0 Items  Total: $0.00

Statesmanship

A 2017 State of the Union!

June 28th, 2017 // 7:47 pm @

Where are We Right Now as a Nation, and Where are We Going?

The Not-Quite-New Normal

This is the way we govern now: The White House is the prize. Majorities in Congress are the way to get closer to the prize. And the ultimate goal is to control the Supreme Court, because it now has almost ultimate power on whatever issue it engages.

This is the way we govern now. To win these prizes, the party out of power goes on the offensive. Its mantra is attack, attack, attack. Look at the last 8 years: the party out of the White House (Republicans) attacked the party in the White House (Democrats) with whatever scandal it could. Benghazi. Clinton emails. IRS targeting. Obamacare. Fast and Furious. Loretta Lynch on the tarmac. Obstruction of every White House project they thought they could slow down. Calling ISIS “the JV team.” Debts and deficits. Some of these needed to be openly and loudly addressed, yes. But this is the way we govern now.

This eventually brought Republican majorities in the House. Then the Senate. Finally, the White House. The same happened in the 8 years before that, from 2000 to 2008, only at that point the roles were reversed. Democrats attacked Republicans, especially those in the White House, with everything they could muster. Hanging chads. No WMDs. The outing of Valerie Plame. The Great Recession. The rise of fuel prices from a little over $1 per gallon to about 4 times that. False allegations that President Bush repeatedly skipped out on required military service. Carl Rove and Scooter Libby in a Special Prosecutor gone wild. More debt, big deficits, using the Justice Department to investigate political rivals of the White House. Again, some of these needed to be opposed, but this has become the center-point of our governance.

The eight years prior to that followed the same pattern, with the party roles once again reversed. Republicans attacked the Democrats with allegations of Lewinsky-gate and abusive behavior toward Paula Jones and other women by President Clinton, Impeachment by the House of Representatives for Perjury, China-gate, White House handling of the Waco and Ruby Ridge standoffs, Hillary’s proposed Health Care plan. In the decades before that it was Iran-Contra, “Read My Lips,” etc.

This is how we govern now. It’s not only the perpetual campaign, where even between elections both parties are fully engaged in tearing each other down, it’s also a high-stakes game of thrones where both sides are out for blood—and the losers are the American people. In short, as mentioned, this is how we govern now. And it’s not good for our nation.

Who, What, and Why

In fairness, a free media and open debate that keeps the government under constant scrutiny is necessary and helpful. It is a serious check on anyone in power. Where the American Framers put most of the checks in the hands of competing branches of government, modern technology has significantly increased the power of non-governmental actors such as media, academia, big business, and online providers, among others. When this increases the power and wisdom of the electorate, the changes are positive. But too often the reality is manipulative spin and constant attempts by media to sway the citizens rather than inform them, to guide and convince voters rather than just objectively tell them the facts.

Indeed, a great negative occurs where the electorate is dependent on powerful institutions for its knowledge of the facts and issues we face as a nation—or swayed by the tone in which elites attempt to skew the public’s view of world events. The power of such institutions to prejudice people has only increased with each passing decade and year, and while this has sparked increased media savvy among some people, it has also created a mob mentality, even groupthink, for many others.

One of the reasons many in the media—both Left and Right—loudly decry President Trump’s habit of tweeting is that this cuts such media personalities out of the picture. When top leaders speak directly to the citizens, the media model of the past three hundred years is turned on its head. If this ever works effectively on the large scale, many media professionals will need to find new employment.

But let’s be clear. Accuracy in the news hit a two-decade low in 2009, according to the Pew Research Center (September 13, 2009). Then it hit another low by 2012 (August 16, 2012). In 2016 and 2017, many citizens feel that accuracy is hard to find in any media. In fact, a number of people consider British media outlets more factual about U.S. news than American media organizations that seem increasingly biased. When asked what news is most accurate, the public is split along party lines.

As for the ability of the media to accurately predict elections, it has become clear in the last 5 national-level elections (in 2016 and 2017) that the mainstream media and polling models have it all wrong. They keep predicting the opposite of what actually occurs. The biggest problem in media is that an increasing number of people simply don’t trust it anymore. They want the media to be unbiased, objective, and share “just the facts,” but this isn’t what they experience when they read the daily paper or turn on the nightly news. Gallup reports that popular trust in the media is at an all-time low (wjla.com/news, June 18, 2017).

Important Questions

The solution, of course, is for the regular citizens to step up their game. As former CIA officer Bryan Dean Wright shared (Fox, June 20, 2017), intelligence officers vet their news by looking at “five different kinds of questions.” Citizens today need to do the same. For example, whenever we hear or read a news report, we need to ask ourselves:

  1. Who is the person sharing the news? Does he really know what he’s talking about? [If the source of news is “anonymous,” give it very little credence.]
  2. Is the person sharing the news actually in a position to have access to the original details? Or is he just repeating something he heard or read? [If he’s not the original source, be skeptical.]
  3. What is the motivation of the person/institution reporting the news? Liberal? Conservative? Independent? Objective? What is the reporter’s goal? [In the case of the mainstream media, the goal is often to get better ratings and seek promotions from elite powerbrokers, or even to directly sway people to a different political viewpoint.]
  4. What bias does the reporter/institution have? [If you don’t know, you can’t possibly trust what he says until you find out why he’s saying it.]
  5. Does anyone corroborate the story? Who? Are both sources trustworthy? [Journalists used to print nothing until they had at least two separate named sources confirming the same thing. Now media outlets frequently go to print or air without even one named source. Many such reports have turned out to be entirely false.]

It’s not that journalism schools have stopped teaching the principles and rules of good journalism, but rather that many newspapers and electronic news organizations simply ignore the rules and steam ahead—as long as they feel they can promote their pre-planned agenda. Buyer beware. Or, in this case, consumers of media beware. We’re frequently being lied to.

Indeed, much of modern media seems to approach journalism like the villainous media magnate Magnussen in Benedict Cumberbatch’s recent rendition of Sherlock Holmes. When pressed on accuracy, he says: “Facts are for history books. I work in news.”

Facts vs. News

There is a lot of wisdom in this short statement. It is one of the genuine mantras of life in the 21st Century, and it bears repeating:

“Facts are for history books. I work in news.”

The news in our time has largely become reality television—scripted, planned, twisted to support a pre-determined narrative and agenda. The only antidote is a citizenry that sees through it and responds accordingly.

This is the way we govern now. This is where we are, and where we’re headed—at least in the immediate future. Crisis after crisis after crises…repeated ad infinitum. If one crisis gets resolved, another is already in the wings—just waiting for prime time. That’s Washington today.

Will something change it? Maybe. Maybe not. But that’s not the important question. The true question is whether American citizens will see through the endless crises, attacks, spin, manipulations, and innuendo—and focus their attention on the things that really matter. If we do, and if we only support media and news that actually focus on the important things, and vote for leaders who do the same (regardless of media manipulation) in every election, we’ll help keep the nation on track. The media will howl and moan and scream and whine, but they can be taken with a grain of salt. We should listen to the media, hear what they have to say, but we should take our own counsel as citizens.

Up Next

The following maxim for the 21st Century is needed:

Perception isn’t reality.

