Recently in Economics Category

We've all heard news reports about thieves stealing things like copper pipes and wiring from empty or abandoned buildings. It's not all that surprising considering the price of scrap copper and other metals. (Some thieves have gone so far as to steal bronze plaques from grave yards and buildings.) We've heard about Darwin Award nominees trying to steal electrical cables from power poles (usually frying themselves in the process). But this bunch of thieves have taken it to a higher level by stealing an entire building.

(The thieves] first apparently called the owner of a business next to 18400 Frontage Road along I-55 and told him the structure was being dismantled that day because the property had been sold, the Will County Sheriff's office says.

They then pulled up two semi-trucks to the building -- and tore it down. They removed the steel from the structure and then carted it away in the trucks.

The audacity of this crew! This is a crime that took a lot of planning. It was not a spur of the moment "Gee, that building is mostly metal, let's steal it!" kind of plan. They pulled off this large scale theft in less than a day and got away clean. That means a lot of organization and the use of an experienced crew.

While still a crime, it's success has me admiring the crew that pulled it off.

(H/T Scary Yankee Chick)

Over at Ace of Spades is a list of the things the Left fears should Obama lose the election come next November. Are their fears unfounded? In some areas, yes. But for the most part they are right to fear that much of the damage done by the Congressional Democrats since 2007 and President Obama since 2009 will be undone should Obama lose in November. When you come right down to it, the upcoming elections are about the wholesale damage perpetrated by the Left's minions over the past 6 years. Will the American people allow the ongoing dismantling of a great nation all in the name of some vague sense of "fairness"? And just who defines what is fair? (Of course the Left believe they are the only arbiters of fairness, even though many I have debated with really have no idea what 'fair' really is.)

The problem is that many on the Left don't see the actions that have damaged the economy as bad. They only see it as 'fair'. (I'm still waiting for someone on the Left to show me where it says life is supposed to be fair. So far, they haven't, nor do I expect them to.) Through observation over the years I have come to see that the Left's ideology is both economically and morally bankrupt. Never mind history's lesson showing it to also to be a murderous ideology, in the end.

There are plenty of examples of the fairness of socialism going back over 400 years to show just how bad their ideology can make it. One of their first forays into 'fairness': the Plymouth colony in Massachusetts.

During the initial years of the colony, the Pilgrims tried a social experiment, one that predated Marx by almost 300 years, that experiment being "From each according to his ability. To each according to his need." The results? Famine. Everyone wanted from the common larder, but no one wanted to work to fill it. In the end the colonists abandoned the experiment as a failure and from that point on the colony thrived.

Did the Left learn from that experiment? No, of course not. They've tried that experiment again and again (Nazi Germany, the Soviet Union, China, North Korea, Cuba, Cambodia, Laos, Venezuela, etc.) with the results being the same: economic and social collapse, and in some cases, mass murder. Such failures haven't dissuaded them from trying to pull that here. I have little doubt their reasoning is something along the lines of "But we'll do it better this time because we're better than the others were!" They've become a living example of Einstein's axiom about insanity.

So now we come back to present day and the Left's push to drive America in a direction of oft proven failure. Again we return to the so-called fairness doctrine as an excuse to justify large scale theft and interference in our day to day lives. Where does this call for fairness derive?

I figure it goes back to the egalitarian movements that drove things like the French Revolution. An egalitarian society sounds like a great thing, in theory. But in practice, such societies tend to be anything but, usually devolving to the lowest common denominator - mob rule. The French Republic after the Revolution didn't earn the sobriquet "Reign of Terror" for nothing. Of those that did not devolve into mob rule, it was a totalitarian government that drove everyone to be equal - equally poor, equally miserable, and equally terrified of their government. I doubt that was the dream of the egalitarians, but that's what their dream ended up being - a nightmare.

The problem with such egalitarian ideals comes down to this: they are based upon two concepts that are poor at best and base at worst, those being human emotion and a false understanding of human nature. Let's take a look at both of these to see where the Left got it wrong and continues to do so.

