Thomas Sowell: The Economics And Politics Of Race

Posted December 22, 2014 by austrianaddict
Categories: Miscellaneous

Tags: , , , ,

I saw the video below on  economicpolicyjournal.com, and it reminded that nobody writes more clearly about race and culture than Thomas Sowell. His book, The Economics and Politics of Race, was written in 1983. I read this book after I had read Race And Culture, Migration and Culture, and Conquests and Cultures, which make up his three book cultural trilogy which was written in 94, 96, and 98 respectively. As much as I liked the cultural trilogy, I think I liked The Economics and Politics Of Race better, although the fact that I read the other books first may have had something to do with it. What I took away from the book is that some cultures are superior to other cultures, in specific areas, at specific times in history. And even though past cultural tendencies seem to follow and influence ethnic groups over time, superiority and inferiority are always subject to change.

Here are some excerpts from the book.

“The human race has, throughout history, differed greatly in its component parts. At various periods of history, some groups have been far ahead of others in military power, scientific achievements, or organizational skills. But often those who were far behind in one era became far ahead in another era. The Chinese, for example, had a huge and complex empire thousands of years ago, when Nordic Europe was living a primitive, tribal existence. It has been only the past two or three centuries that their roles have been reversed…..The Arabs conquered parts of Europe in the Middle Ages but have suffered conquest by Europeans in more recent times.”

“Virtually every portion of the human species excels at something. From an economic point or view, this means the mutual benefits can result from cooperation among different racial and ethnic groups, whether through domestic markets, international trade, or the migration of peoples. From a Political point of view, however, it is very difficult to get acceptance of these intergroup differences and their beneficial economic consequences. The conflict between the economic consequences and the political consequences of these group differences is one that appears again and again…..”

In this video Thomas Sowell discusses his book, The Economics and Politics Of Race, on the TV show, Tony Brown’s Journal.

 

Here are some excerpts from the book.

“History is a treasure of experience, available without paying the high price often inflicted on those who lived through it. But history is not free, however. It conflicts painfully with many cherished beliefs and shatters many carefully built theories. At best it is untidy and complex, and often it is a battleground for those with differing visions of the world today. Yet history remains a massive fact and a massive influence on out lives: “We do not live in the past, but the past in us”.”

“To seek to look ahead into the future is to seek to understand the momentum of the past and the choices available to us in the present. We live in a world of options constrained by decisions already made and actions already taken – as well as constrained by mutually competitive and perhaps irreconcilable goals among contemporaries.”

“The history of racial and ethnic groups around the world is a story of the heights and depths of the human spirit – the glory of its perseverance in the face of every kind of adversity and the vileness of its brutality against the helpless. Whether the future brings great advancements or succumbs to wretched agonies, it will have ample precedents. How well we understand the past can be an important factor in decisions to shape that future.’

THOMAS SOWELL QUOTE“Each group tends to trail the long shadow of its own cultural history as well as reflecting the consequences of external influences”.

 

Must Reads For The Week 12/20/14

Posted December 20, 2014 by austrianaddict
Categories: Must Reads For The Week

Tags: , , , , , , , , , , , , , , , , ,
The pen is mightier than the sword...

 The pen is mightier than the sword… (Photo credit: mbshane)

Elvira Nabiullina: Central Banker Of The Year, at economicpolicyjournal.com. Russian central bank chair Elvira Nabiulinna raised the interest rate from 10.5% to 17% in order to reign in inflation and also to stop the collapse of the ruble which was caused when the central bank stopped its previous multiple billion dollar intervention. Here is an excerpt from the article, “The Central Bank has yet to hint they would start a stimulus project, or money printing, to avoid recession…..Contrast this coolness with the panic in the eyes of Fed chairman Ben Bernanke and Treasury Secretary Hank Paulson during the 2008 financial crisis, when they caused the US government to intervene one hundred different ways and bail out the banksters.”

Can we trade Fed Chairman Janet Yellen, a couple billion of electronically printed counterfeit U.S. dollars, and a player to be named later for Elvira Nabiullina.

Money For Nothing: Volcker, from Liberty Street Films. Below is a video clip about the Federal Reserve Bank from the movie “Money For Nothing”. The clip talks about Fed Chairman Paul Volker raising the interest rates to above 20% in order to kill inflation and cure the easy money sickness that plagued the U.S. economy during the 70’s and early 80’s. This is what Elvira Nabiulina is attempting to do in Russia by raising interest rates to 17%. The U.S economy will have to eventually go through the liquidation of economic activity artificially brought into existence because the Fed electronically printed trillions of counterfeit dollars, and also their zero interest rate policy. Sooner or later the correction has to come.

 

Where The ‘Great Recovery’ Is 25% Worse Than The ‘Great Recession‘, at zerohedge.com. We talked about companies using easy money to buy back their stock in order to raise its price. Here are some interesting charts about how Caterpillar has been doing during this great recovery.

