Company Contrast: 7-Eleven thumbnail

Company Contrast: 7-Eleven

By 2ndvote .com

Each week 2ndVote takes a look at popular companies that either score well or score poorly. We then provide alternatives that either better align with the 2ndVote values, or that should be avoided to the best of your ability. This weekly series is called The Company Contrast, and the company we will be focusing on this week is 7-Eleven (3.63) and BP (1.68).

With gas prices at a record high, many Americans feel helpless with the high demand at the gas pumps and the rising number of those returning to work away from home. Families are left to choose a quiet spring break at home instead of traveling, which not only proves to be a letdown for our kids but also hurts the tourism industry and our economy.

According to AAA (3.00), the national average on March 11th was $4.33 per gallon. This number breaks the old record, which was set the day before. The last time we experienced gas prices this high was in the summer of 2008 when price at the pump soared to $4.11. Now, more than ever, consumers are shopping around for the best price for fuel and although BP and 7-Eleven tend to be pretty close in terms of gas prices, their philanthropic efforts couldn’t be more different.

BP Oil has been a big name in the fuel industry since the early 1900s and with the worldwide coverage of the Deepwater Horizon Oil Spill in 2010, BP has felt the pressure of more regulated and thorough safety management protocols and environmental stewardship. However, none of this applies to the other avenues BP takes to provide support to organizations that may not have the best intentions.

One tactic we often come across is found when companies attempt to make large donations to conservative-minded organizations in order to “kick the dirt” over their more liberal-based actions. For instance, the BP Foundation made donations to almost 90 various Christian or faith-based organizations totaling close to $230,000. However, their donations to organizations that impose on religious freedoms comes to just shy of $400,000. BP also gave almost $114,000 to organizations like Planned Parenthood (1.17), National Network of Abortion Funds and the National Abortion Federation.

With over 8,200 stores nationwide, BP may have been a “convenient” stop for fuel. However, 7-Eleven may be a better alternative with just over 9,500 stores in North America and 60,000 worldwide. 7-Eleven also shows strong support for the military and their families with several monetary actions. For example, an eighty thousand dollar donation was provided to the Johnny Mac Soldiers Fund, which honors military service and sacrifice by providing scholarships to veterans and military family members – especially to children of our nation’s fallen or disabled. Another donation of almost thirty-four thousand dollars to the Armed Services YMCA of the USA went specifically towards the Operation Hero Program which is a no-cost, after-school enrichment program designed for military children. These are just one of several donations made in support of our military, while other donations were also made in support of law enforcement.

7-Eleven also awarded more than 5,000 grants since its inception – a community investment of more than $3.5 million. Grants have been used to underwrite initiatives including STEM projects, tutoring, school supplies and sporting equipment to ensure children have the resources and inspiration they need to stay in school.

We hope this sheds some light on your search for where to show your support for the fuel industry. Even when prices aren’t at an all time high, it is nice to know that with each dollar that rolls over on the pump, your money is going to organizations that align with your values. We encourage you to make the conservative choice, even if it comes down to giving up a few cents per gallon.

Maricopa County, Phoenix Area, Lead Nation in Population Growth Amid Pandemic thumbnail

Maricopa County, Phoenix Area, Lead Nation in Population Growth Amid Pandemic

By Cole Lauterbach

Arizona’s valley region was one of the few major metropolitan areas in the country to grow amid the COVID-19 pandemic’s business closures, remote work, at-home school, and other disruptions.

On Thursday, the U.S. Census released more detailed data from its annual population estimates recording changes in headcount from July 1, 2020, to July 1, 2021.

Maricopa County, the nation’s fourth-largest by population, gained an estimated 58,246 people in that timeframe. The increase, calculated by adding births and incoming residents and subtracting those who left or died, is more than any other county. The Census data shows an increase of 46,866 solely because of domestic migration, more than any other county.

The COVID-19 pandemic saw a dispersion of people from some of the nation’s largest metropolitan counties to smaller cities or suburbs, which Census demographers say led to a broad increase in population for most counties.

“The patterns we’ve observed in domestic migration shifted in 2021,” said Dr. Christine Hartley, assistant division chief for estimates and projections in the Census Bureau’s Population Division. “Even though over time we’ve seen a higher number of counties with natural decrease and net international migration continuing to decline, in the past year, the contribution of domestic migration counteracted these trends so there were actually more counties growing than losing population.”

While most of the largest cities saw population decreases, the Census said 63% of metro areas had positive net domestic migration. The largest of those was the Phoenix-Mesa-Chandler area, which saw an increase of 66,850.

“Phoenix has a very welcoming environment for new families, part of the reason the city added more population over the past decade than any other U.S. city,” Phoenix Mayor Kate Gallego told The Center Square Thursday. “While the Census estimates for cities have not been released, the dynamic growth of Greater Phoenix is also being felt in our city. We’ve prepared for growth with smart policies, attracting high-value employment opportunities, and led the nation in life sciences job growth in 2021.”

Gallego touted the area’s business ecosystem attracting startups as well as legacy companies to expand.

“The Census reports Phoenix has the shortest average commute time of any major city,” she said. “This is important for families creating a positive work-life balance. Over the past five years, we’ve seen most of our new families coming from southern California, Chicago, and the northwest. However, because of our significant growth in technology and bioscience jobs, we’re also seeing large numbers of new families joining us from Asia, according to Census data.”

Los Angeles County saw the largest numeric decrease in population of any county, dropping 159,621 in total population.

Statewide, Arizona’s decennial Census figures saw growth but many were surprised that the population increase wasn’t enough to earn the state a 10th member of Congress for the first time since 1950. The difference between the last annual estimate and the official count was higher than in any other state. A total of 7,151,502 people called Arizona home as of April 1, 2020, according to the official 2020 count. An earlier estimate by census counters had the population as 7,421,401, a 3.6% difference that wasn’t in the state’s favor.

*****

This article was published in The Center Square and is reproduced with permission.

Government Debt and Inflation: Reality Intrudes thumbnail

Government Debt and Inflation: Reality Intrudes

By Gerald P. Dwyer

The last couple of years has witnessed extraordinary spending by the federal government. It has been quite the party. Figure 1 shows government spending since 2000.

The increase to 30 percent of Gross Domestic Product (GDP) in 2020 stands out. Government revenue, also shown in Figure 1, does not jump. Federal government revenue in 2020 and 2021 is not particularly higher or lower than in earlier years. The increase in spending was financed by dramatic increases in debt. Public debt issued by the federal government increased from 107.4 percent of GDP at the end of the fiscal year 2019 to 127.6 percent two years later. As Figure 2 shows, the increase and the level are quite extraordinary.

Interest rates have been relatively low recently, which makes this level of debt not as onerous as it could be. In fiscal year 2021, the average interest rate on public debt was 1.8 percent per year. The low level of interest rates in the economy has made it possible for the federal government to borrow at historically low rates and to have relatively modest interest payments.

There is every reason to expect these low rates to disappear in the next year or two. In 1981, after the Great Inflation, the federal government paid an average interest rate over 13 percent in 1981 and 1982.

Inflation in the United States today is running over 7 percent per year; the low level of current rates will not persist. Whether the level of rates gets to 13 percent depends in part on the Federal Reserve. The Federal Reserve increased short-term interest rates at its meeting on March 15. Given the level of inflation of over 7 percent per year, there is little doubt that the Fed’s target interest rate and the interest rates paid by the Treasury will be rising quite a bit over the next year or even two if inflation is to be subdued.

The implications of higher interest rates for the federal government’s budget are not appealing. Even at the low average interest rate of 1.8 percent per year, interest payments were 12.7 percent of federal government revenue in fiscal year 2021.

What will happen when average interest rates on public debt increase? Holders of public debt today at 1.8 percent are losing on average more than 5 percent of the purchasing power of their funds in a year. An average interest rate of 5 percent on public debt suggests interest payments equal to 35 percent of current federal government revenue. This interest rate is hardly an attractive proposition though. At an interest rate of 5 percentage points, anyone holding public debt at current inflation rates still would be losing 2 percent a year in purchasing power. An average interest rate of 7 percent, high relative to recent interest rates but not high relative to recent inflation rates, would require 50 percent of the government’s revenue.

The Federal Reserve is currently committed to a slow increase in interest rates. A slow pace carries its own risks for controlling inflation. It does imply, though, that these extraordinary levels of interest payments compared to federal government revenue will not be reached in the near term. Just later rather than sooner.

There is a dilemma here though. Raising interest rates slowly given the current high inflation will let inflation get worse. Raising interest rates quickly has the potential to make the federal government’s budget deficit dramatically worse.

Sooner or later, absent substantially lowering government spending or raising taxes, interest payments will overwhelm the government’s budget. The situation might even be termed a sovereign debt crisis because all the spending, revenue, deficit, and inflation choices are unpalatable.

One plausible resolution of the dilemma is to increase inflation even more than people expect. This would inflate away the extraordinary debt issued in the last couple of years. In a way, it resolves the dilemma, just not in a very desirable way from the viewpoint of holders of depreciating US dollars.

*****

This article was published by AIER, American Institute for Economic Research, and is reproduced with permission.

Airline CEOs to Biden: Drop the Mask Mandate thumbnail

Airline CEOs to Biden: Drop the Mask Mandate

By The Geller Report

At this point, it’s just about absolute power and seizure of our most basic freedoms. This is a crime against humanity.

Scores of studies have been published on the inefficacy of masks. This is not about masks.

Airlines to Biden: Drop the Mask Mandate.

10 CEOs of US passenger and cargo airlines, including Alaska, America, JetBlue, and Southwest, send letter to President Biden calling for an end to the mask mandates. pic.twitter.com/SZutrtvTto

— Election Wizard 🇺🇸 (@ElectionWiz) March 23, 2022

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EDITORS NOTE: This Geller Report column is republished with permission. ©All rights reserved.

The Russia/Bermuda Dark Money Subterfuge thumbnail

The Russia/Bermuda Dark Money Subterfuge

By Lawrence Kadish

If there is one thing you can say about the Russians it is that they stick to their proven playbook no matter what carnage they inflict on the innocents or how greatly they deceive the gullible.

During the height of the Cold War, they sought to stop America’s introduction of sophisticated weapons that would have blunted any planned invasion of Western Europe by the Red Army by infiltrating the “peace movement” with money and resources.

So it should come as no surprise that members of Congress continue to express deep concern that Putin’s Russia may be preventing the West’s energy independence by promoting through third parties, who may be unwilling dupes or active co-conspirators, “green” alternatives that are either impractical, aspirational, or an outright fiction.

It has been reported that Russia has been using a legal loophole to actively fund opponents of American energy independence, by funneling untraceable money through an entity in Bermuda, a nation that does require disclosure as to whether funds originated from a foreign government.

The loophole has apparently been serving as an open invitation for Russia — in particular its largest oil and gas company, Gazprom — to channel unlimited, unaccountable millions in dark money (anonymous donations) to American non-governmental organizations; these then fund “green” programs that discourage “dirty” energy exploration, and encourage the use of “clean” energy, such as solar panels and wind turbines. Unfortunately, even if they were able to meet all energy needs — which is disputed — they are not widely available or ready for use.

Such a strategy would not only be consistent with past Soviet/Russian practices but would be expected by a Putin whose long game of chess seeks to hold the West hostage by becoming the major supplier of natural gas to Europe at a time when his operatives have helped shut down viable energy alternatives. So as Putin seeks to decapitate Ukraine, he knows that one source of income for his war machine remains the natural gas that nations such as Germany must have in order to survive economically.

Not surprisingly, the Biden administration’s seemingly inept energy policy has played directly into Putin’s hands. Americans, from the first day of the Biden administration, have been devastated by skyrocketing inflation. The most dramatic example is at the gas pump. In just one year, the price of gasoline — $2.17 a gallon in 2020 — has doubled, with no signs of slowing.

How did we get here?

To appease the Progressive wing of his party, Biden, within days of his inauguration, began shutting down virtually America’s entire energy independence and oil and gas exploration industry, and is still freezing future oil-and-gas drilling leases. The move not only threw thousands of Americans out of work, it has also forced Americans to pay premium prices for just about everything in the American economy — whatever is processed, manufactured, or transported — all of which require fossil fuel energy. Wind turbines and solar panels do not truck supplies to your supermarket, or even build the electric vehicles — costing more than $56,000 a car — that the Biden administration wants you to buy. If you cannot afford $5-a-gallon gasoline, hey, an electric vehicle is your answer! Secretary of Transportation Pete Buttigieg’s questionable suggestion was, “Take the bus.” The current administration policy seems to be, “Let them eat electric vehicles.”

Some members of Congress understand that this kind of response is more than ludicrous. Buying oil from Russia, Iran, and Venezuela is basically counterproductive. Given the nature of potential threats, it would make America a vassal state.

