Tag Archives: Adam Smith

The Great American Hero

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America lives in the heart of every man everywhere who wishes to find a region where he will be free to work out his destiny as he chooses. –Woodrow Wilson

Our understanding of history shapes our perception of the present, and informs our actions in the moment. This post, for example, is given additional flesh by the eviction of Occupiers from Zuccotti Park in Lower Manhattan last night by forces directed by 4.0 × 10-8 percenter Michael Bloomberg, one of the richest guys in the USA, and probably in accord with Federal direction. Zuccotti Park is a “Privately Owned Public Space,” (POPS), and that odd status has no doubt been notable in current discourse. Across the USA and elsewhere, including here in Colorado Springs, governments at various levels have utilized no-camping ordinances and public park hours to harrass Occupiers, often to such extremes as to soundly demonstrate some of the protesters’ most salient points. So what is the history of “property,” and how does it pertain to the Occupy Movement?

We citizens of the USA are virtually without foundation where historical discussion is concered, unless we educate ourselves beyond the standard drivel so ineptly foisted in our direction by teachers bound by our disastrously faltering public indoctrination system, mislabeled “education.” We learn a sanitized verion of our own history, and the European history from which ours so largely derives, focused on patriotic and Euro-centric hero-worship rather than on the genuine and controversial currents that have effected societal changes at various junctures in world history. We often become enraged when these inane presumptions are questioned, as i have personally witnessed when service veterans have come unglued when protesters suggested they ought not to have been engaged in foriegn adventurism for resources, or when Occupiers have come near to blows over rights or priveleges the foundations for which they often demonstrate but scanty comprehension.

The story of Christopher Columbus and his noble and brave explorations of a frightening unknown quantity for the lofty purpose of betterment of the human condition, followed immediately by even more noble American colonists’ successful efforts to throw off the shackles of monarchical tyranny culminating in the sacrosanct US Constitution is ingrained in our collective psyche like a Freudian complex. The quote from the nearly deified US President Woodrow Wilson at the top of this page is meant to illustrate this phenomenon. Wilson said some things that seemed to spring from a font of humanity, but he was demonstrably a heinous racist and an elitist, encouraging reestablishment of the KKK, turning US finances over to the Federal Reserve, propagating celebrated treaties he subsequently ignored, and intrepidly belittling any expressor of opinion contrary to his own, among other public sins. Columbus filled his own journals with tales of religiously inspired avarice as he gleefully reported his intent, and execution of his plan to conquer the lands and subjugate the peoples he encountered. The US Constitution, while serving to codify some dignified and egalitarian principles, was still seen as some as an instrument of avarice in its formative days, as has proven to be the case with Adam Smith’s doctrines when handed over to naturally acaricious men. Even the highest-minded of US founders–St. Jefferson springs to apperception–firmly established racist, misogynistic doctrine and elitism by excluding all but white, male land owners from the earliest US political process. Those Founders also knew themselves to be limited and allowed the mechanisms for change to exist within the document.

The land owners so favored by the Founders above had been granted holdings either by monarchical fiat, or by purchase from those granted such holdings. Subsequent years were full of similarly motivated action, wh en”pioneers” once again ennobled by our propagandist history strode across North America claiming everything in sight by perfectly legal Homestead acts and the like, and killing or subjugating anyone not European, male, and white, assuaging their consciences with the absurd “moral” doctrine of Manifest Destiny. Many US citizens, usually white and of European descent, have blithely sloughed off Native American claims to the land here as anachronistic, habituating themselves to the notion that a couple of generations represent a lengthy historical stretch. “Indians,” many of whom don’t experience the epoch between, say, the gleeful rape and resettlement of their great-grandmothers as very lengthy at all, advocate for the removal of white Europe from “their” lands. This may not be anachronistic after all, but it has indeed become impractical, and it is no more nobly motivated than the insistence on Americans, or anyone else, to scarf up resources, such as but not limited to land, to which no human being enjoys a more legitimate claim than any other.

The uproar in Zuccotti Park last night is based on laws that derive from the notion of public versus private property. The Banks we Occupiers have been railing against hold the threat of eviction from private property over the specious doctrines of land ownership in this and other countries. The spats in Colorado Springs over tents, where they belong, and who belongs in them derive from the same set of doctrines, which i hearby proclaim to be bogus, in my opinion. The bad habit of human beings to either grovel or dominate is yet another matter.
One can follow the tendency to dominate and conquer, along with the development of Divinely appointed land control in western culture at least as far back as the dubitable stories of Hebrew escapades in the Levant, supposedly ordered by a loving god to kill, pillage, and rape in order to spread their doctrine of light. Ahem.

