BALTIMORE – One of the delights of being an American is that it is so easy to feel superior to your fellow countrymen.

All you have to do is stand up straight and smile.

Or if you really need an ego boost, just go to a local supermarket. Better yet, go to a supermarket with a Trump poster in the parking lot.

(Trigger warning: In the following ramble, we make fun of democracy, Trump, obesity, cripples, baldness, and old people. There should be something here to offend just about everyone. But this is not to say you will find no redeeming social value here… We also explain why the masses are in revolt.)

A recent visit to a supermarket left us feeling not just like a superior specimen of our sorry race, but wondering if the race itself might be doomed.

Everyone we saw was decrepit… misshapen… or riding in an electric wheelchair.

Age works its sour magic on us all, but some income brackets fight it or hide it. Others don’t.

Alphas and Epsilons

James Nielsen, writing in the Buenos Aires Herald, elaborates:

Caste divisions are becoming hereditary. What is more, there are striking physical differences between alphas, individuals who tend to be keen on exercise and care about their appearance, at the top, and the all too often obese epsilons down there at the bottom.

What’s the connection between the Deep State, the credit dollar, Trump, and obesity?

Didn’t the Deep State depend on unlimited financing, courtesy of the credit-dollar?

Didn’t unlimited financing soften up the system… with grade creep in school… credit creep in the economy… title creep at work… fat creep at the waistline… mission creep in the bureaucracy… and creepy zombies and cronies allowed to flourish in every corner of the EZ money system?

Once the discipline of “hard” money was removed, didn’t our whole society turn to mush?

A Harvard economist, Benjamin Friedman, wrote a book titled The Moral Consequence of Economic Growth.

He claims people are nicer when they are happy with their material progress. When things are getting better, he says, they begin to look out not only for themselves but for others, too.

We have a suspicion that the professor was hoodwinked by his lab rats. He asked questions; they gave the answers they thought he wanted.

But we are connecting the dots. And one of his dots is an important link: We feel good or bad… not absolutely, but relatively. We don’t need to actually earn more money to feel good; we just need to earn more than our brother-in-law.

Brexit to “Texit”

The man who is just a little bit fat feels better about himself when he sees someone who is so obese he can barely walk. Both feel better when they are shrinking instead of porking up.

When an economy is expanding, people tend to feel content too. Compared to the way things used to be, they are better off.

But when an economy stops making progress, people look to their friends, neighbors and Mexican immigrants for their sense of well-being. If the comparison is flattering, they feel superior. If not, they vote for Trump.

Alert readers will see the mathematical implication…

When an economy is growing and prosperous, almost everyone can feel better off and the Establishment can sleep soundly.

When it is stagnant, only half the population can feel better off. And when financial progress is concentrated in a handful of people, the elite bar their doors.

In Britain, the London-based, credit-fueled financial industry paid well. Outside of London, the masses revolted. It was like being married to someone who didn’t seem to age; people looked in the mirror and felt bad every day. They wanted a divorce.

“People in Texas just feel separate from the rest of the U.S.,” says our researcher Chad, who comes from the Lone Star State. “There is already a ‘Texit’ movement. I think some people are serious about it.”

If not now, they will be later. Fewer and fewer people are doing better financially.

Typically, they are the alphas: the smart people… the thin people… the people in and around centers of Deep State power.

An anti-hunger organization, the Food Research & Action Center, reports:

Wages were inversely related to the BMI [body mass index] and obesity in a nationally representative sample of more than 6,000 adults – meaning, those with low wages had increased BMI as well as increased chance of being obese.

And nearly 40% of adults are now obese.

Over the Top

As we reported yesterday, even without a single real representative in Congress, and not a single manufacturer still in the city, the District of Columbia has grown rich. Reports

According to new Census figures released on Thursday, the Washington, D.C. area has the highest median household income at around $90,000. The San Francisco region is next at around $80,000. The Boston area is third at around $72,000.

As the Washington Post noted, Washington, D.C. “also has a staggering average per capita income of $74,733 for each of its 632,323 residents, which is 79% higher than the national average of $43,725.”

The fat man in fly-over country can no longer compare himself favorably to years past; he hasn’t had a real pay raise in 40 years. He’s lost, on average, half his hair and he’s gained, on average, about 25 pounds.

There’s more than money at stake. During the Jimmy Carter years, he could support his family. Now, he’s broken down and can barely support himself. So, he casts a sullen and surly eye toward the Potomac… and wants to LEAVE.

The Iowa Political Predictions market puts the odds of a Trump win at about 30%. Gamble a dollar. If he wins, you’ll get back three bucks.

But Ronald Regan’s economic advisor Art Laffer says Trump will win in a landslide, taking 48 out of 50 states.

No one has, as far as we know, correlated obesity to voting patterns. But we’ll take a guess: In the upcoming election, Donald Trump will take the Fat Vote.

That alone may be enough to put him over the top.




Market Insight


Gold has been performing well against the Deep State’s money…

Today’s chart is of gold priced in U.S. dollars, euro, yen, and the British pound.

As you can see, gold is up against the dollar, the euro, the yen, and the pound so far in 2016.

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Some great feedback today on yesterday’s Diary – “Alan ‘Bubbles’ Greenspan Returns to Gold.”

Only a gold-plated member of the Dark State such as Alan Greenspan would attribute all the sins of unlimited credit expansion and the “welfare statists.”

I have no more love for the welfare extremists than anyone else, but to blithely ignore the rapacity of the Wall Street mob and corporate America in exploiting cheap credit is galling indeed. Need anyone ask why the “people” are so bent on repudiating the unelected manipulators at the top of the heap?

And as for Greenspan, why does anyone bother anymore with such a discredited information source?

— Dave H.

My opinion is that the Deep State began forming during the American Industrial Revolution, when the wealthy class began to form.

But I think the Deep State had its formal beginning during the Woodrow Wilson presidency. He established the “Federal Reserve” in 1913 along with several other “progressive” policies. Henry Ford said in the early 1900s, when he began his Ford empire and probably started borrowing money to build his plants, “If the American people knew the truth about how our banking system really works, there would be riots in the streets tomorrow.”

— James B.

The voters, that is mostly ordinary folks, cannot afford as severe a correction as it would take to return us to fiscal sanity; billionaires surely can.

— Michael C.

To return our financial system back to the gold standard, has anyone calculated how much gold we’d need, and its price per ounce, to back the amount of worthless paper we have in circulation?

— Joe T.

The powers-that-be picked Greenspan years ago precisely because of the credibility that gold had given him. While gold still shines, his treachery has forever tarnished his reputation. In fact, now that he is singing the praises of gold again… well now, that has me worried.

— Richard D.

You said that 1870 to 1913 was one of the most aggressive periods economically that we’ve had. A huge amount of silver was mined in the U.S. during this time. From 1878 to 1904 millions and millions of silver dollars were minted and issued in the U.S. Far more that all previous years.

This was an expansion of the money supply, too, and it wasn’t all just gold.

— Guy H.