Posts tagged ‘Poverty’

December 14, 2012

Yes We Can – Eliminate Poverty in our Lifetime

theUSAplan-LOGO

On December 1, 2010, the President’s Debt Commission issued a report recommending specific budget cuts and tax increases.   To date, these austerity measures have not been acted upon by the administration.

Written by Dick McDonald, founder of www.theusaplan.com

During the recent campaign, the Republicans promised draconian spending cuts to the national debt and tax cuts for the 2% of “job creators.” But these, it seems, were largely perceived as attacks on government welfare and entitlement programs; and the people re-elected President Obama and a majority Democrat Senate.

All that was heard from both parties was “no we can’t” – compromise our cradle-to-grave policy or sink-or-swim principles.  What the nation desperately needs is some meaningful “Yes we can,” and they need it in big doses because we are heading off the proverbial social as well as fiscal cliff.

This is why I started the Prosperity Commission to give Americans the “hope and change” no government in the history of man has ever given its poor and working class – wealth. That is a big idea; one the people will actively support.

Granted, America has the “wealthiest “poor in the world, but that “enrichment”  is supported by government entitlement and welfare programs that have run up debt  amounting to a $1.2 million liability for each and every household in America. See http://www.usdebtclock.org.

The Prosperity Commission is promoting its USA Plan.  The “USA” stands for the Universal Savings Account. At its core, the plan expands trickle-down economics to include (1) the poor, (2) the middle-class and (3) rich people who aren’t “job creators,” like movie stars and sport stars. We prefer to call it the Rise Up Theory of Economics.

Making all Americans job-creators will lead to a citizenry that can afford, out of their own pocket, to retire affluently and acquire the best healthcare on the planet.  Considering our current unfunded $121 trillion of debt attributable to the existing Social Security, Disability and Medicare programs, the government is clearly not up to the task.

It is time for the people to assert their sovereign right to change the way government works as specified in our Declaration of Independence. The USA Plan is step in that direction.

The USA Plan funds each taxpayer’s Universal Saving Account (USA) by diverting his or her Federal payroll taxes (the 15.3% of their gross income withheld or paid) into their personally owned account, which is unreachable by the government or the courts and administered by an independent trust not associated with Wall Street.

Over the 40-year working life of the average $50,000-per year taxpayer, that 15.3% withheld or paid amounts to an investment of $300,000 (40 x 15% x $50,000).  Invested weekly into the stock market (not bond or money market) will accumulate and compound into a nest egg of $ 4 million,  based on the average rate of return for 40-year investments in the S&P 500 since 1911 – the period of 1871 to 1911 being the first 40-year period. See the USA Plan website for the year-by-year calculation of the $4 million nest egg and the historical record of the S&P 500’s rate of return.

The logical response to the diversion of payroll taxes into USAs is, “Where are we going to get the money to pay existing Social Security, Disability and Medicare benefits?” The answer to that is much simpler than you think: The USA Plan upon enactment will immediately cut the $138 trillion of “funded” and “unfunded” US debt to $30 trillion. READ FULL ARTICLE  Yes We Can | New York Daily Sun – The Trusted New York Daily Broadsheet.

November 18, 2012

A Bi-Partisan Plan to Make the Poor Rich and End Poverty

A Plan To End Poverty

2012’s Forgotten Class ­the Poor

by Dick McDonald The USA Plan

The 2012 election has been focused on the Middle-Class. The poor in America have hardly been mentioned. Both political parties and their presidential candidates seem to have forgotten the ever-growing class of Americans designated as poor. They drone on exclusively about the middle-class.

Their campaigns have been silent when it comes to the poor.

In matter of fact there are now more people designated as poor than any time in American history. That is an American tragedy. The $17 trillion spent on the War on Poverty in the last 43 years has been a national failure of inestimable proportion.

It is no wonder why their campaigns remain silent. They haven¹t got a solution to stamp out poverty. So why bring it up.

It didn¹t have to be. The American people could have been smarter and forced their representatives to pass laws that eliminated the poor; but they didn¹t. Instead their representatives have created enormous dependency on government by too many Americans who if they had been smarter would by now have the personal wealth to be financially independent. They missed their chance at the golden ring ­ the American Dream of financial independence.

These politicians could have legislated this many years ago. They could have had America¹s workers invest their own payroll taxes (15.3% of their income) in the American economy and personally benefit from the growth in value in their own stock portfolio. As explained at www.theusaplan.com the combined net worth of the American population would have been $460 trillion today rather than the paltry $20 trillion it is now. (115 million households would each have on average a $4 million nest egg).

Taking all Americans to financial independence is still possible. We can do what we did in Japan after World War II. Americans Joseph Morrell Dodgeand Edwards Deming changed the course of world history by taking Japan from its war-torn last place in GDP (gross national product) to second in the world in only 10 years. Banker Dodge did it by giving a tax break to the workers ­ all the workers ­ they didn¹t have to pay income taxes on earnings from investments in the newly created Japan Postal Bank. That worker capital fueled their exceptionally rapid growth.

The USA Plan is much more potent than even the American-crafted Japanese plan. Close to a trillion dollars a year will be invested by American workers in common stocks and the accumulation, compounding and growth in every worker¹s portfolio will generate an average $4 million nest egg for each worker at retirement.

Unfortunately the American worker cannot rely on their representatives to institute the Plan because those representatives have had the opportunity to make the poor rich and the country wealthier for 75 years and have done nothing about it. It will take a popular uprising ­ a non-violent non-confrontational one to force Congress to pass such legislation.

You can help the Prosperity Commission to educate and promote The USA Plan by going to the website and contributing something to the effort that will benefit you and your family for all time. The Prosperity Commission will be an organization that will not tread lightly but a Super-Pac that will confront those who refuse to make the poor rich and the country wealthier.

