Iran - Developing News - Rumours about an Explosion at the Fordo Nuclear Facility

There are developing News out of Iran, as yet unconfirmed nor reported by the Mainstream News.  The Vitznau News has learned that on Monday, on Day before the Israeli Election, there was a huge Explosion at the Fordo Nuclear Enrichment Facility near the City of Qum in Iran, about 150 Km (90 Miles or so) South of Teheran.

This is a massive Facility used for Uranium Enrichment built deep into a Mountain and considered to be impenetrable to Bomb Attacks by Israel.  Israel has championed the Argument that Iran's Nuclear Enrichment Capabilities must be taken out since before the End of the (George W.) Bush Administration and throughout the Obama Administration.

The Facility has reportedly been cut off from the outside World and about 200 People are trapped or sealed inside.

More Details can be found (in German) at the following Site:

http://www.welt.de/politik/ausland/article113155950/Experte-meldet-schwere-Explosion-in-Atomanlage.html

(The Newspaper ,,Die Welt")

and, in English, at the following Site:

http://www.wnd.com/2013/01/irans-fordo-hit-by-explosion/

WND is an American News Website affiliated with the Right.

Whereas Stories which appear on various Websites such as WND sometimes turn out to be correct and sometimes not, usually, ,,Die Welt'' has a Reputation of publishing Stories which sooner or later turn out to have been accurate.



 

$ 60 Billion and Change (a Billion here, a Billion there)

New Jersey Governor Chris Christie has expressed Outrage at the House not taking up Hurricane Sandy Relief on the last Day of the 112th Congress.  He is right, of course.  To this, it should be added that neither had the Senate and, if the Bill would have been ammended to include Hurricane Sandy by the House, that would have meant the Bill would have had to go back to the Senate for Approval, prolonging the ,,Fiscal Cliff’’ Crisis by at least another Day; the 112th Congress may or may not have had the Time, the Ability or the Inclination to finish it all off.

Be that as it may, however, the Amount of Relief sought by another Governor for the Damages arising of Hurricane Sandy, Governor Andrew Cuomo of New York, was around $ 60 Billion.  Without assuming that the Figure estimated by Governor Cuomo is or is not correct, it should, nonetheless, be noted that the 112th Congress, in its waning Days, found it appropriate to legislate $ 67 Billion of Tax Credits (which is equivalent to a $ 67 Billion Treasury Shortfall, same Thing as an Expense, really...not getting the Money or spending it adds up to the same Thing under the Bottom Line) for various specifically targeted Corporate Taxpayers, including, of all Things, NASCAR.

http://usnews.nbcnews.com/_news/2013/01/04/16334798-fiscal-cliff-deal-includes-at-least-679-billion-for-special-interests?lite

It is a reasonable Question to ask, whether this Prioritising has been done in an equitable Manner; also, whether Governor Christie's Anger should not be directed at the Senate as well, for not including Hurricane Sandy Relief in the Legislation in the First Place but including $ 67 Billion in ,,Pork.’’

Elsewhere in this Column, it has been suggested that other Methods should be considered to finance the Rebuilding of the Hurricane Sandy Devastation; a Sales Tax on the Buying and the Selling of Stocks, an extremely profitable Industry which benefits the New York Tri State Area immensely and which is based in the Middle of the devastated Area.

It would also be beneficial, of course, for Governor Christie, yes, Governor Cuomo as well and all the Rest of us to also urge Congress to rescind the $ 67 Billion in Tax Credits (,,Pork’’) appropriated for NASCAR and other Special Interests; after all, the Treasury needs every Penny it can get.

The Social Security Tax - why it is a Regressive Tax and what Solutions are possible

One of the Tax Increases enacted or, more correctly, reinstated by the ,,Fiscal Cliff’’ Legislation is the additional 2% Social Security Tax.  This Tax was reduced from 6,2% to 4,2% by the Bush Tax Cuts; in one of the more bizarre Offshoots of the ,,Theory of Reaganomics,’’ take in less and pay out more, don't worry, as an old Sales Manager used to say, we'll make it up in Volume.

Of course, it doesn't work that Way but, then again, Economics was not Mr. Bush's Forté.  We don't know what his Forté was, actually, but certainly Economics was not one of them.

As a Result of this Action and previous underlying Actions, the Social Security Fund is facing a Deficit (Loss) of around $ 100 Billion in 2013; nobody knows for sure, really, but this Estimate is as good as any.  Reverting to the 6,2% Rate will alleviate the Problem somewhat but nowhere nearly enough.

Everybody who gets a Wage pays this Tax (matched by an equal Amount in Employer Contributions; the Employer Contributions Rate had not been reduced so it did not have to be revised - interestingly, no ,,Job Creation’’ Argument was made for that by the Bush Administration); however, the more interesting Part is that this Tax applies only to the First $110.000,00 or so of Income that everybody earnes; after that, one is home free; no 6,2% for Employee nor Employer.  This Policy, which interestingly, is not practiced by any other major Country which has a Social Security Type System merely exacerbates one of the most regressive Taxes imaginable.  Doubling the Social Security Tax Ceiling would eliminate 40-50% of the Annual Deficit and eliminating it altogher would allow for financing of Social Security and Medicare without straining any other Part of the Federal Budget.