The first of these two, emotion, is the most troublesome. While a sense of fairness may be an admirable thing and something to which we can aspire, it should not be something based upon envy or greed. Unfortunately the Left's sense of fairness is derived from that very source. All you have to do is listen to their rhetoric in regards to fairness and I think you'll find it has nothing to with actual fairness and everything to do with envy. Oh, they won't admit to it, but when you think about it it makes sense. It all comes down to "Hey, that guy/girl/person has something I don't and can't afford right now! That's not fair! We/I should take it away from them because they don't deserve it!" But if they earned the money to pay for it then why shouldn't they be allowed to have whatever it is? Again, envy comes into play, this time in regards to the money earned to pay for whatever it is. Why should one person make more for their job than someone else for their job? Never mind that one job may be worth far more than another, may create more goods, services, or jobs than another. It just doesn't seem fair. But it is. Too bad far too many of the Left are incapable of seeing this.

The second of the concepts that lead the Left astray is their decision to ignore human nature. Or perhaps I should say their decision to ignore it as it happens to be rather than as they wish it to be. Of the two, the second is based upon pure fantasy. It seems one of the biggest fantasies that endure on the Left is that you can change human nature with enough education, indoctrination, or terror. It's been tried in a number of places, but has never yielded the expected results. The USSR tried for over 5 generations to create the New Soviet Man, a human with none of the ideological weaknesses attributed to capitalists. They wanted someone that would put the needs of The State (or The Good Of The People) ahead of those of their own, ahead of those of their own families. But that way lies slavery, where the individual is merely a replaceable cog in the machinery of state, without free will, to be sacrificed at whim and without a thought to their own welfare. But that goes against millions of years of existence, against millions of years of human nature. You can't overturn something so basic to human existence with education, indoctrination, or terror. Human nature wins out in the end. And in the end that's why Leftist 'paradises' have collapsed and disappeared into history. We're watching that happen now in Venezuela, a once prosperous nation turned into a land of want, broken down infrastructure, and the inability to even feed itself, all done in the name of 'fairness'. And this is what the Left wants to do here?

Thanks, but no thanks.

I got a bit of sticker shock today when I pulled up to the gas pump at our local BJ's Discount Club.

The Thursday before Christmas regular was $3.079 per gallon. Today, just a day shy of two weeks later, it was $3.229, an increase of 15¢. Asking around it turns out the price went up just yesterday by 7¢. Other prices around the area had jumped as high as $3.279.

It made me wonder why, considering oil prices haven't gone up nearly enough to generate that much of a price increase. Heating oil prices haven't increased as they would have had there been a crude oil price increase. Then I remembered: no more subsidies for the ethanol used in gasoline.

Gee, it didn't take long for that little gem to work its way through the supply chain, did it? Of course if it were the reverse, with subsidies starting, we wouldn't see a price drop at all, would we?

UPDATE 1/5/12: I drove by the same gas station today and the price had gone up an additional 7¢ to $3.299.

Now that we've made it past the first of the year, the focus here in New Hampshire turns in two directions: the upcoming Presidential Primaries and annual town/state budgets. Of the two, the primaries are receiving the most attention by both the populace and the media.

With the New Hampshire primaries scheduled for January 10^th, the media attention has been cranked up to "11". The various presidential wannabes have been spending every free moment in the Granite State, minus time in Iowa in preparation for tomorrow's Iowa Caucuses. (The one exception seems to be Jon Huntsman, who sees New Hampshire as the key to his moving forward.) There will be one last 'big' debate amongst the GOP candidates on the 7^th, with national coverage by ABC.

It's going to be intense for the next eight days.

The lesser of the two events, the annual battle of budgeting for the towns also start in earnest. Not that there hasn't been a lot of behind the scenes work on assembling proposed budgets for the various departments and schools.

Here in my small town the town and school budgets have been undergoing a lot of scrutiny by the board of selectmen, school board, and the budget committee. Everyone wants to cut spending, but of course it's always "someone else" who should cut their budgetary requests. It's never a pretty process and at times emotion can get in the way of logic and reason. When a position is cut in one of the town departments, many of us realize it means that someone we know, perhaps a friend, will lose their job. (That's happened to a friend of mine in the planning department. Her full time position - with benefits - was cut to part time. She couldn't justify staying there under those conditions and left for another job.) In some cases open positions have been eliminated for the time being, leaving some departments short staffed. But those are the choices that have to be made in order to keep spending in check when everyone is having a difficult time making ends meet, particularly those on fixed incomes within our town.

Once the various boards and committees have done their thing it will be up to the voters in each town to vote on them, either at town meeting or during the town elections in March. (A few towns hold their town meetings in April or May.) Towns with a board of selectman/town meeting form of government fall in to two categories: traditional town meeting and SB2.

