“Then the scribes and the Pharisees brought a woman who had been caught in adultery and made her stand in the middle. They said to him, "Teacher, this woman was caught in the very act of committing adultery. Now in the law, Moses commanded us to stone such women. So what do you say?" They said this to test him, so that they could have some charge to bring against him. Jesus bent down and began to write on the ground with his finger. But when they continued asking him, he straightened up and said to them, "Let the one among you who is without sin be the first to throw a stone at her." Again he bent down and wrote on the ground. And in response, they went away one by one, beginning with the elders. So he was left alone with the woman before him. Then Jesus straightened up and said to her, "Woman, where are they? Has no one condemned you?" She replied, "No one, sir." Then Jesus said, "Neither do I condemn you. Go, (and) from now on do not sin anymore." (John 8: 3-11)
As we approach the new year with conservatism again ascendant in the political sphere, this story of Jesus’ uncompromising libertarianism seems even more timely than stories of his birth, despite the approach of his celebrated birthday. Nowhere does Jesus admonish “social conservatives” more harshly.
There is an important distinction here. By “social conservative,” I do not mean anyone who disapproves of certain human behavior. The freedom to follow the dictates of one’s conscience was the first inalienable right recognized by the founders of our nation. If one truly believes that homosexuality, adultery, or other “non-conservative” behavior violates the laws of God, it is that person’s inalienable right to disapprove of it, even to voice his disapproval of it, regardless of the anguished cries of the political correctness lobby on the left.
However, no one has a right to use violence against those who engage in behavior that does not harm another person, regardless of whether or not that behavior violates the laws of God. Since all laws are enforced under the threat of violence (as this story illustrates wonderfully), Jesus makes it clear in this passage that it is not for men to enforce the laws of God. With the exception of cases in which one human being has done injury to another, the right to punish human behavior is reserved for God.
It is important to recognize that Jesus does not condone the sin that the anonymous woman has committed. When he has shamed away the mob who would have stoned her, Jesus commands her to sin no more. Neither does he insinuate that her behavior might not have consequences for her soul. With flawless libertarian reasoning, Jesus teaches us the true meaning of freedom: that God grants us the liberty to do as we wish, even to reject him and his laws, but that we also bear the full consequences of our actions. If we harm another person, then we are subject to the laws of men. However, it is otherwise left to each individual to determine the will of God according to his conscience and to choose whether to act accordingly or not. There never has been nor can there ever be any body of corruptible men who can save an individual’s soul.
This is by no means the only place in the gospels that Jesus teaches us this lesson. His entire public ministry was one condemnation after another of the hypocritical, socially conservative theocracy. Indeed, it is the Jewish state that is Jesus’ chief antagonist throughout the gospels. He is noticeably disinterested in the more secular Roman government, despite its tyranny over his people. While he certainly doesn’t approve of the Romans, he has no interest in political revolution. As Jesus tells Pilate, “my kingdom is not of this world.” (John 18:36). However, his own government does not merely commit secular, political oppression against its people. It usurps the authority of God and attempts to judge in his place. For this, Jesus constantly lets loose his most venomous reproaches.
Throughout the gospels, “the chief priests and Pharisees” are constantly shown up for what they are. They do not seek to punish sins to defend the honor of God, but for their own selfish political motives. Their persecution and eventual murder of Jesus himself is quite obviously perpetrated out of fear of his influence over the people. And what is this subversive influence that warrants torture and death? “Love one another as I have loved you. Love your enemies. Do unto others as you would have them do unto you.” Of course the state would hate such a message. It runs afoul of every depravity that the state tries to exhort its citizens to, including its wars, its persecution of non-conformists, and its rampant looting of the citizenry dressed up as “public works.”
When Jesus encounters man-made laws masquerading as the laws of God, he openly condones breaking those laws. When his disciples pick fruit on the Sabbath and are caught in the act by the Pharisees, Jesus beats the Pharisees at their own game by citing Jewish scripture, which describes David actually eating sacred bread out of the temple, reserved for the priests by Jewish law.
Demonstrating how perverse any theocratic state eventually becomes, the Pharisees then bring a man forward with a “withered hand,” daring Jesus to cure him and break the law himself. They are willing to see this man miss his one chance to be cured in the hopes that they can use their distorted interpretation of God’s command to “keep holy the Sabbath” to ensnare Jesus for political ends. Jesus breaks the law without hesitation, saying that “it is lawful to do good on the Sabbath.” Caring little for the wisdom of the lesson and interested only in maintaining their own autocratic power, the Pharisees withdraw to begin planning Jesus’ murder. (Matthew 12: 1-14)
By attempting to use the law to enforce their morality, social conservatives violate the very principles that they say that they cherish most. Social conservatives decry Islam because it attempts to “propagate the faith by the sword.” However, there is only a cosmetic difference between promoting your religious views through acts of terrorism and doing likewise through passing unjust laws against minorities who have no recourse but to obey or suffer violence. In both cases, it is the sword that compels the victim rather than the mind or the heart. Neither can social conservatives rely on the argument that their laws are passed by an elected body representing the people. If that justifies socially conservative laws, then what is their objection to the welfare state?
No part of this argument should be misconstrued as an endorsement of political correctness or the left’s agenda to grant positive rights to their own special interest groups for political purposes. If we are truly a free country and we meant what we said in the first amendment to our Constitution, then every individual, whether the most fundamentalist Christian or the most libertine atheist, should have the right to speak freely, even if what they say offends another person. For many devout Christians, it is their sacred duty to try to persuade their fellow man to repent of his sins and embrace Jesus as his savior.
However, there is an ocean of difference between persuasion and coercion. The minute that we say, “there ought to be a law,” we are picking up the sword. If we do so in defense of the inalienable human rights of life, liberty, and property, we are within our rightful authority. If we do so to supplant the authority of God, we become the very type of people that Jesus spent his life fighting against. To truly be Christian, we must recognize the need for “a wall of separation between church and state.”
Jesus was very clear about his views on what would lead to salvation and what would not. Jesus condemned many behaviors, like adultery, that social conservatives likewise condemn. He also said that “no one comes to the Father except through me.” (John 14:6) However, he does not go on to say, “Therefore, if your brother does not come to me willingly, then draw your sword and force him.” Salvation must be chosen; God did not create a race of slaves.
As we celebrate the birth of this great libertarian, let us not forget the lesson of his life and death. Jesus was murdered by the theocratic state for exposing their hypocrisy and resisting their unjust, blasphemous laws. Let us follow his example of speaking our minds according to our consciences but never raising our hand to save our brothers’ souls. Each one of us will ultimately find that our understanding of the will of God is imperfect, as we are imperfect. Therefore, we must follow Jesus’ example of tolerance and forgiveness, lest we find that we ourselves have mistakenly punished the innocent. Our laws should keep us from harming each other, and leave each person’s soul to the judgment of God.
Check out Tom Mullen’s book, A Return to Common Sense: Reawakening Liberty in the Inhabitants of America. Right Here!
Home
© Thomas Mullen 2010
Friday, December 24, 2010
Sunday, November 28, 2010
Progressives Should Target the Real Robber Barons
The political winds have shifted wildly over the past four years. After decisive defeats in both the 2006 and 2008 elections, the Republican Party’s prospects seemed dreary. There was widespread talk of how the party needed to “remake itself.” There was even speculation from some quarters that it would fade from influence permanently, as had its predecessors, the Whigs and Federalists. Certainly, the conservative movement needed a rallying point in order to regain a foothold upon public sentiment.
That rallying point was public aversion to the radically socialist agenda of Barack Obama and the Pelosi Congress. Regardless of whether the Republicans had any new ideas to offer, they were able to remake their image quickly by jumping aboard and partially co-opting the Tea Party phenomenon. Somehow, they have again established themselves in the minds of most Americans as the party of small government, free markets, and individual liberty, their consistent behavior while in power notwithstanding.
Now, it is the Democrats who find themselves on the wrong end of a one-sided mid-term election defeat, with more of the same looming over the 2012 presidential elections. As much as the 2008 elections were a repudiation of George W. Bush and all associated with his philosophy, 2012 will be a repudiation of Obama and all associated with his. If the modern “conservative” philosophy had been thoroughly discredited two years ago, the modern “liberal” philosophy has been annihilated this year. Nothing that Democrats won on in 2006 and 2008 is going to fly with voters right now. The left needs a rallying point that will resonate with voters and make them forget why they voted them out of office just two years earlier, just as those same voters forgot why they had voted the Republicans out merely two years before the 2010 mid-terms.
If they are not to completely abandon their image as champions of the poor, disadvantaged, and working class against the power of the wealthy elite, they must find a way to restore that perception in the minds of voters without associating themselves at all with socialism, which average Americans have quite obviously choked on and spit out over the past two years. They need their own avenue to tap into the Tea Party phenomenon, or a grass roots movement like it, and appear as the party fighting for the people against a federal government run amok. Their traditional anti-corporate, pro-welfare platform won’t work. For better or worse, Americans right now associate corporatism with the free market and aversion to welfare programs has never been more ascendant. However, there is a rallying point available to the left that is completely consistent with the modern progressive philosophy and which conservatives are completely ignoring.
The left’s political dominance during the 20th century all began with the early progressive movement, which was given its first life under Republican presidents Teddy Roosevelt and William Howard Taft. However, it was the “new freedom” promised by Woodrow Wilson which established and defined the progressive platform, subsequently advanced in great strides by FDR and Lyndon B. Johnson. A core tenet of this philosophy was the need to protect “the little guy” against the robber barons of capitalism – which the progressives successfully defined in the minds of voters as anyone of great wealth, whether they have achieved that wealth legitimately or not.
Indeed, the tragic aspect of the early progressive movement was that they lumped together all successful business people as plunderers and exploiters of the working class, thus discrediting free market capitalism along with the crony capitalism that was as rampant at the time as it is now. Along with corrupt railroad companies that soaked the people for corporate welfare, only to deliver shoddily constructed railroads that all went bankrupt, the early progressives also targeted companies whose success was due to superior products and lower prices, with their profits earned from consumers voluntarily choosing to buy their products.
John D. Rockerfeller’s Standard Oil was one such example. His company was dismantled by the government after more than two decades of offering the public higher quality oil at lower and lower prices. Instead of holding him up as an example of what a truly free market could achieve for the common man, the left attacked Rockerfeller as the definitive robber baron, regardless of facts to the contrary. With his company dismantled by the government, Rockerfeller abandoned the free market and became the robber baron he was wrongly accused of being. He decided to get into banking.
This is not to repeat the mistake of early progressives. All bankers in the 19th and early 20th century were not robber barons, nor is banking a de facto dishonest profession. Like any other business, it offers a service of great value to the public when that service is voluntarily purchased by consumers. When consumers choose to store their savings in a bank or allow the bank to invest their savings by loaning it out at interest, the banks that most conscientiously and wisely protect their depositors’ interests will prosper the most. Those that make good loan decisions will be able to pay higher interest rates to depositors and provide more stability. In a truly free market, they will win, because they benefit average Americans – the political base of the progressives – the most.
However, this is not the banking model that John D. Rockerfeller helped found in 1913. Rockerfeller was no longer interested in competing on a level playing field and relying on talent and hard work to make his fortune. He had already done that successfully and had been plundered by the government for his trouble. He was not interested in being victimized again. This time, he would be the plunderer. Along with J.P. Morgan, Rockerfeller sent a delegation of men to Jekyll Island in 1913 to devise the mother of all robber baron schemes – the Federal Reserve System.
The Federal Reserve System is the most ingenious fraud in human history. It appeals to the right because it is seen as an institution of capitalism. It appeals to the left because it is seen as a regulator of the financial system that protects the little guy from the supposedly violent machinations of unregulated capitalism. In the meantime, it funnels trillions of dollars of plundered wealth to politically-connected corporations at the expense of average Americans and those corporations which still actually prosper because they offer superior benefits to the public.
Without getting into what really goes on behind the scenes at the Fed, let us consider what the Fed purports to try to do. Ninety-seven years of results notwithstanding, the Fed supposedly regulates the market by maintaining both full employment and price stability. The left supports this agenda because its constituency depends upon jobs and affordable consumer goods in order to survive. They never stop to think about how the Fed attempts to accomplish these goals.
The Fed attempts to maintain full employment through inflation. Inflation is properly defined as an increase in the supply of money and credit, not an increase in consumer prices (more on that in a moment). During periods when unemployment is higher and overall economic growth is lower, the Fed attempts to stimulate investment in new business ventures or expansion of existing ventures by “lowering interest rates.”
However, Mr. Bernanke cannot lower interest rates with a fiat command. Instead, the Fed manipulates the interest rate by buying large quantities of U.S. Treasury bonds from its member banks. This artificially increases the demand and lowers the supply of U.S. Treasuries. It also artificially increases the supply of money available to be lent in the market. With more money available to be lent, banks offer loans at lower rates than they would if money were in shorter supply. With lower rates, more businesses take out loans with which to expand or start new ventures. At the end of this chain of events, more average Americans supposedly get hired in order to support the new business activity that has been “stimulated” by the Fed’s monetary expansion.
Taking the Fed at its word, there is still a rub to this story. The magic described above and in the Fed’s press releases does not come without a cost. The money and credit infused into the economy during this process does not come from any “reserve” that is held by the public or by the privately-owned Federal Reserve. It is created out of thin air by the Fed, which enjoys this privilege as a result of legal tender laws and the Federal Reserve Act. By increasing the overall supply of dollars in the economy, this monetary inflation drives up the price of consumer goods.
It also causes capital to be misallocated, meaning that working people are hired for projects that are not ultimately going to succeed. This inevitably happens much more frequently when banks are able to loan “free money.” When they must convince depositors to invest their own money in loans the bank wishes to make, they are forced to make much wiser choices with that capital than when the money is simply created out of thin air and handed to them, with more fiat money forthcoming if they should make a mistake. In fact, a true understanding of the economics behind monetary inflation reveals that misallocation – economic booms and busts – are inevitable when monetary inflation is allowed to take place.
Progressives should automatically be suspicious of this whole charade simply because Wall Street loves it. Whenever the Fed makes an announcement that it will attempt to lower interest rates, the stock market immediately goes up. Of course it does. Cheap money hitting the market allows investors to get in on ground floor companies and pump up their stock value with newly-created money, subsequently bailing out long before the bust occurs. When the reality hits the market that half of these new companies had no viable business plan, the stock prices collapse and the ventures go out of business and lay off their employees. This is a recession. Average Americans are unemployed while the sharks who gobbled up the cheap money to pump and dump the stocks are sitting on a beach, enjoying the fruits of their heist.
Furthermore, while monetary inflation causes prices of consumer goods to rise for everyone, it is really average Americans and the poor who are most affected by it. When the price of gasoline rises to seven dollars per gallon, the Wall Street elite have lost purchasing power in terms of the dollars they hold, but they more than make up for it during the economic booms. Millionaires become billionaires, negating the effects of a further devalued money supply, while average Americans living paycheck-to-paycheck start looking for second jobs just to pay their rent and fill up their gas tanks to get to work.
However, the most compelling reason for progressives to oppose the Federal Reserve System is because of what it openly admits it represents. Taking the Fed and its supporters at their word, the Fed is nothing more than a subtler, more devious version of “trickle-down economics,” whereby large corporations receive huge sums of money in the hopes that they will then create jobs for the little guys. There is absolutely no difference between this argument and the “Reaganomics” of the 1980’s. Any self-respecting progressive who opposed Reaganomics must oppose the Federal Reserve System. If they are not strictly opposed to government redistribution of wealth, they certainly are opposed to redistributing from the middle class and poor to Wall Street. That was the whole principle upon which the movement was founded.
There is no reason that the left should concede the Tea Party movement to conservatives. It is not fundamentally a Republican phenomenon. It is just that the Republicans are the only party that has been able to adapt their rhetoric to what the Tea Party demands to hear. The Tea Party is rediscovering America’s founding principles. However, their perceptions are being skewed toward the conservative founding philosophy that advocated corporate welfare, a large military establishment, and a central bank to provide the necessary capital - plundered from average Americans. They quote Jefferson but are deceived into supporting policies consistent with his political arch-enemy, Hamilton. They need to hear from the left on what they are missing, instead of being vilified by the left as kooks.
The true American philosophy of free enterprise as expressed by the liberal Jefferson was completely opposed to the central bank of the time, recognizing it as incompatible with the free market and wholly a vehicle for big business to plunder the people. These ideas have been dead and buried for an entire century while the Fed has been allowed to wreak its havoc with impunity. They are ripe for rebirth within the Tea Party, which would embrace Jefferson’s ideas about the dangers of central banking as readily as they do his warnings about big government. There is a strong populist undercurrent in the Tea Party. Progressives are ignoring it at their peril.
Never in its existence has the Fed been under such scrutiny in the media as it is now, nor the subject of so much public opposition. It is a grassroots fire smoldering beneath the surface, waiting for someone to strike a match. To liberals and progressives everywhere, don’t let the conservatives snatch this opportunity out from under your noses. Take up your fight against the real robber barons – the Federal Reserve System and all of its beneficiaries.
Check out Tom Mullen’s new book, A Return to Common Sense: Reawakening Liberty in the Inhabitants of America. Right Here!
