Archive for December, 2012

On Freedom of Religion vs. Separation of Church and State.

Monday, December 31st, 2012

Dear Friends,

It seems to me, the fully sophist term, “separation of church and State,” is diametrically opposed to the concept of freedom of religion. The first, separation, demands the State focus on eradicating religion from the public square, and the second, freedom of religion, requires government to ignore religion. When the State must have no religion it is the definition of an atheist State. If the state must be atheist, then it has established a state religion, anti religion. Such a State, devoid of higher morality, cannot long stand. A lack of higher morality allows the State to implement anything that catches it’s fancy. This is the definition of arbitrary government.

The atheists claim they just don’t want religion driven down their throats. This is pure hypocrisy because they have no problem driving their atheism down our throats. No one demands they attend church services, but they require us bow down to the atheist state. They require atheism be taught to our children in the government monopoly school system! When the atheist demands the ten commandments be removed from all government edifices, they seek to offend religious people. They get away with it because it violates the established government religion… atheism. The atheist is the hypocrite that demands religion be kept indoors, under wraps and hidden, so their philosophy of anti religion can be forwarded by government, and thus become ascendent.

All philosophies about the nature, origin and worship of God, are religions. No matter if a philosophy is pro God or anti God it is still an expression of a belief, or disbelief, in God. That an ethos is against God and his worship, is as much a statement of the atheist’s beliefs about God, as the most ardent Baptist sermon is a testament to a belief in God. Therefore, clearly, atheism is a form of religion.

“Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech, or of the press; or the right of the people peaceably to assemble, and to petition the Government for a redress of grievances.” This is the actual text of the First amendment of the US Constitution. It says the State must not establish any religion or impede the free exercise thereof. We have proven that atheism is as much a religion as Judaism or Zoroastrianism. Separation therefore, since it establishes Atheism as the State religion, is unconstitutional.

Freedom has, as a perquisite, that men be allowed free action. This, it would seem, should be simple common sense. If a state outlaws an action it can be said that there is no freedom of that action. Separation of church and state outlaws the free exercise of religion. The moment an anti religious person is offended, and they are a cold sore longing to be touched, they will go to the courts, stinging us, with the government driving atheism down our throats. This is the antithesis of freedom of religion; it is the State establishing religion and outlawing the free exercise thereof.

If someone is denied the ability, to say even the Lord’s prayer at a school function, or a group of citizens to have services in a park, by law, it is the manifestation of a State’s oppression against religion, a restriction against peaceable assembly, and a limit on free speech? The atheist is given free reign to express his or her hate of religion openly, in the public square, paid for by government, taught in the government school, and enforced by government fiat and law. That, my friends, is the definition of a State sponsored religion. We follow the road trod by Hitler and Lenin… to the same end.

The Nazis and Bolsheviks had separation of church and state. Nazism was absolutely atheist as are the communists. The Nazis’ first targets were Catholic priests, then the gypsy’s, and finally the Jews. The Communists are antithetical to all religions. Their founding philosophy, that religion is the opium of the people, had in it’s very seed a separation of church and state. They needed religion to be unknown by the people because a religious people are unwilling to cover themselves in the blood of innocents. Slaughtering millions of Gypsy’s, Jews and disabled people is not something a Christian, who follows his religion, would do. Hitler got many of his ideas from American progressives, ideas that are becoming possible in America under separation, once we are divested of our belief in God.

William James philosophy of pragmatism, that an idea that bears good fruit must be good and a philosophy that bears bad fruit must therefore be bad, comes into play in this discussion. We know where those evil empires led humanity. They visited the worst possible atrocities on Mankind, with the mechanized efficiency of an atheist State, despite their short and violent lives. The evil they were, and are, is testament of the evil of the sophist siren call for a separation of church and State.

The progressives have been redefining our Constitution for years. They ignore the wording and meaning changing it to suit their own ideas of what government should be. Their rhetoric that the Constitution is a “living breathing document,” which of course is saying, it means whatever the hell they tell us it does, no matter the wording, common sense, or the description of it in the Federalist papers. It is intolerable for the progressive that we live as we see fit. In their hubris, they see the rest of us as ignorant fools, in need the state to oversee our every action. In the progressive State, the only choice we can have, is the choice to kill our own unborn baby, and soon up to a year old. They seek to control even our religious beliefs. Separation of church and state is the means to that end.

