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So is Steele the RNC Obama?

Started by January 31, 2009 07:28 PM
211 comments, last by LessBread 15 years, 8 months ago
Quote: Original post by nobodynews
That's ok. I think libertarians are well meaning people who are bad at sociology. I think your approach will make a small number of people richer at other's expense and thus make the poor less free in the long run. I disagree with your notion (as I see it) that freedom is equal to total individual autonomy.

So it appears we are at an impasse.



And that's your opinion and you're welcome to it. The point I was making is that contrary to the cigar smoking handlebar mustache villian that is typified when one is an advocate of free market principles, the reality is that most often times, people that advocate the said principles do so because they believe that system best serves humanity.


As to your concept of freedom.

I believe in minority rights, and there is no greater minority than the individual. Collective solutions that require sacrificing individual rights for "the greater good" is akin to bombing for peace or fucking for virginity.

The individual is the atomic component from which liberty is determined. If an individual possesses freedom and liberty atomically, then any number of individuals do as well. This is the first inconsistency in your philosophy.

I also am an anti-monopolist. I believe that monopolies result in concentrating wealth and power in an unnatural way. You are a monopolist. You believe that monopolies benefit society so long as it is tagged with the name "government". When the monopoly falls short you believe it is due to bad administration. Where-as I believe a monopoly falls short because it is a monopoly. This inconsistency relies on your article of faith, that the government monopoly is divinely inspired, and not subject to the laws of men or nature. This is your Divine Right of Kings complex.


So for me, It seems that your philosophy is incompatible with individual rights and that it sanctions monopoly. Indeed, one could make the case that all monopolies spring from government cartelization.

When you argue on a variety of subjects about some civil right, or to rail on some evil corporation it seems you don't understand that your philosophy precludes civil rights, and makes possible the cartelization that the corporation is exploiting. On the thread regarding illegal search and seizure; your philosophy intentionally weakens property rights and then people are in there bemoaning this breach of civil liberties.

Via your philosophy you don't "own" anything. You're simply leasing it from the government. So it is somewhat hypocritical to concern yourself over a "granted" right against illegal search and seizure when in fact you have nothing to illegally search and seize. All things are granted by the state.





"Let Us Now Try Liberty"-- Frederick Bastiat
Quote: Original post by Dreddnafious Maelstrom
And that's your opinion and you're welcome to it. The point I was making is that contrary to the cigar smoking handlebar mustache villian that is typified when one is an advocate of free market principles, the reality is that most often times, people that advocate the said principles do so because they believe that system best serves humanity.

Is that really the reality of it though? Or is it like a minority clamoring for 'equal rights' only to turn around and deny equal rights to a different minority group (like how a high percentage of black people in California voted to ban gay marriage)? That is, on the off chance that free market advocates really do say they are for it because it best serves humanity, how many would really stand by their principles when the free market starts to shaft them? After all, how many in the financial industry would have said they were supporters of the free market days before the collapse that caused many of them to seek a bailout?

Quote: I believe in minority rights, and there is no greater minority than the individual. Collective solutions that require sacrificing individual rights for "the greater good" is akin to bombing for peace or fucking for virginity.

We only know what individual rights ARE by collective consensus. The religious seem to believe rights are granted by their creator, but you don't strike me as religious so that's out. As a practical matter, I don't think that every individual should get to decide what their own rights are because some crazy people believe they have the right to murder, rape, and steal at the expense of others. So 'individuals' must 'collectively' decide what they agree are rights. And I think we, collectively, have decided that we can't allow people to do whatever the damn hell they want, but I see no reason why one person couldn't think that an individual 'right' couldn't include the right to kill people. That is to say, how can you be for minority rights when it's probably impossible to get a everyone to agree on what a minority right even is? And aren't some 'rights' conflicting as well? I really think you're making individual rights out to be far more black and white than they really are.

Quote: The individual is the atomic component from which liberty is determined. If an individual possesses freedom and liberty atomically, then any number of individuals do as well. This is the first inconsistency in your philosophy.
I don't think you're even close to understanding my philosophy, actually. I don't have the skill of language with which to properly describe it to anyone. Partly because my philosphy is, for lack of a better word, ethereal in nature and is essentially founded on paradox. What you're getting is really the fruit of that philosphy combined with my own pyschological development. The fruit just happens to be easiest to communicate to people.

