U.S. Capitalist Party

One of the founding fathers of the United States, John Adams, rarely mentioned today, was important enough to be the first Vice President to George Washington and our second President. He wrote a little bit about constitutional laws and principals. The main idea of a Republic is to keep all power from collecting in one center. History taught us that to accomplish this we have to divide the power between the three classes of people: Democratic, Capitalist and Government.

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Location: Wisconsin, United States

Reading the classics teaches one the basic principles on which our world was established. This has nearly all been lost in the fog of time past. All that remains are syllogysms and subjunctives it seems. In my BLOGs, i attempt to incorporate principals that are the real basis underlying civilizations as contrasted with the mythology we learn in our childhoods that goes unreflected. About me as a person: I enjoy wine(organic)and pizza (organic), and in the morning a nice strong cup of coffee - organic and fair trade whenever I can get it. I started cooking a lot more lately.

Sunday, February 12, 2006

Capitalist Party and Energy

In ancient Roman times, there were relatively frequent occurances where debt became oppressive, most often this came as a result of heavy taxation, either for war or for public projects. While debt alone is oppressive, it is the interest on the debt that multiplies this burden manifold.

In those times, money was still of gold or bronze, so the principal for charging interest did exist. That interest rates do not find their 'level' in the market place had to wait a generous two millenia to be discovered. Still, there was the mitigating effect of war plunder and skirmishes were rarely more than a year apart. Despite the legitimacy of debt, there was still frequent rebellion against the policies themselves and the oppressiveness of the consequences of debt. As a result, every argument against policies underlaying debt seem illigitimate, whether they are legitimate or not. Sometimes, the arguments are legitimate.

During the period of Roman expansion, every city or town conqured and/or massacred represented an addition of wealth through plunder. This wealth fed the coffers of either the soldiers themselves, who could then pay down their debts, since they were otherwise engaged, or to the state's coffers, which lightened the burden of taxation. While debt was principled, though poorly regulated, there remained that hope of forgiveness. However, the hope was balanced with the threat of bondage for those who failed to make true their debts. Once enslaved, one's chances of ever tasting liberty again were sharply curtailed.

Fast forward to today and bondage still exists in the form of bankrupcy, since it prevents an individual from gaining capital, of bearing credit of any sort, were anyone to qualify. Unfortunately the hope of forgiveness no longer exists, as all plunder today is transferred to the coffers of the powerful in the form of oil and gas drilling rights and government contracts. These are complaints, but not arguments. Today, a lot more has changed than stayed the same. For starters, money no longer has a capital base, so there is neither principal nor principle upon which to ground the institution of interest, yet we remain "slaves to habit".

Since the principle has changed, so have the consequences. The burden for paying the interest on the debt does not fall on the debtor, though they are responsible, the burden falls upon the first actual principal the interest payment encounters, real working capital. The result is a diminishing of profits, growth and innovation for the legitimate capitalist class.

Another consequence, is that inflation becomes irremediable. Prices can go up, but they can't come down. The rising prices diminish international competitiveness and contributes the lions share to job emigration. Job emigration means that more debt will go into default and interest payments, via the illegal premise of punishment for late payment, skyrocket and become usurous. Those good workers and competitive enterprises that have stayed the course become burdened with the greatest injustice.

Another overall difference between ancient Rome and the world today is that the basis of wealth is no longer to be found in plunder and slaves, but in the functioning of capital itself. Energy is, perhaps, the main basis of wealth in the world, whether it be from agricultural grain harvests or fossil fuel power, it is the means by which all material transformations are executed. Material transformations lead relentlessly to some form of utility increase and the sum of utility is what is really meant by wealth.

In current times the reign of fossil fuels is ending. What is emerging are the renewable forms of energy, such as solar panels, wind turbines and heat engines, in addition to energy efficiency improvements.These latter forms of energy are limited only by the capacity of capital to produce them. Yet, they remain independent of military policy and dependent upon monitary policy, the reverse of the fossil fuels regimes.