It is the nature of usurpers to pervert that which holds them from arbitrary power. History shows the evil, a State that has no higher authority than it’s own hubris, is capable of. Pragmatism shows us that if something bears malevolent fruit when it is implemented, it is evil itself, proving the badness of separation of church and State. Unless we demand, the US government stops establishing atheism as the State religion, our children will be subject to all the historic evils of communism and Nazism. Such as, abortion on demand, killing people unfit to serve the State, State imposed famine, Wars of acquisition like Drang nach Osten, and State controlled media… among others. Nazism and communism are two nuts from the same burr and both are poison. I reject both along with their philosophy of Separation of Church and State! I demand freedom of religion and freedom of speech!


John Pepin

To Shine the Light of Criticism on Evil is Heroic and to Vilify Good is Not

Thursday, December 27th, 2012

Dear Friends,

It seems to me, no one fears criticizing good, but all fear accusing evil. That is because we understand that there are consequences for ridiculing evil but none for abusing good. A good man, organization or group will tolerate the abuse, without a thought to harming the abuser. Evil men, associations and groups will exact revenge however. As a result, those that libel the good in our society are cowards, while those that point out evil are heroes.

We all know that evil grows in the dark and is often called darkness itself. That is why, when we hear criticisms of despicable people or organizations, we cringe. We know that if the wrong person overhears they might react violently. The evil among us are as prone to violence as the good are to forgiveness. Violence being in the nature of evil and forgiveness a quality of good. Those that criticize evil put themselves in mortal danger while those that criticize good have no such fear.

The Catholic church comes under much criticism not all of it unwarranted. However, the people that attack it have no worries they will be hunted down and stabbed to death. They are in no danger of being shot from a bicycle on their way to the store. Not a one among us fears the Catholic church today.

There was a time in history when this wasn’t true. Those that even questioned the Church’s teachings were threatened with burning at the stake. This wasn’t due to anything Jesus taught but due to the evil men that controlled the Church at the time. Evil works outside the tenets of faith, societal moors and the cultural ethos. Evil fears the light of scrutiny just as a vampire of exposure to the sun.

The reaction to criticism is a reliable way to determine if that person, organization or society is evil. If any criticism of such people strikes fear into those that hear it, we can say that it is most assuredly true, that person, organization or society, is evil. The fear we feel is as sure a way to prove evil exists as any. In this way we have a metric for measuring evil. The more violently the reaction to criticism the more evil we can say that group is.

To do a thing that has no peril, is not a brave thing to do, just as doing a thing that brings with it great danger, can be heroic. The soldier who runs through a hail of gunfire to save a friend is a hero but a person who allows a car to go first is not. Heroic actions require danger in their doing.

Not all dangerous actions are heroic however. Jumping from a bridge into shallow water is just foolish, as is swatting a bees nest, and not all good actions are heroic. Helping an old lady cross the street is an honorable thing to do but is not heroic.

So we can say that those who attack good people, organizations or groups are not heroes. No matter the hypocrisy they may point out. The heroes in society are the people that point out evil. Those that shine a light on evil put themselves in peril doing so. Those that attack a good man do not. Heroism is about forwarding good actions not undermining them.

Society benefits when good is highlighted and society is damaged when good is attacked. The good among us are attacked by evil without consequences but the evil among us is protected by their propensity to violence. This sets up a pernicious feedback loop. Good is diminished while evil goes unrecognized because of the fear of pointing it out. The prosperity of Mankind is undermined and those that would usurp power are protected by the darkness of fear they wear as a cloak. People turn away from good, and the cause of evil is advanced, until evil oversteps like the Nazis did. Then mankind is forced to act.

Men and women would be well advised to consider this carefully when they hear criticisms. If a shiver runs down your back, and you cast an eye about to make sure you are not overheard, the group being criticized is quite likely evil, but if an accuser yells his or her accusations loudly and without fear, you can reliably say the group being chastised is good. We diminish good and ignore evil at our mutual peril. The interests of Mankind are only helped when heroes stand up to evil. They are often jailed, abused and condemned for it, but the future of humanity hangs in the balance. That is why I say, to shine the light of criticism on evil is heroic, and to vilify good is not.


John Pepin

The Thirst for Logic and for Gold

Monday, December 24th, 2012

Dear Friends,

It seems to me, I may not be able to convince a thirsty man to take a drink of water, but I can at least have water available for him… if he comes to his senses. Those who are controlled by their emotions, and we all are to a greater or lesser extent, are immune to logic and reason. We are reduced to the level of beasts. It is our reason that separates us from the animals but many would like to return Mankind to savages. Brutes are easily controlled by the whip and carrot. Draft animals can be yoked to do the bidding of someone who doesn’t have their best interests in mind. Men, self interested rightly understood, think for themselves and don’t submit so easily to the yoke. I can point this out over and over to the dehydrated, while holding out a glass of water, yet they steadfastly refuse a draft of the refreshing water of reason, for the glitter of popular opinion.

