Free Market Capitalism is the Best Way to keep Workers from Bathing in the Milk we Buy

Posted by PITHOCRATES - March 29th, 2014

Week in Review

Competition makes everything better.  If there was only one restaurant in town they could serve pretty bad food.  Because if the people don’t have time to cook for themselves where else are they going to go?  This restaurant could use ingredients past their ‘use by’ dates.  Meats discounted by stores because they passed their shelf life date.  They could use canned goods they heat up in a microwave.  Using the cheapest ingredients that can be cooked the least amount of time by the fewest people.  To keep costs down.  It can work.  Until there is competition.

If a restaurant opened next door that cooked only with fresh ingredients and did not use a microwave oven their food is going to taste a lot better.  And people will stop going to that other restaurant to enjoy the better quality next door.  This is why competition makes everything better.  Because people choose what’s best for them.  And if a business continually strives to exceed a customer’s expectations their customers will keep coming back.  If they don’t people will just take their business elsewhere.  And businesses will run tight ships.  To make sure no one brings harm to their brand.  Because if they didn’t something like this could happen (see Russian dairy plant closed after workers bathe in the milk by Sergei L. Loiko posted 3/28/2014 on the Los Angeles Times).

A Siberian dairy plant was temporarily closed Friday after its workers had been found bathing in milk, a Russian consumer oversight agency reported.

Trade House Cheeses, a dairy producer in Omsk, about 1,600 miles east of Moscow, was closed for 90 days by regional authorities for an urgent inspection after complaints resulting from photographs and a video posted by one of its employees on a Russian social network.

In the photographs and video clips posted on New Year’s Eve by worker Artyom Romanov, a group of undressed employees relax in a container of milk as part of their celebration. While still partly undressed, they then demonstrate cheese making in a clownish manner…

After the video appeared on NTV, a federal television network, many residents of Omsk refused to buy products made at the plant, an NTV report said this week…

“For five years Russia has been languishing in a so-called experiment of practically exercising no control over consumer production after a law was introduced limiting inspections of such facilities to only once every three years,” said Yanin, the board chairman of the Russian Confederation of Consumer Societies, a Moscow-based group…

The average salary of a sanitary inspector is equal to $500 a month, but instead of raising that, the government decided to try to prevent the inspectors from taking bribes by in effect seriously curbing their ability to control production norms and practices, Yanin said.

Of course, this is the wrong conclusion to draw from this. The problem isn’t lax inspections by underpaid inspectors.  The proper conclusion is in a previous paragraph.  That conclusion is why we don’t have these problems in the United States.  Or if we do they are very rare.  The same goes for other capitalistic societies based on free markets.  Unlike the communism they once had in Russia.  Or the crony capitalism they now have in Russia.  Because communism and crony capitalism are corrupt systems.  Government establishes and maintains monopolies.  Either by force under communism.  Or by bribes and kickbacks under crony capitalism.  Which, of course, eliminates competition.  And THIS is the problem here.  As the residents of Omsk identify.  Who refused to buy an inferior product.

You could get rid of all the inspectors in the United States and this problem would not be any more prevalent than it is now.  Why?  Because of competition.  Especially in the age of social media.  For business have lost sales for just appearing to think ‘incorrectly’ on social issues.  Just imagine what would happen if a video like this came from an American dairy.  The backlash would be the worst conceivable.  And this would happen before any government action.  That backlash would spread to every store throughout the nation.  Nay, to every capitalistic country based on free markets in the world where that brand sells its products.  People would pause as they reached for a product from this dairy on their supermarket shelf.  And move to the left or to the right.  And pick up a product from another dairy.

This is what keeps American dairies clean.  And every other established brand.  For with competition consumers can reach for another product on the shelf.  And once they do because they lost faith in a brand for any reason (such as cleanliness) it could take a very long time for that brand to reestablish the trust of the consumer.  Costing it billions in lost revenue.  This is why food businesses are cleaner in capitalistic countries based on free markets.  Because of competition and profit.  The two best protectors a consumer can have.

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Geopolitics

Posted by PITHOCRATES - March 27th, 2014

Politics 101

Twice in little over One Century an Enemy Invaded and Overran Russia/the Soviet Union

On June 24, 1812, Napoleon’s Grande Armée invaded Russia.  And made it all the way to Moscow.  Which they took.  But the Russian army didn’t want anything to do with Napoleon or his Grande Armée so they kept retreating in front of it.  Foiling Napoleon’s plans of engaging and defeating the Russian army.  While drawing them deeper and deeper into Russia.  In a scorched earth retreat.  Leaving nothing for the French.  Making it difficult to feed his massive army.  Then the bitter Russian winter came.  Having expected the Russians to have sued for peace by then they had no winter clothing.  Leaving Napoleon no choice but to retreat.

On June 22, 1941, Joseph Stalin’s ally, Adolf Hitler, broke the Treaty of Non-aggression between Germany and the Union of Soviet Socialist Republics.  And invaded the Soviet Union.  About one month later than planned due to some trouble their Italian allies were having in the Balkans.  The Nazi armies advanced through the Soviet armies and reached Leningrad, Moscow and Stalingrad.  Then the bitter Russian winter came.  And like the French the Germans had no winter clothing.  Having expected a victory before the onset of winter.  They tried to hold their ground as they froze and starved.  But the Soviets pushed them back.  Eventually all the way to Berlin.  But not after some 20 million Soviets died.

Twice in little over one century an enemy invaded and overran Russia/the Soviet Union.  Never again vowed the Soviets.  So when they chased the Nazis back into Berlin they kept the territory they were on after the war.  Which is why Estonia, Latvia, Lithuania, Poland, East Germany, Czechoslovakia, Bulgaria, Hungary, Romania and Albania became Soviet satellites.  Countries behind the Iron Curtain.  To provide a buffer to slow down another invasion before it reached Soviet soil.

For the Latter Part of the 20th Century the Soviets tried to extend their Communist Revolution to other Nations

Of course, following World War II it was the Soviets that had an expansionist policy.  A little thing called the communist revolution.  The assault on capitalism.  Replacing it with socialism first.  Then communism.  And as revolutions go they are fought.  With guns.  So the communist revolution was a perpetual state of war interrupted with moments of peace.  A war the Soviets forced onto their neighbors to get them to join them in their socialist/communist utopia.  Something their neighbors didn’t want.  And something their other neighbors, the Western Powers, would try to help them avoid.

The German capital, Berlin, fell in East Germany.  Berlin, however, was a city divided between the Western Allies and the Soviet Union.  The Western Allies supplied West Berlin via truck and rail transport.  Until the Soviets closed the borders.  In an effort to force West Berlin into the social utopia that was East Berlin.  Something the West Berliners wanted no part of.  So the Western Powers helped them by supplying the city via the Berlin Airlift.  Eventually the Soviets relented.  And opened the truck and rail transport into West Berlin.