What limits capital is liquidity, that is, the quantity of money in the economy that remains free of the debt/interest coil, which is all that can be available for investment in the research and production of these renewables without presenting an additional burden upon society. The goal of utility is to relieve burden. In a Republic this relief must be divided equally between classes: people, capital and government.

Since the new sources of energy are small, portable and independent of property, they transform the political landscape for the more tyrannical of the power brokers. This is what has their panties all up in a bunch. The power brokers being the oil and natural gas industries, the money lending financials and the military industries such as the gun manufacturers, who already have a criminal record for supplying weapons to Nazi Germany dating from WWII. Some components of these power brokers are transferable to the new world, but some are not. Turbine manufacturers, for instance, are fence sitters, all they need is a push in the right direction.

Those industries destined for the history books are the oil and natural gas companies, credit card companies and the pistol makers, all, notice, in the avantguarde of reputation manufacture, which is a good first step into the history books.

Small scale energy sources, such as solar panels are appropriate for household energy demands, small business power and part of the recipe for larger scale industrials. Wind power is enough to carry the difference, and devices like the 'entropy engine' can suffice to reverse the cooling burden on the energy budget. In addition, a true dedication to nuclear would entail a technological revolution into the breeder technologies, which to date, only the French have recorded successes in. This is where government research could have been focused.

As individuals become increasingly independent of the power-plunder which an addiction to fossil fuels guarantees to hereditary wealth, the legitimacy of war and this form of exercise of political power diminishes proportionately in our eyes. The beneficiaries of these plunders are the only hold outs for this form of 'debt mitigation', though the only 'mitigation' is the increasing capacity to further oppress the public with an enslaving burden of more debt, with slavery being the obvious preference of the wealthy to sustainable energy technology. Debt of this nature cripples not only the common class and labor, but also real capital, which becomes increasingly beholden to government contracts and hand outs as the public's liquidity dries up, being diverted to service unprincipled debt.

Renewable energy will not be discovered in any sack, and unlike in Roman times, there is little of the world left to colonize, barring a return to the policy of massacring the opponent, which may in fact be what the power brokers are attempting, simply to relieve the social pressures behind renewable forms of energy and sustainable forms of production.

Our energy future does exist, but the beligerant power brokers in their luxury induced ignorance can't see nor comprehend it and are hell-bent on preventing the economic climate whereby renewables can emerge. Remember in Rome, debt originated due either from war or from social projects such as building walls or shrines to Jupiter. If there is a debt to accrue today, it is in the social project of reconfiguring our energy base, and should not be building up from war expenses. At least a war for oil buys us time, but the truth is, unless the government can show us the principle interest is based upon, their gift is worthless.

In his State of the Union Address, Bush made an intentional blunder, that none of the pundits seemed to catch, he said we had "two branches of government". In fact he is right, but our republic was designed for three. In fact three branches is the only stable form of republic known to history or experience. Our constitution guarantees us three branches of government. To have three branches of government, we need three political parties. We need a Capitalist party in the Senate to stand up to the power brokers who have taken over our government, as the Decimvirs did in ancient Rome. They lasted 34 years. On that scale, time's up. There has been no principal behind money for exactly that long.

The Decimvirs job was to finish Rome's constitution, which is pertinent today, since the value of money must be guaranteed by government, and the only way to accomplish that is with a global constitution. Today, there is a preoccupation with a global constitution, but we need not forfeit our liberties in the process, as the Romans well learned, and we should know. Pinning the value of the U.S. dollar on oil sales does not soundly ground its value. A fiat money needs to reflect what is actually produced, not the basis of that production, the utility produced, and not the energy. Basing value on energy is a thing of the past. The energy required to obtain gold, silver or bronze could be measured in corn, but these were economies, with emphasis on the economy part, of farmers, who were ultimately self sufficient if they needed to be. This approximation is no longer acceptable economics. If value is not based upon the utility of the commodity, it is arbitrary. Hence, we need to disconnect the dollar from oil and eliminate interest if we are to succeed in the world as we find it today. Only then can the new energy base emerge.