While the recalcitrant problems of aggression and slithery competitve spirits, as well as our quickness to condemn one another’s mere habits lead us deeper and deeper into an environmental cul de sac, we continue to pursue failed doctrine. The USA has, in apparently actual fact, presented the world with a still viable political framework within which to effect the sort of massive changes necessary for everyone involved, and it may well be our saving grace, if we acknowlege and rectify its initial errors and subequent abuses. Lots of thinking will be necessary. It’s awfully difficult to conclude that genuine unfettered Anarchism is likely to produce a civil society. Laws are not intrinsically bad unless they’re bad laws. Few really believe Libertarian suggestions that unregulated exploitation of natural resources can lead to anything but irredeemable destruction akin to the recent oil spill in the Gulf of Mexico, or the impending collapse of our fisheries.

Did you notice how comfortable my use of the term “our” felt, applied to a natural resource in that last sentence?
Capitalism and the American Constitution found themselves on private property ownership. Some things belong intrinsically to individuals and groups. Marxism denies any right to private property at all and kills innovation, in the argument of McCarthy’s legacy. Marx and Lenin were motivated by historical factors as well, even if their doctrines were no more effective at legislating kindness than ours have been. Most of us will agree that our bodies ought naturally belong to ourselves–the person whose consciousness centers in that particular body–and yet many of our laws belie that acceptance even now that we’ve abolished open slavery. We’ve built a gigantic and Byzantine body of law here in the US, and in countries all over the world, based on principles of subjugation and rapine that are in actual fact now fully anachronistic, using justifications that are fully mythological. The conquering of neighboring lands and their parceling for sale for personal enrichment, using armies fed a long and patriotic line of shyte about motives is simply not sustainable any longer. We can continue to fight over detritus after we, (by which i mean everyone and not just Europeans or Americans), collapse the entire playing field, or we can recognize our errors and take on the extraordinarily difficult prospect of admitting fault and rectifying our relationships with one another both here in the US, and everywhere else. Some things belong to everyone.

This post is largely about bad history, and partly about the failure of both Capitalism and Communism. I’ll be putting it up lacking a certain amount of flesh in order to have it in place. The natural aggression inherent in confronting some of the subject matter contained requires some additional referenceing, which i’ll add later. The characterization of both systems as failures could be entirely specious if i were unprepared to offer alternatives. This is not the case, and i’ll be addressing the whole kit and caboodle, whatever that means, at greater length in the future. The best suggetion i’ve come across thus far is from Henry George, and i hope you’ll investigate. But even if you don’t i hope you’ll give this the thought it warrants. My ideas are unlikely to be the best out there. Look around, though. The one’s we’re working with now are bullshit.

More links are forthcoming, but the take on history expressed here is largely indebted to Howard Zinn’s “Peoples’ History of the United States,” and James E. Lowen’s critique of history as taught in public schools, “Lies My Teacher Told Me.”

George Who?

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This is a paper from some time ago, well prior to the advent of Occupy events. Henry George wrote from a sensibility one rarely finds expressed so explicitly today. The modern reader should note that Christian underpinnings in no way disrupt either the reasoned logic or the passionate humanity behind George’s arguments. Follow the links! Many Occupiers have promoted education, the deeper aspects of which are rarely available in 3 page tracts….

For Eric Stephenson
16 February 2009

George Who?

It seems peculiar that in 2009 no one has heard of Henry George, if only for the fact that during his prime a hundred years past his was easily one of the most recognizable names on Earth. Just a journalist really, George’s hardscrabble upbringing, his early experience in the business world, and maybe just a little OCD inspired him to craft an entirely new approach to economic theory. Its publication very quickly garnered him international acclaim, respect, and supportive friendship from many of the greatest figures of his day. Many, encountering his work for the first time today, would no doubt label him a Commie, particularly given that George’s work followed Marx and Engels’ by three decades. This misinterprets George. His thinking split the difference between Adam Smith and the Communist theorists in many ways, sharing common ground with both camps but firmly establishing his own territory. His work deserves a second reading.

George was born in Philadelphia, September, 1839, to a family headed by a hardworking but low-budget printer. By providing the Church cut-rate printing services, George’s devout father enabled Henry to garner a relatively high-standard primary education from the Episcopal Academy. He left home after high-school seeking his own way, and after a brief period of adventuring, found himself in San Francisco where he joined the Printer’s Union, following in his father’s footsteps after all.

George lived a poor man’s life–same as any tradesman at the height of the Robber Barons’ power–until an editor at the San Francisco Times came across a piece he had written and left lying around. He accepted an offered staff writing position at $50 a week, which seemed a princely amount compared with his father’s $800 a year. He traveled quite a bit for the Times, and in 1868 on assignment in New York City first encountered the squalid conditions surrounding and adjoining vaunted islands of luxury and power that would inform and undergird his writing for the rest of his life.