The traditional town meeting is usually held in some time in March, and all registered voters are encouraged to attend. The voters will discuss and vote on all of the articles presented on the town warrant, some covering budgetary items and other with changes in zoning ordinances (assuming a town has any zoning at all). A second town meeting, usually called the school district meeting, deals will warrants pertaining to the towns school expenditures.

SB2 towns do things a little differently, with two different sessions for both the town and school portions of the warrants. The first session deals solely with discussion and amendments to the town and school warrant articles. The second session of each meeting takes place on election day in March, with the voters deciding whether to approve the various warrant articles discussed the previous session.

There are advantages and disadvantages to both systems, but they seem to work pretty well. In any case, the tax money that will be spent in the upcoming fiscal year is vetted by the very people that will be paying those taxes. (There are a few taxes which the town voters have no control, those being the county and state assessments levied upon them to run county operations and for some education funding, respectively.)

The state will be dealing with some supplemental budget items during the upcoming legislative session (the state runs on a two-year budget cycle). Sometimes adjustments are made if there's an unexpected expenditure needed to deal with unforeseen circumstances. Sometimes it's the other way around, with some line item that was approved but never implemented, meaning there are surplus funds that can go to other purposes to fill shortfalls someplace else. Sometimes the surplus goes towards the state's so-called rainy day fund, a savings account that can be used to fill revenue shortfalls under very specific circumstances.

All we can do is hope they folks in the state capitol don't go on some kind of a mindless spending binge. But then it does help that the GOP holds supermajorities in the state Senate and Executive Council and a majority in the state House.

Is the UK on the verge of abandoning the EU? It's looking more like a more attractive option as the monetary/finance crisis deepens and threatens to pull the UK irrevocably into a bankrupt and less democratic European superstate.

What options does it have to preclude this out come? Only two variations on a theme, that being withdrawal from the EU. That leave them with two possible options once they've done so: Go it alone or seek alliance elsewhere. Going it alone may seem attractive at first, but it does leave them open the vagaries of the world market with no one else backstopping them. So perhaps they should seek an alliance elsewhere. But with whom?

Well, how about NAFTA? After all, the UK has far more in common with Canada and the US than they do with France, Germany, or Belgium.

Britain does have other choices. To find the country's new role, British leaders should look to North America.

Alone among EEC members, Britain narrowed some of its major trade networks when it joined. It also traded ordinary Britons' right to virtually bureaucracy-free movement, temporary or permanent, between the U.K. and British Commonwealth nations.

--snip--

While much trust was lost between Britain and the rest of the Commonwealth because of this move, strong personal, cultural and economic ties remain and could be revived. Ask the average Briton where he'd feel more at home, Paris or Toronto.

Canada and Australia have well-managed, vibrant economies. Both countries sit on huge deposits of natural resources of ever-increasing value. Britain's top-tier financial sector and still-excellent technical capabilities already play a role in Canada's economy. These ties could be much strengthened.

Britons also feel at home south of the Canadian border. Contrary to an oft-repeated myth, links between Britain and the United States are not reducible to the personal relationships between presidents and prime ministers. The U.S. and the U.K. have always been each other's primary financial partners. A few simple measures could substantially deepen this relationship, especially once Britain no longer needs to adhere to EU rules.

The only thing the UK has in common with the rest of Europe these days is proximity and a centuries long history of armed conflict with a number of countries there. Perhaps it's time for Britain to remember the rest of the Anglosphere and to consider re-aligning itself it with it. I have no doubt it would help both the UK and the other nations of the Anglosphere.

And the UK's trade with the rest of the EU? I have reason to believe that while there would be some fall off in trade, in the end it won't be all that much. And increased trade and relations with the rest of the Anglosphere would certainly help make up any shortfall from the rest of Europe.

Frankly I see little if any downside to the UK withdrawing from the EU and realigning itself with its former colonies and Commonwealth members.

I know, I'm a few days late on this, but I'm still trying to catch up. Gimme a break. I've been sick.

Now that government subsidies for ethanol have ended, as have the tariffs on Brazilian ethanol, what will the effect be fuel prices? In the end, probably not a whole lot. After all, ethanol is only 10% of the volume in E10 gasolines. Assuming Brazilian ethanol becomes more popular with blenders, you might see an approximate 5¢ per gallon drop in gasoline using it. For blenders using US corn ethanol, you might see an equivalent rise in price. But the main thing is that you and I and everyone else will be paying for it up front rather than having the cost of it buried by taxpayer funded subsidies (to the tune of $6 billion a year).

