The foundation of the neofeudal economy is this: the right of ownership still exists in name, but the actual ownership of political and financial power is concentrated in the hands of a few.
The core of American liberty is widespread private ownership of property. The Founding Fathers were quite clear on the necessity of protecting private ownership from encroachment by a covertly created monarchical Empire or a financial Aristocracy.
The original crime at the front of the securitization process is creating "non-property." The loss of the legal paper trail of title transfers, note transfers, country property transfer registrations in the rapid performance of mortgage securitizations is further sidestepped by focusing attention on the foreclosure procedural irregularities at the end of the process.
The creation of "non-property" at the front of the process necessarily creates the additional requirement of additional fraud at the end of the process: foreclosures.By extending the forgiveness of what should be prosecuted as fraud (what has been deemed mere malfeasance deserving of a picayune civil fine), the Status Quo hid the original crimes of rapid securitization that destroyed the legal status of property. The biggest crime in American History is about to end the process of "sweeping" the original crime under the rug. The crime is the destruction of the legal standing of property, fully at public expense, and its ultimate accumulation in the Executive Branch for "redistributive" disposition, again at the full expense of the public. Dodd/Frank only has extended the efficiency of the complicated process of theft, and further solidified the nature of its very permanence.
The focus on the disappearance of mortgage titles is at the foreclosure end, and not at the front end of the securitization process where the titles disappeared on a system wide basis. Robo-signing is a fraudulent result of the original crime, not recognized or treated as a crime, but as a civil offense worthy of a paltry fine.
The robo-signing settlement will further solidify mortgage securities formation in the future, with civil penalties for malfeasance reduced to a minimized cost of continuing the process.
Though the the Consumer Financial Protection Bureau (CFPB) has been sold as a consumer protection agency, it is fundamentally a rogue agency operated within the Federal Reserve
The CFPB is mentioned as having undefined scope and extensiveness of powers, immune from real Presidential or Congressional oversight, having essentially full, autonomous power within the Federal Reserve to do what it wants, when it wants, in the full comfort and safety of the Federal Reserve itself. The CFPB can buy, borrow on and take security positions in failing and failed banks. What a deal
This harks back to a pre-crisis specialty: get rid of supposedly outdated regulation, but create no new limits or powers to keep things from blowing up.
I conceive, therefore, that a somewhat comprehensive socialisation of investment will prove the means of securing an approximation to full employment. But beyond this no obvious case is made out for a system of State-Socialism which would embrace most of the economic life of the community.
One of the central characteristics of highly unequal societies is that two sets of laws develop: One set for the rich and powerful and one set for everyone else. The more unequal societies become, the more easily they accept the unacceptable, and with each unrebuked violation, the powerful actors at the top of the society gain an ever greater sense of entitlement and an ever greater sense that the laws that govern everyone else don’t apply to them. As a result, their behavior becomes increasingly egregious.Yale’s Robert Dahl, one of the preeminent political scientists of our era, wrote in 2006 in On Political Equality (Yale University Press) of the risks of rising economic inequality, which is inevitably accompanied by political power which also concentrates at the top of the society:
“The unequal accumulation of political resources points to an ominous possibility: political inequalities may be ratcheted up, so to speak, to a level from which they cannot be ratcheted down. The cumulative advantages in power, influence, and authority of the more privileged strata may become so great that .. a majority of ordinary citizens…are simply unable…to overcome the forces of inequality arrayed against them.”
“It’s hard to find a private-equity firm on the planet that doesn’t have a strategy in this space,” Gary Beasley, chief executive officer at Waypoint Homes, said last week at the American Securitization Forum’s annual conference in Las Vegas. The Oakland, California-based company has bought homes in California, Arizona, Illinois and Georgia.
RIP: Our Expansionist Central State (23 Minutes, 25 Slides) CHS with Gordon T. Long:
Things are falling apart--that is obvious. But why are they falling apart? The reasons are complex and global. Our economy and society have structural problems that cannot be solved by adding debt to debt. We are becoming poorer, not just from financial over-reach, but from fundamental forces that are not easy to identify or understand. We will cover the five core reasons why things are falling apart:
1. Debt and financialization
2. Crony capitalism and the elimination of accountability
3. Diminishing returns
5. Technological, financial and demographic changes in our economyComplex systems weakened by diminishing returns collapse under their own weight and are replaced by systems that are simpler, faster and affordable. If we cling to the old ways, our system will disintegrate. If we want sustainable prosperity rather than collapse, we must embrace a new model that is Decentralized, Adaptive, Transparent and Accountable (DATA).
We are not powerless. Not accepting responsibility and being powerless are two sides of the same coin: once we accept responsibility, we become powerful.
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