Celebrate Freedom On July 4th

There are many radical libertarians (and I use that term as a compliment) who do not favor celebrating the 4th of July.  Since America is no longer a free country, they see no point in celebrating Independence Day.  They see it as phony.

I agree with the sentiment that America is not a free country.  It is not a land of liberty.  The government, at all levels, takes about half of our money.  Virtually every aspect of our lives is regulated.  And the American empire is all over the world, imposing its will all over the globe.  So America is not the land of the free.  Compared to North Korea, we are free.  But there is not a lot of freedom in the world today.

I don’t think it is a good strategy to act like Scrooge on the 4th of July.  It will probably just turn people off of your message, who want to enjoy some time off work with their friends and family.

Instead, I see it as an opportunity to educate those with an open mind.  You can gently remind people that Independence Day is really Secession Day.  The colonists seceded (declared independence) from Great Britain.  What Edward Snowden has done today is nothing compared to what the colonists did back in the 1770’s.  Snowden is not trying to overthrow the government or even lead a secession movement that I know of.  He is simply trying to point out criminal activity and wrongdoing inside the government.

The 4th of July is also a good time to point out that the taxes that the colonists did not like were a fraction of what we pay today.  Aside from slavery, the colonists, under the king, were a free people compared to what we are today.  The colonists rebelled for far less tyranny than what we suffer from today.

For radical libertarians, the 4th of July also offers an opportunity to speak about the Constitution.  Americans would be far better off if the federal government followed the Constitution under its original intent.  The size and scope of government would be a fraction of the size.  We would be far freer.  But with that said, the Constitution itself centralized power.  It replaced the Articles of Confederation, which left the national government with very little in the way of power.  So from that aspect, the Constitution took away our liberty.

I think it is also important to remember that America has never truly been free.  Every time in history has had some kind of violation of individual rights.  There was obviously the issue of slavery until the 1860’s, and there were still racial issues for far longer, imposed mainly by southern state governments.  And while there was certainly more economic freedom in the past, it has never been perfect.  There were high protective tariffs in the 1800’s.  There were regulations to favor those with government connections.  There has always been corruption.  But, we do have to admit that the welfare state and the American empire are far bigger today than at almost any other time in American history.

I hope you enjoy your July 4th, even with the realization that you don’t live in a free country.  But you still have the freedom to speak in most cases, so you should use that to speak to others with an open mind.  For the others, just let them be.

Middle Class Dreams Shattered

I was recently in a grocery store in a middle class neighborhood.  I had to go to the customer service desk.  I realized the other people in line were all waiting to buy lottery tickets.  Some of them were buying what seemed like a large number of lottery tickets.  It was far more than one or two.

I’m guessing some of these same people clamor for the government to protect them from terrorists.  Their odds of being struck by a terrorist are about the same as winning the lotto.  It is virtually zero.

For most of these people, this is their only hope for the future.  It is sad to see.  I’m sure most of them work hard for their money and yet they are squandering it on lotto tickets.  They are trying to hit a home run that will never come.  They know they have no hope of becoming wealthy unless they win the lotto.  It is a self-fulfilling prophecy.

It is actually a sad state of affairs in America right now.  And it is better in America than it is in Europe and parts of Asia.  The American middle class is struggling.  We have these new great technologies with smart phones, tablets, big screen televisions, and so on, yet, at the same time, living standards are declining in many ways.

Life is expensive.  This is the cost of big government in terms of government spending and government regulations.  It is at all levels of government, but particularly bad at the national level.  Health insurance and medical care are ridiculously expensive.  This is the cost of bureaucracy.  In real terms, wages are going down for many people.  And that is for the people who are fortunate enough to have jobs.

It is very difficult to save money these days.  How can you save money when the government is trying to take so much of it?  Americans are struggling to fund any kind of retirement, let alone build up enough of a cushion for an emergency account.  The majority of Americans are living paycheck to paycheck, or something close to it.

