On This “Need” Business

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Collectivists often say there is a “need” for something – and that coercion (i.e., government) must provide it.

As in the “need” for  . . . insert here.

What’s interesting about this, beyond the often unnoticed fact that collectivism is really a kind of deformed individualism in that every “collective” is necessarily run by individuals (Stalin, for instance) who coerce the collective, is what’s admitted to by collectivists – without irony or understanding. That being if there is, in fact, a need for something, there is incentive (money to be made, profit) to provide it, arising from from the willingness of those who feel the need for that something to pay for it.

Put another way: If there is no incentive to provide it – because people aren’t willing to pay for it – it is persuasive evidence people aren’t especially interested in it.

In other words, people – as individuals – don’t really need it.

What coercive collectivists really mean is that they, the collectivists, want whatever it is.

Often it is a thing people have demonstrated they don’t want, established by their unwillingness to pay for it when they had the choice not to. Air bags are an excellent case-in-point that helps make the point.

These were brought to market decades before they were mandated. GM and Chrysler both offered them in a number of models back in the early 1970s. They offered them to see whether people wanted to buy them. Tat is to say, felt the need for them. If they did, then they would continue to offer them and almost certainly would have expanded the offering to more models, because there was money to be earned by offering them.

This is how the market works.

But very few people felt the need was worth the cost and so they didn’t pay it – because they didn’t have to.

When air bags were withdrawn on account of lack of demand, collectivists did what collectivists do when people – individuals – do not see a “need” and decline to pay for it.

They created artificial “demand” for air bags by requiring all people to pay for them, the cost folded into the price of the car – along with the air bags they had made clear the did not want. Not enough of them, that is, to justify the car companies continuing to freely offer them, for they would lose money in that event.

But the car companies – who had originally opposed the mandates – discovered they could make a lot of money by forcing all of their customers to pay more for air bag-equipped cars, which they had to (if they wanted a new car) because there was no longer an alternative; i.e., you were no longer free to buy a car without air bags and thereby avoid spending the money for a feature you felt no need for.

That is how government works.

Everything about it is built upon the assumption that it – i.e., those individuals who are the government – know best about your “needs” and are more than willing to make sure you pay for them.

Which is precisely why there’s no check on them, as there was when the market was allowed to sort need from want.

Most people do need a car and are very willing – eager, even – to freely pay for one. It was for that reason never necessary to mandate the Model T or the Model A that replaced it. But it was – it still is – necessary to mandate the Model 3 and its ilk. Because absent that, not enough people want one of the latter to make it worth offering them, freely. Even fewer probably would want one if they had to pay for it. That is, for all of – sans the tax kickbacks and subsidies, at a price that reflects what an EV actually costs to make plus a profit sufficient to justify its manufacture in a free market.

That is why it is necessary for those who run the collective to insist that everyone “needs” an EV and to  subsidize EVs – in addition to mandating them. If the mandates and subsidies were withdrawn tomorrow, how long would it be before there were almost no EVs – excepting the handful made for those willing to pay the full price for one?

Meanwhile, needs – real ones – are actively suppressed by the same collectivists who insist on the “need” to force people who don’t want to pay for what they don’t need, which would be obvious if they were free to not pay for it.

What needs?

How about the need for cars that can go almost 700 miles on a tank that can be refueled in about five minutes that cost less than $22,000? Hundreds of thousands of people expressed the need for such cars by willing buying them, when VW was free to offer them. But the government decided people did not need affordable, very long-legged diesel-powered cars and so outregulated (as opposed to outlawed) them. This latter is perhaps the most clever thing government has created – far more so than the oily doctrine of implied consent.

When it wants to thwart a need, it merely imposes a regulation to stymie its fulfillment. Pure genius! It does not say you may not have – or do – “x.” Instead, it says you may, provided “X” complies with “Y” And “Z,” which are either to difficult or too expensive (often both) to comply with.

Voila! The need is eliminated by making it appear no one is interested.

This is why it appears everyone is interested in owning an air bag-equipped car. A car with six of them, at least. Plus all of the other things the  collectivists says you need and make sure you’re going to pay for, too.

. . .

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  1. “Panic, Meltdowns, People Crying…”

    Forget SVB, Credit Suisse is the real thing – a SIFI that could bring it all down – and that is perhaps why the world his pet rabbit decided to buy some counterparty risk protection on the Swiss bank…

    Credit Suisse has been a known issue for years, however, today’s rather public refusal by the Saudis to throw any more money at the Swiss bank, could have been the straw on this camel’s back, sending the stock to new record lows…

    European bank stocks crashed 7% today, down 15% in the last week, erasing all the gains YTD..

    And that derisking spread around the world, dragging US stocks and bond yields down, dollar and gold higher…

    The S&P 500 briefly went negative year-to-date


  2. Silicon Valley Bank Crisis: The Liquidity Crunch We Predicted Has Now Begun
    Authored by Brandon Smith

    The bank’s shortfalls are not really the cause of the crisis, they are a symptom of a wider liquidity drought

    We are now in the middle of March and it appears that the first signs of liquidity crisis are bubbling to the surface with the insolvency of SVB and the shuttering of another institution in New York called Signature Bank.

    Everything is tied back to liquidity. With higher rates, banks are hard-pressed to borrow from the Fed and companies are hard-pressed to borrow from banks. This means companies that were hiding financial weakness and exposure to bad investments using easy credit no longer have that option. They won’t be able to artificially support operations that are not profitable, they will have to abandon stock buybacks that make their shares appear valuable and they will have to initiate mass layoffs in order to protect their bottom line.

    SVB is not quite Bear Stearns, but it is likely a canary in the coal mine, telling us what is about to happen on a wider scale. Many of their depositors were founded in venture capital fueled by easy credit, not to mention all the ESG related companies dependent on woke loans. That money is gone – It’s dead. Those businesses are quietly but quickly crumbling which also conjured a black hole for deposits within SVB. It’s a terribly destructive cycle. Surely, there are numerous other banks in the US in the same exact position.

    I believe this is just the beginning of a liquidity and credit crisis that will combine with overt inflation to produce perhaps the biggest economic crash America has ever seen. SVB’s failure may not be THE initiator, only one among many. I suspect that in this scenario larger US banks may avoid the kind of credit crash that we saw with Bear Stearns and Lehman Brothers in 2008. But, contagion could still strike multiple mid-sized banks and the effects could be similar in a short period of time.