Reality is reality. Wise citizens will grin at the uproar when the media is off base, because they know the real story is very simple:

  1. Is Washington deregulating the economy and people’s lives, or increasing freedom-killing regulation? Same with state and local government? Why/Why not?
  2. Is the economy growing or contracting? Why/Why not?
  3. Are we more safe from our enemies or less? Why/Why not?
  4. Is freedom growing or decreasing? Why/Why not?

These four simple questions and answers tell us whether our government is helping us go forward or backward. We just need to keep our eye on the ball. Let the news wail and shriek. Hear what they have to say, and really examine their reports. Think about what you hear, and ponder, analyze, question.

Then apply the four questions outlined just above, and respond accordingly. That’s the real news.

And one more thing: Help as many people as possible do the same.

Because this is the way we should govern: With the American people firmly, wisely, and independently in charge.

Share and Enjoy:
  • email
  • Print
  • PDF
  • Facebook
  • LinkedIn
  • Twitter

Category : Aristocracy &Blog &Citizenship &Current Events &Economics &Foreign Affairs &Government &Liberty &Politics &Prosperity &Statesmanship

Chaos in Current Events!

June 21st, 2017 // 8:50 am @

History is Repeating Itself, But Do We Know Its Lesson?

Cycling Back Around

This is a chaotic time. Political scandals, media lies, shootings and violence based on political disagreements, terrorist attacks in formerly safe places. For the American people, it’s both frustrating and scary.

It helps to step back and take a deep breath, then turn to history for answers. Since patterns frequently repeat, they can tell us a lot about what’s actually happening—beyond the anger and intensity of nightly news reports. They can also tell us what’s coming.

Here’s how things work. Since the beginning of written history society has been split between three groups: 1) those in power, 2) those who have some power but are seeking more of it in order to be at the top of the power pyramid, and 3) other people who just want to live their lives. The good news is that in the United States today, a higher number of people are free to enjoy life and seek to live their dreams than perhaps any other society in known history. That’s worth smiling about, no matter what the news tells us.

On the other hand, a lot of people today have a sense that things are heading in the wrong direction. We have a lot of problems, both here and abroad, and it often feels as if some spark will soon set off some kind of powder keg that leads to real crisis. It’s a feeling like many Americans experienced in the late 1930s and early 1940s, or in the late 1850s and early 1860s. The American founding generation felt it at the beginning of the 1770s. In each of these cases, that sense of unease and anxiety was eventually followed by drastic challenges—Pearl Harbor, the Civil War, the Revolutionary War.

Indeed, according to the cycles of history, we’re in that same turn of the pattern right now. It’s unclear exactly what will happen to bring bigger national crisis, but a lot of people feel a foreboding sense that something momentous is about to come.

The Best of Times, The Worst of Times

To put this in clear perspective, the news right now is a tale of four nations.

One: the business news reports almost daily signs of an economic upturn, more financial opportunity, and budding growth in a rebooting economy.

Two: international news reports increasing terror attacks, alarming danger signs in North Korea, Iran and from ISIS, and a looming energy building for more conflicts ahead with Russia and China.

Three: the mainstream media portrays the Trump White House and the Republican Congress as ineffective, and throws out daily allegations of Administration corruptions, lies, conspiracies and hidden agendas to hurt the nation.

Four: conservative media debunks these mainstream reports and points instead to the kind of alleged corruption on the Left: Loretta Lynch, James Comey, the Clinton Foundation, illegal leaks, violent “Resisters”, DNC collusion with the mainstream media, Hillary Clinton’s emails, etc.

It is amazing how often these competing sources of media tell exactly the opposite story about a given event from the day’s news. Most people listening to all the reports are left deeply confused, or cynical. And those who only listen to one news source are frequently surprised by what friends tell them about the news. “But I listened to the total opposite on the morning news! You must be remembering that wrong.”

To make sense of all this, let’s put aside the noise and distraction. Let’s be as blunt and direct as possible: We are living in one of those historical periods where we face an existence-level conflict. We are literally in the midst of an existential war. Such wars are both cold and hot, violent and emotional. They are deeply rooted in the conflict between major ideas—with two cultures battling to survive, to win, and to thrive. But each side feels that it must fully defeat an opposing culture in order to survive.

Such intellectual wars have always existed, but they only reach a crisis-point like the one we are now experiencing when certain factors align. First, instead of a general conflict among ideas, the populace finds itself facing off in a dramatic disagreement between two major viewpoints, two overall paradigms that cannot peacefully coexist. Second, the stakes are high enough that almost everyone in the society firmly picks one of the two sides. Even people who are usually moderate, or generally centrist in their views, feel strongly enough about the current situation to put aside their typical willingness to see both good and bad on both sides. They now clearly see one side as right and the other as wrong. Many people go further—they see their side as Good, and the other as Evil.

Third, and this is where—according to historical patterns—the real danger sets in, more and more people find their emotions leading them, and they stop really thinking about current events. Symbols, which are always important in society, become the main thing in such eras. Symbols take over. For example, we now live in a nation where millions of people don’t even consider a certain policy if it is supported by the Trump Administration. They immediately think they “know” it is bad, wrong, hurtful—as soon as the name Trump is attached. In contrast, millions of other people have the exact same emotional reaction to anything attached to the name Obama, or Hillary Clinton. Rationality, consideration, and even empathy, are largely ignored. Millions basically turn off their brains and simply react to symbols—and their reactions are emotional, charged, and frequently downright angry. This turns violent more often than in less extreme eras of history.

Diverging Paths

In the current environment, winning has become the only goal for many in leadership, and for a majority of the population. And winning itself is defined as having certain people in power and in office, and/or other specific people out of power and out of office. Nothing but winning is acceptable to far too many in positions of influence and power—both public and in the private sector.

But there is an even worse situation, and it is the one we are now living. This occurs when one side believes that winning is the only important thing, and is willing to go to any length, any extreme, to win, while the other side still believes that some things are more important than winning.

When this happens, the side that only cares about winning becomes truly extreme, loses its moral sense and ethical compass, and goes entirely on the attack, using any means and justification it can muster. The other side, still convinced that morality is more important than winning, holds back, tries to show restraint, and attempts to use reason and appeals to decency to make its case. The result, in history, is mixed:

  • If an election is near, the anger gets channeled to the voting booth and a winning number of voters weigh in and throw their support behind the side arguing for decency, goodness, and wisdom.
  • If no election is imminent, the anger grows and is expressed mostly by the political class: those on the full attack win, while the side seeking reason and decency loses.

We are now witnessing the latter scenario. And history is clear on this point: Nations are drastically hurt by this approach. It tore the United States apart in the 1960s, where we witnessed the assassination of a President and two other major national leaders, along with massive violence, cultural civil war, and the destruction of national trust and cooperation. Similar events tore nations apart during the French Revolution, the Russian Revolution, and Bismarck’s Wars. The French and Indian War, the War of the Roses, the 30 Years War, and a number of others followed the same pattern. World War I took Europe for a similar ride—or, more precisely, a similar culture war culminated in the muddy trenches full of blood and machine-gun casings that webbed the continent in World War I.

In each case, it came down to two great, competing ideas or cultures, large or powerful groups supporting each side, and, eventually, the rise of symbol to extreme levels that incited violence, irrationality, and all-out culture war. We are now witnessing the same stew. Any who aren’t alarmed, or at least deeply concerned, don’t understand the ebbs and flows of history.

