April 29, 2015

Sir Nomsalot's Weekly Financial News Feed #4

The world's foremost financial news reporting rabbit...Citizen Liberty's Pet, Sir Nomsalot, “The Seer of Seers, the Nomapotamus of all Nomapotamuses!”

Reporting from NomNom Stacija in Riga, Latvia and translated from Bunnyese he had this to say for the 4th Sir Nomsalot's Weekly Financial News Feed:

"Clinton Cash, perhaps the biggest scandal in modern U.S. history.

Two days later less important than a man's sexual mystery.
Financial charts may have their benefits.
But a chart of Bruce Jenner's masturbation will get more hits.
Luckily Sir Nomsalot's news feed is for readers with wits. 
Social news I do not report, but my weekly financial news you should not retort!
Instead of watching TV, save your time and read from me." 

Top Links Of April 22-29

BANANAS: "Happily Ever After In The Marketplace"
4.13 Million New Stock-Trading Accounts Opened Just Last Week In China!

China: Guess That GDP

Guess That QE

U.S. Tech Boom: 6 Tech Leaders Make 13.5 Billion In A Week!

World's Youngest Billionaire: How The Tech Bubble Will Burst

Mish (and Hussman): "Valuations - Maybe I Am Crazy"

FREEEEE: ECB Buys Negative Yield Covered Bonds

"Bond King" Gundlach Considers 100x Leveraged Short On German Bonds

Norway Critic

Austrian Province Declares Bankruptcy

Greece: Guess That Bankruptcy

FREEEEEE: Greek Banks Give Debtors Up To 20 Thousand Euros Each. Let the Ouzo Flow!

Swiss Bash Cash

War On Cash: Chase Bank

Capitalism Is Dead...Here's Where That Leaves Us

8 Charts That Prove U.S. Is Already In Recession

Dollar Breakdown?
Treasury Breakdown?

Generation Selfie: Almost 1/3 Of U.S. Savers Have Less Than $1,000 Saved For Retirement

FREEEEE: Gimme My Money - Education, Courtesy Of The Working Fool

Martenson: Rising Police Aggression A Sign Of Our Societal Decline
A Blueprint For Locking Down America
Texas Governor: "I've ordered the Texas State Guard to monitor Jade Helm 15 to safeguard Texans' constitutional rights, private property & civil liberties"

Animal Therapy
Quack, Quack

Sir Nomsalot is LONG Junior Gold Miners, Silver, Cocoa, Sugar, Uranium, Russia Stock Index.
Sir Nomsalot is SHORT the Russell 2000 Index.

Nom out,
Sir Nomsalot's Weekly Financial News Feed
“Because we work and get paid with money”

If you value this, you can subscribe by email (top right corner) or follow on Twitter
There is also a button on the right to donate carrots.
Next Financial News Feed on May 6th.

April 25, 2015

The Oyster And The Egret - Fable

An oyster by the shore opened up it's shell. 

Nearby was an egret who quickly came and put his beak inside.

The oyster closed its shell, trapping the egret's beak. 

EGRET: It's not going to rain today or tomorrow, so you will be dead!
OYSTER: I won't let you go today or tomorrow and you will be dead!

The egret and the oyster both didn't compromise. In the end a fisherman caught them both.

April 22, 2015

Sir Nomsalot's Weekly Financial News Feed #3

Nomsalot, Rabbit Prognosticator
The world's foremost financial news reporting rabbit...Citizen Liberty's Pet, Sir Nomsalot, “The Seer of Seers, the Nomapotamus of all Nomapotamuses!”

Reporting from NomNom Stacija in Riga, Latvia and translated from Bunnyese he had this to say for the 3rd Sir Nomsalot's Weekly Financial News Feed:

"Social news I do not report, but my weekly financial news you should not retort!

Instead of watching the TV, save your time and read the weekly highlights from me." 

Quoting Thomas Sowell, "I have never understood why it is greed to want to keep the money you have earned but not greed to want to take somebody else's money."

Top Links Of April 15-22


Bill Gross: Bonds Are The Short Of A Lifetime

Jamie Dimon Warns

Global Debt Binge Worse Than You Imagined

What Happened Last Time Bond Yields Crashed Like This..

Nobel Prize Economist Condemns QE

Doug Casey: World Banking System Troubles

Steen Jakobsen: Get Read For The Biggest Margin Call In History (Podcast)

Smart Money Has Never Been More Bearish

Long-Due Decline?

