The USEconomy is entering a critical phase of rapid deterioration. Recession is gathering momentum, noticed in a decline for Q1 Gross Domestic Product. The deficit will rise for the USGovt, probably way past $1 trillion per year. The dependence upon USFed bond monetization will become more acute, as higher bond purchase volume will urgently press forward with QE4, fully applauded. The systemic breakdown is beyond the critical failure point, as no repair or remedy can be installed at this point. The opportunity to liquidate the big banks and move toward a Gold Standard has long passed. The thesis of broken economy is not central to the Gold market, but it will prompt a decision to let go the USDollar. Chaos should begin to arrive before the end of the year.
## ECONOMIC BREAKDOWN
◄$$$ SOME SUCCINCT COMMENTARY BY JOHN WILLIAMS OF SHADOW GOVT STATISTICS... USECONOMY IS ON THE EDGE OF DISASTER, AS THE USDOLLAR IS ON THE BRINK OF COLLAPSE... GOOD GRIP ON MICRO ECONOMIC DAMAGE, BUT MISSING A KEY MACRO FACTOR DURING THE USECONOMIC DOWNTURN... HE WARNS OF USDOLLAR REJECTION CAUSING RAMPANT PRICE INFLATION, A CORRECT VIEW... HE STRESSES THE USFED FULL SUPPORT (ONLY SUPPORT) IN THE MAIN PROP MECHANISM FOR BANKING SYSTEM WILL INDUCE FOREIGN CREDITORS TO SELL THE USDOLLAR IN A GRAND CLIMAX REJECTION. $$$
Williams of the Shadow Govt Statistics expert data analysis depot said, "Starting with the recession that started with the end of 2007, in reality it was more of a plunge and then stagnation. What we are seeing is we have been stagnant and bottom bouncing and maybe a little bit higher, but we are turning down again. The reason for this is the consumer is strapped and does not have the liquidity to fuel growth in consumption. Median household income, net of inflation, is as low as it was in 1967. The average guy is not staying ahead of inflation. For decades, you could get consumption from the future by borrowing more money and expanding your debt. That all blew apart in 2007 and 2008. Now, you do not have the ability to borrow money the way you used to, and without that, there is no way consumption can grow faster than the rate of inflation. There is no way you can have positive sustainable growth in the economy without the consumer being healthy. It is just not going to happen." Excellent chatty perspective on the household strain, where home equity is no longer in reach for capital raid to convert to consumption and general living expenses, or even small luxuries like education or medical costs. He hits the micro-economic nerve at the household level. The Jackass does not subscribe to the entire consumption theme of a healthy economy as Williams does, preferring investment and saving.
In spite of these solid insights, Williams misses the macro element of the QE bond monetization destroying capital through hyper inflation. The QE action invites a global response, which raises costs, reduces profits, and retires capital when businesses shut down. The cumulative effect is being felt after three years of the monetary policy, with its acidic effect on capital. The effect wipes out jobs in large swipes. Complement his bleak micro view with this parallel gloomy macro view.
Williams refers to price inflation slamming the USEconomy. He said "As the renewed downturn gains wider acceptance or wider recognition, that will intensify the selling pressure. When someone starts selling, it is going to be a race for the door. I am looking for a dollar selling panic to be the trigger for the onset of hyper-inflation. What we are seeing in inflation now is a pickup in inflation, but it is not a hyper-inflation. Massive dollar selling, that will be the trigger for the hyper-inflation." Agreed. One must recall that for two years, Williams has been calling for rampant price inflation as a consequence of QE bond monetization abuse. The Jackass disagreed all along the way, and was correct. My forecast has been for no strong price inflation until the USDollar experienced global rejection, until the USD was to lose its global reserve currency status, until the Petro-Dollar was displaced in oil sales patterns. The timing has arrived on these criterion conditions.
The Wall Street firewall to contain the monetary abusive creations have been effective. The benefit has been 95% big bank, the rest of plebeians given crumbs. These negative events have finally begun, and thus, the USEconomy is about to succumb to strong price inflation from the CURRENCY CRISIS, not the monetary inflation theme. Williams must have read the Jackass analysis. However, keep in mind he is one of the good guys, and an extremely adept valuable contributor to solid data analysis where an accurate picture of reality is created. His data is highly valuable, and full of integrity. His forecasts have been off, but many analysts have misread the price inflation picture as they ignored the firewalls to keep the excess money created within the banking sector for bond redemption and derivative coverage. In no way could the backdoor Wall Street bailout cause systemic price inflation. The Main Street rotted while the Wall Street was on the public dole, plus the private USFed gift loan parade.