The Soviets tried to spread their socialist utopia to other countries that didn’t want it.  Greece.  Turkey.  Iran.  South Korea.  The United States and the Western Powers helped these countries resist these Soviet advances.  Even fighting a shooting war on the Korean peninsula to push the Soviet and China backed North Korea out of South Korea.  So through the remainder of the 20th century the Soviets tried to extend the communist revolution to other nations.  While the United States tried to thwart their designs.  And stared each other down with their nuclear weapons in the Cold War.  Developing the doctrine of Mutually Assured Destruction (MAD).  Meaning that any country that started a nuclear war was going to lose, too, in that nuclear exchange.  It was mutually assured but it really was a warning to the Soviets.  Who had designs on conquering other nations.  Including the United States.  Who had no designs on waging war with the Soviet Union.

Geopolitics is about the Balance of Power

To balance the threat of the Soviet Union the Western Powers formed the North Atlantic Treaty Organization (NATO).  For Belgium, the Netherlands, Luxembourg, etc., had no chance by themselves against an attacking Soviet Union.  They did as a member of NATO, though.  Where an attack on one was an attack on all.  Which meant if the Soviets attacked the Low Countries they were also attacking France, the United Kingdom, Canada and the United States.  The Americans even deployed armor units in West Germany.  The Soviets replied with the Warsaw Pact.  A NATO-like organization between the Soviet Union and some of those countries in Eastern Europe they never left after the end of World War II.

And there was peace.  What we call the Pax Americana.  The American peace.  For it was the awesome might of the American military that gave NATO its teeth.  With troops deployed around the world.  Air forces stationed within striking distances of potential hotspots.  The mightiest navy ever to ply the oceans.  A huge nuclear arsenal.  And the greatest economy in the world that could pay for all of this while the American people still lived a happy and carefree life with all of the comforts a capitalist society could give.  Something the socialism/communism of the Soviet Union could not.  For the people in the Soviet sphere waited for apartments, cars and groceries.  Large extended families crowded into small apartments.  And people waited in lines at stores with empty shelves.  Which explains why the Soviets required a brutal secret police force.  The KGB.

People in the Soviet sphere who learned of how much better life was in the West tried to escape to the West.  This is why they built the Berlin Wall.  Not to keep West Berliners from sneaking into that socialist utopia inside East Berlin.  But to keep the East Berliners from escaping that socialist utopia.  For the only way you can get people to live in that socialist/communist utopia is by force.  And you have to spread the communist revolution not to make life better for people in capitalist societies.  But to destroy that better life across the border from communist societies.  To extinguish that beacon of liberty that keeps luring their people from their oppressive police state.  Something Russia is returning to.  As Vladimir Putin slowly but surely reassembles the Soviet Union.  Not to reconstitute the buffer to protect Russia from another invasion.  But simply because he wants to.  And can.  So far, at least.

Geopolitics is about the balance of power.  Some like to maintain a balance of power to keep the peace.  Like the Romans, the British and the Americans did with their Pax Romana, Pax Britannica and Pax Americana.  Where the prevailing superpower kept the peace.  While others are more interested in acquiring power than peace.  Like Napoleon Bonaparte, Adolf Hitler, Joseph Stalin and Vladimir Putin.  Who didn’t have strong economies.  And used force to get what they wanted.  Raw materials.  Food.  Or a warm water port in the Crimea.  And they are always looking for a weakness in their enemies to alter the balance of power.  For they were/are masters of geopolitics.  And want to redraw the borders of the world.  To restore the former glory of a past empire.  Or to realize some glorious destiny they believe God has planned for the nation.

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Capitalism gives New York City a Night Life while Communism gives Pyongyang only Night

Posted by PITHOCRATES - March 1st, 2014

Week in Review

The American left has long had a love affair with communism.  They loved Joseph Stalin.  Until he made a nonaggression pact with Nazi Germany that allowed Hitler to wage World War II.  Which devastated the left.  For they felt their true love betrayed them.  But they rejoiced when Hitler invaded the Soviet Union.  So they could love Uncle Joe Stalin once again.  Even though some 20 million Soviets died because of Stalin’s nonaggression pact with Adolf Hitler.

All during the Cold War the left urged détente with the Soviet Union.  They wore t-shirts with pictures of Che Guevara.  They carried pictures of Chairman Mao.  They admired Ho Chi Minh.  They wanted to normalize relations with Cuba.  They liked Daniel Ortega in Nicaragua.  And just loved Hugo Chávez in Venezuela.  When it came to communist/socialist regimes nationalizing industries and oppressing their people the left professed their undying love.  Why?  Because they hate capitalism.  Just like these communist/socialist dictators.  Who put their people ahead of profits.  Like they do in North Korea (see NASA photo shows North Korea is in the dark by Dylan Stableford posted 2/26/2014 Yahoo! News).

While you were sleeping, North Korea disappeared.

Well, not exactly. But a recent image taken from the International Space Station shows the mysterious, dictator-ruled country almost completely in the dark…

Even the capital of Pyongyang (population: 3.26 million) is a relatively dark, compared with smaller cities in neighboring South Korea and China.

The reason? According to a recent report by the Korea Institute for National Unification, electricity in North Korea is “sporadic and unreliable, with homes that have electricity often receiving just a few hours per day.” About half of North Korea’s 24 million people live in extreme poverty, with most homes and apartments “heated by open fireplaces burning wood or briquettes.” And many “lack flush toilets.”

The North Korean regime hates capitalism.  Just like the American left. Because capitalism puts profits before people.  Which is why New York City has an incredible night life unlike Pyongyang (or any other North Korean city).  Not to mention cellular networks and smartphones.  Broadway and night clubs.  Times Square and Greenwich Village.  Saturday Night Live and The Tonight Show.  Trains and air planes.  Allowing anyone to get where the party is.  New York City.  Things they don’t have in North Korea.  Because North Korea doesn’t have capitalism.  Like New York City.  The city that never sleeps.  Thanks to electric power lighting up the night.  Something North Korea doesn’t have.  Because North Korea doesn’t have capitalism.  Or lights.

The American left loves liberal New York City.  It is the center of their world.  Even though it was built with capitalism.  But the left loves socialism.  And communism.  Where they put people before profits.  And those people sit in the dark doing nothing once the sun sets.  And defecate in holes in the ground because they have no flush toilets.  Something else you can do all night long in heated buildings throughout New York City.  Because New York City has capitalism.  Which makes life better.  At least according to the American left.  For their favorite city is a city that capitalism built.  Unlike that communist city they’re not flying to for a good time.  Pyongyang.

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Marx, Lenin, Trotsky, Stalin and the Soviet Union

Posted by PITHOCRATES - February 18th, 2014

History 101

Marx called for a Dictatorship of the Proletariat where the Workers controlled the Means of Production

Karl Marx did not like capitalism.  Or middle class people that used money to make money.  The bourgeoisie.  Who exploit the working man.  The proletariat.  The bourgeoisie used their capital to exploit the labor of the working man (i.e., taking a risk and investing in land, factories, machinery, labor, etc.) to make money.  While the working man slaved away at slave wages creating all the great things we have in the world.  Of course, the proletariat could not do any of this unless others took risks and invested in land, factories, machinery, labor, etc.

