Thursday, March 19, 2009

Orwell: Alive and Well

The Fed's decision on Wednesday to finally turn on the printing presses is sure to result in inflation. In fact, the only real predictable result is inflation.

The Fed in collusion with government will decided who gets the newly created fiat dollars and thereby create more problems. For instance, Congress is currently making a show of "anger" at AIG and trying to tax the money they just gave them. It is as absurd as the 'double-speech' characterized in George Orwell's, 1984. Double speakers' mantra: "Do the exact opposite of what is said."

On the streets people call this "frontin'." Much of Obama's rise has been a series of deceptions. Recently, it was reported he was considering a "surge" in Afghanistan similar to the one in Iraq. By devoting an extra 310,000 troops to Afghanistan, his plan would be to "secure the country." (This military move is piggy-backing on the same idea executed in Iraq which many came to insane conclusion that it worked in Iraq and that more violence is now unlikely and the U.S. can leave without repercussion of lawlessness)

A "surge" is one way to say it. The Afghans will probably see this move as an escalation. For most of the 20th century, the Afghans have fought valiantly and have yet to be defeated.        
Ask the Russians. Afghanistan's terrain and the people who know the land so well, make it extremely difficult for forces, even with numbered advantages, to defeat them. Therefore, it acts as a successful bog for an army who chooses to attack.

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