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Recession ends, depression begins



Columnist: Phillip Tilley Posted on Saturday, 20 February, 2010 | 28 comments Columnist:

Article Copyright© Phillip Tilley - reproduced with permission.

[!gad]Roman poet Pathos wrote, “Things are not always what they seem. The first appearance deceives many. The intelligence of the few perceives what has been carefully hidden.” We are told the recession is over, but the corrupt numbers the government uses to make such declarations do not match the facts. Thus, as Pathos wrote, many of you are at first deceived. Many of you want to believe the deception and that is the backbone of the money matrix.Jackson Brown in his song “The Pretender” says, “I’m gonna be a happy idiot and keep working for the legal tender.” Lauran Tara LaCapra in her January 12, 2010 article for MSN Money titled, “The misleading decline in consumer debt,” concludes, “Essentially, our finances are wrecked, and the average household doesn’t seem to have learned much.”Consider the national debt is $12.3 trillion as of December 2009. The government says GDP (gross domestic product) was $15.7 trillion. That means the national debt by official numbers is about 79% of GDP. A private ratings company, Fitch Ratings, estimates that by the end of 2010 it will have risen to 89% and by the end of 2011 to 94%.In my article “2012 and the Economy” I pointed out that complete collapse of the economy is likely to occur around the Mayan calendar date of December 21, 2012. If the trend in National Debt to GDP continues it will reach 100% by the end of 2012. I do not believe in coincidences. Remember, this is based on the numbers the government gives us to work with if they are accurate. That would mean if the government took 100% of your earnings in a tax to pay the National Debt you would be left with nothing. But truly there is no money so you have nothing now outside the money matrix!According to an Associated Press article dated February 1, 2010 titled “Joblessnes not easy to reverse,” most analysts, (The International Monetary Fund and The National Association for Business Economics) say economic activity will grow at only 2.5% to 3% for 2010. Growth would have to equal 5% for all of 2010 to drop unemployment by one percentage point to 9%. Also the Federal Reserve and outside economists “think” it will take until 2016 to lower the double digit jobless rate to 6%.The December 2009 unemployment rate was officially 10%. The government in February 2010 said they underestimated the unemployed in the final week of Dec. 09. Instead of 85,000 jobs lost it was 150,000 jobs lost, but they did not revise the 10% number up to 10.1% to reflect that. Then with more jobs lost in January they claim the unemployment rate dropped to 9.7%.How do you lose more jobs and have the unemployment rate go down? The numbers do not match the facts. Consider economist John Williams at “Shadow Government Statistics.” He calculates the consumer price index the way the government used to before 1980, and the unemployment rate the way the government did before 1994. According to Williams figures, inflation is not at 3% as the government claims, it is closer to 8.8%. Any house wife knows that already. Unemployment is not 9.7%, it is closer to 21%, housing starts are “statistically not different from zero.”Add to that the fact that on Christmas Eve 2009, the Treasury lifted the limits on bailout funds to help failed mortgages at Freddie Mac and Fannie Mae for the next three years. It is estimated that over the next three years an additional $5 trillion in mortgage backed securities will fail to go with the $3 trillion in debt both companies already owe, putting $8 trillion more on taxpayer liability. That would put the National Debt at nearly $25 trillion by December 2012, double the GDP. You would have to work two years and give 100% of your earnings in tax to the Federal Government to pay the national debt.There is no money, the nation is already bankrupt and as Pathos said, “The first appearance deceives many.” If the recession is over we are not in recovery, the depression is just getting started. Wake up people, the money matrix has you!Phillip Tilley is author of The Money Matrix of the New World Order and other articles.