This was just not fair to Karl Marx.  Because the industrial bourgeoisie had all the power.  And their exploitation of the proletariat was nothing more than a dictatorship of the bourgeoisie.  So Marx created a socio-economic philosophy to address this dictatorship.  Marxism.  And called for a social transformation.  For working men everywhere to unite.  And break the chains that bound them in the dictatorship of the bourgeoisie.  Calling for a dictatorship of the proletariat.  For the workers to control the means of production.  In a new system that replaced capitalism.  Socialism.  Until they could usher in the true ideal.  Communism.

In capitalism the bourgeoisie get rich creating neat things people discover and want to buy.  In communism there would be no bourgeoisie using the means of production to make a buck.  Instead, wise and selfless people would determine what was best for the people.  Instead of free markets allocating scarce resources economic planners would.  And they’d do it better.  Because they are selfless.  Creating large surpluses that would go not into some rich capitalist’s bank account.  But they would fairly distribute this surplus among the working class.  So society as a whole would be better off.  Sounds great.  But if the market didn’t make the decisions of what to produce who did?  As it turned out for Marxism that was a very difficult question to answer.

Leon Trotsky was a Like-Minded Marxist and the number two Communist behind Lenin

The Russian people were growing tired of World War I.  And Tsar Nicholas.  In fact they had it with the Russian Empire.  Even before World War I.  Although serfdom was abolished in 1861 the lives of peasants didn’t improve much.  There was still famine.  And the serfs had to pay a lot to their former landlords for their freedom.  So there was revolutionary fervor in the air.  And a few peasant uprisings.  As well as a few revolutionaries.  Such as Vladimir Ilyich Lenin.  Who was a Marxist.  His anti-Tsarist political activity got him arrested and exiled a few times.  In fact, during World War I he was living in exile in Switzerland.  Hoping that the Germans would weaken Tsarist Russia enough to kick off a socialist revolution in Russia.

When revolution did break out Lenin was anxious to return to Russia.  But being in Switzerland posed a problem.  It was surrounded by warring countries.  Lucky for him, though, the Germans were anxious to close the eastern front of the war.  And a little revolution in Russia could do just that.  So they transported Lenin through Germany and helped him return to Russia.  They travelled north.  Took a ferry to Sweden.  Then by train to Petrograd.  Formally Saint Petersburg (Peter the Great’s new capital on the Baltic Sea).  Which was later renamed Leningrad.  And then later renamed Saint Petersburg.  Where he would lead the Bolshevik Party.  And the world-wide socialist revolution against capitalism.

Leon Trotsky was a like-minded Marxist.  And an anti-militarist.  He had a falling out with Lenin but eventually reunited.  With Trotsky becoming the number two communist behind Lenin.  Trotsky addressed a problem with Marxism for Russia.  Socialism was to be the final step AFTER capitalism.  Once there was a strong industrial proletariat.  Russia didn’t have that.  For it was one of the least advanced countries in the world.  An agrarian nation barely out of the Middle Ages.  So Russia had to industrialize WHILE the proletariat took over the means of production.  Which brought up a big problem.  How could a backward nation industrialize while having a revolution?  How could they do this without other advanced capitalistic countries coming to the aid of the bourgeoisie?  Which Trotsky answered with his Permanent Revolution.  For the Russian socialist revolution to be successful there had to be socialist revolutions in other countries, too.  Thinking more in terms of a worldwide revolution of industrialized states.  And not just in Russia.  Something another Marxist disagreed with.  Joseph Stalin

Communist States have Guards on their Borders to prevent People from Escaping their Socialist Utopia

During these revolutionary times workers’ councils were appearing throughout the country.  Soviets.  Which helped stir up the revolutionary fervor.  In 1917 the imperial government fell.  The Bolsheviks killed the Tsar and his family.  And Russia fell into civil war.  Which the Bolsheviks won in 1922.  And formed the Soviet Union.  Or the Union of Soviet Socialist Republics (USSR).  That stretched from Eastern Europe to the Pacific Ocean.  Under the rule of Vladimir Ilyich Lenin.  Until he died in 1924.  Then Joseph Stalin took over after a brutal power struggle.  Even exiled Leon Trotsky.  And established totalitarian rule.  Stalin created a planned economy.  Rapid industrialization.  And collectivization.  As well as famines, forced labor, deportation and great purges of his political enemies.  To strengthen his one-party rule.  To protect the socialist revolution from a return of capitalism.

The Russian Revolution was the only successful socialist revolution in Europe.  The dictatorship of the proletariat did not happen as Lenin and Trotsky had envisioned.  So Stalin abandoned the idea of Permanent Revolution.  And adopted Socialism in One Country instead.  To strengthen the Soviet Union.  And not support a world-wide socialist revolution against capitalism.  In direct opposition of Trotsky.  To aid in the USSR’s industrialization Stalin made a pact with the devil.  Adolf Hitler.  And entered an economic agreement that would allow Hitler to build and test his war machine on Soviet soil that he would use in World War II.  Then came the Treaty of Non-aggression between Germany and the Union of Soviet Socialist Republics.  And the secret protocol.  Where Nazi Germany and the Soviet Union agreed to conquer and divvy up the countries located between them.

Trotsky did not like what the Soviet Union became under Stalin.  An oppressive dictatorship of Joseph Stalin.  Not the dictatorship of the proletariat envisioned by Karl Marx.  And he didn’t like that pact with a militarist Nazi Germany.  He predicted that Stalin’s USSR would not last.  Either suffering a political revolution like Tsar Nicholas suffered.  Or it would collapse into a capitalist state.  Stalin disagreed.  And killed him and his family.  Getting rid of the last of the old Bolsheviks.  Leaving him to rule uncontested until his death in 1953.  Exporting communism wherever he could.  Where it killed more people than any other ideology.  Until the great and brutal socialism experiment collapsed in 1991.  For Trotsky was right.  It could not survive when a better life was just across a border.  Which is why all of the communist states have guards on their borders.  To keep their people from escaping their socialist utopia.

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FT204: “The young and dumb vote liberal while the old and wise vote conservative.” —Old Pithy

Posted by PITHOCRATES - January 10th, 2014

Fundamental Truth

Having the Ability to give Beautiful Young Women Nice Things helped Charlie Harper get them in Bed

On the show Two and a Half Men there was an episode where Charlie (played by Charlie Sheen) was having a conversation with someone where he was trying to defend himself and the choice he makes in women.  In broke off in mid sentence and said something like, “Yeah, you got me.  Young and dumb.  That’s how I like them.”  Or something like that.

Charlie Harper was about 40 years old.  Rich.  He drank to excess.  Smoked cigars.  Gambled.  Enjoyed strip bars and prostitutes.  And he womanized.  Getting beautiful young women back to his Malibu beach house for one night of passion.  Which was all he wanted.  One night.  The ladies thought he wanted more.  Because of the lies he told them to get them to his Malibu beach house.  And when they left in the morning they expected Charlie to call them.  But he never did.  Which is why he liked his women dumb.  For it was easier getting them into bed.  And out of it.

