" A man must always live by his work, and his wages must be at least sufficient to maintain him. They must even upon most occasions be somewhat more; otherwise it would be impossible for him to bring up a family. " -- Adam Smith in Wealth of Nations
Every American can't be a college educated genius as the weak minded now in Washington propose. Every society has people with a wide range of abilities, and people of all abilities need living wage jobs. Our domestic economy must provide those jobs once again. And it very easily can. Consider the following :
We now import over a trillion dollars worth of computers, cell phones, TV's, toys, furniture, appliances, tools, clothes, and car parts annually from countries like China, Mexico, Indonesia, and India; -- corrupt Third World nations where tens of millions are kept desperately poor so that they must accept less than $4000 a year and work 70 hours a week just to survive like animals in polluted slums or crowded barracks.
Do some arithmetic; -- one trillion dollars worth of Third World imports divided by 14 million workers equals a little over $70,000 a worker.
So; if we restored tariffs on slave wage nations and saved a trillion dollars by making products we now import, we would create 14 million manufacturing jobs worth $70,000 a year, eliminate our 500 billion dollar trade deficit, and have 500 billion left to buy all of the oil that we need. ( not want; human greenhouse effects can be reversed -- look up breeder reactors ) We could even afford enough oil ( a nonre-newable national resource ) to put some back in the ground for future generations.
( Note: Because the World Trade Organization mandates permanent most favored nation status [ MFN ] for all of its members, we should withdraw from the WTO.
But in 2000, our Congress voted to remain in the WTO. The result ? A massive increase in outsourcing to " most favored " slave wage members like China, Mexico, Indonesia, and India. )
Over 2500 years ago a Greek named Aesop told a story about a lion, -- the king of the beasts :
" A lion and other animals formed a corporation to provide food. The fox made the plans; the birds found the food; the dogs tracked it down; the wolves dispatched it; the oxen carried it back; and the lion divided it.
After he divided it the lion took one share of the meat for himself because he was their leader, and he took the rest because he was the king of the beasts. The sinews and bones were all that he left. "
The wisdom of this ancient fable still applies today. Those at the top of a corporation decide the value of every member's contribution; including their own. ( through interlocking boards of directors )
And, like Aesop's predatory lion, they usually decide that they 'earned' and should get a lion's share of the profits. ( through some combination of salary, bonuses, stock grants, and stock options )
Consequently effective progressive taxation is absolutely necessary to recover shares unfairly taken by predators and return them to the producers ; ---
"Another means of silently lessening the inequality of property is to exempt all from taxation below a certain point, and to tax the higher portions of property in geometrical progression as they rise." -- Thomas Jefferson
How equal should we be ? -- history and logic suggest that the richest households should have no more than twenty times the average wealth of all households.
( Note: Today " exempt all below a certain point " means no federal taxes of any kind, including payroll taxes, on the first $40,000 of household income; or the first $10 million of estates. )
" A nation may be said to consist of its territory, its people, and its laws. "
--- Abraham Lincoln
America's territory is one of the richest on earth in climate and natural resources. Our people have a range of abilities equal to any other. And so, by process of elimination, our laws must be the cause of our sick economy. This is good news. Territories and people are hard to change. Laws can be changed with a pen and paper; -- and the goal of the laws must be justice.
Why justice? -- and why not freedom? Ask yourself a question; -- Was the American Revolution fought to make us free to be as unfair as England, or to end the freedom of England to be unfair?
The answer is obvious: The American Revolution was not a war for freedom, it was a war against injustice. We were a resource rich foreign territory being economically raped by England. ( a fact that American advocates for military occupations of oil rich foreign territories conveniently forget )
But to establish justice for all, laws must limit the freedom of all. Why? Again the answer is obvious: Look at the people around you; -
are any two of us equal in strength, intelligence, ambitions, empathy and morality?
Of course not! -- no two humans ever were equal, and no two humans ever will be.
Because humans are not equal, they cannot be free, and justice must be the first and highest priority of governments.
