Why are we worried about offending Beijing?                                                         
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March 24, 2020

Permission to republish original opeds and cartoons granted.

Why is the corporate media taking China’s side on the origins of the virus and silencing President Trump?
The establishment corporate media, the “narrative readers” and so-called “journalists” have been engaged in an active campaign to distort and hide the efforts of the administration to stem the tide of the Chinese virus and the devastating impact on the economy and the livelihoods of millions of American families. From start to today, the corporate establishment legacy media has taken the side of China.  They do assure us all that the massive cash investments made by Chinese front companies into their corporate masters have nothing to do with it.  And they are a touch indignant that it is pointed out that they can’t seem to be anywhere close to consistent with their politically correct nonsense.  When President Trump imposed a travel ban from China — the single most crucial step to slow the spread of the virus in the United States — in January, these provocateurs condemned him.  Joe Biden was given a script to attack the travel restrictions as, of course, xenophobic.   Likewise, for much of February all mainstream media mouthpieces used the terms “Wuhan Virus” or “Chinese Virus” — right until the Communist Party in China denounced it and demanded it be called by its clinical name.  Then, as if a light switch had been flicked, the corporate media denounced anyone — most obviously President Trump — who dared call the virus by its name.  It was suddenly “racist” to say China Virus. Still, the latest ploy shows beyond any question their real motivations.  Toward the end of last week, the call went out from the vapid Queen of Leftist Cable — Rachel Maddow — to block President Trump from speaking to the American people.

Cartoon: Twisted
Dems slow down the coronavirus relief package.

The dollar is too strong for the recession that just began, Mr. President
In the wake of coronavirus-induced recession, the dollar is probably far too strong and it could be a key obstacle to a rapid recovery after the virus passes. The Trade Weighted U.S. Dollar Index remains near its highest levels in years. The Great Depression dragged on for years not because of government intervention or tariffs per se, but because of the failure to recognize the adverse impact of keeping the dollar exchange rate to gold so high while the rest of the world  was engaged in competitive devaluation and retiring the interwar gold standard. It was this distortion in monetary policy that caused a recession to turn into a massive depression. It was not until the federal government ended the interwar gold standard in 1933 that some relief was felt as unemployment began collapsing. Now, the scourge of deflation could be upon us once again as asset prices plunge after the coronavirus crash. With the global economy essentially frozen while the world waits out the virus, the economy will likely contract massively in first quarter, which ends in a week. Layoffs will be in the millions, and the unemployment rate could be in double digits.To alleviate the long term impacts over the coming months, the Treasury and Federal Reserve should consider doing precisely what the Exchange Stabilization Fund says, which is to stabilize the exchange rate of the dollar versus trade partners during this national emergency. If there ever was a time for a weaker dollar, it’s right now, Mr. President. We’re going to need all the help we can get.

Video: Senate Dems filibuster coronavirus economic relief bill, hold 30 million small businesses hostage
To incentive Americans to stay in their homes to combat the Chinese coronavirus, Congress needs to provide relief to tens of millions of small businesses, critical industries and the American people. What’s the hold up?


Why is the corporate media taking China’s side on the origins of the virus and silencing President Trump?

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By Bill Wilson

The words "treason" and "traitor" are derived from the Latin tradere, "to deliver or hand over".  In modern times, "traitor" and "treason" are mainly used with reference to a person helping an enemy in time of war or conflict.  From these it is crystal clear that the corporate media in the United States are committing acts of treason on an hourly basis.

As John Nolte of Breitbart News has shown in his meticulous accounting of the outright lies spread by the establishment corporate media, the “narrative readers” and so-called “journalists” have been engaged in an active campaign to distort and hide the efforts of the administration to stem the tide of the Chinese virus and the devastating impact on the economy and the livelihoods of millions of American families. 

From the beginning they have been active agents for the Chinese Communist Party.  When President Trump imposed a travel ban from China — the single most crucial step to slow the spread of the virus in the United States — in January, these provocateurs condemned him.  Joe Biden was given a script to attack the travel restrictions as, of course, xenophobic.   And as if signaled on cue, the corporate media dismissed and heaped ridicule on the effort.  Today, we know that the restrictions have played a significant role in slowing the spread and giving us precious time to direct resources to where they are most needed.

