Posted tagged ‘Counterfeiting by The Fed’

Must Reads For The Week 3/11/17

March 12, 2017

ECONOMIC STUFF

Donald Trump and Peter Navarro Suffer From ‘Trade Deficit Disorder‘, by Mark J. Perry, at carpediemblog. Here is an excerpt form the article: “In his speech and op-ed, Navarro laid out Team Trump’s trade agenda that involves expanding US exports, reducing imports, and thereby reducing America’s merchandise trade deficit and supposedly therefore increasing our nation’s economic growth. Unfortunately, that’s a pure mercantilist trade agenda, which is an approach to trade that has been discredited now for several hundred years.

How Did Peter Navarro Ever Get A Ph.D In Economics From Harvard? economicpolicyjournal.com. Regular people being ignorant about economics is one thing. But having a Ph.D in economics and being economically ignorant is dangerous.

What Is Laissez-Faire? by Jeffery Tucker, at mises.ca. It simply means ‘Let it be’. A majority of people believe that complex order comes from top down planning by leaders possessing authority. It is inconceivable to them that unplanned order arises when people are allowed to manage their own lives and interact with others. Language is an example of complex spontaneous order. The rules of English were not written by someone and everyone started to follow them. People communicated with people and over time the ‘rules’ were established after discernible patterns (unwritten rules) were recognized. Attempts by Government central planners to control every aspect of society leads to chaos and conflict. Laissez-Faire. Please!

Repeal And Replace Needn’t Be Complicated, by Hunter Lewis, at mises.org. Do you use the term “healthcare system” or “healthcare market” when talking about ‘healthcare’. Most people talk about our “healthcare system”.  This shows we think of healthcare as a centrally planned system. The cost will never go down unless we see healthcare as an economic good rationed by prices in a market. Obamacare was 2500 pages of rules and regulations designed to ‘fix’ what was left of a healthcare market already encumbered by mountains of government regulations. The only ‘fix’ to our current “healthcare system” is to allow it to become a healthcare market. LAISSEZ-FAIRE! Get rid of all government regulations and a complex healthcare order will almost magically form itself. It won’t be a perfect order (nothing man does is perfect). But it will be the best that can possibly exist in a world of scarce resources and subjective value.

High Prices Don’t Cause Economic Bubbles, by Frank Shostak, at mises.org. When central banks increase the money supply (counterfeit money), scarce resources are misallocated to activities that would have never come into existence under normal market conditions. The 08 bubble was caused by the Fed electronically printing counterfeit money. It was not allowed to liquidate. More electronically printed counterfeit money was created to stop the correction. This counterfeit money has and is creating our present financial bubble. Excerpt from the article: “The emergence of a bubble or a monetary balloon need not be always associated with rising prices – for instance, if the rate of growth of goods corresponds to the rate of growth of the money supply then no change in prices will take place……what matters is not whether the emergence of a bubble is associated with price rises but rather with the fact that the emergence of a bubble gives rise to the emergence of non-productive activities that divert real wealth from wealth generators. The expansion of the money supply, or a monetary balloon, in similarity to a counterfeiter, enables the diversion of real wealth from wealth generating activities to non-productive activities.”

The Fed’s Dependence On The Consumer Will Backfire, by C. Jay Engel, at mises.org. Production is the creation of wealth and consumption is the destruction of wealth. Spending is consumption. Consumption is the destruction of what has been produced. Spending doesn’t grow an economy. We can only spend out of our own production. What we produce allows us to spend. Consumption has to lag behind production for an economy to grow. When consumption is increased by debt and money printing, we start a process where consumption is out pacing production. We start to eat our seed corn so to speak. Artificially increasing spending is a quick shot of adrenaline.  But it has no staying power.

 

CARTOONS

Must Reads For The Week 6/21/14

June 21, 2014
The pen is mightier than the sword...

 The pen is mightier than the sword… (Photo credit: mbshane)

Video: Turning SWAT Teams Into Death Squads, at libertypenblog.blogspot.com, by John W. Whitehead. The Fourth Amendment states, ‘The right of the people to be secure in their persons, houses, papers, and effects, against unreasonable searches and seizures, shall not be violated, and no Warrants shall issue, but upon probable cause….’ Law enforcement in the U.S. isn’t constrained by the Fourth Amendment anymore.

The US Government Doesn’t Want You To Know How The Cops Are Tracking You, by Trevor Timm, at the gardian.com. I saw this at libertypenblog.blogspot.com. Another example of Government abusing our Fourth Amendment rights.

