Stacy Summary: Some bigger picture stories to ponder over the weekend. The common thread being that policy set by and for the oligarchy is invariably bad for the people.
- Credit crisis a ‘gigantic ponzi scheme, lies and fraud & the current financial ‘reform’ will do nothing to address
- On average, charter schools do no better than public schools
- How the US became ‘wildly inefficent at creating American tech jobs’
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If you can’t whack the kid, or at least hit him close fisted, thereby knocking him off his chair backwards, (ie, at least have the option) all the teaching in the world will not improve his report card one bit. In addition, he must stay outdoors when he is not either in school, studying, reading, eating or sleeping. So what do you want? A dumb sissy, or a reasonably intelligent kid?
Sgt. Rock
What do you consider a level playing field, if you don’t mind my asking? GB
Government money for government debts; private money for private debts.
We can all do ourselves a favor by reading a brilliant and utterly lucid essay by Hugo Salinas Price, the billionaire Mexican businessman:
http://jessel.100megsfree3.com/GoldStandardSalinas.pdf
A french insider says that the gold paper presently circulating is NOW 200 TIMES ! the physical reserves !!!!!!!!!!!!! No wonder lovely russians spies are trying to know what is going on and the russian central bank is agressively adding physical gold. 200 TIMES ! in worthless paper ! Now imagine just 5% of these paper converted converted in metal ?.
—————————————————————————————————-
A PROPOS DE L’OR, LETTRE D’UN LECTEUR BIEN INFORME
du 30 juin au 3 juillet 2010 :
Bonjour ! Je vous invite à regarder cette image, l’or a fait une dévissee brutale aujourd’hui. Il devait aller à plus de 1300 USD l’once et provoquer la panique dans le poulailler. Heureusement, notre bon ami Jean-Pascal Morgan a appuyé sur la touche verte de la Xerox et a sorti plein d’or papier.
Or papier…
Or quand même! De toute manière, nous sommes dans un concours de photocopieuses. Laquelle peut cracher le plus vite ? Celle qui émet des dollars, celle qui émet des euros ou bien celle qui émet de l’or papier ? Donner des billets verts de la Fed pour recevoir des ETF en échange, franchement, je ne vois pas l’arnaque.
En tout cas, aujourd’hui, tout homme bien sûr sait que que chaque lingot d’or a été vendu 20 fois. Il y a des nerveux qui disent 100 fois. Les consipirationnistes parlent de 200 fois. Grosso-modo, le jour ou tout ce beau monde commencera à réclamer la livraison du métal, il y aura un grand tirage au sort pour savoir à quel demandeur envoyer la barre et à quel demandeur envoyer une lettre d’excuses.
Je suis ingrat quand même ! Chaque fois qu’ils manipulent les prix vers le bas, je me fais livrer quelques lingots avec le logo de l’UBS dessus. S’ils continuent comme ca, promis, à la fin de l’annee, si nous sommes tous là, je leur envoie le Champagne pour la fête.
Pierre Jovanovic, il y a deux bruits très caractéristiques qu’un homme doit connaître avant d’atteindre 50 ans: le bruit de deux lingots d’or qui tapent l’un contre l’autre et le bruit d’une AK-47 qui vous allume de loin. Je suis sûr que vous connaissez les deux et c’est pour ca que vous allez vaincre.
Peace !
Madmax
@guiseppi:
If KD is on fire, may we roast some of Dedo’s weenies?
@chArles
I dig JK Galbraith
His version of 1929 is brilliant
got any other recommendations for me to absorb?
I’ve got plenty of eyes to spare…
if an amalgam of theory is too highly untenable to extol
then we are all fucked
go roll up into the fetal position with your anarcho-syndicalist fantasies…
I’m better prepared than you…
@Giuseppe Bagodonutti
“I am not an anything, classically definable”
my response another copy and paste
“That seems like a highly untenable position to extol…”
I know old John Kenneth Galbraith is not your cup of tea but he is right when he said…”nothing has changed in the last several thousand of years in economics other than how to mask the leverage.” paraprhasing him…I run around pretending to be this uber hip nihilist/post modernist anarcho-syndiclist super buddha but I’m just aping Hericlitus and Dygonesis…maybe you have discovered the new cool unquantifiable outlook…but
That seems like a highly untenable position to extol…
@Frank Beard
I am not an anything, classically definable…
I am a Mongol Economist Quant in training, for the moment…
What do you consider a level playing field, if you don’t mind my asking?
That seems like a highly untenable position to extol…
@Giuseppe Bagodonutti,
I am a radical libertarian but ONLY after a just reset of the current system. Then total liberty in money creation on a level playing field.