As many of you know, I am not a fan of gasoline/ethanol blend fuels. They cause too many problems, particularly in small engines (lawnmowers, snow blowers, chainsaws, etc.) and in marine use, where nominally humid conditions can cause the ethanol to settle out and clog the fuel systems of boats, something I've had to deal with over the past couple of years. And while the end of subsidies and tariffs are a good thing, that will not make me like the blended fuels. There are still too many downsides. (One of the 'benefits' of ethanol sold to us by the EPA was that it would make gasoline burn cleaner. And it does..for carbureted engines. But it has no effect on fuel injected engines other than decreasing fuel economy by 5%. This is a benefit?) Of course the EPA wants to boost the ethanol content in fuels to 15%, but so far the Congress has said "No". Even Congress understands the downsides to such a move and the EPA has not shown the move will be beneficial to anyone but the EPA and ethanol producers.

Some of the latest housing news shows that home values are still falling. That's not really a surprise, is it? But prices are rising in 2 cities, Washington DC and Detroit.

Detroit?

Yes, Detroit.

When you think about it it makes sense. Its real estate values plummeted to the point where the median price for a house was less than $7000. (The large number of abandoned homes and buildings in the Motor City helped suck down property values for years.) Many neighborhoods have been abandoned entirely and the city has been tearing down empty homes for some time. The population of Detroit is less than a third of what it was at its peak. In effect, property values hit rock bottom. There's only one way for them to go: up. So is it a surprise that home values are starting to climb? Some folks see an opportunity and are snapping up empty homes for bargain basement prices and fixing them up. Unless the city dies entirely the chances are the value will go up.

Yes, I know it's Christmas Eve. I could easily do a feel-good Christmas story since there are appear to be a plethora of them out there this year. But that smacks far too much of me-too-ism. And while I am just as guilty as many bloggers out there of doing that from time to time, I don't want to do that today. No siree. Instead, I'm going to focus on something incredibly stupid that only a government bureaucracy could pull off.

To which government bureaucracy am I referring?

The EPA.

Let's face it folks, it has become a force for interfering in the business of America, which is business. Nonsense rules with little scientific backing or study have done more to harm our economic revival than just about any other Obama mechanism. It is one of the few federal agencies that can promote two contradictory views at the same time, all in the name of "protecting the environment."

One of the latest B.S directives deals with mercury, specifically mercury emitted by coal-burning power plants. Never mind that the amount of mercury emitted at present is miniscule and that to reduce it even more has reached the point of diminishing returns. But then the EPA also has no concerns for the mercury contained in CFL bulbs which can expose the populace to levels of mercury magnitudes of order higher than what comes out of the smokestack of a power plant.

See? Two contradictory stances at the same time. But then the EPA has an agenda that us purely political, one that ignores science. It's all about feel-good rules that do nothing to protect the environment from real threats while harping on minutiae.

One of the other things the EPA ignores about atmospheric mercury: most of it reaching the ground in the US comes from China. We have no control over Chinese emissions and I doubt very much they'll listen to Obama's EPA. (Obama lost credibility with the Chinese quite some time ago.) China will do what it needs to do to expand its economy and if that means ignoring mercury emissions that affect countries on the other side of the Pacific.

This isn't the first time the EPA has tried to control effects of emissions from outside the US with ridiculous rules that have little effect of the environment but cost businesses in the US millions, if not billions of dollars to implement. This kind of useless bureaucratic incompetence (or malfeasance) must end.

We've been hearing about the financial turmoil in the EU, with Greece just this side of total bankruptcy, and Portugal, Italy, Ireland, and Spain no too far behind. There's lot's of finger pointing, with very few pointing the finger at Brussels and he unaccountable EU Parliament.

One of those doing willing to do so is the CEO of Ryan Air, Michael O'Leary. He slams the EU bureaucracy, the politicians, the rent seekers, and those trying their hardest to kill off any innovation that might make things better rather than maintaining the status quo, as bad as it is.


O'Leary tells them some hard truths, truths they'd rather not hear. But then he's helped create more jobs than all of the EUcrats combined.

Don Surber gives us a list of the Ten Things Obama Got Wrong, though I think he could have easily gone well past ten to fifty or a hundred.