Home
© Thomas Mullen 2010
That rallying point was public aversion to the radically socialist agenda of Barack Obama and the Pelosi Congress. Regardless of whether the Republicans had any new ideas to offer, they were able to remake their image quickly by jumping aboard and partially co-opting the Tea Party phenomenon. Somehow, they have again established themselves in the minds of most Americans as the party of small government, free markets, and individual liberty, their consistent behavior while in power notwithstanding.
Now, it is the Democrats who find themselves on the wrong end of a one-sided mid-term election defeat, with more of the same looming over the 2012 presidential elections. As much as the 2008 elections were a repudiation of George W. Bush and all associated with his philosophy, 2012 will be a repudiation of Obama and all associated with his. If the modern “conservative” philosophy had been thoroughly discredited two years ago, the modern “liberal” philosophy has been annihilated this year. Nothing that Democrats won on in 2006 and 2008 is going to fly with voters right now. The left needs a rallying point that will resonate with voters and make them forget why they voted them out of office just two years earlier, just as those same voters forgot why they had voted the Republicans out merely two years before the 2010 mid-terms.
If they are not to completely abandon their image as champions of the poor, disadvantaged, and working class against the power of the wealthy elite, they must find a way to restore that perception in the minds of voters without associating themselves at all with socialism, which average Americans have quite obviously choked on and spit out over the past two years. They need their own avenue to tap into the Tea Party phenomenon, or a grass roots movement like it, and appear as the party fighting for the people against a federal government run amok. Their traditional anti-corporate, pro-welfare platform won’t work. For better or worse, Americans right now associate corporatism with the free market and aversion to welfare programs has never been more ascendant. However, there is a rallying point available to the left that is completely consistent with the modern progressive philosophy and which conservatives are completely ignoring.
The left’s political dominance during the 20th century all began with the early progressive movement, which was given its first life under Republican presidents Teddy Roosevelt and William Howard Taft. However, it was the “new freedom” promised by Woodrow Wilson which established and defined the progressive platform, subsequently advanced in great strides by FDR and Lyndon B. Johnson. A core tenet of this philosophy was the need to protect “the little guy” against the robber barons of capitalism – which the progressives successfully defined in the minds of voters as anyone of great wealth, whether they have achieved that wealth legitimately or not.
Indeed, the tragic aspect of the early progressive movement was that they lumped together all successful business people as plunderers and exploiters of the working class, thus discrediting free market capitalism along with the crony capitalism that was as rampant at the time as it is now. Along with corrupt railroad companies that soaked the people for corporate welfare, only to deliver shoddily constructed railroads that all went bankrupt, the early progressives also targeted companies whose success was due to superior products and lower prices, with their profits earned from consumers voluntarily choosing to buy their products.
John D. Rockerfeller’s Standard Oil was one such example. His company was dismantled by the government after more than two decades of offering the public higher quality oil at lower and lower prices. Instead of holding him up as an example of what a truly free market could achieve for the common man, the left attacked Rockerfeller as the definitive robber baron, regardless of facts to the contrary. With his company dismantled by the government, Rockerfeller abandoned the free market and became the robber baron he was wrongly accused of being. He decided to get into banking.
This is not to repeat the mistake of early progressives. All bankers in the 19th and early 20th century were not robber barons, nor is banking a de facto dishonest profession. Like any other business, it offers a service of great value to the public when that service is voluntarily purchased by consumers. When consumers choose to store their savings in a bank or allow the bank to invest their savings by loaning it out at interest, the banks that most conscientiously and wisely protect their depositors’ interests will prosper the most. Those that make good loan decisions will be able to pay higher interest rates to depositors and provide more stability. In a truly free market, they will win, because they benefit average Americans – the political base of the progressives – the most.
However, this is not the banking model that John D. Rockerfeller helped found in 1913. Rockerfeller was no longer interested in competing on a level playing field and relying on talent and hard work to make his fortune. He had already done that successfully and had been plundered by the government for his trouble. He was not interested in being victimized again. This time, he would be the plunderer. Along with J.P. Morgan, Rockerfeller sent a delegation of men to Jekyll Island in 1913 to devise the mother of all robber baron schemes – the Federal Reserve System.
The Federal Reserve System is the most ingenious fraud in human history. It appeals to the right because it is seen as an institution of capitalism. It appeals to the left because it is seen as a regulator of the financial system that protects the little guy from the supposedly violent machinations of unregulated capitalism. In the meantime, it funnels trillions of dollars of plundered wealth to politically-connected corporations at the expense of average Americans and those corporations which still actually prosper because they offer superior benefits to the public.
Without getting into what really goes on behind the scenes at the Fed, let us consider what the Fed purports to try to do. Ninety-seven years of results notwithstanding, the Fed supposedly regulates the market by maintaining both full employment and price stability. The left supports this agenda because its constituency depends upon jobs and affordable consumer goods in order to survive. They never stop to think about how the Fed attempts to accomplish these goals.
The Fed attempts to maintain full employment through inflation. Inflation is properly defined as an increase in the supply of money and credit, not an increase in consumer prices (more on that in a moment). During periods when unemployment is higher and overall economic growth is lower, the Fed attempts to stimulate investment in new business ventures or expansion of existing ventures by “lowering interest rates.”
However, Mr. Bernanke cannot lower interest rates with a fiat command. Instead, the Fed manipulates the interest rate by buying large quantities of U.S. Treasury bonds from its member banks. This artificially increases the demand and lowers the supply of U.S. Treasuries. It also artificially increases the supply of money available to be lent in the market. With more money available to be lent, banks offer loans at lower rates than they would if money were in shorter supply. With lower rates, more businesses take out loans with which to expand or start new ventures. At the end of this chain of events, more average Americans supposedly get hired in order to support the new business activity that has been “stimulated” by the Fed’s monetary expansion.
Taking the Fed at its word, there is still a rub to this story. The magic described above and in the Fed’s press releases does not come without a cost. The money and credit infused into the economy during this process does not come from any “reserve” that is held by the public or by the privately-owned Federal Reserve. It is created out of thin air by the Fed, which enjoys this privilege as a result of legal tender laws and the Federal Reserve Act. By increasing the overall supply of dollars in the economy, this monetary inflation drives up the price of consumer goods.
It also causes capital to be misallocated, meaning that working people are hired for projects that are not ultimately going to succeed. This inevitably happens much more frequently when banks are able to loan “free money.” When they must convince depositors to invest their own money in loans the bank wishes to make, they are forced to make much wiser choices with that capital than when the money is simply created out of thin air and handed to them, with more fiat money forthcoming if they should make a mistake. In fact, a true understanding of the economics behind monetary inflation reveals that misallocation – economic booms and busts – are inevitable when monetary inflation is allowed to take place.
Progressives should automatically be suspicious of this whole charade simply because Wall Street loves it. Whenever the Fed makes an announcement that it will attempt to lower interest rates, the stock market immediately goes up. Of course it does. Cheap money hitting the market allows investors to get in on ground floor companies and pump up their stock value with newly-created money, subsequently bailing out long before the bust occurs. When the reality hits the market that half of these new companies had no viable business plan, the stock prices collapse and the ventures go out of business and lay off their employees. This is a recession. Average Americans are unemployed while the sharks who gobbled up the cheap money to pump and dump the stocks are sitting on a beach, enjoying the fruits of their heist.
Furthermore, while monetary inflation causes prices of consumer goods to rise for everyone, it is really average Americans and the poor who are most affected by it. When the price of gasoline rises to seven dollars per gallon, the Wall Street elite have lost purchasing power in terms of the dollars they hold, but they more than make up for it during the economic booms. Millionaires become billionaires, negating the effects of a further devalued money supply, while average Americans living paycheck-to-paycheck start looking for second jobs just to pay their rent and fill up their gas tanks to get to work.
However, the most compelling reason for progressives to oppose the Federal Reserve System is because of what it openly admits it represents. Taking the Fed and its supporters at their word, the Fed is nothing more than a subtler, more devious version of “trickle-down economics,” whereby large corporations receive huge sums of money in the hopes that they will then create jobs for the little guys. There is absolutely no difference between this argument and the “Reaganomics” of the 1980’s. Any self-respecting progressive who opposed Reaganomics must oppose the Federal Reserve System. If they are not strictly opposed to government redistribution of wealth, they certainly are opposed to redistributing from the middle class and poor to Wall Street. That was the whole principle upon which the movement was founded.
There is no reason that the left should concede the Tea Party movement to conservatives. It is not fundamentally a Republican phenomenon. It is just that the Republicans are the only party that has been able to adapt their rhetoric to what the Tea Party demands to hear. The Tea Party is rediscovering America’s founding principles. However, their perceptions are being skewed toward the conservative founding philosophy that advocated corporate welfare, a large military establishment, and a central bank to provide the necessary capital - plundered from average Americans. They quote Jefferson but are deceived into supporting policies consistent with his political arch-enemy, Hamilton. They need to hear from the left on what they are missing, instead of being vilified by the left as kooks.
The true American philosophy of free enterprise as expressed by the liberal Jefferson was completely opposed to the central bank of the time, recognizing it as incompatible with the free market and wholly a vehicle for big business to plunder the people. These ideas have been dead and buried for an entire century while the Fed has been allowed to wreak its havoc with impunity. They are ripe for rebirth within the Tea Party, which would embrace Jefferson’s ideas about the dangers of central banking as readily as they do his warnings about big government. There is a strong populist undercurrent in the Tea Party. Progressives are ignoring it at their peril.
Never in its existence has the Fed been under such scrutiny in the media as it is now, nor the subject of so much public opposition. It is a grassroots fire smoldering beneath the surface, waiting for someone to strike a match. To liberals and progressives everywhere, don’t let the conservatives snatch this opportunity out from under your noses. Take up your fight against the real robber barons – the Federal Reserve System and all of its beneficiaries.
Check out Tom Mullen’s new book, A Return to Common Sense: Reawakening Liberty in the Inhabitants of America. Right Here!
Home
© Thomas Mullen 2010
Sunday, September 12, 2010
The Government Can't Create Jobs (And It Shouldn't Try To)
As the November elections approach, politicians are doing what politicians do best: making promises. President Obama’s anti-business image, justified or not, will not score points with voters this year as unemployment continues to court 10% on the government’s math and 20% in the real world. With these figures virtually unchanged since he took office, the president has been unable to sell the idea that his economic policies have created any jobs. So, he is doing the best he can with the hand that he has dealt himself and trumpeting the millions of jobs his policies have “created or saved.” In addition, he has rolled out yet another boondoggle from the Keynsian toolbox in the form of a $50 billion infrastructure package designed to stimulate the economy and finally create some actual jobs.
Meanwhile, the Republicans are gearing up for what should amount to shooting fish in a barrel in the coming mid-term elections, getting incredible traction on criticizing Obama policies which largely mirror those of George W. Bush, for which he and the Republicans were tossed out of office just two years ago. They correctly point out that Obama’s policies haven’t created a single job. Americans must put them back into office or face economic Armageddon. Polls show that Americans are largely buying what the Republicans are selling, having apparently forgotten the “jobless recovery” of the early part of the last decade, which occurred while the Republicans controlled the White House and both houses of Congress.
The truth is that neither the Republicans’ “supply-side economics” nor the Democrats “demand-side economics” have ever really created any jobs. Certainly, the housing boom successfully put some people to work in the homebuilding industry for a few years. However, when that bubble popped there was nowhere for those people to go. The Democrats’ success seems to have been limited to the 600,000 or so people that took jobs with the census bureau. Unfortunately, the demand for people counting won’t sustain a census-driven recovery. Obama’s latest act of political desperation isn’t getting much traction with anyone – even liberal talking heads are finding it hard to get behind another supposed “infrastructure” program, especially one that pales in comparison (in terms of dollars) to the American Recovery and Reinvestment Act, which was long on investment and short on recovery.
So, if neither supply-side nor demand-side economics work, if neither the Republicans nor the Democrats have a program that will actually create jobs that will outlast the average car loan, where else can we look for an answer?
Perhaps we should reconsider exactly what it is that we are asking the government to do. People of all political persuasions talk about “creating jobs” as if there were no question that the government should be trying to create them, the only question being what program will create the most jobs, the highest paying jobs, or the longest lasting jobs. This is just another in an endless series of false dichotomies that accompany every election year, when voters are served up a “debate” that is framed to include two undesirable alternatives, with no acknowledgment that there may be a third. On job creation, that third alternative is this: the government can’t create jobs, regardless of whether conservatives or liberals are at the controls, and moreoever, it shouldn’t try to create jobs.
Amidst the noise surrounding an election year, it is easy to forget the obvious. Before deciding what to do about unemployment, let’s answer a few fundamental questions. The first one is, “What is a job?”
A job is an agreement between a buyer and a seller that involves an exchange of private property. The buyer is the employer, the seller, the employee. The two parties reach an agreement wherein the buyer will purchase a specific service from the seller at a mutually agreed upon price. This simple fact does not change whether the employee is selling his services as a brain surgeon or a custodian. In each case, the buyer has a need for the seller’s services and the seller is willing to sell those services to the buyer if the buyer is offering the market price or better. The most important aspect of this transaction is that it occurs with the mutual, voluntary consent of both buyer and seller. This is the only way in which a job can be created.
When people are perfectly free to dispose of their labor as they see fit, including their unconsumed labor in the past (their savings or capital), there is a natural coordination in the labor and capital markets that results in people and resources being used most efficiently to meet the demand of consumers. People are not employed to produce products that consumers don’t want or can’t afford because employers are risking their own money and livelihoods and therefore must invest their capital (savings) in projects that will be profitable. Neither do most employers prefer to invest in temporary projects that will end in six months or a few years, because they would then have to take the risk of starting a whole new business. Neither employers nor employees are ever 100% correct, but for the most part they make the right choices because they stand to gain or lose personally based upon those choices. These natural market forces regulate the market, based entirely upon the voluntary choices of employers, employees, and the consumers who buy their products.
However, when the government attempts to create a job, all of these natural forces are removed. The market has produced no demand for the government-created job. In other words, no buyer has voluntarily agreed to purchase those services, because to do so under current market conditions would be unprofitable. Were it profitable to hire someone to do the government-created job, an employer would have done so voluntarily. So, the government steps in and forces the taxpayer to purchase those services against his will. In additional to violating the taxpayer’s rights, the entire coordination that existed between employer, employee, and consumer is disrupted.
A typical response to this argument from the left would probably revolve around how the profit motive and the greed of employers is what kept the person unemployed. However, this argument begs the question: Why were these greedy employers unable to make a profit from employing this person?
The answer is that the services of the employee were not demanded by employers because the products that would be produced as a result were not demanded by consumers. If consumers were willing and able to buy the products that the employer and employee would have produced together related to this job, then there would be no need for the government to create it. By overriding the choices of consumers and forcing them to purchase those services for the employer, the government not only engages in a theft, but causes vast resources to be devoted to producing products that no one will eventually buy. Thus, when the government “investment” in the job is spent, the job no longer exists. It generates no revenue on its own to allow it continue to exist.
To use one of the favorite buzz words of the progressive left, government-created jobs are unsustainable. They are all doomed to fail by their very nature because they attempt to set aside economic laws that cannot be set aside. Commerce cannot exist without voluntary choice. Government job programs attempt to override the choices of capitalists on what to invest in and the choices of consumers on what to consume. This is what produces millions of empty homes, food shortages born of miracle energy programs, and mass amounts of people unemployed. Worst of all, these programs destroy the capital that otherwise would have created real jobs that were demanded by the market. This is not because private investors are more noble creatures than government bureaucrats, but because their own livelihoods depend upon investing that capital wisely and profitably.
While it is easy to see how this argument applies to the government spending programs that are presently more associated with the Democrats, one should not forget that the Republicans’ ideas are no less wealth redistribution and no less destructive to the economy. Most arguments made by the Republicans involve targeted tax cuts that will either stimulate specific areas of the economy or merely leave more money in the hands of private investors in general. While this sounds like the exact opposite of what the Democrats are proposing, it is really just the same strategy dressed up in “free market clothes.”
In the present paradigm, where the supposedly free market is already distorted by a thousand government interventions and taxes are sky-high for everyone, decreasing taxes for a particular class of people is merely a back-door way to try to override the free choices of investors and consumers. If the cuts are targeted at specific industries, such as the oil industry, then more oil will be produced regardless of the true demand for oil by consumers. If the cuts are general in nature, then whatever that capital is invested in will be investment not by private decision but by government central planning.
One might ask, “How can this be?” Aren’t the investors spending their own money? Not really. The Republican plan never involves a reduction in spending to go along with reductions in taxes for the investor class. In fact, every Republican administration in the past forty years has increased government spending while cutting taxes, leading to large deficits that are funded by debt or inflation. This merely transfers the tax burden of that government spending to other taxpayers. In other words, the jobs “created” through supply-side economics are really funded by taxpayers – by present taxpayers through the loss of their purchasing power due to inflation or future taxpayers through government debt. This explains why the artificial booms accompanying Republican administrations never last either.