Make no mistake some will complain because their financial ox will be gored for the common good. You may have heard the term ³social justice.² What greater justice can there be than making the poor rich and the country wealthier? It is up to you. Contribute today.

November 15, 2012

Ron Paul’s Goodbye Speech (video & text) to the United Staes Congress

VIDEO: Ron Paul’s Last Speech to Congress and a warning to America.

TEXT:

This may well be the last time I speak on the House Floor.  At the end of the year I’ll leave Congress after 23 years in office over a 36 year period.  My goals in 1976 were the same as they are today:  promote peace and prosperity by a strict adherence to the principles of individual liberty.

It was my opinion, that the course the U.S. embarked on in the latter part of the 20th Century would bring us a major financial crisis and engulf us in a foreign policy that would overextend us and undermine our national security.

To achieve the goals I sought, government would have had to shrink in size and scope, reduce spending, change the monetary system, and reject the unsustainable costs of policing the world and expanding the American Empire.

The problems seemed to be overwhelming and impossible to solve, yet from my view point, just following the constraints placed on the federal government by the Constitution would have been a good place to start.

In many ways, according to conventional wisdom, my off-and-on career in Congress, from 1976 to 2012, accomplished very little.  No named legislation, no named federal buildings or highways—thank goodness.  In spite of my efforts, the government has grown exponentially, taxes remain excessive, and the prolific increase of incomprehensible regulations continues.  Wars are constant and pursued without Congressional declaration, deficits rise to the sky, poverty is rampant and dependency on the federal government is now worse than any time in our history.

All this with minimal concerns for the deficits and unfunded liabilities that common sense tells us cannot go on much longer.  A grand, but never mentioned, bipartisan agreement allows for the well-kept secret that keeps the spending going.  One side doesn’t give up one penny on military spending, the other side doesn’t give up one penny on welfare spending, while both sides support the bailouts and subsidies for the banking and  corporate elite.  And the spending continues as the economy weakens and the downward spiral continues.   As the government continues fiddling around, our liberties and our wealth burn in the flames of a foreign policy that makes us less safe.

The major stumbling block to real change in Washington is the total resistance to admitting that the country is broke. This has made compromising, just to agree to increase spending, inevitable since neither side has any intention of cutting spending.

The country and the Congress will remain divisive since there’s no “loot left to divvy up.”

Without this recognition the spenders in Washington will continue the march toward a fiscal cliff much bigger than the one anticipated this coming January.

I have thought a lot about why those of us who believe in liberty, as a solution, have done so poorly in convincing others of its benefits.  If liberty is what we claim it is- the principle that protects all personal, social and economic decisions necessary for maximum prosperity and the best chance for peace- it should be an easy sell.  Yet, history has shown that the masses have been quite receptive to the promises of authoritarians which are rarely if ever fulfilled.

If authoritarianism leads to poverty and war and less freedom for all individuals and is controlled by rich special interests, the people should be begging for liberty.  There certainly was a strong enough sentiment for more freedom at the time of our founding that motivated those who were willing to fight in the revolution against the powerful British government.

During my time in Congress the appetite for liberty has been quite weak; the understanding of its significance negligible.  Yet the good news is that compared to 1976 when I first came to Congress, the desire for more freedom and less government in 2012 is much greater and growing, especially in grassroots America. Tens of thousands of teenagers and college age students are, with great enthusiasm, welcoming the message of liberty.

I have a few thoughts as to why the people of a country like ours, once the freest and most prosperous, allowed the conditions to deteriorate to the degree that they have.

Freedom, private property, and enforceable voluntary contracts, generate wealth.  In our early history we were very much aware of this.  But in the early part of the 20th century our politicians promoted the notion that the tax and monetary systems had to change if we were to involve ourselves in excessive domestic and military spending. That is why Congress gave us the Federal Reserve and the income tax.  The majority of Americans and many government officials agreed that sacrificing some liberty was necessary to carry out what some claimed to be “progressive” ideas. Pure democracy became acceptable.

They failed to recognized that what they were doing was exactly opposite of what the colonists were seeking when they broke away from the British.

Some complain that my arguments makes no sense, since great wealth and the standard of living improved  for many Americans over the last 100 years, even with these new policies.

But the damage to the market economy, and the currency, has been insidious and steady.  It took a long time to consume our wealth, destroy the currency and undermine productivity and get our financial obligations to a point of no return. Confidence sometimes lasts longer than deserved. Most of our wealth today depends on debt.

The wealth that we enjoyed and seemed to be endless, allowed concern for the principle of a free society to be neglected.  As long as most people believed the material abundance would last forever, worrying about protecting a competitive productive economy and individual liberty seemed unnecessary.

This neglect ushered in an age of redistribution of wealth by government kowtowing to any and all special interests, except for those who just wanted to left alone.  That is why today money in politics far surpasses money currently going into research and development and productive entrepreneurial efforts.

The material benefits became more important than the understanding and promoting the principles of liberty and a free market.  It is good that material abundance is a result of liberty but if materialism is all that we care about, problems are guaranteed.

The crisis arrived because the illusion that wealth and prosperity would last forever has ended. Since it was based on debt and a pretense that debt can be papered over by an out-of-control fiat monetary system, it was doomed to fail.  We have ended up with a system that doesn’t produce enough even to finance the debt and no fundamental understanding of why a free society is crucial to reversing these trends.

If this is not recognized, the recovery will linger for a long time.  Bigger government, more spending, more debt, more poverty for the middle class, and a more intense scramble by the elite special interests will continue.

Without an intellectual awakening, the turning point will be driven by economic law.  A dollar crisis will bring the current out-of-control system to its knees.