Federal Tax Receipts Peak

Rickards: Gold Once Again Trading Like Money

Student Debt On The Brink

China Cuts Rates

Communists Take Japan

Greece Staying In Eurozone "No Longer Base Case"

Greek Bonds Yields At New Highs, Spanish, Portuguese, And Italian Follow

Greek Bank Shares At New Lows

Russian Rescue

Gazprom To Athens, EU Anti-Trust to Gazprom

Capital Controls

Parallel Currency?


Finnish Final Fate?

JP Morgan Banning Bans Storage Of Cash In Safety Deposit Boxes

Citibank Economist: Ban Cash

Virtu HFT Explains Why It Lost Money On Just 1 Trading Day In 6 Years

Volker Warns, Calls For Overhaul

Bernanke Employer's Past Words

Clinton To Bring Goldman Back To The Treasury

ECB To Buy Corp Bonds

Another Former IMF Head Arrested

Dutch Central Banker Fired For Being A Nazi Cross-Dressing Dominatrix Nymphomaniac Prostitute

Liberland - New Country Born?

Animal Therapy
Tiny Bird's Extraordinary Migration

Sir Nomsalot is LONG Junior Gold Miners, Silver, Cocoa, Sugar, Uranium, Russia Stock Index.
Sir Nomsalot is SHORT the Russell 2000 Index.

Nom out,
Sir Nomsalot's Weekly Financial News Feed
“Because we work and get paid with money”

If you value this, you can subscribe by email (top right corner) or follow on twitter
There is also a button on the right to donate carrots.
Next Financial News Feed on April 29th.

April 19, 2015

The Farmer Who Waited For Rabbits - Chinese Fable

There was a farmer. He used to work hard on his farm, but all the time he dreamed of an easier way. 

One day he saw a rabbit hop out from a nearby bush. The rabbit, seeing the farmer ran in fear, hit a tree and immediately died. 

The farmer was happy; he got a free dinner and didn't have to work.

The next day the farmer went farming as usual, but he didn't work the way he did before. He often looked over to that same bush and tree waiting to see another rabbit. 

At the end of the day, no rabbits.

The next day the farmer decided to quit farming completely and focus on waiting for more rabbits.

So every day the farmer laid by that tree, resting and waiting for rabbits. 

In the end the farmer never got another a rabbit. Instead he got a deserted farm with no crops.

April 15, 2015

Sir Nomsalot's Weekly Financial News Feed #2

Sir Nomsalot
The world's foremost financial news reporting rabbit...Citizen Liberty's Pet, Sir Nomsalot, “The Seer of Seers, the Nomapotamus of all Nomapotamuses!”

Reporting from NomNom Stacija in Riga, Latvia and translated from Bunnyese he had this to say for the 2nd Sir Nomsalot's Weekly Financial News Feed:

"Social news I do not report, but my weekly financial news you should not retort!

Instead of watching the TV, save your time and read the weekly highlights from me." 

Top Links of April 1-15



Mish - Core Unemployment Thesis

Billionaire Peter Thiel: America Not A Democracy Or Constitutional Republic

Billionaire El-Erian Goes All Cash

Billionaire Drunkenmiller: This Will End Badly

Bond King Gundlach: Bonds Most Unattractive I've Ever Seen

Next Crash Will Be Worse

Rickards: The Strong Dollar Could Turn On A Dime

FED: Prepare For Flash-Crash

Protester Attacks Draghi, "End ECB Dictatorship!"


The Madness Of Negative Bond Yields - Acting Man

FREE MONEY! Loan Is The New Gift!

Mish - Negative Interest Rates For Mortgages in Spain/Portugal INCONCEIVABLE

Sovereign Man Podcast - Not A Currency War But A Currency Siege! 

Hope: An End For Banks?

Introducing The Asian Infrastructure Investment Bank

Venezuela Hyper-Holiday - Bring Your Own Toilet Paper, Soap, Coffee, Sugar, And Milk

Japan Finance Minister: Bubbles Are Good

Australians To Tax Bank Deposits

Speculators Never More Short Gold, Euro

"King Dollar"

Faber: Buy Gold

Louisiana Sets Legal Precedent Banning Cash

Case-Shiller: Home Prices Decline

Shiller, Video

Maine: Working For Welfare

Disabled Is The New Work - Mish

DIY Poverty Trap - Captain Capitalism

Chinese Stocks Boom While Economy Busts

Chinese Taxi Drivers Over The Limit

Andorra: Bank Assets Now 17x Total GDP!



Bond Yields Spike

Greek Finance Minster Meets With Famed Bankruptcy Lawyer

Vamos A La Playa: Euro-Zone Unemployment Remains Near All-Time High

Playa A La Putin - Russian Island In The Sun?