In any case, I think your problem is you think the individual has total rights while at the same time believing that every individual should respect the rights of other people. I suggest that this is a paradoxical thing to believe as the only reason an individual has rights is because other people believe that person has rights. Phrased another way, the minority will only have the 'rights' that the majority gives them. I don't think that's 'great' or 'right', but it seems like it IS and always will be. I can only hope that decency will win out in the end and the majority will just accept what other people do that doesn't directly affect them and will punish people who don't get that. We seem to be heading that way, over all so I'm hopeful.

Quote: I also am an anti-monopolist. I believe that monopolies result in concentrating wealth and power in an unnatural way. You are a monopolist. You believe that monopolies benefit society so long as it is tagged with the name "government". When the monopoly falls short you believe it is due to bad administration. Where-as I believe a monopoly falls short because it is a monopoly. This inconsistency relies on your article of faith, that the government monopoly is divinely inspired, and not subject to the laws of men or nature. This is your Divine Right of Kings complex.
I'm inconsistant? Your argument was a tautology! "A monopoly falls short because it is a monopoly"? You're inconsistency is that you keep talking like governments aren't composed of individuals. You think that the individual is king, but without the support of others an individual will always fail. People NATURALLY group together. If we didn't, if we were meant to be individuals, why would we keep doing this throughout history? Could it be because against a group an individual always fails? And a small group against a larger group almost always fails (My history on this subject is a bit light, but I'd assume that technology being equal the larger group would tend to 'win').

As long as one person will follow another people will group together and as long as people group together we will have government. Why do you think your philosophy will become universal enough to prevent this from happening? What is following another person except a change in their liberty to something slightly less than it was before in exchange for purpose? People will ALWAYS tend to give up something that you consider their rights unless other people band together to protect them from giving up that right. It IS a paradox. I do value individual rights, but everything I know about history suggests that there will always be people willing to give up those rights in exchange for something else and this will always result in some few people having a lot more power. How the hell do you think we began to have monarchs and dictatorships in the first place? Do you seriously think you'll get everyone on board with your philosphy forever or will things just go back to where they are now after a few hundred years?

I don't actually support huge government that controls everything. But I don't think there CAN be such a thing as a perfect system of individual rights. It. Is. A. Paradox. I currently support the government in the hopes that with our current level of technology we can keep an eye on it and that the individual will retain a relatively high level of autonomy. No it's not perfect, but I can see the flaws in big government and hope for a nice hybrid while you seem to be oblivious to the problems with individualism.

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Quote: Original post by nobodynews
Is that really the reality of it though? Or is it like a minority clamoring for 'equal rights' only to turn around and deny equal rights to a different minority group (like how a high percentage of black people in California voted to ban gay marriage)? That is, on the off chance that free market advocates really do say they are for it because it best serves humanity, how many would really stand by their principles when the free market starts to shaft them? After all, how many in the financial industry would have said they were supporters of the free market days before the collapse that caused many of them to seek a bailout?


The issue you're pointing out is similar to the one I'm pointing out, you just don't have the same perspective. It takes a herculean effort to roll back all of the programming involved in growing up under the thumb of a ruling class.

You're right that much of the financial industry would describe themselves as free marketeers and those same people went running for taxpayer money once it was clear it was there for the taking.

Your post is all about paradox; I'm trying to point out the paradox in your philosophy(by your I mean the general progressive philosophy, I don't know you well enough to put you in that specific box, although your initial reply certainly leans you that way)

It seems we can agree that government taking from the public and giving to corporate interests constitutes corporate welfare and is a negative thing. Now based on your myth of government, government is comprised of individuals. The thing is, corporations are comprised of individuals as well.

Why should giving to X group of individuals be different from giving to Y group of individuals? It shouldn't, and it isn't. But your paradox is that you support giving to Y, but not to X.

As for the trend of black voters voting to ban gay marriage. The problem was and is that individual rights should not be voted on. They should be considered inherent in existence. Because your philosophy cedes that rights are a privledge granted by the state you really can have no quarrel with the ruling. What the state gives it is equally suited to take away.

