Commentary: The Big Divide

Man looking out window

Whether the economy is currently bubbling along or facing a slowdown, a slow-motion disaster is about to create a real crisis for the government, our future politics, and the shrinking middle class. Half of households have no retirement savings.

This is just one of many shifts in the economy that reflect the declining fortunes of the middle class. Wages have remained mostly flat for most workers—particularly those without a college degree—since the early 1970s. Recent high rates of inflation further cut into the ability of the self-identified middle class to make ends meet. But the biggest change has been the abolition of employer-provided pensions and their replacement with rickety and self-managed 401k savings plans.

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Google Threatens to Demonetize Wall Street Watchdog as GOP Targets Ad Collusion

Wall Street Bull

Google’s artificial intelligence isn’t particularly bright when it comes to evaluating publishers’ compliance with its advertising policies, if the experience of a heterodox economics blog with outsized influence is any indication.

With a megaphone from Twitter Files journalist Matt Taibbi, both darlings of progressives in the “Occupy Wall Street” era, Naked Capitalism accused Google of making “flagrant errors” in its threats to demonetize the 18-year-old site for verboten content.

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Commentary: The Financialization of Nature

Power Plant Money

Financialization: “A pattern of accumulation in which profit making occurs increasingly through financial channels rather than through trade and commodity production.”
– Greta Krippner, Economic Sociologist, University of Michigan

There are plenty of examples of how America’s economy shifted from a production-based economy to a financially-based economy over the past forty years. Starting around 1980, with the economies of post-World War II Europe and Japan fully rebuilt and roaring, and emerging Asian economies turning into powerhouses of manufacturing as well, America chose financialization as an alternative to rising up to meet the competition.

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As Inflation Worries Investors, Wall Street Is Buying Up American Soil

Wall Street is moving to buy up U.S. farmland in hopes that it will be a safe bet to hedge against inflation and concerning economic conditions, according to Reuters.

Investment funds have accumulated over a million acres of farmland in the U.S., a small part of the 900 million acres in the U.S. but significant for the market when looking at the pace of acquisitions, according to Reuters. The move from investors is drawing the concern of some, including lawmakers, who see the quick constraint on supply as a barrier for the next generation of farmers who can’t buy at the elevated price.

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Nikki Haley Meets with BlackRock CEO Larry Fink, Other Wall Street Elites

Nikki Haley

Former U.N. Ambassador Nikki Haley met with several Wall Street executives in a series of events Tuesday in her bid to be the Republican nominee for president, according to the Financial Times.

Haley attended a small meet-and-greet breakfast in New York where CEO of BlackRock Larry Fink was in attendance, followed by a fundraiser later in the day co-hosted by Gary Cohn, former president of Goldman Sachs, according to the FT. BlackRock has been criticized by conservatives in recent years for its adoption and promotion of Environment, Social and Corporate Governance (ESG) policies, which aim to invest in companies based on their commitment to social and environmental causes.

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Economy Added 339K Jobs in May, Nearly Double Wall Street Expectations

U.S. employers have added roughly 339,000 jobs in May, and the monthly unemployment rate rose to 3.7%, from a five-decade low of 3.4% in April, according to a Labor Department report released Friday.

Average hourly earnings rose 0.3% for the month while on an annual basis, wages increased 4.3%, which was a 0.1 percentage point under the estimate.

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Biden Admin in Talks to Potentially Bail Out a Third Bank: Report

The U.S. government is considering backing a potential deal to rescue the struggling First Republic Bank, in a bid by U.S. officials and Wall Street executives to head off the chance of a third major bank failure, Bloomberg reported, citing people with knowledge of the discussions.

Wall Street investors have expressed an interest in helping stabilize the struggling San Francisco-based bank, which has been selling assets — which lost value amid the Federal Reserve’s aggressive campaign of interest rate hikes designed to combat inflation — to pay out a surge in customers pulling their funds from the bank, according to Bloomberg. While the extent of government aid has not yet been decided, the government could cover the cost of First Republic’s losses or offer liability protection to companies involved in a deal.

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Commentary: FTX and the Root of Our Financial Crisis

Both liberal and conservative commentators, whether talking about the Great Recession, the financial collapse and bailouts of recent vintage, or now the FTX cryptocurrency Ponzi scheme, have neglected the cultural and moral reasons for these repeated episodes of economic mess and criminality. Unless those causes are addressed, all the finger pointing and proposed “solutions” will be about as helpful as putting a bandage on a tumor. 

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Wall Street Is Freaking Out About One Major Recession Indicator

Wall Street investors and economists are sounding the alarm over a yield curve inversion, one of the most reliable indicators that a recession is coming, according to The New York Times.

The yield curve inversion, or when two-year bonds have a higher return than ten-year bonds, hit its largest spread yet on Wednesday, sending investors into a panic, according to the NYT. Economists and investors see this kind of inversion as a negative omen for the economy, and every recession in the U.S. in the last 50 years has been preceded by a yield curve inversion.

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GOP Calls Out Biden’s Attempt to Impose a ‘Green New Deal’ Through Wall Street Regulation

A group of 40 House Republicans sent a letter to the Securities and Exchange Commission (SEC) Monday, urging the agency to rescind a regulatory proposal forcing companies to disclose “climate-related risks.”

The Republicans, led by House Oversight Subcommittee on Environment Ranking Member Ralph Norman, slammed the financial regulator, saying it exceeded its congressionally-mandated authority in issuing the climate rule, in the letter obtained exclusively by the Daily Caller News Foundation. The lawmakers added that the rule was especially inappropriate given the ongoing energy crisis.

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The John Fredericks Show: Dr. Oz Versus the Gangster Banksters

Live from Virginia Friday morning on The John Fredericks Show, host Fredericks welcomed US Senate Candidate for Pennsylvania, Dr. Oz to the show to discuss his opposition and natural energy in the state.

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Schweizer: The Titans of Wall Street Are Among China’s Closest American Allies

TRANSCRIPT: McCabe: One of the great ironies in investigative journalist Peter Schweizer’s new book Red-Handed is the degree to which the Chinese Communist Party has infiltrated the very heart of American capitalism on Wall Street. Schweizer told The Star News Network that the titans of Wall Street are among China’s…

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Schweizer: BlackRock CEO Larry Fink, Other Wall Street Leaders Partner with Chinese Coal, Military Enterprises

The investigative journalist and author of Red-Handed: How American Elites Get Rich Helping China Win told The Star News Network the titans of capitalism on Wall Street are now the partners of the Chinese Communist Party.

“What China wants from Wall Street is access to Western capital with no questions asked, and unfortunately the biggest fans on Wall Street are prepared to give it to them,” said Peter Schweizer, who is the president and founder of the Government Accountability Institute and the host of The Drill Down podcast.

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Woke Investment Firm Will Require Approval to Hire White Men

Cyrus Taraporevala

According to several Sunday reports, one of the world’s largest investment firms has set strict guidelines on when white men can be hired in a new diversity initiative. 

State Street Global Advisors will require leaders to seek approval before they hire white men, according to Fox Business. 

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