Russia Loans

Schiff: Video On Greece

Greek Financial Minister: "We've Had Enough, We'll Run On Bitcoin!"


Animal Therapy
Meet The Quokka

Sir Nomsalot is LONG Junior Gold Miners, Silver, Cocoa, Sugar, Russia Stock Index.
Sir Nomsalot is SHORT the Russell 2000 Index.

Nom out,
Sir Nomsalot's Weekly Financial News Feed
“Because we work and get paid with money”

If you value this, you can subscribe by email (top right corner) or follow on twitter
There is also a button on the right to donate carrots.
Next Financial News Feed on April 22nd.

April 13, 2015

Two Monks And A Girl - Fable

Two monks are walking in silence. They get to a river where one must cross by foot to reach the other side. At the river there is a young woman with a long dress. Worried by the current of the river and ruining her dress, she asks if they could carry her across.

One monk hesitates, but the other quickly picks her up onto his shoulders, carries her across the water, and puts her down on the other side. She thanks him, and they part ways.

The monks continue again on their way. As time goes by, the hesitant monk becomes more and more preoccupied. 

Finally, unable to hold his silence anymore, he speaks out. "Brother, our spiritual training teaches us to avoid any contact with women, and not only did you make contact, but you picked her up on your shoulders and carried her! How could you do such a thing?"

"Brother," the second monk replied, "I put her down on the other side, but you're still carrying her."

April 12, 2015

Body Cameras = Less Police Corruption

As you likely know, Body Cams are simple video cameras that can easily be attached to the body. They cost about $50/ea, and logically every police offer should already be required by law to wear them. 

They're both proven to dramatically lower the use of force and false claims by police officers, and as well dramatically lower crime, and complaints against police officers. 

Statistics prove this, but really, anyone in their right mind should have been able to figure this out using basic logic.

The opposition squeals,"video cameras are a violation of privacy!"  Perhaps with that logic we should go ahead and discard all video cameras, in all locations, and also all modern technology and then go back to living like in the Middle Ages. In other words, the same retarded logic as that of ISIS.

The same day last week when I wrote 5 Benefits To Privatizing Police, And How Doing It Before Ended Slavery, South Carolina police officer Michael Slager murdered Walter Scott, an unarmed man, shooting at him 8 times as Scott tried to run away. Then as a bonus Slager threw down his Taser next to Scott's dead body and called it self-defense. It was yet another killing of an unarmed civilian by deranged police (and yet another flight by Al Sharpton in the private jet).

As someone who nearly had their life ruined by these monsters in uniform, I've developed a special kind of hatred and disgust for incidents like this.

Without this video from the passerby's phone, almost surely Officer Slager would not have been charged with murder. Already he had planted his Taser on the victim, and created a false account of self-defense, gathering several false witness statements. 
More likely he would have been praised for his bravery and perhaps promoted. The leftist Huffington Post actually gave a good account of a hypothetical news report that could have been published had the video not surfaced.

See a calm Officer Slager in his own dash cam video, while he knew he was on video. Would body cameras have stopped this killer from executing Walter Scott? Would Eric Garner as well have been saved from being choked to death by NYC police?

In 2012, police in Rialto, CA were equipped with body cameras and the results (shown below) were clear. The use of force by officers fell 60% compared to a year earlier. Also the number of complaints against officers fell 88% (negative for Al Sharpton's career). Other studies have likewise resulted in similar findings; for example Mesa, AZ.

Still, body cameras can't replace the power of citizen witness video. Anyone should consider installing their own dash-cameras, and downloading an app like Bambuser. It's a free app that streams video direct to the internet, so if the police take your phone the video still gets saved.

April 11, 2015

13 Terrible Truths About U.S. Taxes

The U.S. tax code is over 
3 million words long

This is
3 words long

1.  In 1913 the U.S. tax code was 400 pages and the 1040 form was 4 pages long. 
Today the U.S. tax code has more than 75 thousand pages, 3.9 million words, and the 1040 form is 206 pages long. That's over twice the length of the King James Bible plus the entire works of Shakespeare, COMBINED.  The Obama administration is responsible for about 10% (including a 10% tax on tanning).

2.  Before 1913, the same year the Federal Reserve was created, there was never a U.S. income tax (excluding to pay for the Civil War). This first income tax was 1% with the highest bracket at 7%.

3.  Complying with United States tax code is near mathematically impossible. In 1998 Money Magazine had 46 different tax professionals prepare the same tax return, representative of an average US family. All 46 came up with a different result. 

