FT214: “The far left has been and always will be an aristocratic-thinking, privilege-seeking people.” —Old Pithy

Posted by PITHOCRATES - March 21st, 2014

Fundamental Truth

Lawyers make a lot of Money without Contributing anything Tangible to Society

An attorney was sitting in his office late one night when Satan appeared before him.  Satan said, “I have a proposition for you.  You can win every case you try for the rest of your life.  Your clients will adore you, your colleagues will stand in awe of you and you will make embarrassing sums of money.  All I want in exchange is your soul, your wife’s soul, your children’s souls, the souls of your parents, grandparents, parents-in-law, the souls of all your friends and law partners.”  The lawyer thought about this for a moment then asked, “So, what’s the catch?”

That’s funny, isn’t it?  Lawyers.  Ambulance chasers.  The butt of so many jokes.  Why?  Well, some will say they deserve it.  Because they do chase ambulances.  And will pass out their business cards if they’re on a sinking ship.  Because sinking ships are good for lawsuits.  And lawyers love to sue.  For they can make a lot of money without contributing anything tangible to society.  All they do is get between two parties when large sums of money change hands.  And put a portion of that money into their pockets.  That’s how they earn their living.  Taking money away from others.  They’re parasites.  Just to get rich.  And the big tort lawyers (those who sue people and businesses) get really rich.  Allowing them to live very privileged lives.

Take a class action lawsuit.  Where they bring a lot of wronged people together to sue a large corporation.  The old David and Goliath thing.  A little person can never take on a big corporation.  But a whole class of them can.  When represented by a tort lawyer.  Who liken themselves as heroes of the little guy.  Taking the big corporation on to make them pay for all the horrible things they’ve done to their clients.  But who do they really help?  Let’s say they win a judgment from a big corporation of $250,000,000.  That’s a lot of money.  From that sum they take their cut.  Let’s say 50%.  Leaving $125 million for the people the corporation wronged.  That’s a lot of money.  So the people won, too, right?  Not really.  For there are a lot of people represented in these class actions.  Let’s say 5 million in our example.  So if you divide the $125 million by 5 million that comes to $25 per person.  So, again, who did the lawyers really help?  The lawyers.  Which is why there are so many lawyer jokes.

In the Private Sector if you want to spend Half of your Life Retired you have to Pay for It

Lawyers vote Democrat.  Because they like being privileged people.  They don’t want the laws changing that allow them to get so rich when money exchanges hands.  Which is why they donate heavily to the Democrat Party.  And don’t donate to the Republicans.  Who complain about the high costs of frivolous lawsuits to businesses in an overly litigious society.  It’s so bad that a footnote in the financial statements of a corporation about a lawsuit is not that big of a deal.  Why?  Because so many corporations are sued that investors are more surprised to see one that isn’t being sued.  This is why Republicans want tort reform.  And pass ‘loser-pays’ into law.  Like many other countries have.  Where the loser in court pays for the attorney fees for the side that wins.  Which would greatly cut down on frivolous lawsuits.  And cut the costs businesses incur from these frivolous lawsuits that they pass on to their customers.  So the lawyers donate to Democrats.  To prevent any tort reform that would change the easy way lawyers have of getting rich.

It’s the world’s oldest profession.  Screwing people for money.  But lawyers aren’t the only ones seeking privilege.  There are a lot of others, too.  Interestingly, they, too, support the Democrat Party.  Such as the United Autoworkers.  They donate heavily to the Democrat Party to keep labor laws favorable to unions.  To make it more difficult for their nonunion competition.  And to use the power of government to force people to pay may for a union-made car.  Allowing their union members to live better lives than those outside of the UAW.  And when even that doesn’t allow General Motors to pay its bills when selling a record number of cars the UAW goes to government for a bailout of their woefully underfunded pension fund.  So their union members can continue to have a more generous retirement at an earlier age than those outside of the UAW.

Teacher unions seek privilege, too.  You hear a lot about how the teachers don’t earn that much.  But then again, they don’t work that much.  Getting 3 months off in the summer.  So you can’t compare their wages to people who don’t get the 3 summer months off.  But for teachers it’s not so much about the paycheck.  It’s the benefits.  Very generous health insurance coverage.  And pensions.  Which have gone the way of the dodo in the private sector.  Because people are just living too long into retirement.  When they first set up these pensions people were dying in their sixties.  The actuaries never saw people living into their eighties as common.  So in the private sector if you want to spend half of your life retired you have to pay for it.  And you work as long as necessary to fund the retirement you want.  The union pensions just can’t work these days as they once did.  Which is why teacher unions like the United Autoworkers and lawyers support the Democrat Party.  They want to keep their privileged lives.

The Wealth Transfers of the Welfare State give Democrats Money and Privilege

Of course privilege is nothing new to the Democrat Party.  They have long stood for privilege.  Even now.  As the Democrats provide themselves all kinds of exceptions from the Affordable Care Act.  For more expensive and lower quality health insurance is good for the masses.  But not for the privileged elite.  Or their special friends who support them so generously with campaign donations.  Congress has had a history of exempting themselves from the laws they pass for us.  It took the Republican winning of the House in the 1994 midterm elections to change that.  The first Republican-controlled House since 1952 required Congress to be held to the same laws as the rest of us.  A bitter pill for Democrats to swallow.  For their feelings of privilege go way back.

The Democrat Party can trace its pedigree back to Thomas Jefferson’s Democratic-Republican Party.  The party of the slave-owning planter elite.  Who from day one fought for their privilege starting with the Three-Fifths Compromise.  To give them a greater say in the new national government than their voting population allowed.  The planter elite’s South turned into an Old World aristocracy.  With great manors for the landed aristocracy.  And vast lands worked by slaves.  Very similar to feudalism in the Old World.  And something they fought hard to keep.  Their privilege.  The Southern Democrats used the power of the national government (such as the Fugitive Slave Act) to interfere with state laws in the North.  To protect their feudalism by keeping slavery legal as long as they could while the north was industrializing and modernizing.  With paid laborers.  When they lost control of the House due to the growing population in the North they turned to war.  Saying that the national government was interfering with state laws in the South.  And getting poor southern farmers who owned no slaves to fight and die so the southern aristocracy could live on.

When the Southern Democrats lost the American Civil War they scrambled to maintain their privilege.  They unleashed a terror on the freed slaves and Republicans with the KKK.  The Democrats then wrote Jim Crowe Laws.  Separate but equal.  Government-enforced racial segregation.  During debate of the Civil Rights Act of 1964 Democrat and former Exalted Cyclops of the KKK Robert Byrd filibustered for 14 hours.  To keep the South segregated.  With power and privilege in a new aristocracy.  Centered not on land but political power and cronyism.  Even becoming the party for blacks as ironic as that is.  Trading government programs for votes.  And destroying the black family in the process.  Aid to Families with Dependent Children (AFDC) replaced black fathers with government.  And moved single mothers and their children into housing projects that became infested with drugs and crime.  But this large (and failed) welfare state transferred a lot of wealth to the Democrats.  Giving them money and privilege.   That they can use to maintain their power.  By taking care of those who take care of them.  Lawyers, the UAW, teacher unions and other privilege seekers.  For nothing has changed on the left.  They have been and always will be an aristocratic-thinking, privilege-seeking people who want to live better than the rest of us.  While we pay for their privileged lives.