There is not a lot of hope and optimism in the air.  Perhaps there may be some young people out there entering adulthood who are looking to take on the world.  While I think it is great to see, I fear that many of these people will have their hopes shattered once they hit the real world.

Aside from technology, living standards may actually be declining for middle class America.  The only way to reverse this trend is to get big government off of our backs.  I hope that most Americans will soon realize that they are far poorer than they need to be.  They are the victims of an establishment that has tricked them into believing that they need big government to survive.  Yet, the opposite is true.

Educating Others on Liberty – Small Steps

The only way we can achieve a society with greater liberty and less government is through education.  To be clear, this is not about formal education, but about people understanding the benefits and morality of a libertarian society.

The only way that a government can have significant power is if a majority of the people consent to it.  The people don’t have to go out and be cheerleaders for the state, but they have to at least be tolerant of the state.  Most people have gripes about the government in some fashion, but most will also admit that we need government.  And these are not just minarchists who think we need a government that only protects life and property and enforces contracts.  These are people who generally accept state-run education, Social Security, and various other government programs.

If a majority of people no longer consent to the state, then it will not last for long, regardless of elections.  In the U.S., there are over 300 million people.  There are only 535 members of Congress.  Even if we count all of the government employees, it is still a fraction of the total population.  And it is safe to say that a lot of government employees are not there because they love government but because they found a job that pays them money.

I think there has already been a shift in the thinking of many Americans.  I think it is for a combination of reasons.  The last two Ron Paul presidential campaigns and the internet are the biggest reasons.  Another contributing factor is the bad economy, coupled with long and wasteful wars.  With all of these things combined, there are more libertarians today than there probably ever have been in history.

The libertarian crowd is still small relative to the population.  There are not nearly enough people to drastically reduce the size and scope of government.  But the increasing numbers are having an effect, even if it is hard to see.  A good percentage of the new libertarian crowd is young adults.  They tend to have a more open mind, they get much of their news from the internet, and they can be influenced easier.  There are younger people I have met who turned into libertarians within months.

It is important to remember that most people will not be transformed overnight.  Most won’t even be transformed over the course of several months.  You never know what discussion or article or book might be a trigger for someone to open their mind and explore and start the journey.

I think it is important to not go for any home runs.  You are not likely to ever persuade someone to become a hardcore libertarian with one or two discussions.  The person may say he agrees with you, but you know deep down he does not feel as strongly about a certain issue as you do.

In most instances, the best you can hope for is to chip away at someone’s beliefs.  You have to remain consistent and principled in your own beliefs.  If you are having a discussion with someone and you don’t remain consistent, he will likely see it, whether he challenges you on it or not.  The best thing you can do is to make him think and make him want to do more research on his own time.  There are rarely instant conversions.

Even if you pull off a miracle and have an instant conversion with somebody, he will probably not be a very good representative of libertarian theory at that point.  He would still have to go through the education process.  If you have been reading libertarian literature for years now, there is probably a lot you take for granted.  Think about all of the brainwashing that must be reversed.  Think of all of the history lessons that must be retaught.  Think of all of the economics that must be corrected.

I have also suggested in the past that you don’t try to convert family members.  It is probably the hardest thing to do.  You will likely get frustrated.  Your family members know your faults and will likely see your political stance as a fault.  If a family member wants to argue about politics with you, the best way to convert the person may be to have them read a particular article or book.  At least they will see someone else as the authority on the matter and not you.

In conclusion, you can do your part in getting a more libertarian society by helping to educate others.  This doesn’t mean being pushy or getting into arguments.  It means helping people open their minds.  It means chipping away at their long-held belief that we need government.  You will not hit home runs.  You must take small steps and let each person take the journey on their own time.

When Will the Young Wake Up?

The younger people in America (and this likely goes for many parts of the world) are getting ripped off.  They are being taken advantage of by the older people.  Older people know how to vote and influence their so-called representatives in Congress.  This isn’t to say that older people aren’t getting ripped off by the government too.  But as far as wealth being redistributed, after the government and the lobbyists, the older generation is next in line for the plunder.