4.  In 2009, PC World prepared the same tax return with 5 of the top tax preparation software programs. All five came up with a different result. 

5.  Also in 2009, our then Treasury Secretary Tim Geithner was exposed for not paying his taxes correctly. He used Turbo Tax and the error was due to a misunderstanding by both him and his accountant. 

6.  IMF estimates that Americans hide 18 trillion dollars in banks abroad to avoid paying taxes.

7.  The United States and Eritrea are the only countries in the world to tax their citizens on income earned abroad.

8.  The National Taxpayers Union found the U.S. economy lost $224 billion and 6.1 billion hours of productivity last year,“due to the burden of compliance with a complex and invasive tax code.”

9.  The U.S. tax army of 1.2 million tax professionals is more than the total manpower of the U.S. Army, including active duty, reserves, and national guard.

10.  The United States has the highest corporate tax rate in the world at 39.1 percent. According to a 2009 study by Forbes, New York City had the highest corporate tax rate of any city in the world.

11.  General Electric, Boeing, and Verizon are just 3 examples of U.S. Companies with huge profits who have paid no Federal Income Tax.
In 2009, Bank of America, after receiving a bailout from the U.S. taxpayer, made $4.4 billion in profit and paid zero federal income tax. Last year Goodyear Tire, Royal Caribbean, and Wynn Resorts were among the list of S&P 500 companies to make billions in profits and pay no federal income taxes. If you're confused, number 12 explains why.

12.  In 1945 corporate income tax revenue accounted for 40% of total federal revenues. Today this number is 12%; showing how many corporations have left the United States area of taxation, due to high taxation. Instead of simplifying and lowering corporate taxes, Obama's plan is to tax U.S. company's overseas profits. 

13.  A 2012 report by the Journal of the American Medical Association found that during the week before the typical April 15th tax deadline, fatal car crashes increased 6%, relative to the week prior.

Happy Tax Day,

April 10, 2015

Taxpayer Discount Is The New Student Discount

Student discount? 

No, my next business will have a taxpayer discount.

It's a fascinating concept; today's student discount.

Government finances student by taking money from its society. Student in present time does not contribute to society. Government and society then rewarding student and government for this process.

Thinking back to when I was traveling in Egypt; I met two Swedish bi-sexual Sexology students (you can really major in this). Actually they were both part-time students, and both nearly 40 years old. The Swedish government was still financing their education and also paying their living expenses. So with their government financed savings they were taking a holiday, while being rewarded with student discounts at attractions like the Pyramids. I didn't even get the discount when one fornicated with the male virgin Egyptian hotel clerk in my room.

A few days earlier in another guesthouse, I met a Dutch guy, now a regular resident in Cairo. He was technically disabled, although in his late 20s. He explained how before he had stress. So he found a doctor of his choice who then asked him, “what makes you stressed?” Dutch guy said, “working.” Doctor then told him that he is now disabled and can't work. Result was government disability salary, plus a free apartment to live in. Dutch guy then decided that he could rent out his place, collect disability income and live/travel abroad.

“In a time of universal deceit, telling the truth is a revolutionary act,” a famous Orwell quote from 1984. If Orwell were alive today he might instead say, “in a time of universal degeneracy, expecting financially responsible is a revolutionary act.”

Today in the United States, nearly 50% of all households pay no federal income tax. In 1985 that figure was only 15%. Nearly 5% of the population considered working eligible is now collecting disability. The idea of expecting society to pay their fair share of tax is becoming a revolutionary act.

Next on the agenda of change, from the man occupying the White House is Student Debt Forgiveness, intended to further today's moral hazard of financial responsibility.

Mark Twain once said, “I never let my schooling interfere with my education.” Today he might say, “I never let someone else's schooling interfere with my taxes.”

Finally I can say it feels good finally having no businesses or income, and one less feeling of being financially raped by an oppressive government and the degenerate self-serving society who voted these characters into office.

Very nice of these "folks" to keep working and paying income tax though; supporting about half the population who don't. 

Such nice deeds should be rewarded.
If I ever start another business, just prove you contribute to society and you're not a parasite, then you're welcome to a discount. 

“One taxpayer discount please!” Yes sir, certainly!

Bonus Story:

With youth unemployment in Spain at over 50% and extreme government debt financing their education and existence, the entitled youth today are encouraged to enjoy the leisure of travel and flexible perpetual "studies".

The following scene happened at a hostel I owned in Estonia. Although it's a fairly typical interaction with a student group from Spain.

