Sugar Daddy FED Creates Generation of Prostitutes

Sat, Jul 9, 2016 - 11:47am

Economics is based on human behavior. “One of the central tenets of economics is that people want certain things and will change their behavior to get those things – in other words, people will respond to incentives.”

Applying this to the FED’s policies, and ramifications, should then yield logical connections between the results of the FED’s policies, and their intentions in implementing them, then, right?

Stated differently, the FED intends the consequences of their actions, correct?

If the consequences are unintended, then, it means that the FED’s actions were lacking intellectual rigor, meaning they stupidly did not consider the outcome before acting. Or, nefariously, instead, the FED’s claim that the consequences were not intended is but a lie, as the reality is that the FED intended that which occurred all along.

So, with this backdrop, let’s look at some consequences of the FED easy money, in a way that exposes the FED as a corrupt organization hell bent on saving the too big to fail banks at all costs.

The FED’s easy money policies have given those with first access to the money enormous sums of paper fiat, which has in turn driven up asset prices, boosted the stock market, allowed big corporations to buy back their own shares, artificially boosting price and giving those corporate big wigs outsized bonus payments and stock option windfalls. This reality of artificially boosting stock prices has not worked to stimulate the economy, but instead has only created a larger gap between the haves and the have nots.

The easy money FED has also done generational damage, priced in terms far to large to quantify. The FED has, through years of reckless, low rates and centralized planning, created a perverse incentive structure for young people in general, and young women in particular.

The FED has so thoroughly and so completely skewed the normal business cycle and the destruction phase of capitalism, that there is no longer any business incentive to create real jobs. Coupled with the inept federal government and its elected officials that are either too corrupt or too timid to enact real economic reforms, but instead doling out even more easy money in the form of student loans, home loans, etc., this has worked in combination to drive up the costs of college, and saddle college kids with enormous student loan debt, that cannot ever get repaid absent some miracle of a high paying job.

So, in a self-fulling cycle of desperation, young women fresh out of college cannot get a real job, or can only get one with low pay.

In a very rational application of economic theory, the incentive structure as discussed above, the recent graduate has a choice: take a low paying job if it is even available, or find another way to pay bills other than getting a traditional job.

So here we are. The new economy. Thank you Greenspan, Bernanke, Yellen, and especially the Keynesian apologists like the bearded-dunce Krugman, who is the modern-day Joseph Goebbels, spouting his Keynesian gibberish that gets a ready audience from his sycophant elected officials caring only for the next election cycle and how much free shit they can give away.

It is with this backdrop, that I am not surprised at all to read an article that speaks openly of the “new prostitution economy.” This was on Drudge recently, in a major publication. It is not Taibbi writing an excellent expose or saying scary things in a way designed to frighten people. No, it is right there for the consumption even in the highest circles of the moneyed class in their ivory towers.

So, why did the FED unleash this new economy, and turn a generation of young women into prostitutes?

Was it intended?

Was it not intended?

If not intended, then how could those ivy-league educated Ph.d’s NOT have seen the natural outcome of years and years of easy money?

I say they DID realize the outcome of their easy money policies would lead to generational paradigm shifts, like turning 20-something women into whores, and despite this foreknowledge, they embarked on their free-money plan because to them, anything else would have been worse!

See, they care only about their own kind: The TBTF banks. Some middle-aged couple’s daughter is not something they care about. Some old man getting a shot of leg, from a comely 20-something hottie, well, that is right in their wheel-house, and why should not captains of industry and the elite moneyed-men realize a little pleasure after decades of doing God’s work?

The reality is that with the Fed printing to infinity, the economy has so severely hampered real job creation, and artificially skewed prices, that such has had profound, societally-corrosive effects.

(1) Wealth is enormous to the elites, such that there are tons of older men paying for sex with 20-something women. And, the same is true for older gay men paying for sex with young men.

(2) College graduates are NOT seeking to earn their way to the promised land with hard work, sacrifice, no. Instead, they are seeking instant rewards, with no stigma or judgment, or real consequences, just like the Fed with its QE to infinity. They want the benefits, with no effort.

But, us normal folks, laboring at the base of the ivory towers, pitchforks in hand, know better. There is no free lunch.

The only way out of this is a return to sound money. Savers are to be rewarded. It is from savings that a society reaps rewards, not beggaring thy neighbor in a race to the bottom, run by centralized planners who wreck all that they touch to keep their place of special privilege.

