1
   

Capitalism Will Bring World Peace

 
 
Didymos Thomas
 
  1  
Reply Tue 27 Oct, 2009 01:57 pm
@BrightNoon,
BrightNoon;100168 wrote:
Would that mean the absence of competition for resources? If so, how would that be accomplished unless either 1) resources became infinite, or 2) property and resources became assets of the collective (a universal collective)


There is a third option. And that is that people manage their desires such that those finite resources are plentiful enough for the comfortable maintenance of mankind. As I said earlier, peace is not something a government can impose, peace is something that individuals must make manifest. This truth extends to the use of resources.

BrightNoon;100168 wrote:
I don't think he meant 'bad peace' to mean imperfect peace, in the sense that violence, intra-state or of whatever sort, remained. I think he meant that peace, total and absolute, internal and external, may not be preferable to war if the material or legal-social conditions of that peace are of a certain undesireable kind. "Great, the war's over, but we gave up our elected government and now live under a military dictatorship." That's a bad peace.


Tacitus meant peace between states. And in that case it is easy to imagine bad peace. Although, I do recall a similar quote that made the exact opposite claim. If I can find it, I'll post it.

But if there was perfect and total peace, then all material, legal, and social conditions would be no source of complaint. What sort of peaceful conditions would be undesirable? You give the example of a military dictatorship: but why is such a regime necessarily vile? Sure, it always has been, but if we're going to talk about impossible things like absolute peace, then why not bring up the possibility of a wonderful military dictatorship, right?

Would such a regime be repulsive on principle? And if so, what principle is that which could usurp the great goal of total peace?

Of course, I'm not sure any government is needed if everyone were truly peaceful, but maybe that's another matter altogether.
EmperorNero
 
  1  
Reply Tue 27 Oct, 2009 02:56 pm
@josh0335,
josh0335;100165 wrote:
Economies of scale. Economic barriers to entry as a direct result of monopolies.



I'm saying that if we want world peace, we must have societies that do right, and not ones where wealthy people decide the direction of society. And with a pure capatalist system, you will get a handful of very wealthy people just the way we do now. And so the problems will be the same. I'm not saying there shouldn't be any rich people, merely pointing out that the problems identified in this thread will not improve with your theoretical model. At least I think.


I mean t some examples, why can't a competitor compete with a monopoly in a pure free market?
josh0335
 
  1  
Reply Tue 27 Oct, 2009 03:17 pm
@EmperorNero,
EmperorNero;100186 wrote:
I mean t some examples, why can't a competitor compete with a monopoly in a pure free market?


Economies of scale. I'm sure you can think of some examples yourself. Once a firm has over a certain percentage of the market share they can under-cut any new competitors. In certain sectors they can innovate their products to the point where new competitors cannot afford the basic capital required to produce a competetive product. Just google 'economies of scale' to see why it is so difficult to compete against a monopoly.
EmperorNero
 
  1  
Reply Tue 27 Oct, 2009 03:25 pm
@josh0335,
josh0335;100188 wrote:
Economies of scale. I'm sure you can think of some examples yourself. Once a firm has over a certain percentage of the market share they can under-cut any new competitors. In certain sectors they can innovate their products to the point where new competitors cannot afford the basic capital required to produce a competetive product. Just google 'economies of scale' to see why it is so difficult to compete against a monopoly.


Okay, my bad.
Well, if the monopoly is providing the cheapest product, what's the problem?
A monopoly is a problem if the customer has to pay more because there is no alternative.
Thus the monopoly demands more than the market dictates for the product.
Thus a competitor should be able to undercut that price.
josh0335
 
  1  
Reply Tue 27 Oct, 2009 03:40 pm
@EmperorNero,
EmperorNero;100190 wrote:
Okay, my bad.
Well, if the monopoly is providing the cheapest product, what's the problem?
A monopoly is a problem if the customer has to pay more because there is no alternative.
Thus the monopoly demands more than the market dictates for the product.
Thus a competitor should be able to undercut that price.


That's a simplistic view of how monopolies operate. Even if they are overpriced, they can buy up any new companies who come along. Otherwise, they can temporarily undercut their competitors til they collapse and then resume the inflated price. That's just one example, there are loads of other things monoploies/oligopolies can do to maintain a firm grip on a market. This is all valid behaviour in a pure free market system. There is nothing corrupt about it.

The original point you made a few posts back, was that rich people do not intefere in any liberties of others. A monopoly by definition infringes your liberties because they do not allow you to enter a market. Whats more, a few very wealthy people will naturally exert more influence and dictate the direction of a society. This will happen without any government intervention.
EmperorNero
 
  1  
Reply Tue 27 Oct, 2009 04:17 pm
@josh0335,
josh0335;100196 wrote:
That's a simplistic view of how monopolies operate. Even if they are overpriced, they can buy up any new companies who come along. Otherwise, they can temporarily undercut their competitors til they collapse and then resume the inflated price. That's just one example, there are loads of other things monoploies/oligopolies can do to maintain a firm grip on a market. This is all valid behaviour in a pure free market system. There is nothing corrupt about it.


