FROM Doug Casey's International Man:
A Chicken In Every Pot

By Jeff Thomas

Socialists will love America to death.

Collectivism will always eventually destroy the economy of any nation, no matter how great it may be.

That’s a pretty powerful statement. Is it historically supportable? Let’s visit a current example – Venezuela – to examine the overall process of collectivism, then look at a few other historical cases and see what we can learn.

Venezuela – 17 Years of Collectivism

In 1980, Venezuela was deemed to be the fourteenth most economically free country in the world. Today, it’s a veritable train wreck, having failed in every conceivable way. How did this happen? Was it just bad luck? No, quite the contrary.

Venezuela’s prosperity was fueled primarily by the export of oil. The downward spiral began in the 1980s as a result of a drop in the world oil price. Until that time, there had been strong public support for the free market, but diminished oil receipts resulted in a decline in living standards for most all Venezuelans, which left them open to claims by collectivist political candidates that the wholeproblem was the free market. In 1999, they elected Hugo Chávez, who promised to solve the problem through collectivism – the promise of a chicken in every pot.

Mister Chávez began to take from the “haves” and provide largesse for the “have-nots.” Not surprisingly, he was highly praised by the have-nots. So, he went further. He nationalized many of Venezuela’s industries. Industry became less and less profitable, so less and less money flowed through the system each year. Eventually, the revenue to the government was insufficient to pay for the promised largesse. The leader then died and the new leader, Nicolás Maduro, inherited a zombie economy. In desperation, he introduced capital controls and increased nationalization and regulations, hoping to squeeze as much as possible from the economy before it went off the cliff. The result was a fully dysfunctional economy, replete with massive job losses, increasing shortages, and, finally, starvation.

Again, having once been number fourteen on the list of economically free countries, Venezuela is now at the very bottom – at number 152 – as a direct result of collectivism.

As Margaret Thatcher once said, “The trouble with socialism is that, eventually, you run out of other people’s money.” Quite so. It does take a while, however. A newly collectivist state at first appears to be solving problems. What it’s really doing is feeding off of past profits. It gobbles up the economy’s store of nuts, but when these nuts are gone, that’s it – there’s no more, and the economy collapses. People starve.

Venezuela now has increasing shortages of food, hyperinflation has set in, the government is totally corrupt, the government is running out of funds for entitlements, and government healthcare is overburdened and failing. Like Cuba in the 1980s, there are no longer any dogs or cats on the streets of Caracas, and for the same reason as in Cuba – they’re being eaten by those with no other source of protein.

USSR – 74 Years

Vladimir Lenin introduced collectivism to Russia in 1917. He was able to do so because a revolution had just been completed by the people of Russia as a result of their dissatisfaction with a decline in the standard of living of most Russians. For decades thereafter, capitalism existed within the primarily communist system, but eventually, the parasite sucked the host dry. The USSR collapsed in 1991 for the same reason Venezuela is collapsing today.

China – 29 Years

Mao Tse-tung took over China in 1949 with a collectivist regime. But the 10,000-year rule he promised fell a bit short. It ended in 1978 in an economic dead-end. It followed the same path as the USSR, but the process was quicker.

Cuba – 57+ Years

Cuba lasted a bit longer. In the 1950s Cubans had become dissatisfied, due to the decline in the standard of living for the majority of Cubans, and were ripe targets for collectivist promises. They welcomed Fidel Castro in 1959. Cuba limped along for decades, but in recent years, the coffers of the state have dried up and the only hope to keep paying the salaries to government leaders lies in the grassroots cuentapropista movement – a rebirth of the free market. Collectivism in Cuba is nearing its end.

In each of the above countries, the pattern has been roughly the same.

  • A formerly prosperous country experiences a period in which the standard of living for the majority of citizens drops significantly.
  • The voters react by electing a new leader who promises a chicken in every pot (in essence, collectivism, although it is not always called that at the time of the election).
  • The new leader begins to rob the producers of wealth to provide largesse for those with less. This has a direct positive benefit for those with less, resulting in an increase in voters supporting collectivist promises over a period of years.
  • Over time, the free market experiences a permanent loss of wealth, resulting in diminished largesse for those who are now dependent upon it.
  • The government imposes increasing capital controls and other regulations, which deteriorate the free market more severely, causing inflation, shortages of goods, loss of jobs, and eventually starvation and systemic collapse.
  • The voters choose a new leader who promises fiscal responsibility.
  • With a return to a freer market, prosperity slowly reappears.