Charlie was skilled in the art of picking up women.  And what to do with them after picking them up.  Skill gained over years of experience.  And being rich helped, too.  Because being able to give beautiful young women nice things (expensive dinners, going to the best clubs, spending the night at a Malibu beach house, gifts, etc.) got their attention.  They liked that life.  And wanted more of it.  So they went to his bed with him.  Thinking that by doing whatever he wanted there would be more of this glamorous life to come.  But before that could happen Charlie was telling his lies to another young and dumb woman.

Every Communist Dictator that promised a Utopia to their People made their lives Absolutely Horrible

Charlie was engaged a few times.  The last time he was engaged to Chelsea (played superbly by Jennifer Taylor).  Who was a little older than most of the women he took to his bed.  Smart.  And wise.  She had a career.  Though he had a long engagement (for him) it did not last.  Because she could do better.  Eventually leaving him for someone more mature.  In fact, every age-appropriate relationship he had failed.  Because he did not do well unless they were young and dumb.  As Chelsea said one time when leaving after a breakup, “We both knew you were going to blow it eventually.”

You can learn a lot by watching Two and a Half Men.  For the world is full of Charlie Harpers.  People that lie and manipulate people to get what they want.  Who depend on people being young and dumb.  This is how liberals have risen to power.  By selling their utopian world view to the young and ignorant.  Before they get old and wise.  And learn the truth of their liberal utopia.

There was an article in Rolling Stone saying what America needs is full-blown communism.  The author is a young guy.  An academic type.  Knows everything.  But has experienced nothing.  His head was filled with communist ideals from his leftist professors.

Imagine no possessions
I wonder if you can
No need for greed or hunger
A brotherhood of man
Imagine all the people
Sharing all the world…

But what John Lennon doesn’t sing about in Imagine is that every communist dictator that promised these things to the people made their people’s lives absolutely horrible.  Where people lived in fear of the secret police.  Were tortured at the hands of the secret police.  And died at the hands of the secret police.  Communism as an ideology has killed more people than any other dictator or ideology in all of history.  Yet college kids everywhere still imagine a world where all the people live as one.  Under the boot of an oppressive police state.  That forces the people to live in a brotherhood of man.  Or die.

Liberals are in a lot of ways like Charlie Harper because they like their Electorate Young and Dumb

Joseph Stalin terrorized his people with the KGB.  The East Germans shot their own people who tried to escape climbing over the Berlin Wall.  Cambodia’s Pol Pot killed a greater percentage of a nation’s population than any other dictator in history.  Cubans risk their lives to float from Cuba to the United States.  The masses in North Korea still suffer famine because of their oppressive Stalinist state.  Where it’s the military first.  Then the people.  And so on.  Yet college students still wear shirts with pictures of Che Guevara wearing his beret.  This hero of ignorant college students.  A guy who had urged the Soviets to launch their nuclear missiles at the United States during the Cuban Missile Crisis.

And when the secret police wasn’t killing their people the people were going without the most basic necessities.  For their planned economies could not keep their store shelves stocked.  So people went without many of the things people in Western capitalist economies take for granted.  Things even ignorant college students take for granted.  Things they just couldn’t get in their beloved communist utopias.  Ronald Reagan won the Cold War not by waging nuclear war.  He won it by creating an arms race that the Soviet economy could not keep up with AND feed her people.  Like the Americans could.  In fact, the American economic output was so great that they could feed all Americans with enough left over to export to the Soviet Union.  So the Soviet people did not die from famine.

All throughout history free market capitalism provided a better life than any planned economy.  Even in the United States.  When FDR increased government spending to end a recession it only stretched out that recession into the Great Depression.  Excessive government spending didn’t work in the 1970s for Nixon, Ford or Carter.  Nor did it work during the Great Recession for Obama.  But cuts in tax rates provided explosive economic growth for Warren Harding/Calvin Coolidge in the 1920s, JFK in the 1960s, Ronald Reagan in the 1980s and even George W. Bush in the 2000s.  Yet the young and dumb buy the liberal lie that government spending can provide a better life for all despite history proving otherwise.  And keep voting liberal.  Until they get old and wise, that is.  And start voting conservative.

Liberals are in a lot of ways like Charlie Harper.  For they like their electorate young and dumb.  So they can more easily lie to them.  To get what they want.  By making promises they never intend to keep.  Such as that brotherhood of man sharing all of the world.  For after a century or so of promising this the only people who ever enjoyed the liberal/communist utopia were those few in power.

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FT200: “Only force can make people live in a world without choice.” —Old Pithy

Posted by PITHOCRATES - December 13th, 2013

Fundamental Truth

College Students and Hippies of Yesteryear have a Soft Spot for their Communist Heroes

The hippies in the Sixties saw a brotherhood of man.  They wanted to link arms and sing Kumbaya.  Live in their communes.  Get high.  Have unprotected sex with multiple partners who bathed infrequently.  While being one with nature.  And poop and pee in the great outdoors.  Like the animals.  Only with less grooming.  For they hated the Man.  And didn’t want anything to do with their parent’s generation.  They protested any figure of authority.  Protested the Vietnam War.  And protested against their government.  Speaking truth to power.  And yearned to bring the Marxist-Leninist revolution to America.

The hippies were rabid anti-capitalists.  Which is why they loved communism.  Where there were no possessions.  No religion.  Or greed or hunger.  Just imagine all the people sharing all the world.  Words from John Lennon’s song Imagine).  Former Beatle.  And one of the leaders of the counterrevolution.  Not to be confused with the other Lenin.  Vladimir Ilich Lenin.  Of Soviet Marxism-Leninism fame.  Or, rather, infamy.  One of many icons of the counterrevolution.  Along with Mao Zedong.  Ho Chi Minh.  Fidel Castro.  And, of course, Che Guevara.  Whose bearded and beret-wearing image adorns many a university dorm room wall and student t-shirt to this day.

College students today, just as the hippies of yesteryear, still have a soft spot for their communist heroes.  Thanks to many of these hippies of yesteryear having joined the establishment.  And are now teaching our kids in college the evils of capitalism and the goodness of government.  Despite their one-time fierce opposition to the Man.  Guess things change once you get money.  Like someone in the rock band The Who said when asked if he still hopes to die before he gets old (a line from My Generation-a song about youthful angry rebellion against their parent’s generation).  The reply was that being old wasn’t all that bad when you were rich.  Something the old hippies of the Sixties no doubt discovered.  And best of all they got rich by taking money from the capitalist pigs.  Their students’ rich parents.  Or the taxpayers who worked in that detested capitalist system.