    With all the news flooding the wire on SVB it’s easy to forget that all of this boils down to a single vital issue: The Fed’s stimulus measures created an economy utterly addicted to easy and cheap liquidity. Now, they have taken that easy money away

    Unlike in 2008, the Fed has created a situation in which there is no escape. If they do pivot and return to systemic bailouts, stagflation will skyrocket even more. If they don’t use QE, then banks crash, companies crash and even bonds become untenable, which puts the world reserve status of the Dollar under threat. What does that lead to? More stagflation. In either case, rapidly rising prices on most necessities will be the consequence.

    My gut tells me that they will rely on contained interventions but will not reverse rate hikes as many analysts seem to expect.

    The Fed will goose markets up at times using jawboning and false hopes of a return to aggressive QE or near-zero rates, but ultimately the trend of credit markets and stocks will be steady and downward.


  3. The banking system has entered a new crisis following the run on Silicon Valley Bank last week…..transitioning to CBDC….

    Video: Bank Crisis Q&A as “They replaced default with debasement again”

    The BTFP – or as we call it, the Buy The F……..g Pivot –
    is basically another bank bailout facility ………..gives banks full credit for unrealized losses on their Held to Maturity Books, losses which as we showed last week amount to nearly a quarter trillion dollars at just the big 4 banks.

    This is just the beginning; contagion inside and outside of the banking sector is about to get worse.
    But this specific crisis will be addressed and replaced by a slower moving longer lasting one
    The recent disasters were not the result of concentrated and levered loans but rather the result of a bank run.
    Bad banking practices.- lack of diverse depositors, unhedged rate risk
    Banks suffering a bank run can’t and won’t make everyone whole—just the first money out
    So the FDIC stepped in
    no bailouts of bad banks.. just depositors.. but bailout/loans to the next round

    real economy manifestations- big knock-on layoff effects coming
    regional banks consolidate
    Bonds and gold are the only game in town now.
    Houses will go up in value because mortgages will drop again.. but no home equity loans
    Gold and silver will be bought relentlessly and the inverse correlation with stocks will assert itself like you want it to
    Gold bonds are coming

    Rate hikes are over: more rate hikes will make the problems spread to any bank on the edge
    A Pivot may come.. but I don’t know- but that really doesn’t matter now
    As long as oil stays down, the Fed may lower rates.. but if it pops that could prevent them form, doing so quickly

    What about the Confidence issue?
    Confidence is gone… when you destroy what a lifetime has created like this.. you sensitize people to the risks. This is why you own Gold, Silver and Bitcoin.

    Bottom Line:
    They may paper over the crisis again, but a nerve has been struck. Fast on the heels of the transitory inflation fraud we have a classic bank-run. The banking system is anything but safe or credible now. The only bank left is the Fed.. No one will loan money to each other anymore.. its the Fed or nothing. They will continue to centralize until nobody believes. And the masses, even the younger left-leaning ones are starting to disbelieve.

    This manipulated banking crisis is resulting in consolidation of deposits and assets to the larger systemically important banks (SIBs) that are too big to fail (TBTF) for the purpose of corralling peoples assets as prelude to implementation of the central bank digital currency (CBDC). Peoples reactions of withdrawing funds from smaller banks and depositing their money in larger banks are playing right into their hands. Fools people are. So easily manipulated. Sad!


    • Hi Anon,

      I think these bank runs will blow CBDC out of the water.

      Anyone with a bit of sense is seeing what is occurring, shaking their head, and pulling their money out. Does this make any American trust a completely digital system? Who do we call when the electronic currency in our accounts has disappeared?
      What is happening now is the universe stepping in and showing us that technology has its faults and an all digital society is not ready for prime time.

      Do I like seeing banks default and the economy tinker? No, it is frightening what is happening, but it is a wake up call. Just as the determent on COVID restrictions, lockdowns, and gain of function research is slowly trickling out to the general public the rose colored glasses are darkening a bit.

      I don’t like it when bad things happen to good people, but if this is what is needed to shake the cobwebs from between our ears then it must be done.

  4. Fed Panics: Signature Bank Closed By Regulators; Fed, TSY, FDIC Announce Another Banking System Bailout

    the Fed waited just 15 minutes after futures opened for trading to announce the new bailout, alongside even more shocking news: the Treasury announced that New York State regulators are shuttering Signature Bank – a major New York bank –

    just 4 days ago Powell was telling Congress he could hike 50bps and here we are now using taxpayer funds to bail out banks that have collapsed because they couldn’t even handle 4.75% and somehow the Fed has no idea!

    we said earlier on twitter, “this is a regulatory failure of historic proportions by both the Fed and Treasury. Instead of preventing billions in losses, the Fed was worrying about board diversity and Yellen was flying to Ukraine. Everyone should be sacked immediately.”


    • Hi Anon,

      Do you think we’ll see any “Occupy Wall Street” types protesting this latest bailout from the government, or did that group only exist in 2011/ 2012? Or maybe THEY became those THEY protested against early in the 2010s.

    • Do you think we’ll see any “Occupy Wall Street” types protesting this latest bailout from the government, or did that group only exist in 2011/ 2012? Or maybe THEY became those THEY protested against early in the 2010s.

    • ‘this is a regulatory failure of historic proportions by both the Fed and Treasury’ — ZH, quoted by anon1

      The yield on safe-haven 2-year Treasuries has dropped by 1 percent in three days — largest 3-day drop since the 1987 stock crash.

      Query: if Treasuries are behaving as they did in the Crash of 1987, what are stocks gonna do? (Wall Streeters claim that bond traders are the ‘smart guys in the room.’)

      Meanwhile, the moldy wax museum figure of “Joe Biden” has been wheeled out to claim that the banks are safe.

      That’s usually their last gambit before pulling the plug.

      When the music’s over
      Turn out the lights

      — The Doors, When the Music’s Over

    • First Republic Bank’s stock crashed in premarket trading in New York following a statement issued on Sunday night that sought to ease investor worries about its liquidity situation in the wake of the failures of Silicon Valley Bank and Signature Bank.