Likewise, for much of February all mainstream media mouthpieces used the terms “Wuhan Virus” or “Chinese Virus” — right until the Communist Party in China denounced it and demanded it be called by its clinical name.  Then, as if a light switch had been flicked, the corporate media denounced anyone — most obviously President Trump — who dared call the virus by its name.  It was suddenly “racist” to say China Virus.

From start to today, the corporate establishment legacy media has taken the side of China.  They do assure us all that the massive cash investments made by Chinese front companies into their corporate masters have nothing to do with it.  And they are a touch indignant that it is pointed out that they can’t seem to be anywhere close to consistent with their politically correct nonsense.

Still, the latest ploy shows beyond any question their real motivations.  Toward the end of last week, the call went out from the vapid Queen of Leftist Cable — Rachel Maddow — to block President Trump from speaking to the American people.  Think for one minute about this.  The President of the United States is speaking on a regular basis to the people at a time of unprecedented crisis and this extremist calls to have him censored!  She is demanding that the corporate media review what he says and they decide what the people should and should not hear.       

And, again on cue, the lemmings in the corporate media echo this disgusting demand.  The Washington Post’s so-called “media correspondent” Margaret Sullivan issued the same edict in Sunday’s edition of the Post.  Almost word for word, Sullivan wants the corporate media to decide.

There is a good reason for this in their view but it has nothing to do with what they are saying.  They have to shut down the President for the simple reason that his bold, aggressive defense of the American People is winning him converts in all demographic groups — even among Democrats.  The corporate thugs know that Joe Biden is no match for the President, that he only demonstrates more clearly how physically and mentally unfit he is for the office.  So, the only way the Maddows and the Sullivans can see to blunt the impact is to silence the President.

It will not happen.  And, it cannot be allowed to happen.  Lives depend on it.  Should this transparent political act happen, should Comcast or Disney or Viacom — owners of the three networks — refuse to air the President’s briefings on the virus, then action should be taken immediately.  And what action?

To start the FCC should pull the licenses to broadcast.  Harsh?  Not really.  FDR moved more aggressively against the media in his day.  Lincoln went further still.  And, to be honest, the challenge we face today is greater by a large magnitude than the challenges these icons of the political establishment faced. 

Shaming and shunning is in order.  Every patriot should refuse to comment to, appear on or otherwise engage these fake news purveyors.  They only exist because their corporate masters see them as viable vehicles to spread the corporate propaganda line.  Take that away from them and they are reduced to the nagging harpies of the insane Left they are.   Simply refuse to speak with them.  Give them nothing.

And finally, the entire financial structure of these corporate media outlets needs to be reviewed.  What subsidies are they getting from federal, state or local governments?  To what extent are these corporations based on monopoly arrangements such as Comcast franchise agreements that block competition? What is the nature of their advertising revenue?  Does it amount to nothing more than a taxpayer subsidized pass through from elites?  Each and every one of these unfair, corporatist supports should be removed.

The time has passed to ignore the threat that corporate control of media poses to the American people.  Their servile parroting of the Chinese Communist line, their call for censoring the . President of the United States are the final nails in the coffin.  Corporate media constitutes a threat to the very survival of our nation and must be addressed accordingly.

Bill Wilson is the President of the Market Research Foundation and a former board member and former President of Americans for Limited Government. 


Cartoon: Twisted

By A.F. Branco

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Click here for a  higher level resolution version.


The dollar is too strong for the recession that just began, Mr. President

 

By Robert Romano

The cornerstone of President Donald Trump’s plan to defeat the Chinese coronavirus and save potentially millions of lives, and to salvage what can be of the U.S. economy, is a massive expansion of the Treasury’s Exchange Rate Stabilization Fund from about $93 billion to $500 billion.

These funds will be used to underwrite the economic relief plan, which includes $300 billion for covering payroll for small businesses, $200 billion for critical industries and a gigantic expansion of unemployment benefits that amount to paid sick leave for every American who had a job when the virus struck.

