Archive for September 2014

New (Old) Information About Benghazi: “What Difference…Does It Make?”

September 9, 2014

The release of the new book, 13 Hours: The Inside Account Of What Really Happened In Benghazi, a first hand account by the security operators who were on the ground fighting in Benghazi, tells us they were given an order to stand down and not go help at the State Department Compound that was under attack on 9/11/12. They don’t know how far up the chain of command the order came from. They disobeyed and went anyway after they were delayed. I saw these three men interviewed on Fox News (here).

I watched this interview thinking only of the comment that Secretary of State Hillary Clinton made at the Senate hearings about Benghazi in January of 2013, “…the fact is we have four dead Americans. Was it because of a protest, or was it because it was guys out for a walk one night who decided to go kill some Americans. What difference, at this point, does it make?

I think this question by Secretary of State Clinton is “the” question that we should be thinking about. Mrs. Clinton, you are correct, “at this point”, in January 2013, the question of how this truly happened “doesn’t make a difference” from a political standpoint. The truth about Benghaze only had major political significance if would have been told before the November election in 2012, and quite possibly it “could have made a difference”. And that’s the whole point. Gaining, or remaining in, the seat of Government power, through the political process, is the most important thing to politicians. And everything, including the lives of individuals, is to be sacrificed at the alter of politics.

HUMAN ACTION EXPLAINS POLITICAL ACTION

I wrote an article titled, Mises’ “Human Action” Explains Lies About Lybia, that sums up the thinking of politicians. Here are some excerpts from the article that are even more true today than when I wrote them in October 25th 2012. Here are excerpts from the article.

“Here is how “Human Action” by Ludwig von Mises helps us analyze the Libyan situation. Human action is purposeful behavior. Action is not simply a verbal preference, it is the individual choosing and acting to reach a particular end. Action is a tangible thing and cannot be confused with wishes, hopes, or after the fact quarterbacking. Men act to substitute what they think will be a more satisfactory state of affairs for a less satisfactory state. We wouldn’t want to change our existing state of affairs if we didn’t think the result would be better. Our action reveals the correctness of our thinking. When a baseball manager makes a decision during a game he does it because he thinks it will help his team win the game. After the fact we can judge if his decision was correct or incorrect in attaining his goal, but that doesn’t mean we would have made a different or better decision than he did, because we cannot recreate that point in history exactly as it was. The science of human action is called praxeology it studies the action itself. Psychology studies the internal events that result in action. It studies the forces pushing a man toward a particular action. Psychology is where Monday morning quarterbacking takes place. Praxeology is where we can analyze success and failure. Lets look at Libya through these lenses.”

“Every Administration has the right to make its own policy about how heavy of a security footprint it will have at any one embassy. You can argue about which policy will achieve the particular goal an administration wants to achieve. What that particular goal is, may be misunderstood. For some administrations the goal is the safety of the people in the Embassy. For others the goal is what the people in a particular country will think if too much power is shown. There are obviously many degrees of security between completely locking down an embassy with every asset you can bring to bear, and simply allowing the people at the embassy to carry a sidearm. There are many foreign policy goals each administration is trying to attain, and security for their people may be sacrificed for these goals. The choice the administration makes is up for discussion and debate before anything happens. After the decision proves to be incorrect, we can say it didn’t work to achieve the end sought,  assuming we knew the true goal of the administration beforehand. The end sought may not have been the security of the people. We can say the Obama Administration’s decision in Benghazi didn’t work from a security standpoint, just as we can say the Reagan Administration’s decision in Beirut didn’t work from a security standpoint. But we don’t really know if security was the primary goal in either situation.”

“What we know is that all politicians are self-interested individuals, and remaining in power is their main goal. This is the over-riding goal of every decision they make. They hire advisers to specifically look at everything they do and determine how it will affect them politically. If it is not the over-riding factor in decision-making, it certainly has a major influence in all decisions. This is my problem with the deaths in Libya. From the standpoint of security it was a failure, fine admit it and adjust. When you know what was going on within an hour of the start of the attack, and you put forth a story that’s untrue, and stick with it for weeks even as the truth starts to leak out, it tells me you have no other interests above yourself. You denigrate the lives of the fallen, you insult our intelligence, and you erode whatever trust remains, which is probably a good thing for liberty.”

“Every action that has been taken since the attacks began, is purposeful action toward the attainment of a more satisfactory state of affairs. Every lie told and photo-op taken was an attempt to reach a particular end, this is the science of human action. Since the situation was and is constantly changing, each day’s purposeful actions seemingly contradict the previous day’s purposeful actions. This contradiction only makes sense if we know the true ends sought. The end sought is to hold on to power through any means necessary. The administration believes their purposeful actions will result in them holding on to their power. We will find out in two weeks if their purposeful actions are correct or incorrect.

