The Progressives and the Fed Are Out to Starve You

Howard S. Katz, author of the Paper Aristocracy and soon-to-be-published Wolf in Sheep's Clothing has just written an excellent blog on what the Fed is doing to you. If you aim to retire, you'd better consider putting most of your money into hard assets. With a tripling of the money supply tin foil will be worth a heck of a lot more than $100 bills.

To be fair, this is not a Democratic-Republican thing. The Democrats will starve you but the Republicans have beaten them to it. The Democrats have no intention of undoing the tripling of the money supply, of course.

The left continues to puzzle me. Sam Walton spent his life figuring out ways to cut prices. Lower prices help the poor and working class. In contrast, Wall Street has spent generations figuring out how to get the government to "print" money so that it can have low interest loans for which the rest of the country pays through high prices. But no one on the left seems to criticize Wall Street.

The policy of starving retirees to further the aims of Wall Street began with the Progressives and the establishment of the Fed. Franklin Roosevelt and the New Deal, in the cloak of establishing social programs, re enforced the Fed's power to steal from retirees and workers in order to further the aims of bankers and Wall Street via monetary expansion and inflation.

In the past, idiot leftists like William Greider were taken in by the fatuous claim that inflation helps the poor. Greider's book "Secrets of the Temple" is an encyclopedia of ignorance and self contradiction. It is unfortunate that a writer as talented as Greider lacks common sense. He contradicts himself so often that it seems hard to believe he wasn't aware of it, but never overestimate the common sense of a "progressive". On the one hand he says that inflation helps the poor. On the other, he repeatedly notes that the fresh money loans stimulate Wall Street speculation. I suppose he thinks that the poor speculate on Wall Street.

In any case, Greideresque stupidity has become much more difficult to defend with the bailout. Inflation helps Wall Street and bankers, not the poor. The bailout is being monetized. Inflation that ensues will be due to the monetization of the bailout. Eight decades of lying about the Fed and inflation are drawing to an end.

But our ruling elite, Barack Obama, George Bush, Henry Paulson and the people they represent have decided to inflate to the heavens. As one of my students said they other day, they have decided to suck the life blood out of this country.

But the left continues to puzzle me. They are so wedded to inflation-helps-the-poor that one must wonder: (a) are they stupid? (b) are they tools of the power structure? or (c) are they hoping for a collapse so a latter-day Lenin can step in and turn America into a Soviet Union?

In any case, if you want to retire you are going to need to think about commodities investing. Either that or Swiss Francs.

Progressives on the Warpath: US Army's Civilian Inmate Labor Program

H/t Orly Tatz. The US Army established a Civilian Inmate Labor Program in 2005 under Army Regulation 210-35, which states:

"This regulation provide guidance for establishing and managing civilian inmate labor programs on Army installations. It provides guidance on establishing prison camps on Army installations..."

Under Section 1-5:

"Civilian inmate labor programs
a. Civilian inmate labor programs benefit both the Army and corrections systems by—
(1) Providing a source of labor at no direct labor cost to Army installations to accomplish tasks that would not be
possible otherwise due to the manning and funding constraints under which the Army operates.
(2) Providing meaningful work for inmates and, in some cases, additional space to alleviate overcrowding in nearby
corrections facilities.
(3) Making cost–effective use of buildings and land not otherwise being used.
b. Except for the 3 exceptions listed in paragraph 2–1d below, installation civilian inmate labor programs may use
civilian inmate labor only from Federal corrections facilities located either off or on the installation."

Under Chapter 2:

"With a few exceptions, the Army’s Civilian Inmate Labor Program is currently limited to using inmates from
facilities under the control of the Federal Bureau of Prisons (FBOP). Section 4125(a), Title 18, United States Code
allows the Attorney General to make available to other Federal agencies the services of Federal inmates and defines the
types of services inmates can perform. The FBOP provides civilian inmate labor free of charge to the Army."

A Conspiracy Theory of the Obama Phenomenon

I'm not a big fan of conspiracy theories but let's try one. A group of investment bankers, George Soros, David Rockefeller, Rupert Murdoch types gather at the Bilderberg, Trilateral Commission or some similar venue. They aim to loot the public by injecting a huge amount of monetary reserves into the banking system, hyper-escalating a stock market depressed by media rumors (media that they control), sell at the peak and then sell dollars. They aim to find a fall guy for the ensuing market collapse and hyper-inflation. They create the image of a messianic president who turns out to be corrupt. What could be worse than discovering the Anointed One is a corrupt fraud? They play to racism thinly veiled by "progressive" cognitive dissonance and "liberal guilt". The monetary reserves do their work while, simultaneously a series of corruption scandals evolve even before the Annointed One takes office. The scandals start almost instantaneously, but take several years to coalesce around the Anointed One. By then, the stock market has peaked and goes into free fall, the dollar is plunging and there's hyper-inflation. The banker conspiracy pulls their dollars out of the US into gold, commodities or Euros. Who better to hang the problems on than the corrupt Messiah?

Tin foil hat stuff, right?

Rahm's N*ts Roasting on an Open Fire

The AP reports (via Yahoo!):

"Emanuel and Obama have remained silent about what, if anything, Emanuel knew of the governor's alleged efforts to peddle Obama's vacant Senate seat to the highest bidder."

If Obama were Nixon, would the New York Times, the LA Times and the Washington Posts be sitting like three monkeys, "see no evil", "hear no evil", "speak no evil"? Or would they be calling for a special prosecutor?