Read the Vanity Fair article, and try not to become enraged at the banksters. It is a cultural watershed eye-opener of a topic. It flows with the narrative that we live in changing times.

As we have all been witnessing, we are living in a fourth turning, with upheaval about us every day, incrementally becoming more and more apparent, coming with a fury and vengeance just as sure as night follows day.

As I started writing this a week ago, we have had the Minnesota shooting of an innocent black man by militarized police, have had our gun rights come under attack again by calls for gun control, and in a natural cause and effect result, watch as the populace reacts to out of control law enforcement lashing out in a fit of outrage and targeting cops in Dallas and Louisiana, with more on the way in Tennessee, Georgia and Missouri.

Indeed, the populace is waking up, and the consequences of easy money are going to be realized as the end of the Keynesian experiment collapses of its own enormous weight.

Welcome to the Summer of ‘16.

Please prepare accordingly.

Stack silver and gold, and get yourself in shape, healthy, spiritually, mentally, be ready. We are living in interesting times.

About the Author


Jul 9, 2016 - 11:51am


Nope, second.

Jul 9, 2016 - 11:58am

Happy Weekend All

1st Now to read.

Edit: Just for the record, I prefer 20 something women not 20 something men.

Jul 9, 2016 - 12:05pm
Jul 9, 2016 - 12:07pm


to H/T Cal Law. Sitting home, listening to the thunder, waiting for #thehalvening or work to call. Wondering which will happen first.

Marchas, you're up.

Jul 9, 2016 - 12:07pm

We know they can't be stupid if they rose that high

Knowing that, we must also conclude they desired this outcome. Why did they desire it? It turns every honest citizen into a criminal, thereby placing the entire populace at the mercy of the police. Why should they want that? In order to have leverage over anyone who might object to their scheme.

So what can we do? Go on a rampage? Lay down our lives in the hope the anesthetized populace will somehow wake up? Work two jobs so there will be enough left for you and yours once the parasites have their fill? I'm firmly convinced the only way to fight the system is to hide one's assets (in PMs), join the Free Shit Army and then start a small cash business so there is a source of untraceable money.

Know inside yourself that anything you have may be clicked away in an instant. Keep enough in PMs to start a new life at any time. If I knew how to create a new identity I'd do that, just to have on hand should a move become necessary. Having to find out something like that at the last minute is definitely suboptimal.

Remember, there's a whole long list of people said, "Oh, that'll never happen to me". They all thought that. Some of them even said, "I'll stand my ground and die for my beliefs". Well, live for your beliefs. When the machine comes for you, be ready to just softly melt away. You can always get more shiny, much harder to replace a family.

Jul 9, 2016 - 12:20pm

Jul 9, 2016 - 12:25pm

WOW! Cal for the knockout!!!

This this is the most perfectly perfect thing I've ever read : "like the bearded-dunce Krugman, who is the modern-day Joseph Goebbels, spouting his Keynesian gibberish that gets a ready audience from his sycophant elected officials caring only for the next election cycle and how much free shit they can give away."

How many nuclear warhead-grade truth bombs can be fit into one pithy sentence? Our resident wordsmith Cal demonstrates... This is how a professional slices and dices.

The words of warning- heeded. Sad to see what these times are descending into, but not unexpected. Seeds, food, water, gardens, acres, tractor, Pb Au Ag. Check, check and check.

Jul 9, 2016 - 12:27pm


Funny you should mention that. Pornhub and YouPorn both have ads that put a customer in contact with a prostitute, I'm sure many other sites do as well. No idea what they charge, but it's definitely a cottage industry here in the US. That being said, someone of my age (and appearance) is probably better off selling vegetables form a roadside stand. Someone who's willing to pay to have sex with me is someone I'm going to have to charge way more than they can afford.

Jul 9, 2016 - 12:29pm

re: Greek Prostitutes

Could be worse, I guess. Could just be in it for the protein.

Jul 9, 2016 - 12:47pm

Thanks CL...

Ok, I know what I am about to say is very politically incorrect but I believe this to be true. Yesterday my son and I were discussing some of these very things CL is discussing in his excellent post, how difficult it is for young adults right out of college to find good jobs and be about to save enough to buy a home, get married, etc. He will have no debt when he graduates and currently has his own small business, but he is still apprehensive about times to come. I encouraged him to continue the path he is on, and to hopefully in the next few years find a wife who will share his values and want to stay home with children they may have, perhaps even working from home.