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Abortion and White Supremacy

Posted by PITHOCRATES - February 27th, 2014

Politics 101

Slavery made the South more like an Old World Aristocracy than a New World Meritocracy

Democrats don’t like people of color.  Never have.  The Democrat Party’s lineage goes back to Thomas Jefferson’s Democratic-Republican Party.  Thomas Jefferson was one of our Founding Fathers who, as the Democrats love to remind us, owned slaves.  In fact, the Democratic-Republican Party was the party of the planter elite.  And of slavery.  While the opposition party, the Federalists, whose members included George Washington, John Adams and Alexander Hamilton, preferred manufacturing and commerce for the future of the United States.  Not just plantations and slavery.

It was these southern planters who made the Three-Fifths Compromise necessary.  Slaves couldn’t vote.  So the North didn’t want to count them in determining the number of representatives a state had in the House of Representatives.  The planter elite did not like this.  As the anti-slave North had more free people and would end up controlling the government.  Possibly passing anti-slave legislation.  Well, without the southern states there would be no United States.  So they compromised and counted some of their slaves.  Giving the planter elite greater power in the new federal government than their population would otherwise have allowed.  And to seal the deal they agreed not to discuss the issue of slavery again for 20 years.

The minority power in the South, the planter elite, who were Democratic-Republicans, brought a lot of slaves to the United States during that 20 year moratorium on the slavery issue.  Swelling the slave population in the South.  But once the 20 years were up Congress banned the slave trade.  So from that point forward all slaves would have to be born on U.S. soil.  But the minority power in the South had built their little fiefdoms by then.  Owning large estates.  With their lands worked by their large slaveholdings.  Making the South more like an Old World aristocracy than a New World meritocracy.  And the planter elite liked having so much power vested in so few of their hands.  From having their few numbers control the federal government.  To their absolute control of so many human lives on their plantations.  They were an elite few.  A superior people.  And they liked it.

The South used the Power of the Federal Government to Suppress States’ Rights in the North with the Fugitive Slave Act

Over time as the north pursued the dreams of Washington, Adams and Hamilton immigration began to swell the population in the industrial North.  Leading to the South losing their control over the House of Representatives.  And threatening their elitism.  By then the Democratic-Republican Party had become the Democrat Party.  Which pushed to protect the institution of slavery.  To protect their southern aristocracy.  And their elevated status as a superior people.  They used the power of the federal government where they could.  Such as passing the Fugitive Slave Act to force free states against their will to return free blacks in their states to slavery.  Then they argued that their states’ rights were at risk with all of the North’s abolition talk.  Where the North might one day do what the South did to them.  Use the federal government to force a state to do something against their will.  Such as they did with the Fugitive Slave Act.

Their fight for the Senate led to further compromises to keep the union together while accommodating the planter elite.  The Missouri Compromise (1820) had prohibited slavery in the new territory in the Louisiana Territory above approximately the southern border of Missouri (but permitted it within the borders of Missouri).  Each state gets two senators.  So with the House lost the Democrats needed more of the new states from the Louisiana Territory entered into the Union as slave states.  Even those above the southern border of Missouri. Which they did with the Kansas–Nebraska Act.  Which repealed the Missouri Compromise and replaced it with popular sovereignty.  Where the people would chose whether they wanted to be a slave state or a free state.  Setting off a mad rush by both sides to get to these territories so they could vote the slave status of these new states their way.  Leading to a bloody civil war in Kansas.

Then another blow fell to the southern aristocracy.  Abraham Lincoln.  With the election of Republican Abraham Lincoln the southern aristocracy lost not only the House of Representatives but the presidency as well.  Worse, the Republicans were an anti-slavery party.  So even if they were somehow able to hold onto the Senate the Republicans in power would challenge the planter elite’s supremacy.  Break up their fiefdoms.  And challenge their power.  Something this elite few were willing to fight to prevent.  Well, they were willing to have others fight for them.  To maintain the social order in the South.  Leading to cries about states’ rights.  And an over-powerful federal government.  Despite their having used the power of the federal government to suppress states’ rights in the North with the Fugitive Slave Act.

Democrats see Benefits for Blacks as a Necessary Evil to keep them in Power

Most southerners were poor farmers.  Who owned no slaves.  Yet they rose to fight for states’ rights.  And to protect the South from northern aggression.  At least, that was what the planter elite had them believe.  Who sent many of these poor farmers to their deaths in the American Civil War.  When it was over approximately 8.6% of the South’s population was dead.  By comparison World War II killed approximately 405,399 Americans.  However, if we had suffered the same death rate as the South did in the American Civil War our World War II dead would have totaled over 12 million.  This is what the southern aristocracy was willing to—and did—sacrifice to maintain their power and privilege.  Their supremacy over other people.  Especially over their black slaves.

Such a feeling of superiority allows you to do some pretty horrible things.  Just review the history of Nazi Germany to see some of the atrocities a ‘master race’ can do.  In the post-war South the Democrats did not lose with grace.  They resented the martial law in the South after the war.  And they hated Republican rule.  Protecting their former slaves.  Even allowing them to run for government office.  It was all too much for the fallen southern aristocracy.  To remind people of the proper order of southern society they formed the KKK.  And unleashed a terror across the South.  Killing their former slaves.  And Republicans.  To codify their white supremacy the Democrats turned to the legislature.  And passed laws to segregate the ‘inferior blacks’ from their superior selves.  Jim Crowe Laws.  Separate but equal.  With the emphasis on ‘separate’.  In time pressure grew against the southern Democrats.  But they held strong in Congress.  Fighting against any civil rights legislation.  Including the Civil Rights Act of 1964.  Where Democrat Senator Robert Byrd (and former Exalted Cyclops of the KKK) filibustered against the Civil Rights Act for 14 hours and 13 minutes.  To keep the blacks segregated from their superior selves.

Things are a lot better these days.  But Democrat feelings of superiority die hard.  Even though they would have us believe they like blacks today.  Despite their past hatred of blacks.  And their seething anger of having lost them from their plantations.  But they found a way to ‘get them back on the plantation’.  By making them dependent on government.  In exchange for their vote.  Which keeps them in power.  Back where they believe they belong.  And are entitled to be.  Because they are a superior people.  So benefits for blacks are a necessary evil to Democrats.  For they still don’t like them.  As evidenced by where they live.  Where some of the richest Democrats (such as Nancy Pelosi) live in the whitest of neighborhoods.  And their apparent racial purification of society.  Through the guise of women’s rights.  The most important thing to women, according to Democrats, is abortion.  And they do their best to make abortion readily available.  Especially to women of color.  Like in New York City.  And Mississippi.  Where black women are having far more abortions than white women.  Making America whiter.  More like the neighborhood where Nancy Pelosi lives.  And more like the color Democrats have fought to keep America since the Three-Fifths Compromise.  The Fugitive Slave Act.  Popular Sovereignty.  The KKK.  And Jim Crowe Laws.

