No, We Don’t Need More Nuclear Weapons
By Ryan McMaken | Mises Institute | March 17, 2023
Republicans and Democrats may quibble over how federal tax dollars might be spent on various social welfare programs like Medicaid and food stamps. But alongside Social Security, there is one area of federal spending that everyone can apparently agree on: military spending. Last year, the Biden administration requested one of the largest peacetime budgets ever, at $813 billion. Congress wanted even more spending and ended up approving a budget of $858 billion. In inflation-adjusted terms, that was well in excess of the military spending we saw during the Cold War under Ronald Reagan. This year, Joe Biden is asking for even more money, with a new budget request that starts at $886 billion. Included in that gargantuan amount—which doesn’t even include veterans spending—is billions for new missile systems for deploying nuclear arms, plus other programs for “modernizing” the United States’ nuclear arsenal.
Indeed, over the past year, the memo has gone out among the usual advocates of endless military spending that the US needs to spend much more on nuclear arms. This is a perennial position at the Heritage Foundation, of course, which has never met a military pork program it didn’t like. Moreover, in recent months, the Wall Street Journal has run several articles demanding more nuclear arms. The New York Post was pushing the same line late last year. Much of the rhetoric centers on the idea that Beijing is increasing its own spending on nuclear arms and thus the United States must “keep up.” For instance, last month, Patty-Jane Geller insisted that the US is in an “arms race” with China. Meanwhile, writers at the foreign-policy site 1945 claimed Congress must “save” the American nuclear arsenal.
Congress will surely be happy to cooperate. Such spending is an enormous cash cow for weapons manufacturers, although it has little to do with actual military defense. The US nuclear arsenal is huge, and China’s efforts to expand its own arsenal will have no effect on the already substantial deterrent effects of the US’s existing nuclear arsenal. Although the 1945 article insists that China soon “will field a peer or superior arsenal to the United States,” it’s difficult to see by what metric this is actually true.
Contrary to claims that the US nuclear arsenal needs to be “saved” or it will soon be eclipsed by the Chinese arsenal, the US remains well in the lead of every single nuclear power except Russia. Even if Beijing increases its arsenal to one thousand warheads, as the New York Post breathlessly predicts, the Chinese arsenal will remain well behind that of the US.
This is true even if we remove all the retired US warheads from the equation. In that case, Moscow retains the global lead with more than forty-four hundred weapons, and the US comes in second with more than thirty-seven hundred. Presently, Beijing has approximately 350 of these weapons, France has 290, and the rest of the world is well behind that.
Source: Data from Our World in Data, “Inventories of Nuclear Weapons.”
Like Moscow, Washington has a full-blown and well-developed nuclear triad, complete with a fleet of nuclear subs that can launch up to twenty missiles—each containing multiple independently targeted warheads—land-based missile silos, and bombers. Each option provides ways to deliver hundreds of warheads. The submarine fleet, of course, is constantly mobile, ensuring first-strike survivability.
The Nonexistent Missile Gap
This won’t stop advocates of more spending from calling for more. They’ll always have reasons why there is some sort of missile gap. Lately, the obsession is with hypersonic missiles and having various forms of delivery, as well as the claim that the current gap between the US arsenal and rival arsenal is not sufficiently large.
There’s a reason US advocates of an aggressive nuclear posture invented the “missile gap” myth during the Cold War. It sows doubt about US security and ensures a certain level of paranoia about US nuclear capability. Nowadays, it’s acknowledged that the missile gap was always a myth, but this was much less known in the days when debates over US rocket technology were a frequent cause for alarm and debate. Nonetheless, the nonfactual basis of the “gap” was known at least as early as the 1960s, and then defense secretary Robert McNamara noted to John F. Kennedy:
There was created a myth in the country that did great harm to the nation. It was created by, I would say, emotionally guided but nonetheless patriotic individuals in the Pentagon. There are still people of that kind in the Pentagon. I wouldn’t give them any foundation for creating another myth.
How Much Do Numbers Matter?
The myth persists, however, and Geller claims: “Given the hundreds of new Chinese missile launchers and other new weapons, the U.S. will need more nuclear weapons to hold these targets at risk. In nuclear deterrence, numbers matter.”
How much do numbers really matter? Yes, in matters of deterrence, ten is certainly better than zero. But is three thousand better than one thousand, or even one hundred? That logic often works with conventional arms, but it makes little sense with nuclear arms, a single unit of which can destroy an entire city. As John Isaacs noted last year in the National Interest:
In the nuclear age, a country that deployed 1,000 nuclear weapons rather than an adversary’s 500 is not twice as powerful since a handful of weapons could devastate both countries. But the Pentagon and political leaders did not learn this critical lesson. This is a numbers game that may have been relevant for tanks and battleships before [the invention of nuclear weapons] but is not today.