Congressmen Jim Banks and Bill Johnson have sent a letter to Treasury Secretary Janet Yellen, asking for an investigation into the reported Russian manipulation of American “green groups” that are seemingly funded with “dark money.” The letter was following up on an earlier letter sent by Representatives Lamar Smith and Randy Weber to then Treasury Secretary Steven Mnuchin in 2017. Their letter notes:

“According to Sea Change’s tax filing, in 2010 the group received $23 million, half of its total annual contributions, from a Bahamian shell corporation tied to the Russian government. Sea Change then passed that money to groups like the Sierra Club and the Center for American Progress who lobbied strongly against fracking and pro-energy policies, to reduce competition with Russian oil and gas. In 2020, the Center for American Progress donated over $800,000 exclusively to Democrat politicians and groups’ and Sierra Club Independent Action spent $3.7 million supporting Democrat candidates.

“Russia also used its state media and social medial disinformation campaigns to attack America’s energy industry. Russia Today is especially focused on energy policy. According to the Office of the Director of National Intelligence, Russia Today’s coverage ‘is likely reflective of the Russian Government’s concern about the impact of fracking and US natural gas production on the global energy market and the potential challenges to Gazprom’s profitability.’ In 2021, after Biden’s first year in office, Gazprom, a Russian state-owned energy company, earned record profits.”

The paper trail is chilling and as clear a warning as one could ask for. Yet, as of this writing, it is not clear if Yellen has replied.

Recognizing the one strategic card the Russians have to play, the late U.S. Senator John McCain once said “Russia is a gas station masquerading as a country.”

In whatever private moments Putin may allow himself, he knows that Russia’s energy exports are the one truly genuine weapon he has against the West, democracy, and the forces of history that are coming for him. If he can prevent affordable energy independence from being achieved by America and her allies, he will have secured a victory beyond measure. But he will need the duped assistance of those in the White House to achieve that objective.

*****

This article was published by the Gatestone Institute and is reproduced with permission.

American Elites Have Deep Ties To A New Chinese Spy Chief thumbnail

American Elites Have Deep Ties To A New Chinese Spy Chief

By Philip Lenczycki

The new deputy head of a propaganda and espionage agency in the People’s Republic of China (PRC) has documented ties with business tycoons, university heads, and other elite members of American society.

Chen Xu, former party secretary of one of the PRC’s most prestigious universities, Tsinghua, was promoted to deputy head of the United Front Work Department (UFWD), according to an updated leadership roster on the Chinese Communist Party (CCP) portal, which was first reported in Chinese media on Feb. 28.

The United Front Work Department

The Department of State described the operations of the UFWD as including “the use or threat of physical violence, theft and release of private information, espionage, sabotage, or malicious interference in domestic political affairs, academic freedom, personal privacy, or business activity” in a 2020 press statement.

The general secretary of the CCP, Xi Jinping, labeled the UFWD a “magic weapon” for “realizing the great rejuvenation of the Chinese nation” in a 2014 speech celebrating the 65th anniversary of the Chinese People’s Political Consultative Conference (CPPCC), a state organ which oversees the UFWD.

Recently, Beijing’s espionage operations have garnered increased scrutiny in the U.S. following the FBI’s charging of five individuals with “transnational repression schemes” on Mar. 16, crimes which allegedly included the targeting of a Congressional candidate.

The Justice Department’s announcement comes just two months after MI5 named a London solicitor, Christine Ching Kui Lee, as an alleged UFWD operative acting to financially influence British politicians in a January “security service interference alert” issued to the House of Commons.

Republican Rep. Michael McCaul of Texas, who is the lead of the House Committee on Foreign Affairs and chair of the group’s China Task Force, spoke with the Daily Caller News Foundation about the dangers of associating with CCP, UFWD, and CPPCC members.

“The Justice Department’s indictments this week are yet another wakeup call that the CCP is actively reaching into American society and trying to limit our freedoms,” McCaul said, making reference to the FBI’s Wednesday press conference as evidence of the looming espionage threat. “Years of law enforcement activity, including this week, clearly show that this transnational repression can raise to the level of criminal activity, and Americans should be aware when they are dealing with entities who carry out the CCP’s objectives abroad.” (RELATED: DOJ Kills The China Initiative, Kowtowing To A Chinese-American Group With Documented CCP Ties)

CEO of Blackstone, Stephen Schwarzman, has met with Chen Xu on a number of occasions. [YouTube/Screenshot/SchwarzmanScholars]

Blackstone’s Chinese Communist Party-Backed IPO

The UFWD’s new deputy, Chen, has spent years cultivating relationships with U.S. politiciansleaders in the Chinese-American community, student associations, and other high-profile individuals, such as the billionaire CEO of The Blackstone Group, Stephen Schwarzman.

Schwarzman’s connections to individuals tied to the CCP began years before meeting Chen at Tsinghua University.

Schwarzman began traveling to China in 1990, but by 2007, when his global investment business, Blackstone, opened its second Asia-Pacific office in Hong Kong, Schwarzman had already begun keeping regular company with figures directly and indirectly associated with the CCP, such as Antony Leung.

Before heading up Blackstone’s Hong Kong office, Leung was employed as the financial secretary of the Hong Kong Special Administrative Region. In that capacity, Leung reported to the Chief Executive of Hong Kong, Tung Chee-hwa, a man linked to PRC influence operations across America and someone the U.S.-China Economic and Security Review Commission reports is “clearly associated with the United Front.”

Mao Zedong’s right-hand man, Zhou Enlai, was the first person appointed to the position of vice-chairman of the CPPCC, a title Tung now holds.

Schwarzman credits Tung’s subordinate, Leung, with the lion’s share of Blackstone’s success in the PRC.

Schwarzman said it was Leung who was by his side when he first met with Xi Jinping during the future president’s short stint as party secretary of Shanghai in 2007, and it was Leung who helped arrange for $3 billion in funding for Blackstone’s June 2007 IPO from China Investment Corp (CIC), a sovereign wealth fund created by the CCP.

“When we were going public in 2007, we were planning a $4 billion IPO, and the government of China came in and asked can we buy $3 billion of the $4 billion IPO?” Schwarzman told The Economic Times in 2020. “This was sort of a shock because I have not been to China since 1990 and nobody buys three-quarters of an IPO.”

“So, what we did is, we just increased it to $7 billion and we became the world’s second-largest IPO of the decade after Google,” Schwarzman told The Economic Times. “As a result of this, it was for the first time China had bought an equity interest in a public company outside of China since modern China was established in 1949.”

After going public, Blackstone’s first earnings report arrived in August 2007, showing the firm’s profits had tripled over a year.

Today, Blackstone’s revenue sits north of $22 billion a year, up from just over $3 billion in 2007, according to their annual report, with the company now proclaiming itself the “largest owner of commercial real estate globally.” (RELATED: ‘Beat Him Until He Cannot Run For Election’: Chinese Secret Police Target Congressional Candidate And Other Americans)

A figure linked to many malign PRC influence operations across the United States, Tung Chee-hwa is the vice chairman of the Chinese People’s Political Consultative Conference (CPPCC), which controls the United Front Work Department (UFWD) to which Chen Xu has been promoted. [YouTube/Screenshot/CGTN]

The Tsinghua Clique

Schwarzman also credits Leung with helping him set up the 2013 deal for Schwarzman Scholars, a one-year English-language international program at Tsinghua University which required $300 million in fundraising

As a one-party government, the political power to control the PRC has historically been fought over by competing intra-party “cliques,” of which there are known to be at least three: the Shanghai Clique, the Communist Youth League Clique and the Tsinghua Clique, which Xi is said to lead.

Chen Xu was promoted to party secretary of Tsinghua University in December 2013 and thereafter became an important and frequent point of contact for Schwarzman time and time and time again.

As Tsinghua’s party secretary, Chen held an important position for both the university and the CCP, with Tsinghua serving as both a fertile training ground for domestic and international talent, as well as a capable vehicle for projecting the PRC’s soft power.

According to her station, Chen was expected to promote the interests of both her university, as well as the CCP, which more often than not were indistinguishable.

When Xi arranged for President Vladimir Putin to receive an honorary doctorate degree from Tsinghua University in 2019, it was Chen who “presided over the ceremony and read out the address of honor,” welcoming the Russian dictator into the “Tsinghua family,” according to a Chinese state-run media Global Times report(RELATED: Below Their Lines: American Corporations Cancel Russia But Remain Silent On Uyghur Genocide)

The vice premier of the PRC and head of the United Front Work Department, Liu Yandong, gave a speech at the annual opening ceremony for Schwarzman Scholars at Tsinghua University in 2016. [YouTube/Screenshot/SchwarzmanScholars]

Schwarzman Scholars

When the opening convocation for Schwarzman Scholars was held, the Great Hall of the People — Beijing’s prime CCP venue for “state affairs and diplomatic activities” — was selected to host the event in April 2013.

From its inception, Schwarzman Scholars attracted high-level CPPCC and UFWD attention.

David Daokui Li, a member of the CPPCC of which Tung was the vice chairman, was appointed in 2013 as the dean of Schwarzman Scholars. Among other things, Li would chair a seminar for the program’s admissions attended by CCP cadre from the UFWD, Communist Youth League and central committee, while Tung himself sat on the advisory board for the program.

Schwarzman sat beside the CCP’s highest-ranking female, Liu Yandong — the vice premier and former head of both the UFWD and Confucius Institute project — during the program’s opening convocation in April, then again in November 2013 when Liu visited Washington D.C., and again in 2016 when the program began its first semester.

“The Schwarzman Scholars program is extremely fortunate to have the support from China’s top leadership, exemplified by the gracious congratulatory letter from President Xi Jinping and by the unwavering support of Vice Premier Liu Yandong,” said Tsinghua University President Chen Jining in April 2014.

Liu reappeared in Schwarzman’s life again and again, with Schwarzman labeling Liu a “special friend” in the acknowledgment section of his 2019 book “What It Takes: Lessons in the Pursuit of Excellence.”

Schwarzman also thanked many other “friends and colleagues in the Chinese government” in his book, such as “President Xi JinpingPremier Li KeqiangVice President Wang Qishan” and high-ranking influence operatives, such as Sun Chunlan, another vice premier and former head of the UFWD, with whom Schwarzman Scholars engaged at least once or twice.

Chen was also thanked in the acknowledgment section of Schwarzman’s book.

“Party Secretary Madame Chen Xu at Tsinghua has also been an essential part of the senior leadership who created the opportunity for Schwarzman Scholars to occupy a unique position at the university,” reads Schwarzman’s acknowledgment. “She and President Qiu have helped create broad support for the program within the Chinese government. I always enjoy meeting with her and President Qiu on my frequent visits to Beijing.”

While Chen and Tung worked off and on together over the years, Schwarzman and Tung also continued to stay in touch.

As honorary chairman of the China General Chamber of Commerce (CGCC) — characterized as a type of UFWD front organization in a 2018 Jamestown Foundation report — Tung often appeared at the body’s annual galas in New York, including with Schwarzman in 2017 and the following year.

On stage during the 2018 gala, Tung praised Schwarzman for “his remarkable and impactful contributions to a constructive and cooperative China-U.S. relationship,” before personally presenting the billionaire with the “Goodwill Ambassador for China-U.S. Exchange” award.

While Schwarzman Scholars did not immediately respond to request for comment, a spokesperson for Blackstone told the DCNF: “The insinuations are false and misleading. Schwarzman Scholars is an internationally recognized program designed to foster dialogue between nations.” (RELATED: Congress Urges Amazon CEO To Aid Tortured Chinese Whistleblower)

Stephen Schwarzman stands at the podium while Tung Chee-hwa waves to the audience around him during the 2018 China General Chamber of Commerce New Year gala. [YouTube/Screenshot/ChinaGeneralChamberOfCommerceUSA]

‘The UFWD And CPPCC Are Not Benign Entities’

Not long after helping establish Schwarzman Scholars, Schwarzman’s partner, Leung, left Blackstone in November 2013.

Today, the senior managing director of greater China for Blackstone is a man named Liping Zhang, another member of the CPPCC.

The addition of Schwarzman Scholars to Tsinghua was no less than a watershed moment for the university, coinciding with a sharp spike in the institution’s international prestige, an event which also dovetailed with Xi Jinping’s rise, offering Chen unprecedented access to a surplus of global elite and ample opportunity to advance her personal, professional, and political interests.

“The UFWD and CPPCC are not benign entities,” Rep. McCaul told the DCNF. “They are elements of the CCP charged with carrying out political subversion. Americans should be aware of their own exposure to the CCP, which is distinct from ordinary foreign ties.”