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Georgia Specialty Plate to Include Confederate Battle Flag

Posted by PITHOCRATES - February 23rd, 2014

Week in Review

Between combat and disease the American Civil War claimed some 620,000 lives.  The bloodiest war in U.S. history.  Killing more than all the wars from the Revolutionary War through the Vietnam War.  The North lost about 360,000.  While the South lost about 260,000.  So the North suffered about 100,000 more dead than the South.  However, the population of the South at the end of the war was approximately 3,000,000.  While the north had about 29,000,000.  So as a percentage of their population the North lost about 1.3% of her population.  While the South lost about 8.6% of her population.  Which is why some in the South want to honor their war dead (see Group puts Confederate flag on Ga. specialty tag by AP posted 2/19/2014 on Yahoo! News).

Georgia officials have once again approved a specialty license plate featuring the Confederate battle flag, infuriating civil rights advocates and renewing a debate among those who believe the symbol honors Confederate heritage and those who see it as racially charged.

Southerners call the American Civil War the War of Northern Aggression.  In which they fought for states’ rights.  After their control of the federal government faded thanks to the population growth in the north.  They lost control of the House.  And the only way to keep control of the Senate was by admitting new states into the union as slave states.  Finally, the Fugitive Slave Law was the last straw for some in the north.  Requiring them to capture and return runaway slaves even though those slaves were legally free in those northern states.  So a large federal government was good when it helped southern slave owners.  And states’ rights were bad when it didn’t help southern slave owners.

The rich southern planters controlled the government in the South.  They had the wealth.  And the slaves.  Their lives were like the lives shown on the plantations in the movie Gone with the Wind.  A landed aristocracy.  Just like it was in feudal Europe.  Only with slaves instead of peasants.  Wealth and power were concentrated in few hands.  Creating great wealth inequality.  Most southerners were dirt poor and worked on family farms and were too poor to even own a slave.  But it was these people the rich planters used to fight a war for them to preserve their landed aristocracy.  Not the American dream the Founding Fathers envisioned.  Or the dream these dirt-poor southern farmers were trying to live.  The freedom to be left alone to work their own land.  Which is, of course, why they went to war.  Someone was invading their land.

No government is going to allow a Nazi swastika on a license plate to commemorate the SS.  Because the SS did some bad things.  Some would even say they were evil.  The Confederate soldiers, though, were not evil.  They were Americans.  Who were lied to by the planter elite.  So they could maintain their Old World aristocracy.  These men fought bravely in battle.  And suffered horrible casualties.  Even Abraham Lincoln held no ill will towards these men.  When a general asked Lincoln how the defeated Confederates should be treated he said, “Let ’em up easy.”  All they had to do was sign paroles saying they would no longer fight and they could go home and resume their lives.  There were to be no retributions.  For once the war was over they were fellow countrymen again.

So putting a Confederate battle flag on a license plate is less of a sign of racism and more of a remembrance for those who fought in the battlefields of the Civil War.  Especially for the 8.6% of the population who perished.  Leaving behind widows.  And orphans.  So many that it was hardly possible for someone in the South not to have lost someone in that war.

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FT198: “Obamacare will fail because you can’t incentivize people to make their lives worse.” —Old Pithy

Posted by PITHOCRATES - November 29th, 2013

Fundamental Truth

Stores used the Incentives of Black Friday to get People to do what they Wanted

A belated happy Thanksgiving.  And a belated happy Black Friday.  We say belated because Black Friday was already here by the time Friday woke from its sleepy slumber.  No more waiting in line Friday morning for those stores to open.  No.  Today if you snooze (i.e., spend Thanksgiving with the family at home) you lose.  Because it’s first come first served.  Which means if you wanted to get some of those deep discounts before they run out you didn’t let anything silly like celebrating Thanksgiving with the family get in your way.

Now everyone loves a bargain.  It’s why we scan the Sunday sales papers.  And search online for the best price.  But in the Obama ‘recovery’ there isn’t a whole lot of spending going on.  As there isn’t a whole lot of employment going on.  Since President Obama assumed office his policies have destroyed some 10 million jobs.  And one thing about unemployed people.  They definitely want a bargain.  Especially if they want a good Christmas for their family during the dark times of the Obama presidency.

But there is a greater lesson Black Friday can tell us other than President Obama is a bad president.  Especially in things economic.  Why are stores opening on Thanksgiving?  Because they’re cruel and evil forcing their workers to slave away during a holiday?  No.  It’s not that.  In fact, some employees love working on a holiday.  For they get paid more working on a holiday than they normally would.  Allowing them to earn extra money to give their families a good Christmas during the dark times of the Obama presidency.  As it turns out shoppers and workers alike like Black Friday.  For it allows each to have more for less.  And that is the great lesson of Black Friday.  Getting people to do what you want by offering them something they want.  Or, in other words, offering them an incentive.

The Kansas–Nebraska Act of 1854 pitted Northern Republicans against Slave-Owning Southern Democrats

Slaves working in the planter South had no desire to be slaves.  Yet they were slaves.  Why?  There weren’t slaves in the North.  Only in the South.  The blacks in the north chose not to be slaves.  While those in the South had no choice.  The planter elite in the South, the ‘Old World’ planter aristocracy, used force.  And having a larger force in Washington than they normally would have (thanks to the Three-Fifths Compromise that counted slaves as three-fifths of a person for representation in Congress) they were able to use the force of government to continue to force blacks into slavery.  The Southern Democrats (i.e., the ‘Old World’ planter aristocracy) were able to keep the black man enslaved until the mid 19th century.  Even using the power of the federal government to override states’ rights in the North.  Using the Fugitive Slave Act to force northern states to return fugitive slaves to their Southern Democrat owners.  The ‘Old World’ planter aristocracy.

This is coercion.  This is how you get people to do what they don’t want to do.  Using the power of the federal government the Southern Democrats kept their slaves in bondage.  Also, using the power of the federal government they forced those in the North who wanted to help ‘fugitive’ slaves to stay free return their slaves or else.  That ‘or else’ being the full weight of the federal government coming down on them with extreme prejudice.  But when the North became more populated control of the House of Representatives favored the larger populated North.  Despite the Three-Fifths Compromise.  Which left the Senate.  And as each state got two senators how the new states entered the union mattered.  For the planter elite to hold their power over the United States.

The Missouri Compromise of 1820 was an early attempt to put slavery onto the path of oblivion.  Those in the North did not want it.  The planter elite in the South did.  So they compromised.  Slavery could remain in the South to appease the planter elite but the compromise prohibited slavery in the new Louisiana Territory that Thomas Jefferson purchased above the 36°30′ parallel (about the southern border of Missouri).  Except in the state of Missouri.  Then came the Kansas–Nebraska Act of 1854 and the idea of popular sovereignty.  Throwing the Missouri Compromise of 1820 out the window.  These two states were both above the 36°30′ parallel.  The Kansas–Nebraska Act of 1854 said the first people into the fledging states could choose for themselves if they would be a slave-state or a free-state.  Which led to a mad rush to Kansas.  And a bloody civil war there.  That eventually led to the American Civil War.  To settle once and for all the issue of slavery in America.  Would the Southern Democrats prevail and keep the black man in bondage?  Or would the Republicans free the slaves?

