The things we have taken for granted in our material circumstances and the increase of ease in our lives—so many of the things we notice only in their absence—are the result of a free economy. So rich are its gifts, so abundant its bounty, so profuse its variety, that we have come to think of prosperity as a given. And that is a good way to think of it—as a given. Like the cornucopia, the horn of plenty that is an icon of inexhaustible abundance that seemingly springs from nowhere, prosperity is a given, coming into being in the presence of free people in a free economy.
Liberty’s gifts are many. This book has focused especially on Prosperity because she appears to be slipping away from us. But Prosperity is only one of Liberty’s daughters. Peace is another. And third among her daughters is Opportunity. What a plague mankind suffers in the absence of Liberty’s gifts. What a cruel smothering of the human spirit to know only lack and insufficiency instead of the abundance of Prosperity; to live in a time of constant strife and war, a time without the blessings of Peace; and to experience a lifetime of frustrating limitation and futility, a world without Opportunity.
A renewed appreciation of Liberty will mean the growth of prosperity, peace, and opportunity. Her blessings await all who wish them.
– From Red and Blue and Broke All Over, by Charles Goyette
Every month that the Fed’s quantitative easing goes on, the exit strategy becomes more difficult and dangerous!
Good Account of the Fed’s Dilemma by Phil Gramm
Never in our history has so much money been spent to produce so little good, and the full bill for this failed policy has yet to arrive. No such explosion of debt has ever escaped a day of reckoning and no such monetary surge has ever had a happy ending.
Ask Siri for her political views!
Try this on your iPhone!
If you have an iPhone you’ll want to try this yourself!
(For those who don’t have an iPhone, Siri is the disembodied voice of the iPhone operating system.)
She pulls up the Ron Paul Wikipedia Page!
Same as the Old Boss, Only More!
by Charles Goyette, Money and Markets
The real problem with the Federal Reserve is central banking itself.
It is the mission that matters most, not the personnel. No matter who is in charge at the Fed, the basic Keynesian, fiat money policies that serve the interests of the banking cartel prevail.
That is why the value of the dollar has plunged under 100 years of the Fed’s existence, through a succession of chairmen.
No matter which party holds sway in Washington, the same policies persist.
That is why Alan Greenspan was appointed by Republican Ronald Reagan and reappointed by Democrat Bill Clinton. That is why Ben Bernanke was appointed by Republican George Bush and reappointed by Democrat Barack Obama.
They all worship at the same statist monetary church and follow the same Keynesian priesthood.
That said, some are more devoted members of the faith. Janet Yellen has a deserved reputation as a fervent believer. That means that she can be expected to try to carry the Fed’s monetary madness to its logical conclusion: money printing with enthusiasm until the world rejects the global dollar standard.
Senator Rand Paul is in a state of virtual alarm about Yellen’s “spend our way to prosperity” zeal. If her nomination can’t be stopped, it will be good if Paul can at least use her nomination to advance an audit-the-Fed bill.
When the judgment day on this quantitative easing madness comes around at last, a thorough audit of the Fed will at least let us know where all the bodies are buried.
“I’m sorry, America. QE is the greatest backdoor Wall Street bailout of all time.”
It’s not that we didn’t know. But its nice to see it made explicit. Andrew Huszar managed the Federal Reserve’s trillion dollar plus Quantitative Easing bond buying spree in 2009-10. From the Wall Street Journal, here is his confession:
QE may have been driving down the wholesale cost for banks to make loans, but Wall Street was pocketing most of the extra cash…
The banks hadn’t just benefited from the lower cost of making loans. They’d also enjoyed huge capital gains on the rising values of their securities holdings and fat commissions from brokering most of the Fed’s QE transactions. Wall Street had experienced its most profitable year ever in 2009, and 2010 was starting off in much the same way…
Having racked up hundreds of billions of dollars in opaque Fed subsidies, U.S. banks have seen their collective stock price triple since March 2009. The biggest ones have only become more of a cartel: 0.2% of them now control more than 70% of the U.S. bank assets.