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We only know what individual rights ARE by collective consensus. The religious seem to believe rights are granted by their creator, but you don't strike me as religious so that's out. As a practical matter, I don't think that every individual should get to decide what their own rights are because some crazy people believe they have the right to murder, rape, and steal at the expense of others. So 'individuals' must 'collectively' decide what they agree are rights. And I think we, collectively, have decided that we can't allow people to do whatever the damn hell they want, but I see no reason why one person couldn't think that an individual 'right' couldn't include the right to kill people. That is to say, how can you be for minority rights when it's probably impossible to get a everyone to agree on what a minority right even is? And aren't some 'rights' conflicting as well? I really think you're making individual rights out to be far more black and white than they really are.


Again I disagree. Individual rights are inherent in existence. Another way of saying this is that we have Natural Rights. The boundaries for these rights are easily defined. What you don't have is a right to impede or violate another's rights.

This precludes your reducto absurdum about the right to kill or steal, as they violate another person's natural rights. However, it also points out another paradox. You cede the state as some type of super citizen, that does indeed claim and jealously protect the right to kill and steal. So the government that you are defending is in fact that awful citizen that proclaims it has the right to violate the rights of all others.

Quote: I don't think you're even close to understanding my philosophy, actually. I don't have the skill of language with which to properly describe it to anyone. Partly because my philosphy is, for lack of a better word, ethereal in nature and is essentially founded on paradox. What you're getting is really the fruit of that philosphy combined with my own pyschological development. The fruit just happens to be easiest to communicate to people.


I agree that your philosophy is founded on a variety of paradoxes. [smile]
It must be in order to contort to a pro-state position.

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In any case, I think your problem is you think the individual has total rights while at the same time believing that every individual should respect the rights of other people. I suggest that this is a paradoxical thing to believe as the only reason an individual has rights is because other people believe that person has rights. Phrased another way, the minority will only have the 'rights' that the majority gives them. I don't think that's 'great' or 'right', but it seems like it IS and always will be. I can only hope that decency will win out in the end and the majority will just accept what other people do that doesn't directly affect them and will punish people who don't get that. We seem to be heading that way, over all so I'm hopeful.


This goes back to the issue of Natural Rights. Your position is that rights are granted by the state(the mythical super-citizen), based on your position I can understand your conclusions. But I'd also like to point out that if you were to look at government as less than a holy writ, you would see the nature of your paradoxes.

Quote: I'm inconsistant? Your argument was a tautology! "A monopoly falls short because it is a monopoly"?


My statement was based on the premise that we agreed that monopolies are inherently inferior to non-monopolys, as it regards the concept of a public good. Can I take it that you disagree?

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You're inconsistency is that you keep talking like governments aren't composed of individuals. You think that the individual is king, but without the support of others an individual will always fail. People NATURALLY group together. If we didn't, if we were meant to be individuals, why would we keep doing this throughout history? Could it be because against a group an individual always fails? And a small group against a larger group almost always fails (My history on this subject is a bit light, but I'd assume that technology being equal the larger group would tend to 'win').


Assume for a moment an individual. Imagine his rights as you feel they exist. Now assume two individuals, now three, etc... At what magical number does this collection of individuals assume the right to kill and steal?

If your answer is "there is no number" then you must admit that government is not composed of individuals, and that it is a noun unto itself, and not a pronoun.

If you answer, "a majority", then you are ceding mob rule and shouldn't have a problem with civil liberties being willed out of existence by vote. Indeed, you should absolve your claim of any proclivity to minority rights at all.

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As long as one person will follow another people will group together and as long as people group together we will have government. Why do you think your philosophy will become universal enough to prevent this from happening? What is following another person except a change in their liberty to something slightly less than it was before in exchange for purpose? People will ALWAYS tend to give up something that you consider their rights unless other people band together to protect them from giving up that right. It IS a paradox. I do value individual rights, but everything I know about history suggests that there will always be people willing to give up those rights in exchange for something else and this will always result in some few people having a lot more power. How the hell do you think we began to have monarchs and dictatorships in the first place? Do you seriously think you'll get everyone on board with your philosphy forever or will things just go back to where they are now after a few hundred years?


