Standard of Living – Madison, Wisconsin

Tags: borrow, darth vader, death star, debt, debt star, hope, inflation, money, obama, president, savior, spend, star wars

Wisconsin has a terrible set of Congress critters.  Five of them were recently found guilty of voting to enslave children, elderly, and poor individuals to a decreased standard of living because of the inflation necessary to pay for the bailouts AND bonuses they authorized to AIG employees.  In the photo above, you see those that were forced to pay for AIG bailouts and bonuses setting up home outside of AIG headquarters because the inflation of the money supply has destroyed their savings and they can no longer afford shelter.  This is a sad truth of what is coming around the corner due five guilty Congress members in Wisconsin.

Wisconsin Congress Members Found Guilty Of Voting Yes To Authorize AIG Bonuses:

1. Tammy Baldwin
2. Ronald Kind
3. Gwen Moore
4. Steve Kagen
5. David Obey

All five voted to make the children, elderly, and the poor of Wisconsin economic slaves to AIG by not giving them an option to to opt-out of the requirement to give a portion of their current and future incomes to AIG employees.  These individuals also were not given an option to opt-out of the increase in prices of food and shelter that will soon occur because of the increased printing of U.S. dollars out of thin air they authorized to pay for the AIG bonuses and bailout.  I’m sorry.  Why do these criminals in Congress vote yes to print bailout money out of thin air which destroys the value of current money saved and raises food and shelter costs for everyone?

I wonder if Ron Kind is going to give back all that money AIG gave him in 2008?  I bet that money they slid him was a good reason for him to approve all those AIG bonuses!

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Tags: AIG, bailout, bonus, congress, cost-of-living, david obey, economy, f. james sensenbrenner jr., government, guilty, gwen moore, inflation, money, paul ryan, ronald kind, slave, steve kagen, tammy baldwin, taxes, thomas petri, vote

Maybe the king of printing press economics and second-hand peddler of the religion of inflationism, Paul Krugman, will give his highly intelligent advice that the NYT should print up more scraps of paper stock.  That would mean more wealth for the NYT according to Krugman’s theory of printing press economics.  Oh wait, that would just dilute the wealth of the current stockholders.  Oh, I guess that is what is going to happen to current holders of U.S. dollars after the federal government prints up more scraps of U.S. dollars to fund the inflation “stimulus” package.

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Tags: economic theory, economics, inflation, inflationism, new york times, paul krugman

From the lips of Paul Ryan comes this hilarious take on how to ’solve’ the inflation problem in America:

Due to the serious threat that inflation poses to our economy, I have introduced H.R. 6053, the Price Stability Act. Currently, the Federal Reserve Bank has a dual mandate: to promote full employment as well as price stability. Unfortunately, these goals, while laudable, can lend themselves to contradictory policy responses. For example, we are currently seeing both rising unemployment and increasing inflation. Traditionally, the policy response to rising unemployment would be to lower interest rates to stimulate the economy; however, the response to increasing inflation is to raise interest rates. With these competing aims, the Federal Reserve finds itself in a difficult position.

The Price Stability Act would solve this problem by removing the dual mandate. It would instead give the Federal Reserve only one mandate – to maintain price stability. It is important to recognize that, by virtue of its control of monetary policy, the Fed is the only institution that can control inflation over the long-run. By providing stable and foreseeable prices, businesses and individuals are better able to plan for the future and provide continued growth for our economy. Additionally, stable prices would ensure the continued buying power of our wages.

(Full article here.)

