Mentally Kiss Your Pension Fund Money Goodbye

Written by Gary North on November 25, 2011

The main story of MF Global is that the crisis in Europe brought it down. Wrong story. The main story is that the firm dipped into customers’ paid-up accounts and moved the money. Where to? It’s not clear. How much money? It’s not yet clear. It may be over a billion dollars. This is illegal, […]

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Why Occupy Wall Street and the Tea Party Are Opposed

Written by Gary North on November 23, 2011

Occupy Wall Street is the Left’s belated attempt to counter the Tea Party movement. The Tea Party caught the public’s attention through its spontaneous 2008 protest against the mess that Congress has produced. It is bringing this message to Americans: the government is too big. It spends too much money. It borrows too much money. […]

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False Choices in Europe: Integrate or Inflate.

Written by Gary North on November 23, 2011

The European disaster is the result of two very bad ideas: (1) partial political integration (rather than none) and (2) partial monetary integration (rather than none). Now that this experiment has blown up, the “cures” are supposedly these: more political integration (budgets) and more monetary integration for the non-PIIGS nations. A few people are saying […]

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China Moves Toward Recession, as Austrian Theory Predicts

Written by Gary North on November 23, 2011

The Austrian theory of the business cycle is clear: when a central bank inflates, it will produce a boom. When it slows the rate of monetary inflation, the result is economic recession. I have written about this here. China’s central bank has been the most inflationary of any industrial nation. Now it has slowed, because […]

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EMP Attack: Shielding America’s Power Grid for $1 Billion

Written by Gary North on November 23, 2011

The threat of an EMP attack is great: enormous destruction, but very low probability. However, as the price of nuclear weapons falls, the threat increases. Ah EMP attack would cripple electrical power. A complete attack: across the nation, missiles 45 miles above the earth, could wipe out at least a third of America’s population. It […]

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Visible Dead End: The Supercommittee Poops Out.

Written by Gary North on November 23, 2011

The congressional supercommittee officially fails today. Gridlock doomed it. Good. It deserved to fail. Only 25% of Americans expected it to succeed. Ron Paul was right. The whole idea was unconstitutional. The U.S. House of Representatives is in charge of the budget, not some joint committee. The whole thing was a sham to get the […]

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European Bank Run: Here Comes Recession

Written by Gary North on November 23, 2011

When The New York Times has figured it out, it’s real. This story reports on what amounts to a run on the banks. Rich investors are selling PIIGS bonds, pulling out of PIIGS banks, and fleeing for safety. This forces up interest rates in PIIGS countries. This forces banks to raise rates to borrowers. This […]

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