Ukraine descends into dictatorship.

 STRESS AND DESPERATION DESTROYING DEMOCRACY

LITTLE EVIDENCE OF SELF-GOVERNMENT

Everyday witnesses the unraveling of any hope of a democratic government in Kiev. First it was the outlawing of opposition political parties, then the elimination of an independent press. Now, the elimination of any elections and all decisions are being made in a dictatorial manner.  

The latest has been the attacks on the Russian Orthodox church, a mainstay of Ukraine for centuries, mostly because it has the word Russian. Now Kiev has instituted conscription checkpoints to stop vehicles in an attempt to find more recruits to send to the front. Then changing the date of the celebration of Christmas to be more in line with western nations. All these decisions are being made by Zelensky and his inner circle, it appears there is not a parliament, no elected representative  government.

We have seen the forced conscription of now 17 year olds and old men, the average age of the Ukraine army is now 43. Women are now also subject to conscription.

It was this trend of instituting authoritarian and biased social and political policy that resulted in the revolt of the Russian dominated population of eastern Ukraine in 2014. Discrimination, banning of the Russian language and remaking history to suit the western part of the country. This latest decline into an authoritarian government will not be in the best interest of their country. Up to now it has the support of the majority of its citizens in the western parts of the country, those who want to be part of the west. Most of the conscription has been on the population of the eastern part of the country, now it finally is moving to include those in the west.

Internal division is growing between the generals and political leaders, there has been poisonings and grenade attacks on members of the military leadership. Without unity and a belief in a better future, the Russian advance in the east may be the least of their worries.

 

Operation Prosperity Guardian: U.S. and ?

 RED SEA COALITION? OR JUST GOOD INTENTIONS

MORE DEMANDS FOR U.S. FINANCES

With much fanfare the U.S. has announced a coalition of 10 nations, maybe 20 but who are not ready to be named, who will join in the effort to keep the red sea open for navigation. It appears that this will be a U.S. operation with several coat holders and observers giving support.

The coalition is to made up of the United States, Uk, Canada, Netherlands, Norway, Bahrain, France, Italy, Spain, and Seychelles.

The U.S. to send up to 3 warships.

Uk, 1 destroyer.

Canada 3 staff officers.

Netherlands 2 staff officers.

Norway 10 staff officers.

Australia 11 personnel

Italy and France claim they each have a warship in the area, but will not be under the command of Operation Prosperity guardian.

This list is not comprehensive as there may be others and it also may be changing.

So in effect this is a U.S. operation, that is hoping to protect shipping that will originate in the Persian gulf and China and ship goods to Europe. Of course this is supposed to be to protect shipping to Israel.

While it may be possible to stop direct surface attacks and possibly shoot down incoming drones and rockets, it may be impossible to offer complete security. The kind of security that would entice international shipping companies to risk Billions in ships and cargo.

So far it appears that all ships, including the U.S. ships, are refraining from entering the narrow Bab-el-Mandeb strait. 

It is unlikely that access to this strait can be assured without attacking the Houties from the air, sea and possibly ground forces. It is unlikely that any such coalition will be found to accomplish this.

Time for all taxes to be adjusted for inflation.

 GOVERNMENT PROFITS FROM INFLATION

OVERSPENDING CREATES INFLATION, THEN INCREASES TAXES ON CITIZENS

Tax time is just around the corner and it will bring surprises for many. There is a need for many taxes to be adjusted for the constantly rising inflation. While there are some adjustments being made as to the tax brackets, even they are not realistic with the rising inflation. 

We must be aware that inflation is reflected in rising prices of both needed things like food and energy, but also in asset values. This is a direct result of deficit spending, where the government spends more money than it receives in taxes. In reality, the value of your money and savings is declining in purchasing power. It is not an accident, it is in effect a tax on everything you own.  While it is often reported that adjustments are made to things like social security etc, they never fully  compensate for inflation. The Federal Reserve wants inflation, chooses a target of 2%, which is intentionally devaluing your money and assets by 2% a year. It is in the governments best interest to have inflation. Secondly their calculation often remove items such a food and energy from the equation, those items that are necessities. So, in effect, their calculations are also intentinly shewed to give a false calculus to real inflation.