Is Hyperinflation Just Around the Corner?
I have written many times about the “hidden'” U.S. government debt, which is much more perilous than the “visible” government debt. Like an iceberg, most of which is unseen beneath the water line, this hidden debt, is much larger than the visible debt, the $17 trillion that is the subject of public discussion and legislative debate.
But the hidden debt, consisting of the government’s unfunded liabilities, is more than ten times larger than the visible debt.
It is about $205 trillion.
I have often cited Boston University Professor Laurence Kotlikoff on subject of the hidden debt, an issue he has confronted with clarity for years. Now, not to be missed is an article by Kotlikoff on the Fed, Quantitative Easing, the the prospects for hyperinflation:
“The fact that the Fed and Treasury dance this financial pas de deux shows how much they want to keep the public in the dark about what they are doing. And what they are doing, these days, is printing, out of thin air, 29 cents of every $1 being spent by the federal government.”
The World’s Greatest Investment Event!
I hope you can make plans to join me at this year’s New Orleans Investment Conference, November 10 – 13. This is the big kahuna of investment conferences and has been for almost four decades. Among its featured speakers over the years have been F.A. Hayek, Barry Goldwater, Ayn Rand, Milton Friedman, Margaret Thatcher, and Sir John Templeton.
I’ll be speaking about crucial discoveries in economics that every investor needs to know. I’ll also get to share a podium with Martin Weiss, Chairman of the Weiss Group, whose Weiss Research is the publisher of The Freedom and Prosperity Letter.
And later I will join Ron Paul and Washington Post columnist Charles Krauthammer for an important panel discussion on America’s future.
The New Orleans Investment Conference 2013 promises to be a rewarding event. Not to mention the great restaurants, music, and historic flavor of New Orleans! Make plans to attend if you can.
Congress? “They Should All Be fired!”
Not only do we see US intelligence agencies again spying on their own citizens, but a total failure in controlling them by their ostensible “masters,” the US Congress and White House.
Clearly, neither Congress nor the president know what’s going on behind CIA and NSA’s wall of secrecy – not to mention the 14 other US intelligence agencies.
– Eric Margolis MORE HERE
The Power of the State versus the Power of Love
Robert Higgs, The Independent Institute
Meanwhile, all the positive, productive forces of society continued to reside, as they always have, within the people themselves.
Given that creation has more value than destruction, how did it come to pass that the state—an institution based on violence and plunder—has overridden peaceful cooperation as the dominant factor in social life virtually everywhere on earth?
This simple question requires, I think, a complex answer.
Wartime Confessions of a Talk Radio Heretic
This is the transcript of a speech Charles gave the night the Iraq War broke out, on March 19, 2003, before the Phoenix Economics Group in Phoenix, Arizona.
Now, with the benefit of ten years’ hindsight, see how well you think it holds up.
I left my radio studio this evening to be here just as President Bush’s ultimatum to Saddam Hussein expired. The bombing of Iraq, which has been going on more or less continuously since 1991, at this hour assumes a new intensity, joined by helicopter gunship attacks, and a ground invasion. A headline in the foreign press—I have after all become accustomed to getting my news from foreign press—screams, “Expecting Iraqi Mothers Rush to Give Birth Before War! Baghdad: The sound of screaming filled the maternity ward at the Elwiyah Hospital on Tuesday, as women rushed to give birth ahead of an impending U.S. invasion. Many pregnant women demanded to have Cesareans rather than risk delivering their babies during war, even though they were sometimes well short of their natural due date.”
Map: All the Countries John McCain Has Wanted to Attack
Syria, Iraq, Russia, North Korea, and nine other nations the Arizona senator has been eager to bomb, invade, or destabilize.
Charles Is Featured in a Graphic Novel!
