Archive for October, 2012

The Scandalous Obama Administration

Monday, October 29th, 2012

Dear Friends,

It seems to me, the Obama administration is the most overtly scandal ridden Presidency in my generation, but at the same time, the least overseen. Maybe the two go hand in hand. Perhaps having no oversight is a means to corruption. Another possibility is that, Obama gets no oversight because the people charged with oversight, fear him, or what they would see if they looked. It often happens that people are made immobile by terror. If the people who are tasked with guarding the public weal, are afraid of Obama or what they would see if they looked, then how much more important does that make it, to keep this President honest, or at least prove to the public he is not corrupt. Either way, President Obama is the first President since Jimmy Carter who hasn’t had to face a Special Prosecutor. With the astounding scandals Obama and his administration have been embroiled in during his Presidency, it defies logic, that none would ever be asked for, let alone appointed. This is dangerous to our republic. The very foundation of our system of government is based on checks and balances, to have an executive who is above oversight, and allowed to rule by caveat, (in the case of Obama, they call it Executive Order), is deadly to our liberty.

The scandals have been as many as they are varied under Obama. His administration showed it’s racist mindset by dismissing the Black Panthers case. You remember, the Black Panthers dressed up in military fatigues, with guns, on video, intimidating people at the voting booth. Yes… that minor overt voter intimidation case. The prosecutors on the case were almost ready to go to trial but Holder dismissed the case. Many believe it was because they were African Americans… including the prosecutors who resigned from the “Justice” Department over it.

Maybe the most egregiously criminal case, (Benghazi-gate isn’t fully matured yet), is Fast and Furious. This started under George Bush as a means to find where illegally purchased guns were going. Under Bush no guns actually got to Mexico… Bush’s administration scooped them up, before they disappeared. Obama’s administration changed the tactic however, letting thousands of small arms, walk into the darkness of Mexican drug cartels, where those guns were used to murder thousands of Mexican police, citizens and children, at least one American, and probably more. Meanwhile, Obama went on a gun vilification tour, blaming the gun violence in Mexico on the Right to keep and bear arms. As it turns out… it was Obama. Using Executive Privilege, to protect information about Fast and Furious from Congress, proves that Obama was in on it, else the use of Executive Privilege is corrupt… The American media finds it tedious to do their job, so it was Univision that informed us, Mexican drug cartels weren’t the only beneficiaries of the US government’s small arms trafficking program. The US government, under Obama, sent guns to militarized terrorist groups all over South America. None of which seek free markets and liberty for their people.

During this campaign season President Obama is fluttering hither thither and yon. At every stop it seems, he leaves a huge, unpaid bill, for the local municipalities. No other President has heaped such large costs for their visits on the local people. But wherever Obama goes there is a municipality the asks for recompense for the costs associated with having a President make a campaign stop. All over the country, if you look, there are stories like this. A few million here and a few million there, add up to a great deal of money around the nation, as a subsidy to Obama’s reelection campaign. If we had a truly unbiased media they would compile a few of these stories as a headliner…

Benghazi-gate is the most callus and potentially, the most outright corrupt, of them all. This scandal gets worse by the day. New data about the Obama administration having real time information, the overt lies, they ordered people to stand down and not go assist, they had military assets flying above the battle and still did nothing, the coverup itself, and the total apathy about the story by the unbiased press. Benghazi-gate may be a far bigger scandal than the rest. Yet, the investigator, is an Islamofascist, that Obama has assigned to the job! No calls, as of yet, for a Special prosecutor… And there won’t be.

This administration has gotten away with some of the most egregious acts against the public’s interest that I have seen in my lifetime. Fast and Furious dwarfs Iran-Contra by orders of magnitude. Benghazi-gate makes Watergate look like a kid picking his nose against a serial killer. This President lives in an opaque bubble. He does what he wants, writes Executive Orders like Marx wrote books, and uses the most corrupt means to his ends. This guy, who not only studied Saul Alinsky but taught Alinsky’s philosophy, is offended if anyone questions his motivation or actions, while he impugns everyone else’s. Clearly, Obama is the most overtly corrupt President in my lifetime… and the least investigated. It really says something about our political establishment… doesn’t it?