A few of my favorites:

2. He got Obamacare wrong. Along those lines, President Obama saw how Hillarycare went and decided to do the opposite. Or likely more accurately, the president heard that Hillary lost on health care because it was written in the White House. He decided he would do it differently and have it written by Congress. This was a formula for failure because he lost control of the bill. This meant he was putting his name and reputation on the line for something he never wrote. And what was written was a mess.

Don acts as if this were unusual for the Presdient, but it's not. Most of the programs and ideas and other acts he should have handled himself he handed off to his czars or Pelosi & Reid. In effect, he phoned it in, voting 'present' when his position doesn't really allow him to do that. Then again, that's how he's handled things most of his adult life. Why change now?

3. He got the economy wrong. He overestimated its strength and went full-speed ahead with spending. Budgets for agencies were doubled as liberals wanted to have a field day regulating everything. But tax revenues tanked. That $400 billion deficit he campaigned against tripled. Guess what? The public noticed. So did S&P. He is now President Downgrade.

No argument there. But then he has no real understanding of how an economy works, only how it's supposed to work according to Leftist ideology. Too bad for him the economy itself shows just how wrong Leftist economics can be. Not that I expect him to learn that lesson as he's not exactly known for being open minded, particularly when it come to anything that conflicts with his beliefs.

4. He got the stimulus wrong. The $787 billion stimulus was a grab bag of political kickbacks papered over with an unnecessary, ineffective and ill-advised tax cut. The unemployment rate would have gone to 9% if we do nothing, he said. We did something and it hit 10%. Again, people noticed.

If every penny of that stimulus had been spent on upgrading or repairing infrastructure, then it's possible the economy could have been turned around. (I still have doubts about that, but I'm willing to admit I could be wrong.) But of all that money, only $55 billion was spent on infrastructure. That's just under 7% of the total stimulus. Seven percent. Where did the rest go? To cronies and supporters who had more to do with creating this lengthy on-going recession than helping us get out of it.

One last one:

10. He got TV wrong. It's called overexposure.

I think just about everyone is sick and tired of seeing him read from his teleprompter, particularly since he's not really saying anything new. It doesn't help that he's now been on the presidential campaign trail for 4 years since he really doesn't know how to do anything else.

It seems yet another EU country is reconsidering its reliance upon the euro. This time around, it's France.

Not that France's economy was all that great before they switched from the franc to the euro. The issues with the euro has merely made it worse.

The French have growing reservations about the euro: 36% want to withdraw from the eurozone and go back to the franc, the old national currency; 4% have no opinion, which means that they don't warmly support the single European currency; 44% say it is a handicap in the present context of a world economic crisis; 45% say it doesn't serve the national interests of France; and a staggering 62% say it is damaging the average French family's standards of living and purchasing power.

With the economies of Portugal, Ireland, Italy, Greece, and Spain teetering on the edge due to steep sovereign debt with little means of paying it off. These nations are depending upon the rest of the EU and the IMF to bail them out even though some of them haven't managed to trim their government spending to sustainable levels. A bailout will only delay the inevitable, not prevent it.

After weeks of hullabaloo about the various OWS protests across the nation, it appears the whole thing was much ado about nothing.

Between unfocused or contradictory messages, hypocrisy, mob violence, rape, murder, theft, drug overdoses, totalitarian 'councils' confiscating donated money, and just plain foolishness, the Occupy Wall Street protesters have proven one thing to the public at large: they're spoiled children filling the role of useful idiots, showing the worst side of society, not the best as they have claimed.

What have they accomplished other than showing the rest of the country that they're mean-spirited wackos with little understanding of history, economics, or human nature?

It shows in hundreds of different ways, with one of the overriding themes I noticed being "We want you to pay for our stuff even though we could pay for it ourselves, but we don't want the rest of you freeloaders to take our stuff that someone else paid for!" This theme has recurred at more than one protest location, with the protesters not recognizing the hypocrisy of their demands.

Some want to replace capitalism with socialism, even though the socialism they're promoting has never lived up to the promises made and usually end up creating nothing but poverty, misery, and terror. It isn't until countless lives are sacrificed that the socialist utopias implode.

Some seem to think that anarchy is the answer, but all that ever leads to is destruction, lawlessness, and in the end, tyranny.

They claim they represent the 99%, but 99% of what? 99% of the spoiled privileged children of the 1%? 99% of the clueless drones feeling entitled to what others have earned through hard work? They sure as hell don't represent 99% of the American people.

In the end, OWS has been about nothing but selfishness, greed, and a sense of entitlement. In other words, a world class FAIL.