On the budget deficit, Williams predicts an explosion of USGovt debt. He said, "All the projections on the budget deficit are based on positive economic growth going forward. With the ongoing contraction, you will see a much worse budget deficit. It is going to do bad things to the banking system. The Fed is going to be easing, and they will say they are easing to stimulate the economy. But in reality, they will be doing this to prop up the banking system. The rest of the world sees this and they will not want to hold the dollar. [USTreasury Bond creditors] will sell off the dollar. The Fed is going to have to come in and prop up the system until it falls apart." He is forecasting much more QE bailouts and bond support. Williams describes the USFed mavens as liars, without calling them such. Despite Taper Talk, the Yellen Fed will amplify QE bond buying volume. The USTBond creditor investors are going to reject the USDollar on an accelerating basis, when it is clear that the USFed is the only buyer, the buyer of last resort, along with its proxies like the Bank of England, the Euro Central Bank, and the Bank of Japan. The global rejection of the USD practice of profound debt abuse and phony money will accelerate, when the QE volume is exposed as growing exponentially. It will hasten the death of the King Dollar, the demise of the Petro-Dollar, and the rise of the Chinese Yuan as temporary trade settlement vehicle. The Yuan and its broadbased Swap Facilities planted in over a dozen important trading nations will be a stepping stone to the more permanent Gold Trade Standard installation. See the Williams interview on the USA Watchdog (CLICK HERE).
Some off the cuff quick remarks. The US is mired with a gross imbalance in production versus consumption, in capital raids instead of business formation, in more public dole aid rather than induced business formation, in accepting falsehoods of USFed stimulus rather than comprehending the reality of the destructive central bank. The US is a consumer economy caught in a downward spiral. It is a welfare state that has forgotten the essence of capitalism and its benefits of wealth creation toward a sustained standard of living. It is a nation of prevalent bond fraud that is protected by banker pawns in government. It is a killing field of QE dependence and USFed recklessness. Its industry large and small urgently needs capital expenditures on a prevalent basis. Its banks are grotesquely dependent upon narco money, unwilling to lend to a crippled business sector. The banks are steeped in speculation, not in commercial enterprise. The nation will enjoy a renaissance in re-industrialization. But it will happen as an archipelago (gulag) of Chinese industrial parks, which expands later into a broadbased capital expansion with Chinese task masters and bilingual general managers. The death blow comes from the inevitable USDollar split. The foreign creditors have demanded an end to USDollar abuse and its debasement by the USFed. The launch of Scheiss Dollar will cause the big US domestic problems, due to heavy devaluation. The Jackass has frequently warned of price inflation (from import effect), of supply disruptions (from dubious letters of credit), and of violence at key spots (food markets, fuel stations, cash ATMachines).
◄$$$ US-BASED BUSINESSES ARE BEING DESTROYED FASTER THAN THEY ARE BEING CREATED... A SHAMEFUL TURNING POINT HAS BEEN REACHED... THE CAPITALIST SPIRIT IS DYING IN THE UNITED STATES. $$$
The USEconomy is less entrepreneurial now than at any point in the last three decades. The nation has forgotten the essence of capitalism, looking more toward federal handouts than passion to start a viable business. Minorities, jobless, and dispossessed voted for Obama in huge majority numbers. The conclusion of a new study out from the Brookings Institution is disturbing, the calculations taken from US Census Bureau data. A trend is revealed that supports the Jackass Third World theory. They analyzed the rates of new business creation and destruction since 1978. The trend is down for newly formed companies, and in the last few years, the trend is up for wrecked companies. A crossover event has occurred, significant in nature. During the most recent three years of the study (2009, 2010, 2011) businesses were collapsing faster than they were being formed, a situation never remotely encountered. The new businesses creation (measured as the share of all businesses less than one year old) has declined by about half from 1978 to 2011. The report authors stated boldly, "If the decline persists, it implies a continuation of slow growth for the indefinite future." This lack of economic dynamism, particularly the steep drop since 2006, does not indicate a weak recovery or a stubborn recovery. It indicates zero recovery and a chronic powerful recession that has gripped the nation. When it comes to luring new businesses to a given state, they cited a lot more factors at play than simple corporate tax rate differences. See the Washington Post article (CLICK HERE).
