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Unleash Prosperity Hotline
Issue #1336
8/26/2025
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1) How Can a Country With $37 Trillion in Debt Have a "Sovereign Wealth Fund?"

The Trump administration acknowledged this week its support for the creation of a U.S. sovereign wealth fund - perhaps funded with tariff revenues.
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This is a rotten idea on all fronts. Politicians and unelected bureaucrats are going to play investment banker?

Really?

These are the same incompetents who just "invested" tens of billions in the California choo choo to nowhere, built tens of thousands on windmills that barely produce electricity, pushed billions of tax dollars into Solyndra, the synthetic fuels corporation, the bankrupt car company Fisker, the supercollider, and don't forget the half-trillion dollars in the public schools only to see test scores plummet. We could go on for pages with embarrassing flop after flop.

But this ignores the most obvious problem of all: where's the "wealth" for this sovereign fund going to come from? Hello! The U.S. government is the most indebted institution in the world. We're not Saudi Arabia with pools of hundreds of billions of oil money lying around.

So what's the plan here? Borrow trillions more?

Ingenious.
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2) Are Humans An Endangered Species?

We do read and learn a lot from all HOTLINE reader comments and criticisms - so keep 'em coming, please.

We got lots of responses to our item the other day, pulling the fire alarm about tragic reductions in birth rates in Britain and other developed nations.

This chart, sent by a reader, demonstrates two things about trends in fertility. First, birth rates are coming down fast - nearly everywhere. And second, women in poor nations are still routinely having 4 and 5 babies - for now. The implication is that as economic development and higher living standards come to the less developed countries, their birth rates will follow this downward trajectory.

If that happens, we really could be facing a reverse Malthusian crisis of depopulation - too few humans.
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3) Billboards Mock Minnesota's Failing Public Schools

Here's an idea that would work in most states, now that Mississippi has rocketed up the reading scorecard since adopting successful reforms including bringing back phonics and grade retention.
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Mississippi now boasts top-10 reading scores with bottom-10 per-pupil spending. Why isn't its model being adopted everywhere?
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4) Germany’s Welfare State Collapsing

Oh, how the mighty have fallen. After its economy was in literal rubbles after World War 2, Germany had a miraculous comeback in the ‘50s, 60’s and 70’s and became the economic powerhouse of Europe again. The great economic historian, Mancur Olson, wrote an award-winning book called “The Rise and Decline of Nations,” which explained that Germany’s economy was so destroyed they did not have a welfare state and politically powerful unions to contend with as most European nations and Britain did.

Tragically, Germany has built that welfare states back up, and sure enough it is facing a financial cliff. Chancellor Friedrich Merz has declared his country's 135-year-old welfare state bankrupt.
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Speaking at a party conference this month, he declared:

"The welfare state that we have today can no longer be financed with what we produce in the economy."

He noted that In 2040, 100 workers will have to support 41 pensioners, compared with 30 right now.

Merz has pledged not to raise taxes on business while his coalition government is in office and called for promoting private pension plans. The debate he has touched off will have lessons for the U.S. Social Security system, which is projected to deplete its trust funds in 2034.

We will see if these reforms can stick and whether Merz can make Germany’s economy great again - or whether the powerful unions destroy them.
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5) Headline You Won’t Read Anywhere Else: Arctic and Antarctic Ice Caps Stable

Scientific literature casting doubt on the size of any climate change crisis is usually ignored by the media. So it's a rare news event when The Guardian, easily the most left-wing of all British papers, reports that the melting sea ice in the Arctic Ocean has slowed dramatically in the past 20 years.
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Dr Mark England, who led the study while at the University of Exeter, reports there has been no statistically significant decline since 2005:

"The good news is that 10 to 15 years ago when sea ice loss was accelerating, some people were talking about an ice-free Arctic before 2020. But now the natural variability has switched to largely cancelling out sea ice loss."

England finds the finding "surprising" because carbon emissions from fossil fuels have continued to rise and trap ever more heat over that time. He attributes the change to long-term fluctuations in currents in the Atlantic and Pacific Oceans, which change the amount of warmed water flowing into the Arctic.

Of course, natural variation means that melting may again increase at some point in the next five to 10 years. But the study is one of several that show how the most alarmist climate studies get most of the media coverage.

Earlier this year, a paper published in Nature Communications found that ice has remained stable and even grown slightly since the 1930s over a 1,200 mile stretch of Eastern Antarctica. Another recent paper found the ice shelves surrounding Antarctica grew in overall size from 2009 to 2019.

The fact that you have read almost nothing about any of these studies should tell you all you need to know about climate change coverage in the mainstream media.
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6) Free Speech, UK Style

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