Archive for the 'Political Philosophy' Category
Posted by Jonathan on 10th May 2013 (All posts by Jonathan)
This is very good:
There are opportunities, but they require a deep understanding of risk and security. A livelihood with day-to-day low-level insecurity and volatility is actually far more stable and secure than the cartel-state one that claims to be guaranteed.
The burdens of Fed manipulation and the cartel-state rentier arrangements will come home to roost between 2015-2017. Those who are willing to seek livelihoods in the non-cartel economy will likely have more security and satisfaction than those who believed that joining a rentier arrangement was a secure career.
There is a price to joining a parasitic rentier arrangement, a loss of integrity, agency and independence. Complicity in an unsustainable neofeudal society has a cost.
Read the whole thing.
(Via Lex and ZeroHedge.)
Posted in America 3.0, Big Government, Economics & Finance, Education, Political Philosophy, Predictions, Public Finance, Society, USA | 9 Comments »
Posted by David Foster on 5th May 2013 (All posts by David Foster)
I’ve written before about Rose Wilder Lane, the writer and political thinker. In 1926, Rose and her friend Helen Dore Boylston, both then living in Paris, decided to buy a Model T Ford and drive it to Albania. I recently picked up the book Travels With Zenobia
, which is the chronicle of their adventure.
Acquisition of the car–a “glamorized” 1926 model which was maroon in color rather than the traditional Ford black–went smoothly. Acquisition of the proper government documentation allowing them to actually drive it–not so much:
Having bought this splendid Ford, my friend and I set out to get permission to drive it, and to drive it out of Paris and out of France. We worked separately, to make double use of time. For six weeks we worked, steadily, every day and every hour the Government offices were open. When they closed, we met to rest in the lovely leisure of a cafe and compared notes and considered ways of pulling wires…
One requirement was twelve passport pictures of that car…But this was a Ford, naked from the factory; not a detail nor a mark distinguished it from the millions of its kind; yet I had to engage a photographer to take a full-radiator-front picture of it, where it still stood in the salesroom, and to make twelve prints, each certified to be a portrait of that identical car. The proper official pasted these, one by one, in my presence, to twelve identical documents, each of which was filled out in ink, signed and counter-signed, stamped and tax-stamped; and, of course, I paid for them…
After six hard-working weeks, we had all the car’s papers. Nearly an inch think they were, laid flat. Each was correctly signed and stamped, each had in addition the little stamp stuck on, showing that the tax was paid that must be paid on every legal document; this is the Stamp tax that Americans refused to pay. I believe we had license plates besides; I know we had drivers’ licenses.
Gaily at last we set out in our car, and in the first block two policemen stopped us…Being stopped by the police was not unusual, of course. The car’s papers were in its pocket, and confidently I handed them over, with our personal papers, as requested.
The policemen examined each one, found it in order, and noted it in their little black books. Then courteously they arrested us.
Read the rest of this entry »
Posted in Biography, Book Notes, Europe, France, History, Libertarianism, Political Philosophy | 3 Comments »
Posted by Jonathan on 24th April 2013 (All posts by Jonathan)
Richard Fernandez:
The Tsarnaev’s were showered with a huge amount of things. And did they like it? No they hated it. Hated the whole idea of the dirty, degenerate, corrupt West. They hated the idea and took the goodies without a thought. Despite this the mainstream culture is set to respond to their attack with more things. More drones, detectors, armored vehicles, barriers, restrictions, weapons, armor …. more items the list of which goes on and on. But omitted from the catalog of responses will be any campaign to mentally engage radical Islam — to debate against it, denounce it or render it uncool — because that would be bigoted.
It is often forgotten that Freedom of Speech means debate. It means patches on software, not paint on the equipment box. It means fixing the insubstantial. It means mental action. This is important because in the case of radical Islam Freedom of Speech has been redefined as the obligation to remain silent. That obligation has even been given a special term: it is called Tolerance. And no one seems to have noticed that Tolerance is essentially the opposite of Freedom of Speech. It means don’t program. Don’t unhack the hack. Do nothing. Pretend it’s all a joke. Watch the whole system melt down. Tolerance is a rejection of the manifest truth that information matters because it can cure or it can kill.
George W. Bush’s biggest mistake was to avoid making a serious effort to confront radical Islam intellectually. He had the right general idea, which was that radical Islam is an existential threat that we must defeat, and that defeating it would require many years and the use of force to punish and destroy the Islamist regimes that attack the West through terrorist proxies and eventually WMD. He got about one-half of the use-of-force part right, which isn’t a bad outcome in the scheme of things. However, he failed almost completely in making a public rhetorical and intellectual case against radical Islam and for his geopolitical strategy. As a result of this failure, ten years later most Americans are ignorant about or misunderstand his strategy and have elected feckless leaders who are reversing his gains, while radical Islam is advancing against only weak intellectual opposition in its areas of operation.
Posted in Islam, Leftism, Political Philosophy, Terrorism | 21 Comments »
Posted by Lexington Green on 10th April 2013 (All posts by Lexington Green)
…[H]er longest-lasting impact has been neglected. Indeed, it is so long-lasting that it is yet to fully play out, even now.
Margaret Thatcher changed the Right from a reactionary movement into a revolutionary one … .
Mark Wallace
The Conservatives in Britain needed to become revolutionaries. American Conservatism was started by William F. Buckley, Jr. and was meant to be revolutionary, or at least counter-revolutionary, and many of its early thinkers were former Communists who thought of themselves as continuing a revolutionary struggle.
Mrs. Thatcher pointed out nicely against whom the revolution must be made: crony capitalism:
Too many people and industries preferred to rely on easy subsidies rather than apply the financial discipline necessary to cut their costs and become competitive. Others preferred the captive customers that a monopoly can command or the secure job in an overmanned industry, rather than the strenuous life of liberty and enterprise.
Margaret Thatcher: Rebuilding an Enterprise Society Through Privatisation.
Saying “the State” is the problem is only partly true. Millions benefit from the State as it currently operates, and most of them are not employees of the State. They are rationally self-interested in keeping things as they are.
Choosing “the strenuous life of liberty and enterprise” is a moral choice at least as much as it is a self-interested one.