      Shares of the regional bank are down 60% in the premarket

      investors starting to question the credentials of any lender that may be remotely in the same category of Silicon Valley Bank,

      Despite the emergency lending program announced by the Fed and Treasury on Sunday to increase the availability of funds to meet bank withdrawals and prevent runs on other banks, fears have not been alleviated as other regional banks continue to experience significant pressure.

      And why would that be? Well, as we outlined, “banks which are sitting on some $620 billion in unrealized losses on all securities (both Available for Sale and Held to Maturity) at the end of last year, according to the Federal Deposit Insurance Corp.”

      If the Fed’s goal was to shore up wavering confidence in the banking system by announcing the alphabet soup of bailout facilities, the BTFP lending program — well, it hasn’t worked yet this morning:

      PacWest Bancorp’s stock tumbled 27%
      Western Alliance Bancorp’s shares slid 17%
      Charles Schwab’s shares lost 6.7%
      Bank of America’s stock fell 4.4%
      Citizens Financial Group’s stock declined 2.7%
      Wells Fargo’s stock slid 2.3%


      • from ZH comments

        Don’t worry. If your small bank is in the Ukraine it will be bailed out.

        Anybody who thinks this is an accident is an effing idiot. Controlled demo…..to bring in CBDC…..digital currency?

        Bank deposits will be centralized with CBDC. Banks are somewhat obsolete soon. They will be regulated lending operations as an agent for the government. Bank branches are toast.

        when your global citizen account is run from basel switzerland, and your digital account is on your phone, and all transactions go through on your personal screen, why would local banks be needed at all. the GR is a reset to the new monetary system.

        this whole thing is being driven by a kind of religious zeal. there are people who get excited by destruction it seems.

        Looks like the market isn’t happy with the “bailout” at all. If nothing else comes my guess is that all the big banks will tank and the situation will get out of control and the Treasury would be out of ammo to deal with it. The only measure which could then work would be the Fed taking the funding rate down where it was an year ago. Of course, this would mean that inflation will ramp up and this is how the bailout will be paid for. It is a crazy situation and many still don’t comprehend how quickly the fire can spread into the too big to fail institutions. And last but not least: take a look at big European banks. It is a true bloodbath there.

        Weimar 2.0 Printers are fueled with plenty of ink and ready to go

        The folks standing in line at first republic are not the households. Those standing line are small mom and pop businesses who have their working capital and payroll parked there. If they have to wait two weeks to get their money, their business is toast and their employees in on the unemployment line.

        Small and medium banks to be taken out so the SIBs can implement the digital currencies on behalf of the Fed. This is the end game plan to enslave you and it has been purposely orchestrated. Now take your enslavement, and poverty, and be happy! And by the way all the cash you withdrew from the banks is now worthless. Uncle Joe.

        Trading halted for multiple U.S. bank stocks at open. First Republic Bank down 66% Western Alliance Bancorp down 75% PacWest Bancorp down 46% Zions Bancorp down 44% Bank of Hawaii down 42% Customers Bancorp down 54% East West Bancorp down 32% Comerica down 39% https://twitter.com/ItsAScraperG/status/1635277451260731394

        Bailouts for their rich friends in banking…..Nothing for East Palestine.

        Consolidate all banking into the big five or big seven, and then bam! CBDCs….Only problem is that credit unions exist…..Well, that and 2A.

    • Futures Tumble, Yields Crater, Banks Plunge As Market Realizes Latest Bailout Is Insufficient

      “ETA until market realizes $25BN is nowhere near enough and futs react appropriately?”….
      Turns out the answer was about 12 hours,

      big international banks are also getting crushed with Italian bank giant UniCredit shares halted, while Credit Suisse shares are not only 10% lower to new all time lows, but its Credit Default Swaps just hit a record wide.

      2Y yields have plummeted an insane 50bps…… suffering the biggest 2-day drop since Black Monday in October 1987!

      Gold miners could be active on Monday as gold kept rising, with investors flocking to havens following the collapse of SVB. Watch shares including Barrick (GOLD US), Agnico Eagle (AEM US), Kinross (KGC US)….the yellow metal up to USD 1893/oz at best.


      from ZH comments

      * bankers are complete f-uck-ups, but the government, using taxpayer dollars, keeps bailing out these pricks, regardless of what the law says.
      The playbook: Bankers funnel a large percentage of the money back to the politicians for all the money the bankers get…..It is a big club, and you are not in it.

      I wonder if the bank regulators were all tele”working”

      CBDC Fedbux announcement in June. 1:1 with the dollar, all deposits will be backstopped by The Fed….Global takeover complete.

      This SVB bank collapse seemingly came out of nowhere, they were paying out employee bonuses 3 days before the shutdown, insiders were selling shares over the last 2 weeks.

      Does anyone else wonder why more and more countries are running away from $$ and joining the BRICS?

      The national debt serves to prop up wall st looting. The market was rigged anyway, its now extra panic rigged to force the last drop of debt blood from the government financial stone.

  5. Am I the only one sick of billionaires telling us we constantly need to bail them (and everyone else out)? In 24 hours, we have heard from Bill Ackman (an absolute weasel), Mark Cuban, and now Mitt Romney. Bank accounts are insured through the FDIC up to $250K. We all know the rules. Anything over and above that is uninsured and at risk.


    Do I feel bad for the startups, established small businesses, senior citizens, and the day to day working people who got caught up in this travesty? Absolutely. I feel the same way for the mom and dad with three kids to raise who gets diagnosed with cancer and a boatload of medical bills. The American taxpayer cannot save the world. The pie isn’t large enough to cut 8 billion different ways. There is risk in everything we do, and we have to have preventive measures in place to protect us and our loved ones. Is life unfair? Yep. It deals some very nasty cards at times, but we cannot constantly reshuffle the deck waiting for everyone to get four aces.

    It is time to put our big boy and girl underpants on. SVB and Silvergate will not be the last. Hopefully, this forces other banks to be more involved on what their investments are doing. For us, bank depositors, we need to pay attention and make common sense decisions that we do not end up in the same predicament.

    • Hi RG,

      Preach it!

      Th worst part about people like Ackman and Romney is they talk of “bailing out” these failed institutions with other people’s money. If they had any shame, they’d be too embarrassed to suggest such a thing publicly.