This self-evident, timeless truth was noted by many great men of history; ---
" Human nature will not change. In any future great national trial, compared with the men of this, we shall have as weak and as strong, as silly and as wise, as bad and as good . . if all men were just, there still would be some, but not so much, need of government. " --- Abraham Lincoln
" Still one thing more fellow citizens -- a wise and frugal government, which shall restrain men from injuring one another, which shall leave them otherwise free to regulate their own pursuits of industry and improvement, and shall not take from the mouth of labor the bread it has earned." --- Thomas Jefferson
" Every man, so long as he does not violate the laws of justice, is left perfectly free to pursue his own interest in his own way." -- Adam Smith in Wealth of Nations
" Society is produced by our wants and government by our wickedness; Were the impulses of conscience clear, uniform, and irresistibly obeyed, man would need no other lawgiver. Government, like dress, is the badge of lost innocence. " --- Thomas Paine in Common Sense
Putting these flowery arguments in blunt, modern language; There will always be some who are strong but unfair; some who are smart but unfair; and so governments are necessary to see that no one is free to rob others by force -- the power of a superior body, or to cheat others by fraud -- the power of a superior mind.
What then, is the meaning of the word "liberty" in our pledge of Allegiance and the Preamble to our Constitution? Abraham Lincoln answered; ---
" The world has never had a good definition of the word liberty, and the American people just now, are much in need of one. We all declare for liberty; but in using the word we do not all mean the same thing. With some the word liberty may mean for each man to do as he pleases with himself, and the product of his labor, while with others the same word may mean for some men to do as they please with other men, and the product of other men's labor. Here are two, not only different, but incompatible things, called by the same name, liberty. And it follows that each of the things is, by the respective parties, called by two different and incompatible names -- liberty and tyranny. "
The messages from our past are clear: liberty is not a right to be free; it is an obligation to be fair.
Please stop right now!! Go back to the beginning. Read and reread the historical quotations again. Think hard on what they are telling us; -- because in these few quotations are the essence of a nation, the nature of mankind, and the purpose of laws.
To my mind, these quotations present a self-evident argument for a political party advocating liberty and economic justice. And to my mind, these quotations, in combination with the quotations in the chapters that follow, conclusively prove that the platform of that party must include five Capitalist policies; -- fair trade, Jeffersonian pro-gressive taxation, fair enterprise, a publicly owned national currency, and publicly supported federal lawmakers.
( Note: All five policies are essential ; but , because of bribery , all five have been opposed by a majority of lawmakers from both political parties for the last 30 years !! )
But mine is only one 70 year old mind, and I have only one vote.
If liberty and economic justice are to be established in America, a majority of votes are needed.
This need for a majority of votes is very good news; because it tells us that the liberty and justice of Capitalism, as defined and defended in writing by great leaders of history, can be established in America without the votes of the millions of Fox Newspeak junkies and Limbaugh dittoheads who won't read and think for themselves.
But, in spite of this very good news, America still has a " well - funded " ( bribed ) President and Congress promoting the free trade, flat tax policies of Ronald Reagan !! Why ?? -- because the majority of us continue to vote for " well-funded " Reaganites in our primaries.
"Ours is a government of laws and not of men" wrote John Adams.
It necessarily follows that the quality of our laws is determined by the quality of the humans that we choose to write them.
All of which leads to what might be the most important of all self-evident truths; -- A government of the people and by the people can be no wiser than the majority of the people.
I was told that this website, particularly its beginning, was far too impassionate, impersonal, and academic; -- so let me begin again:
I graduated from a western Pennsylvania H.S. in 1960 and spent the next four years attending college full time at night, while working days in a Shenango Valley tube mill. All but one of that valley's tube and steel mills are now gone; bought, looted, and dismantled by predators financed by Wall Street. The predators and their financiers became fabulously wealthy; the towns and the people of the valley were devastated.
During the 1980's I was GTE Sylvania's High Pressure Sodium R&D and manufacturing engineering manager; -- based at their Manchester N.H. plant, but with international responsibilities.
In 1988 our Manchester plant was manufacturing both our parts and products entirely in America, paying our factory workers over $10 an hour, and making a 15% profit.
But we were already considering a core economic policy of Reaganomics -- maximize profits by moving manufacturing to Third World nations; -- he said we should become a " service economy ".
