Saturday, December 29, 2012

Arteriosclerosis: The Tragedy of the Greeks



Arteriosclerosis: The Tragedy of the Greeks
By
Martin L. Cowen III

On May 5, 2010, Greek mobs set Martin Bank in Athens on fire murdering three bank employees, including one pregnant woman. The rioters were protesting cuts in Government benefits mandated in exchange for a multi-billion dollar international bailout of the bankrupt Greek economy.

Most mature, and therefore essentially corrupt societies, have in place thousands of programs, designed to buy votes, which have the effect of paralyzing the economy. Once these programs reach numbers in the thousands, the economy starts to die visibly. We are seeing this effect most dramatically in Greece. The effect is visible in other European socialist democracies like Spain and Italy. We in America are being to experience the paralyzing effects of our Government vote-buying programs. Because we are all the beneficiaries of these vote-buying government programs, most of us are unwilling to support stopping our, or anybody else’s, Government programs. “We want our benefits.”

The Wall Street Journal reported on December 18, 2012, that only 3.7 million people of the total 11 million Greek population have jobs. Greek parents are sending their children to live in charitable children’s homes because the parents cannot afford to feed them. Greece is dying of arteriosclerosis of the economy.

Some vote-buying Government programs are small irritants, like the first here listed. Others are more troublesome like the second. In sum, these programs destroy a free market economy completely. The first is milk price supports. In the news today is talk of the “dairy cliff.” Government price supports for milk expire on January 1, 2013, in the absence of Congressional action. Boohoo! Like all price fixing, and there is a lot of this in American law, milk price supports are just one more vote-buying Government program. The second to be mentioned is minimum wage laws. These laws forbid a willing employee and a willing employer from entering into a contract for work at a rate less than that mandated by the Government. This law is a jobs killing nightmare. With the advent of ObamaCare, the effective minimum wage will spike $2,000 per employee per year (this is the new tax per employee of every subsidized employee). For those who cannot do the math, that is a $1 per hour effective increase in the minimum wage law (there are 2,000 working hours in one year).

Rather than list more of the thousands of programs, let us examine the principle. Almost all legislation is designed primarily to influence the financial condition of one or more special interest groups. Not always for the good. Sometimes competing businesses are killed by the Government as a boon to a more favored special interest group. There is always a rationale for legislation that is addressed to the “pubic good,” but the reason is always the financial interest of a constituency. As we learn the principle, remember that powerful interest groups have been educating us for decades in Government schools to believe only the rationales and to ignore the reasons for Government interference. Be prepared for cognitive dissonance.

Legislation can address any point in the profit-loss statement of a special interest group.

Price

In the case of milk price supports, the variable affected is price. Minimum wage laws are price controls.

Demand

ObamaCare famously is requiring everyone to be insured. The variable affected is demand. Demand for insurance will thus be maximized. For this reason, many insurance companies supported the ObamaCare legislation.

Supply

Import quotas and tariffs limit the importation of certain goods or place a fee on their import. The variable affected is supply. Supply is limited by import quotas and import tariffs. More vivid and controversial examples of supply affects are all licensing laws. Lawyers, doctors, pharmacists, all the way down the list of “professions” to hairdressers are licensed. Licensing reduces the supply of people in the profession, thus sustaining prices. The reason for licensing is a Government imposed monopoly in order to benefit those in the licensed professions. The rationale for licensing is public safety.

Cost

The Transportation Security Agency (TSA) now has a Government monopoly on airport security. The cost of security, normally a cost of doing business, is largely borne by the Government and the taxpayers via a direct tax ($2.50 per boarding) on airplane tickets. The variable affected is cost.

So, legislation can and does affect the economic variables of price, demand, supply, and costs in thousands of ways. (Should you doubt this, post a comment suggesting a Government program you think has some other motive and I will respond.)

We have not been trained to think about Government in this way, for a reason. The reason is the continued Government control of everything. If the voting masses actually understood the way Government works, they might not support this manner of Government. We must have the illusion that the Government is acting for the “public good.” It is the best interests of those in power, the Government and the various special interests, to keep the voting masses in ignorance.

