Thursday, February 28, 2013



Bloggerblaster is 10-8.  Good to be back... and good to see things are pretty much exactly the way I left them.

Saturday, February 23, 2013

We Are 10-7

Sitreps when possible.

Bloggerblaster out.

Friday, February 22, 2013

The Great Debate


Ok then.   So the previous post generated a rather enormous amount of questions and accusations.  Some of them very legitimate... others so amazingly stupid that the author should be banned from the internet forever.  I will do my best to address the ones that I feel were the most important so as to shed as much light on my position as possible.

Raggededge: Owning 3 cars does not allow you to lend out 30 cars. This is what banks do with fractional reserve lending. In the banker world, if you filled one of the cars with tannerite and blew it to kingdom come, the bank would then only be able to lend out 20 cars. If we accept the premise that credit = money, we have just seen the money supply reduced

No.  if we accept that credit is money in your scenario... money is growing slower.  Not decreasing.  Growing slower only equals a cut if you're a democrat... or you went to Harvard Business School and are therefore functionally retarded.

From Josh: Nate, would you define inflation solely as the increase in the supply of money? Or would you define it as an increase in the supply of money and credit?

Only money.  Credit is not money until its spent.  Its a mechanism for introducing money into a system.  Its like saying a door is a crowd... because the crowd walked through the doors.   No.

ODG says: I thought that your view was that debt != money? How then can lending (ie debt) deliver money to the system?

Because it becomes money when it is spent.  Fed creates an FRN from thin air... gives it to bank...  its not money yet... bank gives it to you...  its not money yet...   you by a car with it...   now its money.  Now its in M2.

Athor Pel: In a debt backed fiat money supply, can all debt ever be paid back?


Joshua_D : Aside from the technical aspects of transferring a CD, I don't see why a CD could not be used as money. I have a car, you have a $3,000 CD, you sign the CD over to me, I sign the car over to you. Done deal.

Yes.  You could also give me a my little pony that you said was worth $3,000 and it would be money too.  But if I intend to sell the my little pony to get the money for it... that's an additional transaction.. so its not money.  Just like the CD.  It could be money... or it could be an IOU.

Joshua_D: Also, your gambling analogy falls short. While the little ball is spinning, there is $40,000 of your money on the table and the whatever the house plans to pay if you win. You money and the house's money is in the money supply, you are just wagering over who gets to keep the money.

Mate...   if the casino wins the chips do you get to count them in your money supply?  No.  You didn't understand the analogy.  I suspect most folks missed it.  In the Analogy your wallet is the money supply, and the Casino is an international banking cartel.

again... from Joshua_D : I mean, you claim that debt isn't money, but we all know that our current money system is a debt-based system, and our money has to be borrowed into existence.

This is important folks so pay attention.  What our current money system is based on literally means nothing.  What money is based on... also means nothing.  All that matters is that people  accept that it can be used as an exchange medium.  Anything can be money.   Anything.   until you grok that... you're never going to be able to follow this debate.

Jack Amok says: Money is nothing more than a voucher for future goods and services. 

Wrong.  I love Say.  The man was among the biggest of the big hitters.  But he missed a very important point about what makes money money.   I can write all kinds of vouchers...  monopoly money for example... is a voucher for goods and services.  So why isn't it money?  Well it could be... if someone accepted it as money. But people don't.   Why?  there is no why.  It goes back to subjective value.  Ultimately you're not arguing what is or isn't money... you're arguing what is better to use as money and what isn't good to use as money.   I'm just pointing out... it can all be money.  Unless in a transaction an additional transaction takes place to complete the transaction.   I will now blow your mind.   There is a case where even cash isn't money.  If I want Gold... and you give me in stead... 2oz worth of gold... in CASH...  and then I go buy gold with the cash...   in that transaction... Cash wasn't money.   now do you understand?


TZ writes:  Note you did not provide an example of something that IS money, and specifically you didn't say that the now virtually entirely virtual currencies - many are based on debt - is money, but by your definitions they cannot be. Even a physical $20 bill is a zero-maturity treasury bill. You cannot exchange it for anything useful.

come on TZ...  I gave all kinds of examples of something that is money.  I flatly said ANYTHING could be money. What something is or isn't based on means NOTHING.  As for virtual currencies...  Of course they can be money.  NFC is great for this.  you put your phone next to mine...  a bunch of bit coins get deposited in my account...  I give you a cow.    POOF.  Bit coins are money.  See how that works?  Bit coins are money.  PHONES are not money.   Phones are like hands moving gold coins around.   Dig?

