11/24/10 Tampa, Florida – I tried to tell my boss that my unexplained absence was because I was so Completely Freaked Out (CFO) that I didn’t know what to do all weekend except hide like a little crybaby coward in the Big, Beautiful Mogambo Bunker (BBMB) waiting for the inevitable collapse of the entire world order because of the massive over-creation of money by the foul Federal Reserve, where I whimpered and cried in fear because We’re Freaking Doomed (WFD) and there is nothing – repeat, nothing! – that can be done.
Naturally, I lost track of time, and so my absence is completely understandable and not my fault, but is, instead, the fault of the foul, filthy Federal Reserve creating so much money, for so long, that the US economy has been turned into a bloated, cancerous, twisted, bloated, government-centric grotesquerie that has almost destroyed us.
I didn’t tell her that through the mist of my bitter tears, though, I still managed to get a good laugh from the quixotic earnestness of Erskine Bowles and Alan Simpson, chairmen of some idiotic National Commission on Fiscal Responsibility and Reform trying to craft a plan to reduce government spending in an effort to reduce the national debt.
Of course, before you can reduce the debt, you have to stop it from getting bigger, which is a Long, Long Way From Here (LLWFH) as even former Senator Alan Simpson says, “for every buck we spend we’re borrowing 39 cents.”
At first I laughed with my usual merriment at such foolishness, although somewhat childishly hopeful and enthusiastic about the new commission while managing to overlook the fact that it is just another outrage of central planning to redistribute incomes that is doomed to failure.
Suddenly, I also saw it as a ray of hope! Quickly, I proposed to my boss that instead of her just firing me like she wants to – and like I deserve – I organize a Company Commission on Responsibility and Reform to address my poor job performance, my incompetence and staggering net losses due to my apparent natural stupidity.
She rudely vetoed my terrific plan, just like she always vetoes my Terrific Mogambo Plans (TMP) ever since that time long ago, in one of our first power-struggles after she came waltzing into the job opening that should have been mine to fill, when I casually asked her if she was buying gold, silver and oil as a defense against the horrifying inflation in prices that will result from the Federal Reserve creating so much new money.
She acted surprised at the question, but admitted, smiling to be nice, “No.” Boy, you should have seen that pleasant smile disappear from her stupid face as I was instantly on the attack, telling her that that meant she was stupid, as anybody with any brains at all knows that they should be buying gold, silver and oil with frantic abandon in response to the foul Federal Reserve acting so treacherously!
Ergo, I went on, I didn’t think that it was appropriate that I take orders from somebody more stupid than I, and if she wanted me to listen to any of her “boss” crap, she had better get some gold, silver and oil soon so that she would demonstrate enough smarts that I would value her opinion enough to even listen to it.
I am not going to dwell on her reply or the brouhaha about how “cleaning the executive washroom” mysteriously appeared on my Job Description, but I will note for the record that her reaction is partly responsible for my now being totally AGAINST the National Commission on Fiscal Responsibility and Reform, as I always figured I would be.
So, I go back to mirthlessly laugh – Hahaha! – at their arrogance, their conceit and their up-to-now total ignorance of the decades-long growing problems, caused by the Federal Reserve creating the money that made the problems financially possible, that underscore their glaring incompetence.
As for the economy, a dollar not spent by the government is a dollar not received by somebody, which reduces national income dollar-for-dollar, which is Highly, Highly Significant (HHS) now that state, local and government spending constitutes slightly more than half – half! – of all spending in the Whole Freaking Country (WFC), meaning that government spending IS the freaking economy! Government spending is the economy!!
And this is Just The Beginning (JTB) of the misery, because this horrific fact is made worse by that whole ordinary Multiplier Effect of the velocity of money, compounding the economic misery of each of those missing dollars as it no longer bounces hand to hand through the economy with everyone making a little profit and governments taking a little bite at each exchange, nibbling, nibbling, nibbling at it until it disappears totally.
And let’s not forget that every dollar is now the basis of a whole universe of derivatives, leveraging each of those dollars 10-to-1, 20-to-1, sometimes 40-to-1 – and more! – meaning that the total impact is some huge, unfathomable, terrifying multiple of this!!!
And now these weenies think that they are going to reduce the debt? Hahaha! If Simpson, Bowles and the rest of National Commission on Fiscal Responsibility and Reform weenies had a clue about economics, they would note the use of the rare triple exclamation point at the end of the previous paragraph and correctly deduce that the only intelligent thing to do is to buy gold, silver and oil, which is not only the only the smart thing to do, but the easy thing, too! Whee! This investing stuff is easy!
The Mogambo Guru
for The Daily Reckoning
The Mogambo Guru
Richard Daughty (Mogambo Guru) is general partner and COO for Smith Consultant Group, serving the financial and medical communities, and the writer/publisher of the Mogambo Guru economic newsletter, an avocational exercise to better heap disrespect on those who desperately deserve it. The Mogambo Guru is quoted frequently in Barron's, The Daily Reckoning , and other fine publications. For podcasts featuring the Mogambo, click here.
