Thursday, July 30, 2026

I wouldn't bet against this man...

 

I was intrigued to read this post about Elon Musk.  Click the screen capture below to be taken to the full-size version on X.com.



I admire Elon Musk.  He's made some mistakes, sure, but who hasn't?  However, he seems to learn from his mistakes a lot faster and a lot better than the rest of us, and proceeds to show the rest of the world how it's done.

That's why I'm also intrigued by the launch of X Money a few days ago.  Musk was one of the founders of Paypal, and withdrew from it several years ago.  He learned a lot about the consumer finance industry at that time (not to mention all he's learned about the corporate finance industry before and since).  X Money is still in its early stages, but I expect it'll incorporate all those lessons in due course, and will probably end up being a major threat to the consumer banking industry.  It's already offering an interest rate of 6% - three times higher than most banks of which I'm aware.  For those who keep "nest eggs" handy, either as an emergency reserve or saving to buy something expensive, that's a very large incentive, offering interest rates that offset most of what inflation is costing us.

This isn't an advertisement for X Money.  I'm just very interested to see what Musk's new venture will offer people like you and I.  I fully expect panicked reaction from consumer banks as they try to stop their customers from trying X Money for themselves.  Will this turn into his latest success story?  I wouldn't bet against it - or him.

Peter


Wednesday, July 29, 2026

Things are getting interesting in narco-Mexico...

 

According to a report in the Atlantic (paywalled, but an archived version is here), the politicians in Mexico who have for years - probably for generations - been bribed and/or cajoled and/or threatened by the drug cartels into turning a blind eye to their criminal activities, appear to be changing their tune.

(BIAS WARNING:  The Atlantic is notoriously anti-President Trump and routinely criticizes the policies and actions of his administration.  This article appears to be unusually positive, despite that reservation.)


... the governor of the strategically important border state of Baja California was just caught on tape offering to become an FBI informant. The remarkable thing here is that she would not be the first; the list of current and former Mexican officials and drug traffickers who have offered to cooperate with the U.S. government is now lengthy.

. . .

Since his second term began, Trump has periodically threatened military action inside Mexico, alluding to air strikes or operations that would “take out the cartels.” Mexican officials have repeatedly rejected the possibility. “There will be no invasion of Mexico,” President Claudia Sheinbaum said last year. But quietly, Mexican officials have discussed what it would mean if they were attacked by their neighbor and largest trading partner. Would it be a special-forces operation, like the one that seized former Venezuelan President Nicolás Maduro? A drone strike on a fentanyl lab? Some Mexican officials are reading books about the Mexican-American War, searching for historical precedent.

Because the threat of military intervention is so dramatic, not enough attention has been paid to a type of intervention that is already taking place, one that could pave the way for strikes. In a break with long-standing precedent, American prosecutors have used informants to pursue members of the Mexican government, apparently “moving up the food chain,” as one U.S. official described it to me ... Several former Mexican officials facing U.S. charges have turned themselves in, apparently agreeing to cooperate with authorities to reduce their sentences. Dozens of newly extradited drug traffickers, too, are believed to be cooperating. Their accounts appear to have allowed U.S. investigators to build cases against members of Sheinbaum’s Morena political party. At least four have been indicted. Many more have had their visas revoked.

It’s a high-risk escalation in the Trump administration’s fight against narco corruption—and possibly also a pretext for a unilateral attack. Trump could use evidence of the government’s links to organized crime in an attempt to justify using force in Mexico. This week, the Trump-appointed head of the Drug Enforcement Administration, Terry Cole, gave a speech describing “the deadly connection between cartel networks and the Mexican government.”

“They are one [and] the same,” he said.

. . .

Last week, the State Department designated two lesser-known drug cartels—the Juárez Cartel and Los Viagras—as “foreign terrorist ⁠organizations” and “specially designated global terrorists.” Some within the Trump administration believe that those designations would offer some kind of legal authority for an attack, though international-law experts largely differ ... The campaign against cartel leaders has been so successful that, even if the United States wanted to decapitate a drug-trafficking organization, it’s unclear whom they would target.


There's more at the link.