BobofBobland demonstrates that he doesn't read or type to well: This is some bullshit. If a bank issues unbacked loans, then it increases the total amount spendable money, which is what, in practice prices, respond. The "realness" of the money that is created is irrelevant. You could very easily argue that dollar bills aren't real money either, as they are also unbacked, but then FTS. Do you really think that if a bank were to issue a loan for twice the current money supply, prices would be unaffected?  And is not our concern over the money supply based derived from our concern over prices and weatlh transfer?

Ciphra Summam asks:  I go to the bank and borrow 250K to build a home. The bank makes me the loan, I use that to fund the construction. Is that money?

Yes.  It becomes money the second you spend it.  What is not money.. is the debt you owe to the bank.


As best I can tell... I am all caught up... and I suspect many of you now realize what I said wasn't quite what you thought I said. Except Bob... who no doubt thinks his comment nailed me to a wall.

Thursday, February 21, 2013

The Money Supply

It appears to me that there seems to be a bit of confusion out there about what the money supply is doing.  Is it growing?  is it shrinking?  Inflation?  Deflation?  Stagflation?   Obviously I am a hyper-inflationist...   Our buddy Vox is a deflationist.  So what gives?  Does it matter?

Well... if we're going to talk about this we're going to have to establish some kind of basic vocabulary.  For example... what is money?  I know... you're thinking dollar bills and coins.  Yes and no.  Money is an exchange medium that is used to complete a transaction.  The critical characteristic of money is that it does not require any additional transactions to satisfy the terms of the exchange.  You got your money... and that's good enough.  Lets look at gold for example.  Gold is money.  It always has been money.  You want some of my cattle... you give me a small amount of gold... and we're done.  Modern cash is similar.  You give me cash.. I give you a cow or two... we're done.  Cash is money.

What about debit cards?  I swipe your debit card... I give you cows...  we're not done.  Your bank has to send money to my bank.  That's an additional transaction.  Debit cards aren't money.   Same for checks.  Checks aren't money either.  They are IOUs for money.

Diamonds.. Silver... Paper... Copper... all of these things can be money... if they are employed to complete an exchange.

Are we good here?   Questions?   No?     Ok then.

Now that we know what money is...  what do we mean by money supply?  Ok well now things get tricky.  Obviously money supply means... the amount of money out there.  And we know what money is.  But how do we go about measuring it?   Well... if we're being honest... the professional economists term would be for the process would be a "Wild Ass Guess".  There are all kinds of problems in this sort of business... and most of them stem from the process of figuring out what to consider money and what not to count as money.  Obviously we count all the hard cash...  and hey lets count all the money in savings and checking accounts too.  What about other things though?

CDs for example.   Are CDs money?   Well no..  I mean if I say I want 500 bucks for a cow... and you offer me a CD for 500 bucks... is that CD money?  Well I have to go cash that CD in for the 500 bucks.  So no... its not money.   But Nate!  Its just a certificate of deposit!   No.  Its an investment.  Its gambling.  You're asking me to accept a voucher for a bet as money.   Nope.  Not happening.

So... test time.

You pay 200,000 dollars for a house. 2 years later a real estate agent tells you that your house is worth 250,000 dollars.   Another year later... an appraiser tells you your house is worth 300,000 dollars.

Has the money supply increased by 100,000 dollars in the last 3 years because of your good fortune?

No.  It hasn't.  That's not money. Its what I call potential money.  It doesn't exist.  It could exist under the right circumstances... but as of right now... it doesn't exist.

And... conversely... when that value goes down...  that isn't the money supply shrinking either.  Because you can't lose something that never existed in the first place.  Savvy?

I'm going to offer an analogy.  You're at a roulette table.  You have 1000 dollars in chips on the line.  You win... and you just add your winnings to your bet.  You do this till you are betting 40,000k.

While the little ball is dancing on the wheel... deciding where it will land...    how much money do you have?The answer is none.  You don't have any money at all.  Your money is on the line in a gambling venture.