These lending and grant programs are essential to incentivize millions of Americans to stay home to combat the virus, and to help the U.S. economy to survive the effects of being shut down during the outbreak response effort. If done correctly, tens of millions of businesses and hundreds of millions of jobs can be saved.

But the Exchange Stabilization Fund has other important, economy-sustaining uses.

Normally, the U.S. Treasury operates the Exchange Stabilization Fund to “purchase or sell foreign currencies, to hold U.S. foreign exchange and Special Drawing Rights (SDR) assets, and to provide financing to foreign governments. All operations of the ESF require the explicit authorization of the Secretary of the Treasury (‘the Secretary’),” according to Treasury’s website.

Such funds, with enough firepower, could be used to dump dollars on foreign exchange markets to help weaken the dollar in times of financial stress or if foreign trade partners are engaged in competitive devaluation, exacting deflationary pressure on the U.S. economy.

Like now.

The Trade Weighted U.S. Dollar Index remains near its highest levels in years. The truth is, the coronavirus could not have struck at a worse time. It means the dollar is really strong compared to overseas trading partners and has been for years.

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President Trump appears to recognize the problem, but appeared to dismiss the possibility of any intervention on foreign exchange markets, at least for now. On March 23, he said at the White House to reporters, “having a strong dollar is good, but it really sounds good.  But the truth is, it makes certain things, like trade, much tougher.  And our dollar — I don’t know if you’ve seen, but our dollar has remained very strong, especially against other currencies.  Very, very strong.  Which, again, makes that trading more difficult, but there’s something nice about having a strong dollar, right?  You know, no matter what, I’m President.  It’s nice to have a strong dollar.  But it does make trading more difficult.”

Right now, however, the dollar is probably far too strong in the wake of the massive recession that just began caused by federal and state governments have practically ordered everything except essential services to be closed.

The Great Depression dragged on for years not because of government intervention or tariffs per se, but because of the failure to recognize the adverse impact of keeping the dollar exchange rate to gold so high while the rest of the world  was engaged in competitive devaluation and retiring the interwar gold standard.

It was this distortion in monetary policy that caused a recession to turn into a massive depression.

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Deflation in the U.S. began after the great inflation of World War I and the ensuing credit expansion, had a brief respite in the 1920s before beginning again in 1927. It then slowed in 1929, and then went crazy starting in 1930 as banks began failing en masse. Inflation was marked at -2.7 percent in 1930, -8.9 percent in 1931, -10.3 percent in 1932 and -5.2 percent in 1933.

As that occurred, unemployment skyrocketed, reaching 11.2 percent by the end of 1930, up to 19.2 percent by the end of 1931, up to 25 percent in 1932 and peaked in March 1933 at 25.4 percent.

It was not until Franklin Roosevelt ended the interwar gold standard in 1933 that some relief was felt as unemployment began collapsing down to 11 percent by 1937 before spiking again in the 1937-38 recession as deflation ensued again. Ultimately, the ongoing problems were not fully alleviated until the massive mobilization of World War II.

A similar trend appeared to play out during the 2000s leading to the financial crisis, when China’s relative low peg to the dollar ultimately coincided with sharp rises in U.S. unemployment and drops in prices, not alleviated until the dollar weakened from 2009 to 2011.

Now, the scourge of deflation could be upon us once again as asset prices plunge after the coronavirus crash. With the global economy essentially frozen while the world waits out the virus, the economy will likely contract massively in first quarter, which ends in a week. Layoffs will be in the millions, and the unemployment rate could be in double digits.

To alleviate the long term impacts over the coming months, the Treasury and Federal Reserve should consider doing precisely what the Exchange Stabilization Fund says, which is to stabilize the exchange rate of the dollar versus trade partners during this national emergency. If there ever was a time for a weaker dollar, it’s right now, Mr. President. We’re going to need all the help we can get.

Robert Romano is the Vice President of Public Policy at Americans for Limited Government.


 

Video: Senate Dems filibuster coronavirus economic relief bill, hold 30 million small businesses hostage


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