Re. mob psychology

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Napoleon said this in 1806 after his army defeated the Prussians. Having risen up from the bottom, and observed politics and society, he concluded that average people collectively suffer from what we today would call bipolar disorder – i.e. they are obedient as long as they are winning as a group, but they howl for their leader’s head the minute something goes wrong.

Napoleon brought order and prosperity to France, doing away with feudal law and hereditary titles (except his own). He was loved as long as he was winning, but after his disastrous occupation of Spain, and the retreat from Russia in 1812, the mob burned him in effigy, and demanded the return of the monarchy that had enslaved them before, and would enslave them again.

Bonaparte escaped to the island of Elba by using a British ship, even though he had always been at war with Britain.

He who would save the world must walk a tightrope. The more happiness he brings to average people, the more he will be crucified when something goes wrong.

Put another way, the masses will submit to almost any degree of abuse by government, but they will revolt the minute their cherished savior makes a mistake.

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Neoliberals understand this. They know it is dangerous to treat the mob with kindness. They know they must enslave average people, since this makes average people blame each other for their problems, rather than blame their rich oppressors.

Indeed, when average people are abused, they believe the lie that their government has run out of money, no matter how many times they are told otherwise by government officials…

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They believe the lie that their government is “bankrupt” because it justifies their hatred of each other. It gives them a reason to grumble. They resent the idea that anyone (other than themselves, and rich people) gets government benefits. They act as a mob.

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This is what we are dealing with…

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In Brazil the neoliberals of the new (post-coup) government know they must crush the masses if Brazil is to be calmed down. Therefore the coup plotters have announced that they will impose drastic austerity on the lower classes because of a “budget shortfall.” This is a lie, of course, since the government creates Brazilian reais out of thin air.

The neoliberals will begin by eliminating 36 million people (including 17 million children) from the Bolsa Familia program, which provides financial aid to poor Brazilian families. About 26% of the Brazilian population depends on this program.

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The neoliberals have also announced that they will take private ownership of Brazil’s airports, utilities and the post office. They will also “reform” (i.e. cut) Brazil’s social security system, using the excuse is that Brazil has a (fake) “national debt crisis,” and that the social security system is “unsustainable.”

As you can see, neoliberal lies are the same in every nation, since mob psychology is the same. If you grind the masses into the dirt, they may not love you, but they will envy and respect you. Most importantly, they will obey you.

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The new post-coup president, Michel Temer, says that austerity will end Brazil’s recession. He knows that austerity will worsen the recession, but Temer doesn’t care, since the recession will only hurt the real economy, not the financial economy. Austerity only hurts Main Street, not Wall Street.

In Brazil, the Workers’ Party was popular as long as the global commodities boom kept Brazil’s economy strong and expansive. Brazil even became a net lender in its own currency. But when China’s economy cooled, and the commodity boom ended, the middle and upper classes called for President Dilma Rousseff’s head, and cheered when she was deposed in a coup.

Now the mob will be crushed under the heel of neoliberal billionaires. Average people will blame each other for their suffering, rather than blame their oppressors. White Brazilians will blame darker-skinned Brazilians, who will blame immigrants, who will blame “gay rights” people, who will blame “straight” people. Jews will condemn all non-Jews as “anti-Semites.” Non-Jews will condemn all Muslims as terrorists. Anti-abortion people will blame pro-abortion people. And so on, and on.  The masses will divide and conquer themselves, while the gap between them and the rich will become wider than ever. Poverty will grow like a cancer.

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Speaking of Brazil, a strange event happened today that I can’t yet explain. The Folha de São Paulo (Brazil’s largest newspaper in terms of circulation) published proof (proof) that the coup against President Rousseff was designed to end the nationwide “Operation Car Wash” corruption probe. That is, politicians supported the coup in order to spare themselves from prosecution.

Folha de São Paulo (lit. “São Paulo Newspaper”) produced transcripts of a 75-minute phone conversation between the newly-installed Planning Minister, Romero Jucá (a senator at the time) and former oil executive Sergio Machado. The transcripts reveal how these two men plotted the coup with the cooperation of officials in the military and Supreme Court. They all agreed that removing President Rousseff would be the only way to end the nationwide corruption investigation.

It is not known who recorded and leaked the 75-minute conversation, but Folha de São Paulo reports that the files are currently in the hand of the prosecutor general.