If it’s not accepted that big government, fiat money, ignoring liberty, central economic planning, welfarism, and warfarism caused our crisis we can expect a continuous and dangerous march toward corporatism and even fascism with even more loss of our liberties.  Prosperity for a large middle class though will become an abstract dream.

This continuous move is no different than what we have seen in how our financial crisis of 2008 was handled.  Congress first directed, with bipartisan support, bailouts for the wealthy.  Then it was the Federal Reserve with its endless quantitative easing. If at first it doesn’t succeed try again; QE1, QE2, and QE3 and with no results we try QE indefinitely—that is until it too fails.  There’s a cost to all of this and let me assure you delaying the payment is no longer an option.  The rules of the market will extract its pound of flesh and it won’t be pretty.

The current crisis elicits a lot of pessimism.  And the pessimism adds to less confidence in the future.  The two feed on themselves, making our situation worse.

If the underlying cause of the crisis is not understood we cannot solve our problems. The issues of warfare, welfare, deficits, inflationism, corporatism, bailouts and authoritarianism cannot be ignored.  By only expanding these policies we cannot expect good results.

Everyone claims support for freedom.  But too often it’s for one’s own freedom and not for others.  Too many believe that there must be limits on freedom. They argue that freedom must be directed and managed to achieve fairness and equality thus making it acceptable to curtail, through force, certain liberties.

Some decide what and whose freedoms are to be limited.  These are the politicians whose goal in life is power. Their success depends on gaining support from special interests.

The great news is the answer is not to be found in more “isms.”  The answers are to be found in more liberty which cost so much less.  Under these circumstances spending goes down, wealth production goes up, and the quality of life improves.

Just this recognition—especially if we move in this direction—increases optimism which in itself is beneficial.  The follow through with sound policies are required which must be understood and supported by the people.

But there is good evidence that the generation coming of age at the present time is supportive of moving in the direction of more liberty and self-reliance. The more this change in direction and the solutions become known, the quicker will be the return of optimism.

Our job, for those of us who believe that a different system than the  one that we have  had for the  last 100 years, has driven us to this unsustainable crisis, is to be more convincing that there is a wonderful, uncomplicated, and moral system that provides the answers.  We had a taste of it in our early history. We need not give up on the notion of advancing this cause.

It worked, but we allowed our leaders to concentrate on the material abundance that freedom generates, while ignoring freedom itself.  Now we have neither, but the door is open, out of necessity, for an answer.  The answer available is based on the Constitution, individual liberty and prohibiting the use of government force to provide privileges and benefits to all special interests.

After over 100 years we face a society quite different from the one that was intended by the Founders.  In many ways their efforts to protect future generations with the Constitution from this danger has failed.  Skeptics, at the time the Constitution was written in 1787, warned us of today’s possible outcome.  The insidious nature of the erosion of our liberties and the reassurance our great abundance gave us, allowed the process to evolve into the dangerous period in which we now live.

Today we face a dependency on government largesse for almost every need.  Our liberties are restricted and government operates outside the rule of law, protecting and rewarding those who buy or coerce government into satisfying their demands. Here are a few examples:

Undeclared wars are commonplace.

Welfare for the rich and poor is considered an entitlement.

The economy is overregulated, overtaxed and grossly distorted by a deeply flawed monetary system.

Debt is growing exponentially.

The Patriot Act and FISA legislation passed without much debate have resulted in a steady erosion of our 4th Amendment rights.

Tragically our government engages in preemptive war, otherwise known as aggression, with no complaints from the American people.

The drone warfare we are pursuing worldwide is destined to end badly for us as the hatred builds for innocent lives lost and the international laws flaunted. Once we are financially weakened and militarily challenged, there will be a lot resentment thrown our way.

It’s now the law of the land that the military can arrest American citizens, hold them indefinitely, without charges or a trial.

Rampant hostility toward free trade is supported by a large number in Washington.

Supporters of sanctions, currency manipulation and WTO trade retaliation, call the true free traders “isolationists.”

Sanctions are used to punish countries that don’t follow our orders.

Bailouts and guarantees for all kinds of misbehavior are routine.

Central economic planning through monetary policy, regulations and legislative mandates has been an acceptable policy.

Excessive government has created such a mess it prompts many questions:

Why are sick people who use medical marijuana put in prison?

Why does the federal government restrict the drinking of raw milk?

Why can’t Americans manufacturer rope and other products from hemp?

Why are Americans not allowed to use gold and silver as legal tender as mandated by the Constitution?

Why is Germany concerned enough to consider repatriating their gold held by the FED for her in New York?  Is it that the trust in the U.S. and dollar supremacy beginning to wane?

Why do our political leaders believe it’s unnecessary to thoroughly audit our own gold?

Why can’t Americans decide which type of light bulbs they can buy?

Why is the TSA permitted to abuse the rights of any American traveling by air?

Why should there be mandatory sentences—even up to life for crimes without victims—as our drug laws require?

Why have we allowed the federal government to regulate commodes in our homes?

Why is it political suicide for anyone to criticize AIPAC ?

Why haven’t we given up on the drug war since it’s an obvious failure and violates the people’s rights? Has nobody noticed that the authorities can’t even keep drugs out of the prisons? How can making our entire society a prison solve the problem?

Why do we sacrifice so much getting needlessly involved in border disputes and civil strife around the world and ignore the root cause of the most deadly border in the world-the one between Mexico and the US?

Why does Congress willingly give up its prerogatives to the Executive Branch?

Why does changing the party in power never change policy? Could it be that the views of both parties are essentially the same?

Why did the big banks, the large corporations, and foreign banks and foreign central banks get bailed out in 2008 and the middle class lost their jobs and their homes?

