Archive for November, 2008

Regulation

Sunday, November 23rd, 2008

Dear Reader,

It seems to me that the Elite are building a new societal myth… That Regulation is always good.

Regulation can in deed be good. When it serves to control the actions of overly powerful industrialists from visiting on us some negative externality. Take Banks for example. A bank will take huge risks in a boom time. Then when times get tough the bank finds itself overextended. Putting the assets of it’s investors and more importantly it’s depositors at risk. This in turn lengthens and deepens a recession. Or an industrialist who buys a network such as a railroad, then destroys it to eliminate competition, and charges monopoly prices. Examples go on and on.

However regulation is mostly bad. Regulation is a tool in the tool kit of the Elite. Regulation is mostly used to distort the market. One thing we always have to keep in mind is that no one thinks he or she is getting a fair deal. We all complain that prices are too high but the price we get for our output is too low. (Even the lawyer who is getting paid $200.00 an hour to eat a free meal). So the Elite use regulation to change the outcome of the market to favor their cronies. The Elite regulate to build and maintain their power… an extremely corrupt practice.

This is particularly bad. As we at the International Capitalist Party keep reiterating, when the common people see the Elite not only being corrupt but also getting away with it, the common people feel no compunction to follow the law themselves. Why would we? When the Elite are breaking every law put in place to limit their power with immunity, we feel we had better get what we can while we can, else we will be in the cold. While the corrupt will be warm.

Another negative use of regulation is to disable your political opponent’s voice. It has always been in the nature of tyranny to stifle the voice of people who disagree. So if you want to know which political faction has the most tyrannical tendencies listen to the rhetoric of the factions. The faction that seeks to stifle the voice of the others through the use of regulation and with ad homonym attacks to redirect the discussion to the person making the point instead of addressing the point. The faction that engages in this behavior is the faction we must be most afraid of. Not to say we shouldn’t fear the others too…

Like everything in this universe… A little goes a long way. Overuse of anything is bad. Even things that are good. Like for example pears. Pears are good for you. They have roughage, vitamins, and minerals. One a day would be a good regimen for almost anyone. But a bushel of pears a day would lead to many negative side effects. The poor person wouldn’t be able to get far from the bathroom for one thing. The point is, that goods, like regulation, should be done in proportion and thoughtfully, but most importantly not too much.

So, if the Elite get the new societal myth believed, they will have a powerful tool in their toolkit of oppression…

Independence and the Elite

Thursday, November 20th, 2008

Dear Reader,

It seems to me that almost everyone would want to be independent. Free from government intrusion into their lives.

History shows that no one is immune from the vulgarities of fortune. (As epitomized in the Solon/Croesus story related elsewhere in this website). If we are subject to having anything we have taken violently from us the only thing we can be said to really have is ourselves. Where was the first place an army intruding into a city, in the city States period, did an invading army go? To the towers built by the rich, to elevate themselves and keep safe their gold, from the people. They knew where the gold was. An army can resort to tactics to enter a tower that a mob cannot. Forcefully assuring our premise, (that the only thing we can be said to really have is ourselves).

By ourselves I mean to say all that we are. Our lives can be taken at any moment by misfortune, sickness, age or violence, but, who we are and what we think, but not what we do, is out of the reach of the Elite. I should think the average person would want to be as far from the influence of the Elite to compel action as possible. The wiser person would want their children to be free from the Elite’s indoctrination.

The Nazi’s took children from their parents to minimize the possible bad influence of them, indoctrinated them, and turned them into the Hitler Youth. It was all done very logically. Beware of the Elite’s logic when it comes to the interests of the children. Our children are nothing but tools to them. The reason they are the Elite is that they are sociopaths.

Once the door has been opened it cannot be shut. As the Elite gain power it cannot be taken back… without the use of violence. Seldom is there a bloodless coup. So I would think that everyone (who is not a member of the Elite) would want to be as independent from government as possible. But I guess I’m wrong… Judging by the last two elections in the USA.

More On The Bailout

Saturday, November 15th, 2008

Dear Reader,

It seems to me that that we have paid off the corrupt cronies of the government, and low and behold, it didn’t fix the economy. The Banks, still, are not lending. Now we hear that consumer credit is drying up. I hear the genius that is spending our money claims he is doing a bang up job.