“Esssthudent discount...discount for STUDENT,” hissed the group of Spanish tourists in an exaggerated lisp.

HOSTEL STAFF: “Sorry, there aren't student discounts here, the price you booked for is what you have to pay.” (politely)
ENTITLED SPANISH YOUTH: “Vaaaaat!” (an outburst from a surly one with poor posture in the back) “This price is very expensive and we are a students, there should be discount for us!”
HOSTEL STAFF: “It's actually half of our regular price, since we had a late cancellation before. We already lowered the prices so that's why this price you booked for was the cheapest in the city.”
ENTITLED SPANISH YOUTH:“That includes breakfast, si?!” (demanded one of the girls)
HOSTEL STAFF: “No breakfast; it's also written, and same for almost all the hostels here.”
ESY: “But it's not fair...we're traveling on a budget.” (nagged another, as her friend pilfered some of another guest's chips)
HS: “Don't know what to tell you...it says you must pay us this full amount on arrival.”
ESY: (discussing in Spanish...) “We want to pay when we leave.”
HS: “You have to pay first. I can show you on the map where a cash machine is.”
ESY: (more discussion in Spanish) “This is outrageous.” (they mutter) “OK, we pay now, but we make complaint about your business!”

After selfishly debating the math among each other, they finally pay. Immediately afterwards they go out to the bars, get drunk, then return later, eating everyone's food in kitchen. They have a loud discussion outside in Spanish, waking up the neighbors.

ENTITLED SPANISH YOUTH: “We are students on holiday. We have a right to enjoy ourselves.”
HOSTEL STAFF: “Would you respect the others who are sleeping.”
ESY: “I study law. I can get you in much of trouble.”

April 9, 2015

Ritual Cat - Fable

Liepaja, Latvia (European Capital of Cat)
A spiritual teacher and his disciples began their evening meditation. There was a cat living in the monastery making such noise that it distracted them. 

One day the teacher ordered that the cat be tied up during the evening practice. 

Years later, the teacher died, but the cat continued to be tied up during the meditation session. 

Eventually the cat died, and another cat was brought to the monastery and tied up. When that cat died, another was brought, and so on.

Centuries later, descendants of the spiritual teacher wrote scholarly treatises about the religious significance of tying up a cat for meditation practice.

April 7, 2015

Private Armies In History; A Modern Day Solution For Fighting ISIS and Jihadists

Just one of the latest Jihadist attacks this past week, a school bombing in Kenya killing at least 148, was reminiscent of the Boko Harem's atrocities committed against the Christian schoolgirls in Nigeria. Also this past week, Nigeria, the world's 7th most populated country, elected former ousted and jailed military dictator, and Muslim, General Buhari. This made the incumbent president, Goodluck Jonathan the first Nigerian leader in 55 years to democratically cede power to his rival. Ironically General Buhari has promised to crush the Boko Harem, and battle corruption ---- making Nigeria a comical microcosm of worldwide government corruption and failure in it's fight against Jihadists.

As the saying goes, "those who cannot remember the past are condemned to repeat it." With such modern failures in the war against Jihadists, looking deeper into history may give us modern solutions.

1096 AD the most famous private army in history was first formed in response to a request of Byzantine Emperor Alexios I Komnenos to repel the invading Muslim Turks.

This marked the beginning of the First Crusade and the most famous private armies in all of history, including the Knights Templar, Knights Hospitaller and the Teutonic Knights.

My purpose isn't argue the merits of Islam, but to state facts about the Crusades.

The Christian world had at the time been reduced to almost one-third of what it was by the sword of the Profit. Muslim invaders had reached as far into the heart of Europe as central France. The Crusades were a response to Islamic Imperialism (which had also taken the Christian Holy Lands during the Muslim conquests of the Levant between 632–661), with an objective of saving Europe and Western Civilization from Jihad and Sharia.

Not to exclude Buddism, the Sohei, meaning literally “fighting monks” or “monk warriors,” were similar in structure to the Knights of the Crusades. They operated within a large extended brotherhood, and unlike the Samurai, they were mercenaries without loyalty to the Emperor.

The mercenary is regarded as the world's second oldest profession. Historic leaders like Alexander The Great and Hannibal both paid foreign nationals from all over the world to fight in their armies. The most famous example being the “Ten Thousand,” contracted by Cyrus the Younger in 401 BC to oust his brother from the Persian throne.

