Give Me Liberty

February 25, 2009

Keynes is dead. Let’s bury him already.

Ironically, it was Keynes who said:

“Practical men, who believe themselves to be quite exempt from any intellectual influences, are usually the slaves of some defunct economist.”

Little that Keynes had to say, before that or afterward, proved so true. Keynes is dead. More importantly, even when he was alive, Keynes was DEAD WRONG. No competent economist today follows Keynsian thinking. Unfortunately we still have a few living economists who are already defunct (Paul Krugman come to mind?), and politicians, the consummate “practical men,” are still in their thrall. The stubborn fact remains that we cannot spend our way to prosperity.

The fatal flaw in Keynes’ theory of government stimulus was inflation. He assumed that a little inflation was a good thing, and could stimulate growth at no cost. But the bottom line is still the same: government cannot give to one without taking from another. Inflation is a tax, economically no different than any other tax, and not a magic money tree. It is not visibly collected like other taxes, but it removes value from the currency as surely as any other tax removes value from the economy. That is what has made inflation an irresistible temptation to politicians since the invention of politics, and also what makes it so insidious. Inflation takes indiscriminately from those who have savings, and adds nothing to the total wealth of the economy. And by punishing those who save, while sometimes benefiting those who spend beyond their means, inflation discourages the very productivity which benefits everyone. Way back in 1776, Adam Smith explained that wealth is productivity, not gold, not consumption, but productivity. Yet to this day, politicians (being practical men, at least when it comes to getting reelected) promote consumption and punish productivity.

Is it any wonder that we periodically suffer financial crises arising from such misguided government intervention in the economy? Before we legislate our way into an Even Greater Depression, let’s bury Keynes once and for all.

February 11, 2009

We Are All Socialists Now? – Count Me Out!

I could only cringe when I saw the February 16, 2009, cover of Newsweek, “We Are All Socialists Now”. Count me out. The 20th century was the Century of Socialism, and it’s high time we dispose of that horrific philosophy forever. At least 120 million innocent people died at the hands of their own socialist governments. Millions more, both military and civilian, died in two world wars and countless smaller conflicts with socialist/communist/fascist governments. While we avoided outright socialism here, socialist experiments from the New Deal to the Great Society held millions of Americans in poverty in a land of plenty and of opportunity. That centerpiece of FDR’s legacy, Socialist Insecurity, may soon bankrupt us as a nation. Socialism has proven an abject failure every where and every time it has been tried. Individual liberty and private property rights lead to peace and prosperity. Socialism leads inevitably to destitution and death. So NEVER call me a socialist. Many cling to the false promises of socialism with the best of intentions, but the proof is in and it is incontrovertible. I will fight the scourge of socialism until I draw my last breath on this earth.

February 6, 2009

NO Stimulus

Writing to politicians is not how I usually spend my time, but today I wrote to both of my senators, pleading with them to vote NO on the mis-named “stimulus” bill currently under discussion. This bill is nothing more than an accumulation of some 20 years of old, bad ideas for pork barrel spending. Most of these proposals are so bad, in fact, that they were never able to slide through in some earlier pork-laden bill in Congress, which has been passing pork barrel spending at record levels for years. These proposals would never stand a chance of passing on their own merits, so they have been accumulated and dumped into this disastrous hodge-podge of bad ideas being rushed through when people are frightened enough to swallow almost anything. I know Rahm Emmanuel says “never let a crisis go to waste”, but this bill is far worse than a waste. This bill is using a crisis to do serious damage to our economy for generations to come. I have 5 granddaughters; I do not want to saddle them with this catastrophic burden. While real stimulus might be helpful, our economy would be far better off if the government did absolutely nothing, rather than pass this bill. And if you still think we need a stimulus package, please watch this video for a lighter take on the topic.

December 20, 2008

We Are Those Who Fail to Learn

“Those who fail to learn from the mistakes of history are doomed to repeat them.”

I don’t know who said that first, but we are on the brink of relearning that lessson the hard way. With all of the media clamoring for our attention 24/7, I’m seeing virtually nothing pointing out the many obvious parallels just within the past 100 years. Growing up as baby boomers, we often wondered how the German people could have stood silently by while Adolph Hitler carried out his disasterous plans. Yet apart from the Holocaust itself, most of what Hitler did could be easily compared to the actions being taken by our own government right now. The bank bailouts, the quasi-nationalization of the auto industry, and the massive stimilus programs look very much like steps that Hitler took in his rise to power. (And the inflation that is bound to follow our unprecedented deficit spending may make the Weimar Deutschemark look like a stable currency!) The same could be said comparing today’s actions with those of Benito Mussolini. Yet the only lessons of history even mentioned today are based on complete mischaracterizatons of the actions of FDR. FDR, the president who turned a routine two year recession into a 15 year depression of unprecedented magnitude, borrowed many, perhaps most, of his ideas directly from Hitler and Mussolini. He openly admired both men, and envied the political power which they were able to use to intervene in their own economies. Most of those ideas were initially ruled unconstitutional here, until FDR succeeded in silencing the Supreme Court. But those same interventions are occurring here today, with barely a peep from the people or the media.