I would say that these things happen unrelated to there being a monopoly. Any company can buy or undercut their competitor. That is the free market. They are just better at it. You seem to have a problem with companies being more successful than others. Obviously we can't keep companies all at the same size without extensive government intrusion.Big companies are successfully tackled by competitors, that seems to be the case even in our non-free market.

josh0335;100196 wrote:
The original point you made a few posts back, was that rich people do not intefere in any liberties of others. A monopoly by definition infringes your liberties because they do not allow you to enter a market. Whats more, a few very wealthy people will naturally exert more influence and dictate the direction of a society. This will happen without any government intervention.


Yes, and I still contend that. In a true free market, meaning the government only protects individual liberty, the rich can't do anything that will harm me. Their money is no advantage to them in terms of opportunity. Even in our imperfect free market your idea seems not to be the case. Only a quarter of the very rich were still in that group a decade later.
Didymos Thomas
 
  1  
Reply Tue 27 Oct, 2009 04:21 pm
@EmperorNero,
EmperorNero;100205 wrote:
Their money is no advantage to them in terms of opportunity.


None?

So, a person with more money does not have more opportunities for education, investment, health care, quality food, leisure time, ect?
0 Replies
 
josh0335
 
  1  
Reply Tue 27 Oct, 2009 05:29 pm
@EmperorNero,
EmperorNero;100205 wrote:
I would say that these things happen unrelated to there being a monopoly. Any company can buy or undercut their competitor. That is the free market. They are just better at it. You seem to have a problem with companies being more successful than others. Obviously we can't keep companies all at the same size without extensive government intrusion.Big companies are successfully tackled by competitors, that seems to be the case even in our non-free market.


It doesn't matter if these things happen when there isn't a monopoly, the point is that it is close to impossible to compete with a monopoly because of these things. If you can't compete with monopolies then your liberties have been infringed. This is no different to government intervention. I don't have a problem with successful companies, I'm pointing out something about your theory which you may have overlooked. Competition laws in many Western countries means companies do not attempt to crush their competitors and so are happy to collude. This gives the illusion that there is competition but there isn't. Your theory would remove any market share cap and will no doubt result in true monopolies emerging. They will rarely be successfully tackled.

Quote:
Yes, and I still contend that. In a true free market, meaning the government only protects individual liberty, the rich can't do anything that will harm me. Their money is no advantage to them in terms of opportunity. Even in our imperfect free market your idea seems not to be the case. Only a quarter of the very rich were still in that group a decade later.


The wealthy elite can 'harm' you via the free market in a completely legitimate way. It will be in the form of exerting influence because their money gives them more opportunity to do this. Again, they can do this legitimately with no corruption involved. When associates of a monopoly want a certain social agenda implemented, they won't have to bribe politicians (which would be corruption), they will launch a sustained media/pr campaign to coerce influencial people to see their point of view. The result? Exactly what you have today. It doesn't matter that rich individuals do not remin rich for a decade - they have the influence whilst they have the money.
Arjuna
 
  1  
Reply Tue 27 Oct, 2009 06:01 pm
@josh0335,
josh0335;100216 wrote:
It doesn't matter if these things happen when there isn't a monopoly, the point is that it is close to impossible to compete with a monopoly because of these things. If you can't compete with monopolies then your liberties have been infringed. This is no different to government intervention. I don't have a problem with successful companies, I'm pointing out something about your theory which you may have overlooked. Competition laws in many Western countries means companies do not attempt to crush their competitors and so are happy to collude. This gives the illusion that there is competition but there isn't. Your theory would remove any market share cap and will no doubt result in true monopolies emerging. They will rarely be successfully tackled.
I think it all depends on the situation. Sometimes you need a monopoly. Like to create universal telephone service. You need one basic design. In that case, competition won't deliver what the society wants. I'm not sure I'm seeing how competition is a right. The problem is competition isn't always good. Sometimes competition results in poor quality objects, if you have a market that's price driven instead of quality driven, you see? You have to look at where you want to go, and what's the best way to get there.

josh0335;100216 wrote:
The wealthy elite can 'harm' you via the free market in a completely legitimate way. It will be in the form of exerting influence because their money gives them more opportunity to do this. Again, they can do this legitimately with no corruption involved. When associates of a monopoly want a certain social agenda implemented, they won't have to bribe politicians (which would be corruption), they will launch a sustained media/pr campaign to coerce influencial people to see their point of view. The result? Exactly what you have today. It doesn't matter that rich individuals do not remin rich for a decade - they have the influence whilst they have the money.
I first realized the control the super wealthy have on the culture when I was a youngster. For years after that, I had an invisible red bandana. I was so angry. I eventually asked: does the world really need one more angry person? It was obvious: not really. There's plenty. So I know what you mean. What's the solution? If you already answered this, you can just point me there. Thanks!
0 Replies
 
EmperorNero
 
  1  
Reply Wed 28 Oct, 2009 12:44 am
@josh0335,
josh0335;100216 wrote:
It doesn't matter if these things happen when there isn't a monopoly, the point is that it is close to impossible to compete with a monopoly because of these things. If you can't compete with monopolies then your liberties have been infringed. This is no different to government intervention. I don't have a problem with successful companies, I'm pointing out something about your theory which you may have overlooked. Competition laws in many Western countries means companies do not attempt to crush their competitors and so are happy to collude. This gives the illusion that there is competition but there isn't. Your theory would remove any market share cap and will no doubt result in true monopolies emerging. They will rarely be successfully tackled.