In fact before 1648 and the end of Europe's Thirty Years War (marking the modern age of the national military), medieval powers from popes to kings routinely hired private fighters to wage war for them. For example The White Company in 14th century Italy, the Swiss Guard, the Varangian Guard, the Catalan Grand Company to name a few.

The Dutch East India Company and the British owned East India Company controlled standing armies larger than most European states. By 1669 the Dutch East India Company had 40 warships and a private army of over 10,000 soldiers. Those numbers were later made petty by the East India Company, who by the beginning of the 19th century had a standing army of close to a quarter million, while employing the most people of any company in the world.

Today the world's second largest employer (after Walmart) is G4S Security, existing in over 125 countries. Asia Security Group, DynCorp, and Academi are a few other private security companies with mercenary armies.

Academi, previously and more infamously known as Blackwater, employed 30 thousand soldiers fighting in Iraq. Founder Erik Prince was quoted, “If the Administration cannot rally the political nerve or funding to send adequate active duty ground forces to answer the call, let the private sector finish the job.” “It’s a shame the [Obama] administration crushed my old business, because as a private organization, we could have solved the boots-on-the-ground issue, we could have had contracts from people that want to go there as contractors; you don’t have the argument of US active duty going back in there,” Prince said during the discussion with retired four-star Gen. James Conway. “[They could have] gone in there and done it, and be done, and not have a long, protracted political mess that I predict will ensue.”

The United States Constitution affords Congress the power to issue “Letters of Marque and Reprisal,” which are official government licenses to grant private citizens the ability to attack and combat ships of another nation. Both Ron and Rand Paul stated that this power should be used to fight African piracy. Similar power could be granted to private armies to combat Jihadists internationally.

I propose creating a NGO (the popular "non-governmental organization" term) that is openly funded by both world governments and private personal contributions. The organization will hire existing private security contractor groups like Academi, organize new private military groups, and form an International Private Army to combat international terrorism. The NGO could openly quantify international support on both the governmental and private level, while providing a more effective and cost-effective solution.

Complying with the international law of the Geneva Convention, this Private Army would seek and destroy ISIS on a level not yet known to mankind.

With world governments too politically constrained, corrupt, or weak to fight a real war, now is time to resurrect the age of the private army.

So let's channel the “Flying Tigers” mercenaries of WW2, and their 
iconic shark-faced planes, and annihilate ISIS; the Nazis of our time. 

Citizen Liberty is ready to suit-up and fight.

Better idea? Tell it.

April 6, 2015

5 Benefits To Privatizing Police, And How Doing It Before Ended Slavery

Friendly Face of NYC Police
In Butch Cassidy and the Sundance Kid Paul Newman and Robert Redford play a pair of train robbers who spend a good part of the movie trying to evade The Pinkertons. The famous quote Newman and Redford repeat back to each other is "Who are those guys?"

Answer is they were the the first private police force in the United States and they were contracted to police the railroad. The Pinkerton National Detective Agency as it was called went on to become the largest private law enforcement agency in the world, and today is part of Securitas AB of Sweden, the world's largest security company.

"Who are are those guys?" Up until then Butch Cassidy and Sundance had profited off the ineptness of government police. So when they encountered these guys they had never experienced anything like it and so that was the end of their train robbing careers.

"Those guys" had also stopped the Baltimore Plot, an assassination attempt on Abe Lincoln enroute to his presidential inauguration. Lincoln even hired Pinkerton and company as his private security all through the Civil War and through the end of slavery!

A few days ago I watched this friendly face of the NYC Police State, Detective Patrick Cherry explode on video at an Uber driver. Ironically Detective Cherry is also a member of the Join Terrorism Task Force just like the Railroad Police, our first private police force.

Seeing Detective Cherry on the verge of having a heart attack reminded me of back in New York when I owned a chauffeur service. On several occasions I had NYC police explode at me worse than Officer Friendly here.

Once I was also lucky enough to get it on video, which eventually led to the false arrest being dismissed. There was however no accountability nor compensation for getting falsely arrested and physically assaulted.

Any realistic person wouldn't expect justice or accountability here for police misconduct. Even in the case of a successful lawsuit against the police; it's just as the saying goes "stealing from Peter to pay Paul", as the money I'd get would just come from our own taxes.

That's the 1st of 5 Benefits to Privatizing Police.

1) It Creates Legal Accountability
Private Police means private business. 
It's basic logic that no company in the private sector wants to lose money or risk going out of business. With a private company the individuals and the company itself are financially and criminally liable for wrong doing.
For years Government police have been legally enabled to practice robbery (enough to make Butch Cassidy and Sundance jealous) as explained in this article, detailing the appalling practice known as civil asset forfeiture. Private sector police aren't afforded the same conditions, and even if they were there would be legal recourse.

