Dear Friends,
It seems to me, no matter how much someone wants a thing to be true, if it is not, it is not, and never will be. The desire of a person bears not a whit on reality. We might want to fly without the use of wings, and many have died trying, but the simple truth is, we need the use of machinery to fly. Moreover, no matter how many times a thing that will not work is tried, it will not work. The average man and woman understands this very basic concept, because we are subject to the results of our actions, and we bear the costs of those that do not work, but the elite have no such training in reality. The road is paved for them so they need not stumble. This makes them appear deft but in reality it hobbles them, and profoundly distorts their ability to discern truth from fiction and right from wrong.
Take economics. The elite love and worship at the feet of John Menard Keynes. This economist gave the elite not just permission to deficit spend but he made it a duty. The elite in every country on Earth believe in Keynesian economics. Because Keynes gave them an excuse to do what they really want… tax and spend. There is no thought required to open a checkbook and write a check, especially if the money is earned by someone else.
The elite don’t have to suffer for their bad decisions, the rest of us do. The elite destroy the economy through high taxes and regulation, and they get richer, while the rest of us get poorer. Notice how under Obama, the supposed champion of the poor and middle class, the world economy is muddling along, but the wealthy’s fortunes are sailing? Is it a coincidence, while the wages of Americans have taken a historic hit under this Keynesian, the stock market is breaking records weekly? The answer is simple, money printing has allowed the elite to escape the negative effects of their own policies. You and I on the other hand are stuck in the mire of the Keynesian swamp.
Every time Keynesian economic theory has been used it has resulted in failure of the economy. There is not one example where Keynesian theory has gotten a country out of recession, while every example where this fellow’s theory has been used, has resulted in economic malaise. Some notable examples are, Woodrow Wilson’s magnificent recession, Franklin Roosevelt’s Great Depression, Carter’s stagflation and now Obama’s great recession. Is it coincidental, that the economic times under Keynesians are so unique in their poverty generation, they are named?
The elite so want Keynesianism to work they will never stop trying. They cough up excuses like phloem, “we didn’t spend enough,” or “we didn’t spend long enough.” The answer is never that the policy is flawed. The elite do the same thing over and over, always getting the same result, economic stagnation, but they never tire of it. Largely because they don’t suffer the negative effects, we do. They want Keynesian economics to work so badly they cannot imagine it wont… someday. Since they don’t feel the effects of low wages, except in lower employee cost, they have no problem enacting a flawed economic policy, over and over.
There is an interview of Frederik Hayek on Youtube in which that great economist laments being right. He wrote the book, The Road to Serfdom. In which he extols the virtue of laissez faire economics and the palliative effect of low taxes and regulation on an economy. While Keynes told the elite to print, tax, regulate and spend. Keynes was, and still is a hero to the elite, while Hayek is a villain. The few times Hayek’s policies have been implemented the results were quick and decisive. Under Coolidge the economy surged and we got the Roaring Twenties. Ronald Reagan did it again with similar results, but Reagan was hobbled by a democratic congress that was intransigent, they so loved Keynesian policies they fought Reagan at every turn. Despite the push back, the fact is, Reagan’s policies pulled the US out from Carter’s stagflation and ushered in the boom of the eighties. Obama’s Keynesian policies have eliminated all the economic gains since then.
In the halls of power, the elite sit with their backs to us. They suffer no ill effects of their policies, and to insure that fact, they exempt themselves from their own laws. Like Obama care. Since they never suffer for their own policies they have no incentive to learn. Why would they go about it any differently in the future? Their power is assured by the unbiased media, who dutifully pillory any other point of view, than that of the progressive elite. Listen to what the unbiased media call the Tea Party. For the elite, to do something that has never worked, over and over, is genius, for the rest of us… it is insanity.
Sincerely,
John Pepin