“Whether it’s spreading CCP propaganda, exporting sensitive technology to China, or lobbying for United Front groups, there are many activities that benefit the CCP that are legal in the United States — at least for now,” said McCaul. “As we saw with the passage of the Uyghur Forced Labor Prevention Act, which banned the importation of Uyghur slave labor goods, things can change fast as the CCP threat comes into focus. Even in areas where federal intervention isn’t appropriate, cooperation with the CCP is carrying increasing reputational, financial, and moral costs as Americans better understand our adversary.”

Blackstone and Schwarzman Scholars are just two of countless entities that became acquainted with Chen before she was elevated to deputy head of the UFWD, and this article is just the first in a series investigating the ties Chen cultivated with America’s elite. (RELATED: Congress Urges Amazon CEO To Aid Tortured Chinese Whistleblower)

*****

This article was published by The Daily Caller and is reproduced with permission.

Biden’s Dream of ‘Clean Cars’ is Turning Into a Lithium Nightmare thumbnail

Biden’s Dream of ‘Clean Cars’ is Turning Into a Lithium Nightmare

By Dr. Rich Swier

Lithium is often dubbed as “white gold” for the development of electric vehicles.

The cost of lithium needed to make electric car batteries is up 472% just in the past 12 months and 850% since Biden took office.

Biden, Harris, Buttigieg and Democrats want America to go all green and want to force Americans to drive only “clean cars” powered by lithium batteries. All electric vehicles (EVs) are now in the crosshairs. Having charging stations is not the issue. The issue is what will be the future cost of owning “clean cars”?

The The Biden-⁠Harris Electric Vehicle Charging Action Plan states,

President Biden has united automakers and autoworkers to drive American leadership forward on clean cars, and he set an ambitious target of 50% of electric vehicle (EV) sale shares in the U.S. by 2030. Now, the Bipartisan Infrastructure Law will supercharge America’s efforts to lead the electric future, Building a Better America where we can strengthen domestic supply chains, outcompete the world, and make electric cars cheaper for working families.

There’s only one problem with the Biden-Harris EV action plan, the market and the price for lithium has sky-rocketed.

In the March 22, 2022 edition of the Independent Journal Review Warner Todd Huston reported,

One of the key ingredients in the battery packs that power EVs is lithium. This mineral is important in the production of glass, aluminum products and batteries of all sorts, especially for electric cars.

According to Mining.com, battery-grade lithium carbonate is up 95 percent thus far in 2022, and a whopping 472 percent over the course of the past 12 months.

As the soaring prices of lithium and other minerals needed to manufacture EVs soar, the costs of battery packs for EVs are seeing pressure. Already the battery pack is one of the most expensive parts of an electric vehicle, with prices ranging from $10,000 to $25,000 to replace them — and that does not include labor.

Visual Capitalist posted this chart in an article titled “Charted: Lithium Production by Country (1995-2020)“:

The Largest Lithium Producing Countries

Today, three countries—Australia, Chile, and China—mine roughly 86% of the world’s lithium.

*Production total may not add up to 86,300 due to rounding.

It appears from this chart that the United States produces little of the key ingredient to make Biden’s all electric dream come true. But Communist China, the third-largest lithium producer, has been on the front foot in the race for lithium.

Visual Capitalist reported, “Since 2018, Chinese companies have snapped up over $5 billion worth of lithium mining projects in various countries. Furthermore, the country also dominates the refining and battery manufacturing stages of the lithium-ion supply chain.”

Biden’s Dream has Become a Nightmare

Lithium batteries do not make energy. Batteries do not make electricity – they store electricity produced elsewhere, primarily by coal, uranium, natural gas-powered plants, or diesel-fueled generators.

To say an EV is a zero-emission vehicle is not at all valid.

To manufacture each EV auto battery, you must process 25,000 pounds of brine for the lithium, 30,000 pounds of ore for the cobalt, 5,000 pounds of ore for the nickel, and 25,000 pounds of ore for copper.

Incredibly one must dig up 500,000 pounds of the earth’s crust for just – one – battery.

According to senior fellow at the Manhattan Institute Mark P. Mills,

Hydrocarbons supply over 80 percent of world energy: If all that were in the form of oil, the barrels would line up from Washington, D.C., to Los Angeles, and that entire line would grow by the height of the Washington Monument every week.

Mills also notes,

A 100x growth in the number of electric vehicles to 400 million on the roads by 2040 would displace five percent of global oil demand.

It costs less than $0.50 to store a barrel of oil, or its equivalent in natural gas, but it costs $200 to store the equivalent energy of a barrel of oil in batteries.

About 60 pounds of batteries are needed to store the energy equivalent of one pound of hydrocarbons.

The Bottom Line

Biden’s “clean car” plan is a myth. Clean cars and green energy from solar and windmills cannot and will not make America carbon neutral or energy independent.

As we wrote,

According to the EPA, in order to reduce greenhouse gas pollution by 50-52% we must: stop using all fossil fuels, stop making cement, stop transporting coal, natural gas and oil, stop growing crops and raising cattle, pigs, chickens, etc., stop industrial activities, stop treating waste water and finally end all industrial processes.

Sixty-eight percent of the world’s cobalt used to make EVs, a significant part of a battery, comes from the Congo. Their mines have no pollution controls, and they employ children who die from handling this toxic material. Should we factor in these diseased kids as part of the cost of driving an electric car?

The truth is that mankind cannot become carbon neutral without hurting mankind itself.

Biden’s dream is a myth that kills.

Don’t forget that China dominates global battery production with its grid 70 percent coal-fueled.

EVs using Chinese batteries will create more carbon-dioxide than saved by replacing oil-burning engines.

P.S.  Don’t forget that CO2 and carbon are not the same.  Carbon is the incredibly versatile element, that as Carl Sagan pointed out years ago, “likes to combine.”  You’re made of it.  Carbon dioxide is what you get when a carbon molecule combines with two molecules of oxygen.  CO2 is the odorless, invisible gas you just exhaled.

An thus ends this lesson on Biden’s clean cars folly.

©Dr. Rich Swier. All rights reserved.

Did You Ever in Your Wildest Dreams Think They Could Mess Up Things This Much This Fast? thumbnail

Did You Ever in Your Wildest Dreams Think They Could Mess Up Things This Much This Fast?

By Bruce Bialosky

Whenever I have lunch or dinner with someone – especially with recent events — I ask a very straightforward question. “In your wildest dreams did you ever believe they would muck things up this bad, this fast?” I use more vivid language, but I am against using such language in a public forum so I will leave it to your imagination. Sit back and think about the question yourself and derive your own answer.

In a little over a year, the Biden Administration has opened our border to an estimated two million illegal aliens who have been spread throughout the country with very little hope of ever tracking them; shut down a significant amount of our home grown energy production by killing a major pipeline deal costing 3,900 full-time equivalent jobs and pausing oil production on all federal government land which is 25% of national production; taken sanctions off Nordstream 2 to continue the flow of Russian gas to Europe; had a radical withdrawal from Afghanistan that is roundly considered a disaster for the United States; engineered policies that lead to inflation levels not seen in over 40 years which caused a severe depression; and has the world involved in a war in Europe which is destroying a sovereign nation and killing hundreds, if not thousands, of innocent people. In addition, there is an explosion of crime throughout the country that Biden has not caused, but his party has, and he has done little to combat it.

But Biden has solutions. Real solutions.

One of the countermeasures to pressure the Russians to stop their war on Ukraine is to stop the import of Russian oil. Over the last seven months in 2021, we imported 670,000 barrels of oil daily from Russia. Though 73% of that was in process products, we could have easily replaced this production with one policy decision. Had Biden not stopped the Keystone pipeline, we would have a flow of 850,000 barrels a day from friendly neighbor Canada. Biden decided to tell our Canadian neighbor’s “tough luck” and we now have our adversarial supplier – Putin.

Telling the world that America is going to turn on the spigot, produce oil, and gas that will supply us and our allies what we need for energy independence would be a logical and effective solution. We are down an estimated million-plus barrel a day. A simple announcement clearing the regulations for that to occur would crash the price of oil as pricing is based on future expectations.

Uncle Joe has a better idea. Why don’t we engage the Venezuelans and the Iranians to replace the oil and gas from Russia? Nothing like replacing supplies from one murderous despot with two murderous despots. Biden tried to engage the Middle Eastern countries including Saudi Arabia, but they will not even talk to Biden because he is negotiating with the Iranians – who are hated by the Arab countries of the Middle East.

Biden reopened negotiations with Iran even while it was on the verge of collapse because American imposed sanctions decimated its cash supplies leaving it on the edge of bankruptcy. Not only is Biden at the table with Iran, but part of the negotiations is – you guessed it — the Russians. Do you think the Russians believe we really want to crush their invasion over here while negotiating with them over there? The Saudis are looking at turning to the Chinese since this American administration antagonizes them at every turn.

You just cannot make this stuff up. If your head is spinning, it is completely expected at this point.

Makes you thankful for small things. Thank God North Korea has a completely dysfunctional economy or Biden would be asking them for some help.

Biden also has a solution for inflation.

President Biden, the very definition of a career politician, tries to find others to blame for his own failings. He angrily states “I am sick of this stuff. We have to talk about it. The American people think the reason for inflation is the government spending more money. That is simply not true. Make no mistake, inflation is largely the fault of Putin. Democrats did not cause this problem. Vladimir Putin did.”

Uncle Joe is right. Adding more than $3 trillion into the economy with made-up money had nothing to do with inflation. Biden missed the class where supply and demand were explained. When there are more dollars chasing fewer products, that does not cause inflation – it is Putin. When people get free money and produce nothing that does not cause inflation – it is Putin. When the federal reserve injects additional money into the economy and holds interest at historically low rates, that does not cause inflation – it is Putin.

We have not even touched on the ridiculously lax border. That would take a whole other column.

Fourteen months into the Biden presidency and you come to your own conclusion. Did you ever in your wildest dreams think that he could muck this up so badly so quickly? We thought it might be bad. We can only pray for the next 34 months.

*****

This article was published in Flash Report and is reproduced with permission from the author.

Democrats Can’t Solve Energy-Related Problems Because They Don’t Understand They Are Causing Them thumbnail

Democrats Can’t Solve Energy-Related Problems Because They Don’t Understand They Are Causing Them

By H. Sterling Burnett

With oil prices topping $125.00 per barrel and gasoline prices averaging $4.17 per gallon nationwide for regular as I write, the White House and Democrats in Congress persist in the delusion that the economy can rapidly transition completely to green energy.

Their belief that wind, solar, batteries, and electric vehicles can effectively and cheaply power the nation while ending the use of energy sources that emit greenhouse gases in their use is foolish and belied by the evidence. Biden et al. are so obsessed with the vain idea that they can control the weather 100 years from now that even a war, ongoing pandemic, rapidly rising inflation, and economic and geopolitical perils looming around the world won’t make them reconsider their ongoing war on fossil fuels.

Therein lies the problem. The first step to getting out of a hole is to stop digging. This is especially true if the hole is one you dug yourself. As applied to America’s energy situation, Biden and the Democrats have put us in a hole, and they won’t stop digging. They can’t solve America’s current energy and energy-driven inflation problems if they don’t understand the source of the problems is, in fact, the energy policies they’ve imposed on the nation.

Biden finally caved into growing bipartisan political pressure and agreed to ban Russian oil. In doing so, he admits this will further raise prices in the United States. I cheer this gesture as morally correct even though it is largely futile. We should not be helping fund Russian aggression, but we should also be savvy enough to recognize this action will have little or no impact on Russia’s budget or its ability to wage war and will have a significant impact on the United States, and in Europe should its governments follow suit.

Oil is a fungible commodity, traded on world markets. Unless the ban is global, Russia will just sell its oil to willing buyers in China, India, North Korea, and wherever else oil demand is high and people are not so choosy about it origins—at a discount price if necessary.

Which brings us back to the United States. Oil prices began a steep ascent shortly after Biden became president, long before the Ukraine war began. This was caused in part by the reopening of the economy after the pandemic. However, as detailed in a recent report from The Heartland Institute, the most important factor driving higher oil and gas prices has been the series of anti-fossil-fuel measures implemented by the Biden administration. Heartland’s analysis found the average American household spent $1,000 more on energy costs in 2021 than the year prior, largely because of Biden’s energy policies.

Biden and company fail to understand the basic fact that their climate policies are producing the high prices and shortages apparent across the U.S. economy and their boosting of oil prices increased the funding for Putin’s war machine.

Biden’s response to high oil prices in his State of the Union address was to dig deeper into the hole, doubling down on the failed energy policies that put us in the current crisis.

“Let’s provide investments and tax credits to weatherize your homes and businesses to be energy-efficient and you get a tax credit; double America’s clean energy production in solar, wind, and so much more; lower the price of electric vehicles, saving you another $80 a month because you’ll never have to pay at the gas pump again.” Biden said.