2) It Creates 
Personal Accountability 
It's also basic logic that no individual wants to risk imprisonment. The US Supreme Court Decision of Castle Rock v. Gonzales established precedent that police have no legal obligation to “protect and serve” the population. Meaning for example, they cannot be held criminally accountable or sued for failing to respond to calls for help. Private police also don't have the Police Union to hide behind, nor qualified immunity within the government.

3) It Costs Less
With the free market comes competition and with competition comes lower prices. That's basic economics. Think of Government police as a monopoly; one that can never go bankrupt, fueled by the supply of our own tax dollars.
In Reminderville, Ohio, the town hired a private security company for exactly half the cost of the county police contract they had been paying. The firm was able to increase the number of patrol cars in the area and improved the emergency response time from 45 minutes previously to 6 minutes.

4) It Lowers Crime
Citing the most recent example this year (2015) in a district of Houston, Texas (Sharpstown) where a community declined to renew its contract (for supplementary police assistance) with the constable’s office. They instead hired S.E.A.L. Security Solutions at a lower cost to patrol their streets; crime was reduced by 61% in less than 2 years.

5) It Increases Efficiency
No bureaucratic framework and regulations, along with private sector innovation has led historically to increased efficiency in response times as shown in the two previous examples. On a cost basis these improvements in efficiency are multiplied. Furthermore the societal benefits of lower reported crimes, increased response time, and legal responsibility create a positive trickle-down effect over-all. 

OK, I'm not implying that we should immediately fire our entire public police force to replace them with the private sector (although even replacing Detective Cherry with a maraschino cherry could be a better option). However it wouldn't be difficult to privatize a large portion of police duties, starting with the police being paid unreasonable wages to work at construction sites and in general traffic positions.

It's not really a new, radical idea. Until the middle of the 19th century most of Britain’s policing was provided by groups known as “Associations for the Prosecution of Felons.”

According to the Bureau of Labor Statistics, private security firms in the U.S. today already employ more security guards, patrol personnel and detectives than the U.S. federal, state and local governments combined, fulfilling many basic duties. Actually the same goes for Canada and Britain. 

In Virginia there are 1.1 million private security, compared to 640,000 public officers. Virginia state law allows for citizens to form their own police forces, with the authority to make arrests, carry firearms, and badges. They're called SCOPS, or Special Conservators Of The Peace, and there are now about 750 of them in Virginia, including this guy who runs his own 1 person private police department in Manassas (yes, it's really true).

In North and South Carolina, all Security Officers have the authority and power to make an arrest just as Sheriff Deputies. Similar power exists in Virginia.

The state has no ownership on the right to enforce the law, it only administers this right on behalf of the people. In principle there is no reason why private individuals should not have law enforcement duties delegated to them so long as they are responsible to the same system of law as the government.

Finally it's important to understand that similar to how the free market checks itself, public peace is not kept primarily by the police, but by the people themselves.

April 4, 2015

The Farmer With Only One Horse - Taoist Fable

In celebration of this hangover, I'll tell a story I once heard from a wise rabbit while traveling. 

It's my favorite fable...

So there was an old farmer who had only one horse. One day his horse ran away.
The neighbors heard the news and came to the house saying, "We're so sorry, this is terrible news! You must be so sad."
The farmer just replied, "We'll see."
Some days later his horse came back, but this time with 6 other horses. The farmer and his son corralled the horses and then they had 7.
The neighbors heard the news and came to the house saying, "This is great news; you must be so happy!"
The farmer replied, "We'll see."
Some days later the farmer's son was putting shoes on one of the new horses. The horse kicked him and broke his leg in a terrible way.
The neighbors heard the news and again came to the house saying, "We heard about your only son. This is terrible news!"
The farmer again replied, "We'll see."
Soon after the country got involved in a war. The conscripts came to the village and drafted all the young men to fight. It was terrible war and all the young men died, except for the farmer's son whose broken leg prevented him from being drafted. 
After the war, when none of the neighbor's sons came home they went to the farmers house and said, "Congratulations, for you this is such good news! You're very lucky."
The farmer just said, "We'll see."

April 2, 2015

17 Ways To Avoid The Obamacare Tax Penalty, Including Being Beaten By Your Wife

"Money saved is money earned," and that's especially true this time of year. Yes, it's tax time again in the not so United States of America. The People's Leader Chairman Obama and his government of change have ordered you to purchase their health insurance or face the wrath of the Tax Man.