    • “Looks like SVB held $120b in securities but basically didn’t hedge their interest rate exposure. That’s totally crazy. No wonder they failed.”

      they simply didn’t hedge? why not? seems like Risk Mgmt 101…..

      it was the previous Chief Risk Officer Laura Izurieta.

      Then it was the failure of the CEO to appoint a new CRO for 8 months.

      “Silicon Valley Bank had no official chief risk officer for 8 months while the VC market was spiraling”

      Laura Izurieta stepped down from her role as CRO of SVB Financial Group in April 2022 and moved to a non-executive role at that time. She formally departed the company in October 2022. Interesting to note that Ms. Izurieta sold $4 million worth of shares in December 2021.

      Why did Ms. Izurieta step down from her $1.6m salary position as CRO in April 2022?
      Why did she sell the majority of her shares in late 2021 before stepping down?
      Why did the company go without a CRO for most of 2022?
      Did she or did she not alert the CEO or Board to the risks of not hedging their interest rate exposure? This would be her duty as CRO

    • Get popcorn to watch the markets open monday morning….and watch the futures market tonight….great entertainment…..

      and puts can be profitable…..Wednesday Mar 8th a trader bought $7500 worth of SIVB Mar 200 puts for $0.25 …the position on Thursday was worth $2.1 million

    • Hi RG

      @VivekGRamaswamy says….

      There’s something very ugly happening right now: VCs & startup execs who stand to lose their deposits at SVB are going *out of their way* to push a narrative that there’ll be a bank run on Monday if SVB depositors aren’t bailed out by the government.

      They’re yelling fire in the proverbial theater, hoping that everyone runs and knocks down a candle on their way out – actually starting a fire that may not otherwise have existed. They’re skipping the fact that SVB’s situation is unique: a staggering *89%* of its deposits were uninsured (way higher than normal banks).

      And they didn’t hedge interest rate risk which is a cardinal sin given the portfolio they held. Their real “hedge” was to spend $$ to become popular in the right influential circles of their own depositors, pledging $5 billion in 2022 to “sustainable finance and carbon neutral operations to support a healthier planet.”

      Maybe that hedge will pay off for their depositors if the government bails them out, but that should rightly trigger an “Occupy Silicon Valley” of historic proportions.

      • ‘VCs & startup execs … are going *out of their way* to push a narrative that there’ll be a bank run on Monday if SVB depositors aren’t bailed out by the government.’ — anon1

        Constitutionally, this cannot done without an appropriation by Clowngress — who spend weekends on their party boats, or bloviating for the TeeVee cameras … or self-pleasuring with a magnifying glass and tweezers.

        But one should not put it past “Joe Biden” to attempt it with an executive order, in the same manner that he issued a ukase proclaiming $400 billion in student loan relief — a gross usurpation which was argued before the Supreme Court a couple of weeks ago.

        Stay tuned for the next jaw-dropping episode of As the Banks Burn!

        p.s. Shit’s gittin’ real …

        • Hi Jim,

          It seems to me that the only way “Joe Biden” would bailout SVB through an executive order was if he thought HE would benefit in some way, be it money going back to HIM and/ or his family or some advantage for his delusional campaign for a 2nd term as “President”.

          • I concur; doubt that FJB has any skin in the bankster game. On the other hand, the Federal Reserve already has its SPV (Special Purpose Vehicle) model from March 2020, which only required the Treasury to put up a 10 percent equity tranche.

            So the special pleaders will be leaning on the thin reed of ‘Old Yellen’ this weekend.

        • if the government bails them out, but that should rightly trigger an “Occupy Silicon Valley” of historic proportions.

          bailout is now done deal….lol

    • ‘Bank accounts are insured through the FDIC up to $250K. We all know the rules.’ — RG

      This forces corporate treasurers, who routinely manage cash balances in the millions and up, to look to the credit quality of their banks [plural]. SVB until Thursday sported an investment-grade ‘A’ rating, so that wouldn’t have helped. Credit rating agencies, like Clowngress, are always a day late and a dollar short.

      But in a list of uninsured SVB depositors reported by ZeroHedge on Friday evening, many had issued statements that only 10 percent or less of their cash balances were held at SVB, and therefore not material. Ultimately, they can expect some recovery, perhaps as much as 80 percent or more, as the FDIC liquidates SVB’s assets and issues dividends to uninsured depositors to make them partially whole.

      These prudent large depositors distributed their assets among multiple banks — just as prudent individuals do in buying $250,000 [maximum] insured CDs from multiple banks, or holding $500,000 [SIPC limit] investment accounts at multiple brokers.

      What statists are arguing for is a 2008-style indiscriminate bailout of ALL large financial institutions, to ‘prevent another Lehman Brothers aftermath.’ The public, including me, bitterly opposed the ‘kitchen sink bailout’ by a lopsided majority. It took several tries to armtwist it through the Giftswerge [German: poison dwarves] of Clowngress.

      These sequential bailouts just serve to kick the can and create ever-larger zombie companies, which fall all the harder when nature ultimately prevails and sweeps them away.

      Meanwhile, though I doubt it was all that material to SVB’s failure, SVB’s Wokester follies are detailed by Tim Knight of Slope of Hope at ZH. This theme was first presciently broached by Raider Girl on Friday night. Read it and weep … with laughter:


      Just a bunch of diverse Californicators, acting out their progressive instincts hasta la muerte, to our profound awe and respect. /sarc

  6. The Biden Thing says they “need” to spend TRILLIONS of dollars MORE and pass MASSIVE new taxes accordingly. They claim, as so many politicians who’ve proposed massive taxes in the past, that only “The Wealthy” and “large corporations” will be affected. However, the same politicians who’ve proposed such taxes invariably exempt themselves and their corporate donors from such taxes, leaving the masses to paying those taxes indirectly. With Americans already struggling thanks in large part to idiotic GOVERNMENT POLICIES, MORE taxes would only add to our suffering. But the Biden Thing undoubtedly has an excuse ready for it. They’ll blame it on “Corporate greed”.

    • Hi John,

      The Biden Plan, like every other Democrat “tax the rich” plan will never see the light of day. That is why they always introduce the plans after the other side have taken the House or Senate. Have we noticed they never seem to announce these when the have the Presidency, the House, and the Senate?