The biggest scam is perpetrated when it come to capital gains. For instance, say you buy a stock in 1990 for $20 a share, with of course earnings that were far more valuable in purchasing power than $20 today. So you then decide to sell that stock that is now $40 a share and you feel you have done well, In effect if you calculate for compounded inflation your $40 may actually have less buying power than it did in 1990. In fact your $20 dollars in 1990 adjusted for inflation should be $46.04 just to break even, so in effect adjusted for inflation you have a loss of $6.04. 

Then the government calculates that you have a capital gain of $20 and requires a 15% tax or $3.00 a share for a realized loss of $9.00 a share due to inflation and taxes that do not account for inflation.

In the future you can expect that inflation is going to be higher and your purchasing power declining due to governments intentionally creating inflation. 

The other fact that needs to be addressed is that while all capital gains are taxed, losses can only be taken up to $3000. a year. If you should have loss of $30,000 it will take you 10 years to deduct this loss from your gains. If you are elderly you may not live that long.     

Then there is interest in the bank it is always a losing proposition, it never accounts for inflation, is never more than inflation, is always less, then you are required to pay taxes on this losing proposition.  

We must all realize that our government is continually in process of confiscating our earned and saved wealth, and yet they still do not have enough money.

 

Ukraine now fully moves to defensive mode.

 RUSSIA MAKING STEADY INCREMENTAL ADVANCES

LOOKS LIKE LONG STRATEGY OF ATTRITION ON UKRAINE AND NATO

The fighting continues along the 600 mile conflict line, with steady pressure and small advances by Russia. Russia has several 100 thousand troops in reserve with enough equipment and supplies for a major concentrated offensive, but it seems that is not the current strategy and may not be the long term plan.

Ukraine is attempting to conscript another 500,000 troops, but it seems that it has expended its supply of motivated personnel. While they are forcibly recruiting new personnel they most likely will never be authentically motivated. They are running short of all types ammunition and most of the troops have been in active combat for over 9 months. Their new orders have been to dig in and attempt to resist any advances from Russia. This 600 mile conflict line has been fortified for near 10 years, it is unlikely they can increase it effectiveness very much. The fighting is intense every day and Ukraine is still putting up a formidable defense.

While the debate over strategy ended for Russia with the demise of  Yevgeny Prigozhin, who was the chief advocate of a intense concentrated overwhelming offensive to end the conflict as quickly as possible. He believed it would save lives and material in the long run. His defeat of Ukraine in Bakhmut was a devastating battle for both sides but was a decisive victory for Russia.

It seems the Russian strategists are content to keep a steady pressure on Ukraine to force them to engage and take losses of men and equipment. It is apparent they view this as a war with NATO and the U.S. and they see the growing economic and social problems in Europe and the U.S. being combined to take a toll on the Wests ability to maintain support for this war. While a major offensive could end this war more quickly, it could also further rally support from the West, including NATO involvement. 

So at present it appears the Russians must conclude a long drawn out expenditure of western resources and Ukraines inability to provide manpower will in the long run be a more permanent victory over both Ukraine and NATO.

Russian sanctions and Environmental rules destroying Europe.

 IS THIS COLLATERAL DAMAGE OR THE REAL GOAL?

RESULTS WILL BE LIFE THREATENING TO CITIZENS

It is interesting to watch as the EU policies of enacting laws and enacting sanctions on Russia amount to nothing more than symbolism over real results. For decades they have been enacting policies to end the production of fossil fuel production and end the use of nuclear energy without any meaningful strategy of replacing these energy sources. Many advocated the use of natural gas as the bridge fuel until a suitable replacement could be found. The source of that bridge fuel was Russia. Readily available and at very reasonable cost.

We also see them raising the tax on diesel fuel, particularly to their farmers, who have no alternative to diesel fuel in operating farm equipment. We see them attempt to actually eliminate farming entirely in some regions. Eliminate the raising of cattle for meat and milk. All in the pretext of saving the planet. There is actually no proof that any of these measures have had any real effect in the EU other than make them dependent on other countries to provide energy and soon food, all at inflated prices.

Then they decided that they would support the U.S. in its master plan of containing and encircling Russia by the continuous expansion of NATO. The very country that they have become dependent on because of their environmental policies. Then when Russia pushed back they thought it would be good to show Russia that they would damage them by refusing to buy their energy products. Energy that they cannot replace except by higher priced energy, that if continuing, will deindustrialize them and eventually leave them cold and hungry.