## PAST HOME EQUITY DRAINAGE
◄$$$ RAIDING 401K ACCOUNTS HAS REPLACED HOMES AS AMERICAN FRACTURED PIGGY BANK FOR RAID PURPOSES... DESPERATE TIMES, SINCE THE HOMESTEAD INFLATION HEDGE HAS BEEN WRECKED. $$$
The USGovt collects 37% more money versus 2003 from penalties linked to early withdrawals in 401k accounts. In contrast, the volume of home equity loans outstanding was $704 billion in 2013, down 38% from the 2007 peak. The explanation is as simple as tragic. The households of America no long have access to the home equity for cash raids on loans, since the home equity has vanished. In past cycles, up to year 2007, they had access. As people scoured the cupboards and pantries to see what could be raided, they found personal pension funds. The public has been systematically draining their pensions, such as the IRA and 401k. The data is taken from the US Federal Reserve, adjusted for inflation. The nation is fast running out of piggy banks to fracture and claim for meeting ordinary living expenses, in many cases. See the Bloomberg article (CLICK HERE). Next might be organ donation, like the spare kidney or bone marrow.
◄$$$ LOWER RATES DO NOT BOOST MORTGAGE APPLICATIONS ON HOME PURCHASES... NO RECOVERY THERE... MONETARY POLICY IS NOT STIMULUS... SUBPRIME CAR LOANS & STUDENT LOANS ARE RAMPING UP, HARDLY EVIDENCE OF CONSUMER STRENGTH. $$$
A very scary sign of just how weak the USEconomy can be seen, during what is typically the busiest season in March, April, May months. Home sales precede summer vacation time. Applications on home purchases fell 3% week over week, despite the ultra-low mortgage rates, now at their lowest levels since November. Not even crazy low home loan rates can revive the moribund housing market. It can only find a lift from private equity tranched large scale purchases, which the Jackass expects will go back on the market when the Wall Street fund white glove investors realize their portfolio has tenants without payments who trash the houses and even shoot at the Repo Man. The 30-year mortgage rate is 4.19%, the 15-year rate 3.25%, and the ARM rate is 3.23% on adjustables. See the CNBC article (CLICK HERE).
The Zero Interest Rate Policy is not stimulus, but rather a wet blanket on the USEconomy. With no reward given to savers, the result is reduced flow of funds at a macro level. Worse, QE means capital destruction with shrinking profit margins. Household debt has doubled, as strains come from lower income and inability to raid home equity to cover expenses. Ally is the reborn GMAC after bankruptcy, a big player, or perhaps predator. The reckless underwriting of car loan debt and the nightmare of student loan debt continue. The subprime parade marches on, the newly grown cancer sore. No recovery visible anywhere on the American landscape or horizon. See the MyBudget360 article (CLICK HERE).
## LABOR MARKET QUANTUM DECLINE
◄$$$ SHOCKINGLY BAD US-JOBS DATA IMPUGNS ANY HINT OF RECOVERY... CALLS FOR LESS USFED TAPERING AND MORE TOXIC ELIXIR WILL COME... FIRST QUARTER ECONOMIC SLUMP IS LOOKING UGLIER BY THE DAY, THE DISTORTED GDP DOWN BY 0.1% IN A SLIDE (THUS A MINUS 4% RECESSION IN REALITY). $$$
The USEconomy has delivered two minor shocks in a single week. The consensus points to bond buy tapering by the USFed as doing more damage than expected. The Jackass looks from a bigger perspective. The past QE, QE2, Operation Twist, and QE3 have together caused magnificent capital damage, deep capital destruction to the USEconomy, widespread harm to the business sector. Profit margins have shrunk badly. The myopic short-term view might be centered upon QE Taper, but the more important damage is from the almost four years of caustic corrosive hyper monetary inflation which the Fed High Priests and their gaggle of admirers refuse to acknowledge. QE killed the USEconomy with final blows after lost industry and consumption based upon the housing & mortgage bubbles gave the USEconomy a knockout blow. Two economic data reports were dismal. The Non-Farm Payrolls data showed a workforce that shed 806,000 jobs in April, a stunning drop. In no way can bad weather or product cycle shifts or presidential campaigns or summer daze or dog ate homework argument apply any longer. The USEconomy is in free fall from absent industry, capital wrecked by QE programs, broken credit engines, bloated government, bank fraud, and excessive wars. This is what systemic failure looks like.