The problem is still the reticence of banks to loan money when they don’t know the ground on which they stand has stopped moving. Unless they are lending someone else’s money. Had the treasury been given the money to buy new loans the credit lines wouldn’t have been locked up. Banks would have been happy to lend our money back to us. (Lend government money to the people and businesses).

As yet the government of the USA has done nothing but destabilize the markets. First with regulation now with telegraphed punches. The government should not be buying banks. That is a way certain to stifle economic growth.

Government is nothing but bureaucracy, in banking, it would reach it’s culmination. Imagine the friction to the economy if the people in charge of the money supply were paid hourly, with his paper clips counted but with no accountability to the public. What should take hours or minuets will stretch to days or months. Our economy would grind to a halt. Or the market would find a way around the bottleneck. Regardless the friction would lower the lot of generations.

I have finally heard someone else call for an investigation into the government’s involvement in the financial mess. I called for a special prosecutor to look into the governments duplicity in the way of; regulation that led to this outcome, the role of the oversight committee in failing to recognize the situation and take effective action to stem the problem before it exploded in our faces, Investigate the Executives role in policing the markets, Investigate links to and from the regulators to those that are regulated and investigate why didn’t Freddy Mac and Fannie May and the department that oversees them come clean sooner and with a plan to fix the problem? Hopefully more people will start calling for an impartial look into the role of the government in this fiasco.

Once again, the government should stop propping up unstable institutions (although it is too late), stop “bailing out” companies, and start buying newly originated loans (presumably, to those companies that claim to need a “bail out”). Buying newly originated loans at the market rate in competition with the market would stimulate the market to compete for the business. Instead of focusing inward and destroying their nerve it would strengthen the industry and invigorate it to beat the government.

Unfortunately money that should be used to keep the “general glut” from becoming a depression is being given to the corrupt people who visited this mess on us in the first place.

Congratulations President Elect Obama

Wednesday, November 5th, 2008

Dear Reader,

It seems to me that we have entered into a new age. The synchronistic events that have witnessed are historic. The International Capitalist Party welcomes the fact that a man of African descent has entered into the halls of power in the United States. President Elect Obama now has the most difficult presidency of any man to date, save one.

With his party in such total control of both the Senate and the House he will be tempted by the Devil himself. The Ruling Party has the ability to call a constitutional convention. With only a few members of the Minor Party’s defecting to the Ruling Party’s Cause. That is how much power the Ruling Party has at this time.

The only other time this much power was given to one Party, at the beginning of a recession, our grandparents and great grandparents experienced the Great Depression, culminating in the Second World War. The similarities are amazing.

We are at the beginning of a recession, caused in part, by a disruption in the Banking Sector. We have a recently beaten enemy..? We have a historic President. The “unbiased” media is largely on the side of the Party in power. And Power is focused in the hands of a few individuals with no one else having any real constitutional power to check it.

President elect Obama will have to try to reign in his temptations to change what has worked for two hundred years. Else he risks things going wildly astray. (As they always have… historically). Innovations in government should be well thought out. But more importantly they must stand the test of generations.

An idea will have real merit if it can stand the test of being believed in for three or more generations. If an idea has a life of one generation, and only a few of them believe it, it cannot be said to be of real merit. However if an idea can stand the test, of a majority, of three or more generations believing in the idea, the idea in question is clearly of merit and should be put into use… prudently.

To date the best means to this end is a weak government. A strong government can implement any whim it sees fit to thrust on society. Innovation after innovation. Chaos that freezes up markets. A blanket of snow under which nothing can grow. The snow must melt before spring can come. The innovations are the snow. The craziest of which must be rolled back. Then the shock must be let to set in. The market will adjust but it needs time for the thaw.

When government is weak, it must have the majority of the people, for an extended period, to make innovations. When this is the case, the innovations are planned for in advance and the market can adapt before the innovation is implemented. The markets are not disrupted and the economy continues to grow.

President Elect Obama will be at the helm of the most powerful government in three generations. Lets pray he takes the prudent course of action and history is not repeated…