Obama's Mortgage On Mayhem
June 22, 2011 by John Myers
Almost all of Afghanistan’s economy is supported by foreign aid, most of which comes from the United States. We have a President who is borrowing money from a potentially much larger enemy, China, to finance foreign wars against Islamic countries who hate us.
According to The World Bank, 97 percent of Afghanistan’s gross domestic product is “derived from spending related to the international military and donor community presence.”
Afghanistan’s government has annual revenues of only $2.5 billion, but the cost of funding its security forces alone is estimated at between $6 and $8 billion. Yes, it sounds like Afghanistan runs its budget the way Washington runs ours.
The United States has spent $18.8 billion on aid to Afghanistan in the past decade. According to a report released by the Senate Foreign Relations Committee, without proper planning, “Afghanistan could suffer a severe economic depression when foreign troops leave in 2014 unless the proper planning begins now.”
I have news for those Senators. Afghanistan is already suffering an economic depression. Trying to prove differently will only further bankrupt the United States. (President Barack Obama plans to announce today further troop withdrawals from Afghanistan.)
Afghanistan is a corrupt country that hates our Christian guts and has zero prospects for advancing beyond the Stone Age. Afghan President Hamid Karzai is at best a drug addict and at worst a jihadist in sheep’s clothing.
According to the newspaper The Chronicle Herald, Karzai is no better than Moammar Gadhafi: “Since the tampering and corruption of the August 2009 presidential elections in Afghanistan failed to produce a legitimate result, the Hamid Karzai regime, like Gadhafi, has no legitimate democratic mandate.
“Karzai remains in power simply because he was the chosen candidate of the U.S. in the first place. The notorious Northern Alliance warlords who constitute Karzai’s cabinet are known to have committed numerous war crimes, and some continue to preside over narco-criminal drug enterprises, yet they remain unindicted (sic) for the simple reason that NATO needs their authority to run the country.”
The only booming businesses in Afghanistan are terrorism and opium. Their heroin is smuggled onto our streets, turning cities into slums and destroying American values.
Furthermore, Karzai has implemented Sharia law, including a 2009 law which makes it legal for a husband to rape his wife. Under the law, if the wife won’t comply with her husband’s advances, it is OK to starve her. And if you think a Ben Franklin-type person is about to spring forth in Afghanistan, think again. It is a crime punishable by death for a citizen to convert to Christianity.
According to Pacific Free Press, there were 96,900 U.S. troops and 87,483 supporting contractors in Afghanistan at the end of last year. That means there are almost 200,000 Americans backstopping a country rife with extremists.
Still, the Administration of President Barack Obama seems to have no immediate plans to pull out of Afghanistan.
As reported by Pacific Free Press, a Public Broadcasting Service reporter said: “An executive at a small defense contractor recently joked to me, ‘Afghanistan is our business plan.’ I asked him what he would do if the war ended. He stared at me for a moment and said, ‘Well, then I hope we invade Libya.’”
For the military industrial establishment, things are turning up roses. If some people in the Obama Administration get their way, there will be boots on the ground in Libya.
And it is not stopping there. On June 8, The New York Times reported that the Obama Administration has intensified the American covert war in Yemen. It seems Obama has never met a war he didn’t like. He has almost the whole alphabet covered, from A to Y (Afghanistan to Yemen). South Africa’s Zulus better be on alert.
Borrowing From Peter To Kill Paul
And where exactly is the money coming from to fight all these wars against Islam? Financing much of this fighting is China, which continues to buy U.S. Treasury bills, notes and bonds. It is an ingenious way of doubling down on America’s impending ruination.
The United States has a national debt of $13 trillion. How does a bankrupt nation keep fighting foreign wars? It borrows money.
China holds almost $1 trillion of Uncle Sam IOUs. It is the country with the most to gain from America’s grand decline.
In a column on Digital Journal, freelance writer Kelly Bowlin wrote: “Let’s put things in perspective. The U.S. has hit its debt ceiling. This comes as bad news, because we’re currently fighting 3 un-winnable wars.”
One of the few people who seems to understand and has a vote in Congress is Presidential candidate Ron Paul (R-Texas).
Paul is one of six members of the House of Representatives who released a letter earlier this month calling for a reduction in U.S. military spending by scaling back U.S. military commitments and reconfiguring the country’s global military strategies.
Paul said Congress “cannot be serious about reining in federal government spending if we take the military budget off the table. We must focus our resources on defending the United States rather than on building and maintaining an unsustainable trillion-dollar empire overseas.”
I commend Paul for his efforts, but I fret they amount to calling a Roman water wagon while Nero was plucking his fiddle. America’s financial situation is in extreme peril because of decades of bad policies. Obama is only making matters worse.
The end result will be the continued devaluation of the U.S. dollar and a bear market in dollar instruments. The U.S. economy is again staggering, and the Dow Jones Industrial Average is clinging at 12,000.
Action to take: Expect a summer of discontent at home and abroad as well as in the financial markets. Keep your investments in real assets, either with physical precious metals or with carefully chosen equities that own real assets such as gold, silver, oil and gas.
Yours in good times and bad,
Editor, Myers’ Energy and Gold Report