This year's minimum tax of the higher figure between either $95 per adult or 1% of ones income, becomes $325 or 2% next year, becoming $695 or 2.5% the year after, with future income escalations going forward after that. In other words if you don't buy their health insurance they will make you buy it anyway.

Most are unaware that the very stylish HealthCare.gov website (the one that only cost the United States taxpayer an estimated 1.7 billion to set-up) has published a list of 14 Hardship Exemptions.

Two of the 14 Hardship Exemptions require no documentation at all, including being beaten by your wife.

Additionally I've found several other valuable ways to avoid paying the Obamacare Tax.

Here to help are “17 Ways to Avoid the Obamacare Tax Penalty Including Being Beaten by Your Wife.

          #1.  Claim you were homeless. Required documentation: None
Official text reads: "You were homeless.  Required documentation: None."
Translation:  You may apply for an exemption just by stating “I am exempt because I am homeless.” No documentation required. Since the full list of exemptions also allows for a 2 month gap in coverage even 1 day per month of so-called homelessness for 10 months out of the year may by sufficient. 

          #2.  Stop paying your rent or mortgage.  Required documentation: Yes
Official text reads: "You were evicted in the past 6 months or were facing eviction or foreclosure.  Required documentation: Eviction or foreclosure notice. The date of the notice must be within the last 6 months."
Translation:  You can stop paying your rent or mortgage until you receive an eviction or foreclosure notice, then use this to claim the exemption. You don't actually have to be foreclosed or evicted; simply a notice of such is sufficient. 

          #3.  Stop paying your utility bill.  Required documentation: Yes
Official text reads: "You received a shut-off notice from a utility company.  Required documentation: Shut-off notice from a utility company which states service has or will be shut-off."
Translation:  You can stop paying your utility bill until you receive a written shut-off notice warning and then use that to apply for the exemption.

          #4.  Get beaten by your wife.  Required documentation: None
Official text reads: "You recently experienced domestic violence.  Required documentation: None."
Translation: Get attacked by your wife. You may then apply for the exemption by simply stating “I am exempt because my wife beat me.” No documentation required. 

If the 10 others in this List of Hardship Exemptions don't happen to apply to you then you can always be creative and use #14, You experienced a hardship that kept you from getting health insurance that’s NOT listed in categories #1-13.  And Translation:  You can get creative. What's fascinating is that last year's text for this was only “please submit documentation if possible.”

          #15.  Live Abroad (for at least 330 days per year).
What better way to tell the Socialists in the US Government to go to hell than to live elsewhere? For years people have searched for deals on flights and accommodation, taken air courier jobs, and so on to save on travel. Now the United States Government is basically paying you to live abroad.

          #16.  Go To Jail.
Get incarcerated for 1 day every month to be exempt from the tax. Since the list of exemptions also allows for a 2 month gap in coverage, that mean you would only have to be incarcerated 1 day for each of 10 months.
              #17.  Stop Working.
    Perhaps you decide that the current administration has made working into a moral hazard?
    Simply make less than $10,150.00 per year and you are now exempt.
    If the cost of the basic policy exceeds 8% of your income you are also exempt.

              Bonus #18.  You're exempt if you are an illegal alien.
    But don't worry you can still visit your local emergency room at the hospital and they will be forced to give you treatment; payment optional.
    And don't worry this gives big business (those with over 50 employees) a future chance to decide to hire from the estimated 5 million amnestied illegal aliens and save paying the $3,000.00 annual penalty for not providing health insurance.

    If you're still considering whether it's worth applying for an exemption take into account that the Congressional Budget Office estimates that 4 million will pay penalties while 26 million will not.
    Intuit (which is TurboTax) has said it estimates that 20 million or more of the 40 million people who lacked health insurance in 2014 may be exempt from the Obamacare tax penalty.
    Amazingly Intuit also estimates that less that 5 percent of the exemption eligible people have applied so far, implying a lack of education on how the process works.

    And Finally (don't you wish you had read this first?), on page 131 of the law, it's apparently written that no one ever really has to pay the fine in the individual mandate anyway! The individual mandate is the only provision in the tax code that was written intentionally to be basically unenforceable. The IRS cannot enforce the Individual Shared Responsibility Provision with jail time, liens, or any other of typical methods of collection. The only way for the IRS to collect the fee for not having health insurance, if you choose not to pay it, is for them to withhold the money you would get back (Federal Income Tax Refund) from the IRS after you file your income tax return.

    Hardship Exemption Application
    Happy Tax Day,