“Greed is good” does not get you capitalism. Greed is more easily satisfied by turning state power to personal gain. Capitalism, or the better term, free enterprise, permits great personal gain, and improves the lives of many people over time. But it cannot rely on self-interest alone to keep it going. It is a way you have to decide to live, individually, and as a nation.
Once upon a time I read a book which showed me that the growth of the state and the slow extinguishing of freedom and enterprise were virtually inevitable. The beneficiaries of each incremental increase in state power, of each incremental loss of personal freedom, were acutely focused on gaining and keeping their advantages. The losers in this process were diffuse, unfocused, distracted by everything else in life.
The common good had no champion, as a practical matter. In terms of strictly material incentives, it never would.
Worse, in terms of non-material incentives, it is even worse. To go against the currently powerful, the currently well-connected and prestigious, will lead to scorn, insults and derision.
And I eventually came to understand that pushing back against this process is precisely what is meant by the word leadership, under current conditions.
There is always a “them” who are the current ruling group. They are the ones dealt into the existing game, its apologists and advocates. To take them on, to organize and lead an opposition movement, the leader must have extremely strong character. Such a leader must be self-assured, know how things really work, and have a very thick skin. The leader must have no regard for conventional wisdom and no respect for the often unstated limits of what can be done or, even more, what is “simply not done” or “simply not said.”
As a practical matter, such a leader must have the capacity to speak plainly and clearly to a majority of ordinary people who are quietly victimized in the existing game, to show them how certain changes will be good for them, and good generally. They do not lead by force or lies, they lead by telling hard truths and gaining assent to the hard path to better things.
Mrs. Thatcher was such a leader.
Mr. Reagan was such a leader.
We need more of them. But they are always scarce.
Fortunately, though scarce, there have always been a few of them.
And as things get worse, people turn to them, reluctantly, out of necessity.
May God grant us more such leaders in the troubled days ahead.
UPDATE
Michael Barone sent the following anecdote:
My one significant exchange of words with Mrs. Thatcher.
I asked, perhaps a bit obsequiously, whether it was a weakness of her philosophy that its success depended on having a strong leader like her or Ronald Reagan.
She responded in her booming voice: “But isn’t that always true?”
After a pause: “Isn’t that ALWAYS true?”
Your point, exactly.
Mrs. Thatcher was correct on this point.
The system does not go of itself.
There has to be leadership.
There is no alternative.
UPDATE II
I have been schlepping around for 20 years a copy of The Anatomy of Thatcherism
by the late Shirley Robin Letwin. It is very good after about 50 pages.
Posted in Anglosphere, Big Government, Book Notes, Britain, Conservatism, Economics & Finance, Political Philosophy, Politics, Quotations | 8 Comments »
Posted by David Foster on 8th April 2013 (All posts by David Foster)
Patty Murray is a United States Senator.
Speaking to a group of high school students in 2002, she explained the appeal of Osama bin Laden to his followers, thusly:
“He’s been out in these countries for decades, building schools, building roads, building infrastructure, building day-care facilities, building health-care facilities, and the people are extremely grateful. He’s made their lives better. We have not done that.”
Day-care facilities. Yeah, women in Taliban-controlled areas like the convenience of dropping the kids of at the day care center before they check themselves in for the whipping or the stoning.
Murray’s deficiencies of understanding are not limited to foreign policy matters. Michelle Malkin:
” I’ll never forget interviewing her many years ago when I worked for the Seattle Times editorial board. We were talking about federal entitlement spending. I asked her about FICA taxes. She didn’t know what I was talking about; when I said “payroll taxes,” she still had a frozen blank look on her face.”
Another example of Murray’s ignorance shows her also to be a nasty bigot. When lobbying against a contract award for an Air Force tanker plane to Northrop Grumman, she said:
“I have stood on the line in Everett, Wash., where we have thousands of workers who go to work every day to build these planes. I would challenge anybody to tell me that they’ve stood on a line in Alabama and seen anybody building anything.”
This blogger responds:
Perhaps Senator Murray has heard of “Hyundai.” They manufacture “automobiles.” She might be shocked to learn that Hyundai has a “manufacturing plant” in Montgomery, Alabama. She might also find it surprising to learn that Mercedes-Benz has a huge, state of the art manufacturing facility just outside of Tuscaloosa. The last time I heard, manufacturing plants had “lines” where people “build things.” In fact, according to the Manufacture Alabama! website, Alabama has a strong manufacturing base.
Patty Murray is chairman of the Senate Budget Committee. What do you think are the chances that this individual is able to understand the complexities of the Federal Government budget, or that she is willing to work seriously and objectively to analyze the issues involved?
Of course, not ALL the dumb politicians are on the Democratic side of the aisle…though they certainly do seem to have a lot of them…for example, the Congresswoman who thought Ben Bernanke had been CEO of Goldman Sachs, and the Senator who is unable to comprehend the difference between “carbon” and “carbon dioxide.” Of course, there are some dumb politicians on the Republican side, too.
But it is especially the Democratic Party…and most especially the “progressive” wing that now dominates that party…that wishes to restructure American society in order to give ever-increasing power to the political class. Which means giving ever-increasing power to people like Patty Murray.
Posted in Economics & Finance, Political Philosophy, Politics | 14 Comments »
Posted by Jonathan on 6th April 2013 (All posts by Jonathan)
Wretchard discusses recent notorious Type II system failures. The Colorado theater killer’s shrink warned the authorities to no avail. The underwear bomber’s father warned the authorities to no avail. The Texas army-base jihadist was under surveillance by the authorities, who failed to stop him. Administrators of the Atlanta public schools rigged the academic testing system for their personal gain at the expense of students and got away with it for years. Wretchard is right to conclude that these failures were caused by hubris, poor institutional design and the natural limitations of bureaucracies. The question is what to do about it.
The general answer is to encourage the decentralization of important services. If government institutions won’t reform themselves individuals should develop alternatives outside of those institutions. The underwear bomber’s fellow passengers survived because they didn’t depend on the system, they took the initiative. That’s the right approach in areas as diverse as personal security and education. It’s also the approach most consistent with American cultural and political values. It is not the approach of our political class, whose interests are not aligned with those of most members of the public.
The Internet is said to route itself around censorship. In the coming years we are going to find out if American culture can route itself around the top-down power grabs of our political class and return to its individualistic roots. Here’s hoping.