The reason we have monarchs and dictators is very simple. The power of brute force. One person organized force better than another and ultimately collated into government as we know it today. As population and technology grows generations of lemmings are raised into a cultural environment and groomed to worship at the altar of the state.

New control mechanism and cultural pressures are hatched to combat technology, which as a rule tends to increase the freedom of the populace. This is the reason that China censors the internet, and government regulates personal mobility. In extreme cases you may not leave the country, in the most extreme case you may not leave your cell.

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I don't actually support huge government that controls everything. But I don't think there CAN be such a thing as a perfect system of individual rights. It. Is. A. Paradox. I currently support the government in the hopes that with our current level of technology we can keep an eye on it and that the individual will retain a relatively high level of autonomy. No it's not perfect, but I can see the flaws in big government and hope for a nice hybrid while you seem to be oblivious to the problems with individualism.


Individuals are free to consort with whomever they wish, to combine efforts with whomever they wish. So long as it is consenual no rights are violated. It is the coercive collection of individuals that violates rights. I suffer no illusion that a man on a deserted island is living in the optimal human condition. We are social creatures, and thus were designed to interact as such.

Your point about technology is a valid one. The problem is that as technology rolls out so too do laws pass that regulate them, and by extension, regulate us. It could be that at some tipping point technology will unroll the majority's programming and make government blatantly redundant. At that point do you think the powers that be will roll over and die?
"Let Us Now Try Liberty"-- Frederick Bastiat
I guess the question for me is... who defined Natural Rights? Was it not a group of people? Is it possible for your Natural Rights to conflict with my Natural Rights? If not, why? Someone had to declare that these are our Rights and forced those Rights upon everyone else.

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Quote: Original post by Dreddnafious Maelstrom
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A tax cut is actual whether spending is cut or isn't.


For the purpose of stimulus, a tax cut is only effective in the margin between the tax cut and the budget. If one cuts taxes and increases the deficit, there is a relationship between the tax cut that is a stimulant, and the deficit, which is a retardant.(In the long run especially)


A tax cut is a tax cut regardless of whether or not government spending is cut. A tax cut increases the disposable income of the tax payer regardless of whether or not government spending is cut. If spending is not cut, the government deficit grows. That increases the long term tax burden that may require future tax increases to make up. At any rate, if you're saying that tax cuts don't provide much stimulus, I would have to agree with you. As I pointed out earlier, the most stimulating tax cut would be a payroll tax holiday, producing $1.29 in GDP for every $1.00. That is followed by a refundable tax rebate ($1.26), a temporary across the board tax cut ($1.03), a non-refundable tax rebate ($1.02). Other kinds of tax cuts produce no stimulus at all, just the opposite. They retard GDP considerably. Making capital gains tax cuts permanent would result in $0.37 in GDP for every $1.00 cut. That means retarding GDP by $0.63 per $1.00 cut. A corporate tax cut is worse, $0.30 per $1.00 or $0.70 retardation per $1.00 cut. Making the Bush tax cuts permanent is the worst of the lot, $0.29 per $1.00 or $0.71 retardation per $1.00 cut. These figures were crunched by Mark Zandi from Moody’s Economy.com, a middle of the road Republican not some radical left-wing economist. (See A meaningful stimulus for Main Street October 22, 2008).

Quote: Original post by Dreddnafious Maelstrom
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Quote: Original post by Dreddnafious Maelstrom
In a market with a price based interest rate,(which we don't have, the Fed sets the rate artificially), the pay-off for savings fluctuates according to need. So when businesses are growing to satisfy demand, the bank needs lots of capital and interest rates rise. The response is that people tend to save more money because it's a decent use of their disposable income.

Once demand for capital is satisfied and the bank has the money it needs to loan for productive enterprise the rates go down. Production eclipses demand, prices fall, and a previous good you deferred purchasing seems very reasonably priced. The $100 you would have saved in the past because you got 10% interest on it, now you spend for some product because the money would only earn 1%, and the product is cheaper.

