Richard Daughty

TheDailyBell.com had an interview that had the title “Why so many conspiracy theories?” which was intriguing enough, but made funny when they editorialized “Dominant Social Theme: Are people getting stupider?”

Unfortunately, they do not answer this question directly or indirectly, although my research did discover, thanks to a secret code, threatening and perhaps prophetic threats in the text of the article, most of them being “Die, Mogambo” and “Taser your testicles, Mogambo”.

So, although it is an interesting conjecture, the world must wait in the dark and ponder if indeed people are getting more stupid, although the answer, of course, is “Yes, we are getting stupider.”

As bad as this is for America, this is actually good for me! As a writer of the Mogambo Guru newsletter, I am painfully aware that it is embarrassingly filled with Stupid Mogambo Crap (SMC), and so I assume that the stupid and the insane are my natural market since intelligent and/or sane people don’t read my stuff since I figure that if I was intelligent and sane, I sure wouldn’t waste my time reading it! Hahaha!

And without the feedback from my readers (“You are an idiot and you look as stupid as you sound! We hate your guts!”) I wouldn’t hear from my family and friends at all!

This “family and friends” business is not the point, and is another sad story for another time, but which involves them acting like idiots and not buying gold, silver and oil when their government is acting like fiscal and monetary morons, and then getting offended when I tell them how 4,500 years of history says that they are acting stupidly.

And since you asked about it, the story is that then they wanted to get snippy with me and splutter their lame “No it’s not!” blanket refutation of the facts I had just stated. So I told them, my voice dripping with venom and an ill-disguised undertone of contempt, that ANOTHER 4,500 years will not be enough to remove the stain of how stupid they are behaving today and, even now, flying saucers traversing near this quadrant of the galaxy already have sensors recording elevated levels of stupidity contaminating this whole sector, which really sent them over the edge, for some damned reason, whereupon things were said, threats were made, bullets were fired and they all ran away, screaming, like the little wussy crybabies they are, and I could have easily mowed them down as they waddled to their cars, but I did not, which is a fact that they won’t even acknowledge!

Oops! Make that “stupid wussy crybabies” since the upshot of the story is that they have not used the intervening time since then to get some gold, nor silver, nor oil, nor better armaments, even as they are complaining about being outgunned last time we met! I mean, how stupid can you get?

But the serious answer is that we unfortunately have to be getting stupider because of Darwinian pressures: there are no survival benefits that accrue to the intelligent by virtue of having children, so superior genes are not encouraged to be passed along by the government.

On the other hand, the unfortunately naturally stupid are usually not going to get jobs, and government programs that provide free money, free housing free food, free medical care and scads of free benefits, with lots of overlapping and redundant giveaway programs from other governments and agencies, actually go looking for these poor people to sign up to receive these benefits, the result being that the passing along a set of “less gifted” genes to lots of small children DOES have a HUGE survival benefit!

So to think that we would NOT get stupider is to be ignorant of the mechanics of simple evolution, which is not to mention the increase in stupidity caused by rampant alcohol and drug use, which is not to mention the increase in the problems caused by eating yummy pizzas covered with meat products that clog up your arteries and the capillaries in your brain so that your brain dies of oxygen starvation, even though you know it clogs your arteries long before you eat it, but it tastes so good that you don’t care, and the next thing you know, you are standing at an altar with the stupid idea that you would be happy to be married, which is before you learned that you eat like a pig and you eat all the wrong foods and you start “eating healthy” and your brain clears up and you realize your horrible, horrible mistake.

Plus, the decision-making power of the US has gone into the toilet since Leftist Congress and the Supreme Court have legitimized affirmative action so that the classical American meritocracy system composed of groups of “the brightest and the best” has been replaced by quota-perfect composition by racial or aggrieved status so that every group in business and government has its fair share of the poorly qualified (which is why they were not picked to start with) instead of the best-qualified, thus dragging overall performance down for half a century.

Plus, we are holding cell phones up to our ears all day long, and the emissions are probably frying our brains out right now as I sit next to you on the plane, which explains why I can feel the rays actually entering my brain, destroying the part of my frontal lobe that keeps me from reaching over in some unexplained, unreasonable rage and someone in the bazoo!

And as a result of the cell phone, nobody gets anything done at work, making us appear stupid, because we are all so busy answering the phones, or calling someone on the phone, or texting someone on the phone, or checking up on things on the phone, or returning calls on the phone, or interrupting calls on the phone to take another call on the same damned phone so that you get so frustrated that you want to reach out and, for instance, punch somebody in the bazoo!