That's investment.  That's why investments aren't money.  They are just gambling with varying degrees of risks.  And what is debt?  Debt is investment... or gambling....  its one party gambling that another party will pay back more than was originally lent.

Now that we know all this...  can you start to see why Deflation is not in fact happening?  Because Z1 measures debt... and...

Debt is not money.

 No amount of debt disappearing can ever be considered deflation.  If inflation and deflation are respectively the number of horses going up or coming down... then an increase in horses cannot be offset by a decrease in cows.  Cows aren't relevant to the measurement.

What we are seeing is inflation.  The money supply is exploding.  Yes... debt is disappearing...  yes... that is painful to an economy...   its just not deflation.

***UPDATE***   Bloody hell!!!!   Look I didn't expect this and its a rather piss poor time for me... what with the fact that I am leaving on some grand adventure in less than 24 hours and I will be gone for several days.   Pile up your questions in the comments.  I will address as many as possible tonight...   in the ATF post?  oh dear God...

Wednesday, February 20, 2013

If the allegations against Oscar Pistorius are true, he won't have a leg to stand on in court.

Hey... if they hang Oscar Pistorius for his crimes... will be start calling out letters?

What do you do with an elephant with three balls?   Walk him and pitch to the Rhino.

What do you call a Norwegian car?   ...    A Fjord.

A Texan was once regailing a yankee from boston with tales from the Alamo.  The Texan eventually asked, "Don't you have any heros where you're from?  The yankee said, "Ever hear of Paul Revere?"  The Texan thought a second and saId, "Ain't he the guy that ran for help?"

Remember... when they tell you Saint Patrick chased all the snakes out of Ireland... they always forget to mention that he was the only one that ever actually saw any snakes.

You know... one good thing about a female president...   we wouldn't have to pay her as much.

Monday, February 18, 2013

VOLBEAT - Wacken 2012 - 16 Dollars

Ok... bear with me... I know I just posted a Volbeat video.  But see... Its a little infuriating when... the most american band in music... is a danish band.

Watch this video.  They bring out a stand up bass and dude just beats the crap out of it.  He rocks some classic old school 50's rock moves... and no one in the crowd has a clue.

Anyway...  I am working a couple serious posts.. but I am just not in the mood to finish them right now.  Instead... we rock.

Friday, February 15, 2013

ATF: XX... and Volbeat - Heaven Nor Hell

I have to confess...  I love Volbeat.  I mean... I think this is the most badass band to break through in literally decades.  Freaking awesome.

Oh wait?

What are we doing again?   Right...  on with it then...

A; title says Dos Equis.  Why argue with the title?  I love Dos Equis.  I even loved it before the commercials.  I'll probly move on to something else later... and if I keep rocking Volbeat... its gonna be Bookers.

T:  Honestly... how many of you have had a cigar so good you seriously considered putting the thing out and just eating it?  I've had my share of smokes like that.  The Ghurka spec ops that have become my go to staple...  did you catch that?  I'll repeat... The GHURKA SPEC OPS that have become my go to staple everyday smoker...  are like that.  I just want to eat the things.

F:  So I got a Leatherman MUT for Valentines Day.  How freaking awesome is that?  Have you seen these things?  Yes... they are expensive as far as multi-tools go.  They are also pretty specialized... with things like bronze scrapers... threads for a cleaning brush... pin punch... even a bolt clearing device.  I've only had it for a bit... so I can't review it.  What i can say... is its a tank.  Its heavy... its well built...  and all of the wearable parts are easily replaceable.

Ok kids...

Standard rules apply.  Whatcha drinking? Whatcha smoking?  Whatcha shooting or lusting after?  And what did you think of Volbeat?

Wednesday, February 13, 2013

Bad Joke Wednesday

Say...  did you hear about the blind man that picked up a hammer and saw?

Shouldn't there be a shorter word for "monosyllabic"?

Do Roman nurses refer to IVs as "4"s?

Never say anything bad about a man until you've walked a mile in his shoes.  Because then... he's a mile away... and you have his shoes.  What's he gonna do?

Corn oil comes from corn....   baby oil comes from....

Xerox and Wurlitzer are merging...  apparently they're going to produce a reproductive organ...

What's Mary short for?

I dunno she's got small legs I guess...