I quit Sylvania in 1988, and a few years after I quit most of their manufacturing jobs were in Mexico. Why? Slave wage labor, -- and contrary to Reaganite propaganda, that is the primary reason tens of millions of American jobs remain abroad today. Reaganism became our nation's disgrace.
Consequently I gave up engineering entirely, studied economic history and theory for about 10 years, made a run for Congress in 1996, and in 2011 published a book titled For a Fair America; the cure for our sick economy. Reaganism ( oligarchic socialism ) is the sickness, and Capitalism is the cure.
In every society throughout history there have been three classes of human behavior; -- the predatory, the productive, and the parasitic. The primary economic activity of predators is always wealth acquisition, they are "the takers"; -- and thanks to the flat tax, slave wage policies of Reaganite lawmakers over the last 30 years, America's mega-rich predators, less than 1% of us, now have a combined net worth of more than twenty trillion dollars, and the bottom 40% a combined net worth of Nothing.
This website, a summary of my book, uses historical writings and facts to show Why we must scrap the predatory, money based economic scheme that Ronald Reagan gave us; and replace it with the productive, labor based policies of real Capitalism, prescribed by rational men, - Adam Smith, Lincoln, Locke and Jefferson among them. Those Capitalist policies include the following:
1. Tariffs on products made by slave wage labor abroad, and a Living minimum wage
2. Jeffersonian progressive taxes on estates and All Forms of personal income --
including stock grants, options, dividends, and capital gains.
3. Federal regulations that promote Fair enterprise.
4. A Publicly Owned national currency.
5. Publicly Supported federal lawmakers.
All Five of these Capitalist policies have been opposed by a majority of lawmakers from Both political parties for the last 30 years. Why? -- because lawmakers from Both political parties have been selling their souls to predators for campaign contributions or retirement jobs worth millions.
This is plutocracy , and these two forms of bribery must end. Unfortunately, thanks to five cretins on our Supreme Court who can't see that money doesn't speak ,
it buys; that end remains voluntary. Consequently my campaign will not accept more than $5 from any individual or organization, and after retirement from law-making I would not accept pay for any form of work in the future. If soldiers can sacrifice their lives or their health for this country, lawmakers can sacrifice their incentives to sell their votes.
But this website has far more important news:
It shows How we can end plutocracy and Reaganism in America, and replace them with democracy and Capitalism.
It shows How Capitalism would create tens of millions of jobs; eliminate our national debt; restore our infrastructure; protect our environment; finance care for our disabled, sick, and elderly; and ensure life supporting after-tax incomes for all.
So Please read the rest of this website, and carefully consider the arguments and policies that it presents; -- before you vote wherever you vote in this country.
I have a confession to make: Prior to 1990 I was a Reaganite. I voted for Kennedy in 1960; -- but for Goldwater in 64, Nixon, and Reagan twice because I was so afraid Lyndon Johnson's 'Great Society' would take from the producers and give to the parasites until there were no willing producers left.
Just as we Reaganites argued, equality in a parasitic Communist state is wrong; -- every adult able to work for a living should be required, by law, to do so.
On the other hand, in a country as resource and climate rich as America, every adult worker could and should, by federal law, receive a wage that will support their family, -- a living minimum wage that Reaganites have always opposed.
( Why federal law? Because otherwise corrupt businessmen will move to slave wage states just as they now move to slave wage nations. )
As a consequence of Reaganite opposition to a living minimum wage, the hourly wages of the majority of adult workers in America fall between the minimum wage of $7.25 an hour and a living wage for a family of four, thereby forcing wives and children to work. ( an indicator of true Reaganite " family values " )
PART 5 EXCERPT ( PUBLICLY SUPPORTED FEDERAL LAWMAKERS )
America's predators ( about 0.3% of us ) now have a combined net worth of over twenty trillion dollars and the bottom 40% a combined net worth of Nothing. Why? Because the flat tax, slave wage policies of privately owned Reaganite lawmakers from Both political parties have been "redistributing" wealth from our producers to our predators for decades.
( Note: The effects of Reaganomics have been entirely redistributive because it did not increase the inflation adjusted rate of GDP growth; -- Eisenhower years +3%, Kennedy/Johnson +4.85%, Nixon/Ford +2.8%, Carter +3.25%, Reagan +3.4%, Bush I +2.2%, Clinton +3.9%, Bush II +2.1%. )
Notes on other Reaganite myths:
The Reaganites' global plantation economy benefits corporations, not American consumers. The profits of the S&P 500 are up over 900% since 1980 in large part because their global labor costs fell while our CPI continued to rise.