In Greece, the voting masses have their Government programs and they will kill to keep them in place. There are many Americans who, likewise, would kill to keep their Government programs in place. We will see riots in America like those in Greece, tragically.

It is doubtful that any outcome other than Armageddon (Ἁρμαγεδών) is possible for the Greeks. They have no economic education. They have no understanding of free enterprise. They have not learned and probably cannot learn that freedom is the protection of private property (life, liberty and the pursuit of happiness) under the rule of law. The proof is that when their Government programs are threatened they burn banks and kill pregnant girls.

But if the Greeks could be educated in the vocabulary and practice of freedom (which, ironically, the Ancient Greeks invented), the Greeks could recover economically.

The recovery scenario is simple. The problem is that in Greece there are rules and regulations for everything, like price controls, minimum wage laws, licensing laws, and other government enforced monopolies. (Can you imagine starting a taxi cab business in Athens, Greece? Or in NYC for that matter.) They have arteriosclerosis of the economy. Nobody is free to act outside the rules and regulations.

On the other hand, there are priceless assets in Greece for which millions of entrepreneurs would pay dearly. The Greek people (when they are not murdering pregnant girls) are a wonderful, hardworking people. Greek weather is great. Greek landscapes are gorgeous. (Who has not dreamed of taking a Greek island vacation?) Greek monuments are the grandest on the Earth (e.g. the Parthenon on the Acropolis, to mention just one). Tourism alone would support the Greek economy on a grand scale. Every Greek citizen could be rich in a free market economy.

If it were legally and socially possible, the Parthenon could be sold to a tour operator and operated at an enormous profit. Other tourist destinations and activities (inter-island transportation, for example) could be operated by for-profit organizations very efficiently. Given renewed civilized behavior of an educated-for-freedom Greek populace, tourists would come flocking back. Currently, tourists stay away because of the threat of riots, protests, and strikes. The barbarians now dominate Greece.

The only problem in Greece is the corrupt Greek government and a corrupted Greek population uneducated in the vocabulary and practice of freedom. Both problems are intractable and the only outcome is the demise of the Greek government and society: Ἁρμαγεδών.

Arteriosclerosis is a common cause of death for human beings. Economic arteriosclerosis is a common cause of death for human societies.

Saturday, November 24, 2012

Monsters: Inhuman Human Institutions (3,192 words)



Monsters: Inhuman Human Institutions

By
Martin L. Cowen III

                        Human beings form themselves into various superorganisms. Examples include corporations (including the Media), unions, and government bureaucracies.[1] These superorganisms can be understood as having lives separate from their constituent parts, those parts being individual human beings. As the title of this essay, Monsters: Inhuman Human Institutions, suggests, these superorganisms, while consisting of human beings, are in important ways different from individual human beings. This essay discusses some features of superorganisms with the goal of illuminating some of the evils of our human circumstances.

Superorganisms as Monsters

                        When compared with individual human beings, superorganisms can be seen as monstrously immoral. A micro example is the lynch mob. There is perhaps no single human being, acting alone, who could work himself up to the point that he could execute another human being by hanging. (Note that we are not talking about a person whose child was murdered by another who might exact revenge acting alone. The members of a lynch mob are rarely enacting personal revenge for wrong personal to each of them.) Lynch mobs form and act because the responsibility for murder can be muted by the relative anonymity and by the shared responsibility of the group.

Lifespan

                        Superorganisms have features in common with individual biological organisms. While superorganisms live and might die, their working lifespans are usually longer, by far, than the working lives of the individuals that comprise the superorganism. Governments endure for centuries. Corporations, unions, and bureaucracies outlive the working lives of their component individuals, usually by many decades. For example, Ford Motor Company, founded on June 16, 1903, is 109 years old this year. No cell (an individual human being) of the body of Ford Motor Company has enjoyed so long a working life. We might expect that Ford will survive the 21st Century, another 100 years. While not immortal, superorganisms can be extremely long lived.
                        One consequence of the long working life of superorganisms is that the period across which superorganisms act is incommensurate with the working life of a single individual. Thus, should an idea be good for the superorganism, but immoral, the opposition to the idea by a single individual on the grounds of the immorality of the idea can only survive the working life of the individual. When the moral individual human is gone, the idea can be taken up again by the amoral superorganism. For example, a moral individual within the superorganism, say the President, might conclude that causing the legislature to give the superorganism a monopoly market by outlawing competition is immoral. The moral President would oppose asking (or bribing, the usual method) the legislature to create a legal monopoly for the superorganism. His moral stand will disappear when the moral President retires. The idea (legal monopoly) is still good for the superorganism and will revive within the superorganism when the moral President is gone. Thus today, there are legal monopolies in many fields of endeavor: electric power generation (e.g., Georgia Power), legal services (e.g., the Georgia Bar Association), medical services, taxi and bus services in most big cities, etc. All licensing laws are instances of government created legal monopolies.