See Sociopathy Ruins America with particular attention to Machiavelli's analysis of the patterns of civilizations. In Florence, Italy during the Renaissance (1532), his analysis has played out repeatedly in reality with many countries over centuries.

The pattern is a predictable one because it’s based on human nature. An economic downturn occurs. The voters become suckers for false promises. The new collectivist government appears successful at first, because it’s feeding off the remains of the free market. But, eventually, it destroys the free market and collectivism crashes and burns.

So what does the above review tell us? Has the world learned its lesson? Not at all. What we can surmise from the above is that, whenever the standard of living for the majority of citizens drops significantly in a jurisdiction, the voters will be ripe for empty promises. In every such case, collectivism will appear to be the best solution.

Collectivism is by its very nature a parasitical system that creates nothing. [Editor's Note: Hmm, go here for a minute.] It therefore will always eventually destroy the economy of any nation where it’s implemented, no matter how great that nation may be. The only uncertainty is the number of years required for destruction.

Today we’re witnessing the collapse of the primary jurisdictions of the former “free” world. They’re operating on a quasi-capitalist system that has been eroded by repeated injections of collectivism (primarily socialism and fascism). Increasingly, voters in each of these jurisdictions are becoming convinced that the promises made by collectivist candidates “just make sense.” [Editor's Note: nope, I remember the promise of "hope and change". I didn't believe the promise then nor any today. The federal government is slowly destoying the USA.] As the system continues to spiral downward, as it inevitably will, the scales are likely to tip, not in the direction of a return to the free market, but in the direction of full-on collectivism.

Anyone who believes this country is free is an idiot!

RESTORE AMERICA! CUT GOVERNMENT 50%!

"The politicians only want power so they can 'serve' you."

"Extortion and thuggery are good things when they're called law!"

Larken Rose

Joseph Story, Supreme Court Justice
... when the court wasn't part of the L-E-J Cabal

 

Joseph Story (1779–1845) was born during the American Revolution, and came of age in the early years of the new United States of America. He was a scholar of the U.S. Constitution, and, eventually helped found the Harvard Law School.

In 1811, Story was appointed to the Supreme Court by President James Madison — who knew a few things about the U.S. Constitution, in that he helped write it. Story was a contemporary of another famous member of the Supreme Court, Chief Justice John Marshall (1755–1835).

In 1833, Justice Story published a study titled, Commentaries on the Constitution of the United States. In a discussion of the Second Amendment, Story stated:

"The right of the citizens to keep and bear arms has justly been considered, as the palladium of the liberties of a republic; since it offers a strong moral check against the usurpation and arbitrary power of rulers; and will generally, even if these are successful in the first instance, enable the people to resist and triumph over them."

See the following links for more related articles:

[Editor's Note: what I have dubbed the "Legislative-Executive-Judicial Cabal" which the American People have caused by ignoring the generational transition from our Constitutional Republic to what now is, in effect, an "elected" dictatorship. Never mind who is elected. Never mind which bogus party is in power. The superficial, theatrically staged, choreographed appearance of debate, disagreement, and stalled legislation always resolves into more government and less FREEDOM. We the People still lose more freedom after every "emergency" or unnoticeably when CON-gress passes another general, open-ended law that enables the Executive (dictator) and its unaccountable agencies to formulate more freedom-restricting regulations (200 pages a day get posted to the Federal Register). The "Dictator's" agencies (police force) continue to pile-up more weapons to squelch uprising(s) when the People finally realize and understand their tyrannical government.

A Convention of States is necessary to amend the Constitution for Congressional Term Limits to twelve (12) years and restrict time in DC to only six (6) months per year. Such an Amendment is only a FIRST step in restoring America to its Constitutional roots. Back in the day when the People still feared kings, the president's term was limited by Constitutional Amendment.

