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© Copyright 2012, 2014 by Paul B. Skousen
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Except as permitted under the U.S. Copyright Act of 1976, no part of this publication may be reproduced, distributed, or transmitted in any form or by any means, or stored in a database or retrieval system, electronically or otherwise, or by use of a technology or retrieval system now known or to be invented, without the prior written permission of the author and publisher.
Published by:
Ensign Publishing Company
PO Box 298
Riverton, Utah 84065
Contact the author at [email protected]
Softback ISBN: 978-1630720728
Hardback ISBN: 978-0910558730
eBook ISBN: 978-0910558723
Cover illustration and design by Arnold Friberg, restored by Benjamin C. Skousen, additions by J. Rich Skousen,
First edition, paperback, red cover: July 2012
First edition, hardback, red cover: September 2012
Second edition, paperback, black cover: May 1, 2014
by Paul B. Skousen
The Ensign Publishing Company, Riverton, Utah
The Naked Socialist is the third in a series of books written to unmask the human combines of control and power that have labored for millennia to enslave others. The first two works, The Naked Communist (1958) and The Naked Capitalist (1970), by W. Cleon Skousen, dealt with the ugly aftermath of those forces in modern times. The Naked Socialist goes further, all the way back to the beginning, to explain in layman terms how elitist minorities have always managed to take charge over everybody else. It’s a modern phenomenon that began 6,000 years ago—and has failed to achieve its promised goals each and every time.
A wise man once said, “You will never hear the answer until you first ask the question.” The following information is intended to trigger a thousand questions so that the crucial answers will make sense, make a lasting impression, and make clear the way forward to restore freedom, prosperity, and lasting happiness. It is a wonderfully satisfying pursuit for freedom-lovers of all ages.
Ask anyone, what is socialism?
Ask an American what socialism is and the answer is usually an impatient shrug—“I think it’s a European idea where the government pays for a lot of regular things like utilities and health care.”
Ask a European what socialism is—“It’s a political party,” many will say. “They’re always promising to make the government pay for more things—it’s certainly better than your American way.”
Ask a former member of the USSR what socialism is and some will answer, “Do you mean that other word for communism? It was horrible—my grandparents were killed because of it, people starved, we were miserable, but today we’re more free and the government is paying for a lot of things. I’m not sure if that’s socialism, but it keeps us from starving.”
Ask someone in North Korea or Cuba or parts of China what socialism is, and they might be afraid to speak openly out of fear of being arrested or shot for criticizing the regime.
Socialism has so many meanings, people use it interchangeably with the ideas of compassion, fairness, and equality, or as the best alternative to “evil” capitalism. Or, as a system that provides affordable health care, utilities, mass transit, insurance, pollution control, etc.
Ask anybody, “what is socialism?” and the answers make it very clear that most people don’t know, probably don’t care, and seem content to live under its regimentation.
Missing in these hurried dismissals of socialism is this singular and critically important fact: socialism always destroys its host nation.
This study uncovers the ugly underside of socialism’s failure formula. It looks into socialism’s 6,000-year history to discover its common elements. As we’ll see, there are seven distinct and identifiable markers of socialism—seven shallow but affective ideas that consistently fail to serve the people or promote prosperity.
Once these seven bad ideas are identified and stripped of their deceit, propaganda, lies and false promises, then, quite suddenly, a way to climb out of today’s snarling maze of cultural and economic decline can easily be seen. It’s an amazing epiphany that pleasantly unfolds to students of freedom, to suddenly see the original U.S. Constitution in this new light and realize how elegantly and ingeniously it solved all the problems now facing America. And, how these same principles can guarantee freedom to all mankind.
Without using political or economic jargon, the reader is given the tools to correctly identify and explain why the best laid socialistic plans always go haywire. For example—
In 2010, President Barack Obama committed the American people to their first-ever national health-care program. He told them it was against the law to say no. If they did, they would have to pay a fine. At the same time, Greece, Portugal, Italy, Spain and other parts of the European Union were in the middle of massive financial meltdowns brought on by their own health-care and entitlement packages.
As we’ll explain, entitlement programs is socialism at work.
In 1787, the Founding Fathers sat uneasy while Alexander Hamilton paced back and forth at the U.S. Continental Congress. He spoke for five hours in support of a strong, all-powerful president and State executives appointed for life. About that same time, the European crowned monarchs watched with worry as discontented masses in France agitated for a proper way to remove their own “head” of state.
As we’ll explain, all-powerful rulers is socialism at work.
In 1607, the emaciated survivors of Jamestown’s first terrible winter looked at their scant food supply and the buried remains of 66 of their company who starved to death or were killed, and wondered what had gone wrong with their “ideal” colony. At the same time, far to the south, Jesuit Priests in Paraguay were leading thousands of natives into a life of such regimentation that the men and women wouldn’t even sleep together unless they were ordered to by their masters.
As we’ll explain, government regulation is socialism at work.
In A.D. 500, a widespread Christian heresy in Persia, the Mazdakians, won followers by calling for all things in common, including wives and women. So confused were the biological connections that some of the members didn’t even know their own children. Meanwhile, far to the east, Shang Yang in China was teaching a doctrine of how to make millions of working peasants mentally weak so they could be ruled with greater ease.
As we’ll explain, that, too, was socialism at work.
For more than a century, America has been adopting socialism by changing or ignoring its founding documents. As a result, the current generation is reaping financial wreckage, cultural upheaval and widespread despair on a scale of cataclysmic proportions.
Conditions are now dangerously ripe for replacing the substance of the Constitution with an inferior form of government. For a dozen decades the American people have allowed these corrupting ideas of socialism to swell within their ranks to the point that today the nation is on the very verge of crumbling to pieces, and teeters on the brink of ruin. The executioner of liberty is socialism, a massive red iceberg now cutting a fatal swath through the hull of the United States.
Only one thing will spare America from going over the European and Soviet cliff of bankruptcy and cultural collapse. The answer is in the pages that follow. Here, the reader may learn what socialism is, learn a proper definition, learn how to apply this understanding as a test to root out dangerous ideas forming in government, learn how socialism’s 6,000-year track record renders its founding ideas anathema to human progress, and learn how to save this nation. The reader learns to reject socialism not because he hates it, but because he understands it. Stripping away all pretenses, false promises and lies, explains the title, The Naked Socialist.
Great hope and energy comes from the study of freedom. It breathes encouragement and optimism into all things. Keeping that freedom alive requires some work, some awareness, and some action on the part of every person who lives under liberty’s umbrella of prosperity and protection. Our goal here is to help readers detect in their own lives how they might be supporting the noxious ideas of socialism, or thinking like a socialist. Once discovered, the way forward becomes bright, clear, and filled with hope.
PAUL B. SKOUSEN
Salt Lake City, Utah, September 17, 2013
The Naked Socialist may be divided into ten general sections for quick and organized study.
ONE: Indispensable Basics
For those in a hurry, the first 8 chapters tell what socialism is, what unalienable rights are, and why the two will always be in conflict. The seven pillars of socialism are introduced.
TWO: Socialism in History
There is nothing new to socialism. It has existed under different names since the dawn of human history. See examples in Chapters 9-34.
THREE: Religion
Are there any connections between socialism and Christianity or Islam? Was Jesus a socialist? Did the early Christians practice socialism? Find out in four short chapters, 35-38.
FOUR: The Miracle
Learn about the miracle that stopped socialism. Read how the Founders abolished all seven pillars of socialism with the Constitution. See Chapters 39-49.
FIVE: Revolution of the Socialists
Socialism-minded people seeking control over others have appeared in America’s history in the form of progressives, unions, religions, scholars, bad amendments, the Supreme Court, law schools, and more. See Chapters 50-66.
SIX: Welfare, 44 Pages
The last temptation of unrestrained government is to solidify power by offering welfare, national health care and other government services. See Chapters 67-74.
SEVEN: Money, 26 Pages
How does socialism finance itself? Read about national banks and the Federal Reserve and how these businesses took over Congress’s role as stewards over our money. See Chapters 75-79.
EIGHT: U.S. Presidents, 42 Pages
How did U.S. presidents inject socialism into America’s cultural heart and economy? See a brief sampling in Chapters 80-85.
NINE: World Socialism, 33 Pages
How are modern nations prospering or failing because of the influence of socialism in their midst? See a sampling in Chapters 86-90.
TEN: Restoring Freedom, 29 Pages
The hardest and most important question of all is “what can we do about the mess that socialism has created?” There is an answer, and it’s not as complicated as many might expect. See Chapters 91-92.
227 Quiz Questions
Several questions designed to help the reader learn how to recognize socialism are included at the end of each section.
The Seven Pillars of Socialism
Socialism stands atop seven pillars of control rooted in the power and authority of Ruler’s Law.
1. All-Powerful RULERS
2. Society Divided into CASTES or CLASSES
3. All Things in COMMON
4. All Things REGULATED
5. Compliance is FORCED
6. Control of INFORMATION
7. No Unalienable RIGHTS
Socialism: Government force to control and change society
Contents
The Seven Pillars of Socialism 11
Chapter 1: Socialism at Work 17
Chapter 2: The Eternal Conflict: Force Versus Choice 19
Chapter 4: What Is A Right? 28
Chapter 6: Using the “Eight Rights” As a Test 37
Chapter 7: The Appeal of Socialism 39
Chapter 8: Sample Fruits of Socialism 43
Part II--SOCIALISM IN ANCIENT HISTORY 49
Chapter 9: First There Was Force 50
Chapter 10: Ancient Sumer, the Earliest Socialists 51
Chapter 11: Pharaoh, the Demigod Socialist 55
Chapter 12: Nimrod, the Anti-God Socialist 58
Chapter 13: China: Dynasties of Socialism 60
Chapter 14: Assyrians: Ruthless, Blood-drenched Socialists 63
Part III--SOCIALISM IN CLASSICAL HISTORY 67
Chapter 15: Draco and His Draconian Ideas 68
Chapter 16: Sparta: Warrior Socialists 70
Chapter 17: Plato and His Republic 73
Chapter 18: India and the Caste 76
Chapter 19: Aristophanes: Socialist Ideas “In the Round” 78
Chapter 20: Rome’s Recipe: Bread & Circuses 80
Chapter 21: Israel and the Elusive Essenes 81
Chapter 22: China: Wang Mang, a Failed Socialist 82
Chapter 23: How Socialism Killed Rome 83
Part IV--SOCIALISM IN THE MIDDLE AGES 88
Chapter 24: Socialism and the Rise of Christianity 89
Chapter 25: Feudalism and Ruler’s Law 93
Chapter 26: Socialism in the Middle Ages 95
Chapter 27: Socialism and the Reformation 99
Chapter 28: Rise of the Guilds 105
Chapter 29: How the French “Revolutionized” Socialism 110
Part V--SOCIALISM IN THE AMERICAS 121
Chapter 30: Meanwhile, Over in the Americas . . . 122
Chapter 31: Incas: Model Socialists 123
Chapter 32: Jesuit Priests Socialize Paraguay 127
Chapter 33: Jamestown: Socializing the New World 129
Chapter 34: Plymouth: No Thanksgiving for Socialism 132
Part VI--SOCIALISM IN RELIGION 137
Chapter 35: Socialism in Religion 138
Chapter 36: Did the Early Christians Practice Communism? 149
Chapter 37: The Word That Can’t Be Defined 152
Chapter 38: Socialism Du Jour 155
Part VII--THE MIRACLE THAT STOPPED SOCIALISM 160
Chapter 39: The Miracle That Stopped Socialism 161
Chapter 40: Abolishing Pillar #1, “The Ruler” 165
Chapter 41: Abolishing Pillar #2, “The Caste” 173
Chapter 42: Abolishing Pillar #3, “All In Common” 175
Chapter 43: Abolishing Pillar #4, “All Things Regulated” 178
Chapter 44: Abolishing Pillar #5, “Force” 180
Chapter 45: Abolishing Pillar #6, “Information Control” 182
Chapter 46: Abolishing Pillar #7, “No Natural Rights” 184
Chapter 47: Founding Fathers Speak on Socialism 189
Chapter 48: “Old Fashioned”? 192
Part VIII--REVOLUTION OF THE SOCIALlSTS, Part: 1 195
Chapter 50: Conspiracy to Socialize America 196
Chapter 51: There’s Nothing Progressive about Progressives 197
Chapter 52: America’s First Progressive 199
Chapter 53: The Revolution of the Socialists 206
Chapter 54: Revolutionary: Ned Ludd 207
Chapter 55: Revolutionary: Unions and the King 208
Chapter 56: Revolutionary: Napoleon Bonaparte 209
Chapter 57: Revolutionary: Robert Owen 211
Part IX--REVOLUTION OF THE SOCIALISTS, Part: 2 214
Chapter 58: Revolutionary: Union Organizers 215
Chapter 59: Revolutionary: Religious Revivalists 222
Chapter 60: Revolutionary: The Thinkers 226
Chapter 61: Revolutionary: Top Ten Books 231
Part X--Revolution of the Socialists, Part: 3 235
Chapter 62: Revolutionary: Bad Amendments 236
Chapter 63: Revolutionary: U.S. Supreme Court 243
Chapter 64: Early Progressive Milestones 250
Chapter 65: Revolutionary: Law Schools 258
Chapter 66: Socialism Run Amok 261
Part XI--THE LAST TEMPTATION, PART 1: COMPULSORY CARE 263
Chapter 67: The Last Temptation: Compulsory Care 264
Chapter 68: Franklin Speaks ... 265
Chapter 69: Bastiat speaks ... 267
Chapter 70: The Twisted Roots of Modern Welfare 268
Chapter 71: Modern Welfare Born in Prussia 274
Chapter 72: The Roots of American Welfare 277
Part XII--THE LAST TEMPTATION, PART 2: HEALTH CARE 280
Chapter 73: Death by National Health Care 281
Chapter 74: Top Six Flaws of Universal Health Coverage 283
Part XIII--SOCIALIZING THE MONEY 296
Chapter 75: John Law’s Trillion Dollar Idea 297
Chapter 76: The Ruling Power of Central Banks 300
Chapter 77: Progressives Finally Get Their Central Bank 302
Chapter 78: Broken Promises of the Federal Reserve 306
Chapter 79: Forgotten Wedges of Socialism 309
Part XIV--SOCIALISM TODAY IN AMERICA 315
Chapter 80: Thinking Like a Socialist 316
Chapter 81: U.S. Presidents and Socialism 317
Chapter 82: U.S. Presidents and Socialism, continued 320
Chapter 83: U.S. Presidents and Socialism, continued 325
Chapter 84: U.S. Presidents and Socialism, continued 331
Chapter 85: U.S. Presidents and Socialism, conclusion 335
Part XV--SOCIALISM AROUND THE WORLD 344
Chapter 86: The Rise and Fall of Socialist Europe 345
Chapter 87: A Snapshot of World Socialism 350
Chapter 88: A Snapshot of World Socialism, continued 355
Chapter 89: A Snapshot of World Socialism, continued 359
Chapter 90: A Snapshot of World Socialism, conclusion 363
Part XVI--THE 46 GOALS OF SOCIALISM 370
Chapter 91: The 46 Goals of Socialism 371
Part XVII--THE PROPER ROLE OF GOVERNMENT 378
Chapter 92: The Proper Role of Government 379
Those who don’t understand socialism will always fall for it.
In 1985, this writer was a CIA intelligence officer on rotation to the White House Situation Room at the start of President Ronald Reagan’s second term. The Situation Room is in the West Wing, just down the stairs and around the corner from the Oval Office. It has undergone some changes over the years, but remains the most secure room in the White House, and for good reason.
Directly inside the door, past the small foyer and some offices, are the duty officers’ work stations—chairs, computers, phones, televisions and monitors. Toward the back is a little kitchen, the shredder, storage closets and a lot of communication gear. And immediately within those walls is another walled off section called the Conference Room, with seating for 10 around a highly-polished wooden table. This is where Reagan met with his top advisors—a sealed-off, private and secure location out of earshot from possible eavesdroppers.
The conference room has two entrances, and each is closed off with a sliding wooden door so that staffers cannot overhear the top- secret proceedings. In the event an urgent message must be delivered, or a late arrival doesn’t know which way to enter, the doors also have peepholes. Peering through the peepholes helped people navigate which door to open and enter, and which door to avoid.
The peepholes made it convenient for someone like me to stand outside and watch. I could see Reagan in action, always at the head of the table, facing my direction. Seated to either side was the vice president, the National Security Advisor, the head of the CIA, the Secretary of State, the Secretary of Defense, sometimes military leaders, and a few others as needed. They arrived with a clutch of papers and sat in thickly padded chairs. We put out a glass of ice water for each, a note pad, and made sure there was easy access to that roving jar of jelly-beans. Through the peephole I enjoyed watching the gesturing and emphatic declarations as they dealt with emergencies, sometimes arguing, other times laughing. It was exhilarating, it was exciting, it was history in the making.
At about this same time, the press started recycling an old harangue against Reagan that he was a detached president, too old for the job, sleepy, dozing through his meetings, not acting as a leader, and certainly a failure in a job that was, they said, way over his head.
Those rumors bothered me. I couldn’t imagine they were true, but they gave me reason to wonder. So, from that time forward, my visits to the peephole took on a new purpose: I decided to discover for myself if the man I was working for was the real Ronald Reagan.
For the first few weeks, I noticed that Reagan was indeed the silent observer. Most of the time he just sat there, hardly speaking, watching the proceedings like he was at a tennis match. He would look to those on the left side of the table, then to the right, then left, then right, rarely saying a word. I couldn’t help but wonder, were the rumors true? Why wasn’t he more actively engaged and giving orders, telling them what to do? Wasn’t he their boss, the president?
As it turned out, I simply didn’t know enough about the enemy that Reagan was battling to fully appreciate what was happening in that room. I didn’t know what I was watching through that peephole.
Today, however, these many years later, it has become exceptionally clear.
That was no detached president I watched, comfortably coasting or dozing or otherwise glad-handing his way through two terms. Reagan’s stone face of indifference was masking a master strategist at work. Behind that calm demeanor was a well-thought through and determined offense against an enemy intent on laying waste to all of the president’s best-laid plans.
The enemy in that room, and seated around that table, was woefully ill-defined, insidiously stealthy, and dangerously active. It manifested itself in subtle, almost imperceptible ways—as an attitude, an expectation, an assumption, a demand. I couldn’t see it, but Reagan did. It was something as old as history with a thousand names. And there it was, right before my very eyes, busily infesting the Reagan administration with its cheating lies.1 I didn’t know enough about it in 1985, but I later learned Reagan’s great enemy that stalked his closest advisors, infested his administration, and had seduced millions of other Americans and billions around the earth was that treacherously deceitful and artfully cunning materialization of mankind’s worst invention and most destructive power ever, a thing we call socialism.2
1 By January 1982, at least 32 senior advisors in the Reagan White House, plus 81 leaders throughout the executive branch, were identified as supporters of George H. W. Bush, or holdovers from President Jimmy Carter, or politically and philosophically opposed to Reagan’s positions and goals. See Conservative Digest, Vol. 8 No. 2, February 1982.
2 Socialism, from the Latin socialis (a comrade); first recorded in 1837 during a discussion between Robert Owen and Rev. J. H. Roebuck, Encyclopedia Britannica, 13th Edition, 1926.
Chapter 2: The Eternal Conflict: Force Versus Choice
For most people the word “socialism” conjures up two very different images in their minds.
1. Beautiful Promise: The first image is an abstract idea or dream; a hope, a utopian promise of a fair and simpler world, a longing for some rapturous path toward a different way of living—it is socialism of wishful thinking, of make believe, it is the socialism of the future.
2. The Regime: The second image is very concrete—an actual structure or formation of socialistic ideas in society, in a government, in a nation—it is real socialism, the harsh and brutal socialism of today.
Examples of both are everywhere. John Lennon’s enormously popular song, Imagine, illustrates the first idea—the beautiful promise of life under a perfect and peaceful future socialistic society.
“Imagine there’s no heaven,” Lennon proposed, “it’s easy if you try. No hell below us—above us only sky—imagine all the people—living for today ...”3
Living for today is a tricky proposition. It implies a life with no planning for the future, shirking responsibility, consuming instead of producing—a suggestion to eat, drink, and be merry, for tomorrow we die. It is the grasshopper ignoring the ant’s warning about the coming winter. To the untold millions of fans, Lennon’s words created hope for a pathway to a wonderfully new and better way of living.
Lennon’s tune also advanced his beautiful utopian idea of no countries, nothing for people to fight over, ”and no religion, too.”
No religion, no countries, no possessions, and no worries—what a great life. This wasn’t the first time such a suggestion was made. Lennon’s song was actually a lyrical retelling of the ancient teachings of Plato, Marx, Engels, and Mao. Lennon himself said his song was “virtually the Communist Manifesto, even though I am not particularly a communist and I do not belong to any movement.”4
The Second Idea of Socialism
Examples of the second idea—the actual concrete structure and formation of socialism—can be found in North Korea where malnutrition has stunted the growth of its children, where large ghost cities stand as empty mirages and facades to fool the world, where three million people starved to death in the mid-1990s because of their government’s stupefying policies, and where Dear Leader’s image flashes across television screens day and night, gushing the doctrine of Lenin while whistling the tune of Lennon.
Or, Cuba, where fifty years of socialism have produced a scourge of crime, corruption, prostitution, drugs, and white collar crime. Where the country has to rely on other socialist nations for such basics as food, medicine, and energy. Where the Castro regime and its successors use torture, arbitrary imprisonment, false trials, and executions to keep the population under control.
Or, Red China, where Mao’s great leap forward created a famine so intense that it killed at least 30 million people. On top of those dead, Mao heaped at least 40 million more in a purge to purify the formidable ranks of his loyal followers.
Or, the former USSR, where Stalin and his successors eventually killed more than 60 million people over seven miserable decades to establish a socialist state. Where the Soviets used international thuggery and bullying to threaten, steal, and fight their way to world prominence. Where its failure formula brought about the empire’s predictable collapse in the early 1990s, leaving its 15 republics buried in wreckage and still struggling for survival by 2014.
Or, the European Union, where the massive treasuries of the world’s mightiest trading partners, regulated under socialistic ideals, began imploding with uncontrollable spending, borrowing, and debt. By 2010, their circumstances were so desperate they made a last ditch attempt to rescue their excessive welfare entitlement programs with loans, bailouts, and austerity programs. Europe’s highly touted dream of “with socialism, we can do it better,” became painful proof that they couldn’t.
History has noted that after the socialists finally got control in their countries and took charge, their leaders had to kill at least 130 million people to establish their socialist forms of government. After America broke free from England, how many did its leaders kill to establish its form of government, its Constitutional Republic? None.
Such examples show that socialism in the “here and now” never achieves the beautiful promise, the dream, the pathway to a different life as suggested by Lennon’s Imagine. They also show that socialism is incapable of exerting innovation and creativity to solve any of society’s problems. Today’s socialists don’t know how to improve people’s lives. The only outcome that emerges from their abstract dream of “imagine all the people living for today” is the consolidation of power into the leaders, the creation of an upper class of elitists, the coronation of rulers who reap with force a rich harvest from the labors of the powerless masses, all in the name of fairness.
The Mechanics of Socialism
Socialists have just one main goal: putting themselves in charge.
There are two ways they achieve this. The first is to quickly wipe out an existing culture with a revolution or a civil war. And then? And then, Marx declared, “shall I stride through the wreckage a creator!”5 Marx truly believed he could recreate the world in his own image, but he died with nothing more than some bad ideas used later to justify killing people.
The second is by convincing the people to vote away protected rights, or at least refuse to challenge the loss of a right. From that process, those who claim to know best ultimately take final control.
Either way, the end goal of socialism remains the same: control.
The Seven Pillars of Socialism
There are seven goals or processes used to socialize a nation. Knowing what these are will forewarn wise people, and prepare them to recognize socialism as it develops so they may take preventative action. We call these characteristics the Seven Pillars of Socialism.
Pillar #1—ALL POWERFUL RULER. A ruler is quick to conquer the world but slow to conquer himself, and therein lies all the trouble. With a fistful of utopian plans, the new ruler feels empowered to change things his way. That is why the socialists’ first and most important goal is to enthrone their choice as the all-powerful ruler. This can be an individual or a group. The ruler operates according to Ruler’s Law (like a king) and will neither bow to the people’s will nor obey any written law. It is government by the ruler’s fancy and whim.
When the ruler begins ignoring existing law or a constitution to make his own laws, when he bypasses parliaments or any consortium of representatives and exerts powers he is not authorized to exert, and no one steps up to challenge or stop him, that is a dangerous sign that socialism has started and Pillar #1 is well underway.
Pillar #2—CASTES OR CLASSES. There are no rulers without slaves. Socialists claim they know best how to make society fair and equal, but as will be shown, just the opposite happens. Under socialism, society must be divided into classes. The upper class consists of party members who receive special privileges as a reward for their loyalty. The middle class is usually a massive bureaucracy of well-paid enforcers—an overlapping maze of rulers, guards and spies who are dispatched to all levels of society. At the bottom are the most abused and least privileged of all: the workers, the peasants, the serfs, the slaves.
When the government grants privileges to some classes and not to others (for example, giving financial advantages, legal benefits, bailouts, unequal tax breaks, or refusing to enforce laws equally), that is a sad sign that socialism has started and Pillar #2 is underway.
Pillar #3—THINGS IN COMMON. Basic socialist doctrine teaches that the ownership of property is the cause of all discord and envy. Therefore, they say, all things must be made equal. But that’s not all. Private ownership must eventually be eliminated altogether. Socialists are not consistent with how this part works. Some say a house and car may be privately owned, while others say they should be leased from the government for the duration of one’s job or life. In centuries past, this “commonality” has gone so far as having wives and children in common.
When the government imposes graduated taxes, nationalizes basic services, confiscates property for the common good, continually raises taxes, gives away entitlements, and invents other creative ways to take from the “haves” and give to the “have-nots,” this is a sign that socialism has started and Pillar #3 is underway.
Pillar #4—REGULATION. Total control requires total regulation. By issuing a regular stream of new laws and requirements, the Rulers control all economic activities and production. Too much broccoli? Reassign the acreage. Too many babies? Stop the pregnancies (see China’s one-child policy). Too many construction workers falling off ladders? Issue a ream of requirements on the proper manufacture and use of ladders. Too much wheat forcing prices down? Pay farmers to stop growing it so prices go up. People polluting the world at will and spoiling the view? Impose rules that drive polluters out of business and exercise eminent domain to confiscate real estate as protected sanctuaries. Bad unemployment numbers? Fire the statisticians and replace them with loyal messengers.
When government can impose laws without the legislature or the people involved, and sues States or other subordinated governments to get its way, that means socialism has started and Pillar #4 is heavily underway.
Pillar #5—FORCE. In socialism, all human activity is restrained or compelled to action with the use of force—penalties, fines, restrictions, “catch-22” laws, prison, and a multitude of fees and taxes. Under Ruler’s Law, supreme force must eventually centralize in the hands of the Rulers.
When government begins using force to violate basic rights of property, privacy, and the pursuit of happiness, and the people are powerless to stop it, then Pillar #5 is underway. When that force becomes deadly and the people are fearful of the government, they have landed on the expeditious path toward socialism through the fiery furnace of communism as advanced by Lenin, Stalin and Mao.
Pillar #6—INFORMATION CONTROL. Information is a powerful weapon for social control. It is used to win support from the masses, to teach them that the old way is bad and the new way is good, and to bolster claims that the regime is doing a good job. A regime will falsify economic data to sway decision-making in the regime’s favor. It perpetuates its hold on the culture by disseminating its messages through outlets it can control such as news sources, the media, entertainment outlets, textbooks and classroom discussions.
When a government separates the currency from precious metals to hide its true value, or dictates what news stories are broadcast, or mandates what textbooks are used in schools, or recasts numbers about job growth, unemployment, national output, international trade, etc., to its favor, then socialism has started and Pillar #6 is underway.
Pillar #7—VESTED RIGHTS. It is important for socialism’s success to eliminate any ideas about natural rights, to jeer and ridicule them out of existence. Only government-sanctioned rights may exist in a socialistic world. That way, the ruling body may withhold or redefine rights for the purpose of serving the needs of the selected classes at the expense of the others. Recent examples include the IRS targeting conservative groups to keep liberal factions in power; Argentina and Portugal confiscating billions in private pension funds to pay off government debts; the Islamic Brotherhood killing Christians in a genocide of religious purification; the Department of Justice refusing to prosecute certain criminals; the NSA committing unreasonable searches and seizures of electronic information and communications; and more.
When a government selectively protects some rights and ignores others, especially property rights, then socialism has started and Pillar #7 is underway.
Government Force to Control and Change Society
Socialists can’t agree on what they want. Most of them will defend one or several of the seven pillars as necessary evils to help humanity achieve its greatest capacities. They promise that the suffering and long wait for prosperity will all be worth it—someday.
Other socialists see it differently. They brag that the final outcome of socialism is an exciting unknown. They predict that when socialism is fully unleashed, mankind’s economic well-being will evolve naturally until society reaches a perfect harmony of balance, fairness and prosperity that is too fantastic to even imagine.
Whatever form or scheme the socialists choose to gain power and get their way, the best definition of socialism that emerges to describe its purposes, its mechanics, and its dreams, is this:
Socialism is government force to control and change society.
Governments need force, but the people need control.
One of the brilliant contributions by America’s Founding Fathers was a new way of looking at political power. Their idea can be illustrated with a yardstick serving as a scale, a sliding scale of political power. To the far left they put Ruler’s Law, or all political power—complete control. On the opposite end, to the far right, they put anarchy, or too little government power, no law, total anarchy, and mob rule—no control at all.
Where do the majority of governments fit on this sliding scale? Most are on the left side, the side of Ruler’s Law. That is because, for most of history, governments have used lethal force to violate human rights. These include communists, totalitarians, monarchists, fascists, socialists, dictators, emperors, chiefs, generals, Fabian-socialists, demagogs, tyrants, military juntas, social democrats, Christian socialists, parliamentary republicans, single-party governments, or any other form that denies the people their direct control over their government.
Governments that are too weak, or countries with no government at all, take a seat toward the right. This is mob rule. Examples include the shallow Articles of Confederation, the bloodthirsty mobs during the French revolution, the 20 years of no central government in Somalia, the anarchy and mob rule of a leaderless Egypt in 2013, etc. The Articles of Confederation came close to causing mob rule in America because its young government didn’t have enough force to maintain peace and order.
These weak regimes are examples of how too little power breeds chaos, lawlessness, loss of life, loss of property, destruction, and no means to stop people from warring with each other. The biggest mob always wins and the smaller mobs must acquiesce or be killed.
The perfect center or balancing point between all force and no force is difficult to achieve. The best solution ever invented is the U.S. Constitution. It gave Americans a carefully crafted system of bottom-to-top representation, checks and balances, and strict control over the government’s use of force.