Posted in America 3.0, Human Behavior, National Security, Political Philosophy, RKBA, Society, Systems Analysis, Terrorism, Tradeoffs | 7 Comments »
Posted by David Foster on 30th March 2013 (All posts by David Foster)
(Originally posted in February 2012. I don’t usually rerun posts that are this recent, but RWL’s thoughts are relevant to the recent posts by Jonathan and myself, and more broadly, to the issues of freedom versus control which dominate our current political debates.)
Rose Wilder Lane, born in 1886 in the Dakota Territory, was the daughter of Laura Ingalls Wilder, author of the “Little House on the Prairie” books. Lane is best known for her writings on political philosophy and has been referred to as a “Founding Mother” of libertarianism; she was also a novelist and the author of several biographies.
In her article Credo, published in 1936, she describes her political journey, beginning with the words:
In 1919 I was a communist.
Read the rest of this entry »
Posted in Book Notes, Civil Society, Europe, History, Libertarianism, Political Philosophy, USA | Comments Off
Posted by Jonathan on 30th March 2013 (All posts by Jonathan)
Riffing on David Foster.
It’s like how Keynes’s theory about liquidity traps is used to rationalize all kinds of govt spending programs, perhaps far beyond what Keynes himself would have advocated.
1 Great man has a theory about a, b and c.
2 Great man’s acolytes turn the theory into a dogma, religion and, eventually, industry.
3 Politically savvy third parties with agendas use the theory to justify x, y and z.
Posted in Human Behavior, Political Philosophy, Politics, Public Finance | 4 Comments »
Posted by David Foster on 29th March 2013 (All posts by David Foster)
(Originally posted in October of 2010. I was reminded of this post by Stuart Schneiderman’s post here about the growing acceptance of the idea that government knows best what’s good for everyone..and should have the power to make them do it. I should note that Cass Sunstein is no longer an Obama Czar but is back to being a law professor.)
I haven’t read Jonathan Franzen’s novel, Freedom, but Erin O’Connor has been reading it and reviews it here. Based on her summary, it seems that Franzen’s basic opinion about freedom is this: he doesn’t like it very much. Consider for example these excerpts:
…the American experiment of self-government, an experiment statistically skewed from the outset, because it wasn’t the people with sociable genes who fled the crowded Old World for the new continent; it was the people who didn’t get along well with others.…also: The personality susceptible to the dream of limitless freedom is a personality also prone, should the dream ever sour, to misanthropy and rage.
Erin summarizes:
“Freedom,” for Franzen, is a red herring. As a national ideal, it paralyzes us, preventing government from behaving with the rationalism of European nations (there are passages about this in the book). And, on a personal level, it is simply immiserating. Every last one of Franzen’s major characters suffers from the burden of too many choices.
In a novel, of course, one cannot assume that opinions expressed by the characters are those of the author himself–but in this case, it seems to me that they likely are, and this opinion appears to be shared by most commenters at Erin’s post.
What really struck me in Erin’s review is her remark that I am starting to think that this novel may amount to a fictional companion piece for Cass Sunstein’s Nudge..the referenced work being not a novel, but a book about social, economic, and political policy co-authored by Cass Sunstein, who is now runnning the Office of Regulatory and Information Policy for the Obama administration. (See a review of Nudge, Erin’s post about the book, and my post about some of Sunstein’s policy ideas.)
Read the rest of this entry »
Posted in Academia, Book Notes, Civil Liberties, Civil Society, Philosophy, Political Philosophy | 2 Comments »
Posted by Jonathan on 2nd March 2013 (All posts by Jonathan)
A sign on a fast-food restaurant in Washington, DC:
This sign struck me as inappropriate. Since when do Americans celebrate the person of the President? We honor the office, whose occupant isn’t supposed to be a king.
The Obama personality cult is disturbing, as is the (not unrelated) creeping politicization of ordinary life. If I eat at this restaurant am I endorsing its owner’s political views? I hope not. However, my first reaction on seeing the gushing pro-Obama sign is to make a mental note not to eat there, lest my eating there be misinterpreted as a political statement.
This will not end well. The more politicized life becomes, the worse the eventual backlash and crash will be.
Posted in Obama, Photos, Political Philosophy | 22 Comments »
Posted by Michael Kennedy on 2nd March 2013 (All posts by Michael Kennedy)
UPDATE: Here is one solution.
This week Europe blew up. The media haven’t caught up yet, because they are what they are. But the markets are catching up fast.
This is a huge event for the United States, because our political elite is bound and determined to turn us into Europe. Hasn’t the EU found the answer to war and peace and prosperity forever?
Our Democrats believe it. Europe is their model. Every batty new idea they have is copied from the glorious European Union. Twenty years ago they still celebrated the Soviet Union, until that house of cards crumbled. Now they have shifted their fantasy paradise to Europe.
Over there, fifty years of increasingly centralized control have made it impossible for voters to be heard. The political parties are stuck in GroupThink. Only the fascist “protest” parties agitate for reform. The ruling class doesn’t listen. They don’t have to — they don’t have to run for election.
So European voters fled to the fascists to express their rage and despair. Imagine one out of four US voters going for Lincoln Rockwell, and you get the idea.
Read the rest, as they say.
Belmont Club has an unusually good post for yesterday. I could say that more than once a week, if truth be known. This one is quite to the point on Sequester Day.
The NHS, which its creators boasted would be the ‘envy of the world’, has been found to have been responsible for up to 40,000 preventable deaths under the helm of Sir David Nicholson, a former member of the Communist Party of Britain. “He was no ordinary revolutionary. He was on the hardline, so-called ‘Tankie’ wing of the party which backed the Kremlin using military action to crush dissident uprisings” — before he acquired a taste for young wives, first class travel and honors.
The NHS is dealing with the shortage of funds by pruning its tree of life, so to speak. He also does not tolerate anyone telling the truth about it.
it emerged he spent 15 million pounds in taxpayer money to gag and prosecute whistleblowers — often doctors and administrators who could not stomach his policies.
The public money spent on stopping NHS staff from speaking out is almost equivalent to the salaries of around 750 nurses.
It has recently been noted that NHS staff no longer recommend their own hospital for family members. Also one quarter report being harassed or bullied at work.
The other half of the equation involves the youth.