John Pepin

Revolution in Syria

Thursday, October 25th, 2012

Dear Friends,

It seems to me, if we really have made up our collective minds, that we want to participate in the Syrian revolution, we must protect our interests and the interests of humanity. In the prior three engagements we took part in, we did nothing to guide where our help went, except to give weapons to, as it turns out, the very people who raped and murdered our ambassador to Libya. The Government in Egypt is the worst possible case scenario, and our abysmal failure to back the Iranian people in their bid for liberty, has empowered the enemies of mankind’s freedom, and weakened those of human hearted people. In the case of Syria we could help but only if we use a tiny bit of common sense. To help the enemies of liberty, usurp power another country, would be stupid… helping three was plenty.

Apparently the Obama administration was giving weapons to the worst element of the Libyan revolution. On September 11, 2012 the terrorists, it seems, waited for the Turkish ambassador to finish dinner with the American ambassador, get safely away, then they launched an assault on the American compound, culminating in the seizure of our ambassador, his subsequent sodomizing and murder… by the people we were supplying weapons, and with those very weapons! Clearly, the Obama administration didn’t use safe gun practices. If the gun is loaded, you let them know the gun is loaded… More importantly, you know for certain that they are in fact a friend and will not turn that gun on you! Obviously we didn’t protect the interests of the US in the Libyan revolution… Or use common sense.

Egypt went off the rails almost as soon as Hosni left office. Christians were run down by armored personnel carriers during a protest. (That might have been a clue that this may go bad, as was the celebratory rape of Lara Logan in Tahrir square). Did Obama step in with a plan, to help our ally move from a despot, to some form of republican liberal government? No he didn’t. Instead, he backed the Muslim brotherhood’s agenda, to have elections as soon as possible. They, being the only fully prepared political party, won elections handily from ill prepared and under funded, more libertarian options. The result was as predictable as snow in winter. Now, we have an Islamofascists regime in control in Egypt, that holds the “Peace Treaty” with Israel hostage, if we don’t fund their military buildup to invade Israel, they will invade Israel. In what world does that make even a tiny bit of sense? That we would pay billions to keep evil people… who have sworn to their god, that they will overthrow our way of life and install their theocratic law, the World over… on friendly terms?

Iran is on the cusp of a deliverable nuclear warhead. We had a golden opportunity to back a home grown revolution against the Islamofascist regime there. Instead of taking advantage of this Godsend the Obama administration turned his back on the protesters. Even to the point of, allowing Iranians in Europe and the US, to be bullied by the Iranian regime from speaking out. Iranian freedom fighters were silenced by the Islamofascist despots oppressing Iran, and Obama did nothing, he said, nothing, and he partied on like it was 1984.

The Syrian Rebels are terrorizing the Syrian Christians. The Christians are being used as human shields, the dead bodies of the “human shields” are then presented to the unbiased media, as proof of Assad’s brutality. In no country, anywhere or anytime, that has been controlled by Islamofascists, have other religions been able to survive. Look at the native Christians and Jews that live in Saudi Arabia for instance. Descended from the tens of thousands that once lived and thrived there among the Arabs. The Christians in Egypt are being systematically ethnically cleansed and now face extinction too. Their property is being seized and they are being threatened with death and in some cases being killed. This is not the type of philosophy that the US should in any way lionize or support. Especially militarily!

Before a single shot glass is handed out to a Syrian revolutionary, we must have a constitution they are fighting for, publicly printed, posted and presented. It must be the banner they fight for. Moreover, the constitution they espouse, must be one that comports with Our American ideals! One that protects people’s Right to… freedom of commerce, freedom of speech, freedom of religion, freedom of thought, freedom of property and the protection of their persons and property. With sufficient controls to protect those rights. In fact, there should be several constitutions already written to pick from, for just such a circumstance. That there isn’t, seems short sighted to me, for people tasked with protecting America. Make anyone and everyone, who gets a single American bullet, sign and swear an oath to this constitution. Not everyone will follow through but at least there will be a standard in which to adhere. A single set of ideas, calling for liberal government, that fully recognizes the rights of individuals. Only this way, will the Rights of Man be protected, and never, by giving psychopaths heavy weapons.