@chArles,
Agreed! Karl attempts to defend the morally indefensible. He does the best he can but he had better watch his sanity if he persists.
Lyndsey Williams on GoM and Peak Oil
http://www.youtube.com/watch?v=sVK35epQapM
http://www.youtube.com/watch?v=kr6QxS2N3o8&feature=channel
http://www.youtube.com/watch?v=agTBDI5W5u4&feature=channel
http://www.youtube.com/watch?v=qpAOwMdiLTo&feature=channel
http://www.youtube.com/watch?v=3-Ass180m74&feature=channel
http://www.youtube.com/watch?v=wTIkWKsiLIw&feature=channel
http://www.youtube.com/watch?v=2Xqus7BREaU&feature=channel
… and Mr. X .. of course !
BTW
F.Beard
judging from your comment,
it seems you are coming from the side of consumerism…
That is futile if not foolish…
Anyone can be a welfare victim…
What made America remarkable was ingenuity
and the environment that fostered it to flourish…
By handing out Fiat Welfare, you do very little except support an idiocracy…
I think it wiser to put up economic fences that FORCE the ingenuity to be reborn and bred…
Globalization is a disaster of specialist stupidity…
Are you a number?
Are you a prisoner?
McGoohan is dead…
Long live #6
http://www.youtube.com/watch?v=14eUKogPF7s
@ F. Beard
Karl’s solution is simple the creditors must be made whole…they must recoup the full 100 cents on the dollar even if this means “sacred cows” must be sacrificed…these “sacred cows” of course would not include a redressing of tax policy off the backs of labor and back onto the rentier classes which is what all true free market believers supported from Adam Smith to Karl Marx…no this is the social welfare system…crank down on the middle class bennies like social security and medi care
I still haven’t heard a true reason why creditors should be paid…they’ll take away the money? really all they hold is worthless paper or electronic blips on their screens
compound interest allways leads to the current problem…and the same choice is always before the people…those holding the paper/deeds demand to be paid in full and their lackies come forth and tell the people it is their moral duty to see good to the creditors…AUSTERITY IS OUR SALVATION
the other option is well COME DOWN MOSSES…SET YOUR PEOPLE FREE A DAY OF JUBILEE IS WHAT IS NEEDED
Europe tried the austerity last time this crack up hapened…it lead to the Dark Ages…we have to much Calvinism in us now to truly be free so
welcome to OUR FUTURE
“BRING OUT YOUR DEAD”
I read Karl’s recommended solution. I disagree. There is an easy way out but it is apparently unthinkable to a banker.
@Frank Beard
(Love your work with ZZ Top, BTW… )
I think Karl is hinting at the same things that the TECH JOB story was suggesting…
treat this as Economic Warfare…
Do not be concerned with consequences…
The Economy should serve the Populace
not the other way around…
let the tariffs come.. rebuild the manufacturing infrastructure…
Go Protectionist…
That’s what the Chinese are doing…
Smoot-Hawley was nothing in the grand scheme of things…
it only allowed for a rebound…
http://en.wikipedia.org/wiki/Smoot%E2%80%93Hawley_Tariff_Act
That said I’m in the middle of watching this vid,
http://www.youtube.com/watch?v=tH8sgc9nxp8
c/o Kevin Duffy at “Austrian Economics and the Financial Markets,” the Mises Circle in Manhattan on 22 May 2010
and came across this odd quote
I’m for markets. But when it felt like it had gotten abusive, when it was free-money to short sellers who were piling it on, it felt less like the market and more like it was being manipulated. I crossed over.
- Lloyd Blankfein Jan 2010
Anyone?
Hello?
Are we all in agreement? Giuseppe Bagodonutti
So what is Karl’s solution?. I say the economy could be reflated with an equal distribution of a sufficient amount of new legal tender just given to every US adult. It’s so hard to get onto his site (only to be risked being banned) that I won’t bother suggesting it to him though.
If Rob Kirby is the Johnny Rotten of Economists,
then Karl Denninger must be the Henry Rollins of Finance…
If he didn’t have a blog,
he’d probably go out and kill…
Denninger is on fire:!:
http://market-ticker.denninger.net/archives/2010/07/02.html
He’s using almost every relevant euphemistic analogy currently available…
Now if only someone could deny what he is saying,
then there would be something for debate…
Anyone?
Hello?
Are we all in agreement?
snoorncletus bot wun them thir erl sukin trucks. a hedin fur da coast.
Antonym of the day:
COGNIZANT
Has anyone herd of Gullible’s travels ?
