Archive for March, 2012

JIM GRANT TEARS THE FEDERAL RESERVE APART

March 30, 2012

Trying to take Justice upon the parasitical and criminal syndicate who has been sucking for a century the wealth of the world.

And what would I do if, following the inauguration of Ron Paul, I were sitting in the chairman’s office? I would do what I could to begin the normalization of interest rates.

I would invite the Wall Street Journal’s Jon Hilsenrath to lunch to let him know that the Fed is now well over its deflation phobia and has put aside its Atlas complex. “It’s capitalism for us, Jon,” I would say.

Next I would call President Dudley. “Bill,” I would say, pleasantly, “we’re not exactly leading from the front in the regulatory drive to reduce the ratio of assets to equity at the big American financial institutions. Do you have to be leveraged 89:1?”

Finally, I would redirect the efforts of the brainiacs at the Federal Reserve Board research division. “Ladies and gentlemen,” I would say, “enough with ‘Bayesian Analysis of Stochastic Volatility Models with Levy Jumps: Application to Risk Analysis.’ How much better it would please me if you wrote to the subject, ‘Command and Control No More: A Gold Standard for the 21st Century.’”

Finally, my pièce de résistance, I would commission, staff and ceremonially open the Fed’s first Office of Unintended Consequences.

SINO FOREST SEEKING $4B IN DAMAGES AGAINST MUDDY WATERS

March 30, 2012

….because Muddy Waters had it right !!???

Did it use imaginary paper from the imaginary trees of its imaginary forests to file this imaginary suit?

BUSINESSMEN AND FLAMING IDIOTS

March 30, 2012

I’ve just bought a business. Well, a part of it, as I don’t have that much money (I would like to).

This business (RIMM) has had some problems lately, with declining sales amid a fierce and smart competition and not enough focused management. Anyway, I’m buying it on the cheap. Boys, it is REALLY cheap!

I’m paying an Enterprise Value of little more than 5 billions $, getting 3.12 billions $ of cash earnings from operations. Yes, that’s right…. two years and the cash I’m paying will be back. True, this year the cash earnings are 1.3 billions $ less than past year, but past year I’d have paid six times more for the Enterprise Value.

At the same time, I’m selling another business (LNKD) to some other people. These people are paying me an Enterprise Value of 10 billions $, getting 86 mln $ of cash earnings from operations. So, their cash will be back in 115-120 years.

Probably they are Elves, not mortal Men (even if I did never meet Elves with such a bad attitude to math).

What? RIMM will be history in two years, while LNKD owns the future?

Of course, baby, of course….. this time is different, isn’t it?

YOUR LAST CHANCE

March 27, 2012

A memorandum for Americans: this is where you will live if you don’t act and the complete list of perjurers who betrayed you.

„The power of the Executive to cast a man into prison without formulating any charge known to the law, and particularly to deny him the judgment of his peers, is in the highest degree odious and is the foundation of all totalitarian government whether Nazi or Communist. „ –Winston Churchill

„All propaganda must be so popular and on such an intellectual level, that even the most stupid of those toward whom it is directed will understand it… Through clever and constant application of propaganda, people can be made to see paradise as hell, and also the other way around, to consider the most wretched sort of life as paradise.“ –Adolf Hitler

„Every collectivist revolution rides in on a Trojan horse of ’emergency’. It was the tactic of Lenin, Hitler, and Mussolini. In the collectivist sweep over a dozen minor countries of Europe, it was the cry of men striving to get on horseback. And ’emergency’ became the justification of the subsequent steps. This technique of creating emergency is the greatest achievement that demagoguery attains. „ –Herbert Hoover

„Whenever justice is uncertain and police spying and terror are at work, human beings fall into isolation, which, of course, is the aim and purpose of the dictator state, since it is based on the greatest possible accumulation of depotentiated social units. „ –Carl Gustav Jung

“Education is dangerous – Every educated person is a future enemy” — Hermann Goering

“Every miserable fool who has nothing at all of which he can be proud, adopts as a last resource pride in the nation to which he belongs; he is ready and happy to defend all its faults and follies tooth and nail, thus reimbursing himself for his own inferiority.” — Arthur Schopenhauer

BOYS, THE DREAMS DIE AT WASHINGTON

March 26, 2012

Some people think that Jon Corzine is going to jail.