What is key in nuclear deterrence is not simply numbers. Nuclear strategist Albert Wohlstetter identified this problem in the early 1960s and concluded that “the criterion for matching the Russians plane for plane, or exceeding them is, in the strict sense, irrelevant to the problem of deterrence.” Rather the key, Wohlstetter went on, is creating a force that is “survivable” to ensure the possibility of a retaliatory “second strike.” This is what establishes deterrence.
Wohlstetter certainly wasn’t the only one to come to this conclusion. In a 1990 essay titled “Nuclear Myths and Political Realities,” Kenneth Waltz—perhaps the most influential scholar of international relations of the past fifty years—concludes that the total number of missiles in these enormous arsenals is of little importance for nations that are already well above the threshold for achieving nuclear deterrence.
What really matters is the perception that the other side has second-strike capability, and this certainly exists in both US-Russia and US-China relations. Once each regime knows that the other regime has second-strike capability, the competition is over. Deterrence is established. Waltz notes:
So long as two or more countries have second-strike forces, to compare them is pointless. If no state can launch a disarming attack with high confidence, force comparisons become irrelevant. . . . Within very wide ranges, a nuclear balance is insensitive to variation in numbers and size of warheads.
The focus on second-strike capability is key because pro-arms-race policy makers are quick to note that if a regime’s first strike is able to destroy an enemy’s ability to retaliate in kind, then a nuclear war can be “won.”
Second-Strike Capability Evens the Score
But, as shown by Michael Gerson in “No First Use: The Next Step for U.S. Nuclear Policy” (2010) establishing second-strike capability—or, more importantly, the perception of it—is not as difficult as many suppose. Gerson writes:
A successful first strike would require near-perfect intelligence, surveillance, and reconnaissance (ISR) to detect, identify, and track all of the adversary’s nuclear forces; recent events surrounding U.S. assessments of Iraq’s suspected WMD [weapons of mass destruction] capabilities forcefully demonstrate the challenges of reliable, accurate, and unbiased information. Intelligence regarding where an adversary’s nuclear weapons are located and if the state is actually planning to attack could be wrong or incomplete, and an attempted first strike based on inaccurate or incomplete information could have far-reaching negative consequences.
The threat of a successful first strike can be countered through a variety of methods, including secrecy and the ability to shift weapons delivery channels. This is why the US, Russian, and Chinese regimes have long been so enthusiastic about the so-called nuclear triad. It is assumed that if nuclear weapons can be delivered by submarine, aircraft, and land, then it is impossible for an opposing regime to destroy all three at once and achieve first-strike victory.
But even in the absence of a triad, an opposing regime that seeks a total first-strike victory has few grounds for much confidence. As Waltz shows, “nuclear weapons are small and light; they are easy to move, easy to hide, and easy to deliver in a variety of ways.” That is, if a regime manages to hide even a small number of planes, subs, or trucks, this could spell disaster for the regime attempting a successful first strike. Gerson explains:
A nuclear first strike is fraught with risk and uncertainty. Could a U.S. president, the only person with the power to authorize nuclear use and a political official concerned with re-election, his or her political party, and their historical legacy, ever be entirely confident that the mission would be a complete success? What if the strike failed to destroy all of the weapons, or what if weapons were hidden in unknown areas, and the remaining weapons were used in retaliation?
Nor must it be assumed that a large number of warheads is necessary to achieve deterrence. Waltz recalls that Desmond Ball—who advised the US on escalation strategies—convincingly asserted that nuclear deterrence could be achieved with as few as fifty warheads.
Proceeding on the assumption that an enemy has no warheads left following a first strike requires an extremely high level of confidence because the cost of miscalculation is so high. If a regime strikes and misses only a few of the enemy’s missiles, this could lead to devastating retaliation both in terms of human life and in terms of the first-strike regime’s political prospects.
This is why a rudimentary nuclear force can achieve deterrence even with a small but plausible chance of second-strike capability. A small nuclear strike is nonetheless disastrous for the target, and thus “second-strike forces have to be seen in absolute terms.” Waltz correctly insists that calculating an arsenal’s relative dominance is a waste of time: “the question of dominance is pointless because one second-strike force cannot dominate another.”
The US Is Already Far beyond the Deterrence Threshold
One could certainly debate how much the US nuclear stockpile could be cut without sacrificing deterrence. Given the enormous size of the stockpile, however, the answer is that “most of it” could be cut. Indeed, the US arsenal could be cut by 90 percent and still have hundreds of warheads available for silos, submarines, and bombers.