The solution, as history teaches, is to clearly identify which idea is right—and reject the other. This finally ended the great conflicts listed above, whether the conflicting ideas were communism vs. democratic free enterprise, a divine right of kings vs. the inalienable rights of all, Nazism vs. parliamentary democracy, imperialism vs. self-determination, slavery vs. individual rights, etc.

Follow or Lead?

To make matters even more challenging, today we are engaged in two such wars at the same time. First, there is the battle of radical Islamic terrorism vs. democratic inalienable rights. The clear winner will be democratic inalienable rights, which is more popular than terrorism among Muslims and pretty much everyone else around the world. Only the terrorists themselves, a very small minority of the world’s population, think theirs is the right idea.

The second great war being fought right now for control of our future is more complex. More difficult. Indeed, it threatens to tear our modern societies apart. It consists of, to put it as directly as possible, the competing ideas of democracy vs. aristocracy.

Elites choose the latter. They think society should be run by a few, and that the rest of us should accept the rule of our “betters.” And be grateful.

This is the underlying battle of our times. It is the war being fought in Washington D.C. between the Establishment and the American voters, and in most of our schools (where young people are largely convinced that success consists of getting a job working for elites, showing gratitude to elites, and kowtowing to elites in return for the promised salaries, promotions, and employee benefits). It is the war being fought on our campuses, and in most of the television programs and movies we consume.

Sometimes the message from schools, campuses, and the entertainment media is blatant, while other times it is subtle. But the message is nearly always the same: “the values of elites are best”, and “the rule of elites in all walks of life is just the way things are—and the way things should be”. This viewpoint is repeated over and over: “The best we can do is fall in line and get the kind of education and careers elites want for us.” Few people are able to spend many years in this system without succumbing to its promises and threats.

Perhaps the very center of this war is the media. Nearly every mainstream media report today communicates the same message: elites are the answer, we all need to adopt and celebrate elite values, all other values are obsolete or inferior, the voters get it wrong when they don’t follow elite media guidance, and the best path for our children is to embrace elite values and get the kind of good jobs that are mostly available working for elites and furthering elite agendas. The message is clear, and it is repeated from many of our most venerated institutions: “Everyone who isn’t an elite, or working for elites, is a loser, an outsider, an inferior.”

The Choice Right Now

This is not an exaggeration. Step back, look at our society today, the culture wars that are brewing, the leaders and their battles, and the news media. We are the world described just above—run “of the elites, by the elites, and for the elites.” The United States is a society at war, and the war is democracy vs. aristocracy. Note that aristocracy is promoted by nearly all of our major societal institutions. We are a world where all men and women are created equal, to paraphrase Orwell, but some, the elites (and those who adopt elite values and work for their goals), are to be treated more equal than others.

When the voters put in presidents and other leaders approved by elites they are applauded by the same elites. Media, academia, television, movies and experts of all stripes laud such officials and those who voted for them. When voters elect anyone who threatens or challenges elite values or goals, these same institutions turn to full attack mode. It’s like a pack of jackals going after their worst enemy. It’s Lord of the Flies. The courts are brought to bear, the media is weaponized, schools and universities become arms of elite propaganda, and the bulk of professionals and experts turn their attention to reversing or amending electoral “mistakes.” The voters must be kept in their place. Their superiors must rule.

Again, to history—it has always been thus. In fact, this is what Burke and Santayana were talking about when they warned that those who don’t learn from the mistakes of history are bound to repeat them. Specifically: The aristocrats have always known how to respond when a bit of democracy raises its head in challenge. They lie, they attack, they use innuendo, they mischaracterize, they publish false reports—followed by more false reports. When they do tell the truth, they spin it to promote their narrative. Where possible, they employ character assassination. If these fail, they look for another way. Any way to bring back elite rule and control.

This can go two ways, history shows us. If the people are swayed by such elite manipulations and tactics, the elites quickly regain their power. If not, if the people hold strong against elitist lies, agendas, and domination, democracy spreads and free enterprise flourishes.

Make no mistake. No matter how it looks (and remember that elites almost single-handedly control how it looks), the battles we witness on the nightly news are not personality vs. personality or even political party vs. political party. Something deeper is afoot. Aristocracy and Democracy are at war. Rule by elites vs. rule by the regular people. This is a true fork in the road. We will either remain a democratic, free enterprise nation, or we will become a fully functioning aristocracy.

This is our choice. Right now. And it boils down to whether we let the media sway our views, or not.

Share and Enjoy:
  • email
  • Print
  • PDF
  • Facebook
  • LinkedIn
  • Twitter

Category : Aristocracy &Blog &Citizenship &Community &Constitution &Culture &Current Events &Economics &Education &Generations &Government &History &Independents &Information Age &Leadership &Liberty &Mission &Politics &Producers &Prosperity &Statesmanship

Increase Your Influence By Ian Cox

April 19th, 2017 // 8:05 am @

by Ian A Cox

The Biggest Question

Wow! That’s deep.

The thought kept recurring as I read. The article, written by an innovator, filled me with numerous ideas—old and new—about Thoreau’s Civil Disobedience. The author showed how this classic work, and others like it, are relevant to national events right now, including the famous–not to mention great–maxim: “That government is best which governs least.”

The author showed how this applies to our current national challenges. The biggest question that came to me as I read  was something we all need to consider:

“How can we increase our influence in a world that seems to be heading in the wrong direction?”

This isn’t just a rhetorical question. We have more power than we might realize. The struggle for freedom resets with every new generation.[1]

We are always one generation away from potentially losing our liberty. Education is key, and understanding freedom is a must for those who hope to protect and spread freedom.

Moreover, the battle for freedom resets in certain predictable ways. In his book We Hold These Truths to Be Self-Evident, Oliver DeMille gives some perspective on this fateful struggle for freedom in the United States after we gained our independence.

Here’s a summary:

  • The House of Representatives was the first to vie for power, as early as the 1790’s. But the executive branch flexed its muscles as well and managed to stop the over-reaching House.
  • In the early 19th Century the Marshall Court pushed for widespread control, but the Presidents during the time were able to largely obstruct court expansion (checks and balances = obstruct).
  • Next, the mid-19th Century saw a resurgence of local governments as prejudices ran rampant and public servants and jurors turned a blind eye to injustice. This was eventually curbed by the exodus of many oppressed groups and minorities to the west, which created new regions and states, increasing the federalizing power (the Electoral College).
  • The States then pushed for dominance of power in the mid-to-late part of the 19th Century, but were beaten by the combined federal powers of the three branches of government.
  • An Aristocratic Senate was the leading power center of the early 20th Century, but it only gained influence where the Court allowed.
  • The Executive branch stole the baton from the Senate in the settling dust of the Second World War, and this continues today. In fact, its aggressive competitor for power is the Supreme Court—both take turns usurping influence.

A great strength of the United States Constitution is the multi-layered governmental system it created, including a network of intricate checks and balances, as outlined above. The price of human nature and usurping freedoms from others is that power doesn’t decrease; it only transfers to other branches that tend to increase their power in order to bring back a proper balance. In each of these eras a complete takeover was thwarted, but power was centralized and freedoms gradually slipped away.

Deciding Our Fate

This power pendulum persistently swings back and forth, from one group to another, until more individuals take up their true duties as citizens (real influence).

This can occur 1) peacefully, 2) when a violent reset happens (like the Civil War), or 3) when our society collapses and something new is established out of the ashes.

The peaceful option is clearly preferable.