Currently, CONgress is just a group of socialists, progressives, and faux-conservatives (career politicians) that, on a daily basis, ignores the Constitution, many of their own past statutes, and cedes their responsibilities to the president ("elected" dictator). A comparison to the history of Rome becomes more and more credible with the Executive and its "featherbedded" lackeys gaining more power while CONgress sits back all fat-dumb-and-happy.

CONgress has made recent efforts to expose State Dept. failures in Benghazi (inept political leader), Fast-and-Furious gun-running (criminal AG), IRS 1st amendment violations, gov't union Veterans Administration fraud, and whining about Obama(Reid)-killer-Care, but these efforts are mostly politics as usual. Most "citizens" will forget about these infringements from our unaccountable, uncontrollable Executive branch with its tyrannical agencies staffed by socialist unions that extort "juicy" contracts from the "elected" dictatorship.

Most positions in the federal government whether elected, appointed, or hired are nominal, make-work jobs (confidentially) designed merely to grow government, bilk money from private businesses and citizens, and eventually fully transform America into a totalitarian state. When this happens, CONgress will have destroyed the economy and the country by their negligence and counter-liberty policies, and it will be almost impossible to Restore America. The 'Restore America' list is only a beginning too.]

"The accumulation of all powers, legislative, executive, and judiciary, in the same hands, whether of one, a few, or many, and whether hereditary, self-appointed or elective, may justly be pronounced the very definition of tyranny."

James Madison, Federalist Paper 47, Friday, February 1, 1788

Anyone who believes this country is free is an idiot!

RESTORE AMERICA! CUT GOVERNMENT 50%!

"Extortion and thuggery are good things when they're called law!"

Larken Rose

[Editor's Note: a Constitutional Convention is required to reverse the damage to freedom and liberty since 1900. This Article V was ratified by the participants at America's founding Constitutional Convention as an alternate path for repairing damage to freedom and liberty, a path for the People to restore damage caused by our failed representatives in the Legislative, Executive, and Judicial branches of a government designed to represent the wishes of We the People.

The States must "demand" a Convention and explicitly specify an agenda of:

  1. laws to be repealed or modified,
  2. Amendments to existing constitutional clauses that define the co-equal branches to further specify and define, and
  3. new Amendments or statutes to be eventually ratified by States.

These Amendments should further specify and clarify the powers of the Legislature and Executive Branches. A good example is the definition of a "Bill". A Bill should contain ONLY verbiage in regards to the topic of the future law. NO earmarks and NO unrelated sections or attacments.

Many past Bills sent to a president for signature contained unrelated but essential funding sections that rendered the Bill veto-proof when it warranted a veto. CON-gress can override a veto if the Bill is deemed absolutely necessary by CON-gress. If the Bill requires SPECIFICALLY related amendments, the CON-gress can "debate" (with its usual theater) and vote any new amendments.

The original text of the Constitution contains some very GENERAL clauses enabling both CON-gress and Executive branches to write laws and regulations with their particular nuances expanding powers beyond intent. "Intent" may be gleaned from a complete understanding of Federalist Papers. An example of further specification and clarity for CON-gress should be a clear, very specific definition of the boundaries for the interstate Commerce Clause.

To restore freedom, liberty, and individuality - minimally these must be repealed:

  1. the 16th Amendment,
  2. the Federal Reserve Act,
  3. the War Powers Act,
  4. all Asset Forfeiture laws,
  5. the Controlled Substances Act (CSA)
  6. the P.A.T.R.I.O.T. Act
  7. NDAA
  8. Homeland Security which includes TSA
  9. the Dodd–Frank Wall Street Reform and Consumer Protection Act
  10. most Eminent Domain laws, and
  11. the Affordable Care Act

Currently, even with computer-searching systems, the list of antiquated and/or obsolete statutes (and related regulations) is unwieldy. These statutes must be invalidated unless there remains an applicable reason for retaining the law(s).

Aside from invalidating statutes, there are many regulations that are biased in favor of large enterprises (who buy support from bureaucrats) at the expense of the competition, effectively repressing the Free Market. Any regulations not related to public safety that gives a financial advantage to some companies over their smaller rivals must be rescinded to enable all companies with good consumer products to excel without burdensome regulations.

