Prohibition, Financial Crisis, WAR


Who was Germany's ally in WW1? (Amounts in kilos)

If you guessed Turkey, you identified the German ally These United States exempted from a declaration of war in 1917 and shielded from accountability for genocidal extermination of Armenians. The graph does NOT tell you that the 6400 kg of opium China shipped to Germany came in large part from confiscated shipments after the 1911 revolt that ousted the Qing Empire and ended foreign dumping of opiates. Prohibition zealots are good at eliding inconvenient facts, but to understand how prohibition wrecks national economies it helps to understand that the freer the trade, the wealthier the nation. Does that mean that adding coercive meddling via deadly force impoverishes an economy? Let's find out. 

My government-mandated History classes at UTexas thrilled at the showdown between banker Nicholas Biddle and President Andrew Jackson over the primitive national bank and were given to understand the Panic of 1837 resulted from that squabble. Unmentioned was the contemporary showdown between Britain's chartered East India Company and the Qing Empire over supplies of opium grown in Colonial India and shipped to China's black market. It took the Chinese until January of 1836 to realize that the British government was no longer empowering the East India Company. Imperial resolve hardened in March and by December of that year Chinese officials had decided to officially dispense with the opium traders and offered them the option of voluntary departure in lieu of deportation. Surely you recall this from your history classes in college, correct? If not, this slow-travelling news may interest you. (Sydney Morning Herald May 15, 1837 p. 4--Edict From the Viceroy) 

You, the Hong merchants, within three days from these dates, must obtain deposition from the said barbarians, each specifying the time fixed for his departures; and you your selves must give us written depositions, pledging your persons and your property that you will not permit them to linger beyond the proper time. Let no delay be allowed. Only wait till the periods for their respective departures have arrived, then immediately report (each case) for our examination.
If when the time has arrived, they again begin to make their excuses, then it will be true that the said barbarian merchants are mad in pursuit of illegal gains and do possess perverse and obstinate hearts. 
As for ourselves, we shall carry the business through without the shadow of turning, or the slightest indulgence. Firmly upholding the laws, we shall see that they are executed with equal rigor on the foreigner and the native, in order to make illustrious the reign of his celestial majesty. Say not that warning hs not been duly given. Tremble and keep silence. --A special edict.
Taou Kwang, 16th year, 11th month, 6th day. (next p. link)
Canton, December 13th, 1836. 

In New York City, the main point at which federal revenue was collected in 1836, the drain on reserves was especially severe. Specie held by New York banks dropped from $6 million in August 1836 to less than 4 million in December. Money in the main eastern centers became scarcer. This is hardly surprising, since in order to preserve revenue from Indian opium sold in China the British monarch had seen to it that American municipal improvement bonds were liquidated and warships equipped to teach the Wily Orientals a lesson. This monetary event helps explain motivation for the Specie Circular blocking paper money acquisition of forested domains taken by the government via "indian removal" and genocide. (link)

Good reading: Strong Medicine, by Arthur Hailey (link) If you liked Atlas Shrugged as a look inside the railroad industry with a capable female executive, you'll love this delightful delving within the pharmaceutical industry. 

Find out the juicy details behind the mother of all economic collapses. Prohibition and The Crash–Cause and Effect in 1929 is available in two languages on Amazon Kindle, as cheap as a pint of craft beer.

What caused The Crash?

Brazilian Sci-fi from 1926 featuring the Hollywood-style beautiful daughter of a scientist touting prohibition and racial collectivism in America’s Black President 2228 by Monteiro Lobato, translated by J Henry Phillips (link)

Three dollars on Amazon Kindle

Brazilian blog… Expatriotas

American blog… Libertariantranslator, with contact form

Tagged: prohibition, confiscation, asset forfeiture, initiation of force, blackouts, energy crisis, liquidation, liquidity, bankruptcy, Crash, Depression, communism, inviting attack, treason, economic collapse,

Tags: asset forfeiture, bankruptcy, blackouts, communism, confiscation, Crash, Depression, economic collapse, energy crisis, initiation of force, inviting attack, liquidation, liquidity, prohibition, panics, fractional reserve banking,


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