These issues and problems are not merely something we need to think about for today and tomorrow. We must embrace these things with a generational perspective. Because they exist on a grander scale, we have to ask the important questions. Are we solving the problem, or are we stopping one problem by creating a new one?

For example, the Civil War was practically written into the original Constitution; it was a paradox in the fabric of the whole system. Either the joint founding ideals of “all men are created equal” and “life, liberty and the pursuit of happiness” had to be done away with, or slavery had to go. Both could not ultimately flourish together.

Likewise, the Mexican-American War (against Spain) was guaranteed as soon as the Monroe Doctrine was adopted. And, once we decided that extensive international relations via broad treaties were in our best interest, we accepted the wars of Europe as our own.

Phillip Bobbitt’s Shield of Achilles shows how we inadvertently embed the battles that future generations must fight into the chinks and weaknesses of the systems and programs we create today. The establishment of organizations like the Federal Reserve, Internal Revenue Service, and International Monetary Fund created the inevitable outcome of hyper-inflation, boom-bust cycles, and fiat currency, to name a few.

To a great extent, we are always creating our future crises.

Is this the society and government we want to fund with our taxes? Is this the group we want to endorse with our good name? To stand with confidence, with a clean conscience, and to fulfill each of our moral obligations, we must ask ourselves the hard questions. Here I reiterate the innovator’s call to action; we must not be the ostrich with our heads buried in the sand–but we also must avoid falling victim to a conquering Caesar (or a Byzantine bureaucracy[2]).

Revolutionary Options

There are a few options that have historically worked in changing a society’s fate. Some of these alternatives are still very possible today, while others are becoming less and less available to most people. Here’s a breakdown of the top three from history:

1) Exodus

You pack up and leave, in hopes of finding a better place to restart. This has happened successfully many times in many cultures, but it is risky. Today there are very limited options for this choice. We have different forms and styles of government to pick from, but there isn’t untamed land that can be cultivated and founded from the ground up.

2) Violence

This is probably the most common form of rebellion. A group raises up arms and fights, in hope of overthrowing or removing tyrants. This method usually fails—not that it doesn’t remove the tyrants from power, but it typically breeds revolution after revolution[3] and more often than not, ends with some new tyrant. In most cases, little actually gets fixed.

3) Civil Influence

In the modern world, civil influence has become the regular, expected, and non-violent form of change. This was brought about in large part by the spread of more democratic forms in societies and governments. As the people’s standard of living, education, and access to information worldwide increases, so does their ability to get involved and flex their muscles as the first and foremost branch of any governmental form.[4] This is the at times slowest method of change, but often the most successful in the long-term.

Where civil influence was once answered with the death sentence (if you weren’t in the ruling class), it is now a real and viable option for any member of society to initiate the spark of change. This requires us, as John Locke argued, to be tolerant. Like the original thirteen colonies, we have now reached a point where the regular people need each other in order to get the right things done. This means we need to work with people who don’t always perfectly agree with us in every detail—or even in many details.

Now, this doesn’t mean we don’t stand for what is right or shirk our moral duties, but rather that we pick our battles. If we are constantly coming out against everything that peeves us, nobody will listen when it really matters (e.g. “The Boy Who Cried Wolf”). Some things will absolutely happen in society that we dislike. But we can’t let disagreement make us disagreeable. It’s actually good that there are differing views on important issues. In fact, we should have a Hamilton and a Jefferson at each other’s throats in cabinet meetings, Congressional floor debates, and Supreme Court decisions–because it leads to more considered and effective solutions in the end.

More importantly, to really have influence, it is helpful not to be the guy who people hate at parties, always harping about the latest issue. Build friends, foster relationships, and focus your political influence when the time and topic are right. That said, be ready and watchful. The right time and topic will come.

Hope for a Better Future

A government by the people will largely be a reflection of the people. It could be a great government if a Moses, Marcus Aurelius, George Washington, Confucius, Muhammad, Cincinnatus, etc. is at its head; but as history has shown, it wouldn’t last. Maintaining a long-lived and successfully free society demands that a lot more citizens think and understand the principles of freedom (at the same level as, or better still, higher level than, our political leaders).

If you and I do this and we invite our communities to do the same, if “we the people” take on the responsibility to govern ourselves, we can and will have the best type of government—one that need only govern least. We must stop passing the buck on the hard things, or someone else will gladly take them up and decide for us. We the people, the first and original branch of government, have always had the most power to check and balance our government, and that hasn’t changed in today’s world.

An elite class can only rule when most of the citizens don’t have the same level of learning.

With persistence, civil influence really can provide proper checks and balances against the potential threats to freedom that naturally exist wherever power resides. In truth, it’s ultimately the only thing that does. It can be difficult. It takes patience, vigilance, study, understanding, and sacrifice.

But it does work.

Notes

[1] See, for example, the struggles of ancient Greece to unite city-states (unity vs. sovereignty), and the same issues in the nations of Europe and later the American colonies.

[2] A much more likely outcome in our situation.

[3] Consider the French Revolution, the Russian Revolution, the Chinese Revolution, etc.

[4] From the American Revolution to Brexit.

About the Author

Ian A Cox is an entrepreneur and consultant who mentors leadership and the Liberal Arts for students and business men and women of all ages and levels. Ian is a popular keynote speaker at educational and business events. He loves reading, basketball, and discussing deep ideas on history and political science. Ian and his wife Emma have two sons.

Share and Enjoy:
  • email
  • Print
  • PDF
  • Facebook
  • LinkedIn
  • Twitter

Category : Aristocracy &Blog &Citizenship &Community &Constitution &Culture &Current Events &Economics &Education &Generations &Government &History &Independents &Information Age &Leadership &Liberty &Mini-Factories &Mission &Politics &Prosperity &Statesmanship

Understanding Trump’s Election, Part Two

March 23rd, 2017 // 11:35 am @

Why Did the American People Give Donald Trump the Presidency?

(If you haven’t read Part One of this article, do so here. This installment is a continuation of that article.)

The Big Question

Now that you’ve read Part One of this article, let’s dig deeper into why the American people elected Donald Trump, and what they expect of him in office. Michael Polanyi brings us to bedrock with another key question: What is freedom for? In other words, what is the true purpose of freedom? We can only understand the differences between the masses and elites (or translate between them) if we know how the two groups answer this profound query.

Is freedom for prosperity of the masses? Or the wealth of a few? Is the purpose of freedom to give power to the few? Or power to the masses?  Is freedom for the protection of the people from every challenge or difficulty that might arise? Or for protecting the inalienable rights of all? What is freedom for?

Is its purpose the improvement of the world? Answer: Yes. But how?

This is a deep question. One of our most pressing modern challenges is that elites and the masses answer it very differently. In other words, they see the purpose of freedom very differently. The American founding fathers knew this, and they gave the masses the voting power specifically to ensure that the masses won this conflict. They believed—based on history—that if elites ever won the tug-of-war between the elites and masses, freedom would drastically decline.

Differing Goals

Elites naturally view the world in one of two ways:

(1) the superiority of the upper classes; or

(2) the superiority of the upper classes combined with the concept of noblesse oblige.

In the first of these, elites see themselves as better than the masses—in other words, they believe that as the more educated, wealthy, and sophisticated group, they know what is best for the rest of the nation. Some elites add to this the view of noblesse oblige, meaning that they feel they have a responsibility to take care of, protect, guide, and help provide for the rest of the people—those they consider their inferiors in this world.