The Constitution has not only protected the people’s unalienable rights, but it allowed for maximum expression of their freedoms inside a structure of brilliantly placed boundaries. These boundaries may be called liberty. You may have the freedom to swing your fist, but you’re not at liberty to hit my nose.
The Constitution provided the perfect balance between all force and no force. Its principles tapped into eternal laws that all other forms failed to embrace. It built the mightiest nation in history and spread its powerful ideas to help bring freedom to billions of others.
So, what is it about Ruler’s Law that creates so much discord and death and misery in the world? Why didn’t Ruler’s Law ever work?
Ruler’s Law has been the default form of government for billions of people over thousands of years. The Founding Fathers identified ten major elements of Ruler’s Law that were being wielded like a bludgeon in the hands of King George and his monarchial administration:6
1. Bully Tactics: Authority under Ruler’s Law is nearly always put in place by force, violence, and conquest.
2. Might Makes Right: All sovereign power is considered to be in the hands of the conquerors or their descendants.
3. Classes: The people are not treated equally, but are divided into classes, and are looked upon as subjects of the king.
4. No Private Property: The entire country is considered to be the property of the ruler who speaks of it as his “realm.”
5. Powerless Masses: The thrust of government power is from the top down, not from the people upward.
6. No Rights: The people have no unalienable rights. The king giveth and the king taketh away.
7. Flip-Floppers: Government is by the whims of the king not by the fixed rule of law. Rulers know that fixed law governs even the king. Therefore, a ruler must prevent and destroy written laws, constitutions, charters, or corpus juris laws that would interfere with his complete power and control.
8. Bench Rulings: The ruler issues edicts that are called “The Law,” and interprets the law whichever way best suits the ruler’s ultimate goals.
9. Adding New Masters: Problems are always solved by issuing more edicts or laws, setting up more bureaus, creating more regulatory agencies, swamping the people with a flood of regulations, and charging the people for these services by continually adding new taxes.
10. Rejecting Freedom: Freedom is never discussed as a solution. The rulers are afraid of the people—they’re afraid the people will take away the power. The rulers do what they can to make the people weak and fully dependent on government for everything.
Ruler’s Law always benefited the ruler and his supporters. The Founders declared that any ruler with kingly power had no place in human society, and no matter what controls were placed upon these leaders, that much power always corrupted them.
Didn’t the Bible promote kings? Deuteronomy tells of the Lord knowing that one day, Israel would demand a king. They would choose to abandon their open society of a theo-democracy, and willingly become subject to the arbitrary whims of a central and all-powerful authority figure.
The Lord knew that it was possible to have a righteous king provided he adhered to God’s law. A “good” king’s traits were outlined in Deuteronomy:7
1. Citizen—He must be a citizen of Israel and not a stranger.
2. Chosen—He should be a person whom “the Lord thy God shall choose.”
3. Circumspect—He should not “multiply horses” (build private armies) which was a common characteristic of heathen kings, especially the extravagant and war-making kings of Egypt.
4. Virtuous—The king was not to “multiply wives.”
5. Thrifty—The king was not to “multiply to himself silver and gold,” which would be at the expense of his people through taxes.
6. Wise—The task of the king was to be a great scholar, judge, general, and righteous policy maker. To do this, he was to have his own personal copy of the law, and he was to “read therein all the days of his life: that he may learn to fear the Lord his God, to keep all the words of this law and these statutes, to do them.” In other words, have a constitution, read it often, and rule accordingly.
Could a President Meet the Requirements?
The Founders labored long and hard to instill the Lord’s leadership requirements into the presidency so that America’s executive officer would meet this minimum expectation. As it turned out, very few presidents have measured up to the Lord’s requirements.
The Founders’ Intense Interest in People’s Law
The best alternative to Ruler’s Law and the hope of a Biblical king was a form of government called People’s Law. An early example of its success can be found in the leadership choices by Moses.
Exodus tells about Moses leading Israel—an estimated 600,000 families—from Egypt, sometime between 1490 B.C. and 1290 B.C. With the help of his father-in-law Jethro,8 Moses learned how to organize the Israelites under People’s Law.
Jethro advised Moses to organize the people into small manageable units where everyone had an elected representative, and a vote. He grouped them into families of tens, fifties, hundreds, and thousands, each with its own representative. At the very top Moses added a council of 70, similar to today’s U.S. Senate.9
This structure provided strong local self-government from the highest to the lowest levels of society. It allowed problems to be solved at the most logical level where personalities and local constraints were best known and understood.
If a local problem could not be solved among the ten families, their leader carried it to the leader of 50 families of which he was a part—and higher as needed. This process of appealing up the chain spared Moses from dealing with a million problems. Only the most severe issues ever reached his desk. “The hard cases they brought to Moses,” Exodus 18:26 says, “but every small matter they judged themselves.”
The Founders identified a number of principles from Moses’ experiences that led them to pinpoint the characteristics of good government under the natural principles of People’s Law—
1. Self-Government The people organized themselves to be self-governing, not servants of a king. They were jealous about their liberty. “Proclaim liberty throughout all the land,” Moses declared, “and unto all the inhabitants thereof.”10
2. Self-Policing: A strong code of virtue and morality was always taught and encouraged. This was a brilliant tactic for self-policing. If the people’s hearts were governed by themselves, they had no need for more masters to do it for them.
3. Free Elections: The adults were all organized into small units, with everyone having a voice in all matters, and a vote. All leadership was selected by consent of the people.11
4. Local Rule: Local government was strongly emphasized.
5. Gold Standard: Their money was reliable, based on gold and silver. They had a uniform system of weights and measures.12
6. Property: The land was the people’s, not the government’s.
7. Private Rights Are Sacred: Life and private property rights were protected for each lawful individual.
8. No Arbitrary Laws: All laws had to be approved by the people or their representatives before they were enacted.13
9. Fairness Under the Law: People were presumed innocent until proven guilty.14 Justice was based on giving reparations to the victim, not to the government.15
10. People in Control: The power of government originated with the will of the people upward. Only in times of crises, such as war, could the government exert power from the top down.
11. Written Law: The government had to comply with the written laws—a constitution. It could not make up laws or ignore certain laws of its choosing.
This carefully balanced system allowed the Israelites to transfer political power from one administration to the next without a massive uprising or bloodbath as was typical for other tyrannical cultures.
Anglo-Saxons Lived the Israelite System
A second example of a culture living under People’s Law is the Anglo-Saxons. When Thomas Jefferson first learned the Anglo-Saxons had practiced People’s Law, he was so excited that he decided to learn their language so he could read their original writings himself.
The Anglo-Saxons came from the Black Sea area in the first century B.C., and built settlements all across Northern Europe. They entered Britain around A.D. 450, at the behest of the king of Kent. Hengist and Horsa were the first, settling their families in the south to help guard the frontiers and borderlands. They multiplied, prospered, and eventually took over the island. They renamed the land Anglo-land, or Engle-land, or England.
The Anglo-Saxons embraced the Israelite’s form of government and practiced it for centuries with great success. Unfortunately, about A.D. 700-750, corruption crept in and eventually things fell apart.
Jefferson took these ancient ideas as a great breath of fresh air. He encouraged others to use these successful ideas in the new American government. “Are we not better for what we have hitherto abolished of the feudal system,” he wrote in 1776. “Has not every restitution of the ancient Saxon laws had happy effects? Is it not better now that we return at once into that happy system of our ancestors, the wisest and most perfect ever yet devised by the wit of man, as it stood before the eighth century?”16
Human history is thick with Ruler’s Law and the seven pillars of socialism. One of the reasons this mayhem has continued is because succeeding generations have failed to pass along knowledge about People’s Law and the universal gift of unalienable rights.
6 Excerpted from W. Cleon Skousen, The Five Thousand Year Leap, 2009, pp. 12-13.
7 See Deuteronomy 17:15-19.
8 See Exodus 18:13-26.
9 Number 11:16.
10 Leviticus 25:10, .
11 See 2 Samuel 2:4; 1 Chronicles 29:22; for the rejection of a leader, see 2 Chronicles 10:16.
12 See Deuteronomy 25:13-15.
13 Exodus 19:8.
14 For example, see the law of witnesses, Deuteronomy 19:15, and 24:3.
15 See references to this process in Exodus 21 and 22. There could be no “satisfaction” for first-degree murder. The killer had to be executed. Numbers 35:31.
16 Julian P. Boyd, editor, The Papers of Thomas Jefferson, 1:492.
There are two kinds of rights—one is eternal, the other is temporary.
To understand socialism is to first understand human rights.
A “right” is a legal or ethical entitlement. The Founding Fathers identified two basic rights: (1) those vested by the government, and (2) those natural or unalienable rights that are gifts from the Creator. Many people confuse the two, thinking that some parts of life are simply theirs because, well, because it’s their right.
Vested rights are granted by the government. They can be revoked as easily as they are granted. That doesn’t automatically make vested rights bad. Quite the contrary, they serve many important purposes.
Vested rights include the right to operate a car, build a house, patent an idea, drive on a road, practice medicine, cross borders, participate in health insurance, buy a piece of ground, copyright music, sell paintings, start a business, go fishing, etc.
Vested rights are the rules that allow people to participate and interact together without killing each other in the process. If certain rules and regulations are not met, the people empower the government to revoke the vested rights and punish or imprison the violator in order to keep the peace.
To a socialist’s way of thinking, all rights are given by the government for precisely that purpose—to revoke them as the case may be. For example, when the Bolsheviks took power in Russia beginning in 1917, one of the first unalienable rights to be converted to a vested right, and then cancelled in one fell swoop, was the right to property. The Bolsheviks issued a land decree, one of 190 issued in the first six months, that ordered there could be no private ownership of land. Land could not be sold, leased or mortgaged, and eventually, all private land was confiscated by the government.
Natural Rights Have Three Parts
On the other hand, natural rights, or unalienable rights, are universal and established by the Creator. Every person is born with them, and they may not be revoked or legislated away. They frequently are revoked, but governments have no moral authority to do so. The struggle for freedom is the struggle to exercise unalienable rights.
An unalienable right has three parts.
1. It is universal. It applies equally to every living soul.
2. It imposes no obligation on another person. It doesn’t infringe on the rights of other people or impose on them.
3. It carries the duty to use that right respectfully. Rights must not be misused to harm others except in the defense of moral law.
Therefore, health care is not a natural right because it imposes on doctors, nurses, pharmaceutical manufacturers, etc. For that imposition, people compensate by paying a fee to get the services. If a person can’t pay, the provider is not obligated to provide a thing—at least, not in a free country. When health-care providers receive payment, they are motivated to continue providing the service.
If one person imposes on another, there must be compensation of some kind. It is a person’s unalienable right to be compensated, as described next.
The Eight Rights
There are eight basic unalienable rights or categories of rights. All eight are necessary for freedom. Remove any one of them, and the remainder quickly fall. Socialism cannot take control of a society where these personal rights are protected.
Right #1—Independent individuals.
The individual human being is the smallest minority, the single most important entity upon which all else is created, built, and focused. The individual is a sovereign, self-standing unit of creation with unalienable rights to his own life. Individuals are not born as commodities to be consumed by society—it is society that is built upon the independent individual. To protect society, first protect the individual.17
Socialism degrades the independent human to an anonymous, faceless insect dependent on the edicts of the community to survive. That is why communist leaders care so little about human life: What’s a million dead if it helps the 100 million stay alive?
By definition, an independent entity has free will—he or she is capable of making choices.18 Choosing wisely or foolishly is a measure of a person’s level of experience and ability to judge. There are always consequences for choices, and avoiding negative consequences is everyone’s constant challenge. Incentives play an important role in making choices, and the responsibility attached to this right is to never make choices that violate the same moral rights of others.
Under socialism, all choices are controlled so that they will benefit the rulers and keep the people’s will checked and under control.
Property is the defining attribute of existence. A person’s body is his or her first piece of wholly owned and controlled property. A person must work to support his existence, and that labor produces private property. Deny people their property, and you deny them their lives.19
Without property, there can be no freedom. Private property is how individuals express their choices.20 People who are denied their property are called slaves—or ghosts.
Socialists believe property is the root of all human problems. They deny people the freedom to own property, and claim it for themselves, to distribute according to their wise and wonderful plan of equality and fairness.
Freedom of association means that people may join together with others who share common interests to promote, defend, study, and express those interests without interference from the state or anyone else. The Founders believed this freedom was the strongest prevention of centralized power.21
Socialists won’t allow unauthorized meetings because discontent and rebellion can grow and overthrow the rulers. Groups must be tightly watched and controlled in a socialist society.
All humans are endowed with the same set of entitlements or rights.22 These are natural rights common to all and may not be arbitrarily violated except in consequence of criminal activity.
Equal rights must not be confused with equal opportunity, equal outcome, or equal things. Opportunities are not equal for everyone, and the outcome or fruits of labor are never guaranteed.
The socialists promise equal things for all, but this is impossible in every way, although it sounds alluring and many fall for it.
The right of self-defense is the unalienable right to defend your own life and property, or that of other people.
This includes the right to use deadly force, to use legal procedures such as a law suit, to express an opinion in a public forum, to use legal representation in the presence of a judge and jury, to use a gun or other weapon, or to use a militia or military power.23
Socialism must deny the right of defense because it allows a person to act in opposition to the rulers, to insist on private choice to protect his or her rights defensively, to raise a rebellion against a dictator—or, to question the declarations of the rulers and to disobey their unlawful writs and rules. Socialist strive to remove all means of self-defense from the people as a means to stay in control.
Compassion is the cornerstone of human action. It separates humans from animals. It encourages cooperation and prosperity. Compassion serves to correct flaws in society and allow for progress in spite of human frailties and failings. Compassion is the gentle equalizer of human imperfections.24
Socialism destroys compassion by forcing people to pay welfare by taking more taxes, and people naturally avoid taxes at all costs. This is not compassion. People forced to pay for welfare eventually turn their backs on those in need, thinking that some agency or shelter will “handle it.” Forced compassion is slavery. It dulls people’s sense of caring for others. Without compassion people become as animals, willingly sacrificing the lives of others just to get ahead.
Real freedom means the freedom to fail. Failure is life’s greatest teacher—it exposes weaknesses for repair. Failure is unforgiving. It exacts a price that can be costly. Sometimes, a person pays with his life to learn that some things are dangerous, risky, or foolish.
Failure is a necessary part of innovation and creation. It teaches people tenacity and perseverance. It encourages invention and cooperation, patience and understanding. It can be discouraging, painful, frustrating, and costly—but it teaches, and therefore, advances society. It is an unalienable right to fall flat on our faces.25
Socialism seeks to eliminate failure by building safety nets at every level of society. It answers the call of pain and misery with massive tax-funded supports. These government-supplied safety nets always thwart the natural consequences of life. Nothing is permanently advanced by this—a class of dependency is created, and no economy in the world can sustain entitlements for very many decades before running out of money, creativity, and bailouts.
“The Individual Has Reigned Long Enough”
Protected individual rights prevent the rulers from abusing the ruled. For centuries the socialists have been calling for abolishing protected individual rights, calling them outmoded, ineffective, selfish, greedy, rudely self-centered, and harmful to everybody else. Such name calling is the socialists’ attempt to remove the last and strongest obstacle standing in their way of total control.
By eliminating the individual, a new society is created, a society of the anonymous human being. An important tool for destroying individual rights and promoting “group-think” is to deploy the clever abuse of one of mankind’s most basic generators of conflict: Envy.
17 4th Amendment, “...secure in their persons...”; Declaration of Independence, “...all Men are created equal ... unalienable rights, that among these are Life, Liberty, and the Pursuit of Happiness...”; see Virginia Declaration of Rights, June 12, 1776.
18 Declaration of Independence, “...certain unalienable rights ... the Pursuit of Happiness ...”
19 4th Amendment, “...secure in their persons, houses, papers, and effects ...”; 5th Amendment, “...without due process ... without just compensation.” 14th Amendment, “...nor shall any State deprive ... property ... nor deny ... equal protection of the laws.”
20 Some scholars postulate that Thomas Jefferson adopted a phrase from the Virginia Constitution (1776) that read “acquiring and possessing property, and pursuing and obtaining happiness and safety” and condensed it to “the pursuit of happiness.”
21 1st Amendment, “...peaceably to assemble...”; 14th Amendment, no abridging of privileges.
22 Declaration of Independence, “...all men are created equal ...”; 14th Amendment, equal protection of the laws; Alex. Hamilton, inequality will exist under liberty, Papers of, 4:218.
23 1st Amendment, right to petition government; 2nd Amendment, right to bear arms; 5th Amendment, rights in court; 6th Amendment, right to counsel; 7th Amendment, trial by jury.
24 Godly acts of service are often encouraged by religion, protected in the 1st Amendment.
25 To succeed or to fail is the natural outcome of the Declarations’s “pursuit of happiness.”
26 Attributed to G. Brock Chisholm, co-founder of the World Federation of Mental Health.
27 Karl Marx, The German Theology, International Publishers, 1970, p. 121
28 Herbert Marcuse, Eros and Civilization. A philosophical Inquiry into Freud, Routledge & Kegan Paul Ltd., England, 1956, p. 57.
29 Jean-Paul Sartre, The Right to Rebel, Ph. Gavi, Satre, P. Victor, Paris, 1974, pp. 170-171.
30 Louis Baudin, Daily Life of the Incas, Paris, 2003, pp. 135-136.
31 Dom Deschamps, La Verite ou le Veritable Systeme, Moscow, 1973, p. 176.
32 Ibid., p. 503.
33 Lester F. Ward, “Sociocracy,” American Thought: Civil War to World War I, pp. 113-114.
Force is the lazy’s man’s shortcut, envy is his rationale.
Socialism is a blatant contradiction. It sets out to accuse the world of inequality, injustice, and lack of freedom. Yet history shows, once socialism is put in place, it imposes a far greater inequality, injustice, and lack of freedom than that which existed before—all in the name of fairness.
To achieve fairness, socialists must crush the human attributes that create inequality. One way they achieve this is by appealing to the most base and common human weaknesses of envy and force—an appeal to the primitive state that smothers the highest ideals, the most sophisticated and multifaceted human qualities of choice, compassion, and innovation. The philosopher John Locke said these positive qualities that envy sets out to destroy are actually a reflection of the very attributes of God.34
Sticks and Stones Will Break My Bones ...
Calling on envy to justify force is an easy sell for most people. Envy appeals to the brutish attributes of the “natural man.” Stirring up feelings of greed, envy, jealousy, and arrogance is the socialist’s main tool for proselytizing.
Stirring up Envy—Hillary Clinton: “The rich are not paying their fair share in any issue.”35
Stirring up Envy—Barack Obama: “I think when you spread the wealth around, it’s good for everybody.”36
Stirring up Envy—Barack Obama: “If you’ve got a business, you didn’t build that, somebody else made that happen.”37
Stirring up Envy—Barack Obama: “It’s not that I want to punish your success, I just want to make sure that everybody who is behind you, that they’ve got a chance at success too.”38
Stirring up Envy—Hillary Clinton: “Too many people have made too much money off of eliminating opportunities for caring for people instead of expanding those.”39
Stirring up Envy—Franklin D. Roosevelt: “Not only our future economic soundness but the very soundness of our democratic institutions depends on the determination of our government to give employment to idle men.”40
Stirring up Envy—Howard Dean: “We know that no one person can succeed unless everybody else succeeds.”41
Stirring up Envy—Michelle Obama: “The truth is, in order to get things like universal health care and a revamped education system, then someone is going to have to give up a piece of their pie so that someone else can have more.”42
Forgotten and Left Out
These statements appeal to the envious side of the “have-nots.” It tells the “have-nots” that their place in life is not their fault, not their doing, and not their responsibility. To fix it, to make things fair, to satiate the demands of envy, the socialists use government force. Only government force lets them control society so they can take from the real producers, the “haves,” and give unearned riches and benefits to the “have-nots.” It’s all about government force.
Threatening Force—Maxine Waters: “And guess what this liberal will be all about? This liberal will be all about socializing—uh, uh-um—will be about ... basically ... taking over and the government, running all of your companies.”43
Threatening Force—Joe Biden: “You know we’re going to control the insurance companies.”44
Threatening Force—Jim Moran: “Because we have been guided by a Republican administration who believes in the simplistic notion that people who have wealth are entitled to keep it and they have an antipathy to our means of redistributing wealth.”45
Threatening Force—Bill Clinton: [Speaking about crime-ridden slum areas] “A lot of people say there’s too much personal freedom. When personal freedom’s being abused, you have to move to limit it.”46
Threatening Force—Bill Clinton: “If the personal freedoms guaranteed by the Constitution inhibit the government’s ability to govern the people, we should look to limit those guarantees.”47
Threatening Force—Hillary Clinton: “We’re going to take things away from you on behalf of the common good.”48
Threatening Force—John Dingell: “The harsh fact of the matter is when you’re passing legislation [national health care] that will cover 300 million American people in different ways, it takes a long time to do the necessary administrative steps that have to be taken to put the legislation together to control the people.”49
Threatening Force—Barack Obama: “I do think at a certain point you’ve made enough money.”50
Threatening Force—Jan Schakowsky: “You don’t deserve to keep all of it [private money] and it’s not a question of deserving because what government is, is those things that we decide to do together.”51
Threatening Force—Steven Chu, U.S. Secretary of Energy, on banning incandescent light bulbs: “We are taking away a choice that continues to let people waste their own money.”52
Threatening Force—Steven Chu on forcing Americans to buy fuel efficient cars and move closer to work: “Somehow we have to figure out how to boost the price of gasoline to the levels in Europe.”53
Threatening Force—Cass Sunstein, Administrator of the White House Office of Information and Regulatory Affairs, on forcing a ban on eating meat: “Somewhat more broadly, I will suggest that animals should be permitted to bring suit, with human beings as their representatives, to prevent violations of current law.”54
According to the socialists, force is a necessary evil for the simple reason that people are more interested in their own pursuits than the needs of the whole. Therefore, people must be forced to care for the whole, they must be forced into socialism. Consider a few of the instances where the freedom to choose has been replaced by government force disguised as legitimate uses of the legislative process—
What’s Wrong With That?
In the opinion of many millions, the above list makes good sense. Why not use government resources for these purposes? It’s worked so far, hasn’t it?
The Founders understood that granting government the power to meddle in private life, to the extent listed above, is a two-edged sword. Government is a fearful master, George Washington warned, and when given too much power, it will turn quickly on its own supporters and force on them somebody’s idea of “good” whether the population approves of it or not. The Founders wanted the decisions about “good” left to the states, where the people could exert tighter control on the use of force, and adjust the laws according to their individual needs and populations.
For example, suppose the regime in power is opposed to eating meat. They declare that cruelty to animals exists at all stages of the meat production process. They say every aspect of the meat industry contributes to greenhouse gases and global warming.55 They supply charts and statistics and a multitude of studies proving hundreds of negative impacts on personal health.
The coup de gras comes when a host of government experts provide an estimate of meat’s impact on people’s arteries, and likewise, on the country’s insurance and health-care system. The only viable solution, they say, is to reduce consumption of meat by imposing crippling higher taxes at every level—from the rancher’s grazing fields, to the butcher, and finally to the restaurant.
This fictitious scenario is not that far from reality. In 2013, Sweden’s Agricultural Board proposed a tax on meat because meat production uses a lot of resources.56 Australia imposed a carbon tax on meat producers in 2012, forcing businesses to pay $23 per ton of meat for their CO2 emissions. One plant alone was bracing for an additional $2 million a year in new costs.57 And, like all other movements to control people and force them to change, information control plays the key roll. In 2012, for example, a report in the U.K. declared that if everyone changed to a vegetarian or vegan diet, the U.K.’s greenhouse gas emissions could be cut in half.58 Excluded from these government mandates is any consideration for private innovation, free-market solutions, or freedom to deal with such issues outside of government intrusion.
Other examples of government force are taxes or fines to reduce alcohol and tobacco use, to force people to wear helmets and seat belts, taxes to reduce use of tanning salons, and an attempt in New York to restrict sizes of drinks to 16 liquid ounce servings.
Along the same lines of “government must fix all bad choices,” a few states have taken up the responsibility of controlling obesity among their numbers. As poorly crafted as those laws are, at least they are on the state level where the population has more direct control. But on the federal level, the original U.S. Constitution prohibited Congress from such activities, or from extracting taxes for such purposes (see Article 1.8). Yet, the federal government continually does things like this anyway, ignoring the Constitution.
34 John Locke, An Essay Concerning Human Understanding, Chapter X, “Of our Knowledge of the Existence of a God,” see The Great Books, pp. 349-354.
35 Hillary Clinton, remarks at the Brookings Institution, FOX News, May 28, 2010.
36 October 14, 2008, said to Joe “the Plumber” Wurzelbacher at a rally in Holland, Ohio.
37 July 13, 2012, The White House, Office of the Press Secretary
38 Op. cit., Joe “the Plumber” rally.
39 Quoted in Stephen Chapman, The Chicago Tribune, May 30, 1993.
40 Franklin D. Roosevelt, fire side chat, 1938.
41 Howard Dean, religious conference in Washington D.C., June 27, 2006.
42 Michelle Obama, April 8, 2008, as quoted in the Charlotte Observer, April 9, 2008.
43 Maxine Waters, televised hearing on May 22, 2008.
44 Joe Biden interview on ABC News, May 18, 2010.
45 Congressman Jim Moran (D-VA), comments recorded November 10, 2008, and rebroadcast on The O’Reilly Factor, FOX News, November 14, 2008.
46 Bill Clinton, Interview on MTV’s “Enough is Enough,” April 19, 1994.
47 Bill Clinton, August 12, 1993.
48 Hillary Clinton, quoted in Associated Press: “San Francisco rolls out the red carpet for the Clintons,” by Beth Fouhy, June 29, 2004.
49 Congressman John Dingell (D-MI), comment on Chicago radio WJR, hosted by Paul W. Smith, aired March 23, 2010.
50 Barack Obama, comment on Wall Street reform, Quincy, Ill, April 29, 2010.
51 Congresswoman Jan Schakowsky (D-IL); see transcript at http://www.wlsam.com.
52 Steven Chu, “New Flare-Up in Light-Bulb Wars,” Wall Street Journal, July 9, 2011.
53 “Times Tough for Energy Overhaul,” Wall Street Journal, December 12, 2008.
54 Cass Sunstein, Animal Rights: Current Debates and New Directions, Oxford University Press, 2004, p. 252.
55 The 2006 U.N. Food and Agriculture Organization says meat production contributes 14-22 percent of the world’s annual 36 billion tons of “CO2-equivalent” greenhouse gases.
56 Susan Jones, Sweden Mulls Carbon Tax on Meat to Reduce Emissions, CNSnews, January 22, 2013.
57 Jon Condon, Carbon Tax’s Insidious Impact Already Being Seen, Beef Central
58 Research Reveals the True Cost of a Burger, Science Daily, February 14, 2012.
Chapter 6: Using the “Eight Rights” As a Test
How may a person detect socialism without being an expert?
Every action by a government may be tested for principled behavior by asking this simple question: Does the new law violate an unalienable right? If it does, that law is bad for a nation, and will lead to difficulties as time passes. Such laws should be challenged immediately.
For example, the U.S. adopted national health care in 2010. Going down the list of eight rights and applying each to the new health-care law will help frame the act as being something wonderfully liberating, or something arduous and despotic—
Right #1—Independent individuals. Does national health care protect my right to be independent, and beholden to no one? No, it forces me into a class of dependency on the government.
Right #2—Choice. Does national health care protect my right to choose? No, it forces me to accept the government’s decisions about providers, levels of care, facilities, options, etc.
Right #3—Property. Does national health care protect my property rights? No, it forces me to surrender private property (taxes) to support what the government orders me to support—not what I choose.
Right #4—Association. Does national health care protect my right to associate? No, it violates my right to associate with my choice of doctor or health-care facility.
Right #5—Equality. Does national health care protect everyone equally? No, not everyone is covered, and some people may opt out for various reasons. Others with political connections, such as Congress, are granted waivers and exemptions. It forces the “haves” to pay more so that the “have-nots” can have health-care coverage. This is classical socialism at work, and it always destroys its host.
Right #6—Defense. Does national health care protect my right to defend myself against this imposition? No.
Right #7—Compassion. Does national health care protect my right to practice compassion? Not for some. Higher taxes will undermine philanthropic donations, and prevent doctors and nurses from volunteering their services because of regulations, constraints, allocation of resources, and use of personal time, among other impositions.
Right #8—FAILURE. Does national health care protect my freedom to fail? No. Government health care installs a safety net. It creates the mind-set in people that “society owes me.” It ruins people’s motivation to change their lives, to work so they can afford private health-care services, or live so they don’t fall to illness, or to self-treat themselves before spending funds to see the doctor. Those are basic acts of personal responsibility that are destroyed by free or coerced national health care. In addition, medical practitioners lose motivation to be more efficient, to be more cost effective, and to be more innovative. The quality of care and the excitement to invent always suffer when a powerful profit motive is removed.
By asking the preceding eight questions, a person may gain a quick understanding about any government act, and learn which of the unalienable rights are being violated. This equips an individual to better consider, Is this good or bad? To the socialists, government control is always good. They never entertain freedom as a possible solution. They promise fairness, but national health care isn’t about equal rights or helping the needy or fairness. It is, and always has been, about control.
Chapter 7: The Appeal of Socialism
How could a great scientist or anyone with so much education fall for socialism?
The appeal of socialism is not just the many things that socialists are against (unfairness, inequality, etc.) but is also about those things for which they stand, the things they promise.