Obamacare is less like Black Friday and more like Slavery

Even if you flunked your history class you should know the answer to this.  Abraham Lincoln and his Republicans defeated the Southern Democrats and won the American Civil War.  Freeing the slaves.  Of course, the Southern Democrats were not good losers.  They gave us the KKK.  Then the Jim Crowe Laws.  The separate but equal nonsense that didn’t exist in the Republican North.  The old southern aristocracy were not huge fans of the Declaration of Independence or the Constitution.  All they wanted was privilege.  They wanted the Old World in the New World.  And the planter elite fought bitterly to keep that.  Well, not them as much as their fellow southerners they lied to about states’ rights.  Getting them (most of who were too poor to own a single slave) to fight and sacrifice their lives to maintain the institution of slavery.  To maintain the privilege of the southern aristocracy.

So there you have examples of incentive and coercion.  Black Friday incentivized people to hire in for seasonal jobs during the holiday season.  And brought people into stores with deep discounting.  Everyone got something they wanted.  And so they did what the store owners wanted.  People worked for them on Thanksgiving.  And people came into the stores on Thanksgiving.  Both of their own free will.  Now contrast that to slavery.  Where there was no free will.  Only the coercion of the federal government.  Where fear and intimidation compelled slaves to remain slaves.  And their only incentive was to obey their masters to avoid physical harm.

With the Supreme Court ruling the penalty of Obamacare became a tax.  Allowing the federal government to compel people to buy health insurance or suffer the consequences.  A ‘tax’ that will grow in time.  Buy insurance or else.  With that ‘or else’ being the full force and fury of the IRS.  Something most people would find more unpleasant than a colonoscopy.  Without any anesthetic.  No, a letter from the IRS is something no one wants to see in their mail.  For few things will fill you with fear and dread more.  This is the enforcement mechanism of Obamacare.  Which they need because people otherwise wouldn’t spend more for less.  Higher insurance premiums to cover things they will never need (a gay man will never need prenatal care).  And sky-high deductibles that will be like having no insurance.  As everything will be out of pocket until you reach that sky-high deductible.  Which few people will reach unless they have a catastrophic illness or accident.  This is why people are NOT signing up for Obamacare.  Because Obamacare ain’t no Black Friday.  Obamacare is offering nothing the people want.  At prices higher than they ever had to pay for health insurance before.  Leaving them with less to spend on their family.  Forcing them to cut out things they once enjoyed.  Which is why Obamacare will fail.  Because you can’t incentivize people to make their lives worse.  No, to do that you need the fearful power of the state.  Just like the Southern Democrats used to maintain the institution of slavery.

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Contrary to our Public Education Slavery Preceded and Succeeded America’s Original Sin

Posted by PITHOCRATES - October 20th, 2013

Week in Review

President Obama escapes a lot of criticism.  The mainstream media is very gentle with him.  Unlike they were with George W. Bush.  Who they pilloried on a daily basis.  But not President Obama.  Part of the reason is because he is a Democrat and the mainstream media has a liberal bias.  But there is something else.  He’s black.  And there are some who will call any criticism of a black president racism.  Something no one wants to be accused of.  But there is still something else.  And it goes back to America’s original sin.  Slavery.

If you’re not familiar with world history you probably think that the United States invented slavery.  And that the white Founding Fathers created a racist nation.  Which only ended when the great ‘Democrat’ Abraham Lincoln freed the slaves.  ‘Democrat’ is in quotation marks because Lincoln was not a Democrat.  He was a Republican.  But as our kids leave our public schools believing that Republicans are racists they just assume the Great Emancipator was a Democrat.

So with this background a lot of white people went to the polls in 2008 and voted for Barack Obama.  To atone for the sins they never personally committed.  To finally end racism in America.  To absolve the nation of its original sin.  The ‘creation’ of slavery.  Even though the Americans did not invent slavery.  Nor did the abolition of slavery in America end slavery in the world.  In fact, it still exists today (see New global index exposes ‘modern slavery’ worldwide posted 10/17/2013 on BBC News World).

Nearly 30 million people around the world are living as slaves, according to a new index ranking 162 countries.

The worst offenders are included in a table:

Estimated Number of Slaves

Western nations that embrace free market capitalism are conspicuous by their absence from this list.  Which just goes to show you that with economic freedom comes liberty.  For when people buy and sell in mutually beneficial exchanges the people win.  When the government controls the economy and decides what’s best for the people the people lose.

The index was compiled by Australian-based rights organisation Walk Free Foundation using a definition of modern slavery that includes debt bondage, forced marriage and human trafficking…

The organisation’s estimate of 29.8 million slaves worldwide is higher than other attempts to quantify modern slavery. The International Labour Organisation estimates that almost 21 million people are victims of forced labour…

For all the faults the left says America has (it’s racist, unfair, favors the rich, etc.) there is no debt bondage, forced marriage, human trafficking or forced labor.  In fact, the people from every country on that list would love to trade their debt bondage, forced marriage, human trafficking or forced labor for life in the fault-ridden United States.  No matter how bad the left says America is.

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FT181: “Slavery in America is the best thing that ever happened for today’s black Americans.” —Old Pithy

Posted by PITHOCRATES - August 2nd, 2013

Fundamental Truth

To become the Father, the Son and the Holy Spirit the Man Jesus had to Die

There are some Christians who still have bad feelings towards Jews.  Who they blame for killing their Lord and Savior.  Jesus Christ.  Even though Christ died for man’s sins.  He knew the state was going to execute Him.  But He did not try to save Himself.  He accepted His fate.  Because His death was preordained.  It was all part of God’s plan.  For Jesus’ ascension into heaven.  To become the Father, the Son and the Holy Spirit He had to die.  And He had to be crucified.  As horrible as that was.  To give the religion that would follow their most sacred icon.  The crucifix.  Or cross for the non-Catholics.

God’s will was done.  And because of it the Christians got a new religion.  Based on the life and death of a Jew.  The Rabbi Jesus of Nazareth.  Which is why the Christian Bible includes the Old Testament.  To include the Mosaic teachings that Christ Himself taught.  So for Christians to hold a grudge against Judaism is illogical.  Especially when the ultimate instrument of Jesus’ death was politics.  Not religion.

The Jews lived under a Roman occupation.  An uneasy Roman occupation.  The Jews were a thorn in Rome’s side.  As they were quite burdensome.  With their not knuckling under as willingly as others.  So to keep the peace they allowed the Jews to keep their religion.  Or rather, they tolerated it.  Something the high priests and Pharisees were very conscious of.  And they didn’t want any trouble that would cause them to lose their privileges.  Like this young whippersnapper coming around and riling up the masses.  For they knew it wouldn’t take much for the Romans to lose their tolerance of them.  And they especially didn’t like His way of not revering them.  That especially cheesed them off.  So the high priests and Pharisees went to the Romans and said this guy, Jesus, is calling Himself king of the Jews.  Something they were sure would not please Caesar.  Emperor of them all.  Well, one thing led to another and they crucified Christ.  Because of politics.  Not Judaism.

Some of the Countries today enjoying the Greatest Liberties and Highest Standards of Living have a Christian Past

Jesus has done more to bring peace to the world than anyone else.  The golden rule?  It has done more to let people live peacefully together than any government law.  It made people kind to each other.  Instead of the brutes we once were.  Religion civilized us.  And Jesus did more than most to make that happen.  Would that have happened if the Romans hadn’t crucified Him?  Of course this is a moot question.  For it was God’s will.  What happened had to happen.  And we are better off because it happened.  (When people use religion to justify violence it’s a different story.  The horrific wars between Catholics and Protestants had nothing to do with the golden rule.  But people who in their zealotry forget the golden rule.)

