Posted tagged ‘Federal Reserve’

Must Reads For The Week 11/11/17

November 11, 2017

Donald Trump Didn’t Create Danger Of Presidential Dictatorship…..He Inherited It, at zerohedge.com. Over time the Presidency has incrementally stolen more power than the Constitution allows.      Excerpt from the article: “The sheer amount of punitive power possessed by the federal government is one of the best gauges of potential tyranny. do we really need 4,000 federal criminal laws and 200,000 regulations with criminal penalties to punish wayward citizens? As Benjamin Constant wrote in 1815, “It is in fact the degree of force, not its holders, which must be denounced. …There are weights too heavy for the hand of man.” Unfortunately, many Trump opponents will never make an adverse inference against arbitrary power because they seek to put government itself back on a pedestal. Trump won the election last year in part because he promised to “make America great again.” But America will not be great again until people expect and tolerate far less from presidents. And Only illiterates believe that toppling Trump is the only “dictator insurance: that America needs.”     The executive, legislative and judicial branches of our government have far exceeded their constitutional limits. It is time to rein them in.

Disaster In Red: The Hundredth Anniversary Of The Russian Socialist Revolution, by Richard Ebeling, at mises.org. Maybe the reason many young people think socialism is a wonderful economic system is because our education system hasn’t taught these kids about the deadly history of socialist central planning. The fall of the USSR in the early 90’s should have settled the argument. Excerpt from the article. “The battle between the ideologies of freedom and individualism versus political planning and collectivism, therefore, continues in slightly different forms and permutations than those expressed in the communist slogans and ideological language of 1917 and after. But the combat is no less real and is no less the same at its foundational basis.”

How Central Banks Widen Wealth and Income Gaps, by Hal Snarr, at mises.org. Excerpt from the article: “Federal Reserve (Fed) board member Kevin Warsh referred to the Fed’s monetary policy during the financial crisis as being “reverse Robin Hood.” This view has merit because the Fed’s purchases of securities push interest rates down and expand the money supply. The expansion of money then inflates the prices of financial assets, which are disproportionately owned by the rich…..Although the Federal Reserve was created to provide the US with a flexible and stable monetary and financial system, it has not. Its policies have caused economic booms and busts, reduced the value of the dollar to about a penny in just over 100 years, and may be causing substantial income and wealth inequality.”

The Ponzi Scheme That’s Over 100% The Size Of Madoff, at zerohedge.com. Pension plans are underfunded just like Social Security. When economic reality hits pensioners will have to take cut, or tax payers will be forced to pay the bill. Read this, It Begins: Pensions Bailout Bill To Be Introduced This Week.

Unions Want Freedom Of Association – But Only For Themselves, by Gary Galles, at mises.org. Unions are in favor of freedom of association. As long as the worker associates with the Union. Freedom of association is not a one way street. It means you can voluntarily decide to associate with someone, and they can voluntarily decide to associate with you. It also means each has the freedom not to associate with the other. It is a two-way street.

Diplomats Fear Tillerson Transparency Push Is Linked To Clinton Emails, by Nahal Toosi, at politico.com. State department employees who are complaining show their political bias. I thought government employees were non political public servants. Just do your job and shut up. This is how you drain the swamp. Here is an excerpt from the article: “Secretary of State Rex Tillerson’s assignment of as many as several hundred State Department officials to quickly clear a huge backlog of public records requests is being met with deep skepticism by rank-and-file employees…..The staffers also suspect the move — which will reassign many of them from far more substantive duties and has already sparked a union complaint — is meant to force many of them to resign out of frustration with what are essentially clerical positions. The issue spotlights the deepening distrust toward Tillerson at Foggy Bottom, where his attempts to restructure the department, cut its budget and centralize policymaking have already hurt morale.”

Ninety percent of ‘public servants’ are for increasing the size of government. And any individual or group of individuals who want to shrink government is the enemy. (Remember what the IRS did to tea party and liberty groups.)

When Gunmen Strike, You’re On Your Own, by Ryan McMaken, at mises.org. In any situation you are the first responder, no matter what you decide to do. Because how you respond is the first response. Here is an example- Men with Guns Save More People Than Cynics Like Stephen Colbert, by Eric Hoover, at thefederalist.com. The mass shooting at a church in Sutherland Springs Texas was stopped by NRA member Stephen Willeford. He used his AR-15.

What Nation On Earth Has Reduced Its Carbon Emissions More Than Any Other, by Mark J. Perry, at carpediemblog. Was it China the communist utopia? Or was it the evil capitalist United States? It’s the USA. Thanks to fracking and efficiency.

Facebook Founder Warns “God Only Knows What It’s Doing To Kids’ Brains“, at zerohedge.co. You should think about limiting the time you let your kids spend on social media. Excerpt from the article: Founding president of Facebook: “I don’t know if I really understood...the unintended consequences of a network when it grows to a billion or 2 billion people and ….it literally changes your relationship with society, with each other.….It probably interferes with productivity in weird ways. God Only knows what it’s doing to our children’s brains…..The thought process that went into building these applications….was all about: ‘How do we consume as much of your time and conscious attention as possible?‘.