Confucius said people follow their leaders. He meant that we take our cues as to what is a good life from them. Today the elite, who display to us what our society holds to be good, are political and cultural. The political leaders write ever more intrusive laws, carving out loopholes, so they themselves are not subject to their own laws. Our cultural leaders are in the entertainment industry. They live the most self destructive and decadent lives possible. Both show the people that morality is old fashioned and egoism is hip. People follow their examples while our society slides into the abyss because of it.

It has been said our reason is the driver and our emotion is the elephant. The elephant has the power to get things done, but without the driver, it smashes instead of creates. The Elite in our society seek to eliminate the driver and subject all elephants to the yoke of the State. The individual rational driver becomes ever more superfluous while the State becomes ever more pervasive. The more uncontrolled elephants smash, the more the elite claim their onerous regulation is required, the more regulation enacted, the less need for rational drivers.

Che Guevara extolled youth’s ability to kill in the name of politics. He loved the fact that people who haven’t been civilized, can be so easily convinced, by emotion, to murder those that disagree with their leaders… like him and Fidel. Youthful people, who do not have the advantage of maturity, kill without remorse, blindly following whatever their emotion dictates. They disregard logic and blindly follow emotion. His ideology exploited youth’s ignorance and lack of maturity for his political ends.

You can always reliably tell when you are discussing something with a person who eschews logic in favor of emotion. They don’t respond to logical inquiries, they change the subject, their arguments are based in emotion, they ignore the point of an argument, in doing so loudly proclaiming their ignorance, they make ad homonym attacks, they claim the moral high ground while standing in a swamp, and in doing so, they prove their elephant has no driver… but is only following the fashion of the day. They are a boat adrift in a sea of emotion unable to think for themselves. Look at the teenager who seeks to be an individual by following the pack.

Those of us that use reason will always be at a disadvantage, when arguing against emotionally based statements, since most people today believe what they are told to believe… without burning a calorie in thought. Therefore they agree with the most preposterous ideas wholeheartedly. Absurdity piled upon absurdity forms the basis of their beliefs. That is how people can make such ludicrous claims, like gay marriage is about fairness, gun control is about safety and redistribution is about eliminating poverty, to name a few. These arguments are all illogical but have the coercive power of emotion.

Titus Livy told the Romans, unless they returned to reason and turned away from corruption, Rome would fall. He was called a fool, how could Rome fall, the republic had lasted nine hundred years. The people of Rome became more and more like beasts, and less and less like men, until the Roman empire collapsed of it’s own weight. Livy was rational and right and the people of Rome were emotional and wrong. They thirsted for water but sought the glitter of gold instead. As we all know, rationally, the thirst for gold can never be slaked but the thirst for water can be met with but a sip. So, here is a glass of water, turn away at your own peril… or do you thirst for gold instead of water?


John Pepin

Exploiting the Tragedy at Sandy Hook Elementary

Thursday, December 20th, 2012

Dear Friends,

It seems to me, to exploit a tragedy to raise money is heartless, but to exploit it to overturn Constitutional rights, is criminal. In this we have the example of Barack Obama. He has crassly used the tragedy at Sandy Hook to raise campaign money, and since he is Constitutionally barred from running again, it raises some prickly questions. The pressing and more pernicious use he has made of the tragedy is to undermine American’s Second Amendment rights. This has been an ongoing problem with this president. When a politician exploits the emotional reaction to a tragedy in these ways, a bright light should illuminate it, because our Constitutional liberties are at stake… and darkness serves only darkness.

The Constitution was put in place by the American Founding Fathers, to protect the American people from the natural urges of politicians, to usurp power to their own ends. This has been the paradigm since the dawn of human existence. Over the ages many things have been tried to stem this predilection of people with power over others. The Romans used a system where power was broken up between two Consuls, like the Spartans, and Solon created the ostracism. All methods tried up until the Enlightenment have failed. Constitutionalism was the Enlightenment’s attempt.

The Second Amendment was to be the final resort for the people against a government that had become extra Constitutional. The ability of the people, under the auspices of the States, to overthrow the Federal government was reasoned out in the Federalist papers… the right to revolution. The last resort when politicians had become drunk with power. This is the real reason Americans have the Second Amendment, not to protect hunting, or for fun at the range, it was to be the final check on the power of usurpers to the Constitution.