Throughout history there has been a class of certain educated individuals who believe that direct control over individuals and human nature is the sure path to peace and prosperity. Those who have not delved into the history of such control don’t realize it won’t work, it hasn’t worked, and by its very nature, it can never work. Nevertheless, socialism’s many promises are deliciously tempting—
Q. Can I stop worrying about my future?
A. Yes, socialism covers everything. “Under capitalism and the previous systems,” says the Socialist Party of Canada, “people have good reason to worry about tomorrow—they can lose their jobs, or be injured, or grow old, and need a cushion of wealth to fall back on. In a socialist society, everyone is entitled to have their needs met. They won’t be kicked out onto the street, or forced to give up the pleasures of life. There will be no poverty. The ‘cushion’ will be cooperatively provided by all.”59
Q. My bosses are rich, is that fair?
A. No, and socialism will make it fair. “The vast majority of workers are not paid according to the full value of what they produce,” The Marxist Encyclopedia declares. “If all workers in a workplace were paid this full value, then the boss would have nothing to survive on, since labour is the source of all value!”60
Q. What if I want a house but can’t afford one?
A. You get one anyway. “Houses and flats would be rent-free,” says The World Socialist Party, “with heating, lighting and water supplied free of charge. Transport, communications, health care, education, restaurants and laundries would be organized as free public services. There would be no admission charge to theatres, cinemas, museums, parks, libraries and other places of entertainment and recreation. The best term to describe this key social relationship of socialist society is free access, as it emphasizes the fact that in socialism it would be the individual who would decide what his or her individual needs were.”61
Q. I’m poor, I need food and a cell phone, can you help?
A. Don’t worry, it’s no longer about money. “In socialism,” the World Socialist Party says, “people would obtain the food, clothes and other articles they needed for their personal consumption by going into a distribution center and taking what they needed without having to hand over either money or consumption vouchers.”62
Q. May I still buy things?
A. Stop thinking in terms of “market”! The Socialist Party of Great Britain explains: “In a socialist society there will be no market, no buying and selling, and no money. Exchange can have no function where everything belongs to everyone. All people will have free access to the goods and services available.”63
Q. Can I just walk in and get a flat-screen TV and baby food?
A. Of course! It’s easy. “In a socialist society, there will be no money and no barter,” says WorldSocialism.org. “Goods will be voluntarily produced, and services voluntarily supplied to meet people’s needs. People will freely take the things they need.” 64
Q. Can I take all I want from the stores?
A. Well ... only according to your needs, or else we run out. The Socialist Party of Canada explains, “People are different and have different needs. Some needs will be more expensive (in terms of resources and labour needed to satisfy them) than others.”65
Q. What if people want too much?
A. Then it won’t work. WorldSocialism.org explains that “In a socialist society ‘too much’ can only mean ‘more than is sustainably produced.’ If people decide that they (individually and as a society) need to over-consume then socialism cannot possibly work.”66
Q. Am I forced to participate?
A. It’s voluntary. The World Socialist Party says, “Work in socialist society could only be voluntary since there would be no group or organization in a position to force people to work against their will.”67
Q. What if I don’t want to go to work?
A. You must work, but you don’t have to. “People will have to work, but it will be voluntary,” says WorldSocialism.org. “If people didn’t work society would obviously fall apart. To establish socialism the vast majority must consciously decide that they want socialism and that they are prepared to work in socialist society.”68
Q. Yes, but really, am I forced or not?
A. Well, on second thought... Super-socialist George Bernard Shaw takes exception to the World Socialist Party: “You would be forcibly fed, clothed, lodged, taught, and employed whether you liked it or not,” Shaw wrote in 1928. “If it were discovered that you had not character and industry enough to be worth all this trouble, you might possibly be executed in a kindly manner; but whilst you were permitted to live you would have to live well.”69 [Was Shaw joking? In the decades after his statement was made, the USSR and China killed an estimated 130 million people to force socialism and communism on all their citizens, especially on all those who resisted it.]
Q. Is it wrong to want things under socialism?
A. Only if it somehow hurts others. The World Socialist Movement says, “Socialism will be a society in which satisfying an individual’s self interest is the result of satisfying everyone’s needs. It is enlightened self-interest.”70
Q. What if I don’t want my neighbor’s cows?
A. They’re yours anyway. Paul Hubert Casselman says in the Labor Dictionary that “[Socialism is] an economic theory which holds that ownership of property should be in the group and not in the individuals who make up the group. Collectivism may be partial or complete.”71
Q. May I stake a claim and be on my own?
A. No, we’re in this together. “[Socialism] therefore aims at the reorganization of Society,” says Anne Fremantle, “by the emancipation of Land and Industrial Capital from individual ownership, and the vesting in them in the community for the general benefit ... for the transfer to the community ... of all such industries as can be conducted socially.”72
Q. Can I still save a little to get ahead?
A. No, it’s no longer about you. Norman Thomas said, “[Socialism is] control of economic processes for human use rather than for individual profit.”73
Q. Does socialism free me from religion?
A. Yes, a glorious freedom. “Religion is the sigh of the oppressed creature,” Karl Marx said, “the sentiment of a heartless world, as it is the spirit of spiritless conditions. It is the opium of the people.”74
Q. Doesn’t religion ensure a peaceful, calm society?
A. No, that is an illusion said Karl Marx: “The democratic concept of man is false, because it is Christian. The democratic concept holds that ... each man is a sovereign being. This is the illusion, dream, and postulate of Christianity.”75
Q. Will the government still persecute me?
A. No, there will be no government. “The state, then, is ... simply a product of society at a certain stage of evolution,” Friedrich Engels said. “It is the confession that this society has become hopelessly divided against itself, has entangled itself in irreconcilable contradictions which it is powerless to banish.”76
Q. Does socialism free me from the Bible?
A. Yes, it will free you at last. “With him (the communist) the end justifies the means,” said William Z. Foster, an avowed communist. “Whether his tactics be ‘legal’ or ‘moral’ or not, does not concern him, so long as they are effective. He knows that the laws as well as the current code of morals are made by his mortal enemies . . . Consequently, he ignores them insofar as he is able, and it suits his purposes. He proposed to develop, regardless of capitalist conceptions of ‘legality,’ ‘fairness,’ ‘right,’ etc., a greater power than his capitalist enemies have . . .”77
Vladimir Lenin summarized it: “We say that our morality is wholly subordinated to the interest of the class-struggle of the proletariat.”78
Friedrich Engels concluded that, “We therefore reject every attempt to impose on us any moral dogma whatever . . .”79
Q. What does Einstein think about socialism?
A. He likes it. “A planned economy, which adjusts production to the needs of the community,” Albert Einstein explained, “would distribute the work to be done among all those able to work and would guarantee a livelihood to every man, woman, and child.”80
Q. Could I be arrested for stealing?
A. There’s no such thing as ‘stealing.’ Engels wrote that the Ten Commandments, in particular, #8 “Thou Shalt Not Steal” and #10 “Thou Shalt Not Covet,” were examples of the exploiters forcing respect for private property onto the masses. “Thou shalt not steal,” Engels said. “Does this law thereby become an eternal moral law? By no means.”81
Q. Are unions part of socialism?
A. Yes, a union is democracy in the workplace—one worker, one vote, regardless of who owns the business. The Marxist Encyclopedia answers: “The vast majority of workers in the world are over-worked: required to put in more hours than is socially necessary in order to create profits. ... Unions can force the boss to hire more workers, instead of constantly increasing the burdens on existing employees. The union can also ensure that in emergency cases where someone must work over time, they are fairly compensated for (contrary to popular understanding—overtime compensation is compulsory only for unskilled workers in a handful of countries).”82
Q. Will there be any state, province, or national borders?
A. Not any more. “According to its basic principles,” socialist Eric Fromm said, “the aim of socialism is the abolition of national sovereignty, the abolition of any kind of armed forces, and the establishment of a commonwealth of nations.”83 “[Socialism] insists on a comradeship of the workers which transcends racial or nationalist lines,” said Norman Thomas. “It is therefore international in outlook.”84
Q. What if I change my mind about living in socialism?
A. Depends on whose socialism is used. The Socialist Party of Canada tries to have it both ways: “Those who disagree will be treated like anyone else. If a person or group decided to start promoting a return to capitalism, or some other class-divided social form, they would be free to do so. If however, a person or group was damaging society (beating people up, or blowing up buildings, etc.) then society will take appropriate action against them.”85
Q. Must there be violence to switch to socialism?
A. It depends on how submissive people are through the transition. Lenin called for a war for power among the masses to impose the dictatorship of the proletariat—“an organization for the systematic use of violence by ... one part of the population against another ... [and then] there will vanish all need for force, for the subjection of one man to another.”86
Q. How does socialism get started?
A. Three simple steps. Engels explained: “By limiting private property in such a way that it gradually prepares the way for its transformation into social property, e.g., by progressive taxation, limitation of the right of inheritance in favor of the state, etc. By employing workers in national workshops and factories and on national estates. By educating all children at the expense of the state.”87
59 See www.worldsocialism.org.
60 Encyclopedia of Marxism, Wage & Benefits.
61 The World Socialist Party—see www.wspus.org.
62 The World Socialist Party—www.wspus.org.
63 The Socialist Party of Great Britain—see www.worldsocialism.org/spgb.
64 World Socialism—www.worldsocialism.org.
65 World Socialism—www.worldsocialism.org.
66 Ibid.
67 Ibid.
68 See www.worldsocialism.org.
69 George Bernard Shaw, “The Intelligent Woman’s Guide to Socialism and Capitalism,” 1928, p. 470.
70 World Socialist Movement, 2006.
71 Paul Hubert Casselman, Labor Dictionary, New York: Philosophical Library, 1949, p. 63.
72 Anne Fremantle This Little Band of Prophets: The British Fabians, p. 263 (Note: The Fabians coat-of-arms is a wolf in sheep’s clothing).
73 Norman Thomas, America’s Way Out: A Program for Democracy, p. 54.
74 Karl Marx, Critique of Hegel’s Philosophy of Right.
75 Karl Marx to Joseph Wedemeyer, March 5, 1852, Marx, Selected Works, Co-operative Publishing Society, Moscow, 1935, I, p. 377.
76 Friedrich Engels, The origin of the family, private property and the State, p. 206.
77 William Z. Foster, Syndicalism, p. 3.
78 Lenin, V. I., Religion, p. 47.
79 Friedrich Engels, quoted in the Handbook of Marxism, p. 249.
80 Albert Einstein, Why Socialism?, Monthly Review, May 1949.
81 Friedrich Engels, Herr Eugen During’s Revolution in Science, 1894; 15. V.I. Lenin, Religion, p. 47..
82 Encyclopedia of Marxism, Unions.
83 Erich Fromm, Let Man Prevail, 1960, p. 26.
84 Norman Thomas, America’s Way Out: A Program for Democracy, p. 55.
85 Ibid.
86 Joseph Stalin, Problems of Leninism, pp. 26-27.
87 Friedrich Engels, Draft of a Communist Confession of Faith.
Chapter 8: Sample Fruits of Socialism
The Founding Fathers repeatedly emphasized that national self-government required a high level of personal self-governance. As Benjamin Franklin said, people who become corrupt and vicious “have more need of masters.” Freedom, therefore, can’t exist without a minimum level of personal responsibility. This can’t be forced, it must be a voluntary contribution from the people who want maximum freedom. Here are some samples of issues dealt with by government edict that could be better handled with personal responsibility, freedom and free market innovation—
Socialist Idea: Can’t name your baby
Principle Violated: Freedom to choose
Story: In August 2013, an Israeli couple living in Brussels for three years, was forbidden by City Hall to name their first born, ‘Alma Jerusalem.’ The reason given was that ‘Jerusalem’ was not on the list of approved names. The clerk suggested as an alternative, ‘Bethlehem,’ an approved name, or to contact the Israeli embassy for a written document confirming that ‘Jerusalem’ was a valid name.88 Justification for the list is that it prevents such names as ‘Lucifer,’ ‘Mafia No Fear,’ ‘Queen Victoria,’ ‘Number 16 Bus Shelter,’ among other submissions.
Socialist Idea: No hoarding of food
Principle Violated: Freedom to acquire property
Story: In May 1918, Francis Smith Nash and his wife were charged with violating Section 6 of the U.S. government’s Food Control Act for storing a large supply of flour, sugar, and other foodstuffs in their home.
The Act prevented Americans from storing more than a 30-day supply, an amount that Food Administrator Herbert Hoover deemed a “reasonable one.” The purpose, Hoover said, was to keep the troops overseas supplied. The Nash’s food stash, legally purchased over time, was valued at $1,923.36 ($31,700 in 2012 dollars). For this crime, the judge set their bail at $3,000 ($50,000 in 2012 dollars) each.
To escape punishment Nash tried to distribute the food to charity. The Food Administration said they would prosecute all food hoarders to the fullest extent of the law regardless of a hoarder’s social standing or efforts to dispose of the evidence.89
Socialist Idea: Force recycling of trash
Principle Violated: Freedom to dispose of property
Story: In 2010, Cleveland residents were warned that their curb side trash would soon be monitored to make sure they were recycling. If they didn’t comply, they would be fined $100.90
Trash carts for recyclables were distributed with identification chips and bar codes. City workers started monitoring the activity of all such carts. If a cart was not wheeled to the curb for a few weeks in a row, this gave the Trash Czars automatic permission to dig through the companion trash cart’s contents. Whenever more than 10 percent recyclable waste was discovered, the owners were fined $100.
Chip-embedded carts are in use in other parts of the U.S. and England, and are catching on elsewhere.
Socialist Idea: Ban lemonade stands
Principle Violated: Freedom to try, buy, sell, and fail
Story: In 2010, Julie Murphy was only 7 years old when Multnomah County (Oregon) shut down her lemonade stand for failing to obtain a $120 temporary restaurant license.
A health inspector patrolling the monthly art fair in northeast Portland confronted the girl for failing to produce a proper license and threatened her with a $500 fine.
Nearby booth people told Julie to stand her ground, but two inspectors came back a short time later and forced her to shut down. A growing crowd protested, and Julie started crying while her mother gathered up Julie’s hand-made sign, her bottled water and Kool-Aid, and wheeled it away for home. Eric Pippert from the Oregon public health division vapidly responded with a bland, “Our role is to protect the public.”91 The summer of 2011 also saw half a dozen such cases across the U.S., and dozens more are reported each year.
Socialist Idea: Allow New Black Panthers to threaten voters
Principle Violated: Equal rights and responsibilities
Story: On Election Day 2008, three New Black Panther party members intimidated voters with threats and coercion. They were dressed in military clothing, brandished batons, and stood menacingly outside a Philadelphia polling place. They threatened and verbally harassed black Republicans and whites who came to cast their votes. Their message was clear: vote for Obama or else.
Evidence of the Panthers’ violation of the Voting Rights Act made it an open-and-shut case for President George Bush’s Department of Justice.92 But when President Barack Obama came to power, he appointed Eric Holder as attorney general. Holder dropped the charges after the thugs agreed to a plea deal not to do it again in that same city. The length of the probation? Only a couple of years, just in time to do it all over again for the 2012 elections. The three walked free.
Socialist Idea: National health care—Sweden
Principle Violated: Freedom to choose
Story: In 2010, a bleeding man named “Jonas” who was waiting in a Swedish emergency room took matters into his own hands by sewing up a deep cut in his leg.
“It [waiting] took such a long time,” Jonas told the Sundsvall Tidning Daily.
He said he first went to the regular health clinic, part of the socialized health-care program for which Sweden is so famous—it was closed. He called for help and was told the clinic wasn’t supposed to be closed. That’s when Jonas went to the emergency room of a hospital much farther away, but waited there more than an hour as his wound bled down his leg.
Deciding he had to take some kind of action, he sought out a sterile needle and thread and stitched the wound himself. Hospital staff caught him doing the procedure and reported him to the authorities. The charge was suspicion of arbitrary conduct for having used hospital equipment without authorization.93 Socialism failed Jonas and punished him for disobeying control.
Socialist Idea: National health care—Canada
Principle Violated: Freedom to choose
Story: In July 2010, Christine Handrahan was nine weeks pregnant when she started bleeding. Fearing for her unborn baby’s safety, her husband rushed her to Queen Elizabeth Hospital’s new emergency room.
She sat waiting unattended in a packed waiting room for three hours, with blood seeping out of her jeans and tears of panic rolling down her cheeks. Finally fed up with the wait, the husband pushed her wheelchair back to the parking lot where he helped her into their truck to make a 45-minute drive to Prince County Hospital, where Christine was given the sorry news that she had miscarried.
“Somebody should have cared enough to say, ‘Oh my goodness, you’re going through a miscarriage, do you need some quiet time?’” Christine said. “What bothered me the most was the fact that I had to sit in public going through a miscarriage.”94 Over-taxed national health care in Canada failed Christine.
Socialist Idea: National health care—Britain
Principle Violated: Freedom to choose
Story: Britain’s famed National Health Service (NHS) has been around since 1948, the oldest and most socialized health-care system in the world. Though it has had more than 60 years to sort out the bugs and become lean and efficient, just the opposite has unfolded. It is a bloated, redundant, government-run institution that employs 1.5 million people, is immune from change, and is losing money left and right. With few free-market forces to impose corrections, some real problems have erupted.
The problem with lists such as the preceding is that mistakes happen everywhere, including in private health institutions. For the private sector, however, the impact of sloppy medicine can be devastating. A tainted reputation results in a decline in patronage, lower profits, a wounded ability to grow and modernize. Such pressure typically pushes private groups to bend over backwards to rebuild trust by taking strong action to correct the flaw.
Government institutions, however, are insulated from those corrective pressures. Whether they are tainted or not, or whether patronage climbs or drops, the tax-funded incomes, supplies, staffing, etc., are never seriously threatened. They just keep going, too busy to improve, unmotivated to change. In nations where tax-funded health care is the only game in town, mistakes don’t draw market pressures for correction. Mediocrity becomes the standard.
Socialist Idea: Prohibition (1919-1933)
Principle Violated: Freedom to choose and control property
Story: Prohibition in the U.S. was the constitutional outlawing of the manufacture, sale, and transport of alcohol to curb the abuse of drinking—“for our own good.” A majority of Americans believed that using force to prevent drinking was a good idea, a principled idea, a constitutional idea. The 18th Amendment barely passed
The result? People demanded their freedom to choose, and some began a private revolution. Thousands of “speakeasies” or their equivalents sprang up overnight. Underground railroads and black market exchanges began moving illegal goods across the country. Violence, shooting, raids, mobs, fighting, killing, and destruction exploded in the major cities. The idea of forcing people into abstinence was the deployment of socialist ideas of compulsion against human nature in violation of unalienable rights. The whole thing flopped and was repealed.104
Socialist Idea: Complete Submission to the Master Race
Principle Violated: All natural rights and freedoms
Story: Primo Levi was a survivor of Auschwitz, and described in his memoirs the utter brutality of an existence in the concentration camp where life and civilization had been stripped from everyone. He said each inmate was ultimately alone in his heart and mind, although surrounded by hundreds of others. The men could either fight to survive, mentally and emotionally, or give up—“drowning,” as he called it, the easy way out.
Living was a daily battle, an unending hourly struggle. Those who surrendered their human will and relied on what was given to them became the “drowned.” They soon died from starvation, disease, back-breaking labor, or from the death of hope.
“Precisely because the lager was a great machine to reduce us to beasts we must not become beasts,” Levi wrote. “We must want to survive ... to bear witness.” Their hearts, their minds, and their very human nature remained the one place the Nazis couldn’t reach. The freedom to choose was the freedom to survive.105
The Historical Record Says It All
Socialism is structured so that it will never achieve its stated goals. The reason is self-evident: Socialism is a self-perpetuating consumption of other people’s labors, and when those labors run out, the whole system collapses. History shows that when reckless consumption grinds an economy down, the masters compel society forward using whips, chains, cruel force and coercion. And today? Today, the whips and chains are present in the form of fewer rights, less freedom, higher taxes, higher levels of borrowing, and unsustainable liabilities and debt.
Whenever those who produce the most are not properly compensated, as the free market does, the producers eventually tire of the fruitless endeavors and stop producing—despite the appealing allure of the socialists’ promises. That is human nature at work, and such failings show up everywhere in history, even as far back as Caveman Dad.
Learning to Recognize Socialism
88 Anthony Bond, “Expat Israeli couple living in Belgium are told they can’t call their newborn daughter Jerusalem,” Mail Online, August 20, 2013.
89 The New York Times, May 30, 1918.
90 Cleveland.com, August 20, 2010, “High-tech carts will tell on Cleveland residents who don’t recycle ... and they face $100 fine.”
91 Oregonlive.com, August 4, 2010, “Portland lemonade stand runs into health inspectors, needs $120 license to operate.”
92 Department of Justice press release, January 7, 2009, “Justice Department Seeks Injunction Against New Black Panther Party.”
93 “Jonas, 32 sewed up his own leg after ER wait,” The Local (Sweden), August 4, 2010.
94 The Guardian, “Christine Handrahan describes hours of tension in ER,” 7/29/10.
95 Stephen Adams, “Doctors ask: Did Great Ormond Street boss cover up hospital’s role in Baby P Affair?”, The Telegraph, October 16, 2011.
96 Andy Bloxham, “100,000 terminally ill ...’,” The Telegraph, July 1, 2011.
97 Mail Online, “You can’t join NHS post-natal depression support group”, June 30, 2011.
98 Stephen Adams, “Hospitals leaking patient data to ‘no win no fee’ firms, claims MEP,” The Telegraph, June 28, 2011.
99 Nick Collins, “Rules on Foreign doctors ‘put patient safety at risk,’” The Telegraph, June 29, 2011.
100 Jenny Hope, “GP bonuses ‘lead to poor patient care,’” MailOnline, June 29, 2011.
101 The Telegraph, “Burned girl ‘turned away’ from hospital,” March 21, 2010.
102 The Telegraph, “Man left infertile after wrong testicle removed,” March 29, 2010.
103 Sara McCorquodale, “Jade’s death unnecessary,” MailOnline March 20, 2010.
104 The 18th amendment ratified January 16, 1919; repealed by 21st amendment ratified December 5, 1933. Utah was the 36th state to ratify, making the repeal official on that day..
105 “Survival in Auschwitz,” Primo Levi.
Chapter 9: First There Was Force
The earliest records are scant, but they show that socialism in its most raw form existed more than 6,000 years ago.
Some researchers believe that socialism is a natural state of ancient cooperation. They surmise that at the dawn of human history the earliest peoples voluntarily resorted to communal living as a necessary part of staying alive. The theory suggests that only by living in large, strong groups with things in common could the huddled masses procure food and provide mutual protection.
This theory further surmises that the invention of farming and irrigation made food more accessible, and introduced independent living. Researchers speculate this is the period when the concept of private property ownership entered the world, and all the world’s conflicts began—I planted this field, it’s all mine, now get out!
Difficult Questions—If this idea is true—that socialism is natural, and therefore, in harmony with the natural man and, therefore, good—then the “early communal” theory leaves unanswered a number of critical questions: Who assigned the workers to their various labors, or did they all just jump in like bees in a hive? Could people be lazy and not be punished and live off the labors of others? Who directed the distribution of food? What if the director showed favoritism? In times of scarcity, what about the needs of the very young, the sick, or the very old? What was to prevent gangs of bullies rising up at harvest time and taking all that they pleased?106
Caveman Dad—One solution might have been the family—parents directing children to participate in providing food and protection. But that doesn’t resolve the constant risk of other families raiding a village or campground. Hunger awakens the beast in all creation.
It’s a story that may never be known. However, history shows that communal or collectivist living in any setting required leadership directed by someone, and that dictatorship was fraught with the numerous built-in problems of rules, regulations, fairness, obedience, punishment—and the ever-present use of force. Here’s a sampling of the seven pillars of socialism in operation down through history—
106 Ludwig von Mises, Socialism, (1922), “Theories of the Evolution of Property,” pp. 41-44.
Chapter 10: Ancient Sumer, the Earliest Socialists
It’s difficult to peg a start date for Sumer, but many scholars estimate this civilization took form before 4000 B.C.
STORY: Ancient Sumerians built their form of socialism around their temples in a dozen city-states at the south end of today’s Iraq. Eventually there were about 30 large and small cities, some with populations of 10,000 or more. The whole region was known as Sumer. Their prosperity came from intensive year-round cultivation and large-scale irrigation projects. With a reliable source of storable food the people could settle down in one place instead of migrating to greener pastures, as was their ancestors’ custom.
The temples were the center of everyone’s life. The priestly governor (ensi) or king (lugal) was both civic leader and spokesman for the gods. From him came the commands to keep the temple granaries full and the workers tightly organized and busy.
The societies of Sumer were highly stratified: a ruling class with all power; an aristocracy or nobility class that leeched off everyone; and the lowly workers.
Peasants Doing All the Work, As Usual
The common workers were owned by the temple, and their sole purpose in life was to work the lands that supported the temple. Everything necessary to raise food was given to them, including a place to live. They had no private property and couldn’t store or save anything as their own.
The earliest Sumerian cuneiform records don’t indicate many slaves in Sumerian society. The soldiers won plenty of wars, but rarely brought back prisoners—a strong indicator that the defeated foes were executed on the battle field or marched to death camps.
The storehouse was central to everything in the Sumerian cities. The workers’ equipment, the animals, the seed grain, and a monthly sustenance all flowed from the storehouse. Quotas were important. The storehouse got stingy if workers failed to reach the quota. If a harvest came in leaner than what had been ordered, the workers were expected to make up the difference the following year—or suffer accordingly.
Igor Shafarevich provides several good examples of life in ancient civilizations in his book, The Socialist Phenomenon.107 Among those is the Sumerians’ Temple of Bau, built about 2500 B.C. in Lagash. Temple priests controlled the whole region, and were supplied by the “Shub-Iugal,” a workforce that received small land grants and government-issued plows, grain, cattle, yokes, collars, tools, etc. The Shub-Iugal were supervised by chief farmers who monitored all of their labors and free time.
Everything the Bau culture produced had to be given to the storehouse without compensation. Even the skin of a dead animal belonged to Bau. Craftsmen who were bonded to the temple used the skins and other materials to manufacture clothing, tools, artwork, and necessities—all of it surrendered back again to the central storehouse.
Other industries were obligated to do the same. The fishermen had to deliver their entire catch, the foresters their entire load, and the cattlemen every head to the storehouse coffers.
Miserable Mortality Rates
The cost for these operations was horrific. Copious baked-clay tablets meticulously included the word “deceased” next to names of those who died from the strenuous work. Researchers calculate that 35 percent of the field workers died each year. Many of these were women and children involved in unskilled labor and the physical taxing work to haul barges. The average mortality rate was calculated to be 20-25 percent. Over the centuries, the aristocracy grew fat and lazy while the peasants worked, toiled, and poured out their lives until death—all of this to benefit the storehouse.
State Control Creates State Collapse
At its peak the Sumerian’s main city of Ur was considered the largest in the world with 65,000 inhabitants. Here they built a temple to the moon god Nanna during the 21st century B.C. Today, its remains are known as the Great Ziggurat of Ur.
With the passage of many centuries of heavy-handed regulation, the huge bureaucratic Sumerian state was ripe for collapse. It had been repeatedly attacked over the years without success, but by 1940 B.C., conditions were right for the Elamites. That year they attacked and conquered the great city of Ur, and the rest of the cities fell soon thereafter.
Old Masters, New Masters
So great was their loss, the Sumerians wrote a lament for Ur, similar to the book of Lamentations in the Bible. In the aftermath of the destruction of their cities, they described complete wreckage—corpses decaying in the streets, the storehouses stripped down, the towns destroyed, women kidnapped to foreign lands, and other Sumerian cities falling to the sword. Their long and stifling experiment in socialism had ended with every life ultimately sacrificed for the strength and endurance of the all-important central storehouse.108
Human Nature at Work
There is a tendency among humans to accept the commands and demands of a ruling party. They generally don’t consider revolting until tyranny becomes unbearable, but the outcome is typically another radical ruler who installs new masters and new rules.
John Stuart Mill put it this way, “It is the common error of socialists to overlook the natural indolence of mankind; their tendency to be passive, to be the slaves of habit, to persist indefinitely in a course once chosen. Let them once attain any state of existence which they consider tolerable, and the danger to be apprehended is that they will thenceforth stagnate; will not exert themselves to improve, and by letting their faculties rust, will lose even the energy required to preserve them from deterioration. Competition may not be the best conceivable stimulus, but it is at present a necessary one, and no one can foresee the time when it will not be indispensable to progress.”109
The Seven Pillars
Sumerian society used all the classic forms of force and violation of unalienable rights throughout its history and genealogies—
Ruler. The presence of tyrannical top-down control around 4000 B.C. foreshadowed a common theme of human domination that would recreate itself thousands of times for thousands of years. Ruler’s Law apparently was easily imposed on the early Sumer people. The human tendency to relinquish responsibility to the initiatives of another person served well to sustain their leaders, a series of men who claimed to be a god or god’s representative for temple worship.
Caste. Sumer’s stratified society was protected, sustained and enforced with death. The rulers and nobility kept it this way to protect their own selfish lives and perpetuate power. As a result, untold thousands or millions were denied their contributions to a better society.
Things in Common. It’s easy to manipulate people who have been suckled on the fiction that all things belong to the mystical and mysterious god-like ruler. Even if they didn’t believe it, the point of the spear was the ruler’s backup plan. The ruler claimed ownership over all things and dispatched his properties to be used in common to support the temple and the city. With no private ownership, there prevailed a sense of detachment from responsibility—and with it, an acceptance of brutal force as the insurance that all the production be provided by the whole and for the whole.
Natural Rights. Central control meant very few natural rights, if any at all. The people were obligated to obey every command from the ruler. It was a harsh way of living.
Regimentation. All aspects of the Sumerian society were controlled by a crude form of modern Communism’s “scientific method.” This is where the community’s needs were anticipated, whether they materialized or not, and laborers were compelled to fulfill those needs. The free market system does a much better job of informing the innovators when a need exists.
Information. The people were controlled and probably pacified by a spirit of superstition and ignorance that was cultivated around them. By promoting a continuous fear of pending warfare, and preying upon the people’s mythical delusions to support temple worship, the rulers kept them focused and grateful for the Ruler’s benevolence and protection.
Force. Violent retribution for the least infraction made strong control feasible in Sumer. Complainers could have their tongues cut out, or worse. Finally, by around 1800 B.C., Hammurabi brought some order to these laws, but they remained severe. A doctor whose patient did not get better, especially if the person got worse, was liable—even unto death. If a house collapsed because of an architect’s bad design, he could be executed. On the other hand, if you were in an upper class, it made a big difference. A noble blinding another noble or breaking his bone could be punished by being blinded with a hot poker or having his own bone broken by a heavy club. However, if a noble blinded or broke the bone of someone in a lower class, he only had to pay a fine.
So went Sumer for many centuries, wasting the capacity of the whole populous to serve the selfish pursuits of the few.
The Beginning Place
Sumer is a good beginning place to see the framework and structure of the seven pillars of socialism at work in ancient times. After Sumer, what followed during the succeeding six millennia was not a variation of a theme, but the theme itself, hammered home in so many horrible ways. Unfortunately, each and every society that fell for the seven pillars of socialism didn’t actually see what was coming. The people apparently believed that violating natural laws and true principles might work this time if only we make a few changes.
But nothing did change. Those who didn’t understand socialism fell for it every time, and all the predictable consequences that came with it.
Next on the world scene was Egypt. Would they fare any better?
107 Igor Shafarevich, The Socialist Phenomenon, foreword by Aleksandr I. Solzhenitsyn, in Russian in 1975 by YMCA Press; in English by Harper & Row, 1980.
108 For several good references on Sumer, see Will Durant, The Story of Civilization: Our Oriental History (1935); Peter Bogucki, The Origins of Human Society (1990); Petr Charvat, Mesopotamia Before History (2002); Hans J. Nissen, The Early History of the Ancient Near East, 9000-2000 B.C., (1990); Chandler Tertium, Four Thousand Years of Urban Growth: An Historical Census; A. I. Tiumenev, The Economy of Ancient Sumer, Moscow-Leningrad, 1956, as quoted in Shafarevich, 1980.
109 John Stuart Mill, The Principles of Political Economy, Book IV, Chapter 7.
Chapter 11: Pharaoh, the Demigod Socialist
Egypt built a civilization on the flood plains of the Nile, extracting prosperity from the toils of thousands that grew into millions—starting sometime around 2700 B.C.