It seems we both don't have a deep understanding of the economic principles involved, and seem to be discussing on a very simplified level.
I still hold that in a hypothetical free market there is nothing the big company can except to better compete.
The bigger company may be able to have lower production cost, but cost does not determine price for the consumer, supply and demand do.
Thus if a monopoly demands more than the natural market price of the product, a competitor will be able to deliver the product cheaper. Given there is no physical restriction of getting the product on the market.

josh0335;100216 wrote:
The wealthy elite can 'harm' you via the free market in a completely legitimate way. It will be in the form of exerting influence because their money gives them more opportunity to do this. Again, they can do this legitimately with no corruption involved. When associates of a monopoly want a certain social agenda implemented, they won't have to bribe politicians (which would be corruption), they will launch a sustained media/pr campaign to coerce influencial people to see their point of view. The result? Exactly what you have today. It doesn't matter that rich individuals do not remin rich for a decade - they have the influence whilst they have the money.


Competition is not unequal opportunity. Of course some are smarter, more talented and put in more effort, and as a result richer. Equality of opportunity doesn't mean that we all have the same running shoes, it means that nobody stops us from participating in the race.
By that thinking, unless government makes people equal, equality of opportunity can't exist. Except if we're all equal by nature. But that's not what the concept means.
Thus that thinking is really expecting equality of outcome, not of opportunity.

I also think PR is coercion, so government should protect me from it.
josh0335
 
  1  
Reply Wed 28 Oct, 2009 02:11 am
@EmperorNero,
Arjuna;100223 wrote:
I think it all depends on the situation. Sometimes you need a monopoly. Like to create universal telephone service. You need one basic design. In that case, competition won't deliver what the society wants. I'm not sure I'm seeing how competition is a right. The problem is competition isn't always good. Sometimes competition results in poor quality objects, if you have a market that's price driven instead of quality driven, you see? You have to look at where you want to go, and what's the best way to get there.

I first realized the control the super wealthy have on the culture when I was a youngster. For years after that, I had an invisible red bandana. I was so angry. I eventually asked: does the world really need one more angry person? It was obvious: not really. There's plenty. So I know what you mean. What's the solution? If you already answered this, you can just point me there. Thanks!


I agree. I believe governments have the right to have certain monopolies, like telephone services as you mentioned. So a completely free-market system with no government intervention would not provide what a society needs. As for the control of culture by the wealthy, I don't pretend to have an answer for that. I'm just pointing out that the free-market system will not solve it. The free-market is great, but I suspect the ills in this world will not be solved by a pure capatalist setup. We need a world where people can compete in a market with a degree of morality, and not do things to harm others.

EmperorNero;100248 wrote:
It seems we both don't have a deep understanding of the economic principles involved, and seem to be discussing on a very simplified level.
I still hold that in a hypothetical free market there is nothing the big company can except to better compete.
The bigger company may be able to have lower production cost, but cost does not determine price for the consumer, supply and demand do.
Thus if a monopoly demands more than the natural market price of the product, a competitor will be able to deliver the product cheaper. Given there is no physical restriction of getting the product on the market.


Wiki:

Characteristics of a monopoly

* Single Seller: In a monopoly there is one seller of the monopolized good who produces all the output.[3] The firm and industry are identical. In a PC market there are an infinite number of sellers each producing an infinitesimally small quantity of output.
* Market Power: Market Power is the ability to affect the terms and conditions of exchange.[4] It is the ability to set your own price. [5]Although a monopoly's market power is high it is not absolute. A monopoly faces a negatively sloped demand curve not a perfectly inelastic curve. Consequently, any price increase will result in the loss of some customers. The monopoly's objective is to maximize profits.
* High Barriers to Entry and Competition: Monopolies derive their market power from barriers to entry - circumstances that prevent or greatly impede a potential competitor's entry into the market or ability to compete in the market. There are three major types of barriers to entry; economic, legal and deliberate.[6]

Economic Barriers:Economic barriers include economies of scale, capital requirements, cost advantages and technological superiority. [7]

Economies of scale: Monopolies are characterized by declining costs over a relatively large range of production.[8] Declining costs coupled with large start up costs give monopolies an advantage over would be competitors. Monopolies are often in a position to cut prices below a new entrant's operating costs and drive them out of the industry.[9] Further the size of the industry relative to the minimum efficient scale may limit the number of firms that can effectively compete within the industry. If for example the industry is large enough to support one firm of minimum efficient scale then other firms entering the industry will operate at a size that is less than MES meaning that these firms cannot produce at an average cost that is competitive with the dominant industry.
Capital requirements: Production processes that require large investments of capital, or large reasearch and development costs or substantial sunk costs limit the number of firms in an industry.[10] Large fixed costs also make it difficult for a small firm to enter an industry and expand. [11]
Technological Superiority: A monopoly may be better able to acquire, integrate and use the best possible technology in producing its goods while entrants do not have the size or fiscal muscle to use the best available technology.[12] In plain English one large firm can sometimes produce goods cheaper than several small firms.[13]
No Substitute Goods:A monopoly sales a good for which there is no close substitutes. The absence of substitutes makes the demand for the good relatively inelastic enabling monopolies to extract positive profits.
Control of Natural Resources: A prime source of monopoly power is the control of resources that are critical to the production of a final good.