Evolution

                        Evolution is a factor in the life of superorganisms. Evolution, it is said, does not have an intention or goal. In biology, the advantageous mutation of a gene is not “intended” to improve the species. Rather, there are many random genetic mutations, some beneficial, some not. The mutations that are beneficial happen to allow those members of the species having the beneficial mutation to survive and reproduce more effectively. The same is true in the evolution of superorganisms. The mutations are not intentional, but the random beneficial ones allow the superorganisms to thrive. The devolution of education in our country is an example of a beneficial mutation for superorganisms.

Education

                        Superorganisms function best with certain types of individual human beings composing them. Human beings are formed, in large part, by educational superorganisms—government schools. Actively moral individuals who think broadly and for themselves are not, generally speaking, good corporate, union, or bureaucratic citizens. The corporate, the union, and the bureaucratic superorganisms all need good “company men.” The type of education described above—one that creates individuals who think broadly and for themselves—used to be called a liberal education—an education suited for free men and women. The opposite type of education is an education suited for slaves. These, of course, are very broad categories and the types are extremes, polar opposites. The slave education is better for the superorganisms. A slave education creates good “company men.” A slave education does not teach philosophy or history or economics. All of these subjects lead the young mind to broad abstractions. What is needed these days, according to almost everyone giving an opinion (good “company men”), is education for a job. Our youths must be trained to provide a marketable service, the “yes” men say. The youths must be prepared to work well for a superorganism. The youths must be prepared to be good “company men” (slaves) to the superorganism.
                        Thus, during the last century the preference for a liberal education has declined and today the opportunity for a liberal education no longer exists. Politically correct speech codes on modern American campuses are among the tools designed to discourage broad and free thought. Human beings, these days, are trained to be good “company men,” people without a broad vision, who do not ask difficult questions, and who accept the moral claims of their superiors with few or no questions. Note that this unquestioning nature does not mean that everybody is of the same opinion. The superorganisms are in conflict with one another as there are at least three broad categories of superorganism: corporate, union, and government bureaucracy. Therefore, the “company men” within each superorganism have opinions in harmony with their superorganism and in disharmony with individuals who are the parts or cells of the other superorganisms: corporate v. union, corporate v government bureaucracy, one corporation v. another corporation, one government bureaucracy v. another government bureaucracy, etc.