Word of the Day: Gullible
@susan,
I like me some Plato!
I’ll bookmark your link:
http://www.brainyquote.com/quotes/authors/p/plato.html
http://www.youtube.com/watch?v=dnPatMfEMRM&feature=player_embedded
That article on Tech Jobs is poignant…
Not only does it echo James Goldsmith’s revelations from 1994,
it also provides an outline for solution…
If you want to compete with a command economy (ala China et.al.), it is imperative that one sets up the environment that nurtures it…
That’s right… use tariffs to cut the profit margin, while the Yuan rises and wages are raised overseas…
The sword has two edges, so swing away…
The analogy of engineers was quite humourous:
The story comes to mind of an engineer who was to be executed by guillotine. The guillotine was stuck, and custom required that if the blade didn’t drop, the condemned man was set free. Before this could happen, the engineer pointed with excitement to a rusty pulley, and told the executioner to apply some oil there. Off went his head.
That is the situation at hand…
Take away the oil cans…
let the blade seize…
How Goldman gambled on starvation
http://www.independent.co.uk/opinion/commentators/johann-hari/johann-hari-how-goldman-gambled-on-starvation-2016088.html
Profitez de votre soirée
@stacy
Max buy you a Tesla? Thought you were a gold gal …
@Meow
right! there will be a lot of hissing cats around.
still hot in Paris? she do attract a crowd.
Photos Of Surfers And Other Ballsy Tourists On Oil Contaminated Beaches
Read more: http://www.businessinsider.com/surfers-swimming-oil-spill-beaches#note-the-black-specks-behind-surfer-mike-dangerfield-are-tarballs-1#ixzz0sYpwhZ7l
Could BP have a similar effect on economy as Lehman? Hmmm … check this out.
http://econotwist.wordpress.com/
“But what kind of a society are we going to have if it consists of highly paid people doing high-value-added work — and masses of unemployed? ”
You wont have a society like that for long eventually you’ll have revolution.
@Palantir
Why do economic experts …tend to stick to one economic school of thought …?
Becuz they don’t have Mongolian blood in them
The Mongols would destroy anything they didn’t understand, and adopt anything that was useful…
Many people (not just economists) find it difficult to amalgamate differing POVs into a new singular idea…
Maybe they all need to drop some LSD ?
That’ll fix ‘em in a hurry…
Economics is not a science its merely an extension of politics—as such a form of mental aberration!
is that creditwritedowns.com link dead?
i get a blank page
reading, writing, and arithmametal.
Is this how the economic collapse will unfold? Time will tell. It is time to prepare imho.
economic collapse pt 1 http://www.youtube.com/watch?v=ga5c6SPBl-I&feature=player_embedded
economic collapse pt 2 http://www.youtube.com/watch?v=an7Ed9UTApU&feature=related
remember gold and silver are the best book keepers.
could one say that education has become a commodity?
@white hunter – I’m sure Walmart will get into the education business, if they haven’t already
@all – Tesla’s 3 day round trip: http://blogs.wsj.com/deals/2010/07/02/tesla-as-a-metaphor-for-stock-market-malaise/?mod=e2tw
with the decline of education in the u.s. for the last 30 or 40 years and the popularity of online learning, i’m looking for walmart to get into the education business. it will be crap but at “everyday low prices.”
seems Plato had some good quotes for current times: maybe things are not so much different now to how they were back then?
http://www.brainyquote.com/quotes/authors/p/plato.html
Thanks, Norcalkid, for the link. Beautifully written.
I’m afraid that everyone I know is an adult.
@ Marc Authier
et l’empire française aussi?
@ -N-
my sister-in-law is Head of Science in a Private School in UK: she has no University Degree, just about scraped her ‘O’ level in Maths, and manages to appear as if she knows what she’s doing by reading about the science lesson the day before she teaches it! They got rid of the previous Head of Science, who had a Bsc, because presumably he was too expensive, and they don’t tell the fee-paying parents because presumably they don’t ask! How’s that for a con?
Three Views Of A Secret:
http://www.youtube.com/watch?v=mQa_JHyA7To
(there are some better versions, but none with Toots)
I’ve got the powah!! ah-ha-ha-HAHAHAHA!!
http://www.youtube.com/watch?v=_BRv9wGf5pk&translated=1
i’m not sure why a charter school would be any better than public school, at least in the state in which i reside. charter schools are funded the same, have the same requirements for professional staff; the only difference that i am aware of is that some of the educational criteria has been relaxed to spur “inovation” and they must be sponsored by a university. the ones i am aware of are just modified public schools.
