ChicagoBoyz: The Federal Takeover of State Debt is About to Begin

screw-standard

“…Watch the headlines… see this occur… it will be seismic in its long-term nature, because it will fundamentally change the nature of the US government, since the debts of the states and cities will become everyone’s debt and we don’t have any “real” tools to govern their behavior or fix the long-term promises that destroy competitiveness and economic growth…”

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22 responses to “ChicagoBoyz: The Federal Takeover of State Debt is About to Begin

  1. LeGrandeGuy

    other effects of federalization of local debt come to mind:
    1) Ensure the loyalty of local government employees to the central state in the event of an insurgency/uprising.
    2) Complete the centralization of EVERYTHING in FUSA/extend tentacles of central control into the finances every hamlet and county.
    3) Shovel tons of local taxpayer cash to the big New York banks.
    4) Effectively convert property taxes into federal taxes: all that delicious money flowing back to New York and DC.
    5) Complete the federalization of ALL local law enforcement. They’re gonna need all hands on deck in coming years since the robot project doesn’t seem to be working out. Something to do with the laws of thermodynamics and problems with battery technology…..

    • “Something to do with . . .”
      Also, meat robots can be produced and programmed using unskilled labor, at much lower cost.

    • “Ensure the loyalty of local government employees to the central state in the event of an insurgency/uprising.”
      expect this to be 100% loyalty. I imagine news gets out real fast of the few that don’t go along and they get a behavior adjustment visit.

  2. …Roughly half pay no federal income tax because they have no taxable income, and the other roughly half get enough tax breaks to erase their tax liability, explains Roberton Williams, a senior fellow at the Tax Policy Center…

    And these are the lowlifes who’s votes cancel out yours. Murka!

    http://www.marketwatch.com/story/45-of-americans-pay-no-federal-income-tax-2016-02-24

  3. outlawpatriot

    Hmm… lessee… federal assumption of state debt… now where have I seen that before? Oh, yeah. Hamilton bargained with Jefferson and Adams to allow him as Secretary of the Treasury to have the federal government assume the war debt accumulated by the various states after the Revolution in exchange for locating the nation’s capitol in Virginia. That was quite a deal as it turned out. It established a precedence detrimental to the power of the states and ultimately individual liberty.

    Hamilton was a monarchist. It was his intention to set up a system whereby the federal government in the new republic assumed the role of the king in a monarchy. He was a firm believer in people being loyal to those who pay them best. A driven individual, he was also a superb organizer and not without honed negotiation skills.

    It’s too bad that the anti-Federalists were asleep at the switch as the new nation came into being.Their failure to organize early and having a somewhat reluctant leader in Jefferson allowed Hamilton far too much latitude in shaping the fledgling republic. Hence, the established precedence allows for repeats of detrimental actions.

    One has to wonder how much different our nation’s history would be had Hamilton met his demise during the assault on Redoubt #10 at Yorktown or an earlier meeting with Burr on a field of honor.🙂

  4. DWEEZIL THE WEASEL

    Isn’t this part of the Cloward-Priven strategy? Collapse everything financially. Then ride to the “rescue” by confiscating every private retirement fund in the nation and putting it all into T-bills at around a measly two per cent per annum.
    The FSA and the rest of the Gimmedats will applaud. They have never saved a dime, anyway. The government elites and their sponsors and fellow travelers in Hollywood, the Media and Corporate Amerika will not care. The have their tax shelters and hideouts. It makes perfect sense.

    • Sometimes I fell like I’m a complete sucker for having savings and continuing to build them because when the debtload hits the wall, and it will eventually; I know I’m not a big enough fish to be exempt for the govt just confiscating everything they want from any financial account I have. The only saving grace I have is no debts and a personal stash to use while most of America has to endure whatever slavery the govt assigns them because their debts will own their lives.

      • Just keep pulling your savings out a little at a time. Be careful not to go over 5k at a time, get it in 10,s 20,s and 50’s. Do it at staggered intervals, and don’t take out over $100k every year. You WILL get flagged for “structuring” which could result in the goons seizing all your accounts. Start purchasing land and tangible items using checks or credit cards to keep reducing your deposits. Time is short.

        • Randall Flagg

          “…and don’t take out over $100k every year.”

          How insightful. And applicable to about, well, not very many.

          • Ya. It’s plainly obvious FreeFor has a problem with attracting anyone with mean$. Money and the 99% doesn’t mix very well…

            scotch and cigars vs. beer and smokes.

        • LOL, it doesn’t matter how you take it out. 70 % of US currency is held abroad. The foreigners will be allowed to redeem at face value if they repatriate the money at US banks. The sheeple here won’t be so lucky when the forced redemptions, devaluations and non recognition of old notes kicks in. If you doubt this go through your cash pile and chances are the notes are on the older side. No new printing lately – that should be a clue.

          • I just checked a banded stack of $20’s. All new sequentially numbered bills printed in 2013. You may be on to something there. I can’t check any 50’s or 100’s due to their current location…😉

    • Not 2%, .1%…..

  5. Lessons from Detroit:

    1. The city’s debts were partially shifted to state taxpayers.
    2. Pension holders still got paid before a single pothole was ever filled and the cops got the Lions share of that money.
    3. The city art museum didn’t have to sell anything to pay the bills.
    4. The game of musical chairs isn’t over yet.

  6. It won’t last long. It’s also hot unexpected. Just another of the inevitable steps off the cliff.

  7. I am not in the habit of assuming debts incurred by others.

  8. Stealth Spaniel

    There is so much to say on money and The Leviathan. Suffice to say that they have just about bled the slaughtered cows out. They can threaten, harass, cajole, and whatever else; when the bleeding is done, there will not be anymore.
    My advice is to get your debt bux out of the banks, your 401K, any “savings” account, etc. You need to think old school; grandma & her “money envelopes”. Get a good safe bolted to the floor, or start building your hidey niches. (We have discussed tiny houses, sheep wagons, rv’s or whatever is moveable. I do not think burying anything is a good idea. YMMV) Convert this to land, preps, precious metals, coins, food-whatever you need. You will NOT be able to rescue every penny, but if you start now, you should be in better shape. The IRS may want some more taxes, but you can make a payment plan into the future, and I don’t think the FUSA has much of one.
    Check with a land attorney on registering your land to an out of country company that you control. I have heard that this is an option.
    I think all of us need to prepare for the coming Festivities-when there is no saving for the future. The Leviathan will make sure that only a few specials have one.

  9. Lost Patrol

    My thoughts immediately spin to secession from the federal. Withdraw tax payments to the federals by those states who are solvent such as Alaska, Montana, Wyoming, Idaho, North Dakota and while we are at it take along with us British Columbia and Alberta from Canada. Remove the energy, minerals and farm/ranch land from the federals. Succession equals freedom. After all it is only going to get worse. We need to remove ourselves while we still have something to keep.

    • ^^^ Yep. Start local, as in personal. Whether or not your local/regional “public servants” want to play along or not. Hard assets with long/infinite shelf life and utility. Oh yeah, got skills? Think 1800s…

    • Stealth Spaniel

      +1. Heard of the State of Jefferson? We in NorCal are certainly trying. Plenty of “Statehood” signs in Placer County.