I think our society is systematically destroying the nuclear family and one way is glorifying working women and denigrating women who chose to be housewives. Heck, most schools don't even teach home economics anymore and many girls can't even sew on a button. I am convinced that many parents have abdicated their role as primary educator and mentor to their children and we now have a society of moral relativity and ignorance that is taking a huge toll. One major reason of course is we have tolerated our government's policies which result in higher taxes and inflation combined with our appetite for consumer goods which demands two incomes rather than one. Children are growing up being shuttled to too many activities rather than spending time with parents and learning basic skills.

The government of course wants as many taxpayers as possible. For sure there is blame to go around but the solution I think starts with ourselves and the choices we make.

Jul 9, 2016 - 12:50pm


Countries add it to their GDP. Yeah that helps.

Site Note:

Bitcoin reward just halved.

Whitecastle123 Maryann
Jul 9, 2016 - 12:51pm

Great read as always from Cal

The only thing that struck me is when you say an innocent man from Minnesota was shot. I think there is a lot more to this story that will be coming to light soon, if the media allows it.

Jul 9, 2016 - 12:53pm

So true Cal

I've been preaching the same lines, but the violence has to stop and people need to find another way to voice their anger, though I understand. The government is well armed and have been preparing for the collapse for 10 years.

This is one war that they can win :{

Jul 9, 2016 - 12:56pm


Outrageous... connecting these dots has to strike a chord with every decent family.

Jul 9, 2016 - 1:02pm

Thanks Pining!

Yes, that sentence just flowed right out. No editing, just stream of conscience. That's what happens after spending five years on this site! And, you know, I am just trying to keep up with YOU as to your wonderful insights and talents. I'm just humbled I get the occasional hat tip, you know, being a lawyer and all . . . When you find yourself out my way, be sure to call or email. I've got a tee time all lined up for you . . . If you can get Craig out here, even better. Let's take some skins money off him . . .

Jul 9, 2016 - 1:14pm

Thanks for that very timely post, Cal

So... The higher-end prostitution or 'courtesanship' is being touted as a lifestyle choice, a viable and arguably useful profession allowing educated, attractive girls as a means to acquire 'soft skills' of people management and networking... Nice. It is considered part of a woman's right to choose ( which it is ) -- but calling it prostitution is called 'slut shaming'. How very, very passé... It reminds me of a return to feudal capital and power structures, with the Fed and its owners facilitating, nay, FORCING a return to lordships and rightless/powerless class of neo-serfs. But hey, the ladies will soon be listing their experience in Executive Entertainment Management or Executive Motivational Therapy on their resumes. And all the while more of the rich and powerful are providing ample portfolios for enterprising blackmailers to extort influence in politics and industry. It makes me wonder how much of Congressional salaries (and of course side-income) is going to finance such pastimes...

Jul 9, 2016 - 1:14pm


Not politically correct at all what you say. The truth is as you see it.

The simple fact is that with fiat money, the incentive structure has been perverted.

Savings and investment are disincentivized. Period.

Financial engineering, paper shuffling, and busywork, done at the trough of the government handouts, whether through salaries, or subsidies, is the norm now.

The financial fiat numbers are staggering, mind bending, and when put in context, show the depravity of the current system.

For example, how much value to society is, say, a new hydro-electric mega dam, that will both collect water for human use, and generate power as well? Tremendous value you say? I agree. The price tag? $4 Billion. Years of construction work, high paying jobs, decades of societal benefits, right?

Yet, how much did Deutsche Bank pay in LIBOR fines alone? Way more than $4 Billion that is for sure.

So, instead of taking human labor and imagination, applied to capital, and adding value to society in the form of investment, such as infrastructure, our society has become, through fiat currency, a paper scheme, centrally planned, devoid of merit, but instead infested with corruption, by power seeking narcissists bent on control of the masses at ALL costs.

Your reaction and your son's reaction, are normal, and healthy.

Incremental change happens at the margins. If people save and invest, with bullion, not paper, and deprive the fiat masters of that which they crave, I.e., your participation in their paper schemes, then marginally, perhaps imperceptibly at first, then like an avalanche later, the system will change without staggering disruption and tremendous carnage both in human and other terms. Otherwise, the central planners will accelerate their efforts in a hyperbolic manner, as the system crashes to be replaced by who knows what.

