Unbelievably, the abject stupidity of protectionism, in this case the so-called
"Buy American" protectionism, is now resurfacing after all these decades of
everything "going global" so that now the stupidity of protectionism is even
more glaringly stupid since the globe has grown into a huge, incestuous,
corrupt labyrinth interwoven with the tentacles of everything else grown foul
and corrupt, all stitched together by zillions of contracts, deals,
"arrangements", schemes and scams, both private and public, all leveraged at
huge multiples of a little speculative capital, and which is all now teetering
on the edge of collapse after the global economy has lost untold tens of
trillions of dollar's worth of wealth in the last few months alone! Yikes!
Such profound stupidity is perfectly characterized by the cover of the
Economist magazine with the title "The Return of Economic
Nationalism" overlaid on a picture of a decomposing arm and talon-like hand
arising from the spooky, foggy graveyard where economic stupidities and
monsters are buried, one day hopefully joined by the rotting corpse of the
loathsome neo-Keynesian econometric theories adhered to by the laughable
Federal Reserve and taught by the majority of the nation's universities, which
together comprise what George Ure at UrbanSurvival.com calls "the current crop
of formulaic trance-masters and economystics", which has now laid us to ruin
with their stupidities.
Which is in itself a sad, sad commentary, indeed, on the real value of
America's universities and school system, infested as it is by millions of
apparent halfwits, where not ONE of them was the least bit conversant about the
last 4,500 years of economic history as pertains to a fiat currency, children's
elementary arithmetic disproving "investing for the long term" as a viable
theory, the Constitution, or even common sense, much less about the One True
Economic Theory, which is the Austrian Business Cycle Theory, which is free to
everyone at Mises.org, so they can't use "cost" as an excuse.
Which is not to even mention the repellent-yet-willing cooperation of the
worthless "news media" which was given special protections in the Constitution
so that they would be able to ferret out and expose such governmental
stupidities and corruptions, like the corporate "whistleblower protection plan"
we have at work that is currently protecting one Miss Sallie Mae Suggins, from
the accounting department, for squealing on me for, ummm, certain
"irregularities" surrounding a nifty check-kiting scheme between the
honor-system coffee fund and the office's petty cash balances.
But this is not about how we have been led down the path of destruction by the
corrupt news media and the lapdog universities not doing their jobs, failing
miserably, just as miserably as the Federal Reserve and the worthless trash in
Congress have failed us, but about protectionism, which may be ostensibly about
"saving jobs", but it is actually about retaliation and massive tit-for-tat
protectionist legislation, which makes everything that anyone buys cost more
and more, making everything worse and worse, inflations spiraling until you are
bankrupt and starving, which only underscores just how stupid Congress really
is in considering protectionist legislation, and how it is imperative that you,
your family and your friends and neighbors form into a mindless mob of maniacs
to descend on Washington, DC in a foul mood, wreaking a terrible vengeance,
while I stay here in the Mogambo Bunker Of Womb-Like Security (MBOWLS) and
monitor the airwaves for news of your progress and for Bewitched reruns.
Even Jim McTague in Barron's agrees with me without knowing it, as he reports
that "The Buy American provision is intended to create jobs here, but it could
cost taxpayers a heap of money. It generally mandates that supplies and
equipment used in tax-financed infrastructure projects contain at least 50%
American content, and that project managers (are also mandated) to buy goods
and services from Americans as long as their bids are less than 25% higher than
those from foreign rivals. In other words, taxpayers could pay a 25%
surcharge." Hahahaha!
Did he say, "Could"? Hahaha! That's the whole point of the thing, dude! Better
you should say, "The Mogambo is right! We're freaking doomed, and if you are
not buying gold, silver and oil, then you are Truly, Truly Screwed (TTS)!
Whee! This investing stuff is easy!
Richard Daughty is general partner and COO for Smith Consultant Group,
serving the financial and medical communities, and the editor of The Mogambo
Guru economic newsletter - an avocational exercise to heap disrespect on those
who desperately deserve it.
(Republished with permission from
The Daily Reckoning. Copyright 2009, The Daily Reckoning.)
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