- (Note - The following is a response to a following email
below)
-
- Ernest: I read your comments to TruthOut towards
CAFR and composite wealth held and needed to correct you on a few points.
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- 1 Composite wealth may now be 80 trillion but I always
use a conservative 60 trillion plus. This money is standing investment
and cash accounts. How much is surplus revenue? A complete audit would
determine that. It is not hidden if someone knows where to look. It is
just never talked about by all organized segments of this country due to
the money involved and who has their hands in the pockets. Just to name
a few; the News Media, Organized Education, the established political parties,
and all higher ups from government administration. The investments are
both domestic and international. The primary three investment arenas are
where the labor is cheap such as China, Mexico / South America, and the
Soviet Block Countries.
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- 2 There "is" an Economic Disaster looming.
Government in their greed to hoard the wealth has taken over the market.
In fact government "is" the market now. Many traders over the
last ten years kept looking at different sectors and were saying "There
is no way these prices can hold, they are way over priced" as they
continued to go higher.
-
- Well, what was happening was that prices were going higher
based on the monopoly of government investments as they grew. In 1929,
the public was the primary holder and they would and did have panic selling
spree causing the collapse. Now government is the primary holder and
they orchestrate continued gains to perpetuate their balance sheets.
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- Here a bubble exists but a bubble under ultimate control.
If 100% of the public panicked and sold every share they owned, the market
would have a severe dip but then come right back and then shoot higher
with government now picking up most of those shares at a discount and then
by effect would own 100% of the market.
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- Government did this before and after 911. They had massive
short derivatives held going into 911 whereby a few trillion were picked
up on those derivatives almost overnight as time goes when the derivatives
were exited from.
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- Even though they lost money on their physical holding,
the derivatives substantially counterbalanced those losses, and then the
market over the following years went higher than it was when 911 occurred
and thus a few extra trillions of dollars for the government holdings.
In compensation to the public, government then forced interest rates down
to the lowest levels in a few decades to directly benefit the public.
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- Does this type of bubble create the potential for an
Economic Disaster? Yes, it does.
-
- Will it lead to an Economic Disaster? It probably will
not. When you own all of the cookies in the cookie jar, you set the price.
People complain about taxation and one point they do not realize is that
through this government monopoly of the markets, with government also controlling
the reports and what blurbs comes out in the News, they orchestrate the
ups and downs whereby the public market players are simply swarming minnows
to be eaten at will. The public gets liberated of a few extra trillions
of dollars over the years from this game. Look at the losses to the public
from 911 on their 401K plans. Many dropped by 40 to 60% in value. In the
alternative government pensions barely missed a heart beat.
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- I will bring forward one last point here. Pensions contributions
and fund balances are determined by projections of return on the holdings
to meet payouts that are needed at retirement. If interest rates are low
over a specific term of years, then projections dictate higher balances.
If returns are high on average over the years then lower balances are needed.
On government pensions from 1991 to 2000, the returns were grand.
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- Many of these multibillion dollar state funds such as
Arizona, Washington, and Oregon were accomplishing returns of depending
upon what year you looked at, from between 16 to 23%. Compound those apples
each year! They government employees were not aware of this being that
they were told the return being accomplished was 7 or 8%, the "actuarial
projection" being used and not the real rate of return.
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- After 911 when interest rates dropped to 1%, government
actuaries who determined the "projected" return to determined
fund balance needs dropped the actuarial projection term for return used
from 7 8% to 3.5 to 4%. Here this "doubled" the projected
fund balances required and all government employees were told that their
pension funds were in danger of being under funded due to 911 and increases
in contributions were needed. It appears the government employees are played
just as easily as the general public is. (True rates of returns for government
pensions are back up to 12 to 16% but not a peep to the government employees)
See, what our parents use to say to us when we were little children is
still true, "Silence is golden."
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- EXAMPLE OF AN ACTUARIAL PROJECTION: ANNUAL BENEFIT
PAYMENTS NEEDED AT RETIREMET $50,000
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- * Required fund balance needed if a projection of 2.5%
return is used would be: $2,000,000.00 needed per employee.