Six Ways The Government Criminalizes Economic Activity, by Diana Furchtgott Roth, at marketwatch.com. On the whim of a central planner you could become a criminal.

Dead Weight Loss From The New California Gas Tax, by David Henderson, at econlog.econlib.org. California’s cap-and-trade regulations will cost consumers 10 cents more per gallon. I don’t understand this excerpt from the article. “When you buy one gallon of California gasoline, the seller will have to cover about 18 pounds of emissions. At the current price of allowances–about $12 per metric ton–that works out to about 10 cents per gallon of gas…” My question is; if a gallon of gas weighs 6.25 lbs, how can it produce 18 lbs of emissions? I have to ask my brother, who is a chemist, ow this works.

Your All Electric Car May Not Be So Green, by Seth Borenstein, at ap.org. Apparently coal powered cars pollute more than gasoline powered cars.

Socialist On The Line Caption Contest, at zerohedge.com. Their caption is, If Cuba is good socialism, and Venezuela is bad socialism, what does that make America. My caption: George Washington is thinking, “there’s a lot of credentialed ignorance in this room.

Senator Sanders Blamed Speculators For The Rise In Oil Prices From Jan-June; Do They Now Get The Credit For The Drop In Oil Prices Since July? by Mark J. Perry, at carpe diem blog. Supply and demand are that driving factors in setting the price of oil at any given time, in spite of all the Government intervention into the oil business.  Speculators helped bring supply and demand into line quicker than it would have happened if the speculators had stayed out.

Study This For A While, at economicpolicyjournal.com. The Government is making a killing on student loans by making college students debt serfs.

3D Printed Prosthetic Legs Allow Derby The Dog To Run For The First Time, by Catherine Winter-Hebert, at inhabitat.com. Watch the short video.

Federal Budget Contains Provision Preventing Attempts To Ban Lead Ammunition, by John Lott, at johnrlott.blogspot.com. At least something good was in the budget.

As Michelle Nags America…Which Professions Have The Biggest Waist Lines, by Chris Rossini, at targetliberty.com. Looks like our first responders are spending too much time at Dunkin Donuts.

 

 

 

 

What’s The Rule Of Law, by Walter E. Williams

Posted December 16, 2014 by austrianaddict
Categories: Government and Politics

Tags: , , , ,

Walter E. Williams recent article asks the question, What’s The Rule Of Law (read here)?

If the rule of law is defined as 1) general rules, 2) known in advance, and 3) applying to the rulers as well as the ruled; than the breakdown of the rule of law is caused by government, 1) making laws that are micro managing, 2) so numerous we can’t possibly know them in advance, and 3) not applying to the rulers, only to the ruled.

When our Government betters think of themselves as being exempt or above the law, and act in a way that flaunts this attitude, regular people will start to push back against such lawlessness by disregarding laws. (There are examples in the related articles below). Here are some excerpts from the article by Dr. Williams.

“President Barack Obama said just before the recent Ferguson, Missouri, riots, “First and foremost, we are a nation built on the rule of law.” Most Americans have little or no inkling of what “rule of law” means. Many think it means obedience to whatever laws legislatures enact. That’s a vision that has led to human tragedy down through the ages…….
“Let’s ask ourselves what the characteristics of laws in a free society should be. Let’s think about baseball rules (laws) as a way to approach this. Some players, through no fault of their own, hit fewer home runs than others. In order to create baseball justice, or what’s sometimes called a level playing field, how about a rule requiring pitchers to throw easier pitches to poorer home run hitters? Alternatively, we could make a rule that what would be a double for a power hitter is a home run for someone who doesn’t hit many homers…….
“You say, “Williams, you can’t be serious! Can you imagine all the chaos that would ensue: players lobbying umpires, umpires deciding who gets what favor, and lawsuits — not to mention violence?” You’re absolutely right. The reason baseball games end peaceably — with players and team owners satisfied with the process, whether they win or lose — is that baseball rules (law) are applied equally to all players. They’re fixed, and umpires don’t make up rules as they go along. In other words, baseball rules meet the test of “abstractness.” They envision no particular game outcome in terms of winners and losers. The rules that govern baseball simply create a framework in which the game is played……”
“Laws or rules in a free society should have similar characteristics………. Laws envision no particular outcome except that of allowing people to peaceably pursue their own objectives. Finally, and most importantly, laws are equally applied to everyone, including government officials”.

 

Related ArticleThe Break Down  Of The Rule Of Law, at austrianaddict.com.

Related ArticleThe Result Of The Breakdown Of The Rule Of Law, at austrianaddict.com.

Related ArticleThe Ruling Aristocracy Does Not Abide By The Rules They Impose On The Serfs, at austrianaddict.com.

