Let’s Keep the Racket Going

Yes, Dear Reader, them versus us…left versus right…Democrat versus Republican — it’s all a fraud. It diverts the masses, while the elite pick their pockets and kick their butts.

Stagey…fake…full of sound and fury — the battle over the debt ceiling is just the most recent example.

It’s another ‘emergency’, says the elite press. Here, sounding the alarm…loud, clear, and phony…is The Hill:

A government default on credit is worse than the most terrifying disaster movies you’ve ever seen. It means the government won’t pay its debts when they’re owed. It means the total loss of trust and confidence in the United States by other governments and foreign financial markets.

In three words, it will be “a catastrophic blow.”

Bossed around

War is politics. Politics is war. The only difference is that in war, people are killed. In politics, they are only robbed…and bossed around.

Both are dead ends. They produce no wealth (nothing that people really want, except the pleasure…for a few…of ripping others off).

There are only two ways to get what you want: either honestly…or dishonestly. You either make it…or you take it.

How do you take it? You can rob a liquor store. You can sell a fake crypto coin. Or you can go into politics.

We’ve seen how the COVID-19 virus has become a political issue. According to news reports, top officials from both the Centers for Disease Control and Prevention (CDC) and the Food and Drug Administration (FDA) have resigned because they feel they are being pressured to approve the booster shots and other things.

Apparently, ‘the science’ is not as sure and settled as we were told. And politics prevailed.

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What credibility?

Then yesterday, the debt ceiling came front and centre, with almost everyone saying what a catastrophe it would be if the politicians can’t continue to spend more than they take in.

But slowing the engines of the Titanic wouldn’t have been such a bad idea. And cutting back the feds’ spending to the 2014 level (so current spending matches current tax receipts, as we suggested yesterday) wouldn’t be a disaster at all.

And here’s The Hill (member in good standing of the Ruling Elite) using the same idiotic, scary language for the debt ceiling as the feds use to sell their shooting wars: ‘Debt ceiling games endanger US fiscal credibility — again’.


How much fiscal credibility can a nation have when it spends US$3 trillion more than it can afford…on ‘investments’ that never pay off…and runs up US$29 trillion in national debt…and rigs interest rates to keep its debt costs low?

Keep the racket going

And what real harm would be done by admitting the truth — that it can’t pay its bills? It’s obvious it can neither tax enough…nor borrow enough (on the open market) to keep up with the bills.

It can only keep this racket going by printing more and more money. That is, by resorting to the shadiest kind of ‘politics’, cheating the public with inflation, rather than taxing them directly.

Which is precisely why the debt ceiling brouhaha is a fraud. Both Republicans and Democrats (all of them members in good standing of the Ruling Elite) share the same overriding desire — to keep the jig up.

And while they jump and dance for the media fiddlers, neither wants an honest budget. Neither wants honest money or honest interest rates…or an honest, win-win economy.

Instead, they are all committed to war and politics…to taking, rather than making.

Partial truce

CBS News reported last night that a partial truce had been negotiated:

Senate Minority Leader Chuck Schumer announced Wednesday night that an agreement to keep the government funded and prevent a government shutdown has been reached.

The short-term government funding bill would keep federal agencies operating through December 3, but it does not address the looming deadline to raise the debt ceiling to avoid U.S. default.

One way or another, the debt ceiling will be smashed…the reckless spending will go on…the Republicans and the Democrats will keep entertaining us with their mock battles…

…and the decline of the US empire will continue.

More to come…


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Bill Bonner,
For The Rum Rebellion

PS: The Rum Rebellion is a fantastic place to start your investment journey. We talk about the big trends driving the Australian Economy. Learn all about it here.

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.

Bill has been a weekly contributor to The Rum Rebellion.

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