POLITICAL SPIN, AKA. LYING.

Parents of the fallen have said that Hillary Clinton told them, a video was responsible for the attacks, and she vowed to have the film maker arrested and prosecuted, read here. She told them this at a ceremony the day the bodies arrived at Andrews Air Force Base. If she lied in a situation where there were dead bodies and grieving families, wouldn’t she, and all politicians, lie to protect their own political power in every situation? They probably lie about trivial things in order to keep their skills sharp for the big things like Benghazi.

This is why I hate politics. The incentive to gain power or to remain in power overrides everything from a political perspective. Politics interferes with everything, and I mean everything, concerning our daily lives. We are being spun, or lied to, everyday. We can be inoculated from the spin, or lies, if we understand the concept of Human Action, and see all things through its lens.

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

Must Reads For The Week 9/6/14

September 6, 2014
The pen is mightier than the sword...

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

Anti-Obama Care Practice Booms, Along With A Growing Network Of Market Based Providers, by Mark J. Perry, at aei-ideas.org. As I’ve said before, Obamacare is going to create a true free market in health care because the patient and the doctor will not a have a third-party payer to screw up the price system. Competition will lower prices and raise the quality. We will end up with two healthcare systems, one will be a free market system and the other will be a government-run system consisting of Medicare, Medicaid, Obamacare, and the VA.

Investment bank, Moelis & Company, Announces  Appointment of Eric Cantor As Vice President And Member Of The Board Of Directors, at moelis.com. Crony capitalists hire former “Public Servants” like Cantor to help them wade through the maze of government regulations. This is like insider trading in information about the workings of government. If Government didn’t have as much power as it does, there would be no need to hire former politicians. His expertise doesn’t come cheap (read here). but is probably a bargain.

Climatology Crony Al Gore Warned In His Nobel Prize Speech That The Arctic Ice Cap Might Be Ice Free By Now, (Not Quite), at economicpolicyjournal.com. Why do we believe chicken littles like Gore. He has made a good living selling global warming snake oil ( read here).

Police Lock Down California Campus Because Of Man Carrying Umbrella, at theburningplatform.com. Can’t people use common sense to evaluate situations before they call authorities? Has Government made us so feckless we don’t even know the difference between an umbrella and a gun.

NY Farm Yanks Wedding Ceremonies After $13 Thousand Fine For Refusing Lesbian Wedding, William Bigelow, at brietbart.com. Two things I have a hard time understanding about this situation. 1) Why is the owner of property, in this case the wedding service, forced to “voluntarily” provide this service. If they make the decision to not sell their service to someone, they should suffer the consequences of that decision, not be forced to make the trade. 2) Why would you use Government to force someone to do business with you when they don’t want to? Do you have the right to the another persons approval? And what is their approval worth if it isn’t given voluntarily?

Guy Who Tried To Shut Down Kids Lemonade Stand Gets A Taste Of His Own Medicine. And That Totally Sucks, by Katherine Munga Ward, at reason.com. You shouldn’t wish Government intervention on your worst enemy.

Asian Property Prices Are Falling, “As If There Is A Global Financial Crisis“. at zerohedge.com. Another example of malinvestment created by central banks. The liquidation process is the cure for the previous malinvestment. Unfortunately Governments aren’t going to let this cure happen. They will try to artificially prop up the previous  malinvestments, using more counterfeit money and keeping  interest rates low, so the pain of the liquidation can pushed off to some date in the future.

If Police Come To Your Door Without A Warrant, Shut Them Down Like This Guy, by Matt Agorist, at thefreethoughtprogect.com. The police can legally lie to gain access to your home. Don’t let them in without a warrant. Government agents have used up all of the good intention chips they may have once had.

If Norman Rockwell Depicted America Today, at theburningplatform.com.

Burger King, Corporate Tax Inversions, And Political Theater.

September 1, 2014

 

Just an 80's era Burger King

The recent bashing of Burger King about their merger with Tim Hortons is nothing more than political theater being staged for the upcoming November elections. The political strategy of: divide us into as many groups as possible, pit us against each other using propaganda, and set up the false narrative that Government is the only solution to the made up problem is in full swing. In this case it’s the usual tried and true tactic of the haves vs. the have-nots.

POLITICAL PROPAGANDA / HOME OF THE WHOPPER

A corporate tax inversions is simply a corporation merging with an overseas company from a country that has a lower tax rate. The President has been propagandizing inversions lately for political reasons. If you don’t believe me watch this short video ( if you can get through the first minute). The words used, the tone of his voice, and the misinformation in this video would make Joseph Goebbels envious.

