US and Ukrainian Oligarchs Join Forces…

US and Ukrainian Oligarchs Join Forces…

The Dow dropped 101 points yesterday. Gold managed to climb back over $1,300.

But the important news was barely noticed. Of those who bothered to read it, few realised its significance. For the first time, oligarchs from North America and the steppes of Eurasia have teamed up to lie, cheat and steal together. The Wall Street Journal reports:

Vice President Joe Biden’s son and a close friend of Secretary of State John Kerry’s stepson have joined the board of a Ukrainian gas producer controlled by a former top security and energy official for deposed President Viktor Yanukovych.

Most people have no idea what government is all about. They think it is a benign institution, designed to make life better for everyone.

The government is all of us,’ Hillary Clinton puts it.

This myth helps keep the voters and the taxpayers in line. Some governments, in order to get more ‘buy in’ from the public, even insist that eligible voters go to the polls — or face penalties.

In Argentina, for example, you can collect welfare benefits — but only if you can prove you voted. In other words, you have to stand on your hind legs before they throw you a bone.

Other countries, such as the US, merely excite the voters with dreams of avarice and threats of sanctions. One group votes because it hopes to score more of other peoples’ money. Another votes to protect itself.

Among ‘get out the vote’ campaigns, Denmark’s recent cartoon effort must set a new milestone in the history of democratic fraud and absurdity. The Financial Times reports:

‘The 90-second video features ‘Voteman’, a muscleman first seen in bed with five naked women who then proceeds to beat up young people to force them to vote. He then decapitates one man, interrupts a couple having sex to throw them out of a window, and uses a dolphin to help chuck people into voting booths.’

The Danish parliament withdrew the video on Tuesday.

Politicians want you to vote so they can claim to represent you. Then, they do what they want. Like any other organisation, government promotes the goals of those who control it. In that sense, it is no different from the Kiwanis Club or the electric power company. Every business, club or charitable institution is meant to do something…and always and everywhere it does what the people running it want done.

This is not a bad thing. In a civilised society, as Adam Smith explained, it is self-interest that fills the marketplace with products and services.

A baker counts on the hunger of his clients to fill his own stomach. A cobbler depends on others’ sore feet to enable him to shoe his own family. But an oligarch? This bird sings a different song altogether. He provides no real service…produces no real product…and exchanges no tit for no tat. Instead, he feathers his own nest with forlorn hopes plucked from an ignorant and impotent public.

The voters believe they are in charge. They believe the government — as imperfect as it is — nevertheless reflects the desires of the public, as filtered through elections, lobbyists, and back-room deals. It is not a perfect system, the voter bravely tells himself, trying to recall Churchill’s words, but it is better than the alternatives.

But by voting, the poor democrat sets himself up for disappointment and despoliation. Ouch…he loses a feather to the financial industry. Ouch…another to the health care oligarchs. Ow! There go a few to the farm lobby. Before you know it, he is as naked as a Christmas goose…cooked in his own stupid juices.

The government that governs least, governs best,’ said Jefferson. He understood it better. All governments work for their masters — the elite, the oligarchs. All are essentially parasitic, larcenous…and often, murderous. The more government you have…the worse off you are.

Regards,

Bill Bonner
for Markets and Money

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Bill Bonner

Bill Bonner

Since founding Agora Inc. in 1979, Bill Bonner has found success and garnered camaraderie in numerous communities and industries. A man of many talents, his entrepreneurial savvy, unique writings, philanthropic undertakings, and preservationist activities have all been recognized and awarded by some of America's most respected authorities.

Along with Addison Wiggin, his friend and colleague, Bill has written two New York Times best-selling books, Financial Reckoning Day and Empire of Debt. Both works have been critically acclaimed internationally. With political journalist Lila Rajiva, he wrote his third New York Times best-selling book, Mobs, Messiahs and Markets, which offers concrete advice on how to avoid the public spectacle of modern finance. Since 1999, Bill has been a daily contributor and the driving force behind Markets and MoneyDice Have No Memory: Big Bets & Bad Economics from Paris to the Pampas, the newest book from Bill Bonner, is the definitive compendium of Bill's daily reckonings from more than a decade: 1999-2010. 

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1 Comment on "US and Ukrainian Oligarchs Join Forces…"

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slewie the pi-rat
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for governance to have devolved to the point of paying itself extra to fight deflation could mean we are in a truly golden historical cluster of global check-kiting.
on sterilizoids.

China needs to tread very carefully here, imo: three years same as cash may have unintended consequences, but with negative interest rates, no things are unpossible.

somebody has owed you $500 for 5 years and FINALLY pays you in cash.
oh, No!
that was $500 five years ago;
it only comes to $425, now!

at which point you might be accused of trying to scalp yourself…

wpDiscuz
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