Senate Passes Measure Requiring Sexual Harassment Training For Senators And Aides, at politico.com. I think the members of this august body already know how to sexually harass women. It is too bad Ted Kennedy isn’t with us anymore. He could teach these Senators a few tricks about how to sexually harass women. Oh! You mean anti sexual harassment training.

 

CARTOONS at therightreason.net.

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Must Reads For The Week 2/21/15

February 21, 2015
The pen is mightier than the sword...

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

What Are The College Degrees That Are Worth More Than Decades Of Job Experience, at economicpolicyjournal.com. Think twice before you go into debt for a college degree that won’t land you a job that pays enough to service that debt.

The Crony College Text Book Sector, at economicpolicyjournal.com. College students are paying through the nose for text books, on top of what they are accumulating in debt for being indoctrinated while in College.

BIZARRE: Government Panel Says Consider Planet Before You Eat, at targetliberty.com. When will this “recommendation” by the Department Of Health And Human Services and the Agriculture Department become a “mandate” backed by government force? The global warming hoax along with Obamacare have opened the door for bureaucratic totalitarians to tell you what you can and can’t eat.

Federal Reserve Economist Calls For Government E-Currency To Replace Bitcoin, at targetliberty.com. Two excerpts from the article. “If the government attempts to takeover the e-currency space, tracking of individuals via their money trails will reach spectacular new levels of intrusion.” and “Always keep in mind the Swiss proverb: “Gold has no smell.” It means it can’t be tracked. It is the ultimate libertarian currency (along with silver) and a great alternative to government created money. That’s why governments hate it.”

Leading Anti-Gun Attorney Arrested After Airport Security Found Hand Gun In Carry On, by John Lott, at johnrlott.blogspot.com. Do as I say not as I do.

Always Keep Your Eye On Production, by Bryan Caplin, at econlog.econlib.org. Production comes before consumption. You can’t consume something that has yet to be produced. No amount of money printing can change this reality.

How To Teach Kids About Socialism, by Pedro Gonzales, at americanthinker.com. This is a great way to show them about how intrusive government truly is.

Secret Stash Of Moon Artifacts Found Hidden In Neil Armstrong’s Closet, by Jesus Diaz, at sploid.gizmodo.com. I was so into the Apollo moon landings when I was growing up, I had to post this. The video below of  Edwin “Buzz” Aldrin, who walked on the moon with Armstrong on the Apollo 11 mission, punching a guy who is bothering him about the moon landings being faked is priceless. The video is longer than what is shown below. I liked seeing a 70 something year old guy playing by a set of rules that the other guy really didn’t understand.

 

 

 

Must Reads For The Week 2/14/15

February 14, 2015
The pen is mightier than the sword...

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

FREE MARKETS LOWER PRICES

Uber For Helicopters In NYC, by Mark J. Perry, at aei.org. The Uber model for transportation via helicopters. Gotham Air charges $219 per person. It would normally cost close to $1000 to charter a helicopter. Lower prices through technological advances in relatively free markets.

Cheap Gear Disrupts Commercial Video Industry, at nalert.blogspot.com. This is how an economy is supposed to work. Prices should go down (deflation) over time as productivity and advancing technology make things less costly to produce. Most people think that increasing prices (inflation = printing money) is how an economy is supposed to work. Prices will generally go down if the money supply can’t be increased easily. Prices will go up if money can be created out of thin air via the printing press. I saw this at Mark J. Perry’s carpediem blog.

Theranos, With Walgreens, Revolutionizes Healthcare, at brandchannel.com. Technology is bringing down the cost of healthcare. Theranos can test blood for multiple medical conditions at a 50 to 90 percent lower cost needing only one drop of blood. Do you think the status quo testing labs are happy about this? No, but the consumer is. It will be interesting to see how technological advances like this lower the cost of healthcare while at the same time Obamacare is increasing the cost of healthcare. The Republicans shouldn’t be saying repeal and replace, they should be saying repeal and let the free market work it’s cost reducing magic. This is a great article that I saw at Mark J. Perry’s carpediem blog.

OTHER ARTICLES

US Senator Demands A Federal Reserve Bailout Of Greece, at zerohedge.com. To the surprise of no one, self described democratic socialist Bernie Sanders wants The Fed to bailout his socialist buddies from Greece. Why would we do this when the first bailout of Greece didn’t work?

Prepare For Higher Gas Prices, at economicpolicyjournal.com. Oil refinery workers are going on strike led by the United Steel Workers union. Aren’t they being greedy?

Brian Williams SEAL Team Six Stories Latest To Come Under Fire, by Caitlin Dickson, at news.yahoo.com. Brian Williams is channeling Forrest Gump. Except he is not as likable or believable as Forrest, Forrest Gump.

Gallup CEO Worried About “Suddenly Disappearing” For Truth Telling About The Real Umemployment Rate, at inquisitr.com. Either that or he will find a horse head in his bed.