Thus Elite Group 1 believes that the purpose of freedom is to allow the fittest to thrive, the richest to get richer, the more powerful to exert their will on the world. In contrast, Elite Group 2 sees the purpose of freedom as the powerful and wealthy taking care of the rest of us, making sure we treat each other well, ensuring that the poor are financially supported by the middle class. Group 1 could hardly care less what the masses do, they are instead focused on getting more power and wealth for themselves. Group 2 are the opposite: like helicopter parents, they want to exert power in every aspect of our lives, using the authority of government to ensure that they are taking good care of us in ways they “know” we need—ways they believe we are too ignorant or confused to take care of ourselves.

The masses are also split into two major groups: (A) the Bernie Sanders and Elizabeth Warren wing of the masses, who are against Elite Group 1 but seek the support and leadership of Elite Group 2. (B) The other wing of the masses, most of whom supported Donald Trump in the last election, are adamantly against both Elite Groups.

This is the biggest divide in modern American politics and society. Note that the mainstream media is overwhelmingly in support of Elite Group 2. They sincerely believe they know what is best for the masses, and they consider any other view unenlightened, lacking, even dangerous.

The irony purported by such elites is palpable. For example, as recently pointed out by various commentators, on the one hand they decry a wall on the southern border as “racist,” “non-inclusive,” and “uncaring”, while on the other hand many of these same people live in restricted, elite, gated communities. They aren’t against walls per se. Indeed they surround themselves with walls—to keep out the unwanted from their homes and yards.

Likewise, many of those who adamantly call for increased gun control and restrictions on firearms are personally surrounded by well-armed bodyguards, and their estates and homes have the latest security measures and teams of gun-wielding security teams.

Another example: some rail on anyone who supports school choice or wants regular people to be able to send their kids to private schools, as if public school is the only good choice, and then they send their own children to prestigious private schools or hire expensive personal tutors. Apparently private school is great for them, but not for regular Americans. There are many other examples of such hypocrisy in Elite Group 2.

Keys and Locks

In all this, many elites seem to sincerely believe that while they, with all their “superiority” and “entitlement”, deserve such protection (walls, private school, and guns galore), the regular people are racist and intolerant to seek the same thing. Do they actually believe that because of their wealth and status they deserve the special tax breaks and tax shelters they use each year, while the regular people are required to just ante up and pay their full share? Really? This is precisely the attitude and aristocratic smugness the framers wanted to avoid when they refused to let elites choose our elected officials.

Again, the specific reason the American Framers gave the voting power to the masses is to give them power over the elites. This is exactly what elites find most objectionable about the Constitution, the main reason they want to use Supreme Court decisions and treaties (both of which thrive on the kind of fine print that most of the masses never read) and any other means they can discover to change and circumvent the Constitution.

Note also that in modern times large majority of experts—in various fields—have joined the elite classes, both in term of attitudes and values. More national mainstream media experts have become elites than perhaps any other field.

What They Want

But back to the key question: What is freedom for? To elites, the purpose of freedom is almost universally to increase their station. For the masses, in contrast, it is to pursue their happiness—in whatever ways they choose. Once again, these two groups are opposed. To increase their station, elites need the masses to remain below them on the socio-economic scale. To pursue happiness, the masses need the freedom to reach whatever status they seek. Some care about status, others don’t, but the freedom to pursue it, and whatever else they want (as long as they don’t violate the inalienable rights of others) is closely governed by elites in our world. To this end elites have erected numerous systems (including the rules of education, career, promotion, investing, starting businesses, the courts, etc.) that make it easier for their own offspring to attain status, and more difficult for the masses and their children to do the same.

All of this has a direct influence on what the American people now expect of President Trump. The elite classes want him to tack back to the center, meaning they want him to moderate his attacks on things the elites cherish (such as the mainstream media, bigger and bigger government, and national reliance on experts in every walk of life), to talk and act more like elites (they call this “appropriate”, “decorum”, or “presidential”). They want him to get little done in actual policy, to blame Congress or K Street for not really accomplishing what he promised during the election. To be clear, the more the Trump Administration delivers what it promised, the more the power of elites is dismantled. Whether you personally like or dislike president Trump, know this: Elites don’t want to be diminished, so they’ll fight Trump at every turn—and in whatever ways they think might work.

Those who elected Trump—not just his adamant supporters but many others who voted for him, or anyone else besides Hillary Clinton, because they saw a Hillary presidency as true disaster—want him to take on our biggest current national problem: too much elite influence in our society. Elites now control most media, most of academia, most of our leading cultural institutions (e.g. Hollywood, television, pop music, etc.), most government agencies, and a lot of finance and business. The power of elites in the federal government has become stifling, and threatens our Constitutional way of life. Moreover, as we’ve already discussed, they use their power to rig the systems of education, career, investment, etc. in ways that benefit their own children and increase the difficulties of the masses and their children trying to live the American Dream. More and more people now realize, or at least suspect, that the system is rigged against them.

Using Skepticism

The voters want Trump to reduce elite power over government and give it back to the people. Or, failing this, to at the very least reduce elite power over government. To do something that effectively gets rid of the rigged system. If he does this, the elite media will become even more extreme and increasingly vicious in its attempts to stop him.

Note that the elite classes argue for something similar. They want to use American institutions to equalize the American masses with regular people all around the world. This would leave them—the elites—in charge, but put all the masses of the globe on the same footing.

Few Americans who understand this situation support this elite agenda. Trump at least says that he’s trying to put regular Americans on the same footing as elites, not put them on the same footing as the masses around the world—with the elites in charge of us all. This is the great battle.

The media, or course, as a key arm of elites, doesn’t clearly tell the American people that this is occurring. But it is, and it presents a clear and present danger to our society.

The elite classes, including mainstream media, operate using what Polanyi called “the chisel of skepticism driven by the hammer of social passion.” This is a powerful way to see elite and media actions for what they really are. The social passion they cherish is that elites must take care of the rest of us, that they know better than the rest of us, that they—as our superiors—have the training, wisdom, status and wealth to do what we really need, and as their inferiors we should be happy to follow their lead and grateful that they care for us and are guiding us along.

Anyone who sees this kind of smug arrogance for what it really is (…smug arrogance…) is immediately branded “angry” and “ignorant”. Those who persist on this path can expect to be called bigoted, racist, narrow-minded, and eventually evil. This is the social passion of today’s elites, including much of the elite media.

But note: The way elites implement this is to use as much skepticism as possible. Skepticism is often confused with objectivity or journalistic fairness, so even a mainstream media that has long since lost much of its objectivity is able to appear removed and analytical simply by remaining deeply skeptical. This is, in fact, how many in the media are trained. They ask tough questions, but with a skeptical tone, and respond to the answers with even more skepticism. To their audience, this frequently appears to be good journalism.

But those reporting the news get to choose what questions to ask anyone they interview, and as long as they retain a skeptical tone, many listeners don’t realize that people who agree with the reporters are asked easier questions while those with a differing view are asked questions designed to entrap or frustrate. A nod or frown allows media members to sway the audience, yet media skepticism convinces many listeners that the media is treating everyone the same. The same skeptical tone frequently masks the art of spin, even deception. Note also that even media anger sells well as long as it comes in the tone of skepticism.