John Pepin

Obama’s Failings and Our Rights

Monday, October 22nd, 2012

Dear Friends,

It seems to me the Obama administration has been engaging in the ignorance defense. Both Obama and Biden, in their respective debates, used it in their defense of their role in the Libyan debacle. The Libyan debacle has grown in magnitude as more information has petered out. The hubris of the Obama administration to claim they didn’t have all the facts, the ignorance defense, so they claimed the whole affair was due to a “spontaneous demonstration against an [explanatory adjectives deleted] movie. The administration wants it both ways. That they had no responsibility for the Benghazi consulate, had no knowledge of what was going on there, were unaware of any previous terrorist attacks there in the prior months, were not curious about how their coop against Muammar had turned out, but, were so on top of public opinion they knew, beforehand, a “spontaneous protest” would spring up on September 11, so they had the foresight to “preapologize” for the movie, requires a willing suspension of disbelief.

The Ignorance defense was a tried and true method the Clinton administration used on many occasions. The ignorance defense was Clinton’s fall back defense whenever he was caught doing something. The missing FBI files about the Clinton’s political enemies, that were found in Hilary’s study didn’t point at the Clintons, they were ignorant of how those files got there. Now, Obama claims he was so ignorant of high level security shows at least a disregard for the most important duties of his job, keeping America safe.

If someone is ignorant of a law in the US, and they commit a violation of that law, they are punished the same as someone who broke it knowingly and willfully…. unless they have high political office. If you unintentionally violate an EPA clean water regulation you or I could be prosecuted, criminally, and punished with jail time if we were found to be in violation. Yet the President of the United States, a person supposedly learned, with a Harvard Law Degree, is ignorant of the fact that, leaving an American ambassador in so unsafe a condition he is sodomized and murdered on September 11, and covering up for it with a blatant lie, is not so much ignorance but incompetence. He should understand that seeding the Arab populace with a propaganda tool, (I maintain that the Arab populace knew nothing about the movie before the Administration preapologized for it), to change the subject from protests to get the Blind Shaikh released and a terrorist attack on an American consulate, which members of his administration did watch and he could have watched in real time, but Obama and Biden were too ignorant of World affairs, to a movie he told them about, is absolutely corrupt.

The ignorant defense is something democrats have used but would be off limits for a republican. The unbiased media would jump on a republican who allowed that he or she were ignorant of anything. They would be labeled out of touch, uncaring, etc… the vitriol that would be heaped on a republican, who even entertained that they were not fully aware and fully responsible, would be unending. That is why the ignorance defense works for democrats but would be an epic fail for republicans.

Now, we have the Obama administration using the ignorance defense, with the unblinking support of the unbiased media. They are forced to report new information when it comes out, but they only give it a day’s play, while Mitt Romney’s file folder of qualified women, gets a weeks wall to wall coverage. The blatant lying of this administration, else incompetence if the ignorant defense is actually true, should open eyes. Because it worked for Clinton gives it a good chance of working here; but it is corrupt no matter who uses it. Yet it shouldn’t work anyway because anyone, you or I, who used it would quickly find it useless and worst than useless a tool of confirming our guilt! The ignorance defense requires as a perquisite a complicit media. They create the decrepit conditions in public awareness that allow such obviously sophist arguments to have any standing. This is where we have come. We have given our enemies, the Islamofascists, a propaganda victory, our president has given them more fuel to offend their rabid religious sensibilities, and our President is proven corrupt, incompetent and possibly complicit, at the same time. If this doesn’t make you want to vote for change I don’t know what would…


John Pepin

Ecological Economics

Thursday, October 18th, 2012

Dear Friends,

It seems to me, the business culture of a country is to the economy, what climate is to an ecosystem. We all understand intuitively; a frigid arid tundra is not the place you will find a great diversity of flora and fauna. We also implicitly know that a warm wet rain forest will have a great deal of bio diversity. It follows then, where conditions are pleasant, there is more abundance and where conditions are unpleasant, there will be less diversity. The flora and fauna that does get by, in unfriendly conditions, will be clinging on by their toenails. This sets up the conditions, for the extinction of most of the life in these scarcely habitable regions… with only slight disturbances. If we take this logic and apply it to economics, we can understand why some countries have poorly working economies, while others have flourishing and diverse ones. The economy of a country has tremendous effect on the lives and standard of living of the people, this makes it important to understand, and this framework may help enlighten.