I hope you understand that a monopoly actually manipulates the market i.e they actually manipulate the supply and demand curve. Their demand curve is almost completely inelastic. Monopolies determine the 'natural' market price of the product because they own the market. So I can't see how you can maintain that in your free market system monopolies will face healthy competition from newer firms. So your theory fails at this hurdle. A free-market system cannot stop the emergence of monoploies and so barriers to entry will continue to exist.



Quote:
Competition is not unequal opportunity. Of course some are smarter, more talented and put in more effort, and as a result richer. Equality of opportunity doesn't mean that we all have the same running shoes, it means that nobody stops us from participating in the race.
By that thinking, unless government makes people equal, equality of opportunity can't exist. Except if we're all equal by nature. But that's not what the concept means.
Thus that thinking is really expecting equality of outcome, not of opportunity.

I also think PR is coercion, so government should protect me from it.


I don't think you addressed what I said. You will be stopped from running in the race when your opponent is a monopoly. You simply won't have the means. The model you are suggesting is one where there is no 'establishment' and thus society will always be moving and innovating, being driven by the free-market. People will be competing for spheres of influence to further their own agenda (profit maximisation). Everyone will have the opportunity to do this because as you say, the government will protect this right. But, the ones with the money will exert more influence than you. Do you deny this?

Also, PR is not coercion. It is part of free speech and thus the government would have no right to curtail it.
EmperorNero
 
  1  
Reply Wed 28 Oct, 2009 03:11 am
@josh0335,
josh0335;100254 wrote:
I hope you understand that a monopoly actually manipulates the market i.e they actually manipulate the supply and demand curve. Their demand curve is almost completely inelastic. Monopolies determine the 'natural' market price of the product because they own the market. So I can't see how you can maintain that in your free market system monopolies will face healthy competition from newer firms. So your theory fails at this hurdle. A free-market system cannot stop the emergence of monopolies and so barriers to entry will continue to exist.


Point taken.
But I'm not sure what it says about "rich people".

josh0335;100254 wrote:
I don't think you addressed what I said. You will be stopped from running in the race when your opponent is a monopoly. You simply won't have the means. The model you are suggesting is one where there is no 'establishment' and thus society will always be moving and innovating, being driven by the free-market. People will be competing for spheres of influence to further their own agenda (profit maximisation). Everyone will have the opportunity to do this because as you say, the government will protect this right. But, the ones with the money will exert more influence than you. Do you deny this?


I'm not sure what we argue about at this point, I don't deny that money creates opportunities for people. That's pretty much what it is designed to do. It is a claim on human labor.
But the existence of rich people doesn't really pose a problem to others. You have to exemplify it some more, or we can just let it go. Smile

Yes, I am suggesting that a true free market will do away with 'the establishment'. That's the point.
When the only thing we compete on is our ability and not our government privileges, there is no establishment. As I noted, even today people don't stay super rich long. In fact individuals in that group have the highest income decline among all income groups.
0 Replies
 
BrightNoon
 
  1  
Reply Mon 2 Nov, 2009 02:53 am
@Didymos Thomas,
Didymos Thomas;100174 wrote:
Tacitus meant peace between states. And in that case it is easy to imagine bad peace. Although, I do recall a similar quote that made the exact opposite claim. If I can find it, I'll post it.


He did I know, but that doesn't make the sentiment of his statement inapplicable to a conversation about more than only inter-state peace. Wouldn't you agree with the following statement, which is all that I'm claiming; a state of order in society or among societies (we can just say, among mankind in general) may be of a kind that is undesireable, even to the extent that a state of disorder or conflict might be preferable? In other words, a bad peace is worse than war? Personally, there are many scenarios for universal peace and order in the world which I would not prefer above anarchy. Maybe I'm totally alone in that view though.

Quote:
But if there was perfect and total peace, then all material, legal, and social conditions would be no source of complaint.


It seems to me that you are talking about a lot more than I am when using the word 'peace.' If you mean universal satisfaction with all aspects of everyone's condition, material and otherwise, then yes, I suppose that 'peace' could never be bad or a source of complaint. But all that I mean by peace is order, and by that definition, surely you believe that some forms of order are undesirable, even in comparison to severe disorder? Again, my only point is that peace, i.e. order within or without society, is not always an end unto itself. All else being the same, peace is always a good thing, but given that peace is often purchased at a high price in terms of the kind of society which will be needed to create/maintain this peace, it may not be. For example, if the only way to stop a constant terrorist threat within a nation (daily car bombings e.g.) is to strip the citizenry of its rights to be secure in their persons and effects, and to allow the state police to search everyone randomly without warrants, then is the peace created by those measures a good peace? I think not and - if I have gained any understanding of your political views over the months D.T. - I don't think you would either. Right?