As Cap'n Teach reminds us, no good deed goes unpunished. And so it is in regards to one of the biggest unintended consequences of more high fuel efficiency vehicles hitting the roads: dropping revenues from fuel taxes.

Another thing driving decreasing fuel consumption and fuel tax revenues is high fuel prices. This one-two punch has left both the federal and state governments scrambling to raise funds needed for road maintenance and construction.

So what is government to do about the revenue shortfall? Believe it or not, a per-mile tax is in the offing. No one has explained much about how it's going to work other than it will likely use GPS technology to track the miles driven by each vehicle.

Basically I have no problem with such a thing as long as the system only keeps track of the miles driven and not the routes taken or locations visited (the technology is easily modified to allow miles-only readouts). It smacks too much of Big Brother keeping track of where we go and when, something most of us feel uncomfortable about. There are already constitutionality questions about law enforcement using GPS trackers on suspects without warrants. This goes an order of magnitude beyond that.

Some don't like the idea at all, seeing as it means they'll be billed directly and in the open for their use of roads rather than the hidden fees they pay at the gas pump. Again I have no problem with this as long as the per-mile taxes lead to abolition of fuel taxes as they are applied now. Otherwise, no deal.

It is said the truly smart will learn from the harsh lessons of others' failures. I can say that one member of the WP clan is that smart, that being the youngest of the WP sisters. (As she says, she made her own mistakes while growing up that our parents never found out about.)

It would be great if the political class presently ruling the US was as smart as my youngest sister. Unfortunately they are not.

They see the economic meltdown occurring in the Euro-zone, yet refuse to learn the lessons countries like Portugal, Ireland, Italy, Greece, and Spain are teaching us, the primary one being that eventually you will run out of other people's money to fund all the wonderful social programs that have been used to bribe the electorate.

Italy is the latest to teeter on the brink of insolvency, and should it go over the edge it is quite likely it will pull the rest of the Euro-zone with it. Greece's default damaged the European economy yet it has only a fraction of the GDP of Italy. Should Italy default Europe will take an additional $2 trillion hit it cannot afford. Is it any wonder Germany is considering abandoning the Euro and going back to the mark? Can anyone deny that this problem has been driving the British public to demand a referendum about whether or not to remain in the EU? At least those two countries see the problem and realize they'll have to bankrupt themselves in a doomed effort to prop up economic policies from Brussels.

But too many of our own politicians at the state and federal level, regardless of party, seem oblivious to the fact that unless we make some drastic changes in how our federal government taxes and spends we will be headed down the same path. Labor leaders ignore the fact that neither businesses or taxpayers are a bottomless source of funds, shortchanging their own members by making promises no one can keep.

Should the US fail to put its financial/economic house in order, and right quick, it will pull the world economy down with it into a depression unlike any we've seen before.

I saw this the other day but waited until I had a chance to show it to a friend who, like the fellow in this video, grew up in the old Soviet Union. His opinion of the people advocating the elimination of capitalism and replacing it with socialism: "Useful idiots, just as Lenin and Stalin labeled them!"


As my friend pointed out, these people are insane. Because they have allowed themselves to be brainwashed about the so-called "evils of capitalism" and are no longer capable of thinking for themselves, they should be put away into an asylum. When I asked why he thought them insane, he said this:

You would agree that Albert Einstein was a brilliant man, yes? He said that insanity is doing the same thing again and again, hoping the results would be different this time. What these folks want has been proven not to work, time and time again. It has killed millions upon millions of people. Yet these crazy people want to do it again. See? Insanity!

What these folks don't realize is many of those socialist paradises only lasted as long as they did because of capitalism, not in spite of it. Without funds from the capitalist countries and the thriving underground capitalist economies operating in those socialist worker's paradises, they would have collapsed far sooner than they did. Why do they think China has abandoned socialist economics and embraced capitalism? It's simple: socialism doesn't work, and the Chinese knew it.

If these useful idiots want to try living in a socialist society, there are still enough around for them to go to to give it a try. I suggest Venezuela or Cuba, two bastions of socialist paradises.

Venezuela, a country with the wealth of abundant oil, has devolved into a poverty-stricken socialist dictatorship where infrastructure has broken down. The only ones benefiting from Chavez's socialist ideologies are his cronies. Everyone else there has suffered, seeing their livelihoods destroyed all in the name of socialism.

Cuba is an economic basket case and has been since Castro took over. It became even worse once the Soviet Union collapsed because there were no more socialist subsidies flowing from the always almost empty socialist coffers (usually filled by way of aid from capitalist countries).