Moreover, reductions in the arsenal are prudent for reasons of avoiding unintended nuclear war. As Wohlstetter noted, a prudent policy also requires “strategic nuclear forces to be not only capable of riding out and operating coherently after an actual preemptive attack against them; but also completely controllable in times of peace, crisis, and war—and especially in the face of ambiguous warning—so as to avoid unauthorized operations, accidents, and war by mistake.” Having large numbers of nuclear warheads actually is imprudent because it creates more potential for accidents, mistakes, and unauthorized use. Maintenance remains expensive and risky.
In spite of all this, it remains popular among some to keep arguing for more nuclear expansion year after year. Surely, some of these advocates are true believers, but there is also a lot of money at stake for government contractors. Thus, in one form or another, the myth of the missile gap—and its modern variants—endures.
Senate Committee Handles Bancel with Kid Gloves
Theater with Moderna Billionaire CEO Stephane Bancel Fails to Ask Key Questions
By Peter A. McCullough, MD, MPH | Courageous Discourse | March 24, 2023
In 2006, Stephane Bancel was a sales director then head of Belgium operations for Eli Lilly, a mid to high level big pharma sales executive. In 2007 he catapulted to become CEO of French diagnostics company BioMérieux and began work with the Chinese to build the biosecurity annex level 4 at the Wuhan Institute of Virology. His company trained the Chinese lab technicians. Bancel then joined startup Moderna in 2011. Moderna has three patents that claim priority to applications filed between 2011 and 2016 covering its foundational intellectual property on mRNA, code to SARS-CoV-2 Spike protein, and related functions. In April 2020, Moderna’s sales and stock price skyrocketed on the promise of a COVID-19 vaccine that was planned for years. Bancel’s stake of the company is about 9% and net worth estimated to be ~$6 billion.
While the countenance Senator Rand Paul was stern and his questions on the surface appeared intimidating, he and the committee failed to drill Bancel on issues that would reveal corruption, racketeering, fraud, conspiracy to commit domestic terrorism, public harm, or mass negligent homicide.
Here are five question sets the Senators either didn’t have the foundational understanding, perceptiveness, or courage to ask:
- What was Bancel’s involvement with the Chinese in the construction of the lab annex? Was it intended for bioterrorism? How many times did Bancel visit the lab between 2007 and 2020?
- Did Moderna collaborate with or rely upon Dr. Ralph Baric’s NIH work on chimeric SARS-CoV-2 as published in 2015 in Nature Medicine and the Proceedings of the National Academy of Science? Is the patented genetic code for Moderna mRNA derived from Baric’s chimeric virus or another one originating from the WIV BSL-4?
- Did Bancel know ahead of time his product would cause myocarditis, neurologic injury, blood clotting, and immunologic syndromes (VITT, MIS)?
- How many deaths and serious adverse events did Moderna record in its 90 day obligatory post-release safety data? Why has this dossier not been released to the public? When will it be? Assuming Moderna’s dossier has similar numbers of fatalities to Pfizer, why did Moderna fail to pull their product off the market early in 2021 due to excess risk of death?
- Has Moderna or FDA or any third party at any time inspected its mRNA–1273 vaccine for quality, purity, and concentration as it is being produced by biodefense contractor National Resilience or other supplier? How does Moderna assure the quantity of mRNA in the final fill and finish of the vials before they are shipped to pharmacies and vaccine centers?
In conclusion, the Senate Committee on Health, Education, Labor and Pensions needs to step up its game if America wants to get to the bottom of what is going on with the COVID-19 vaccine debacle. I suggest they call in some doctors with courage, expertise, and clear vision to advise them on questioning. Wednesday March 22, 2023 fell short by a Kentucky mile and Bancel must be skipping away in relief.
Indiana’s Bureau of Motor Vehicles is caught collecting and selling personal data
By Ken Macon | Reclaim The Net | March 21, 2023
Indiana’s Bureau of Motor Vehicles (BMV) has been caught selling drivers’ personal information without their consent and without the option to opt out. Last year alone, the BMV made around $25 million from selling personal information, according to WRTV.
Asked if the BMV sells personal information, a BMV employee said to WRTV: “No. Well, you’re not supposed to. Can’t tell you for sure what they do, but they’re not supposed to!”
Though the employees might not be aware of the practice, an investigation by WRTV found that the Indiana BMV does sell personal information and the practice is legal. The BMV can sell personal information like your name, date of birth, past and current addresses, license plate number, make and model of your vehicle, VIN, date of purchase, license type, and your driver’s record.
In the past decade (2012 to 2022) the BMV made over $237 million from selling drivers’ personal information. It sells the personal information to lawyers, bail bond companies, insurance companies, private investigators, debt collection companies, recovery agents, law enforcement agencies, security guards, auto dealers, tow companies, school corporations, and mobile home parks.
The BMV refused an on-camera interview. However, in an emailed statement, a spokesperson said: “Data is only available to qualified entities who meet the eligibility and use requirements in Indiana Code § 9-14-13-7 or § 9-14-13-8.