The European Youth will remain outside the Death Pathways for some time yet. But they will spend the time waiting for their turn at affordable, caring and passionate medicine in poverty and hopelessness. With the exception of Germany youth unemployment in Europe is over 20%. “A full 62% of young Greeks are out of work, 55% of young Spaniards don’t have jobs, and 38.7% of young Italians aren’t employed.”
Unemployment exceeds even our own Obama economy for failure. Read the rest of this entry »
Posted in Big Government, Britain, Civil Society, Coolidge, Economics & Finance, Elections, Europe, Health Care, Leftism, Libertarianism, Obama, Political Philosophy, Public Finance, Tea Party | 11 Comments »
Posted by David Foster on 23rd February 2013 (All posts by David Foster)
Consider:
1) The Drug Enforcement Administration is attempting to seize a $1.5 million building owned as a retirement-investment property by a dentist and an engineer. Grounds are a $37 sale of pot ..to an undercover agent..by one of the building’s tenants, a medical-marijuana dispensary.
As the judge in the case notes, the Obama administration (in 2009) sent a memo instructing federal prosecutors to not target medical-marijuana patients..before deciding to crack down and sending threatening letters to landlords. He even wondered aloud if President Obama would change his mind about marijuana again, after the building had already been seized.
This, in a country whose current President pretty clearly was himself a marijuana user, not to mention former President Bill Clinton, who “didn’t inhale.” Neither Obama nor Clinton are in any danger of having their property seized, however.
2) When financial questions arose regarding the Mountain Pure Water Company, Washington did not send a few staffers to inspect documents. Instead, last spring, some 50 armed Treasury agents breached the company’s headquarters in Little Rock, Ark. They seized 82 boxes of records, herded employees into the cafeteria, snatched their cell phones, and..according to reports..refused to let them consult attorneys.
“We’re the federal government,” Mountain Pure’s comptroller, Jerry Miller, says one pistol-packing fed told him. “We can do what we want, when we want, and there’s nothing you can do about it.”
3) In Alexandria, Virginia, a 10-year-old was suspended and arrested for bringing a toy gun to school
4) In Tennessee, an Ohio couple was pulled over by pair of black police SUVs. “They were very serious,” said the woman who was driving. “They had the body armor and the guns.”
On the back of the couple’s car was a Buckeye leaf decal, similar to the one Ohio State players have on their helmets.
“What are you doing with a marijuana sticker on your bumper?” asked one of the cops, who had apparently never heard of the First Amendment.
5) In 2005, an Iowa couple purchased a small lot. When they began to lay gravel on the land, which is located in a residential neighborhood, they were hit by an order from the Environmental Protection Administration informing them that the property had been designated a wetland under the Clean Water Act. They were ordered to stop grading their property and were told that they would face fines of up to $75,000 per day if they did not return the parcel to its original state. When the Sacketts attempted to contest the order, the agency denied their request for a hearing.
Last March, the Supreme Court overruled the EPA and stated that the Sacketts are entitled to appeal the EPA order, rejecting the agency’s claims to the contrary.
“The EPA used bullying and threats of terrifying fines, and has made our life hell for the past five years,” said Mr. Sackett. See my post A Defensive Victory Against Administrative Tyranny.
6) Bob Wallace and Marjorie Ottenberg, California residents in their 80s, started a business to make water purification devices for backpackers. Their enterprise has been crippled by the Drug Enforcement Administration and state officials, on grounds that iodine crystals–a key ingredient in their product–can also be used for methamphetamine production.
Read the rest of this entry »
Posted in Civil Liberties, Civil Society, Crime and Punishment, Law, Law Enforcement, Political Philosophy, USA | 28 Comments »
Posted by Jonathan on 19th February 2013 (All posts by Jonathan)
The grotesque spectacle of the State of the Union address, with its lengthy receiving line of adoring sycophants, demonstrates why the President is operating under the delusion that he is more than just our President. Like him, many people seem to fundamentally misunderstand his role. He’s not our “leader,” or our “ruler,” or our national “daddy,” no matter what his adoring fan, comic Chris Rock, thinks.
Let’s clarify things for those folks with the unseemly desire to offer up their personal sovereignty to some government hack. Unlike Hollywood geniuses better known for exposing their breasts than exposing their brains, I’ll never pledge to be a servant of any politician.
I’m an American citizen. As such, no mortal man may presume to lead or rule me.
Read the whole thing.
Posted in Big Government, Leftism, Obama, Political Philosophy | 10 Comments »
Posted by Michael Kennedy on 18th February 2013 (All posts by Michael Kennedy)
Very little attention is being paid to the holiday today, except as a traffic annoyance. When I was a child, we still celebrated Lincoln’s birthday (February 12) and Washington’s birthday (February 22). Since the holidays were combined and made into a long weekend, like most other American holidays, interest has declined in the subject. It has been for many years the weekend of the Midwinter yacht races in southern California, so I enjoyed it as much as anyone.
Amity Schlaes’ new biography of Coolidge
, which has been delayed for nearly a year from the original date promised, is now out and I have begun reading it. It has also attracted a hostile review in the New York Times by Jacob Heilbrunn author of such profound works as God Bless Bernie Sanders, an encomium on the Socialist Senator from the “people’s republic of Vermont”, as it is known in New Hampshire, and another tiresome attack on Justice Clarence Thomas and his wife.
Mr Heilbrunn does not seem to be an economist and I am not certain of his qualifications to criticize President Coolidge, other than the obvious invitation by the New York Times.
James Ceaser, a political scientist at the University of Virginia and a regular contributor to The Weekly Standard, said it was important to revive the “moral stigma” of debt, and added, “I want to go back to Coolidge and even McKinley.” The Claremont fellow Charles Kesler, author of “I Am the Change,” a recent book denouncing President Obama and liberalism, agreed: “We’re in for a Coolidge revival.”
Indeed we are. Coolidge was a figure of sport in his own era. H. L. Mencken mocked his daily naps — “Nero fiddled, but Coolidge only snored” — and Dorothy Parker reportedly asked, “How could they tell?” when his death was announced. But such quips have only heightened the determination of a growing contingent of Coolidge buffs to resurrect him. They abhor the progressive tradition among Democrats (Woodrow Wilson) and Republicans (Theodore Roosevelt and Herbert Hoover) as hostile to big business and prosperity. Instead, their aim is to spread the austere doctrine of what might be called Republican Calvinism.