      The tax code is setup to reward risk takers, whether that is business startups, investors, parasitic hedge fund managers, etc. The amount of millionaires and billionaires would throw an absolute fit (and the campaign contributions would stop) if the legislative and executive branches touched the capital gains tax.

      Does anyone think that Gates, Dimon, Buffett, etc. are going to pay more? Not a chance. They are fine being taxed at 20% LT capital gains with their added on 3.8% NIIT but forget the capital gains tax ever seeing more than 25%. There is too much money to be made and too many Congressional representatives to pay off to make sure it doesn’t happen.

      They have no problem though increasing the marginal tax rates on wage employees and double taxing Social Security…because, well that is for the little people.

      • Hi RG,

        As if anyone needed PROOF that the Democrat Party is NOT the party of the “Working class”, but rather the party of the UBER WEALTHY? I saw a screen capture of a tweet by California Congress critter Eric Swalwell suggesting a government bailout of depositors who had more than $250,000 deposited in Silicon Valley Bank.

  7. It all ends when Dollah Dollah Bill Yo is crumpled in the corner of the ring, bleeding, and gasping for breath. The start of another “Good financial crisis” will not be let go to waste. Hopefully TPTB go full printer goes brrrrrrrr for the stick save. Mr. Dollah is about to get a margin call. Can our incompetent ‘leadership’ keep their eye on the ball, or will Dollah Bills ass whopping be pushed aside, so as to focus on how diverse and inclusive he is?

    Last time we had stress like this in the system we ended up with the plague. Hopefully CBDC wont be the final solution to a dying monetary system. At least not yet. Selfish side of me wants more time to rebalance. The vengeful side of me doesn’t give a rip, and wants justice that a full blown panic/collapse could usher in.

    If they try the CBDC now it would probably fail. Still seems a little wonky and not ready for prime time. There is a need to expand and release the bubble a few more times. Get everyone off the sidelines, and set up with 5g receptor enabled.

    I’m like one of the last Mohicans. Not sure how I get to be a part of the brave new world, Since I’m still unvexxed and don’t own a smart phone.

  8. When one attempts to determine the “needs” of another, that is a value judgement that no one is capable or qualified to make.

    Those who try should be cast out from our midst.

    Bring back riding a rail out of town 2023

  9. The ideal rolling vehicle that is going to be safe on the road is a sphere with a compartment for passengers in the hollowed out center. You will be the gyroscope, the moving sphere will be powered by a nuclear battery that will just move when you power on the super machine.

    The sphere will be able to fly, so the need for roads will be relegated to trucks hauling freight.

    Wheels will be obsolete, a ten-foot rolling super pinball will take you there.

    You’ll bounce off of other super pinballs if there is an accident, nobody will ever get killed in an auto accident ever again. You’ll just go into orbit in another direction. Hope you get there soon enough.

    AI will correct the trajectory. It’ll be organized chaos at every altitude no matter where you are.

    We don’t need no more stinkin’ iron skunks. Four wheels bad, no wheels good.

    You’ll still be rolling with the flow.

    It’s all good.

  10. How about this: I need the government to leave me (and my money, and my property) alone.

    “To each according to his needs,” amirite?

  11. ‘This is how the market works.’ — eric

    Heh heh — he said ‘market’!

    It’s mind-bending to contemplate that before 1913, when the US had no central bank, financial crises inevitably would elicit a spike in short-term interest rates. When uncertainty rises, lenders naturally demand more compensation for the risk of losing their principal.

    Indeed, the interest yield on short-term government securities (Treasury bills, in the US) is the single most important price in any market economy. Yet since 1913, this key reference price is administered by a committee of central planners, who set the SOFR (Secured Overnight Financing Rate) at their discretion.

    Incredibly, when crises strike, the planners aggressively LOWER short-term rates — whereas the market certainly would raise them, as it did throughout the 19th century when banksters and Wall Street got themselves into a jam.

    It’s the equivalent of making water run uphill — a bizarre phenomenon which would never happen naturally. Overruling nature with the most important price in the economy has severe unintended consequences.

    Today, the financial markets are feeling their first little frisson of fear, as Silicon Valley Bank teeters on the brink. True to form, the interest yield on 2-year Treasury notes — a quasi-market price, reflecting investors’ forecasts of where central planners will set the SOFR between now and March 2025 — is plunging like a mofo, down a jaw-dropping 47 basis points (0.47%) since Wednesday. Chart:


    Yes, there’s a whiff of panic in the air. Important people could get hurt. Silicon Valley must be saved! So the statists are conferring urgently to develop a non-market, government-imposed solution. Stay tuned for the next exciting episode of As the Banks Burn!

    • Excellent post, Jim. When the market is in control, interest rates continually correct themselves, sending the proper signals to savers, investors, and lenders.

    • And it’s gone …

      Update (1135ET): Game over for Silicon Valley bank.


      Question now is, what happens to the $151 billion of UNINSURED deposits at SVB –> National Bank of Santa Clara — the 18th largest bank in the US, until its sudden, shocking demise?

      Losing $151 billion worth of checking account balances could ruin someone’s whole day. Who got stuck without a chair when the music stopped? Stay tuned for the next riveting episode of As the Banks Burn.

      • Game Over: FDIC Shutters Silicon Valley Bank, Appoints Receiver

        a historic collapse which in many ways was faster than Lehman, and which has seen SIVB stock plunge from $763 to 0 in 16 months.

        Perhaps more problematically, SVB’s bonds (1.8s of 2031) are collapsing..

        The fears of SVB’s collapse is contagiousl dragging down others including Schwab, Western Alliance, and First Republic…

        from zh comments

        Congrats. You’ve just bailed in the depositors for the first time in a US bank. Now every mom, pop and person with a mind is going to be heading down to their bank to pull their cash out because…banks are now untrustworthy just like they were in the 30s. Better off to buy a safe and keep that cash at home guarded by multiple attack dogs and AR15s then that nice friendly banker in the blue suit who smiles a lot.


        Better get your cash out of the bank people! this will get ugly

        Wells website today
        “If you see incorrect balances or missing transactions, this may be due to a technical issue and we apologize. Your accounts continue to be secure and we’re working quickly on a resolution.”……Surely just a coincidence

        I kind of shrugged off FTX because those clowns deserved to be fleeced quite frankly. This is an actual bank. Other actual public banks have lost 50% of their stock value today.