Must Reads For The Week 12/12/14

Posted December 13, 2014 by austrianaddict
Categories: Must Reads For The Week

Tags: , , , , , , , , , , , , ,
The pen is mightier than the sword...

 The pen is mightier than the sword… (Photo credit: mbshane)

Why So Many Health Insurance Plans Canceled By Obamacare, by John Lott , at johnrlott.blogspot.com. This short video explains how insane the rules are in the The Affordable Care Act. The only reason you would make rules like this is if you want them to fail, so you can try to go to a single payer Government system.

Indications Of What Obamacare Is Really Going To Be Like Begin To Emerge, at economicpolicyjournal.com. It doesn’t matter if Government promises you healthcare, free or otherwise, if there is no one willing to supply it.

30 of the 60 Democrat Senators Who Voted For Obamacare Are No Longer Employed By “The People”, by Philip Klein, at washingtonexaminer.com. The cost of voting for a socialist healthcare scheme is a Senate seat. Unfortunately I don’t think the establishment Republicans want to get rid of Obamacare.

Fighting Free Markets: Orlando Government Wants Uber To Charge 25% More Than Taxis, at economicpolicyjournal.com. This is one way Government tries to “level the playing field”.  Orlando Fla. is trying to reclassify Uber rides as livery vehicles. Uber drivers would be forced to charge 25% more than the minimum taxi rate. Get this, taxi companies say they are afraid Uber drivers would ignore the new regulation; no, really, they wouldn’t do that. The next step would be to have the police enforce the new regulation. I can see the headline now: “Uber Driver Shot Dead By Police For Failing To Charge Rider A Higher Fare”.

N.Y.C. Would Have City Develop Its Own Taxi-Hailing App, by Eric Pfeiffer, at govexec.com. Here is another way Government tries to create a level playing field. City Council Member Ben Kallos is proposing a bill to authorize the creation of a city sponsored app for hailing traditional city cabs. First question, is there a reason taxi companies can’t create the app themselves? Answer, yes, because there is a New York City Taxi and Limousine Commission that regulates these businesses. The Taxi Cartel didn’t know that when they made their deal with the devil to protect their monopoly position, that the devil would some day prevent them from competing with an upstart competitor that could not be foreseen when the deal was made. Does anyone really think the Government can create a competitive app? Before you answer, think healthcare.gov. Ah: “Hoisted by one’s own petard“.

Do Leftists Have Any Idea How Supply And Demand Work? at economicpolicyjournal.com. Is Uber price Gouging in San Francisco, or are they rationing a scarce resource according to the law of supply and demand?

The Runaway Trillions, at targetliberty.com. The national debt is $18,000,000,000,000.00 (that’s 18 trillion), and growing exponentially.

Detroit West: California Pension Plans Are Running Dry, at economicpolicyjournal.com. This is what happens when you pay labor more than what it produces. The difference between California’s debt and the Federal Governments debt? The Federal Government can get the Fed to electronically print counterfeit money to finance their debt, and States can’t.

How The Fed Grows Government, by Hunter Hastings, at mises.org. Money printing by central banks is the only thing that has allowed Governments to grow so big.

With Q3 Buy Back Surging, These Are The Top 20 purchasers Of Their Own Stock, at zerohedge.com. Using the Feds electronically printed counterfeit money, companies are purchasing back their stock in order to boost the price. Low supply means higher price. The stock market is a bubble activity.

Peter Schiff Educates CNBC Host About Inflation, at targetliberty.com.

 

INFOGRAPHIC: Keynesian Economics vs. Austrian Economics:

Posted December 12, 2014 by austrianaddict
Categories: Econ. 201

Tags: , , , , ,

This infographic is from The Austrian Insider (click here). It gives a short outline of the differences between Keynesian Economics and Austrian Economics.

 

I’ve previously posted these two rap videos about Keynesian Economics vs The Austrian School, featuring F.A. Hayek vs. J.M. Keynes. Listen closely to the arguments from both sides, I forgot how well these were put together.
FEAR THE BOOM AND BUST: KEYNES vs. HAYEK
 
 THE FIGHT OF THE CENTURY: KEYNES vs. HAYEK ROUND II
These are by John Papola and Russ Roberts from Econ Stories.
Go to The Ludwig von Mises Institute at mises.org for more information about the Austrian perspective.

 

 

Gruber’s Congressional Comments, and The Senate Report On Torture

Posted December 9, 2014 by austrianaddict
Categories: Government and Politics

Tags: , , , ,

I’ve figured out over the years that these congressional hearings are strictly political theater. One side trying to make political hay by hammering the person testifying, and the other side trying their best to protect him [which means protect their ideology}. Nothing of consequence ever comes out of these kinds of hearings other than political posturing.

APOLOGY NOT ACCEPTED MR. GRUBER

Here is Jonathan Gruber’s opening statement in front of a congressional committee concerning his comments about The Affordable Care Act, aka Obamacare. Watch these comments under oath with his lawyer present.