The second shock came from the GDP growth data. Even with exaggerated doctored gimmicked growth, the 1Q2104 registered estimate on GDP growth was negative 0.1%, well below the inane Fed Stall Speed indicator designed for morons by quacks. If a competent analyst would factor in the 6% or 7% price inflation, and not use the official 2% CPI (or deflator), then the GDP would show more reality, as in a minus 4% or 5% recession. The cast of clueless official economists prefer to call inflation as growth, a handy device. They call the QE as stimulus when it causes capital destruction. They claim the unemployment is declining, when workers fall off state insurance rolls. They call the economy in sluggish stubborn low growth, when it is stuck in chronic powerful recession.
John Williams summarized briefly, "We are turning down. The first quarter should be revised to negative territory. I believe the second quarter will be reported negative as well. That will happen by July 30th, when you have the annual revisions to the GDP. In reality, the economy is much weaker than that. Generally, when you adjust for inflation and you use too low of a rate for inflation, that overstates the economic growth." Exactly, as in inflation incorrectly and deceptively called growth, to justify bad policy across the spectrum. The bogus lift to GDP growth is consistently about 5% in error (equal to bogus CPI error), enough to turn sluggish growth into a notable recession. With gimmicked small recession numbers, we can interpret a powerful downturn and grand gripping nightmarish recession having begun to sink its teeth into the gut of the nation, precisely when the USDollar is about to be rejected on a uniform global basis.
The headline unemployment rate fell to 6.3%, but that was only because the labor participation rate plummeted back to a modern era low of 62.8% rate. To count those without jobs as unemployed is illegal in economic labs. The United States claims to have the world's largest economy, but only because all the shuffling of debt securities and toxic paper is considered economic activity. The USEconomy reported a drop in the March trade deficit to $40.4 billion from $41.9 billion as exports grew. All cheer! See the UK Telegraph article (CLICK HERE) and the Money News article (CLICK HERE).
◄$$$ THE BIRTH-DEATH MODEL DOES HEAVY DECEPTIVE LIFTING TO PAINT THE PIG ECONOMY, ADDING FICTIONAL JOBS... LET US ALL WELCOME THE NEW JOBLESS DECEPTION CATEGORY OF "DISADVANTAGED" TO JUSTIFY THE TRUE MISERY OF THE JOBLESS AMONG THE MASSES. $$$
The Birth-Death Model plug in the Non-Farm Jobs report has become a regularly trampled crime scene. Notice how they made a big correction in January to compensate for several months of gross deceptions. The adjustment down is made during the holiday distractions, so not well noticed. The infamous Birth-Death Model added 234,000 fictional jobs in April. It is a regular component to the sluggish recovery scenario that is full of horse pucky, cow meadow muffins, and plain bull shit. A chronic recession has been in place for over five years. The GDP decline had been minus 2% to minus 3% each year. Indications are that the Q1 and Q2 performance are more like minus 4% or worse. The victims are jobless, many of whom with strong skills and a rather extensive work history, but a failed company setting does deep harm. Starting small businesses is a total nightmare, with a lousy economy and burdensome ObamaCare costs. The B-D Model is supposed to estimate by a queer statistical model the small business creation (using an 11-th order auto regressive integrated moving average time series model). The model is extremely hokey, turned into a political tool. The toxic USDollar and debt saturation has finally led to the nation on the edge of systemic failure.
In a recent speaking engagement, newly appointed syndicate fortress chair Janet Yellen displayed a new term, one likely to catch on. The matronly boss brings a measure of empathy for the disadvantaged to her current job as chair of the Federal Reserve, calling them by that name, Disadvantaged. In her first 100 days, she has emphasized the central bank's full-employment goal, stressing the need for progress on the broadest measures of joblessness, including the number of people out of work long-term and those who can find only part-time positions. Indefatigable flunky Allen Sinai of Decision Economics offered, "This is a huge change, a new definition. Yellen will be aggressive in the pursuit of full employment more broadly defined." Nonsense, as she will lie better and hide QE bond volume better, in devoted service to the banking sector.