VOTE U.S. CAPITALIST PARTY

Sunday, February 05, 2006

Capitalist Party and Health Care

Understanding that the intent of the words "balanced government" and "republic" meant to our founding fathers a government where the three simple forms of government were balanced against each other, quite in contrast to the common sense understanding of the likes of Thomas Hobbes, suggests that the phrase "Democratic Republic" is quite treasonous to this effort. A balanced government being an equal representation between the three primary classes or components of any commonwealth, the democratic class or common people, the aristocratic class or capitalist class, and the monarchical class, or in our case the republican class which is the government and its minions. Each class dominating in one of three branches of the government, with the goal that all power never accumulate in "one center" or to one class or party. If one claims to be a "Democratic Republic" this is an inherent imbalance converting the republic and the liberties it generates into a democracy, with all the 'tyranny of the majority' that it enjenders. Hence reason fails to be the common thread that joins the nation together and arbitrary whim, bias, bigotry, superstition, erroneous doctrine, pseudo science... the rule instead of the margin where novelty has the liberty to stimulate reason.

What this has to do with health care I'll get to in a minute. First, we must revisit a bit of monetary policy. Money is no longer coincident with capitalism. That is, money is no longer backed by gold or silver or any precious metal, and retains value only by dictate, that is, by the force of law which insists that it have the valeu represented on its face. No longer being of the set we recognize as capital, it truly has no right to draw a profit, which goes by the name of interest. Tongue in cheek, there is no longer any principal upon which to draw an interest. David Ricardo in his book "Principals of Political Economy and Taxation", 1817 shows us in clear principals that any tax on labor or commodities or capital itself is a tax, ultimately, on capital. Hence if this same principal applies to interest, which it does especially well when money is no longer part of capital, all interest becomes a burden upon capital, in the same way that taxes do.

The medical profession, since the dawn of the enlightenment, has been the most highly respected branch of capitalism. As a consequence, the worth of health care has been held high as a means to reward this field of endeavour and further its success. The health care profession, then, is the bellweather of the fate of capitalism. As the need for assistance to pay for health care increases, it is a reflection of the extent to which our nation's monetary policy has failed to support the principals of capitalism.

The Democratic solutions have been to "socialize" health care, such that the poor can have access to it. Well, in any civilized nation, the poor, or the unemployed do in fact need assistance, and there is no reason that some sort of program need not exist to grant everyone the right to life that we declared was inalienable to anyone. At the same time, we need to recognize the principals in works such as John Maynard Keynes' "The General Theory of Employment, Interest and Money", 1936, which strove to regulate interest rates in such a way that full employment would be realized. These principals have not been disproved, though Keynes has been demonized by the mass marketing machine for decades to the point where his principals are made to look like the cause and not the solution to our monetary policy failures. His suggestion to use government spending to trim the business cycle was not the basis of his principals, it was an off the cuff suggestion to sustain 100% employment. In addition , the place for it was never to be at the bottom of a business cycle, but at the top to prevent downswings all together.

Unfortunately, these principals were based upon an economy where money still was capital. Today,. the manipulation of the interest rate, which was the real result of Keynes' work does nothing but sustain the lie that money still has a right to interest at all. Government in fact has been priviledging the banking families and banking industry to a right to interest that Article I section 9 of the U.S. constitution expressely forbids. Now the favorite of the banking partricians has been lining the Supreme Court with Justices that will prove blind to this egregious transgression to the principals of liberty of our great nation. A nation, I might add that was never founded nor defended by these barbarians. In fact they have caused us to be led into many wars to their own private benefits, benefits they never had any right to.

The only way to take a stand against this erosion of the principals upon which our nation was founded and grew strong, is to return to those principals and exercise them. This is a principal, I am certain, not lost on Medical Professionals. To do this, we must form a third political party, the missing party, which is the party of Capitalism, which, it is evident is not part of the agenda of the Republican party, now proving that its only goal is the aggrandizement of political power, that is, military power and punishment.