Now watch his comments about the ACA when he felt he could speak freely.

Which Jonathan Gruber is telling the truth?

TORTURED DEFINITION OF TORTURE

In the stories I’ve read about the Senate report on torture that was released today, water boarding and sleep deprivation are the techniques mentioned as torture. They are also called,  ‘harsh’ or ‘enhanced’ interrogation techniques. They can’t be both. My problem with this whole report is we can’t agree on what is and is not torture and what is and is not an interrogation technique. Pulling out fingernails, hamstringing, thumbscrews, tarring and feathering, pulling or drilling teeth, beating or physical violence, breaking bones, scalping, knee capping, and branding are what I would call torture. What John McCain went through in Viet Nam was torture. Sleep deprivation and water boarding are not torture.

Many of these Senators who are planting their flag on the political high ground against torture knew that these enhanced interrogation techniques were going on during the Bush Presidency. It is much easier to be righteously indignant after the fact than it is to do what you consider to be the right thing at the very moment it happens. Always remember, politicians view everything through the lens of politics.

Related ArticleBurger King, Corporate Tax Inversions, and Political Theater, at austrianaddict.com.

Related ArticleFiscal Cliff or Political Theater, at austrianaddict.com.

Related ArticleHuman Action Reveals The Reality About Political Decisions, at austrianaddict.com.

 

 

Must Reads For The Week 12/6/14

Posted December 6, 2014 by austrianaddict
Categories: Must Reads For The Week

Tags: , , , , , , , , , , , , , , ,
The pen is mightier than the sword...

 The pen is mightier than the sword… (Photo credit: mbshane)

Opinions vs. Facts, by Thomas Sowell, at jewishworldreview.com. Dr. Sowell lends us his common sense analysis, so we can better understand the Ferguson situation. The must read of the must reads.

Race Hustler Eric Holder Called Out, at economicnoise.com. Milwaukee County Wisconsin Sheriff, David Clarke, unloads on race hustlers like Sharpton and Holder.

Watch Obama Make The Case Against His Executive Order On Immigration.

The Worlds Biggest Chocolate-Maker Says We’re Running Out Of Chocolate, by Roberto Ferdman, at washingtonpost.com. I love chocolate so this article is important to me. Dry weather along with a fungal disease in West Africa has reduced global cocoa production by 30%. The demand for more cocoa is rising because of economic growth in China and more over all world demand for dark chocolate, {which contains 70% chocolate compared with 10% in regular chocolate bars). But don’t worry because the same economic forces of supply and demand that are bringing the price of oil and gas down, will eventually do the same thing for chocolate. As the price goes up individuals will produce {supply} more at the higher price, and individuals will consume {demand} less at these higher prices, eventually bringing the price down.

Forget High Minimum Wage Order Takers: Pizza Hut Will Just Read Your Mind Instead, at economicpolicyjournal.com. You can order based on what toppings your eyes look at the longest. We are at the beginning of big changes in the way we do everything. Individuals in Government won’t be able to keep up with, let alone try to regulate things that are about break through.

Your Barber May Be Closed But We’re Always Open, at shortcut.com. Shortcut is an on demand service that brings a barber to your house, work, or hotel room. It’s Uber for hair.

Vision For The Future: 1 Million Fewer Cars On The Road, by Kimiko, at uber.com. It’s Uber’s version of car pooling. When there are multiple trips that start and end at similar locations, or when there are riders along the route taken, they will take the same car and share the cost. Spontaneous activity in the market that will help ease traffic congestion in ways that the smartest central planners could never imagine.

The Flying Car Is (Almost) Here, by Josh Dean, at bloomberg.com. A step closer to “The Jetsons“.

Under Pressure From Uber, Taxi Medallion Prices Are Plummeting, at economicpolicyjournal.com. Once again the status quo monopoly is about to crack. Government regulations have artificially kept the prices for taxi medallions high for decades. Economic forces in the market always have a way of winning.

Jobs: Shale States vs. Non Shale States, at zerohedge.com. The President is trying to take credit for this, even though his administration has done everything in its power to shut down or limit oil production.

Uber Banned In Vegas, at economicpolicyjournal.com. Big taxi doesn’t like competition from the little guy, so they run to the Government for some help.

Here It Comes: Master Card Seeks “Level Playing Field” For Bitcoin Regulation, at economicpolicyjournal.com. Are we beginning to see a pattern: Status quo companies lobby their buddies in Government, in order to get rid of their upstart competitors. It is apparently less costly to do this, than compete in the market with these upstarts. The myth is, big business likes competition. In reality they liked competition when they were the up start competitors. They don’t like it as much once they get near the top.

The Difference Between Men And Women, thechive.com. I will make no comments about this post!

 


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