Carter's policies did not cause the inflation of the 1970's, and Reagan's policies did not end it. OPEC's tenfold oil price increase beginning in 1973 [ Nixon was president ] started the inflation, and OPEC"s overproduction [ the "oil glut" ] caused a tenfold oil price decrease beginning in 1981 [ Reagan's first year ] that ended it.
'Businessmen' who become mega-rich are not " the makers ". If you still doubt this, read libertarian economist Leonard Read's 1957 essay " I, Pencil " .
Reagan did not end Soviet style socialism, he adopted it. Reaganism, Plutocratic Mercantilism, and Oligarchic Socialism all rest on the same corrupt foundation; --- control of both the government and economy by a mega-rich predator class.
( Note: Read Adam Smith's Wealth of Nations carefully; --- there should not be any mega-rich citizens in a Capitalist society. )
Addendum (Feb. 2013): How do policies that favor 1% of Americans become law ?? Bribed Republicans and 'Democrats' collaborate to disguise them. Consider the tricks they used to sneak a three trillion dollar estate tax cut for their sugar daddies, the richest 1%, past us :
In 2002 a Republican Congress 'temporarily' cut the top marginal estate tax rate from 55% to 50%. They also dropped the rate to zero for one year, 2010; -- a cunning set-up for a permanent rate 'increase' to far less than 50%.
And that is exactly what happened. In Dec. of 2012 a 'Democrat' Senate wrote ( and Obama signed ) the American Taxpayer Relief Act which gave the 1% a permanent 40%
estate tax rate, -- 10% lower than the temporary 2002 rate, and 15% ( three trillion dollars ) lower than the rate would now be if our 'Democrat' Senate and President had
let the temporary 2002 estate tax cut expire. ( Note: That law did let the temporary payroll tax cut for the working poor expire. )
What is the Capitalist alternative to flatter estate taxes? - In his book "Rights of Man" Thomas Paine, a favorite of Jefferson, suggests a twenty to one wealth ratio between the richest and poorest producing families in a society.
Do some arithmetic; Our national net worth ( wealth ) is over 50 trillion dollars and we have about 100 million families, - or $500,000 per family. Twenty times the average family wealth then, is ten million dollars.
So let's be far more generous to our rich than Paine suggested; No estate tax on the first $10 million ( 20 times the average wealth per family ), rising progressively from there to a top marginal rate of 80% over $50 million. [ the pre- Reagan top rate was 77% over $10 million ] This top rate would hit only the richest of our richest 1%, the primary beneficiaries of Reaganite redistribution, and yield at least 16 trillion dollars, enough to eliminate our national ( public ) debt upon their demise; -- and their heirs would still be the richest of the richest 1%.
But suppose that our mega-rich decide not to pay, and they leave America instead? Under U.S. law renunciation of citizenship does not relieve tax liability, and tax evasion is a criminal offense. If we could catch Bin Laden, we can catch them.
Fortunately, despite all of our problems, there really is hope; because the majority have the votes to elect Lincolnites. ( think real Democrats )
What would Lincolnites do to cure our morally ill economy ?? Tax estates and income progressively; Eliminate all federal taxes on household income under $40,000 a year; End outsourcing by restoring tariffs on slave wage nations; End overseas military occupations and secure our borders; Eliminate corporate taxes in exchange for a living minimum wage for all working adults ( at least $15 an hour today ); Nationalize the Federal Reserve; and raise the annual revenue that we need to rebuild our infrastructure, restore the environment, and provide services for our disabled, sick, and elderly.
How would Lincolnites raise that revenue ?? Through a Jeffersonian geometrically progressive income tax increase, starting to rise at $250,000 a year, on any combination of all forms of household income --- including stock grants, options, dividends and capital gains.
Why any combination of all forms of income ?? To eliminate loopholes that allow massive theft and accumulation of wealth by 'entitled' predators.
Rising to what level ?? At minimum the pre-Reagan top rate of 70% on marginal household income over $400,000 a year.