Why do so many in the government and the federal officials believe that creating money out of thin air creates wealth?

Why do so many accept the deeply flawed principle that government bureaucrats and politicians can protect us from ourselves without totally destroying the principle of liberty?

Why can’t people understand that war always destroys wealth and liberty?

Why is there so little concern for the Executive Order that gives the President authority to establish a “kill list,” including American citizens, of those targeted for assassination?

Why is patriotism thought to be blind loyalty to the government and the politicians who run it, rather than loyalty to the principles of liberty and support for the people? Real patriotism is a willingness to challenge the government when it’s wrong.

Why is it is claimed that if people won’t  or can’t take care of their own needs, that people in government can do it for them?

Why did we ever give the government a safe haven for initiating violence against the people?

Why do some members defend free markets, but not civil liberties?

Why do some members defend civil liberties but not free markets? Aren’t they the same?

Why don’t more defend both economic liberty and personal liberty?

Why are there not more individuals who seek to intellectually influence others to bring about positive changes than those who seek power to force others to obey their commands?

Why does the use of religion to support a social gospel and preemptive wars, both of which requires authoritarians to use violence, or the threat of violence, go unchallenged? Aggression and forced redistribution of wealth has nothing to do with the teachings of the world great religions.

Why do we allow the government and the Federal Reserve to disseminate false information dealing with both economic and  foreign policy?

Why is democracy held in such high esteem when it’s the enemy of the minority and makes all rights relative to the dictates of the majority?

Why should anyone be surprised that Congress has no credibility, since there’s such a disconnect between what politicians say and what they do?

Is there any explanation for all the deception, the unhappiness, the fear of the future, the loss of confidence in our leaders, the distrust, the anger and frustration?   Yes there is, and there’s a way to reverse these attitudes.  The negative perceptions are logical and a consequence of bad policies bringing about our problems.  Identification of the problems and recognizing the cause allow the proper changes to come easy.

Too many people have for too long placed too much confidence and trust in government and not enough in themselves.  Fortunately, many are now becoming aware of the seriousness of the gross mistakes of the past several decades.  The blame is shared by both political parties.  Many Americans now are demanding to hear the plain truth of things and want the demagoguing to stop.  Without this first step, solutions are impossible.

Seeking the truth and finding the answers in liberty and self-reliance promotes the optimism necessary for restoring prosperity.  The task is not that difficult if politics doesn’t get in the way.

We have allowed ourselves to get into such a mess for various reasons.

Politicians deceive themselves as to how wealth is produced.  Excessive confidence is placed in the judgment of politicians and bureaucrats.  This replaces the confidence in a free society.  Too many in high places of authority became convinced that only they,   armed with arbitrary government power, can bring about fairness, while facilitating wealth production.  This always proves to be a utopian dream and destroys wealth and liberty.  It impoverishes the people and rewards the special interests who end up controlling both political parties.

It’s no surprise then that much of what goes on in Washington is driven by aggressive partisanship and power seeking, with philosophic differences being minor.

Economic ignorance is commonplace.  Keynesianism continues to thrive, although today it is facing healthy and enthusiastic rebuttals.  Believers in military Keynesianism and domestic Keynesianism continue to desperately promote their failed policies, as the economy languishes in a deep slumber.

Supporters of all government edicts use humanitarian arguments to justify them.

Humanitarian arguments are always used to justify government mandates related to the economy, monetary policy, foreign policy, and personal liberty.  This is on purpose to make it more difficult to challenge.  But, initiating violence for humanitarian reasons is still violence.  Good intentions are no excuse and are just as harmful as when people use force with bad intentions.  The results are always negative.

The immoral use of force is the source of man’s political problems.  Sadly, many religious groups, secular organizations, and psychopathic authoritarians endorse government initiated force to change the world.  Even when the desired goals are well-intentioned—or especially when well-intentioned—the results are dismal.  The good results sought never materialize.  The new problems created require even more government force as a solution.  The net result is institutionalizing government initiated violence and morally justifying it on humanitarian grounds.

This is the same fundamental reason our government  uses force  for invading other countries at will, central economic planning at home, and the regulation of personal liberty and habits of our citizens.

It is rather strange, that unless one has a criminal mind and no respect for other people and their property, no one claims it’s permissible to go into one’s neighbor’s house and tell them how to behave, what they can eat, smoke and drink or how to spend their money.

Yet, rarely is it asked why it is morally acceptable that a stranger with a badge and a gun can do the same thing in the name of law and order.  Any resistance is met with brute force, fines, taxes, arrests, and even imprisonment. This is done more frequently every day without a proper search warrant.

Restraining aggressive behavior is one thing, but legalizing a government monopoly for initiating aggression can only lead to exhausting liberty associated with chaos, anger and the breakdown of civil society.  Permitting such authority and expecting saintly behavior from the bureaucrats and the politicians is a pipe dream.  We now have a standing army of armed bureaucrats in the TSA, CIA, FBI, Fish and Wildlife, FEMA, IRS, Corp of Engineers, etc. numbering over 100,000.  Citizens are guilty until proven innocent in the unconstitutional administrative courts.

Government in a free society should have no authority to meddle in social activities or the economic transactions of individuals. Nor should government meddle in the affairs of other nations. All things peaceful, even when controversial, should be permitted.

We must reject the notion of prior restraint in economic activity just we do in the area of free speech and religious liberty. But even in these areas government is starting to use a backdoor approach of political correctness to regulate speech-a dangerous trend. Since 9/11 monitoring speech on the internet is now a problem since warrants are no longer required.