“Consumers do not have the option to opt out at this time,” they added.
Asked how the money generated from sale of personal information [is spent], the BMV said: “The revenue generated from sales to qualified entities goes to various accounts within the BMV, most significantly the Tech Fund. The funds support maintenance and ongoing upgrades to infrastructure, databases, and security.”
Send in the Clowns
Yellen and Garland perform back-to-back surprise visits to Ukraine
BY PHILIP GIRALDI • UNZ REVIEW • MARCH 21, 2023
Sometimes I think that the script being used by the Biden Administration to manage its foreign and national security policies has been written by George Orwell, though I am not sure if it based on 1984 or Animal Farm. Maybe it is a combination of the two. Either way, it would help explain why there is something seriously wrong here. For example, at the end of February Congress, confronted by a debt ceiling, began discussing cutting Medicare and Social Security while more recently a banking sector crisis seems to be developing so Treasury Secretary Janet Yellen decided to go off doing photo-ops in Kiev embracing Ukraine’s President Volodymyr Zelensky shortly after handing him the keys to the US economy. She explained to Zelensky how the White House had approved an additional $12 billion in aid to Ukraine during the previous week, including $2 billion for the military and $10 billion to support Zelensky’s government and other infrastructure needs. The US Treasury is now de facto the source of the Ukraine government’s entire annual budget. In addition, Yellen described glowingly how the Treasury and State Departments will implement a new round of sanctions against more than 200 entities and individuals with ties to Russia’s military, high-technology industries, and its metals and mining sectors. The US Department of Commerce is also enforcing export restrictions on materials and technology, including semiconductors, sold by American companies to customers in Russia and China.
In defense of her grand mission, Yellen penned an op-ed for the always compliant New York Times explaining the importance of Ukraine to the United States. She wrote how in Ukraine “… Russia’s barbaric attacks continue — but Kyiv stands strong and free. Ukraine’s heroic resistance is the direct product of the courage and resilience of Ukraine’s military, leadership and people. But President Volodymyr Zelensky and the Ukrainians would be the first to admit that they can’t do this alone — and that international support is crucial to sustaining their resistance. I’m in Kyiv to reaffirm our unwavering support of the Ukrainian people. Mr. Putin is counting on our global coalition’s resolve to wane, which he thinks will give him the upper hand in the war. But he is wrong. As President Biden said here last week, America will stand with Ukraine for as long as it takes… Ukrainians are fighting for their lives on the front lines of the free world. Today, and every day, they deserve America’s unyielding support.”
The Yellen op-ed drones on with a lie so large that it is astonishing that the New York Times would even print it: “When confronted with scenes of brutality and oppression, Americans have always been quick to stand up and do the right thing. Our strength as a nation comes from our commitment to our ideals — and our capacity to see in others the same desires that animated our own struggles for freedom and justice.” But then she tops that with assurances from “President Zelensky, [who] has pledged to use these funds in the ‘most responsible way.’ We welcome this commitment, as well as his longstanding agenda to strengthen good governance in Ukraine.” Huh?
And here is Yellen’s version of “Why We Fight!”: “Our support is motivated, first and foremost, by a moral duty to come to the aid of a people under attack. We also know that, as President Zelensky has said, our assistance is not charity. It’s an investment in ‘global security and democracy.’ Let’s look at the strategic impact of our support for Ukraine so far. Mr. Putin’s war poses a direct threat to European security, as well as to the laws and values that underpin the rules-based international system.”
So, Americans have a “moral duty” apparently up to and including sending their sons and daughters to die supporting Ukraine. And ah yes, it’s all about the “free” world, democracy and the notorious rules based international system! Has anyone yet cited Hegel’s observation that the President Joe Biden Administration’s foreign policy has already “repeated itself, first as a tragedy in Afghanistan, second as a farce”? Meanwhile one suspects Zelensky was laughing all the way to the bank as Yellen disappeared over the horizon to come up with the cash, as that old expression goes, and he probably already has one of his buddies shopping for a new villa on the French Riviera to supplement his other real estate! But wait! The story became even more exciting the following week, involving another visit to Mr. Z by America’s nearly invisible Attorney General Merrick Garland, a man who can literally look Z in the eye as they are both very short. Garland is generally engaged in chasing white supremacists and requiring all new FBI hires to learn all about how to identify and pursue antisemites, but he has made two trips to Kiev to meet mano-a-mano with the brave olive drab t-shirt clad warrior who is already being beatified as the twenty-first century’s Winston Churchill.