America now has a government of, by and for the predators because they are bribing our lawmakers with campaign contributions, or promises of retirement jobs worth millions.
( these two forms of bribery make term limits nonsensical )
But let's be honest, not critical; -- how many of us would refuse to sell a few votes for a retirement job worth millions, -- particularly if " everyone else is doing it " ?
Laws are the soul of a nation, and lawmaking is the most important job in a nation. The bribing of our lawmakers must be stopped, and there is only one sure way to stop it; -- entirely public financing of campaigns, commensurate pay, and mandatory retirements for life on generous government pensions.
Consequently I would sponsor laws banning private funding of federal campaigns, and pay for work of any kind by 'retired' lawmakers.
The cost would be less than five billion dollars a year; -- a small price to pay for a government of, by, and for all of our people.
HUMANS ARE FAIR, ANIMALS ARE FREE
WHICH OF THE TWO DO WE WANT TO BE ?
John Gutta for Congress
P.S. What can you do to end plutocracy and Reaganism in America? You can help a real democratic candidate for real Capitalism win an election, or even become one yourself. How? Consider the following:
The five core policies of real Capitalism --- printed on a sign as they appear to the right of the picture of my book above, and my $5 contribution limit were so popular that I was personally able to collect 2600 signatures to get my name on the 2014 ballot for a U.S. House seat. ( even registered Republicans were asking permission to sign in support )
And so, using that platform, a few people could collect the 13,000 raw signatures needed to get a real democrat on the ballot for a U.S. Senate seat.
The rest of a democratic campaign is even easier: Set up a website promoting real Capitalism, ask people to read it, to recommend it to others, and to vote -- particularly in the primaries!
If enough of us choose to actively support such campaigns all over our country , and to reject all candidates running moneyed campaigns because they are moneyed, the plutocratic predator class can't retain control of our government.
( 2014 primary post-mortem: Logic is uncommon sense. Mass. 6th Democrats had five choices in their 2014 primary and they picked Seth Moulton, -- the most moneyed. If We the Voters don't stop nominating " well-funded " [ bribed ] candidates in our primaries America will remain the World's largest free trading, flat taxing, banana republic. )
I am a democratic candidate for Congress ( in 2016 ) from the 6th District of Massachusetts, -- so I don't want money; I want time. Please take the time to read this website carefully before you vote; -- particularly the historical arguments for economic justice, classical ( real ) Capitalism, and responsible citizenship -- the only way to end 35 years of Reaganomics ( Oligarchic Socialism ) in America.
" A nation may be said to consist of its territory, its people, and its laws. The territory is the only part which is of certain durability. Our national strife springs not from our permanent part, not from the land we inhabit, not from our national homestead.
Our strife pertains to ourselves -- to the passing generations of men. It is the eternal struggle between these two principles --- right and wrong; the one is the common right of humanity,
and the other the divine right of kings. It can without convulsion be hushed forever with the passing of one generation.
We shall nobly save, or meanly lose the last, best hope of earth. "
---- Abraham Lincoln
Go back to the beginning and read the
today only the words are theirs,
the responsibility is ours.
For a Fair America,
P.P.S. Hot button positions: ---
Affordable care: If you have health you need health insurance; -- public option for all.
Illegal immigrants: Secure our borders; provide a path to citizenship for those already here; federally
mandate a living minimum wage for all working adults; and restore tariffs on slave
wage nations to create tens of millions of jobs, -- more than enough for everyone.
Gun rights: Recreational shooting and hunting should be allowed in restricted areas; carrying in
populated areas by local law enforcement permit. Weapons of mass slaughter should be
banned. Instant point-of-sale background checks by pictured citizenship card.
Territorial waters: 6th district commercial fishing grounds are for 6th district fishermen.
Reproductive rights: Pro-contraception; -- Earth is overpopulated.
( abstinence is anti-sex contraception )
Right to life: Mandatory adoption of all unwanted children by registered pro-life activists.
( children placed by lottery )
Abortion rights: Pro-choice up to 20 week pain threshold, health and quality of life reasons afterward.
( see right to life above )
Gay rights: harm no-one.