The Constitution established four federal crimes.  Today the experts can’t even agree on how many federal crimes are now on the books—they number into the thousands.  No one person can comprehend the enormity of the legal system—especially the tax code.  Due to the ill-advised drug war and the endless federal expansion of the criminal code we have over 6 million people under correctional suspension, more than the Soviets ever had, and more than any other nation today, including China.  I don’t understand the complacency of the Congress and the willingness to continue their obsession with passing more Federal laws.  Mandatory sentencing laws associated with drug laws have compounded our prison problems.

The federal register is now 75,000 pages long and the tax code has 72,000 pages, and expands every year.  When will the people start shouting, “enough is enough,” and demand Congress cease and desist.

Liberty can only be achieved when government is denied the aggressive use of force.  If one seeks liberty, a precise type of government is needed.  To achieve it, more than lip service is required.

A government designed to protect liberty—a natural right—as its sole objective.  The people are expected to care for themselves and reject the use of any force for interfering with another person’s liberty.  Government is given a strictly limited authority to enforce contracts, property ownership, settle disputes, and defend against foreign aggression.
A government that pretends to protect liberty but is granted power to arbitrarily use force over the people and foreign nations.  Though the grant of power many times is meant to be small and limited, it inevitably metastasizes into an omnipotent political cancer.  This is the problem for which the world has suffered throughout the ages.  Though meant to be limited it nevertheless is a 100% sacrifice of a principle that would-be-tyrants find irresistible.  It is used vigorously—though incrementally and insidiously.  Granting power to government officials always proves the adage that:  “power corrupts.”

Once government gets a limited concession for the use of force to mold people habits and plan the economy, it causes a steady move toward tyrannical government.  Only a revolutionary spirit can reverse the process and deny to the government this arbitrary use of aggression.  There’s no in-between.  Sacrificing a little liberty for imaginary safety always ends badly.

Today’s mess is a result of Americans accepting option #2, even though the Founders attempted to give us Option #1.

The results are not good.  As our liberties have been eroded our wealth has been consumed.  The wealth we see today is based on debt and a foolish willingness on the part of foreigners to take our dollars for goods and services. They then loan them back to us to perpetuate our debt system.  It’s amazing that it has worked for this long but the impasse in Washington, in solving our problems indicate that many are starting to understand the seriousness of the world -wide debt crisis and the dangers we face. The longer this process continues the harsher the outcome will be.

Many are now acknowledging that a financial crisis looms but few understand it’s, in reality, a moral crisis.  It’s the moral crisis that has allowed our liberties to be undermined and permits the exponential growth of illegal government power.  Without a clear understanding of the nature of the crisis it will be difficult to prevent a steady march toward tyranny and the poverty that will accompany it.

Ultimately, the people have to decide which form of government they want; option #1 or option #2.  There is no other choice.  Claiming there is a choice of a “little” tyranny is like describing pregnancy as a “touch of pregnancy.”  It is a myth to believe that a mixture of free markets and government central economic planning is a worthy compromise.  What we see today is a result of that type of thinking.  And the results speak for themselves.

American now suffers from a culture of violence.  It’s easy to reject the initiation of violence against one’s neighbor but it’s ironic that the people arbitrarily and freely anoint government officials with monopoly power to initiate violence against the American people—practically at will.

Because it’s the government that initiates force, most people accept it as being legitimate.  Those who exert the force have no sense of guilt.  It is believed by too many that governments are morally justified in initiating force supposedly to “do good.”  They incorrectly believe that this authority has come from the “consent of the people.”  The minority, or victims of government violence never consented to suffer the abuse of government mandates, even when dictated by the majority.  Victims of TSA excesses never consented to this abuse.

This attitude has given us a policy of initiating war to “do good,” as well. It is claimed that war, to prevent war for noble purposes, is justified.  This is similar to what we were once told that:  “destroying a village to save a village” was justified.  It was said by a US Secretary of State that the loss of 500,000 Iraqis, mostly children, in the 1990s, as a result of American bombs and sanctions, was “worth it” to achieve the “good” we brought to the Iraqi people.  And look at the mess that Iraq is in today.

Government use of force to mold social and economic behavior at home and abroad has justified individuals using force on their own terms.  The fact that violence by government is seen as morally justified, is the reason why violence will increase when the big financial crisis hits and becomes a political crisis as well.

First, we recognize that individuals shouldn’t initiate violence, then we give the authority to government.   Eventually, the immoral use of government violence, when things goes badly, will be used to justify an individual’s “right” to do the same thing. Neither the government nor individuals have the moral right to initiate violence against another yet we are moving toward the day when both will claim this authority.  If this cycle is not reversed society will break down.

When needs are pressing, conditions deteriorate and rights become relative to the demands and the whims of the majority.  It’s then not a great leap for individuals to take it upon themselves to use violence to get what they claim is theirs.  As the economy deteriorates and the wealth discrepancies increase—as are already occurring— violence increases as those in need take it in their own hands to get what they believe is theirs.  They will not wait for a government rescue program.

When government officials wield power over others to bail out the special interests, even with disastrous results to the average citizen, they feel no guilt for the harm they do. Those who take us into undeclared wars with many casualties resulting, never lose sleep over the death and destruction their bad decisions caused. They are convinced that what they do is morally justified, and the fact that many suffer   just can’t be helped.

When the street criminals do the same thing, they too have no remorse, believing they are only taking what is rightfully theirs.  All moral standards become relative.  Whether it’s bailouts, privileges, government subsidies or benefits for some from inflating a currency, it’s all part of a process justified by a philosophy of forced redistribution of wealth.  Violence, or a threat of such, is the instrument required and unfortunately is of little concern of most members of Congress.