        This is just the beginning. Just wait until the treasury defaults on its debt. Get your metals while you still can, even crypto is better than nothing.

        Somebody posted the 3 hour FDIC bank contagion plan from 2 months ago (can’t find it now)
        The TL;DR 8 point synopsis was earily reminiscent of Event 201 planning.
        The plan is being implemented here and now starting with SVB

        The fiat system is falling apart. Paychecks to a $1M, bread to $2M…

        Wednesday Mar 8th a trader bought $7500 worth of SIVB Mar 200 puts for $0.25 …the position on Thursday was worth $2.1 million



          Deposit Insurance National Bank of Santa Clara [yes, really, that’s its name] will be much smaller than SIVB, after shedding the uninsured $150 billion of SVB’s $175 billion in deposits.

          Watch for knock-on failures among SVB’s uninsured depositors — a vast swath of start-up firms whose checking accounts just got zeroed out … though all is not lost:

          Uninsured depositors: “The FDIC will pay uninsured depositors an advance dividend within the next week. Uninsured depositors will receive a receivership certificate for the remaining amount of their uninsured funds. As the FDIC sells the assets of Silicon Valley Bank, future dividend payments may be made to uninsured depositors,” the FDIC said and provided a phone number for these folks to call. It looks like they will get at least a portion of their funds.


          Well, that’s a relief! I feel better now. /sarc

          • According to ZH, $42 billion — about a quarter of SVB’s deposits — was withdrawn on Thursday, leaving it insolvent.

            Under a fractional reserve system, any bank can be taken down in a day, with a coordinated withdrawal campaign.

            Unlike in the 1930s, bank runs now happen invisibly, electronically, and devastatingly fast. POOF … and it’s gone!

            And so are SVB’s shares, reduced from $268 to ZERO in under 48 hours. Oh, the diversity! 🙁

            • Hi Jim,

              It is starting to feel like the savings and loan crisis. Most people want to compare everything to the Great Recession, but this smells like 1986. Volcker upping interest rates from 9.5% to 12%. Powell upping interest rates from 0 to 4.25%. High inflation. Unsound real estate lending. Ahh, how history repeats itself.

            • a historic collapse which in many ways was faster than Lehman, and which has seen SIVB stock plunge from $763 to 0 in 16 months.

              • Hi Anon,

                Silvergate also failed yesterday. The concern is it will not end up with just these two. Yes, Silvergate was a bit riskier with their loans to crypto companies and SVB favored tech start-ups, but it wasn’t bad loans that brought these banks down.
                SVB has been around since 1983 so it made it through the S&L crash and the Great Recession. Silvergate has been around 20 years.

                Because I am a numbers geek, I reviewed the recent financial statements of a few local banks in my area (all publicly traded BTW). These regional/community banks are not looking great.

                With the PPP loans and stimulus payments from Uncle Sam banks were sitting on piles of cash. Since interest rates were stalled around 0 to 1% in 2020 and 2021 the only place to invest this “extra” money was in US Treasury bonds. People (and businesses) have since spent the stimulus money and because of higher inflation and interest rates are now tapping into their savings. Deposits are being depleted and the banks that once thought that the US Treasury bond was a safe bet are now realizing it wasn’t. To cash in the needed money the banks are taking losses on the bonds that they have to sell now at large loss. They are now issuing CDs and other investment opportunities at higher-than-normal rates to get money back in the door to cover the losses on the bonds. A lot of regional banks are going to get caught up in this and the Fed and Uncle Sam will not bail them out.

                I can’t even blame Uncle Joe for this, this is all Powell and Company. The Federal Reserve is destroying their own banking cartel. If they think they are going to be able to introduce a digital dollar after this debacle they are dreaming. People will be terrified to invest into anything that they cannot physically have control of.

                I won’t even dive into the number of bankruptcies that this will cause when uninsured funds have disappeared, and businesses cannot make payroll. It could be a brutal year for those that have not diversified or foolishly think Uncle Sam will bail them out.

                • Hi RG

                  KBE: Unrealized Losses Could Be A Ticking Time Bomb

                  The KBE ETF provides exposure to the banking sector. KBE’s returns are highly dependent on interest rates and economic growth. The Fed’s 2022 rate hikes have created hundreds of billions in unrealized losses in investment securities for FDIC-regulated banks.

                  While the unrealized losses were not an issue in 2022, that appears to be changing as weaker banks like SIVB are realizing their losses and raising capital in response to ‘higher for longer’ interest rates.

                  I worry this may start a run on the banks, as investors might start to question the worthiness of bank balance sheets and pressure them to raise capital and/or sell their AFS and HTM portfolios.


          • the banking bat germ equivalent….

            Somebody posted the 3 hour FDIC bank contagion plan from 2 months ago (can’t find it now)
            The TL;DR 8 point synopsis was earily reminiscent of Event 201 planning.
            The plan is being implemented here and now starting with SVB

          • Lulz from the SVB Website

            the Silicon Valley Bank website – –

            it is absolutely SLATHERED with virtue-signaling. Indeed, there’s not a white male to be found anywhere except for their actual senior leadership page, which is the kind of do-as-I-say-not-as-I-do hypocrisy rampant in modern American corporations, particularly banks.

            the organization declares itself to be all about proactive (now there’s a corporate-speak gem for you) guidance for the long run. The long run as in “your bank will not go into receivership on March 10, 2023.” I guess that didn’t work out as planned.

            It only takes a moment to run smack dab into the sea of the stock photographs of every gender, race, height, weight, and hairstyle imaginable as the soon-to-be-bankrupt corporation declared its commitment to living its values.

            What are they, you ask? Well, they spell them right out, and they include integrity, empathy, embracing diverse (of course) perspective, and – – my favorite – – “We take responsibility.” That’ll be put to the test soon, I imagine.

            look at this site, the more I wonder if these guys actually did any banking business. Every corner of the website is devoted to values, diversity, and inclusion. Yet again, we get to learn about how empathetic, responsible, and diverse they are, and how they speak and act with integrity. Really? So how come almost $200 billion just went up in smoke? Asking for a friend.

            Forbes (who featured such notables as Elizabeth Holmes and Samuel Bankman-Fried on its cover in past issues) declared SVB to be one of America’s Best Banks. Once again, Forbes absolutely nails it.