Additionally, the Convention should adopt for ratification at least these new Amendments or statute modifications:

  1. clearly define and limit the role of government in regards to the term "general welfare",
  2. Term Limits for CON-gress (12 years) including a 6 month limit on time residing in DC,
  3. strict Prohibition of Lobbying (with a comprehensive definition of "lobbying"), and
  4. a Balanced Budget Amendment to stop wreckless spending. During a CON-gressionally declared "war" (only after USA is attacked or attack is proven "imminent"), deficit spending is permissible.
  5. Restore America to its roots, i.e. Defense, State, Treasury, and Justice. Some Agencies are required like CIA and NSA, both respectively focused on defense against real foreign aggressors and not fictitious paranoid delusions of war mongers. Other agencies help where certain interstate communications are necessary. Most agencies like Agriculture, Education, DEA, IRS (eliminated with 16th Amendment) and many other listed here should be eliminated.
  6. Restore the world Gold Standard with five contentious steps, and
  7. Replace the IMF, World Bank, and Export-Import Bank with facilities that reflect the new Gold Standard, and
  8. After decentralizing and economizing, if tax revenue is needed to fund all or part of the federal government, then implement the Fair Tax.

Regarding a Constitutional Convention itself, some of the available literature warns the reader about a possible "unstructured" and "mismanaged" Convention that might propose and adopt amendments that could damage the Republic. Possible, however, it is difficult to envisage how much more damage could done over what the L-E-J Cabal has already done. If the Convention's agenda and rules of order strictly prohibit violation of the rules and enable a vote on unlisted Amendments AFTER all others are adopted, then the Convention will be properly structured and managed. ]

FROM Project to RESTORE AMERICA

The FairTax is a consumption tax unilaterally applied to all Americans at the same rate. For businesses, payroll taxes would no longer exist. Our exports would include a heavy tax for overseas buyers purchasing our products, while our imports would be cheaper for us to purchase. I'm not sure how this would affect GDP, as more information is necessary.

According to the FairTax website, "Under the FairTax, every person living in the United States pays a sales tax on purchases of new goods and services, excluding necessities due to the prebate." The prebate gives every legal resident household an "advance refund" at the beginning of each month so that purchases made up to the poverty level are tax-free.

So a family of four making something like $50,000/year should not have to pay taxes, thus preventing an unfair burden on low-income families. Since the FairTax eliminates both federal and payroll taxes, you get to keep your gross pay amount of each paycheck earned.

Why Do We Need Term Limits?

John Adams said, “Without [term limits] every man in power becomes a ravenous beast of prey”. That being said, here are some of the reasons we believe our country needs Term Limits.

  1. Term Limits can help break the cycle of corruption in Congress. Case studies show that the longer an individual stays in office, the more likely they are to stop serving the public and begin serving their own interests.
  2. Term Limits will encourage regular citizens to run for office. Presently, there is a 94% re-election rate in the House and 83% in the Senate. Because of name recognition, and usually the advantage of money, it can be easy to stay in office. Without legitimate competition, what is the incentive for a member of Congress to serve the public? Furthermore, it is almost a lost cause for the average citizen to try to campaign against current members of Congress.
  3. Term Limits will break the power special interest groups have in Congress.
  4. Term Limits will force politicians to think about the impact of their legislation because they will be returning to their communities shortly to live under the laws they enacted.
  5. Term Limits will bring diversity of people and fresh ideas to Congress.

Term limits for lawmakers: when is enough, enough?

[Editor's Note: If you want to get rich, i.e. advance from a low paying government bureaucrat job on the local or state level, THEN GET ELECTED TO THE US CONGRESS (House or Senate). Once you're elected, it's easy to steal from your campaign contributions or the Congressional budget allocated to your seat and staff. You can go on a government-funded junket with 'lavishly' paid expenses. The list of ways to steal from the government while in office is inexhaustible. There are only a few Congressmen who left Congress just wealthy instead of a multi-millionaire. Of course, there are several who arrived in Congress as multi-millionaires and don't need to steal from the government.]