The only real answer to the economic malaise is to stop asking the government to create jobs in the first place. Real jobs can only be created by individuals agreeing to exchange their labor and capital by mutual, voluntary consent. The use of force cannot create a job any more than it can create freedom, either here or anywhere else in the world. Furthermore, it represents violation of the very rights that government exists to protect. Instead of voting for candidates that claim that they can create jobs, Americans should demand that government get completely out of the job-creating business in particular and central planning of the economy in general. Only a massive decrease in government spending, leaving capital in the hands of the people who earned it and allowing employers, employees, and consumers to make their own choices can stimulate true job creation. Anything else is just another government program that is destined to fail.
Check out Tom Mullen’s new book, A Return to Common Sense: Reawakening Liberty in the Inhabitants of America. Right Here!
Home
© Thomas Mullen 2010
Meanwhile, the Republicans are gearing up for what should amount to shooting fish in a barrel in the coming mid-term elections, getting incredible traction on criticizing Obama policies which largely mirror those of George W. Bush, for which he and the Republicans were tossed out of office just two years ago. They correctly point out that Obama’s policies haven’t created a single job. Americans must put them back into office or face economic Armageddon. Polls show that Americans are largely buying what the Republicans are selling, having apparently forgotten the “jobless recovery” of the early part of the last decade, which occurred while the Republicans controlled the White House and both houses of Congress.
The truth is that neither the Republicans’ “supply-side economics” nor the Democrats “demand-side economics” have ever really created any jobs. Certainly, the housing boom successfully put some people to work in the homebuilding industry for a few years. However, when that bubble popped there was nowhere for those people to go. The Democrats’ success seems to have been limited to the 600,000 or so people that took jobs with the census bureau. Unfortunately, the demand for people counting won’t sustain a census-driven recovery. Obama’s latest act of political desperation isn’t getting much traction with anyone – even liberal talking heads are finding it hard to get behind another supposed “infrastructure” program, especially one that pales in comparison (in terms of dollars) to the American Recovery and Reinvestment Act, which was long on investment and short on recovery.
So, if neither supply-side nor demand-side economics work, if neither the Republicans nor the Democrats have a program that will actually create jobs that will outlast the average car loan, where else can we look for an answer?
Perhaps we should reconsider exactly what it is that we are asking the government to do. People of all political persuasions talk about “creating jobs” as if there were no question that the government should be trying to create them, the only question being what program will create the most jobs, the highest paying jobs, or the longest lasting jobs. This is just another in an endless series of false dichotomies that accompany every election year, when voters are served up a “debate” that is framed to include two undesirable alternatives, with no acknowledgment that there may be a third. On job creation, that third alternative is this: the government can’t create jobs, regardless of whether conservatives or liberals are at the controls, and moreoever, it shouldn’t try to create jobs.
Amidst the noise surrounding an election year, it is easy to forget the obvious. Before deciding what to do about unemployment, let’s answer a few fundamental questions. The first one is, “What is a job?”
A job is an agreement between a buyer and a seller that involves an exchange of private property. The buyer is the employer, the seller, the employee. The two parties reach an agreement wherein the buyer will purchase a specific service from the seller at a mutually agreed upon price. This simple fact does not change whether the employee is selling his services as a brain surgeon or a custodian. In each case, the buyer has a need for the seller’s services and the seller is willing to sell those services to the buyer if the buyer is offering the market price or better. The most important aspect of this transaction is that it occurs with the mutual, voluntary consent of both buyer and seller. This is the only way in which a job can be created.
When people are perfectly free to dispose of their labor as they see fit, including their unconsumed labor in the past (their savings or capital), there is a natural coordination in the labor and capital markets that results in people and resources being used most efficiently to meet the demand of consumers. People are not employed to produce products that consumers don’t want or can’t afford because employers are risking their own money and livelihoods and therefore must invest their capital (savings) in projects that will be profitable. Neither do most employers prefer to invest in temporary projects that will end in six months or a few years, because they would then have to take the risk of starting a whole new business. Neither employers nor employees are ever 100% correct, but for the most part they make the right choices because they stand to gain or lose personally based upon those choices. These natural market forces regulate the market, based entirely upon the voluntary choices of employers, employees, and the consumers who buy their products.
However, when the government attempts to create a job, all of these natural forces are removed. The market has produced no demand for the government-created job. In other words, no buyer has voluntarily agreed to purchase those services, because to do so under current market conditions would be unprofitable. Were it profitable to hire someone to do the government-created job, an employer would have done so voluntarily. So, the government steps in and forces the taxpayer to purchase those services against his will. In additional to violating the taxpayer’s rights, the entire coordination that existed between employer, employee, and consumer is disrupted.
A typical response to this argument from the left would probably revolve around how the profit motive and the greed of employers is what kept the person unemployed. However, this argument begs the question: Why were these greedy employers unable to make a profit from employing this person?
The answer is that the services of the employee were not demanded by employers because the products that would be produced as a result were not demanded by consumers. If consumers were willing and able to buy the products that the employer and employee would have produced together related to this job, then there would be no need for the government to create it. By overriding the choices of consumers and forcing them to purchase those services for the employer, the government not only engages in a theft, but causes vast resources to be devoted to producing products that no one will eventually buy. Thus, when the government “investment” in the job is spent, the job no longer exists. It generates no revenue on its own to allow it continue to exist.
To use one of the favorite buzz words of the progressive left, government-created jobs are unsustainable. They are all doomed to fail by their very nature because they attempt to set aside economic laws that cannot be set aside. Commerce cannot exist without voluntary choice. Government job programs attempt to override the choices of capitalists on what to invest in and the choices of consumers on what to consume. This is what produces millions of empty homes, food shortages born of miracle energy programs, and mass amounts of people unemployed. Worst of all, these programs destroy the capital that otherwise would have created real jobs that were demanded by the market. This is not because private investors are more noble creatures than government bureaucrats, but because their own livelihoods depend upon investing that capital wisely and profitably.
While it is easy to see how this argument applies to the government spending programs that are presently more associated with the Democrats, one should not forget that the Republicans’ ideas are no less wealth redistribution and no less destructive to the economy. Most arguments made by the Republicans involve targeted tax cuts that will either stimulate specific areas of the economy or merely leave more money in the hands of private investors in general. While this sounds like the exact opposite of what the Democrats are proposing, it is really just the same strategy dressed up in “free market clothes.”
In the present paradigm, where the supposedly free market is already distorted by a thousand government interventions and taxes are sky-high for everyone, decreasing taxes for a particular class of people is merely a back-door way to try to override the free choices of investors and consumers. If the cuts are targeted at specific industries, such as the oil industry, then more oil will be produced regardless of the true demand for oil by consumers. If the cuts are general in nature, then whatever that capital is invested in will be investment not by private decision but by government central planning.
One might ask, “How can this be?” Aren’t the investors spending their own money? Not really. The Republican plan never involves a reduction in spending to go along with reductions in taxes for the investor class. In fact, every Republican administration in the past forty years has increased government spending while cutting taxes, leading to large deficits that are funded by debt or inflation. This merely transfers the tax burden of that government spending to other taxpayers. In other words, the jobs “created” through supply-side economics are really funded by taxpayers – by present taxpayers through the loss of their purchasing power due to inflation or future taxpayers through government debt. This explains why the artificial booms accompanying Republican administrations never last either.
The only real answer to the economic malaise is to stop asking the government to create jobs in the first place. Real jobs can only be created by individuals agreeing to exchange their labor and capital by mutual, voluntary consent. The use of force cannot create a job any more than it can create freedom, either here or anywhere else in the world. Furthermore, it represents violation of the very rights that government exists to protect. Instead of voting for candidates that claim that they can create jobs, Americans should demand that government get completely out of the job-creating business in particular and central planning of the economy in general. Only a massive decrease in government spending, leaving capital in the hands of the people who earned it and allowing employers, employees, and consumers to make their own choices can stimulate true job creation. Anything else is just another government program that is destined to fail.
Check out Tom Mullen’s new book, A Return to Common Sense: Reawakening Liberty in the Inhabitants of America. Right Here!
Home
© Thomas Mullen 2010
Monday, July 5, 2010
Remarks to the Punta Gorda Tea Party July 3, 2010
I would like to thank the organizers of the Punta Gorda Tea Party for giving me the opportunity to come here today and speak to you on this joyous occasion. I say “joyous occasion” because I suspect that everyone of you, like me, has at sometime in the past imagined that he or she was the only person in the world who understood that our liberty was in jeopardy, or who cared enough to do something about it. Yet, today, although the danger has never been greater, there is joy in my heart, as I hope there is in yours, because of what this movement has made plainly obvious: we are not alone! In fact, to paraphrase words attributed to Japanese Admiral Yamamoto after the attack on Pearl Harbor, I believe that those who would dare to attack our liberty have merely awakened a sleeping giant.
I would like to take just a few moments to reflect upon the meaning of that which we fight for, to share a few words from those who established this land of liberty, and to humbly suggest to you an idea to carry forward in this sacred fight. I want to start with the question that I began my first book with, which is, “What is freedom?”
234 years ago, a man named Jefferson answered that question for us. I would like to share a few passages from Mr. Jefferson’s favorite philosopher. This man’s writing was so important to Jefferson that he actually had a resolution passed that said,
“Resolved, that it is the opinion of this Board that as to the general principles of liberty and the rights of man, in nature and in society, the doctrines of Locke, in his 'Essay Concerning the True Original Extent and End of Civil Government,' and of Sidney in his 'Discourses on Government,' may be considered as those generally approved by our fellow citizens of this, and the United States.”
I share this with you not to make some theoretical or academic point, but because the ideas Jefferson refers to have the utmost relevance to the struggle we find ourselves in now. Let me read to you the opening words of the essay by John Locke that Jefferson cites:
“TO understand political power right, and derive it from its original, we must consider, what state all men are naturally in, and that is, a state of perfect freedom to order their actions, and dispose of their possessions and persons, as they think fit, within the bounds of the law of nature, without asking leave, or depending upon the will of any other man.”
“A state also of equality, wherein all the power and jurisdiction is reciprocal, no one having more than another; there being nothing more evident, than that creatures of the same species and rank, promiscuously born to all the same advantages of nature, and the use of the same faculties, should also be equal one amongst another without subordination or subjection…
You no doubt recognize that this was the source of those famous words, “We hold these truths to be self evident – which means that no proof is required, for these truths can be directly observed in nature – that all men are created equal, that they are endowed by their creator with certain unalienable rights.”
I wanted to read those passages from Locke because they contain a very important point. Our natural liberty is not the license to do anything we wish. We must exercise our will “within the bounds of the law of nature.” But what are those bounds? What is the law of nature?
Locke tells us. “The state of nature has a law of nature to govern it, which obliges every one: and reason, which is that law, teaches all mankind, who will but consult it, that being all equal and independent, no one ought to harm another in his life, health, liberty, or possessions.”
So, natural liberty is the right to order our actions AND DISPOSE OF OUR POSSESSIONS as we see fit, as long as we do not harm another person in his life, health, liberty, or possessions. Libertarians today call this “the non-aggression principle,” but it is really the principle of natural liberty itself. It is the fundamental, founding principle of the United States. It is vitally important that the connection between liberty and non-aggression be understood, for it is upon this foundation that the limits on government power rests.
Jefferson confirmed this many times over the course of his life. Whenever he was asked about the role of government in a particular matter, he consistently applied the non-aggression principle. In a letter he wrote in 1816, he said, ““Our legislators are not sufficiently apprised of the rightful limits of their powers; that their true office is to declare and enforce only our natural rights and duties, and to take none of them from us. No man has a natural right to commit aggression on the equal rights of another; and this is all from which the laws ought to restrain him.”
Of religious freedom, Jefferson wrote, “The legitimate powers of government extend to such acts only as are injurious to others. But it does me no injury for my neighbor to say there are twenty gods, or no god. It neither picks my pocket nor breaks my leg.”
On another occasion he wrote, “But rightful liberty is unobstructed action according to our will within limits drawn around us by the equal rights of others. I do not add 'within the limits of the law,' because law is often but the tyrant's will, and always so when it violates the right of an individual."
There are many more quotes just like these that I could read, but the point is made. You may ask yourself, “what does this have to do with Obamacare or any of the countless other present incursions into our liberty?” The answer is this: the reason that Obamacare violates our liberty is because it violates the non-aggression principle, which is liberty.
Now, I want to stop here to draw a crucial distinction. Non-aggression is not pacifism. While the principle of liberty forbids us to initiate force, we have a right and a duty to defend ourselves with force, if necessary, against those who commit aggression against us. And so, in order to secure our rights, we delegate this individual power to government – making government the societal use of force. It is also crucial to remember that all government action is backed by the force of arms. When we make laws, they must be followed or he who breaks the law will encounter that armed force. This power comes from us, from each individual – from our right to use force in self defense. However, we cannot delegate a power to government that we do not possess individually, and so the limit on government power is the same as the limit on individual power: that force may only be used in defense against aggression. When government is kept within this limit, its people are free. When it goes beyond this limit, even if the intentions are good, it is initiating force against its people and we call this tyranny.
When one person steals the property of another, we employ the societal use of force – government – to compel that person to make restitution and to accept punishment for the crime. This is consistent with the non-aggression principle. We call this justice.
When a foreign nation attacks us, we employ our military to defend our lives and liberty with force against that nation. This, too, is consistent with the non-aggression principle.
However, when the government makes a law that says that one person must pay the medical bills of another, or purchase a product that he does not consent to purchase, then it is the government that is the aggressor. It is the government that initiates force against someone who has not committed aggression himself. This is a violation of the non-aggression principle - a violation of liberty - and that is why it cannot be tolerated by a free people. No law written by men can violate the law of nature.
I respectfully suggest to all of you that this be the measuring stick against which you judge all acts of government, from its economic policies, to its criminal law, to its foreign policy. It was the non-aggression principle that our founders used to determine the limits of government power. It is the founding principle of our nation. Once you apply it, you will find that our government has violated our liberty for many decades. This has happened under Republican and Democratic rule. At home, it is characterized by the massive redistribution of wealth, not just for welfare for the poor, but for bankers on Wall Street, for farmers, for scientists, for educators, and for every one of us in programs like Social Security and Medicare – all of these are violations of our liberty that we must begin talking about responsibly phasing out, if we are to regain our freedom.
The violation of our founding principle extends to our foreign policy as well, for we fight wars with nations that have committed no aggression against us. This is a threefold violation: against the people of the nation we attack, against the soldier whose life is risked or sacrificed unnecessarily, and against the taxpayer who is forced to pay for it at the point of the same gun that compels him to pay for Obamacare.
Now, I know that the Tea Party movement strongly supports our troops and so do I. God help us if we ever become a nation that does not honor the men and women who walk in front of bullets to preserve our liberty. However, it is not the soldier that takes us to war. He does not make that decision - not because he is incapable of it - but because for a limited time while he serves, he pledges to follow the orders of his civilian leaders about where he will go and whom he will fight. By doing so, the soldier places a sacred trust in those leaders that they will call upon him to fight only when our lives and liberty are truly in danger.
Now, let me ask you one question: Do you truly believe that those same civilian leaders who have given you Obamacare, the Community Reinvestment Act, Fannie Mae, Amtrak - all of which are failed and bankrupt - were suddenly competent when they made decisions about taking us to war? I will suggest this to you: it is not merely incompetence, but a deliberate violation of our founding principle for the purpose of acquiring power that has informed all of their decisions. Remember that Washington, Adams, and Jefferson spent their entire presidencies trying to keep our country out of foreign wars. As James Madison said, “No nation could preserve its freedom in the midst of continual warfare.”
My friends, we are in a struggle for the greatest idea that the world has ever known: freedom. You, the Tea Party, are being attacked by the established powers with every weapon at their command, and for one reason only: they are afraid of you. They know that their power over you requires your continued consent and you are no longer willing to be governed without it. I ask you to remember the meaning of that great principle of liberty, the non-aggression principle, and apply it objectively to everything that our government does. You will find that most of what it does today violates that principle. In other words, even after we get rid of Obamacare and send this president and Congress job hunting, we will still have a lot of work to do. It will not restore our liberty to vote out those who commit one form of aggression and replace them with people who will merely commit another. We must select representatives from amongst ourselves who will accept the natural limits of their powers or we will be no freer than we are now. But I am joyful today because we the people have that power. We have slumbered for decades, but we slumber no more. The sleeping giant is awake and we are going to win.
Check out Tom Mullen’s book, A Return to Common Sense: Reawakening Liberty in the Inhabitants of America. Right Here!
Home
© Thomas Mullen 2010
I would like to take just a few moments to reflect upon the meaning of that which we fight for, to share a few words from those who established this land of liberty, and to humbly suggest to you an idea to carry forward in this sacred fight. I want to start with the question that I began my first book with, which is, “What is freedom?”
234 years ago, a man named Jefferson answered that question for us. I would like to share a few passages from Mr. Jefferson’s favorite philosopher. This man’s writing was so important to Jefferson that he actually had a resolution passed that said,
“Resolved, that it is the opinion of this Board that as to the general principles of liberty and the rights of man, in nature and in society, the doctrines of Locke, in his 'Essay Concerning the True Original Extent and End of Civil Government,' and of Sidney in his 'Discourses on Government,' may be considered as those generally approved by our fellow citizens of this, and the United States.”