            You may not have your cash anymore, but with a little time on the SVB website, you can read about how responsible they have been with their Greenhouse Gas Emissions

            I’ll tell you one thing, though – – to the countless depositors and shareholders of the now-deceased Silicon Valley Bank, I doubt they give two shits about any of the above. What matters is that hundreds of billions of dollars in deposits and equity value that have been destroyed in front of their eyes, and it was all done by people who spent the past few years saying what they thought needed to be said in order to stay in the good graces of the public.

            The results were not diverse. They were singular. And that singularity was called Failure.


          • RG,
            “Cooler heads” have already reduced their bank accounts. If my account exceeds a certain total, I buy a real thing, or withdraw cash. All banks are a subsidiary and agent of the state, as I’m sure you know. The IRS can freeze your account with a phone call. Even if you have followed their “rules”. Not terribly long ago, I withdrew a substantial amount of cash, and was asked what I intended to use it for. I answered “I don’t trust banks. They are an agent of the state”. Blank stares, and then a stack of C-notes.

            • Hi John,

              I won’t lie…I did. I paid every freaking bill I could think of over the weekend…all were debited this morning. In the meantime, I moved money around to our various businesses and took out a couple thousand through the ATM. I am not worried about the $250K threshold (I am not close), but I don’t like the potential of not being able to access my money. My plan is to stay at least a month ahead in my bills so if something drastic and unfortunate happens I am not panicking and have bought myself some time.

      • KBE: Unrealized Losses Could Be A Ticking Time Bomb

        The KBE ETF provides exposure to the banking sector. KBE’s returns are highly dependent on interest rates and economic growth. The Fed’s 2022 rate hikes have created hundreds of billions in unrealized losses in investment securities for FDIC-regulated banks.

        While the unrealized losses were not an issue in 2022, that appears to be changing as weaker banks like SIVB are realizing their losses and raising capital in response to ‘higher for longer’ interest rates.

        I worry this may start a run on the banks, as investors might start to question the worthiness of bank balance sheets and pressure them to raise capital and/or sell their AFS and HTM portfolios.


    • People forget that most 19th century financial crises only lasted a few months. The market quickly corrected itself, even without modern communication tech etc. Some would be largely over in two or three MONTHS, and few would last more than a year. Some were regional in nature as well, affecting far fewer people.

      Why were they pretty short compared with the 20th century and today’s crises that now last years, or in the case of the Great Depression and the Obama recession (which was in fact a depression as well) a decade or more?

      The 19th century was mostly decentralized and not regulated by corrupt people in the government who think they know better than the market.

      Andrew Jackson is often seen as a kook by many historians, but in the 1830’s he saved the country from the second attempt at something like the FED, the Second Bank of the US. It was also like the FED, a private bank with a 20 year charter to do basically what the FED now does. The first “national” bank (created by 1791 by Hamilton) had failed after losing by a single vote, it’s charter in 1811.

      Both of those banks were hamstrung by charters that had to be renewed. That’s why the FED hasn’t been dislodged, because it charter doesn’t have an end date. They made sure that time.

      • ‘Why were [19th century financial crises] pretty short compared with the 20th century?’ — richb

        Turns out, when Big Gov bails out and subsidizes zombie companies for decades, imbalances build to cosmic levels.

        Then when the facade of false prosperity finally cracks, it threatens an extinction-level event, like the giant meteor that genocided the dinosaurs.

        *nervously scans the sky for fiery trails*

  12. EV fascism in the reddest of red states.


    From link:

    The plan would borrow nothing, instead paying the entire amount through surpluses the state has managed to save over the past few years as the COVID-19 pandemic didn’t hurt the amount of tax revenue South Carolina collects as much as feared.


    Paid for with saved up renamed flu scam money. Some real stewards of the public weal there. /s

    • From the good doctor’s linked article:

      ‘Scout Motors and South Carolina officials announced plans Monday to start building new Scout vehicles, powered this time by electricity, for the first time since 1980. They hope to hire 4,000 workers for its $2 billion plant.

      ‘They are reviving the name and style of the original Scout SUVs made by International Harvester in the 1970s and 1980s.’

      Boomer nostalgia, comrades, financed by the dead hand of the welfare state: don’t it just kill ya?

      Booze and ladies, keep me right
      As long as we can make it to the show tonight

      We’re comin’ to your town
      We’ll help you party it down
      We’re an American band

      — Grand Funk Railroad, We’re An American Band

    • South Carolina is a fascist state, not a “red” state. The voters of SC are believed to have put in Gov McMaster, Tim Scott, and the ass diddler Lindsey Graham.

      • Yeah, all repubes. I agree, though, it is a fascist state. I’ll never forget how, during the ‘12 primary in SC, when Ron Paul mentioned the “golden rule” vis a vis US military adventurism abroad, the crowd booed.

  13. Yup. It’s all rent-seeking grift.

    The latest one going on without most noticing is the stupid bird flu crap. Big pharma knows that the gig is up with “covid 19,” so it creates the “bird flu” narrative and causes thousands of flocks to be culled, thereby raising chicken and egg prices to levels never seen before. Consumers freak out and seek answers. The big pharma bought-and-paid-for media offer a convenient cause: the fictitious “bird-flu.” 18 months later, the end game has now been put into play: MASS POULTRY VACCINATIONS (https://www.zerohedge.com/commodities/biden-admin-evaluating-mass-poultry-vaccination-amid-persistent-bird-flu-outbreak).

    Same fucking playbook as the fake covid 19, but without all of the pushback from the liberty-minded, concerned parents, pregnant women, constitutions, etc. Evil fucking brilliance!

    • RE: the chicken culling.

      I have read how ‘they’ supposedly draw a circle on a map around where their fakearoo PCR test finds avian flu in a chicken flock & then go around culling or quarantining the flocks in that circle.

      I have not been able to find any confirmation of this or how exactly the process works.
      Do ‘they’ just draw up a blank search warrant & go house to house, er I mean, go farm to farm, or do it similar to how ‘they’ did in Boston to find the Marathon patsy kids?

      Or, do ‘they’ just knock on doors & ask nicely to do as they please & people let them?

      Do you know?

