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2018-07-21 11:20 by Karl Denninger
in Editorial , 98 references
[Comments enabled]  

Right here.

As many times as it takes before you get it, read that.

I don't know if you'll need to read it once, twice, 100 or 500 times.

But you had better read it as many times as it takes to sink in, and internalize what is there -- because this is not opinion, it is fact and that fact is known to the powerful men (and women) who make decisions on which everything that occurs in this nation rests.

Powell is the chair of the Federal Reserve.  It has long been argued, and in fact Powell argued himself just the other day, twice, that "trade disputes" could harm the economy.  But what he admitted is that wage growth is not occurring because of slave labor and environmental abuse.

Whether the abuse occurs when Apple uses the much-vaunted "global supply chain" to buy screws for its iPhone frames from a firm in Malaysia that knowingly courts and employs slave labor in the form of "undocumented" workers who are serfs to make said screws or whether it's when some boutique firm that makes $1,500 handbags buys its leather from a tannery in Bangladesh that knowingly poisons the water, or when some Chinese firm steals technology and then ships counterfeit parts labeled as "real" (which, by the way, have been found in safety-critical systems of airliners) the point is the same.

So-called "free trade" is a bald lie.

We were told by all these people that NAFTA would turn the $4/hour Mexican manufacturing labor rate into a $25/hour rate over the space of a few years, and that would result in a rapidly-growing Mexican middle class that would demand more goods from American companies.  In other words the economy on a global basis would expand so fast and wage disparity, which was obvious at the time, would not persist.  In other words it would make no sense for American firms to offshore to exploit that slave labor because it would almost-immediately disappear, meaning the impetus to move those factories would in fact be due to local demand for the products they made.

That was a lie.

NAFTA was signed in 1994.  In 2001 Bush gave China "PNTR", or "Permanent Normal Trade Relations."  Both were sold to Americans as expanding economic opportunity for Americans of all stripes and levels of ability.

Both were lies.

It is now nearly 25 years after NAFTA and the Mexican factory labor rate is still about $4/hour -- with no benefits.  In the US an utterly enormous number of jobs paying $25/hour plus benefits have permanently left America for Mexico.

China is even worse; since PNTR was signed virtually all of our electronics assembly has left America.  

In 1998 Zenith closed its Melrose Plant in Chicago, the last bastion of American television manufacturing.  It's permanently gone due to the slave labor in other nations -- specifically China and other Asian countries.  The entirety of American textiles manufacturing has gone to places like Bangladesh where there is no OSHA, there is no regulation, there is effective slave labor and there is exploitation of child labor as well.

I have a shirt on right now that says "made in Mexico."  The pair of underwear I have on right now was made in Vietnam.  The pair of shoes I am wearing was made in China.  I'd love to buy all three from an American company made here but there are none!

Do you really think the $100 pair of Altras that I have on right now would cost more than $100 if made here in America?  That's utter nonsense, just as is the claim that the car would cost $6,000 more if made here than in Mexico or that the iPhone would cost $1,200 instead of $1,000.

If the companies that sell those products could charge $1,200 for an iPhone today and actually get people to buy them they'd do that right here, right now.  If Chevy could get an extra $6,000 for that car, they'd charge the extra $6,000 and keep it right here, right now.  If Altra could charge $150 for a pair of running shoes instead of $100, they'd do it right here, right now.

No, folks, the price would not go up.  What would go down is operating margins.  And, quite-probably, stock prices because so would profits.

But at the same time what would go up would be job opportunities for everyone on the left side of the bell curve, which is fully half of Americans.

If you give a damn about the issue of "income inequality" and "equality of opportunity" then this is where you must focus your attention to the exclusion of everything else because the impact, if you correct it, will be enormous, immediate, permanent and lift fully half of this nation's people in their standard of living -- everyone who happens to fall on the left side of the bell curve of intelligence and ability.

If you don't demand and enforce a shutdown of the slave labor and rampant abuse by the Chinese and others in the name of so-called "free trade" then what you are supporting and demanding is the continued intentional systematic abuse of half the citizens of this country.

You were sold "free trade" with lies.  The people who sold it to you knew they were lies, and now they've been proved to be lies.

It is time to shut them down, take them out of the political and business systems, strip them of their power and consign them to live under the very freeway overpass they want to consign half the American population to.

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2018-07-21 07:00 by Karl Denninger
in Foreign Policy , 174 references
[Comments enabled]  

C'mon folks, wake up.

The suspect in a deadly hit-and-run on Interstate 20 in Texas was arrested early Thursday by U.S. Border Patrol agents who suspected him of immigration violations, investigators said.

Jose Gilvane Oliveira Baldassari, 48, faces two charges of manslaughter in connection with Tuesday's crash, which killed two people and seriously injured another person.

