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NEW LEADERS - OLD PROBLEMS

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  Herbert Hoover, Source: The White House                                                          The UK has a new prime minister and the US will soon have a new president. Will they be met with a historic financial crisis like Hoover soon after his election? Both will lead nations that are in dire financial shape. Neither leader will meaningfully address the twin problems of massive government debt and huge budget deficits. Both will face relentless pressure from the legions of government benefit recipients to expand spending yet further. Their problem is that taxes can only be raised so far before workers storm Washington and London with pitchforks and torches. Therefore, their likely "solution" will be to further debase their currencies. Of course, doing so will devastate wage earners, savers and pensioners living on fixed incomes. But that is a price elite political insiders are willing for the working classes to pay in order to remain in power for a little longer. This

THE DECLINE OF EMPIRES

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                                                 Source: Shutterstock   History is rich with failed empires: the Roman Empire, the Inca Empire, the Mongol Empire, the Macedonian Empire, the Ottoman Empire, the Spanish Empire, the Russian Empire, the British Empire. Though each stood  atop their world for a period, they all fell prey to the same cause. They became overextended and could no longer support the cost of their empire even after extracting tribute from their defeated enemies and colonies. Their end often came suddenly. The Decline of the American Empire      Today, the US struggles to maintain the empire status that it achieved following World War II. The US takes great pride in claiming that it is "The Indispensable Nation" that has not just the right to interject itself in other nations' business but the duty to do so. It maintains over one hundred military bases around the world and fancies itself to be the "World's Cop". Unlike early empires, i

"LIES, DAMNED LIES and STATISTICS"

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      Our headline quote is often attributed to Mark Twain but he credited it to Benjamin Disraeli, a British Prime Minister of the late 1800's. Twain was observing that "statistics" are often used by unscrupulous people to tell a distorted, if not wholly false story.  Statistics are a legitimate scientific tool in the hands of an honest person. Unfortunately, they are easily subject to manipulation and outright falsification - often to serve political purposes. This can be done either by cherry-picking the data to be included (i.e., eliminating unfavorable data), or by manipulating the data to ostensibly support a misleading or utterly false conclusion.      In 1955 George Orwell published his famous dystopian novel,  1984 . Its pervasive theme is that citizens were subjected to a constant barrage of government propaganda such as "War is Peace, Ignorance is Strength, Freedom is Slavery." Propaganda is defined as " I nformation, especially of a biased or m

SLOWLY......THEN SUDDENLY!

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                                      SOURCE: NASA                                                                                                    T his is the Crab Nebula in the constellation Taurus. It is the remnant of a supernova event that was seen on earth in the year 1054. Amazingly, it was bright enough to be seen during the day. Because it is over 6,500 light years away, those on earth witnessed an event that had actually occurred thousands of years earlier. Supernovae result from the sudden collapse of a massive star that over time has consumed the majority of its "assets" (hydrogen) causing it to abruptly implode due to intense gravitational forces. As the core rapidly contracts it reaches a temperature of billions of degrees Celsius - causing it to explode.     This  recalls the exchange between two characters in Earnest Hemingway's, " The Sun Also Rises ." One asks, "How do you go bankrupt?" His friend replies, "Slowly, then sudden