Death by crucifixion was a long, painful death.  People hung by their arms until they could hang no longer.  Then they transferred their weight to their legs.  Standing up.  And this went on until death mercifully came.  So Jesus hung by His arms with His weight pulling His tissue and tendons against the nails through His hands.  And when He stood the weight of his body forced His tissues and tendons against the nail through his feet.  And up and down he went.  Forcing those nails through His flesh.  A horrible death.  But a death He did not try to avoid.  People make Him out as some hippy peacenik.  But He had guts.  Though it’s easy for a God to have that kind of guts.  Jesus was just a man when He died.

So something good came from something horrible.  The world became a better place.  Yes, there were a lot of religious wars when some bastardized Jesus’ teachings.  But some of the countries today enjoying the greatest liberties and highest standards of living have a Christian past (and are still predominantly Christian).  Like those that were once part of the Christian British Empire.  Where the rule of law and the respect for the individual—not the ruling powers—rule supreme.  And that would not have happened without Christ.  For even the atheist among the Founding Fathers—Thomas Jefferson—thought that Jesus’ teachings were the greatest in the world.  So good things can come from bad things.  Like another good thing that came from one of the worst things there ever was.  Slavery.

There’s a Prosperous Black Middle Class and Black Millionaires in America thanks to Slavery

Africa is a horrible place.  Sadly.  In any metric you use Africa measures horribly.  More people live in poverty in Africa than they do anywhere else in the world.  Africa has the world’s highest infant mortality rates.  Africa has the lowest life expectancy rates in the world.  Africa has the highest homicide rates in the world.  Africa has the lowest per capita GDP in the world.  And Africa has the lowest Human Development Index in the world.  Which basically says that Africa is the worst place in the world to live.  Whereas Europe and the countries that were once part of the Christian British Empire consistently have the best numbers in all of these metrics.  Making them some of the best places to live.  Unlike Africa.

Of course, the slaves who traveled in the hellish conditions of the slave ships to the New World would have preferred to have remained in Africa.  In the world they knew.  With the family they knew.  Without suffering the horrors of that Atlantic crossing.  The slave markets.  And their brutal overseers.  But something good came from all that suffering.  Unfortunately it was not for them.  But their distant ancestors.  Who today can live in a prosperous black middle class.  Where they don’t have to live in poverty.  Where their children are likely to survive their childhood.  And grow up to live a full life.  Where they have a lesser chance of being murdered.  Where they can have a much higher standard of living.  And a higher Human Development Index.  Unlike in Africa.

Slavery in America is the best thing that ever happened for today’s black Americans.  Ironically, the ancestors of those who were lucky enough to escape the slave traders don’t live as good a life as those who did not.  Today blacks in America are CEOs.  Athletes.  Movie stars.  Hip hop-stars.  Doctors.  Lawyers.  Even president of the United States.  So in addition to a prosperous black middle class there are black millionaires in America.  Blacks who started with nothing.  And earned a champagne and caviar life.  Something that just isn’t happening in Africa.  Sadly.

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The Planter Elite, Southern Democrats and the Political Left’s Embrace of Racism

Posted by PITHOCRATES - July 18th, 2013

Politics 101

The Left needs Racism to Exist so they can Continue the Fight to End Racism

George Zimmerman had what pretty much everyone said was a fair trial.  And extensive attempts to detect a racial motivation have been in vain.  Most people seem to agree that race was not a factor in the shooting of Trayvon Martin.   Yet since the ‘not guilty’ verdict some have been saying things like if Trayvon Martin was a white kid Zimmerman would not have followed him.  And that if Martin was a white kid and a black man shot him a jury would have found that black man guilty of first degree murder.

These things are so obvious that some people (primarily those on the political left) are demanding the federal government charge Zimmerman with a race-based hate crime.  And for violating Martin’s civil rights.  Despite pretty much everyone having said it was a fair trial.  And extensive attempts to detect a racial motivation have been in vain.  But it’s now about race.  Why?  And where is their concern for what’s happening in Chicago?  Where the black on black murder rate is soaring?

Government fixes problems.  And Big Government fixes big problems.  Problems like racism.  By creating agencies and writing legislation to end racism.  Increasing the size of the government.  And increasing their power.  Putting more and more people into powerful positions.  Earning large salaries.  While activists agitate.  Getting more time in the news whenever they speak out against racism.  Staying relevant.  And allowing them to collect vast sums of money to continue the fight to end racism.  Which brings us to why the political left is giving the Zimmerman case a racial component when none exists.  For they need racism to exist.  So they can continue the fight to end racism.  Because it gives them power.  And pays them so well.

The Left has transformed Rugged Individualism into Complacency, Lethargy and Subservience

The political left wants to expand the size of government.  They want the government to do more for the people.  Like the social democracies in Europe.  And they want the people to be dependent on the government.  With the government redistributing ever more wealth.  And they want to be the people deciding who gets this redistributed wealth.  Because of the power it gives them.  And the wealth.  For the more wealth that passes through the government the more they can skim off the top.  So they can make ‘investments’ in selected businesses.  Businesses, coincidentally, that their friends own.  Who return the favor with campaign donations.  From the very tax money they ‘invested’ in those businesses.

But their crony capitalist friends in business are not the only recipients of government largesse.  The government gives alms to the people.  To make them dependent on government.  Form Social Security to Medicare to Obamacare to food stamps.  Not a lot to make their lives really comfortable.  But enough that they can survive without working.  Getting them complacent.  Lethargic.  And subservient.  A permanent underclass.  Afraid to lose their government benefits.  So they keep voting the political left into office.  To keep their benefits.  Keeping them complacent.  Lethargic.  And subservient.  A long way from the rugged individualism of our grandfathers.

But it’s just not the crony capitalism.  And the alms.  There are also the agencies and the legislation.  And the vast government bureaucracy.  That becomes so entrenched that it becomes impossible to get rid of it.  Which is why government only grows.  It never shrinks.  Because government bureaucracies take on a life of their own.  And like any living organism they grow.  And the more agencies and legislation for that permanent underclass the greater that vast government bureaucracy is.  The more positions of power.  And the more money that passes through government.

The Left is making the Zimmerman Verdict about Race because it gives them Purpose, Power and Wealth

During the mid 1800s the majority of southerners lived and worked on family-owned farms.  Were poor.  And did not own slaves.  For slaves were expensive.  The great slave populations were on the plantations.  Owned by the rich planter class.  Who ran the government.  A true Old World aristocracy if there ever was one.  You’ve seen Gone with the Wind.  Glorious mansions.  Huge landholdings.  Servants.  And family names so great they were nearly royalty.  People treated them like royalty.  And they expected the people to treat them as royalty.  For they were.  In the plantation South.  And this was what they were fighting to preserve.  That part of the Old World that the United States broke free from.  Where some people were better than you based on their birth.  And it mattered what your last name was.