White House Press Secretary Jen Psaki’s tone-deaf response to high energy prices was to tweet, “Production is up, rising, and approaching records, yet Russia’s actions still leave our consumers vulnerable. It’s a reminder that real energy security comes from reducing our dependence on fossil fuels.”

Senate Majority Leader Chuck Schumer (D-NY) showed complete ignorance of America’s energy dependence on Russia, at a recent press conference. In response to a reporter asking, “What do you make of Sen. Manchin’s proposal to have more domestic oil production?” Schumer replied, “The U.S. is a major oil producer; we only get 1 percent of any imports from Russia.” Schumer was flat wrong! Data from the U.S. Energy Information Administration (EIA) shows U.S. oil imports from Russia grew to more than 8 percent of all imported oil in 2021, during Biden’s first year in office.

The same EIA report revealed oil imports from Russia to the United States in 2021 grew by more than 24 percent from the last year of Donald Trump’s presidency. Oil imports from Russia in 2021 exceeded the oil imported from Russia in each of Trump’s four years in office, and they were approximately 79 percent greater than the amount imported during the lowest-volume year recorded under Trump.

The plain fact is, the amount of oil that would have been shipped daily through the Keystone XL pipeline from Canada, 850,000 barrels per day, could have more than supplanted all the oil imported from Russia daily, had Biden not cancelled its permits on his first day in office.

Donald Trump understood energy issues. He correctly saw climate change as something manageable and recognized fossil fuels remain critical for economic progress. Trump charted a course not just for American energy independence but energy dominance, with his policies making us a net energy exporter for the first time since the 1950s. Biden has been reversing these policies as fast as he can sign orders between naps.

Republicans understand the problem. Sen. Ted Cruz (R-TX) and other Senate and House Republicans are offering bills to rescind the executive actions Biden has imposed to prevent pipeline development and delay new oil and gas exploration and production. The congressional Democrats say these bill won’t see the light of day as long as they are in control. The Democratic leadership doesn’t get it. Because they don’t get it, they may not be in control of Congress much longer.

The energy and space entrepreneur and social media darling Elon Musk gets it. Despite leading the largest, most successful electric vehicle manufacturer in the world, Tesla—a company that benefits from higher oil and gas prices—Musk recently called for increasing U.S. oil and gas production.

“Hate to say it, but we need to increase oil and gas output immediately. Extraordinary times demand extraordinary measures,” Musk tweeted to his nearly 63 million Twitter followers. “Obviously, this would negatively affect Tesla, but sustainable energy solutions simply cannot react instantaneously to make up for Russian oil and gas exports.”

In calling for increased oil and gas production, Musk is putting the nation’s well-being ahead of his self-interest. He’s an energy realist. In this climate-woke day and age, that makes him a both a champion of reason and a patriot.

Democrats deny energy reality. What that makes them, I’ll let the reader decide, but in my opinion it paints them as fools or traitors.

The cartoon character Pogo’s famous statement, “We have met the enemy, and he is us,” was meant to be humorous. His quip has rarely captured a political situation more aptly than with the high prices Americans face today because of Biden’s climate and energy policies. It’s not funny at all.

This can be remedied over the course of the next two election cycles, though sooner would be better.

*****

This article was published by the Heartland Institute and is reproduced with permission.

SEC Unveils Sweeping Climate Requirements For Public Companies thumbnail

SEC Unveils Sweeping Climate Requirements For Public Companies

By The Geller Report

The left’s climate hoax wrecking ball is taking down our markets – the financial foundation of this once great nation.

SEC Unveils Sweeping Climate Requirements For Public Companies

By: Thomas Catenacci, Daily Caller, March 21, 2022:

  • The U.S. Securities and Exchange Commission (SEC) proposed rules Monday that would force companies to publicly disclose a wide-range of climate-related information.
  • “I am pleased to support today’s proposal because, if adopted, it would provide investors with consistent, comparable, and decision-useful information for making their investment decisions, and it would provide consistent and clear reporting obligations for issuers,” SEC Chairman Gary Gensler, who President Joe Biden appointed in February 2021, said in a statement.
  • The SEC, the nation’s top financial regulator, would require publicly-traded companies to disclose how “severe weather events and other natural conditions” may impact their business, under the proposed rules, according to an announcement.
  • “Today’s action hijacks the democratic process and disrespects the limited scope of authority that Congress gave to the SEC,” Senate Banking Committee Ranking Member Pat Toomey said in a statement. “This is a thinly-veiled effort to have unelected financial regulators set climate and energy policy for America.”

The U.S. Securities and Exchange Commission (SEC) proposed rules that would force companies to publicly disclose a wide-range of climate-related information.

The SEC, the nation’s top financial regulator, would require publicly-traded companies to disclose how “severe weather events and other natural conditions” may impact their business, under the proposed rules, according to the Monday announcement. Companies would also be forced to publish the greenhouse gas emissions produced from their operations.

“I am pleased to support today’s proposal because, if adopted, it would provide investors with consistent, comparable, and decision-useful information for making their investment decisions, and it would provide consistent and clear reporting obligations for issuers,” SEC Chairman Gary Gensler, who President Joe Biden appointed in February 2021, said in a statement.

“Today’s proposal would help issuers more efficiently and effectively disclose these risks and meet investor demand, as many issuers already seek to do,” he said. “Companies and investors alike would benefit from the clear rules of the road proposed in this release.”

In addition, companies would be required to share their transition plans as part of their “climate-related risk management strategy,” the proposal stated.

The commission published a complete list of a dozen requirements companies must comply with under the rule.

“The proposal will undermine the existing regulatory framework that for many decades has undergirded consistent, comparable, and reliable company disclosures,” SEC Commissioner Hester Peirce, the agency’s lone Republican, said during a hearing on the proposal held Monday. “We cannot make such fundamental changes to our disclosure regime without harming investors, the economy, and this agency.”……..

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EDITORS NOTE: This Geller Report column is republished with permission. ©All rights reserved.

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The Ruling Class’s Response To Inflation Tells You It’s Only Going To Get Worse thumbnail

The Ruling Class’s Response To Inflation Tells You It’s Only Going To Get Worse

By Joy Pullmann

Claims by officials that inflation is transitory or caused by Vladimir Putin are confirmation that it will continue.

Every time some member of the ruling class says “inflation is transitory” or “we predict it will come down by the end of the year,” I read it as confirmation things are going to get worse. That’s because these are the same people who told us just a few months ago that inflation wasn’t happening until it was so obvious that the screen people had to switch narratives.

It’s also because U.S. corporate media, which today drives national politics, has been for some time the American Pravda. You have to read between the lines, sometimes backward, to understand what is really going on.

These are, recall, the same people who also tell us every election is questionable except 2020’s, some men are women, babies aren’t people, war is bad but we should get into another one, and critical race theory is a mirage. They simply can’t be trusted on anything.

In fact, a rule of thumb I’ve developed based on watching the media lie so many times is that whenever the ruling class insists on something, it’s a pretty good bet to assume the opposite is closer to the truth. It works extremely well to combat propaganda stampedes.

The people telling us that inflation’s not happening — but it’s Vladimir Putin’s fault — do so in direct contradiction to empirical demonstrations of the opposite. Nobel Prize-winning economist Milton Friedman, for one, demonstrated that inflation is “always and everywhere a monetary phenomenon” — i.e. directly caused by governments essentially printing money.

It’s the money supply, stupid. And hoo boy, has our government been printing money. It’s not only gone on a money-printing bender using the magical blank-check excuse of “covid,” but hundreds of billions of deficit-funded dollars Congress already chucked out of helicopters hasn’t even gone into circulation yet. Massive Federal Reserve money creation likely hasn’t finished hitting the markets, and the minuscule interest rate hikes on the Fed’s table this week aren’t close to the levels needed even to start addressing that situation.

In addition, state and local governments are hoarding some $800 billion of already passed “Covid stimulus.” Approximately $1 trillion more in “infrastructure” spending is also still not out the door. This is all yet to be spent while the federal government has already expanded the dollar supply (M2) more than 40 percent since February 2020. So we’re seeing historic inflation right now long before Congress has finished blowing up the balloon.

This is the same Congress telling us that balloon needs even more air. Besides Democrats’ constant insistence that we need trillions more in unfunded spending for an even bigger welfare state, Republicans just helped them pass another pork fest “omnibus” that keeps all the palms greased and the country’s structural problems unaddressed, like usual. This is a Congress that sends billions to a foreign country while our own is in complete disarray.

Washington’s complete dysfunction and constant, dangerous denials of reality indicate that more inflation and other crises are already baked into the economic cake. Anyone saying otherwise is an idiot or lying.

Another confirmation that inflation is going to continue for the foreseeable future is that the people whose responsibility it is to get this situation under control seem to live in la-la land. Congress is completely controlled by magical thinking and has been for so many years, to the point it’s legit to wonder if they all live in an alternate universe inside Meta headsets. Given how much power Twitter hashtags have over government priorities, this metaphor is already pretty close to reality.

In Congress’s alternate universe, spending trillions of dollars Americans and their grandkids don’t have and can’t possibly ever earn is not only a great idea, it will solve the problem of… not having enough money. Spending is saving!

The decades-long persistence of this type of unserious abdication of leadership underscores that it is a systemic problem. Along with Democrats, Republicans voted for the legislation that gave us today’s inflation, and they help maintain the conditions under which it will continue. The same system giving us historic inflation and other unaddressed national crises is not exactly positioned to solve those crises.

Anyone with half an education who did not live in congressional la-la land could see that bombing the supply chain under Covid and then blanketing the most in-debt country in the history of humankind with even more fake dollars would cause an economic crisis. It doesn’t take fancy degrees to understand that spending a lot of money you don’t have is for fools. Plenty of hillbillies and high-school dropouts know that.

Since all Congress apparently knows how to do is spend money Americans don’t have, that’s what they did in historic amounts “because Covid,” thereby directly causing historic inflation. Witless Republicans willingly assisted in the fake panic Democrats fanned over Covid to shower campaign donors with piles of cash and Americans with just enough leftover bits of cash to shut them up about trading their constitutional rights for this mess of government pottage.

The same people who got us into this mess sure as shootin’ ain’t going to get us out. People in the ruling class make enough income that they can buy Teslas that run on coal-fired electricity while the rest of us stay home because we can’t afford to fill up our Camrys. They also self-insure from the national crises they create by using those crises to gain even more power.

The ruling class loves creating crises, because destroying their fellow citizens’ lives and livelihoods allows them to seize more power while other people panic. Until enough Americans get wise to this bipartisan dynamic and amass enough effective pushback for long enough to stop it, things are only going to get worse.

*****

This article was published by The Federalist and is reproduced with permission.

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It Takes a Village of Bureaucrats to Implement Despotism

By Barry Brownstein

The Centers for Disease Control and Prevention (CDC) is committed to a vaccine solution for COVID-19. Bureaucrats at the CDC believe you can’t be trusted to see “critical” data on COVID hospitalizations or the effectiveness of the COVID vaccine boosters; you might “misinterpret” the findings and be less inclined to get vaccinated or boosted. The NewYork Times reports, “The performance of vaccines and boosters, particularly in younger adults, is among the most glaring omissions in data the C.D.C. has made public.” Perhaps the withheld CDC data mirrors recent Israeli data, which shows, for the second booster, vanishing efficacy.

When the new FDA Commissioner Robert Califf, says his top priority is to fight “distortions and half-truths,” he wasn’t referring to misinformation coming from government bureaucrats.

By withholding information, the CDC has been complicit in the firing of thousands of Americans from their jobs, many of them health professionals. You can hardly mandate something that doesn’t work as advertised and doesn’t prevent you from infecting others.

Dr. Pierre Kory explains how edicts from politicized bureaucrats have led to hospital protocols calling “for treating [COVID] with ineffective, expensive, and potentially unsafe drugs like Remdesivir.”

Ryan Cooper writes the “practice of shading the truth or telling straight-up falsehoods in service of some half-baked political end started from the first moments of the pandemic.”

University of California professor of medicine Dr. Vinay Prasad also decries the lies:

Throughout the pandemic, public-health officials have omitted uncomfortable truths, made misleading statements, and advanced demonstrably false assertions. In the information era, where what one says is easily accessible and anyone may read primary literature, these falsehoods will be increasingly recognized and severely damage the field’s credibility.

Prasad writes, “We must carefully remove the power we have granted public health, which has often been misused.”

Swinish Unconstitutional Behavior

In Vasily Grossman’s great Russian novel Life and Fate, two scientists are talking about their frustration navigating the highly politicized bureaucracy where a political error could result in being purged. Of the current bureaucrat in charge of their lab, one scientist says, “he’s not such a bad type.” Grossman, through another character, adds this teaching lesson: “By the way, do you know the difference between a good type and a bad type? A good type is someone who behaves swinishly in spite of himself!”