Some argue it’s only a matter of “fairness” that those in need are cared for. There are two problems with this. First, the principle is used to provide a greater amount of benefits to the rich than the poor. Second, no one seems to be concerned about whether or not it’s fair to those who end up paying for the benefits. The costs are usually placed on the backs of the middle class and are hidden from the public eye. Too many people believe government handouts are free, like printing money out of thin air, and there is no cost. That deception is coming to an end. The bills are coming due and that’s what the economic slowdown is all about.

Sadly, we have become accustomed to living with the illegitimate use of force by government.  It is the tool for telling the people how to live, what to eat and drink, what to read and how to spend their money.

To develop a truly free society, the issue of initiating force must be understood and rejected.  Granting to government even a small amount of force is a dangerous concession.

Our Constitution, which was intended to limit government power and abuse, has failed.  The Founders warned that a free society depends on a virtuous and moral people.  The current crisis reflects that their concerns were justified.

Most politicians and pundits are aware of the problems we face but spend all their time in trying to reform government.  The sad part is that the suggested reforms almost always lead to less freedom and the importance of a virtuous and moral people is either ignored, or not understood. The new reforms serve only to further undermine liberty.  The compounding effect has given us this steady erosion of liberty and the massive expansion of debt.  The real question is: if it is liberty we seek, should most of the emphasis be placed on government reform or trying to understand what “a virtuous and moral people” means and how to promote it. The Constitution has not prevented the people from demanding handouts for both rich and poor in their efforts to reform the government, while ignoring the principles of a free society. All branches of our government today are controlled by individuals who use their power to undermine liberty and enhance the welfare/warfare state-and frequently their own wealth and power.

If the people are unhappy with the government performance it must be recognized that government is merely a reflection of an immoral society that rejected a moral government of constitutional limitations of power and love of freedom.

If this is the problem all the tinkering with thousands of pages of new laws and regulations will do nothing to solve the problem.

It is self-evident that our freedoms have been severely limited and the apparent prosperity we still have, is nothing more than leftover wealth from a previous time.  This fictitious wealth based on debt and benefits from a false trust in our currency and credit, will play havoc with our society when the bills come due.  This means that the full consequence of our lost liberties is yet to be felt.

But that illusion is now ending.  Reversing a downward spiral depends on accepting a new approach.

Expect the rapidly expanding homeschooling movement to play a significant role in the revolutionary reforms needed to build a free society with Constitutional protections. We cannot expect a Federal government controlled school system to provide the intellectual ammunition to combat the dangerous growth of government that threatens our liberties.

The internet will provide the alternative to the government/media complex that controls the news and most political propaganda. This is why it’s essential that the internet remains free of government regulation.

Many of our religious institutions and secular organizations support greater dependency on the state by supporting war, welfare and corporatism and ignore the need for a virtuous people.

I never believed that the world or our country could be made more free by politicians, if the people had no desire for freedom.

Under the current circumstances the most we can hope to achieve in the political process is to use it as a podium to reach the people to alert them of the nature of the crisis and the importance of their need to assume responsibility for themselves, if it is liberty that they truly seek.  Without this, a constitutionally protected free society is impossible.

If this is true, our individual goal in life ought to be for us to seek virtue and excellence and recognize that self-esteem and happiness only comes from using one’s natural ability, in the most productive manner possible, according to one’s own talents.

Productivity and creativity are the true source of personal satisfaction. Freedom, and not dependency, provides the environment needed to achieve these goals. Government cannot do this for us; it only gets in the way. When the government gets involved, the goal becomes a bailout or a subsidy and these cannot provide a sense of  personal achievement.

Achieving legislative power and political influence should not be our goal. Most of the change, if it is to come, will not come from the politicians, but rather from individuals, family, friends, intellectual leaders and our religious institutions.  The solution can only come from rejecting the use of coercion, compulsion, government commands, and aggressive force, to mold social and economic behavior.  Without accepting these restraints, inevitably the consensus will be to allow the government to mandate economic equality and obedience to the politicians who gain power and promote an environment that smothers the freedoms of everyone. It is then that the responsible individuals who seek excellence and self-esteem by being self-reliance and productive, become the true victims.

What are the greatest dangers that the American people face today and impede the goal of a free society? There are five.

1. The continuous attack on our civil liberties which threatens the rule of law and our ability to resist the onrush of tyranny.

2. Violent anti-Americanism that has engulfed the world. Because the phenomenon of “blow-back” is not understood or denied, our foreign policy is destined to keep us involved in many wars that we have no business being in. National bankruptcy and a greater threat to our national security will result.

3. The ease in which we go to war, without a declaration by Congress, but accepting international authority from the UN or NATO even for preemptive wars, otherwise known as aggression.

4. A financial political crisis as a consequence of excessive debt, unfunded liabilities, spending, bailouts, and gross discrepancy in wealth distribution going from the middle class to the rich. The danger of central economic planning, by the Federal Reserve must be understood.

5. World government taking over  local and US sovereignty by getting involved in the issues of war, welfare, trade, banking,  a world currency, taxes, property ownership, and private ownership of guns.

Happily, there is an answer for these very dangerous trends.

What a wonderful world it would be if everyone accepted the simple moral premise of rejecting all acts of aggression.  The retort to such a suggestion is always:  it’s too simplistic, too idealistic, impractical, naïve, utopian, dangerous, and unrealistic to strive for such an ideal.

The answer to that is that for thousands of years the acceptance of government force, to rule over the people, at the sacrifice of liberty, was considered moral and the only available option for achieving peace and prosperity.

What could be more utopian than that myth—considering the results especially looking at the state sponsored killing, by nearly every government during the 20th Century, estimated to be in the hundreds of millions.  It’s time to reconsider this grant of authority to the state.

No good has ever come from granting monopoly power to the state to use aggression against the people to arbitrarily mold human behavior.  Such power, when left unchecked, becomes the seed of an ugly tyranny.  This method of governance has been adequately tested, and the results are in: reality dictates we try liberty.