It is hard to define the specific age groups.  Certainly anyone under 40 is getting ripped off.  I would venture to say that anyone under 50 is too.  Somebody who is 50 years old right now is probably not going to see Social Security and Medicare until at least the age of 70, and I even find that doubtful.

There is nothing in the Social Security trust fund except IOUs.  It is part of the national debt.  Even if those IOUs were good, there would still be a massive shortfall.  And then there is the other, even more massive unfunded liability, called Medicare.  There is no possible way that the program can be sustained anywhere close to its current form.

Working people have to pay taxes to fund wars, pay foreign dictators, provide subsidies to rich farmers, fund all of the bureaucrats who make their lives more difficult, and then pay for the retirement of tens of millions of people on top of it.  Meanwhile, all of the money that is taken from them as part of the payroll taxes is spent immediately.  None of it is saved.

I know of young people who are withdrawing money from their 401k plans because that is the only money they have in reserve.  Many people don’t even have this option because if their 401k plan is with their current employer, they likely cannot take any kind of a withdrawal.  The best you can do is to take a loan and pay yourself back.

Working people are taking on a huge burden.  They are barely scraping by.  It is very difficult to raise a family on a middle class income.  About the only major subsidy you get is for education and the schools are so bad that many parents (and rightly so in my opinion) don’t even use the government schools that they are forced to pay for.

Not only are working people just barely getting by, but they are finding it difficult to fund any kind of a retirement.  Most people are lucky to get a 401k, which is vulnerable not only to market fluctuations, but also the government trying to tax it more in the future.  The thought of retirement seems almost like a fantasy for most people who are under the age of 50.

Meanwhile, these same working people have to pay for senior citizens to play golf and travel.  Many seniors today have company pensions, which aren’t nearly as available to younger people today, except perhaps government workers.  Again, good luck with your 401k plan.

At some point, I think the workers are going to shrug.  It is not to say they will stop working or disappear a la John Galt.  I think the younger people in America are going to realize they are getting ripped off and they will take a stand.  They will no longer feel any sense of guilt or obligation to fund the retirement of the older generation.

At some point, there will be a congressman who stands up and says he is going to cut payroll taxes and lower the so-called benefits of Medicare and Social Security.  Others will see that this is not political suicide.  The younger people will start to demand this of their so-called representatives.  At some point, there will be a major shift.

The major divide in the future of America will not be between Republicans and Democrats.  It will be between young and old.  The young people will eventually get fed up with working hard and seeing few results.  They will get tired of seeing the older people living the good life at their expense, while they have little to look forward to.  The workers outnumber the retirees.  The workers will eventually figure this out and win.

Live by the Fed, Die by the Fed

There is a saying that a government big enough to give you everything you want is also big enough to take away everything you have.  In this particular case, we can modify that to say that a Federal Reserve that has a monetary policy to let the good times roll, will also have a monetary policy to bring on the crash.

After the FOMC released its statement on June 19 and Bernanke spoke, the markets were spooked.  Stocks, bonds, and commodities all took a nosedive.  That was last week.  This week, heads of the regional Fed banks are coming out to smooth things over.  The latest person was William Dudley, president of the Federal Reserve Bank of New York.

Dudley said, “If labor market conditions and the economy’s growth momentum were to be less favorable than in the FOMC’s outlook – and this is what has happened in recent years – I would expect that the asset purchases would continue at a higher pace for longer.”

The Dow finished the day up in triple digits.  The same thing happened the day before when the first quarter GDP numbers were revised downward.  It signaled that the economy is still struggling.  Investors liked this news because it meant that we would likely see more monetary inflation by the Fed.

We know that something isn’t right in the world when the stock market is going up because of bad news with the economy.  It seems like the whole thing is built up by the Fed.  But this also means that the whole thing will come crashing down one day, if and when the Fed halts, or even slows down, its digital money printing.