This is one of the primary reasons modern politicians have held the Second Amendment in such antipathy. They know in their hearts that since Wickard v. Filburn the Federal government has been overtly extra Constitutional. The legal oligarchy in the US understands this, but have allowed it because of the power it has given them, to amass wealth at the expense of the citizenry. This case was only the first step in undermining the US Constitution however. Assaults on the Constitution, to limit the power of men over the citizenry, have continued at an ever increasing pace.

The irony of Obama… who sent Mexican drug lords thousands of assault weapons, as well as communist gorillas in South America, and Al Qaeda heavy arms in Syria, have resulted in thousands of deaths, (and the rape and murder of an ambassador)… calling to outlaw guns in the US, is totally lost on the unbiased media. They dutifully fall in line with this usurper calling for the banning of guns of an arbitrary description. Did Obama wring his hands, when Univision reported that a massacre of teenagers at a birthday party was carried out, with weapons he provided the drug lords? No. Yet, until the details of Fast and Furious were discovered with the death of a US border patrol agent were made public, Obama was vilifying gun dealers for distributing guns to drug lords, as it turned out… it was Obama himself. Where is the Special prosecutor to look into this? Nowhere to be found.

The real reason we have so much gun violence in our society is because of the debasing of our culture. Unlimited abortion on demand, government policies that undermine the nuclear family, establishing atheism as the State religion, sexualizing our children, schools not teaching reading writing and arithmetic… and instead indoctrinating them into a political ideology, are only a very few examples of how our culture has been debased. Possibly the most pernicious is the lowering of human beings to animals by abortion and euthanasia. The CDC even has a paper out calling for “after birth abortions of children up to a year old!” This is the path Nazi Germany took and anyone who knows history, our children certainly haven’t been taught it, understands where that leads.

Politicians claim that gun rights are dangerous and so they must be limited. By this logic the first amendment should be banned as well. The right to free speech is far more dangerous and has led to far more human deaths and suffering than any lone gunman. A few examples are, Mein Kampf, the Communist Manifesto, Jim Jones and Mao’s Little Red Book. Clearly, the right to free speech is far more dangerous than the freedom to keep and bear arms, to be consistent, it should be outlawed too, and we are hearing the radical left calling for this very thing. Some powerful voices in the entertainment industry have called for jailing of anyone who criticizes Obama. I find this Chilling…

So, what we have, is a political establishment that arms evil murderous subhumans, calling for the seizing of law abiding citizens guns. The original reason for the right is clouded by the rhetoric of the usurpers. The irony is ignored and outright law breaking by politicians is laughed at. Anyone who calls attention to this, is now subversively threatened with imprisonment, even as the Federal government of the United States continues to exceed it’s Constitutional limits. Obama even said he doesn’t like the US Constitution, which he has made an oath to uphold, as a charter of negative liberties. The last question that this episode brings up is, why is Obama raising campaign funds when he is Constitutionally barred from running again? Could it be that the charter of negative liberties isn’t an impediment to another term? The unsinkable Titanic is moving ever faster to the iceberg of despotism, the unbiased media sing along, and the American people’s emotions are expertly played like a fiddle… as Saint Augustine warned, “People get the government they deserve…” May we deserve better.


John Pepin

The Theory of Value Sinkholes

Monday, December 17th, 2012

Dear Friends,

It seems to me, when a sinkhole opens up in a road, it is dangerous, but when a asset’s value collapses into a sinkhole, the economic results can be ruinous. Most of us are familiar with the idea of bubbles in asset prices but economic theory, (as far as I know), is not aware of asset sinkholes. The concepts are similar in many ways. They are both fueled by an opinion without regard to the underlying basics. A sinkhole is an asset price that is considered to be safe because it has always been safe, while a bubble grows due to the sentiment that it will grow. In both instances the asset value is based on opinion rather than essentials. This concept has direct implications to our present economic circumstances… ignorance of it leading to personal and national economic disaster.

A sinkhole is a situation where a road is undermined by water flowing underground. The surface appears fine but the ground holding it up is slowly eroded away. The surface tension will keep the road intact even as the underlying structure is gone. In ignorance we will drive our cars with our families in them directly over a sinkhole. If we are lucky it will hold while we are on it. At some point, the road will collapse… catastrophically. This is common throughout the world. Sinkholes sometimes engulf acres in area swallowing everything above.