Garland was in town to do the other thing that engages his sense of law and order, which is to set up a tribunal to arrest, prosecute and punish Russian war criminals after Ukraine emerges triumphant from its conflict with the unimaginably evil President Vladimir Putin. It would be modeled on the Nuremberg Tribunals that tried leading Nazis after the Second World War, and Garland has cited his family’s escape from the so-called holocaust to explain why he is intent on personally being involved in delivering what he describes as “justice.” A Justice Department spokeswoman described Garland’s mission as being in Kiev to personally “reaffirm America’s commitment to help hold Russia responsible for war crimes committed in its unjust and unprovoked invasion against its sovereign neighbor.”
Garland had several meetings with President Volodymyr Zelensky and foreign law enforcement officials including Ukrainian Prosecutor General Andriy Kostin while attending what was billed as the “United for Justice Conference.” Zelensky elaborated that the purpose of the conference was to hold Russia’s leadership accountable for the alleged atrocities carried out by its army. “The main issue of all these meetings is accountability,” he said. The US Justice Department is reportedly actively engaged in the gathering of evidence to indict the Russians. During Garland’s first visit to Ukraine in June 2022 he announced the appointment of Eli Rosenbaum, an Office of Special Investigations prosecutor best known for going after former Nazis, to direct American efforts to identify and track Russian war criminals.
Garland laid it on thick, as was expected from someone responsible for prosecuting the rest of the world when it steps out of line. He told his hosts that “Just over twelve months ago, invading Russian forces began committing atrocities at the largest scale in any armed conflict since the Second World War. We are here today in Ukraine to speak clearly, and with one voice: the perpetrators of those crimes will not get away with them. In addition to our work in partnership with Ukraine and the international community, the United States has also opened criminal investigations into war crimes in Ukraine that may violate US law.” He concluded by throwing out the complete bullshit party line much beloved by Joe Biden and Tony Blinken, that “The United States recognizes that what happens here in Ukraine will have a direct impact on the strength of our own democracy.”
Of course, there is more than a little bit of irony in all this, not to mention top level hypocrisy, as the United States has killed more people directly or indirectly while committing more crimes against humanity dished out in various ways over the past twenty years than any other country, except, predictably, Israel, which currently is committing crimes against humanity on a nearly daily basis. Curiously, however, the normally tone-deaf White House and Pentagon seem to understand, on a certain level, that opening up Pandora’s box might not be a good idea when it comes to war crimes. Last week Secretary of Defense Lloyd Austin refused to share US information on alleged Russian crimes with the International Criminal Court (ICC) in the Hague. The Pentagon is blocking the Biden administration from sharing evidence with the ICC collected by American intelligence agencies regarding Russian activities in Ukraine because helping the court investigate Russians might set a precedent that could help pave the way for it to prosecute Americans. Washington does not recognize the ICC, fearing that it might well seek to examine the sorry record of US military crimes in Asia and Africa. Israel similarly does to recognize the court for roughly the same reason.
So here we are, two top level officials from the Biden regime sneak into Kiev to give an arch crook money and unlimited moral support, together with a pledge that more cash is on the way as are arms and war crimes tribunals await those nasty Russians. And guess what? It is all packaged as being good for America! This sounds like a song that was sung previously in places like Vietnam, Iraq and Afghanistan and it was a tissue of lies then just as it is now. Yellen ought to have stayed home to tend to the banking system and should be giving the billions of dollars earmarked for Zelensky back to the American people. If Garland wants to investigate anyone it should be the Pentagon, the intelligence agencies, and Congress. And yes, his own FBI! And don’t forget how the Bidens and Clintons became multi-millionaires! And then there is the destruction of Nord Stream. Funny how every time one turns over a rock in and around the US government something really smelly surfaces.
Philip M. Giraldi, Ph.D., is Executive Director of the Council for the National Interest, a 501(c)3 tax deductible educational foundation (Federal ID Number #52-1739023) that seeks a more interests-based U.S. foreign policy in the Middle East. Website is councilforthenationalinterest.org, address is P.O. Box 2157, Purcellville VA 20134 and its email is inform@cnionline.org.
“Disinformation experts” blame “conspiratorial narratives,” “far-right websites,” for Silicon Valley Bank panic
Amidst calls for online censorship
By Cindy Harper | Reclaim The Net | March 18, 2023
Just days after a Senator was caught asking whether there were systems in place to censor social media in an attempt to prevent a bank run, “disinformation experts” are partially blaming the Silicon Valley bank collapse exacerbation on online conspiracy theorists on social media.
“Russian media outlets, far-right websites, short sellers and doomsday preppers were among those who pushed and amplified conspiracy theories online focused on the collapse of Silicon Valley Bank,” Bloomberg alleges.
According to anti-disinformation for-profit firm Alethea, a wide range of accounts used the bank’s collapse to promote their own agendas.
The firm’s founder Lisa Kaplan told Bloomberg that the claims by venture capitalists speculating the collapse of the bank that were amplified “propagandists and foreign influencers” contributed to the collapse of the bank.
