Special Independence Day Edition


I’d thank my lucky stars to be livin’ here today, 
‘Cause the flag still stands for freedom and they can’t take that away, 
And I’m proud to be an American where at least I know I’m free.

– Lee Greenwood

We’re here on a bend in the Rhine river. Enjoying the 4th of July.

From our hotel, we see the Rhine water flowing swiftly, from right to left. (Let’s see, the Rhine flows from South to North…to discharge into the North Sea. Or somewhere near there. So, if the water is flowing to the left, we must be on the west bank of the river.)

We just arrived yesterday and spent the day in business meetings. Switzerland is a good place to do business, especially for French people. But, except for a brief walk through the old part of the city, we haven’t had much time to get our bearings.

One thing we notice, however: Like Zurich, Basel is a calm, civilised place. We see no poor people. Nor are there any slums. Nor are there people who look like they shouldn’t be allowed out in public.

In short: This ain’t Baltimore. But then, what is?

Back to the news:

Poor Edward Snowden. The man performed a valuable public service. He should get a medal on this Independence Day. Instead, he will have to face the music.

As Snowden looks for asylum, doors slam around the world,‘ says the International Herald Tribune.

Tuesday, the Russians seemed to close their doors to him. Ecuador seems to be withdrawing its invitation. Venezuela and Bolivia are still possibilities.

But like Julian Assange, he may be forced to hole up in some gloomy embassy. Or worse, he may be handed over to the US for a full program of torture. Yes, they could force him to watch TV! Or a Senate hearing! Or listen to Lee Greenwood whine on the radio!

He will surely want to slit his wrists after a few hours…saving the feds the cost of killing him.

Shoulder to Shoulder With Edward Snowden

Yes, the music Snowden will face, if he is delivered to the Americans, will be grim. He will be charged with treason…which comes with a funeral dirge.

Here at the Diary, we are shoulder to shoulder with Snowden. ‘He broke the law,‘ say the news reports. That’s what we admire about him. Sometimes the law needs be broken.

America circa 2013: History will record that laws grew up like kudzu.

One law told people they had to have health insurance, whether they wanted it or not. Another told them what they could do with their money…another gave them the right to ingest certain things, but not others.

The proliferation of laws made more and more things unlawful. You cannot smoke a cigarette where you please. You cannot have a private conversation. You cannot do this…but you must do that.

This trend gave lawmakers – including mid-level bureaucrats and unnamed officials – more and more power. And took power away from ordinary citizens, who were convinced that it made sense to limit their rights more and more to preserve their freedom.

And every day, during the summer of 2013, the sun shone, the kudzu grew, and wrapped itself around their necks. Did they fail to report a $5 tip? Did they forget to separate their garbage? Or dare to fix a clogged toilet without a permit? Americans were so proud of their freedom, they didn’t notice how fast they were losing it.

They didn’t notice (how could they?) the huge growth in secret organisations around Washington. They could scarcely remember going through an airport without standing in ‘security’ lines with their belts and shoes in their hands. They had to assume (what else could they do?) that public officials really were working to make their lives safer and more prosperous.

But, as more and more things could get you into trouble (more than anyone could possibly keep track of), it became more and more important to keep one’s affairs private.

Likewise, the controllers found it ever more convenient to tap phones and record private email conversations. Who knows when you might say something they could use against you!

Lies Are More Valuable Than Truth

Is the kind of ‘big data’ the feds are gathering useful? Our friend Nassim Taleb tells us that it is probably less accurate…or more prone to misconstruction…than the feds believe:

We’re more fooled by noise than ever before, and it’s because of a nasty phenomenon called "big data." With big data, researchers have brought cherry-picking to an industrial level.

Modernity provides too many variables, but too little data per variable. So the spurious relationships grow much, much faster than real information. In other words: Big data may mean more information, but it also means more false information.

But this is just great for the feds. They know perfectly well that the fight against terror is a pretext. They are zombies. The real goal of zombies is to increase their power and wealth at someone else’s expense. And for that, false information is better than the real thing.

False information can show anything you want it to show – even that a 93-year-old great grandmother is a threat to the nation.

Lies are more valuable, to them, than the truth.

Edward Snowden came out and revealed the extent to which the feds – under the guise of protecting us from terrorism – are keeping track of everyone and everyone’s business.

This was deeply disturbing to thoughtful people…if there still were any who feared the rise of an all-knowing, all-powerful Big Brother state from which no secrets are kept and from which no desires are hidden.

And it was disturbing too to the Big Brothers. They insist on knowing everything about everybody else’s business. But they made it a crime to reveal what they were up to!

In short, nobody likes a snitch…and a snoop especially dislikes a snitch.

Snowden was paid to snoop, not to snitch. He was paid to break the law and lie about it. And now he may have to face the law and pay the price for telling the truth.

Bill Bonner
For The Daily Reckoning Australia

From the Archives…

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China’s Economic Rebalancing and the Impact on the Australian Economy
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Bernanke Fumbles, the Market Tumbles, The Daily Reckoning Grumbles
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Bill Bonner

Bill Bonner

Best-selling investment author Bill Bonner is the founder and president of Agora Publishing, one of the world's most successful consumer newsletter companies. Owner of both Fleet Street Publications and MoneyWeek magazine in the UK, he is also author of the free daily e-mail The Daily Reckoning.
Bill Bonner

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