A Capitalist Party must uncompromisingly embrace the principals of capitalism and struggle for its integrity in order that we not fall victim to those who feel they have a right to absolute power. For capitalism to flourish, it cannot share the economy with an arbitrary priviledging of some class or another to a different economic system, which compares most accurately with the feudalism that capitalism liberated us all from. The principals of capitalism must remain pure and uncompromised and the transgressions of those who now boldly stand and rob the conscientious of their legally tendered reward for services proffered to the benefit of the commonwealth, must be sharply curtailed.

The scraps and tidbits of tax breaks offered to those whose income falls in the upper few percent needs to be seen for what it is, a bribe, and a paultry one at that. As interest and taxes fall on the working class, the real burden falls on capital, the source of the wealth of the rich. Either wages must rise to accomodate the tax, which will reflect a diminishing of profit, or consumption will diminish, which also damages the profit potentials of capital. What does a culture that supports this sorry exchange of scraps for structure redound in? A loss of capitalism all together and a complete overthrow of the wealthy by a tyrannical bunch who, from a global perspective look exceedingly alike the Decemvirs of ancient Rome.

From a Hobbesian perspective, it is our duty to obey the laws generated by our sovereign power, but there are caveats. First, Hobbes did not recognize the Republic. Neither did he recognize the centering of the sovereign power in a document such as our constitution represents. Finally, even Hobbes recognized the right to challenge the decrees of sovereignity when it drifted away from sound principals into the uncharted territory of arbitrary whim. Hence, strict dictate has been superceeded by the capacity to question authority and the right to challenge authority along legal avenues can never be discounted. A republic is a balance of power. While Hobbes remained confused about what this meant, claiming that a nation divides against itself cannot stand (a quote that was later taken up and attributed to the Federalists though it originated 150 years earlier), he also clarified that the sovereign power remained in the state of nature, since there was no power above it (excepting in the heavens). A republic forces sovereign power into a miniature civil state by balancing the three primary classes of any society against themselves. Hence there are always two classes to reign in any singular rogue class. Jealousy keeps any two from succeeding in a cartel against the third as well.

This does not, will not and can not work in a two party political system. Instead we get the ancient Roman version of politics with its attendant perpetual political bickering and limitless war, which represents an endless siege against the very nation that provokes it. The solution is a third party, one that represents, with a high degree of integrity, the principals of capitalism, the right to profit from the ownership of capital (physical as well as intellectual). A U.S. Capitalist Party.

Why a Capitalist Party? Because this is the class whose fraction of the social product is diminishing the most and the most steadily (see the proof of this in the piece Economic Republic). This is the consequence of the priviledging of the possessers of money. Interest leads to an inflation of the money supply and inflation itself. Inflation diminishes the capacity to do business in the world beyond the U.S. borders, ultimately isolating us by monetary policy. The Democratic party doesn't understand this, or is complicit in it. Priviledge also represents a diminishing of the status of the productive Aristocratic class and a loss of the wealth of the nation itself. This is intolerable and capitulating over to the Republican party is not the answer.

The name "Capitalist" is well known and is already associated with the term "Democracy", though no one appears to know what either term means, those and the term 'liberty', but they are all what we are supposed to be fighting and dieing for, they are more valuable than life itself, whatever they are. In spite of that, the term is well known and a Capitalist Party stands the strongest chance of gaining seats in the House and Senate over any other party, though its target must be the Senate, since that is its proper domain and a transgression of that goal will lead to the same sort of dysfunction that we are now suffering. For the time being, a candidate for president wouldn't even be a transgression of the principals of a Republic, since someone will be needed to execute the policies that have so long been absent, and bring about the transformation to the sort of Republic that was designed for this nation in the first place.

This is where my contribution ends. There is no U.S. Capitalist Party, and I am not qualified to be a candidate, since I really own nothing other than a 401K. Anyone interested can e-mail me, perhaps with a few resources [an on line petition, a database of potential supporters, names of willing candidates, a means of legitimately collecting campaign contributions and so forth] we can organize something, get this thing started.

Vote U.S. Capitalist Party