Economies exist outside of government. Even where there is no government, if there are people, there is an economy. Government is an elite group of people who have asserted that, since they have the backing of the people, they have the right to interfere with trade and other interpersonal action. This makes government an adjunct to the economy. Since the economy is functional outside of, and independent of… government. Yet, by this power to effect regulation, government sets much of the local business climate.

Government has the power to effect the local economic conditions. It can establish banking standards, that allow the more efficient utilization of money, it can establish weights and measure standards, to further facilitate trade and it can help ensure the populace is well educated, making the next generation qualified to compete in the marketplace of the economy. (Fight tooth and nail in the economic jungle). Along with these goods however, governments also, have thousands of bureaucrats, working diligently, writing thousands of pages of laws and regulations, many often have a corrupt civil service, demanding bribes and such, and governments too often overspend to push up their GDP, by feeding their businesses high fructose corn syrup. (Government Stimulus).

The more positive things governments do to their economies; the more lush their economic landscapes. It would be like making a local ecosystem warmer, say from USDA Zone 3 down to Zone 6. The environment is far more productive in a warmer climate just as a warmer business environment is more conductive of business growth. The more hostile to the free market government policies are; the less productive will be their economic landscape. Often to the point, as of North Korea, that government policies have rendered the local economic conditions, so dry and chilling to business, that no amount of land could feed the people. This would be like, removing all the rain from a piece of land and at the same time, perpetually chilling it to winter conditions. We understand the environmental argument but the economic argument seems so much harder to folks.

If we start thinking of economics, as we do ecology, we will have a better context to measure the economic policies of our governments. If someone proposes a policy that will chill the economic atmosphere, even if we feel it makes things more “fair,” we can now apply the new regulation to our environmental model of economics… and understand that it will in fact, make conditions less fair and less prosperous, by chilling the economic environment. If we do choose to follow that path however, we can apply our environmental model of economics, and know why the economy is failing. We wont have to blame some nebulous villain, as the fiend who destroyed our economy, we will know that it was us, by our actions, who are the fiends.


John Pepin

How Lives Can Be Improved

Sunday, October 14th, 2012

Dear Friends,

It seems to me, the way Romney could improve the lives of the American people, both economically and socially, (by diminishing crime and improving education)… would be to implement the concepts from the International Capitalist Party. The ideas we have put forth, throughout our series of articles, is a historically proven road map, to a society that is entrepreneurial. When a society has good education and a fast growing economy it necessarily has less crime. The growing crime rate, drop in educational scores and flat GDP growth, are all signs the policies in place today are ineffectual at best, but more likely, pernicious and counter productive. The true cost of counter productive government policy is the cumulative drop in future GDP growth. This not only impacts our standard of living… but the effect is magnified over a generation.

The economy is both the easiest and the hardest to fix. The answer we have pointed out, time and again, is to clean every regulation on the books, in regards to their applicability, economic impact, and redundancy. To do this, we could set up a panel of learned people, give them six months to produce an initial report, and then implement as much of that report as possible. Subsequent reports can be every six months for two years, then every two years after that, to keep regulation from running amok again. The final report should have something on the state of regulation in the US. The releasing of the US, (or any economy), from the onerous regulation that has built up over generations, would propel the economy into fast GDP growth, driven by the release of the US entrepreneurial spirit.

Tax law is another avenue of improving the lives of Americans, by helping the profitability of US businesses and therefore, their competitiveness in the World economy. Tax law can be pernicious, because when high wage earners are targeted, they tend to be business owners, and so it is business profitability that is effected. The rhetoric always presupposes some “rich” people will be punished but it is never the actual rich who are victimized. The victims are those trying to get rich, and the laborers who are denied work, when government tax policy extinguishes their jobs.

The schools have become an arm of the US government’s jobs program. They have lost their original mandate and have replaced it with a new one. That is, to provide high paying jobs to overly educated people, while insuring that the students are indoctrinated away from the morals of their family, and inculcate them into a blind worship of State power. To change the education system, back to one where students are educated in, math, reading, history and creative thinking, and also, interpersonal discourse, rhetoric and logical thinking, would require the hated repair be applied, one that has worked every time, everywhere and in every circumstance… competition.