Getting Serious About Keeping Children Safe, by Logan Albright, at mises.ca. You can never go too far when it comes to the safety of “the children”.

John Stossel – Trust And Reputation, at libertypenblog.blogspot.com.

Who do you trust? Businesses who are greedy for money that they won’t get unless you voluntarily give it to them in exchange for their product or service. Or politicians and bureaucrats who are greedy for power to make decisions concerning your life that you have to obey or else.

Charles Hugh Smith: Devotion To The Keynesian Religion.

April 2, 2014

Charles Hugh Smith at oftwominds.com always makes me think. This article titled, Dear Keynesians: Your Failed Devotion To Your Sad Religion Hasn’t Conjured Up A Recovery – Here’s Why, is a great analysis of why borrowing electronically printed counterfeit money at low interest rates hasn’t made things better. Actually the underlying structure of production is weaker because of these policies by the Federal Reserve. At some point counterfeiting more money has a diminishing return. Here are some excerpts from the article.

That any schoolkid could predict eliminating feedback and consequences will lead to a series of disastrously poor choices by speculators and imprudent borrowers doesn’t register with the Keynesian Cargo Cult.”

It turns out that prudent people have no interest in borrowing more money, even at low rates of interest, and imprudent people are happy to do so but will stop paying the loan as soon as something untoward occurs in their finances.”

“Corporations, meanwhile, look at the real risks of expanding business in a debt-saturated economy distorted by Keynesian Cargo Cult policies and realize that gambling capital on the possibility that waving dead chickens and chanting “humba-humba” will actually increase profits is a truly stupid bet, so they borrow the nearly-free money and invest it in various carry trades overseas that return a virtually risk-free return, thanks to the nearly-free cost of borrowing mountains of money from the Cargo Cult.”

“…Diminishing returns result when a system’s ability to produce an economically valuable output declines.”

The cruel stupidity and immorality of the Keynesian Cargo Cult knows no bounds because they refuse to accept the reality that diminishing returns cannot be fixed by more debt and more squandering of good money after bad.”

“If a speculator borrows money and loses it in a high-risk gamble, the Keynesian Cargo Cult’s solution is to force the taxpayer to make good the gambler’s losses and then give the speculator more nearly-free money to continue gambling.”

“This “solution” works the first time around, less well the second time around, and triggers a collapse the third time around. This lifecycle is called the S-Curve:”

 

Related ArticleThe Incompetence Of The Federal Reserve And The Deep State Is Unavoidable, by Charles Hugh Smith, at oftwominds.com.

 

 

 

Bitcoin = The Unstoppable Ingenuity Of Individuals

July 30, 2013

Bitcoin Accepted Here [by freeborn]

Bitcoin Accepted Here [by freeborn] (Photo credit: Adam Crowe)

We have talked about the Bitcoin phenomenon a couple of times here. I have said in this post, Let’s Take A Look At Bit Coin, “The reason I like the discussion about bitcoin: it is an opportunity to get people to think about what money is, how it evolved through the barter system, what is a gold standard, what is paper money, why the Federal Reserve’s monopoly on printing money is a bad thing, and could bitcoin (or some other not yet thought of idea) evolve into the medium of exchange not controlled by Government?” I would like to add that another reason I like bitcoin is because it represents the spirit of 1776. It’s the unstoppable dynamism that occurs when individuals use their inventiveness, curiosity, and thirst for freedom to get around Government planners plans. The free market is an unstoppable force (more…)

Some Heavy Lifting To Start The Week.

July 8, 2013
The Ponzi Scheme

The Ponzi Scheme (Photo credit: Wikipedia)

These are two articles each one having a video in which many of the economic realities we talk about here are discussed in slightly different ways. The first is an article titled Opportunity Squandered: We Blew It, by Charles Hugh Smith, at oftwominds.com, and the other is titled,You Are In The Ponzi Scheme Whether You Realize It Or Not, by Monty Pelerin’s World, at ecoomicnoise.com.

I know your  most precious resource is time, and each of you only has a certain amount of time set aside  to read and be kept up to date on what is going on. Set some time aside to read the articles, but more importantly listen to the interviews. One is CHS talking with Gordon T. Long, and the second is an interview with John Robino and Gordon T. Long. Both talk about how the printing of counterfeit money, combined with artificially low-interest rates starts in a direction that F.A. Hayek said “leads to serfdom and poverty”. (more…)

Independence Day Follow Up

July 5, 2013

I saw these cartoons at Monty Pelerin’s World, at economicnoise.com. They make you laugh on the one hand, and soberly contemplate where we are on the other.

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THE NEXT AMERICAN REVOLUTION

This article titled The Next American Revolution by Charles Hugh Smith at oftwominds.com, is a view into the future from his crow’s nest. CHS always makes you think. Here are a few excerpts from the article.

“The next American Revolution will not be an event, it will be a process. We naturally turn to the past for templates of the future, but history has a way of remaining remarkably unpredictable.” (more…)