Why didn't Noah fish very often?

He only had to worms.

What did the tie say to the hat?

You go on a head.  I'll just hang around.

What has four legs and one arm?

A rottweiler.

Why does Piglet smell bad?

Because he always plays with Pooh.

UPDATE:  Thanks to DJ for this one.

So...  The Pope is being a good Catholic... and pulling out.

Tuesday, February 12, 2013

Heresy, Blasphemy, and Bourbon

TransplantedTexan has asked about Old Rip Van Winkle Bourbons...  well... buckle up kids... because we're about to leave the reservation.

Now... as a Makers guy... many rightly conclude that I am therefore a fan of wheat bourbon.  This isn't actually true.  Or at least... its not true in the sense that it is universally consistent.  Makers is a wheat bourbon and I do like Makers better than many non-wheat bourbons.  But that doesn't mean I favor wheat bourbons over Rye bourbons all the time.  For example... does anyone think that I really prefer Makers Mark to Bookers?  Madness.  So... its more than just the theological differences of wheat vs rye.

I say all of that... to say...

I just don't believe the hype.  I know... I know...  I am supposed to be waving the Pappy Van Winkle Flag around... and gesticulating like a hillbilly preacher that lost his snake.  I just can't.  Look I know what the guys at Wild Turkey have to go through to age a bourbon 15 years and get a good product out of it.  I also know what happens when you don't take that much care.  The result is utter swill.  See Eligah Craig for details.

Some of you probably know about the Sour Mash Manifesto.  I'm not having a pissing contest with the guy here.  I'm just saying... if you agree with him that Elijah Craig is excellent... well then you an I just live on different planets.  We'll keep the good bourbon over here... and y'all can lick the windows of the short bus on the way to Canada... or some other place where they put pesticide in whiskey bottles.

So... because I just don't believe the hype... I've never bothered to buy any Van Winkle anything.  Kentucky is not Scotland folks.  Kentucky is 103 degrees in the summer and - 5 degrees in the winter.  Bourbon ages more in 1 year in Kentucky than it does in 5 years in Scotland or Canada.  A 20 year old bourbon is something a kin to a 100 year old scotch.  But because so much is going on in that aging... it is extremely labor intensive and a minor screw up ends up in a pretty epic clusterfutastrophe.  Though I don't suppose there are many non-epic clusterfutastrophes...  in fact I am fairly certain I coined the term so I could stop using the word epic so much...


That said... Wild Turkey has proven that you can... with an insane amount of work and OCD levels of dedication make a 15 or even 20 year bourbon work.  So...  I suppose I will have to give Old Rip a chance.

I am gonna try old rip 15 and Pappy... which is 20... and I'm going to be stacking them up against Bookers, and Kentucky Spirit.

I'll be honest.  I wouldn't bet on Old Rip.

We'll see.  It should make a helluva ATF post anyway.

Happy Fat Tuesday Y'all


It occurs to me that there is another bit of psychology going on here that has also made me a little prejudiced against Old Rip.  Ever had a cuban cigar?  Everyone says cuban cigars are the best.  Well I've had plenty and honestly... they aren't on average better Dominican or Nicaraguan cigars.  In fact plenty of them really suck.  But see... they're cuban and we can't have them.  So there is a built in mysticism about them created by the unquenched demand.  Same deal with Old Rip.  Supply is extremely low.  You can't go into a liquor store and buy Van Winkle products.  They just aren't there.  Consequently...  people start imagining how good it must be if you can never get your hands on it.  So... I reckon that's the other reason I don't believe the hype.  As for the tasting?  Probably gonna have to wait till April.  That's when the stores around here say they will get their one annual shipment.

Monday, February 11, 2013

The Makers Mark Contraversy

By now you all know that Makers has announced its effectively watering down its bourbon to meet demand. Now granted... its certainly not watering it down much... but never the less... the No Compromise Distillery certainly appears to have compromised.

I though I would share Bill Samuel's explanation.  The following came from an email sent from Rob Samuels. Rob's personal response may be shared here at some later point.... it may not.  no promises.

Anyway.... here's Bill's message:

Thank you for taking the time to share your thoughts regarding our recent announcement. We always appreciate open and honest conversation about Maker’s Mark, and we’ve gotten plenty of feedback, both supportive and otherwise. In order to respond to everybody quickly, please allow me to offer several thoughts that might answer most of the questions we’re hearing.

