Crony Capitalism

Let the Games Begin

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The ancient Greeks gave us “democracy,” a set of rules for candidates to compete for the right to rule. They also gave us the Olympics, a set of rules for individuals, teams and ultimately countries to compete in athletic events. The Olympics outlawed certain drugs, standardized the technology and separated males from females (historically) due to genetic differences, but otherwise there is no favoritism due to race, ethnicity, family history, country of origin, etc. Medals are awarded only to the top performers, gold/silver/bronze (all formerly used for money). Capitalism is a comparable set of rules for competition among individuals, teams and countries. Technology and management differences are allowed, even encouraged, as all contestants share in it over time. Similarly, capitalist competition is the source of virtually all human improvement for winners and losers alike. The US Constitution uniquely established rules for a competitive democracy and competitive market economy, historically the source of US economic growth.

 

The Olympics is a big business, with a history of scandals relating to kickbacks to judges, host country officials or Olympic Committee Members that corrupts the competition. Similarly, politicians who make the rules for a market economy that show favoritism to particular industries, firms or people, i.e., crony capitalism, is the corrupt antithesis of competitive market capitalism.

 

Competing with Olympic coverage in France, ironically under the French banner of “equality,” is the current political competition for the US presidency, which both sides agree is “pivotal” for democracy’s future, but the democracy spectrum runs from a limited government representative republic on the right to a majoritarian “peoples democracy” on the left. Each campaign accuses the other of hate, fear mongering, political pandering and the usual lies and misinformation (political spin). So far it has been an entertaining tag team mud wrestling match (even these have rules and limits).

 

But for over a century the fundamental economic choice has been between competitive market capitalism and egalitarian socialism, growth versus stagnation. The divide has never been more clear, although the Democratic Party eschews the socialist label. In 2020, when openly socialist Democratic candidate Bernie Sanders appeared a certain victor, the Party pulled the candidate, but adopted his “democratic socialism” platform. Current candidate Harris, similarly anointed, has either agreed with or been to the left of that platform on every issue, recent flip/flops notwithstanding. Their radical distributional “democratic socialism” goes beyond “to each according to his needs” to require “to each equally.” Their production ideology, eschewing state ownership, calls for a fair degree of state control.

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“A Disease of the Public Mind”

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That is the title of a book about the first US Civil War that resulted in the assassination of President Lincoln. The soldiers in the South hated those in the North and vice versa. Northern soldiers have since been credited with undeserved virtue while Southern rebels were labeled racist enemies of the state, a moniker that still survives in the present day. But neither side was fighting over the abolition of slavery.

 

Trump’s opponents claim he will re-institute Jim Crow oppression, put black people back in chains, end democracy and put people in Hitler’s concentration camps. The continuous character assassinations, legal persecutions, numerous impeachments, unfounded accusations and insinuation caused what has been called Trump Derangement Syndrome (TDS), a disease of the public mind resulting in a recent assassination attempt.

 

Follow the Money
The Constitution the North and South agreed upon in 1788 enshrined the economic principles of Adam Smith’s Wealth of Nations, fostering equality under the law, individual sovereignty and limited government. Slavery was still too contentious an issue to settle. Starting in the next century the British led a moral crusade to eliminate slavery globally. While politically virtuous, Britain could afford to pay off slave owners and generally didn’t face the the vexing question for US plantation owners of whether freed slaves could support themselves and, if not, whether this would lead to murderous riots as had happened elsewhere. Abolition was a contentious issue everywhere slavery was practiced, typically with long drawn out steps to complete. But the long simmering political dispute that came to a head in 1860 wasn’t about abolition, but money. The federal government relied almost exclusively on tariffs raised in Southern ports – most of which went to northern states – on imports financed with the fruits of slavery, cotton exports.

 

Since the Civil War, limited government has given way to big government. The Democratic Party has created many dependent constituencies whose continued prosperity depends upon continuing Democratic power and largess: the bureaucracy, the government at all levels, teachers, labor leaders, academic educators and administrators, trial lawyers, government contractors, social security recipients and what are still euphemistically called journalists, among many others. The current Civil War is also about money. Trump has been in both political parties, fits in neither. But ”you are fired” represents an existential threat to Party members.