So, yes, the answer is that we are getting stupider because the people, and the whole system, are getting stupider and stupider, which is proved in their belief in the ability of a government to provide a free lunch of some kind to more and more people, both here and around the globe, by merely creating the money to pay for it! Hahaha!

I notice that Frank Holmes of US Global Investors is not around to stop me, so I will use something he said to buttress my argument. “The real damage, right now,” he says, “comes from populist policies that are rewarding and encouraging envy and justifying jealousy. When jealousy and envy come to dominate a society, the society becomes dysfunctional and most people lose.”

I was hoping that he would have gone on, “And when you give these coveting, envious, greedy morons the chance to give themselves money, benefits and advantages by merely voting for someone who promises to give it to them if elected, it means these higher costs and burdens will pass through to the ultimate consumer, just like all other costs and burdens always do, in the form of higher prices. And if there is one thing that we don’t want, it is inflation in consumer prices because it means that Mogambo The Glorious And Irritating (MTGAI) was right, so tragically, horribly right, to bellow, night and day until we are all sick of hearing it, that inflation in consumer prices is the thing to be feared above all others, as it is inflation in consumer prices that destroys economies because it means that the poor, on whose behalf the money was created by the Federal Reserve so that the government could borrow and spend it in the first place, are, collectively, even worse off than they were! Worse off! Hahaha! “We’re from the government and we are here to help you!” Hahaha!

My advice to the government, if they really want to help the poor, is to stop allowing the creation of more money and credit by the Federal Reserve. Which they won’t.

And since they won’t, my advice to the poor is to buy as much gold as they can. Which they won’t because they can’t.

Ergo, my advice to everyone is do not become poor, and if you can afford to buy gold and silver, buy as much gold and silver as you can, because the government is acting as irresponsible as it can.

And as far as “theories of investing” go, this one is both time-tested and ironclad guaranteed, and believe me when I tell you that investing doesn’t get any easier than that! Whee!

Richard Daughty

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.

  • Lost & Found

    Clever wussy crybaby.

  • mike

    I read a lot of the economists’ analysis coming out these days, and have been reading Mogambo since he began publishing in the Asia Times. I think the quality of the economics reporting in general is extremely bad, even comically so, but of all of the economists Mogambo is the worst. I’ve never encountered such incompetent analysis in my entire life. He obviously couldn’t care less about doing professional analysis, but only about pushing and protecting his investments in gold and silver. He’s clearly willing to say absolutely anything at all if it helps him personally profit. The reality is that gold is about at the same level it was a year ago, and there is no real indication that it will go much higher. 4,500 years of history doesn’t mean diddly; things are substantially different in today’s global economy. He’s a right-wing fanatic who doesn’t understand anything at all about modern economics. I’m amazed that he’s managed to stay in business at all.

  • John

    ‘More stupider’? There was a time when the media knew basic rules of grammar, adhering to categories of positive (‘stupid’), comparative (‘more stupid’) and superlative(‘most stupid’). It is not surprisng that language, like currencies, has become debased by the ‘stupidest’ of all- or is that, the most stupid?.

  • Larry

    “Things are substantially different in today’s global economy.” It’s different this time. . . .

    Hmmmmm. Where have we heard this before?

  • a different John

    John, the bad grammar is a joke. You are clearly very smart and can diagram sentences, but you miss the joke that is right in front of you. Likewise, all the economic wizards are very smart and can give lengthy and learned explanations of the economy, but may miss the obvious that is right in front of them. That is why I love to read Mr. Mogambo’s writings because he makes me laugh at the absurdity of our situation.
    I for one fall into the category of “poor” and will not be able to purchase gold as Mr. Mogambo suggests I do. I am, however, smart enough to know that even if I had the money to buy gold I wouldn’t want to APPEAR to have money or gold. I also wouldn’t want to APPEAR to be too smart enough to know I shouldn’t appear to have gold. You see, some day Mogambo’s relatives will come “waddling” back angry with pitch forks, torches, and even (gulp) ropes. I would like to keep my neck away from their ropes. In fact, they have already spoken when they waddled to the voting booth last year. Who can argue this is not an absurd situation? We are no longer in an age where producing wealth, diagraming sentences, or understanding economics has much use. That is why it would be nice to hold gold as seed capitol for when this thing burns itself out and it is again useful to possess the virtues of wealth production, sentence diagraming, and sound economic theory. Since I can’t hold gold (poor, remember?) I will turn to Mr. Mogambo for a good laugh. Maybe his obscene jests are the seeds of wit to survive this time of financial and intellectual winter.