In the short term, I have no idea if stocks are going to go up or down.  It is anybody’s guess.  It is so highly dependent upon the decisions of the Federal Reserve and the establishment, that it almost doesn’t seem worth gambling on.  If you are going to own stocks, I would recommend that you either own specific stocks for specific reasons, or else you simply limit yourself to a 25% maximum as part of your permanent portfolio.

If we all of a sudden see a small spike in price inflation, we could quickly see interest rates go higher and stocks tumble.  So much of the stock market is built up by funny money right now, it is hard to trust it at all.  Specific words coming out of Bernanke’s mouth or other Fed officials can cause your investment portfolio to go up or down in wild swings.  There is something truly wrong when just a few individuals can speak and control the market of a country with over 300 million people.  In fact, it really affects the entire world.

In conclusion, I would be very careful about putting money in the stock market to speculate.  It is not always true that what goes up must come down.  But when it is built on artificial stimulus, it is likely to hold true.

Enhancing Your Permanent Portfolio

Yesterday, I wrote about the permanent portfolio and how you should still stick to this methodology of investing, despite its relatively poor performance of late.  In this post, I want to offer some possible tweaks that may enhance the portfolio and allow you to sleep even better at night, knowing your money is as safe as it can be.

I have made this suggestion in the past and I want to reiterate it now, especially with interest rates having gone up in the last few weeks.  You don’t have to be a libertarian to invest in the permanent portfolio, but I find that most people who do subscribe to the advice tend to be libertarians.  I suppose it is because it was offered by Harry Browne, who himself was a great libertarian.  But beyond that, libertarians understand that monetary inflation is a major threat to their assets, so the 25% gold portion is appealing.  How many other portfolios will you find where the recommended gold holdings are at least 25%?

Right now, a lot of libertarians are scared about bonds.  There are certainly a lot of good reasons to be fearful of them.  There is a possibility of higher interest rates due to many factors, including inflation, the threat of default, and, as recently shown, the possibility of the Fed’s tapering of its buying of government bonds.  With a huge national debt and the possibility of higher price inflation in the future, there are definitely reasons to be bearish on bonds.

But at the same time, we can’t completely abandon bonds in the permanent portfolio.  They are there for a reason.  It is possible that Bernanke and company could decide tomorrow that it will stop all monetary inflation.  If that happens, we would likely see some kind of a recession/ depression, with the possibility of price deflation and lower interest rates.  While this is not highly likely, we really shouldn’t speculate to the point where we leave ourselves vulnerable.  There are less extreme scenarios where we could still see falling rates and rising bond prices.

So I recommend that if you have a home mortgage, you should consider paying down the loan.  While you won’t derive a huge benefit from falling interest rates as you would with owning bonds, you will still be locking in a rate of return that is equivalent to whatever the interest rate is on your home loan.  And you won’t have to pay taxes on your hidden gain.

This is a deflation hedge because you are locking in a rate of return.  If your home loan has an interest rate of 4%, then you will be locking in the equivalent of a 4% return.  If rates fall to 2%, then at least you will be getting a better “return” from paying down your mortgage than you would have if you kept it in cash or a cash equivalent.

I don’t recommend abandoning bonds entirely, no matter what you think is going to happen.  You still need some upside if a deflationary depression comes along.  Instead of having 25% in long-term bonds as the permanent portfolio calls for, you could have 12.5% in bonds and use the other 12.5% to pay down your mortgage.

This may not be a perfect strategy, but it is a way to diversify even a little bit more and you won’t have to worry as much about rising rates.

If you own a home and don’t have a mortgage, then you already have somewhat of a deflation hedge with that.  Because of that, you could lighten up the bond portion of your portfolio just a little bit.  Perhaps you could have just 15 to 20 percent in bonds instead.  This will depend on how much money you have and how much your house is worth.

If you rent and you don’t have the money for a down payment to buy a house, then you probably don’t have enough money to worry about the whole thing.  You should be concentrating more on saving money (earning more and cutting costs) than investing.