I share this with you not to make some theoretical or academic point, but because the ideas Jefferson refers to have the utmost relevance to the struggle we find ourselves in now. Let me read to you the opening words of the essay by John Locke that Jefferson cites:
“TO understand political power right, and derive it from its original, we must consider, what state all men are naturally in, and that is, a state of perfect freedom to order their actions, and dispose of their possessions and persons, as they think fit, within the bounds of the law of nature, without asking leave, or depending upon the will of any other man.”
“A state also of equality, wherein all the power and jurisdiction is reciprocal, no one having more than another; there being nothing more evident, than that creatures of the same species and rank, promiscuously born to all the same advantages of nature, and the use of the same faculties, should also be equal one amongst another without subordination or subjection…
You no doubt recognize that this was the source of those famous words, “We hold these truths to be self evident – which means that no proof is required, for these truths can be directly observed in nature – that all men are created equal, that they are endowed by their creator with certain unalienable rights.”
I wanted to read those passages from Locke because they contain a very important point. Our natural liberty is not the license to do anything we wish. We must exercise our will “within the bounds of the law of nature.” But what are those bounds? What is the law of nature?
Locke tells us. “The state of nature has a law of nature to govern it, which obliges every one: and reason, which is that law, teaches all mankind, who will but consult it, that being all equal and independent, no one ought to harm another in his life, health, liberty, or possessions.”
So, natural liberty is the right to order our actions AND DISPOSE OF OUR POSSESSIONS as we see fit, as long as we do not harm another person in his life, health, liberty, or possessions. Libertarians today call this “the non-aggression principle,” but it is really the principle of natural liberty itself. It is the fundamental, founding principle of the United States. It is vitally important that the connection between liberty and non-aggression be understood, for it is upon this foundation that the limits on government power rests.
Jefferson confirmed this many times over the course of his life. Whenever he was asked about the role of government in a particular matter, he consistently applied the non-aggression principle. In a letter he wrote in 1816, he said, ““Our legislators are not sufficiently apprised of the rightful limits of their powers; that their true office is to declare and enforce only our natural rights and duties, and to take none of them from us. No man has a natural right to commit aggression on the equal rights of another; and this is all from which the laws ought to restrain him.”
Of religious freedom, Jefferson wrote, “The legitimate powers of government extend to such acts only as are injurious to others. But it does me no injury for my neighbor to say there are twenty gods, or no god. It neither picks my pocket nor breaks my leg.”
On another occasion he wrote, “But rightful liberty is unobstructed action according to our will within limits drawn around us by the equal rights of others. I do not add 'within the limits of the law,' because law is often but the tyrant's will, and always so when it violates the right of an individual."
There are many more quotes just like these that I could read, but the point is made. You may ask yourself, “what does this have to do with Obamacare or any of the countless other present incursions into our liberty?” The answer is this: the reason that Obamacare violates our liberty is because it violates the non-aggression principle, which is liberty.
Now, I want to stop here to draw a crucial distinction. Non-aggression is not pacifism. While the principle of liberty forbids us to initiate force, we have a right and a duty to defend ourselves with force, if necessary, against those who commit aggression against us. And so, in order to secure our rights, we delegate this individual power to government – making government the societal use of force. It is also crucial to remember that all government action is backed by the force of arms. When we make laws, they must be followed or he who breaks the law will encounter that armed force. This power comes from us, from each individual – from our right to use force in self defense. However, we cannot delegate a power to government that we do not possess individually, and so the limit on government power is the same as the limit on individual power: that force may only be used in defense against aggression. When government is kept within this limit, its people are free. When it goes beyond this limit, even if the intentions are good, it is initiating force against its people and we call this tyranny.
When one person steals the property of another, we employ the societal use of force – government – to compel that person to make restitution and to accept punishment for the crime. This is consistent with the non-aggression principle. We call this justice.
When a foreign nation attacks us, we employ our military to defend our lives and liberty with force against that nation. This, too, is consistent with the non-aggression principle.
However, when the government makes a law that says that one person must pay the medical bills of another, or purchase a product that he does not consent to purchase, then it is the government that is the aggressor. It is the government that initiates force against someone who has not committed aggression himself. This is a violation of the non-aggression principle - a violation of liberty - and that is why it cannot be tolerated by a free people. No law written by men can violate the law of nature.
I respectfully suggest to all of you that this be the measuring stick against which you judge all acts of government, from its economic policies, to its criminal law, to its foreign policy. It was the non-aggression principle that our founders used to determine the limits of government power. It is the founding principle of our nation. Once you apply it, you will find that our government has violated our liberty for many decades. This has happened under Republican and Democratic rule. At home, it is characterized by the massive redistribution of wealth, not just for welfare for the poor, but for bankers on Wall Street, for farmers, for scientists, for educators, and for every one of us in programs like Social Security and Medicare – all of these are violations of our liberty that we must begin talking about responsibly phasing out, if we are to regain our freedom.
The violation of our founding principle extends to our foreign policy as well, for we fight wars with nations that have committed no aggression against us. This is a threefold violation: against the people of the nation we attack, against the soldier whose life is risked or sacrificed unnecessarily, and against the taxpayer who is forced to pay for it at the point of the same gun that compels him to pay for Obamacare.
Now, I know that the Tea Party movement strongly supports our troops and so do I. God help us if we ever become a nation that does not honor the men and women who walk in front of bullets to preserve our liberty. However, it is not the soldier that takes us to war. He does not make that decision - not because he is incapable of it - but because for a limited time while he serves, he pledges to follow the orders of his civilian leaders about where he will go and whom he will fight. By doing so, the soldier places a sacred trust in those leaders that they will call upon him to fight only when our lives and liberty are truly in danger.
Now, let me ask you one question: Do you truly believe that those same civilian leaders who have given you Obamacare, the Community Reinvestment Act, Fannie Mae, Amtrak - all of which are failed and bankrupt - were suddenly competent when they made decisions about taking us to war? I will suggest this to you: it is not merely incompetence, but a deliberate violation of our founding principle for the purpose of acquiring power that has informed all of their decisions. Remember that Washington, Adams, and Jefferson spent their entire presidencies trying to keep our country out of foreign wars. As James Madison said, “No nation could preserve its freedom in the midst of continual warfare.”
My friends, we are in a struggle for the greatest idea that the world has ever known: freedom. You, the Tea Party, are being attacked by the established powers with every weapon at their command, and for one reason only: they are afraid of you. They know that their power over you requires your continued consent and you are no longer willing to be governed without it. I ask you to remember the meaning of that great principle of liberty, the non-aggression principle, and apply it objectively to everything that our government does. You will find that most of what it does today violates that principle. In other words, even after we get rid of Obamacare and send this president and Congress job hunting, we will still have a lot of work to do. It will not restore our liberty to vote out those who commit one form of aggression and replace them with people who will merely commit another. We must select representatives from amongst ourselves who will accept the natural limits of their powers or we will be no freer than we are now. But I am joyful today because we the people have that power. We have slumbered for decades, but we slumber no more. The sleeping giant is awake and we are going to win.
Check out Tom Mullen’s book, A Return to Common Sense: Reawakening Liberty in the Inhabitants of America. Right Here!
Home
© Thomas Mullen 2010
Sunday, June 27, 2010
The Government Can't Regulate Safety (And It Shouldn't Try To)
President Obama has come under heavy criticism for his dictatorial “shakedown” of BP and rightly so. Considering the presidencies of Woodrow Wilson, Franklin D. Roosevelt, Lyndon Johnson, and most recently, George W. Bush, it is no small accomplishment for a president in 2010 to actually commit an unprecedented violation of the U.S. Constitution. I am sure that sooner or later his extortion will be described by his supporters as “bold,” which is the new euphemism for the illegal exercise of arbitrary power.
However, during the June 15 speech* in which he announced this and other planned incursions into what is left of the free market and the rule of law, the president made one very correct observation about the Minerals Management Service (the federal regulatory agency in charge of regulating oil drilling). He said,
"At this agency, industry insiders were put in charge of industry oversight. Oil companies showered regulators with gifts and favors, and were essentially allowed to conduct their own safety inspections and write their own regulations.”
The president correctly recognizes that this is a problem. One cannot reasonably expect that a regulatory agency is going to police an industry if the policemen are all hired directly out of the companies that they are supposed to regulate. However, the president’s statement begs the question, “Who should replace these industry insiders in regulating the safety of deep-water oil drilling?”
The only possible answer is that government-appointed bureaucrats, with no knowledge of or experience with the machinery, equipment, and specific engineering principles associated with deep-water oil drilling should replace them. Of course, logic dictates that if unqualified people start making rules about how equipment and machinery that they don’t understand is operated, there are going to be a lot more accidents. Is there no way out of this dilemma?
There is an important distinction to be made between “laws” and “regulations.” A law is a statute that prohibits conduct that constitutes intentional harm to someone by another person. There are laws against murder, theft, fraud, and other crimes of aggression. A law should always be the exercise of a negative power (the new healthcare bill violates this fundamental principle).
A regulation, on the other hand, has an entirely different purpose. Regulations attempt to prevent economic agents from having the opportunity to harm another person or the environment, whether intentional or not. So, regulations either prohibit actions that do not constitute harm to other people, such as procedures that are considered unsafe by the regulator, or actually compel the regulated person or entity to do certain things that the regulator deems necessary (a positive power). This is why it was necessary for the Minerals Management Service to recruit its regulators out of the oil industry. Who else can tell an oil company how to run an oil well?
However, the president is a bit disingenuous in implying that this agency is unique in being peopled with industry insiders. The practice of hiring insiders to regulate their former employers is the norm in Washington, as is the practice of the regulated companies actually drafting the regulations that they are to be governed by themselves.
If you think that this means that the resulting regulations don’t do a very good job of protecting consumers or the environment, you are correct. Workers aren’t safer since the creation of OSHA, food and drugs aren’t safer since the creation of the FDA, consumers aren’t protected by the Consumer Protection Agency, and as we are now painfully aware, the oceans aren’t safer because of the Minerals Management Service.
However, this “public-private partnership” (formerly known as fascism) does accomplish one thing. It creates massive compliance costs for the companies that are regulated. Combined with the fact that the regulations are written specifically to give an advantage to existing conglomerates, these artificially high start-up costs have the effect of insulating large, established companies from new competition. The result in each regulated industry is a small group of large corporations that have traded their liberty for the high profits resulting from artificially limited competition.
This does not mean that there are not conflicts between government and the corporations. Since the regulations are far too numerous and onerous to be followed, the regulated companies are constantly violating them. When a consumer or environmental issue makes the news, there is an immediate call for more or better regulations to prevent a similar incident from occurring again. The politician uses the incident to seek more power, while the corporation seeks greater protection from competition. The consumer pays higher prices and gets products that are of lower quality and safety than those that would be available in a free market.
This dysfunctional relationship between government, business, and consumers is allowed to persist for only one reason: the widespread misconception that it would be more profitable for unregulated industries to gouge their customers and sacrifice their safety and that of the environment in order to reduce their costs and widen their profit margins. This incorrect assumption flies completely in the face of history.
BP will pay at least $20 billion, not in fines for violating regulations, but in compensation to the people whose lives and properties were damaged by their negligence. There are already widespread rumors that they will be broken up and sold off because of the financial vulnerability resulting from the fall in the price of their stock. Similarly, Enron went bankrupt due to market forces and its officers were prosecuted for breaking the laws against fraud. Both of these outcomes would have been the same without the existence of the regulations and regulatory agencies that governed these companies, because they occurred as the result of the government enforcing property rights, not regulations. When property rights are enforced, the profit motive discourages companies from exposing themselves to liability. Those who do not heed this natural law quickly find themselves out of business.
Thomas Jefferson once wrote, “No man has a natural right to commit aggression on the equal rights of another; and this is all from which the laws ought to restrain him.” He was right. It is a violation of liberty for the government to try to prevent crime or negligence, which it is unable to do anyway. There will always accidents, regardless of regulations that attempt to prevent them. If you want to maximize protection of consumers and the environment, regulations are not the answer.
A truly free market without artificial barriers to new competitors will force companies to constantly improve their products, services, and production processes and limit their exposure to liability. It will also force them to please their customers. The companies that do these things the best will outperform and eventually eliminate those companies that do not. This does not represent “companies regulating themselves,” as President Obama argues, but rather regulation by economic law.
Liberals constantly rail against Big Oil, Big Pharma, and large corporations in general. However, they then call for expansion of the fascist regulatory complex that created them and keeps them big. The cure for the disease is not more of the bacteria that caused it. If you want to see fairness to consumers and protection of the environment, a truly free market is the only answer.
*Transcript of entire speech
Check out Tom Mullen’s new book, A Return to Common Sense: Reawakening Liberty in the Inhabitants of America. Right Here!
Home
© Thomas Mullen 2010
However, during the June 15 speech* in which he announced this and other planned incursions into what is left of the free market and the rule of law, the president made one very correct observation about the Minerals Management Service (the federal regulatory agency in charge of regulating oil drilling). He said,
"At this agency, industry insiders were put in charge of industry oversight. Oil companies showered regulators with gifts and favors, and were essentially allowed to conduct their own safety inspections and write their own regulations.”
The president correctly recognizes that this is a problem. One cannot reasonably expect that a regulatory agency is going to police an industry if the policemen are all hired directly out of the companies that they are supposed to regulate. However, the president’s statement begs the question, “Who should replace these industry insiders in regulating the safety of deep-water oil drilling?”
The only possible answer is that government-appointed bureaucrats, with no knowledge of or experience with the machinery, equipment, and specific engineering principles associated with deep-water oil drilling should replace them. Of course, logic dictates that if unqualified people start making rules about how equipment and machinery that they don’t understand is operated, there are going to be a lot more accidents. Is there no way out of this dilemma?
There is an important distinction to be made between “laws” and “regulations.” A law is a statute that prohibits conduct that constitutes intentional harm to someone by another person. There are laws against murder, theft, fraud, and other crimes of aggression. A law should always be the exercise of a negative power (the new healthcare bill violates this fundamental principle).
A regulation, on the other hand, has an entirely different purpose. Regulations attempt to prevent economic agents from having the opportunity to harm another person or the environment, whether intentional or not. So, regulations either prohibit actions that do not constitute harm to other people, such as procedures that are considered unsafe by the regulator, or actually compel the regulated person or entity to do certain things that the regulator deems necessary (a positive power). This is why it was necessary for the Minerals Management Service to recruit its regulators out of the oil industry. Who else can tell an oil company how to run an oil well?
However, the president is a bit disingenuous in implying that this agency is unique in being peopled with industry insiders. The practice of hiring insiders to regulate their former employers is the norm in Washington, as is the practice of the regulated companies actually drafting the regulations that they are to be governed by themselves.
If you think that this means that the resulting regulations don’t do a very good job of protecting consumers or the environment, you are correct. Workers aren’t safer since the creation of OSHA, food and drugs aren’t safer since the creation of the FDA, consumers aren’t protected by the Consumer Protection Agency, and as we are now painfully aware, the oceans aren’t safer because of the Minerals Management Service.
However, this “public-private partnership” (formerly known as fascism) does accomplish one thing. It creates massive compliance costs for the companies that are regulated. Combined with the fact that the regulations are written specifically to give an advantage to existing conglomerates, these artificially high start-up costs have the effect of insulating large, established companies from new competition. The result in each regulated industry is a small group of large corporations that have traded their liberty for the high profits resulting from artificially limited competition.
This does not mean that there are not conflicts between government and the corporations. Since the regulations are far too numerous and onerous to be followed, the regulated companies are constantly violating them. When a consumer or environmental issue makes the news, there is an immediate call for more or better regulations to prevent a similar incident from occurring again. The politician uses the incident to seek more power, while the corporation seeks greater protection from competition. The consumer pays higher prices and gets products that are of lower quality and safety than those that would be available in a free market.
This dysfunctional relationship between government, business, and consumers is allowed to persist for only one reason: the widespread misconception that it would be more profitable for unregulated industries to gouge their customers and sacrifice their safety and that of the environment in order to reduce their costs and widen their profit margins. This incorrect assumption flies completely in the face of history.
BP will pay at least $20 billion, not in fines for violating regulations, but in compensation to the people whose lives and properties were damaged by their negligence. There are already widespread rumors that they will be broken up and sold off because of the financial vulnerability resulting from the fall in the price of their stock. Similarly, Enron went bankrupt due to market forces and its officers were prosecuted for breaking the laws against fraud. Both of these outcomes would have been the same without the existence of the regulations and regulatory agencies that governed these companies, because they occurred as the result of the government enforcing property rights, not regulations. When property rights are enforced, the profit motive discourages companies from exposing themselves to liability. Those who do not heed this natural law quickly find themselves out of business.
Thomas Jefferson once wrote, “No man has a natural right to commit aggression on the equal rights of another; and this is all from which the laws ought to restrain him.” He was right. It is a violation of liberty for the government to try to prevent crime or negligence, which it is unable to do anyway. There will always accidents, regardless of regulations that attempt to prevent them. If you want to maximize protection of consumers and the environment, regulations are not the answer.