Generalizing the lesson, bureaucracies incentivize employees to betray the public trust. Employees may feel bad about what they do, but they do bad things, anyway.

Grossman was writing about Stalinist Russia, but his observations can be easily applied to the CDC or Fauci’s National Institute of Allergy and Infectious Diseases (NIAID).

Federal regulatory agencies and the bureaucrats running them are trampling on your rights. Columbia University Law School professor Philip Hamburger is one of the leading authorities on constitutional law. According to Hamburger, writing in his short book, The Administrative Threat, “Administrative power is a preconstitutional mode of governance— the very sort of power that constitutions were most clearly expected to prevent.” American bureaucrats are not fundamentally different from their counterparts in totalitarian societies. They are both unbounded by constitutional constraints; the only difference is in degree.

Before the Supreme Court decisions on vaccine mandates, Hamburger left no doubt about where he stood: “Rather than merely evaluate the Biden administration’s misdeeds—serious as they are—the Court should reflect upon its own wayward doctrines. Its departures from the Constitution have authorized, even normalized, the government’s departures. For this, the Court is to blame.”

Hamburger is referring to the normalization of administrative power. In The Administrative Threat, he is clear: “The Constitution establishes only regular avenues of power, and thereby blocks irregular or extralegal power. To be precise it blocks extralegal lawmaking by placing legislature powers exclusively in Congress, and it prevents extralegal adjudication by placing judicial power exclusively in the courts.”

Administrative mandates and rules are unconstitutional. “Through administrative power,” Hamburger argues, there now exists a third but “unconstitutional” way by which the “the executive purports to create legal obligation.” Administrative lawmaking is not justified as “delegated power.” Congress has no power to subdelegate its responsibilities to bureaucratic administrators. In short, administrative power, Hamburger writes, is “the very sort of power that constitutions were expected to prevent.” He warns that power wielded through government bureaucracies “binds Americans and deprives them of their liberty.”

Many citizens yield to administrative power believing we need experts, such as Fauci, to guide us. Hamburger cautions, “A person with specialized expertise will tend to overestimate the importance of that area and underestimate the significance of others. As a result, although experts can be valuable for their specialized knowledge, they cannot be usually relied upon for decisions that take a balanced view of the consequences.”

Hamburger was writing before COVID. Clearly, of the administrative agencies and bureaucrats threatening our liberties today, Dr. Fauci has led the charge. Fauci is arguably one of the most powerful unelected officials in American history.

To stem the tide of rising administrative power, Hamburger recommends that we “should bar judicial deference to agencies on questions of law or fact, as this violates due process and other constitutional limitations. Further, he recommends, “Congress should remove immunity for administrators — beginning with those who have desk jobs and agencies with a track record of violating constitutional rights.”

As Hamburger explains in his book Is Administrative Law Unlawful?, “Administrative law evades not only the law but also its institutions, processes, and rights.”

The Amorality of Bureaucracies

Among the horrifying passages in Life and Fate are those where Grossman describes in detail what went into building the gas chambers in Nazi concentration camps. Hitler, Himmler, and Eichmann didn’t pluck these horrors from thin air. Gas chambers were not among products sold in the marketplace. Thousands of actions had to be coordinated by a bureaucracy and military willing to follow insane and criminal orders. Tens of thousands of highly educated individuals had to follow orders.

Grossman has the character Obersturmbannführer Liss visit the Voss engineering works:

The Voss works had been entrusted with an important part of the order and Liss was satisfied with their work. The directors had devoted considerable thought to the project and were keeping precisely to the specifications. The mechanical engineers had improved the construction of the conveyors, and the thermal technicians had developed a more economical system for heating the ovens.

Writing in his illuminating but understated style, Grossman brings home the point that many well-educated individuals had to engage in this depraved process:

Liss refused an invitation to observe the experiments being conducted in the laboratory. He did, however, look through pages of records signed by various physiologists, chemists and biochemists. He also met the young researchers responsible for the experiments: a physiologist and a biochemist (both women), a specialist in pathological anatomy, a chemist who specialized in organic compounds with a low boiling-point, and Professor Fischer himself, the toxicologist who was in charge of the group.

Still, much more was needed. Grossman explains:

A railway track had been laid down, leading directly off the main line to the construction site. The tour of inspection began with the depots alongside the railway line. First, under an awning, was the sorting depot. This was filled with component parts of a variety of machines, tubes and pipes of every diameter, unassembled conveyor belts, fans and ventilators, ball-mills for human bones, gas and electricity meters soon to be mounted on control panels, drums of cable, cement, tip-wagons, heaps of rails, and office furniture.

Grossman continues with construction details and descriptions of people operating the camps. One such person was Private Roze, whose “job was to watch through the inspection-window; when the process was completed, he gave the order for the gas chamber to be emptied. He was also expected to check that the dentists worked efficiently and honestly.” The dentists were extracting gold dental work from those murdered:

At the end of each day one of the dentists would hand Roze a small packet containing several gold crowns. Although this represented only an insignificant fraction of the precious metal taken every day to the camp authorities, Roze had twice handed over almost a kilo of gold to his wife. This was their bright future, their dream of a peaceful old age. As a young man, Roze had been weak and timid, unable to play an active part in life’s struggle. He had never doubted that the Party had set itself one aim only: the well-being of the small and weak. He had already experienced the benefits of Hitler’s policies; life had improved immeasurably for him and his family.

The Party looked out for “the small and weak,” Roze reasoned. If Roze’s conscience was pricked, he could think, I am not a criminal; I am merely serving the “common good.” Grossman writes, “People struggling for their particular good always attempt to dress it up as a universal good. They say: my good coincides with the universal good; my good is essential not only to me but to everyone; in achieving my good, I serve the universal good.”

Complying with orders of bureaucrats to commit unimaginable atrocities, people can rationalize away their criminality. Grossman writes, “The air is full of the groans and cries of the condemned. The sky has turned black; the sun has been extinguished by the smoke of the gas ovens. And even these crimes, crimes never before seen in the Universe—even by Man on Earth—have been committed in the name of good.”

There are no gas chambers in America, and it is unlikely there will ever be. Yet, exercising extralegal power, an army of bureaucrats working for the CDC, FDA, OSHA have terrorized America, dividing Americans into the clean and unclean. As Laurie Williams writes, “An unelected government agency was allowed to classify us into ‘critical infrastructure’ and ‘nonessential,’ and confine many of us to our homes.” These bureaucrats, Williams adds, helped to teach us “to see each other as potential contagions, not potential collaborators.” These bureaucrats don’t have the terrible powers of bureaucrats in Nazi Germany or Stalinist Russia, yet I shudder to think what would happen if they were so empowered.

As with Private Roze, life is good for some who cooperate with COVID bureaucrats. Some have a vested interest in perpetuating the pandemic. Musa al-Gharbi, a sociology fellow at Columbia University, recently observed why academics and bureaucrats don’t want to let go of COVID:

A constellation of scholars, bureaucrats and pundits seem invested in COVID remaining a “crisis” indefinitely. As the political scientist Oren Cass put it, many have been granted more money, prestige and institutional power than they have ever had in the wake of the pandemic. For them, a “return to normal” would mean a return to being largely ignored and exerting marginal influence over society. It would mean losing new revenue streams they have grown accustomed to, and so on. In light of this reality, it is perfectly natural that many experts, administrators and “talking heads” would be disinclined to return to “normal” – loss aversion is a powerful cognitive bias. However, recognizing these impulses as banal (rather than nefarious) does not render them unproblematic. They can skew policymaking and expert advice towards continued invasive policies and a continued sense of panic in ways that are excessive and pernicious.

Ending Our Silence

The will of the voting public will often do little to reverse policies of unbridled bureaucracies. In his seminal Democracy in America, written in 1840, Alexis de Tocqueville explained that in Europe the basis of power was “the upper echelons of society,” whereas power in America began with individuals acting in associations, local governments and then states. Today Tocqueville wouldn’t recognize an America where power resides so significantly in an unconstitutional federal bureaucracy.

Yet, Tocqueville saw that centralization might one day lead to “administrative despotism:”

After having thus taken each individual one by one into its powerful hands, and having molded him as it pleases, the sovereign power extends its arms over the entire society; it covers the surface of society with a network of small, complicated, minute, and uniform rules, which the most original minds and the most vigorous souls cannot break through to go beyond the crowd; it does not break wills, but it softens them, bends them and directs them; it rarely forces action, but it constantly opposes your acting; it does not destroy, it prevents birth; it does not tyrannize, it hinders, it represses, it enervates, it extinguishes, it stupefies, and finally it reduces each nation to being nothing more than a flock of timid and industrious animals, of which the government is the shepherd.

The despotism of which Tocqueville warned is dawning. Overcoming it may seem hopeless, but the power of bureaucratic despots depends on the power we give them. Perhaps thousands of scientists working for the CDC and NIAID know they are enabling the lies of their bureaucratic leaders. Among them may be those who remain silent and do their jobs, as did Grossman’s scientists, chemists, thermal technicians, and mechanical engineers. Some will find their courage. When we find our voice and say enough is enough, perhaps Congress will restrain bureaucracies according to the recommendations of Hamburger. Some states are already acting to rein in the power of their state health bureaucracies.

Of Stalin’s crimes, Grossman shows how silence was an enabler of lies and horrors: “We remained silent in 1937 when thousands of innocent people were executed. Or rather some of us—the best of us—remained silent. Others applauded noisily. And we remained silent during the horrors of general collectivization.” Is that what the battle for freedom has come to, that the “best of us” remain silent?

As we find our voices, the pendulum of power will shift back in a Tocquevillian direction. In America today, a decentralization movement is growing, advocating greater local control. Continued erosion of public trust in federal agencies and government experts will hasten that movement. 

While we wait for others to wake up, Grossman believes we can choose “everyday human kindness.” “Ordinary people bear love in their hearts,” he wrote. “are naturally full of love and pity for any living thing. At the end of the day’s work they prefer the warmth of the hearth to a bonfire in the public square.” Kindness, Grossman adds, “is what is most truly human in a human being. It is what sets man apart, the highest achievement of his soul. No, it says, life is not evil!”

Life is not evil, but bureaucracies often are cruel. America is regressing back to the early seventeenth century, Hamburger observes, in the manner of King James of England who governed via edicts from his Star Chamber. Of administrative power, Hamburger warns, “It is difficult to think of a more serious civil liberties problem for the twenty-first century.”

*****

This article was published by AIER, American Institute for Economic Research and is reprinted with permission.

HHS Secretary Becerra Promotes Critical Race Theory-Based ‘Health Equity’ as Top Priority thumbnail

HHS Secretary Becerra Promotes Critical Race Theory-Based ‘Health Equity’ as Top Priority

By Discover The Networks

During an address on Friday marking the dubious milestone of his first year in office, Health and Human Services (HHS) Sec. Xavier Becerra identified “health equity” as his department’s top priority.

“Health equity has to be part of everything we do,” Becerra said. “You will see health equity pervades everything we do.”

You will recall that “equity” is not the same as “equality.” Equality is by definition anti-discrimination. Equity is discrimination — present discrimination against the white power structure in retaliation for past discrimination. Health equity operates under the assumption that the medical profession has been historically racist, and that health care needs to be “relearned” in order to “center on” black lives.

The American Medical Association (AMA) issued a 54-page manifesto called “Advancing Health Equity” which teaches medical professionals how to agitate toward critical race theory-centric policies and practices.

“A rich tradition of work in health equity and related fields, including critical race theory (defined in the glossary), gender studies, disability studies, as well as scholarship from social medicine, gives us a foundation for an alternative narrative,” it says, citing a Guide to Counter-Narrating the Attacks on Critical Race Theory, “one that challenges the status quo, one that moves health care towards justice.”

Prioritizing the radical aims of Progressive “social justice” in what should be the science-based, non-discriminatory field of medicine is going to lead to a whole new level of death and misery for countless patients. Yet that is the “top priority” of our Health and Human Services chief.


Xavier Becerra

39 Known Connections

In October 2002 Becerra supported the Chicano Coalition for Peace and Social Justice, a group that had been infiltrated by the Communist Party USA (CPUSA). In 2005 he joined Raul Grijalva and Luis Gutierrez in backing the efforts of Latinos for Peace, an anti-Iraq War front group for the CPUSA.[1] That same year, Becerra co-sponsored Rep. John Conyers‘s HR 676, a bill calling for the creation of a government-run, “single-payer” healthcare system.

In August 2008 Becerra was named as a member of the Barack Obama presidential campaign’s National Latino Advisory Council, along with such notables as Raul GrijalvaLuis GutierrezEliseo Medina, Linda Sanchez, Hilda Solis, and Nydia Velazquez.