“We assess that these outlets may have increased online panic and contributed to the broader cross-platform spread of false or misleading content about SVB,” Kaplan said to Bloomberg.
“We also assess that conspiratorial narratives may have accelerated panic, which then posed a risk to the broader financial system,” she said.
“This shut down a bank, and I’m concerned about it happening again,” Kaplan added.
Multiple pundits and websites claimed that the bank collapsed because of the prioritizing of environmental, social, and government initiatives over risk management.
Pfizer wants EU to keep paying for unused Covid jabs
RT | March 15, 2023
Pfizer has offered to extend its Covid-19 vaccine contract with the European Union while scaling back deliveries, but still expects the bloc to pay billions of euros for unused doses amid a major supply glut in some countries, the Financial Times has reported. The offer prompted outrage from a handful of member states, who say the deal would serve the interests of Big Pharma over their own citizens.
The contract extension would push the vaccine agreement out to 2026, with a proposed 40% reduction in the number of doses supplied as well as delays to deliveries, the newspaper reported on Tuesday, citing two unnamed officials.
However, despite the suggested cuts, the US pharma giant still insists that it be paid for the full number of doses originally agreed upon, many of which would never be produced under the new terms.
The amendments to the deal – the full text of which has never been made public – were presented by European health commissioner Stella Kyriakides during a closed-door meeting in Brussels on Tuesday, but faced objections from some EU members.
In a joint statement issued following the meeting, officials from Bulgaria, Hungary, Lithuania and Poland said they would not sign the agreement with the proposed changes, as they “do not present a final and fair solution to the problems of the Covid-19 vaccine surplus and do not meet the needs of the healthcare systems, the needs of citizens and the financial interests of the member states.”
Polish Health Minister Adam Niedzielski argued that the current Pfizer proposal would favor Big Pharma, and has called for the secretive contract to be published, questioning the role European Commission President Ursula von der Leyen played in the negotiations for the massive vaccine deal.
An EU watchdog launched a probe into the negotiation and procurement process late last year, after von der Leyen’s office failed to produce personal text messages sent to Pfizer CEO Albert Bourla during the talks for nearly 2 billion vaccine doses, prompting accusations of corruption.
The 27-member bloc originally signed a joint contract with Pfizer in 2020, but since the pandemic receded, demand for vaccines has steadily dropped, leaving an overabundance across the continent. Some countries have been forced to throw away vaccines, with Germany alone tossing out some 36.6 million doses, according to public broadcaster BR24, while others are sitting on large stocks of unused shots, such as Austria, which has reported around 17.5 million in its supply.
However, Czech Health Minister Vlastimil Valek pushed back on the criticisms, arguing that the “majority of countries” had agreed to the deal and that “the contract is not bad.” He added that the large stock of doses would not pose a problem as “Covid is still here” and “It will be necessary to repeat vaccination each year for a particular group of patients.”
Where Is Occupy Silicon Valley?
By Craig Pirrong | Brownstone Institute | March 13, 2023
Bank failures tend to come in waves, and we are experiencing at least a mini-wave now.
Banks fail for three basic reasons: 1. Credit transformation: deterioration in borrower creditworthiness, usually due to an adverse economic shock (e.g., a real estate bust). 2. Maturity transformation: borrowing short, lending long, and then getting hammered when interest rates rise. 3. Liquidity transformation combined with an exogenous liquidity shock, a la Diamond-Dybvig, where idiosyncratic depositor needs for cash lead to withdrawals that exceed liquid assets and therefore trigger fire sales of illiquid assets.
The two most notable failures of late–Silicon Valley Bank and Silvergate–are examples of 2 and 3 respectively.
In some respects, SVB is the most astounding. Not because a bank failed in the old-fashioned way, but because it was funded primarily by the deposits of supposed financial sophisticates–and because of the disgusting policy response of the Treasury and the Fed.
SVB took in oodles of cash, especially in the past couple of years. The cashcade was so immense that SVB could not find enough traditional banking business (loans) to soak it up, so they bought lots of Treasuries. And long duration Treasuries to boot.
And then Powell and the Fed applied the boot, jacking up rates. Bonds have cratered in the last year, and took SVB’s balance sheet with it.
Again, an old story. And hardly a harbinger of systemic risk–unless such reckless maturity mismatches are systemic.
SVB was the Banker to the Silicon Valley Stars, notably VCs and tech firms. These firms are the ones that deposited immense sums in exchange for a pittance of return. Case in point, Roku, put almost $500 million–yes, you read that right, 9 figures led with a 5–into SVB!!!