The Societies of most “advanced” countries in the World, have made the conscious decision, to pay for education with government largess. The non excludable good argument has been made, and in my opinion, is the best grounds to justify such a system. Since we as a people have made this decision it is best to work within it as much as possible. The best means, within our criteria, to competition… is a voucher system. Under a voucher system, parents would be empowered, to be consumers in the education market. This education market would be geared so that children would be educated, in such a way as to be in the best position, when graduating, to participate effectively in the market system. The value for each school would be the achievement of the students that came from them. This would set up a whole series of positive feedback loops within the complex system of our society.

Crime is a result of, rendering risk takers hopeless, and giving them bad role models. This leads to a glamorization of crime, and the view that law-breaking is the only means to get ahead. (Notice this implies, onerous regulations are a cause of crime, if legal means are impossible)? The breakup of the nuclear family is largely due to government relegating the role of father irrelevant. The rampant drug use among our youth is a sign that there is a lack of opportunities for them. At least opportunities that they see as feasible.

We need to change the paradigm, from one that creates the problems, into one that erases them. To do that we need a competitive educational system, an entrepreneurial people, clean and fair tax code, and government officials who model good behavior… not bad. These are concrete policy points Romney should make to the American public, how he would improve their lives, and thereby, the lives of every human being on the Planet.


John Pepin

Weapons of Mass Destruction and Western Leaders’ Stupidity

Thursday, October 11th, 2012

Dear Friends,

It seems to me, unseating Muammar Gaddafi,was as stupid a thing as has been done in a generation. We are seeing the foolishness of this action, by the European and American governments, play out before our very eyes. Not that the present government of Libya is as diabolic as the government of Egypt, (that we also brought into power), but the precedent is so pernicious and the incentives it set up so negative, the future will be full of treatises about the folly of our leaders. This idiotic action will visit many evils on the people of the World. No person is safe from the ramifications of this singularly moronic action. You and yours, and me and mine, will experience tragedy first hand as a result.

The Islamist government in Libya was as predictable as spring after winter. To believe that there would be any other result was wishful thinking at best and intentionally damaging the West at worst. The people of Libya had lived under a tyrant for many years. This renders people incomprehensible to liberty. They become used to a despot and will be uncomfortable in liberty. Therefore, it is obvious that they will turn to the autocrat they believe will have the lightest hand, when given liberty to do so.

The outcome was predictable but the pernicious incentives the ouster of Muammar were equally certain. Muammar had publicly given up his weapons of mass destruction. The moment he did he drew the attention of every dictator on the planet. They watched his fortune as they did their own. His outcome would be theirs if they gave up their weapons of mass destruction. Despots are not stupid people. If they were, they would be quickly murdered, and replaced with intelligent tyrants. As soon as the Western powers turned on Muammar it sent a chill through the spines of every oppressor around the World. They understood that the only thing protecting them from the same fate as Muammar was, is, their weapons of mass destruction.

The Islamic regime in Iran watched events unfold in Libya with bated breath. The fate of their nuclear program was, is, intricately tied with Muammar’s destiny. They saw, and understood, as soon as they relinquish their nuke program, they would come under the same threat as Gaddafi. The massing of the western powers, against the single dictator who gave up his weapons of mass destruction, publicly and permanently, ensured that the Islamist regime in Iran would not make the same mistake. In short, Muammar’s ouster, insured the completion of Iran’s nuclear program.

Compare the horrible end of Muammar with the treatment of North Korea as soon as they tested a nuclear bomb. Kim Jong Il was as evil a dictator as Muammar ever was yet he had a nuke at his disposal. The Nuclear bomb he had, insured his fair treatment, and respect, at the hands of the West. Iran watched this side of the World too. They have the ability to comprehend the actions of the West and apply them to their own situation. Iran saw, as did every tyrant on the planet, that the West will do nothing to stop them from getting weapons of mass destruction. BUT, if they ever gave them up, a terrible end would await them as well. This is a strong incentive to speed up development of nuclear, biological and chemical weapons… or to start one.

As soon as Muammar gave up his weapons of mass destruction, a sane West, would have given him a get out of jail free card. He should have been held up, as a benevolent dictator, to other oppressors. The example of a tyrant giving up his weapons should have been a opportunity to pry these fearsome things from the hands of insane people. But instead, European leaders and Obama made the ultimate mistake, sending a different message to the despots around the World. In this, there is nothing they could have done that was more stupid, or more destructive of World peace.

