The cronies at the Fed must be having a good time watching the economy collapse, since now they are coming up with ridiculous names for their economic meddling, such as “Operation Twist.” The origin of this code name is arguable, one explanation given is that in the card game “pontoon,” you have the option to “stick,” or to “twist” – which in the game means to draw another card. So the Fed is drawing another card in the hopes of getting a better hand. Or maybe the Fed means that they are the house dealer, and the American people are getting the “twist.” This seems more accurate, since we all know the house eventually wins.

I personally think Operation Twist is a reference to that age-old party game “Twister – The Game that Ties You Up in Knots.” Remember spreading that plastic mat on the floor, spinning the arrow to “LEFT FOOT BLUE,” then falling flat on you face? That sounds about right.

If it’s something that people should have learned by now, it’s that any action by the Federal Reserve is bad action. In fact, since the Fed’s creation, we’ve had wild swings of boom-and-bust which didn’t happen before. Since the Fed’s creation, our dollar has lost over 95% of its purchasing power. Since the Fed’s creation, we’ve been able to inflate our money supply to pay for a handful of world wars which have killed upwards of 100 million people. So it really doesn’t matter to me what Operation Twist is, whether it’s a plan to lower interest rates, buy mortgage-back securities, take on long-term debt, sell short term debt, or otherwise. The Fed’s track record, at this point, is enough for me to not be concerned or alarmed by any move it makes. The Fed could come out tomorrow with “Operation Purse Snatcher,” whereby authorities physically seize the purses and wallets of every American and steal all the money within, and it wouldn’t surprise me in the slightest.

What’s left of the free market has certainly responded today: The DOW dropped almost 400 points, Oil lost $5.00, gold lost $69, silver lost $5. Copper hit a one-year low at $3.45.

After the S&P’s dollar downgrade in August, precious metals appeared to be the safe haven in a time of perceived crisis. While this doesn’t seem to be the case this time, Fed meddling can only mean one thing to me in the long term: dollar decline.

All Taxation is Theft

I’ve been hearing so much about Obama’s plan to increase taxes to the rich. I’ve heard Obama’s statement about the need for the rich to pay their “fair share.” I’ve heard plenty of pundits regurgitate the same thing. I’ve heard that Warren Buffett was perplexed that he pays a lower tax rate than his secretary. What I haven’t heard from these despicable excuses for news sources is that all taxation is theft. It just incites class warfare by arguing who should get robbed the most, when we should all be uniting together with the argument that no one should get robbed. I honestly don’t care if you’re a janitor making $10,000 a year, or a the head of a corporation making a billion dollars a year. I don’t think any entity should be forcibly extracting your wealth. Unfortunately, this seemingly obvious statement is labeled “extremism,” and uttering it in public makes one subject to the finest vintage of social ostracism that the public has to offer.

In fact, this is what has so far prevented me from attending the “organic” protest growing on Wall Street in New York City. The pictures and video interviews I have seen of protesters give me the impression that most people in the crowd are arguing for increased taxes on the wealthy and more regulations for corporations. Modern corporations are not corrupt and evil because they don’t have enough chains tying them down. They are corrupt and evil because they are chained to the state – corporations work with government and receive government protection. The reason why government protects corporate interests to the degree it does may be debatable, but it is my belief that governments love corporations primarily because of the tax revenue they bring in. If I am a gardener tending to two types of tomatoes, and I notice that one tomato patch produces more and bigger tomatoes than the other, then I will tend to the bigger tomatoes and allow the other patch to wither and die.

That being said, I may still attend the protest. It would be unfair of me to pass judgement on an entire group based on what the mainstream media cherry-picked for me. Also, I realize that different people protest for different reasons. Positive things may yet come of the protest, even if it is just awareness. If I do attend, you will certainly hear about it in the Basic Liberty Letter.

Until next time, thanks and peace,

Nick Foley
The Basic Liberty Letter
http://www.basicliberty.com
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