Sinai has followed five Fed Chairmen, and known them personally in a Wall Street career spanning 40 years. Do not be impressed. Sinai offers absolutely nothing to the solution to the current quagmire, which has two simple steps. Return to the Gold Standard by retiring the USDollar, and liquidating the big insolvent New York banks. Sinai and his errant class of statistical shams have never conceived of such wisdom, and never run a real business. They could not find their ass with both hands in the dark. He and his colleagues earn no paycheck, just collect it. They are like a court of fawning fools to the high priests who utter lies, pander deceit, and write doggerel while kissing rings. See the Bloomberg article (CLICK HERE).
## RETAIL & EMPTY SHELVES
◄$$$ WAL-MART SAME STORE SALES IN THE UNITED STATE HAVE DROPPED PRECIPITOUSLY... INTERNATIONALLY THEY ARE BETTER DESCRIBED AS COLLAPSED... WAL-MART IS FALLING APART BEFORE OUR EYES, THEIR LEVERAGED STORE INVENTORY MODEL AT RISK. $$$
Major holes are starting to appear in the Wal-Mart business. The company is in serious trouble on sales, inventory, and more, even prices. They are going from boom to bust, victims of both the macro-economic forces (ravaging recession) and the tightly managed inventory model reliant upon cash flow. The problem for Wal-Mart goes far beyond just cyclical swings in retail or a weak economy. Any reduction in sales takes cash flow down, which is amplified in inventory replenishment and supply chain activity. Wal-Mart has long been able to lure customers with one-stop shopping and low prices. However, consumer trends and cost conscious shoppers are finding new outlets. Lower prices can often be found online (lower rival overhead costs) and more affluent consumers are choosing more upscale buying locations. They might be tired of seeing the low end of US lower middle class with 280-lb (130-kg) frames in freakish garb and exposed gluteus parts. Sales in the US vast array of stores are struggling, but overseas the company's profitability is in downright freefall. See the Fool article (CLICK HERE). As footnote, Wal-Mart is a good truck community citizen, often permitting trucks to park overnight on their expansive lots, where the drivers catch a night sleep without charge, without hassle.
◄$$$ TARGET CANADA SHOWS EMPTY SHELVES, AS THE RETAIL SECTOR SUFFERS A WORSENING SITUATION... THE SUPPLY CHAIN PROBLEM MIGHT PERTAIN TO CASH MANAGEMENT IMPACT, AS WELL AS OBVIOUS WEAK DEMAND... PARALLEL WAL-MART SOUTH OF THE BORDER. $$$
The Canadian store operations at the Target retail chain have seen the situation worsen. The executives to the company issue false statements about business operations being on track with tightened finances in 1Q14, as no rebound is occurring. Observers on the ground see a struggling giant, with empty shelves, featured end caps with nothing to show. Skepticism is at an all-time high. The quarterly earnings should be dreadful. The stores are unable to keep basic items such a food and detergent on the shelves. The information systems are lacking. The supply chain has been interrupted. Critics claims many stores have subpar locations and poor store layout inside. Tough decisions on early lease exits and pared down chain of stores will come next. My role is not fair, the worst photos shown below, while other shelves have some inventory on display, but in most cases with empty spots, hardly full. See the array of head shaking photos on Zero Hedge article (CLICK HERE).
◄$$$ THE WORLD'S UNSOLD CARS GO TO DIE IN ENGLAND... CORROSION, OIL LEAKAGE, TIME TAKES ITS TOLL... MANY SWATHS WILL BE CHOP SHOPPED OR CRUSHED LATER... PRIME VICTIMS ARE LAST YEAR'S MODEL CARS... MOTIVE IS TO MAINTAIN HIGHER EMPLOYMENT WITH STEADY FACTORY OUTPUT. $$$
In the past several years, gimmicks to enable car sales have become the norm, put in place to disguise lack of demand for end customer sales. Also the US automotive manufacturers have relied upon channel stuffing to force an inventory overload, General Motors being the most guilty party. The GM inventory at dealer lots has hit a new record high, a topic of past Hat Trick Letter reports. The problem is far more extensive, and for most carmakers. The ultimate problem is the vast reduction in new car sales, the preference being for used or second hand cars. Carmakers are not cutting back on production. Millions of brand new unsold cars sit on lots, runways, car parks, even test tracks around the world. They gradually deteriorate without being maintained. The United Kingdom features many fields and lots with thousands of unsold cars sitting with not a buyer in sight. The car manufacturers have to buy more and more land just to park their cars as they perpetually roll off the production line. They strive to maintain the highly trained skilled workforce. The governments pressure them to keep the jobs intact. The workers can spend, but car buyers are not spending.