Any asset can become a sinkhole. The value of money is the most pernicious but equities, commodities and goods can all become value sinkholes. Money is the most pernicious because it has the greatest potential to collapse an economic system. Equity sinkholes can result in the loss of retirement savings, investment and jobs, commodity sinkholes cause dislocation in mining and smelting operations, reverberating throughout an economy. No asset that becomes a sinkhole is benevolent. Anytime an asset looses it’s value in a catastrophic way economic dysfunction follows.

Bubbles and sinkholes are similar in that they are dependent on opinion rather than underlying value. Sometimes called the greater fool theory, a bubble in an asset price, like the tulip bubble in Denmark, is fueled by the opinion that that asset will continue increasing indefinitely. Even the person who understands a bubble is forming may make money from it. They buy the asset with the intention to sell it before the bubble bursts… to the greater fool.

People think that because the value has remained constant for a long time it will remain constant forever. As we all know… nothing is forever. The value of assets rise and fall for a myriad of reasons. However, when people believe a price will remain constant, but the actual value is eroded away, by government action or some other market fluctuation, opinion provides the structural power to hold up the perceived price. Once the underlying value is sufficiently eroded there will be a catastrophic collapse in the price. Anyone caught over the sinkhole will be sucked in.

I have never read about the theory of asset value sinkholes, I independently created it to describe present circumstances, but the concept seems intuitive to me… Not to say someone else hasn’t thought of it first. We must not confuse a sinkhole with a value trap. A value trap is where an asset, usually an equity, is bought at some price but the price slowly falls. The investor holds onto the asset in hopes it will rebound and he or she can get out of it. The slowly dropping price traps the investor, until all the value, and invested money, is gone. A sinkhole is a sudden collapse of an asset value due to the undermining of it’s fundamentals.

The most obvious historical example of a sinkhole is hyper inflation. The value of a currency remains relatively stable until the sinkhole opens. Then governments try to fill the sinkhole with printed fiat money. This not only doesn’t fill the hole, it actually undermines that asset’s value, further enlarging the sinkhole. The actions of the government and investors become a closed loop… each fueling the others foolishness, until all value has been drained from the money, and the economy must be restarted with a new currency.

We have an example today in the US dollar and US treasuries. They are perceived as safe because they have always been safe. The growing printing of dollars and spiraling US debt are ignored because people think there is a new paradigm of economics. This is the hallmark of bubble mentality and we see it full blown in sinkhole theory. The irrational exuberance in the price of treasuries drives otherwise prudent investors to seek the “safe haven” of US bonds and dollars. The group think is reinforced by the way the value of the dollar and treasuries defy economics. People point to a zero velocity of money in the US, ignoring the fact that the moment the velocity of money becomes more than zero, the sinkhole will abruptly open.

The result of a sinkhole in the value of the US dollar and treasuries will inevitably be bad for the world’s investors, companies and workers. If the US dollar collapses into a sinkhole and experiences high inflation, let alone hyper inflation, the resulting loss of capital in the world will be devastating to the world’s economy. Most probably the sinkhole is inevitable now, due to the malfeasance of our elected leaders, and economists, in both the US and Europe, but an understanding of the forces that led up to the collapse may help future generations avoid such dilemmas. I am not hopeful though, look at how long economic bubbles have been known and understood… to no avail.


John Pepin

The Weed of Regulation

Thursday, December 13th, 2012

Dear Friends,

It seems to me… regulation has a way of overgrowing the economic garden of a country. Regulation becomes a weed, when it ceases to be a standard and instead becomes accordant, or is a means to prevent competition. The reason for this is inherent in the market system. Schumpeter had the most insightful theory, in that he pointed to the capitalist himself, who is the greatest danger to capitalism. This weed, nurtured and protected by the capitalist himself, will eventually overgrow any garden… but knowing it’s roots will help to hold it back.

Economic operations cannot function without some regulation. When asked what he would do if he were made Emperor, Confucius replied, “I would rectify terms.” He meant he would set standards of measure for barter. This means that even 500BC wise men understood the need of an economy for regulation. Like anything in a complex system, and economies are complex systems, anything can gain a sort of life. This is especially true of something intrusive as regulation.

Regulation has it’s normative function, it allows us to interact in productive ways, and it is a means to close the door to competition. This is the crucial distinction to make, bad regulation is there to create some barrier to competition, it might make the initial step to staring up a competing business so high that an oligarchical system is set up. Bad regulation may holdup the permitting process to absurd extremes, like it taking Walmart 20 years and a Supreme Court decision, to get a permit to build in an overgrown cornfield, as an overt and stated means to limit competition.