4 dead in Benghazi: 3,000 dead in NYC ( and two hopeless wars ) because the Bush
administration ignored FBI warnings about known terrorists taking flying
lessons in Florida.
Middle east policy: Get out and stay out militarily; -- unsophisticated tribal religious fanatics can't
be pacified, and they should be no threat to us. ( see Bush above )
Palestine policy: The U.N. made the Holy Land of three major religions a Jewish state. The U.N. should
correct that mistake by making it a neutral, U.N. controlled and policed religious shrine.
( to the dismay of Bible literalists, this would avoid Armageddon )
PART 2 EXCERPT ( JEFFERSONIAN PROGRESSIVE TAXATION )
" Capital may be produced by industry and accumulated by economy, but only jugglers will propose to create it by legerdemain tricks with paper." -- Thomas Jefferson
Consider a few varieties of our 'juggling' predators and the results of their tricks with paper ( their fraud ):
--- like corporate raiders, spawned by Wall Street in the 1980's, who buy asset rich companies, and then recover the purchase price and extract great profits for themselves by issuing debt against the assets of the companies; -- the debt of course to be repaid by layoffs, wage and benefit cuts, and harder work for the remaining employees. If the companies fail and everyone loses their jobs, so what; - the predators already have their money. What do these predators produce ? -- Nothing
--- or like the savings and loan CEO's of the 1980's, who ( after Reagan foolishly deregulated S&L's and gave them FDIC protection against loss ) used FDIC insured money to give fraudulent loans to swindlers building imaginary homes and malls in deserts, and to give themselves tens of millions in compensation packages. What did these predators produce ? --- Nothing
--- or like the "investment" bankers of the last decade, deregulated by Reaganites and guided by Goldman Sachs, who knowingly financed and packaged tens of thousands of sure to fail jumbo NINJA home loans into tens of billions worth of sure to fail Mortgage Backed Securities and fraudulently sold them all over the world; -- but not before they bought a law ( the CFMA of 2000 ) which allowed them to create the derivatives they needed to place tens of billions in bets that those securities would fail. What did these predators contribute to the economy ? --- Nothing
--- or like the hedge fund market manipulators of today, most of them now working directly with government insured banks since the repeal of the Glass--Steagall Act, who are using the large pools of depositors' money now available to them to buy futures contracts on stocks or commodities ( place bets on the direction of short term prices ), and then buy or short sell just enough of the stocks or commodities to collect on their bets. What are these predators contributing to our economy ? --- Nothing
--- or like that sweet old man in Omaha, Warren Buffett, who spent most of his life eating hamburgers, drinking Coke, and talking on the phone with his investment bankers at Goldman Sachs. Did Warren Buffett produce the fifty billion dollars worth of wealth that he now owns by his labor, or did he take it from the producing class through tricks with paper and the help of Goldman Sachs ?
There is only one rational answer to that question.
All of these free enterprise activities should be forbidden by law or penalized by progressive taxation, and before the Reaganites took control of our government all of them were. Bribed Reaganite lawmakers turned our "shining city on a hill" into a swamp and the scum rose to the top.
But what about 'productive' men like 'the great' Steve Jobs ??? Until he moved their factories to China Apple's stock was worth only $7 a share; -- Chinese slaves made him a billionaire. How do corporate looters like Jobs get so much stock ? They issue company stock that should be sold to finance company operations -- but keep most of the stock for themselves.
In summary: Egomaniacal entrepreneurs have been a great problem ever since a Pharaoh saw a pyramid and thought ; -- " Look what I built ! "
All human creations -- including computers, their programs, HPS lamps, 'my' book, and the pyramids -- are the product of the labor of millions. Without that labor we would all be hunter-gatherers or subsistence farmers. Laws can always make fraud legal, but they can never make fraud right. There never was and there never will be a fair way to "make" a great fortune.
And that is why, as Jesus said; -- "It is easier for a camel to go through the eye of a needle than for a rich man to enter the kingdom of God."