If you rent, yet have a decent net worth, then perhaps you should consider buying if you plan to stay in the area.  You could also consider buying an investment property, something that I advocate if you are in the right position to do so.  If your situation is such that you just can’t buy a house right now or you simply don’t want to, then it will probably be best to stick with something close to the 25% portion of bonds in your portfolio.

Should We Rethink the Permanent Portfolio?

I am a strong advocate of investing a majority of your money in something similar to the permanent portfolio as described by Harry Browne in his book Fail-Safe Investing (also see Kindle version).  It is set up to withstand any kind of economic environment and to avoid the need to speculate.

After the FOMC’s statement on June 19, 2013 and Bernanke’s press conference, investment markets turned sour.  The stock market plunged, the bond market plunged, and the gold price plunged.  In other words, even if you were invested in the permanent portfolio, you took significant losses in the couple of days that followed.  75% of your investments took a hit, while the cash portion stays almost the same due to low interest rates.

While the permanent portfolio has not been a great performer as of late, I also don’t think it is time to abandon the strategy.  There are going to be days when all of the asset classes (except the cash portion) are highly correlated and some of those days will be on the down side.  There will even be short periods of time when they all do poorly.

Stock market investors who advocate a buy and hold strategy often say that we should be in it for the long term.  But the long term in the stock market could be decades.  If you had bought an index fund in the Japanese stock market 25 years ago, you would still be down.  While this example may seem unfair, it illustrates the power of the permanent portfolio in that it rarely has a negative return for longer than a year.

It is important to realize that there will be periods of losses, but these periods should not last a long period of time.  Harry Browne recognized this.  To quote his book, he said the following:

“Tight money is usually characterized by rising interest rates, which are bad for most investments.  The only attractive investment during a recession is cash.  And your cash holdings may not completely offset the losses that tight money may inflict on the rest of your portfolio.

“But tight money is by nature a temporary condition.  Unlike prosperity, inflation, or depression, it can’t go on indefinitely.  Either the economy adjusts to the new level of money and returns to prosperity, or the supply of money changes – leading to inflation or a full-scale deflation.”

He understood free market economics.  He understood that if there was a recession due to a tight monetary policy (or I suppose an expected tight monetary policy), then things would readjust and prosperity would eventually return, unless the central bank kept interfering.  Either way, you end up with prosperity, inflation, or a deflationary depression.  A recession cannot go on forever without turning into one of those other things, which are all covered in the portfolio.

So while I actually think that interest rates are likely to go back down in the near term, we don’t need to lose sleep over the possibility of continually rising interest rates.  This means we will either get higher inflation (and higher gold prices) or we will get a recession to clear out much of the malinvestment.

I’m guessing even Harry Browne could not have imagined that the Fed would be creating new money at a pace of $1 trillion per year.  But he did understand the various threats to your portfolio and developed something to help people avoid significant losses.  While the permanent portfolio is far from perfect, I am still waiting on someone to come up with something better.

  

Edward Snowden: Would You Do What He Did?

Edward Snowden, the whistleblower who exposed the secret spying on Americans by the NSA, is on the run from the federal government.  Government officials don’t like whistleblowers when it exposes lies, corruption, and crimes being committed by the government.  Therefore, the government is trying to extradite Snowden, while Snowden is seeking asylum in another country.

Some people are faced with one or two life-changing decisions during the course of their life.  There are a few people who are faced with this several times.  There are others who never face a real life-changing decision.  I am not talking about a decision about whether to get married or change jobs.  I am talking about something that is really life altering.  Snowden’s case is extreme, but it is worth examining.

It is difficult to know how you would act in such a situation.  It is easy to say you would or wouldn’t do something in a particular situation when you aren’t in it and you aren’t the one facing the consequences. If Snowden is caught by the U.S. government, he is likely to face a lifetime in prison.  He can’t even be certain that he won’t be tortured.  And it is unlikely he will get any kind of a fair jury trial.