MUMBLE MUMBLE….

March 26, 2012

But wasn’t everything okay with Greece?

AGAINST INTELLECTUAL PROPERTY?

March 25, 2012

Stephan Kinsella.

While I think that Mr. Kinsella frames the problem in the right terms, I suggest that his argument is partially flawed, at least for the part where it does not consider any fruit of intellectual work susceptible to fall in the category of scarcity and, as such, fully deserving the protection of the property rights.

While I can’t claim any dominion over my ideas and thoughts, not more than I could over words for the simple fact that I pronounce them, if I fix them in a tangible and uniquely articulated structure such as a book, for example, then the world is confronted with an artifact, a work not less qualified in scarcity than any other tangible economic good.

I realize that the critic is subtle, but it’s not less decisive.

I can even forestall the main argument that can be unleashed against it. Well, you are the owner of THAT single artifact, but if I copy it and put my name on it I’m not stealing anything from you, because you still own that artifact.

This argument is specious and dogmatic, resembling the base-minded syllogism Rothbard used to justify the murder called abort or, for other aspects, the myopic view considering Money an unproductive asset.

In fact, as the poor soul in the womb of the mother since the very first moment of his incarnation become the owner of his body and life, every tentative to dispose of them is a clear aggression (and the fact that he can’t enforce his rights DOES NOT change anything!).

Turning back to my book, the fact that you can copy it while I still have mine does not mean that you are not stealing my property (if you put your name on it, but I’d argue also if you simply profit from it). We are not dealing anymore here with ideas, inventive and words, but with a tangible and uniquely structured sequence, a scarce resource. The simple fact that you want to copy it testifies that there is a conflict over it and that it has (subjective) value.

If you would not be stealing from me, you’d be ending up just with a tot number of blank pages with a hard cover.

Of course, we can agree that we are not facing any “intellectual property” here, just a property, but that’s a mere terminology question.

The Daily Bell – So how do you enforce your claim? You solicit the state’s resources to do it for you?

Maedhros – You enforce it as every other owner of property rights would do, in similar cases. It’s a civil matter. Turning to a Civil Court would be the only option in the current system. Private justice would be great, but how do you force the opposing party to accept it?

The Daily Bell – That’s the point. With private justice, you can’t simply impose your definition of fraud on the other person or people. It becomes a negotiation and one that can be costly if you have to enforce your definitions without state help. This would not doubt help to concentrate the mind …

Maedhros – Well, I’m not really imposing anything to anyone just turning to a Civil Court here. I am just asking for a judgement on a claim. Also remember that I have based my claim on fundamental property rights, not some special statal legislation.
Even in the case of positive pronouncement, with the Court deciding my claim has merit, you’d have no imposition, just a restoration against an aggression.
You are moving in a minefield here. If you can’t force opposing parties to submit to a judgement, why do they should negotiate at all. You’ll end up with many little States, doing evil just because they can. Everything would be reduced to mere force.
I repeat, private justice is great, but it takes two for that. If the opposing party is not interested in justice, a subsidiary binding public justice is necessary, as it would serve as a reminder for everybody that force does not constitute a legitimate way to acquire property rights.

The Daily Bell – Private justice IS force – fairly equal force on both sides which results in fewer laws, fewer prisons (none) and monetary compensation in lieu of 30 year prison sentences. What do you think civil court is? Try avoiding a civil judgment and see how long it takes before it escalates into a criminal situation.

Maedhros – Of course it is force, but it is force in response, the only legitimate use of force. But through it you do not acquire rights, you restore violated rights.

Frankly, I don’t understand your objections. I’m just saying that justice has to be binding (and accessible), or it is not!
Established that, you can choose the adjective you like the most; it wouldn’t make any difference.

TO SERVE AND PROTECT

March 24, 2012

…. the burglars !

J.C.MAXWELL AND THE INTELLIGENT DESIGN

March 22, 2012

And the usual culture clerk who should know better!

LA TERRA DEI CACHI

March 22, 2012

As Italian, I have no problem believing this.