Do You Actually Believe this Shit?

Take a look at this comment I received.  Every single sentence in it is a fallacy. Does this guy actually believe this stuff, or is he just trying to get my goat?  It’s no wonder that this country is in the shape it’s in, if over half the electorate feels this way.  Oh, well, here’s my response to each line.



Austerity programs don't work. Trickle-down economics did not work. What works is taxing the rich so money comes back into the system. There's a finite amount of wealth. If we let the people at the top hoard it, there is less to go around. The solution is not to whittle social programs for people down to nothing while continuing to inflate spending on the military. We can do some necessary funding, but we need money coming in. The only place we'll get that is from where it's being hoarded. We need fiscal regulation, as we once had.

Austerity programs don't work. - How couldn’t they?  If you are spending more money than you take in, the solution to the problem is obvious.  If an individual is behind on his loan payments, do you think that he could get away with telling his creditors that “austerity programs don’t work”?
Trickle-down economics did not work. - Says who?  And once again, how couldn’t it work?  If rich guys buy new Corvettes every year rather than every other year, what can that possibly mean but more employment at the Corvette factory, Chevrolet dealerships, and every other business that supports the manufacture and sale of new Corvettes?  Rich guys spend money on other things too, and the resulting boost to other parts of the economy is similar.
What works is taxing the rich so money comes back into the system. - How does this work?  The answer is not very well.  Taxes are funneled into the government, an organization free of any competition, and competition is the mechanism by which free markets provide the largest variety of goods and services at the lowest possible price.  We are all better off having the rich guys buy new Corvettes than taxing them to death.  One hundred percent of the purchase of a new Corvette is “put back into the system.”  Virtually every transaction involved with the production and sale of that new Corvette that the rich guy bought is taxed.   Wealth is generated during each of these transactions and the demand for goods, services, and employment is increased.
There's a finite amount of wealth. - This one sentence speaks volumes.  The only places where there is a finite amount of wealth is where wealth is not created. (Communist countries)  If I am a capitalist baker selling a loaf of bread for a dollar, and you are happy to pay that dollar for my bread, wealth has been created.  Your dollar is worth more to me than my bread, and my bread is worth more to you than your dollar.  This process being repeated millions of times over is how wealth is created.  Fewer private transactions take place in communists nations, and thus less wealth is created.  That’s why the standard of living is always lower in communist nations than capitalist ones.
If we let the people at the top hoard it, there is less to go around. - Obviously the person who wrote this is not rich, because he doesn’t have the slightest idea of what rich people do with their money.  I don’t know of any rich people who hoard their money.  If they did, they wouldn’t be rich very long.  Hoarding money results in a loss equal to that of the inflation rate plus the opportunity cost of any interest, dividends or other income earned if that money was invested.

The solution is not to whittle social programs for people down to nothing while continuing to inflate spending on the military. - It absolutely is.  The military is the best social program we have.  It not only keeps us safe from foreign aggression, it is the largest employer in the nation.  A good portion of military spending goes to the pay and benefits of military personnel.  Much of the rest goes for purchasing military hardware.  What better way to put some of that wealth, “back into the system”?  Americans work at those defense plants.

Simply giving money to people in the form of welfare is a disincentive for both the providers and the recipients to work.

We can do some necessary funding, but we need money coming in. - Government money comes from one source, taxes.  The only way to increase tax revenue is to increase the activities that are taxed.  That means stimulating the economy through reduced regulation and tax rates.  Yes you can increase tax revenue and reduce tax rates simultaneously.  We’ve done it before under Kennedy and Reagan.  It’s easiest to understand with a sales tax example.  You will collect more revenue with a sales tax rate at 4% and $200 worth of sales than you will with a 5% sales tax rate and $100 worth of sales.

The only place we'll get that is from where it's being hoarded. - Trust me, if any money is being “hoarded” it is such a small amount that it would not make any appreciable difference than if it wasn’t.  We should be more concerned about the amount of money invested overseas, and the only reason it is invested overseas is because investors can find higher rates of return there, due to less taxation. This is one of the few areas where our government actually faces competition.

We need fiscal regulation, as we once had. - This assumes that the government knows better than the free market.  Seldom has this been proven to be the case.  Funny thing, large corporations are really nothing more than large groups of people, just like governments.  Why would anyone trust the government more than a corporation when corporations have competitors to keep them in line and governments do not?  I will agree that some amount of regulation is necessary but corporations are already subject to a multitude of regulations.  Who’s regulating the government these days?  The government is supposed to be regulated by elections and the constitution, but we have a president who got in office by way of voter fraud and ignores the constitution.

13 comments:

  1. Hey Neil;

    I remembered reading that if all the assets of the "nasty old Rich" people are seized, including houses, yachts, cars, everything they have...it would run the government for 8 months at present expenditures...after that...what then? The Rich are gone, then the government will have to go after the "less rich" and that will not last long. Soon the government will have no money coming in because the people that "made the money" are gone....and what is left.....Moochers. The system will implode. This person is a liberal, the "finite Pie" theory....the more people making money, generating capital, the pie gets larger.

    ReplyDelete
    Replies
    1. I accidentally hit comment instead of reply again. See below.

      Delete
  2. That was reported by the "Iowa Hawk" blog, and Tony Robbins does a great job explaining it on a you tube video.

    ReplyDelete
  3. Classic LIV, and a clear illustration of their illogical thought process. Pathetic.

    ReplyDelete
    Replies
    1. If they ever start to use logic, that is the moment that they cease to be liberals.

      Delete
    2. Never ever occurs to these id10Ts that less government on all levels would solve most problems in short order..

      Delete
    3. Jesse - You are absolutely right. Like Reagan said "Government IS the problem."

      Delete
  4. Attempting to debate, reason or explain reality to people like the one who made this insanely stupid comment is pointless. The most cogent description of the attempt was the analogy that
    debating a liberal was like playing chess with a pigeon....the pigeon just knocks over all the pieces on the board, shits on the board and then struts around as if it won. It's a waste of time.

    ReplyDelete
    Replies
    1. Dan - Very true. The worst thing about it is, after they're done, they think that they've won.

      Delete
  5. I find that most people are not liberal/communist. Most people I encounter are just apathetic and uninformed as to what is going on around them. The hardcore true koolaide drinkers I do not waste any time on. I just shake the dust from my feet with them and either treat them as an enemy or just ignore them.
    I have had a little bit of success lately with a few co workers by informing them on the state of current events in this country. What has seemed to get through their thick skulls is the fact that there are more people collecting benefits than people that are actually producing. When a 40 year old man who spends most his time watching " Family guy" on you tube finally gets at least that, its a start. I am talking of a co worker of mine. Nice guy but up to now has been totally oblivious as to what the communists are doing to this country. Its pretty sad actually.
    C.J.

    ReplyDelete
    Replies
    1. C.J. - You're right. Most people are ignorant and apathetic and are by choice. They don't want to be bothered by anything that isn't entertainment.

      Delete
  6. So...you mean that I can't take rich peoples stuff just because I'm poor? Man that really blows....now I'm gonna have to think of something else......bubble burster.....

    Seriously.....When I read comments like that, either on my own blog or somewhere else, I get so angry. I have no idea how these people function. If this world was like it once was, there would be no liberals at all....survival of the fittest after all...If they have no one to take care of their sorry ass, they would go extinct...they know this and that is why they work so hard at lying to get in office. They are protecting their worthless species.

    ReplyDelete
    Replies
    1. I think this is part of the appeal of prepping. At least for some preppers. When SHTF, all these people will be swept away.

      Delete