My question is why would a corporate media outlet publish such a transcript.

Perhaps the U.S. National Security Agency recorded and leaked the conversation in order to expose a few people in the post-coup government that the U.S. government wants removed. Perhaps Washington does not approve of Romero Jucá, the minister of planning. Mr. Jucá admits that the recording is authentic, but he claims that it was all a “misunderstanding.”

Or perhaps Washington wants to replace President Temer with someone less hated by the masses. Someone who doesn’t act and dress like a gangster.  Ever since Temer’s installation as president, Brazil has seen intense and growing protests against him. Temer has had to put soldiers around his house.

None of this will reverse the coup, but it will be amusing to watch the developments.

StayTuned

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7 thoughts on “Re. mob psychology

  1. Someday in the very distant future, you will realize that “money” is not the pieces of paper or the digits in your bank account.

    I can see; however, why people often are confused. Something all the way in thr back of your head tellls you it just doesnt make sense – that something is right.

    You often quote greenspan, but always take him out of context. He (and Trump) have said we cant default unless we chose to, period. That part is 100% true and accurate and Austrians and Chicago school economiey should never argue it.

    But that sense is pretty vague and doesnt dwelve into how things actually work. The US government has said through its recent history, that it taxes and borrows to pay for deficits. It doesnt have the regulatory framework in place to create its own money, as you say.

    So although the gov could technically create money out of thin air, it doesnt, it borrows it from investors and broker dealers. The government will always probably get support from the fed if the bds dont want to buy the debt (but the fed is not fully controlled by the gov). In our history, the fed has rarely bought us debt and it can decline to buy it.

    So just because the us can as a sovereign print its currency, it hasnt done it except in a few recent cases where the fed bought a handfull of treasury debt and its not guaranteed unless the fed agrees. Greenspan never spoke about these mechanics when he said the us can never default. In most likeliness he is right, but its not guaranteed.

    The other part i find amusing is that you “think” there is no negative impact from printing. The results should be obvious but you choose to ignore. Its amazing how all the hyperinflations in history were caused by “the white racist pigs” or “the west”.

    Yeah, it was not that they printed like mad, it was the fault of the white racists from the west that put up trade embargo on those nations. Its just pure coincidence that the inflation came right after the printing.

    I grew up in a left leaning family and i hated the feeling of not being able to defend my arguments. The only thing you can say about me is that i speak “half truths”, not because you believe that but because you cant refute my arguments. On top of that you are ao full of yourself that you cant see that the worls you describe is a180 degrees from reality.

    The US has been progressively moving to the left the last 100 years, with various social programs instituted in the 30s and through today. Yet today we have more poor people than we did in 1900 relatively speaking and the ginie ratio has exploded.

    Its pretty amazing to me that most people are ok with robbing people to “help” people is a “good” and moral thing. Yet letting people keep what they’ve earn is “not morally correct” because we are not “helping” those we first have to steal from to give back to. The money illusion makes you feel as if government control, force are good things – but when you think about how humans behave, it doeant work.

    Humans may be “social animals” because we speak to each other, but it stops at that. No 2 people have the same aspirations. No 2 people put the same effort to reach those aspirations. Above all, we are greedy beings and greed is what drives us. Greed is what drives the world.

    It amazes me how people like you and Rodger completely ignore these facts and continue to spew the same nonsense. I suspect you are a mental fanatic and may be in a situation where you think government control and extortion would benefit you. Let me remind you that those “free lunches” are there because someone put work into creating them.

    As for Rodger, he’s a wealthy ex banking mobster who “got his” a long time ago. He’s such a hypocrite who confessed that what he proposes for the US would “not work” for Israel. Interesting finding given he’s a jew. I thought people became better humans in old age – i guess not. Im 100% certain he spews the garbage because he means harm.

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    1. So people donate to charity because they are greedy? Einstein, Faraday, Tesla, Fleming, Darwin, and countless other scientists did what they did to gain more power and money? That Milton Friedman kool-aid sure was good huh? “The government has said throughout its history that it taxes and borrows money to pay for deficits”; what happened with being skeptical of what the government says or does? Oh wait, but now the government has said something that helps spread your ideology so you shall not question it huh? A typical right-winger like you would probably say something similar to this: “Fuck the federal government: it always lies, its steals from us, its greedy, I never trust it.” But, if the CBO says that raising the minimum wage will kill half a million jobs you, in your infinite wisdom, will immediately accept and regurgitate what the federal government said in order to try and win an argument about the minimum wage. Fuck.