The idealism of non-aggression and rejecting all offensive use of force should be tried.  The idealism of government sanctioned violence has been abused throughout history and is the primary source of poverty and war.  The theory of a society being based on individual freedom has been around for a long time.  It’s time to take a bold step and actually permit it by advancing this cause, rather than taking a step backwards as some would like us to do.

Today the principle of habeas corpus, established when King John signed the Magna Carta in 1215, is under attack. There’s every reason to believe that a renewed effort with the use of the internet that we can instead advance the cause of liberty by spreading an uncensored message that will serve to rein in government authority and challenge the obsession with war and welfare.

What I’m talking about is a system of government guided by the moral principles of peace and tolerance.

The Founders were convinced that a free society could not exist without a moral people.  Just writing rules won’t work if the people choose to ignore them.  Today the rule of law written in the Constitution has little meaning for most Americans, especially those who work in Washington DC.

Benjamin Franklin claimed “only a virtuous people are capable of freedom.”  John Adams concurred:  “Our Constitution was made for a moral and religious people.  It is wholly inadequate to the government of any other.”

A moral people must reject all violence in an effort to mold people’s beliefs or habits.

A society that boos or ridicules the Golden Rule is not a moral society.  All great religions endorse the Golden Rule.  The same moral standards that individuals are required to follow should apply to all government officials.  They cannot be exempt.

The ultimate solution is not in the hands of the government.

The solution falls on each and every individual, with guidance from family, friends and community.

The #1 responsibility for each of us is to change ourselves with hope that others will follow.  This is of greater importance than working on changing the government; that is secondary to promoting a virtuous society.  If we can achieve this, then the government will change.

It doesn’t mean that political action or holding office has no value. At times it does nudge policy in the right direction. But what is true is that when seeking office is done for personal aggrandizement, money or power, it becomes useless if not harmful. When political action is taken for the right reasons it’s easy to understand why compromise should be avoided. It also becomes clear why progress is best achieved by working with coalitions, which bring people together, without anyone sacrificing his principles.

Political action, to be truly beneficial, must be directed toward changing the hearts and minds of the people, recognizing that it’s the virtue and morality of the people that allow liberty to flourish.

The Constitution or more laws per se, have no value if the people’s attitudes aren’t changed.

To achieve liberty and peace, two powerful human emotions have to be overcome.  Number one is “envy” which leads to hate and class warfare.  Number two is “intolerance” which leads to bigoted and judgmental policies.  These emotions must be replaced with a much better understanding of love, compassion, tolerance and free market economics. Freedom, when understood, brings people together. When tried, freedom is popular.

The problem we have faced over the years has been that economic interventionists are swayed by envy, whereas social interventionists are swayed by intolerance of habits and lifestyles. The misunderstanding that tolerance is an endorsement of certain activities, motivates many to legislate moral standards which should only be set by individuals making their own choices. Both sides use force to deal with these misplaced emotions. Both are authoritarians. Neither endorses voluntarism.  Both views ought to be rejected.

I have come to one firm conviction after these many years of trying to figure out “the plain truth of things.”  The best chance for achieving peace and prosperity, for the maximum number of people world-wide, is to pursue the cause of LIBERTY.

If you find this to be a worthwhile message, spread it throughout the land.

June 25, 2012

Study: More Than Half a Trillion Dollars Spent on Welfare But Poverty Levels Unaffected

“The vast majority of current programs are focused on making poverty more comfortable … rather than giving people the tools that will help them escape poverty.”

EDITORS NOTE: Please Read the “Cycle of Marx” which suggests a direct correlation between the size of government and the number of people in poverty and dependent on government. The conclusion is this is good for Democrats and bad for Republicans.

The federal government is not making much headway reducing poverty despite spending hundreds of billions of dollars, according to a study by the libertarian Cato Institute.

Despite an unprecedented increase in federal anti-poverty spending, the national poverty rate has not declined, the study finds.

“[S]ince President Obama took office [in January 2009], federal welfare spending has increased by 41 percent, more than $193 billion per year,” the study says.

Federal welfare spending in fiscal year 2011 totaled $668 billion, spread out over 126 programs, while the poverty rate that remains high at 15.1 percent, roughly where it was in 1965, when President Johnson declared a federal War on Poverty.

In 1966, the first year after Johnson declared war on poverty, the national poverty rate was 14.7 percent, according to Census Bureau figures. Over time, the poverty rate has fluctuated in a narrow range between 11 and 15 percent, only falling into the 11 percent range for a few years in the late 1970’s.

The federal poverty rate is the percentage of the population below the federal poverty threshold, which varies based on family size.

While the study concedes that some of the increased spending under Obama is a result of the recession and the counter-cyclical nature of anti-poverty programs, it also finds that some of the increase is deliberate, with the government having expanded eligibility for welfare programs.

In fiscal year 2008, anti-poverty spending was $475 billion. In fiscal year 2009, when Obama took office, it had risen to $590 billion.

[read more] Study: More Than Half a Trillion Dollars Spent on Welfare But Poverty Levels Unaffected | CNSNews.com.

August 11, 2011

The Cycle of Marx: Why the economic policies of the Democrat Party contribute more to poverty than Free Market Capitalism?

Jeffers M. Dodge, President of PopModal.com

Jeffers M. Dodge, President of PopModal.com

By Jeffers M. Dodge 7-25-11

The question is, why does the economic policies and theory promoted by the Democrat Party contribute more to increased poverty rates even though they claim their proposal’s intentions are to the contrary? My conclusion, after examining the facts, is that there is a correlation between the size of government and the increase in poverty levels. Here is a summary of my logic stream I call “The Cycle of Marx,” which is: The bigger the Government the more it costs; thus the more it prints, borrows and taxes; thus the decrease in the value of the dollar; thus an increase in inflation; thus the increase in poverty; thus the shrinkage of the tax-base; thus the more dependency on big government; thus the need for bigger government… and the Cycle of Marx repeats.