STORY: The pattern of temple worship and top-down control was not unique to Sumer. It was representative of other civilizations during the same period—Egypt, Greece, Turkey, Crete, Mesopotamia, with shades of the same in the Indus Valley civilizations. By the middle of the third millennium B.C., life in the ancient world underwent a big change. The friendlier conclaves of temple society and city-states were replaced by the all-encompassing power of the state—a new power of absolute force that changed the world forever.
Pharaoh and the Nile, Gifts From the Gods
Ancient Egypt is a good example of the new and expansive state. The land was ruled by Pharaoh, a god incarnate who united far-flung villages under his umbrella of control. He was advertised as being without parents, miraculously formed in the womb by the gods. They said he knew all, saw all, and as the gods’ chosen one, he therefore owned all, including the land, the people and the animals. He was revered as the high priest to Ra and favored of Horus, son of Osiris. He was Pharaoh—the deified king.
The No-ability Nobility
Helping Pharaoh, but later competing with him, was a class of nobility—the royal administrators. This rich upper class ruled in Pharaoh’s stead, checking every part of people’s lives—spiritual, social, and economic. They kept track of all things with a small army of scribes. These scribes were sent across the land every year or two to take inventory of the peoples’ possessions, and taxed them accordingly. Naturally, the scribes took along a few beefy-looking soldiers to enforce the peasant’s cooperation. It was leveling at the most intimate place in a person’s life.
The Quill Is Mightier Than the Rod
The scribes were well educated, themselves forming a class of intelligentsia who typically knew a lot more than their masters, the nobility. Knowing how to read and write led many scribes into positions of administration or pursuits of political agendas later in life.
This massive bureaucracy of administrators was everywhere in Egypt—village judge, village scribe, builder of palaces, overseer of grains and granaries, chief of canals, chief of the fleet, butlers of the palace, leaders of the land, the Sherden, cowherds, priests, warriors, swineherds, shopkeepers, interpreters, boatmen, husbandmen, noblemen, administrators, personal attendants, etc.
Obedience is Better Than Sacrifice
As for the general populous, peasants and farm workers made up the largest part of the population. The snooty upper classes looked down on them with disdain. Many worked the Pharaoh’s lands in exchange for a home and food. Others were their own masters and owned their own homes and land, and engaged in producing, buying, and selling as they pleased. However, they were still supervised by someone from a temple or private estate or some other bureaucrat.
Masters were reasonably kind to their workers. They kept them fed, clothed, housed, and protected from mobbing and bullying—they were, after all, the real producers and worth preserving. A maxim from the 19th dynasty proclaimed, “Give one loaf to your laborer, receive two from (the work of) his arms. Give one loaf to the one who labors, give two to the one who gives orders.”
The storehouse typically released food once a month. Some depictions on tombs show workers on the verge of starvation while the beasts of burden are fat and healthy—a telling display of priorities in the Egyptian culture.
We Keep You Alive to Serve This Pharaoh
Unlike Sumer, the Egyptians prided themselves in keeping their workers alive. Both they and their supervisors were subject to beatings for laziness, tardiness, or desertion. Pharaoh appreciated the value of the working class and did not work them to death as did the Sumerians.
While the upper classes enjoyed the richness of life, thanks to the workers, the peasants were on a bare subsistence level. The central planners determined that to stay alive for a year, a working-class family required 380 pounds of wheat (about a pound a day), 44 pounds of lentils, and 11 pounds of meat. Most peasants could earn 50-90 percent of those minimums, thus requiring the women and children to work as well, just to avoid starvation.110
And so grew Egypt through thick and thin, for dozens of centuries, to rise and fall and rise again—steeped in Ruler’s Law.
The Seven Pillars
The Egyptian culture made an enormous investment in supervisory management at every level of society. This multi-layered involvement created a mid-level of bureaucratic meddlers in a caste system that was strong, well-funded, well-organized, and was perpetuated down through the generations.
As with Sumer, there were layers of rights in ancient Egypt. The privileged had more rights than the common serfs, but all things remained under the control of Pharaoh—no private ownership of property except with his permission, and few natural rights were acknowledged.
Whatever Pharaoh proclaimed was declared as truth: let it be written, let it be done. Obedience to him or her (there were female Pharaohs111) was extracted by force because disobedience to Pharaoh’s law was deemed also an act of disobedience to the gods.
And then there arose a man who decided to blatantly disobey the God. Things didn’t go well for this frail human, either. The same dissolution that attends all individuals and societies that try socialism also became his ending. The Bible called him Nimrod, a hunter of men—
110 For several good references on Egypt’s use of Ruler’s Law, see Will Durant, The Story of Civilization: Our Oriental History, Egypt (1935); Walter Scheidel, Real wages in early economies: Evidence for living standards from 1800 B.C. to A.D. 1300, Version 4.0 September 2009, Princeton/Stanford Working Papers in Classics; Andre Bollinger, www.reshafim.org.il/ad/egypt/; The Encyclopedia Britannica, Egypt, 13th Edition, 1926.
111 See Dodson, Aidan; Dyan, Hilton, The Complete Royal Families of Ancient Egypt. Thames & Hudson, 2004
Chapter 12: Nimrod, the Anti-God Socialist
Nimrod’s story begins approximately 2200 B.C., a short time after the Great Flood.
STORY: According to Josephus112, an ancient Roman-Jewish historian from the first century A.D., Nimrod is the fellow who re-introduced centralized power and socialistic tyranny into the world after the deluge—the Great Flood.
Those who know their Bible take interest in Nimrod because he was a great-grandson of Noah. Genesis implies that Nimrod ordered the building of the tower of Babel so his people could survive another flood should God send one. The Bible describes Nimrod as a mighty hunter before the Lord who ruled over several major cities in Mesopotamia. Thanks to ancient historians and other scholars, here’s a summary of who Nimrod was and what he tried to do:
Ancient writers said Nimrod turned the people from God, telling them that true joy came not from the Lord, but by their own hand. He instituted pagan worship, idolatry, and the worship of fire. He changed the government and put himself in charge, essentially declaring himself to be god. He forced the people to become dependent on him for everything they required—an ancient version of today’s food stamps, pensions, and general government welfare. Genesis says Nimrod’s reign of tyranny and force was ultimately conquered by the confusion of tongues at the Tower of Babel when all the people were scattered for lack of a common language or understanding.115
After The Flood, Seven Soggy Pillars
Nimrod was a devoted adherent to the seven pillars of socialism.
The pattern Nimrod followed was not much different than other dictators and tyrants. For example, far to the east, many bad ideas incorporating Ruler’s Law were taking root among the ancient Chinese—
Chapter 13: China: Dynasties of Socialism
From about 1600 to 200 B.C., the elements of Ruler’s Law kept order down to the most personal levels of life in China.
STORY: Henri Maspero was a pioneering scholar of ancient China and researched the amazing history of rigid rule that existed in the earliest non-mythical period of region.116
Most of what is known about the Shang Dynasty (1750-1100 B.C.) comes from inscriptions on tortoise shells, cattle bones, and other oracle bones. Scribes used bronze pins to scratch ancient characters into the bones, telling of a society ruled by an all-powerful king, the leader of Chinese nobility, a ruler called Wang.117
Religious Tyrant
Wang was leader, military commander, and the high priest. He offered sacrifice to royal ancestors and communed with the divine to bring wind and rain. Should war erupt, Wang kept a personal force of 1,000 men for protection from uprisings, and also to personally lead into battle with other soldiers.
During Wang’s rule, the use of bronze was widespread. He ordered an enormous slave labor force to mine the copper, lead, and tin ores, haul them for processing, and deliver the metal to artisans and manufacturers. Bronze was used everywhere—for vessels, weapons, decorations, clothing items, and even chariot wheels.
3,000 Crimes and Growing
The Wang ruled the people with force. He called them his “cattle and people,” and on the disobedient he inflicted torture. One of the Wangs had a list of 3,000 crimes for which he imposed fear to extract obedience. For 1,000 of these offenses, the punishment was branding with a hot iron. For another 1,000, the punishment was cutting off the nose. There were 300 offenses punishable with castration, and 500 others for which they would cut off the heel. Two hundred were capital crimes for which the person was killed.
Wang Owns All
The Wang owned everything. One script declared, “Under the heavens there is no land that does not belong to the Wang, in the whole world from one end to the other there are no people who are not the Wang’s underlings.” Children were raised by the elders until age 10. The following year, they were forced to work. At age 20 they received a field whereby they made their subsistence. At age 60 they returned ownership of the field to Wang. When workers reached 70, they became wards of the state, and were cared for until death,
Wang granted authority to other officials to supervise agriculture, public works, and war. These leaders held tight rein on the fields, deciding when to plant, what to plant, and when to rotate crops. One of their songs declared, “Our ruler summons us all ... orders you to lead the plowmen to sow grain....quickly take your instruments and begin to plow. ...Let ten thousand pairs go out...this will be enough ... the Wang was not angry; he said, ‘You peasants have labored gloriously.’” Other songs told of their land and grounds being theirs in common.118
Marriage or Unions, Not Both
Marriage was regulated. As a religious bond, only the nobility could marry. The peasants were ordered into “unions”—men had to take a spouse by age 30, the girls by age 20. A day for marrying in the spring was declared and local officials enforced it.
Then Came Confucius
Winding down through the dynasties, from Shang (1600-1046 B.C.) through the Western Zhou (1046-771 B.C.), Confucius finally arrived around 500 B.C. He taught about man’s ethical and moral progression and the importance of his nobility and justice, his love of all things. Despite his proclamations on the dignity of man, the Chinese culture continued to strengthen its embrace of the seven pillars of socialism.
By A.D. 350, a more rigid and centralized state took form. Shang Yang worked hard to strengthen the central government. He viewed the people as raw material that required softening and molding like clay by a potter. He wrote, “When the people are weak the state is strong; when the state is weak the people are strong. Hence the state that follows a true course strives to weaken the people.” Shang Yang advocated the seven pillars of socialism in his classic work, “The Book of Lord Shang,” with a chapter entirely devoted to political enslavement called, “Weakening the People,”119 such as—
The State is Central in All Things
Oppressive tyranny over the people of China was a way of life for centuries. In 221 B.C., Qin Shi Huangdi rose to power, calling himself the First Emperor. He unified the various warring states and brutally suppressed any teaching or philosophy different from his own. He destroyed the Hundred Schools of Thought that had been developing since 770 B.C. by burning all offending books and writings so he could unify the people’s thinking with his own. The next year he buried alive 460 scholars who continued to own such books. The executions and elaborately staged book burnings went far to prevent independent thought.120 And so it was that the seven pillars of socialism were forced upon the people of China.
116 Henri Maspero, Ancient China, 1927, as quoted in The Socialist Phenomenon, Igor Shafarevich, pp. 167-171.
117 Also see Will Durant, Our Oriental Heritage, book three, China pp. 636-823.
118 Kuo Mo-jo (Guo Mo-ruo), The Period of the Slave-Owning Social Structure, in Russian; original in Chinese, Moscow, 1956, cited in Shafarevich, The Socialist Phenomenon, p. 167.
119 All quotes from The Book of Lord Shang, translated by J. J.-L. Duyvendak, 1928, See a PDF version of this book (accessed July 20, 2013) at http://classiques.uqac.ca//classiques/duyvendak_jjl/B25_book_of_lord_shang/duyvlord.pdf, Chapter V, paragraph 20, p. 159.
120 Li-Hsiang Lisa Rosenlee. Ames, Roger T.. Confucianism and Women: A Philosophical Interpretation. SUNY Press, 2006, p. 25; see also, Jonathan Clements, The First Emperor of China, 2006..
Chapter 14: Assyrians: Ruthless, Blood-drenched Socialists
The Assyrians built their mighty power sometime around 750 B.C. Violence and bloodshed seemed to be the standard enforcement tool of Assyria and other ancient tyrannies of the Mesopotamia region during this period.
STORY: There’s a familiar pattern of reckless disregard for human life among many of the ancient kingdoms. These patterns of mass slaughter repeat themselves throughout history, as recently as with today’s modern socialistic and communistic countries.
It was rare when a tyrant in ancient times could anticipate a nice, quiet retirement after ruling his realm. Leadership often changed hands through assassination, outright murder, uprisings, rebellions, and palace intrigue. If a king’s son wanted power, killing good old Dad was the quickest way to get promoted. If the son was not liked by the people or the army, he was made a corpse before he could ascend his father’s throne. For example, of the first 47 Roman emperors, 24 were assassinated.
Extreme Violence a Way of Life
Assyria is a shocking example of violence and gore. Enough records were left behind to show that the Assyrians had no regard for their foes or citizens who didn’t obey. As historian Will Durant describes it, “The Assyrians seemed to find satisfaction—or a necessary tutelage for their sons—in torturing captives, blinding children before the eyes of their parents, flaying men alive, roasting them in kilns, chaining them in cages for the amusement of the populace, and then sending the survivors off to execution.”121
Assyrian King Ashurnasirpal (about 860 B.C.) describes putting down an uprising and how “all the chiefs who had revolted I flayed, with their skins I covered the pillar, some in the midst I walled up, others on stakes I impaled, still others I arranged around the pillar on stakes .... As for the chieftains and royal officers who had rebelled, I cut off their members.”122
No Wonder Jonah Skipped Out on the Lord
Assyria and Nineveh have an additional place of importance for students of the Bible. Knowing these added details about Assyria suddenly makes it clear why Jonah disobeyed God. Jonah had been ordered by God to visit the Assyrian capital city of Nineveh, “for their great wickedness is come up before me.”123
Rather than endure the extreme atrocities for which Assyria was famous, Jonah fled from his assignment and took a ship in exactly the opposite direction, toward Tarshish. It required a violent storm and a large fish swallowing Jonah and keeping him for three days and nights to convince Jonah that obedience is more important than the burning, flaying, cutting, dismemberment, blinding, tongue-lopping, beheading, roasting tortures of Nineveh.
And so, in fear and trembling, Jonah went to the great city and began calling them to repentance.
Much to Jonah’s surprise, the people of Nineveh hearkened to his message and actually started to repent. Jonah fully expected the Lord to destroy them for their great wickedness, but the Lord later explained that there were innocents in that city who needed saving.124
Elements of Socialism
Long before Jonah was born, the Assyrian kings told their subjects that they ruled with a heavenly mandate, that they were the incarnation of the god Shamash, the sun. The king’s lieutenants were anxious that everyone support this doctrine, and assured the masses that the king owned all things because of his divine connections. So, pay attention and do your job, they told the quivering masses.
The Assyrian government was an instrument of war, ever striving toward progress in the military arts. The king’s troops were organized and trained to be quickly adaptable—to remain as effective against the enemy as against the king’s own citizens.
The people were divided into five classes—the nobility, the craftsmen who were organized into guilds, the free workmen, the peasants, and the hordes of slaves captured in war.
There was no private ownership for the workers. They were bound to the land of the great estates and had all things provided for them in exchange for working the land and raising the animals.
The only science that flourished was that of war. An interesting side note is that the philosophers of the time showed no effort to explain life or the world around them. Instead, they filled their time listing objects—all objects—and attempted to catalogue them. From those lists, the modern world has adopted several words translated through the Greek such as camel, shekel, rose, ammonia, cane, cherry, sesame, and myrrh, among others.
How the Mighty Fall
Assyria relied on the wrong system to retain power and a place in history. Instead of strengthening its populace by living principles of prosperity, Assyria relied on iron-fisted force and the pillars of Ruler’s Law. Over the years, this approach weakened the entire culture and made them vulnerable to attack.
In 626 B.C., the Babylonians and several allies swept through the Assyrian strongholds and set the land to ruin. Palaces fell into mounds of burned-out rubble, Nineveh was smashed and set afire, and its population was slaughtered or hauled away as slaves.
And just that quickly, in an instant of horrible bloodshed, the mighty and seemingly unconquerable Assyrian dynasty of terror and ruthlessness was suddenly and simply ... no more.
Seven Pillars in Ancient Times
The predominant pillars of socialism in operation for the first three thousand years of recorded human history were the all-powerful rulers and the suppression and destruction of personal rights. In whatever form the leader maintained control, the ownership of all things rested in the priest, Pharaoh, Wang, and whatever classes of leadership and nobility that were allowed to wallow in the spoils.
Dispensing material necessities came at the whim of the rulers. All things went to a storehouse or treasure city, and were doled out to the masses according to levels of production. In times of war, the allegiance and loyalty of the soldiers was secured with additional allowances, but these bestowals of bribery were always tied to strict obedience to the hand that fed them.
Future tyrants would exact similar atrocities as the Assyrians had, to force the population to bow to the rulers. Examples include the Inca, the Maya, Soviet Russia, Communist China, and North Korea, who deployed the same strategies for the same ends.
With such terror exacted on enemies and conquered peoples, the Assyrians kept the fear of death among its people, promising torture by dismemberment, and other atrocities, as a reminder to the populous to support all edicts from the throne.
Socialism at Work
People in the ancient world had to be tricked with superstitions into following the regimented life. The idea of god in the form of their leader solved one of socialism’s greatest challenges: how do we conquer the human trait of self-interest so people will blindly obey?
A tool of socialism is compelling the people to believe a lie. With no other information available, lies can be well masked and the people’s ignorance can then be used against them very effectively.
Today, the lies come in many forms, and if this closing summary sounds repetitive, it’s for a reason: there is nothing new about socialism.
In ancient times as now, the value of a nation’s currency that was not based on the intrinsic value of precious metals was simply fabricated, made up, declared. Today, No one really knows how much a dollar is worth—or a yen or a shekel or a ruble or a euro. The worth is hidden by official government policy, manipulated as needed.
Another lie is that freedom, free enterprise, and capitalism cannot solve national problems. Painting these best solutions in the darkest light creates a false image and people willingly surrender the free market, those freedoms to try, buy, sell, and fail, and accept as a substitute complete regulation by the government.
The historical record of ancient times shows us that most people are content to be followers so long as their needs are met. But as the government strives to meet more needs, it must extract more taxes and sacrifices from the people, and with that comes more force plus all of the associated controls, lies, enticements, and masters. Top-down government must function in this fashion.
When the people have lost control of who rules them, a class of elites rises up, and true to human nature, they’ll resort to anything necessary to stay in power, no matter what rights they violate in others. “Might makes right” is the mantra of the despot.
Learning to Recognize Socialism
Chapter 15: Draco and His Draconian Ideas
Draco’s motto should have been: “In death we trust.” It was 621 B.C. when Draco rose to power, feverishly bent on forcing people to do good and be good.
STORY: Before 621 B.C., the Greeks didn’t do a very good job of writing things down, especially their laws. Many of their provincial customs and “whatever worked” rules were passed along orally from ruler to ruler and arbitrarily enforced—but not written. That created some problems.
And Then Came Draco
Historians don’t know a lot about Draco, and they guess that he came from the nobility class. He apparently rose to take power as Athens’ chief magistrate sometime around 621 B.C. According to Aristotle,125 Draco wrote down an elaborate code of laws—a constitution of sorts—that reached into every aspect of Athenian life. Ridding Athens of deeply rooted problems was Draco’s good and worthy goal. It’s how he went about doing it that won him a place in infamy.
Off With Their Heads
Draco’s strict and unforgiving laws put the death penalty on almost everything. Plutarch wrote that Draco’s death penalty “was appointed for almost all offenses, insomuch that those that were convicted of idleness were to die, and those that stole a cabbage or an apple to suffer even as villains that committed sacrilege or murder.”126
Plutarch also recorded a comment by Draco showing his callous attitude toward death. When asked why Draco had made so many offenses punishable with execution, he replied, “Small ones deserve that [death], and I have no higher [punishment] for the greater crimes.”127
Besides his fixation on the death penalty, Draco was a typical ruler. He bribed the privileged class so they would keep him in power, and granted them private property ownership and the right to vote. The masses of working peasants were generally denied these rights.
Instant Results
As was expected, the punishment of instant death for the least little infraction virtually paralyzed the Athenians in every regard. Crime was reduced, but at the horrible cost of perpetual fear among the people, and the loss of their personal freedoms. Nevertheless, Draco’s drastic impositions did rid the city of age-old problems. His ruthless actions led to a new word in the English vocabulary—”draconian,” meaning cruel and harsh.
Killing With Love
Draco’s overnight elimination of crime was so popular that the people believed he had actually performed a miracle. In gratitude and respect, he was surrounded with cheering, adoring crowds everywhere he went. Certainly much of the acclaim was to curry his favor lest they befoul themselves in something and be condemned to die (see any of the public displays of support and sorrow laughably staged for the national press in North Korea as a modern example of the same robotic and fear-driven behavior).
And then one day, Draco entered an Athenian theater and the enamored spectators rose to their feet in a raucous cheer of accolades for their great leader. He was at the height of his popularity and strode to a center place so that all might cherish him. As tokens of the people’s high esteem for him, or at least to further the theme of currying his favor, several hundred admirers rushed to honor him by casting to him their cloaks, robes, hats, and flowers. The outpouring was so sudden and massive that he was completely covered by their gifts and was literally smothered to death.
They buried him right where he died.
A man named Solon (638-539 B.C.),128 the so-called father of democracy in Greece, came along later and abolished nearly all of Draco’s laws except death for murder.
Chapter 16: Sparta: Warrior Socialists
Making war central to Sparta’s existence from 750 to about 371 B.C. is a good example of information control to retain power. Mussolini tried it in Italy some 2,500 years later under the name “fascism.”
STORY: Hanging off the southern end of Greece is a hand-shaped peninsula that was invaded around 1000 B.C. The invaders were a primitive and rude people called the Dorians. They settled in Sparta and quickly spread to enslave the local Greeks in Laconia. Although outnumbered by perhaps 20 to 1, the invaders inflicted such horrors that the Laconians acquiesced. And so began Sparta, the most powerful city-state in ancient Greece.
Over the centuries, Sparta became fanatical about producing the finest warriors in the world. Its entire social and economic structure was built around that goal. No greater honor existed than to die in glorious battle for the state.
Lycurgus and His Plan
Sparta’s military-oriented culture was first established by a man named Lycurgus. He appeared on the scene around 800 B.C. Ancient historians such as Herodotus, Plato and Polybius reported that Lycurgus had gone to the Oracle of Apollo at Delphi for ideas about how to reform Sparta’s laws. He returned with some interesting innovations, for example, a class of rulers in the form of a council of 30 elders, each serving for life. These men controlled society. They could decide what laws were voted on and could veto any lower decision-making body. They also served as a supreme court.
Lycurgus also decided it was a good thing to confiscate the land from the rich. He divided it into 30,000 equal plots that were distributed to the general population so they could have all things in common. He confiscated all the people’s gold and silver, and issued an iron coin that was intrinsically useless. The idea was to keep money invested internally to prevent foreign influences and commerce from corrupting their ideal society.
The council of 30 included Sparta’s two demigod kings, a pair of men who traced their genealogy to Hercules, son of Zeus, a divine hero in Greek mythology. The two kings were equal in power and ruled at the same time. The rulers wanted a simple society, an agricultural collective, so they made any kind of industry forbidden.
Lycurgus’s institutions eventually led to a stable government and a foundation from which Sparta could rise. But, at what cost?
Raising Warriors
There were only two types of people who could have tombstones in Sparta—a warrior who died in battle, or a mother who died in child birth. Both were honorable sacrifices of giving one’s all for the benefit of state. Because the Spartans viewed children as products of the state, rearing them was not the job of the parents, not for the family, but rightly for the state. Serving the state was the first priority in all things. Therefore, if a newborn was deemed too weak to grow into a good warrior or sturdy mother, the state determined it should be left alone to die.
Rearing a warrior began early. At age seven the boys were taken from their mothers and enrolled in a rigorous education and military training system called the Agoge. It included reading, writing, music, and dancing. Military training included self-survival techniques, living in the wild, making do without any help, cutting reeds for a bed or shelter, hunting for food, creating weapons, etc. Often they were underfed to encourage creativity on how to steal food.
Sometimes they were flogged as a group to see which of them would be the first to cry out or pass out. Their families could watch the floggings at the wayside, and would shout to them not to pass out or cry or shed tears. The toughest was honored by everyone.
This whole structure of society was designed to strip people of their individual identity—to cement the idea that they were nothing more than tools of society.
All Control in the State
By age 12, the boys had to take an older male mentor who functioned as a substitute father and role model. Sexual relations between the two usually followed. At age 18, they were in the military reserve, and by age 20, they joined a group of 15 others to bond with and rely on for times of war.
Marriage was encouraged at age 20, but the men did not live with their families until age 30. For those reluctant to tie the knot, marriage was required by age 30, like it or not.
Young Spartans were granted land to work, and were forbidden from engaging in commerce or trade. Their houses had to be crude, built only with an axe to discourage time-wasting labors to beautify or sculpt the interiors. The women enjoyed more freedoms than others of that time, and were allowed to own properties as rewards for valiance, and were treated as equal with men in divorce. Despite Lycurgus’s efforts at things in common, some scholars estimate that women ended up owning 35 percent of all the land plots and other property in Sparta.
Other Classes in Sparta
The rest of the Spartan society included the free men—people who escaped the original Dorian invaders but still lived in Sparta.
At the bottom of society were the Greek slaves from Laconia. They were called Helots, and were wholly owned by the state. The Helots farmed the soil but were required to surrender the produce to the state—sometimes all of it, with nothing for themselves.
Young Spartan warriors just graduating from military school practiced their arts on Helots. Each autumn, the Spartans declared war on the Helots and sent their young soldiers-in-training to slay rebellious slaves. This annual “thinning” of the ranks kept the Helots submissive and deprived of their own leaders and warriors.
Socialist and Regimented
All land in Sparta was owned and assigned to others by the state. A citizen’s place in that society was determined at birth, and any commerce or trade with the “outside” was outlawed. Like all socialistic societies, most of the mandated restrictions could be conveniently set aside in favor of the class of elites as rewards for their birth, status, or loyalty.
Destroying Family to Keep Power
The Spartans prevented rebellion and uprising by breaking apart associations. They started with the family in its formative years, sending boys to the Agoge, forming men into “syssitia” or eating/bonding groups that met nightly, and uniting the women in groups while their husbands were away fighting. Slave families were left intact and sold or rented with the land—other times they were broken up according to the needs of the state.
The Seven Pillars of Socialism
Spartans were religious and turned to the Oracle at Delphi for guidance. This had been a Greek tradition since about 1400 B.C.,129and helped sustain the deification of its two rulers. This practice was not unique to Sparta, but was common around the world. The rulers loved it because it simplified the chore of winning complete obedience from the people. By making himself an object of worship, a ruler could control the beliefs and knowledge of the people, keep order, and stay in power.
The belief or at least the superstition that Sparta’s leaders were called by God continues down to this present day. Kings and queens make the same claim, confessing obedience to God for his holy ratification of their lofty place, bowing as if in a sacrament of holy communion, a tradition that their adoring crowds accept with reverence. Whatever edicts such kings and queens utter must then be accepted as divinely inspired, it is their divine right of kings. The Chinese made similar claims, calling theirs the Mandate from Heaven with similar responsibilities and authority.
Guns vs Butter ... or, Slavery vs Starvation
Perhaps in that hand-to-mouth bare subsistence level of existence, the routine politics of human organization didn’t matter as much as did the acquisition of food for an empty stomach. People who are starving generally don’t care who feeds them, not in the pain of the moment, perhaps. But the undying traits of human nature simmered from warm to hot in Spartan society. Their ancient records indicate that every effort was exhaustively pursued to coerce human behavior to support the state above their own personal interests.
And then, after a long time, came a new son of Greece, a thinker, a teacher, a student, a writer named Plato, revered by some as the scholarly father of western culture. But to others, the father of the bad idea—
129 See John P. McKay, Bennett D. Hill, John Buckler, A History of World Societies, 1996; The Encyclopedia Britannica, Sparta, 13th Edition, 1926.
Chapter 17: Plato and His Republic
Plato is among the impassioned few who received a lot of press for ideas that appealed more to meeting immediate lapses in society than promoting long-term solutions.
Plato (427-347 B.C.) was born in Athens, and is remembered for ideas he expressed in “The Republic” and “The Laws.” He was a Classical Greek philosopher, mathematician, writer of philosophical dialogues, and founder of one of the first schools of higher learning in the Western world called the Academy in Athens. He had good company in those days with his mentor Socrates and his student Aristotle. Their combined works helped lay the foundations of Western philosophy and science.
Plato wrote his ten-volume work, “The Republic,” during his middle years in an attempt to depict the ideal state-controlled society. His only problem was how to get the people to cooperate with his plan. His suggestion was to allow nature to serve as the sifter of souls, choosing out natural leaders and natural followers. “The Laws” was written in his older years depicting his best estimation of how these ideals would be put into practice.130
Ruler—As for the leaders, Plato saw the rise of what he called philosopher kings, men who were smarter than everybody else. Because of their brilliance, they were naturally endowed with the wisdom to wield unlimited powers of control over everyone. Their duty to the state was to focus all their energies on leadership service, and then spend time studying mankind’s place in the universe.
Soldiers—Plato envisioned a class of guardians programmed to be helpful to friends but vicious to enemies. As true warriors they would never criticize the leaders, but simply take orders and fear no death. From childhood onward, guardians were to be taught myths that programmed them to be ever faithful to the state. To maintain the mirage, they couldn’t be taught anything about divinity, stories of the gods, or the injustice of fate. Plato said that any soldiers who became greedy and desired property would be bred out so those remaining would live exclusively for the state.
The artisans and peasants—This class did all the work, as nature dictated it. They were to be ruled by the other two groups, and were expected to die in defense of the city. If the peasants could be properly trained from their youth upward, they wouldn’t complain.
The beehive mentality—In short, Plato wanted human personality and egoism to be reduced to the robotic, instinctive placidity of ants in an ant hill or bees in a beehive—but not through force. The idea was to change human nature from within, with conditioning and education.
Plato on Submission: “In a word, [man] should teach his soul, by long habit, never to dream of acting independently, and to become utterly incapable of it.”131
Plato on Socialism: “Our object in the construction of the state is the greatest happiness of the whole, and not that of any one class.” 132
“The community which has neither poverty nor riches will always have the noblest principles.” 133
“Tyranny naturally arises out of democracy.”134
“There will be no end to the troubles of states, or of humanity itself, till philosophers become kings in this world, or till those we now call kings and rulers really and truly become philosophers, and political power and philosophy thus come into the same hands.”135
Plato on Lying: “Then if anyone at all is to have the privilege of lying, the rulers of the State should be the persons; and they, in their dealings either with enemies or with their own citizens, may be allowed to lie for the public good.”136
Plato on Predestination: “You are brothers, yet God has framed you differently. Some of you have the power to command, and in these he has mingled gold ... others he has made of silver [to be soldiers] ... and others again he has composed of brass and iron [the common people] ... a golden parent will sometimes have a silver son.”137
Plato on Laws: “Good people do not need laws to tell them to act responsibly, while bad people will find a way around the laws.”138
Plato on Suppressing Initiative: “All things will be produced in superior quantity and quality, and with greater ease, when each man works at a single occupation, in accordance with his natural gifts, and at the right moment, without meddling with anything else.”139
“For the introduction of a new kind of music must be shunned as imperiling the whole state; since styles of music are never disturbed without affecting the most important political institutions.”140
Plato on Death: “No one knows whether death, which people fear to be the greatest evil, may not be the greatest good.”141
Plato on Cultivating Ignorance: “Entire ignorance is not so terrible or extreme an evil, and is far from being the greatest of all; too much cleverness and too much learning, accompanied with ill bringing-up, are far more fatal.”142
The Founders Dismissed Plato’s Ideas
The Founding Fathers were students of freedom. With the play of history laid out before them, they could plainly see the futility of Plato’s best laid plans to replace freedom with the seven bad ideas.