The Goebbels reference is done on purpose, as we are firmly in an era of propaganda. It worked then, and it is working now, but not for everyone. Resist, teach, and implement your own solutions, then maybe there will be change? Keep preparing.

Jul 9, 2016 - 1:29pm

CL Yes....

You are absolutely right CL... and dare I say the system's depravity is but a reflection of our own? Well, we can't make choices for anyone else but only for ourselves, "as for me and my house..."

And one of my choices as you say is to save with real money.

Jul 9, 2016 - 1:30pm

Thank You CaL

Awesome grasp and ability to express.

I think that at one time the Fed/bankers/elite did have a grasp on what they thought they were doing, control of the nation (and western civilization) via control of the economy ("If the consequences are unintended, then, it means that the FED’s actions were lacking intellectual rigor, meaning they stupidly did not consider the outcome before acting.") but their hubris and growing senility has presented them/us with grotesque consequences that can no longer be stopped even if they could admit the reality of what they've unleashed. Dementia is is a sad thing whether in a loved one or in one's ruling elite.

Train wreck in progress; driverless vehicle careening out of control, a predicament whose only solution rests on individuals doing what they can to survive the coming storm and emerge on the other side with the where-with-all to rebuild a different world.

Dinosaurs and empires and civilizations die slowly but die they do; history has many examples, some more painful than others, and the passage can be eased with awareness and will.

edit: I think the "race" issue is really an economic/class issue; we just can't bring ourselves as a country to admit we have a profound class issue, race is so much easier to sell to the masses.

Jul 9, 2016 - 1:33pm

Re: Financial Prostitutes

The Little Foreclosure Heard Around The World

Linda Nash Winter Park, FL

In 2004 My home was badly damaged by the 4 hurricanes that devastated Florida that year. Many hundreds of thousands Floridians suffered the same fate. As homes were rebuilt and our state was recovering, Countrywide Home Loans was claiming to assist people in putting their homes and lives back together by offering them “America's Wholesale Lender” Loans..

I later learned that America's Wholesale Lender was nothing more than a registered advertising slogan trademark. It was Not a NY Corporation as stated in the mortgage. It was NOT a member of MERS. It DID NOT have a business license or Mortgage Lenders License and it WAS NOT a legal entity of any kind. This is fraud, and with all cases of fraud you need only to follow the money to find the perpetrator.

The money to fund these mortgages came from the pockets of investors in mortgage back securities. Countrywide (Now B of A) did not put their name on the documents as lender, nor did they place these loans in a trust as required, however, Countrywide and later Bank of America collected the monthly payment and kept it for themselves. In order for this scheme to work, it was necessary for these loan to be designed to fail and the house to fall into foreclosure That way the bank would take possession of the home and no one would be the wiser.

In spite of the fact that I proved this fraud, in a trial in the Seminole County Florida, three judges from the Florida 5th District Court of Appeals overturned that lower court's ruling and not only disagreed with the Lower Court Judge but ruled in favor of Bank of America, and awarded them a judgment of foreclosure, stating that even though Countrywide's name did not appear anywhere on the documents and no one involved had a License to do Mortgage Lending, it was a valid loan. Because the 5th DCA did not return this case to the Trial Court, my constitutional right to defend my property was violated

If you or anyone you know had a Countrywide loan, between the year of 2002 and 2008 you may want to check to see if it was an “America's Wholesale Lender” originated loan. There were reportedly 3.5 Million of these loans, issued nationwide and I believe several hundred thousand of them in Florida. I have all the documents to prove this fraud and offer them to anyone who may need them as well as to Pam Bondi, Florida State Attorney General, and the Office of the Comptroller of the Currency (OCC), to do a criminal investigation regarding Countrywide/Bank of America's egregious violation of the Constitutional Rights of the citizens of Florida and this nation. I am also asking for the OCC to grant an injunction on Bank of America Corp and Bank of America, NA to stop the sale of my home based on this fraud against myself and other homeowners.

This petition will be delivered to:

  • Florida State Attorney General
    Pam Bondi

Read the letter

Jul 9, 2016 - 1:47pm

The IDIOT from the WSJ doubles down

In the end, this is VERY bullish for all of us. When this buffoon finally figures out the "gold market", you'll know we're near the end. For now, just another contrarian indicator, just like his original nonsense from last year.