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      1. Confused soul. What does donating have to do with greed?

        Do you donate 100% of your earnings? Is it fair that you makes way more than a chinese or indian or anyone else in third world nations? Why not send your surplus to them – thay would show me. As a mattet of fact, why not print enough to give everyone in thr world a “living wage”. Have you ever thought what “a living wage is”? Is it 15 dollars, or 30 or 60? I bet what i havr that if you make the minimum wage 30, it wont be enough a few days later? The argument would be 60 at that point. And yes, tons of peoplr would lose their jobs to automation. If automating is cheapet than people, why would i hire anyone? Thr morons on the left cant figure out that removing the minimum wage is what we need..

        Leftists are all for the taking as long as they are not paying.

        As anti governmeny as i may seem, i dont think they lie. They dont have to. There is no misterious group of people telling thw president what to do. He does what he thinks will make him/her look better now. Not tomorrow or in a few years, now.

        The government is a reflection of you. Look at france – hollande is an extreme socialist whom im sure knows that socialism is pure garbage, but the french are all socialists. Im sure you will find an excuse to blame “austerity” or some other nonsense, but the people of france deserve what they get. If there is one thing that has prevented a full on collapse, its the euro. Otherwise they would have beenn zimbabwe by now.

        There is no magic formula – taking is morally wrong and economically disastrous. Good that you mention Friedman – try finding one of his arguments and try refuting it. Lets see how good you are. I wont be holding my breath – you wont have arguments, all you can do is call hik and idiot, stupid, whatever, but cannot make a coherent and logical argument.

        You and Rodger make me sick – you cant defend an argument and resort to deleting posts (which you also say you are against). I’ve tried my best to get an intelligent responsr, no dice.

        You have the galls to call Krugman a conservative. Sure he is, i’m sure his pro government spending has nothing to do with him being likely the next fed chair. And we all know that pro government spending is “right wing”.

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        1. To be clear; I am NOT the creator of this blog (read my username). You said, and I quote, “greed is what drives us”; so following your logic (or lack thereof) people donate because greed drives them, not because of compassion.

          If you want to know what a “living wage” is in different parts of the country, you can search for the MIT Living Wage Calculator, which takes different variables into account, and tells you what the living wage more or less is in your region. Oh wait, but MIT is a Marxist-Leninist, Stalinist, Communist, Socialist, collectivist, authoritarian, fascist, Hitler-esque, anti-freedom, anti-intellectual, anti-individual, feminist, transgender, and politically correct left-wing scum institution; so you won’t trust it.

          Also, have you even read one of Rodger Malcolm Michell’s posts? He is against trade barriers, against raising the minimum wage, and against many forms of taxation; which many people on the right wing also disapprove of. So i don’t understand this whole “oh my god you and Rodger make me sick” diatribe. You hate them because they want the government to support people who cannot help themselves? (Remember, they also do not support raising taxes , but “printing” in order to pay for this). And also take the time to carefully read the entries in this blog. Mrs/Ms Harris has also made the whole “but that is not capitalism” argument that many of you right-wingers also make.

          Furthermore, what is your evidence that the French are all socialists? Have you ever heard of the Le Pen family? The government is a reflection of those who actually control it which, in case you did not know it, are usually the people who have the resources to buy the government. Do your research, I dare you, and you’ll see that all the shit that happens in many countries is because the rich support that aforementioned shit. SOPA, PIPA, and net neutrality are some examples that I can immediately think of.

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          1. If I may add my two cents’ worth…

            Narco-Capitalist: “Have you even read one of Rodger Malcolm Mitchell’s posts? He is against trade barriers, against raising the minimum wage, and against many forms of taxation; which many people on the right wing also disapprove of. So i don’t understand this whole ‘Oh my god you and Rodger make me sick’ diatribe. You hate them because they want the government to support people who cannot help themselves? (Remember, they also do not support raising taxes, but “printing” in order to pay for this). And also take the time to carefully read the entries in this blog. Mrs/Ms Harris has also made the whole ‘but that is not capitalism’ argument that many of you right-wingers also make.”

