Failure of Cain Nomination Underscores Need to Drop Mainstream Republicans

The Wall Street Journal reports that Mitt Romney (R., Utah), Cory Gardner (R., Colo.), Lisa Murkowski (R., Alaska) and Kevin Cramer (R., N.D.) oppose the nomination of Herman Cain to the Federal Reserve Board.  Their opposition underscores the gulf between President Trump and mainstream Republicans, and it also underscores the meaning underlying the term deep state.   In a 2012 op-ed in the Journal Cain came out in favor of the gold standard. The gold standard is anathema to Wall Street and its pro-deep state shills. For instance, "journalist" Michael Hiltzik writes an uninformed piece in the LA Times.

Using insulting language, a habit increasingly characteristic of a media that has lost its moorings, Hiltzick makes the factually false claim that the gold standard led to instability in the interwar period.  As Friedman's history shows, the Fed's paper money policy led to the Great Depression. In turn, the mismanagement of the paper money banking system was multiplied by Herbert Hoover's jawboning about wage cuts and the Smoot-Hawley tariff. A master of nonsequitor, Hiltizck writes: 

If the economy of one country ebbed relative to another, preserving the gold standard meant that something else would have to give — laborers thrown out of work or wages brought down. 

This reflects a misunderstanding of what an economy is, what the subject of economics studies, and how paper money works. Paper money does not repeal the laws of supply and demand, Hiltzick's claim notwithstanding. The gist of the paper money system is that wages are systematically brought down through money illusion, a point that is lost on Hiltzick (but not the Keynesian economists to whom he refers). 

Hiltzick's discussion of Friedman's Capitalism and Freedom overlooks Friedman's points that the Fed caused the Great Depression and that Friedman's idea of a fixed monetary rule, which turned out to be a complete failure, could mimic a gold standard. True, following the failure of his fixed monetary rule Friedman remained a member of the helicopter crowd--a term Friedman himself first applied to monetary creation. Those who do not do good service to Wall Street do not win Nobel Prizes.

Hiltzick cites a group of Keynesian and monetarist economists hired by investment banker-financed Ivy League universities (see my piece in Industry and Higher Education) without Hiltzick's grasping that far worse instability has occurred since 1913 than before and that gold was at most an indirect cause of the Great Depression; mismanagement of the paper money system was the chief cause, along with ham-handed fiscal and trade policies. These economists are unapologetic in their advocacy of instability-causing policies, one outcome of which was the failures of 2008.

The two-pronged issue that is most important to the deep state is its control of money and its ability to direct the economy through credit.  There are two categories of gold standard opponents: The first knows that it is a servant of power and of increasing income inequality. The second doesn't know, actually believes the nonsense taught in basic economics classes, and is useful to Goldman Sachs and Mitt Romney.

That Trump would consider a gold standard advocate means that he is better than I thought in 2016. In making donations to Republicans, I will be careful to donate to PACs that oppose the deep state. I will avoid the likes of Romney, Gardner, Murkowski, and Cramer.

Cain versus Unable: 666 is 999 Upside Down

I'm not for Cain or Unable, but I found this picture to be interesting. From Wikipedia: In the Greek New Testament, Cain is referred to as εκ του πονηρου.^[3] In at least one translation this is rendered "from the evil one",^[4] while others have "of the evil one."^[5] Some interpreters take this to mean that Cain was literally the son of the serpent in the Garden of Eden. A parallel idea can be found in Jewish tradition,^[6] that the serpent (Hebrew nahash נחש) from the Garden of Eden was father to firstborn Cain.  Copied from Francisco M. Pohole's Facebook account.

Pathetic Crew of Republican Candidates are Big Government Drones

Unfortunately, CNN excluded one of the few imaginative voices in the Republican Party, Gary Johnson, from Tuesday night's debate.  Of the candidates present, only Ron Paul had anything to say in support of freedom and against socialism.  Cain's 9-9-9 plan, which would impose a sales tax on lower income people, is cruel. Rather than think of new methods of taxation, Republicans should be thinking of new ways to restrain spending.  Ron Paul was the only candidate at the debate who is not a socialist.

Ron Paul has a plan to terminate five cabinet positions:  the Departments of Energy, Housing and Urban Development, Commerce, Interior, and Education. He has also proposed to close a large number of unproductive military bases in places like Spain and Korea that do not protect the United States.  None of the other candidates was willing to discuss these proposals when Paul brought them up.  Instead, they remain loyal to a dishonest Federal Reserve Bank system that has sucked working Americans dry financially.  That Main Street Republicans support any among this bank of candidates is an indictment of the democratic process.

I can see why Comrades Gingrich, Romney, Santorum, Cain, and Bachmann remain silent about the Departments of Energy and Education.  Since they were established, education results have collapsed and energy costs have exploded, and neither agency, which together employ thousands of unproductive bureaucrats, has anything useful to say about either subject.  But this topic was avoided. To socialists like Gingrich and Romney, the Department of Education is a necessity.    

Mr. Cain, a former Federal Reserve official who has participated in the legalized theft involved in the bailout and the central bank-based fractional reserve system, offered a defense of  Wall Street, a socialist cancer on American capitalism.  Mr. Cain has participated in a racketeering organization, and his appeal to Republicans suggest a profound stupidity and incompetence among rank-and-file Republicans and the inept media that they consume, specifically including talk radio.

Except for Ron Paul or Gary Johnson, voting for a Republican in 2012 will be a wasted vote.

Herman Cain Flip Flops on Fed Audit, Bailout

H/t Gigi Bowman on Facebook.

Ron Paul Takes Herman Cain to School

From the Daily Paul site, h/t Mike Marnell. While Paul wants to abolish the Fed, Cain and Romney, looking on, are insiders who have benefited directly from the Fed. Alan Greenspan's record is one of having created the tech bubble that led to his real estate bubble. That is who Herman Cain aims to emulate.  If you like to be destroyed financially, keep voting for Cain and Romney, and listen to the New York Times's moronic comments about Paul's eyebrow.