Having gained considerable respect as a newsman and a fair amount of seed-money, George and a partner, William Hinton, established the San Francisco Evening Post in 1871. George unabashedly used the paper as a human rights platform until 1877, when, some say, powerful railroad interests against whom he had written since his SF Times days shut the Evening Post down. Quickly landing a government post through highly-placed friendships he had developed, he used the leisure time it afforded to produce his magnum opus, Progress and Poverty, and published it in 1879. George moved to New York in 1880 and promptly left for England and Ireland, touring there to support Irish land support. By the time he returned, his life had changed forever. Progress and Poverty had made him a celebrity (de Mille 1-152).

George’s political economy laid out in his roughly 600 page book begins with his assertion that Smith’s approach established private land ownership as the foundation of economic and social structure, referring often to “the sacred rights of private property” (Smith, par. 1.11.79). So far few would argue, but George figured this skewed, and brazenly wrote that, “[t]he great cause of inequality in the distribution of wealth is inequality in the ownership of land. The ownership of land is the great fundamental fact which ultimately determines the intellectual and moral condition of a people….[I]t necessarily follows that the only remedy for the unjust distribution of wealth is in making land common property” (295, 391). He argued that as a foundational natural resource there is no basis for sequestering land in private hands. He proposed to hold land in common and allot it to users for as long as they needed, for whatever production they could derive from it, and the holder would pay tax, (rent), on its assessed value until relinquished. The holder and any capital or labor involved would keep whatever profit came from the working of the land, and the public would base taxation only upon the land itself. Note that this negates both income and capital gains taxes. (During George’s prominence, no federal income tax existed in the United States). George insisted the extensive system described philosophically in Progress and Poverty, and rather more technically in The Science of Political Economy, would adequately supply the government’s fiscal needs without additional taxes while simultaneously encouraging entrepreneurship and curtailing development of a landed class.

Marx, whose seminal works came before George, but close enough that both wrote from the surrounding milieu of the Industrial Revolution, addressed similar problems. He and those following took the matter to a deeper extreme, however, allowing for no private ownership of either property or capital. Marx expressed a well known hostility to capital. The familiar Communist adage, “Property is Theft,” represents a drastic condensation from Marx’s arguments that labor always seems to wind up on the short end of dealings with those holding either land or capital (Marx, chap. 6, par.2). Like George, Marx chafed at the inequities this arrangement produced, especially with the exacerbations of capital lording over labor, which industrial development had completely disassociated from the land producing the wealth. “The means of production and of exchange, on whose foundation the bourgeoisie built itself up,” says Marx, “were generated in feudal society,” (Marx, and Engels 1848, chap. 1, par. 21).The Communists implemented a far more radical seizure of all private property, including both land and capital, consolidating it under a central federal power (chap. 2, par. 75). Contrarily, George felt that capital deserved its due, and sought to rectify the problems he saw by implementation of a more enlightened “single tax.”

A few germane observations present themselves for discussion. Smith, George, and Marx all expressed notions we might call idealist—Utopian even. Each sought to solve timeless conundrums with an incredibly optimistic approach. Jaded 21st century readers might consider any one of them painfully naive, in retrospect. None of them had the advantage of the hindsight we enjoy, however, and fruitlessly denying the problems each pointed out in his broader work does not help at all. Smith wrote when, fresh from the collapse of European Feudalism, land served as the key to wealth of any kind, and still viewed as an unlimited resource for the grabbing. The vast inequities the Industrial Revolution had abruptly produced vexed George and the Communists. None of these could have predicted today’s technological, information based economies, with the problems they addressed dispersed over the entire planet. Today, the rate of separation between the “Haves” and the “Have Nots” poises to exceed the conditions affecting either set of writers.
George did not design a perfect system. Neither, as amply demonstrated by both history and current events, did Smith or Marx. Henry George thoughtfully and humanely addressed a terribly intractable matter in human affairs, however, and deliberately allowed for future thinkers to expand his work. His work deserves contemplation as we forge into a new century fraught with uncertainties. Our present crisis may help encourage just that.