We all know that the Republicans advocate for smaller, less intrusive, less expensive government, while the opposite is true for Democrats. This is why I use the term Big Government throughout this article.

We all know that Big Government gets its operating capital through taxation of both business and individuals (the producers of wealth) in the private sector. And we all know that when taxation is not enough, Big Government makes up the difference by borrowing and/or printing money.

We all know that when Big Government raises taxes on businesses this additional expense is passed through to consumers in the form of higher prices, which means less people can afford to purchase its products and services. This is called double taxation and is a root cause of monetary inflation and resulting poverty. If small business want to compete they will have to cut down on other expenses such as salaries, hiring new employees or future capital investments, marketing or advertising, not to mention cutting corners, compromising quality and public safety. These taxes are anti-growth and anti-competitive Big Government policies.

We all know that small businesses would rather use the money Big Government takes to expand their markets or develop new products. This is how jobs are created, and this is how the tax-base is expanded. The net effect of an expanded tax-base is an increase in income tax revenue to the U.S. Treasury. Our politicians should be doing everything in their power to enable small businesses to grow and compete. Their campaign promises should be about bringing jobs back to their districts not federal stimulus money.

We all know the value of the dollar is negatively affected by the increase in printing, borrowing and taxation by Big Government. The more money Big Government prints means there is more money in circulation, which means the less value it has. The more money Big Government borrows the less there is for the private sector therefore creating an increase in demand for loans which always causes interest rates to rise. The more money Big Government takes out of the economy by taxation the less money there is to spend on consumer goods or new homes or invest in a new business. All of this contributes to the lower value of the dollar, which is a primary cause of inflation that results in the high cost of food and fuel, and a resulting increase in poverty.

Therefore, inflation is a measure of higher prices caused mostly by Big Government intervention and to a lesser extent, natural causes such as drought and supply interruptions.

We all know that prices are set by the Free Market, which is controlled by millions of consumers making billions of transactions every day and not by greedy CEO’s. We all know that Democrats would like to set prices and plan our economy so they can construct their utopian fantasy for what they think is in our best interests. Now this brings me to a question that compares the two competing institutions that affect our economy, private business and Big Government. What is the difference between positive greed and negative greed? What is the difference between greedy big government politicians and greedy CEO’s? The primary purpose of the politician is to get reelected. They do not create wealth. They go to extraordinary measures to look for ways of taking wealth from the successful and redistributing it to people who are not, to buy their votes. CEO’s are owners of bakeries, coffee shops and gas stations and they go to extraordinary measures to find ways to get people to buy their product. They create wealth. Which one uses positive greed and which one uses negative greed?

We all know that poverty is measured, and the poverty threshold is set by the affordability of food and fuel and other necessities in relation to individual income. (note: the poverty rate, currently at 14.3%, has increased every year since the Big Government Democrats took control of Congress in 2008 and has a direct correlation to the size of government. A family of 3 that earns less than $18,310 is considered to be living in poverty. (This income is impossible to sustain the most meager of budgets in large metropolitan areas such as Los Angeles and New York).

We can conclude that the bigger the government becomes, the poorer Americans become.

To further support our conclusion, it is a fact that the poorer Americans become, the more they become dependent on big government. It is also a fact that the more people that become dependent on Big Government, the bigger the government must become in order to service those dependents, and the ‘Cycle of Marx’ starts again.

Looking at the Democrat agenda, policies and campaign promises, we see that bigger government is a primary goal of theirs. This sits well with their primary supporters, the groups who need the government to grow in order to assure their security: government workers, plus poor and un-established people who are or want to be dependent upon government largesse and some wealthy individuals that feel guilty about their riches which may or may not have been earned. I have a very liberal family member that told me that “Rich Liberals are really Conservatives that feel guilty about their wealth,’ and I added “and their sins.”

The consequence of the support these groups give to Big Government Democrats is that Big Government is rationalized as a counterpart to, and therefore competitor of, American business. But it is, ironically, American business that can free the poor and un-established from dependency and set them on the road to financial independence, by giving them jobs.

This is the pretzel logic of the Democrat. This is how they survive. Even with the historical knowledge that they cannot succeed, they express noble goals and institute huge programs to justify Big Government. But their success is not the same as our success. Their success is defined as a bigger government with more people dependant upon THEM. It does not matter how many people become poorer it just matters how many people become beneficiaries of Big Government handouts, like children upon their parents. So what is it that the Democrats gain? Their voter base expands as the number of capable self-reliant Americans decreases. They may win at the polls, but Americans lose in every aspect of our society.

Self-serving, Big Government Democrat ‘dependency programs’ have never worked and always chip away at our liberties and freedoms and ultimately our constitution, which are the roadblocks to their success. Yet the programs never disappear, they are vigorously defended and maintained with the one principle that is the hallmark of their utopian future – hope; the hope of some future success, even as historical facts and mathematics predict future failure.

When confronted with past failures of these programs and policies, Big Government Democrats are unwilling to acknowledge failed results. In fact, their only response, as of the past few years, is the demonization of anyone who challenges them. Ignore the message but kill the messenger.

In the meantime, under Democratic control, not only does America become poorer and weaker, there is another destructive consequence of their self-serving Big Government policies that has become painfully apparent; our international enemies have become stronger and more emboldened to threaten us and our allies… but we will leave that debate for another day… as the ‘Cycle of Marx’ continues.

But only as long as we let it.

Jeffers M. Dodge 7-25-11

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