Quote:
What sort of peaceful conditions would be undesirable? You give the example of a military dictatorship: but why is such a regime necessarily vile? Sure, it always has been, but if we're going to talk about impossible things like absolute peace, then why not bring up the possibility of a wonderful military dictatorship, right?


If you measure the quality of a society, the well-being of its members, by purely material standards, then sure peace under a military dictatorship, or a monarchy, or a Soviet system or any other might be a good thing. But if you consider personal freedom to be valuable per se, then there are obviously examples of peace and prosperity that are not good.

Quote:
Would such a regime be repulsive on principle? And if so, what principle is that which could usurp the great goal of total peace?


Again, if by 'total peace' you mean the total satisfaction of all people with everything, then we're not talking about the same thing.

Quote:
Of course, I'm not sure any government is needed if everyone were truly peaceful, but maybe that's another matter altogether.


Exactly. What you're describing as peace is more like perfect utopia wherein no state or formal order is neccessary at all. In reality, where that hasn't yet appeared, and doesn't seem likely to, there are certains kinds of order which are IMO undesireable, and so therefore order is not always an end unto itself.

---------- Post added 11-02-2009 at 04:04 AM ----------

Didymos Thomas;100206 wrote:
None?

So, a person with more money does not have more opportunities for education, investment, health care, quality food, leisure time, ect?


Not in terms of the law. A person with more money does not (i.e. would not in the ideal libertarian system) have any opportunity under the law which someone without so much money would be denied by the law. A person in my view is not entitled to equality of opprtunity in general but only to equality of opportunity before the law, which is to say, equality before the law. Outside the law, which should only concern public issues - i.e. instances of inter-personal harm - a person may or may not have the same opportunities as another person.

There's really no way to resolve the difference between the fundemental views respresented by your statement and by this statement of mine. If you believe that it is the responsibility of society to ensure the well-being of its members in general, the common good, then indeed every individual should have equality of opportunity for food, housing, etc. But if you believe that the role of society is not to ensure the well-being of its members in general, but only to protect each of them from the violence of the others, then whether or not a person has access to food, housing, etc. is not a public issue, and so a person does not have a right to (i.e. society does not have the responsibility to grant to them) those things.

---------- Post added 11-02-2009 at 04:15 AM ----------

Arjuna;100223 wrote:
I'm not sure I'm seeing how competition is a right.


Competition is not a right. The ability to own property is a right; the ability to enter freely into legally binding contracts with whomever one wants, on whatever terms one wants, is a right; the ablity to do with one's property what one wants (so long as that does not involve harming another individual) is a right. In a society where all those rights exist, competition usually results, but competition is not itself a right.

Quote:
The problem is competition isn't always good. Sometimes competition results in poor quality objects, if you have a market that's price driven instead of quality driven, you see? You have to look at where you want to go, and what's the best way to get there.


I think this is the argument used most commonly by the democratic party in this country (no, I'm not suppporting the republican party, they are also anti-free market, just less vocally so in their rhetoric-nor am I calling you a democrat, just making an observation) and it's based on a misunderstanding of the principles behind the free-market. The free market isn't ideal because it works the best of any economic system, though I would argue that it does; it is ideal because it is the only system in which individual freedom is upheld. How it actually performs is secondary. If you judge the value of the free market on its actual performance, then you already have taken a utilitarian/pragmatic approach: i.e. you've already rejected the ideological basis of the free market. It's just the same with civil liberties. We don't (I hope everyone here is included in this 'we') determine whether or not the Federal government's policies re terrorism prevention are appropriate based on their results, at least not until after we have already determined if they are appropriate based on their respect or lack thereof for individual freedom.

The aim of the free market system is not prosperity, it's personal freedom. But, luckily, it seems that the two are directly correlated anyway, so we don't need to make any choice between them.

---------- Post added 11-02-2009 at 04:33 AM ----------

josh0335;100254 wrote:
I don't think you addressed what I said. You will be stopped from running in the race when your opponent is a monopoly. You simply won't have the means.


If I understood Nero's metaphor correctly, not having the means is equivilent to not having good-enough running shoes, or not being able to get off work to go to the race, etc. Not having the means is not the same as being told that you aren't permitted to run in the race. As I said above, the issue comes down to one's basic concept of the role of government. I believe in equality before the law, but not of opportunity or anything else if that means inequality before the law (i.e., to keep the metaphor going, handicapping for the guy with the crappy running shoes). Unless the government has granted a legal monopoly to some company, there is nothing legally prohibiting anyone from competing with them. No doubt in some cases it is almost impossible to compete sucessfully with a large, dominant corporation, but in my view, one doesn't have a right to be successful in one's pursuit of happyness - just the right to engage in that pursuit.