Nations with the Marxist Brotherhood of Man with No Possessions have been the Worst Places to Live

It is ironic that without capitalism these communist-loving parasites could not be parasites.  For if no one was creating economic activity there would be no income to tax.  Or to pay for the one thing growing more expensive than health care.  College tuition.  Interestingly, there is no ‘Obamacare’ for our colleges and universities.  No.  They never label them greedy despite their being the greediest of them all.  But you know who they do label as greedy?  The taxpayers who oppose higher taxes to pay for the ever higher cost of higher education.  They’re the greedy ones.  Not the old hippies of the Sixties.  And their fellow anti-capitalists.

Another interesting thing about these anti-capitalists?  They yearn for one-party rule.  Which is why public education teaches our kids to distrust capitalism and to trust government.  And our colleges and universities teach our kids to be ashamed of their nation’s past.  And the importance of diversity.  Which is code for anything that isn’t American.  For America was founded by rich white slave-owners who stole the land from the Native Americans.  And America’s imperialist aggression is the only source of strife in the world today.  While ignoring the expanding communist revolution that was spreading out from the Soviet Union into the Eastern Europe, Asia, the Middle East, Africa and the Americas.  The one ideology that has killed more people than any other.  Through state oppression, wars and famine.

Yes, this brotherhood of man where there are no possessions have been in fact the worst places to live.  The Soviet Union, Eastern Europe, Mao’s Peoples Republic of China, North Korea, Vietnam, Cambodia, Cuba, etc.  These are all nations that had gulags or reeducation camps for political prisoners.  Those people who spoke—or thought—truth to power.  They all had police states where the people lived in fear of their government.  They suffered for the want of the most basic items (soap, toilet paper, etc.).  There was state censorship.  They persecuted anyone practicing any religion.  The people suffered from constant hunger.  And the occasional famine.  They killed anyone trying to escape their communist utopia.  Or sent them off to hard labor and torture.  If they escaped successfully then the state punished any family remaining behind.  To warn others what would happen if they escaped their communist utopia.

The Great Flaw of Socialism is being unable to Determine What is the Greater Good

Why did these communist states have police states and brutally oppress their people?  Because they had to.  When the communists built the Berlin Wall it wasn’t to keep people from West Berlin out of East Berlin.  It was to stop people escaping from East Berlin to West Berlin.  For the East Germans were suffering a terrific brain drain.  Capitalists believe in liberty.  The freedom to do what they want.  And to get paid for their services.  A highly skilled doctor expects a higher salary than a janitor.  And that just isn’t going to happen in a communist state.  You get what the state gives you.  No more.  Creating a heck of a free rider problem.  When your economic system works based on the Marxist premise from each according to ability to each according to need what you get is a lot of people showing little ability and a lot of need.  For the more ability you had the harder they forced you to work.  While the greater your need the more you got.  Such a system encourages people to do the minimum and not be extraordinary.  Which is why Sony, Samsung, Microsoft, Apple, The Beatles, etc., did not come from communist countries.

A communist state has a planned economy.  Instead of a free market economy.  Communist state planners manage the economy from top down.  Telling the raw material industry what materials to extract.  They tell what factories get these raw materials and what they are to build.  Etc.  Whereas in a free market economy the economy is driven bottom up by the consumers.  When consumers start buying a lot of one thing the price for that one thing rises.  Attracting other businesses into the market to meet that rising demand.  Who place orders with their wholesalers.  Who place orders with their manufacturers.  Who place orders with their industrial processors.  Who place orders with their raw material extractors.  Hundreds of thousands of decisions happen as this consumer demand travels up the stages of production in a free market economy.  Giving the people what they want.  And not what a state planner decides to give to the people.

This is why communist (and socialist) states are oppressive dictatorships.  Because state planners decide for the people.  Which must start with the supreme decision maker.  The Joseph Stalin, the Mao Zedong, the Ho Chi Minh, the Kim Jong Un, the Raul Castro, the Hugo Chávez, etc.  And these people don’t take polls or hold elections.  Well, at least elections that are legitimate.  Kim Jong Un continues the state policy of his predecessors.  No economic reform.  Money goes to the military first (especially for his nuclear toys) and whatever is left over may go to the people.  And anyone who disagrees with him or thinks wrong goes to the gulag.  Or is executed.  Like his uncle.  While the people suffer the want of the most basic things.  Like food.  North Korea to this day still suffers the occasional famine because of its economic policies.  But one problem the North Koreans don’t have?  Deciding where to go for lunch.

“Where do you want to eat?  I don’t know, where do you want to eat?”  This can go on until someone forceful makes the decision for the group.  Often making no one happy.  But it will end the endless “where do you want to eat?”  This is the great flaw of socialism.  Being unable to determine what is the greater good.  Because people rarely agree on what’s best for other people.  Just look at the recent budget agreement that made few people happy.  They were unhappy because they disagreed on what was the greater good.  People are different.  One size does not fit all.  You just can’t please all of the people all of the time.  So you have to force your will on the people.  The only mechanism that makes socialism work.  Force.  Because people can rarely agree on where to go to lunch let alone national policy.  And this is why all communist/socialist states end in brutal dictatorships.  Because only force can make people live in a world without choice.

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Liar, Liar, Pants on Fire, Hang them up on Telephone Wire, President Obama

Posted by PITHOCRATES - December 12th, 2013

Politics 101

Oppression and Lies are Standard Fare for a Communist Dictatorship

Communists are pragmatic.  They know what they want.  And they do what it takes to get what they want.  For them the ends justify the means.  No matter how horrible those means can be.  And they’ve been pretty horrible.  As communists have been among the greatest abusers of human rights.  Something their people are not too keen on.  As well as those living in the free world.  So communists do something else a lot.  They lie.

When you want to do things against the will of the people you need to either lie to the people.  Or oppress the people with a large police state.  Which can be costly.  Because you have to take care of your police apparatus so they oppress the people and don’t turn on you.  That’s how all dictators stay in power.  Life is horrible in their countries.  But it’s pretty good at the top.  And those who protect those at the top.  North Korea still suffers from recurring famines.  Yet those at the top never go hungry.  Or suffer the abject poverty of the people.  And it’s been this way for a long time.  A system maintained with the firm hand of the state.  From Kim Il Sung to Kim Jong Il to Kim Jong Un.  As the Kim family succession continues to keep life horrible in North Korea (see North Korea announces execution of Kim Jong Un’s uncle, Jang Song Thaek by Chico Harlan posted 12/12/2013 on The Washington Post).

There have been no outward signs of instability under Kim Jong Un, and the North has largely maintained its key policies, resisting economic reform, devoting money to its weapons program and maintaining a gulag system for those accused of political crimes.

Kim Jong Un’s uncle was Jang Song Thaek.  I say was for he is no more.  Jang was in the inner circle of Kim Jong Il and thought to be a potential successor.  But that didn’t happen.  As Kim Jong Un had those honors.  But Jang was around a long time.  And knew a lot of people.  Which, of course, made him a threat.  So Kim Jong Un had him arrested, put him on trial for crimes against the state and executed.  Telling the people he was a “traitor for all ages” and was “despicable human scum” and was “worse than a dog.”  He demonized him to get the people to accept that this execution was just.  And to send a message.  He held power.  And anyone thinking otherwise will be demonized and executed.  Standard sort of fare for a communist dictatorship.  Oppression.  And lies.

