God is a Capitalist

Saturday, September 23, 2017

The US rejected Obamacare in 1918

What a difference a mere hundred years makes! US voters rejected mandatory health insurance, or Obamacare, at the turn of the last century. It took supporters almost another century, but they finally won. 

For a quarter century before WWI, many of the nation’s young people had gone to Germany to complete their college education and had returned determined to recreate the US in the image of socialist Germany. Richard Ely was one. He founded the American Economic Association for that sole purpose. He and economist Irving Fisher would lead the drive for universal, mandatory healthcare insurance.

At the time, middle class and wealthier Americans paid a fee each time they visited a doctor. But the fees were too high for the working poor, so they had organized into mutual aid societies to help each other with medical costs. Known as lodges, such as the Elks, or secret societies such the International Order of Odd Fellows (IOOF) or the Free Masons, or just fraternal organizations, mutual help societies had existed for centuries. They followed the ancient guild practices of mutual aid to craft members. David T. Beito beautifully writes their history in his book From Mutual Aid to the Welfare State: Fraternal Societies and Social Services 1890-1967, published by the University of North Carolina Press in 2000.

Sunday, September 17, 2017

The father of Nazism and ANTIFA violence and what it means for the future

The violence of the demonstration by neo-Nazis and white supremacists in Charlottesville, West Virginia recently shocked the mainstream media because of the media’s ignorance of history. We have seen it before with the anarchists at the turn of the last century, in the clashes between Nazis and Communists in Germany before WWII and in the student riots of 1968 in the US and Europe. They all have the same ideological father in George Sorel according to Mises who wrote in The Anti-Capitalist Mentality in 1956:
The most pernicious ideology of the last sixty years was George Sorel's syndicalism and his enthusiasm for the action directe. Generated by a frustrated French intellectual, it soon captivated the literati of all European countries. It was a major factor in the radicalization of all subversive movements. It influenced French royalism, militarism and anti-Semitism. It played an important role in the evolution of Russian Bolshevism, Italian Fascism and the German youth movement which finally resulted in the development of Nazism. It transformed political parties intent upon winning through electoral campaigns into factions which relied upon the organization of armed bands. It brought into discredit representative government and "bourgeois security," and preached the gospel both of civil and of foreign war. Its main slogan was: violence and again violence. The present state of European affairs is to a great extent an outcome of the prevalence of Sorel's teachings.
The intellectuals were the first to hail the ideas of Sorel; they made them popular. But the tenor of Sorelism was obviously anti-intellectual. He was opposed to cool reasoning and sober deliberation. What counts for Sorel is solely the deed, viz., the act of violence for the sake of violence. Fight for a myth whatever this myth may mean, was his advice. "If you place yourself on this ground of myths, you are proof against any kind of critical refutation." What a marvelous philosophy, to destroy for the sake of destruction! Do not talk, do not reason, kill! Sorel rejects the "intellectual effort" even of the literary champions of revolution. The essential aim of the myth is "to prepare people to fight for the destruction of what exists."
According to the Wikipedia article on him,
Sorel denounced the war and in 1917 praised the Russian Revolution, which was later printed in an official Soviet Union publication, Russian Soviet Government Bureau, calling Lenin "the greatest theoretician of socialism since Marx and a statesman whose genius recalls that of Peter the Great.”[12] He wrote numerous small pieces for Italian newspapers defending the Bolsheviks. Less than one year later in March 1921, Sorel turned his praise towards a rising Fascist leader in Italy, writing that “Mussolini is a man no less extraordinary than Lenin. He, too, is a political genius, of a greater reach than all the statesmen of the day, with the only exception of Lenin…”[13]
Zeev Sternhell mentions frequently Sorel [33] as one of the men who led the way to the fusion of the left-wing revisionists and of the right-wing ultranationalists into what later became fascism....Thus, the workers must return to strikes and violence as their main political tool, so Sorel says. This gives the workers a sense of unity, a return to dignity, and weakens the dangerous and mediocre middle-class in their struggle for power, and their attack on capitalism.

Monday, September 11, 2017

Politics according to the Bible – Keynesian conservatism

Outside the Department of Commerce building in DC are two statues of giant draft horses with muscular men restraining them bearing the title "Man Controlling Trade." It's a great metaphor but the wrong object. The drafts horses should represent the state, not trade, because the best government is that which governs least.