Jul 9, 2016 - 2:07pm

Seven Fed members will speak next week.

Pet Rock's smiling salesman.

murphy TF
Jul 9, 2016 - 2:40pm

Re: Comment on WSJ

All right! Which one of you Turdites wrote this?

jerome ogden18 hours ago

“…if gold shoots far up from here, it won’t be following the precedents of the past. It will be violating them.”’

Unless your wife’s maiden name is Rosy Scenario, Mr. Zweig, that statement appears to be contradicted by your own preceding statement:

“Adjusted for inflation, gold remains 35% below its record highs of 1980…”

With all the Black Swan cygnets nesting near the markets—Brexit, PIGS, elections, currency food fights,overdue recession et al-- I would rate the chances of chaos approaching, possibly exceeding, that of the early 1980s as better than even. 35% seems the minimum gold is likely to rise sometime in the next few years.

Jul 9, 2016 - 3:52pm

Great post

Thanks CaL, that was just dead-on brilliant. And thanks Maryann for making the connection of a degraded economy to a degraded family. Given Keynes' involvement in the Bloomsbury group (read Rothbard's bio on Keynes), maybe his economic views are just another tooth in the cultural marxists' gear box designed to destroy the family and anything perceived to be the normative morals of a healthy family-centered society. Man I love this site, and it's because you guys really help to articulate the true nature of the seismic changes going on around us. The ground is very much moving under our feet, but this place will help you stay balanced. Thanks again.

Jul 9, 2016 - 4:28pm

Spineless politicians

Great post Cal, but I see it as only one side of the coin. The other is those spineless politicians who care only about themselves (and their insider trading) and not about the good of the country. I guess they have never asked what they can do for their country but only what their country can do for them.

With this mindset there has been no opposition to the corporate/military complex and Washington has been a completely subjugated vassal for many years. Thus we've seen the off shoring of the legacy heavy industry, now called the rust belt, followed by the claim that a vibrant service economy was developing.

As populations stabilized and economic growth reached a plateau the elephant in the room showed itself in the form of peak debt. As the world reaches it's Minsky moment the flaw of purely fiat currencies is revealed. They are Ponzi schemes requiring ever growing participants and ever increasing amounts of currency.

While you see the Fed as nefarious I see them largely trapped by the scheme they started in 1913, funding government for their own benefit, and desperately trying to hang on for a little while longer. It's a losing battle.

Jul 9, 2016 - 5:02pm

Not I...

That must be the other guy named Jerome.

Great article Cal Law. I, for one, would enjoy reading more of your thoughts when the muse visits you or you feel the need to rant.

Jul 9, 2016 - 5:05pm

Can you

Imagine how great this country would be if the Washington insiders focused their efforts and policies on helping our country thrive instead of enriching themselves and their masters? How did our forefathers pull off the Revolution without cell phones, internet and other modern communications? One man or woman cannot solve the problem alone, but even the enlightened do not seem to have a clue as to how to come together to bring about meaningful change. I feel selfish in my preparations for what is to come, but even most of those close to me refuse to act. Perhaps we as a whole, are all still too comfortable? We feel we have too much to lose? I suppose that is what the huge program of entitlements is all about? By the time the population is uncomfortable enough to act, it will probably be too late.

Jul 9, 2016 - 5:33pm

Chanel eh?

I can't help it. From now on any designer label handbag will be a HoBag to me. I hope they don't mind what these people have done to their brand LOL

The really sad thing is that being focused on material goods/survival, these people are completely blind to what is coming. As the long time professionals note, the market is becoming saturated with these amateurs. As soon as the downturn hits, the sugar daddies lose their portfolios. Maybe the cheese sandwich pricing isn't so far off.

So sad to see young people who have no idea about real healthy relationships

Jul 9, 2016 - 5:40pm

Seems simple to me....

The acts of politicians (whores) beget more whores.


It is better to have more whores than more politicians.


Some whores are "worth a f#%k" but not so with the vast majority of politicians.

(Sarah Palin, Michele Bachmann, et al, excepted.)



Well done, Cal. Very well done.

Jul 9, 2016 - 6:05pm

"The bearded dunce Paul Krugman"

God, I can't get over how perfect that is.


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