US Captures The Benghazi Killings Mastermind (And Scapegoat), at zerohedge.com. Everything this administration does is for purely political reasons. We can’t possibly believe anything else. Excerpt from the article, “What is perhaps more curious is why it took Obama nearly two years to find a person who was openly living in Libya after the attacks, and in fact gave interviews several interviews with TIME magazine in 2012, but with AP in October 2013:” When this guy goes to trial, he can have President Obama, Secretary of State Clinton, and Ambassador Rice testify that what happened in Benghazi was a spontaneous attack because of an anti Islamic video shown on the internet. No one could possibly challenge the veracity of these three witnesses.

U.S. Government Trying To Force Washington Redskins To Change Name, by Rachel Blevins, at benswann.com. Two things going here. 1) Government officials exercising force over peoples property rights. 2) Government officials enforcing something that is completely meaningless to the well being of American Indians, but is very meaningful to the ego of the Government officials. I have one question for these Government officials. How did the creation of Indian Reservations, by Government officials, work out for the American Indians who live on them? Read here.

Marc Faber Explains The Fed’s Dilemma In 15 Words, at zerohedge.com. Faber’s words, “The more they print, the more inequality there is, the weaker the economy will become.” The Fed is creating the very problem it is trying to cure with its double edge sword of electronically printing counterfeit money and zero interest rates.

Bobby Jindal Pulls Lousiana Out Of Common Core, by Robby Soave, at reason.com. The more that is known about Common Core, the more it is being rejected. Virginia, Texas, Minnesota, and Nebraska never adopted Common Core. Louisiana just pulled out, just as Indiana, Oklahoma, and South Carolina, recently pulled out. North Carolina and Missouri look like they are next. Liberty minded people are winning on this issue, because they are fighting at the State level.

Right To Work States Now Dominate U.S. Automobile Manufacturing, by Mark J. Perry, at aei-ideas.org. Business seeks lower costs, and labor is usually one of their biggest. When labor is free from Union coercion, it chooses against unions. This benefits labor,business, and consumer.

Big Labor (And Socialists) Hate Tipping, at economicpolicyjournal.com. First of all, I thought big labor is a bunch of socialists. Here is a quote about tipping from the minimum wage queen, Seattle City Councilmember Socialist Kashama Sawant; “We don’t want any worker to be beholden to the mood of the customer on any given day.” This is the difference between free markets and central planning. The consumer rules in a free market, and the planners rule in a socialist system. Seattle you are getting exactly what you deserve by electing this jewel into office.

Flight Attendant Makes Best Pre-Flight Speech Ever, at economicpolicyjournal.com. This is good.

 

I saw these cartoons at theburning platform.com.

149763 600 Obama Student loan plan cartoons

 

149652 600 VA Backlog cartoons

 

149531 600 Midas touch cartoons

 

 

149734 600 Tea Party Topples Eric Cantor cartoons

 

 

Must Reads For The Week 5/3/14

May 3, 2014

 

The pen is mightier than the sword...

 The pen is mightier than the sword… (Photo credit: mbshane)

What $1.4 Trillion In QE Buys The US Economy, at zerohedge.com.  GDP is a measure of dollars spent on consumption. Consumption is the destruction of what has been produced. If the Fed electronically prints counterfeit dollars, it is really printing a portion of the GDP number. This counterfeit money misallocates scarce resources into areas of production that can’t be sustained when the counterfeiting is decreased of stopped. The Feds electronically printed counterfeit money can only prop up the GDP number for so long before economic reality eventually catches up. The laws of economics are always at work trying to correct what results from the counterfeiting of money. Free money isn’t free. It comes with consequences that are born by people {you and me} down the line from the people {banks, wall street brokerage firms, and our Government} who receive it first.

Texas Oil Output Hits 34 Year High, by Mark J. Perry, at aei-ideas.org. Where would the GDP number be with out the shale oil revolution on private land.

Seattle Announces $15 Minimum Wage Highest In Nation, by Alan Pyke, at thinkprogress.org, I saw this at aei-ideas.org. Here is an excerpt from the article, “There are 102,000 workers in Seattle currently earning less than $15 an hour. Raising those people’s wages will put about half a billion extra dollars of spending money into Seattle workers’ pockets. As SEIU 775 president and coalition co-chair David Rolf said in a statement Thursday, the deal “will pump nearly $500 million into Washington’s economy, proving that a higher minimum wage fuels business and job growth.” Can you see the flaw in their impeccable logic? The money that is used to pay the extra wage is coming from somewhere. It’s either coming from the consumer through higher prices, or the production process through automation which means fewer workers. You’re not creating $500 million of new goods or services, you are just changing who spends the $500. This is like taking water from the deep end of the pool and dumping it into the shallow end of the pool. No new water is being produced, you are just redistributing the same amount of water.