This has mostly been taking place "under the wire", so to speak.  We've known for years that the entire government structure of Mexico - local, regional and national - is corrupted by drug money from the cartels, who effectively run most of the country.  However, if the cartel leaders, and political leaders, are rendered ineffective (or imprisoned), what's going to happen to the social fabric of Mexico?  So much of it is cartel-corrupted (including almost every element of the police and armed forces, the emergency services, etc.) that ordinary citizens have learned to live without most of the social structure we take for granted.  If the replacement structures of the cartel are suddenly removed, will Mexico survive in its present form?

I think there are three possibilities.

  1. Mexico will collapse into a "failed state", with widespread chaos and anarchy.  It will be almost impossible for business to function without paying massive bribes to local strongmen, but those strongmen will be at war with each other, so that an effective regional or national government simply won't be possible.
  2. Mexico will limp along as it does at present.  The cartel structures will continue to use their financial wealth (very considerable, having amassed it over decades) to buy the cooperation of the civil authorities.  However, the competition between cartels to take over those resources will devolve into civil war in parts of the country, and will likely spill over into the southern United States.  I'd expect southern California, Arizona and New Mexico to become very dangerous areas, even more so than at present.  (I daresay Texas will probably cope better than they do, because Texas law enforcement authorities aren't handcuffed by liberal politicians who'll do everything in their power to restrict them.)
  3. Mexico may break into several smaller nation-states, based on divisions that go back centuries.  Don't forget, "modern" Mexico was "created" out of a series of revolutions and civil wars that imposed unity out of the barrel of a gun, and killed anyone who argued with the concept.  With the number of guns in circulation there now, it'll be harder to impose authority in that way.
I could be completely wrong, of course.  Time will tell . . .

Peter


Tuesday, July 28, 2026

True dat

 

Healthranger observes that most people have no idea about how the world functions - or why it's that way.


While I am blessed to be able to interview some of the smartest people in the world, I remain aghast at the utter lack of knowledge among the "ignorant masses."

  • Most people don't know a thing about food ingredients.
  • They don't know where energy comes from.
  • They don't know where their own organs are located in their own body.
  • They don't know how mechanical things work, not even at a basic level (like combustion engines).
  • They don't know basic first aid or emergency medicine for self-treatment.
  • They are completely clueless when it comes to geography.
  • They don't know what money is. (And they certainly don't understand compounding interest.)
  • They don't know how computers work, or how storage devices function.

The average person is a walking biological shell of cognitive emptiness. And their lack of fundamental curiosity prevents them from ever making the effort to learn anything that matters.

But they are total experts in fashion, sports and celebrities, of course. They know all the latest trends pushed by shallow influencers, but they have zero knowledge of what's happening in the world and why their life is becoming more difficult by the day.


There's more at the link, and in the comments that follow.  Worthwhile reading.

I've noticed the same thing (although not among most of my readers, who wouldn't waste their time on my scribblings unless they shared my interest in when, where, who, how, why, etc.).  It really is frightening to listen to some of the terminal inanities spouted by some of our politicians (on both sides of the aisle - Republicans have idiots among their number, just as Democrats do).  That applies particularly to the Kumbaya school of international relations . . . "If we just leave Iran/Russia/China/North Korea/wherever alone, they'll leave us alone!  After all, everyone wants peace!"  Yeah.  Riiiiight.

What to do about it?  There's the rub.  I have no idea how to make people understand when they're not interested in understanding.  All one can do is "preach to the converted", sharing ideas and concerns with those who are prepared to think for themselves, and then take whatever steps are possible to protect ourselves from the ignorance of others.  On the other hand, that stores up troubles of its own.  Remember Aesop's fable about the ant and the grasshopper?  Jim Quinn updated it to reflect modern times.  I suspect his is more accurate than the original!

Peter


Monday, July 27, 2026

Sunday, July 26, 2026

Sunday morning music

 

This month marks the 50th anniversary of one of the oddest musicals I've ever heard of;  but also one that I thoroughly enjoyed.  How many of you watched "Bugsy Malone"?




As the trailer says, the entire cast (of up to 200 people) was made up of children and young teenagers, including a very young Jodie Foster.  Most of the songs used adult vocalists, but were then filmed using the young actors (to avoid problems such as voices breaking mid-sentence, and so on).

The movie was not a commercial success on its launch, but has become something of a legend among aficionados of 1960's and 1970's movie musicals.  Here are a couple of tracks to illustrate why it's still popular.






And here's a 40-year retrospective, from the BBC ten years ago.




Fond memories . . .

Peter