 

For contemporary Democratic politicians, almost all trained as lawyers, money beyond what is available by taxing the rich exists in banks, especially the Federal Reserve Banks, to be distributed according to the spoils system. For Republican politicians (but not RINOs), mostly former businessmen, prosperity comes from productive work and from savings productively invested. For those businesses and workers who are not on the receiving end of the spoils system, whose taxes pay for political largess, limited government is the only solution. There is very little middle ground.

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Foreign and Domestic

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I do solemnly swear that I will support and defend the Constitution of the United States against all enemies, foreign and domestic… (From the Oath of Enlistment)

It honestly kind of slipped my mind at first, that Monday morning was the anniversary of the 9-11 terrorist attack on the United States. It’s been 22 years since that horrible day. I had other stuff purely personal concerns on my mind.

For one, every single thing that I had to say about 9-11, I said, wrote and posted ages ago … and why re-run, one more time? There’s just nothing more to say, any more than there would be anything more to say about the shock of the Pearl Harbor attack in 1941 one more tedious rerun of a recollection of where I was, what I was doing. It’s been a lifetime, in a way and for high-school and college graduates this year, it’s been all their lifetimes.

The other thing a more recent tragic anniversary which looms closer in time is the disastrous and humiliating withdrawal from Kabul, Afghanistan, and the Abbey Gate suicide bombing there which killed more than a hundred civilians and thirteen American service personnel. Those deaths meant so little to President Biden that he kept looking at his watch during the ceremony at Andrews AFB when their coffins were unloaded. Those thirteen were the merely last American military lives frittered away in almost two decades of seemingly endless and pointless deployments to Afghanistan, culminated in a departure so botched that I’m still shocked that only a single commissioned officer resigned in protest. Sec Def Austin and General “Thoroughly Modern” Milley apparently feel no shame over bungling their responsibility to the Nation so horribly.

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The Unfortunate Balance

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This story concerning the justifiable resentment of working class residents in a highly-popular and extraordinarily beautiful place where the main industry is tourism – brought to my mind again a peculiar kind of divide. That would be the tension between those with long roots in the area, and those (usually wealthier) newcomers who come to take full advantage of gorgeous scenery, lovely weather, quaint architecture, fascinating culture, interesting history … or just plain old small-town country quiet. And eventually, the regular folks, the working class or even just middle-class homeowners find themselves unable to live in that place, at a price they can afford. The houses that their grandparents built, the gardens and fields that their parents and grandparents wrested a living from, the businesses that used to line main street, the parks and open fields that they played, or hunted, skied and hiked in, the beaches that they surfed are all taken over by newcomers, usually considerably wealthier.

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Drowning in a Sea

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Just about every day now that I wake up, fire up the computer and begin reading, I am left in a state of mild depression after wading through the litany of bad news, disaster, corporate and political malfeasance which features on blogs, aggregator blogs and the established news sites. Public schools appear to be open hunting grounds for pervs and freaks, places where the intellectual development of children, tweens and teens must be cut down to the lowest common denominator, so that the lazy and disinterested must not be made to feel discomforted over being lazy and disinterested. The volunteer military demoralized and all but non-functional, our major and Democrat party ruled cities all but drowning in crime while the homeless routinely crap in the streets and stagger around while high on substances which our government has allowed to pour through an unsecured border. A former president has apparently been railroaded on ginned-up charges by a nakedly partisan effort. Our shining republic on a hill, the two hundred-year-plus long grand experiment of engaged citizens actually ruling themselves looks to have degenerated into the worst of a banana republic, where the inner coterie reserves privilege and riches unto themselves and brings criminal charges against any who dare protest … oh, and all the while a tame and sycophant national media licks the boots of the ruling class, and slavishly obeys every command issued by that ruling class, orders to play up some stories, play down and/or denigrate others. Mostly because a lot of the media class are married to or are the spawn of the ruling class … funny how that all works out.

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