Tuesday, April 28, 2026
Eurasian land bridge
I have always found conspiracies to be fascinating and now have developed one on my own. It has to do with the real reason the US invaded Iran and goes back to the old fear of losing the petrodollar. The US navy controls the oceans and can stop any oil going to China by controlling the Straits of Malacca, the Straits of Homuz, the Panama Canal and the Suez Canal. Over the past few years China has built a land bridge from China to Iran. They can transfer oil and other products the whole way in 15 days which is half the time by sea. They signed contracts to buy Iranian oil at a discount price and more importantly to pay for the oil using Juan rather than dollars. China cannot afford to have Iran come under new leadership, especially one friendly with the West. This would put the petrodollar back as the world’s currency and leave China dependent on the West. The rail line passes through Kazakhstan, Uzbekistan and Turkmenistan ending up in eastern Iran. If Iran cannot be stopped by current US plans the next step would be to bomb the rail line.
Fire aid
On January 7, 2025 more than 16,000 structures including homes, apartments and businesses were destroyed by California fires. As of March 2, 2026, of the 6,571 homes destroyed in the Palisades County, a total of 13 have been rebuilt, one in the Palisades and 12 in Eaton. One of the problems is the lack of control perhaps by design. Here is one example. The $100 million raised during the FireAid benefit concerts held in Jan 2025 did not go to fire victims as promised but to non-profits who then decide where the money goes. Much of the $2 billion in federal aid from FEMA is also doled out by local non-profits. This money has a way of falling through the bureaucratic cracks.
Islamophobia
During Trump’s first term he banned visitors from seven Muslim countries
Order (Jan 2017): Initially banned citizens from seven countries—Iran, Iraq, Libya, Somalia, Sudan, Syria, and Yemen—from entering the U.S. for 90 days, while suspending refugee admissions.
No one was banned from the other Muslim countries. Here are the top ten based on population
1. Indonesia: ~242 million (87% of population)
2. Pakistan: ~235 million (96% of population)
3. India: ~213 million (15% of population - major minority)
4. Bangladesh: ~150 million (91% of population)
5. Nigeria: Significant population (approx. 100+ million)
6. Egypt: ~90+ million
7. Turkey: ~70+ million
8. Iran: ~80+ million
9. Algeria: ~40+ million
10. Morocco: ~35+ million
This was reported in the press as a Muslim ban and called Islamophobia.
Control of government
Congress is constitutionally responsible for tariffs, as Article I, Section 8 of the U.S. Constitution grants the legislative branch the power to lay and collect duties and regulate foreign commerce. However, Congress has delegated significant authority to the Executive Branch (the President) to impose or adjust tariffs through various laws, particularly for national security or unfair trade practices. This is normal for congress as they delegate authority to various agencies to carry out the laws they enact. Often times things go awry because congress fails to follow up on what the bureaucrats are doing. Oversight is made difficult by multiple layers of authority with 17 signatures of various levels needed to present to a cabinet minister. It is well known that congressmen often vote on bills they haven’t read so asking them to review the process many layers down is a lost cause. The government is just to big and unwieldy to keep under control and waste and fraud are rampant.
Housing costs
Places like NY City and LA have problems with the high cost of living most notably in housing. Housing is heavily regulated due to a combination of strict, outdated zoning laws, intense local community opposition (NIMBY), complex environmental review processes, and rent control measures. These limit supply, and increase development costs, protecting existing low-density structures. It is difficult to change because the system is fraught with fraud. Instances of housing regulators, inspectors, and public housing officials engaging in corruption—including bribery, extortion, and taking kickbacks (often referred to as "skimming" or "pay-to-play" schemes)—have been documented in large cities, most notably in New York City. The long delays in new construction are to give time for each agency to skim without getting caught. Those who have the authority to change the system are the ones benefiting from the current system. It would be like asking congress to enact term limits.
Monday, April 27, 2026
Maduro's oil
China was buying most of Venezuela’s oil at a $20 discount. Venezuela was producing 400,000 barrels per day and now that is up to 1.1 million barrels. When oil was $60 Venezuela was earning $16 million per day but today, they are earning $66 million dollars per day at $60 per barrel. This extra $50 million represents 15% of the countries GDP. The oil is now going to India rather than China. It is a familiar story.
Nicolas Maduro's family, including his wife Cilia Flores and their relatives, are accused of amassing vast, unexplained wealth and luxury lifestyles while Venezuela faces severe economic hardship. Reports suggest they control properties worth millions, with luxury homes, and are involved in high-level corruption and money laundering.
No tax
The income gap keeps getting larger and has led to the cry that the rich aren’t paying their fair share. Does the country raise taxes or lower spending? On any government level be it federal, state, county or municipal there is no stomach for lower spending. Every year people want more government benefits not less. The number one reason why the rich keep getting richer is that they borrow instead of selling. Rich people live on their capital where the non-rich depend on wages. They use the concept of unrealized capital gains and a policy called “Buy, Borrow, Die”. A person buys a million-dollar asset, could be property or stock, and they keep it until they die. The property has grown to 2 million and upon their death it receives what is called a “step up in basis” meaning there is no tax on the one-million-dollar gain. The heirs inherit a two-million-dollar asset tax free. This is not only income tax free but is not included in estate taxes. Next the assets grow to 4 million and the same thing happens. Over the years the rich keep increasing their wealth without every paying any tax just by living on borrowed money instead of cashing the assets. Forcing people to sell appreciated capital assets—often proposed as a "mark-to-market" tax and would effectively eliminate the unrealized gain problem by converting "paper profits" into realized, taxable gains, thereby ensuring appreciation is taxed before death. Americans with more than $100 million in wealth are estimated to hold $8.5 trillion in unrealized capital gain. If you bought $1,000 of Amazon stock at the IPO value in 1997 it would be worth $2.7 million today. If you died and passed it on to your children, they would receive the full amount tax free. Anywhere along the way that you needed money you would put up stock as collateral and borrow against it and deduct the interest as business interest.
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