So they plunged their people into war.  Telling them it was about states’ rights.  And northern aggression.  When it was nothing more than these few people, the planter elite, the southern Democrats, trying to keep the South in the 18th century.  With them enjoying their positions of privilege.  While the masses toiled for them.  In fact they were so exalted that they actually owned human beings.  Like barons.  And earls.  And dukes.  They liked that world.  Just as landowning aristocracies have for millennium.  Then the Founding Fathers had to come along and muck everything up.  With their “all men are created equal.”  And their Constitution.  Creating a government of the people.  Instead of what it should be.  A government of the privileged elite.  Then that abominable Abraham Lincoln.  And his “government of the people, by the people, for the people, shall not perish from the earth.”  How they hated that.  And ever since losing the Civil War the southern Democrats struggled to maintain their position of privilege.

The descendants of those southern Democrats, liberals, still seek privilege and power.  And few have suffered as much to advance their cause than blacks.  They destroyed the black family with Aid to Families with Dependent Children (AFDC).  Where the government replaced the father in the black families on AFDC.  Saying these women didn’t need to get married.  Or live with the fathers of their children.  So black children grew up without fathers.  Or male role models.  Which spurred the creation of Big Brothers.  To provide positive role models for these black kids harmed by liberal policies.  So they wouldn’t turn to the streets.  Or gangs.  Which they did.  And still do.  In alarming numbers.  And today little has changed in the black community.  The vast majority of black children are born to single mothers.  And the streets of Chicago run red with the blood of black teens and young adults.  But the political left doesn’t care about these blacks.  Because their deaths can’t help them politically.  Especially when it’s their policies that caused all of this violence.  But when a light-skin Hispanic (who those on the left called a ‘white’ Hispanic) kills a black teen, why, that’s close enough to a white man killing a black teen.  And THAT can help them politically.  Which is why the left is making this a case about race.  Because it gives the left purpose.  And purpose leads to power and wealth.

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FT176: “The left instigates and exacerbates discrimination to increase their power.” —Old Pithy

Posted by PITHOCRATES - June 28th, 2013

Fundamental Truth

The Institution of Slavery was Dying Out in the U.S. before Eli Whitney and his Cotton Gin

Discrimination is wrong.  And it doesn’t belong in a meritocracy.  Which is what the United States is.  Here it doesn’t matter who your father is.  There is no nobility.  No aristocracy.  Here everyone is equal.  It’s why people came here with pennies in their pocket.  So they could work hard and live the American dream.  Having the liberty to do whatever they wanted to do.  Which many did.  Starting out sweeping floors for a boss.  And going on to be boss in their own business.

The Founding Fathers weren’t perfect.  But they were as close to perfect as you can get.  Selfless.  Disinterested.  Principled.  And, yes, some were slave owners.  But they didn’t invent slavery.  Or bring it to the New World.  It was part of the times they lived in.  And already well entrenched in the colonies before they entered into the history books.  The southern economy was already dependent on slave-labor during the writing of the Declaration of Independence.  And the U.S. Constitution.  Some of the Founding Fathers wanted to get rid of the institution.  But to form a new nation they needed the southern states.  And they wouldn’t join without their slaves.  So they tabled the subject for 20 years.  Trusting that it would resolve itself by then.  But then Eli Whitney gave us the cotton gin.  And, well, the rest is history.

The institution of slavery was slowly dying out before the cotton gin.  George Washington wanted to replace his slaves with paid-laborers.  For he wanted to change up his crops.  Grow many different crops instead of one large cash crop.  Something paid-labor was ideally suited for.  As he could hire people with a particular crops’ skill-set and they could hit the ground running.  But when you had slaves working the same large cash crop year after year such as tobacco change didn’t come easy.  For you had to retrain your slaves.  And with training there is a learning curve.  It was just so much easier to hire well-skilled paid-laborers.  And the fact that they wanted to work for you helped, too.  For when forcing people to work for you against their will all you’ll get from them is the bare minimum that lets them escape brutal punishment.  Which does not bring out a person’s latent talents.  It just prevents these talents from ever seeing the light of day.  No.  Slave-labor as an economic model was a horrible one.  As well as being immoral.

Abraham Lincoln and the new Republican Party ended Slavery in the United States

Slavery in the United States was concentrated in the South.  On the plantations.  Where they had a single, large cash crop.  And thanks to Eli Whitney that crop was cotton.  Because the cotton gin could so quickly comb the cotton fiber to remove the seeds and stems the sky was the limit.  The only thing holding back your profits was the amount of land you put in production.  And the only limit on that was the number of slaves you had to make land productive.  Which is why the institution of slavery didn’t die out in 20 years time.  Which really wasn’t overly optimistic.  Because in the grand scheme of things there weren’t that many slaves in the United States to begin with.

Of all the slaves brought to the New World only about 6.5% ended up in British North America (according to Wikipedia).  Another 18% went to other British colonies.  Another 18% went to Spanish colonies.  About 14% went to French colonies.  While the vast majority of those slaves went to Portuguese colonies in the Americas.  Approximately 39% of all African slaves.  Most landing in Brazil.  Which is why the Portuguese language is one of the top ten most spoken languages in the world today.  Because Brazil is a very large country.  Thanks to all of those slaves the Portuguese brought there.

Slavery was wrong.  And it is America’s original sin.  But it wasn’t what made America great.  Or rich.  Contrary to what our public schools are teaching our kids.  If it was the South would have won the American Civil War.  But they didn’t.  The industrial North did.  With her factories filled with paid-laborers.  This was the New World.  The South that lost the Civil War was the last remnants of the Old World in the New World.  Where it mattered who your father was.  Abraham Lincoln and the new Republican Party ended slavery in the United States.  And the Republican Party would eventually put an end to Jim Crowe laws in the south.  And passed the Civil Rights act (a larger percentage of Republicans voted for it than Democrats).

The Racial Divide has never been Greater despite electing a Black President Twice

So the Republicans have done more to end discrimination in the United States than the Democrats have.  Who have actually spent more time opposing civil rights.  But you wouldn’t know that.  Not with all the disinformation the left puts out.  Today the left claims they are the party that fights discrimination.  When in actuality they instigate and exacerbate discrimination.  Because it gives them power.  For trying to end discriminations is very lucrative.  Some have made careers and have grown quite wealthy trying to end discrimination.  You know who they are so there’s no point in naming them here.  But these people never end discrimination.  For while there’s money in fighting discrimination there’s no money in ending it.

If there are always examples of discrimination in our society then there is always a need for those who fight it.  There’s always a reason for new legislation.  To right past wrongs.  And make things fair.  So the Democrats increased the size of the welfare state.  To make the discriminated dependent on the state.  To keep them on the plantation.  Concentrating them in housing projects.  In the inner city.  Away from the Democrats’ nice neighborhoods.  They broke up their families with AFDC.  Replacing fathers with the state.  Who failed these kids miserably.  They implemented affirmative action.  Where some game the system and get a free pass.  Because of lower standards.  Getting entrance to a college or a job over someone more qualified.  Fomenting new racial unrest.  As some complain about being passed over despite being more qualified.  Which the left jumps on as proof of overt racism.  And the need for them to do something more to end it.