Read the rest of this entry »
Posted in Big Government, Biography, Blogging, Book Notes, Business, Civil Society, Conservatism, Coolidge, Economics & Finance, History, Holidays, Leftism, Political Philosophy, Politics | 9 Comments »
Posted by Michael Kennedy on 8th February 2013 (All posts by Michael Kennedy)
UPDATE: An an article at Belmont Club describes interest in alternative money creation as a way of anticipating inflation. It also goes further into a discussion of general competence.
The idea that Virginia should consider issuing its own money was dismissed as just another quixotic quest by one of the most conservative members of the state legislature when Marshall introduced it three years ago. But it has since gained traction not only in Virginia, but also in states across the country as Americans have grown increasingly suspicious of the institutions entrusted with safeguarding the economy.
What has changed is faith in the federal government, not just in Virginia but in a growing number of places. The lack of faith in the competence of government — and the soundness of the dollar — has been growing leading some states to create contingency plans in case the currency goes bust.
Once again, I apologize for my pessimism but this is what I see. First, there is this article, which quotes a well known financier.
There may be a natural evolution to our fractionally reserved credit system that characterizes modern global finance. Much like the universe, which began with a big bang nearly 14 billion years ago, but is expanding so rapidly that scientists predict it will all end in a “big freeze” trillions of years from now, our current monetary system seems to require perpetual expansion to maintain its existence. And too, the advancing entropy in the physical universe may in fact portend a similar decline of “energy” and “heat” within the credit markets. If so, then the legitimate response of creditors, debtors and investors inextricably intertwined within it, should logically be to ask about the economic and investment implications of its ongoing transition.
Certainly “growth” seems to be fundamental to our economic health. That, of course, presumes a growing population but it also would be affected by a stagnant population with a growing age disparity. The obvious example of the latter is Japan.
The creation of credit in our modern day fractional reserve banking system began with a deposit and the profitable expansion of that deposit via leverage. Banks and other lenders don’t always keep 100% of their deposits in the “vault” at any one time – in fact they keep very little – thus the term “fractional reserves.” That first deposit then, and the explosion outward of 10x and more of levered lending, is modern day finance’s equivalent of the big bang. When it began is actually harder to determine than the birth of the physical universe but it certainly accelerated with the invention of central banking – the U.S. in 1913 – and with it the increased confidence that these newly licensed lenders of last resort would provide support to financial and real economies. Banking and central banks were and remain essential elements of a productive global economy.
The effect of asset bubbles on such a system is worrisome as the history of Japan and the recent history of the US have shown. The Panic of 1907 was largely responsible for the creation of the Federal Reserve. That financial crisis is thought, by the authors of a recent book
, to have been a consequence of the 1906 earthquake in San Francisco, which destroyed a large amount of real assets and the insurance costs that were associated. The immediate cause was financial speculation but the real losses had added to the fragility of the system.
Read the rest of this entry »
Posted in Big Government, Civil Liberties, Conservatism, Economics & Finance, Elections, Libertarianism, Political Philosophy, Politics, Predictions, Public Finance | 23 Comments »
Posted by David Foster on 5th February 2013 (All posts by David Foster)
In her testimony on the Benghazi debacle, Hillary Clinton said:
“I AM the Secretary of State, and the ARB (Accountability Review Board) made it very clear that the level of responsibility for the failures that they outlined, sat at the level of Assistant Secretary and below.”
And to Rep. Michael McCaul, who wanted to know why she had not seen Christopher Stevens’ disturbing cables on the lack of security, she responded:
“1.4 million cables come to us each year, all of them addressed to me.”
These responses clearly demonstrate that Hillary Clinton has no idea at all of what executive management is all about. An executive is not only or even primarily responsible for his or her own individual tasks—he or she is responsible for the work of the people in the organization, and for organizing that work properly and effectively.
These responsibilities include establishing an information and decision-flow architecture…including clear assignment of responsibilities…to ensure that the right things are seen and acted upon by the right people at the right time. Failure to do this..and to maintain and tune the system over time…will predictably result in catastrophes.
Elliott Abrams:
There had been three and half years to set up a system, to let the career officers of the Secretariat and the Operations Center know what she wants, and to have her personal staff figure it out too.
That is to say, if she did not see the Benghazi cables in a timely fashion, if she did not see Chris Stephens’s cables describing the deterioration of security, and if she did not see his requests for more security, this was a huge management failure on her part. It is a poor excuse to say, “Gee, the Department gets lots of cables” — and perhaps even worse then to hide behind an Accountability Review Board that pins responsibility on assistant secretaries and no higher.
Having worked as an assistant secretary of state and a deputy national-security adviser, I can report that even in those posts one is entirely swamped by cable traffic and needs a system to cope with it — to be sure that the really important ones get through. From all the available evidence, Hillary Clinton failed to establish such a system for herself, and that management failure is a far more important fact about her tenure than being the third woman to hold the post or having flown more miles than Condoleezza Rice.
Read the rest of this entry »
Posted in Management, Political Philosophy, USA | 21 Comments »
Posted by David McFadden on 31st January 2013 (All posts by David McFadden)

The Preamble is one of the few parts of the Constitution that President Obama did not abuse in his first term. He corrected that omission in his second inaugural address by using “We the People” as a refrain. Democratic politicians love to use refrains in their speeches. At Democratic National Conventions the rabble gleefully and robotically chants the refrain with the speaker. The particular refrain Obama used reminded me of a fascinating talk Professor Richard Epstein gave during a panel discussion at the November 2010 Federalist Society Convention. At the time, I was surprised to hear Professor Epstein characterize “We the People” as the “most dangerous words in the American Constitution.” Now I understand that he explained exactly what Obama was up to:
We have a deep ambiguity in our own minds when we start to evoke the image of “the people” in dealing with American constitutional law or indeed with any system of governance. . . . Sometimes we treat it as a celebration: “The American people have spoken and have decided x, y, and z ought to be president,” and what they really mean is that 54% of the voters happen to agree with one side and only 46 with the other, and what we do is we create a kind of an illusion of collective unanimity by taking a term like “people” and turning a majority into a total number. And in fact our Constitution does that in one place where I think it’s most misleading and most dangerous. I think the single most dangerous words in the American Constitution in one sense are the words “We the People,” which begin the Preamble. Now you would ask, now why is it that I would take such a negative view with respect to our document, particularly on this occasion? . . . You have to go back and see what the original draft of this particular provision was, and it said, “We the undersigned delegates of the following states,” and then you go through the rest of the thing. What it does in effect in one way is to kind of create this image of sort of coercive unanimity, and that’s the kind of language that you see also when you’re talking about the People’s Republic of China or the People’s Republic of East Germany–or closer to home, the People’s Republic of Cambridge, the People’s Republic of Berkeley–in which what you’re looking at is the notion that if you can get a majority, what you can do is to design and to organize the preferences of everybody. So the aggressive application of “the people” in terms of its ability to create and make law is in my mind a real open invitation to totalitarianism.
