Hope?

eight-ballRetailers are strategically masterminding new ways to get you to spend your money. Considering that the cost of gasoline is down, the job has suddenly become somewhat easier. All over the world in prime economies, news articles have appeared after the U.S. election celebrating a suddenly brighter consumer picture. The picture is not exactly what it seems.

Retailers are taking drastic action through hoarding cash and cutting prices in the hope of adequately coping with an ongoing recession, projected and expected to last until about the summer of 2010 by many economists and analysts. Real world retailers are suffering greatly because of the new digital economy of the internet. Even internet retailing isn’t so rosy as businesses must cut prices in order to get the attention of consumers and keep sales even. Slumping sales have been a major problem, even among the garage sale atmosphere of Ebay, where prices can’t seem to go low enough to satisfy the buyer. The cheap cost of new goods makes the value of used goods virtually worthless. The only hope is to try to make a dollar or two on handling fees or shipping.

For the fickle world of investment, the immediate prospect looks even worse. A glut of new shopping facilities, the rising cost of importing goods and the growing impact of internet shopping are creating new pressures with the result that profitability is suffering, even as the holiday season comes full circle once again.

getting noticed

getting noticed

What most larger businesses have done is to chop into their cache of innovative ideas or even the prospect of considering them. One ray of post-election hope is for the small businessman online if he can just get the attention of the browsing public. This assumes, of course, that the public knows what it wants before they get online. That isn’t how most customers shop. Advertising is down and snafus among the gloried advertising models of Google and Yahoo don’t seem to make the prospects brighter, only muddier. This bright side for the consumer is that prices are coming down and monetary units are going farther for the first time in years. This natural price adjustment is a natural part of the cycle fueled by years, perhaps decades of abusive overpricing, lending and credit.

As former corporate employees wear out the availability their unemployment checks, reserves and pensions, they will be forced to be creative in order to survive. Ultimately, this means a boom in new small business ventures. Most of these new adventures are operating on a shoestring of personal finance, leaving investors little opportunity. Those that are willing to invest what they have in themselves will eventually encounter great opportunities as they work through the trials of getting their business model right. The small businessperson is the new ray of hope for the foundering global economy. ~ E. Manning

May 5, 2008

New Credit Proposals Rattle Bankers

The Federal Reserve has been setting new baselines all year and last week was no exception. With new power and influence, the Federal Reserve is proposing a new set of credit lending rules that are rattling bankers from coast to coast.

Fed Chairman Ben Bernanke wants to put predictability back into banking costs where credit cards are concerned. The Federal Reserve is setting a new baseline for fairness in banking practices in issuing late fees, unfair interest rates, allocation of payments using balances with different rates, excessive fees, unfair computing of balances and deceptive practices. According to the Federal Reserve: (more…)

February 8, 2008

Wachovia Bank Bilks Millions

Filed under: banking, money — Tags: , , , , , — digitaleconomy @ 12:31 pm

If you every doubted the goodwill of a banker, here is a reason to doubt and be very wary of anything said or promised by a bank for any reason. Wachovia has bilked over 300,000 customers through telemarketing.

Reuters Article

Wachovia Corp, the fourth-largest U.S. bank, is fighting a lawsuit accusing it of letting fraudulent telemarketers use its accounts to bilk millions of dollars from consumers. Documents filed last month in the U.S. District Court in Philadelphia, also reported in the February 6 edition of The New York Times, detail accusations the bank and its lawyers knew about the fraud allegations for years.

December 7, 2007

Credit Cards the next Subprime?

Filed under: banking, money, politics, security — Tags: , , , , , , , — digitaleconomy @ 12:42 pm

Aggressive, irresponsible tactics by mortgage firms are already threatening to tip the US economy into recession. Some feel that credit cards could blow up next.

Claire McCaskill, a newly elected Democratic senator from Missouri who is co-sponsoring Levin’s bill, says her own mother has struggled to cope with rocketing credit card debt.

The Guardian 12/07/07

“I think most Americans don’t understand that they are in a hole in terms of minimum payments, and I think, frankly, we are not preparing for what could be the next sub-prime disaster,” she says. “I believe the next sub-prime disaster is the debt that is out there within the credit card obligations in America.”

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