I mean: what the eff? Was the Treasurer a moron? For who other than a moron would hold that much in cash in a single institution? (Roku claims its devices “make your home a smarter.” Maybe they should have hired a smarter treasurer and CFO, or replaced them with one of its devices). Hell, why is a company holding that much in cash period?
A few of these alleged masters of the universe (like Palantir) saw the writing on the wall and yanked their deposits: deposits fell by a quarter on Friday alone, sealing the bank’s doom. Those who were slow to run howled to the high heavens over the weekend that if there was not a bailout there would be a holocaust in the tech sector.
Even though the systemic risk posed by SVB’s failure is nil (or if not, then every bank is systemically important), the Treasury Department and the Fed responded to these howls and guaranteed all the deposits–even though the FDIC’s formal deposit insurance limit is $250,000. You know, .05 percent of Roku’s deposit.
When evaluating this, one cannot ignore the reality that the Democratic Party is completely beholden to Silicon Valley. This is beyond scandalous.
Occupy Silicon Valley, anyone?
Treasury Secretary Janet Yellen insulted our intelligence by assuring us this is not a bailout. Well, it’s not a taxpayer bailout, strictly speaking, because the Treasury is not providing the backstop. Instead, it is being funded by a “special assessment” on solvent banks. Which are owned and funded by people who also pay taxes. And such an “assessment” is a tax in everything but name–because it is a contribution by private entities compelled by the government.
The policy implications of this are disastrous. The whole problem with such bailouts is moral hazard. What is to stop banks from engaging in such reckless behavior as SVB did if they can obtain seemingly unlimited funding from those who know that they will be bailed out if things go pear-shaped?
And the regulatory failure here demonstrates that bank regulation–despite the supposed “reforms” of Frankendodd–can’t even catch or constrain the oldest bet-the-bank strategy in the book. Free banking–no deposit insurance, no bailing out of depositors–couldn’t do worse, and would likely do better.
No, the failure of SVB is not the scandal here. The scandal is the political response to it. This reveals yet again how captured the government is. This time not by Wall Street, but by tech companies and oligarchs that are currently the primary source of Democratic political funding.
A couple of weeks ago the Silvergate story looked juicy, but SVB has put it in the shade. Silvergate also grew dramatically, but on the back of crypto rather than SV tech. It became the main banker for many crypto firms and entrepreneurs. The crypto meltdown did not affect Silvergate directly, but it did crush its depositors, the aforesaid crypto firms and entrepreneurs. They withdrew a lot of funding, and an old-fashioned liquidity mismatch did it in.
In traditional banks, deposit funding is “sticky.” Banks that rely on wholesale funding (“hot money”) are more vulnerable to runs. Silvergate’s funding was not traditional sticky deposit funding, nor was it hot money per se. It was money that was pretty cool as long as crypto was cool, and became hot once crypto melted down.
A run started, but the run was precipitated by a liquidity shock. Simple story, really.
Silvergate’s failure was not a scandal. SVB’s failure per se was not a scandal (except to the extent that our vaunted banking regulators failed to prevent the most prosaic type of failure).
Again–the scandal is the politically tainted response that will have baleful consequences in the future, as the response virtually guarantees that there will be more SVBs in the future.
Let’s compare China’s ‘agents’ in Canada to Israel’s
By Yves Engler | March 11, 2023
What would happen if the media and intelligence agencies applied the same standard used regarding China to the Israel lobby?
In the Globe and Mail Andrew Coyne has written two columns in recent days arguing that the discussion over Chinese interference should focus on “domestic accomplices”. “What we need a public inquiry to look into is domestic complicity in foreign interference”, noted the regular CBC commentator.
In a similar vein Justin Trudeau responded to criticism regarding purported Chinese interference by noting, “We know that Chinese Canadian parliamentarians, and Chinese Canadians in general, are greater targets for interference by China than others.” The prime minister added, “We know the same goes for Iranian Canadians, who are more subject to interference from the Iranian government. Russian speakers in Canada are more vulnerable to Russian misinformation and disinformation.”
Why ignore how Israel and its Canadian lobby use Jewish MPs and Jewish organizations as their agents?
The leading Israel advocate in parliament, Anthony Housefather chairs the Canada-Israel Interparliamentary Group. That group was previously led by another Jewish Liberal MP, Michael Leavitt, who resigned to head Israel lobby group Friends of Simon Wiesenthal Center. Housefather and Leavitt have repeatedly met Israeli officials in Canada.
As part of the media frenzy about Chinese interference, there has been significant discussion about Trudeau attending a 2016 Liberal Party fundraiser at the Toronto home of Chinese Business Chamber of Canada chair Benson Wong. Among the attendees was Chinese Canadian billionaire Zhang Bin who is alleged to have donated to the Trudeau Foundation/University of Montréal at the request of a Chinese government official.