This is kinda gettin’ steamy. Doesn’t she get it that nobody’s gettin’ laid anymore?
http://www.guardian.co.uk/commentisfree/2010/jul/02/russian-spy-ring-scandal
Someone asks me about the German Gold Reserves today …
… so I did a little research in German Google and found this interesting German article from Dr. Udo Ulfkotte from 3rd. July 2009 :
Schweizerzeit :
Schock für den deutschen Finanzminister :
Muss die Bundesbank ihre Goldreserven abschreiben?
http://www.gesunde-waehrung.ch/pdfs/artikel_ulfkotte.pdf
Translated :
Shock for the German Finance Minister
Must the Bundesbank write off it’s Gold Reserves ?
Here’s the interesting part ( bad translation via Babelfish ) :
… The Minister of Finance does not have an access on the Federal Bank gold. It can appeal from there only to the currency guardians. Then the shock came with secret discussions: The majority of the German currency reserves exists probably only on the paper. The United States had demanded end of the sixties-years as an occupying power at that time just like Great Britain a financial reconciliation for the stationing of British and American soldiers on German ground of the Bonn Federal Government. The Federal Republic gained at that time year by year a balance of payments on current account surplus. This money woke desires. The Federal Government rejected it at that time to pay for British and American soldiers in Germany. But instead of cash to transfer, the Federal Bank at the financial commercial centres New York and London gold bought and left large parts of in such a way acquired German gold reserves to the American federal reserve and the bank OF England on trust….
Whether this is all just political propaganda , I have no idea … interesting all the same … and plausible I suppose !
Here is the author on Youtube , talking about corruption / incompetence of German journalists ( in German )
http://www.youtube.com/watch?v=yKbXSEXgaY0
He seems a pretty serious guy … personally I don’t know much about him !
@Max & @Stacy …
Maybe it would be interesting to get him in as a guest ?
Just look at a union contract as an arbitrated business agreement, because they no longer possess the same kind of political opposition they once represented.
You have to respect the business agreement, isn’t that what they say?
just can’t legally abrogate union contracts; i have seen this with our local school systems where the benefits are cut for custodians, bus drivers and cooks so that contractual obligations with teachers can be maintained.
Max and Stacy,
http://www.msnbc.msn.com/id/38048981/ns/politics-more_politics/?GT1=43001
Talk about austerity measures… the Governor Terminator of California has cut workers for state of california to minimum wage immediately.
The exceptions appear to be those workers in labor unions.
I guess the Terminator is scared of a union.
-N-
My brother uses private schools for his children also.
Basically the only reason they are superior (in this case probably) is that they cherry pick the students and indirectly the parents (economically of course but also the parents place more priority on education).
Studies that do not take that into account are a fraud. But that is the GOP SOP. Fraud Fraud Fraud lies lies lies.
@marc
Valid points on education, sad the system is soooo f#cked up. I like the skill education. Learn a skill and become an expert at it. The system will have a hard time taking that away.
There may take the damn jobs but the skill remains. WTF, we each need some type of personal value. The trick is to develop the skill to a level where one can support a livelihood.
http://www.youtube.com/watch?v=NyOyB8zFBBc
I had never heard of Rachel Corrie before today.
So sad !
Vega Man
-N-
Nothing makes me more angry than some snotty fuck-wit banging on about how private education is so great to avoid contamination from the great unwashed!
It is where divide and rule begins, and you are one sucker if you really believe the method of your education is where the difference truly is.
Hah, I will not send Max a cookie. Pretty good Alex Jones show though.
Brazil lost I am in depression WTF
Private schools are the way to go. I attended one from elementary school through junior high and then foolishly decided that I wanted to be a ‘normal’ teenager and go to a public high school. The difference was almost unbelievable. English classes were still struggling with figuring out how to identify an adjective in a sentence. They were reading books I had read for my 4th grade English class. I found myself at 15 helping the seniors understand what ‘satire’ was when they were assigned Jonathan Swift’s A Modest Proposal. “No, He’s not actually advocating that rich people eat poor people’s babies… He is making a point about inequality and poverty…” I ended up dropping out at 16 and getting my GED. My private school education had more than prepared me for bypassing public high school altogether. I had a single mom and she worked her ass off paying for my private education – I intend to do the same for my children someday.
@stacy and max
just wondered if you’ve come across “Chais Rick” in Paris – a wine shop run by Rick (an American) : http://chaisrick.blogspot.com/
In 3rd arondissement I think
Glad to hear you had a thunderstorm, Natasa. Ok Max is on now, thanks.