Will Dunbar Rise Again, by Thomas Sowell, at jewishworldreview.com. Anything Thomas Sowell writes is outstanding. Next to economics his writings on education and race are truly in his wheel house.

One Million People Dropped Out Of Labor Force In April: Labor Participation Rate Plummets To Lowest Since 1978, at zerohedge.com. The labor participation rate is the important stat to look at in determining if our economy is producing wealth or consuming wealth. The principle is simple to understand. When fewer people work, less is being produced, and when greater numbers of  people work more is being produced. All this government intervention has not helped the economy at all, in fact it has made it worse than if we had let the market work its cleansing magic on previous government interventions.

The USPS Used Its Coercive Monopoly Power To Squash The Digital Mail Start Up Outbox, by Mark J. Perry, at aei-ideas. This is like the cab companies trying to get cities to regulate Uber and Lyft.

The Great Lakes Are Still Almost Half Frozen, And It Could Affect The Environment For Years, by Joseph Erbantraut, at huffingtonpost.com. In the middle of “global warming'” the planet decides to show us how arrogant we are. The planet does what it wants when it wants.

John Kerry Blasts “Propaganda Bull Horn” RT, at economicpolicyjournal.com. I guess it’s only cool when our Government has a propaganda bull horn, aka, the mainstream media.

Stressing The Grid: From Interventionism To Blackouts, by Steve Gorham, at masterresource.org. EPA regulations are going to cause coal fired power plants to close. Where will the electricity come from to replace this lost capacity? Not from wind and solar. Expect higher prices and potential rolling blackouts.

 

 

Must Reads For The Week 11/23/13

November 23, 2013
The pen is mightier than the sword...

The pen is mightier than the sword… (Photo credit: mbshane)

This first article and video is a must!

The War Against Achievement, by Thomas Sowell, at jewishworldreview.com. When individuals achieve at a higher level than you, are you envious and try to tear them down, or do you use their achievement as motivation of what is possible if you work hard? Watch this video about Richie Parker, the young man Thomas Sowell is talking about in his article.

Mother Charged $10 dollars After Lunch Of Pot Roast, Potatoes, Carrots, And An Orange Deemed “Unbalanced” By Daycare, by Liz Klimas, at theblaze.com. If you want to look where the road we’re traveling leads, look at countries who are farther down this road. Oh yeah I forgot, “this can’t happen here”.

The Obamacare Time Bomb, by Marc A. Thiessen, at economicpolicyjournal.com. In the words of the great F. A. Hayek, “The curious task of economics is to demonstrate to men how little they really know about what they imagine they can design.”

Census “Faked” 2012 Elections Jobs Report, by John Crudele, at nypost.com. Most of us knew the number was fudged when it came out.

I Can’t Call You Sugar, Cause Sugar Never Was So Sweet, by Angus, at mungowitzend.blogspot.com. This is what we mean when we talk about crony capitalism. In a free market, unhampered by Government regulations, businesses will succeed or fail based on their ability to sell a good or service at a price that covers the cost of production.

Nancy Pelosi Doesn’t Think She Said Anything Wrong About Keeping Health Plan, by Robert P. Murphy, at consultingbyrpm.com. My apology for wanting you to watch a video of Nancy Pelosi. I don’t know what is more amazing, watching Nancy try to spin her way out of her own pile of #%&*, or watching David Gregory try to act like a journalist asking tough questions.

The Treasury Federal Reserve Naked Tango, by Lawrence Kotlikoff, at economicpolicyjournal.com. Counterfeiting and money laundering are legal activities for Government, but not for us. Counterfeiting is theft whether it’s legal of illegal.

School Heaves Obama Lunch Menu, at ohiolibertycoalition.org. Students force Obama’s school lunch program to face economic reality. Read this post from a year ago titled, Healthy, Hunger-Free Kids Act, Doesn’t Work As Planners Planned, at austrianaddict.com.

California Rejects Proposed One-Year Plan Extension, at zerohedge.com. The pesky free market won’t cooperate with the central planner and chief’s plans concerning Obamacare.

Guest Post: The 5 Economic “Big Lies” The Government Is Telling You, by Micheal Snyder, guest post on zerohedge.com. This post is so