But they never end anything.  Because ending it would take away their power.  Which is why despite everything they’ve done since the Sixties things have never been worse.  And more policies and legislation to end discrimination have never been needed more.  Because the racial divide has never been greater.  Despite this country electing a black president.  Twice.

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Cane Sugar, Crystallized Sugar, Sugar Trade, West Indies, Wealth and War

Posted by PITHOCRATES - May 7th, 2013

History 101

As Muslim displaced Christians from the Lands of the Roman Empire Sugar moved West

There is a war on sugar.  It’s making us fat.  And it’s making us sick.  Because it tastes so damn good.  We crave it.  And always have.  Since the first days we chewed on sugarcane.  Sucking out the juice.  Which was where that sweet delight was.  It was so good that the people in New Guinea (just north of Australia) learned how to plant it and raise it themselves.  Instead of just looking for it in the wild.  Around the eighth millennium BC.  From there it spread.  North.  To Southeast Asia.  Southern China.  And into India.  Where they took sugar to the next level.  They didn’t just chew on sugarcane to suck out the juice in India.  They refined it into a crystallized substance.  Around 350 AD.  Concentrating that sweetness.  And making it portable.  Then the Arabs entered the picture.

The Arabs took the Indian sugar-making technique and made it into big business.  They established plantations to grow it in tropical climes.  Where the two things that made sugarcane grow best—heat and water—were plentiful.  They built the first sugar mills to refine the cane.  Basically presses to squeeze out the juice.  Which they then boiled the water out of.  Leaving behind sugar crystals.  And added it to their foods.  As Muslim Arabs displaced Christians from the lands of the Roman Empire sugar moved west.  The Arabs introduced sugarcane plantations as far west as southern Spain.  When Christian Crusaders returned from fighting Muslims in the Holy Land they brought back crystallized sugar to Europe.  And they quickly fell in love with those white crystals.  By the late 13th century even England had grown a sweet-tooth.  Who would go on to consume so much of the stuff that they would rot their teeth away.

Then the Europeans entered the sugar business in the 15th century.  At first it was just the wealthy that enjoyed sugar.  Then it spread to the common people.  As demand grew they established new plantations to meet that demand.  In southern Spain.  The Atlantic island of Madeira.  The Canary Islands.  The Cape Verde islands off the west coast of Africa.  All had good growing climates for sugarcane.  And each plantation had its own processing plant.  For a ship’s hold full of crystallized sugar was far more valuable than a ship’s hold full of harvested sugarcane.  Making these plantations labor intensive endeavors.  And working the fields was backbreaking work.  To step up production required a larger labor force than was available.  And to meet that demand they turned to using African slaves.

Sugar was a Turning Point from an Agrarian World of Slaves and Indentured Servants to the Modern Industrial World

By the 16th century the Europeans were taking sugarcane across the Atlantic.  And African slaves.  The Portuguese, Spanish, Dutch, French and British brought sugarcane and slaves to Brazil, Cuba, Jamaica, Barbados, the Virgin Islands, Guadaloupe, Saint-Domingue (present day Haiti) and elsewhere in the Americas.  With the Caribbean Islands becoming the sugar capital of the world.  France’s Saint-Domingue being the single largest producer in the world.  Until their slave uprising.  It was France’s wealthiest possession in the Western Hemisphere.  And its loss changed French ambition in the New World.  For Napoleon had his eyes on rebuilding the French Empire in North America that was so rudely interrupted by France’s loss in the Seven Years’ War.  But with the loss of Saint-Domingue and all that sugar wealth Napoleon lost all interest in the New World.  And sold the Louisiana Territory to the United States.  To prepare for war with Britain.  Again.

The British and the French both had lucrative sugar plantations in the West Indies.  When the American Revolutionary War turned into a world war the British and French squared off once again.  Especially in the West Indies.  Where they wanted to protect their possessions producing that valuable sugar.  And take the other’s possessions.  So they could expand their holdings.  And their wealth from the sugar trade.  As well as put down any slave uprisings.  Such as would later happen in Saint-Domingue.  Some say the reason the British lost the American Revolutionary War was because they diverted too much of their military resources to the Caribbean.  But the French were diverting a lot of their military resources to the Caribbean, too.  Which is one reason why the war lasted 8 years.  As the French were more interested in taking the British possessions in the West Indies than American independence.  Their first efforts fighting alongside the Americans (Rhode Island in 1778.  Savannah, Georgia, in 1779) did not help the cause.  It was only when the French fleet could be spared from the action in the West Indies that they joined General Washington in trapping General Cornwallis at Yorktown in 1781.  With Cornwallis’ surrender effectively ending the war.  Even though they wouldn’t sign the final peace treaty until 1783.

By the end of the international slave trade Europeans sent approximately 10 million Africans to the New World.  Mostly to Brazil and the Caribbean.  To work in the sugar plantations.  Where slave ships left Africa.  They unloaded slaves in the New World.  Loaded the sugar these slaves grew.  Shipped the sugar back to the Old World.  Unloaded the sugar and loaded on finished goods.  Then sailed back to the African slave stations.  Where they traded their finished goods for more slaves.  There was big money in The Trade Triangle (trade from Africa to the New World to the Old World and back to Africa).  But sugar also helped to kick off the Industrial Revolution.  For the iron industry grew to make the machinery of the sugar mills.  As each plantation processed their sugarcane into crystallized sugar that was a lot of cast iron gears, sprockets, levers, axles, boilers, etc.  Basically a turning point from an agrarian world of slaves and indentured servants.  To the modern industrial world and wage-earners.

There is a Correlation between America’s Obesity Problem and the Switch from Cane Sugar to Corn Sugar

By the 19th century technology was making better sugar at lower costs.  The British designed a low-pressure boiler.  As water boils at a lower temperature when at lower pressure they were able to refine sugar with less energy.  Cutting production costs.  And waste.  As higher temperatures caramelized some of the sugar.  Though caramelized sugar can be delicious on crème brûlée you don’t want it when you’re producing crystallized sugar to sell.  Then the Americans improved this process by creating the multiple-effect evaporator.  A multi-stage device where the pressure is lower in each successive stage.  They use steam to boil water in the first stage.  This vapor then provides the energy to boil water in the next stage.  Which is at a lower pressure.  And, therefore, has a lower boiling point.  That vapor then boils water in the next stage which is at a lower pressure.  And so on.  Where one energy input creates a lot of useful work cost-efficiently.

With the advance in refining equipment refinery plants grew more complex.  And expensive.  So instead of building one on every plantation they built fewer but larger ones.  And shipped raw product to them.  Modern ships and economies of scale made this the new business model.  Companies grew and opened other refineries.  And expanded vertically.  Growing sugarcane as well as refining it.  One of the best at this was the American Sugar Refining Company.  That at one point controlled 98% of the sugar processing capacity in the United States.  Which earned it a spot on the original Dow Dozen.  The first 12 industrial stocks the Dow used in calculating their Dow Jones Industrial Average in 1896.  And remained a component of the Dow Jones Industrial Average until 1930.

