-- Posted Wednesday, 31 March 2010 | Digg This Article
| | Source: GoldSeek.com
Rick’s Picks
Wednesday, March 31, 2010
“Phenomenally accurate forecasts”
(Editor’s note: Is economic recovery slowly emerging? And is there perhaps a benign side to the alarming expansion of the nanny state under President Obama? Readers aggressively rejected both of these ideas in responding to yesterday’s essay by “Donniemac.” Following are the comments of Chris T., whose thoughts mirror our own, especially where they pertain to the steepening decline in America’s standard of living.)
I could not be as sanguine as [Donniemac]. We always read about all this being caused by the general profligacy of an entire generation. To some extent of course that is true. However, what is the backdrop to all of that? A few generations of Americans grew up in a generally sound economic environment, where the norm was that the next generation would do as well or better than their forebears. It is this situation that finally went under about 40 years ago, as demonstrated by the real median-wage “growth” ever since.
In order to cope with this development, meaning finding a way to keep that “normal” alive, Americans adopted coping mechanisms. First was the double-earner family, but when that failed to suffice, it was credit, credit, credit. Those that benefit(ted) from this were happy to oblige. Both changes had their costs, and they were not only financial. The loss of a stay-at-home parent (usually the Mom) had many non-economic costs as well. (To those women who chose to work instead of mother, this was not a loss; but many had no choice but to work).
Coping Mechanism
Now, of course, even the credit coping mechanism has failed, so that at some point the bitter realization of having to do with less than our parents had will have to sink in. This should have happened long ago, of course, but paradigm shifts of this nature are slow in coming.
As college education has become a major part of many families’ consumption, student loans were another way of coping with the roughly 20x cost increase over 40+ years. That is now failing too, with crushing debt killing the futures of grads -- and just today, the about-to-be-signed full socialization of the student loan program.
Bottom line: Those who merely tried to sustain the standard of living they knew from childhood are to blame, sure; but the real blame goes to the devaluing monetary system, which has forced this general backsliding.
A Fundamental Flaw
As to the nanny-state commentary, “I used to be opposed to laws that protect people from themselves … But I have slowly come to the realization that those laws also protect me from the irresponsible. So, as I pay for some idiot…” Unfortunately, this attitude is fundamentally flawed, for you have accepted the government taking from you for the benefit of others as correct and normal; and also, that government can impose even more on your freedom in order to right the wrongs it created in the first place.
You would not have to suffer a stricture on your freedom if others weren’t being bailed out for their stupidity. Old English/Scots law has a general principle, namely that you are not your brother’s keeper. This differs quite drastically from other Roman-influenced systems, where not being a keeper can be a criminal act of omission (as opposed to our criminal acts of commission).
Paying for Your Beliefs
There may moral/religious/blood-tie reasons why you will feel compelled to be another’s keeper for their stupidity, but those are your personal ties/beliefs that I do not share. I have others, which you do not share. By accepting the nanny state, you ultimately support the idea that we are collectively responsible for doing for others what any one of us might choose to do. Thus, you want me to pay for your personal moral suasion.
Anyone empowered in this “democracy” of ours should bear the costs for their actions by themselves, or at worst, rely on aid freely given by others only, if that exists. In a society with values and morals, such free aid will and does exist. It is only compulsory aid which should not exist, and which should be resisted by all who value freedom.
And that is why the founders had it right in creating a republic rather than a democracy. They knew that some are more capable than others. Unfortunately today, we only want the benefits (i.e., full enfranchisement) but not the consequences.
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-- Posted Wednesday, 31 March 2010 | Digg This Article | Source: GoldSeek.com