There are many things that could and should be done, in the direction of a free market, which would limit the dominance of the major corporations and allow for more competition. As in most cases, the problems attributed to the free market are really problems created by interfering in the free market.
Arjuna
 
  1  
Reply Mon 2 Nov, 2009 06:46 am
@BrightNoon,
BrightNoon;101188 wrote:

I think this is the argument used most commonly by the democratic party in this country (no, I'm not suppporting the republican party, they are also anti-free market, just less vocally so in their rhetoric-nor am I calling you a democrat, just making an observation) and it's based on a misunderstanding of the principles behind the free-market. The free market isn't ideal because it works the best of any economic system, though I would argue that it does; it is ideal because it is the only system in which individual freedom is upheld. How it actually performs is secondary. If you judge the value of the free market on its actual performance, then you already have taken a utilitarian/pragmatic approach: i.e. you've already rejected the ideological basis of the free market. It's just the same with civil liberties. We don't (I hope everyone here is included in this 'we') determine whether or not the Federal government's policies re terrorism prevention are appropriate based on their results, at least not until after we have already determined if they are appropriate based on their respect or lack thereof for individual freedom.

The aim of the free market system is not prosperity, it's personal freedom. But, luckily, it seems that the two are directly correlated anyway, so we don't need to make any choice between them.
I'm right there with you on the ideological basis of the free market. A modern liberal viewpoint does consider the pragmatic aspect of the situation, but in a more profound way: if the free market approach leads to concentration of means and opportunity into the hands of the few, it's not creating the society we want. Furthermore, it's not creating a stable self-sustaining society. This isn't a matter of attitude: it's history. Base the pure free market in any moral context you want, the fact remains: it didn't work. That's why we don't have it now.

This is a fact that modern conservatives often overlook. The rise of socialism in America is not the result of some liberal conspiracy. It happened because of a long bloody conflict between labor and business that the federal government finally began to participate in by virtue of Theodore Roosevelt. During the same time period, the rest of the world got Karl Marx. Marx was a spokesman for a widely recognized problem: the cultural deevolution resulting from the unchecked freedom of capitalists.

The cherry on top of the heap was the Great Depression, which taught a whole generation the truth of one of Marx's tenants: a free market will, over time, demonstrate bigger and more dramatic swings between expansion and contraction until the contractions become dangerous to continuity of the government. The view of Marx was that this would lead to a global proletariat revolution.

Our view might be: if the government doesn't protect the society from these swings, the distress of the population will put an end to that government and lead the people to take a leap in the dark. Probably straight into tyranny. Regulation is required to protect personal freedom.

In short: if you want to protect the right of personal freedom, look at the bigger picture and see what checks and balances are required to accomplish that in the long run.

The thing about how competition can lead to poor quality isn't so much a point of liberalism as far as I know. It's just something that's observable. Look at your cell-phone. The system that makes it work isn't the highest quality system that was available at the outset. It's the cheapest one. Whether competition obstructed our path to making the best decision in this case, I'll leave to bigger brains than mine.
BrightNoon
 
  1  
Reply Mon 2 Nov, 2009 10:41 am
@Arjuna,
Arjuna;101226 wrote:
I'm right there with you on the ideological basis of the free market. A modern liberal viewpoint does consider the pragmatic aspect of the situation, but in a more profound way: if the free market approach leads to concentration of means and opportunity into the hands of the few, it's not creating the society we want. Furthermore, it's not creating a stable self-sustaining society. This isn't a matter of attitude: it's history. Base the pure free market in any moral context you want, the fact remains: it didn't work. That's why we don't have it now.

This is a fact that modern conservatives often overlook. The rise of socialism in America is not the result of some liberal conspiracy. It happened because of a long bloody conflict between labor and business that the federal government finally began to participate in by virtue of Theodore Roosevelt. During the same time period, the rest of the world got Karl Marx. Marx was a spokesman for a widely recognized problem: the cultural deevolution resulting from the unchecked freedom of capitalists.

The cherry on top of the heap was the Great Depression, which taught a whole generation the truth of one of Marx's tenants: a free market will, over time, demonstrate bigger and more dramatic swings between expansion and contraction until the contractions become dangerous to continuity of the government. The view of Marx was that this would lead to a global proletariat revolution.

Our view might be: if the government doesn't protect the society from these swings, the distress of the population will put an end to that government and lead the people to take a leap in the dark. Probably straight into tyranny. Regulation is required to protect personal freedom.


Pragmaticaly speaking, I agree with you; had the U.S. (and England in an earlier period) not implemented some socialistic reforms, there probably would have been far more radical revolution, peaceful or otherwise. However, I also feel, know really, as far as I know anything, that the growth of collectivistic tendencies in the western world was not only a natural phenomenon resulting inevitably from the tendency of capitalism to allow for the accumulation of wealth in a few hands. My point is that I don't feel that free market capitalism got a fair shake. Sure, if tommorow I magically reformed to nation into my ideal libertarian society, it might well given a few decades or centuries revert to its present state, or worse, but I simply refuse to accept thew conclusion that we should abandon this, IMO, best of all systems, in favor of something admittedly worse, but which is more likely to endure. The founders created a system that lasted mostly intact for well over a hundred years. We've learned alot by the subsequent corruption of that system and I think if we had an opportunity to refound the nation, so to speak, we might be able to add some improvement and additional safeguards against 'slippage' that might allow it to last much longer. No system endures forever, everything becomes corrupt sooner or later. But in the meantime, let's do the best possible. And another point; even a collectivist society is in flux, all are, so there's no garantee that a moderate social democracy, e.g., will remain in that form; it may be corrupted to become something far more oppressive and authoritarian. If you look at the whole process on a spectrum from individualist to collectivist, or free to totalitarian, whatever your pleasure, you might consider that, even if it doesn't last, at least a republican (i.e. per the American constitution) system starts us off farther away from very nasty other extreme of the spectrum. That nasty extreme of totalitarianism with a tiny ruling elite and a vast mass of poor serfs is unfortunately the recurring theme in human history, the natural state of affairs. I view republicanism as a bulwark against that horror, even if only a temporary one.