When someone gets in a position of extreme wealth, often generated through their own virtue, they inevitably try their mightiest… to close the door behind them. They usually do this with regulation. Take Warren Buffett for example. Who has made the most money from Obama’s vetoing the Keystone Pipeline? Warren Buffett with his trains. The oil is still being shipped the Texas refineries, but it going by train, driving up the cost and lowering efficiency, however… Warren Buffett is making millions from it. And who is Obama’s greatest supporter of tax the rich? Warren Buffett. One hand washes the other. This is one example of how regulation benefits the wealthy anti capitalist at the cost of the average person. Add up all the millions of other examples we will never hear of and we can see why regulation overgrows the garden of an nation’s economy.

The next phase is, as the companies that built the regulatory maze for their own benefit eventually go under, the regulation that prevents entry still exists! The jobs, often high paid, are lost to economies that have not been overgrown with regulation. There is no mechanism within government to examine regulation. As a result, the pages grow and grow. The mass of regulation, if printed for the United States, would fill an average bedroom top to bottom. That mass grows, not linearly, but at the golden ratio. It grows upon itself and the mass of it requiring more simply to interpret what is already there.

More social services are needed due to the lowering job participation rate as the ability of the economy to generate jobs is smothered by regulation. This leads to the need for more taxes, to fund the social services, and more impediments are put in the way of entrepreneurs. As the economy is overgrown with regulation, the only people who can get the license or permit to do anything, are people politically connected. As soon as the do, they also seek to close the door behind them, so they have an interest in keeping anti competitive regulation, so the vine turns to wood and strangles out everything else, but the tree of political favor, that over tops it and it grasps for support. Add politically expedient redistributive cures and the feed back loop becomes self evident.


John Pepin

Managed Decline vs. Universal Prosperity

Monday, December 10th, 2012

Dear Friends,

It seems to me, there is no reason why every man woman and child on the planet, cannot live a lifestyle equal to Americans. People like Barak Obama, George Soros and others believe in their hearts that it is not possible, and trying to do so would lead to environmental catastrophe. They understand that folks in America, even the poor, are the one percent in the World. People who hold this opinion, feel that it is unfair that Americans live the high standard of living we do, and therefore seek to lower the US standard of living… as a matter of fairness. With this understanding, crippled as it is, they set themselves to create a situation where there is a managed decline in America and Europe. This leadership will never raise anyone’s standard of living, it can only result in a diminished way of life, not only for Americans, but people the World over.

The standard of living in the US exceeds Europe in any metric you care to use. Americans almost universally have access to personal transportation in the form of a family car. This allows US citizens the unlimited ability to freely move about. Unlimited in the sense that Americans need not watch a train schedule, we don’t have to submit to screenings to get to work, and work can start at anytime it makes economic sense to do so. Americans, even the poor, have more living space than any other people on the planet, food is so available that obesity is a problem of the poor in the US, and our access to healthcare is unmatched in the World, despite the many single payer systems that attempt to give better access to everyone. Think of it this way, where do the uber rich go to have their operations? Where does George Soros go to get his prostate reamed out?, not Cuban, North Korean, nor Argentinian or even European hospitals… they go to American hospitals. The same ones destitute Americans are treated at.

The notion that the environment would be degraded, if everyone on the planet’s standard of living were raised to America’s, is pure sophistry. China today is industrializing at a rapid rate. They are using the flawed model of Japan but the standard of living of the Chinese citizen has undergone a paradigm shift. The Chinese middle class is growing by eating the ranks of the poor. The imbalances in their society have less to do with environmental degradation than they are generated by government policy. It is true that China is experiencing pollution similar to what America experienced at the height of the industrial revolution, but it is not from the capitalist expansion, it is due to an all powerful government ordering by fiat what will be built, without regard to anything other than the Party’s wishes. That is why, as Joe Biden said, China has state of the art Airports and cities. There is no public input to their construction and so the monetary cost is much lower while the environmental cost is much higher.

The market system is based on revolutions in manufacturing, organization and data. These revolutions, that create the business cycles economists are so scared of, and politicians are fond of, because they “justify” political meddling in the economy, allow the needs of human beings to be produced at ever cheaper rates, opening them to more and more of the World’s people. Obviously, the ability of the market to create these things, is effected by government policies. It is government policies that diminish the ability of entrepreneurs to make the next cotton gin… through taxation, regulation and cronyism. Governments around the World love to decide who gets what, in the name of fairness, while nothing could be further from the truth. This propensity of government to meddle in the market to change outcomes, is always used to benefit their political cronies, and is largely why so many people live in abject poverty around the World… while the people who advocate more government influence, like Soros and Obama, live in the lap of luxury. They create the conditions that immiserate the people of the World by their egoistic notions of fairness.