Thomas Jefferson: “While wading through the whimsies, the puerilities, and unintelligible jargon of [Plato’s] work, I laid it down often to ask myself how it could have been that the world should have so long consented to give reputation to such nonsense as this. ...His foggy mind is forever presenting the semblances of objects which, half seen through a mist, can be defined neither in form nor dimensions.”143
John Adams: “My disappointment was very great, my astonishment was greater, my disgust shocking .... His Laws and his Republic, from which I expected most, disappointed me most.”144
Thomas Jefferson: “The doctrines which flowed from the lips of Jesus himself are within the comprehension of a child, but thousands of volumes have not yet explained the Platonisms engrafted on them; and for this obvious reason, that nonsense can never be explained.”145
Thomas Jefferson: “It is fortunate for us that Platonic republicanism has not obtained the same favor as Platonic Christianity; or we should now have been all living, men, women and children, pell mell together, like beasts of the field or forest.”146
Plato’s Seven Pillars
The writings of Plato reveal his vision of how the seven pillars would best function in society. The ruling class answered to no one. With no lies allowed, except by the ruler to achieve some ultimate goal, the free-flow of information would remain suspect at all times. The caste was a permanent part of Plato’s society as a means to keep the feeble-minded in their places, and the overly aggressive people in theirs. All things in common was the ultimate goal, and having sufficient force to fully smother all other rights was to be upheld by the warriors.
As with all schemers envisioning their idea of the perfect society, Plato fell far short from reconciling irrepressible human nature with his utopian application of force to control and change the world.
130 Will Durant, The Story of Civilization, 3:510-511, Plato.
131 Plato, The Republic, see Karl Raimund Popper, The Open Society and Its Enemies, Plato; 1962, pp. 7, 90 (Chapter 6/notes 34).
132 Plato, The Republic, Book IV, Great Books of the Western World, p. 342.
133 Plato, The Dialogues of Plato, translated by Benjamin Jowett, Vol. IV, The Laws, 1908, p. 208.
134 Op. cit., Vol. III, The Republic, p. 455.
135 Plato, translated by Sir Henry Desmond Lee, Part VII [Book V], p. 191-192 (473 d-e).
136 Plato, The Republic, Book III, Great Books of the Western World, p. 326.
137 Ibid., pp. 340-341.
138 Quotation frequently attributed to Plato, but not yet sourced.
139 Plato, The Republic, Book II, Wordsworth Classics, p. 51 (369d-370d).
140 Plato, The Republic, Book IV, Wordsworth Classics, p. 118 (423a-424d).
141 Plato, Apology, Classics of Western Philosophy, 6th ed., 2002, p. 35 (29a).
142 Plato, The Dialogues of Plato, Vol. IV, translated by Benjamin Jowett, p. 332 (p. 819).
143 Thomas Jefferson, Bergh, The Writings of Thomas Jefferson, 14:147-149.
144 John Adams, Howe, The Changing Political Thought of John Adams, p. 382.
145 H. Colburn and R. Bentley, Memoir, Correspondence, and Miscellanies From the Papers of Thomas Jefferson, 1829, p. 242.
146 Ibid.
Chapter 18: India and the Caste
Roll the dice, show up among a family of untouchables and suffer the consequences—or, live right and be reborn a king or queen, it’s the way things worked among the Indian Hindus.
Story: Beginning some time before 2500 B.C., the ancient empire of the Indus River Valley apparently was the largest on earth, looming larger than Egypt and Mesopotamia. Sometime around 1500 B.C., this empire came to an end—legend and myth point to Aryan troops raining down on the empire. However it happened, an attack was so severe, the record says, that tens of thousands of the dead were left strewn in the streets of several abandoned cities.
Surviving the assault were the populations in the southern regions. They escaped the attack, organized themselves, and built a society based on a caste system. By the 5th century B.C., the caste was deeply entrenched. For the arbitrary reasons of birth, they firmly believed a child was locked into permanent and limited choices of friends, food, jobs, marriage, housing, associations, and most other aspects of life. It worked because their belief system declared birth was not arbitrary—it was all cause and effect, the result of behavior during prior lives.
Four Castes
India had thousands of castes over the centuries. Today, four major groups survive. At the top are the spiritual leaders, the Brahman priests. The warrior and aristocracy follows second. The merchants follow third, with the Sundras or the laborers last. Excluded from these are the outcasts, a group set apart by themselves consisting of the poor, the diseased or those otherwise rejected from society.
Regimenting Life
A mosaic of religions called Hinduism, and India’s ancient caste system, were intimately involved in almost every aspect of a person’s life. The system strictly regulated the labor force at all levels. It set boundaries for marriage, ordered obeisance at the feet of those of the higher classes, itemized the foods that could be grown and consumed, predetermined jobs, housing, travel, communications, and more. Attempting to break loose from that regime could cost a man and his family their lives. The lower classes usually had no hope of ever changing jobs, improving their lives, or altering their future.147
Guilds and Unions
Most of India’s early population was concentrated in villages that generally were isolated, but quite self-sufficient. They took care of their own food and nutritional needs with routines of daily chores that kept the majority of people busy and employed.
This environment encouraged the rise of specialists—ivory sculptors, craftsmen, barbers, weavers, carpenters, goldsmiths, doctors, etc. To harness this financial power, guilds and unions were formed, called shrenis (singular “shreni”).148
The shrenis excluded women so the family secrets could be carefully guarded. Newly-wed daughters usually moved in with their in-laws, and father’s didn’t want their trade secrets moving with them, to be shared by accident or under pressure with the new in-laws. Not so with the sons. They usually stayed home with their new brides and therefore could be entrusted with the secrets of the family trade.
Mixing Private With Public
Some shrenis grew so large that entire villages developed around them with every villager focused on just one task or service. The caste system, the religion, and the shrenis subordinated individual rights at every level. With local governments enforcing the protectionist rules, any artisan seeking to become independent could be punished or banished for attempting to compete outside of the established shreni.
The caste system was so entrenched in early Indian society that those of a lower class felt intensely uncomfortable being around those of a higher class. It was an automatic suppression that was achieved without soldier or weapon. It perpetuated itself by way of cultural control of knowledge about freedom and rights. It was the seven pillars of socialism at work.
Chapter 19: Aristophanes: Socialist Ideas “In the Round”
People from all ages love entertainment, as demonstrated by the discovery of ancient coliseums and performance places. As early as 400 B.C., stage plays promoting socialism became popular.
WHEN: 400 B.C
WHERE: Greece
STORY: Not much is known about Aristophanes (446 B.C.-386 B.C.) except from the glimpses he gives of himself in his plays. He was a prolific prize-winning writer, and produced numerous extravagant and popular plays.
Aristophanes is best known for his great sense of comedy and a knack for ridiculing the famous and powerful—something that people in high positions actually worried about. Some scholars give Aristophanes credit for providing more accurate information and description of ancient Athenian culture than any other writer.
Socialism “Live On Stage”
Aristophanes enjoyed proselytizing his views on Plato’s socialism. In his play, The Ecclesiazusae, he has a woman named Praxagora joining several other women who dress in men’s clothing and beards to attend the “men only” political Assembly. Afterwards, in a discussion with her husband Blepyrus, she explains her views on the ideal society. Says Praxagora:
“I want all to have a share of everything, and all property to be in common; there will no longer be either rich or poor; no longer shall we see one man harvesting vast tracts of land, while another has not ground enough to be buried in ... I intend that there shall only be one and the same condition of life for all ... I shall begin by making land, money, everything that is private property, common to all.”
All Things in Common—Including Women
But alas and forsooth, that is not all that the characters in the play hoped to achieve. Aristophanes foreshadowed future socialistic experiments regarding marriage when he had his fictional Praxagora discuss men and women in common:
“I intend that women shall belong to all men in common, and each shall beget children by any man that wishes to have her.”
Then Blepyrus observes the obvious, “But all will go to the prettiest woman and try to lay her.”
To which Praxagora explains the socialist’s solution: “The ugliest and the most flat-nosed will be side by side with the most charming, and to win the latter’s favours, a man will first have to get to the former.”
Aristophanes’ theme of “all things in common” is found in several of his surviving plays.149
WHEN: 100 BC
WHERE: Mediterranean Lands—more socialist literature
STORY: About two centuries after Plato’s death, the Greek historian Diodorus Siculus re-created Plato’s ideas in a story. In one dreamy place that Diodorus called the “sunny islands” (in the Indian Ocean), he manufactures a fictitious re-creation of Plato’s Republic. On these islands the 400 inhabitants labored for each other and freely shared in all things.
“Marriage is unknown to them; instead they enjoy communal wives; children are brought up in common as they belong to the whole of the community and are equally loved by all. Frequently, it so happens that nurses exchange babies that are suckling so that even mothers do not recognize their children.”
These fictional people lived to age 150, were unusually tall, and anyone with a physical defect was expected to commit suicide.150
Chapter 20: Rome’s Recipe: Bread & Circuses
In the Roman Senate, support for Ruler’s Law came as cheaply as a free loaf of bread or a small sack of grain.
STORY: Around 140 B.C., Roman politicians applied that old sure-fire formula to stay in power: buy votes with bread. Their easiest target were the poor people who happily exchanged their supporting votes for food and entertainment.
At the time, things were not well in Rome. Much of the populace had neglected their participation in the political affairs of the Republic. The average Roman was content to leave the drama and intrigue of national leadership in the able hands of professional politicians. National neglect left a dangerous void. But with free bread or small bags of wheat handed out, thanks to the benevolence of those in power, why worry?
The free lunch strategy wasn’t enough to settle the concerns of the politicians. The fact that the country was falling apart was hard to hide, and the politicians used the best anesthesia they had—Monday Night Football—or, in their day, The Circus. These huge parades of blood and action grew into grand spectacles and extravaganzas of the exotic. They drew thousands of spectators.
The distraction worked well for more than a century. While people were glued to the drama at the stadiums to watch chariot races or helpless slaves shredded by lions, or re-enactments of battles with real killings, an iron-willed emperor slipped into the Senate and transformed the weakened republic into an empire. His name was Julius Caesar, a savvy student of Ruler’s Law.
The Roman citizens could do little to stop the takeover—but the prevailing attitude appears to have been, why worry so long as we have bread and circuses?
The Roman promise of bread and circuses (panem et cirenses) has since been mimicked around the world as Spain’s “bread and bullfights” (pan y toros), Russia’s “bread and spectacle,” and America’s “tax, spend and bailout,” among others.
Chapter 21: Israel and the Elusive Essenes
Religious extremists were some of the first to discover “all things in common” is a really bad idea. The Essenes tried it between 100 B.C. and A.D. 100. Did it work?
STORY: Josephus, Philo and other early historians reported that the Essenes were the smaller of three Jewish sects (Essenes, Pharisees, Sadducees), that flourished for a couple of centuries around the time of Christ. The Essenes became noticed around 100 B.C. They were found among several cities according to Philo, but Pliny the Elder (died A.D. 79) puts them off the shores of the Dead Sea at Ein Gedi and probably at Qumran, site of the discovery of the Dead Sea Scrolls.151
The Essenes lived a strict life of celibacy and no private property. All money and property was held in common. It was a self-imposed socialism where they practiced religious rites of communalism (all things in common) for the purposes of worshiping God. They ate no meat nor offered animal sacrifice.
The leader was supreme in all things and whatever orders he issued, everyone obeyed. There is evidence the leader might also have had traditional Jewish authority in his bloodline from his ancestral connection to the priesthood tribe of Levi.
The Essenes practiced daily baptisms, voluntary poverty, and would not swear oaths. They tried controlling their tempers, and vowed abstinence from all worldly pleasures, including marriage and sexual intimacy. Sometime around A.D. 100, the sect disappeared.
2,000 Year-Old Best Seller
Knowledge of their existence came alive with the discovery of the Dead Sea Scrolls in Qumran. Some scholars believe these scrolls belonged to the Essenes’ community library. Many of the scrolls have been translated and were found to include copies and versions of the Hebrew Bible dating back to 300 B.C.
151 See references to Essenes in Josephus, The Wars of the Jews, Antiquities of the Jews; Philo; Epiphanius, among others.
Chapter 22: China: Wang Mang, a Failed Socialist
STORY: After a thousand years of all-powerful emperors in China controlling everyone and everything, a man came along who was the epitome of utopian scheming—Wang Mang. Was he a great visionary or a royal incompetent? It is still debated.
Wang Mang152 ruled from A.D. 9-23. He set out to start a dynasty of selfless social reform, and end the Han Dynasty with its wealthy class of land owners. He called his dynasty Xin, meaning “new.”
Once in power, he nationalized gold, imposed government monopolies, and went after the large-land owners to break up their power. He imposed communal farming and forced families to farm a plot shared by others. The food they raised went to the local rulers who then gave part to Wang Mang as tribute.
Wang Mang was not a good diplomat. His arrogance and frequent faux pas in the presence of foreign heads of state ruined international relations. Diplomacy as a tool to resolve differences with countries collapsed. This led to wars, death and misery.
If that wasn’t enough, one year the Yellow River suddenly changed course and started flowing south—not his fault, but his strident regimentation offered no solutions. The lack of water ruined the agriculture and caused panic, famine, and epidemics. Great masses of people started moving around for greener pastures.
The people finally gave up on Wang Mang and tossed him out. The wealthy and nobility banded together, with the military, and took their country back, reinstating the Han dynasty. Unfortunately, it was too little too late. Enemies watching from afar saw a vulnerable and fractured country, and launched an attack. They sacked the capital city of Chang’an. Wang Mang and his personal guard of 1,000 took their last stand but all of them were killed. Thus ended his short and confusing reign.
History remembers Wang Mang as a failure. China learned once again, as its people were limping about in chaos and ruins in A.D. 23, that the seven pillars of socialism can neither build nor prosper them.
152 See Rudi Thomsen, Ambition and Confucianism: A biography of Wang Mang, 1988.
Chapter 23: How Socialism Killed Rome
After a few centuries of strict government control, the slow death of Rome’s love affair with “the dole” finally took its toll.
Story: Rome’s experiment with the Seven Pillars of Socialism destroyed the empire from within, in just a few centuries.153
During the first century B.C., a great civil war sapped the strength of Rome.154 Mark Antony led rebellious troops to conquer Octavian for control, but Mark Antony was defeated. This was supposed to mean a return to economic freedom. However, the Roman empire was drained of its endurance. The army was sucking huge taxes from the people. Heavy inflation was underway and the means to rejuvenate the economy were blocked by closed trade routes. Over time the people concluded that only by putting all power into one individual could they get Rome’s financial house in order. They gave that power to Octavian who took the name Augustus, the first emperor of Rome in 27 B.C.
The Dole Drains
Since 140 B.C., Rome had informally adopted its expensive policy of bread and circuses. This steady drain on resources was tolerable at first. When the policy hit full stride under Tiberius Gracchus in 123 B.C., its popularity was drawing crowds by the thousands. Some 80 years later (40 B.C.) the empire was supporting more than 320,000 Romans. This number dropped to a steady 200,000 by A.D. 30. Bread was not the only handout in those days—sometimes free pork, oil, and wine were added.155
Welfare Pushes Taxes Higher
The free food forced taxes up. For two centuries the tax rate had hovered between the miniscule margins of .01 and .03 percent.156 By the early A.D. 100s, taxes rose to 1 percent. Roman coinage began to suffer. The denarius started to lose precious metal content—down to 90 percent during Nero’s time (circa A.D. 60). By A.D. 300, there was hardly 5 percent silver in the coins. With high taxes and military costs skyrocketing, Rome’s money was becoming worthless. The government was forced to take extreme measures. It began confiscating food and manufactured goods directly from the citizens. Soldiers went about taking people’s cows, pigs, harvests, and crafted goods, whenever the need arose.157
This mess locked everyone into their jobs—nobody could easily change. The state compelled them to work their jobs to support the army. This caused many to hide their wealth so the state couldn’t take it.
People Seek Escape
As the economy broke down, people fled to work their own plots, or took safety with a wealthy land owner. By A.D. 270, the denarius was down to .02 percent silver, causing food prices to explode. One estimate put inflation at 15,000 percent during the third century.
The crisis was so severe the rulers took extreme action to stabilize the economy. For example, the death penalty was imposed on those caught fixing prices. Hundreds were executed for the least little infractions.
A local historian, Lactantius, reported that so much blood was shed that products were no longer brought to market for fear some oversight or suspicion would result in instant death. Fortunately, the death law was finally repealed. But that didn’t stop the oppression—there were still wars to be fought.
The Cost of Defense
To distribute the burden of Rome’s expensive wars, the state calculated precisely what one soldier required in food and supplies. This, multiplied by all the soldiers, told the emperor how much each individual Roman citizen had to contribute.
Then, the emperor went forward with a monstrous inventory, counting every fruit tree and vine, every square foot of cultivatable land, every animal, and every living soul. Using this information, each citizen’s responsibility was spelled out so they could pay in advance and avoid surprise confiscations.
Forced Unionization
Another approach to calming the raging inflation was forcing workers to organize into guilds, and businesses into collegia, both controlled from above. This structure forced workers to remain chained to their jobs. People hated that and rebelled by abandoning their farms, hoarding, refusing to trade, and suddenly the number of people dependent on bread grew to exceed the capacity of those producing all the bread.
Collapsing Currency
Efforts to restore the currency failed to stem the tide of collapse. The wealthy had managed to bribe their way out of paying taxes, and the impoverished workers had been shouldering almost all the financial burdens. Taxes climbed to 4.5 percent in A.D. 444, but revenues continued to fall as the people started to withdraw from society. They could see their country coming apart—the government, the economy, and the security of the borderlands.
Rome’s Collapse Comes as a Relief
The final few years saw no income to finance Rome’s mighty army, its ships, and its forts, or, to fight the invading forces. When Rome finally collapsed in A.D. 476, the scattered citizens grouped around the churches and villas, and willingly offered themselves as servants, slaves or tenants—anything to just stay alive. By then, the collapse was seen more as a relief than anything else—a relief to be out from under the decay and tyranny and burdens of that society.
With the former empire’s defenses dissolved away into the countrysides, the invaders had free reign of the great production that once dominated the land. But unlike other conquering hoards, the barbarians were not bent on wiping out every last person—only the Roman government. With that disposed of, the invaders allowed the business people, the landowners, and their workers to remain because such concentrations of capability and wealth gave the invaders more resources to tax, tax, and tax. It was the late A.D. 400s, the start of western Europe’s so-called dark ages.
Socialism in the Ancient World
A sign of socialism is the control of information. For ages, the European continent was under various dictators who suppressed the growth of cultures and civilizations to maintain their power. Once those shackles began to fall by the A.D. 1200s, an enormous enlightenment unfolded.
The Greek influence had already been popular and widespread before Rome’s rise and had a large influence after Rome’s fall. Monuments, statues, ceremony with pomp and circumstance to institutionalize the coronation of the new ruler was very appealing to both friend and foe. Spiritual stability in the worship of Greek and Roman gods developed alongside economic prosperity. In short, the individual in the Mediterranean region enjoyed more freedom of action after Rome’s fall than did his predecessors living under Rome’s imperi-alism.
As populations spread across Europe during the middle ages, there was a shift from agricultural life to the rise of city-states and large concentrated populations. Power became consolidated in centralized groups, in local rulers and in businessmen, and the farmers became the paid or indentured laborers for the wealthy. International trade became important and the profitable benefits of peace and cooperation between regions, realms and budding countries were secured as best as the times would allow.
Another advancement that grew out of the middle ages was an improved value on life—people were not as easily disposed of as in centuries past. Individuals took a more active part in social life. They saw the world much differently. Instead of rule by the gods and the whims of the deities, people began to formulate advantages for personal gain outside of local feudal control.
Curiosity about the world and the mechanisms giving it energy and operation triggered the rise of philosophers and their schools of thought. Balance and harmony with the universe became the new spiritual pursuit. The study of astrology, languages, the arts, politics, literature, music, painting, sculpture, architecture, and philosophy flourished. It was the dawning of a new age, the age of enlightenment.
Polybius Describes Socialism’s Deadly Pattern
Polybius was an ancient Greek historian who lived 200-118 B.C. He is known for his 40-volume work, The Histories, covering the period 220-146 B.C. He describes the growing power of the Roman Republic and how it eventually overshadowed Greece. His insights were extremely valuable in the writing of the U.S. Constitution.
In the passage below, Polybius provides an amazing insight into man’s eternal cycle that starts as a condition of savagery, then the fight for freedom, then succumbs to corruption, and back again to savagery. He explains why this cycle continually unfolds, suggesting the best way to stop it is proper education about freedom, passed along from generation to generation, parent to child, forever. There is nothing new to the bad ideas of socialism, they’ve been around forever. But so have the good ideas, when they’ve been preserved and practiced. During the dark ages, the bad ideas prevailed.
Speaking about the oppressed who eventually gang up and overthrow a tyrannical government, Polybius said—
“Then as long as some of those survive who experienced the evils of oligarchical dominion [all power in the rulers], they are well pleased with the present form of government, and set a high value on equality and freedom of speech. But when a new generation arises and the democracy falls into the hands of the grandchildren of its founders, they have become so accustomed to freedom and equality that they no longer value them, and begin to aim at pre-eminence; and it is chiefly those of ample fortune who fall into this error.
“So when they begin to lust for power and cannot attain it through themselves or their own good qualities, they ruin their estates, tempting and corrupting the people in every possible way. And hence when by their foolish thirst for reputation they have created among the masses an appetite for gifts and the habit of receiving them, democracy in its turn is abolished and changes into a rule of force and violence.
“For the people, having grown accustomed to feed at the expense of others and to depend for their livelihood on the property of others, as soon as they find a leader who is enterprising but is excluded from the honors of office by his penury [his poverty], institute the rule of violence; and now uniting their forces massacre, banish, and plunder, until they degenerate again into perfect savages and find once more a master and monarch.”158
Learning to recognize socialism
In the ancient world the ideas of socialism sprang up spontaneously wherever bullies wanted to rule. In today’s modern world, that phenomenon is facilitated by instant communications, unprecedented access, and almost limitless resources to magnify ideas and theories everywhere, even down into the intimate and private world of the individual.
As in the days of Aristophanes, popular entertainment continues to be a strong vehicle to both promote socialism and warn against it. Books and movies that create prophetic fantasies of a world under socialism are widely enjoyed. They have raised the art of story-telling to new heights, and many of them give chilling portrayals of a future world enslaved in socialism by the Rulers. For example—
1984: Richard Burton’s last film. Cameras are everywhere in futuristic 1984. Big Brother is always listening and watching. Only crimes of the heart escape scrutiny—for a while, anyway.
Fahrenheit 451: The totalitarian government does not want books because they spark notions of freedom. So-called “Firemen” are given authority to check anyone anywhere for hidden books, and may burn them on the spot. It works until one of the Firemen meets a pretty school teacher named Clarisse. She likes books....
THX 1138: It’s a great socialist idea—drug everyone’s emotions and sex drive so they stop bothering others and obey the robot cops without question. It works until someone dodges the drug—and then human nature awakens, demanding a mate and freedom. In true socialist fashion, the tense final chase scene lasts only as long as the regime’s inflexible budget.
V for Vendetta: Remember, remember the 5th of November. A freedom loving terrorist awakens London from its stupor of obedience to the Chancellor’s oppressive socialism, using Truth against the regime’s Lies.
The Village: This gripping conspiracy of ignorance to control the villagers is riveting. All the socialistic tricks are there: deceit, control, no innovation allowed, terror to keep the populous subservient to the fathers, until desperation requires a messenger to procure medicine from the evil capitalists on the “outside.”
The Matrix: Here is the perfect socialist society with all humans in a coma, their brains running a program that grants them a fulfilling life while their bodies float in life-sustaining fluids with wires taking away electrical energy to support the vast communal intricacies of the Matrix.
A Bugs Life, Antz, Bee Movie, among other animated movies, portray the struggle of the individual protagonist doing battle against regimentation and the “colony mind set.” The totalitarian society allows for no innovation or deviation from the expectations of assigned duties and the mandate to just “go along to get along.” The hero tries to stand up against this regimentation and tell his friends about freedom and individual choice, at the risk of his life.
Part IV--SOCIALISM IN THE MIDDLE AGES
“They advocated having all things in common—including wives. Early Church fathers stated, ‘They led lives of unrestrained indulgence’...”
153 See Bruce Bartlett, How Excessive Government Killed Ancient Rome, The Cato Journal, Vol. 14 Number 2, Fall 1994.
154 See The Encyclopedia Britannica, 13th Edition, 1926, Rome.
155 See Michael Rostovtzeff, The Social and Economic History of the Roman Empire.
156 A. H. M. Jones, Taxation in Antiquity, published in The Roman Economy: Studies in Ancient Economic and Administrative History, 1974, p. 161.
157 Aurelio Bernardi, The Economic Problems of the Roman Empire at the Time of Its Decline, in The Economic Decline of Empires, Routledge, reprint edition, 2006, pp. 16-83.
158. See William Ebenstein, Great Political Thinkers, Plato to the Present, Rhinehart & Co., Inc., New York, p. 115.
Chapter 24: Socialism and the Rise of Christianity
True Christianity blessed the world. The frauds and misguided adherents used the Gospel of “Good News” to wreak havoc.
With the rise of Christianity the roots of socialism found rich soil in which to sink its perversions and corruption. On the surface, socialist doctrine aligned well with the basic Christian ideals of charitable giving, sharing, and a belief in a future “last days.” It was this latter idea of a coming millennium that attracted early Christian dissenters. They rejected the growing power of the Church, and longed for the prophesied thousand years of peace and joy when all things would be had in common.
The Catholic monasteries and convents provided good models for the socialist life style—no private property, all things in common, self-interests and initiative subordinated to abject obedience, and all forms of the nuclear family abandoned. However, that self-imposed Spartan existence wasn’t enough for the Christian heretics.
A heretic is someone with a dissenting point of view to an orthodox religion; it is someone who makes a change to the official dogma, the tenets, or declared beliefs of a religion. Being accused of heresy results from expressing or acting out those dissenting views.
A heretic is not the same as an apostate who rejects completely a belief system. And, it is not the same as a blasphemer—someone who is rude or irreverent toward a religion.
As the religious heretics159 gained power and influence during the Middle Ages, they adopted several perversions of the Christian model and used force and death to impose those beliefs on others. This was poles apart from what Jesus taught. His was a gospel of compassionate choice—free and voluntary; no compulsion, no coercion, and no force.
Socialism in the Christian Era
The first 500 years of Christianity saw the rise of heretical movements, each built on the preachings of a strident leader who strove to rework Jesus’ true Gospel of peace.
The heretics’ misunderstanding was rooted in events described in Acts 2:44-45 and 4:32, where the idea of lumping all property together and living a life of pious poverty received Biblical authority (See Chapter 36, Did the Early Christians Practice Communism?). For the heretics, common property was a sign of humility and an overt signal to everyone that they were rejecting the imperfect material world. Rejecting material goods remained a common theme among the heretics for many centuries.
Christianity Offers Choice, Socialism Offers Force
The 1,500 years of Christian heresies are good examples of how the pillars of socialism found power under the guise of sincere association with Christianity. The drifting away from the simple concepts taught by Jesus led many tens of thousands into behavior completely contrary to his Gospel. Likewise, the heretical descent into debauched paganism violated the most basic truths of happy human existence that had been embraced even before Moses brought forward God’s commandments to ancient Israel.
As noted below, many of the heretical groups descended into a “jungle morality” of uninhibited sexual union, a theme common to all fallen societies. Scholar Igor Shafarevich located much of the Middle Ages information that follows. He describes these religious movements in greater detail in his book, The Socialist Phenomenon.160
WHEN: 1st Century A.D.
HERESY: Nicolaites—first Christian socialists161
STORY: As the original Apostles died away, various break-away Christian factions began to interpret scripture in strange ways, and injected their own ideas. They began forming various sects to create their form of a perfect society. The Nicolaites took their name from Nicholas, one of the seven deacons in Jerusalem. They are mentioned negatively in the Book of Revelations.162 They preached against private property, and encouraged having all things in common—including wives. Early Church fathers stated “they led lives of unrestrained indulgence,” and “ate things offered to idols.”163 Nicholas supposedly allowed other men to share his wife. Eusebius said this socialistic sect was short-lived.164
WHEN: 2nd Century A.D.
HERESY: Carpocratians—also had wives in common
STORY: Carpocrates165 taught a few principles of Christianity and then brayed off into the wilderness by falsely attributing to God a desire that his followers practice the socialist ideals of all things in common and no private property: “God’s justice consists in community and equality,” wrote Epiphanes, the son of Carpocrates. “He who takes a wife, let him possess her. But they can possess all in common as the animals do.”
Epiphanes continued: “It is therefore laughable to hear the giver of laws saying: ‘Do not covet’ and more laughable still the addition: ‘that which is your neighbor’s.’ For he himself invested us with desires, which moreover must be safeguarded as they are necessary for procreation. But even more laughable is the phrase ‘your neighbor’s wife,’ for in this way that which is common is forcibly turned into private property.”
This sect was reported to have spread from western Greece to Rome and points between. Having women in common was a distinguishing enticement that helped the sect grow so rapidly.
WHEN: 3rd Century A.D.
HERESY: Manicheism—also shared wives
STORY: Followers of Manicheism believed in the socialist ideals of all things in common and no private property. The group’s founder, Mani (A.D. 216-276), lived in Babylonia and became the founding prophet of his sect after he had a personal spiritual experience. Afterwards, he wrote six sacred books that he claimed corrected the corruption of Adam, Zoroaster, Buddha, and Jesus.
Plato’s class socialism can be detected among Manicheism followers. They organized themselves into the upper “Elect” and the mainstream “Hearers.”166 The Elect fasted once a week, sometimes twice. The Catholic Encyclopedia reports Mani’s followers were rigidly regulated. “They were forbidden to have property, to eat meat or drink wine, to gratify any sexual desire, to engage in any servile occupation, commerce or trade, to possess house or home, to practice magic, or to practice any other religion.” They were opposed to marriage and viewed maternity as a calamity and sin because having children interfered in “the blissful consummation of all things.” 167
Mani’s religion endured about 400 years and was one of the most widespread religions in the world. At its peak, Manicheism stretched from the Roman Empire to China. Mani’s six holy books were translated into Persian, Chinese, Greek, Coptic, and Latin, among others, helping prosper the sect. St. Augustine was a member for 9 or 10 years before converting to Christianity—then he became its fierce opponent. The sect finally faded from sight in the A.D. 600s.