Skeptical tone allows the mainstream media to continually claim that their focus is truth and justice. Fairness and objectivity, they claim, are their driving purpose. But their definitions of fairness, objectivity, and justice are skewed. The old American Founding view of freedom (to do whatever you want as long as it doesn’t take away the inalienable rights of anyone else) is minimized by the ploy of skepticism. The new definition is to just quit thinking and instead follow the lead of our “betters”—the elite and their paid staffers (most of the experts).

Plans and Purposes

Despite all this, in the last election a majority of people in a majority of states saw through media spin and supported the candidate they considered most likely to oppose and decrease elite power—either Bernie or Trump. And here is the deep reality: if the Trump era boasts a major economic upturn, bringing more financial power to the masses, he will likely maintain such support. If not, it will dwindle or crash. The American masses want reduced power of elites, but they measure this largely in terms of increased economic power in their own personal lives.

These two things, above all, are what his supporters expect from a Trump presidency—or anyone they lift to office: (1) a reduction of elite power, and (2) increased economic well-being for the masses.

Two More

There is a third desire, and a fourth. As Polanyi put it: “The ideal of a free society is in the first place to be a good society.” Once again, elites and the masses define this very differently. Elites see good society as one that follows their ideas of what is good, including letting them (as superiors) rule, and letting them redistribute wealth as they see fit (meaning from the middle class to the lower classes, but leaving elite wealth largely—and conveniently—in the hands of themselves).

The masses, in contrast, see good society as one where they (the masses) rule, so they can keep elites from dominating, a society that benefits everyone and maintains freedom and true opportunity for all. Indeed, throughout history elites have used their rule to keep the masses from wealth and power. The masses see good society as one where people, communities, and groups voluntarily (not by forced government) take care of others and help those in need. The masses also believe that a good society gives them the opportunity to pursue improvement—personal or economic—as they will, as long they don’t violate the rights of others.

When the masses rule, through election that puts in leaders who do what they promised, and the people take care of others and love others voluntarily, and each individual has the freedom to pursue his or her goals without government or class hurdles, the masses see this as freedom. They also see it as good society.

If elites have too much power, the government intervenes in too many things, or the government or elites block our moral pursuit of improvement and advancement (using regulations and requirements, all of which are designed to benefit the elite classes), the masses see this as a loss of freedom and less-than-good society.  This, by the way, is where the majority of people in the majority of states see our nation today.

Finally, the masses want safety. They want national security to be effective and consistent. They don’t want to wonder about who our allies and enemies are, or feel confused about the gap between the White House’s words and its actions regarding national security.

Answers Through Asking

Note that on this topic, the flyover states (and back-road locales that have more electoral college votes than liberals want them to) have also provided more than their share of the military personnel for the nation. When soldiers serve and pay the ultimate price for our freedoms, these flyover parts of the nation and their families provide much of the giving and suffering.

Such people are willing to die, or let family members die, to keep our nation free. Again, the framers knew what they were doing when they established the electoral college—keeping these people relevant in electing the commander in chief.

Contrast this to what the elites seek: to maintain and increase elite power and wealth, and to patronizingly take care of the rest of us. The framers got it right. They gave the masses—not in sheer numbers, but a majority of people in the majority of states through the electoral college—the final election power. They did this on purpose. They did it to keep elites—any group of elites—from getting too much power. This is what elections are for! This is precisely what “democracy” requires. Any arrangement that doesn’t put the regular people in charge of elections is some brand of aristocracy or other elite rule.

The Real Question

What then, can be done between elections to give more power to the masses, less to elites? The answer to this question brings up difficult and disturbing realities. Let’s put this in very simple terms:

  • Are our most important institutions in society supporting the increase of elite power or the increase of power to the people?
  • Specifically: Are we teaching (schools), raising (families), inspiring (parents, churches, entertainment, media), and training the next generation to be independent and wise thinkers (power to the people), or rather to focus on the twin goals of (1) fitting into the system, and (2) getting ahead in the system (more power to elites)?
  • Are we teaching, raising, inspiring, and training them to question and improve the world (more power to the people), or simply to accept the world as it is and try to rise in status and promotion within it (more power to elites)?
  • Do we mostly pass on the values elites want the masses to hold: seeking status and prestige (as doled out by elites), the government as the answer to most problems, the main life goal of being an employee, risk avoidance, trying to impress our “superiors”, and “this is just the way the world is”?
  • Or do we effectively pass on the values of the American framers and modern freedom: service, independent thinking, moral purpose, “your mission in life is the key to your career”, entrepreneurialism, acquisitiveness, innovation, ingenuity, tenacity, and personal sacrifice for God, family and country?
  • Do we most vigorously promote institutions (power to the elites), or principles of truth (power to the people)?
  • Do we believe mostly in experts (power to elites) or the common sense of the people (power to the people)?
  • Do we trust the mainstream media (power to elites), or do we generally distrust the media—just like the American founders did (power to the people)?

This entire question can be summed up by how we educate:

  • Do we educate our young surrounded by the system established by elites for the education of the masses, focused on textbooks, reliance on experts, grades (designed to sort the masses based on their potential usefulness to elites), lectures, grade levels, pressure to fit in and conform both socially and intellectually, and controlled by bureaucracies?Is our educational emphasis mainly what Toffler called the real curriculum of most modern schools: rote memorization, training rather than education, obedience to superiors, and being on time to work?

    Let’s be clear. This is a system designed to increase the power of elites.  (However, ironically, almost none of the elite class educate their own children this way.)

  • Or do we choose the kind of education that has always created nations and generations of leaders, using great books, great ideas, original sources, focus on principles, individual mentors, personalized learning, and lots of discussion and depth? Is our goal to educate young adults who are deep thinking, independent minded, creative, innovative, entrepreneurial, and effective leaders in their chosen work and lives? This is what brings power to the people—those who get such an education.

Indeed, this is the very type of education the elite classes provide for their own children.

What Next?

What do we want for our future?

On the one hand:

Rote education for the masses, and at the same time quality Leadership education for the children of elites?

Or, on the other hand:

Leadership education for all?

This is the true dividing point.

This is our fork in the road for America today.

Which path will we choose? This choice is the deeper reality than what goes on in elections, or in Washington.

This is also the pivotal question of our individual power—are we using it to build the rule of elites, or the rule of the people? The reason elites have repeatedly won this battle throughout most of history is simple: they convinced many of the masses to join them, to focus not on making a better system for all, but rather to focus on trying to seek promotion and status in the education-career-governmental system set up of elites, by elites, and for elites.

Which side are you building and strengthening each day?

Regardless of how you feel about the last presidential election or the current administration, this is the great question of our time. It is vitally important right now, today, because how we answer this question will determine the future for our families and our nation.

 

 

(For more on this great current battle for freedom, and how to help the right side win, see The Coming Aristocracy by Oliver DeMille. You can purchase it HERE>>)

Share and Enjoy:
  • email
  • Print
  • PDF
  • Facebook
  • LinkedIn
  • Twitter

Category : Aristocracy &Blog &Citizenship &Community &Constitution &Culture &Current Events &Economics &Education &Entrepreneurship &Featured &Government &Leadership &Politics &Statesmanship

PART TWO: Free Enterprise is Better than Capitalism

December 27th, 2016 // 7:50 am @

Part II: The Central Issue of the Trump Era*

“The median [U.S.] family debt went from an average
of $25,000 per family in 1989 to over $70,000 in 2010.
It’s getting harder to make ends meet,
and harder to stay financially afloat.”
—The 5 S’s of Money (citing the Center for American Progress)

A missing piece of entrepreneurship-Free enterprise rewardsLET’S get straight to the point. The biggest battle in the Trump Era probably won’t be capitalism versus socialism. It will be free enterprise versus crony capitalism. For America’s future, free enterprise simply must win.