The answer then, is not to lower the standard of living of anyone on the planet, but to allow the market system to raise the World’s poor to equal America’s middle class. It is self evident that people who have no access to the market system have lowered expectations of prosperity. To claim that it is impossible, or that the planet couldn’t take it, is simply evil. Every man woman and child on Earth deserves better. That will only happen however, when the egoists that seek distributive justice by political favor, are denuded of their power to meddle in the economy. Until that time we will labor under the heavy jack boot of the Obama’s and the Soros’ of the World…. to everyone’s detriment. In the end, what could be less fair than trapping billions of people in unending misery, by lowering the top one percent in the name of fairness, and protecting the top one thousandth of one percent’s perpetual prosperity?


John Pepin

The War on Prosperity

Thursday, December 6th, 2012

Dear Friends,

It seems to me, Obama is prosecuting a war on prosperity, and it is going along much better than the war on terror. The assault on savers and people who do the right thing has reached a fevered pitch in his all out crusade. Not only savers but anyone who does the right thing, by traditional standards, is in the cross hairs of this administration. The upshot is that our economic outlook is diminished by the day while the power of government is enhanced. The continued attack on all virtue in America today, and around the World, should be at the front of everyone’s agenda, because it will lead to a lower standard of living for us and our children.

The war on savers is reaching it’s fourth year. In his campaign against virtue Obama has some powerful allies. The FED under Bernanke, has undertaken a plan to bankrupt anyone who saves for their retirement, by printing money at the fastest rate ever in US history. Every dollar the FED creates in it’s QE1, QE2, Twist and now QE3, (otherwise known in financial circles as, QE infinity), steals some of the value of every dollar in circulation. The incentives this creates are all pernicious. To save money today is foolish because the value is eroded daily by government intention.

As the fiscal cliff looms ever larger, we see that Obama is positioned to avoid all blame, no matter what. The unbiased media will dutifully point to republican recalcitrance despite their stabbing their own constituents in the back. The republicans are more than happy to attack Tea Party politicians but are totally unable to point out Obama’s failings. Apparently the leaders in that party are fully on board with the war on prosperity and will fall on their swords for it. We the American people have few allies and those we do have are being systematically marginalized by the republicans and democrats.

Now we are looking at a dividend tax increase. This further erodes the ability of Americans to save and prepare for retirement, as well as penalizes those who are retired, and have put sufficient money away for it. The ability of people to get some return on their saved dollars, is not only reduced to zero, the money itself is being stolen by the unending printing, reducing the real return to a negative. Those people who have gone without, so they could get a few dollars in the bank are the obvious victims, but there are far more victims than that.

As government’s policies create an environment where saving is discouraged… there will be less savings. This is obviously true. What the results of the policy to punish savers will be are not as obvious. When money is not saved in an economy the ability of companies to invest in plant and equipment is reduced. This is magnified by huge unending government deficits. Government deficit spending sops up the little capital that is available, especially as government gets the first crack at any money in the system, including investment from abroad. When money is not available for investment in productivity enhancing tools and equipment productivity in the economy will suffer. This will inevitably lead to lower wages for labor. Lower productivity leads to lower wages and lower competitiveness.

Not only are wages in an economy negatively effected the amount of labor required is also diminished. This is due to the fact that as productivity in an economy is lowered the ability of that economy to compete in the global marketplace is also diminished. Jobs move overseas and small businesses fail. The FED and Obama pretend this can be averted by lowering wages through the devaluation of money. The problem with this logic is that every nation on Earth is printing money at breakneck speed to keep up with America. This leads to a race to the bottom, lower wages world wide, and an attendant lowered standard of living for everyone on the planet, along with the very real threat of hyper inflation.

The class warfare rhetoric is the propaganda arm of Obama’s war on prosperity. Whenever a war is fought to win there is a propaganda campaign. Obama’s version of Goebbels is the entire democratic party. They speak in unison about the villainy of the rich. The irony that they are in fact the rich is totally lost on them. But the reality is, the war is not on the rich… it is on virtue. They would have to do violence against their own self interest, to make war on the rich, and psychopaths would never do that. The war is against prosperity and virtue… not the rich.