Max on http://www.infowars.com/
Nice ideas, but they have a snowball’s chance in hell of ever being implemented. norcalkid
Nice poem BTW, thanks. But I don’t know. Life is unpredictable and they weren’t snowballs but Shadrach, Meshach and Abednego survived in a blast furnace. I think my country may be smart enough and have enough faith to avoid GDII
@Palantír – good question; it applies to all economic theories
@noralkid … Jobs/Grove : coming from him , that’s laughable IMO.
I suppose you know Intel’s history ?
There is a website somewhere called faceintel !
Check it out !
http://www.faceintel.com/
Andy Grove is right- we must have “job-centric” companies, rather than the only-be-concerned-with-next-quarter’s-profits companies. The race to the greatest bottom line is also the race to the bottom (=death spiral). The US workers were the “goose” that laid the golden egg, and the goose has been killed.
@F.Beard- Nice ideas, but they have a snowball’s chance in hell of ever being implemented. Read this article:
Why sociopaths win & why, no, you don’t want to be one of them:
http://www.energybulletin.net/node/53296
Why do economic experts (or rather those who are experts in reading about economics) tend to stick to one economic school of thought rather then using them as a tool for the various situations that appears as the time goes by in a society/nation?
Like the Keynesian school of economics which were intended for the situations were people saved too much money. Now we have the opposite problem but still people stick to it. Why?
Interesting article/perspective from Andy Grove. It’s true that globalization tends to take jobs offshore under the pretext of ‘efficiency’
It’s also true that Andy has himself been quoted as saying “only the paranoid survive”.
oooh, mmmm!
Forgot the header: WHERE THE MONEY WENT.
http://bailout.propublica.org/list/simple
If you are wondering why we will all (except the bankers) be put on strict diets with no pension.
@ Marc,
Here is the answer to education- Anna Chapman University. We help you to educate yourself and then how to bullshit your way into wherever you want to be!
@Marc
Can you say “trained economist”. Like the fed dope from Iowa. More like “trained seal”! Arp,arp,arp! I bet can blow horns too,
http://bailout.propublica.org/list/simple
Charity for the big guys, the poor will rise up if they keep this crap up. We are supposed to starve to pay all this off? The Fed being privately owned by the guys who screwed up, no conflict of interest in any of this. How in Hell can the people who screwed up get to make the decisions?
How to learn by yourself.
In a survey in Québec, they asked the following question to school children. “What do you want to do when when you’ll be a grown up.” 50 % answered “verbatim”. “I want to make money.” That’s the stupid education system we have WORLDWIDE.
Good video! Excellent diagnosis. We are not doomed however if we would just creatively apply some Biblical principles such as justice and debt forgiveness (Deuteronomy 15, Leviticus 25):
Here’s a way to cure deflation that requires no gold and compensates savers as well as bails out debtors.
1. Set reserve requirements to 100% to shut down the counterfeiting cartel.
2. Create a sufficient amount of new legal tender fiat and distribute it to every adult. Let’s be generous to preclude the possibility of deflation with 100% reserve requirements. The Bible mandates a minimum two-fold repayment for theft.
This would:
a. enable underwater home owners to pay down their mortgages to market price levels.
b. compensate savers for years of artificially suppressed interest rates.
c. Fix the banks in nominal terms.
d. Fix state tax revenues.
Inflation risk? Maybe, but if banks were put out of the counterfeiting business via a 100% reserve requirement then the only source of new money into the system would be under government control, the Fed and US Treasury.
Long term solution? Allow liberty in money creation, usage, and acceptance. Government money should be legal tender for government debt only (“Render to Caesar …”) while private money would be allowed to serve the private sector
@Happy Dick
Education without culture is worthless. Education is first about showing people how to be curious and how to learnig by yourself. The West is desert today when it comes for this. Moron producing education system.
zwei eins!
The value of an education in most cases is invaluable. The value in the cost of an education worth educating yourself. With folks struggling with money, frugality is in vogue for most. Anyone else putting 3 children through college?
How the USA lost it ? Imperial arrogance and too much fast food. Both are bad for the brain. Get rid of the CIA. Take out the CIA like said Ron Paul. It would be a real good start and close all the useless military bases. The Empire as usual is eating its children. Down with the Anglo-American empire. ! The same by the way can be said of the UK.
World Cup … Holland beats Brazil!!!!!!
wow. http://www.presstv.ir/detail.aspx?id=132983§ionid=351020202
Uno!
http://www.marketoracle.co.uk/Article20778.html
Wasn’t the former CEO of BP a Goldman guy? Probably sold them a bale of “Greek” goods. Beware of Goldmen bearing gifts.