Even if he does get asylum in a place like Ecuador, he will probably always live with a feeling of paranoia.  He will always be looking over his shoulder, not knowing who he can really trust.

There is no question that Snowden has given up his normal life.  He left a well-paying job and he left his girlfriend.  I suppose if he gets protection somewhere, his girlfriend could decide to join him.

Snowden could have just quit his job contracting with the government in its spying operations.  He could have left on principle and given up a nice income, yet kept his mouth shut.  At the very least, he could have made the decision not to release sensitive documents (sensitive to the criminals in the government).

If I had been in his position, I don’t think I could have done what he did.  I have a family who relies on me.  But even if I were single with no children, it would be a difficult thing to do.

If you were in Snowden’s position, do you think you would have a moral obligation to do what he did? I don’t.  If a majority of Americans strongly opposed the U.S. government’s attempt to extradite Snowden, then he would have little to worry about.  The only reason the government can get away with such criminality (which includes going after Snowden) is because the American people consent to it.  They don’t have to explicitly give their consent, but just enough that they won’t kick up a fuss.

Therefore, I wouldn’t blame someone in Snowden’s position who doesn’t blow the whistle.  If a majority of Americans don’t care enough to speak out strongly in favor of a whistleblower who is exposing government wrongdoing, then why should anyone give up his life for the cause?  We have already seen what happened to Bradley Manning.  It is no surprise that the government is going after Snowden.  Snowden’s case is much more well known than Bradley Manning’s at this point, but we still don’t have anything close to a majority of Americans who strongly support the whistleblower who exposes government crime.

It would be a much tougher situation if by blowing the whistle you could potentially save lives.  But if you aren’t going to get strong support from a majority of the people, then in most cases you should not feel obligated to become something of a martyr.

We don’t really need more brave people like Snowden to blow the whistle.  Anyone with their eyes open can see the massive corruption and crime that is the U.S. government.  We really need for more Americans to support people like Snowden and for more Americans to withdraw their consent.  The government in DC cannot survive without the consent of most Americans.

Markets Sink, Fed in a Bind

Markets reacted negatively on Wednesday, June 19, 2013, after the FOMC released its latest statement and Bernanke spoke.  There was an indication that the Fed might start to reduce its rate of monetary inflation towards the end of the year.  Since the stock market has been juiced up by the Fed, it also sinks when the Fed gives a sign that it might be pulling back.

It was the following day that markets turned really sour.  Almost everything was hit bad.  The Dow was down well over 300 points, after having already suffered big losses the day before.  Gold was down as much as $100 and closed the week under $1,300.  And bonds really took a hit too.

Perhaps the bonds might be the biggest story out of this.  The 10-year yield ended the week over 2.5%. While this is still historically low, it is vastly higher from the rates we saw just a couple of months ago.  This is driving mortgage rates higher as well.

I continue to maintain that we are not going to see a huge spike in interest rates without seeing a rise in consumer price inflation.  The bonds fell and rates increased on fears that the Fed will be buying less government debt.  This is logical.  But it is important to think through the different scenarios with bonds and interest rates.

If the economy falls into recession or depression, then rates are not likely to go higher, unless it is accompanied by higher inflation.  Recessions tend to bring rates down as people look for safety for their investments.  In addition, if the economy goes into a deep recession and price inflation remains low, then it is likely that the Fed will jump back into action and create more new money.  This means more bond buying, which will bid up prices and bid down interest rates.  So while it is not surprising to see rates come off their near all-time lows, they are still really low by historical standards.

This whole thing is playing out at a seemingly slower pace than what we have seen in Japan.  In Japan, the central bank started inflating like crazy and the stock market there went crazy.  But then, within 6 months, it started having huge down days.  When the stock market is built up because of central bank monetary inflation, it doesn’t take much to spook the markets and reverse the trend.