Three months ago, it would have been preposterous to suggest that the federal government would take control of the banks. Yet they have done so, and nobody said a word. The nationalization of the auto industry is taking place right before our eyes, and the best we can do is debate whether taxpayer dollars should be used to do it! Instead of defending our freedom, we appear to be clamoring for more regulation.

Apparently when we elected Barack Obama, we bought the “change” message hook, line and sinker. Somehow, despite all the lessons of history, the total and complete abject failure of socialism anywhere and everywhere it has ever been tried, we seem to think that The One can somehow turn that thoroughly discredited concept into a viable model for the American economy. I have great respect for Mr. Obama’s intelligence, but our complex economy is far beyond the comprehension of even the most brilliant central planners. Apparently our socialist schools have succeeded in their mission of whitewashing that incontrovertible (and inconvenient) truth.

I do not believe that we must go through an Even Greater Depression, but we are staring into the abyss. So at the risk of being redundant, I can only repeat, “Those who fail to learn from the mistakes of history are doomed to repeat them.”

December 15, 2008

Thought for the Day

Filed under: Bailouts, Regulation, Rent seeking, government — Tags: , — givemeliberty @ 8:42 am

Stop the government before it spends again!

November 5, 2008

Thought for the Day

Filed under: Big Brother, Freedom, Politics, Regulation, Rent seeking, facism, government — Tags: , , — givemeliberty @ 2:35 pm

Cheer up. Not even Barack Obama can make socialism work.

November 4, 2008

Don’t Vote! It only encourages them!

As we wake up on Election Day, most of us are probably thinking “Thank goodness, it’s almost over”. But what has happened to us? Throughout history, we have always been threatened by barbarians, people willing to use force to disrupt society, take the property and control the lives of others. To defend ourselves, we formed societies, built defenses, and fought back. At some point, we apparently concluded that we had defeated them. But they are still amongst us. Yes, they have put on expensive suits, and learned to speak eloquently, but they are still barbarians. They still use force take our property and control our lives. And they have completely fooled us. Now we call them “politicians” and “public servants”, “great men and women”, and consider it our civic duty to go out and vote to choose which ones will be our masters. They are still barbarians, and our future looks bleak.

We are voting in the midst of an “economic crisis”, brought on by years of misguided government manipulation of the economy. Yet the chattering classes shout out that it’s a “market failure”, and the barbarians promise to save us with a bailout. I have trouble believing that free markets somehow “failed”, when we haven’t had a free market in this country for at least a hundred years, but we seem to be falling for that nonsense yet again. Already we have narrowed the field to two candidates promising bigger government, more regulation, and less freedom. One candidate is unquestionably a socialist, the other is simply the pot calling the kettle black. (He is, after all, the co-author of the “McCain-Feingold Incumbent Protection Act”.)

So when we awake tomorrow, we will have “chosen” our new masters, but what will we have accomplished? We have already allowed the current administration to nationalize the banks. Is there anything we won’t let the incoming barbarians do to have their ways with us? Will we ever again stand up to them and proclaim that each of us was “created equal”, endowed with the “inalienable rights” of “life, liberty, and the pursuit of happiness”? If not, then the barbarians have truly won, and our best days are indeed behind us.

I personally don’t believe that our best days are behind us, but today is a hard day to be optimistic. So skip the lines at the polls, have a second cup of coffee, and think about the things that really matter.

Give Me Liberty

October 28, 2008

Liberty for all, or power to the few?

Chicago Tribune readers were treated to a rare commentary on liberty Sunday morning (October 26). John Kass, (who does excellent work exposing Illinois corruption) wrote a great column exposing how we baby boomers, the anti-establishment movement of the ’60s, have fallen hook, line and sinker for the siren song of big government. It’s a great story, read it here. His analogy to wild pigs is entertaining and appropriate, although probably too kind for We the Sheeple. As Benjamin Franklin said, “They that can give up essential liberty to obtain a little temporary safety deserve neither liberty nor safety.”

September 23, 2008

Thought for the Day

Global warming is not the problem, and facism is not the solution.

June 2, 2008

Global warming for agnostics

In an excellent column on global warming, Charles Krauthammer puts the “cap and trade” debate into much better perspective than we usually get from the mainstream media. Environmental activists would have us accept that “the debate is over”, but as Krauthammer points out, Newton’s Laws of Motion stood up for over 200 years, until they were proven wrong by Einstein’s Theory of Relativity. And climate is far more complex and less understood than Newton’s Laws. So before we destroy our own economy, and trap billions of third world citizens in continuing poverty, let’s make sure there will be a corresponding benefit. Cap and trade has been a complete failure in Europe, and the environmentalists’s own studies show only a minimal reduction in global temperatures even if carbon emissions were reduced to ZERO! And remember that scientists were still warning us of the coming Ice Age in 1977, 8 years after temperatures bottomed (in 1969) and reversed their 35 year cooling trend. We’re now 10 years past the warming peak in 1998, so it’s about time we reconize the hoax for what it is.

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