Well, then you look at the other uses of the word people in the Constitution, and by detailed and sophisticated empirical techniques I was able to identify four such uses in the Constitution, all of which are contained in the Bill of Rights, one of them having to do with the right of assembly, one of them having to do with the various issues on searches and seizures, and one having to do with the Ninth and Tenth Amendments on reverse power. [The Second Amendment has another.] Well, this is what I call the benign use of the term people . . . because what you are doing is you are saying every individual within the society is going to be protected against the impositions of government so that the people can be secure in their homes. We do not mean by that sentence that all of us live in one giant tepee in which we have various separate rooms and they are going to be protected. What we mean is that each of us have private and individual rights and that each and every one of them should be protected against government. So the defensive use of the term people in the Bill of Rights has a completely different resonance and a completely different tone than the rather offensive use, i.e., attacking use, of the term when it starts to go into the Preamble. And this, of course, had real consequences with the design of the original Constitution because every time you start hearing the term people in the Preamble being invoked, it’s to sort of indicate the direct relationship of individuals to the central government, which necessarily is meant to sort of underplay and degrade the role of the states in the original system. So it’s not as though this is simply a rhetorical flourish without institutional consequences. It surely has those kinds of institutional consequences.
As if to illustrate Professor Epstein’s point, Obama uses the phrase “We the People” five times to create an illusion of collective unanimity about (1) redistributionism, (2) the welfare state, (3) climate change (formerly known as global warming), (4) something opaque and equivocal about the war formerly known as the War on Terror, and (5) certain civil rights movements guided by equality “just as it guided all those men and women, sung and unsung, who left footprints along this great Mall.”
Regarding that last one, he probably did not have in mind the men and women, or their predecessors, who would leave footprints along the Mall a few days later in the fortieth March for Life. And in addressing the illusory collective unanimity on the welfare state, Obama used another of his favorite rhetorical devices, the false choice. Those who say we have to choose between having our cake and eating it too are presenting a false choice, Obama argues. We can have our cake, preserving it for our children, and eat it too, he insists. (Actually, he said, “we reject the belief that America must choose between caring for the generation that built this country and investing in the generation that will build its future,” but it’s the same thing).
The inaugural address refers to “collective action” and shows Obama eager to use it to turn the illusory collective unanimity he claims into coercive unanimity. From the perspective of Obama and his infatuates, the Senate, with its advice and consent duty and its tradition of unlimited debate, is a problem to be “fixed,” for it stands in the way of the will of the people. Happily, that effort was checked on both fronts last week.
It was to be expected, I suppose, that a demagogue par excellence would eventually find the Constitution’s “most misleading and most dangerous” phrase and exploit it to lend legitimacy to his program of undermining liberty and the constitutional structure.
Posted in Civil Liberties, Obama, Political Philosophy, Quotations, Rhetoric, Speeches | 8 Comments »
Posted by David Foster on 30th January 2013 (All posts by David Foster)
(I originally posted this in July of last year. I thought it might be appropriate for a rerun given that so many otherwise-intelligent commentators are currently falling for the idea that the Obamaites truly and naively believe in “equality of outcomes.” In reality they believe in no such thing, but are conducting horizontal class warfare with the intent of collapsing the multiple ladders of success that have traditionally existed in American society into a single ladder, with access tightly controlled by people like themselves.)
Those people who call themselves “progressives” are talking a lot about equality and inequality these days. And conservatives/libertarians, in response, attempt to explain why “equality of outcomes” is infeasible and unwise.
To a substantial degree, though, they/we are jousting with a phantom. Because leading “progressives” don’treally believe in anything resembling equality—indeed, quite the contrary.
Consider, for example: Many people in “progressive” leadership positions are graduates of the Harvard Law School. Do you think these people want to see a society in which the career, status, and income prospects for an HLS grad are no better than those for a graduate of a lesser-known, lower-status (but still very good) law school? C’mon.
Quite a few “progressive” leaders are members of prominent families. Do you think Teddy Kennedy would have liked to see an environment in which he and certain other members of his family would have had to answer for their actions in the criminal courts in the same way that ordinary individuals would, without benefit from connections, media influence, and expensive lawyers?
The prevalence of “progressivism” among tenured professors is quite high. How many of these professors would be eager to agree to employment conditions in which their job security and employee benefits were no better than those enjoyed by average Americans? How many of them would take a salary cut in order to provide higher incomes for the poorly-paid adjunct professors at their universities? How many would like to see PhD requirements eliminated so that a wider pool of talented and knowledgeable individuals can participate in university teaching?
There are a lot of “progressives” among the graduates of Ivy League universities. How many of them would be in favor of legally eliminating alumni preferences and the influence of “contributions” and have their children considered for admission–or not–on the same basis as everyone else’s kids? Yet an alumni preference is an intergenerational asset in the same way that a small businessman’s store or factory is.
The reality is that “progressivism” is not in any way about equality, it is rather about shifting the distribution of power and wealth in a way that benefits those with certain kinds of educational credentials and certain kinds of connections. And remember, power and connections are always transmutable into wealth. Sometimes that wealth is directly dollar-denominated, as in the millions of dollars that former president Bill Clinton was paid in speaking fees last year, or the money made by a former government official who leverages his contacts into an executive job with a “green” energy company–even though he may have minimal knowledge of either energy or business. And sometimes the wealth takes the form of in-kind benefits, like a university president’s mansion. (Those who lived in the old Soviet Union and Eastern Europe can tell you all about in-kind benefits for nominally low-paid officials.) And, almost always, today’s “progressivism” is about the transfer of power from individuals to credentialed “experts” who will coerce or “nudge” people to do with those experts have decided would be best.