Socialism is an ideology of envy and greed, as history has proven more than once. Many claim it is an egalitarian ideal, but the only thing shared equally in those egalitarian socialist societies is misery and terror. Some of the more radical socialists say that unless everyone can have X, Y, or Z, then no one should have X, Y, or Z. The problem with that is that it is an unrealistic vision because no one will ever have anything new, except misery and terror. (Actually, I must correct myself. Only the ruling elite will be able to have X, Y, and Z. Everyone else is screwed.)

If nothing else the Occupy Wall Street protests are showcasing the radical beliefs of these fringe lunatics and showing them to be the insane purveyors of unrealistic and totalitarian ideologies.

Is it possible the Occupy Wall Street protests might succeed where indoctrination has failed?

While the OWS protests are obstensively supposed to show "the people" the evils of capitalism, it is having an unexpected side effect. It's teaching the OWS protesters the evils of socialism up close and personal, by way of Ayn Rand.

Not surprisingly, Occupy Wall Street has become a magnet for thieves and con-men. As one organizer complains, "Stealing is our biggest problem at the moment."

Then there are the bums. Originally, from what I can tell, street people were actively recruited by the Occupiers as a way of adding to their somewhat anemic numbers. But the naïve young hippies who make up the bulk of the movement are quickly discovering what the rest of us, with the benefit of actual life experience, already know about "the homeless."

Over at Occupy Boston, a protester complains, "It's turning into us against them. They come in here and they're looking at it as a way of getting a free meal and a place to crash, which is totally fine, but they don't bring anything to the table at all." Another report concludes with a similar sentiment.

"We have compassion toward everyone. However, we have certain rules and guidelines," said Lauren Digioia, 26, a member of the sanitation committee. "If you're going to come here and get our food, bedding and clothing, have books and medical supplies for no charge, they need to give back," Digioia said. "There's a lot of takers here and they feel entitled."

These kids had better watch out. If they start thinking that like this, pretty soon they might find themselves at a Tea Party rally.

"There's a lot of takers here and they feel entitled." Gee, that sounds familiar. Could it be because the very ones complaining about the takers are themselves takers of a higher order? What hypocrites. They're finding out that the socialist/marxist creed of "From each according to his ability. To each according to his need," does nothing but create a large amount of 'needy' while diminishing the number filling the needs. It's right out of Atlas Shrugged, where the takers (looters) take more and more while creating a huge disincentive for those producing what is taken to keep working. At some point the producers end up becoming nothing more than slaves to the takers, as Rand outlined in her novel.

It seems the OWS protesters are "dominated by 20-year-old white middle-class college boys ." What the hell do these college boys know of real life and how economies actually work? From what they're showing the world, not much. But they're sure as heck learning the hard way that nothing free is actually free. Someone else has to pay for it. This time around, it's them.

(H/T Maggie's Farm)

I saw this by way of Instapundit. It reveals some harsh truths the #OWS folks won't admit to, but something We The 53% understand completely.

We are Wall Street. It's our job to make money. Whether it's a commodity, stock, bond, or some hypothetical piece of fake paper, it doesn't matter. We would trade baseball cards if it were profitable. I didn't hear America complaining when the market was roaring to 14,000 and everyone's 401k doubled every 3 years. Just like gambling, its not a problem until you lose. I've never heard of anyone going to Gamblers Anonymous because they won too much in Vegas.

Well now the market crapped out, & even though it has come back somewhat, the government and the average Joes are still looking for a scapegoat. God knows there has to be one for everything. Well, here we are.

Go ahead and continue to take us down, but you're only going to hurt yourselves. What's going to happen when we can't find jobs on the Street anymore? Guess what: We're going to take yours. We get up at 5am & work until 10pm or later. We're used to not getting up to pee when we have a position. We don't take an hour or more for a lunch break. We don't demand a union. We don't retire at 50 with a pension. We eat what we kill, and when the only thing left to eat is on your dinner plates, we'll eat that. For years teachers and other unionized labor have had us fooled. We were too busy working to notice. Do you really think that we are incapable of teaching 3rd graders and doing landscaping? We're going to take your cushy jobs with tenure and 4 months off a year and whine just like you that we are so-o-o-o underpaid for building the youth of America. Say goodbye to your overtime, and double time and a half. I'll be hitting grounders to the high school baseball team for $5k extra a summer, thank you very much.

