Silverwolf tuned in last night to hear the latest economic damage carroming through the Australian economy. It turns out it’s “only” going to contract $115 Billion Aussie Dollahs, instead of the earlier estimates of a mere $50 Billion.Kevin Rudd, the new Labor PM, a position roughly equivalent to a Liberal-Moderate Democrat in America, had the gall to call himself a fiscal conservative during an ABC interview, while also saying he was a Keynesian who felt the economy needed to be stimulated through government spending. Then they brought the “intelligentsia” in for re-inforcements. Key was the Keynesian economist, Peter Kenyon (sp?), who maintained that he was a staunch Keynesian, had been for twenty years, and felt vindicated by the current mess and described it as a clear failure of “free-market” economics as practiced under Reagan. Are these lunatics serious? Then they brought out the “Laffer curve” and proceeded to make fun of it, carefully avoiding the key principle that Laffer was correct, —when income tax rates are reduced, government revenues do go up because the incentive to make money goes way up —but that what Reagan did was spend money like a drunken sailor on the military budget, and that is what created his massive deficits. Had Reagan actually cut military spending as drastically as he increased it, his reign would have been one of the most pro-capitalist in history, save for his constant assaults on personal freedoms, and violations of the Bill of Rights. This inconvenient economic truth was completely ignored, as the brainwashing phenomenon continues worldwide, from the BBC to America’s NPR to Radio Australia, for government radio stations to put out the propaganda that this current crisis is due to free-market capitalism, and we must bring in Keynesian socialist measures to make everything honky-dory.
The truth is just the opposite, for we have had Keynesian policies in place every since Roosevelt and Hoover, and the current crisis is actually the proof that Keynesian economics is a false, bankrupt economics that eventually financially wrecks a society. The alternative is Austrian, free-market economics, which is actually nothing more than pure 100%, Jeffersonian-fresh-squeezed, unadulaterated Capitalism. That is what will, and has always brought, prosperity to men, when it was free of government interference, except for prosecuting fraud and other property-rights violations (and violence against one’s person is a property rights violation under Austrian doctrine). Austrian economics has nothing to do with the economics of Austria, but hopefully will have a lot to do with the economics of America when the people are educated, and the economic charlatans in “Warshington” are “warshed” into the forgotten pages of economic history.
So the Keynesian disease spreads worldwide. But, in Australia at least, it sounds like Malcolm Turnbull, the leader of the opposition “Liberal” Party, which one gathers is the “conservative” party in reality, has spoken out in favor of the free-market and against the massive spending plans that Rudd wants to put into operation, a la the Keynesian formula for ending recessions. Australia will for the first time, it sounded like, be running a budget deficit. Of course, the stimulation will not help, but only prolong the recession/depression for years, and the massive debt created will then be an additional burden to be borne, and of course ultimately the Rudds of the world will try to inflate it away, by robbing all the savers of their purchasing power.
The propaganda machines of government radio are working day and night to brainwash the new dumbed-down brains that have flooded the Western world since the days of Ronnie Baby. But the awareness of sound markets, the need for limited government, and the impossiblity of maintaining massive military sinkholes of cash, is dawning on the suffering in the bourgeois societies of the west. They will soon turn a deaf ear to the empty rhetoric of the politicians of Washington, Westminster and Canbarra, just as the Romans soon turned a deaf ear when they couldn’t have their bread and circus.
But Americans and Australians can’t live without their bread and circus.
Hooooooooooooooooooooooooooowwwwwwwwwwwww! — Silverwolf