PART 1 EXCERPT ( TARIFFS AND A LIVING MINIMUM WAGE )
" Labor was the first price, the original purchase-money that was paid for all things. It was not by gold or by silver, but by labor, that all the wealth of the world was originally purchased. "
( Note: This is an argument for a labor based economy. )
" Money, no doubt, makes always a part of the national capital, but it makes always the most unprofitable part of it. The great wheel of circulation [ money ] is altogether different from the goods that are circulated by means of it. "
( Note: This is an argument for a publicly owned medium of exchange. )
" By preferring the support of domestic to that of foreign industry, he [ a busi-
nessman ] intends only his own security; and by directing that [ domestic ] industry in such a manner as its produce may be of greatest value, he intends only his own gain, and he is in this led by an invisible hand to promote an end [ the good of his country ] which was no part of his intention."
" By means of glasses, hotbeds, and hotwalls [ heated greenhouses ], very good grapes can be raised in Scotland, and very good wine too can be made of them -- at about thirty times the expense for which equally good wine can be brought from abroad. Would it be a reasonable law to prohibit the importation of all foreign wines? "
( Note: Adam Smith is arguing for domestic manufacturing and natural advantage;
not Reaganite outsourcing for slave wage advantage. )
" The ultimate object [ of Capitalism ] is to enrich the country by an advantageous balance of trade. It discourages the export of the materials of manufacture [ natural resources ], and of the instruments of trade [ machinery and factories ], in order to give our own workmen an advantage. It encourages the importation of the materials of manufacture, in order that our own people may work them up more cheaply, and thereby prevent a greater and more valuable importation of the manufactured commodities."
( Note: Read this statement by Adam Smith again carefully and you will see that the Reaganites have us doing exactly the opposite. The effects? --- high domestic unemployment, depressed producing class wages, trade deficits, and soaring profits for our predator class. )
" In reality high profits tend much more to raise the price of work than high wages. The rate of profit of merchants and master manufacturers is naturally low in rich, and high in poor countries, and it is always highest in the countries which are going fastest to ruin."
( Note: This is an argument for Jeffersonian progressive taxation. Thanks to the Reaganites' flat tax rates and outsourcing the aggregate profit of our predator class is now over twenty trillion dollars, and we are on the road to ruin. )
" A man must always live by his work, and his wages must be at least sufficient to maintain him. They must even upon most occasions be somewhat more; otherwise it would be impossible for him to bring up a family."
( Note: This is an argument for a minimum wage that will support a family. )
" Whenever the legislature attempts to regulate the differences between masters and their workmen, its counselors are always the masters. [ Beware the laws ] which the clamour of our merchants and manufacturers have extorted [ bought ] from the legislature for the support of their own absurd and oppressive monopolies; Like the laws of Draco, these laws may be said to be all written in blood."
( Note: This is an argument for publicly supported lawmakers. )
" The proposal of any new law or regulation of commerce which comes from this order [ merchants and master manufacturers ] ought never to be adopted till carefully examined with the most suspicious attention. It comes from an order of men who have an interest to deceive and oppress the public, and who accordingly have, upon many occasions, both deceived and oppressed it."
( Note: This is an argument for fair enterprise. Study the philosophy of business school 'superstars' who are bribing lawmakers from both parties with campaign contributions or promises of retirement jobs worth millions; -- anything legal goes, profits first, products second, the environment and people last. )
" Every man, so long as he does not violate the laws of justice, is left perfectly free to pursue his own interest in his own way."
( Note: This is Adam Smith's declaration for liberty and economic justice !! )
Clearly, Adam Smith would have wanted a 'democratic socialist' like Bernie Sanders in the White House, and a lot fewer Republicans and 'new Democrats' in Congress.
PART 4 EXCERPTS ( A PUBLICLY OWNED NATIONAL CURRENCY )
QUOTES FROM ADAM SMITH, THE FOUNDING FATHER OF ( REAL ) CAPITALISM; ---
1. tariffs on products made by slave wage labor abroad, and
a living minimum wage at home
2. Jeffersonian geometrically progressive taxes on estates
and all forms of personal income
3. federal regulations that promote fair enterprise
4. a publicly owned national currency
5. publicly supported federal lawmakers
A woman who read my quote laden campaign pamphlet in 1996 asked me a question: " Don't you have any ideas of your own ? "
The answer to her question was obvious: There are no better ideas, and there is no other solution.