So now that we're going to be making $85k a year without upside, Joe Mainstreet is going to have his revenge, right? Wrong! Guess what: we're going to stop buying the new 80k car, we aren't going to leave the 35 percent tip at our business dinners anymore. No more free rides on our backs. We're going to landscape our own back yards, wash our cars with a garden hose in our driveways. Our money was your money. You spent it. When our money dries up, so does yours.

The difference is, you lived off of it, we rejoiced in it. The Obama administration and the Democratic National Committee might get their way and knock us off the top of the pyramid, but it's really going to hurt like hell for them when our fat a**es land directly on the middle class of America and knock them to the bottom.

We aren't dinosaurs. We are smarter and more vicious than that, and we are going to survive. The question is, now that Obama & his administration are making Joe Mainstreet our food supply...will he? and will they?"

So if the OWS folks get their way and kill off Wall Street and the corporations, what they'll get in return is an economic collapse that will make the Great Depression look like a minor market correction in comparison. But what do you expect from economically illiterate and spoiled children who feel entitled to what the rest of us earned?

As the ongoing Occupy Wall Street protests continue, the media still tries to paint them as something entirely grass roots despite the fact that many of them are anything but grassroots. As Bruce Kesler put it, they are nothing more than "Potemkin" protests.

[Occupy Wall Street] is a big media promoted event, one that fits its liberal-left memes, organized by radical "community organizers", funded and added manpower from government-union thugs (just look at the size of the OWC (sic) bouncers).

--snip--

As Glenn Reynolds comments about major media coverage of OWC protests, "When lefties want to make the Tea Party fit their preconceptions, they have to make things up. When righties want to exercise their preconceptions about the Occupy movement, on the other hand, they just have to take a picture."

The contrast is telling. As Mary Grabar notes from her observations of the Occupy Atlanta protests:

As I watched the ragtag group file in, escorted by police, I remembered a Tea Party rally in front of the state capitol in downtown Atlanta, only a few blocks away. There the police and state troopers were omnipresent amidst a group of suburbanites occupying flag-adorned lawn chairs on the sidewalk and listening to speeches about politically legitimate efforts in overturning health care legislation and enforcing immigration laws. Complaints from the podium were specifically about government actions, like taking over the private company, General Motors.

Back then, amidst the flags and bunting, the police were omnipresent, with prison vehicles at the ready and parked along the streets that were the pathway to the prearranged site. Police were omnipresent as the Pledge of Allegiance was recited. They were quite visible as the National Anthem and America the Beautiful were sung, and as prayers for our country were sent up to heaven.

The police stood around, looking relaxed.

The Tea Partiers never blocked a street, and left quietly down the sidewalks after their allotted time, leaving no traces, picking up trash that may have been dropped inadvertently.

The Tea Party never occupied public land illegally. They assembled peacefully with permits arranged beforehand. Yet the media repeatedly characterized them as "angry," "extremist," and "racist."

Tea Party protestors didn't defecate on police cars, didn't disrespect men and women in uniform, didn't try to foment confrontations with police, didn't turn public parks into pig sties, and they didn't use the restroom facilities of local businesses as if they were nothing more than public restrooms.

At least Tea Party protestors abide by the law (for the most part). If they don't like a law they'll try to change it as the Founders intended, by using the ballot box rather than ignoring it as if it didn't apply to them. Tea Party supporters understand where the money comes from to pay for all the "free stuff" many the OWS folks are demanding. A majority of Tea Party supporters are part of the 53% who actually pay income taxes. Most of the young OWS protestors are not. That they believe they are entitled to receive that "free stuff" the rest of us pay for shows us they've been cheated, either by parents that indulged them far too much or schools that filled their heads with that nonsense. And when reality finally slaps them up side their heads it's somehow the fault of the people who make it possible for them to live their indigent lifestyle and they demand that they be "given" jobs they really don't want (because then they'd actually have to work) or aren't qualified to perform.

And so it goes.

I've seen this both at Instapundit and on a friend's Facebook page. It's too good to pass up, so I knew I'd have to link it.

While the so-called 99% are protesting for free stuff, we, the 53% who actually pay for that 'free' stuff, are voicing our own opinions about it. One shot from the site:


Yup, I'd say that covers it.

Via Facebook:


That's the best way I know to do that. Unfortunately too many on the Left seem to think it's easier to steal...uhh...tax it away from the very people who made it to begin with.