The “Yes Man,” a current example

                        A “yes man” is a good “company man.” United Nations Ambassador Susan Rice is a great current example of a “yes man.” She was told to sell the idea that the assassination of our Benghazi ambassador on 9-11-2012 was caused by a YouTube Internet video trailer. Talking points, massaged through various bureaucracies (remember the shared responsibility of a lynch mob), coming supposedly from the “Intelligence Community,” articulated this now widely-known-to-be-false theory. It was obvious to me at the time (and I said so in a weblog on 9-15-2012, the day before Ambassador Rice appeared on five Sunday morning talk shows), that the Benghazi murders were simply a terrorist attack. I said: “By the way, the murder of the American Ambassador, as distinct from the regional riots, was simply a terrorist act on the anniversary of 9-11 completely unrelated to any Internet event.” I am, on the one hand, a broad, free thinker. Rice, on the other, is a good “company man” who follows the rules of her bureaucracy and her rulers, the bureaucrats above her in her beloved superorganism. Rice never questioned her orders or her talking points, though both are highly questionable. She was selected precisely because she knew nothing about the subject but what she was told. Had she known that what she was told to say was a lie, her human nature might have kicked in to prevent her from lying. The ideal person to have made the Internet-video-case would have been Secretary of State Hillary Clinton, but Hillary could not. Hillary knew what really happened. Hillary watched the terrorist attack as it happened. She heard the as-it-happened reports from her people in Benghazi. Hillary participated in the decisions that were actually made, ultimately the decision to let the Americans die.
                        Rice feels completely free of responsibility for the Internet video lie. She just parroted what she was told, like a good “company man.” Every other actor within the various bureaucracies probably followed their bureaucratic “rules,” more or less, and holds himself blameless, too.
                        The tragedy is that four Americans were killed. The government lied about the cause, because it was inconsistent with the company line: “Osama is dead and Al Qaeda is in retreat.” No superorganism or any cell will be held responsible or take any blame for the death of these heroic four Americans.
                        Probably what happened is that the Government bureaucrats—who were watching the terrorist attack in real time—were paralyzed (bureaucrats cannot act like heroes: no rules for that) and failed to act to help the Americans on the ground in Benghazi. The individual human beings could have ordered air support and Marines, but as bureaucrats they failed to do so. The choice to let the four Americans die is probably what is being concealed beneath the “Internet video” lie. That choice will never be exposed. Ambassador Rice will be the next Secretary of State. The superorganism will survive (as they always do), unscathed by this “little difficulty.” All thanks to the inner and outer workings of superorganisms.

The Purpose

                        All superorganisms have a stated purpose. The audience of the stated “purpose” is the individual human beings who form the superorganism and those outside the superorganism who tolerate or embrace the existence of the superorganism. The “purpose” is always to do good for human beings. For example, the purpose of the CDC (the Centers for Disease Control) found in their mission statement on their web site:
CDC: Mission
Collaborating to create the expertise, information, and tools that people and communities need to protect their health – through health promotion, prevention of disease, injury and disability, and preparedness for new health threats.
CDC seeks to accomplish its mission by working with partners throughout the nation and the world….
                        Among the “partners throughout the nation” are the pharmaceutical companies. More on them momentarily.
                        The stated “purpose,” though, is less important that the needs of the superorganism to survive and to grow. We may find it interesting that the CDC specifically denies this charge on the same web page as the mission statement, pledging “to place the benefits to society above the benefits to the institution.” That the CDC makes this pledge is proof of the existence of the issue, but their “pledge” does nothing to change my opinion that that “the benefits to the institution” are always of paramount importance to the superorganism.
                        A large part of the business of the CDC is to promote vaccinations. Some people, including me, believe that human-caused environmental changes are the cause of the large increase in chronic childhood diseases (autism, Asperger’s, ADHA: Attention Deficit/Hyperactivity Disorder, asthma, Alzheimer’s, other auto-immune diseases). Any human-caused environmental change will have been caused by some superorganism or combination of superorganisms. Some people will blame coal-fired energy plants. I will blame the vaccine schedule of the CDC, which increased from 8 to 10 recommended vaccinations when I was a child to over 40 today. Ask any doctor or pharmaceutical representative or the FDA or the CDC about the effect of the increase in the number of vaccines in the schedule. According to these superorganism and their cells (their “yes” men) there is no possibility that this fourfold increase in the vaccine schedule is related to anything bad. (Imagine the psychological position of any pediatrician. As an individual human being he thinks he has helped thousands of children by giving them +/- 40 vaccines. Is it possible that he can allow into his conscious mind the possibility that he has participated in causing one in 56 American baby boys to become autistic? I do not think so.)
                        Any individual human being who claims a relationship between vaccines and autism will be subject to vicious attacks by the affected superorganisms. Dr. Andrew Wakefield, formerly of the United Kingdom, was drummed out the British medical establishment because of his studies on the relationship between autism and the MMR (measles, mumps, and rubella) vaccination. It is organismically “impossible” for the coal industry or the pharmaceutical/medical/CDC/FDA industry or any other superorganism to be the agent responsible for the human-caused environmental changes resulting in “one in six” children having some sort of developmental disability[2].
                        Remember that while the stated “purpose” of the superorganism is some human good, like health, the more powerful guiding principle of all superorganisms is the survival and growth of the superorganism. In the unfortunate case of the pediatrician, since he, ultimately, acts alone when he administers his +/- 40 vaccinations, his psychological health is immediately at stake. But his financial health is at stake as well. After all, the main job of pediatricians is to administer those +/-40 vaccinations for their financial benefit and for the financial benefit of the pharmaceutical companies.