A truly free market without artificial barriers to new competitors will force companies to constantly improve their products, services, and production processes and limit their exposure to liability. It will also force them to please their customers. The companies that do these things the best will outperform and eventually eliminate those companies that do not. This does not represent “companies regulating themselves,” as President Obama argues, but rather regulation by economic law.
Liberals constantly rail against Big Oil, Big Pharma, and large corporations in general. However, they then call for expansion of the fascist regulatory complex that created them and keeps them big. The cure for the disease is not more of the bacteria that caused it. If you want to see fairness to consumers and protection of the environment, a truly free market is the only answer.
*Transcript of entire speech
Check out Tom Mullen’s new book, A Return to Common Sense: Reawakening Liberty in the Inhabitants of America. Right Here!
Home
© Thomas Mullen 2010
Monday, June 21, 2010
Hooray for Hollywood?
Libertarians generally cringe at most of what comes out of Hollywood and for good reason. The consistent message from its movies and movie stars is that private property and free enterprise are the scourge of society, that profits are made by exploiting the poor and working classes, and that private industry is the enemy of nature that will eventually destroy the earth.
Given this consistent anti-freedom message, it would be hard to blame anyone for a reflexive roll of the eyes upon hearing that Kevin Costner has come forward regarding the BP oil spill. However, this real-life story has a surprising twist. Costner is not calling for some tax-funded government boondoggle. Nor is he taking the opportunity to lecture the masses about their responsibility to sacrifice their lives and property to save the earth or why they should feel guilty for polluting it merely by being alive. Instead, Costner has provided a solution, born out of his entrepreneurial interest in a new technology, that may be effective in cleaning up the oily gulf.
According to an article in the LA Times, Costner and a business partner acquired Ocean Therapy Industries after the Exxon Valdez oil spill and “has spent 15 years and $24 million of his own money on this technology.” The technology had little commercial potential until the Deepwater Horizons accident, which may also qualify Costner as – gasp – a speculator.
The article goes on to say that, “The machines essentially operate like big, floating vacuum cleaners, which suck up oily water and spin it around at high speed. On one side, it spits out pure oil, which can be recovered. The other side spits out 99% pure water.” Costner and his partner hope to sell the reclaimed oil and donate most of the profits to local parishes which have suffered because of the spill. Presumably, the revenues for selling the machines themselves will constitute a handsome return on investment for Costner and his partner.
Whatever Costner’s political views may be, his actions speak louder than words. He is demonstrating yet again that every innovation that has improved the quality of human life has been the result of entrepreneurs taking risks in the hope of profits. While President Obama is making speeches and looking for asses to kick, private enterprise has stepped forward with a solution that will benefit all parties involved. Like all exchanges in a free market, the customer benefits from a new product that it needs or wants, the entrepreneur is enriched for risking his own money and devoting his own labor and time, and all of humanity benefits from the existence of new technology. There are no “losers” in a voluntary exchange of property.
In all fairness, this technology was originally developed by the U.S. government. However, it took the vision, commitment, and risk tolerance of a private investor to transform the technology into something useful and make it available when the time was right. This is also not without precedent. In the 1980’s, entrepreneur’s saw opportunity in a little-known technology called ARPANET, the result of a partnership between MIT and the Department of Defense. They decided to risk their own money developing this technology into something that would actually be useful to everyday people. They created products and services that billions now benefit from and the entrepreneurs were enriched in the process. Today, we call that technology the Internet.
Hopefully, Costner’s fellow actors, producers, and directors will not vilify Costner for “making money on this environmental tragedy.” I recommend that they look at it that Costner is “making the big, bad oil company pay” for the damage it has done. However, no amount of spin can change the facts. This solution was provided by a private entrepreneur who took a risk in the hope of profits. As far as this crisis is concerned, the score is Market 1, Government 0.
Libertarians don’t get to say this very often, so let me be the first: Hooray for Hollywood! Oh, and Kevin, good luck with your venture. I hope you make a million bucks.
Check out Tom Mullen’s new book, A Return to Common Sense: Reawakening Liberty in the Inhabitants of America. Right Here!
Home
© Thomas Mullen 2010
Given this consistent anti-freedom message, it would be hard to blame anyone for a reflexive roll of the eyes upon hearing that Kevin Costner has come forward regarding the BP oil spill. However, this real-life story has a surprising twist. Costner is not calling for some tax-funded government boondoggle. Nor is he taking the opportunity to lecture the masses about their responsibility to sacrifice their lives and property to save the earth or why they should feel guilty for polluting it merely by being alive. Instead, Costner has provided a solution, born out of his entrepreneurial interest in a new technology, that may be effective in cleaning up the oily gulf.
According to an article in the LA Times, Costner and a business partner acquired Ocean Therapy Industries after the Exxon Valdez oil spill and “has spent 15 years and $24 million of his own money on this technology.” The technology had little commercial potential until the Deepwater Horizons accident, which may also qualify Costner as – gasp – a speculator.
The article goes on to say that, “The machines essentially operate like big, floating vacuum cleaners, which suck up oily water and spin it around at high speed. On one side, it spits out pure oil, which can be recovered. The other side spits out 99% pure water.” Costner and his partner hope to sell the reclaimed oil and donate most of the profits to local parishes which have suffered because of the spill. Presumably, the revenues for selling the machines themselves will constitute a handsome return on investment for Costner and his partner.
Whatever Costner’s political views may be, his actions speak louder than words. He is demonstrating yet again that every innovation that has improved the quality of human life has been the result of entrepreneurs taking risks in the hope of profits. While President Obama is making speeches and looking for asses to kick, private enterprise has stepped forward with a solution that will benefit all parties involved. Like all exchanges in a free market, the customer benefits from a new product that it needs or wants, the entrepreneur is enriched for risking his own money and devoting his own labor and time, and all of humanity benefits from the existence of new technology. There are no “losers” in a voluntary exchange of property.
In all fairness, this technology was originally developed by the U.S. government. However, it took the vision, commitment, and risk tolerance of a private investor to transform the technology into something useful and make it available when the time was right. This is also not without precedent. In the 1980’s, entrepreneur’s saw opportunity in a little-known technology called ARPANET, the result of a partnership between MIT and the Department of Defense. They decided to risk their own money developing this technology into something that would actually be useful to everyday people. They created products and services that billions now benefit from and the entrepreneurs were enriched in the process. Today, we call that technology the Internet.
Hopefully, Costner’s fellow actors, producers, and directors will not vilify Costner for “making money on this environmental tragedy.” I recommend that they look at it that Costner is “making the big, bad oil company pay” for the damage it has done. However, no amount of spin can change the facts. This solution was provided by a private entrepreneur who took a risk in the hope of profits. As far as this crisis is concerned, the score is Market 1, Government 0.
Libertarians don’t get to say this very often, so let me be the first: Hooray for Hollywood! Oh, and Kevin, good luck with your venture. I hope you make a million bucks.
Check out Tom Mullen’s new book, A Return to Common Sense: Reawakening Liberty in the Inhabitants of America. Right Here!
Home
© Thomas Mullen 2010
Thursday, June 17, 2010
Congressman Ron Paul Endorses A Return to Common Sense!
“Thomas Mullen is a knowledgeable and passionate libertarian and “A Return to Common Sense” is a valuable addition to the libertarian literature. Those new to the freedom movement will benefit from Tom’s introduction to both the practical and moral arguments for freedom. Long-time activists will benefit from Tom’s explanation of why strict adherence to principle is vital to the future success of the liberty moment.”
- Representative Ron Paul (TX-14)
Get your copy right here!
e-mail Tom Mullen
- Representative Ron Paul (TX-14)
Get your copy right here!
e-mail Tom Mullen
Saturday, June 12, 2010
The Three Types of Government Spending
Any objection whatsoever to some new, tax-funded government program elicits a consistent response from liberals or progressives. “You just don’t want to pay your fair share,” or “I guess we won’t see you driving on any of those government roads or calling the government police or fire departments.” The underlying assumption is that taxation is an all or nothing proposition. Either there is nothing that the government can collect taxes for or there is nothing that the government cannot collect taxes for. There are no principles upon which to base an answer to the question, “Is this a legitimate function of government?”
While there are probably thousands of different services that governments spend money on, they can generally be divided into three broad categories: security, public services, and wealth redistribution. Libertarians[1] argue that the only legitimate government spending is on security. Conservatives generally approve of security and some public services with their rhetoric while engaging in all three types of spending when in public office. Liberals generally endorse all three types of spending with both their rhetoric and their actions while in public office.
“Security” includes all government functions which attempt to defend citizens from aggression against their rights by other human beings. These would include the military, various police forces, and the civil and criminal courts. These are the functions of government whose purpose is to secure the individual rights of life, liberty, property, etc.
It is important to remember that even if these are legitimate functions of government, it does not mean that they cannot be abused. For example, a small suburban village in a low-crime area may not need more than the county sheriff for a police force, but may instead bear a tax burden of village, town, county, state, and even federal police forces. However, these debates revolve around how efficiently the services are being provided, not whether they should be provided by the government at all.
“Public services” generally refers to services provided to all members of society. What makes a service a “public service” is that it can be reasonably assumed that every member of the society has an equal opportunity to utilize it. Examples include roads, bridges, public libraries, garbage collection services, and fire departments. Libertarians argue that these are goods and services that the private sector can provide. Their objection to providing them with tax dollars is that those who do not consent to purchase them are still forced to pay. While this is also true of security services, libertarians acquiesce to those on the assumption that it would be impossible to exercise property rights without a government in place to defend them.
Certainly, a bridge between a new suburb and the city may improve commerce for the entire city. However, it is not necessary to protect anyone’s rights. Therefore, libertarians argue that those who want to build the bridge should provide the capital for it themselves and are perfectly within their rights to charge a fee to those who wish to use the bridge. Conservatives have traditionally argued that these services can be funded by the government and provided by private corporations under government contracts. Liberals generally support public services as well, although they sometimes object to them being provided by private firms.
Like security services, public services are prone to abuse and corruption, even if one accepts that they are legitimate functions of government. Public funds are often wasted on services that are not needed or services that are poorly rendered because they are provided by politically-connected government employees or private firms, rather than by the most qualified. Consider the “bridges to nowhere,” the roadwork construction projects that never end, or the multitude of scandals where it was discovered that $500 was spent on a single nail or some other gross abuse of public funds occurred.
The third category of government spending is wealth redistribution. Wealth redistribution collects taxes from one group of people in order to provide services to another group. What makes this type of government spending different from public services is the fact that the goods or services provided do not benefit all members of society equally. For example, health benefits under Medicaid are paid for by all taxpayers but are only available to people whose income is under a defined eligibility level. Thus, those funds are literally taken from one group and redistributed to another. Both libertarians and conservatives argue that this is nothing more than legalized theft, although conservatives have often led or acquiesced to expansion of this type of spending once in office. President Bush’s expansion of Medicare is one of the most recent examples. Liberals and progressives generally support this type of spending, arguing that it is each person’s moral responsibility to “contribute.”
In order to have an informed debate about a new government program, one must identify which category the proposed program belongs in. Too often the distinctions between these categories are blurred by both critics and proponents. Most often, a program that would properly be categorized as wealth redistribution is represented as a public service in an effort to persuade those that must pay for it that it is their civic duty to do so.
For example, if the federal government issues a grant to build a commuter train in Florida, it is really redistributing the wealth of all of those outside of the service area of the train, especially those in other states who were taxed to underwrite the grant. It is certainly not reasonable to assume that citizens of Montana have an equal opportunity to utilize that train, yet they were taxed to fund it. Therefore, a commuter train to benefit Floridians does not fit the definition of a “public service” for the entire nation. Interestingly, it is exactly this type of government spending that the 2010 Census form cites as its primary reason for collecting data (so that your community receives its “fair share” of federal funding).
Similarly, Social Security and Medicare purport to be public services which provide a plan for wage earners to save for their retirement. However, everyone knows that since the beginning of both of those programs, the taxes collected to fund them have gone to pay current beneficiaries, not into some mythical trust fund. In fact, when Social Security did run surpluses in the past (when contributions exceeded the payouts to current beneficiaries), the government spent the excess money and replaced it with its own bonds, which are just promises to pay based upon future taxes! So, Social Security is and has always been a wealth redistribution program. The same is true for Medicare.
Wealth redistribution can even be disguised as security with the right amount of government propaganda. The military is a security function insofar as it defends its citizens against aggression by foreign nations. However, when the military grows beyond what is reasonably necessary for defense of U.S. citizens and into a worldwide institution, surrounded by multi-billion dollar corporations which exist solely to support it, and which both attacks nations that have not committed aggression against the United States and stations troops in over 130 nations, one must ask the question, “Who is benefitting from this tax-funded monstrosity?”
It is hard to make an argument that the security of the United States depends upon the tens of thousands of troops stationed in Germany, Korea, or Japan. U.S. troops arrived in those countries during a war that ended 65 years ago and remained there supposedly because of a Cold War that ended 20 years ago. At this point, the only Americans benefitting from the continuation of the U.S. troop presence around the world are the defense contractors who sell goods and services to the government to support the operations. Is this not wealth redistribution disguised as security?
Often, conservatives will argue that America is protecting her allies by stationing troops in Europe, Asia, and the rest of the world. However, even this argument does not hold up to scrutiny. If the money to support these operations is collected from Americans but really benefits German, Japanese, or other foreign citizens, is this not still wealth redistribution disguised as security? This is one of the main reasons that Washington, Adams, and Jefferson told us not to make those alliances in the first place and spent most of their presidencies trying to keep America out of foreign wars.
Liberals represent the latest government foray into the health care industry as a public service. They claim that this will provide coverage for the 45 million Americans who are not currently covered by some form of health insurance coverage. While this number is widely disputed by opponents as being grossly inflated, it still only represents 15% of the population, even if accurate. It then follows that 85% of the population already has some form of health care coverage. Therefore, how can it be argued that all U.S. citizens will benefit equally from this program?
The program will also provide subsidies to those who cannot afford to buy health insurance coverage on their own, which is mandated for everyone.[2] This aspect of the program is undisguised wealth redistribution, as taxes will be collected from all Americans and used to purchase services only for those who qualify due to their income. There is not even a scheme in place for this program to make it look as if the recipients are funding the benefits, as there is with Medicare or Social Security.
The history of federal government spending in America can be separated into three eras. The first was dominated by the ideas of Jefferson and classical liberals (now called “libertarians) and enshrined in the Declaration of Independence. “To secure these rights, governments are instituted among men.” That document unambiguously limited government’s role to security.
Thirteen years later, Alexander Hamilton and his conservatives succeeded in drastically expanding the role of government with the ratification of the U.S. Constitution. That document does not limit the government’s role to “securing rights,” but also to “promote the general welfare” and “form a more perfect union.” It grants the U.S. government the power to tax for the purposes of “promoting the general welfare.” This expansion of the role of government to include public services was then increasingly exploited by conservatives throughout the next century to institute wealth redistribution programs for the benefit of a wealthy elite, all disguised as public services or security. These included subsidies to corporations to build roads and canals, subsidies to railroads, and the establishment of a large, standing military force.[3]
Once the conservatives succeeded in establishing government as wealth redistributor to the wealthy, liberals abandoned the philosophy of government limited to security and instead began to advocate government as wealth redistributor to the poor and middle classes. This transformation can be traced roughly to the Woodrow Wilson administration, which combined elements of the conservative philosophy with modern liberal ideas of social justice. With the FDR administration, the transformation of liberal philosophy was complete. The liberals now sought to redistribute wealth to the poor and middle classes, while the conservatives continued to redistribute to the wealthy. These are the choices presented to Americans to this day.
There are large grassroots movements forming with one rallying point in common: they are all opposed to a federal government that spends $3.6 trillion dollars a year and shows no sign of slowing down. If the movements are to succeed, their constituents must clearly understand the three types of government spending and which one really costs the most. True security makes up so small a percentage of the federal budget that no income tax, national sales tax, or “value added tax” is necessary to fund it. Truly public services are also insignificant in terms of cost. Even the hapless postal service, for all of its inefficiency and waste, does not make up a significant portion of the federal budget.
No, it is not spending on security or public services that has bankrupted the federal government and destroyed the U.S. economy. The true cause of the problem has been the massive redistribution of wealth, perpetrated by conservatives for the benefit of the wealthy and by liberals for the benefit of everyone else. It is this type of government spending that must be recognized in all of its disguises and eliminated if the United States is to be saved.
[1] I use the term “libertarians” to describe those who advocate limited government. There are also many libertarians who advocate a completely stateless society, with even security functions provided by private firms in a free market.
[2] This is a gross violation of liberty and property rights as well.
[3] See Tom Dilorenzo’s excellent body of work on this, including Hamilton’s Curse, How Capitalism Saved America, and The Real Lincoln.
Check out Tom Mullen’s new book, A Return to Common Sense: Reawakening Liberty in the Inhabitants of America. Right Here!
Home
© Thomas Mullen 2010
While there are probably thousands of different services that governments spend money on, they can generally be divided into three broad categories: security, public services, and wealth redistribution. Libertarians[1] argue that the only legitimate government spending is on security. Conservatives generally approve of security and some public services with their rhetoric while engaging in all three types of spending when in public office. Liberals generally endorse all three types of spending with both their rhetoric and their actions while in public office.