      • My neighbors had their own flock of chickens. Just before the rise in egg prices, the .gov came around saying that if they couldn’t keep their flock indoors to protect from a flu, and any other bird such as a parrot indoors, they needed to cull their flock. They dutifully obeyed. Egg prices went up shortly after.

    • And poultry and eggs are by far the cheapest source of animal fat and protein. Thus denying even that to those of lesser means. Pigs next? Swine flu? Many already can’t afford beef, so cows are probably safe. Especially since that’s what the self proclaimed “elite” prefer. While we eat bug burgers.

      • Part of the FMC 15 min city agenda is controlling the food supply….eggs are one of the cheapest forms of protein and anyone can have their own supply/source…eggs are also very cheap…cheaper then in 1909….they want you eating insects….so cull the chickens….

        so fake pcr used again….this time to cull chickens….pcr test is their favorite weapon last 3 years…

        gas price 1909 $0.15 gallon = $4.78 today….2023 price $4.00 1909 = 36 min wages 2023 = 20 min wages
        beef price 1909 $0.15 lb = $4.60 today…..2023 price $7.90 1909 = 35 min wages 2023 = 35 min wages
        eggs price 1909 $0.15 doz = $4.93 today….2023 price $4.00 1909 = 35 min wages 2023 = 19 min wages
        bread price 1909 $0.05 loaf = $1.64 today….2023 price $5.00 1909 = 12 min wages 2023 = 24 min wages

      • there is something in the egg yoke that is an anti dote to their spike proteins…screwing with their plans….lol…..eat eggs…..

    • Hi Mister Liberty,
      It seems like the PTB are really flailing now, desperately throwing stuff out to see what sticks. Whatever happened to the boogeymen of Zika, Monkeypox, or RSV? Gotta keep the serfs looking over their shoulder for the next scamdemic.

      • moved to banks now…new contagion….

        from zh…..Somebody posted the 3 hour FDIC bank contagion plan from 2 months ago (can’t find it now)
        The TL;DR 8 point synopsis was earily reminiscent of Event 201 planning.
        The plan is being implemented here and now starting with SVB

        Event 201 planning….was a demonstration/play act/demo of the bat germ bs

        got cash in the bank?….lol

  14. We saw something similar with this attempt to FORCE people to take an experimental mRNA injection. Government labeled it a NEED for everyone to get jabbed. However, there was NO science whatsoever behind this obsessive push to have literally everyone vaxxed, especially children. And yet, the CDC added the COVID shots to the childhood and adult vaccination schedule.

    And now there’s a bill in California to require school children entering 8th grade to get an HPV vaccine. The politicians behind that undoubtedly call it a “need”, though I don’t see how that’s a “need”.

    This obsessive push for EVs is also labeled as a NEED to “Saaaaaaaaaaaaaaaaaaaaave the planet from climate change”. However, from what I’ve read and seen about EVs, they’re actually WORSE for the environment than gas powered vehicles.

    • A NEED existed in the C-suites of Moderna and Pfizer to eliminate the control group for mRNA jabs.

      There was also a NEED in the Moderna C-suite to generate revenue, with the Covid vaccine being their only income stream.

    • The control group at the top are interested in two things….eugenics and money…..the bat germ hoax worked beautifully….gates made 9X his investment on his big pharma stocks and it also helped their eugenics depopulation agenda……

      • the invasive species….that is what they call the useless eaters that are the target of their eugenics depopulation program…..if they complain about their injections….just gaslight them….tell them it is safe and effective….tell them they will lose their job, be barred from restaurants, locked in their house, won’t be part of society if they resist…..tell them they are saving grandma….threaten them with drone attacks….then behind closed doors they laugh at the useless eaters that believe their lies……

  15. “Need” is a malleable and emotionally charged word, which is why politicians love it. Economists (at least real economists who are not shills for the state), like to talk about “preferences” instead. Since we live in a world of scarcity, where every expenditure of time or money has an opportunity cost, people continually have to make tradeoffs. Preferences are the basis of all human action. So the question always should be framed as “Which do I prefer?” instead of “What do I need?”

        • Decades ago, something similar happened to me in a ’67 Belvedere as I was making a low-speed turn in an intersection – the mounting bracket on the steering shaft in the engine compartment broke – I turned the steering wheel and the car just kept going straight.

          It’s quite the unsettling feeling when that happens.

  16. One of the things that bugs me about collectivists is their advertising just like that picture at the top of the article. Like it’s just cute girls and good looking smart guys, all smiling and just wanna do good smart things for everyone.

    What they should have is a bunch of angry asshole AGWs with guns pointed at your face and standing behind them would be weird looking, obese, unfuckable, dirtbags pointing a finger at you.

  17. And once all of the air bags deploy your car is totaled by the insurance company. I believe there are eight in my vehicle, side curtains included.

    • Hi Manse,

      Often, it’s enough to total a car if just the driver/front seat passenger bags deploy as the cost of replacing these (and the dashboard) can easily exceed the 50 percent of the vehicle’s market value if it’s more than eight years old or so. I would never buy air bags, myself. Or seat belts, for that matter. Why buy what I do not use and feel no need for?

      • I would buy seatbelts. A few times, I’ve been able to drive out of a bad situation because they kept me behind the wheel, instead of in the passengers seat, or with a passenger in my lap. But that’s just me, and what I determine I need. Not anyone else.
        There are only a few real “needs”. Food, water, mostly warm and dry clothing and shelter. All the rest are “wants”. Which I don’t disparage, but which aren’t “needs”.
        The point being, every time an agent of the state says the word “need”, what they actually mean is their wants. Regardless of yours.

        • Yeah, I would get seatbelts as an option but I wouldn’t force them or anything on anyone. I would not get airbags. For that matter I want a car without child safety shit. The only driver assistance shit I would buy as an option would be adaptive cruise control with stop & go support for traffic jams on the beltway.

          • I suppose, as usual, that MIGHT depend upon what they charged for adaptive cruise control?
            Not only the government “mandated” male bovine excrement, but all the other “options’ that are now “standard equipment”. There is no such thing as a pure base model. If there is it’s not being delivered to dealers.

        • They’re also a simple, practical solution to the problem of keeping passengers planted in case of a sudden change in velocity. So simple that Volvo gave away the “technology” instead of profiting from it.


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