And if you were Brad Pitt, you'd be married to Angelina Jolie! Sorry, but you're veering off on a flight of fancy based on a theoretical condition. Interest rates are set artificially. Stick with that please. The question was closer to "How do tax cuts lead to jobs" not "How can they lead to jobs."


The purpose of that paragraph was to describe the market dynamic, as well as explain an irritant in the manner the market would normally clear. An intelligent reader can discern the product.


Since the actual market does not have a price based interest rate, you appear to have been describing an idealized dynamic rather than what actually happens. There is nothing wrong with that, if you acknowledge that you're setting forward an idealized picture to compare with what actually happens, but you didn't do that. It looked as if you were trying to show how tax cuts could lead to jobs in theory, provided a price based interest rate, rather than how they might work that way in actuality, where interest rates are set artificially.

Quote: Original post by Dreddnafious Maelstrom
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You're talking about spending or saving disposable income here right? It seems to me that a person without disposable income does not think about buying food in this way. In that situation, the "opportunity cost" may well be living to see the next day.


This model provides for that person and for the person on the other end of the spectrum as well. Whether they "think about it" in my way or another is immaterial.


Please show me how that model holds for people at both ends of the disposable income spectrum.

Quote: Original post by Dreddnafious Maelstrom
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Hold on there. What you've pictured is a banker sitting on pile of money with an incentive to spend it. Several links remain between that picture and demand rising.


I explained earlier how demand rises. The benefit of savings is reduced by low returns which means production is fully capitalized, this means there is a surplus of goods and too many goods chasing too few dollars, this is classic econ. Prices fall and demand rises, as purchases become a better decision than savings. Or in economic terms, the opportunity cost of time preference outweighs the benefit of deferred purchases.(In the aggregate no less)


There's a gap in your explanation between the banker sitting on a pile of money and a consumer deciding to purchase now rather than later. What changes for the consumer? What changes for the consumer with no disposable income? It appears that the model assumes that consumers have money to spend. Perhaps that's by definition, a person with no disposable income has no money to spend and therefore isn't a consumer. Granted, reality suggests that everyone is a consumer - everyone has to eat, everyone needs clothes etc. - but maybe the model is built to deal with consumption above and beyond the basic necessities. At any rate, what happens that provides the consumer with money to spend?

Quote: Original post by Dreddnafious Maelstrom
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That more or less describes the last couple of years when interest rates were higher than you described above.


That's correct Less, in the past the actual market clearing rate and the bubble rate were closer aligned. As the two branch in different directions the effect becomes more pronounced. You realize a bank can borrow money from the fed today at an inflation adjusted rate approaching zero right? That's the cost of money right now.


Iirc, the current fed rate is 0.25% (0.0025). That's near zero. That's the cost of money for banks right now. The cost of money for individuals is considerably higher. An advertisement for bankrate.com in the Sunday business section of the local newspaper caught my eye (Consumer Rates): 30 Yr Fixed 5.23%, 60 month new car 7.15%, 3 yr CD 2.45%, 1 yr CD 2.15%. Those are for California and those last two are the interest the banks will pay you to stash your money in a CD.

Quote: Original post by Dreddnafious Maelstrom
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That totally failed to answer the question. I'm not saying that to be argumentative or what have you, but it's just glaringly obvious. How do tax cuts lead to jobs? It appears that you have no idea how it happens, it just happens! Like magic! Poof! Would you care to try again?


I explained it rather exhaustively. If you can't get it perhaps you need to try harder. Disposable income is disposed of in one of two ways, it is either capitalized or consumed as demand. Capitalization enhances the means of production, consumption increases the demand of the fruit of production.

Increased demand of goods and services create jobs.


You were explaining away rather exhaustively, but it appeared to me at least that you had lost the ball in the rough and were having a difficult time getting back to the fairway let alone making it to the green.

Quote: Original post by Dreddnafious Maelstrom
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Would you like me to take a crack at explaining how tax hikes create jobs? [grin]


My natural curiosity would say yes, it would probably be good for a chuckle. But my experience with your lack of attention to detail on detail issues like this tells me it would probably be a weak regurgitation of something you've read, which always ends in dissapointment.


That was a wise crack, but I doubt I would botch the explanation as badly as you did.

