Washblog

Last night's *EFOR (Eastside Fellowship for Reconciliation) meeting took us through the looking glass of economic smoke and mirrors and showed us the dirty underpinnings of the alleged free market economy. Featured speakers were Maria Tomchick of "Eat the State" and Todd Boyle, a CPA for over 20 years.

According to Maria, the stunning Seattle real estate money market machine is running out of steam, Fortune magazine be damned. Median home prices have slumped more than 150,000 dollars in the past two months.

The worst sins of the sub-prime lending market were made in 2005 and 2006 and are yet to be felt. Sub-prime lending practices make the dot-com debacle look benign.

Now when families desperately need to get out from under adjustable rate mortgages, the "ricos" have suddenly decided to get picky about who they lend their money to. Foreclosures are up 100% nationwide and 40% locally.

We are starting to see disturbing patterns of buying that indicate severe stress on working families. Families are buying in bulk and buying is clustered around paydays.

There are a few bright spots. Change is a numbers game. A bad economy serves to radicalize great numbers of people who have played by the rules and been burned. Change is what is desperately needed.
Energy price gouging and market gaming have sapped the strength of the economy but they also provide real impetus for the development of alternative energy sources boding well for the health of the planet and the creation of new industry.

Todd's 15 minute look at the Federal Reserve was a real eye opener. The Federal Reserve is not part of the Federal government. It is a privately owned institution that runs itself for the benefit of itself and a few friends. They are secretive and completely unregulated; in other words, a scandal waiting for a journalist. US currency has no intrinsic value and money is created and destroyed at the whim of a few powerful people.

Creating bubbles, which generate huge amounts of unearned income for th privileged few, are their stock and trade.

The fact that every so often working people get wiped out in the wreckage is of little concern. Contrary to popular belief, the US economy is not based on market forces but is a managed economy. The good news is that it is unlikely to implode. The bad news is that the economy is neither well or managed for the greater good. Our economic system is a system crying out for reform in a nation ripe for revolution. No country with our unequal distribution of wealth has avoided one.

EFOR meets the third Wednesday of the month at the Bradford Center (752 108th Ave NE, Bellevue WA. right next to the Bellevue transit terminal). Doors open at 6PM for snacks and socializing. Programs begin at 7. Whether it's the media, the FCC, impeachment, community action or the latest documentary, you can find it all at EFOR under the able leadership of Linda Boyd.

EFOR is the oldest peace and justice organization in the nation and is the parent organization of Washington for Impeachment. To get on the mailing list or for the latest information contact Betty Glenn at bttyglenn@verizon.net.

Davey