Federal Reserve Lowers 2013 Growth Estimate Eight Times!
Lost in the announcement that the FederalReserve would not slow the rate of its $85 billion a month bond-buying, money printing, was the fact that the Open Market Committee lowered its growth forecast for the eighth time.
For four years the Fed has been expecting GDP growth to accelerate to at least 3 percent.
The Fed, by Bernanke’s own admission has not understood the full measure of the harm the financial crisis and the recession have done to the economy.
The Fed is not to be faulted for not having perfect – or even very good – vision of conditions to come. But it is to be faulted for the conceit that it can interfere with the meaningful and information-laden signals of real interest rates in the marketplace, replacing them with contrived and therefore misleading rates.
The Fed thereby forestalls the real adjustments the economy needs to restore its resilience. At the same time it continues to deceive actors in the economy about the real conditions of consumer well-being and the capital markets. The malinvestments resulting from these bogus signals will themselves eventually need to be liquidated at great cost, no less than the malinvestments of the dot.com bubble or the real estate bubble.
Wall Street and big U.S. banks don’t want overseas competition
This gives them a huge incentive to promote laws that restrict the investment choices available to Americans to “U.S. only.”
Foreign banks, brokers, and trust companies are falling head over heels in their rush to get rid of as many U.S. clients as possible.
It’s no surprise why, either. Federal laws like the Foreign Account Tax Compliance Act (FATCA) have literally made Americans financial outcasts worldwide. It’s far easier for foreign firms to fire their U.S. clients than to try to comply with ever-increasing demands from the IRS and other three-letter agencies…
As we’re now finding out, many foreign firms won’t bother, and as a result, our ability to use safer, more stable and potentially more lucrative options offshore is reduced.
In a sense, it’s just another example of the government telling you what you can and cannot do…
– Mark Nestmann More HERE
America, We Have a Problem!
The CIA’s Deadly Cultural Ignorance
Washington’s inability to generate a modicum of stability in the places that it has come to dominate militarily is characteristic of the delusional nature of the American imperial experience itself…
When Clintons, Bushes and Obamas win the Oval Office they tend to reward loyal supporters with important positions relating to national security which they are in no way prepared for. How else to explain the amateurism bordering on cluelessness evident in Bill Clinton’s appointment of trade attorney Sandy Berger as his National Security Adviser, the Bush White House’s Scooter Libby, and Obama’s Thomas Donilon?
– Phillip Giraldi,
Why the Left and Right Both Hate David Stockman
by Mencken’s Ghost
Let’s begin with three questions:
1. What do you call someone who makes a compelling case that both the Left and Right are responsible for today’s economic mess and national decline?
2. What do you call someone who makes a compelling case that the culprits include FDR, the New Deal, John Maynard Keynes, Milton Friedman, Lyndon Johnson, Richard Nixon, Ronald Reagan, Alan Greenspan, George W. Bush, and Ben Bernanke?
3. What do you call someone who makes a compelling case that both crony capitalism and crony socialism are equally harmful?
Ron Paul Joins Jay Leno Thursday Night!
Don’t miss The Tonight Show with Jay Leno when his special guest is Ron Paul.
If the past is any indication, the audience reception will be one of wild enthusiasm!
Thursday night, September 26.
Why would Tehran want a war – and with a superpower?
Why are John McCain and Lindsay Graham so dead set on war with Iran? For the same reason they are dead set on wars elsewhere. McCain is on record wanting to invade, bomb, or destabilize more than a dozen different countries.
But as Pat Buchanan writes, its stretches rationality to make the case that Iran is the Fourth Reich. “Depending on one’s source, Iran’s economy is 2 to 4 percent of ours. After oil and gas, its big exports appear to be caviar, carpets and pistachio nuts.”
“Since the 1979 revolution, Iran has attacked no nation and gone to war once – to defend herself against Saddam Hussein’s aggression that had the backing of the United States.”