Quote: Original post by Dreddnafious Maelstrom
The web, and most media sources are chock full of court jesters echoing Keynes, why burden it with one more?


Actually, arguments in the media asserting that tax hikes create jobs are quite rare. These days it's easy to find arguments that spending creates jobs, not so with tax hikes. That notion exceeds the limit of acceptable discourse.

Quote: Original post by Dreddnafious Maelstrom
Here's my favorite bit from Keynes,
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"Nevertheless the theory of output as a whole, which is what the following book purports to provide, is much more easily adapted to the conditions of a totalitarian state, than is the theory of production and distribution of a given output produced under conditions of free competition and a large measure of laissez-faire."

and just to balance that drivel


Why do you call that drivel? Don't you agree with it? And isn't that why you cited it? That is, by citing that passage aren't you trying to make a connection between Keynesian economics and totalitarian states? It appears that your dislike for Keynes prevents you from seeing areas where you agree with him.

Quote: Original post by Dreddnafious Maelstrom
... out here's something nice from H.L. Mencken.
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The most dangerous man, to any government, is the man who is able to think things out for himself, without regard to the prevailing superstitions and taboos. Almost inevitably he comes to the conclusion that the government he lives under is dishonest, insane and intolerable, and so, if he is romantic, he tries to change it.


How does that balance the first quote? What happens when the most dangerous man is a cynic, not a romantic? Does the most dangerous cynic try to take advantage of the government? If so, how does he remain most dangerous and not simply another cog in the intolerable system?
"I thought what I'd do was, I'd pretend I was one of those deaf-mutes." - the Laughing Man
Quote: Original post by Dreddnafious Maelstrom
I used to think that socialists and "progressives" we're ill willed people that were just bad at math. In time I came to realize that they are well meaning people who are bad at sociology. [smile]


Sociology? Are you sure you don't mean economics? It seems to me that if we look at people who are good at sociology, we are much more likely to find their politics are socialist or progressive rather than libertarian or regressive. Here's one study that backs that up: Social Scientists Lean to the Left, Study Says.

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...
The latest study is based on surveys conducted in 2003 of members of various disciplinary associations. On the question of political affiliation, the survey found the following breakdown of Democrats to Republicans:

* Anthropologists and sociologists — 21.1:1
* Political and legal philosophers — 9.1:1
* Historians — 8.5:1
* Political scientists — 5.6:1
* Economists — 2.9:1
...
Troy Duster, past president of the American Sociological Association, said he was not surprised that Democrats far outnumber Republicans in his discipline. But he said that the suggestion that “some kind of conspiracy” was at work simply was not true. Duster said that the fact that there are more Democrats than Republicans doesn’t show anything about the kind of scholarly work done, and that there is a wide variation of scholarly views within the field.

Duster, who is director of the Institute for the History of the Production of Knowledge, at New York University, said that sociologists and anthropologists, by their training, “look at issues of social stratification and social inequality” and do so from the perspective that inequality is not a good thing. People who spend their professional lives focused on inequalities are probably likely to have “a more progressive orientation,” he said, than people whose professional lives focus on other issues.
...


From that it appears that the dividing line is how one views inequality - specifically "social stratification and social inequality". It would be wrong to say that because one side views inequality as bad, the other must view it as good. The other might not view it at all, might be indifferent to it, might deny that it exists, might deny that it's an important factor. But that raises questions about their abilities as sociologists, as a sociologist who ignores social stratification isn't much of a sociologist.

"I thought what I'd do was, I'd pretend I was one of those deaf-mutes." - the Laughing Man
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Quote: Original post by Alpha_ProgDes
I guess the question for me is... who defined Natural Rights? Was it not a group of people? Is it possible for your Natural Rights to conflict with my Natural Rights? If not, why? Someone had to declare that these are our Rights and forced those Rights upon everyone else.


That's a long subject. You can look to Locke as probably the guy that codified Natural Rights, but it was derived from common law. Hobbes was it's main detractor for the alternate viewpoint.

Natural Rights can't conflict with anothers by definition.

The line by Jefferson in the Declaration of Indpendence, "We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain unalienable Rights..." is referring to Natural Rights.