You get the People to ask for more Government by Buying their Votes with a Cradle-to-Grave Welfare State

A communist state has its drawbacks, though.  The aforementioned abject poverty and recurring famines.  Because as an economic system planned economies just don’t work.  But a free market economy tends to put ideas into people’s heads.  Such as we don’t really need the government as much as the government wants us to believe we need them.  In the movie V for Vendetta this was something Chancellor Sutler impressed upon his lieutenants.  It was imperative to let the people know how much they needed British socialism.  Which is not quite communism.  But it’s anti-free market capitalism just like communism.  And a little easier to sell to the people.  For despite the left’s love affair with communism it is hard to spin that as anything other than it is.  Horrible.  I mean, people aren’t trying to break into North Korea and Cuba.  They’re risking their lives to escape these communist utopias.

So those on the left adopted a new type of socialism.  Social democracy.  Which was communism/socialism lite.  It wasn’t as anti-free market capitalism as communism/socialism was.  So as not to bring about the abject poverty and recurring famines you got with communism/socialism.  And you backed off on the oppressive police state.  Instead, you get the people to ask for more government.  By buying their votes with a cradle-to-grave welfare state.  And a lot of government jobs with decent pay and wonderful benefits.  To make the people love the state.  And impress on them how much they need the state.

Of course this bloated welfare state is costly.  Which they pay for with a progressive tax system.  A tax system that is ‘fair’.  By making the evil rich pay higher taxes so the good poor and the innocent children can have a decent life.  Not just those evil rich people.  And how do you oppose this?  You can’t.  Unless you hate the poor.  And the children.  Which is what the left says about the opposition whenever they oppose new spending.  Or higher taxes.  Of course, having to fight these battles over taxes and spending can be a pain in the behind.  So the state takes care of those in the inner circle of power.  Those who think correctly.  Who help get the people to ask for these taxes and spending.  The media who helps to spread their propaganda.  And the educational system.  That teaches the young to grow up loving government.  And fearing free market capitalism.  Then you add the coup de grâce.  National health care.

President Obama lied over and over again to put America onto the Pathway towards National Health Care

Every communist/socialist dictatorship had/has national health care.  For once the people become dependent on the state for their good health the state has them for life.  And whenever the opposition resists higher taxes for more spending all you have to do is kill some people by making them wait longer for health care that the opposition denied them.  Causing outrage among the people.  Who demand that the opposition stop playing politics with their lives.  The left’s kind of oppression.  Having the people beg for more government.  This is why national health care (or something that will help usher in national health care) is the holy grail of the left.  And why President Obama lied through his teeth to pass the Affordable Care Act (aka Obamacare) into law (see Lie of the Year: ‘If you like your health care plan, you can keep it’ by Angie Drobnic Holan posted 12/12/2013 on PolitiFact.com).

PolitiFact has named “If you like your health care plan, you can keep it,” the Lie of the Year for 2013. Readers in a separate online poll overwhelmingly agreed with the choice…

The Affordable Care Act tried to allow existing health plans to continue under a complicated process called “grandfathering,” which basically said insurance companies could keep selling plans if they followed certain rules.

The problem for insurers was that the Obamacare rules were strict. If the plans deviated even a little, they would lose their grandfathered status. In practice, that meant insurers canceled plans that didn’t meet new standards.

Obama’s team seemed to understand that likelihood. U.S. Health and Human Services Secretary Kathleen Sebelius announced the grandfathering rules in June 2010 and acknowledged that some plans would go away. Yet Obama repeated “if you like your health care plan, you can keep it” when seeking re-election last year…

Also on Oct. 1, insurers started sending out cancellation letters for 2014…

One example: PBS Newshour interviewed a woman from Washington, D.C., who was a supporter of the health care law and found her policy canceled. New policies had significantly higher rates. She told Newshour that the only thing the new policy covered that her old one didn’t was maternity care and pediatric services. And she was 58…

First, they tried to shift blame to insurers. “FACT: Nothing in #Obamacare forces people out of their health plans,” said Valerie Jarrett, a top adviser to Obama, on Oct. 28.

PolitiFact rated her statement False. The restrictions on grandfathering were part of the law, and they were driving cancellations.

Then, they tried to change the subject. “It’s important to remember both before the ACA was ever even a gleam in anybody’s eye, let alone passed into law, that insurance companies were doing this all the time, especially in the individual market because it was lightly regulated and the incentives were so skewed,” said White House Press Secretary Jay Carney.

But what really set everyone off was when Obama tried to rewrite his slogan, telling political supporters on Nov. 4, “Now, if you have or had one of these plans before the Affordable Care Act came into law, and you really liked that plan, what we said was you can keep it if it hasn’t changed since the law passed.”

Pants on Fire! PolitiFact counted 37 times when he’d included no caveats, such as a high-profile speech to the American Medical Association in 2009: “If you like your health care plan, you’ll be able to keep your health care plan, period. No one will take it away, no matter what.”

President Obama lied.  Over and over again.  He lied to get this pathway to national health care into law (for once he destroys the private health insurance industry what will be left but a public option?).  And he lied to win reelection.  President Obama lied.  And his fellow Democrats lied.  Over and over again.  To put America onto the pathway towards their holy grail.  National health care.  The linchpin of the massive cradle-to-grave welfare state.  The one thing that allows the state to tax and spend more than anything else.  And puts the opposition into the position of wanting to kill people anytime they oppose higher taxes and more spending.  Which has a lot more staying power than a government shutdown.

What can you say about someone who lies (at least) 37 times?  That person is a pathological liar.  A pragmatic.  A person who believes the ends justify the means.  That the rule of law is only a suggestion.  A person that will say anything and break any law to get what he wants.  And is willing to kill people by taking away the health insurance they liked and wanted to keep.  By taking away the doctor they liked and wanted to keep.  And by taking away the medication they liked and wanted to keep.  Fear and suffering President Obama and his fellow Democrats and supporters in the media and education are indifferent to.  For their greatest concern is how will this hurt President Obama?  This is what those on the left worry about.  Their dear leader.  Not the people.  Just like the inner circle surrounding every tin-pot dictator worry about.  For if the people turn on the dear leader they may overthrow him.  And with him go their privileged lives amidst the abject poverty and recurring famines surrounding them.

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The Politics of Liberal Economic Policies

Posted by PITHOCRATES - November 18th, 2013

Economics 101

What doesn’t Kill You Makes you Stronger

They say what doesn’t kill you makes you stronger.  And you can see that in military basic training.  There have been some good movies showing what military basic training is like.  Perhaps one of the best is Full Metal Jacket.  Where Gunnery Sergeant Hartman played by R. Lee Ermey wasn’t acting as much as reliving his days as a Marine Corps drill instructor.  Watching it you may come to hate Sergeant Hartman for he was pretty sadistic.  But they didn’t design basic training to be a pleasant experience.  They designed it to prepare recruits for the worst thing in the world.  War.