WHEN: 4th Century A.D.
HERESY: Mazdakism—early communists168
STORY: The Mazdakians tried to practice the socialistic ideals of no private property and having all in common. They used strange ideas and perverted conclusions to control and coerce followers into nefarious behaviors.
The namesake for Mazdakism is a fellow named Mazdak. Not a lot is known about him, and some wonder if it was an earlier Mazdak who actually named the religion. Most of the information about this heresy comes from his enemies scattered about in such diverse places as Syria, Persia, Greece and Arabian territories.
Mazdak taught there were two main forces in the universe—light and dark—that were meant to remain separated but accidently mixed together here on earth. He said the living were obligated to rid themselves of the dark so more light could be released into the world.
To this end, Mazdak discarded the Church’s religious formalities and emphasized good personal conduct. This included sharing one’s wealth, no killing or shedding of blood, no eating flesh, never oppressing others or inflicting harm, always standing on best manners to be friendly, to be giving and kind—and, oh yes, sharing the women.
Mazdak believed God gave the earth’s resources to everyone as a gift so things could be divided up and shared equally among all men. He blamed the greedy and strong for hoarding the resources and dominating the weak, whereby the earth’s evil inequalities were created.169
Mazdak taught that inequality unleashed the evil demons of Envy, Wrath, Vengeance, Need, and Greed into the earth. He said the only way to get rid of these evils was by eliminating family and property, and making women and wealth common among all people. And that’s just what they tried to do: destroy family and live off of each other. The historian Abu Tabari (A.D. 838-923) wrote, “Frequently, a man did not know his son nor the son his own father, and no one possessed enough to be guaranteed life and livelihood.”170
Modern historians brand Mazdak as an early socialist, and his philosophy as early communism.
Mazdakism Was Appealing
Over the years, Mazdakism spread across Persia, even converting Persia’s King Kavadh. Local Zoroastrians (followers of an ancient Iranian religion) feared the Mazdakism’s growing popularity. In A.D. 524, they received permission from the king to rise up, attack the Mazdakians, and cleanse the land of that evil heresy. The band of attackers successfully slaughtered most of the Mazdakians, including Mazdak whom they hanged. A few small remnants fled for survival, and kept the movement going for centuries. By the 1700s, only a small handful of Mazdakians remained, continuing to practice their observances among their Muslim neighbors in secretive modesty.
A Christian Is as a Christian Does
These assorted heretics relied on distortions, perversions and complete destruction of the ideas Jesus originally taught in order to create their religious empires. The closest Jesus ever came to using force was to drive the money changers out of the Temple. However, he was well justified by both Jewish law and tradition to do so— no one dared complain. The lax Jews had allowed their Temple to become a place of mercantilism rather than a common gateway for people of all walks to bring their sacrifices and petitions to God.
When Jesus began his ministry, his message was consistent and powerful: freedom—freedom to choose, to act, to impart, to align and adhere; freedom to show love and caring compassion for others. The personal salvation of the human soul and a path to a fullness of joy was what Jesus offered. It was voluntary, never forced, and required nothing but a willingness to embrace the basic principles of freedom and personal accountability.
Jesus taught his followers to have problems in common, not things in common. This doctrine was misunderstood and lost in the centuries after Jesus’ crucifixion. During Western Europe’s mediaeval ages, much of the Mediterranean and European region fell into a darkness of masters and slaves. In the name of religion and Christianity the seven pillars of socialism were propagated to a frenzy through time and throughout the continent.
Historians of today typically hold Christianity guilty for the atrocities of the medieval period. In truth, it wasn’t the philosophy and teachings of true Christianity that were at fault. The fighting popes, the crusades and inquisitions, the selling of indulgences—all abuses of faith and uses of force—were opposite to Jesus’ message of freedom, charity, compassion, fidelity, hard work, friendly persuasion, and love. True Christianity is completely compatible with all the principles of freedom—it sustains every unalienable right. It might be said that Christianity is the embodiment of every principle required to acquire and perpetuate freedom because freedom and corrupted personal behavior are not in any way compatible.
Socialism at Work
The heretics provide a good example of how the control of information can lead normal people into abnormal behavior. The followers simply had to believe what they were doing was right, and the ancient pied pipers could lead their flocks to waste away their lives in the leadership’s service.
For several centuries the vast whole of the assorted heretics unitedly looked forward to a great “last days” when destruction would cleanse the earth of its polluted man-made societies and replace them with a thousand years of utopian bliss. To achieve this end, most heretics believed they were supposed to help bring about the conflagration and destruction of the current state of affairs. They believed they were duty-bound to take part in the divine cleansing. Many were happy to hurry the process forward with arson, killing, torture, raping, robbing, and ruin. The mass liquidations of millions by subsequent leaders and forces perpetuate these same dark ideas. Lenin, Stalin, Hitler, Mao, Islamic extremists, tribal tyrants, and all the others, justified and justify the genocide of millions of people for these same ends: to purify their great society.
159 Wilhelm, Joseph, Heresy, The Catholic Encyclopedia. Robert Appleton Company.
160 Ibid., Igor Shafarevich, The Socialist Phenomenon.
161 Acts 6:5; Apocalypse 2:6-15.
162 Revelations 2:14.
163 Translated by Alexander Roberts and William Rambaut, Ante-Nicene Fathers, Vol. 1 edited by Alexander Roberts, James Donaldson, and A. Cleveland Coxe, 1885.
164 See Irenaeus, Against Heresies, Catholic Encyclopedia, Nicolaites.
165 New Advent, Refutation of All Heresies, Book VII, chapter 20.
166 This group is discussed in more detail in The Socialist Phenomenon, I. Shafarevich 1980.
167 Catholic Encyclopedia, Manichaeism.
168 Remy, Arthur F.J. “The Avesta.” The Catholic Encyclopedia. Vol. 2. New York: Robert Appleton Company, 1907.
169 The Cambridge History of Iran, volume 2, p. 995-997.
170 Wherry, Rev. E. M., A Comprehensive Commentary on the Quran and Preliminary Discourse, 1896, pp. 66; http://www.worldlingo.com/ma/enwiki/en/Iranian_philosophy.
Chapter 25: Feudalism and Ruler’s Law
Feudalism was no futile philosophy—it was socialism.
From the A.D. 700s to the 1400s, socialism was practiced by landholders in Europe. They gave desperate people a level of security and a place to stay in exchange for labor and loyalty. It was not any form of an established system of government, but it became an orderly way to preserve a degree of peace in the land.
Long before Rome fell in A.D. 476, the local seats of Roman power and landholdings were established with the construction of Roman villas. Originally, these were country dwellings for the nobility, and were scattered all over Europe. When Rome fell and Europe became decentralized, the local churches and villas became the new power centers. Those families who had land, and the means of protecting it, cordoned off their claims and dared anyone to take it away.
The peasants were left with nowhere to turn except to align with the churches or one of the landholders. And so evolved a crude replacement of Roman rule. The tenants willingly gave their sweat, labor and loyalty in exchange for a place to farm and raise a family.
Making a peasant a vassal was quite the formal and ceremonial event. It included a great feast and everyone showed up in their Sunday best. At the conclusion of the dinner, the vassal gave an oath to the lord—to obey and observe their contract of cooperation. This ceremony rendered the contract formally consummated.
The Feudal Arrangement: These informal contracts gave the lord of the land a body of farmer-warriors whom he could call upon to defend his lands or to pursue other goals. It also gave the farmer a fairly reliable place to settle down and raise his family. He paid for this safety by giving away part or all of his agriculture work, or by taking up the sword, if so commanded.
The vassals were not all farmers. They performed an assortment of other duties, but usually they could not own anything. Those who were particularly valiant were granted favors or were elevated to a class of nobility—knights, counselors, guards, etc. These promotion ceremonies were mixed with Christian sacraments to give the whole structure a degree of God-sanctioned authority. The religious anointing of kings (the previously mentioned divine right of kings) and sacred oaths of knights were viewed as binding before God and king.
Fief: The word fief has a long history but was used to mean possessions or duties in a feudal relationship. A person’s fief could be any number of things: land, money, animals, an office, a task such as hunting or fishing. These could be passed down to the next generation but the original property right or authority always remained with the king—and what the king giveth he could also taketh away.
Castles: Those beautiful buildings romanticized in legend and lore were the private fortified residences of the lords. They originated in the A.D. 800s, and many were actually the glorified expansions of the Roman villas. They were symbols of a king’s power and influence, and became centers for administration of the lands and fiefs under his control. The more powerful the king, the larger the castle. Finally, by the 1700s, cities and borders were well-established and most of that constructive bragging and building of the elaborate castles finally wound down so that attention and resources could be focused on other more pressing projects. 172
Chapter 26: Socialism in the Middle Ages
For parts of western Europe, the Middle Ages were dark and suffering years, highlighted with crazies running amok.
The first few centuries after the turn of the new millennium (A.D. 1000) saw an astonishing period of fanaticism and backwardness in Europe. People lost their heads—figuratively and literally. Where the existence of the Church was intended to bring civility to life and a deeper soul-searching pursuit of happiness, a few over-zealous fanatics managed to rise to the top of various religious movements. They drew thousands into acts of brazen paganism.
WHEN: 1100s-1200s
HERESY: Catharism—violent “Christian” socialists173
STORY: The Cathars used the socialistic ideas of information control to live with all things in common and complete regulation of every aspect of its followers’ lives. They degraded to the point of forcing people to kill themselves, or be murdered if they disagreed, to fulfill their bizarre doctrine that life was evil.
In Greek, cathar meant “the pure.” Over the centuries this heresy expanded into at least 40 different sects including numerous non-Cathars sharing the same doctrinal tenets. Its beginning was around A.D. 1000, and it swept across Europe in a matter of decades. A former Cathar bishop in Italy wrote in A.D. 1190, “Are not all townships, cities and castles overrun with these pseudo-prophets?”174
Evil Gods, Good Gods—Take Your Pick
The Cathars believed the physical world was the source of all evil, and that it was created by an evil God or perhaps by God’s fallen son, Satan—they weren’t sure. The spiritual world was the essence of good, and was created by a good God. There was to be no mingling between physical and spiritual. They supposed that Jesus, being good, had to be a spiritual being while on earth—although the circumstances of mortality obligated him to make himself appear as a physical man.
Cathars called themselves “New Adams,” and viewed the Church as a hostile enemy. It was a philosophy that centuries later would give rise to humanism and other movements of self-worship.
All Material Things Are Evil
Cathars considered their own bodies to be the creation of the evil God. Their bodies, and all other physical creation, were doomed to destruction. Their essence or matter wasn’t destroyed, they taught, but was recycled into new creations by the evil God. They believed the ultimate goal of mankind was, therefore, to throw off the physical—that is, commit universal species suicide—to free their spirits so they could join the good spiritual God.
Plato’s teachings about family and society gained practical support in the Cathar’s religious beliefs. They rejected property as a product of the evil God, and they forbade marriage. Sexual relations were okay so long as they didn’t propagate the species. Pregnancy was seen as the means whereby spirits became trapped in material bodies. Pregnant women were considered possessed by demons, and so were their children.
Say That Again—Sex Bad, Death Good?
Cathars didn’t eat anything that came from mating (meaning, no meat of any kind), or participate in anything considered physical or material that was a creation of the evil God. They opposed legal proceedings, giving oaths, owning a weapon, fighting in war, or even contacting non-Cathars unless it was to proselytize.
They firmly believed that becoming freed from the body was a good thing—and the sooner the better. If one among their numbers was terminally ill, he or she was given a deathbed “consolation.” However, if that “consoled” person suddenly recovered and didn’t die, it was expected that he would still honor the consolation by committing suicide. Suicide was viewed by Cathars as a lawful act—it was also encouraged and commendable. They called it “endura.”
Few people wanted endura, especially after recovering their health. In those instances, the happily restored person would receive involuntary endura—basically they were murdered.
According to some researchers, more Cathars in France died from endura than from the pope’s crusade in A.D. 1208, which was specifically dispatched from Rome to eradicate the Cathars.175
Cathars Hated the Catholic Church
Cathars viewed the Church as the whore of Babylon and the source of all error. Cathars denied Catholic sacraments such as communions, marriage, and baptism of children (declaring that children were too young to believe). They hated the cross as a symbol of the evil material God. Some sects felt justified in attacking churches—burning, looting, plundering, defiling, and killing.
War and Crusades
The pope launched several crusades against the Cathars, once trapping them in castles in the southwest corner of France where many hundreds of their leadership were finally killed, burned, or captured. In Béziers, between 15,000-20,000 men, women, and children were butchered. When the Crusaders asked how to identify their prisoners as Cathars or Catholics, the crusader monk, Armond Amaury, is reputed to have told his troops, “Kill them all, God will know his own.”176
By A.D. 1220, the Cathars were no longer a threat in Germany and England. Over the next century they were exterminated in France, Belgium, and Spain. By A.D. 1400, remaining believers in Italy were executed, and the Balkan States chased out the remainder a few years later. In A.D. 1416, some 40,000 Cathars left Bosnia for Herzegovina, where they finally disappeared after the Turks conquered those provinces and imposed Islam.
WHEN: 1200-1400s
HERESY: Brethren of the Free Spirit
STORY: The Brethren of the Free Spirit used the socialistic principles of information control, force, and all things in common to spread destruction in the lives of others in preparation for the coming cleansing of the world.
Joachim of Fiore (A.D. 1135-1202) and Amalric of Bena (died A.D. 1204) were the pioneering brains behind many of the Middle Ages heresies. They shared the belief that the corrupted world was about to end. It had already passed through two of its three epochs—Moses’ law, then Christ’s Law—and in A.D. 1260, according to their calculations, the world would finally enter the third epoch, a new age of freedom.
This era of perfection was supposed to be wonderful—a time when the words “mine” and “thine” would be unknown, and the renewed church would serve all mankind equally and fairly.
However, arriving at this blissful state required passage through a terrible period of war and bloodshed when the Antichrist would appear. Joachim taught that the Catholic Church was proof of the prophesied decay, and said the Antichrist would appear and rise up to become its pope. He told followers that if they would revert to apostolic poverty (no property or money), they would become strong enough to defeat the Antichrist. The result would be all of mankind uniting in Christianity.
Must Destroy at All Costs
Joachim promised that the destruction of the Church would open the door to a leaderless communal world run by the people. This teaching is said to have influenced—or at least, been a precursor to—Marx’s call to abolish the state and install rule and order through the dictatorship of the proletariat.177
Meanwhile, Amalric told everyone he was the embodiment of this budding third epoch—the man into whom all revelation was imbued, just as revelation was imbued into Christ.
Go Have Fun—There is No Longer Any Sin
Amalric taught that he and his faithful inner circle were above sin because they were received and accepted of God. And, God being the author of all things good and evil, whatever they did was, therefore, God’s will. This relationship made them surprisingly incapable of sin. To achieve that holy state, they had to surrender all property, their families, even their own will, and go about begging for survival. They called themselves the “The Brethren of the Free Spirit.”
With no moral restrictions, the Free Spirits believed they owned everything and they could do with it as they pleased. Anyone standing in their way could be killed. Nothing worldly could further exalt or diminish a Free Spirit. Once they achieved their state of “godliness” and understood that God works through everything, Free Spirits believed they could engage in sexual relations with any woman—stranger, sister, mother—and it could not stain him and would only improve her holiness.
By the early A.D. 1300s, the Free Spirits movement had spread far and wide. Those opposed to the Catholic Church were particularly drawn to it because the Free Spirits taught that this life is their actual resurrection—that there is no other life, and man’s greatest joys are in this life alone. So, get out there and live it up.
Force and More Force
The longed-for Third Epoch that Joachim and Amalric had promised wouldn’t come until first there was a cleansing of the Church. Once that was out of the way, the new and wonderful heavenly society would have room to finally establish itself. So, mobs of Free Spirits began attacking any establishment of the Church they could lay their torches to. They rained down upon villages and towns, slaughtering men, women, and children. Count Montefeltro (A.D. 1290-1364), boasted about plundering villages and churches, and raping nuns. According to records from the Inquisition, members of the sect openly embraced Satan as their supreme deity.178
Similar to the Cathars, the Free Spirits had a caste. At the top level was an “inner circle” of the most elevated. The group leadership declared that any act committed by them, regardless of its depravity, was not a sin. At the lower level—the “outer circle”—were the great masses of followers who evidently didn’t realize what atrocities the inner circle was perpetrating. Still, they all lived by the doctrine of no private property, no family, no church, and no state.
WHEN: 1200-1400s
HERESY: Dolcino and the Apostolic Brethren
STORY: Followers of Fra Dolcino submitted to the socialistic ideals of a supreme ruler on earth whose every utterance was truth. He deployed all the usual suspect ideas: things in common, stringent regimentation, control of all information, use of force, and no rights.
The Apostolic Brethren actually descended from the Free Spirit movement. They ran around telling everyone that the fulfillment of Joachim’s prophecy (see above) of the coming Antichrist was near, and the Catholic Church’s corruption had finally reduced it to the point of total collapse. Like many others, the Apostolic Brethren pointed to Emperor Constantine in A.D. 300 as the beginning time of the Catholic decay. They taught that the pope was possessed by the devil, and set themselves up as the new lighthouse of righteous leadership. At their head was a man named Dolcino.
Dolcino demanded strict obedience to his every command, and declared that violence against anyone was permitted because it helped to further cleanse the earth. He also ordered that members’ wives, property, and all things be held in common. As before, nobody recorded what the women thought about this religious tenet of wife-swapping, but the husbands seemed agreeable.
In 1304, Dolcino summoned 5,000 Apostolic Brethren to the mountains of northern Italy and began a guerilla warfare campaign, attacking villages and destroying churches. This war lasted for three years until his followers were finally beaten back. Dolcino and his “spiritual sister” Margareta were given the chance to recant their heretical beliefs, but they refused. They were burned at the stake on June 1, 1307.
173 See Will Durant, The Story of Civilization, The Reformation (1957); Tony Perrottet, New York Times, The Besieged and the Beautiful in Languedoc, May 9, 2010; Catholic Encyclopedia, Cathari; The Encyclopedia Britannica, 13th Edition, 1926, Cathars.
174 J. J. Herzog. Abriss der gesamten Kirchengeschichte [“History of the Demolition of the Entire Church”], Bd. I, Abt. 2. Die römisch-katholische Kirche des Mittelalters [“The Roman Catholic Church of the Middle Ages”] Erlangen, 1890, Vol. 12, p. 651.
175 Op. cit., Shafarevich.
176 Caesarius of Heisterbach, Dialogue on Miracles V: 20-22
177 See Murray N. Rothbard, Karl Marx as Religious Eschatologist, Ludwig von Mises Institute, Mises Daily: October 9. 2009.
178 M. Erbstößer, Religious Social Movements in the late Middle Ages (M. Erbstößer, Sozial Religiöse Strömungen im spaten Mittelalter), Berlin, 1970
Chapter 27: Socialism and the Reformation
Frustration leads to rebellion against the Church.
As populations in Europe grew in size, so did their frustration with the tyranny of renegade priests who oppressed the people. Wanting to gain freedom from oppression, large groups left the Catholic Church and joined reformers who wanted to impose changes on the Church. Even though many of the Church’s official teachings were aligned with the Christianity that Jesus introduced, the abuse that the renegade clergy exercised was a constant reality. The people’s complaints were very justified and their suffering quite real.
WHEN: 1300-1400s
HERESY: Taborites and the reformation
STORY: The Taborites adopted the socialist principles of severe top-down control. They built armies to force their belief systems on others, or at least break the grip that the Catholics had on alternative religious beliefs. However, the Taborites went about violating the very same rights they were rebelling against as they destroyed and fought and killed their way to dominance.
Our story begins with two forerunners of the Protestant Reformation—the English theologian John Wycliffe (1328-1384) and a Catholic priest named Jan Hus (1369-1415) from the Czech Republic.
They were among a growing number of people all across western Europe who were angry with the evolving role of the Church in civic affairs. Political power, material possessions, and privileged position became the chief focus of local Church leaders. Many bishops and abbots acted as if they were secular rulers instead of representatives of the Church. They labored more to increase power and income than to help the poor. Celibacy wasn’t uniformly practiced, and misgivings about Church doctrine and goals were festering in many locations.
Wycliffe Calls for Cleansing
John Wycliffe began publicly criticizing the Church for these lapses, saying it should renounce its massive land holdings and wealth, and become poor as in the days of Jesus. He revered the Bible as the sole source of Christian doctrine, not the pope, and believed the bread and wine of the Eucharist (the sacrament or Holy Communion) remained bread and wine once consumed and didn’t turn into the actual flesh and blood of Christ, as was being taught.
War
Meanwhile, over in the Czech Republic, Jan Hus read Wycliffe’s writings and embraced his ideas. He went so far as to translate them into Czech, and taught the same ideas in his own writings. He gained many supporters and followers, but at a serious cost: Hus fell into serious disfavor with Church leaders.
In 1415, Hus was lured to Constance, a city on the German-Swiss border, to an ecumenical council that had been called to settle the thorny issue of who exactly was the legal pope. The justification of Hus’s presence was to give him opportunity to air his grievances face-to-face with leading church authorities.
It was a trap. After a couple of weeks, the church guards suddenly confined Hus to quarters, and then one day, they brought him out for a contrived trial. The council members found him guilty of heresy, led him in chains to a meadow beyond town, and burned him at the stake.
Hus’s death triggered a revolt by his followers. Within five years, Hus’s original followers and others who aligned themselves started a series of wars against the Church. These lasted from 1420 to 1434, and became known as the Hussite Wars.
A leader of the Hussite army set up fortified headquarters just outside of Prague, a town they named Tabor. This became a gathering place for preachers who were opposed to the Church. Although they were united in their opposition to the Church, the groups eventually splintered into various sects.
First Priority: Destroy the Church
The Taborites sent their armies to fight the pope’s crusaders along various fronts. They were victorious and defeated the pope’s armies on numerous occasions.
“Pull down trees and destroy houses, churches and monasteries,” they ordered. “... All church property must be demolished, and the churches, altars and monasteries destroyed.”179
In the process, thousands of priests were pursued, burned and killed. The Taborite invaders destroyed libraries, works of art, sacramental candelabras, and gold and silver ornaments. The order was issued, “All human institutions and human laws must be abolished, for none of them were created by the Heavenly Father.”180
Meanwhile, back in Tabor, the Taborites put all their money and wealth in barrels to be distributed evenly. There was to be nothing “which is mine or thine, but all possess everything in common and no one is to have anything apart, and whoever does is a sinner.”181 All things were to be communal, including wives: “There will be free sons and daughters of God and there will be no marriage as union of two—husband and wife.”182
Adamites Go Crazy
The Adamites carried the destruction of the Catholics even further. They attacked villages and towns at night, setting them ablaze, killing both young and old.
At their meetings, they wore no clothing as a sign of purity and separation from the ways of the world. They taught that marriage was wrong, and any man could take any woman by merely declaring “she inflames my spirit.”183 They practiced unlimited sexual liberty, mimicking the earlier established Free Spirit movement. This debased behavior couldn’t endure—it never has—and the Adamites eventually weakened, fell prey to attack, and were exterminated under the leadership of Hussite commander Ian Zizka in 1421.
Legacy
The Hussite wars did more than just ravage nearby countries and Church holdings. They also served to spread the utopian ideas of a necessary cleansing of the land as preparation for a coming millennium of peace with all things in common—no more oppressive overlords in the form of the Church, the monarchs, or any other tyrant. But first, they had to get rid of the corruption—
WHEN: 1525-1540
STORY: The Anabaptists tried all the usual socialistic ideals to further their cause—things in common, no private property, and the destruction of the existing society. Their plan was still struggling to get off the ground when a new invention came to their rescue.
Gutenberg’s printing press did a lot to spread the influence of the heretical off-shoots during 16th century Europe. With the Peasant’s War in Germany, the Anabaptist movement was enabled to more quickly expand their rate of conversions through Germany to Switzerland, The Netherlands, Austria, Denmark, Czechia, and decades later, over into England.
The name “Anabaptist” implied re-baptism, from the belief that infants were too young to make such religious decisions. Infant baptism was a tenet of the Catholics, and Anabaptists taught that it was meaningless—therefore, all people must be rebaptized.
Opposing the Church on All Fronts
The Anabaptists rejected the Catholic Church, saying it had been in apostasy since Constantine (A.D. 300). The Anabaptists claimed their own authority came directly through the bloodlines of the original Apostles. They rejected any sacrament or Church tenet that wasn’t in the Bible, and claimed for scripture only those words spoken by Jesus himself.
Their doctrine, however, was inconsistent. Some Anabaptists believed that baptism made them impervious to sin and they could do as they pleased. A 16th century German free thinker, Sebastian Franck, described these inconsistencies: “Some believe themselves to be holy and pure; they have everything in common. ... Others practice commonality only to the extent that they do not permit need to arise among themselves. ...Among them a sect appeared which wished to make wives, as well as belongings, communal.”184
Wealth, Wives, and Worship in Common
It went further: their clothing was dictated—the fabric, shape, style, length, and size. Then came the broad gray hat, mandatory for all to wear. They also had rules for eating, drinking, sleeping, free time, and when and how to stand or walk about. A group of enforcers checked on people’s upbringing of children, their marriages, their work, and wouldn’t allow private cooking or eating. The children were taken away at age 2 to be raised in common nurseries, and were not allowed contact with the community. Wives could be taken as desired by whomever—all in common.
Forcing Love and Humanity With the Sword
After the Peasant Wars in which the Anabaptists played a role against Germany, the authorities unleashed a wave of persecution against the movement. It weakened them for a while, but they rose again in 1530. Their new doctrine of self defense was proscribed: “The saints must be joyful and must take up double-edge swords,” said Apostle Hans Hut, “in order to wreak vengeance in the nations. ...slaughter of all overlords and powers that be.”185
Another Tyrant Meets His Maker
By 1535, the Anabaptists had angered enough Germans that a large coordinated attack was organized to neutralize the heretics once and for all. The “saints” gathered to Münster, Germany, where Jan Bokelson was made their ruler as well as king of the world. He had a huge court of luxury, and many wives. He wielded all justice, and personally beheaded evil-doers in the town square.
Surrounded by all his utopian dreams, all the riches and benefits that a poor mortal soul could want, Bokelson was captured and the city of Münster fell. He and his Anabaptist leadership were executed, and the rest of his followers were hunted and killed up until about 1660. To escape the persecution, thousands migrated to North America, taking upon themselves various names such as the Amish, the Hutterites, and the Mennonites.
WHEN: 1640s
HERESY: The Diggers—spreading atheism
STORY: The Diggers took hold of the socialistic idea of all things in common, and went about pushing it as far and wide as they could.
The mid-1600s was a time of upheaval in England. Corruption in the government gave rise to conflicting opinions about the best form of rule. Some wanted to return a king to the throne; others, led by Oliver Cromwell, wanted property owners to have more say in community and political affairs. And another movement wanted to build a parliamentary government that represented all male leaders of a household. Some wanted a theocracy, and then there were The Diggers.
The nickname of Gerrard Winstanley’s group, the Diggers, came about because they believed in digging the land as a common ownership and equally sharing in the harvest and fruits of labor. These Protestant socialists preached the gospel of knocking down enclosures, disposing of borders, and making everything free to everyone. They called themselves the True Levellers, a term associated with socialism to distinguish themselves from other levellers groups.
No Walls, No Fences
Winstanley’s pamphlets served as the Diggers’ guiding articles of faith. These condemned private property as the root of all evil. Of land, he said, “Not enclosing any part into any particular hand, but all as one man, working together, and feeding together as Sons of one Father, members of one Family; not one Lording over another, but all looking upon each other, as equals in the Creation.”186
In April 1649, food prices were at record highs. When The Diggers came into Weybridge (England), and offered communal land and harvest to freely share, local farmers blew their stacks. Landowners were irate that free food was undermining their efforts to get maximum pricing. This triggered a revolt against The Diggers.
Chased From Town to Town
After the local farmers exhausted their efforts to reclaim control over pricing, they grabbed their pitchforks and turned to violence. The locals began harassing, arresting, and burning until the Diggers pulled up stakes and moved to Cobham. The Diggers were not appreciated there either.
Another settlement was started in Wellingborough, Northamptonshire. After similar clashes and troubles, some sect members were arrested without charges and held in prison indefinitely. By 1651, the farmers finally crushed the upstart, forcing its members to disband. Even though their numbers probably didn’t exceed 200 people, their impact was felt far and wide. Legacy
The Diggers’ tactics for proselytizing their cause introduced to the rest of Europe the effective use of pamphlets. This wonderful new media helped them to magnify their pursuit of political goals. They had friends in a newspaper called The Moderate in which defense of their actions was supported. Using these techniques to rouse public sympathy and support for their cause helped expand the Digger movement, but also proved the power of the written word.
WHEN: 1649-1660
HERESY: The Ranters—Leaderless fanatics
STORY: The Ranters’ socialistic ideas included having all things in common, including wives, and no private property.
There remain many questions about this strange group, but what is known is that they embraced many of the teachings of the Brethren of the Free Spirit of the 14th century. They rejected a personal God, and some of them denounced immortality or a life hereafter. They didn’t believe they had to obey anyone, including local governments and leaders.
Their most well-known member was Laurence Claxton, who declared in his 1650 pamphlet, A Single Eye, “[Ranters believe] that a believer is free from all traditional restraints, that sin is a product only of the imagination, and that private ownership of property is wrong.”
Popular Theme: Women in Common
From another of their pamphlets, The Ranters’ Last Sermon, came the teaching, “...for one man to be tied to one woman, or one woman to be tied to one man, is a fruit of the curse; but they say we are freed from the curse; therefore it is our liberty to make use of whom we please.”
Ranters went around nude as a means of social protest and as a demonstration of abandoning earthly and material things. They also engaged in unlimited sexual contact.
The Ranters as a distinct group were lost when most of the members joined the Quakers in the 1650s.
Socialism at Work
Destruction of the existing moral codes and institutions continued the basic theme of socialism under the guise of Christianity, or whichever religious leaning the assorted and varied heretics liked to claim.
Predominant among the heretics’ teachings was abolishing private property, including no possible claim to spouse and children. In the eyes of most other Europeans, the heretics’ direct assault on the family reduced their perch atop higher moral ground as they sought to institutionalize permissible orgies.
Friedrich Engels commented on the tendency of rebellions to frequently turn to sexual liberties: “It is a curious fact that in every large revolutionary movement the question of ‘free love’ comes to the foreground.”187
The heretics exerted strict regulations on their followers’ social and economic lives, but had difficulties in generating incomes to support themselves. They took what they wanted from others, and when sufficiently large in numbers, they attempted common farms and gardens.