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- * Required fund balance needed if a projection of 10%
return is used would be: $500,000.00 needed per employee. As you
can see, the projected rate of returned used can make a substantial difference
as to if "Over Funded" or "Under Funded" The
only issue here for truth is; What is the REAL averaged rate of return.
If it becomes obvious that local government is juggling the projected actuarial
rate of return for the purpose of grossly inflating the money they have
under management and tricking government employees to contribute more for
the same purpose, then that is clear fraud being perpetrated against the
taxpayer and those lower level government employees. (they should have
been getting refunds not asked for increased contributions) How
do you find out REAL TRUTH per this matter? Look! Do a Google search on
as an example "New York State Retirement Fund" CAFR and it will
pop up for down loading. Put in quotes the entity you are looking for which
gives hit returns for the exact phrase and CAFR next to it on the search
line. Do a search again with PERS in the search line. PERS being Public
Employees Retirement. So, Look, Learn, and then Act! Review your
State, City, County, and School district Public Employees Retirement fund
today. Learn what is real. (Especially you government employees who may
be getting a snow job handed to you by upper administration)
-
- Yours truly,
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- Walter J. Burien, Jr. P. O. Box 2112 Saint Johns, AZ
85936 928-445-3532 ------------------ Pension funds pay a salary
at retirement. Any local government can be restructured to meet their annual
budget needs "Without" Taxes in the same fashion. TRF (Tax Retirement
Funds) now meeting every City, County, State's annual budgetary needs!
They have already proven that it will work! CAFR1 says: Make it law and
make it so!
-
-
- 10/29/2006 - Ernest Wiebe wrote:
-
- Dear Truthout:
-
- There is more than $80 trillion hidden in the coffers
of the Federal, State and city governments of the USA, that has been pilfered
from the US taxpayers since 1946. Canada, Europe and down under have the
same ream job done on them. Who do you think owns the majority of the shares
of your or their Fortune 500, your government. Check out that your government
owns 80% of Microsoft. It's in the books.
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- The truth of this is if you discern the regular bookkeeping
and the Comprehensive Annual Financial Reports, CAFRs, over 84 thousand
of these are filed yearly. It is not ever mentioned in the GDP, but study
the GNP and the CAFRs. You see, The USA receives twice as much revenue
from their foreign investments yearly as they receive from tax revenues.
But these funds are not ear-marked for reduction of the debt or up-keep
and infrastructure. Canada receives about an equal amount. They have the
nerve to call it Consolidated instead of Composite and classify it in the
Stat-Can as "Own Source Revenue." Now these funds were laundered
to a few companies in Australia and Spain that build new autopistas or
buy up existing highways, bridges and turn them into tollroads. In fact
many of your interstate highways are at risk at this very moment. Spain
is purchasing them and will collect the tolls forever, (in Spain I paid
10 cents a Km). As you now have no US Constitution or Bill of Rights, so
long suckers. You are too late my friend.
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- You should keep a sharp eye and really learn how much
has been set up for the government officials' retirement pensions.
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- In fact, I dare you to and then answer respond to me
what you learn, but you likely know all this, maybe even receive copies
as do all the main news media brass, as does every senator and congressman.
But nobody wants to touch this RICO thing. Even my government will not
respond to my numerous E-mails on this subject, they know they will be
destroyed as some of your officials have been.
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- The US federal judges set one up a pension plan for themselves
that pays them $8 million cash on retirement and they needed only one year
on the bench to qualify!! Read it and weep.
-
- Check with the c.c. Walter Burien at CAFR1. Enter: "Walter
Burien and CAFR" in Google and learn the truth.
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- Sincerely, Ernest Wiebe of Canada.
-
- ----- Original Message -----
-
- From: "t r u t h o u t" To: Sent: Sunday, October
29, 2006 7:42 AM Subject: Top Government Official Says US on Verge of Economic
Disaster http://www.truthout.org/docs_2006/102906Z.shtml
-
- There's a dirty little secret everyone in Washington
knows, or at least should. The vast majority of economists and budget analysts
agree: The ship of state is on a disastrous course, and will founder on
the reefs of economic disaster if nothing is done to correct it.
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