Posts Tagged ‘Keynesian economics’

Socialism Hits Home: The UCLA Student Tuition Riots

November 20, 2009

So the bubble finally burst. The Keynesian Socialism which has run California as a Progressive-Liberal State since the days of Edmund G. “Pat”, has finally spent itself into its inevitable oblivion, and now the populace must pay the Austrian School Piper.

For years Californians have passively paid their very high income taxes on top of an immorally large sales tax in order to jail tens of thousands of innocents on Cannabis charges, and pay the salaries of the Prison Guard industry which benefits so lucridly from these immoral incarcerations. They have paid for the bloated salaries of countless state commission boards, whose members earn in a year multiples of what the average Americans AGI is, while only having to attend a handful of meetings. They have wasted it on their profligate State pension schemes, which delivers to state workers a pension equal to the income of a retired multimillionaire after only a score of years on the job. They have wasted it on the exorbitant salaries of the Chancellors of the University of California who salaries are in the multiple hundreds of thousands of dollars (not including benefits, pension, and residence in something more than a dorm room), and the thousands of administrators and bureaucrats who run not only the University, but all the other countless branches of California government. And the students have not cared, just as the pensioners and medicaid receivers never cared, as long as the Socialist gravy train kept a-comin.

And now they have butted their heads up against the many-pronged horns of economic reality, and the reality is that California is the shining example of the failed welfare-Keynesian State, with welfare for the triumvirate of some of the poor, the corporations, and the state bureaucrats and pension-grabbers. And the students are angry.

Well, we’re sorry, kids, but the 32% tuition increase you are getting is just what you deserve for ignoring all the fiscal injustices that we listed above, and not voting for Libertarian politicians. And still the ignoramus Liberals calling in to John Rothmann’s talk show demand more taxes on the rich. Yes, drive even more of the affluent out of your state, so that you can shift the “fair share” of your welfare to the working youth and the students. After all the students have their whole life — and forty years of drudgery paying for your pensions and welfare — ahead of them, so let’s throw part of the burden on their backs.

UCLA students, you have only yourselves and your fellow Californians to blame for the 32% increase in tuition, because you failed to understand Capitalist Economics. You were very easily suckered into the Keynesian lies, that money doesn’t need a commodity backing, and that a benevolent central bank will always do what is best for the nation, not best for the corporations and their close associates. One reason your costs are going up is because the dollar is being undermined by the Obama-Pelosi-Bush-McConnell collectivists, and their minions at the FED,  who want their warfare-welfare state as planned, no matter what the sincere voters may believe, by spreading their propaganda messages of “change”. Ha, they have left you with small change, and only a year into their regime.

But actually, students,  you individually are to blame if you didn’t vote for Ron Paul for president in the primaries, or later Bob Barr of the Libertarian Party. If you voted for Obama or McCain, you voted for massive inflation and a continuation of the warfare-welfare state, and you’re getting exactly what you voted for. And there is a certain justice in that.

If you didn’t vote for Ron Paul, then don’t get mad at the cops; get mad at the face staring back at you from the mirror.

Enjoy your poverty, socialists. You voted it on yourselves.

Hooooooooooooooooooooooooooooooowwwwwwwwww! — Silverwolf

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Obama the Incompetent: When Lawyers Rule Capitalists

February 10, 2009

Silverwolf tuned in last night to watch President Obama’s maiden Press Conference. He was very glad, after a few minutes, to never have invested more than a quintaminute in listening to the rhetoric of this clever lawyer during the campaign. America has gone from a President who is so mentally slow that he can’t even form a sentence, to a President who is so precious and careful in how he words every sentence, so that every statement can later be modified or expanded on, to show it meant something other than what it normally means to most people, that it’s almost worse than listening to Bush. The tried and true method of the Democrats of testing out certain words on “focus-groups” and then, like Pavlov’s dog, watching the “happy-meter” to see how that word reacts on their psyches, was certainly put into effect last night. Obama is well versed in such sophisticated propaganda, and we heard every one of the eighteen-words in the “happy dust” rhetoric of the Democrats, most of them several times over.

And of course, there were the subtle lies. The President thought the controversy over Roosevelt, who supposedly brought us out of the Depression with his “New Deal”, had long ago been buried. Evidently, in his intellectual curiosity, he has never read Professor Murray Rothbard”s work on the Great Depression, or the Austrian school of Economics which says that government intervention in the free-markets is itself the root of the problem, and that is what prolonged the Big Recession of Hoover, into the Great Depression of Roosevelt. It shows that the President is an ignoramus when it comes to Economics, a condition typical amongst lawyers. He also put out the big lie that there were those who thought government should do nothing, that it was a philosophical thing, that he disagreed with it, etc. and that such thinking was reflected by the economic advisers to Senator McCain and the former administration. As if Senator McCain wasn’t a big Keynesian government spender, just like Obama. The real opposition, of course, is reflected in the thinking of Congressman Ron Paul of Texas, and the two or three other Congressman that usually vote with him on economic measures, not in the empty rhetoric of the Bush Republicans, who always cave in on spending, when they get their own plateful of goodies.

The President also told a whopping lie when he said that he had inherited the previous administrations deficit, as if he had nothing to do with it. Wasn’t he a Senator there for a while, who voted on spending bills? Didn’t his Democratic brethren vote to approve the massive military budgets of the past few years, and the massive give-away of the Farm Subsidy bill? Obama and the Democrats are the main cause of the deficit, because they voted the spending that caused it, and they were in the majority in Congress. But don’t let us let something like facts cloud our thinking.

The peaceniks who voted for Obama, against “Bush the murderer” are going to have to come up with some good ones to justify their Savior’s new, open-ended commitment to Afghanistan. With daughters, I guess there’s not much chance of the Prez losing a loved one in the impossible task of imposing a rational outlook on irrational people. But Ron Paul, and the people in his campaign, predicted exactly this backtracking on withdrawal from the quagmire of Iraq and Afghan. Obama will pull a lot of them out of Iraq, to show he is the peace candidate, and then send them next door to Afghan, to show he is the war candidate. Man, this guy is everything.

Judging by the markets’ reaction this morning to the President’s first press conference, it looks like they understand that they have another economic incompetent in office, and they will have him there for four long, miserable years. And judging from the market’s reaction to Treasury Secretary Geithner’s plan, a Secretary of the Treasury who looks like a disgruntled high-school teenager running for student body treasurer with a scowl on his face, instead of a rock-solid banker, that’s apparently what many sophisticated investors feel. Fed Chiefs and Treasury Secretaries should look like substantial bankers with gravitas, not nervous nellies with quivering voices, or angry high school students. Arthur Burns, who was a Keynesian nincompoop when it came to economics, at least looked the part of a sage banker, with his pipe (which now would not be permitted). Silverwolf is surprised the politicians have not noticed the importance of this aura of gravitas, but thus it is when Capitalists are ruled by Lawyers.

America could have had sound money, economic prosperity, and peace, if it had voted for Ron Paul.

But in its greed, America chose Keynesian economics, poverty, massive deficits and war. Too bad, America, you could have voted for Ron Paul. It’s too late now. Hard cheese.

Hooooooooooooooooooooooooooooowwwwwwww! — Silverwolf

Kevin Rudd, Aussie Dud

February 2, 2009

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