Becerra was one of 15 congressional co-sponsors of the America Votes Act of 2012, which sought—on the twin premises that Voter ID laws are racist and voter fraud is exceedingly rare—to allow voters to sign an affidavit attesting to their identity if they lacked the identification documents required at their polling place.

In early 2013, Becerra was one of a number of prominent leftists who urged President Obama to award, posthumously, the Presidential Medal of Freedom to the late Fred Ross Sr., a Saul Alinsky-trained radical who mentored both Cesar Chavez and Dolores Huerta.

To learn more about Xavier Becerra, click here.

EDITORS NOTE: This Discover the Networks column is republished with permission. ©All rights reserved.

No Insurance Payments: The Next COVID Shot ‘Mandate’? thumbnail

No Insurance Payments: The Next COVID Shot ‘Mandate’?

By MERCOLA Take Control of Your Health

Those who choose not to get a COVID-19 shot may face higher costs for health care related to COVID-19. For the first 1.5 years of the pandemic, health insurance companies routinely paid for all costs related to COVID-19, waiving deductibles and copays across the board.1 Policies have since changed, with many private insurers no longer picking up the tab for hospitalizations and other costs related to COVID-19.

However, those who haven’t received COVID-19 shots could end up paying the most. While health insurance companies cannot deny health insurance to someone because they don’t get a COVID-19 shot, it’s possible that they could face increased costs — similar to smokers, who also pay a premium for health insurance coverage.

Delta Airlines Paved the Way for Increased Costs

August 25, 2021, Delta Air Lines announced that employees who are on the company health plan who do not get a COVID-19 shot will have a $200 monthly surcharge added. In the two weeks after Delta made the announcement, 20% of Delta’s unvaccinated employees got the injection, raising the company’s injection rate from 74% to 78%.2

The surcharge took effect on November 1, 2021, and by October 29, Delta Air Lines CEO Ed Bastian stated that more than 90% of employees had received the shot.3 In an employee memo, Bastian defended the significant premium hike for unvaccinated employees, stating, “The average hospital stay for COVID-19 has cost Delta $50,000 per person. This surcharge will be necessary to address the financial risk the decision to not vaccinate is creating for our company.”4

Other companies have since followed suit. In January 2022, the Society for Human Resource Management (SHRM) announced that public employees in Nevada, along with their adult dependents, would be assessed a surcharge on their state health insurance plan if they don’t get a COVID-19 shot by July 2022.5

A September 2021 survey by SHRM found that close to 20% of corporations were considering raising health insurance premiums for employees who don’t get the injection. Among organizations, 13% were considering such a move while less than 1% had actually raised premiums for unvaccinated employees at that time.6

In another example, Mercyhealth, which runs hospitals and health clinics in Wisconsin and Illinois, started deducting $60 per month from employees’ wages if they choose not to get the shot. While Alen Brcic, Mercyhealth vice president of people and culture, called the so-called “risk pool fee” a nominal amount, it drove the health system’s vaccination rate among employees up to 91%, from its previous 70%.7

“A ‘couple of handfuls’ of people quit over the policy and roughly 9% of employees are now contributing to the risk pool. Mercyhealth did provide a very small number of medical exemptions, but no religious exemptions,” NPR reported.8

Wellness Program Loophole Allows Increased Costs for Some

A number of federal statutes — including the Patient Protection and Affordable Care Act (ACA) and the Health Insurance Portability and Accountability Act of 1996 (HIPPA) — prohibit group health plans and insurers from discriminating against individuals based on health factors.

While short-term health plans, which aren’t subject to ACA regulations, can deny coverage to someone because they didn’t get a COVID-19 vaccine, private health insurers cannot. Further, insurers that are part of the individual marketplace cannot charge penalties to those who are not vaccinated.9

However, wellness programs provide a work-around. By making COVID-19 injections a requirement of the company’s wellness program,10 Delta, for instance, may be able to skirt legal issues,11 as they’re “rewarding” members who participate in the wellness program by letting them avoid the premium surcharge hoisted on the unvaccinated.

JPMorgan Chase and Harmons have also used wellness program guidelines as a tool to raise health care premiums for workers who don’t get a COVID-19 shot. “According to federal law, companies are allowed to charge employees different amounts for health care as long as they do it through a program designed to promote healthy behaviors and prevent disease,” NPR reported.12

A wellness program can include virtually anything, from reaching a set number of steps daily to quitting smoking or staying within a certain BMI range. Sabrina Corlette, founder and co-director of the Center on Health Insurance Reforms at Georgetown University, told NPR, “Your wellness program could simply be: I’m going to encourage all of my employees to get vaccinated, full stop.

Most employers are doing this to try to have a healthier and more productive workforce … and to spend less on overall health care costs.”13

There are a few caveats. For instance, ACA regulations state that surcharges in employer wellness programs for things such as COVID-19 vaccination status are allowed, as long as they don’t discriminate against people with disabilities.14 NPR broke down wellness program waivers this way:15

“Under federal law, the wellness program must be ‘reasonably designed,’ meaning there’s a reasonable chance the program will improve the health of or prevent disease in the participants. To ensure that wellness programs do not violate discrimination laws, companies must provide waivers for individuals who have medical reasons for not meeting the stated targets or alternative ways for them to satisfy the requirements.

As part of its policy, the Utah grocer Harmons says its insurance premium surcharge of up to $200 per month applies to ‘unvaccinated associates who don’t qualify for an exemption or who chose not to complete a vaccine education series.’”

Rewards and penalties of wellness programs may not exceed 30% of the cost of employees’ health care plans, “calculated as the amount paid by the employee and the employer combined,” except in cases that involve tobacco use — then the penalty may reach 50% of costs.16

Fines for Vaccination Status a Slippery Slope

Governments around the globe have also rolled out fines for refusal of COVID-19 shots. Greece announced it would fine anyone aged 60 years and over who doesn’t get the injection, at a rate of approximately $114 a month.17 The Canadian province of Quebec also announced plans to fine the unvaccinated a “significant” amount.18

“There comes a point where these incentives [are getting] higher and higher and higher until people just can’t afford to not get the vaccine,” Julie Downs, Ph.D., a social psychologist and associate professor at Carnegie Mellon University in Pittsburgh, told AAMC. “It does work, but it comes at a cost … [and it’s] very hard in this political environment.”19

Dr. Mark Fendrick, director of the University of Michigan’s Center for Value-Based Insurance Design, described penalties for not getting vaccinated “legally murky,”20 while others have described it as coercion. While health insurance companies have long charged higher premiums based on factors like smoking, the Equal Employment Opportunity Commission requires that penalties not be so large as to be coercive.21

One of the principles of the Nuremberg Code is that humans must give voluntary consent when participating in medical experiments, and that consent must be given, among other things, “without the intervention of any element of force, fraud, deceit, duress, over-reaching, or other ulterior form of constraint or coercion.”22

Give the emergency use authorization, not approval, the mass jab administration constituted a research trial. While the Pfizer-BioNTech COVID-19 jab received FDA approval August 23, 2021, the injection’s approval represents the fastest approval in history,23 granted less than four months after Pfizer filed for licensing May 7, 2021.24 So for all intents and purposes, it’s still in the research phase.

Daniel Polsky, Ph.D., economist with the Johns Hopkins Blomberg School of Public Health and Carey Business School, further noted that penalties based on vaccination status should not dictate health care coverage, which also should not impose fines that suggest a person is at fault for getting sick. He told AAMC:25

“[For example,] we have this obesity crisis and some people would say, ‘Maybe we shouldn’t pay for care, it’s the person’s fault for being obese or for being an addict. If someone got sick from COVID — we should withhold paying for care.’… That is a slippery slope and not somewhere we should go.”

Natural Immunity Is Ignored

If you’ve had COVID-19, the research is strong that you’re well protected against reinfection. New data from the U.S. Centers for Disease Control and Prevention even show that prior COVID-19 infection, i.e., natural immunity, is more protective than COVID-19 injections.26

Despite this, the U.S. Supreme Court (SCOTUS) recently upheld a vaccine mandate at the Centers for Medicare & Medicaid Service (CMS), which is part of the U.S. Department of Health and Human Services. The mandate affects 10.4 million health care workers employed at 76,000 medical facilities,27 making no exceptions for those who have natural immunity to COVID-19 due to prior infection.

“You can think about a mandate as the strongest form of incentive,” Dr. Kevin Volpp, director of the Center for Health Incentives and Behavioral Economics at the University of Pennsylvania, told AAMC. “What we’ve seen so far in employer settings where there is a mandate related to keeping your job is that very few employees have not complied.”28

Yet, when researchers reviewed studies published in PubMed, they found that the risk of reinfection with SARS-CoV-2 decreased by 80.5% to 100% among people who had previously had COVID-19.29 Additional research cited in their review found:30

  • Among 9,119 people who had previously had COVID-19, only 0.7% became reinfected.
  • At Cleveland Clinic in Cleveland, Ohio, the incidence rate of COVID-19 among those who had not previously been infected was 4.3 per 100 people; the COVID-19 incidence rate among those who had previously been infected was zero per 100 people.
  • The frequency of hospitalization due to a repeated COVID-19 infection was five per 14,840 people, or .03%, according to an Austrian study; the frequency of death due to a repeated infection was one per 14,840 people, or .01%.

In short, if you’ve had COVID-19, you’re largely protected from reinfection, and a COVID-19 shot is not only unnecessary but, according to some experts, especially dangerous.31 Penalizing people who refuse a COVID-19 shot they don’t want or need becomes particularly atrocious in such cases. Unvaccinated individuals must have the freedom to remain so, if that’s what they choose, and not be forced into this medical decision by financial threats and coercion.

RELATED ARTICLE: 90-Day Pfizer ‘Bombshell’ Busted in 9 Pages

EDITORS NOTE: This MERCOLA column is republished with permission. ©All rights reserved.

Poll: Americans Want More Domestic Energy Production thumbnail

Poll: Americans Want More Domestic Energy Production

By Casey Harper

The increased pressure on the U.S. oil supply and soaring gas prices have left the vast majority of Americans calling for more domestic oil production.

Convention of States Action along with The Trafalgar Group released new polling data that showed that 77.3% of surveyed American voters say that, “in the wake of Russia’s invasion of Ukraine, President Biden should make increasing American energy production a priority.”

Notably, 77.6% of Independents and even 67% of Democrats agree.

“We can see in these numbers that Americans of all political stripes are being heavily impacted at the gas pump and want to see decisive action to ease our inflation-plagued economy,” said Mark Meckler, president of Convention of States Action. “But this is not only about lowering prices, it’s also obvious to everyone that buying oil from our enemies threatens both America’s national security and our economy.”

The Biden administration has taken fire for its energy policies, particularly slowing domestic drilling and pipeline development while simultaneously calling on foreign powers like OPEC to increase supply.

According to AAA, the national average of gas prices is at $4.29 per gallon, a major increase from $2.88 at the same time last year. Gas prices have hit record highs in recent days after steadily increasing in the past year.

“Voters want Americans to benefit from American-produced energy,” Meckler said.

The poll was conducted March 7 through March 11 by surveying 1,000 likely 2022 voters.

Democrats blocked the Republican-led American Energy Independence from Russia Act, which would open oil and gas leases around the country, authorize the Keystone XL pipeline without presidential permitting, among other pro-energy measures.

“In addition, the bill grants the Federal Energy Regulatory Commission the authority to approve or deny applications for facilities to export natural gas from the United States to foreign countries or import natural gas from foreign countries,” the bill’s summary reads. “The President and federal agencies must obtain congressional approval before (1) prohibiting or substantially delaying certain new energy mineral leases or permits on federal lands, or (2) withdrawing certain federal lands from mineral and geothermal leasing activities. The Department of the Interior must resume issuing oil and gas leases on federal lands and offshore submerged lands in the Outer Continental Shelf as specified under the bill.”

Republicans have pushed hard for the bill, arguing that energy independence is a national security necessity.

“I continue to urge President Biden and my colleagues across the aisle to join us to get this done and flip the switch on American energy,” said Rep. Cathy McMorris Rodgers, R-Wash. “The American Energy Independence from Russia Act removes all restrictions on our LNG exports to deliver natural gas to our allies in Europe. It restarts oil and gas leasing on our federal lands and waters. Because we need more pipelines, which is the safest way to transport energy, it approves the Keystone XL pipeline.

“We must say ‘yes’ to bolstering our energy security. It’s how we strengthen our geopolitical power and help President Zelenskyy win this war,” she added.

*****

This article was published by The Center Square and is reproduced with permission.

The Myth That the Marshall Plan Rebuilt Germany’s Economy After WWII thumbnail

The Myth That the Marshall Plan Rebuilt Germany’s Economy After WWII

By Foundation for Economic Education (FEE)

The Marshall Plan didn’t rebuild Germany after World War II. Sound money did.