Quote:
In short: if you want to protect the right of personal freedom, look at the bigger picture and see what checks and balances are required to accomplish that in the long run.


I agree, but I don't think that any of those checks and balances need involve giving the state more power over the individual. If you'll humor me, there are a few tenets that I would have added were I among the authors of the constitution:

1) a far more explicit prohibition of central banking and fiat currency

2) a provision for a mandatory popular referendum before entering into any war

3) an absolute prohibition against federal funding to the states (to avoid state dependence on federal government)

4) a far more explicit prohibition of taxes on labor/wages

5) an expansion of the 1st ammendment clause re freedom of assembly to apply to labor unions

6) a clearer definition of the role of the Supreme Court, which would state that it's rulings cannot negate legislation on the grounds of unconstitutionality, and that it should function only as the highest court of appeals

7) a clear prohibition of the employment by the federal government of mercenaries or other contractors for active military purposes, and a mandate that all contracting with the federal government for any reason occur through open auctions

8) a VERY explicit clarification of the 'interstate commerce clause,' stating that it grants the Federal government only the power to prevent inter-state tarrifs and to arbitrate in the event of disputes concerning inter-state commerce brought forth by the states re tarrifs

9) strict prohibition against the government borrowing any money whatsoever except through the sale of bonds on the open market, not to exceed 10% of the annual budget in any given year, not to grow in terms of that percentage borrowed annnually for more than two consecutive years, and to be paid off in full every ten years, in order to do which the government would be required to eliminate all funding for new programs created during that period before they sought the funds through higher taxes - any debts accrued outside these rules shall be considered null and void

10) a clarification of the 2nd ammendment, stating that individual citizens have the right to own and possess any sort of small-arm, and to enlist in their state militia if they so choose

11) an expansion of the clause prohibiting officials from accepting gifts or titles from foreign government to include a prohibition against the membership of officials in any policy-making international organization

12) explicit clarification that treaties made with foreign governments or international bodies do not supercede the constitution should a conflict between them arise, and providing for a popular referundum and ratification by the state legislatures before any treaty can be entered into by the federal government

13) a provision for the public funding of election campaigns, with a total prohibition of private funding for campaigns directly or for advertizements, events, or other promotions of a candidate or a party - though private funding of promotions of the above mentione kind would be permitted if they were promoting an idea, a piece of legislation, or some other public initiative without referring directly to any candidate or party

14) a prohibition of the practice by the states, who otherise set voting regulations, of having different requirements - re any aspect of elections - for different political parties or individuals; also a prohibition against any vote counting method other than of paper ballots by hand

15) explicit prohibition of the use of regular military forces in the U.S., except in the event of actual invasion by one or several of the states themselves by hostile foreign nation (e.g. not a nation-ess terrorist organization)

16) provision for a popular referendum, to be held at the request of 2/3 of the state legislatures, for the impeachment of any and/or all members of the federal government, and for new elections in the event of such impeachment

17) explicit prohibition of a military draft in the 13th ammendment, under any circumstances whatsoever

18) explicit prohibition of the creation of any department of office of government which is not always and directly able to be audited by the Congress of the U.S., whether in open session or in closed session with records of the proceedings

19) a clarification of the 'emminent domain' clause, expressly prohibiting the transfer or sale of any properties thus siezed from private persons to other private persons, and a limiting of the use of the power to times of war, i.e. foreign invasion, within the U.S. themselves

20) explicit prohibition against the government investing in any private enterprise or corporation, and from loaning any money to any person or corporation under any circumstances

21) explicit prohibition against any official of the federal government owning any stock or interest in any corporation, or doing any private business with any person, which is also involved at that time in a financial relationship with the government or which was involved in such a relationship within five year past; and of any business between an ex-official and any person or corporation - either doing business with the government, or which was doing business with the government during his tenure in office - for no less than five years after he abdicates his government office
EmperorNero
 
  1  
Reply Mon 2 Nov, 2009 11:55 am
@BrightNoon,
BrightNoon;101273 wrote:
We've learned alot by the subsequent corruption of that system and I think if we had an opportunity to refound the nation, so to speak, we might be able to add some improvement and additional safeguards against 'slippage' that might allow it to last much longer.


Yes, a refounding. A good idea. Maybe a cyclic refounding every century or so should have been part of the initial constitution.
But who a constitutional moderate these days? The plebs want naked populism and the aristocrats want authoritarian rule. We don't have the common sense these days to do the constitution right. :nonooo:

We can dream though.
Arjuna
 
  1  
Reply Mon 2 Nov, 2009 02:07 pm
@EmperorNero,
High Noon, I have to give you props for thinking this out more thoroughly than I ever have. I think you should be in public service if you aren't already.