But crony capitalism is far ahead in this battle right now.

To understand this, we need to define some terms. There are two major types of economies: market economies and command economies. The first is based on freedom, the second on force.

Within these two branches there are a number of subtypes, including various kinds of command economies such as socialism, communism, fascism, collectivism and different applications of economic authoritarianism and totalitarianism.

The divisions of market-style economies are sometimes more confusing to people from free societies, because most of us have been trained to evaluate political and economic issues in binary mode where we narrow any debate down to only two sides—such as liberal vs. conservative, socialist vs. capitalist, democratic vs. totalitarian, good or evil, Allies or Axis, believers and atheists, idealists and realists, free or not free, and so on.

That said, we live in an era where the various types of market economics are now in conflict. During the Cold War the world was divided between two great camps, with market economies of all types firmly allied against the command economies–the NATO nations of the West versus the Soviet Bloc and world communism.

But after the Cold War (and especially in the post-9/11 world), this has dramatically changed. There are forces supporting each of the various types of market economies, and these are often pitted against each other in ways unthinkable before the fall of the Berlin Wall in 1989.

Capitalism Deconstructed

Differentiating between these sub-types is important for anyone who wants to accurately understand what is happening in today’s world. When people use the term “capitalism,” they may be referring to any of the following five types of market economies. And the truth is that each of these models has drastically different goals and processes:

  • Mercantilism: A system where the law allows market forces but gives preference and special benefits to the sector of the economy owned (or directly controlled) by the government. Also known as “state capitalism.” This system was historically used by the British Empire. As Parag Khanna put it in 2016: “…all countries practice some form of ‘state capitalism’ today, whether subsidizing strategic industries, restricting investments in key sectors, or mandating financial institutions to invest more at home.” (Khanna, 2016, Connectography, 33)
  • Corporatism: A system where the law encourages market forces and also gives preference and special benefits to the sector of the economy owned by big corporations within the nation, sometimes referred to often as “Big Business,” “The Military-Industrial Complex,” or simply “The Establishment.”
  • Keynesianism: A system where the law allows market forces but gives preference and special benefits to companies and institutions that are so big that they tend to care more about their public image for societal responsibility and promoting social justice than about profit(s), market share or stock value. According to Keynes himself, Keynesianism seeks the goals of socialism through market means.
  • Capitalism (crony capitalism): A system where the law encourages market forces and also gives preference and special benefits to the sector of the economy owned by big capital—including big corporations like in Corporatism, but also wealthy foreign and multinational corporations, and highly influential non-corporate institutions such as rich foundations, moneyed trusts, political parties, well-funded lobbies and special interest groups, affluent non-profit entities, wealthy families, moneyed foreign investors, and others with large amounts of capital. Under this system, the rich rule society, and they naturally influence government to maintain policies that benefit the rich more than others.
  • Free Enterprise: A system where the law encourages market forces and gives no special preferences; it protects equal rights for all individuals and entities and leaves initiative and enterprise to private individuals, groups, businesses and organizations that are all treated equally and with minimal legislation by the legal code.

All five of these sub-types are market-based, and sometimes called “free market” or simply “market economy” systems. But please carefully re-read the differences between these five economic models, because, again – while they are all market systems, they differ drastically in theory and practice.

For the last three generations, these five types of market economics have frequently been lumped together under the label of “capitalism.” While this is technically inaccurate—because capitalism is a sub-type rather than the whole of market economics—this is the way the word “capitalism” has been used and understood by most people.

Under this popular definition, capitalism is synonymous with “market economics” and is a label for the entire free-market model. But even when people use this broader definition, it is important to distinguish which of the five types is being discussed—because the future of freedom under capitalism, corporatism or mercantilism will be a very different reality than it would be under true free enterprise.

So, to summarize, we have five definitions of “capitalism” in the current usage, and another definition which uses “capitalism” to refer to all the five types together. Naturally, these definitions are frequently confused in our contemporary language. Note that even the broader definition of “capitalism” includes every market approach from corporatism and Keynesianism to mercantilism and crony capitalism. In all of this, free enterprise is often forgotten.

Even worse, in the realm of modern politics all five of these systems are frequently lumped together and referred to as “democracy” or simply “freedom.” While this is a partially accurate definition, it confuses the fact that these five kinds of systems behave very differently and offer different results to society.

Madison Weighs In

Understanding the details and nuances of how these words are used is extremely important to maintain freedom. The American founders dealt with several similar language challenges, such as when Madison felt the need to write Federalist Papers 10 and 14 explaining the important differences between democracies and republics.

He also used papers 18, 19 and 20 to clarify the differences between federations and confederations, as well as national and federal governments. Without such clarity, the Constitution would have been confusing to many Americans who were deciding whether or not to ratify it. The fact that today most Americans don’t understand these differences illustrates how far we have devolved from the level of education exemplified by the founding generation.

There are numerous similar examples, and part of being a free people is taking the time to understand the nuances of economic and political freedom and the language of liberty. No nation in history has long maintained freedom at a level deeper than that understood by the regular citizens in the society. And note that few things are more essential for free people than clearly understanding what type of economic system they want.

Based on the definitions above, consider the following three observations:

  1. All five types of market economies are better (meaning they have more freedom, opportunity and prosperity for more people) than all types of command economies.

Even the market approaches with the least freedom (Keynesianism and mercantilism) are significantly better than the command systems with the most freedom (collectivism and socialism).

  1. Still, when comparing the five subtypes of market economies, free enterprise is significantly better (with more freedom, opportunity and prosperity for more people) than mercantilism, corporatism, crony capitalism, and/or Keynesianism.
  1. The United States, Canada, Britain, France, Switzerland, Japan and other leading free nations of the world today have far too much mercantilism, corporatism, crony capitalism, and Keynesianism—and not enough free enterprise.

This is surprising to most citizens of America and the free world. For example, many conservatives in the United States argue that we are a “capitalist” nation or vote for the “capitalist” candidate and conclude that all is well, when in fact free enterprise is under attack from socialism but also just as strongly from mercantilists, corporatists, Keynesians and crony capitalists.

Voters and citizens must know what to look for when a policy or candidate claims to promote “capitalism.”

Real Life Differences

Some might argue that most of this is mere theory, and that the United States today is a free enterprise society rather than a crony capitalist system as outlined here. Such an assumption is incorrect. The U.S. commercial code has numerous laws which are written specifically to treat people differently based on their wealth—and extending special benefits to those with more capital.

For example, it is illegal for those with less than a certain amount of wealth to be offered many of the best investment opportunities. Only those with a high net worth (the amount is set by law) are able to invest in such offerings. This is capitalism, not free enterprise. Under free enterprise, the law would be the same for all people.

Also, in many cities employees of the wealthy are allowed special legal benefits—such as carrying firearms (personally or through body guards), operating under false names, or traveling with different security measures—that are withheld from the regular citizens. However a person feels about gun laws or financial policies, such laws specifically treat the rich and powerful differently than the rest. Crony capitalism gives them special benefits.

