Daily Archives: 22 December 2020

Another Rude Question

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This one relates to Congressman Eric Swalwell’s (D, CA) apparent compromise by the reputed People’s Republic of China spy Fang Fang (Christine Fang).

It seems that Fang hooked up with Swalwell early on, when he was a local politician, and she helped him rise into Congress: fundraising, staff selections, and the like. My question doesn’t relate, directly, to this particular tale.

There is a stock investing technique that centers on gorilla investing. This is a technique that attempts to identify a bunch of companies that are likely to be highly successful while those companies are in their early stages of development. The gorilla investor then pumps money into the stocks of each of those early-identified companies. As some of the companies grow in the market place, and many of them flame out, the gorilla investor bails on the flameouts and adds the money withdrawn from their stocks into to remaining putative gorillas. The process is repeated until only a few gorillas remain, and are true gorillas.

My question is this: are the relevant intelligence and investigative authorities looking into whether the PRC’s intelligence community has been and/or is still engaging in gorilla politician compromise, even actively aiding those most…promising? If so, are those early ones being identified and their histories vetted, with responses for those who still fail vetting?

Economic Recovery

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What sort of recovery will we have in 2021 with the Wuhan Virus situation under control and, with the release of two vaccines (I’m betting on the come with Moderna as I write on Friday) and others in the nearby pipeline about to stamp the virus into the mud?

Jon Sindreu, in The Wall Street Journal, provided a couple of clues, although he was writing toward a different purpose. This graph of his is my first clue:

He fleshed that out with this:

Flow-of-funds data recently published by the Federal Reserve shows that companies have accumulated even more cash than debt this year: their liquid assets were up 25% in the third quarter. On a net basis, debt was down 7.9%. Relative to GDP, it remains well below 2007 levels.

Another clue:

Nor are property and asset prices tanking, hitting households’ net worth as they did in 2008. So consumers have kept spending when they could.

There’s more in his article, but the upshot is this: 2021’s recovery (and into the later years) won’t be nearly as weak as some have feared. It’ll be strongly positive, although—because of 2020’s already in-progress recovery—it’s unlikely to be quite as strong as hoped.