The purpose of the constitution was to restrain the government from impeding these rights.

"Let Us Now Try Liberty"-- Frederick Bastiat
Quote: Original post by Dreddnafious Maelstrom
... the reality is that most often times, people that advocate the said principles do so because they believe that system best serves humanity.


That can be said as well of monarchism, theocracy, communism and even fascism. Good intentions are not enough to make a bad theory good, but they do provide a sufficient starting point for well intentioned people to find common understanding.

Quote: Original post by Dreddnafious Maelstrom
... fucking for virginity.


Babies are virgins, so that's not as absurd as it may seem at first. [grin]

Joking aside, "Collective solutions that require sacrificing individual rights for the greater good", are not as absurd as letting murder and thievery go unpunished. In other words, the right of an individual to kill another individual must be sacrificed for the greater good. We impose a collective solution to that problem because it would be absurd for us to leave it to an individual that kills another individual to imprison himself for it afterward.

Quote: Original post by Dreddnafious Maelstrom
This inconsistency relies on your article of faith, that the government monopoly is divinely inspired, and not subject to the laws of men or nature. This is your Divine Right of Kings complex.


You trotted that out in another thread, but it doesn't hold up to scrutiny. The Divine Right of Kings complex (as you phrase it), rests on a foundation of religious belief and monarchy. In a secular republic, government derives it's just power from the consent of the governed for the purpose of securing human rights. At least that's how Jefferson laid it out: "We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain unalienable Rights, that among these are Life, Liberty and the pursuit of Happiness. — That to secure these rights, Governments are instituted among Men, deriving their just powers from the consent of the governed..." It looks to me that you have a long way to go in demonstrating that government monopoly rests on divine inspiration, but that you haven't let that stop you from making statements about what other people believe. From what you've written, it's clear that you disagree with Jefferson. That puts your philosophy far outside of the mainstream of American thinking on this subject. Could you elaborate on how the Divine Right of Kings lurks beneath the surface of the Declaration of Independence?

"I thought what I'd do was, I'd pretend I was one of those deaf-mutes." - the Laughing Man
Quote: Original post by LessBread
A tax cut is a tax cut regardless of whether or not government spending is cut. A tax cut increases the disposable income of the tax payer regardless of whether or not government spending is cut. If spending is not cut, the government deficit grows. That increases the long term tax burden that may require future tax increases to make up. At any rate, if you're saying that tax cuts don't provide much stimulus, I would have to agree with you.



A tax cut, that is funded by printing money to cover the shortfall redistribution of income, from top to bottom. So fort he purposes of stimulus it is less effective, being government graft it doesnt necessarily flow to productive venture.

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As I pointed out earlier, the most stimulating tax cut would be a payroll tax holiday, producing $1.29 in GDP for every $1.00. That is followed by a refundable tax rebate ($1.26), a temporary across the board tax cut ($1.03), a non-refundable tax rebate ($1.02). Other kinds of tax cuts produce no stimulus at all, just the opposite. They retard GDP considerably. Making capital gains tax cuts permanent would result in $0.37 in GDP for every $1.00 cut. That means retarding GDP by $0.63 per $1.00 cut. A corporate tax cut is worse, $0.30 per $1.00 or $0.70 retardation per $1.00 cut. Making the Bush tax cuts permanent is the worst of the lot, $0.29 per $1.00 or $0.71 retardation per $1.00 cut. These figures were crunched by Mark Zandi from Moody’s Economy.com, a middle of the road Republican not some radical left-wing economist. (See A meaningful stimulus for Main Street October 22, 2008).


I know who Zandi is, he's the head dude at Moody's that was recommending a buy on Wachovia bank the day it went under. Stellar source I'm sure, he's obviously right on top of it.

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Since the actual market does not have a price based interest rate, you appear to have been describing an idealized dynamic rather than what actually happens. There is nothing wrong with that, if you acknowledge that you're setting forward an idealized picture to compare with what actually happens, but you didn't do that. It looked as if you were trying to show how tax cuts could lead to jobs in theory, provided a price based interest rate, rather than how they might work that way in actuality, where interest rates are set artificially.