Fortunately, as their stridency finally calmed, there arose a unity in the faith that put a rational work ethic back into the groups. True Christianity started to make its comeback—sort of. As countries established national religions, persecution took on a new form in the guise of local law—If you’re not one of us, you’re not welcome. For many, they had no viable option to exercise their free choice of religion except to leave and start fresh in the New World.
179 J. Macek, Tabor in the Hussite Revolutionary Movement, Vol. 2, 1959, p. 85.
180 Ibid., p. 94.
181 Ibid., pp. 99-100.
182 Ibid., p. 113.
183 Ibid., p. 478.
184 L. Keller, Johann von Staupitz un die Anfange der Reformation, 1888, p. 306, cited in Shafarevich, p. 35.
185 F. Bezold, Geschichte der deutschen Reformation, 1886, p. 703, cited in Shafarevich, p. 39.
186 Gerrard Winstanley, The True Levellers Standard Advanced, 1649.
187 Engels, The Book of Revelation, in ME: On Religion (Moscow, FLPH, 1957), p. 205.
Chapter 28: Rise of the Guilds
Meanwhile, back in Europe: Before socialism infiltrated modern free trade under the guise of unions, there were first the ancient associations and guilds.
The butcher, the baker and candlestick maker conjure up pleasant images of a simpler time in faraway medieval European towns where everyone looked like roly-poly cartoon characters and there was no violent crime, disease or outhouses.
Well—Maybe Not
In earlier centuries, the cobblers, tinkerers and craft makers were members of a guild—an association of specialists organized in Middle Ages Europe to guard and protect trade secrets. The guild movement was a great engine of self interest at work, established to protect their businesses and exclude competition.
The word “guild” is from the Anglo-Saxon gildan, meaning “to pay” or “to contribute.” Guild members paid regular dues to the central fund to pool the risks of life and business. This helped secure against an emergency such as sickness, accidents, funerals, financial collapse, bad economic times, etc.
Early Milestone Dates
Organizing skilled people into groups was not a medieval invention. Associations of talented people appear to have existed in many eras and numerous places. They were not always so organized or retained the level of bargaining power as those of recent centuries, but pooling talent appeared to be popular.
800 B.C.—Homer mentions associations of builders, potters, carpenters, and specialists in metal and leather in ancient Greece.
700 B.C.—Numa, thought to be the second king of Rome, divided craftsmen into nine guilds or collegia.
400 B.C.—India’s caste system had guilds called shrenis.
200 B.C.—A Chinese guild system began to form at least during the Han Dynasty (206 B.C.-A.D. 200), called the hanghui. Chinese guilds were well established by the Sui Dynasty (A.D. 589-618).
A.D. 600—Earliest guilds reported in England.
A.D. 900—Craftsmen started organizing in Iran.
Merchant Guilds—in Like a Lamb ...
The most powerful associations during the medieval period were the merchant guilds. These were associations of artisans, craftsmen, merchants and traders, and membership was voluntary.
The Christian church played a large role in setting the right spirit of philanthropy that was adopted by most guilds, but the Church as an institution was not connected. It opposed the binding oaths that guild members swore to keep the secrets of their crafts hidden among themselves.
The merchant guilds were initially organized to resist the arbitrary tax hikes imposed by the land-owning lords and kings. As a group, the guilds could tell the kings where to get off if the rulers wanted to benefit from their services. But individuals had no such power. Telling off the king meant a trip to the dungeon. An individual didn’t wield enough power in such matters—he was too insignificant.
The guilds often united with other guilds and formed a formidable group that could rise up and refuse services or products unless certain demands were met. For example, the guilds insisted tax rates had to be locked in and unchanged for at least one year. Those agreements were drawn up as charters or letter patents, which were the predecessors of today’s patent and trademark system.
Guilds built their own meeting places called the guildhall. The buildings gave the members a safe and distinguished place of privilege to conduct business and receive payment of guild taxes. The members wore special apparel to advertise their guild association at formal occasions and parades, and hung signs out in front of their businesses to let people know that only the best was available there.
... And Out Like a Lion
The merchant guilds grew so powerful, they melded in with the town structure. Politics and favoritism began to monopolize everything—including the craftsmen.
The craftsmen didn’t like being smothered by the merchants and wanted to form their own associations. It wasn’t always a scene of pitchforks and torches, with peasants shaking fists and shouting insults at the gates of guildhall. But, the craftsmen succeeded in starting their own silent revolution. Over time, these craft guilds eventually overpowered and replaced many of the merchant guilds.
Craftsmen Unite
The first to form a craft guild were the weavers and fullers in England in A.D. 1130. They successfully established their own authority over various trades, and other craftsmen soon followed suit.
The craft guilds were organized along similar lines as the merchants. They built guild halls, they corralled skills into a pool, and they controlled the sale and availability of their services in a way to strengthen their business profits and foot traffic. After a few years no one could practice a particular craft without being a member of the local craft guild.
The new guilds prevented outside competition, and they worked together to fix prices as well as to ensure high levels of quality. They conspired to keep their products in great demand by limiting the numbers of craftsmen working in any particular art or trade, or reduced the quantity of product available.
Tutoring the Apprentice
The son of a guild member typically joined the guild as an “apprentice” who worked under the professional tutorship of a “master.” This training lasted 5-9 years. The youth received no income during this period except free room and board. He couldn’t even marry until he graduated to the level of “journeyman.”
A journeyman could receive wages for his work. His goal was to make the next level of master. To qualify for the top job, a journeyman had to successfully create an acceptable “masterpiece.” This was a work of such precision and professionalism (he hoped) that it would convince the guild leadership and other masters that he was ready.
As a master he could set up his own shop and begin training (and exploiting) the next generation of apprentices.
101 Models of Crafts on the Wall ...
The craftsmen formed hundreds of guilds from apothecaries to armor makers, bakers, barbers, surgeons, dentists, embroiderers, butchers, carpenters, candle makers, cordwainers (leather workers), cutlers (knife makers), dyers, farriers, fishmongers, fletchers (arrow makers), girdle makers, goldsmiths, stirrup and harness makers, masons, needle makers, plasterers, plumbers, writers of legal documents, skinners, winders and packers of wool—and more.
Church and Emperors Not Happy
During the reign of the Carlovingians (also known as the Carolinians, the family dynasty that ruled Germany, France and Italy during A.D. 700-900) the guilds’ control threatened the emperors’ ruling power. In A.D. 779, one such emperor declared,
“Let no one dare to take the oath by which people are wont to form guilds. Whatever may be the conditions which have been agreed upon, let no one bind himself by oaths concerning the payment of contributions in case of fire or shipwreck.”188
Other emperors issued similar decrees.
There was little the emperors could do to stop these organizations. Their feudal co-dependencies complicated matters even more—exerting too much force could chase away the hired help.
Lost in all of these machinations was the individual. The best way up the ladder of success was guild membership, but what if a person wanted to go solo, do it alone, venture into entrepreneurship, innovate, and invent something that would compete with the guild? Those who tried were punished by the guilds or by the town fathers, who, in some places were one and the same.
Legal Authority to Oppress
By the start of the new millennium, guilds in England were asking for government protection (with charters)—and were getting them. They started organizing everywhere. By A.D. 1093, they had large groups in Bristol, Carlisle, Durham, Lincoln, Oxford, Salisbury, and Southhampton. Chartering gave the guilds power to make legal rules of conduct that often carried the legal authority of local law.
Participation records from the parliaments of Edward I (1272-1307) show that there were some 160 towns represented in his government. Of these, at least 92 were known to have strongly organized guilds—it’s easy to surmise from the business and trading activities of the time that all villages and towns had guilds of one kind or another.
Records show that organizations were forming elsewhere—Gilde and Confrerie (France and the low countries); Zunft, Bruderschaft, and Hansa (Germany); Komtoor (Bruges), and others in Novgorod (Russia), Prussia, Westphalia, Livonia, Sweden, and just about everywhere that a man could buy a good plow and horse collar, and a woman a good stove pot and sewing needles.
Equal Opportunity Guilds?
Widows were allowed to participate in guilds if their husbands had been members in good standing when they died. Women and children could resume the trade to bring in some income so long as the quality and production standards were met.
Government Force Turned Them Into Socialists
The story of guilds is important in the history of socialism because guilds corrupted the free market with elements of Ruler’s Law.
For the most part, guilds were capitalistic. They tried to control wealth for private benefit. Freedom to associate and form a guild did not violate the rights of others. Setting rules for participation, and out-producing with superior products didn’t hurt either.
But when the guilds’ rules carried the force of public law, when they created monopolies and prevented workers from exercising their unalienable rights of choice and association by switching jobs—such as preventing a shoemaker from being a shoe repairer, or more broad, such as preventing a carpenter from becoming a plumber—that’s when the guilds became little combines of socialism.
Violating the basic freedom to try, by using coercion and violence to keep competitors from honing in on the business, was the precursor to today’s modern trade unions. Thugs and mobs of guild members found a fresh way to kill the competition—literally.
Early Thuggery: In 1397, a case was brought before the Lord Chancellor in England complaining of local merchants who had attacked a competitor: “... Because he sold his merchandise at a less price than other merchants of the said town of Yaxley did theirs ... [angry merchants] and many other evil-doers of their coven, lay in wait with force and arms to kill the said William Lonesdale, and they assaulted him, beat him and ill-treated him, and left him there for dead, so that he despaired of his life.”189
“Dyers guild undertook to work only at certain rates; and when a number of dyers refused to be bound by these rates, the guild hired Welshmen and Irishmen to waylay and kill them.”190
“...Twenty-one journeymen shoemakers of Wisbech have assembled on a hill without the town, and sent three of their number to summon all the master shoemakers to meet them, in order to insist upon an advance in their wages, threatening that ‘there shall none come into the town to serve for that wages within a twelve month and a day, but we will have an arm or a leg of him, except they will take an oath as we have done.’”191
With lethal force taking care of business on the outside, secret handshakes and ceremonial initiations among the associations were taking care of business on the inside.
Super Secret Societies
The compagnonnages192 were secretive societies of journeymen in medieval Europe. Unlike the local guilds, the compagnonnages were international, with groups organized over all of the western continent.
Another secretive group was the Masons. There is little mention of these before the 1400s, but the Masons participated and developed their own initiations and recognitions to help one another advance in business, education and life. The Masons claimed their origins stretched clear back to the stonework performed on the temple of Solomon around 900 B.C. However, a more probable origin was during the heydays of cathedral building that started in the A.D. 700s in Germany, or A.D. 1040 in England. To join the Mason’s building construction fraternities, a person was initiated into the mysticism with secret handshakes, oaths, passwords, and ceremonies. Violating these oaths could mean death.
Working the System
Be they secretive, coercive or voluntary, when workers organized themselves to control the means of production and distribution, they were in violation of natural law because they prevented others from exercising the same rights. Organizing to increase quality and decrease price is the positive way of building wealth. Organizing to prevent competition and keep prices high is the negative way to build wealth. Socialism builds on the negative side, capitalism builds on the positive side.
These are lessons in economics that even the butcher, the baker and the candlestick maker understood until the guilds crept in and corrupted that path. The guilds laid the groundwork for future trade unions that would infiltrate the marketplace in similar ways—this time with the iron fist of federal regulation and supreme law to back them up.
The Guilds Decline
The strength of the guilds began to decline in the 1600-1700s.
When France was teetering on the brink of complete conflagration in the 1790s, the king banished the guilds to restore peace. He allowed any craftsman to freely compete by paying a fee for a business license. Suddenly, that made things fair again—but it was short-lived, and then abandoned. At the time, the French people had much larger issues exploding in their faces.
188 Burton, E., & Marique, P. (1910). Guilds, paragraph 7, In The Catholic Encyclopedia.
189 Great Britain, Court of Chancery; Baildon, W. Paley (William Paley), 1859-1924, Select Cases in Chancery, A.D. 1364 to 1471, London, B. Quaritch, 1896.
190 Quoted in Howard Dickman, Industrial Democracy In America, 1987, p. 28.
191 Calendars of State Papers: Letters and Papers, Foreign and Domestic, Henry VIII, Vol. xiii, Part i, 1538, No. 1454, p. 537.
192 George Francois Renard (1847-1930), Guilds of the Middle Ages, pp. 87-89.
Chapter 29: How the French “Revolutionized” Socialism
Centuries of socialistic management under a monarch changed when France’s citizens woke up to the possibilities of freedom. The potential to be free was theirs—but they missed it, and ended up swapping one dictatorship for another.
Before the great revolution in 1789, France had all the earmarks of a typical socialist society.
It was feudalism, it was a monarchy, it was regimented, it was regulated, and it was maddening.
Its name was Ancien Régime, the “old system.” Everyone—old, young, rich, poor, high, low—knew it was failing to meet the needs of the growing populous and had to be replaced.
Setting the Stage
Here’s where the country stood in 1774 when Louis XVI took the throne.193 Although the largest and wealthiest nation in Europe with about 25 million people, it was having problems—
The First Estate was the clergy—probably because God was supposed to be first in everything.
The Second Estate was the nobility—no doubt because they wanted to be first.
And, the Third Estate was the peasants—as usual, the workers who did everything important but were always being listed last. In 1789, this Third Estate of peasants numbered 25 million, while the other two Estates totaled 275,000.
But change was coming. It was a time when the French believed they could climb out from the ancient ways, become more modern, and overhaul the government, the economy, and even human nature. The pieces were all falling into place.
About the Church ...
The Catholic Church had been a ruling influence in France for centuries. It played a key role in public life by handling education, providing relief for the sick and poor, and was a rallying point for the discouraged and the spiritually downtrodden.
Records indicate that the Church owned as much as a fifth of all the land. The clergy said church property was sanctified for God’s work, and therefore it shouldn’t, and wasn’t, taxed (however, the clergy were smart enough to give the king a “free gift” every so often to maintain the status quo).
Forced Tithes: The Church collected tithes from all the people. This was enforced by the government like a tax, and brought in 183 million francs in 1789 ($780 million in 2012 dollars194). But things were not friendly for the non-Catholic. A Protestant, for example, could not be legally married, make a legal will, or register the births of his children.
Clergy Profits: Huge sums of Church funds went into the pockets of the bishops, archbishops, and abbots. These fellows were not selected by the pope—they were the king’s buddies and were simply and officially appointed to the Church jobs. They didn’t do much for the Church or the people, and spent their time living off the king’s handouts. When the French Revolution began, the lower clergy, those who carried the heavy load of actually serving the people as originally intended, didn’t side with their higher-up leaders—and joined the people.
As kings before him had done, King Louis XVI told his subjects that his authority came from God and he wouldn’t let anybody forget it. “The sovereign authority resides exclusively in my person. To me solely belongs the power of making the laws, and without depend-ence or cooperation. ...I am its supreme protector ... by the grace of God.”195 He also insisted on continuing that terrible taille, that direct land tax on the French peasantry and non-nobles, whereby he raised a sixth of the country’s entire income. Nobody knew how much money was gathered every year, but the sums were estimated to be in the tens of millions.
All Power
The king had power to arrest anyone at any time and throw him into prison, lock the door, and forget him. Such arrest orders were called lettres de cachet (sealed letters). These arbitrary orders were hated by medieval Europeans and were specifically outlawed in the Magna Carta (1215 A.D.). Some people were being locked away for a pamphlet they published or a speech they gave that offended the king or one of his groupies—and they were never heard from again.
Next to the king were the higher courts of law called the parlements. Not to be confused with English parliaments, the French parlements helped check the king’s edicts. The people insisted that any law the king issued had to be looked at by parlement—read, reviewed, understood, and registered. If not, the people argued, how could the king expect them to enforce a new law that conflicted with others, or simply made no sense?
Protest Letters: When the parlements didn’t like a new law, they sent the king a “protest” explaining their objections. But that wasn’t all—they had the protest printed and distributed so the masses would support their opposition to the king’s tyranny. This kept the debate public and conveyed the idea that the king wasn’t as “all powerful” as he tried to act—that there were fundamental laws even he couldn’t break.
Nasty Feudalism Remained: By 1774, the nobility class no longer enjoyed the power it retained during the prior 500 years. Nevertheless, some remnants of serfdom let these lords extract some time-honored dues from those who lived nearby or from inside the boundaries of what used to be their villas and manors.
The dues included part of a peasant’s crops or a toll on animals driven past a lord’s home. The lord usually obligated the peasants to use his mill, oven, or wine press, and charged heavily for the privilege. And, any of the lord’s animals and birds that wandered onto peasants’ lands could not be hunted because those were his property.
Not Very Poor? The commoners of the 1780s were not as down-trodden and miserable as some said. Thomas Jefferson reported in 1787 that the peasants in France had plenty to eat and were comfortable.196 An English traveler named Arthur Young reported that the country people had prosperity and were contented.
If Not Poverty, Why Then a Revolution? The reason the peasantry finally rose up in a revolution in 1789 wasn’t necessarily because of their impoverishment. They finally rose to a level of education, understanding, and freedom where they realized that they simply didn’t have to take it anymore.
They rejected the old ways, those remnants of serfdom that still haunted their culture. They resisted the nobility’s continued attempts to act the part of common robbers, skulking around to extract a portion of the harvest, or hiding in the trees to take a toll at a river crossing, or refusing to compensate for damage from His Lordship’s animals that might have ruined a commoner’s crops during a hunt.
Weary of the Slave Society: In short, the whole country was tired—tired of the absurd and abusive laws, rules, and customs of top-down regimentation, of thievery and control, of oppression and domination. Those relics of the old system that perpetuated the seven pillars of socialism would no longer be tolerated—the French wanted them gone. Helping to push things along were some great thinkers who came forward.
Great Thinkers Set the Stage
Understanding Voltaire is understanding France before their revolution. He had no patience or sympathy for the old traditions and wore out his quill exposing absurdity after absurdity in the existing norms. His prolific ways spanned the written word in published editorials, histories, plays, dramas, romances, letters, and more—reaching out to all levels of society where he put forth his persistent question, why not freedom?
Voltaire was no atheist, but the Catholics and Protestants he attacked accused him of it, and of corruption and hypocrisy. He credited God for all things wholesome and good—as a good deist would—but his creative pen lobed fireballs at the worldly religions that showed themselves bent on greed, power, and gain.
He somehow missed or at least he avoided acknowledging the centuries of good works by the Church, and instead focused on ridiculing them for their tragic lapses. The French commoners loved his writings.
“Law is the expression of the general will. Every citizen has a right to participate personally, or through his representative, in its foundation. It must be the same for all, whether it protects or punishes.”197
Taxes and the Science of Political Economy
When Louis XVI took the throne in 1774 as a young 20-year-old, with his beautiful wife Marie Antoinette, he was anxious to turn around the financial mess in which the country was buried. The chicanery of prior monarchs had plunged the country deeply into a fiscal nightmare.
However, poor Louis XVI had to keep up appearances, too.198 And, deal with a host of corruptions. For example—
Louis XVI Listened. The king wasn’t totally detached from his country’s economic crises, and looked for smart people to help him get things righted again. He summoned the ablest economist in the land, Anne-Robert-Jacques Turgot, and made him controller general to clean up the mess. Turgot made a good stab at things and even induced the king to abolish the guilds (this lasted only a short time). But the privileged class won the day and undermined Turgot until he was fired in May, 1776. And then came—
Necker’s undoing was publishing for all to see the great secret of France’s financial condition that he delivered to the king in 1781. It wasn’t so much what the report said that caused the problems, but that he also had the information publicly printed and widely distributed. It told how much was raised from the hated taille and the salt tax, and how much the king lavished on himself, his court, and his friends. Necker was promptly fired. And then came—
Calonne was a lavish spender, also known as Monsieur Déficit for that obvious reason. After settling into his new job and looking at the books, he realized France was in deep trouble, mostly because of the help it gave the Americans. How was that to be handled? The country had no means to borrow more—everyone was taxed to the hilt—so just what was this powdered-wig dignitary to do?
Calonne by-passed the parlements200 and went straight to the king with a proposal to fix things. He would reduce the taille, equalize the salt and tobacco taxes, create free trade, correct the abuses of the guilds, start a universal land tax, allow the sale of church property, and last but not least—force the nobility and privileged classes to give up their exemptions and start paying taxes like everyone else. That’s where the fight started.
Calonne knew the parlements wouldn’t go along so he schemed with the king to bring important people in church and state together as a representative body to give their stamp of approval. This group was called the Notables.
The Notables were all of the upper classes and seemed willing to help bail out the nation from looming bankruptcy. However, when they heard Calonne’s plan, they didn’t trust him and refused to go along. So, naturally, the king fired Calonne.
The king tried to make the reforms himself and sent them to the parliaments to be registered as law. Those fellows refused to consider the king’s idea unless he would call an assembly of all three Estates, the Estates General, to take charge and really fix things with full representation from all the people.
The King’s Ministers Light the Fuse
The king agreed, but then the evil ministers of the king threw a monkey wrench into the whole mess: they started maneuvering for a way to remove the ability of the parlements to review all the king’s decisions. This would let the king make law by simple royal edict with no check or challenge to worry about.
The parlement of Paris was the first to hear of this scheme, and they rose up in anger. Word quickly spread to the provinces. Fear and doubt spread—would the king and his ministers actually make laws for the entire realm, and ignore the special political privileges that were granted to some provinces, privileges that went back centuries as conditions for their joining with France? It was unthinkable!
Estates General: With rumblings of alarm rolling through the kingdom, the king decided the only way out was to go ahead and call the Estates General and let them duke it out.
The year was 1789. The last time the Estates General had been assembled was way back in 1614. No one knew exactly how the meeting should go. The group was made up of hundreds of delegates, but each was supposed to vote together as a bloc, as an Estate. Each bloc had one vote—a vote by the clergy, a vote by the nobility, and a vote by the commoners. Naturally, the commoners felt outnumbered. No matter what happened, the commoners could be outvoted 2 to 1 every time. To make it more unfair, there were clergy and nobility who sided with the commoners, but their votes didn’t matter so long as the majority of their blocs wanted it this way or that.
One Man, One Vote: Realizing the “old way” was creeping back into this political process. The commoners demanded “one man, one vote” of all the delegates.
After six weeks of haggling and being outvoted, the commoners grew impatient and refused to meet. They reconvened at an indoor tennis court building, took an oath to remain until a constitution was created, and declared themselves the “National Assembly.” It was an amazing and long overdue restoration of power to the people that made them the first modern representative assembly in continental Europe.
The king was eventually forced to concede authority to the new national body and told the other two Estates to go join the whole. But Louis XVI wasn’t happy with the loss of control and power, and considered dissolving the Assembly and sending everyone home.
The Ministers Throw Another Wrench: As if things weren’t tense enough, the king’s ministers advised the king to beef up his personal guard “just in case.” If he was going to dismiss the Assembly, chances of an uprising were pretty high, and he should be prepared with more troops. The king agreed and summoned more soldiers.
When the people of Paris saw the king’s private troops receiving reinforcements, they panicked. What was he up to? Without arms, how could they protect themselves if shooting began? They knew where the arms were—the Hôtel des Invalides—and decided to take action and grab the guns. They mustered a large group and rushed the building, forced their way in, and gathered up 30,000 muskets—but they had no powder or shot.
Storming the Bastille: The Paris mob was now more than 8,000, and believed there was a cache of 30,000 pounds of powder holed up in the Bastille. They pushed at the gates for admittance and a gun fight broke out. About a hundred persons were killed before the governor capitulated and opened the gates. The mob attacked the defenders, freed seven poor souls still imprisoned there, and killed the governor and the guard. With weapons and ammunition, the demolition of the hated Bastille was next on the list.
And so began the first blow for freedom on July 14, 1789.
Word of the revolution in Paris spread through France. In other cities, similar acts took place as the peasants took control of their futures by rising up against the tyranny of the nobility, the feudal lords, and the corrupted clergy.
In hundreds of villages, people gathered at the commons or the parish churches and voted to stop paying feudal taxes. They turned on the old regime and burned their castles, thus destroying official records showing any obligation of money or servitude.
As news of a general revolution reached Paris, the National Assembly was emboldened to action. They moved forward with confidence and passed their first important reforms:
The passage of these historic reforms was another great day for France—August 5, 1789.
Changes Came Rapidly
The Assembly moved to secure more changes. They unified the whole country, erased the old province boundary lines, and divided the country into departments of appropriate size. They named them after nearby landmarks such as mountains and rivers, to further erase remnants of the old feudal distinctions.
On August 26, 1789, the Assembly then approved an important document that assured freedom and prepared the foundation for a constitution. It was called the Declaration of the Rights of Man and of the Citizen. It established that—
The King Didn’t Want to Surrender Power
It took two years for the Assembly to clean feudalism off the map, and create a new constitution. The king didn’t like the rapid erosions of power, and thought fleeing was the best way to regroup with supporters and find a way back into power. On the night of June 20, 1791, he fled Paris with his family. He didn’t get very far before he was recognized and hauled back.
Three months later, the new constitution was finished and presented to the king for his approval. This pointed the way to abolish the monarchy and make France a republic with a congress called the Legislative Assembly.
Chaos and Misery. Swirling around the revolutionary changes were confusion, poverty and hunger. The Legislative Assembly had their hands full trying to purge the country of lingering threats, and trying to feed the starving at the same time. By the spring of 1792, matters worsened significantly when war broke out with Prussia and Austria.
“Every Man for Himself!” The war panicked members of the Legislative Assembly. They had enemy troops at the border, mobs in the streets, all of Paris calling for the abdication of the king, and there the politicians sat paralyzed, wondering what to do. For half of that august body, the answer was simple—flee Paris and run for the hills.
Rise of the National Convention. So, power changed hands again, this time to a group called the National Convention.
Lenin liked this part of France’s revolutionary period. In 1917, Lenin stood atop the ruins of his own revolution and declared that the French events of August 10, 1792, had successfully revolutionized the revolution. It showed the world, he said, how the lower classes should rise up and claim what was theirs.
Meanwhile, back in 1792, the National Convention held an iron grip on the affairs of the country and used terror to achieve its ends. They deported some priests, sold off property claimed by recent immigrants, took away all dues owed to landlords, and made everyone start calling each other “Citizen.”
From Frenzy to Fear. By September 2, 1792, patriotic enthusiasm had switched to fearful paranoia. In just five days, ruthless mobs raged through Paris, freeing fellow citizens from the prisons, and hunting down the aristocracy. Members of the upper class who were accused of abusing the people received brief trials and were executed. By week’s end some 1,400 were killed.
Fourth Horseman of the Apocalypse. And thus came to be installed a fourth governmental power, Terror, that replaced Democracy which had already won out over the Monarch and the Aristocrat.
Back to Business. On September 21, 1792, the National Convention finally and formally replaced the monarchy with a republic. It was a great day because good news came in from the war front—the troops had stopped the Prussians and liberated other lands in Savoy, Frankfurt, and Belgium.
Meanwhile, What About the King? Louis XVI remained a formal figure head, but he had to be eliminated. That came about by way of accusations that he had cavorted with the enemy. He was arrested, put on trial for treason, found guilty, and guillotined on January 21, 1793.
The king’s death didn’t calm or solve France’s problems.
With food shortages, rampant crime, mobs, and fighting among those in power, the National Convention stepped in to control the economy. They set up a wide system of price controls on 50 necessities, including basic foodstuffs, fuel, clothing, and wages.
The National Convention also formed the Committee of Public Safety to watch over France’s internal security. One of its leaders, a man named Robespierre, rose to total control by having others in the Committee of Safety condemned and executed. “To punish the oppressors of humanity is clemency,” he said in 1794. “To forgive them is barbarity.” It was his philosophy that the revolutionary government adopted, his strange combination of both virtue and terror.
Reign of Terror Spreads
The Committee of Safety sent commissioners all over France to root out those suspected of contributing to the tensions of the time or challenging the committee’s authority. The purge began with the aristocrats, including Marie Antoinette. The sound of carts lumbering through the streets of Paris toward Madam Guillotine became far too familiar as the famous and the unknown were taken to their deaths.
After the aristocrats were eliminated, the moderates went next, including those formerly on the National Assembly who opposed the power of the Committee of Safety. The feast for blood and power then turned on itself and executions were conducted everywhere—drownings, shootings, the guillotine—anyone suspected was put on trial with no legal representation.
In the fever of the times, Robespierre lent his support to a new law that simplified the judicial process of convicting the accused. “Every citizen is empowered to seize conspirators and counterrevolutionaries, and to bring them before the magistrates. He is required to denounce them as soon as he knows of them.” It gave the Revolutionary Tribunal more power to kill.
Tired of the Blood
And then great news came in July 1794, that French troops had swept through Belgium, successfully extending the revolution and securing another border. This brought a national sigh of relief from one village to another. The crisis atmosphere that had hung heavy for so long finally seemed to lift. The fatigue of all that hate and suspicion turned on Robespierre and Saint-Just, the two leaders who fomented the Reign of Terror. They were accused of conspiring to wrest complete control for themselves.
Getting a Head’s Up
On July 28, 1794, Robespierre and 21 of his closest associates were meeting at the Hotel de Ville in Paris to consider their next move. It was 2 a.m. when suddenly, army troops surrounded the compound and ordered them to surrender. Fighting broke out. Several tried to escape, others tried to commit suicide.
There are mixed reports about injuries Robespierre received that night. Either he shot himself in the face in a failed suicide attempt or he was shot by one of the troops. However it happened, the bullet shattered his jaw and he was bleeding profusely when they captured him. He used a handkerchief to secure his jaw, and remained bandaged all the way to his appointment with the guillotine. When the executioners laid him at the blade facing up, a man removed the bandage. Robespierre screamed in pain—until the falling blade silenced him forever.
Before the Emperor
After Robespierre died, the revolutionary fervor abated, but France’s financial and national security concerns did not go away. The people wanted more security in their lives and thought a stronger central government was needed. And that’s what they got in the form of an emperor named Napoleon Bonaparte, the hero general who had so recently waged such fine and victorious wars for France.
The French Revolution and Socialism
The ten-year revolution in France is an excellent study in socialism. A major theme for socialists is the destruction of the existing society. The French Revolution did just that—it got rid of Christianity, it got rid of the Church, it got rid of the aristocracy and the nobility, it got rid of the king, it was a major change. It brought bread to the poor and democracy to France, and established a grand new society. But it failed to finish the work to establish freedom and the protection of natural rights for all.
Americans applauded the overthrow of the Bourbon monarchy, but turned on France when the ghastly Reign of Terror began.201 The rampages through the countryside, the short and unfair trials, the hundreds of deaths with no legal support, gave ample proof to most Americans that the French were not ready for freedom. It was evidence that the uneducated and property-less masses were motivated mostly by greed and envy to despoil the propertied class. They were not ready for self-government.
The French governments that rose and fell during that decade of 1789-1799 exhibited all seven pillars of socialism in action.