Now we see more attempts of symbolic sanctions that will have no effect on Russia, but will further damage their own economies. We see sanctions on gold from Russia, gold that is no different than gold from anywhere else, impossible to sanction. The gold will be sold, there are billions of other buyers. Now we see sanctions on diamonds from Russia, at the same time India opened a diamond exchange that will process diamonds, many will end up in the EU at inflated prices and without any profit for EU dealers. The same as the sanctioned Oil and Gas, it will end up in Europe but at higher prices. 

One has to wonder if these leaders are just that naive and hoping to have an image that is fashioned by symbolism without any real care for the wellbeing of their citizens. Their policies will soon make life very difficult if not life threatening. 

It seems many of the leaders of the western world are more concerned with their image in the social circles that they travel in than the future of their countries and citizens. It seems they have contracted the Marie Antoinette disease of "Let them eat cake" a symptom that is contracted by many leaders when they become isolated and out of touch with their citizens. History proves the prognosis is usually terminal.

War with Houthis in Yemen.

 U.S. NOW SUPPORTING THIRD CONFLICT

SAUDIS WERE CONDEMNED FOR THEIR ACTION AGAINST  HOUTHIS

Yesterday it was announced that the U.S. will lead a coalition to protect the seaways in the Red Sea. The coalition is mostly made up of European allies, Bahrain is the only middle east participant. Suez traffic mostly affects supplies to the European customers, particularly energy. A little hypocrisy is now evident, as the EU condemned Saudi Arabia for their conflict with these same people, who were launching rockets into Saudi Arabia. Those rockets had no effect on the EU, but now that vulnerable oil supplies are involved, it is a different story.

We can expect that this coalition will be mostly made up of U.S. warships. The reality is that if the Houthis back off, all will be well, but if they should be so fortunate, or unfortunate to damage or sink a U.S. warship it will then be war. Then we will not hear any protests or complaints and Yemen and the Houthis will be punished severely.

It seems that the U.S. is now being dragged into another conflict, with Ukraine on the verge of collapse and the Gaza war continuing it all requires materials and equipment from the United States. It can only put a further drain on U.S. resources that are already stretched thin and compounded by an escalating budget deficit.

It seems U.S. politicians still believe the United States has unlimited resources and enough military power to control the world. One must wonder where the next conflict will spring up that needs to be addressed. Eventually it will become necessary to focus on only those conflicts that are a threat to U.S. interests. Hopefully there will be the necessary resources and will remaining when that time comes.

The invasion of our southern border may be a greater threat to the stability of the country, than all these foreign conflicts combined.

Is Finland going to become the new Ukraine?

 FIRST NATO, NOW U.S. TROOPS AND BASES

IRRATIONAL DECISIONS FROM HELSINKI

While we see the dwindling expectations of Ukraine becoming a NATO member, we see Finland stepping up to take their place. After decades of reasonable relations and cross border trade, one must wonder what the advantage is for Finland to now decide to become a NATO member. Is this a reasonable and objective decision or just another emotional hope of becoming accepted by the crowd. 

With GDP of just over $300 billion it will now need to spend at least $6 billion in upgrading its military by buying U.S. manufactured weapons. At the same time it is in effect ending all commerce with Russia for the foreseeable future. Russia considers this move to be a hostile act and is in the process of strengthening its military presence on their 833 mile border. With a population of just over 5 million it would be near impossible to police their border without foreign troops. It is also very possible that Russia will set up a defense corridor with mines and electronic surveillance.

Russia is also perplexed by this decision, as Finland has no real value to Russia, Russia has enough timber, it does not need Finish lumber. While Russia does consider this a hostile act, they will unlikely consider any military action against Finland, but it can be expected that Russia will make things more difficult for Finland.

The real problem would arise if NATO would decide to use Finland as a staging ground and to open a northern front in an invasion of Russia. A real possibility due to the vehemence of the antipathy against Russia in Washington and London. Once foreign troops and bases are placed in Finland they will probably lose the ability to chart their own future. Any such development would be devastating to the people of Finland.

In the age of "you are either for us or our enemy" it seems Finland has hitched its wagon to NATO and placed it future in the hands of western decision makers. It is hard to see the positive results of this decision.