There's a detail involved that I guess I didn't communicate effectively. There IS a market based clearing rate, it just competes with the FED. When the FED undercuts it, it is attempting to "step on the gas" of the economy. The difference between the naturally occuring market rate and the FED rate is the margin of distortion.

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Please show me how that model holds for people at both ends of the disposable income spectrum.


Disposable income is umm, disposable right? Thus an amount above subsistence. For any amount above subsistence you can dispose if it in only two ways. Unless you;re arguing that there is a floor to capitalizing your income, which I don't think is your argument.

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There's a gap in your explanation between the banker sitting on a pile of money and a consumer deciding to purchase now rather than later. What changes for the consumer?


God Lord man, I've spelled it out specifically several times.

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The benefit of savings is reduced by low returns which means production is fully capitalized


So if I were to offer you 10,000% return on your money daily, might you not put off buying a television today and instead buy 10 tomorrow and have double the money you started with? Of course you would.

If I were then to offer you .00001% return on your money annually, and the television you wanted was reduced in price by 50% might you not then instead purchase the television? Of course you would.

Yes I'm reducing my example to the absurd. The third time explaining what should be obvious requires it.


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What changes for the consumer with no disposable income? It appears that the model assumes that consumers have money to spend.


As I stated in my original explanation, someone at dead break even after bill's that receive a 20% tax cut would have 20% more money. All of which by definition would be disposable.

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Perhaps that's by definition, a person with no disposable income has no money to spend and therefore isn't a consumer. Granted, reality suggests that everyone is a consumer - everyone has to eat, everyone needs clothes etc. - but maybe the model is built to deal with consumption above and beyond the basic necessities. At any rate, what happens that provides the consumer with money to spend?


You've been very civil man but I can't help but feel you're being intentionally daft. This is basic mathematics. I know you're a smart dude, so I'm kind of struggling with an alternate explanation.



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You were explaining away rather exhaustively, but it appeared to me at least that you had lost the ball in the rough and were having a difficult time getting back to the fairway let alone making it to the green.


I think it's because I fail to point out the very very basic items. I assume a given level of intelligence and knowledge regarding the issue. This isn't some graduate level discussion of the intermarket dynamics, this is "falling prices stimulate demand". Want to buy a Mercedes for 50,000 dollars? NO? How about 5 dollars? Wow.

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That was a wise crack, but I doubt I would botch the explanation as badly as you did.


Let's hear it. "Government magics up money from the great ether and builds bridges and aren't those bridge builders the recipient of jobs?" [smile]

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Actually, arguments in the media asserting that tax hikes create jobs are quite rare. These days it's easy to find arguments that spending creates jobs, not so with tax hikes. That notion exceeds the limit of acceptable discourse.


It's a subtle distinction but you're correct. People fail to equate tax hikes and government spending although they are one and the same.

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Why do you call that drivel? Don't you agree with it? And isn't that why you cited it? That is, by citing that passage aren't you trying to make a connection between Keynesian economics and totalitarian states? It appears that your dislike for Keynes prevents you from seeing areas where you agree with him.


It's a road map, one we are appear intent on following. It is drivel BECAUSE it is true.

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How does that balance the first quote? What happens when the most dangerous man is a cynic, not a romantic? Does the most dangerous cynic try to take advantage of the government? If so, how does he remain most dangerous and not simply another cog in the intolerable system?


I like you man, warts and all [smile]

"Let Us Now Try Liberty"-- Frederick Bastiat
Quote: Original post by nobodynews
People NATURALLY group together. If we didn't, if we were meant to be individuals, why would we keep doing this throughout history? Could it be because against a group an individual always fails? And a small group against a larger group almost always fails (My history on this subject is a bit light, but I'd assume that technology being equal the larger group would tend to 'win').


Don't forget human biology. A baby is utterly dependent on adults for survival. Human beings are social creatures and have always been so (thus the caveman example from earlier was fundamentally flawed). The vaunted notion of the individual is a late development in our history (it flows out of Christianity). I think the development is positive, but can be taken to negative extremes (isolation, alienation, etc.).
"I thought what I'd do was, I'd pretend I was one of those deaf-mutes." - the Laughing Man

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