Good Morning everyone out there in Reality Land; your King of Simple News is on the air.

Yesterday we talked about the hidden horrors of purposely induced inflation, which resulted in the loss of the majority of America’s most important industry. When a company actually needs to raise prices in response to the rising cost of doing business in United States and cannot do so without suffering additional sales losses due to the buying public being totally tapped out; the next step is bankruptcy.

Greg brought up some interesting points in his comments on yesterday’s article; primarily by noting that Trillions have been dumped in the economy with no positive return and without creating noticeable consumer inflation.

First of all, Greg was correct in that most of the money was nothing more than cookin’ the books for the banks and insurance companies resulting in massive bad debt being transferred from the rich and being placed on the tab for the future generations of poor to repay. This method of saving our wealthy brotherhood at the top of the food chain will create future inflation. We’ll talk about what future means in the context of months and years in a moment.

The money that the government borrowed from the taxpaying public to pay the bills for the auto companies is money that would have been paid out anyway had the auto companies not gone into default. Therefore, this expenditure of borrowed funds represents zero gain and creates no immediate inflation. This is referred to as the “pay now and inflate later” program.

While all of this mega bailout is occurring by virtue of borrow and print funny money from the Fed, it does not represent any capital going back into the hands of the public, which public is the absolute engine of U.S. commerce. Quite to the contrary in fact.

For the big banks, insurance, and auto companies to survive under the new reverse Robin Hood  government approach of stealing from the poor and giving to the rich, these companies fired thousands upon thousands of workers while at the same time asking the stock and stake holders to take BILLIONS UPON BILLIONS in losses.

George Bush and Barrack Obama set out to save a system that is mathematically fatally flawed. Temporarily rescuing this system of exponential growth has the downside of wiping out any possibility for the remaining Middle Class to survive.

In the mean time, it should be pointed out that every last dollar of all rebates and stimulus was obtained by borrowing the money. Companies who were far too broke to borrow another dime were rescued by a government who had to borrow every last dime of the rescue money.

Once more, none of this money found its way into the hands of the same public who the money is being borrowed from. And it would have been impossible to actually borrow this money from the people who are being asked to repay it…because they haven’t been born yet! Our existing population couldn’t pay the existing debt, let alone the $TRILLIONS in stimulus and other mal-spending.

To make this rescue plan even more interesting, the loans to the U.S. government are borrowed from foreign governments, primarily the Communist Chinese. Our government is purposely selling the future of America to the Communists.

At some point, the appetite for U.S. debt will wane and the chickens will come home to roost in the way of hyper-inflation. I’ll leave it to you to determine the date of that unfortunate juncture.

On a couple of other ditties, our president not so long ago signed a children’s health insurance bill into law that he promised to fund with rising tax on tobacco. Yesterday he signed the toughest anti-smoking bill in our history. Our president smokes ya know? It’s the tobacco company’s fault that he has lacked the resolve and willpower to quit. Mr. Obama has the metal to run America, but quitting smoking is beyond his abilities. My question is; who is going to pay for the health insurance now?

In other news today, it was reported that more than 800 people in the U.S. have purchased guns while being on the terrorist watch list which now encompasses some 400,000 citizens. In other words, they have never committed a crime or in any other way violated the parameters of a federal background check…but they might.

“Law-abiding Americans should not be treated like terrorists,” the NRA’s Chris Cox said. “To deny law-abiding people due process and their Second Amendment rights based on a secret list is not how we do things in America.” I vehemently disagree with Mr. Cox; that is exactly how we have done business in the United States after 9-11.