Works Cited

De Mille, Anna George. Henry George: Citizen of the World. Chapel Hill: University of North Carolina Press, 1950.
George, Henry. Progress and Poverty: An Inquiry into the Cause of Industrial Depressions and of Want with Increase of Wealth: The Remedy. 1898. New York, New York: The Robert Shalkenbach Foundation, 1979. 17 February 2009

Marx, Karl. Wage-Labor Capital. 1849. 17 February 2009

Marx, K. and Engels, F. Manifesto of the Communist Party. 1848. 17 February 2009

Smith, Adam. An Inquiry into the Nature and Causes of the Wealth of Nations. 1776. Ed. Edwin Cannan. 5th ed. London: Methuen & Co., Ltd., 1904. 17 February 2009

United States Department of the Treasury. Fact Sheets: Taxes. 17 February 2009 (This link is obsolete).

I know where Congressman Lamborn is – because no one is telling OR asking. Re: media blackout on junkets to Israel

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Calls to Doug Lamborn’s office inquiring as to his whereabouts produces this charade: “Um, I don’t know. Let me ask. They don’t know. I’m not certain who would know. Could you hold please?” And we never get an answer. That his office won’t say, coupled with the media’s strange incuriosity, points to a self-enforced news moratorium on where a fifth of US congress is spending the August recess: as guests of Israel and the most powerful DC lobby. It’s been reported that a record 81 members are on an all-expense-paid junket to Israel, but their identities are a closely guarded secret. The US TV audience can be let to see their representatives give standing ovations to the Israeli prime minister, but visit Israel? The media blackout would have you think there’s something wrong with that.

Middle East peace groups and Palestinian rights organizations have had to painstakingly gather the information from stray news reports out of Israel, or from congressional offices reluctant to let it be know. So far 45 names are known to be on this year’s junket. Doug Lamborn is not on the list, but his office probably has a lower self-respect threshold for playing dumb.

You’d think with the recent furor about calling Obama a Tar Baby, that the media would want to be calling Lamborn to the hot seat. Apparently not. All that’s said is that he hasn’t surfaced to meet with constituents, or give interviews. Last week Lamborn issued a press release unrelated to his recent trouble, probably preplanned, in collaboration with fellow Colorado Congressman Tipton. Tipton, by the way, is among the officeholders known to be in Israel.

Lamborn vacationing in Israel would not be a far-fetched possibility. He attended the junket in 2007 and since then has acted on Israel’s behest in lobbying to drop charges against an accused Israeli spy, in removing legislation which prevented the US from relocating its Tel Aviv Embassy to Jerusalem, and this Spring Lamborn was made co-chair of the Israel Allies Caucus.

What a damn missed opportunity to press them on contacting Tar Baby Lamborn. It would appear that keeping the congressional Israeli lobbying junket on the QT outweighs making Lamborn squirm on camera to explain his non-racist remark. Never mind complicating the issue. What’s a racist WASP doing in the land of Apartheid racism? Well, of course, they’re absolutely related. Oooh, terrible timing. And Lamborn’s a Christian Zionist, so he “likes” Jews, but come the end times, he won’t touch them either.

How is it American elected officials are allowed to behave as agents of a foreign government would be one question, but the more glaring one would be why it is the media is complicit in keeping citizens in the dark?

Partial list of 81 US congressmembers on Israel junket over August recess, according to MoveOver AIPAC

Gus Bilirakis R-9 FL
Mo Brooks R-5 AL
Anne Marie Buerkle R-25 NY
Eric Cantor R-7 VA
Russ Carnahan D-3 MO
Kathy Castor D-11 FL
Steve Chabot R-1 OH (went last month)
Judy Chu D-32 CA
David Cicilline D-1 RI
Yvette Clarke D-11 NY
Mark Critz D- 12 PA
Scott DesJarlais R- 4 TN
Bob Dold R-10 IL (unconfirmed)
Jeff Duncan R-3 SC
Blake Farenthold R-27 TX
Stephen Fincher R-8 TN
Mike Fitzpatrick R-8 PA
Chuck Fleischman R-3 TN
John Garamendi D-10 CA
Kay Granger R-12 TX
Michael Grimm NY-13
Janice Hahn D-36 CA
Jaime Herrera Buetler R-3 WA
Steny Hoyer D-5 MD
Jesse Jr. Jackson D-2 IL
Hank Johnson D-4 GA
Kevin McCarthy CA-22
Gwen Moore D-4 WI
Bill Owens D-23 NY
Steven Palazzo R-4 MS
Ed Perlmutter D-7 CO
Tom Price R-6 GA
Tom Reed R-29 NY
Peter Roskam R-6 IL
Dennis Ross R-12 FL
Loretta Sanchez D-47 CA
David Schweikert R-5 AZ
Terri Sewell D-7 AL (not confirmed)
Adam Smith D-9 WA
Steve Southerland R-2 FLA
Betty Sutton D-13 OH
Scott Tipton R-3 CO
Allen West R-22 FL
Frederica Wilson D-17 FL
Kevin Yoder R-3 KS