In the miniseries Band of Brothers we follow Easy Company, 2nd Battalion, 506th Parachute Infantry Regiment, 101st Airborne Division, from basic training through D-Day and to the end of the war.  Airborne training followed basic training.  And was harder.  Fewer people make it through airborne training than they do basic training.  Ranger training is even harder.  And fewer people make it through Ranger training.  But airborne units and Rangers get the more difficult missions in combat.  Because they can do more.  For their training is more difficult.  But it didn’t kill them.  So it made them stronger.

Perhaps the most difficult military training is the Navy’s SEAL program.  Where if they get a good class of recruits they may have 1 in 10 complete training.  For it is that hard.  In fact, some have died in training because they refused to give up.  That’s why you will find few tougher than a Navy SEAL.  They are tough.  And they never quit.  Which is why we give them the most difficult missions to complete.  Missions that others would find impossible.  Proving that the more brutal and difficult training is the stronger and more able we get.

During the 20th Century the American Left has tried to replace Rugged Individualism with the Nanny State

Those who founded this nation were tough people who worked hard and never gave up.  They provided their own housing, food, clothing, etc.  If they needed something they figured out how to provide it for themselves.  They worked long hours.  Survived brutal winters and hostile environments.  But they never gave up.  In fact, they raised families while doing all of this.  With no help from government.  As there were no government benefits.  Yet they survived.  Even prospered.  For what didn’t kill them only made them stronger.  These rugged individuals could do anything.  And did.  Which is why the United States is the leader of the free world.  And the world’s number one economy.  Because of that rugged individualism.

This is the way America was before the progressives came and softened us.  And made rugged individualism somehow a bad thing.  Beginning with Woodrow Wilson.  Then FDR.  LBJ.  And then President Obama.  A long line of American presidents who eschewed individualism.  And thought in collective terms.  When the Americans rejected socialism they gave us progressivism.  When we rejected communism they gave us liberalism.  The 20th century has been a tireless attempt for those on the left to replace rugged individualism with the nanny state.  With their brilliant selves in power.  Managing the economy.  And making life fair.  To undo the unfairness of laissez-faire capitalism.  To make the United States better.  And more according to their vision.  Just like the socialists did.  And the communists did.  Yet no socialist or communist state became the leader of the free world.  Or the world’s number one economy.

Those who lived in those socialist and communist utopias learned one thing.  It was better to live someplace else.  And their ultimate destination?  The United States.  Yet those on the left refused to believe that life was worse in those states where they put people first instead of profits.  Like that unfeeling and cruel laissez-faire capitalism did.  Which is why Wilson, FDR, LBJ and Obama worked tirelessly to move the United States in the direction of socialism and communism.  Because they cared for the people.  Or the power they got by making so many people dependent on government.

Someone receiving a Comfortable Level of Benefits will not be pushed to Leave their Comfort Zone

So is it about the power or that thing about helping people?  What is it exactly that progressives/liberals really want?  Well, we can look at the historical record to determine that.  By looking at a point in time when America really changed.  With the assassination of JFK.  JFK’s chances of reelection weren’t great.  Which is why he went to Texas.  As he needed LBJ to deliver Texas to the Democrats.  Instead of electoral victory, though, he fell to an assassin’s bullet.  The great outpouring of grief and love for their fallen president exceeded the love he got before the assassination.  The heightened emotions allowed LBJ to pass the many programs of the Great Society into law.  In the memory of JFK.  The greatest expansion of the federal government since FDR’s New Deal.  Making the welfare state the largest yet.  In an attempt to put people first.  Not profits.  In fact, LBJ declared a war on poverty.  By providing government assistance to lift everyone out of poverty.  And he championed civil rights.  LBJ was going to make the United States that utopia socialists and communists always dreamt about.  For everyone.  Blacks.  And whites.  Especially blacks.  Who were suffering great discrimination then.  But things would be different for them.  Starting in the Sixties everything was going to get better.  And how are blacks doing today?  Well, if you use employment as a measure, not good (see Table A-2. Employment status of the civilian population by race, sex, and age by the Bureau of Labor Statistics)

Unemplyment Rates by Race Age Sex Rev 2

The federal government has done a lot for blacks.  More than any other minority group.  Affirmative Action was to correct all past wrongs.  By making it easier to get into college.  And to get a job.  Yet we don’t see that when looking at the unemployment numbers.  In fact, the group the government does the least for—white men—is doing the best.  They don’t need any help because they won life’s lottery.  By being born white.  According to liberals.  So there’s no Affirmative Action for them.  Yet they have half the unemployment rate black men have.  While white women have half the unemployment rate black women have.  And white 16-19 year olds have half the unemployment rate black 16-19 year olds have.  Brilliant progressives/liberals have been trying to make life better for blacks for 50 some years now and have failed.  Despite this blacks have never been more loyal to them.  Which answers the question what the Democrats care more for.  The people?  Or the power the people give them.  By getting them dependent on government.  Who they tell over and over again that they would have nothing if it weren’t for them.  The Democrats.  For blacks just can’t make it on their own without help.  Even though after receiving all of that help blacks are suffering the greatest levels of unemployment.  Clearly something isn’t right here.  And it goes back to that thing that made America great.  Rugged individualism.

You know what the difference is between a white SEAL and a black SEAL?  Nothing.  Blacks have equality of opportunity in SEAL training.  And that’s all they need.  They don’t need special treatment.  And the Navy doesn’t tell them that they do.  All they need is the strength.  And the will.  Which will be there if you don’t keep telling people that they can’t succeed without the government’s help.  Because if you keep doing that they will come to believe that.  And they will keep voting Democrat.  Looking for help.  Whereas those who face adversity and overcome it grow stronger.  Because what doesn’t kill them makes them stronger.

Handing out government benefits will make people like you.  But it won’t get them a job.  For someone receiving a comfortable level of benefits will not be pushed to leave their comfort zone.  And while they languish in their comfort zone they will not gain work experience.  Allowing others to gain experience and move up in their careers.  Making them more employable.  While those with less experience and less education are less employable.  And that’s what Democrats do when they buy votes with government benefits.  Make people less employable.  And blacks have been especially useful to them.  As they can stoke the fires of racism to drive blacks even further to the Democrat Party.  By calling Republicans racists.  Because they want to take away their benefits.  Just because they hate black people.  Or so goes the Democrat line.  So they keep voting Democrat.  While losing their rugged individualism.  And suffering higher levels of unemployment than everyone else.

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Americans love Winston Churchill because he stood up to the Nazis and Communists when others Wouldn’t

Posted by PITHOCRATES - November 3rd, 2013

Week in Review

The Americans and the British have a special relationship.  We are BFFs.  And are each other’s most important ally.  For when there is a dictator to vanquish or a peace to maintain you can count on the Americans and the British.  Despite their complicated past.  And sometimes conflicting interests.  Why, the Americans have a special place in their hearts for two great British leaders of the 20th century.  Margaret Thatcher.  And Winston Churchill (see Winston Churchill, an all-American hero by Tim Stanley posted 10/31/2013 posted on The Telegraph).