In 1939, Germany had a GDP of nearly $400 billion, having surpassed the USSR to make it the second most powerful economy in the world, behind the US. In 1946, following years of war, Germany’s GDP had dropped to just $160 billion, lower than the UK and France. Food production had been reduced by 50 percent, housing stock by 20 percent, and industrial output by 33 percent.

Yet by 1955, German GDP was back near $400 billion, once again overcoming that of the UK. Industrial output had quadrupled by 1958 with a steady rate of growth of about 8 percent each year throughout the 50s.

This “economic miracle” is commonly referred to as die Wirtschaftswunder. But how did Germany go from rubble to riches in just a decade while neutral countries like Spain merely treaded economic water? If you ask your average American history student, they will say the Marshall Plan, of course!

Unfortunately, the ubiquity of the myth that the Marshall Plan rebuilt Germany is proof that state-controlled education favors propaganda over economic literacy. Despite the fact that most modern historians don’t give the Marshall Plan much credit at all for rebuilding Germany and attribute to it less than 5 percent of Germany’s national income during its implementation, standard history textbooks still place it at the forefront of the discussion about post-war reconstruction.

Consider this section from McDougal Littell’s World History (p. 968), the textbook I was given in high school:

“This assistance program, called the Marshall Plan, would provide food, machinery, and other materials to rebuild Western Europe. As Congress debated the $12.5 billion program in 1948, the Communists seized power in Czechoslovakia. Congress immediately voted approval. The plan was a spectacular success.”

Of course, the textbook makes no mention of the actual cause of the Wirtschaftwunder: sound economic policy. That’s because, for the state, the Marshall Plan makes great statist mythology.

Not only is it frequently brought up to justify the United States getting involved in foreign conflicts, but it simply gives support for central planning. Just look at the economic miracle the government was able to create with easy credit, they say.

And of course, admitting that the billions of dollars pumped into Germany after WWII accomplished next to nothing, especially when compared to something as simple as sound money, would be tantamount to admitting that the government spends most of its time making itself needed when it isn’t and thereby doing little besides getting in the way.

You are unlikely to find the real cause of the Wirtschaftwunder mentioned in any high school history textbook, but here is what it was. In 1948, the economist and future Chancellor of West Germany Ludwig Erhard was chosen by the occupational Bizonal Economic Council as their Director of Economics. He went on to liberalize the West German economy with a number of good policies, the most important being currency reform.

The currency in Germany immediately after WWII was still the Reichsmark, and both the Nazis and then the occupying Soviet authorities had increased the amount in circulation significantly. As a result, by 1948 the Reichsmark was so worthless that people had turned to using cigarettes and coffee as money.

To give people a true store of value so that they could calculate economic costs accurately, assess risk and invest in the future, Erhard created the Deutsche Mark, West Germany’s new currency. Like ripping off a bandaid, he decreased the money supply by 93 percent overnight.

It’s also worth noting that while Erhard, following his school of Ordoliberalism, did form a central bank, it was at least designed independent from the government and followed a hard-money policy (preserving a stable amount of money) through the length of the Wirtschaftswunder. In fact, the original Bank Deutsche Länder was rather limited in scope until it was reorganized as the considerably more centralized Bundesbank in 1957, incidentally when Germany’s economic miracle began to lose steam.

Other notable liberal policies instituted by Erhard included removing all price controls and lowering taxes from the Nazis’ absurd 85 percent to 18 percent. The American occupational authorities opposed these reforms, but Erhard went through with them anyway. This liberalization had an immediate effect. The black market disappeared almost overnight, and in one year, industrial output almost doubled.

Perhaps most poignantly, unemployment dropped from more than 10 percent to around 1 percent by the end of the 1950s. Normally the government tries to justify currency manipulation as a means to eliminate unemployment, but the Wirtschaftwunder is evidence that sound money does the job far better.

So what can the truth of the Wirtschaftswunder teach us, other than that the government prefers promoting itself over real economic education? As politicians increasingly destroy our economies with inflationary monetary policy while simultaneously trying to convince us that these very policies are the only way to save us, the lessons of post-war Germany only become more relevant.

What I’ve always taken away primarily is the simplicity and speed of the Wirtschaftswunder. While the Federal Reserve debates endlessly whether to raise rates and how much, our economy becomes increasingly weighed down by miscalculated investments, rising prices, and stagnating wages. The wealthy regulators with their hands on the money printer may make these seem like complicated problems, but look at how the post-apocalyptic economy of post-war Germany healed in mere months under sound money, deregulation, and low taxes.

Will our politicians and central bankers ever admit such a simple cure? As long as they can hide it from us, I doubt it.

AUTHOR

Christian Monson

Christian Monson is a writer and journalist covering subjects from motorcycles and guns to economics and European history. You can see more of his work at ChristianMonson.com.

EDITORS NOTE: This FEE column is republished with permission. ©All rights reserved.

Price Inflation Hit a New 40-Year High in February. No, It’s Not “Putin’s Fault.” thumbnail

Price Inflation Hit a New 40-Year High in February. No, It’s Not “Putin’s Fault.”

By Ryan McMaken

According to new data released by the Bureau of Labor Statistics, price inflation in February rose to the highest level recorded in more than forty years. According to the Consumer Price Index for February, year-over-year price inflation rose to 7.9 percent. It hasn’t been that high since January 1982, when the growth rate was at 8.3 percent.

February’s increase was up from January’s year-over-year increase of 7.5 percent. And it was well up from February 2021’s year-over-year increase of 1.7 percent.

A clear inflationary trend began in April 2021 when CPI growth hit the highest rate since 2008. Since then, CPI inflation has accelerated with year-over-year growth nearly doubling over the past 11 months from 4.2 percent to 7.9 percent.

For most of 2021, however, Federal Reserve economists and their PhD-wielding allies in academia and the media insisted it was “transitory” and would soon dissipate. By late 2021, however, economists began to admit they were “surprised” and had no explanation for the inflation. (What one actually learns while obtaining a PhD in economics apparently has nothing to do with understanding money or prices.) Jerome Powell then declared that the Fed would prevent inflation from becoming “entrenched.”

Now, high-level economists have changed their tune again with Janet Yellen admitting this week that “We’re likely to see another year in which 12-month inflation numbers remain very uncomfortably high.” Yellen had earlier predicted that CPI inflation would drop to around 3 percent, year over year, by the end of 2022.

Yellen was also careful to attempt political damage control by insinuating that price inflation is a result of uncertainty over the Russia-Ukraine war.

Never mind, of course, that the inflation surge began last year and that January’s CPI inflation rate was already near a 40-year high. The current crop of embargoes and bans on Russian oil imports implemented during March were not drivers of February’s continued inflation surge.

Few members of the public, however, will bother with these details, and this will benefit both the Fed and the administration. As far as the Fed is concerned, the important thing is to never, ever admit that price inflation is really being driven by more than a decade of galloping Fed-fueled monetary expansion (aka money printing). This was done largely at the behest of the White House and Congress to keep interest on the debt low and government spending high.

So, we can expect the administration to portray inflation as “Putin’s fault.” In a Friday speech to Democratic activists, Biden even claimed the high inflation rates are not due to “anything we did.” The tactic will no doubt work to convince many. But it’s unclear how many.

Workers Are Getting Poorer

In any case, the Democrats—since they are assumed to be “in power”—will need some sort of scapegoat for inflation since it continues to eat into American’s earnings.

February’s numbers on average hourly earnings show price inflation is outpacing earnings. As the graph shows, year-over-year earnings grew 5.13 percent, but price inflation grew 7.9 percent.

Source: BLS: Table B-3. Average hourly and weekly earnings of all employees on private nonfarm payrollsConsumer Price Index.

Looking at this gap, we find that real earnings growth has been negative for the past eleven months. In other words, according to these official numbers, average works have now been getting poorer for nearly a year. In February, the gap was negative 2.8 percent, which was tied for the second-worst wage-inflation gap in more than a decade.

Source: BLS: Table B-3. Average hourly and weekly earnings of all employees on private nonfarm payrollsConsumer Price Index.

Moreover, according to the Conference Board, US salaries are growing at a rate of approximately 3 percent this year—well below the 5-7 percent inflation rates experienced over the past year.

Combined with February’s unemployment rate of 3.8 percent, February’s inflation growth puts the US misery index at 11.7 percent. That’s the highest level since June of 2020, and similar to the misery index levels experienced when the unemployment rate surged in the wake of the 2008 financial crisis.

In addition to CPI inflation, asset-price inflation will likely continue to be troublesome for consumers as well. For example, according to the Federal Housing and Finance Agency, home price growth has surged in recent months, with year-over-year growth now coming in at 17.8 percent.

Calls for the Fed to Put Off Rate Increases

Ever since it was forced to admit that price inflation is real and growing, it began to strike a pose as a hawkish institution committed to reining in inflation.

But when it has come to actual action, the Fed has spent many months talking about doing something while doing nothing other than very slowly cutting new purchases of bonds and mortgage-backed securities. These extremely limited and dainty strategies belie the Fed’s repeated claims that the economy is robust and that it the Fed plans strong action against inflation. It is far more likely that behind the scenes the Fed has been prepared to take anything it can get that can be used as an excuse for not raising interest rates or sizably reducing the size of the Fed’s portfolio. With the Ukraine war, the Fed may be getting that excuse. This week, for instance, Karl Smith at Bloomberg has called for the Fed to “hit pause” on rate increases.

We should expect these calls to increase as the war continues to provoke uncertainty and as the economy continues to weaken. After all, Goldman has reduced its GDP forecast to 0.5 percent for the first quarter of the fiscal year 2022, and sees a mounting risk of recession for both the US and Europe.

The odds of the Fed chickening out and abandoning plans to cut monetary expansion have always been high. They’re even higher now that the war and a weakening economy will stoke inflation fears and another round of calls to “print the money” to prevent a recession.

It’s all likely to add up to yet another political windfall for the Fed. In early 2020, the economy was weakening after more than a decade of remarkably slow economic growth and rising reliance on monetary expansion to prevent the implosion of Fed-created economic bubbles. But then covid happened, and the Fed blamed the disease for the economic collapse and inflation that followed. Now the war will provide yet another way for the Fed and its economists to claim they were doing a great job, and it would have all been a great success if not for the Russians.

10 Absurd Examples of Corrupt Pet Projects and Handouts Congress Slipped Into Its Latest Massive Spending Bill thumbnail

10 Absurd Examples of Corrupt Pet Projects and Handouts Congress Slipped Into Its Latest Massive Spending Bill

By Brad Palumbo

Basically, nobody would support funding these things if they were put to a vote on their own.

In a sad commentary on the state of America’s priorities, the $1.5+ trillion spending legislation passed by Congress last week barely made headlines. Little attention was paid to the 2,700-page spending bill or the fact that it was released at 2:30 a.m. on the day of the vote, meaning most members of Congress voted on it blindly without even having skimmed the legislation. 

In a less dysfunctional country, this would be an outrage. Yet there’s even more scandal lurking beneath the surface-level incompetence of our elected officials.

The latest budget bill features an astounding 4,000 “earmarks,” pet spending items slipped into the fine print that fund projects and handouts to special interests in members’ home districts. The money funneled to earmarks totals a whopping $10 billion. (To put that number in context, it’s roughly one-fifth what the federal government spent on COVID-19 vaccine and treatment development.)

The full list of earmarks is 367 pages long. It’s far too long for most journalists—let alone an average American who doesn’t follow these things for a living—to actually go through in detail. However, a look at a few highlights gives you an idea about the kinds of things our money is spent on through this corrupt process.

Here are 10 of the most absurd earmarks in the latest spending legislation.

  1. $995,000 for a project on “soil health” at New Mexico State University, requested by Senators Martin Heinrich and Ben Ray Luján of New Mexico.
  2. $1.5 million for “tree restoration” in Ohio, requested by Senator Sherrod Brown of Ohio.
  3. $1 million for the “Multicultural Innovation Center” at the Rhode Island Black Business Association, requested by Senator Jack Reed of Rhode Island.
  4. $60 million to “renovate” the research facilities at the University of South Alabama College of Medicine, requested by Senator Richard Shelby of Alabama.
  5. $160,000 to study the “sustainability” of astronaut food at Lincoln University in Pennsylvania, requested by Senator Bob Casey of Pennsylvania.
  6. $109,000 for facility improvements to a local arts center, requested by Senator Patrick Leahy of Vermont.
  7. $200,000 to provide tech support for women and minority-owned businesses via the Vermont Center for Women & Enterprise, requested by Senator Bernie Sanders of Vermont.
  8. $2 million for a pilot program to try an electric-vehicle-based ferry system in Alaska, requested by Senator Lisa Murkowski of Alaska.
  9. $600,000 for the YMCA of Southern Arizona, requested by Congresswoman Ann Kirkpatrick of Arizona.
  10. $110,000 for a food truck and refrigerated van for the Spanish American Center in Massachusetts, requested by Congressman Jim McGovern of Massachusetts.