Unfortunately, theologian Wayne Grudem shows that he does not appreciate the value of limited government in his Politics According to the Bible: A Comprehensive Resource for Understanding Modern Political Issues in Light of Scripture. Grudem holds a PhD from Cambridge and is author of Systematic Theology. Grudem intended his to guide readers to what the Bible has to say about politics. As everyone “knows” the Bible is difficult to interpret:
But who can understand the Bible rightly? And who is to decide what is a right interpretation? My response is that it is not impossible to understand the Bible rightly.... Among responsible evangelical interpreters of the Bible there are vastly more areas of widespread agreement than disagreement....

Thursday, August 31, 2017

How Baptists do economics

Baptists form the largest Protestant group of Christians in the US and so could have a large impact on how US voters understand political economy. But do Baptists have anything unique contributions to offer on economics? Chad Brand, professor of Christian theology at The Southern Baptist Theological Seminary in Louisville, KY, answers that in his 2012 book Flourishing Faith: A Baptist Primer on Work, Economics, and Civic Stewardship.

The most important contribution Baptists make is their history of distrust of government resulting from centuries of persecution. Lutheran, Reformed and Anglican Protestants all formed close ties with the state from their births. They were supported by taxes and used the brutal power of the state to enforce their particular views, often against Baptists, whereas Baptists generally insisted on a separation of the two spheres.

Readers today might be confused about that historical antipathy toward the state because since the rise of the Moral Majority in the 1980s Baptists seem to have decided to take a shortcut to building the Kingdom of God by using the power of the state. Dr. Brand reminds us, “Scripture teaches that all humans are sinners. A PhD from Harvard does not diminish that, and might even make it worse if those elites believe that their education makes them morally better people.” Brand echoes the public choice political economy of James Buchanan that economists and politicians are not saints or angels and usually have some goal in mind besides the public good:

Saturday, August 26, 2017

Supervisors are killing your business!

Research has shown that high turnover rates at companies are largely due to supervisors who are jerks. Why should that matter to business people? One reason it should be important is because the expenses of attracting, hiring and training good workers are much higher than business people recognize and can mean the difference between success and failure. As a Forbes article said,
...people don’t leave jobs, they leave managers, and a survey by B2B marketplace Approved Index confirms that this adage is true. In its survey of 1,374 employees in the U.K., nearly half (42%) of them have left a job because of a bad boss and almost a third of them feel their current boss is a bad manager. When asked why they disliked their managers, 41% cited a lack of recognition, while 40% said they felt overworked.
One of the reasons employees feel overlooked, overworked and underappreciated is because supervisors focus on pleasing the manager above them, not on developing a well-functioning team below them. That is human nature.

Monday, August 21, 2017

White supremacy is part of the left, not the right

The white supremacist organizers of the tragedy in Charlottesville, WV last week called their rally “Unite the Right.” That title reveals a deep ignorance of history and sorry reasoning skills. Racism has never been part of any definition of the right by any leader of the right in history.

There are two divisions within the right and left today – economic and social. Economically, the left is socialist and demands state control of the economy; the right favors free markets. The free market right opposed slavery in the 19th century, which caused the left, socialists who favored slavery, to give their discipline the name of the “dismal science.” See Wikipedia’s article on Thomas Carlyle.

Leaders of the left have often claimed that slavery was the natural consequence of capitalism, in spite of the historical evidence that all of the leaders of capitalism opposed slavery. Capitalists have always and at all times insisted that the only job of the state is to protect the life, liberty and property of every person equally. The left knows this but doesn’t want the public to know it. So they lie. Slavery was not a market failure or the logical result of capitalism. Slavery was the largest failure of government in the history of the West.

Sunday, August 13, 2017

Is God a Capitalist?

The title is similar to that of my book, God is a Capitalist, but this is a different book that I only recently discovered and it makes some really good points. 

Pastors in the US have abandoned their flocks to the mercy of atheist wolves according to Gregory B. Grinstead in his book Is God a Capitalist? God’s Perspective on Governments and Economic Systems. Grinstead writes with authority, to evangelicals at least, having pastored the Palmdale Christian Fellowship for over 25 years.

Grinstead is referring to the desertion of pastors on the subject of economics and government. I don’t have the author’s background as a pastor, but my own experience and reading suggest that pastors throughout history have tended to baptize the status quo. If tyrannical emperors were in power that was God’s will. Now that democratic socialism is in fashion, that’s God’s will. Christianity failed to develop a sound, Biblical theology of government and economics until the 16th century when Catholic scholars at the University of Salamanca devoted their work to the task. Their principles bore miraculous fruit for three centuries, but it has all been forgotten in the deluge of atheistic socialism that began a century ago.