Some people, by their nature, are off scouting the world of the possible while the rest of us are slogging away in this one. In some ways, Thomas Jefferson was one of them. He was insistent that the USA be as purely democratic as possible. He raged at Hamilton who, as the first secretary of the treasury, set up mechanisms by which the president could use public funds without the discretion of Congress.

Then he became the third president. Upon seeing an opportunity to buy Louisiana from Napoleon, he was certain that this was the right thing to do. He also knew that if the question went to Congress, the opportunity would slip away. He spent a night enduring "torture" because of the question.

In the end, he used public funds to buy the property. With 20/20 hindsight, he messed up. He shouldn't have given Napoleon any money because Napoleon wasn't an honorable man. That's part of the story: life has to be lived forward. We don't always know the right answer. We can't face the problems of our children for them. We can only bless their lives and have faith in their native goodness and ingenuity. To burden them with constraints that they can only break out of by severing ties with their legacy isn't blessing them: it's condemning them.

I saw a lot of your strictures as measures against corruption. One of the reasons Ben Franklin first envisioned a colonial federation was because of rampant corruption. He saw that to even begin to address it, there'd have to be a governmental authority. So yea, the government itself becomes corrupt. Welcome to planet earth.

What I was trying to say is that Government of the People, for the People, and by the People, will not endure if we're so scared of ourselves that we institute rigidity to exclude subversion of democracy. Its longevity depends on our faith in ourselves. Every generation of Americans has had the same challenge: to breathe new life into the vision of the free society.... to stand up for Democracy one more time. We'll do the best we can just like they did. There's really no need for pessimism... just action in accord with what our hearts and brains tell us. So what office are you running for?
BrightNoon
 
  1  
Reply Mon 2 Nov, 2009 05:17 pm
@Arjuna,
Arjuna;101325 wrote:
High Noon, I have to give you props for thinking this out more thoroughly than I ever have. I think you should be in public service if you aren't already...So what office are you running for?


Dog catcher! :bigsmile:

Thanks for the suggestion, but I think that's about the last thing I would want to do. I'd be a better pamphleteer or something else behind the scenes. Speaking of which, I'm actully thinking about posting a bunch of pamphlets/posters around my area to see what kind of response I get. Did you hear about that kid from central Florida who put up a ton of the 'Obama joker' posters and was charged with some kind of felony vandalism...for putting up posters on telephone polls, which already had tons of lost-dog, free-guitar lessons type posters. Unbelievable, talk about selective enforcement. But that just makes me want to do it more...:shifty:


Anyway, I agree with what you said and I'm actually not pessimistic, though I assume I'm depressing for people reading my comments..Surprised. But no I think ultimately, within my liftime anyway, we'll get this country back. Many times throughout history great nations have fallen to one form of tyranny or another, but never before to my knowledge has there been a nation so innately strong - or posessed of such a powerful tradition of freedom - as the the United States.

Speaking of Jefferson, here are some of my favorite of his quotes, warning - they may be a downer:

"Single acts of tyranny may be ascribed to the accidental opinion of a day; but a series of oppressions, begun at a distinguished period and pursued unalterably through every change of ministers, too plainly prove a deliberate, systematic plan of reducing [a people] to slavery."

"[The] Bank of the United States... is one of the most deadly hostility existing, against the principles and form of our Constitution... An institution like this, penetrating by its branches every part of the Union, acting by command and in phalanx, may, in a critical moment, upset the government. I deem no government safe which is under the vassalage of any self-constituted authorities, or any other authority than that of the nation, or its regular functionaries. What an obstruction could not this bank of the United States, with all its branch banks, be in time of war! It might dictate to us the peace we should accept, or withdraw its aids. Ought we then to give further growth to an institution so powerful, so hostile?"

"I believe that banking institutions are more dangerous to our liberties than standing armies. If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around [the banks] will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered. The issuing power should be taken from the banks and restored to the people, to whom it properly belongs."

That's task one; abolish the Federal Reserve System.
Arjuna
 
  1  
Reply Mon 2 Nov, 2009 05:54 pm
@BrightNoon,
Bright Noon: I didn't see your ideas as pessimistic. I think you care. Didn't Ben Franklin think the best plan would be to somehow get a President who didn't want the office?

But I know we're not all born to be politicians. I'm not. I hate politics of any kind. If I stand in line for two hours to vote, I figure I did my job.

But I love Thomas Jefferson. You must have read his first draft of the Declaration of Independence. He was Pissed Off! Smile
0 Replies
 
EmperorNero
 
  1  
Reply Mon 28 Dec, 2009 06:36 am
@xris,
xris;97946 wrote:
Oh ye , everyone is enjoying the benefits of a capitalist society. Have you watched slum dog millionaire?


India was strongly socialist from it's independence in the 40'es until very recently. What you see in India is not a result of free markets, but of government interventions. Only in the 90'es did India start to embrace free markets. The failures of the Indian economy, the poverty, are all caused by what you advocate.
What a great example... for my side of the argument. :sarcastic:
 

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