As you can see, these are pet projects and crony handouts for special interests, not essential items that require federal funding. Out of all 4,000+ earmarks, few seem like things that need to be funded by taxpayers at all—let alone at the federal level.

Can anyone explain why a Virginia taxpayer like me should have to pay for Alaska’s electric ferry experiment? Or why a Californian should have to pay for Spanish food in Massachusetts or tree restoration in Ohio?

I’d hold my breath waiting for a good answer, but then I’d probably pass out. Basically, nobody would support funding these things if they were put to a vote on their own, or even as a part of smaller legislation that could be properly scrutinized. That’s why they aren’t, and why earmarks are so inherently corrupt.

The famed economist Frédéric Bastiat once deemed the government “the great fictitious entity by which everyone seeks to live at the expense of everyone else.” And though you couldn’t tell from the way Congress behaves, there is no blank check from which the federal government can draw. 

When our elected officials funnel billions of taxpayer dollars to their corrupt handouts, that money must, directly or indirectly, come out of our pockets. Americans shouldn’t stand for a political class that wants to live at our expense—or more precisely, since the federal government is more than $30 trillion in debt, living at the expense of future generations.

*****

This article was published by FEE, Foundation for Economic Education and is reproduced with permission.

Company Contrast: Reagan.com thumbnail

Company Contrast: Reagan.com

By 2ndvote .com

Each week 2ndVote takes a look at popular companies that either score well or score poorly. We then provide alternatives that either better align with the 2ndVote values, or that should be avoided to the best of your ability. This weekly series is called The Company Contrast, and the company we will be focusing on this week is Reagan.com (3.23).2nd

Privacy on the internet and the security of users and their private data has become a hotter topic than anyone probably ever anticipated at the onset of the internet. Massive tech corporations commodify users as the “product;” frequently scanning, tracking, collecting, and storing user data in order to sell it to advertisers which then build profiles of who they think users are based on their activities and online behaviors. Before anyone ever had a chance to ask whether or not these practices had moral and ethical conflicts, the race for more and more user data was on. Fortunately, companies like Reagan.com recognize this problem and seek to offer a solution. Reagan.com offers users a secure and private email service that they can trust won’t mine their personal data like the large tech companies. It is a paid service, so users will need to weigh that factor when deciding to sign up. But many see it as a small price to pay for their privacy. Additionally, Reagan.com demonstrates conservative values by taking a stance in support of the 2nd Amendment, as well as publishing educational blogs to help users keep their data secure elsewhere on the internet.

On the other hand, email services like Yahoo (Verizon-owned – 1.43) and Gmail (Google-owned – 1.00) are owned and operated by the same Big Tech companies that seek to treat you like a product rather than a customer, and sell your data to the highest bidder for advertisement space. Not to mention that recent trends have shown that big tech companies have no qualms with canceling individual people based on their private emails and documents. Do yourself and your privacy a favor and avoid these services at all costs.

EDITORS NOTE: This 2ndVote column is republished with permission. ©All rights reserved.

Weekend Read – Everything Is the Fed’s Fault: A Review of the Fiat Standard thumbnail

Weekend Read – Everything Is the Fed’s Fault: A Review of the Fiat Standard

By Joakim Book

St Thomas More, an English statesman and one of  the 100 Greatest Britons, is rumored to have said the following on the eve of his execution:

Some men say the earth is flat. Some men say the earth is round. But if it is flat, could Parliament make it round? And if it is round, could the King’s command flatten it?

This quotation is likely apocryphal, attributed to More only because he seems like the heretical, idealistic, humanist character who would say something like that.

The quotation also captures part of what Saifedean Ammous means by “Fiat.” Ammous, or ‘Saif’ as he is more affectionately known to his Bitcoin supporters, was ushered into fame with his popular 2018 book, The Bitcoin Standard. Over the last few years, his frequent podcasting, fiery tweeting, and recurring appearances in debates have made him a household name in Bitcoin.

Now he’s back with a sequel: The Fiat Standard: The Debt Slavery Alternative to Human Civilization. Having well described how and why Bitcoin operates, Saif is in a good position to turn that lens back onto the incumbent monetary system to investigate its inner workings. The current system is not new. 2021 marked fifty years since the Nixon shock, and over a century since World War I ended the classical gold standard. As Saif writes, “it is now possible to pass judgment on this monetary standard.”

The provocative title aside, the book is an investigation into the monetary system under which we live. The book is not a typical study of a monetary system. Saif explores a multitude of topics of the modern world: energy, universities, schooling, health and dietary advice, and architecture. According to Saif, all have been ruined by the fiat system.

Everything That’s Bad is Fiat

To Saif, fiat means something like ‘fake’ or ‘pretend.’ It represents something as ridiculous as trying to flatten the earth by a mandate from the government. It means trying to get something for nothing. Or taking shortcuts that give relief in the short term yet produce dire consequences in the long term; which Saif describes as “like sniffing glue,” in order to get a short-term high at the cost of long-term health.

He uses fiat in its normal meaning too: to refer to a monetary system based on intrinsically worthless paper money, used, stewarded, and circulated by government decree. Expectedly, Saif rails against running the fiat money printer and the central bank’s fiat system, but also criticizes things like US energy policy – one that according to Saif aims to “replace oil and hydrocarbons with inferior alternatives.” Because, as Saif says, since these aren’t selected by the market, the government must impose them “by fiat.”

Saif’s vacillating use of the term fiat is confusing. Sometimes it means funding; sometimes it means the imposition of a centralizing worldview of Big Government control. And sometimes it’s a mentality, a persuasion that other people’s lives and things are policymakers’ to command, a short-termism that heavily prioritizes today over tomorrow.

He dubs climate scientists who trumpet doom, gloom, and hysteria for minor shifts in atmospheric gases “fiat climatologists.” He refers to Microsoft as “the world’s most fiat software company” and Bill Gates as “the world’s most fiat man.” Science and academic publishing are not safe either. Saif declares they are governed “by a single authority with infinite fiat at its disposal.” He designates universities, captured by their staff and Marxist ideologues, as “fiat universities.” Development economics is next, which Saif proclaims as harmful nonsense, and the development industry, which he renames the “misery industry” sits on “fiat foundations.” Finally, he takes on architecture and government planning. To him, ugly buildings are “fiat architecture” and government welfare programs have undermined the role of the family, and turned it into “fiat family.”

On and on it goes. The book reads like a 350-page under-sourced rallying tweet full of insults, name-calling, and hyperbolic language. While entertaining, it’s tiresome – and worth very little. Saif’s aggressive tone and outlandish claims undercut his argument and bewilder the reader. He rarely provides references for his claims, and seldom does he even identify the opponents he attacks. We are to take Saif’s word for it, his denouncement accepted as (fiat?) gospel.

Anyone who endures the full length of the book deserves a medal.

And Fiat Made that World Bad

Saif’s main idea is that all that is wrong with modern life stems from a faulty monetary system. It’s not exactly compelling (that’s too big and too unproven of a claim) but it has a certain appeal. The way Saif sees it, lots of areas of life are wrong at the same time. What explains the errors must be something that touches the entire Western world and all its areas of life – something like our money. And something that the dire quality of our money has made us all do, leading to a change in all of our values.

The underlying logic is that hard money and a free market in all these areas would never have permitted the atrocity that is Boston Public Library’s Johnson building. It would never have permitted the replacement of real, healthy, nutritious red meat with the modern diet, which Saif deems a “chemical shitstorm that is a soy burger,” and it would never have financed the nonsense research that blamed high cholesterol and saturated fat for heart disease. Without fiat, Saif conjectures that Germany would never have committed “industrial suicide” by following “the engineering scam that is fiat fuels.”

A proper money, or one that doesn’t melt like an ice cube as it depreciates in your hand, allows individuals to calmly plan ahead without discounting the future so heavily. He refers to Bitcoin as the cure, writing that it “reinstates reason to a world wrecked with the insanity of reality by fiat.” To Saif, Bitcoin lowers its users’ time preference by giving them a safe store of value in which to hold savings and it incentivizes people to look much further into the future. It also strips governments of funds, first because it radically cuts the demand for government bonds, and second by curtailing the ability for central banks to backstop markets (and in the limit, abolishing them). If government isn’t funding schools and universities, providing research grants, or meddling in energy markets with renewable mandates in conflict with reality, Saif thinks that almost all the madness that he sees around him will go away.

He’s certainly correct to call margarine and soybean lecithin “abominations” and to ridicule promoters of solar and wind power as “effectively rolling back human civilization.” But if you’re not already on the carnivore-leaning, health-conscious trend of eschewing government nutritional guidelines, this strikes the reader as hyperbolic and annoying. And if you don’t already understand how vital fossil fuels are to modern life, and how catastrophically bad their proposed replacements are, these inflammatory rallying claims do nothing to persuade you. They probably just set off alarms of poor scholarship and motivated reasoning. Even if we accept what he says about margarine and vegetable oils, about solar energy and modern architecture, the direct connection to fiat money is far from clear. Do people with harder money really eat better food, have better morals, construct nicer buildings? Would instituting the Bitcoin standard make the overwhelming majority of Americans who are obese eat and live better, and cure those who are metabolically dysfunctional?

History, Reality, and Faults

The book is also teeming with errors – and not just about the academic disciplines Saif sets out to denounce, but simple ones that are too numerous to be random. The Bretton Woods conference is dated to 1946, not 1944, and the Glass-Steagall Act to 1934 whereas the act with that name was passed in 1932 (and the legislation he refers to instead included under the 1933 Banking Act). When the US confiscated gold during the Great Depression and increased the legal rate from $20.67/ounce of gold to $35 (in 1933, not 1934 as Saif writes), we learn that that’s a 43 percent devaluation of the dollar – but anyone with a calculator can figure out that (1/35) divided by (1/20.67) equals 0.59, i.e. a 41 percent devaluation.

He doesn’t seem to understand that the 88.3 percent dollar figure in all foreign exchange trades refers to the dollar on either side of the trade, and so the percentages in the source he cites sum to 200. He misreads a source’s point about the inventor of Corn Flakes, John Kellogg, when the source itself described his brother William. Karl Marx and Friedrich Engels’ The Communist Manifesto is said to be written in 1844, instead of the winter of 1847-48 that a simple googling would have shown. And these are some of the innocent errors.

The errors get worse when Saif speaks on the monetary system that drives his ire. The Fed sets the Federal Funds Rate (it doesn’t), and all other interest rates derive from that (they don’t). The Federal Funds rate is not an administered rate – it’s an interbank market rate and the Fed targets a level that it, in turn, can impact by intervening on the buy or sell side. Over a decade into the experiment that the Fed unleashed after 2008 with an actual administered rate (“interest on reserves”), Saif should be aware by now that this is the Fed’s main instrument for monetary policy.

Other rates in the economy don’t derive primarily from the Federal Funds Rate – there are plenty of other asset indicators that market participants and real-economy agents use, such as yields on long-term government debts.

Fiat means that the ultimate source of a given institution’s funds is from the government. And Saif rarely bothers with distinguishing the Fed (the issuer of fiat) from the government – the distributor of government rules and funds. Thus, he writes that the Federal Deposit Insurance Corporation plays the official role as a lender of last resort, and that central banks compensate depositors in failing banks. That’s entirely backwards. The Fed is the nation’s lender of last resort, but it lends to illiquid banks and does not reimburse depositors. The FDIC, not the Fed, reimbursed the depositors of hundreds of failed banks during the Great Recession of 2008-2009.

What to Say About Saif’s New Monstrosity?

If you like aggressive denouncement of all manner of things, The Fiat Standard is for you. If, however, you can look past his zealotry, Saif points to some serious problems. He is right that higher education is in shambles, that much that goes on there is navel-gazing, “content-free papers,” and citation cartels. He is right that we eat ourselves into unhealth, and the kindest thing that can be said about official dietary advice is that they’re captured. He is right to call the greening of the grid “fiat thermodynamics,” and to attack the terrifying delusion that governs the green energy crowd.

It’s the connection to fiat money that’s unsettled, yet that’s his great claim to fame. Much government stupidity can go on even without resorting to a printing press: for governments, taxes are a much larger resource transfer than is inflation. 

The aggressive tone aside, the emphasis on a fiat mindset – one where you get something for nothing and can have something merely by decree – is valuable. The thesis remains unproven, but the proposition lingers long after the final page.

*****

This article was published by AIER, American Institute for Economic Research, and is reproduced with permission.