  • sprite

    Oh, MY GOD! There are people out there taking Mogambo seriously. He doesn’t even take HIMSELF seriously, which is why he is having more fun than the average bear. (Get it, that’s a pun.) The language existed before the rules, so that’s not worth mentioning. Mogambo is not pretending to be an economist. He is a fun-loving, shamelessly self-promoting hack for commodities trading, and since he advocates buying gold, he can’t ever be wrong, because while gold may have been at $600 a while back, one of those $600 (in other words, $1) could have bought TWO, 2 liter cokes. Now that gold is at over $900, it takes at least $1 to buy just ONE of those 2 liter cokes. Gold protects the value of your dollars, so that no matter how weak the currency becomes, you can still buy 2 two liter cokes, even if it takes $100 to buy them, because you didn’t keep $1 in your pocket, you kept it in gold, and then, as the currency weakened, the gold turned that $1 into $100. But I’m sorry, you will still only be able to buy 2 two liter cokes with that $100. If the price of gold were to fall, then you might have paid over $900 for an ounce of gold, but the dollar gained in strength (buying power) so even though you only get back $450 when you sell it, you can buy 2 two liter cokes for .50 cents. But, as Mogambo pointed out in the article, one would have to be smart enough to understand the 4,500 years of history (that’s actually a conservative estimate) and have enough actual dollars to buy the gold. The longer one waits, the more dollars it might cost, but then the buying power of those dollars is protected, even if a person pays more for their gold.

    Speculation in oil is destroying the economy, but hey, it wasn’t that great an economy to begin with. Too many people were left out of it. Fortunes are built on the rubble of empire, so let’s all just enjoy the ride and we’ll see who can still buy 2 two liter cokes in 2012. Everyone who didn’t buy gold will only be able to buy one. :)

    Maybe I should be a Junior Mogambo Ranger.

  • Brown R

    Immediately After Welcome Bernanke, Oil sold off.
    Made me laugh.
    Hahaha!

  • wadoeyeno

    Hi Mike, I’m a little confused so I hope you can help. You say that the Mogambo is “a right-wing fanatic who doesn’t understand anything at all about modern economics. I’m amazed that he’s managed to stay in business at all”. So if we accept that he means what he says, then by default
    all of the so called experts who do understand modern economics i.e those to the left of his position, have done wonders with the economy & all of this talk of banks going bust & fractured society e.t.c, e.t.c is just a load of bull and that in the real world all is ok!

Recent Articles

Addison Wiggin
One World, One Bank, One Currency

Addison Wiggin

After the 2008 financial crisis, little could be heard over the deafening cries of "mission accomplished." And while the Fed's massive QE program seemed to work, the question remains: for how long? Addison Wiggin explains why the next round of QE will fail miserably, paving the way for the IMF to step in with something called "special drawing rights." Read on...


Addison Wiggin
Profit from Global Warming, Even if You Don’t Believe In It

Addison Wiggin

Global warming is one of the most debated subjects of the last few years. But regardless of whether you're a "true believer" or a merely an unconvinced skeptic, there are significant ways to make serious money from this controversial topic. Today, Addison Wiggin brings you three of them. Read on...


Don’t Drink the Tap Water (It’s Not What You Think)

Chris Campbell

Under the auspices of benefiting public health, the government has been administering medication to you and your family for generations. But is it really necessary? Or worse... Could it actually be harmful? Chris Campbell takes a closer look at this, and other personal health decisions the feds don't trust you to make...


One Metal to Watch in the Current Commodity Crash

Greg Guenthner

Commodities have been in freefall lately. Everything from corn to soy beans to precious metals is headed lower right now. But is this just a brief downturn, or is this the beginning of a long-term trend? Greg Guenthner explains, with a closer look at one specific precious metal that could snap back violently before heading lower. Read on...


What the Reboot of the US Budget Means for Your Money

Byron King

Big government doesn't come cheap. And right now the U.S. government is one of the biggest in history. So far the budget writers have been able to move money around to keep the machine moving. But as Byron King points out, that will soon become much more difficult. Read on for the full story...


Addison Wiggin
The Central Bank Experiment that’s Destroying the Economy

Addison Wiggin

When it comes to central bankers and the global economy, you might say the inmates are running the asylum. Today, Addison Wiggin sits down with Jim Rickards to discuss the ever-changing world of finance, the likelihood of hyperinflation hitting the U.S., and the massive economic experiment being conducted by the world's central bankers. Read on...