Eventually the Americans couldn’t compete with foreign sugar producers any more.  They enlisted the help of Congress to impose tariffs on cane sugar imports.  Forcing Americans to pay more for their sugar.  Then they started making sugar out of government subsidized corn.  High-fructose corn syrup.  Which pretty much sweetens anything manufactured in the United States today.  That some say causes more health problems than cane sugar.  Including obesity.  Those in the high-fructose corn syrup business vehemently deny this.  But there is a correlation between America’s obesity problem and the switch from cane sugar to corn sugar.  Because of the different way the body metabolized corn sugar it did not satiate our appetite.  Leading us to over consume.  Such as with sugary drinks.  Which have gotten so large in size that New York City Mayor Bloomberg tried to make these large sizes illegal.  Because America’s over consumption of sugar was making us obese.  While Britain’s over consumption of cane sugar only rotted their teeth away.  It didn’t make them obese.  Which makes the case that corn sugar is less healthy than cane sugar.  Despite what the corn sugar lobby says.

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Stages of Production, Free Market Capitalism, Civil War, King Cotton, Emancipation Proclamation, Southern Democrats and Jim Crow Laws

Posted by PITHOCRATES - July 17th, 2012

History 101

Free Market Capitalism maximizes Wealth Creation with Free Markets, Free Trade and Free Labor 

The whole point to a value added tax (VAT) is that we add value as we go through the stages of production.  Raw materials in the earth have no value.  They begin having value when we extract them.  Raw iron ore gains value when we process the iron out of the rock.  A Great Lakes freighter full of taconite pellets (processed from low-grade iron ore flint-like rock) is worth more than the same weight of the low-grade iron ore flint-like rock.  These taconite pellets gain value when we transform them into steel in a blast furnace.  That steel gains more value when we transform it into steel products (like a truck frame or a refrigerator).  The finished goods we incorporate these steel products into gain even more value.

The VAT tax applies a tax on the increased value at every stage in the stages of production.  It’s a way for government to collect a lot of tax revenue without using something obvious like a sales tax.  Because no one but the government knows all the tax collected on all that value created.  Which is a very important point.  Increasing value increases tax revenue.  And that’s because increasing value increases wealth.  Making economically advanced countries (with a lot of economic activity throughout the stages of production) wealthy countries.  Giving them an advanced industrial base.  An extensive infrastructure.  And a high standard of living.

Free market capitalism maximizes this wealth creation.  Free markets.  Free trade.  And free labor.  Where people can work hard to learn a skill that will give them more value.  And the ability to create more wealth with their labors.  Allowing them to earn a nice paycheck.  That they can use in the market place to buy things.  Contributing to economic activity.  And the wealth creation in the country.  As well as the tax base.  The greater the population the greater the number of people engaging in economic activity.  The greater the number of retail stores.  The greater the wholesale industry.  The greater the manufacturing base.  And the greater amount of raw material extraction.  All of this activity producing an advanced nation.  That can build whatever it needs.

Lincoln’s Emancipation Proclamation made it Impossible for the Europeans to Support the Southern Cause

There were two Americas in the mid 1800s.  An industrial North.  And an agricultural South.  An advanced nation in the north based on free labor.  And medieval economy based on slave labor in the south.  In the north they had factories, shipyards, railroads and everything else a modern industrial nation had.  In the south they had cotton.  In the north they had a growing population of free men.  In the south they had a growing population of slaves.  In 1861 the North had a population of about 22 million.  The South had a population of about 5.5 million free men.  And about 3.5 million slaves.  So the North enjoyed explosive economic activity creating great wealth.  While the South enjoyed great wealth from their cotton.  For the few plantation owners.  The slaves didn’t enjoy any of that wealth.  While the majority of the white population struggled to scratch out a living on small family farms.

When the American Civil War broke out the South was at a distinct disadvantage.  For technology wins wars.  And the North was far more technologically advanced than the South.  As Rhett Butler said in Gone with the Wind, “They’ve got factories, shipyards, coal mines…and a fleet to bottle up our harbors and starve us to death.  All we’ve got is cotton, and slaves and…arrogance.”  Which was true.  But in their arrogance they thought that King Cotton would trump all of the North’s advantages.  By bringing in the British on the South’s side.  Because Britain bought a lot of that southern cotton.  And the South was sure that Britain would support their cause to maintain that cotton flowing to their textile and garment industries.  They thought wrong.

Cotton was a raw material.  And other people could grow it just as well as the southern plantations.  Yes, the self-imposed cotton embargo by the South on Britain hurt the British.  Causing a major interruption to their textile and garment industries.  But it didn’t take long to replace that Southern cotton with Egyptian and Indian cotton.  And in no time the British industries were up and running again as if nothing had happened.  Creating higher orders of wealth than the raw cotton resources of the South.  Which was a problem for the South.  For there was no way for them to break the blockade of their harbors without European help.  But that help would never come.  Because the only thing they had to offer, cotton, was available elsewhere.  Not to mention the fact that Britain had emancipated her slaves.  And was working diligently to interdict the Atlantic slave trade.  So they weren’t coming to the South’s aid.  And if Britain wasn’t going to help then neither were the French.  And Lincoln’s Emancipation Proclamation was just the icing on the cake.  Making it impossible for the Europeans to support the Southern cause.  It then became a matter of time for the technologically advanced north to defeat the medieval South.

The South’s Old World Economy was just no Match for the New World Economy of the North  

Outmanned, out manufactured and with no foreign recognition the South learned the lesson that an economy based on slave-labor was no match for an economy based on free market capitalism.  For the slave-based agricultural economy was little different than the feudalism of the Middle Ages.  A system long since abandoned in Europe but clung on to in the Confederate South.  Concentrating the wealth in a few hands.  The landed aristocracy.  And a small middle class of artisans and business owners primarily to serve the planter class.  While everyone else, whites and slaves, worked hard and barely survived.  The blacks of course suffering more than the whites.  But they both lived in poverty.

The advanced economy of the industrial North built ships, cannon, rifles, bullets, locomotives, track and everything else a modern industrial economy has.  Their ships commanded the rivers and the southern coast.  The South was cut off from the rest of the world.  Their valuable cotton sitting worthless in warehouses because there was no one to sell it to.  Not even in the South.  For while the North had a textile industry the South did not.  With no way to add value to this cotton this cotton lost all value.  And the Southern economy collapsed.  Because cotton was all they had.  Well, that, and arrogance.  But when that cotton became worthless the South had nothing.  And little choice but to surrender.  And they did.  First General Lee to General Grant.  Then General Johnston to General Sherman.  And soon the war was over.

It took some 4 years and about 600,000 dead.  Which is especially sad considering the South never had a chance.  Their Old World economy was just no match for the New World economy of the North.  With the thing they were fighting for, slavery, being the cause for their defeat.  For slavery may have worked in a medieval agricultural-based economy.  Where there were no stages of production.  Just procurement of raw material.  But it was no match for free men working in free market capitalism.  Which is why the North prevailed in the Civil War.  And why the United States went on to be an economic superpower.  And leader of the free world.  Thanks to President Lincoln.  Who freed the slaves.  And the South from its Old World past.  Unleashing human capital everywhere throughout the United States.  And allowing all people to engage in economic activity.  Though the freed slaves would suffer discrimination for decades under the Southern Democrats.  And their Jim Crow Laws (separate but equal).  But the Republicans would eventually usher in civil rights legislation ending that.  Just as they ended slavery.  Allowing all people to live a better life under free market capitalism. 

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