This bears repeating: The laws of the United States stipulate that if you have more money you can invest in business opportunities that people with less money cannot (to study this in more depth, see the terms “sophisticated investor,” “accredited investor,” and SEC regulations on private investment offerings). The specific amounts and details are changed by law over time, but we are absolutely a crony capitalist nation where the laws give higher benefits to the rich.

In fact, many of these laws, including all the examples above, specifically benefit the wealthy to the detriment of wage earners. Regular working people are excluded by law from the best investments and various other perks and benefits. This system is called capitalism, and it is a bad system—better than socialism or communism, to be sure, but not nearly as good as free enterprise.

With all this said, the amazing thing is that this reality is basically ignored by almost everyone, mainly because those who point out the flaws of capitalism tend to be promoting socialistic solutions rather than free enterprise.

As a result, people are accustomed to attacks on the rich by those who want bigger government. But almost nobody has experienced those who want more free enterprise and much smaller government pointing out that the rich have terribly unfair legal advantages in our society—and that this is a bad system.

In fact, this is so deeply ingrained in most people that when they hear anyone criticizing the unfair benefits enjoyed by the rich, they seldom believe that the speaker is making a case for smaller, limited government and less socialism. We are so conditioned, that this possibility just does not compute.

Some may say that I am overstating this point. “Of course the rich and powerful are treated differently than the rest. After all, they are rich and powerful!” While this may be true, such a view is itself a symptom of aristocratic society with preferential class divisions. And in nations where the laws and government treat the rich and powerful differently, freedom is always in decline.

In free enterprise systems, the law allows all people to take part in any investments. If there are laws about bodyguards, firearms, using false names, or anything else, they are the same for every single citizen in the nation. This is what free enterprise means, because such a system gives everyone truly equal opportunities. In a system where Congress creates one set of laws for some, and different laws for those with wealth, status, or position, free enterprise isn’t allowed to give people the full benefit it should.

Indeed, in our system, Congress goes so far as to exempt its own members from certain laws and guidelines; this is especially harmful when members of Congress are allowed special financial opportunities that other people are not. Thus it isn’t surprising to see people elected to Congress and within a few terms become extremely wealthy, even though their actual salary could never generate such prosperity. They are allowed (by their own votes in Congress) to make deals that are illegal for regular people. This is crony capitalism, not free enterprise.

The Local Test

Another way to test the level of free enterprise in your society it to start a business in your local area. In fact, start two. Let the local zoning commissions, city council and other regulating agencies know that you are starting a business, that it will employ you and two additional employees, and then keep track of what fees you must pay and how many hoops you must jump through to gain the needed approvals.

At the same time, have your agent announce to the same government officials that a separate company, a big corporation, is bringing in a large enterprise that will employ 4,000 people—all of whom will pay taxes to the local area and bring growth and prestige. (Don’t really announce this—because if it’s untrue you might be breaking the law, unlike big corporations that are allowed to routinely float such trial balloons.)

Then simply sit back and watch how the two businesses are treated. In most towns, counties and cities in the United States, the small business will face an amazing amount of red tape, meetings, filings and obstacles—the big business will likely be courted and given waivers, benefits and government-funded publicity.

Add up the cost to government of both of your proposed businesses, and two things will likely surprise you: 1) how much you will have to do to set up a small business, and 2) how much the government will be willing to spend to recruit the large business.

This is the natural model in a crony capitalist system. Capital gets special benefits and a different level of treatment by the government. The result in such a system is that the rich get richer, the poor get poorer, entrepreneurialism is discouraged, and many jobs, innovation, investments and growth move to other nations.

In contrast, under free enterprise, everyone is treated the same by the law. Free enterprise is a better system than capitalism—it provides more freedom, opportunity and prosperity to many more people.

Bait and Switch

All of this is more than a mere philosophical or semantic argument about which word we should use. The truth is that many people, probably most people, who feel positively about capitalism actually mean free enterprise when they say “capitalism.” The things they admire about “capitalism” aren’t special benefits to the rich and different laws for the rich versus the poor or middle class, but rather a true free market where everyone is treated equally by the law and where each person has true and equal freedom of opportunity.

The problem is that this definition of capitalism seldom makes its way into official government policies or the law. People support free enterprise, which they call “capitalism,” and the government implements public policy that is certainly capitalism (because it favors those with more capital) but violates the principles of free enterprise. This “bait and switch” is one of the main problems with using the term capitalism.

If by capitalism we mean true economic freedom and laws that treat everyone the same, regardless of their level of wealth, and if this thing we call capitalism made it into our laws and became our operational policies, I would ardently support it. In fact, I would support such a system whether we called it free enterprise, capitalism, or even zebra- or giraffe-ism. The system, not the label, is the important thing.

The problem occurs when people support a thing called “capitalism” because they believe it is free economics for all, and then those in power take this popular support and use it to enforce something very different. This is the current reality, and it is hurting the middle and lower classes by decreasing their opportunities and abilities to prosper. Again, most people don’t even realize this is happening to them.

Freedom for All

In short, call it what you will, but we need a system of truly free economics with laws that treat everyone the same. Words mean things, and the word “capitalism” emphasizes special benefits to the wealthy with capital just as naturally as the phrase free enterprise promotes freedom and enterprise for all. Still, it is the actual system that matters, and all of us would do well to carefully observe political and economic details and nuances—regardless of how things are labeled.

When the laws are altered at all levels so that government entities treat all businesses and individuals the same, regardless of how much capital they have (or don’t have) in the bank or as assets, the natural result is the spread of more business, innovation, entrepreneurialism, jobs and economic growth. Free enterprise, not government favoritism of any sort, is the most effective economic model.

If we want to call the future of our society by the name capitalism, fine. But we must find ways to effectively change the current model to a system where the law treats everyone the same by maintaining true freedom and opportunity for everyone—without special government benefits for a few elites.

It is important to recognize that this is about more than quibbling over what word to use. As long as our society gives special legal and financial benefits to elites, while withholding them from the rest of the people, freedom will continue to decrease and the gap between the 1 percent, and even the .01 percent, and the rest will keep expanding. For the typical family, this means they will have to work longer and harder in increasingly scarce jobs in order to earn less and less. This is a bad economic model—bad economically, and bad for freedom and society.

Today’s Major Challenge

To put this all in perspective, the Trump Era is on target to emphasize mercantilism, corporatism, Keynesianism, and especially crony capitalism.

This needs to change. We need to focus on free enterprise.

But first, people need to realize that this is even an issue. The truth is, the battle between free enterprise and other types of capitalism isn’t just an issue right now—it is the central issue of the Trump Era.

We need to start acting like it.

*(Note to Reader: This post is part of an upcoming new book by Oliver DeMille, entitled Free Enterprise versus Capitalism: Battle for the Future of Freedom.)

Share and Enjoy:
  • email
  • Print
  • PDF
  • Facebook
  • LinkedIn
  • Twitter

Category : Aristocracy &Blog &Business &Citizenship &Community &Constitution &Culture &Current Events &Economics &Education &Entrepreneurship &Featured &Generations &Government &History &Information Age &Leadership &Liberty &Mini-Factories &Politics &Producers &Prosperity &Statesmanship

Subscribe Via RSS & Email

Click the icon on the left to subscribe in an RSS reader, or have new articles delivered to your inbox by entering your email address: