nigel-farageOn the matter of capital controls in Cyprus, this morning I was drawn (as usual) to Tyler Durden over at ‘Zero Hedge’ (link below). Tyler referred us to the Nobel Prize winning economist Friedrich Hayek’s 1944 classic ‘The Road to Serfdom’ in which, on the subject of capital controls, Hayek had this to say:

The extent of the control over all life that economic control confers is nowhere better illustrated than in the field of foreign exchanges. Nothing would at first seem to affect private life less than a state control of the dealings in foreign exchange, and most people will regard its introduction with complete indifference. Yet the experience of most Continental countries has taught thoughtful people to regard this step as the decisive advance on the path to totalitarianism and the suppression of individual liberty. It is, in fact, the complete delivery of the individual to the tyranny of the state, the final suppression of all means of escape – not merely for the rich but for everybody.

I maintain, with an ever growing conviction these days, that the European Union is really nothing short of being a barely disguised Evil Empire, manifested as it is by the so-called ‘Troika’ (the unelected European Commission, the unelected European Central Bank and the unelected International Monetary Fund)

So then, ‘The Troika’ – a group of unelected, unaccountable, fantastically well-paid and cosseted bureaucrats and bankers – is now dictating, literally dictating, how once-sovereign societies are to live their lives; even down to how much money a citizen can draw from his bank account each day. And if anybody argues that these capital controls are temporary, then they’re probably on the dictatorship’s payroll.

For how much longer will the ordinary people of the Evil Empire European Union put up with this?

What sickens me is the deafening silence from the British political class; if our politicos say anything at all, they condone the actions of ‘The Troika’. It’s utterly shameful, but moreover it makes me ask “Why? Why are our politicians backing the economic crushing of sovereign states in this way?”.

Furthermore, the situation in the UK, in terms of public understanding and opinion of all this is, as always, exacerbated by the pernicious effects of the BBC’s love affair with the European Union and the euro currency. The BBC just cannot get its head around what’s happening in Europe. The BBC cannot comprehend the profound nature of the outright socio-economic warfare that European politico-banking and politico-bureaucratic elites are now waging on the peoples of Europe, on their ‘own’ (ha!) people.

Nigel Farage needs to step in to the nearest telephone booth and pull his underpants over his trousers pretty quickly as far as I can tell.

PS By the way, in none of my comments on British and European politics have I ever shouted ‘Vote UKIP!’  However, my view of UKIP is that, right now, we need someone, anyone, to challenge, to embarrass, to frustrate, to unsettle, to upturn, to spike the British political status quo.  And to do all of that to the unmitigated madness that is the European Union at the same time. I can’t see any politician or political party, apart from Farage/UKIP, in a position to break the appalling, complacent, homogenous, deadlock that now characterises British politics and so locks us in to the grotesque unfolding of events within the European Union. So, whilst I support the Farage/UKIP anarchy, I’m under no illusions about the fundamental, long-term strengths and weaknesses of Farage/UKIP. However, unless somebody stirs things up in Westminster and Brussels, and fast, then we really are on the road to serfdom.

‘Hayek vs Krugman – Cyprus’ Capital Controls’:

PPS Hat tip to O’Reilly of the Hip Flask (see the ‘Declaration of Arbroath’ post) for steering us all to this tour de force


  1. Maybe I was too young, in the ‘thirties, to be heeded now, as a reliable observer – but my sense is that we are in a similar situation as then: facing the gathering storm. A feeling which has never recurred, despite a lifetime living in “interesting times”. (In which time the world population has trebled – and is expected to increase by another billion – in my lifetime, if I’m lucky!)

    And is Nigel Farage to be the new Oswald Moseley?


    1. moraymint · ·

      Yes p-g, I also strain to find historical analogies and precedents to the situation in which we find ourselves today. Whilst I have not set out to look hard for precedents, I have read articles and books which purport to set today’s global economic events in to an historical perspective. For what it’s worth, I judge from the evidence available that our current situation/predicament is all but unprecedented, absent total warfare between nation states. In that sense, I believe that we live in very uncertain times indeed. If we think events in Cyprus are special or different because Cyprus is “small”, then we may need to think again. In short, I think we’re witnessing the unfolding of totalitarianism without bombs and guns (thus far). If the European political elites (and all their hangers-on) carry on as they are, then the continent of Europe will implode within a generation, but quite possibly much sooner than that. As for the US, goodness knows where they’re heading … for me, it’s enough just to keep a close eye on Europe. Others, however, are arguing that the US will go off the rails in the fullness of time. Debt, debt, debt, debt, debt, coupled with little/no prospect of generating economic growth at the rate needed to deal with that debt, debt, debt, debt, debt … will force events.


      1. sam vimes · ·

        Hi MM
        Interesting that you mention the US. I agree that the situation in the world is unprecedented as far as we can tell. since never before has so much debt been incurred nor (to my knowledge) has more or less everyone been following the same types of policy and fallen into exactly the same hole. However, I have been thinking about the US. There’s no doubt in my mind that they will come close to disaster, but at that point they will be able to recover much more easily and strongly than the European nations. I believe that under the pressure of events they will come to their senses and begin to utilise their immense advantages re energy, manufacturing capability (needs re-building of course) and sheer economic size. I would liken it to the military situation just after Pearl Harbour. Can’t see a similar prospect for any other major nation frankly.


  2. archiepo · ·

    The Beeb will not criticise the EU as it apparently is the recipient of much dosh therefrom. Anyone see that ghastly Emily No-mates take Nige on the other night? Missed it myself.


  3. gordon · ·

    When the time for action arrives the time for ranting is over ,thank the Lord.So little time ,so little community preparedness.Twas ever thus.Where is there a prepper Baden Powell to get us prepared? Any volunteers?


  4. Ernie · ·

    I may be wrong but it seems that former members of the EU Politburo continue to receive continued, considerable payments as long as they support the “party” line. So if a former member of the Politburo then, say, is made the chairman of a State broadcasting system and then arranges a loan for that organisation then the strings from Brussels are automatically attached to ensure that the “party” is shown in a good light. Furthermore, if another former commissioner leaves his post on the Politburo and ends up in an influential position in a State’s government, say, a deputy Prime Minister then he would naturally feel it incumbent on himself to continue to promote the Brussels “party” line to ensure his continued drip of gold to keep his family in a way they have become accustomed.

    Of course, this appalling situation could not happen in the UK would it? Well, certainly not without others aspiring to earn such fabulous wealth from an unaudited source, free from the prospect of legal prosecution. Goodness knows what such underhand and corrupt practices could do to a small, southern European state!


  5. Malcuk · ·

    MM your comments are very similar to my own, so I’m in full agreement. I do though begin to see some light at the end of the tunnel, in that people are now far more sceptical about the utterings of our politicians.

    Over the last year or so the comments about UKIP and Nigel, which once used to be muted and minor are now being seen consistently. People have begun to realise (at last!) that most of what he says rings true. He is showing up our politicians as out right liars who are only adept at missing out the true information. I look at Cameron’s comments yesterday about controlling immigration, it was destroyed in just a couple of hours!

    UKIP have a good chance of changing the political situation in this country for the good. I fully agree with you that they might not be all that we want in the future. As with all young things (people/businesses/countries/parties) there is a learning curve to go through.

    After a life time of voting for the Conservaties I moved across to UKIP. I see many others now gaining the confidence to do the same. I know what the other 3 main parties are like, and I hate it, I’m willing to give UKIP a chance to follow up on their honest comments


  6. It is utterly ridiculous when a state broadcaster becomes an off shore propaganda wing and I like most am constantly unsettled by the fanatical antics particularly in this time of crisis. Farage and UKIP… bless him, our one and only superman facing an onslaught of bias and prejudice while the theft and political realignment continues apace.

    You have to feel for ordinary Greek people… truly appalling times.


  7. Ski Carver · ·

    Hi mm,

    Good post. I am in complete agreement. My rage is rising by the day.

    To be honest, I no longer understand why we have not seen direct action against the EU by people from one of the subjugated states (Greece, Italy …)

    As I say to anyone who will listen, ‘this is going to get really ugly’.



  8. Jason · ·

    If it wasn’t for the seriousness of what has happened in Cyprus (which to me is cataclysmic for the banking system just shows how scared they are if the derivatives timebomb to go to the extreme of confiscating depositors, sorry now ‘investors’, money) I am actually enjoying watching the BBC squirm as they try to paint the EU in a positive light, which is impossible of course.

    Much like the fun I get when I point out to my left leaning friends the origins of the three ‘monsters’ of the twentieth century (I wont name them as I don’t want Godwins’ law invoked) all emerged from socialism/communism. They normally flip into apopletic rages 🙂


  9. sam vimes · ·

    A good rant there! I would have typed the same rant, but I try to rein it in on comments, otherwise people think you’re just another keyboard crank! What I would say is this. I am now an OAP and in all that time I have never been a member of a political party and I have voted for more than 1 party, depending on circumstances at the time. Now, though, I am seriously considering not only voting UKIP but joining the party. My neighbour (slightly older,just retired) has already done so and he is a mainly conservative voter. We don’t always share the same opinions but broadly agree with the thrust of UKIP policies. Britain doesn’t have a tradition of going to “extremes” but I do think this time might be different…


    1. moraymint · ·

      Yes Sam I acknowledge that I edged rather close to ranting in that one! However, the situation in Cyprus at the moment is testing my patience. So, God knows what it’s doing to the Cypriots?


      1. sam vimes · ·

        Don’t apologise – I agree with it all. A couple of years ago I was wary of the conspiracy stuff and tin foil hat wearers. The sad thing is that now, you can write a post like yours and we can actually believe it all. If you reflect, we have travelled a long way down a dark road in just 3 years.


  10. Oops finger trouble..cotton onto what’s happening and start to pull their money out of the system. Then when it all inevitably starts to crumble we end up with desperately hiring the first guy who lies through his teeth with a straight face and promises he can fix it, he knows whose fault it is and before you know it you have elected a psycho who is very very difficult to get rid of. Some say however, we get the rulers we deserve…


  11. The problem with democracies full of immature voters like most of the world with notable exceptions like Switzerland and the scandics – they keep electing the liars who promise the most free chocolate on the table. The when the price must be paid you start with financial repressions of various forms like forcing pension funds to buy your worthless gilts, move onto capital controls when people start to cott


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