Unless we believe them to be drooling idiots their actions are irreconcilable with common sense. Their protection of Al Queda and ouster of Muammar has made the World an exponentially more dangerous place, and indeed, has set up the conditions for a new world war. They have insured that despots the World over will seek nuclear weapons, at all costs, making the world war they apparently want, a nuclear affair. Raining down radioactive evil on every person on the Planet… and it all could have been avoided, had our leaders not been so imprudent. Well, as I have said before, the dross floats to the top. In the case of Europe and America this couldn’t have been more true!


John Pepin

Decadence and Our Cultural Elite

Monday, October 8th, 2012

Dear Friends,

It seems to me that every evil we face as a people is a direct result of our culture. We have allowed people to control our culture who despise our way of life. It is obvious, to give such power to someone who hates our society and founding principles, is a path to certain destruction. Our cultural Elite move us, as a people, through television, the government monopoly schools, news, and printed media, towards a society that they believe will be better. The unfortunate fact however is, the future they seek has proven itself, over and over, to be filled with unspeakable horrors. Some of the worst atrocities ever visited on mankind have been by people who have held these same ideas. To stop the slide to oblivion, we must take back the reigns of the culture, steering it to a society based on the original values of our founders, guided by our religious morality and human heartedness.

The breakup of the nuclear family is a direct result of the glamorizing of affairs by influential celebrities. We all look to the beautiful people for examples of what is a good life. When they model decadence, idleness and debauchery we follow them to it. The push now for gay marriage has nothing to do with rights but everything to do with the lowering of people’s esteem for marriage. The Brown shirts were led by a gay man. Once their usefulness was exhausted Hitler massacred them and made all the gay people wear upside down pink pyramids. His tolerance for the gay agenda went only as far as it served his interests but no further. Today’s gay culture will relive history once their “allies” have achieved their pernicious ends. The intolerant have no tolerance once they have total power.

Schools are facing hordes of maladjusted children today due to the negative effects of our culture. The dramatic rise in emotionally challenged youth, is because of the undermining of the nuclear family and the undermining of moral behavior, by our cultural Elite. The message that Western culture is bad and any alternative is good saturates their lives. They see that Christians are forced to pay for Piss Christ but when someone disparages Islam, in a foolish movie, they are arrested in the dark of the night. The message is clear… Christianity is bad Islam is good. The daily monstrosities that Islam visits on the people of the Middle East are glossed over and every historical atrocity the Christians have committed is dramatized by the cultural Elite. Moral equivalence is the rage in our schools. The philosophical concept, that when someone does an atrocity that is against their religion, it reflects on them not the religion, but when someone engages in atrocities, as their religion commands, it reflects on the religion not them… is lost or purposely misplaced on the purveyors of culture.

The crime we deal with is a result of the culture denigrating hard work in favor of idleness. The entitlement mentality could not take hold unless we are inculcated to it. People, by nature, seek activity but when we are told over and over that diversion is the highest good, and labor is the worst evil, we fall into the trap of indolence. The message our children are taught is, to flip burgers at McDonald is humiliating, but to take food stamps is not. Every possible means to elevate taking food stamps to a virtue, is employed by the elite, in both culture and government. In a society where working is a undignified act but taking a handout is virtue, cannot long sustain it’s standard of living, and must become destitute sooner rather than later.

These are only a few examples of how our cultural Elite create the conditions in our society that disintegrate the foundation of it. Our children are the chief victims but their children will take the brunt of the worst results. Unless we change the course our posterity will live under the totalitarian conditions of depravity and want. They will have totally lost the ability to recognize good and their humanity will be “evolved” away from them. We are as complicit as the cultural Elite in this. They work in plain sight and we say nothing. They undermine the family at every turn and we cheer them on. They turn the protestant work ethic, that has served America so well for so long, into a forest of arms raised for a social security disability check, and we chuckle at Charlie Sheen boffing some bimbo and passing life in a drunken haze. We are not hand puppets but human beings with self determination and free will. It is up to us to return our culture to a positive influence on our children. Else they and their children will suffer the consequences. To do nothing is voting for our own collapse.