“Security” includes all government functions which attempt to defend citizens from aggression against their rights by other human beings. These would include the military, various police forces, and the civil and criminal courts. These are the functions of government whose purpose is to secure the individual rights of life, liberty, property, etc.
It is important to remember that even if these are legitimate functions of government, it does not mean that they cannot be abused. For example, a small suburban village in a low-crime area may not need more than the county sheriff for a police force, but may instead bear a tax burden of village, town, county, state, and even federal police forces. However, these debates revolve around how efficiently the services are being provided, not whether they should be provided by the government at all.
“Public services” generally refers to services provided to all members of society. What makes a service a “public service” is that it can be reasonably assumed that every member of the society has an equal opportunity to utilize it. Examples include roads, bridges, public libraries, garbage collection services, and fire departments. Libertarians argue that these are goods and services that the private sector can provide. Their objection to providing them with tax dollars is that those who do not consent to purchase them are still forced to pay. While this is also true of security services, libertarians acquiesce to those on the assumption that it would be impossible to exercise property rights without a government in place to defend them.
Certainly, a bridge between a new suburb and the city may improve commerce for the entire city. However, it is not necessary to protect anyone’s rights. Therefore, libertarians argue that those who want to build the bridge should provide the capital for it themselves and are perfectly within their rights to charge a fee to those who wish to use the bridge. Conservatives have traditionally argued that these services can be funded by the government and provided by private corporations under government contracts. Liberals generally support public services as well, although they sometimes object to them being provided by private firms.
Like security services, public services are prone to abuse and corruption, even if one accepts that they are legitimate functions of government. Public funds are often wasted on services that are not needed or services that are poorly rendered because they are provided by politically-connected government employees or private firms, rather than by the most qualified. Consider the “bridges to nowhere,” the roadwork construction projects that never end, or the multitude of scandals where it was discovered that $500 was spent on a single nail or some other gross abuse of public funds occurred.
The third category of government spending is wealth redistribution. Wealth redistribution collects taxes from one group of people in order to provide services to another group. What makes this type of government spending different from public services is the fact that the goods or services provided do not benefit all members of society equally. For example, health benefits under Medicaid are paid for by all taxpayers but are only available to people whose income is under a defined eligibility level. Thus, those funds are literally taken from one group and redistributed to another. Both libertarians and conservatives argue that this is nothing more than legalized theft, although conservatives have often led or acquiesced to expansion of this type of spending once in office. President Bush’s expansion of Medicare is one of the most recent examples. Liberals and progressives generally support this type of spending, arguing that it is each person’s moral responsibility to “contribute.”
In order to have an informed debate about a new government program, one must identify which category the proposed program belongs in. Too often the distinctions between these categories are blurred by both critics and proponents. Most often, a program that would properly be categorized as wealth redistribution is represented as a public service in an effort to persuade those that must pay for it that it is their civic duty to do so.
For example, if the federal government issues a grant to build a commuter train in Florida, it is really redistributing the wealth of all of those outside of the service area of the train, especially those in other states who were taxed to underwrite the grant. It is certainly not reasonable to assume that citizens of Montana have an equal opportunity to utilize that train, yet they were taxed to fund it. Therefore, a commuter train to benefit Floridians does not fit the definition of a “public service” for the entire nation. Interestingly, it is exactly this type of government spending that the 2010 Census form cites as its primary reason for collecting data (so that your community receives its “fair share” of federal funding).
Similarly, Social Security and Medicare purport to be public services which provide a plan for wage earners to save for their retirement. However, everyone knows that since the beginning of both of those programs, the taxes collected to fund them have gone to pay current beneficiaries, not into some mythical trust fund. In fact, when Social Security did run surpluses in the past (when contributions exceeded the payouts to current beneficiaries), the government spent the excess money and replaced it with its own bonds, which are just promises to pay based upon future taxes! So, Social Security is and has always been a wealth redistribution program. The same is true for Medicare.
Wealth redistribution can even be disguised as security with the right amount of government propaganda. The military is a security function insofar as it defends its citizens against aggression by foreign nations. However, when the military grows beyond what is reasonably necessary for defense of U.S. citizens and into a worldwide institution, surrounded by multi-billion dollar corporations which exist solely to support it, and which both attacks nations that have not committed aggression against the United States and stations troops in over 130 nations, one must ask the question, “Who is benefitting from this tax-funded monstrosity?”
It is hard to make an argument that the security of the United States depends upon the tens of thousands of troops stationed in Germany, Korea, or Japan. U.S. troops arrived in those countries during a war that ended 65 years ago and remained there supposedly because of a Cold War that ended 20 years ago. At this point, the only Americans benefitting from the continuation of the U.S. troop presence around the world are the defense contractors who sell goods and services to the government to support the operations. Is this not wealth redistribution disguised as security?
Often, conservatives will argue that America is protecting her allies by stationing troops in Europe, Asia, and the rest of the world. However, even this argument does not hold up to scrutiny. If the money to support these operations is collected from Americans but really benefits German, Japanese, or other foreign citizens, is this not still wealth redistribution disguised as security? This is one of the main reasons that Washington, Adams, and Jefferson told us not to make those alliances in the first place and spent most of their presidencies trying to keep America out of foreign wars.
Liberals represent the latest government foray into the health care industry as a public service. They claim that this will provide coverage for the 45 million Americans who are not currently covered by some form of health insurance coverage. While this number is widely disputed by opponents as being grossly inflated, it still only represents 15% of the population, even if accurate. It then follows that 85% of the population already has some form of health care coverage. Therefore, how can it be argued that all U.S. citizens will benefit equally from this program?
The program will also provide subsidies to those who cannot afford to buy health insurance coverage on their own, which is mandated for everyone.[2] This aspect of the program is undisguised wealth redistribution, as taxes will be collected from all Americans and used to purchase services only for those who qualify due to their income. There is not even a scheme in place for this program to make it look as if the recipients are funding the benefits, as there is with Medicare or Social Security.
The history of federal government spending in America can be separated into three eras. The first was dominated by the ideas of Jefferson and classical liberals (now called “libertarians) and enshrined in the Declaration of Independence. “To secure these rights, governments are instituted among men.” That document unambiguously limited government’s role to security.
Thirteen years later, Alexander Hamilton and his conservatives succeeded in drastically expanding the role of government with the ratification of the U.S. Constitution. That document does not limit the government’s role to “securing rights,” but also to “promote the general welfare” and “form a more perfect union.” It grants the U.S. government the power to tax for the purposes of “promoting the general welfare.” This expansion of the role of government to include public services was then increasingly exploited by conservatives throughout the next century to institute wealth redistribution programs for the benefit of a wealthy elite, all disguised as public services or security. These included subsidies to corporations to build roads and canals, subsidies to railroads, and the establishment of a large, standing military force.[3]
Once the conservatives succeeded in establishing government as wealth redistributor to the wealthy, liberals abandoned the philosophy of government limited to security and instead began to advocate government as wealth redistributor to the poor and middle classes. This transformation can be traced roughly to the Woodrow Wilson administration, which combined elements of the conservative philosophy with modern liberal ideas of social justice. With the FDR administration, the transformation of liberal philosophy was complete. The liberals now sought to redistribute wealth to the poor and middle classes, while the conservatives continued to redistribute to the wealthy. These are the choices presented to Americans to this day.
There are large grassroots movements forming with one rallying point in common: they are all opposed to a federal government that spends $3.6 trillion dollars a year and shows no sign of slowing down. If the movements are to succeed, their constituents must clearly understand the three types of government spending and which one really costs the most. True security makes up so small a percentage of the federal budget that no income tax, national sales tax, or “value added tax” is necessary to fund it. Truly public services are also insignificant in terms of cost. Even the hapless postal service, for all of its inefficiency and waste, does not make up a significant portion of the federal budget.
No, it is not spending on security or public services that has bankrupted the federal government and destroyed the U.S. economy. The true cause of the problem has been the massive redistribution of wealth, perpetrated by conservatives for the benefit of the wealthy and by liberals for the benefit of everyone else. It is this type of government spending that must be recognized in all of its disguises and eliminated if the United States is to be saved.
[1] I use the term “libertarians” to describe those who advocate limited government. There are also many libertarians who advocate a completely stateless society, with even security functions provided by private firms in a free market.
[2] This is a gross violation of liberty and property rights as well.
[3] See Tom Dilorenzo’s excellent body of work on this, including Hamilton’s Curse, How Capitalism Saved America, and The Real Lincoln.
Check out Tom Mullen’s new book, A Return to Common Sense: Reawakening Liberty in the Inhabitants of America. Right Here!
Home
© Thomas Mullen 2010
Wednesday, June 2, 2010
What is Limited Government?
It is certainly encouraging to see a massive grassroots movement demanding that government cease its exponential growth. The Tea Party movement has already flexed its muscles in some high-profile elections, and there is widespread consensus that it will be a factor in the 2010 elections. For the first time in over a century, there is a critical mass of people actually demanding limited government.
However, there is one very important question that must be answered. What is limited government?
The answer supplied by Republicans for the past several decades has been “lower taxes, balanced budgets, and less government spending.” These are all wonderful ideas, although Republicans have hardly put them into practice when given the reins of power. Afterwards, their supporters have chastised them for “not being true conservatives,” although I’m not sure that the conservative movement has ever really been about “small government.” In any case, the fundamental assumption underlying conservative rhetoric is that the limits of government are quantitative. One is led to believe that if the government would only spend less on health care, education, stimulus packages, and other programs (excluding the military, of course), that freedom, peace, and prosperity would be just around the corner.
However, limited government has nothing to do with how much money government spends, but rather what government is allowed to spend money on. Restoring freedom and constitutional government depends not just upon cutting taxes, but redefining what services government can legitimately tax its citizens to underwrite. At one time in America, there was a clear and unambiguous answer to that question: taxation was limited to underwriting the defense of life, liberty, and property.
Politicians have to mince words in order to keep fragile constituencies together, so they rarely make unambiguous statements. When one faction among their supporters opposes a new government health care program, they cannot agree on principle and say that government should have no role in providing health care. This would alienate another faction among their supporters that are currently benefitting from an already well-established government health care program. So, the politician uses words like “sensible” and “market-driven” in order to attack his opponent’s program without acknowledging the principle that it violates whether administered “sensibly” or not.
Truly limited government can only mean one thing: enforcing the non-aggression principle, known to our founders as “the law of nature.” Jefferson said that no man has the right to commit aggression on the equal rights of another, and that is all from which the law ought to restrain him. As government is merely the societal use of force, its limits are no different than the limits on the use of force by an individual. An individual may use force only in defense against aggression and under no other circumstances. He may never initiate force. The words “sensible,” “lower,” and “smaller” do not apply. The limits on government are absolute.
The argument that needs to be made against the current health care program is that it violates the law of nature. By forcing some people to pay for health care services that are provided to others and by forcing everyone to purchase health insurance regardless of their consent, government exceeds the natural limits of its power. It initiates force and thereby commits aggression against every individual in society. The initiation of aggression results in the state of war. It is for this reason that the new health care program should be repealed. Once the argument is diverted to one simply about cost or the practical means to fund the program, the principle of limited government has been abandoned.
While this is a relatively simple answer, as are all answers to questions of justice, it is a double-edged sword for conservatives. Once the true limits of government power are acknowledged, then a large swath of the conservative platform is called into question. Most obviously, garnering support from older Americans in opposing “Obamacare” on the grounds that it will necessitate cuts in Medicare contradicts the principle of limited government. The flimsy distinction between the new health care program and the old has been that Medicare recipients have “paid into the system all of their lives.” While this is undoubtedly true, everyone knows that those payments all went to underwrite previous beneficiaries and not into some magical trust fund. Medicare is no less a redistribution program than Obamacare. It just benefits a different special interest group.
While support for Medicare may merely be a political necessity for conservative politicians, truly limited government is also at odds with what has become the bedrock of modern conservatism: support for the worldwide U.S. military establishment. This is not to say that limited government means no military establishment at all. However, it does mean that the government has no legitimate authority to maintain standing armies overseas, to fight wars to protect one nation from another, or to protect a foreign people from a despotic government. The natural limit of government military action is to defend its own citizens against aggression by a foreign nation. Beyond this, it is initiating force and exceeding that natural limit.
One might argue that every individual has a right and a duty to protect a fellow human being from aggression by a third party, and that therefore the U.S. government’s military interventions around the world are justified. This was the basis for the (second) argument for the Iraq war. Saddam Hussein was oppressing his people and the United States had a duty to protect them from him. However, no individual has a right to force someone else to defend a third party against aggression. Every American had the right to send money to support Hussein’s opponents or even to go and fight in a revolution to overthrow him. However, no American had the right to force his neighbor to do so. The natural limit on military spending is that which is necessary to protect those taxed to support it. Humanitarian aid in any form must be voluntary.
Liberals constantly use the term “fair share” when justifying the egregious taxation and redistribution system that the U.S. government has become. Of course, this begs the question, “What is my fair share of services that I don’t use and that I actively oppose?” The only rational answer to this question is “zero.” However, once you come to this inescapable conclusion, virtually all government social and economic programs must be eliminated, as they are all based upon taxing one person in order to provide benefits to another.
Limited government does require each individual to pay his fair share, which is the cost to protect his own life, liberty, and property and that of his dependents. It is limited to what is necessary to “secure these rights.” While everyone may not have an equal amount of property, everyone has equal rights and thus an equal stake in providing for their defense. An examination of the U.S. government’s budget reveals that the cost of providing this defense of individual rights is orders of magnitude less than what is spent now. A government operating within its natural limits would not require an income tax, a value added tax, or a “fair tax.” American history has already proven this.
While it may be justified in a theoretical sense, America’s massive redistribution state cannot be abolished with the stroke of a pen. Not even the staunchest libertarian really wants to see Social Security, Medicare, or public welfare turned off tomorrow, with the poor and elderly left to fend for themselves. However, to be committed to limited government means to be committed to working towards eliminating these programs, not reforming them. This may take generations to accomplish, but we must first at least acknowledge that they have to go.
What we can do right now is end our worldwide military empire. Unlike the social programs, this would not mean short-term hardship in exchange for long-term gain. Getting our soldiers out of the 130 countries that they are stationed in would provide an immediate benefit both to the United States and the rest of the world. Proponents of the empire would argue that a sudden withdrawal of our troops would “destabilize” the regions that they are stationed in, but this is absurd. The presence of troops does not provide stability. It inspires resentment and provokes the inhabitants to retaliate. Without a troop presence in the Middle East, the motivation for terrorism would quickly fade. It is much easier to recruit suicide bombers when you can show your recruits armed troops in their own neighborhood than it is trying to convince them to give their lives to stop women in some far off land from wearing mini-skirts. Does anyone really believe that this is why they want to kill us?
A little simple arithmetic will demonstrate that even eliminating all military spending would not allow us to pay for our welfare state. The total military budget is around $700 billion, while Social Security and Medicare alone are over $1 trillion, with Medicaid adding $400 billion more. This does not even take into consideration all of the smaller programs for housing, education, medical research, “infrastructure,” energy, agriculture – all of these programs violate the principle of limited government for the same reason that Obamacare does. Added together, the vast majority of non-military federal spending is some type of wealth redistribution. It would seem that there is no equitable way out.
The answer lies in revisiting the “fair share” idea. Unlike taxation, there is no such thing as a fair share of benefits derived from other people’s money. We must recognize that in order to undo the century of damage we have done to our society, some people are going to have to pay out more than they receive in benefits. We could certainly come up with a plan whereby people my age, in their mid-40’s, would only be guaranteed catastrophic coverage through Medicare and reduced payments from Social Security, both payable only with a demonstrated need rather than as an entitlement. This would allow new workers to get out of the system altogether and finally restore limited government and true social justice. Would it be fair? No. Neither is the status quo. However, it would lead to prosperity and justice for our children. The status quo will lead us to our destruction.
This is only one strategy and I am sure that smart people could come up with others. As the old saying goes, the first step in solving our problem is admitting that we have one. If we want limited government, we must recognize that it is far more than Obamacare or welfare for the poor that is violating the law of nature. Let us continue to oppose Obamacare, but let us also acknowledge the vast amount of work to do even after this new incursion into our liberty is vanquished.
Check out Tom Mullen’s new book, A Return to Common Sense: Reawakening Liberty in the Inhabitants of America. Right Here!
Home
© Thomas Mullen 2010
However, there is one very important question that must be answered. What is limited government?
The answer supplied by Republicans for the past several decades has been “lower taxes, balanced budgets, and less government spending.” These are all wonderful ideas, although Republicans have hardly put them into practice when given the reins of power. Afterwards, their supporters have chastised them for “not being true conservatives,” although I’m not sure that the conservative movement has ever really been about “small government.” In any case, the fundamental assumption underlying conservative rhetoric is that the limits of government are quantitative. One is led to believe that if the government would only spend less on health care, education, stimulus packages, and other programs (excluding the military, of course), that freedom, peace, and prosperity would be just around the corner.