 And by the way, I asked Rob if I could write this response since many people have wondered if I’m on board with the decision to lower the alcohol-by-volume (ABV) level. I am, and here’s why.

 First, it’s important to understand that our primary focus now and for the past 50 years hasn’t changed. It’s product quality and consistency, batch-to-batch, year-to-year, with the primary measure of that consistency being the unique Maker’s Mark taste profile. That’s all that truly matters in the end.

Since we’re a one-brand company that’s never purchased bourbon from other distillers when supplies are short, forecasting is very difficult. Over the years, our one variable that helps us avoid market shortages has been the age of the whisky in the Maker’s bottle. That range is between five years nine months and seven years. Because Maker’s Mark is aged to taste, Dad never put a specific age statement on the bottle. It wasn’t the age that mattered; it was the taste, the quality and the consistency.

 Some people are asking why we didn’t just raise the price if demand is an issue. We don’t want to price Maker’s Mark out of reach. Dad’s intention when he created this brand was to make good-tasting bourbon accessible and to bring more fans into the fold, not to make it exclusive. And, with regard to the price, the value of Maker’s Mark isn’t set by alcohol volume.  It’s about the quality of the recipe and ingredients that go into it, all the handcrafting that goes into the production and how it tastes.

 Some of you have questioned how we reduce the alcohol content.  The fact is, other than barrel-strength bourbons, all bourbons are cut with water to achieve the desired proof for bottling.  This is a natural step in the bourbon-making process.  Maker’s Mark has always been made this way and will continue to be made this way.

As we looked at potential solutions to address the shortage, we agreed again that the most important thing was whether it tastes the same. The distillery made up different batches that Rob and I tested every evening over the course of a month. Every batch at 42% ABV had the same taste profile that we’ve always had. Then, we validated our own tastings with structured consumer research and the Tasting Panel at the distillery, who all agreed: there’s no difference in the taste.

 For those of you who have questioned if the supply problem is real, I can assure you that it is. While not every part of the country has seen shortages yet, many have, and the demand is continuing to grow at a pace we’ve never before experienced. While we are investing today to expand capacity for the future, by producing 42% ABV Maker’s Mark we’ll be able to better meet our ongoing supply issues without compromising the taste.

 Ultimately, all I can ask is that you reserve judgment until you actually taste the whisky, like I did. If you can make it down to the distillery, we’re doing tastings every day with the 42% ABV whisky to give you a first-hand opportunity to try it for yourself. If you can’t make it to the distillery, please give it a try when it gets to your city. And please write me back at that point. I want to hear what you think.

 In the meantime, I can’t thank you enough for taking the time to write. It shows that you care about Maker’s Mark, and that’s what we’ve been striving for over the past 50 years. I hope you’ll give us the chance to continue earning that devotion and allow us to prove that we didn’t screw up your whisky. All the best.

Bill Samuels
Chairman Emeritus,

UPDATE:  Just spoke to WhiskeyGirl who happens to be playing snow bunny out in Wyoming.  She reports there is no Makers Mark to be found out there... the stores can't keep it on the shelves.  The shortage is real folks.

Friday, February 08, 2013

So God Made A Liberal...

You're welcome.


I'm out for a few days.  Operations to take me to places with little or no net access.  I expect to be 10-8 Sunday night.  Until then... consider this your ATF post.


Wednesday, February 06, 2013

Bad Joke Wednesday: For Reelzes.

A dog walks into a bar...  sits down... and notices the bartender is just staring at him.

The dog says, "What's the problem?" The bartender replies, "I didn't expect to see a dog walk in here and order a martini.  That doesn't happen often.

The dog says, "At these prices I'm not surprised."

Did you hear NASA has launched a bunch of holsteins into orbit?   It was the herd shot around the world.

What did one DNA strand say to another DNA strand?  Do these genes make me look fat?

Why is bra singular and panties plural?

Why are architects afraid of floor thirteen, but pulishers aren't scared of Chapter 11?

And this.... is for Spacebunny...