A neighbor who read my book in 2012 asked me a question: " Why should anyone listen to you ? "
The answer to that question is a question: Considering the quality of the men whose ideas I borrowed, why are we still listening to Ronald Reagan ??
Dec.11, 2014: The House spending bill includes Reaganite riders that significantly increase freedom for predators to scam or to bribe. One weakens regulations on derivatives, the other increases donor campaign spending limits by hundreds of thousands. Closet Reaganites Obama and Harry Reid are urging House Democrats to vote for the bill. It should be opposed until those riders are removed.
Dec. 12, 2014: It wasn't.
Dec. 2014: For the last 30 years, like the big enders and little enders of Lilliput, both Democrat and Republican voters have been arguing that their free-trading, flat-taxing, bribed lawmakers are better problem solvers than the other side's free-trading, flat-taxing, bribed lawmakers.
Open your eyes, voters; -- The problem is free-trading, flat-taxing, bribed lawmakers.
Feb. 2015: Our Christian right has been fooled; -- the gods in America are those with the gold.
March 2015: In every society throughout history there have been three classes of human behavior; --- the predatory, the productive, and the parasitic. Reaganites believe that the parasites have been the successful ( dangerous ) takers ; Lincolnites believe that the predators have been the successful ( dangerous ) takers. The richest of our richest 1% have a combined net worth of 20
trillion dollars, and the bottom 40% a combined net worth of nothing ; - So which side is right ?
" Government, possessing the power to create and issue currency and credit as money, and enjoying the right to withdraw currency and credit from circulation by taxation and otherwise, need not and should not borrow capital at interest. " -- Abraham Lincoln
Which brings us to the greatest scam of them all; - that privately owned corporation, cunningly called the "Federal" Reserve, that buys all of our currency from us ( the nation ) for a penny a note, and then lends it back to us ( the nation ) for face value plus interest.
The proof for this statement is contained in quotations from economics textbooks, primarily those from pages 237 and 238 of a Federal Reserve bankers' handbook -- "The Federal Reserve System" edited by H.V. Procknow, vice president of The Federal Reserve Bank of Chicago ---
" All paper currency is in the form of Federal Reserve Notes issued by Federal Reserve Banks. . Federal Reserve Banks are owned by the member banks in their districts. . Federal Reserve Notes are produced at the Bureau of Engraving and Printing in denominations ranging from $1 to $10,000. . The Reserve Banks pay only the cost of producing their notes, about one cent per note, no matter what the denomination."
So there it is in print for anyone to read; -- All the currency of America was produced by our government and sold to private bankers for a penny a note no matter what the denomination. The bankers then lent it back to the government, or to the general public, for face value plus interest.
The interest on " their " currency has been compounding since 1913, and "We the People" ( the government ) now owe more than 16 trillion dollars; -- almost all of it unpayable interest charges for the existence of our national currency.
The producers of that currency, the printing press operators, didn't charge our nation trillions of dollars in unpayable interest; predators who produced Nothing did.
To demonstrate that the interest is unpayable, Lend a dollar to a friend at 5% interest; -- obviously he can repay you by working for someone else in our nation who pays him the dollar and the interest.
But now let your friend represent the entire nation including the government, and the dollar all of the currency; -- your friend could return your dollar, but where could he get the interest? The answer is obvious; -- there is nowhere he could get it.
Furthermore, if he returned the dollar ( the principal ), there would be no currency left in the nation and almost all economic activity would end.
The Capitalist remedy?? -- Nationalize the Federal Reserve ( and with it "their" notes ) to create a publicly owned currency and a central bank that, through federal deficit spending, injects any additional currency into our economy principal and interest free to the government at a rate tied by law to domestic wealth production.
The last condition, tied by law to domestic wealth production, is vitally important for two reasons:
First; -- a nation always devalues its currency when it creates money at a faster rate than the labor of its people produce wealth at home.
Second; -- a nation always devalues its currency when it buys more wealth from abroad than the labor of its people produce and export from home.
Consequently a Capitalist economy must be domestic labor based; and a Capitalist nation should produce all of the goods and services that it can at home, and buy nonrenewable resources ( like oil ) from abroad.
CLOSING ARGUMENTS EXCERPT
PART 3 EXCERPTS ( FAIR ENTERPRISE )