But Trudeau has far more extensive ties to pro-Israel funders. Since 2013 the chief fundraiser for the Trudeau Liberals has been Stephen Bronfman, scion of an arch Israeli nationalist family. Bronfman has millions invested in Israeli technology companies and over the years the Bronfman clan has secured arms for Israeli forces and supported its military in other ways. Bronfman openly linked his fundraising for Trudeau to Israel. In 2013 the Globe and Mail reported:
“Justin Trudeau is banking on multimillionaire Stephen Bronfman to turn around the Liberal Party’s financial fortunes in order to take on the formidable Conservative fundraising machine…. Mr. Bronfman helped raise $2-million for Mr. Trudeau’s leadership campaign. Mr. Bronfman is hoping to win back the Jewish community, whose fundraising dollars have been going more and more to the Tories because of the party’s pro-Israel stand. ‘We’ll work hard on that,’ said Mr. Bronfman, adding that ‘Stephen Harper has never been to Israel and I took Justin there five years ago and he was referring at the end of the trip to Israel as ‘we.’ So I thought that was pretty good.’”
In 2016 Trudeau attended a fundraiser at the Toronto home of now deceased billionaire apartheid supporters Honey and Barry Sherman. The event raised funds for the party and York Centre Liberal party candidate Michael Levitt. In 2018 CBC reported on multimillionaire Mitch Garber attending one of Bronfman’s fundraisers with Trudeau. On Federation CJA Montréal’s website Garber’s profile boasts that his “eldest son Dylan just completed his service as a lone soldier serving in an elite Cyber Defense Intelligence Unit of the IDF in Israel.”
A thorough investigation of pro-Israel Liberal fundraising would uncover a litany of other examples. And they’ve had far greater success. While the Trudeau government has banned Chinese firms, arrested a prominent Chinese capitalist and targeted that country militarily, they’ve been strikingly deferential to Israel. The Trudeau government has expanded the Canada-Israel free trade agreement, organized a pizza party for Canadians fighting in the Israeli military, voted against over 60 UN resolutions upholding Palestinian rights, sued to block proper labels on wines from illegal settlements and created a special envoy to deflect criticism of Israeli abuses. During a 2018 visit to Israel former foreign affairs minister Freeland announced that should Canada win a seat on the United Nations Security Council it would act as an “asset for Israel” on the Council.
Part of the Chinese interference story is about funding University of Montréal and University of Toronto initiatives tied to China. But Jewish Zionist donors have set up far more initiatives, including numerous Israel and Israel-infused Jewish studies programs.
Having fought to establish Israel and with major investments in Israel, David Azrieli spent $5 million to establish Israel studies and $1 million on Jewish studies at Concordia University. At the University of Toronto more than $10 million was donated to establish the Anne Tanenbaum Centre for Jewish Studies and the Andrea and Charles Bronfman Chair in Israeli Studies. Millions of dollars more have been donated to launch similar initiatives at other universities.
On many occasions pro-Israel donors have leveraged donations to block academic appointments or suppress discussion of Palestinian rights. The hundreds of millions of dollars donated by Israel supporters (Schwartz/Reissman, Peter Munk, Seymour Schulich, etc.) partly explains why over a dozen Canadian university presidents recently traveled with apartheid lobby group, the Centre for Israel and Jewish Affairs, to Israel despite opposition from significant segments of their institutions.
Much more influential than the ‘China lobby’, the Israel lobby has largely been ignored in recent discussion about the need for an inquiry into foreign interference. But any serious foreign agent registry ought to include the apartheid state’s domestic accomplices.
US House Passes Bill Prohibiting Government Workers From Censoring Speech in Official Role
Sputnik – 10.03.2023
WASHINGTON – The US House of Representatives passed a bill to prevent federal government employees from censoring speech in their official capacity, amid hearings by congressional committees on the collusion between tech companies and the government to “moderate” content online.
House lawmakers passed the Protecting Speech From Government Interference Act along partisan lines on Thursday in a vote of 219-206.
The bill prohibits employees of executive agencies or those otherwise in the competitive service from using their official authority to influence or advocate for a third party, including private entities, to censor speech.
“Government agencies such as the FBI and the State Department have been working behind-the-scenes with Big Tech to silence American citizens expressing conservative views online,” House Majority Leader Steve Scalise said in a statement on the bill. “Americans have the right to express themselves lawfully online without the government controlling the narrative.”
Earlier on Thursday, a House select subcommittee held a hearing with authors of the so-called Twitter Files to hear testimony on the collusion between Big Tech, government agencies and private organizations – dubbed the Censorship-Industrial Complex – to moderate, suppress and censor online content.
The Twitter Files have revealed how the US government collaborated with Big Tech companies such as Twitter to suppress information related to COVID-19 and the Hunter Biden laptop story, among others.