This week, a bust of Britain’s greatest leader was installed at the heart of the Capitol building. So why does the cult of Winston still hold Washington in thrall..?

Americans heard Churchill’s war broadcasts – and it’s this image of resolution and pluck that stayed with them throughout the Second World War, and beyond. After Germany’s defeat, and thrown out of office by Labour’s surprise 1945 election victory, Churchill leant moral leadership to the fight with Soviet Communism. On March 5, 1946, he gave a speech before 40,000 at the small town of Fulton, Missouri, in which he declared: “From Stettin in the Baltic to Trieste in the Adriatic, an iron curtain has descended across the Continent.” This was the rhetorical starting gun for the Cold War. The simplest reason why Churchill is so popular in the US is that he was an ally in three global wars.

Why are Americans in love Winston Churchill?  Perhaps I can best answer that question in song.

In case you didn’t make out the lines in the last verse they are included here.

Others will respect you
Others will elect you
They’ll accept your calls
Others will desire you
They may not admire you
But they will admit
You do transmit
Balls.

When others wanted to appease the Nazis Churchill didn’t.  When others wanted to embrace the Soviet Union Churchill didn’t.  When others wanted to give up essential liberty to obtain a little temporary safety he chose essential liberties.  This is why Americans love Winston Churchill.  We respect him.  And he transmited balls.  Unlike some of our world leaders today.

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The Greatest Threat to an Oppressive Dictatorship is Free Market Capitalism

Posted by PITHOCRATES - September 22nd, 2013

Week in Review

When people enter economic exchanges voluntarily everybody wins.  For example, let’s say one person has a hundred dollars of spare cash.  And another person owns a mountain bicycle that sells for $350 new.  The one with the money wants to buy a mountain bicycle.  The one with the mountain bicycle needs cash and wants to sell the bike. These two people meet.  And exchange the $100 for the bicycle.  And both walk away with something they valued more.  The person originally with the $100 valued the bicycle more than the $100.  And the person originally with the bicycle valued the $100 more than the bicycle.  Each person wins in this voluntary economic exchange.

Now contrast that to a managed economy.  Where a few decide for everyone else.  Such as in socialism.  Or communism.  Say, in the former Soviet Union.  Where the economic planners decide to make more tractor parts and less toilet paper and laundry detergent.  Resulting in shelves full of tractor parts no one wanted to buy.  And empty shelves where there was once toilet paper and laundry detergent.  As you can see, when you have forced economic exchanges no one wins.

Countries with economic systems based on free market capitalism where people enter economic exchanges voluntarily have historically had the highest standards of living.  Whereas countries with managed economic systems have had the lowest standards of living.  Liberty and prosperity are synonymous with the United Kingdom, the United States, Canada, Australia and Hong Kong.  Which were once all part of the British Empire.  Which ruled the world and kept the peace for a hundred years or so.  The Pax Britannica.  She was able to do this because of her wealth.  Generated from free market capitalism.  The rule of law.  Representative government.  Sound money.  And free trade.  Things that today give these nations immigration problems.  Because everyone wants to go to these nations for a better life.

In capitalist nations people live better because there is a profit incentive.  Whereas the countries these immigrants left typically put people before profits.  Where instead of letting market forces set prices and allocate limited resources that have alternative uses the government decides.  Like they did in the former Soviet Union.  And the more government interferes with these market forces the more these economic decisions become political.  Where friends of the ruling power get those limited resources first and at favorable prices.  Allowing them and the ruling powers to profit handsomely from this political favoritism.  At the expense of the people who have to do with less.

The profit incentive puts people first.  Because in free market capitalism market forces are the people.  Hundreds of millions of people coming together to make voluntary economic exchanges.  Where each individual person looks out for his or her best interests.  But when a ‘caring’ government manages the economy to put the people first that government interferes with those market forces.  And goes against the will of the people.  Making the people worse off.  Which is why immigration is always from a country where there is less free market capitalism to a country where there is more free market capitalism.  Because the quality of life increases with increasing amounts of capitalism.  So we should be careful what we ask for when we ask to put people first.  Even when the Pope joins the ‘put the people first’ choir (see Pope condemns idolatry of cash in capitalism by Lizzy Davies posted 9/22/2013 on theguardian).

Pope Francis has called for a global economic system that puts people and not “an idol called money” at its heart, drawing on the hardship of his immigrant family as he sympathised with unemployed workers in a part of Italy that has suffered greatly from the recession…

“Where there is no work, there is no dignity,” he said, in ad-libbed remarks after listening to three locals, including an unemployed worker who spoke of how joblessness “weakens the spirit”. But the problem went far beyond the Italian island, said Francis, who has called for wholesale reform of the financial system…

Sardinia, one of Italy’s autonomous regions with a population of 1.6 million, has suffered particularly badly during the economic crisis, with an unemployment rate of 20%, eight points higher than the national average, and youth unemployment of 51%.

Last summer the island’s hardship became national news when Stefano Meletti, a 49-year-old miner, slashed his wrists on television during a protest aimed at keeping the Carbosulcis coal mine open.

There was one other thing these nations born of the British Empire shared.  Judeo-Christian values.  They lived by the Ten Commandments.  And the Golden Rule.  The good Christians of the British Empire followed the teachings of Christ.  “Do unto others as you would have them do unto you.”  These Judeo-Christian values went hand-in-hand with free market capitalism.  It’s what made us choose to live by the rule of law.  To honor the contracts we made with one another.  To voluntarily enter economic exchanges instead of just stealing and pillaging our neighbors.

Money doesn’t have value.  It’s a temporary storage of value.  It is our human capital that has value.  Our ability to create things that have value.  Things that other people will voluntarily enter into economic exchanges to trade for with things of value they created.  Whether it be a physical good.  Or money from a paycheck they earned creating value for an employer who uses it to produce a service or good.

Capitalists don’t worship money.  For money only makes those economic exchanges more efficient.  By eliminating the search costs of the barter system.  It’s human capital that capitalists are interested in.  This is what they worship.  People.  Unlocking the latent talent in all of us.  To bring incredible things into existence.  Sanitation.  Waste water treatment plants.  New farming advancements.  Coal-fired power plants.  Things that allowed greater groups of people to live together in growing cities.  Where we have food, clean water and shelter.  Things we take for granted in capitalists nations.  Things that are luxuries in North Korea.  An anti-capitalist country that puts people before profits.  Where people worship the ruling dictator (primarily to avoid imprisonment, torture and death).  And the only people that do well are those close to the ruling power.

We don’t need a new financial system.  We just need to return to what it was before governments intervened into the free market economy to put people first.  Before we completely forget the Ten Commandments.  And the Golden Rule.  For once we use the power of government to nullify contracts to help their crony friends we no longer have a nation of laws.  But one of political favors.  Where the friends of power do well.  While those with no power live at the mercy of those in power.

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