Raising or eliminating the Ceiling would affect only that Part of Salaries in excess of $ 110.000,00 which would allow the Tax to become less regressive (although it would still be regressive) and bring a slight Modecum of Equity to the Social Security System as well as resolving another Piece of the Federal Budget and Deficit Dilemma.

The one Caveat would be, not to let the Clintons get Wind of this (admittedly, a hard Feat to accomplish) and throw the additional Revenues into the General Fund (as they did before), claim that somehow they ingeniously balanced the Budget and then leave for someone else after them the Task of straightening out the Mess once again.

The ,,Fiscal Cliff’’ and Hurricane Sandy

Good News!  The Fiscal Cliff Legislaton is a done Thing.  Well, not altogether done but at least the minimum necessary.  For about Two Months or so while still important Things need to be done; the Federal Debt Limit and those onerous Budget Cuts.

Some complain that $ 60 Billion or so of ,,Pork Provisions’’ got attached to the Legislation by various Interest Groups as the Price to pay for getting this Legislation done.  The Complaint is obviously legitimate.

Still others, Governor Chris Christie of New Jersey and, to a lesser extent but just as convincingly, Governor Mario Cuomo of New York point out that the 112th Congress, which has now become History, adjourned and ended its Session without taking up Aid for the Victims and Reconstruction of Hurricane Sandy.  Interestingly, that Appropriation would have come up to about $ 60 Billion as well.

What is being missed in the Equation that the United States Government is in dire Straits and does not really have the Money either for the ,,Pork Appropriations’’ nor the Money needed for the Reconstruction of Hurricane Sandy.

On the other Hand, the News of the Fiscal Cliff Avoidance Legislation was ,,cheered’’ by Wall Street, with Big Gains on 31 December 2012, anticipating that an Agreement would be reached and some Legislation would be passed and, immediately following, on 2 January 2013, celebrating the Event.

Governor Cuomo should be thinking about and Governor Christie as well as President Obama should be suggesting to him that one look elsewhere to raise this direly needed Money from a minuscule Sales Tax levied on Stock Market Transactions of 0,1% or even 0,2%.  This would raise the Money for them very quickly, from a locally owned Institution which is controlling Trillions of Dollars and give the Federal Budget a welcome and much needed Relief.

One should be keeping in Mind that the Stock Market has been an enormous Beneficiary of Federal Largesse; propping up Corporations such as AIG and General Motors (the ,,New’’ General Motors, whatever that means) and, not the Least, the unbelievable and unheard of Policies of ,,Quantitative Easing’’ which have been pursued by the Fed under the Ægis of Mr. Bernanke.

The Federal Government needs to look for Economies wherever it is possible; even with increased Tax Rates, this comes nowhere near close to starting to make a Dent in the Federal Deficit (it actually allows it to continue to worsen), Governor Christie and all others should be looking for Revenues right in their own Back Yard.

The Address of the New York Stock Exchange is, as Mr. Christie surely knows,

No. 11 Wall Street, New York, N. Y. 10005.
Telephone:  1-212-656-3000

 

1 January 2013 The ,,Fiscal Cliff’’

Folks,

As you let the Bubbly flow for the New Year 2013, as you listen to President Obama saying ,,A Deal is within Reach,’’ as you try to make sense of all this,

Forget about Reaganomics,
Forget about Clintonomics,
Forget about Bush whatever ,,Nomics’’ (Bush, George W., not Bush, Herbert G. W.)
Forget about Obamanamics,

what these Guys are doing is just not fair.

You cannot have, one cannot have, this Country cannot afford what George Herbert W. Bush called what all this actually is, what he called it, by its real Name:

,,Voodoo Economics.’’

Simply put, you cannot lower Taxes, go to War in two Countries, engage in Bailouts of astronomic Proportions, attempt to get out of the most severe Recession since the Great Depression (which no one dares call a Depression) plus do all of the ,,Regular Government Business’’ and allow the Stock Market to go up to 13.000 Points due to, among other Factors, Tax Cuts, Wholesale Tax Loopholes and the Largesse of the Federal Reserve Bank, a Policy which Mr. Bernanke calls ,,Quantitative Easing.’’

Write or call your Senator.  Write or call your Congressman.  Inform The White House of what you think, regardless of whether you agree with the Opinions or the Policies advocated here.

No Matter how much the Members of Congress and the President are getting paid and they are getting paid more than most Americans, their Inability, Unwillingness or Failure to deal with this Issue in a fundamental Manner, other than the Quilt Patchwork Approach which has become ,,Modus Operandi’’ they are, measured by any Corporate or other Performance Standards, getting paid too much.

Remember, any Announcement of a Deal being reached is premature and not really indicative of what is happening.  Assuming the Deal to let the Bush (George W.) Tax Cuts expire for those earning more than $ 400.000,00 and $ 450.000,00 respecdtively, along with the indispensable Social Security (Payroll) and Inheritance Tax Increases, there are still enormous Issues ahead:  ,,Sequestration’’ and increasing the Debt Ceiling Limit.

Write.  Write today.  Write tonight.  It could be the most important New Years' Message or Resolution you have made.