The Daily Reckoning is your premier source for making sense of the news Washington and Wall Street generate. Each business day, The Daily Reckoning calls on its stable of world-class writers and thinkers to show you how to get ahead.
Start your 100% FREE subscription to The Daily Reckoning today and you’ll get a free research report, “How to Survive the Fall of Social Security.” Simply enter your email address below to get your free report and join over 495,000 worldwide Daily Reckoning subscribers!
We Respect Your Privacy and We will
Never Share or Sell Your Email Address
Its nice to read an article where the author is so deep into the pockets of the gold producers of the world to manipulate prices and openly admits to hoping the dollar falls through the floor and also hopes this country fails as long as he gets his and promotes the law of the jungle and dog eat dog capitalism.
I came across something interesting yesterday: I found this webpage http://www.platinum.matthey.com/pgm-prices/price-charts/ – If you go there you can generate a graph that shows the price of various top industrial/precious/rare metals aside from gold and silver over any time frame you wish, starting from 1992. Curious thing I noticed: Platinum, Palladium, Iridium, Rhodium have all been trending UP in price especially since the last half of 2010 and going strong. Sooo, maybe for those who know/can learn how to, investing in these other rare/industrially-vital metals will pay off quite well TOO in the coming years. Just thinking….
Or just keep it real simple: buy gold, silver and oil!
CT,
This world is run on ‘the law of the jungle’. Since you sound like a Liberal, let’s call it Darwinism. I just call it Life.
But make no mistake that every unit of life on this planet is competing with every other unit of life. Humans compete against other humans, animals, plants, etc. to survive. After all, this a world of limited resources. Sure, we may form alliances..family, friends, community, corporations, and countries….but the competition for survival is always there.
It has to be. That’s how ‘it’ works. That’s the balance of life.
We didn’t invent Capitalism. We just made up the name to the natural order of life. Wake up dude. The Mogambo is trying to help you.
Thats funny Captain. It wouldn’t be except you have no clue of what you are talking about. Actually Capitalism was invented and not meant to be the dog eat dog capitalism we so revere today. You are one of these dudes that want to accept things the way we created them because you probably personally have benefited by them so meaning you must be a conservative, and it has nothing to do with nature. And guess what the balance of life is a myth also. I’m sure you will not understand that but I threw it out to you anyway although I know it went right over your head.
Oh,get a life CT! a perfectly intelligent man regularly makes a public twit of himself (and his wife and children) for no other reason than to explain in the simplest terms to the moronic, that even they can be saved from the idiotic Gubment they so richly deserve. Seems rather altruistic to me.
Besides he doesn’t even have to hope the US fails- the intellectually challenged who run the show for you have most ably ensured it.
Even the idiot Fed has enough intelligence to fear the essential message, that you may actually survive them with a small regular investment in PMs.
Although in your case I would actually make an exception and entirely agree that you don’t listen to his advice.
When the wolf is at your door don’t bother to try and buy him off with worthless paper dollars to go and get a burger instead-you’ll make a much more balanced (or is it unbalanced?) meal.
Isn’t nature wonderful.
“When the wolf is at your door don’t bother to try and buy him off with worthless paper” No it will be much safer throw gold at him. That will stop him for sure. If you cannot see this guy makes his money from the gold producers by promoting gold ask yourself why that is all he writes about. He writes about nothing else. Basically gold brain dead. And as far as nature a predator is not a crook. Only in our society can a crook be called a predator and be accepted and get away with it. I’ll take nature any day as opposed to your concept of life.
Noooooo! throw it at meeeeee! and in return I promise not to eat you.I’m not so altruistic as The Mogambo you see but
I’ll happily cut you a fair deal.BTW you aren’t paying him enough to take this kind of abuse not to mention libel, from you.
I really like nature actually , in fact I’m just crazy about nature, particularly for providing silver and the Mogambo to recommend it to us proles for free. And I’m also crazy about JPM for keeping it at a price I can afford.(Oh no -they arent natural are they? but you get my point)
And I am so grateful that ol Ben just adds zeros on his computers or he would sacrifice the whole of the planets trees to print enough of his mickey mouse money.
So there you go-instead of having to guess at my “concept of life” I spelled it out for you.Ben’s money isn’t worth the paper it isn’t printed on, and God bless JPM till I’m done accumulating.
I’m not paying him anything. The association of gold producers are or at least they are behind it. Keep accumulating and very soon you will find out the price is just as manipulated as to what that idiot Ben is doing to the dollar. His thesis of this article is that gold will stop government spending. Hell we have been on the gold and silver standards before and it didn’t stop any government spending. The first thing to do is to close the Fed. International bankers run it and if you think they will allow a great accumulation of gold and silver by individuals haha, they will allow it until it doesn’t serve their purposes.
Combat spending means to defeat it if possible. We have been on the gold standard, the Silver standard and none of them stopped the government from spending more than it had.