            Local taxation is necessary, but federal taxation is regressive, unfair, and unnecessary. I oppose all federal taxation. (The rich don’t pay taxes anyway.)

            Regarding capitalism, we do not have capitalism in the USA. We have neo-liberalism, or more properly, neo-feudalism.

            It is not capitalism when all the markets are rigged, all the money flows to the top, and all the politicians work for the rich. It is not capitalism when the 1% own everything, and the 99% are their slaves. It is not capitalism in the euro-zone nations that (if they have trade deficits) must borrow all their money from bankers.

            We do not have “free markets.” We have lords and peasants.

            This seems to be what most people want, since most people defend it in various ways. People defend it when they attack “socialism” as evil. They defend it when they attack the basics of MMT. They defend it when they repeat all the lies told about World War 2 and 9-11, and so on.

            Narco-Capitalist: “Furthermore, what is your evidence that the French are all socialists? Have you ever heard of the Le Pen family? The government is a reflection of those who actually control it which, in case you did not know it, are usually the people who have the resources to buy the government. Do your research, I dare you, and you’ll see that all the shit that happens in many countries is because the rich support that aforementioned shit. SOPA, PIPA, and net neutrality are some examples that I can immediately think of.”

            There are no socialists in the French government. although a few bloggers (private citizens) favor various degrees of socialism.

            Socialism involves public ownership of the means of production of goods and services. Its extreme form is Communism, in which there is no private property. At the opposite extreme is feudalism, in which a handful of people own everything, and the rest of us are their slaves. This is where we are heading in the USA, and we have traveled very far on that road. There is a constant push to privatize everything – i.e. give it to the rich, to the bankers, and to the corporations.

            The final push will be the TPP, TTIP, and TiSA, in which corporations will sue governments for anything that corporations think might affect their future profits. The lawsuits will be handled by special tribunals (paid by and appointed by the corporations) that will meet in secret, and will issue pro-corporate rulings that cannot be appealed.

            Thus, Medicare and Social Security must be privatized, since the failure to do so will impinge on Wall Street profits. The police, the fire departments, the schools: everything must be privatized. If a corporation wants to steal a national park, or start another war, then the government must allow it, since any failure to do so will impinge on corporate profits.

            We must eliminate minimum wage laws, and endangered species laws. We must eliminate laws against fraud and pollution. We must eliminate consumer safety warnings. We must eliminate anything that could possibly impinge on future corporate profits. This means we must also eliminate all questioning of corporate crimes.

            This is where we are headed. This is what I oppose.

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            1. Capitalism does not mean free markets and free markets do not mean capitalism. I recommend reading the works of Gary Chartier and Kevin Carson in order to further comprehend this distinction. Furthermore, capitalism requires a security apparatus to be able to defend and enforce private property rules/laws and in most of the world the state serves that purpose; however the downside is that the said governments can be bought (and have been bought basically everywhere) in order to rig markets, so my question is: How do we have achieve the goal of having an economic system where the rich do not fuck everyone over by purchasing special privileges from the state? The only idea that comes to mind is getting money out of politics, and Bernie Sanders is the only one who puts that issue as a top priority for his campaign.

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      2. “Danny” (aka “Chunch”) isn’t retarded. Just, well…”special.” 😉

        I wish to comment on this…

        CHUNCH: As for Rodger, he’s a wealthy ex banking mobster who ‘got his’ a long time ago. He’s such a hypocrite who confessed that what he proposes for the US would ‘not work’ for Israel. Interesting finding, given he’s a Jew. I thought people became better humans in old age – I guess not. I’m 100% certain he spews the garbage because he means harm.”

        Rodger and I agree on some things, but we disagree on other things, especially when Rodger discusses topics outside the realm of economics. On many topics our differences are radical, total, and irreconcilable.

        Some of Rodger’s blog posts I agree with. Other posts I furiously disagree with, but I say nothing, since communication is not possible between two alien universes. Since I only comment on things I agree with, readers assume that I agree with everything Rodger says. That is not the case.

        Every single day I have a strong urge to explain how we differ, and why. However I refrain from it. I don’t think it would be productive.

        Ellen Brown is an exception. I often critique Ellen, because she and I disagree about only one topic. Namely I do not share her delusion that all money (except coins and currency notes) is created by banks as loans.

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