However, limited government has nothing to do with how much money government spends, but rather what government is allowed to spend money on. Restoring freedom and constitutional government depends not just upon cutting taxes, but redefining what services government can legitimately tax its citizens to underwrite. At one time in America, there was a clear and unambiguous answer to that question: taxation was limited to underwriting the defense of life, liberty, and property.
Politicians have to mince words in order to keep fragile constituencies together, so they rarely make unambiguous statements. When one faction among their supporters opposes a new government health care program, they cannot agree on principle and say that government should have no role in providing health care. This would alienate another faction among their supporters that are currently benefitting from an already well-established government health care program. So, the politician uses words like “sensible” and “market-driven” in order to attack his opponent’s program without acknowledging the principle that it violates whether administered “sensibly” or not.
Truly limited government can only mean one thing: enforcing the non-aggression principle, known to our founders as “the law of nature.” Jefferson said that no man has the right to commit aggression on the equal rights of another, and that is all from which the law ought to restrain him. As government is merely the societal use of force, its limits are no different than the limits on the use of force by an individual. An individual may use force only in defense against aggression and under no other circumstances. He may never initiate force. The words “sensible,” “lower,” and “smaller” do not apply. The limits on government are absolute.
The argument that needs to be made against the current health care program is that it violates the law of nature. By forcing some people to pay for health care services that are provided to others and by forcing everyone to purchase health insurance regardless of their consent, government exceeds the natural limits of its power. It initiates force and thereby commits aggression against every individual in society. The initiation of aggression results in the state of war. It is for this reason that the new health care program should be repealed. Once the argument is diverted to one simply about cost or the practical means to fund the program, the principle of limited government has been abandoned.
While this is a relatively simple answer, as are all answers to questions of justice, it is a double-edged sword for conservatives. Once the true limits of government power are acknowledged, then a large swath of the conservative platform is called into question. Most obviously, garnering support from older Americans in opposing “Obamacare” on the grounds that it will necessitate cuts in Medicare contradicts the principle of limited government. The flimsy distinction between the new health care program and the old has been that Medicare recipients have “paid into the system all of their lives.” While this is undoubtedly true, everyone knows that those payments all went to underwrite previous beneficiaries and not into some magical trust fund. Medicare is no less a redistribution program than Obamacare. It just benefits a different special interest group.
While support for Medicare may merely be a political necessity for conservative politicians, truly limited government is also at odds with what has become the bedrock of modern conservatism: support for the worldwide U.S. military establishment. This is not to say that limited government means no military establishment at all. However, it does mean that the government has no legitimate authority to maintain standing armies overseas, to fight wars to protect one nation from another, or to protect a foreign people from a despotic government. The natural limit of government military action is to defend its own citizens against aggression by a foreign nation. Beyond this, it is initiating force and exceeding that natural limit.
One might argue that every individual has a right and a duty to protect a fellow human being from aggression by a third party, and that therefore the U.S. government’s military interventions around the world are justified. This was the basis for the (second) argument for the Iraq war. Saddam Hussein was oppressing his people and the United States had a duty to protect them from him. However, no individual has a right to force someone else to defend a third party against aggression. Every American had the right to send money to support Hussein’s opponents or even to go and fight in a revolution to overthrow him. However, no American had the right to force his neighbor to do so. The natural limit on military spending is that which is necessary to protect those taxed to support it. Humanitarian aid in any form must be voluntary.
Liberals constantly use the term “fair share” when justifying the egregious taxation and redistribution system that the U.S. government has become. Of course, this begs the question, “What is my fair share of services that I don’t use and that I actively oppose?” The only rational answer to this question is “zero.” However, once you come to this inescapable conclusion, virtually all government social and economic programs must be eliminated, as they are all based upon taxing one person in order to provide benefits to another.
Limited government does require each individual to pay his fair share, which is the cost to protect his own life, liberty, and property and that of his dependents. It is limited to what is necessary to “secure these rights.” While everyone may not have an equal amount of property, everyone has equal rights and thus an equal stake in providing for their defense. An examination of the U.S. government’s budget reveals that the cost of providing this defense of individual rights is orders of magnitude less than what is spent now. A government operating within its natural limits would not require an income tax, a value added tax, or a “fair tax.” American history has already proven this.
While it may be justified in a theoretical sense, America’s massive redistribution state cannot be abolished with the stroke of a pen. Not even the staunchest libertarian really wants to see Social Security, Medicare, or public welfare turned off tomorrow, with the poor and elderly left to fend for themselves. However, to be committed to limited government means to be committed to working towards eliminating these programs, not reforming them. This may take generations to accomplish, but we must first at least acknowledge that they have to go.
What we can do right now is end our worldwide military empire. Unlike the social programs, this would not mean short-term hardship in exchange for long-term gain. Getting our soldiers out of the 130 countries that they are stationed in would provide an immediate benefit both to the United States and the rest of the world. Proponents of the empire would argue that a sudden withdrawal of our troops would “destabilize” the regions that they are stationed in, but this is absurd. The presence of troops does not provide stability. It inspires resentment and provokes the inhabitants to retaliate. Without a troop presence in the Middle East, the motivation for terrorism would quickly fade. It is much easier to recruit suicide bombers when you can show your recruits armed troops in their own neighborhood than it is trying to convince them to give their lives to stop women in some far off land from wearing mini-skirts. Does anyone really believe that this is why they want to kill us?
A little simple arithmetic will demonstrate that even eliminating all military spending would not allow us to pay for our welfare state. The total military budget is around $700 billion, while Social Security and Medicare alone are over $1 trillion, with Medicaid adding $400 billion more. This does not even take into consideration all of the smaller programs for housing, education, medical research, “infrastructure,” energy, agriculture – all of these programs violate the principle of limited government for the same reason that Obamacare does. Added together, the vast majority of non-military federal spending is some type of wealth redistribution. It would seem that there is no equitable way out.
The answer lies in revisiting the “fair share” idea. Unlike taxation, there is no such thing as a fair share of benefits derived from other people’s money. We must recognize that in order to undo the century of damage we have done to our society, some people are going to have to pay out more than they receive in benefits. We could certainly come up with a plan whereby people my age, in their mid-40’s, would only be guaranteed catastrophic coverage through Medicare and reduced payments from Social Security, both payable only with a demonstrated need rather than as an entitlement. This would allow new workers to get out of the system altogether and finally restore limited government and true social justice. Would it be fair? No. Neither is the status quo. However, it would lead to prosperity and justice for our children. The status quo will lead us to our destruction.
This is only one strategy and I am sure that smart people could come up with others. As the old saying goes, the first step in solving our problem is admitting that we have one. If we want limited government, we must recognize that it is far more than Obamacare or welfare for the poor that is violating the law of nature. Let us continue to oppose Obamacare, but let us also acknowledge the vast amount of work to do even after this new incursion into our liberty is vanquished.
Check out Tom Mullen’s new book, A Return to Common Sense: Reawakening Liberty in the Inhabitants of America. Right Here!
Home
© Thomas Mullen 2010
Tuesday, May 18, 2010
The Fed Audit Goes the Way of the Tea Party
"Once you admit that the individual is merely a means to serve the ends of the higher entity called society or the nation, most of those features of totalitarianism which horrify us follow of necessity."
- F.A. Hayek, The Road to Serfdom (1944)
When Congressman Ron Paul proposed his bill to subject the Federal Reserve System to regular audits, it was no secret what his ultimate objective was. If there was any doubt, his subsequent book, End the Fed, eliminated it. Congressman Paul hoped to educate the public about just what the Federal Reserve does – transfer wealth. With regularly scheduled audits, average Americans would see that new money and credit created by the Fed in the form of loans makes its way quickly and consistently to Wall Street, defense contractors, and government agencies.
Meanwhile, people would slowly begin to catch on that this apparent act of magic was not without a cost; that in fact, they were bearing the cost themselves through the loss of their purchasing power due to inflation of the money supply. This could plausibly start a popular movement to do exactly what Paul has been calling for throughout his political career. The key to the strategy was to educate Americans on the principle at issue with the Federal Reserve.
The principle is each individual's right to keep his own property, which the Fed is completely antagonistic to. The Federal Reserve System is an instrument of theft. Even if managed flawlessly (which it never has been) by its government-appointed central planners, the Fed would still accomplish every one of its goals by taking property from some people and giving it to others. It is no less a wealth redistribution scheme than Medicaid, food stamps, or Social Security. The only difference is a cosmetic one. Instead of clumsily removing dollars from Person A’s bank account and depositing them into Person B’s, as Congress does through taxation and appropriation, the Fed operates with a more graceful subtlety. It allows Person A to keep his dollars while merely creating new ones for Person B. However, Person B’s new purchasing power has not been created. It has been stolen from Person A, whose dollars are now worth something less than they were before the new dollars were printed.
It is no mistake that a state-controlled central bank with an exclusive monopoly was one of Karl Marx’s ten planks of the Communist Manifesto. A system in which people are forced to use a state-sponsored currency, manipulated by a central bank to transfer wealth in support of the goals of the state at the expense of the individual is a completely communist, collectivist idea. No matter which monetary policy is pursued, the existence of monetary policy is anti-capitalist and anti-freedom.
Sadly, that central point has been largely obscured due to the varied ideologies of the people that make up the coalition that Congressman Paul has put together. Instead of an indictment of the ongoing theft that central bank monetary policy represents, the focus has shifted exclusively to the money and credit created during and after the financial crisis of 2008. The newly proposed one-time audit will show that the funds were directed towards Wall Street banking giants and foreign central banks. Both then and now, the cries of "but what about average Americans?" can be heard from populists of every political persuasion. It is no longer a question of whether or not we should steal, but rather how we should split up the loot.
It is important to remember that even if 100% of the money and credit in question was instead directed to average Americans in danger of mortgage foreclosure, it would still be stealing. The purchasing power in question would still have been taken from Person A in order to be redistributed to the troubled borrowers. Moreover, it would be just as economically destructive, as all wealth redistribution by government ultimately is. The only distinction would be that a different special interest group would be benefitting at the expense of the rights of those victimized to underwrite them.
This dearth of principle is pervasive in political protest movements in America today. There are no end of demagogues calling up the ghosts of early American heroes of liberty; some even wearing three-cornered hats for effect. The Tea Party is one example. Certainly it is laudable that its members oppose "Obamacare," but how many would show up for Tea Party rallies if opposition to Medicare was also part of the platform? In reality, the lion's share of support for the so-called Tea Party comes from Medicare beneficiaries who object not to government-provided health care, but to the program that they benefit from being cut to fund a program for other people. They also largely support the forced redistribution of wealth from individuals to military contractors and the government in support of the United States' worldwide military establishment, which they extol as if it weren't also a massive government program.
It is a sobering reality that any real understanding of liberty has been completely eradicated in the minds of most Americans today. Instead, we have become a collection of special interest groups, all competing with each other politically for other people's money. Our "progressive" education system has rendered most Americans completely incapable of conceiving that there is an alternative to a government-directed economy. When confronted with the bank bailouts of 2008, the universal, conditioned response was one of outrage that wealthy bankers were getting public funds and average American homeowners were not. The idea that it was a violation of the rights of those from whom the money was taken never entered into their minds.
Why would it? That principle had never been taught to them in school. It was not voiced in the media. No politician, conservative, liberal, or otherwise, articulated it at all. The closest thing to it was the "moral hazard" argument, that rewarding the people who caused the problem would only lead to further problems. However, this is a sound economic argument made from a collectivist perspective, based upon what might acheive the best aggregate results, rather than one based upon freedom or individual rights. That the economic analysis happens to be true in the case of the "moral hazard" argument only further obscures the fundamental principle that makes it true. One might conclude from this argument that central planning and wealth redistribution would be beneficial if the planning and redistribution were done more wisely. The moral hazard argument correctly points to a negative effect but distracts us from the underlying cause - the violation of individual rights. It is this underlying cause that is at the root of every societal problem facing America today.
All resistance to government wealth redistribution is a good thing, regardless of whether the motives of every protestor are completely "pure" as defined by political theorists. The one-time audit of the Fed will be helpful, even if it is motivated in large part by the politics of jealousy rather than principle. However, it is the job of everyone who believes in and yearns for freedom to point out early, often, and loudly that the central objection to the Fed should be that it steals in the first place, not to how it divides up the take. Once that distinction is clear in the minds of average Americans, it is a cure for virtually all of our afflictions of government.
Check out Tom Mullen’s new book, A Return to Common Sense: Reawakening Liberty in the Inhabitants of America. Right Here!
Home
© Thomas Mullen 2010
- F.A. Hayek, The Road to Serfdom (1944)
When Congressman Ron Paul proposed his bill to subject the Federal Reserve System to regular audits, it was no secret what his ultimate objective was. If there was any doubt, his subsequent book, End the Fed, eliminated it. Congressman Paul hoped to educate the public about just what the Federal Reserve does – transfer wealth. With regularly scheduled audits, average Americans would see that new money and credit created by the Fed in the form of loans makes its way quickly and consistently to Wall Street, defense contractors, and government agencies.
Meanwhile, people would slowly begin to catch on that this apparent act of magic was not without a cost; that in fact, they were bearing the cost themselves through the loss of their purchasing power due to inflation of the money supply. This could plausibly start a popular movement to do exactly what Paul has been calling for throughout his political career. The key to the strategy was to educate Americans on the principle at issue with the Federal Reserve.
The principle is each individual's right to keep his own property, which the Fed is completely antagonistic to. The Federal Reserve System is an instrument of theft. Even if managed flawlessly (which it never has been) by its government-appointed central planners, the Fed would still accomplish every one of its goals by taking property from some people and giving it to others. It is no less a wealth redistribution scheme than Medicaid, food stamps, or Social Security. The only difference is a cosmetic one. Instead of clumsily removing dollars from Person A’s bank account and depositing them into Person B’s, as Congress does through taxation and appropriation, the Fed operates with a more graceful subtlety. It allows Person A to keep his dollars while merely creating new ones for Person B. However, Person B’s new purchasing power has not been created. It has been stolen from Person A, whose dollars are now worth something less than they were before the new dollars were printed.
It is no mistake that a state-controlled central bank with an exclusive monopoly was one of Karl Marx’s ten planks of the Communist Manifesto. A system in which people are forced to use a state-sponsored currency, manipulated by a central bank to transfer wealth in support of the goals of the state at the expense of the individual is a completely communist, collectivist idea. No matter which monetary policy is pursued, the existence of monetary policy is anti-capitalist and anti-freedom.
Sadly, that central point has been largely obscured due to the varied ideologies of the people that make up the coalition that Congressman Paul has put together. Instead of an indictment of the ongoing theft that central bank monetary policy represents, the focus has shifted exclusively to the money and credit created during and after the financial crisis of 2008. The newly proposed one-time audit will show that the funds were directed towards Wall Street banking giants and foreign central banks. Both then and now, the cries of "but what about average Americans?" can be heard from populists of every political persuasion. It is no longer a question of whether or not we should steal, but rather how we should split up the loot.
It is important to remember that even if 100% of the money and credit in question was instead directed to average Americans in danger of mortgage foreclosure, it would still be stealing. The purchasing power in question would still have been taken from Person A in order to be redistributed to the troubled borrowers. Moreover, it would be just as economically destructive, as all wealth redistribution by government ultimately is. The only distinction would be that a different special interest group would be benefitting at the expense of the rights of those victimized to underwrite them.
This dearth of principle is pervasive in political protest movements in America today. There are no end of demagogues calling up the ghosts of early American heroes of liberty; some even wearing three-cornered hats for effect. The Tea Party is one example. Certainly it is laudable that its members oppose "Obamacare," but how many would show up for Tea Party rallies if opposition to Medicare was also part of the platform? In reality, the lion's share of support for the so-called Tea Party comes from Medicare beneficiaries who object not to government-provided health care, but to the program that they benefit from being cut to fund a program for other people. They also largely support the forced redistribution of wealth from individuals to military contractors and the government in support of the United States' worldwide military establishment, which they extol as if it weren't also a massive government program.
It is a sobering reality that any real understanding of liberty has been completely eradicated in the minds of most Americans today. Instead, we have become a collection of special interest groups, all competing with each other politically for other people's money. Our "progressive" education system has rendered most Americans completely incapable of conceiving that there is an alternative to a government-directed economy. When confronted with the bank bailouts of 2008, the universal, conditioned response was one of outrage that wealthy bankers were getting public funds and average American homeowners were not. The idea that it was a violation of the rights of those from whom the money was taken never entered into their minds.
Why would it? That principle had never been taught to them in school. It was not voiced in the media. No politician, conservative, liberal, or otherwise, articulated it at all. The closest thing to it was the "moral hazard" argument, that rewarding the people who caused the problem would only lead to further problems. However, this is a sound economic argument made from a collectivist perspective, based upon what might acheive the best aggregate results, rather than one based upon freedom or individual rights. That the economic analysis happens to be true in the case of the "moral hazard" argument only further obscures the fundamental principle that makes it true. One might conclude from this argument that central planning and wealth redistribution would be beneficial if the planning and redistribution were done more wisely. The moral hazard argument correctly points to a negative effect but distracts us from the underlying cause - the violation of individual rights. It is this underlying cause that is at the root of every societal problem facing America today.