Four brewery presidents walk into a bar.  The president of Corona says, "Bartender... I will have a corona!  The finest beer in the world."  The president from Sam Adams says, "Bartender... bring the best money can buy... Sam Adams."  The president of Budweiser speaks up... "The King of Beers.  Bring me a Bud."  Lastly... Arthur Guinness says, "I'll have a coke."  There is a gasp from around the bar.. and the fella with a corona in his hand says, "Sir... why do you not order Guinness?"

Arthur says, "Well...  y'all aren't drinking beer... I figured I wouldn't either."

And the Strong Shall Inherit the Earth

I can here the howls of heresy now.   Spare me.  Not only is the statement true... its also Biblical.  We're gonna pause here for a minute while the squishy amongst us struggle to unwad their panties enough to pay attention.

Done yet?  Good.  Now shut up and pay attention.  God forbid... you may actually learn something.

When Jesus was struck in the face and turned the other cheek... did He display weakness?  Was Jesus weak or was He strong?  The plain truth of the matter is Jesus was strong.  He couldn't laid waste to those that insulted Him.  But He did not.  He was meek.

But this is the critical part...  He had the power.  He was strong.  One cannot be weak... and display meekness.  Meekness and weakness are actually mutually exclusive because biblically speaking meekness literally means power restrained.  If there is no power... then there is nothing to restrain.  You're just weak.  You're not meek.

The world will not be inherited by weak people.  The world will be inherited by powerful people who have mastered that power an restrain it.  This is precisely the opposite of what the modern church teaches.  It raises up weakness and celebrates it.  It charges men to strive to be weak... then deliberately labels that weakness strength.  

Power.  Restrained.

Let that sink in.

Monday, February 04, 2013

AC / DC Day!

Today... is officially AC/DC day here at the ol' blog.  I will be posting awesome stuff from the band throughout the day.  So check back and enjoy.  I am aiming to post the stuff you may not have heard in a while...rather than the standard classics.  Sit back and enjoy y'all.

ok kids... let's hear your AC/DC stories... favorite songs... favorite albums...  concerts...  everything.


Time for another clip...  how about... the closest thing to a ballad AC/DC ever did...

Ok... so how about an instrumental?   Yes... AC/DC has done instrumentals.  This is called DT... from Who Made Who... and the Maximum Overdrive Soundtrack.

ok..  time to start thinking about closing up shop...  how about...

Friday, February 01, 2013

ATF: Beowulf Edition

Welcome home boys.  I do hope you enjoy your evening...   Standard rules apply.

A: Wild Turkey Kentucky Spirit.  pity me.

T: Ghurka.  If I am in a rut... its a mighty GOOD rut.  Perhaps its a groove.

F:  Well...  I suppose I've been teasing you folks with this long enough.

On with it then...

I seriously doubt any man ever got up after being hit with a 45/70.  I don't give a damn how big a man is.  That big a bullet... arriving with that much kinetic energy... just ends your day.  Them What Knows have long said that when it came to putting men down... accurately fired big heavy slower bullets did the trick.

So... while others sing the praises of the lightening fast .223 and its varmint sized projectile...  I'll side with the old timers.  Enter...  the Alexander Arms .50 beowulf.  Boar?  Elk?  Moose?  Boys outside of a pissed off Cape Buffalo I just don't know what is out there that is going to stand up to the thing.

But how does it shoot?

Well first off let me say that folks that complain about the recoil must not actually spend any time shooting real rifles.  This thing weighs... farkles and all... about 10 pounds.  Now it takes a lot to make 10 pounds of rifle kick enough to hurt... and this little round just aint enough.  Maybe it kicks a lot compared to the .223... but certainly not a lot compared to a shotty or a .300 win mag.

Accuracy?   half inch at 50 yards.  which... in .50 cal... is one hole.   Granted... its a big hole.

Oh...  and the sound?  Its not really a crack like most rifles.  This is...  sort of a BOOM.  I would think it would be terribly demoralizing to hear that coming from the other side of a confrontation.

Two last things...  Someone asked what its for.  As best I can tell you... its for shooting pigs.  Lots of pigs.  And by pigs.. I mean actual wild boar.  Don't be smart asses people.  Alternatively... if you ever have to bring down a herd of angry Brinks trucks... this is great option.  And the last thing... is the cool factor.  If the object is to get something really fun.. that all your buddies will hate you for owning...  then this also is a very very good option.