Cells that Migrate

                        A great example of the functioning of superorganisms is to be found in the recent migration of the former head of the CDC, Dr. Julie Gerberding. Former director of the CDC from 2002 to 2009, she resigned when President Obama took office. On December 21, 2009, she was named President of Merck’s global vaccine business: from regulator-in-chief to vaccinator-in-chief. The main job of the CDC, in fact, is to promote the business of the pharmaceutical companies by being the first link in the chain of mandatory vaccinations. Dr. Gerberding is well qualified for both jobs.

The Media as Superorganism

                        Fox News is a part of a corporation and, as such, it is a corporate superorganism. But the Media, in general, is an important subgroup of superorganisms. The Media serves all other superorganisms be telling their stories and advocating their stated “purposes.” Only rarely does a Media outlet tell the story of a superorganism acting in self-defense or to survive and grow.
                        Well known to those who pay attention (say 1% of everybody) is the fact that news people interview people, not to tell the truth, but to tell the news Media’s story. So, if the particular Media outlet wants to tell a story of Union greed, they will find a person to interview who will show that “fact.” An example is the audio of the New Jersey Union thugs yelling at the Alabama Power crews who had come in the aftermath of Hurricane Sandy to help rebuild: “Go home Scabs! You are taking Our Jobs!” and the like. Or if the Media wants to show an example of the “You Owe Me!” attitude of a welfare recipient, they will go find somebody, like the “Obamaphone lady”[3] and play her sound clip over and over. The Media wants to tell its story, not necessarily the truth.
                        I have a vivid recollection of Fox News Talking Head Shepard Smith’s great distress when an interviewee went off-script to discuss vaccines and autism. He cut her off immediately since what she had to say did not support his story-du-jour.
                        Pharmaceutical companies are huge advertisers and Media outlets find it very difficult to tell stories about the relationship between vaccines and autism. When they do, they will receive another Memo! Or have their advertising budget reduced or zeroed.
                        All news Media are beholden to other superorganisms, especially their advertisers (corporate superorganisms), their regulators (government bureaucracy superorganisms), and their employees (union superorganisms). So all information from the Media must be taken with a grain (or a boulder) of salt or as pure entertainment.

Conclusion

                        We have learned that broad and free thinkers are not good “company men.” We have learned the superorganisms have a stated “purpose,” but that more important to the superorganisms is their survival and growth. We have learned that superorganism will lie (and destroy people) in self-defense. There are internal mechanisms that help superorganisms to lie (divided responsibilities among cells, with only limited information within the cells). We have learned that a liberal education no longer in exists having been evolutionarily unselected in favor of an education suitable for slaves. A liberal education does not create the kind of men and women who function for the benefit of superorganisms. We have learned that Media outlets are superorganisms that serve all other superorganisms, whose functioning has only an accidental relation to the Truth. We have learned that the long lifespan of superorganisms acts in favor of the interests of the superorganisms because those individual human beings who would control or regulate the moral behavior of the superorganisms are short-lived.
                        The point of leverage we individual human beings have is education. Obviously, some of us get it. We can still communicate the truth, though the evolution of superorganisms is toward the restriction of free speech (reference again to the PC speech codes of American universities).
                        Let us think of ourselves as living in Galt’s Gulch, but not hidden in the mountains of Colorado behind a shield of invisibility. Our Galt’s Gulch is in the open, spread across our American society. We are relatively safe because the majority of people do have an education fit for slaves and they cannot see or understand us. We are invisible to them. The slaves do not think broadly (conceptually) or freely. Rather than having anger or contempt for them, our attitude should be one of pity and compassion. They cannot help it that they were programmed by the superorganisms in which they were reared and in which they now live. They have never known any other existence. They did not have a Liberal Education!
                        Our goal must be to continue the on-going process of our Liberal Education. We must pass that education on to our children. We must continue to study philosophy, history, economics, and, I will now add, music. We must continue to look for the Great Truths (those broad generalities and concepts that explain all things). We must approach these truths with humility. Our conclusions must be tentative. Our conclusions must be always open to correction and amendment when shown to be faulty.
                        I suppose the bad news is that I think we are in a civilization-wide decline from which we, during our lifetimes, will not arise. The Golden Age of Greece (500 BC to 300 BC), the Italian Renaissance (1300 AD to 1500 AD), the Enlightenment (1650 AD to 1789 AD), and the Industrial Revolution (1750 AD to 1850 AD) are all cultural high times, in my view. We are in decline from since around 1913 AD. Our superorganisms are evolving and they are destroying their hosts, free men and women, and the product of their free trade. At some point the superorganism will run out of food and the superorganisms will die, as do all living things. Then free men and women will enjoy a new Enlightenment based upon the old, a world-view based upon Reason as the proper means of Man’s Survival on Earth.