All resistance to government wealth redistribution is a good thing, regardless of whether the motives of every protestor are completely "pure" as defined by political theorists. The one-time audit of the Fed will be helpful, even if it is motivated in large part by the politics of jealousy rather than principle. However, it is the job of everyone who believes in and yearns for freedom to point out early, often, and loudly that the central objection to the Fed should be that it steals in the first place, not to how it divides up the take. Once that distinction is clear in the minds of average Americans, it is a cure for virtually all of our afflictions of government.
Check out Tom Mullen’s new book, A Return to Common Sense: Reawakening Liberty in the Inhabitants of America. Right Here!
Home
© Thomas Mullen 2010
Monday, May 3, 2010
Fighting For Our Freedom?
To even question the active wars in Iraq and Afghanistan or the now-institutionalized worldwide military empire being maintained by the U.S. government draws tourrettes-like attacks from all who identify themselves as conservatives. Not only are critics of U.S. foreign policy accused of being unpatriotic or even traitorous, but conservatives routinely go so far as to label them ungrateful. The argument goes that critics of the empire enjoy the freedom of speech with which they criticize the government only because the military has fought to defend that freedom. Therefore, those who oppose the present wars or our military presence around the world should be ashamed of themselves for "biting the hand that feeds them."
Of course, this argument rests upon an assumption. The assumption is that if the U.S. had not fought any of its past or current wars or had not maintained its military presence around the world, that we would have lost some or all of our freedom. This fundamental assumption is never questioned (or I suspect even considered) by supporters of U.S. foreign policy, despite the fact that it completely disintegrates under even superficial examination.
Let's give conservatives WWII for now, Pat Buchanan's interesting arguments notwithstanding. Is there any credible argument to be made regarding any of the major wars that the United States has waged since 1945 wherein one could conclude that not fighting it would have resulted in a loss of freedom for Americans? What chain of events can any reasonable person construct whereby U.S. citizens would have lost their freedom if not for the invasions of Korea, Viet Nam, Afghanistan, or Iraq?
The first two post-WWII wars were justified for ostensibly the same reason. We supposedly had to prevent the communist governments of North Korea and North Viet Nam from taking over South Korea and South Viet Nam, respectively, because if we did not, communism would spread like a virus throughout all of Asia and eventually the world. This was the so-called "Domino Theory." While anyone with a globe that is more or less correctly scaled can see through the ridiculousness of the argument in terms of Korea, one need not even resort to conjecture to refute this argument regarding the Viet Nam war. History has shown in its case that the domino theory was completely untrue.
North Viet Nam did take over South Viet Nam. The U.S. pulled out of Viet Nam in defeat and the very outcome that the U.S. had spent 14 years, the lives of 50,000 U.S. soldiers, and hundreds of billions of dollars attempting to prevent came to pass. The communists took over all of Viet Nam.
Did American citizens lose any freedom as a result? No. In fact, as young men were no longer conscripted into the army to participate in this futile exercise, anti-war protestors were no longer being suppressed, and a huge chunk of government spending was eliminated (in theory, anyway), Americans were actually far freer once the war was lost than they were while it was being fought.
There is no argument to be made, no matter how far logic is stretched or how much disbelief is suspended, that Americans lost any freedom as a result of the loss of the Viet Nam war. Therefore, the assertion that the troops fighting it were "fighting for our freedom" must be false.
Moreover, communism didn't spread like wildfire beyond Viet Nam. After approximately 12 years, it imploded there just as it did in China at about the same time. In the mid-1980's, the Vietnamese began transitioning to a market economy, just as China did. Today, both countries are arguably as capitalist as the United States, which unfortunately isn't saying much.
As for Korea, the most generous conclusion one could come to regarding the "fighting for our freedom" theory is that the jury is still out - sixty years later. U.S. troops are still stationed at the 38th parallel, supposedly keeping the communist barbarians from taking over South Korea as a stepping stone to the rest of the world. Here speculation is certainly necessary, but not random speculation. While it certainly would not be a postive outcome for South Koreans, can anyone seriously argue that if North Korea took over South Korea tomorrow that American freedom would be lost or even noticeably diminished? How?
Fast forward 25 years and consider the present war in Iraq. That war was started based upon on the assertion that Iraq possessed weapons of mass destruction that it was preparing to use against its neighbors to destablize the Middle East. Let's pretend for a moment that this assertion was not proven completely false. Exactly how would another war in the Middle East, which would presumably resemble Iraq's ten-year war with Iran, jeapordize the freedom of American citizens? What cause and effect relationship could possibly be established between Middle Eastern politics and American freedom? This question has to be answered before the "fighting for our freedom" assertion can be proven.
There is only one answer: none. The Middle East has been unstable for thousands of years, and freedom has come and gone for countless western nations regardless of political devleopments in the Middle East, with the exception of the actual invasions of Western Europe by Muslim nations in the Middle Ages. Those were ultimately defeated. Certainly today the Middle Eastern nations pose no military threat to Europe, much less the United States. To assert that Afghanistan could possibly threaten American freedom borders upon the absurd.
Putting the active wars aside for the moment, any objective observer would be even harder pressed to conclude that the U.S. military presence in the other 135 countries in which the U.S. maintains troops is contributing anything toward American freedom. Can anyone seriously argue that if the U.S. government were to remove the 56,000 troops presently stationed in Germany that American freedom would somehow be jeopardized? How? The same question applies to the 33,000 troops in Japan, the 10,000 in Italy, and so on. There is simply no reasonable argument to be made that Americans would be one iota less free if all of these troops were to come home.
Warfare conducted for any purpose other than defending the borders of the nation does not make Americans freer. On the contrary, it destroys freedom without exception. More of Americans' property is confiscated in taxes to support warfare. Freedom of speech is curtailed. Opponents of the war are rounded up and imprisoned or exiled. Privacy is destroyed by the government in search of enemy spies or saboteurs. These destructions of freedom have occurred during every war that the United States has ever fought, including all of the wars of the past 60 years.
Furthermore, America's vast military presence in countries where no active war is being fought also results in less freedom for Americans. Regardless of the public relations efforts of the U.S. military establishment, foreign troops are universally regarded the same way by the citizens of countries where they are stationed: they are resented. This resentment breeds terrorism in some countries and other forms of protest in others. Americans traveling abroad are much less free in what they can do, where they can safely go, and where they are welcome because of resentment born of U.S. troops stationed in foreign nations.
As Randolph Bourne famously observed, "war is the health of the state," and the state is the enemy of freedom. America was founded upon the idea that the state was "at best a necessary evil" and that there was an inverse relationship between war and liberty. James Madison wrote that if "tyranny and oppression come to this land, it will be in the guise of fighting a foreign enemy. No Nation could preserve its freedom in the midst of continual warfare." History has proven him correct. In the post-WWII era, the wars have become more numerous and longer and government has grown exponentionally. With the expansion of war and the state, freedom has diminished.
This is not an argument for pacifisim or against the actual soldiers. We live in a world with other nations that pose a threat to our lives and liberty and there must be some means to defend ourselves against an aggressor nation. Whatever their reasons for joining, the men and women who serve in our miltary do make a huge sacrifice. The overwhelming majority of them serve honorably both on the battlefield and off. They join believing that they are defending our nation and freedom and the blame for our foreign policy does not rest with them. A military force cannot function with each of its members questioning every order before carrying it out. They have an obligation to disobey an order which is obviously immoral, such as shooting a non-combatant or torturing a prisoner, but beyond situations like those they must carry out their orders without question. They place a sacred trust in their civilian leaders to deploy them only when it is absolutely necessary.
It is those civilian leaders who have violated that trust over and over again for the past sixty years. It is they who have not supported our troops, spending their lives like so much loose change in wars that have been fought for everything but freedom. They have sent them to countries that pose no military threat to the United States whatsoever and then tied their hands with rules of engagement that, whether intentionally or not, have prolonged those wars for years and even decades. There can be no greater insult to the honor of brave soldiers than to exhort them to give their lives defending freedom when in fact freedom is not at issue in the war.
The United States government is broke. It has accumulated a debt that can never legitimately be repaid. While entitlement programs are ultimately far more economically destructive, costing over twice as much as U.S. military adventures, the $700 billion annual military budget is the next largest contributor to the deficits. Of that $700 billion, less than $200 billion is spent fighting the two current active wars. An active war should represent the high water mark of government spending, yet most of our military expenditures go to support standing armies in places like Germany and Japan.
It is evident that the military could be downsized by orders of magnitude without jeapordizing U.S. security in the least. In fact, the U.S. would be far more secure without troops in 135 countries inspiring resentment against Americans and fighting wars against nations that could not launch a military attack against the United States in anyone's wildest dreams. Most importantly, the lives of hundreds of thousands of our troops, their opponents, and the innocent civilians in the countries that they fight in would be spared.
The gargantuan U.S. military establishment survives because American soldiers and civilians continue to accept the assertion that it is necessary to preserve our freedom. This assertion is at best a destructive delusion and at worst an insidious lie, told by people who care nothing for our troops or the civilians they defend. It is time to stop believing the lie and to truly support our troops. Bring them home.
Check out Tom Mullen’s new book, A Return to Common Sense: Reawakening Liberty in the Inhabitants of America. Right Here!
Home
© Thomas Mullen 2010
Of course, this argument rests upon an assumption. The assumption is that if the U.S. had not fought any of its past or current wars or had not maintained its military presence around the world, that we would have lost some or all of our freedom. This fundamental assumption is never questioned (or I suspect even considered) by supporters of U.S. foreign policy, despite the fact that it completely disintegrates under even superficial examination.
Let's give conservatives WWII for now, Pat Buchanan's interesting arguments notwithstanding. Is there any credible argument to be made regarding any of the major wars that the United States has waged since 1945 wherein one could conclude that not fighting it would have resulted in a loss of freedom for Americans? What chain of events can any reasonable person construct whereby U.S. citizens would have lost their freedom if not for the invasions of Korea, Viet Nam, Afghanistan, or Iraq?
The first two post-WWII wars were justified for ostensibly the same reason. We supposedly had to prevent the communist governments of North Korea and North Viet Nam from taking over South Korea and South Viet Nam, respectively, because if we did not, communism would spread like a virus throughout all of Asia and eventually the world. This was the so-called "Domino Theory." While anyone with a globe that is more or less correctly scaled can see through the ridiculousness of the argument in terms of Korea, one need not even resort to conjecture to refute this argument regarding the Viet Nam war. History has shown in its case that the domino theory was completely untrue.
North Viet Nam did take over South Viet Nam. The U.S. pulled out of Viet Nam in defeat and the very outcome that the U.S. had spent 14 years, the lives of 50,000 U.S. soldiers, and hundreds of billions of dollars attempting to prevent came to pass. The communists took over all of Viet Nam.
Did American citizens lose any freedom as a result? No. In fact, as young men were no longer conscripted into the army to participate in this futile exercise, anti-war protestors were no longer being suppressed, and a huge chunk of government spending was eliminated (in theory, anyway), Americans were actually far freer once the war was lost than they were while it was being fought.
There is no argument to be made, no matter how far logic is stretched or how much disbelief is suspended, that Americans lost any freedom as a result of the loss of the Viet Nam war. Therefore, the assertion that the troops fighting it were "fighting for our freedom" must be false.
Moreover, communism didn't spread like wildfire beyond Viet Nam. After approximately 12 years, it imploded there just as it did in China at about the same time. In the mid-1980's, the Vietnamese began transitioning to a market economy, just as China did. Today, both countries are arguably as capitalist as the United States, which unfortunately isn't saying much.
As for Korea, the most generous conclusion one could come to regarding the "fighting for our freedom" theory is that the jury is still out - sixty years later. U.S. troops are still stationed at the 38th parallel, supposedly keeping the communist barbarians from taking over South Korea as a stepping stone to the rest of the world. Here speculation is certainly necessary, but not random speculation. While it certainly would not be a postive outcome for South Koreans, can anyone seriously argue that if North Korea took over South Korea tomorrow that American freedom would be lost or even noticeably diminished? How?
Fast forward 25 years and consider the present war in Iraq. That war was started based upon on the assertion that Iraq possessed weapons of mass destruction that it was preparing to use against its neighbors to destablize the Middle East. Let's pretend for a moment that this assertion was not proven completely false. Exactly how would another war in the Middle East, which would presumably resemble Iraq's ten-year war with Iran, jeapordize the freedom of American citizens? What cause and effect relationship could possibly be established between Middle Eastern politics and American freedom? This question has to be answered before the "fighting for our freedom" assertion can be proven.
There is only one answer: none. The Middle East has been unstable for thousands of years, and freedom has come and gone for countless western nations regardless of political devleopments in the Middle East, with the exception of the actual invasions of Western Europe by Muslim nations in the Middle Ages. Those were ultimately defeated. Certainly today the Middle Eastern nations pose no military threat to Europe, much less the United States. To assert that Afghanistan could possibly threaten American freedom borders upon the absurd.
Putting the active wars aside for the moment, any objective observer would be even harder pressed to conclude that the U.S. military presence in the other 135 countries in which the U.S. maintains troops is contributing anything toward American freedom. Can anyone seriously argue that if the U.S. government were to remove the 56,000 troops presently stationed in Germany that American freedom would somehow be jeopardized? How? The same question applies to the 33,000 troops in Japan, the 10,000 in Italy, and so on. There is simply no reasonable argument to be made that Americans would be one iota less free if all of these troops were to come home.
Warfare conducted for any purpose other than defending the borders of the nation does not make Americans freer. On the contrary, it destroys freedom without exception. More of Americans' property is confiscated in taxes to support warfare. Freedom of speech is curtailed. Opponents of the war are rounded up and imprisoned or exiled. Privacy is destroyed by the government in search of enemy spies or saboteurs. These destructions of freedom have occurred during every war that the United States has ever fought, including all of the wars of the past 60 years.
Furthermore, America's vast military presence in countries where no active war is being fought also results in less freedom for Americans. Regardless of the public relations efforts of the U.S. military establishment, foreign troops are universally regarded the same way by the citizens of countries where they are stationed: they are resented. This resentment breeds terrorism in some countries and other forms of protest in others. Americans traveling abroad are much less free in what they can do, where they can safely go, and where they are welcome because of resentment born of U.S. troops stationed in foreign nations.
As Randolph Bourne famously observed, "war is the health of the state," and the state is the enemy of freedom. America was founded upon the idea that the state was "at best a necessary evil" and that there was an inverse relationship between war and liberty. James Madison wrote that if "tyranny and oppression come to this land, it will be in the guise of fighting a foreign enemy. No Nation could preserve its freedom in the midst of continual warfare." History has proven him correct. In the post-WWII era, the wars have become more numerous and longer and government has grown exponentionally. With the expansion of war and the state, freedom has diminished.
This is not an argument for pacifisim or against the actual soldiers. We live in a world with other nations that pose a threat to our lives and liberty and there must be some means to defend ourselves against an aggressor nation. Whatever their reasons for joining, the men and women who serve in our miltary do make a huge sacrifice. The overwhelming majority of them serve honorably both on the battlefield and off. They join believing that they are defending our nation and freedom and the blame for our foreign policy does not rest with them. A military force cannot function with each of its members questioning every order before carrying it out. They have an obligation to disobey an order which is obviously immoral, such as shooting a non-combatant or torturing a prisoner, but beyond situations like those they must carry out their orders without question. They place a sacred trust in their civilian leaders to deploy them only when it is absolutely necessary.
It is those civilian leaders who have violated that trust over and over again for the past sixty years. It is they who have not supported our troops, spending their lives like so much loose change in wars that have been fought for everything but freedom. They have sent them to countries that pose no military threat to the United States whatsoever and then tied their hands with rules of engagement that, whether intentionally or not, have prolonged those wars for years and even decades. There can be no greater insult to the honor of brave soldiers than to exhort them to give their lives defending freedom when in fact freedom is not at issue in the war.
The United States government is broke. It has accumulated a debt that can never legitimately be repaid. While entitlement programs are ultimately far more economically destructive, costing over twice as much as U.S. military adventures, the $700 billion annual military budget is the next largest contributor to the deficits. Of that $700 billion, less than $200 billion is spent fighting the two current active wars. An active war should represent the high water mark of government spending, yet most of our military expenditures go to support standing armies in places like Germany and Japan.
It is evident that the military could be downsized by orders of magnitude without jeapordizing U.S. security in the least. In fact, the U.S. would be far more secure without troops in 135 countries inspiring resentment against Americans and fighting wars against nations that could not launch a military attack against the United States in anyone's wildest dreams. Most importantly, the lives of hundreds of thousands of our troops, their opponents, and the innocent civilians in the countries that they fight in would be spared.
The gargantuan U.S. military establishment survives because American soldiers and civilians continue to accept the assertion that it is necessary to preserve our freedom. This assertion is at best a destructive delusion and at worst an insidious lie, told by people who care nothing for our troops or the civilians they defend. It is time to stop believing the lie and to truly support our troops. Bring them home.
Check out Tom Mullen’s new book, A Return to Common Sense: Reawakening Liberty in the Inhabitants of America. Right Here!
Home
© Thomas Mullen 2010
Subscribe to:
Posts (Atom)