John Pepin

What is in the way of job creation.

Thursday, October 4th, 2012

Dear Friends,

It seems to me, what is holding the American economy back, is red tape, regulation and redistribution. These three R’s create an environment that is toxic to small business development. In the economic ecosystem of a country, small businesses must have room to start, grow and compete. Untangling red tape ties up an entrepreneur’s capital, regulation steals the business owner’s time, and redistribution seizes his or her capital. The government and the oligarchy both have a vested interest in creating more red tape, more regulation and more redistribution, because they work to the advantage of the Elite. This paradigm is why it is so dangerous to a person’s finances to start a business. They also teach the people of a country, there is no sense trying to start a business, even if they have a great idea. The government will toss so many road blocks in the way that it is almost certain to fail. We see this play out in everyday life, whenever someone doesn’t start a business due to fear of government, and in the statistic of how many small businesses fail within a year of starting up. We have to get a grip on the three R’s, if we want to have any hope of jump starting the American economy, let alone the European train wreck.

Red tape can be a minor as a town requirement for a license. Especially if that license comes at the suffrage of a town council. The person who is friends with the town fathers will face little difficulty to start any business he or she sees fit. The person who is not a member of the town elite however, will face a long uphill slog, to get even the most basic permits from a town council. This is magnified if the new person is going to compete with an existing business that has the ear of a council member. Politics at city hall decorates small business start ups with red garland.

In a mature economy regulation grows faster than algae in an anaerobic pond. It is in the self interest of the oligarchy, (the legal system), to increase regulation and make it as undecipherable as possible. The entrepreneur who seeks to do business, must hire an attorney, to navigate through the shoals the regulation has piled up. This costs money that otherwise could have been spent improving the business’ capital stock. Every new regulation that is passed, increases the demand for lawyers, and therefore, every lawyer is in favor of more regulation.

Regulation also protects the jobs of entrenched bureaucrats. The bureaucrat must justify his or her well paid job. As more regulation is passed the bureaucrat not only becomes more secure in their job, but with more rules, comes more prestige to the dutiful public servant. As a result they work tirelessly at creating more regulation. Some regulate this and others regulate that. They don’t really communicate and so, the regulation overlaps, is contradictory and grows ever more smothering. Again driving up the need for attorneys to get a small business through the morass.

This all ties up capital and time the entrepreneur could better spend improving their business. Capital spent on an attorney, to protect the business owner from regulatory risks, could be better spent on buying more productive tools for his or her employees to use. This addition to capital stock makes the US more competitive with other nations. But when the money is wasted on regulatory compliance, only the elite benefit… the workers are less productive and our job prospects are more and more limited.

Redistribution through taxation is as pernicious as flesh eating bacteria. This allows the Elite to achieve the epitome of Thrasymachus’ philosophy. They get to appear all caring and virtuous while at the same time being all selfish and corrupt. They use other people’s money to be generous, but as Cicero said, “We must, then, take care that in our generosity, while we do good to our friends, we injure no one. Therefore the transfer of property by Lucius Sulla and Caius Caesar from its rightful owners to those to whom it did not belong ought not to be deemed generous; for nothing is generous that is not at the same time just… There is, too, connected with generosity of this type, in almost every instance, a disposition to seize and appropriate wrongfully the property of other men, in order to furnish means for prodigal giving.” We see from this, it is not by virtue that we seize the property of another to be lavish in our giving, it is in fact a self aggrandizing vice.

The last point to make is that more small business means more demand for labor. As everyone who has even an inkling of sense knows, as demand increases within a limited supply framework, cost goes up. In this case the increase in demand for labor increases the cost of labor. The cost of labor is the paycheck of the working man or woman. Couple this with, better tools make an employee more productive, a productive employee is worth more, and the worker is the primary beneficiary of increasing small businesses and higher productivity. Both are casualties of the three R’s.

Taken in it’s totality, we clearly see the negative incentives the system of red tape, regulation and redistribution, have on our economic ecosystem. These three things empower and enrich the elite in the legal system and government, but come at cost to the working man and woman… as well as the entrepreneur. The profit to the elite is a cost to the rest of society. To change this paradigm is very difficult; but not to change it would be disastrous.


John Pepin