Tactics like this aren’t new. In May of 2013 Apple was brought in front of a Homeland Security and Government Affairs Committee hearing to be lambasted about their tax practices. These hearings are always political theater. But in this case something different happened. Senator Rand Paul took the unpopular stance of defending Apple.

Which video do you believe is factually true of just a piece of propaganda. We have to be able to sift through the propaganda and rhetoric of both sides in order to get to the truth.

TAX INVERSION MATHMATICS

The Federal Government will collect $20 billion less in tax revenue over a decade if tax inversions aren’t halted (read here). That’s only $2 billion a year out of a $3.7 trillion yearly Federal budget, or .001 percent of the budget. If you add the fact that the Fed is still printing $25 billion a month, you see the insignificant amount of money involved. Politicians will propagandize inversions by saying, “this will ‘cost tax payers’ blah blah blah”, or something about corporations, “trying to avoid paying their fair share”. This is purely political posturing through propaganda.

PERVERSE BED FELLOWS

Here is an article titled, Buffett Burger King Funds Flip Obama’s Inversion Calculus. It is interesting to see all the corners these crony capitalists and politicians get paint into because of their incestuous relationship with each other. Here are some excerpts.

“Billionaire Warren Buffett was an ally of President Barack Obama during the 2008 presidential campaign and the force behind Obama’s “Buffett Rule,” designed to increase tax bills for the wealthiest Americans. Now, the second-richest man in the U.S. has dented Obama’s effort to stamp out corporate inversions.”

“The danger for Democrats is that Buffett’s investment in the burger-fries-and-a-Coke company’s inversion might flip that calculation and make it politically easier for other corporations to follow suit without suffering repudiation from the public or the White House.”

“That’s because Buffett in the past has served as a sort of unofficial adviser to Obama on business and financial matters, someone whose stamp of approval has offered political cover when the president has been accused of being anti-business or of unfairly targeting the wealthy….If Obama were to question the Burger King deal publicly now, it would mean putting himself at odds with Buffett.”

“I proposed closing this unpatriotic tax loophole for good,” Obama said in his weekly address on July 26. “Rather than double-down on the top-down economics that let a fortunate few play by their own rules, let’s embrace an economic patriotism..”

“…Treasury Secretary Jacob J. Lew called on Congress to pass a law requiring that foreign shareholders account for 50 percent of the ownership of a new merger between a U.S. company and a foreign one … The administration wants that change made retroactive to May…. legislation taking effect after the president signs it into law — could have the perverse effect of encouraging corporations to act more quickly, negotiate new deals and rush to close those transactions before the bill is enacted,” Lew wrote. “It would be a mistake for Congress to pass anti-inversion legislation that creates a race against the clock and encourages more, not fewer, inversions.”

I want to disinfect myself after reading that.

GEORGE McGOVERN: FREE MARKET CONVERT?

Former Senator and 1972 Democratic Presidential nominee George McGovern talked about his experience dealing with Government regulations and mandates after he retired from politics and became a business owner, in this article titled What I Know Now: Nibbled To Death. Here are a few excerpts from the article.

“The second lesson I learned by owning the Stratford Inn is that legislators and government regulators must more carefully consider the economic and management burdens we have been imposing on U.S. business.”

“….if I were back in the U.S. Senate or in the White House, I would ask a lot of questions before I voted for any more burdens on the thousands of struggling businesses across the nation….. I would ask whether specific legislation exacts a managerial price exceeding any overall benefit it might produce. What are the real economic and social gains of the legislation when compared with the costs and competitive handicaps it imposes on businesspeople?”

“…While running my struggling hotel, I never once missed a payroll. What happens to the people who counted on that, and to their families and community, when an owner goes under? Those questions worry me, and they ought to worry all of us who love this country as a land of promise and opportunity.”

I think this article was written around 1993. If Senator McGovern thought regulations and mandates were bad then, what would he think about them if he were alive today. Senator McGovern was a big Government leftist, but he realized at some point regulations and mandates destroy economic activity. [Or did he just want regulations to be at a level in which his business could survive? Would he have written this this article if regulations weren’t at a level that affected his business? His business just happened to be the submarginal business, what if it had been the supramarginal business?}.

CONCLUSION

“The economy” is what results when each individual is free to make decisions on what to produce, consume, save, or exchange according to what he values at any particular time. Outside of protecting  property rights, contracts, and torts: government interventions hamper the decision-making by individuals, by definition hurting the economy.

Government intervention substitutes the decisions of individual politicians and bureaucrats, for the decisions of free individuals in the market, creating a lower overall standard of living, and individuals who are less satisfied.

Politicians are always performing in the political theater, because they realize that the political process is the only way they can get in positions of power to enforce their superior wisdom on the masses. We have to realize this, and be able to weed out the propaganda from the facts if we are going to be able to turn the big Government ship around.