                        Behold the Fellowship of Reason.


[1] Religions are superorganisms, too.
[2] Boyle C, et al. Trends in the prevalence of developmental disabilities in U.S. children, 1997–2008. Pediatrics 2011;127(6):1034-1042.
[3] September 26, 2012, YouTube video showing an Obama voter extolling the benefits of the free cell phone program.

Thursday, November 1, 2012

Gouging, Please!



Gouging, Please!

By

Martin L. Cowen III

It is against the law in New Jersey to increase prices more than 10% after a natural disaster. This anti-gouging law is a man-made disaster. I am sitting here tonight, furious, watching video of the long lines of New Jersey people trying to buy gas from the few stations that have gas following hurricane Sandy. Nobody seems to understand the cause of the problem. THE PROBLEM IS THE GOVERNMENT! I so want to swear. What follows is the equivalent of 2 + 2 = 4 for Libertarians. It is alchemy for everyone else, and therefore idiocy. If you want to understand what is wrong, economically, with our world today, read on.

The gas station owners own their gas. They have the natural right to sell their product at any price they choose. Because Americans, generally, believe that everything is their business, they have authorized their governments to enact anti-gouging laws, which are a violation of the right to contract and the right of property and the right of free trade. Our motives include envy, compassion, and hatred of greed. We cannot stand the idea of a gas station owner charging a homeowner in need of gas for his generator $1,000.00 per gallon for the needed gasoline. Of course, the gas station owner has the moral, but not the legal, right to do so. So we get what we see in New Jersey tonight, traffic lined up for miles for customers to buy a limited amount of gas for $5.00 per gallon, or whatever. Idiocy. Let me explain.

In a free market, those gas station owners could charge any price they wanted for their own gasoline. The customers could buy or not. What would happen is that those people for whom gasoline now is very valuable would buy the gasoline at $1,000 per gallon. There would be no lines and those customers with the greatest need for gasoline and the ability to pay would have it. What else would happen? I, personally, would buy a tanker full of gas at a wholesaler in Atlanta for $3 per gallon and I would drive that tanker to New Jersey hoping to make a $997 per gallon profit on my purchase. But guess what? I would not succeed, because everybody else between Atlanta and Atlantic City, New Jersey, would do the same thing and the supply of gasoline in New Jersey would spike, extraordinarily. If I was quick, I might get $10 per gallon profit, though.

If the free market were able to function, there would be no shortage of gasoline in New Jersey beyond one day, if that.

But even if gas station owners were free to price their product as they choose, I am certain that I could not drive my tanker of gasoline into New Jersey. Why? Because, don’t you know, New Jersey (a really big government state) has laws against that kind of thing. I don’t have a business license for New Jersey. I don’t have an interstate trucker’s driver’s license. The gasoline from Georgia is not permitted, on environmental grounds, to be sold in New Jersey. The unions would not permit a non-union punk like me on their turf. Et cetera, et cetera, et cetera.

You see, it is Government interference that is causing the long lines for gas in New Jersey.

Economics is simple. At the right price, supply and demand reach equilibrium.

Expletives deleted.