The spectacular increase in the food stamp program as well as the unheard of rise in Social Security disabilities are signs the campaign is succeeding. They show the magnitude of the war our government is waging on us. Those that work are being squeezed on all fronts. Our money is being taken right out from under our noses, our wages are being lowered even as we get raises, our job prospects are diminished by the results of the war on prosperity… and our children will have a much lower standard of living than we had.

Perhaps the best way to understand what is going on, is to listen to Obama’s hero, George Soros, (the guy on the other side of the teleprompter). It was Soros after all who said, “There must be a managed decline in the west.” The war on prosperity is the manifestation of that decline. The problem with decline is that once it starts it is very hard to stop. Sooner or later the managed decline becomes a full slide to oblivion. Then the full weight of government malfeasance will fall on the heads of our children… But in any war there are casualties.


John Pepin

Credit and Blame

Monday, December 3rd, 2012

Dear Friends,

It seems to me, blame is the property of republicans and credit is the bailiwick of democrats, regardless of facts. A case in point, the democrats will never sign a deal with the republicans to avoid the fiscal cliff, unless the republicans are positioned to take all responsibility for the resultant economic disaster looming in the next few years. To put a finer point on this idea, Obama knows the republicans are terrified of blame, and so will turn on their values, constituents and our country, to avoid it. The unbiased media will dutifully carry the water and blame the republicans for any and all negative outcomes while crediting democrats with any small good economic news.

This paradigm is the history of American politics in the Twentieth Century. Historical examples would fill volumes. Woodrow Wilson escaped all blame for the disastrous economic policies he enacted that put the US into a deeper recession in 1920 than the one Obama inherited. It was only the enlightened policies of Warren Harding and Calvin Coolidge that created the economic conditions that led to the economic boom in the 1920’s. Herbert Hoover, the quintessential republican progressive, enacted typically Keynesian policies after the downturn of 1929. His policies were essentially exactly the same as Franklin Roosevelt, but Roosevelt was called a hero, despite the horrendous economy the US labored under during his entire term. Hoover was even blamed for the lack of rain during the Dust Bowl. Roosevelt was credited as a hero of the people despite his naked attacks on Our Constitution coupled with the poor economic performance of the country under his watch.

The unbiased media can be relied on, by the democrats and progressives, to do whatever is necessary to blame republicans and anyone who proposes a return to Constitutional rule. They leap to the defense of democrats and attack republicans at every turn. In the 1990’s Gingrich ran on a contract with America. It was called the contract ON America by the unbiased press. In it he pledged to balance the budget. For this he was called foolish. Clinton claimed it was impossible. When The republicans won the House of Representatives, for the first time since the Second World War, due to the contract with America, Gingrich enacted every segment of his plan. The result was vitriol piled on by the unbiased media… and a balanced budget. Gingrich was then driven from office and Clinton got the credit for Gingrich’s balanced budget.

Obama is doing everything in his power to drive the US off the fiscal cliff. The unbiased media ignore this fact and set up the republicans for blame if and when the talks fail. Obama has given the republicans a noose to put around their necks, by calling on them to declare what taxes they would raise, knowing they will happily hang themselves to get some credit. This sets up the republicans for the inevitable political backlash that will result from raising taxes, and the negative economic consequences, while Obama has taken all spending cuts off the table. Obama has no fear of receiving blame for anything that happens during his watch because it is the unbiased media’s job to ensure that political outcome.

Republicans are falling all over themselves to reach an agreement with the democrats because they know this too. They seek to avoid blame and garner some credit. They have given up on basic republican ideals like limited government, low taxes, and deficit reduction to try, futilely, to avoid blame. In doing so they guarantee blame will land at their doorstep. They are willing to stab their constituents in the back to get unbiased media praise. Praise that will never come their way. After this they will wring their hands why no one votes for them. Of course no one will vote for a political party that is willing to throw their constituents under the bus to garner favor with their political foes. This is why Romney had such a low turnout. He abandoned his base of 60%, of the US population, for the 10% of undecideds. He got the 10% and lost the 60%.

The upshot is that the republican party will either go the way of the Whigs, a new party rising to replace them, or they will stop seeking to avoid blame, embracing it and cater to their base. The pipe dream of an unbiased media, that gives a republican any credit for anything, is just that… political opium smoke. The future of the American experiment is at stake. The unbiased media have chosen sides, the political establishment has made their decision, it is only the American people who are left in the political wilderness. Our children’s future is put at risk by Obama’s policies, but blame is the bailiwick of republicans, and credit the territory of democrats, ensuring more of the same. To the detriment of everyone on the planet.


John Pepin