The scary part about this whole thing is that the Fed is currently monetizing debt at a pace of $85 billion per month.  That is about $1 trillion in a year.  The monetary base was only at about $800 billion back in early 2008.  The Fed has quadrupled the monetary base since then, and yet it still isn’t enough to even give an illusion that things are getting better.  If the current “quantitative easing” isn’t enough to keep things going, then the Fed really is in a bind.  It will either have to up the ante again or let a deep recession happen.  It will try to walk a tightrope between the two, but it can only last for so long.

The Austrian Business Cycle Theory is reality.  When the central bank creates monetary inflation, it misallocates resources.  Those resources have to be realigned to more productive uses in accordance with consumer demand.  For this to occur, there has to be a correction.  The central bank can continue to increase its rate of monetary inflation to keep the game going a little longer.  But at some point, we either see massive price inflation or the central bank has to cut back and we get a recession.  Sometimes we can even see massive price inflation with a recession.

The central bank doesn’t have to stop monetary inflation.  If it just reduces the rate, this can be enough to start the correction process, even though the central bank’s continuing inflation will prevent a full correction from taking place.

It is not being pessimistic to point out that a correction must occur.  It is realistic.  It is the consequence of the previous mistakes.  The Fed shouldn’t continue to exacerbate its mistakes.  I really don’t think Bernanke and company know what to do.  They are stuck.  Bernanke will be glad to retire.

The Whistleblower Treatment is an Issue

With Edward Snowden blowing the whistle on the NSA surveillance program, I have heard a lot of liberty advocates saying that this isn’t about Snowden.  It is about the wrongdoing of the federal government.  Even Snowden himself has said that this whole thing shouldn’t be about him.

I think it is important to realize that there are several issues we are dealing with here.  I can break it down into 3 separate categories.

1) The NSA has been, and is currently, spying on Americans with no reason to expect that most of them have done anything wrong or illegal.

2) The NSA and the federal government have kept this surveillance program a secret, even though they are now defending it, saying it is necessary for national security.

3) Whistleblowers, like Edward Snowden, will be attacked by most politicians in DC, and they will try to prosecute him to teach others a lesson.  They will say that they encourage transparency in government and they will say that whistleblowers should be protected when it is involving a non-governmental entity.  However, any whistleblower who is exposing lies and wrongdoings of the government will be attacked, smeared, and prosecuted if possible.

So while many libertarians, along with Snowden himself, are saying that this whole thing shouldn’t be about Snowden, they are not entirely correct.  Perhaps the biggest issue in this whole saga isn’t about the NSA’s surveillance program (which people should have already known existed), but how whistleblowers are treated when they expose government wrongdoing.

Just to clarify, when I say that this is about Snowden, it has nothing to do with his level of education or how he acted when he was a teenager.  Those are just smears by people who are trying to change the subject and make him look bad.  But this whole thing is about Snowden as a symbol of how politicians in DC will treat someone who exposes the truth.  We have already seen it with Bradley Manning and Julian Assange.

This serves as a message that the establishment in DC will not tolerate anyone who exposes the truth, especially when it damages their own reputation.  The more serious the crime that is exposed, the more these thugs will go after the whistleblower.  As long as the American people let these criminals in Washington DC get away with these things, then they will keep happening.  There is no one person, even President Obama, who is capable of ending it.  There is probably a very logical reason that John F. Kennedy was taken out.  The establishment didn’t like what he was doing.

Again, the only way this will stop is if a majority (or close to it) of Americans strongly oppose any prosecution of Edward Snowden and others like him.  Americans must view these people as heroes.

It is ridiculous to think of someone like Snowden as a traitor who has committed treason.  It is not as if he was selling secrets to another government to make money.  He released this information, knowing that it would likely ruin his life.  He sacrificed almost everything he has and derived absolutely no benefit other than his knowing that he acted morally and in accordance with his principles.

So while the NSA surveillance program is a big issue that Americans should be outraged about, perhaps the treatment of government whistleblowers is an even bigger issue.  We cannot hope to be free unless the truth is allowed to be spoken.  The truth shall set you free.

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