To a very substantial extent, the talk about “equality” is a smokescreen, conscious or unconscious, behind which “progressives” pursue their own economic, status, and ego agendas.
Writing in 1969, Peter Drucker–who was born in Austria and had lived in several European countries–wrote about what he saw as a key American economic advantage: the much less-dominant role played by “elite” educational institutions:
One thing it (modern society) cannot afford in education is the “elite institution” which has a monopoly on social standing, on prestige, and on the command positions in society and economy. Oxford and Cambridge are important reasons for the English brain drain. A main reason for the technology gap is the Grande Ecole such as the Ecole Polytechnique or the Ecole Normale. These elite institutions may do a magnificent job of education, but only their graduates normally get into the command positions. Only their faculties “matter.” This restricts and impoverishes the whole society…The Harvard Law School might like to be a Grande Ecole and to claim for its graduates a preferential position. But American society has never been willing to accept this claim…
It is almost impossible to explain to a European that the strength of American higher education lies in this absence of schools for leaders and schools for followers.
The “unwillingness of American society to accept this claim”…the claim of elite education as the primary gateway to power and wealth…has been greatly undercut since Drucker wrote. And “progressives” have been among the main under-cutters and the leading advocates for further movement in that direction.
Related: Paying higher taxes can be very profitable.
Original CB discussion thread here.
Posted in Academia, Civil Society, Education, Political Philosophy, USA | 5 Comments »
Posted by Zenpundit on 26th January 2013 (All posts by Zenpundit)
Cross-posted from Zenpundit.com

The Center for Combating Terrorism at West Point released a report on domestic terrorism that raised hackles for a number of reasons. Despite the dismissals of liberal political pundits, the reasons for objections to the CTC report are legitimate but they did not need to arise in the first place and might have been avoided with a slightly different editorial approach or appropriate caveats (I just finished reading the report, which is primarily focused on the usual suspects). Here’s why I think the normally well-regarded CTC stumbled into a hornet’s nest:
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Posted in Academia, Civil Liberties, Civil Society, Conservatism, Law Enforcement, Libertarianism, Military Affairs, National Security, North America, Political Philosophy, Politics, Society, Terrorism, USA | 12 Comments »
Posted by David Foster on 19th January 2013 (All posts by David Foster)
The FAA has issued an Emergency Airworthiness Directive against the Boeing 787 Dreamliner. The AD requires that the battery system be reviewed and modified as necessary to eliminate the danger of fires such as those that have recently occurred on these aircraft. The changes needed could presumably involve manufacturing processes, sourcing of components, electrical-system design, or some combination of these things.
The FAA’s action here seems to me like simple and reasonable prudence. It is not uncommon for new aircraft types to encounter problems during their early operational days, and the 787 is an innovative plane in many ways, especially in the use of electrical means to replace functions traditionally done by hydraulic systems and by engine bleed air. (A nice overview of 787 systems here.) There may well turn out to be simple fixes that can be quickly implemented to resolve the issue; on the other hand it’s possible that the fix will involve signficant redesign and will cost Boeing and the airlines considerable money. Purely as speculation, I’d guess that the worst-case result for the study required by the AD would be the mandated replacement of the plane’s lithium-ion batteries with conventional aircraft batteries, at some sacrifice in the plane’s useful load and some redesign both of the relevant control systems and of some interior spaces.
But the purpose of this post is not to talk about 787 technical issues, as much fun as that might be.
After clicking on the Yahoo report about the AD issuance yesterday, I took a look at some of the comments, and a depressing experience it was. Here are some samples:
Makes you wonder if Boeing did not have the FAA inspectors in their back pocket while certifying this airplane “air worthy”? Maybe a few bucks went along stuffing their respective back pockets as well. Good example of certifying government agencies working too close with the manufacturer.
For the FAA to say it’s safe and then ground the planes, all credibility and trust in competence is out the window.
Were they just going to wait until the costs of wrongful death lawsuits surpassed the cost of fixing the problem?
They do lots of testing but just like windows they release it to the public and then we will fix all bugs in the system
Parts made in China
#$%$ batteries made in China and a world-class American airplane manufacturer fell for their cr@p product. Do you think that perhaps Chinese agents were behind deliberately sabotaging our country’s product?
Dream gone bad. Overseas outscourced components on the cheap, assembled by redneck scabs in South Carolina.
Just one more example of the FINE work being produced by wonderful, hardworking and dedicated union workers.
Just more retaliation from Obama for the move to non- union South Carolina.
no one care anymore all the factory workers just go to work to try to make $$$$$ and this it is hard too the pride in making or to build something does not exist anymore!!!!!!!!!!!!
Too bad the GOP helped rich buddies ship all the manufacturing jobs to china? Expertise comes with manufacturing. Burger jobs make poor planes?
Read through several pages of comments like these, and the overwhelming overall impression is one of social toxicity…of people glaring furiously at one another, quick to assume that anything to goes wrong in any aspect of life is due to either malice or incompetence or both. It is a picture of generalized resentment and distrust, coupled with entitled ignorance.
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Posted in Aviation, Big Government, Business, Civil Society, Political Philosophy, Politics, USA | 41 Comments »
Posted by Zenpundit on 14th January 2013 (All posts by Zenpundit)
Originally posted at Zenpundit.com

Friend of the blog, commenter L.C. Rees, likes to point out that one of the most important part of a grand strategy, particularly one that is maintained despite evidence of being a geopolitical failure, are the domestic political effects that work to the advantage of the faction supporting it. In my view, grand strategy usually has a political or cultural evolutionary component and, human nature being unchanging, Rees’s cynical observation has merit.
Last year, a couple of JCS aides/field grade officers wrote a grossly overpraised paper that was pushed by Anne-Marie Slaughter, Thomas Friedman and assorted worthies, that purported to be about a new grand strategy with which America could navigate the world. Mostly it centered on a preference for an America being run by a vaguely EU-like, technocratic, regime under the rubric of “sustainment”, in which the authors wisely folded in a number of shibboleths popular with the corporate-liberal upper class who write large donation checks to think tanks or make their living in public policy and academia.
