12 Jul
2014

Cronyism in the 21st Century

This article originally appeared in The Dollar Vigilante and was soon after run on ZeroHedge.

Gandhi was once asked, “What do you think about Western Civilization?” to which he famously replied “I think it’s a good idea.” He may as well have been talking about free market capitalism.

Capital in the 21st Century has hit the world like a new teen idol sensation. Everybody is drinking the Kool-Aid and it’s being held up as the most important book ever written on the subject of how runaway capitalism leads to wealth inequality. Paul Krugman of course, loves it. As does every head of state and political hack in the (formerly) free world. A text-book sized brick that can be condensed down to a couple bullet points: Read more…

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22 Jun
2014

My band, The Parkdale Hookers, just released this video off our new record Echo Bubble Overdrive.

BoingBoing called it “A great punk anthem”. If I get hit by a bus tomorrow I won’t have to worry about “dying with my music inside me”, as this song and the video pretty much says all I have to say. On everything.

6 Jun
2014

I must confess that I am getting a little worried about you
and everyone else that is reading this email. I believe the
stock market is going to continue to rally a bit more here.

It may go up another month or two or three in fact.

The S&P 500 closed at a new all-time high the other
day. Many of the fad momentum stocks that got hit hard in April
look like they want to bounce so that can help the market too.

Yes there is money to be made by making a trade here, but I
am very worried that very few people will take their profits and
will just end up getting smashed when the rally comes to an end. Read more…

25 Feb
2014

ImplosionYes, you read that correctly.

How could the destruction of the single, largest chunk of the bitcoin economy be good for bitcoin, and good for free markets?

How can a market value of anywhere between 20% and 30% of the dollar value of entire bitcoin economy going up in smoke  prove, finally, beyond a shadow of a doubt that purely free markets, unregulated from government intervention are superior in all ways to  government regulated, centrally planned economies?

Our starting point, because people will go here almost immediately, is the utterly baseless assertion that had bitcoin only been regulated, this sort of thing would have never been happened. Read more…

28 Jan
2014

btc_burned_at_the_stakeIt sends a chill down your spine when you hear the news that somebody you had just met at a conference a few months ago, a like minded individual representing a global movement you are  in complete alignment with, was just arrested on federal money laundering charges,

The crime? Charlie Shrem, CEO of Bitinstant and Vice Chairman of the Bitcoin Foundation allegedly sold bitcoins to Silk Road users and then they used them to buy illicit drugs.

Follow that? The implication here is that you are now responsible for the second order actions of your own customers. Read more…

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26 Jan
2014

canute-bans-bitcoinThe grotesque side-effects of years-upon-years of ZIRP are beginning to peek out from under the proverbial carpet that policy makers and apologists have continually swept them.

The easiest way to think of present-day monetary policy is as a coordinated centrally planned effort to suspend consequences by edict in a profound King Canute episode of economic folly.

As we’ve explored before, when interest rates are artificially suppressed, all money becomes “hot money” as it has to chase yield anywhere it can get it. (When the music finally stops I predict a forthcoming crisis particularly in seniors who have been hounded out of meagre fixed income returns and into “safe equities that will never go down because the Fed won’t it happen”).

So given the data points: Read more…