Wow, what a complete waste of time and effort trying to solve the inflation problem, not to mention a very socialist attitude regarding the creation of money.  It appears that the only political party left to defend freedom in commerce is the Libertarian Party.  The Republican parasite Paul Ryan is holding fast to Keynesian junk science regarding the viability of price stability through government manipulation of interest rates and printing presses.  I guess this big government worshiper doesn’t understand that price stability can never happen.  Prices always fluctuate to reflect the new information regarding the supply of and demand for the Earth’s natural resources.  However, maybe Paul Ryan is more intelligent than I give him credit for.  It is possible that in wanting ‘price stability’ he is referring to getting rid of or reducing the continuing rise of prices of most products in the market (which uninformed pseudo-economists incorrectly call inflation).  Well, then again we find that Paul Ryan is still misinformed about proper economics.  If he is wanting to get rid of the continuous rise in the general price level, than his Price Stability Act surely will be a failure.  Paul Ryan wants the Federal reserve to have only one mandate—control inflation.  Now this is absolutely hilarious for it is the Federal Reserve itself which inflates the money supply and causes the subsequent rise in the general price level!  Mr. Paul Ryan, how in hell is the Federal Reserve going to control price increases when it is the Federal Reserve’s  very existence that causes the rise in the general price level!?!?!?  Well, politicians aren’t exactly the brightest bulbs in the world.  What is so disastrous about this entire comedy is that it is Republican idiots like Paul Ryan who preach about the glories of free markets but have no idea what in the hell that means!  What is needed is for more libertarians to run for office to obtain a platform to reach broader audiences to put people like Paul Ryan in his place.  Call him out.  Tell the public what he really is so that Republican shams like him stop calling socialist policies the ‘free market’.  We need true free market libertarians to shout from the rooftop that these big-government-loving Republicans hate the free market for money and love their twisted socialist/fascist monetary schemes.

This great book, What Has Government Done To Our Money?, by Murray Rothbard shows the futility of the Federal Reserve controlling the continuous rise in the general price level.  Here and below are some true monetary free market lovers shouting it loud and clear!

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Tags: big-government, Fascism, Federal Reserve, free market money, h.r. 6053 price statability act, inflation, interest rates, liberarian, libertarian party, murray rothbard, paul ryan, price stability, printing press, republican, socialism, what has government done to our money

Immense gratitude goes to one of the commenters in this forum for the idea for this post title.

As the federal government continues to borrow and print paper money (because it is bankrupt) and directs it into unprofitable worthless financial companies and now incompetent automakers, the federal government is destroying thousands of good profitable jobs and companies as profitable firms will not have access to this capital redirected by government.  As Peter Schiff mentions in these videos, government is directing capital away from profitable use and funneling it into unprofitable use.  Then, because the federal government has destroyed valuable profitable firms and products, customers decide to hold their cash as they don’t want to purchase the products offered by the firms that the government has bailed out.  Giving money to incompetent automakers does not change the fact that customers still will not buy the products of these failed institutions.  This creates a recessionary effect over short and long periods of time and so government will then feel it must try to correct the recession they have created.  How do they attempt to fix it?  By borrowing and printing more scraps of Federal Reserve Notes.  They do this directly through printing presses and indirectly by lowering interest rates.  Of course, printing more scraps of paper then what was already in circulation doesn’t create wealth or fix the problem of unwanted products, but it does create inflation.   Well, maybe with all those trillions of scraps of worthless paper (the US dollar) the federal government has been printing, the worthless soon-to-bailed-out firms of GM and Chrysler will be mandated by government to produce a hybrid that runs on these worthless notes.  That would be a fitting relationship—three failed institutions, the Federal Reserve, GM and Chrysler teaming up to produce a worthless product that runs on worthless scrap paper—neither of which there will be any shortage of in the future thanks to government intervention.  Imagine what a wonderful world would we live in if companies succeeded or failed based on how well they met the needs of individuals in society.

Peter Schiff on CNN Auto Bailout Intense Debate! 12/4/08 part 1/2

Peter Schiff on CNN Auto Bailout Intense Debate! 12/4/08 part 2/2

The Federal Reserve will end this economic crisis! Right?

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Tags: automakers, bailout, chrysler, detroit automakers, Federal Reserve, gm, inflation, peter schiff, scrap paper, us dollar

Congress as a whole is rather anti-intellectual.  Ron Paul picks up the slack though and delivers great advice every time.  Ron Paul answers the following questions with enlightening commentary:

• Is the recent tweaking of the bailout plan good news or bad news?
• Is the central plan to “save” the dollar in reality “attacking” the dollar?
• Is the recently new monetary system we have had since 1971 working?
• What are some of the problems and consequences of this recently new monetary system?
• What do the consequences of the monetary system mean for average individuals living in Madison, WI?
• Is our monetary system moral or immoral?  Why?
• What are the good components of Barack’s or McCain’s platform?
• What are the bad components of Barack’s or McCain’s platform?
• What ideals do individuals need to uphold to make this economic situation better?

Tags: bailout, barack obama, inflation, john mccain, keynesian economics, ron paul