The talk of this nature died down when the election cycle began, but the themes were recently revived by the New America Foundation’s Grand Strategy Project whose director had an op-ed in Foreign Policy to reintroduce this agenda to the chattering classes now that the pesky voters are out of the way until 2014:
A New U.S. Grand Strategy
….Walkable communities: The first pool of demand is homegrown. American tastes have changed from the splendid isolation of the suburbs to what advocates are calling the “five-minute lifestyle” — work, school, transit, doctors, dining, playgrounds, entertainment all within a five-minute walk of the front door. From 2014 to 2029, baby boomers and their children, the millennial generation, will converge in the housing marketplace — seeking smaller homes in walkable, service-rich, transit-oriented communities. Already, 56 percent of Americans seek this lifestyle in their next housing purchase. That’s roughly three times the demand for such housing after World War II.
If only Bismarck had included some “walkable communities” for Prussia, Europe might have avoided the tragedy of World War I.
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Posted in Big Government, Civil Society, National Security, Obama, Political Philosophy, Politics, Society, USA | 18 Comments »
Posted by David Foster on 9th January 2013 (All posts by David Foster)
The expansion of government replaces competition with coercion. Free people lack coercive power, so they must compete with each other for business opportunities. Customers must be persuaded. Employees must be attracted. It’s messy sometimes, and the process must be policed for theft and fraud, but it’s generally constructive.
Government power replaces all that with a simple, brutal, zero-sum equation: what you are given must be taken from someone else. The regulatory process is corrupted by both ideology and special interests. Even when it avoids outright corruption, the process is expensive, because it’s not constructive the way private competition is. Wealth and value are lost through forced redistribution. It’s a smaller, poorer world, in which political influence becomes valuable currency. Your fellow citizens are not your competitors – they are your enemies. They become selfish plutocrats or lazy parasites. Their defeat becomes an occasion for riotous celebration.
And effective political power requires solidarity – sizable groups of voters acting in concert, to press their common interests upon the State, whose officials in turn benefit from packaged electoral support. The best way to hold a large group of people together is to make them feel as if everyone else is out to get them. The most effective political adhesives are distilled from hatred and distrust. People who disagree with your agenda are “attacking” you or “robbing” you. How commonly do you hear dissent described in precisely those terms nowadays?
When the government controls everything, there is no constructive relief valve for all this pent-up tension. It all boils down to a “historic” election once every couple of years, upon whose outcome everything depends. They’re all going to be “historic” elections from now on. That’s not a good thing.
Read the whole thing.
Posted in Civil Society, Political Philosophy, USA | 2 Comments »
Posted by TM Lutas on 2nd January 2013 (All posts by TM Lutas)
After the Newtown school massacre, a lot of people feel unsafe and want changes. They are right to do so. But the changes we make should actually make us safer, not just make us feel good. So like any full review, we need to start by describing what we already have.
The United States has the premier security system on the planet. It has the largest military, by far and has 50 state militaries in the national guard system. It has overlapping layers of federal, state, county, municipal and special purpose police (like the postal and railway police). It also has an amorphous, poorly documented, little discussed system called the unorganized militia. Naturally, the first thing to look at is the unorganized militia. Efforts to oversee and improve all the other parts are ongoing and permanent. We’re unlikely to squeeze major improvements out of those parts without major increases in expenses that we can’t really afford right now.
The unorganized militia right now, for virtually no taxpayer dollars spent. Its costs are self-funded via license fees and members buy their own weapons, ammunition, and training. It is “bring your own device” defense and gives us somewhere on the order of 2.5 million defensive gun uses (DGU) per year according to the best guesses of the academics who study such things. That’s 2.5 million cases of robbery, rape, murder, and other mayhem that often don’t even make it to the FBI crime statistics because just the knowledge of an armed presence defused a situation and made potential criminals think better of what they were going to do.
Any effort to change the rules under which the unorganized militia arms itself or gets rid of the unorganized militia altogether has to keep an eye on the DGU numbers so they either go up or the other portions of the system pick up the slack as the militia DGU numbers go down. Anything else and we are becoming less safe. This is why conservatives are mad at Sen. Feinstein. The gun control bill she is threatening to introduce will, very predictably, reduce the number of militia DGU and cause more innocent americans to be victims.
cross posted FLIT-TM
Posted in Crime and Punishment, Political Philosophy, RKBA | 32 Comments »
Posted by leifsmith on 24th December 2012 (All posts by leifsmith)
When a law bans exchanges wanted by everyone directly involved a number of things happen:
1) The exchanges continue;
2) Prices of the banned items rise and wars to control turf begin;
3) New criminals are created, including many people who are ordinary good people (like colored margarine seekers);
4) New enforcement agencies and staff are created;
5) New jails are built and new jailers are trained;
6) Laws, lawyers and lawsuits proliferate;
7) A new branch of law and its practitioners prosper and support further extension and complexification of regulations;
8) A portion of the entire apparatus of enforcement and punishment is progressively corrupted;
9) New agencies and staff are created to discover, eliminate or suppress the corruption;
10) Many begin to support ever more drastic suppression and punishment;
11) A profitable subliminal partnership emerges unifying the interests of violators and enforcers as the profits from the illegal trade are negotiated and distributed among them;
12) The business engages all of the following: bad people buying and selling, good people buying and selling, police, judges, academics, enforcement trainers and suppliers, prison builders and suppliers, staff to support all of this, journalists to cover it, media organizations to sell the coverage;
13) Completely uninvolved people are caught in crossfires, including taxpayers;
14) The costs of controlling the new flourishing evil continue to grow seemingly without limit;
15) The vast network of beneficiaries of the law applaud and lobby for its continuation, vilifying all opposition;
16) Everyone gets more and more discouraged and inclined to hate all humanity. This list is probably too short.
However all of these bad things may be balanced by the fact that creative people are engaged in producing media based on the things that happen because of the prohibition, and by watching and reading we all learn delightful new things about how the world works. (channeling Voltaire).
It is not enough to simply ban exchanges that have consequences we don’t like. The costs of doing it should be compared with the costs of not doing it. Those costs usually dwarf the costs that would arise from unhindered transactions.
Posted in Civil Liberties, Crime and Punishment, Law, Law Enforcement, Media, Political Philosophy, Society, Tradeoffs | 25 Comments »