The results are in these images, hundreds of thousands if not millions of cars around the world are driven from their factories, parked in a provincial desert, and essentially abandoned. These cars will rot if they are not bought, driven, and cared for. Prospects are poor for sale anytime soon. Conditions for the situation are detrimental to the car. The joke in the industry is for including a free car with every purchase of a new home, or the purchase of a new toaster. When a car is left standing idle, the oil sinks to the bottom of the sump, and then corrosion begins to set in on all the internal engine parts where the oil has drained away. Cold corrosion hits when condensation builds up in the cylinders and rust forms in the bores. The engines would then start to seize and would need to be professionally freed before they could be started. Also the batteries start to go dead and tires go flat, the negative effects to form a long list. The epidemic is not improving, actually growing worse. Car makers are constantly coming out with new models with the latest technology in them. If not a used cheaper car, the able buyers want the latest model, leaving the last year model unsold and discarded at the wholesale level. Hence the fields of unsold cars from the previous year cannot be sold without a heavy discount. In the end, the unsold cars that are say two years old will have no alternative but to be either crushed up, or dismantled with parts recycled.
See the the array of head shaking photos on Zero Hedge article (CLICK HERE), which features the above photos from Swinden and Sheerness in England. The article presents a dazzling mesmerizing series of fields, parks, and even test drive tracks loaded with new unsold cars.
## GLARING SIGN OF FAILURE
◄$$$ OBAMACARE SITE IS A DESERTED ISLAND, AN ASTEROID LOST IN SPACE, A $667 BILLION BOONDOGGLE... THE CALAMITY IS FAR WORSE THAN PREVIOUSLY REPORTED, AS PARTICIPATION IS LOW, APPLICANTS ARE OFTEN REJECTED, AND MEMBER COUNTS INCLUDE DUPLICATES... OTHERWISE, THE PROGRAM IS A RESOUDING SUCCESS, AN ITEM IN THE OBAMA LEGACY FOR HIS EMPTY LIBRARY FEATURING PHOTOS OF BENGHAZI AND MEXICAN GUN RUNNING ON THE WALLS. $$$
To call the ObamaCare rollout a disaster is a gross understatment. The calamity was far worse than thought. The controversial fraudridden crony designed substandard website for Affordable Health Care received only one enrollment on its first day of operation on October 31, 2013. Also, the website failed to register a whopping 48 percent of those who applied, on its second day. The embarrassing information was disclosed in a 106-page document Judicial Watch obtained from the USDept Health & Human Services, or HHS from a filed Freedom of Information Act lawsuit against HHS on November 25th. Judicial Watch President Tom Fitton has been the intrepid force behind the watchdog revelations. He stated, "Once again, Judicial Watch is able to get information through FOIA that no one else had gotten, the specifics about the unmitigated failure of the ObamaCare healthcare.gov collapse. The Obama Admin tried to cover this up, as Congress failed to follow through, but we managed to get the truth about the $667 billion ObamaCare website. Imagine what would have happened to ObamaCare if the American people knew only one person was able to enroll on its first day? What other ObamaCare failures is President Obama hiding?"
The shell shocked officials have admitted that a trifling 248 people enrolled for health care on the website in the first few days of operation. Judicial Watch said that figure may be substantially over-inflated. Information uncovered by Judicial Watch has detailed the problems with the absurdly incompetent website designed and constructed by Michelle (Mike) Obama's classmate buddies. In May, testimony by the America's Health Insurance Plans Assn before the House Commerce Committee Subcommittee on Oversight, concluded, "Because of the challenges that surfaced with the launch of the Exchanges in October 2013, some consumers were advised to create a new account and enroll again. As a result, insurers have many duplicate enrollments in their system for which they never received any payment." Recall that Team Obama only has about 5% of its Cabinet members and staff with any business experience. This is what one should expect from a crack team of amateur hacks, preaching closet socialism. See the Before Its News article (CLICK HERE) and the WND article (CLICK HERE).