Some Commentary On Inflation

An often asked question goes something like this: “How is it possible for the Fed to expand the money supply without inflation showing up?” There are two answers to this question. One pertains to the real rate of inflation versus the reported rate of inflation. Government continues to manipulate and change CPI calculations in ways to diminish the reported amount [...]

Another Nail In The Coffin — Another Swiss Banking System Capitulation

Switzerland, the land of the honest banker and honest banks, is following the path of the rest of the world by allowing “bail-ins.” Bail-ins, for those who may still now know, are what was demanded in Cyprus in order to get an ECB bailout. Bail-ins are the confiscation of all or part of bank deposits held by private individuals and [...]

Corruption Run Amuck

To understand why markets are so dangerous, it is only necessary to listen to this interview with economist Jeffrey Sachs. Regarding the rampant disregard of honor, truth and legality in markets, he says: I regard the [Wall Street] moral environment as pathological … We have a corrupt politics to the core, I’m afraid to say… both parties are up to [...]

White House — Banker Connection Pre Gold Collapse

Gold collapsed on Friday, April 12, 2013. The follow-through continued on Monday, April 15. I have explained elsewhere why it would be in the interests of the banks and the government to have this happen. I am not a conspiracy theorist, but it is suspicious that on the Thursday before the Friday gold collapse there was an 11:00 AM meeting [...]

South Park Anticipates Cyprus

To appreciate how the citizens of Cyprus must feel, watch this clip from South Park. Is it possible they knew what was coming? H/T to Kerry Lutz

More on Cyprus and Europe

Gordon T. Long and John Rubino discuss the Cyprus crisis. Takeaway line: “Almost anything can push us over the edge.”

The Continuing Crisis

A list of issues that I found time to tweet about but not offer my commentary is included below. I consider most of these important to the continuing and worsening crisis. Gold To Benefit From Cyprus Fiasco, The Dollar and the Real Inflation Story Say Goodbye to the Purchasing Power of the Dollar Anatomy of the Bank Run – Murray [...]

Federal Reserve Policy Ensures Inflation

The Federal Reserve is the enabler of Federal government’s profligacy. It plays this role by monetizing the debt, i.e., purchasing Treasury bonds that otherwise could not be sold, or at least not sold for the artificially low interest rates that currently prevail. Since the financial crisis, the Fed’s balance sheet has risen from $800 Billion to over $3 Trillion! Government [...]

The Government Is Bankrupt and Will Destroy The Economy

Most people don’t understand the unsolvable problem the US government has created for itself and its citizens. Sovereign default is beyond a likelihood; it is inevitable. When and which (possibly all) obligations are defaulted on are to be determined. Panicked political decisions, likely in the near future, will produce a complete financial and economic collapse. Hopefully that is the worst [...]

The IMF — A Bureaucratic Lesson

“After twenty years of service, I am ashamed to have had any association with the Fund at all.“ No, the “Fund” is not Bain Capital, despite what Obama and his minions would have you believe. Nor is it a private enterprise creation. It is a government-created fund of the worst kind — an intergovernmental creation, a globalist creation. It is [...]

Jim Grant On Interest Rates

Jim Grant opines on the Libor scandal and central bank interest rate manipulations: H/T here and also another link.