How was he driving an 18 wheeler -- which requires a CDL -- if he was here illegally?

Gee, we vet people well, right?

Not good enough for you?  Ok, try this:

A Dallas man questioned by police for illegally parking in a handicapped parking space also explained why he was with a 15-year-old girl, authorities said.

"It's OK, she is gonna be 16 soon," the man, identified as Jose Nahun Lopez-Cruz, 24, told the officer, the Dallas Morning News reported.


Lopez-Cruz, whom authorities said may be in the U.S. illegally,

No problem there, right?

Or, 11 times deported isn't enough either -- right?

Immigration and Customs Enforcement (ICE) officials say that a criminal illegal alien who had been deported 11 times from the United States attacked his wife with a chainsaw in front of their children.

Right.  So instead of throwing his ass in prison one of the previous 11 times, he gets to chainsaw his wife.

Oh, and he made a bunch of "citizens" too.  Nice.

Then we have so-called "asylum seekers" who are..... oops...

A migrant from Central America made a “credible fear” claim for asylum after being caught illegally crossing the border from Mexico by Border Patrol agents. During processing, the agents discovered the Honduran national is actually a member of MS-13.

The best and brightest, I'm sure.

Or, we could try here:

“The Department of Justice will not allow MS-13 to terrorize any community, school or street corner,” Attorney General Jeff Sessions said in a statement. "Today’s indictment of eight MS-13 members — including five who are charged as illegal aliens in possession of firearms — makes clear that the Trump administration and this Department will continue to go on offense against MS-13 with every lawful tool at our disposal."

They're the best and brightest too -- well, maybe at being terrorizing criminal gang members, which when you add being here illegally makes them foreign invaders.

What do you do when faced with an invading army of foreigners?

Gee, is it that hard to figure out?  What the **** is the point of having a military if not putting a stop to this?

How about the nation that allows those criminal invaders access to their territory for transit?  What do you do with them?  Let GM set up factories there so they can exploit the $4/hour wages and have a zero tariff on products produced there?  Are you ****ing nuts?

Keep telling me this is about "human rights" and I'll start citing the multiple instances of schoolgirls being dragged off the streets and repeatedly gang-raped by invaders that European nations, including Britain, not only allowed to remain they invited them in.

That could be your daughter and this country -- if we don't cut this crap out it will be.

After all the illegal invasion and insanity of the left has already ruined San Francisco.  Would you like a needle from some junkie in your foot (or a pile of human crap on it) just walking on a downtown city sidewalk?  Well..... 

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2018-07-20 13:00 by Karl Denninger
in POTD , 62 references


Email for pricing and further information -- this, like all of Sarah's work, is a unique, one-of-a-kind piece.

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2018-07-20 11:20 by Karl Denninger
in International , 138 references
[Comments enabled]  

I have long argued (for more than 20 years, in fact) that the policies of Israel amount to apartheid and are really nothing more than racism, when you get down to it.

Now the Israeli government has adopted an actual law that takes the "soft" racism (e.g. right of return, etc.) and has turned it into actual, hard, factual discrimination.

Netanyahu:  “We will keep ensuring civil rights in Israel’s democracy but the majority also has rights and the majority decides. An absolute majority wants to ensure our state’s Jewish character for generations to come..

Israel has every right to do this, as a sovereign state.

But I and others have every right to call it as we see it, and to refuse to support it -- officially or otherwise.

It is time for America, if there is any actual belief in civil rights remaining in this country, to tell Israel to go **** a duck.  And if this nation does not immediately do it, and you know damn well it won't, then shut the **** up about so-called "civil rights" as you simply do not believe in them -- you're a lying sack of crap.

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2018-07-20 10:44 by Karl Denninger
in States , 139 references
[Comments enabled]  

Anyone writing this sort of column deserves to be a slave because they volunteered:

The right of Californians to self-government and democracy suffered a serious blow Wednesday when the state Supreme Court ordered that a proposition asking voters if they want to break the most populous state in the nation into three states must be removed from the November ballot.

right predates government.

A government can only respect or disrespect a right.  And governments only exist with and so long as the consent of the people exists.

As soon as that ends so does the government.

There are two ways that plays out, if said consent evaporates: peacefully, and not-so-much.

One would always hope for the former, but sadly sometimes people who have government power that has ceased to be consensual refuse to give it up and the second becomes necessary.

The question thus becomes very simple: Is it actually the demand of the people of California to reorganize the state into three, or is this just someone, or a few someones, whining because they didn't get their way?

If the former then you have both the right and indeed the obligation to take care of business.

If the latter, well, then persuasion (until you reach the former state), or if you're unable to do so then moving to a state with a government that better-aligns with what you believe, is the proper path to be on.

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