The use of force, terror, beheadings, destruction and executions to compel citizens to comply with the rulers’ demands could be no better illustrated than during the reign of terror. Unfortunately, it didn’t bring about the desired ending. After all the dust settled and the blood dried, France was left with having missed its chance for real freedom and prosperity. It failed to install a form of governance that kept power with the people, and allowed sufficient authority in a federal ruling body. Instead, it swapped one socialist power for another, in the form of an emperor. The country suffered for its mistake during the decades that followed.
Learning to Recognize Socialism
Part V--SOCIALISM IN THE AMERICAS
“The sober and godly men ... evince the vanity of that conceit of Plato’s ... as if they were wiser than God.”
193 James Harvey Robinson and James T. Shotwell, An Introduction to the History of Western Europe, 1902, pp 537-605.
194 The 1839 Penny Cyclopaedia of the Society for the Diffusion of Useful Knowledge (London) reported the U.S. dollar contained 416 grains of silver to the franc’s 69.453 grains of silver, or approximately $1 = 6 francs, or $30,500,000 in 1789, or $780 million adjusted for inflation in 2012 dollars.
195 James Harvey Robinson, Charles Austin Beard, History of Europe, Ginn and Company, copyright 1921, p. 109.
196 James Harvey Robinson, An Introduction to the History of Western Europe, p. 417.
197 The Works of Jeremy Bentham, Part III, Simpkin, 1839, p. 507.
198 Frederic Austin Ogg, Social progress in Contemporary Europe, 1912, pp. 17-18.
199 Shailer Mathews, The French Revolution, New York: Longmans, Green, and Co., 1914, p. 33.
200 Parlements of the Ancien Regime were courts of justice and tribunals. “Parliament” as a modern term and form of representative government, didn’t appear in France until the 1830s.
201 Alfred H. Kelly & Winfred A. Harrison, The American Constitution—Its Origins and Development, Fourth Edition 1970, pp. 205-206.
Chapter 30: Meanwhile, Over in the Americas . . .
Socialism was not strictly a European invention.
Most of the pre-Columbian Indians of north America did not leave behind much in the way of record-keeping. This makes understanding their culture more difficult. Tradition, art, and legend is all that remain in some instances.
North American Natives
Many American Indians were usually on the move. Some of them put down roots, such as the Pacific Northwest people, but the majority were frequently relocating to follow the food or find a more suitable climate.
There were thousands of groups, small and independent. Their chiefs were often chosen for their superior material wealth, or in some instances, on account of their ancestry. For some tribes power was passed down along matriarchal lines. Many were bonded by tradition and blood to large decentralized nations.
Public and Private Property
On the level of the individual tribe, it was common to have basic village needs held in common—housing, the cook fire, sometimes canoes and teepees, or hunting and fishing grounds. There was, however, plenty of self-aggrandizement going on. Private ownership and building up of personal wealth was a sign of superior wisdom and capacity. Evidence of commercial trading of shells or copper or unique craft goods to enrich the treasure troves of personal wealth have been found far removed from their places of manufacture.
Making Do ...
Most of the tribes practiced slavery; a few were cannibals. It also appears their hand-to-mouth “on the go” bare subsistence level of living imposed a dependence that was more cooperative than in the larger civilizations. It is in the larger groups that the seven despotic pillars of socialism are found well established, entrenched, and floating in human blood.
Chapter 31: Incas: Model Socialists
Nobody practiced socialism better than the Incas from A.D. 1200 to 1573—for them, there were no problems a few thousand human sacrifices couldn’t solve.
STORY: When Pizarro arrived in Peru in 1532, he had Spain’s royal decree to conquer the land. It was a daunting challenge. They had to force some 12 million people scattered over Ecuador, Bolivia, Peru and northern parts of Chile and Argentina to capitulate to Spain’s military authority. With hardly 200 men at his command, the prospects were ridiculously remote.202
Fortunately for Pizarro, he had two things going for him: a civil war between two brothers and their followers that was underway, and 200 years of regimentation that had sapped the entire culture of its ability to organize an adaptable means of defending itself.
Beautiful Cities Built Through Strict Regulation
The prize was worth the effort. Pizarro and his men were struck by the fantastic achievements of the Incas. Their capital city Cuzco was as advanced as any major city in Europe, and this without the advantages of iron or centuries of evolving European technologies.
The Incas had marshaled their people and resources to build magnificent fortresses, temples, palaces, paved roads, bridges and aqueducts. Giant blocks of stone weighing 10-12 tons each were fitted together for walls with such carved precision that even a knife blade could not fit between them. Cuzco was the center of everything, and was connected to the empire with excellent roads, cut as needed, through solid rock, or that spanned gorges with suspension bridges. Foot messengers ran the routes to keep Inca informed of the doings in his kingdom.
Central Storehouses
All the Inca storehouses were full of food and supplies. Llamas did the heavy labor and also provided meat and wool. Weapons, clothing, houses, utensils, and tools were finely developed and orderly—an amazing achievement considering the people had only wood and stone with which to work.
The Inca society was organized into a three-level caste system. At the top were the Inca rulers, the direct descendants of the original tribe. This class provided leadership at all levels, but the levels were highly regimented. Each official could communicate only with his direct supervisor and those directly beneath him, thereby designating immediate accountability for all things good and bad.
The next level down were the peasants and workers. This vast majority did all the work to support the empire. They were the soldiers and defenders of the empire. When a village was conquered, these people were sent to set up the Inca way of life. They also sustained the kingdom with everything from farming, raising llamas, and producing clothing and other handcrafted items. And, they also provided their young daughters for human sacrifice. The Inca gods were hungry for such rituals, especially at the great festivals when a new Inca was installed as leader.
At the lowest level were the state slaves. The largest of this slave class apparently descended from an earlier group that once tried to rebel against Inca. They were condemned to die but legend says Inca’s wife pled for their preservation and the tribes were instead made slaves in perpetuity.
No Individual Rights
Inca owned everything, and allowed no private land ownership. He loaned out land as needed for farming, but the produce went to the ruling class. When a peasant married, he received a parcel of land that was large enough to sustain him and his wife. When children were born, the family received more. When the man died the land went back to Inca.
Low-level administrators supervised the peasants working the land. Work began each day with the sound of a conch, and everyone filed out to his or her assigned duties. Their labors included building the temples, repairing the palaces and roads, working the gold and silver mines, or any other state project assigned to them.
Tightly Organized
The people were grouped as families into 10s, 50s, 100s, up to 10,000. Each group had an assigned official watching them closely. Houses were all the same size and design—doors had to be open to anyone. They all ate at the same time, and they were forbidden to change anything from the standardized size, look, and feel, or they would be executed. If anyone wanted to leave a village for any purpose at all, permission was always required.
Shave and a Haircut, Two Bits
The Incas devised an excellent policing system for runaways. They forced everyone to have certain haircuts and uniform styles of clothing. The only variation in these appearances was from province to province. This smothered the temptation of vanity to use style, clothing, and looks to appear better. Also, if someone tried to run away, those in other districts could spot them immediately because of their different hair style, and the cut and color of their cloak.
“Bristle While You Work ...”
The laws exacted constant production from everyone. Men’s lives were divided into ten periods with appropriate duties and requirements for each period. Women had similar duties, and when en route from here to there, they were expected to take along some wool to spin along the way. The elderly or infirm had work assignments suited to their abilities. If slaves had no work to do, their masters would give them useless chores such as moving rocks from here to there or digging pits and filling them again. Work, work, work—no slackers allowed.
Intimate Family Life Regulated
Marriage was strictly programmed. Once each year in every village, a ruler would conduct marriages for all those who had reached a certain age. If they had not paired off, they would be forced to. A man might express a preference, but a woman could never say no. Objecting to the ruler’s choices was punishable by death.
There was no sharing of wives but a man could have concubines in addition to his first wife. Depending on the man’s place in the caste system dictated how many concubines he could have—10, 20, 40, or more.
When children were old enough for school, only those of the upper class were allowed to learn. Education among the lower classes was punishable by death. The privileged children learned their nation’s history, laws and culture, as well as hymns that conveyed similar messages that were recited around the campfires. A village scholar was assigned the duty to teach the children.
Food for the Gods
Females were treated like disposable property. Every year, representatives of Inca visited all the villages to choose out girls eight years old. They were taken from their families and raised in a commune. Also every year, those who turned 13 were taken to Cuzco and presented to Inca himself. He picked a third who would attend to matters of Inca worship. Another third was given away as wives or concubines to the nobility class. The last third was reserved for human sacrifice. If parents grieved over their daughter’s selection for the sacrifice they could be punished with death.
Obey or Else
Punishment for disobedience was extremely severe. Breaking the law was viewed as a direct affront to the Inca’s authority. Even the most minor infractions, such as picking berries or catching a fish on state-owned property, resulted in death. Other capital crimes included causing an abortion or seducing someone of a higher class. In some cases, the law allowed forced labor instead of execution, and punishment could extend beyond life to include punishing the criminal’s descendents. However, these laws did not apply equally to all. The elitist Incas often got off with just a scolding and a sour look, while the slaves were beheaded.
Executions by stoning, hanging by the hair, being thrown off a cliff, or dropped into a pit of snakes wasn’t necessarily the worst of it. The Incas had underground prisons that housed meat-eating animals or deadly scorpions. An accused conspirator’s guilt was tested by throwing him into just such a prison. If a person was guilty, the creatures would kill him—if innocent ... well, it was a miracle.
Ignorance and Fear
With all things identical, all things regulated, and all things standardized, the Incas were conditioned to be naturally suspicious of anything out of the ordinary—an eclipse, an earthquake, the birth of twins or triplets, strange anomalies in nature—these were feared and shunned as manifestations sent as warnings from the evil gods.
Crushing the Human Spirit
The Inca system of socialism weakened the people terribly. It took away their drive to achieve and initiate anything from their own creativity. They became indifferent, apathetic, and stopped thinking for themselves. They lost the connective tissue and emotional bonds in their family circles. They apparently didn’t care about elderly parents who were no longer able to care for themselves. They didn’t care about the suffering by those closest to them. They didn’t care about the Inca state. They had become accustomed to being told by someone what to do, when to do it, and when to do it over if things didn’t measure up.
It is small wonder, then, why a small group of 200 Spaniards could come among them and dispatch the Inca leadership and take over with relative ease. The Spaniards pitted faction against faction in battles and wars to gain complete control. And in the end, the final tally showed that the Inca’s thousands always lost against Pizarro’s hundreds.
Socialism Erupts on Its Own
The interesting message from the rise and fall of the Inca empire is that nearly every element of socialism that was promoted in Plato’s “perfect” Republic or More’s “ideal” Utopia were independently invented and implemented among the Incas—with devastating and miserable results. Also important is the fact the Incas didn’t have access to the writings of western philosophers—they came up with the horrible ideas of socialism all by themselves.
This leads to the conclusion that socialism as a set of tyrannical aspirations needs no precedent to come into existence. Lacking any better code of moral existence, tyranny will rise of its own accord. Not benevolently, but with blood and horror. The seven despotic pillars of socialism in Europe or the Americas cannot be dismissed as mere coincidence or accidental commonality. They are the magnification of mankind’s natural desires to survive at any cost, including the extermination of his fellow beings.
202 For more information, see Louis Baudin, A Socialist Empire: The Incas of Peru, 1961; and, William H. Prescott, History of the conquest of Peru, with a preliminary view of the civilization of the Incas, 1883, in two volumes.
Chapter 32: Jesuit Priests Socialize Paraguay
In the name of Christianity, Jesuit missionaries socialized native converts with baptism, the whip, and Ruler’s Law.
In 1609, Jesuit priests rode into the jungles and valleys of central South America to search for converts.
The regional Spanish governor was in favor of these evangelical labors because there was a frontier border that needed protection. He granted the Jesuits permission to proselytize provided they would organize the people into hamlets at strategic points along the Paraná River. The Jesuits agreed and went about their missionary labors.
In a fascinating description provided by Yves Guyot in his book, Socialistic Fallacies (1910),203 this is how socialism worked among the natives of Paraguay—
It took only a few hundred Jesuits to conquer villages. They would invade the selected tribe, set the huts on fire, and take men, women and children as their prisoners. They divided the people among their missions to prevent them from combining again to form a rebellion. Some of the settlements (called a Jesuit Reduction) controlled as many as 3,500 with just 2-3 Jesuits as overseers.
A native was considered baptized when the Jesuit touched him or her with a damp cloth. A record of this baptism was sent to Rome. After the baptisms, things relaxed a little—each tribe was ruled by a spiritual leader and a temporal leader. There was no uniform or formal law put in place—the only laws were those set by the whim and wit of the Jesuits in charge.
All possessions were held in common—there was no private property. There was no inheritance to pass along or, for a while at least, no property boundaries to define or debate. The children were also communally raised by the village.
Even though the natives had to labor exactly as ordered, the Jesuits found things went smoother if they gave them a small piece of land the people could farm two days a week. They also allowed fishing and hunting, provided the people returned a gift of fish or game to the missionaries.
Regimented Life
Before sun-up, the entire village met at the church for hymns, prayers, and roll call. After lining up to kiss the hands of the missionaries, they were served a broth of barley meal without any fat or salt. Salt was scarce, so was meat, and very little of either was served except maybe on an occasional Sunday. Then, off to work.
The natives could never ride the horses, and had no money or commerce outside of the set boundaries. The men went to the fields or shops, the women worked over the fires, roasting a day’s worth of corn. Later, they went to work spinning at least an ounce of cotton. At lunch, the same broth was served but this time thickened up with peas, beans, some flour and maize. After lunch, they again kissed the missionaries’ hands and headed back to work.
When a native became a convert and “confessed,” he or she was forced to become an informer on others. Lashes with leather whips punished men in public and women in private for neglecting their duties or from committing other crimes.
The problem of “all things in common” ignited the passions of some missionaries who took advantage of the native women and girls. The Jesuits were confessor, legislator and judge, and supervised everything. The natives complained of many abuses, but were powerless to act.
Before the Jesuits were expelled in 1768, observers reported the populations had become spiritually dead. They theorized it was a leftover from the horror of the Inca, a so-called Inca Affect. Some 70 workers could hardly perform what eight or ten mediocre Europeans could perform in the same allotted time. The natives loathed their wretched lives. Even a nightly bell rung by the Jesuits to signal the start of sexual relations to repopulate their numbers failed to produce an increase. Disinterest in their spouses was the last and most horrible testimony of the smothering impact of the socialistic life. After 160 years of ruinous regimentation, the Jesuits left behind an entire people in misery, stagnation, and broken spirits.
203 Yves Guyot, Socialistic Fallacies, 1910, Chapter V: Paraguay.
Chapter 33: Jamestown: Socializing the New World
It was 1607 when the ancient ideas of ‘all things in common’ began to wreak havoc in North America.
STORY: The first English settlement in America landed the seven pillars of socialism into the “new world” with a painfully lethal thud.
After Sir Walter Raleigh’s attempts to establish a colony in Roanoke had failed, a group of investors obtained a charter to try again somewhere along the Virginia coastline. In 1607, a group of 104 entrepreneurs and explorers tied off at an island about 40 miles inland from Virginia’s Atlantic coast. They had discovered a natural deepwater port that was easily defendable.
Imposing Ruler’s Law
Once ashore, their first chore was to divide the colonists roughly into thirds—a group to build a fort, another to start a farm, and the remainder to look for gold. A central storehouse was established to receive all food supplies from which each could take as needed. Each man was required to put back all that he could. Marx would later codify the regimen as “From each according to his ability, to each according to his needs.”204
Did it work? Not at all. The lack of incentive to work for each other, even to avoid starvation, left them severely hurting for food. By Christmas the death toll was high—66 had already died from starvation and disease. The remaining 38 suffered through the winter while they waited on England to deliver food, supplies, and a fresh crop of settlers.
Socialism Flops Again
Why did this first group of settlers fail to provide for themselves? A host of modern voices point to everything for the colony’s miserable failings except to the antagonistic assault on human nature that was used to coerce labor. Threats, deprivations, punishments, and even execution couldn’t stir the men to work. They hated working for others as if they were slaves or servants.
The following year a few hundred more settlers arrived. They faced the same problems. The promised free handouts from the central storehouse couldn’t supply the people’s needs. Only 40 of the men did any appreciable work while the others shirked their duties. That winter, death by starvation nearly wiped out all of them.
In 1609, another 500 settlers arrived. Unfortunately, this didn’t solve anything because the principles of socialism continued to be in operation: no private ownership, top-down control, total and complete regulation.
That winter, their journals record a horrid time of suffering they named the “starving time.” The unfortunate entrepreneurs initially exhausted their stores of food and had to turn to eating their work animals. When those were gone, they ate any small rodents they could find. When that failed to satisfy, they finally resorted to boiling shoe leather. With the leather gone they ate the bodies of the dead. By the spring of 1610, only 60 were left alive.
Property Rights to the Rescue
This communal misery of “all in common” was finally abandoned with the arrival of Sir Thomas Dale. He brought whips and cruelty to the village, and a code he called “Articles, Lawes, and Orders—Divine, Politique, and Martial.”205 It was tyranny of the worst kind. He imposed capital punishment for trivial crimes. For example, one of his punishments for a man caught stealing food was to tie him to a tree to starve to death as a message to others about Dale’s new strict and strait ways.
However, Thomas Dale brought salvation to the colony in a most unexpected way: It was the miracle of private ownership. After two years of imposing force to make the settlers rebuild and become industrious about their plight, Dale was troubled that the men had no investment in the colony. So, he abandoned the communal farming plan in 1613, and handed out parcels of land—private ownership. For those longest settled, he granted three acres of land. Smaller plots were given to the newer arrivals. In return, he asked for 2-1/2 barrels of corn for the central storehouse.206
The settlers were delighted. They dropped their half-hearted communal labors and raced to improve their own property. With their own little farm to work, plow, and plant, the settlers came alive, putting in a new level of anxious enthusiasm they had lacked under the old system. That fall, private land ownership had unleashed an industry of labor that resulted in enough food production for the colony to survive on all through the winter, and the storehouse was stocked with plenty.
Property Ownership Saves the Colony
In 1614, Jamestown’s colony secretary, Ralph Harmor, affirmed that socialism resulted in laziness and a plague of disinterest:
“When our people were fed out of the common store, and labored jointly together, glad was he [who] could slip from his labor, or slumber over his tasks he cared not how, nay, the most honest among them would hardly take so much true pains in a week, as now for themselves they will do in a day, neither cared they for the increase, presuming that however the harvest prospered, the general store must maintain them, so that we reaped not so much corn from the labors of thirty as now three or four do provide for themselves.”207
According to this same eyewitness, giving the people an investment in the land saved the colony. Ralph Harmor continued:
“To prevent which, Sir Thomas Dale hath allotted every man three acres of clear ground, in the nature of farms ... for which doing, no other duty they pay yearly to the store, but two barrels and a half of corn. ...for the industrious, there is reward sufficient.”208
A short time later, John Rolf discovered that tobacco grew well in the Jamestown region, and an interest in smoking it back home in Europe encouraged the colony’s first cash crop. That’s when Jamestown began to take form and strength. The lessons learned from the 1607 disaster were not forgotten in the U.S. Constitution—180 years later the Founders made socialism illegal and unconstitutional. No one wanted another starving time.
204 Karl Marx, Critique of the Gotha Program, Part 1, 1875, published after Marx’s death.
205 See Peter Force, Historical Tracts, Vol. iii, No. 11; Walter F. Prince, Annual Report of the American Historical Association, Vol. i, 1899, Washington, D.C., 1900; Lawrence M. Friedman, A History of American Law, third edition, Touchstone, 2005.
206 See Alexander Brown, The First Republic in America, Houghton, Mifflin and Co., 1898.
207 See John Smith, Generall Historie of Virginia, for the summary of Ralph Harmor’s True Discourse of the Present Estate of Virginia ... till the 18 of June 1614, Library of Congress.
208 Ibid.
Chapter 34: Plymouth: No Thanksgiving for Socialism
Like Jamestown, the Plymouth settlers were obligated to follow a certain business model that was, in fact, the same old tired notion of collectivism. The experiment ran from 1620 to 1624.
STORY: Beginning in 1620, William Bradford served as governor of the Plymouth colony, and fortunately for future generations, he also kept a good journal. His writings provide rich details about their failed experiment with the bad ideas of socialism.
After two months at sea, the 102 Pilgrim settlers stepped ashore to their new but cold and desolate wilderness home. They carried with them their freshly penned Mayflower Compact—a charter of laws that declared authority over believers and non-believers alike.
The voyage across the Atlantic had been stressful and exacted a terrible price from the Pilgrims. Upon arrival some of them were too ill to leave ship and just lingered onboard, attempting to recover. Those able to work went ashore for extended periods to construct housing. Their large “common house” of wattle and daub was finished first. Before winter ended, they had completed three more common houses plus seven residences.
Death the First Year
The colony suffered terribly that first winter—45 people died of disease and exposure. By fall of the following year more had died leaving just 53 alive by spring.
Prosperity eluded them for reasons similar to those in Jamestown. The colony’s merchant-sponsors in London had ordered a very regimented system for living. Everything the colonists produced went into the central storehouse. All the land they cleared and houses they built were held in common—there would be no private ownership.
Guiding this arrangement was a seven-year contract. Point 3 said (all quotes from Gov. Bradford’s writings), “...All profits and benefits that are got by trade, traffic, trucking, working, fishing, or any other means of any person or persons, remain still in the common stock until the division.”209 And stated again in point 10, “That all such persons as are of this colony, are to have their meat, drink, apparel, and all provisions out of the common stock and goods of the said colony.”210
Land, homes and gardens were in common as well: “...That the houses, and lands improved, especially gardens and home lots should remain undivided wholly to the planters at the seven years end.”211
Socialism Flops Again
As with Jamestown, the rules and needs in Plymouth were abundantly clear, but getting the people to cooperate for their mutual survival just didn’t work. Those able to work complained about working for others. They complained about receiving the same compensation as those who didn’t work. As Bradford told it,
“For the young men that were most able and fit for labor and service did repine that they should spend their time and strength to work for other men’s wives and children, without any recompense.”212
Industrious Become Angry With the Lazy
Those who were more industrious and fit for the rigors of hard physical labor were angry that they had to do all the work while others did less or none at all. Bradford reported:
“The strong, or man of parts, had no more in division of victuals and clothes, than he that was weak and not able to do a quarter the other could; this was thought injustice. The aged and graver men to be ranked and equalized in labors, and victuals, clothes, etc., with the meaner and younger sort, thought it some indignity and disrespect unto them.”213
The industrious women objected to being treated like maids or slaves for others, and their husbands objected as well. Bradford writes:
“And for men’s wives to be commanded to do service for other men, as dressing their meat, washing their clothes, etc., they deemed it a kind of slavery, neither could many husbands well brooke it.”214
The 1855 History of Massachusetts by John S. Barry, helps emphasize how socialism self-destructs because it runs so contrary to human nature. He observed the damage of false security in the free handout, and how this let the lazy avoid work or stop it altogether at Plymouth:
“The indolent, sure of a living, would labor only when compelled to; the willing were discouraged by the severity of their toils.”215
Starvation Forces Desperation
In Bradford’s narration, he explained how the whole system was corrupt and the crops yielded little because people kept sneaking around taking what they wished. Bradford wrote:
“Also much was stolen both by night and day, before it became scarce eatable, and much more afterward. And though many were well whipped (when they were taken) for a few ears of corn, yet hunger made others (whom conscience did not restrain) to venture.”216
Bradford pointed out specifically the decay and corruption that spread among otherwise good and religious God-fearing people:
“For this community (so far as it was) was found to breed much confusion and discontent, and retard much employment that would have been to their benefit and comfort. ...”217
A Thanksgiving at Death’s Door
As for the famous first Thanksgivings of 1621 and 1622, the grand feasts that are bragged about in legend and lore were hardly representative of a surplus of overflowing bounty.
The people feasted alright, but that didn’t mean they had much to live on afterwards. They didn’t know how to raise Indian corn, and it was the Indians who brought the venison. Bradford wrote,
“Now the welcome time of harvest approached, in which all had their hungry bellies filled. But it arose but to a little, in comparison of a full year’s supply; partly by reason they were not yet well acquainted with the manner of Indian corn, (and they had no other), also their many other employments, but chiefly their weakness for want of food, to tend it as they should have done.”218
A comment in Mourt’s Relation, a first-person account of the Thanksgiving event, repeats the same: “...Although it be not always so plentiful, as it was at this time with us, yet by the goodness of God, we are so far from want ...”219
Socialism Abandoned
After two deadly years of starvation and suffering, the nightmare of collectivism was ejected in 1623. The more industrious among the settlers approached Gov. Bradford and asked that some land be given to them. Bradford wrote, “That they might therefore increase their tillage to better advantage, they made suit to the Govr to have some portion of land given them for continuance, and not by yearly lot. ...”220
Bradford recognized that private ownership was the answer to their problems. He said,
“And to every person was given only one acre of land, to them and theirs, as near the town as might be, and they had no more until the seven years were expired. The reason was, that they might be kept close together both for more safety and defense, and the better improvement of the general employments.”221
Those with an excuse not to work suddenly wanted to work. For example, Bradford said, “The women now went willingly into the field, and took their little ones with them to set corn, which before would allege weakness, and inability; whom to have compelled would have been thought great tyranny and oppression.”222
Plato is Laughed Out of Plymouth
Bradford analyzed the change that came after private property ownership was implemented. He blamed Plato’s socialistic ideas for the earlier failures:
“The experience that was had in this common course and condition, tried sundry years, and that amongst godly and sober men, may well evince the vanity of that conceit of Plato’s and other ancients, applauded by some of later times; that the taking away of property, and bringing in community into a common-wealth, would make them happy and flourishing; as if they were wiser then God.”223
With private property finally rescuing the colonists from the multiple failures of all things in common, Gov. Bradford happily concludes, “This had very good success for it made all hands industrious, so as much more corn was planted than otherwise would have been.”224
Of this amazing failure and salvation at Plymouth, modern economist E. A. J. Johnson observed (1961), “One would have to search long for such a damning criticism of communism, or such a penetrating analysis of the causes for its failure as a practical expedient. It restricts production by increasing the real costs involved; it breeds confusion and discontent; it creates a feeling of injustice in the minds of the young and old, the strong and weak, the married or unmarried.”225
Because of the success of Bradford’s changes and the industry of the early Pilgrims, the Plymouth colony became prosperous. It attracted additional settlers who made the risky overseas journey, and it ignited the Great Puritan Migration. This great movement was not just of individual men, but of whole families—educated and capable—who ventured to New England to be free. During the succeeding two decades some 20,000 migrated to the colony and nearby towns.
It is interesting to note that more than a century after the Inca empire fell, Jesuit Priests in Paraguay attempted to salvage the local culture from extinction under the spread of European settlements.
The priests tried to force large groups of people into highly regimented societies at remotely scattered missions. From the start, the missionaries were frustrated with the native’s doleful lack of initiative—a problem they tried to resolve with the whip. Unknown to the priests, the native workers had a long-nurtured proclivity to simply take orders, to do as they were told, or to do nothing if they were not told. This was not a change in biological human nature. It was the fallout of the Inca culture of a century earlier that had conditioned the natives to expect their needs to be met without investing personal responsibility.
The Jesuits attributed the Paraguayan’s despondency to the lingering impact of the Inca’s socialistic control, sometimes referred to as the “Inca affect.”
Different Forms of Human Sacrifice
Meanwhile, the first colonists in New England didn’t fare much better than the Inca or the Indians of Paraguay. The English were spared the formal rites of human sacrifices, but they were sacrificed just as well. Their deaths from starvation and harsh conditions came in exchange for a business venture. Instead of having their beating hearts cut out and their heads lopped off while strapped atop some pagan temple, the colonists had to endure death by starvation and related diseases brought about by the violation of the natural rights to own property. In all cases, the ultimate answer and salvation of the colonies came in the form of private, unhampered control over private property.
Learning to Recognize Socialism
Part VI--SOCIALISM IN RELIGION
“All major world religions have gone through times when its members or leaders practiced Ruler’s Law in one form or another.”
209 William Bradford, Of Plymouth Plantation, Bradford’s History of Plymouth Plantation, 1606-1646, Ed. William T. Davis, 1908, p. 75.
210 Ibid., p. 82.
211 Ibid., p. 81
212 Ibid., p. 216
213 Ibid., p. 83.
214 Ibid., p. 217.
215 John Stetson Barry, The History of Massachusetts, The Colonial Period, 1855, p. 121.
216 Ibid., Davis, p. 204.
217 Ibid., Davis, p. 147.
218 Ibid., Davis, p. 204.
219 Henry Martyn Dexter, Mourt’s Relation Or Journal of the Plantation at Plymouth, John Kimball Wiggin, 1865, p. 133.
220 Samuel Eliot Morison, Of Plymouth Plantation, 1620-1647, p. 145.
221 Ibid.
222 Ibid., p. 20.
223 Ibid., Morison, p. 120.
224 Ibid.
225 E. A. J. Johnson, American Economic Thought in the Seventeenth Century, 1961, p. 234.
Chapter 35: Socialism in Religion
For all the good that people try to do for God and individuals, some religions take it a step too far—they resort to tyranny on their own members, or nonmembers alike, to force obedience.
The eternal clash between religion and socialism is choice versus force. What is religion when force replaces choice? Is a person free to join and leave a religious order rather than obey its strict and strait rules? May a person voluntarily refuse a dominant religion’s teachings?
Personal and Voluntary
Religion is an intimately personal form of private conduct. An individual voluntarily follows the tenets and commandments of a belief system because of his or her conscience and free choice.
A religion that compels or restrains people against their will, whether they be adherents or not, is the embodiment of Ruler’s Law. The Bible provides an example of religious compulsion in the form of Shadrach, Meshach, and Abed-nego who refused to bow down to a golden image that Nebuchadnezzar ordered them to worship. As punishment, they were cast into a fiery furnace, but were delivered by the power of God.226
A common flaw in cultures that are strictly dominated by a religion is that they honor institutional rights above individual rights. They sustain the overall culture at the expense of the individual.
Imperfect People Doing an Imperfect Job
All major world religions have gone through times when its members or leaders practiced Ruler’s Law in one form or another. The actions of those imperfect and short-sighted humans should not automatically become an excuse for outsiders to re-define that religion’s core belief as evil or degrading.
But when a religion’s leaders or membership stand by doing nothing to rectify the excesses and anomalies of force and terror committed in their name, or even engage in propagating the abuse themselves, that leaves the rest of the world wondering if that religion is really everything that it says it is. It’s a murky and difficult subject to tackle. Here is one approach—
RELIGION: Catholic Church and Christianity
ADHERENTS: 2.1 billion worldwide227
STORY: The life of Jesus Christ is recorded as one of service, compassion, love, healing, and the ultimate sacrifice of his own life to benefit others. The message of obedience to God, loving others as yourself, and the promise of forgiveness and resurrection, are key foundation stones that helped his apostles spread “the good news.” Today, that message has been embraced by a third of the world.
As a political distinction, Christian socialism can be traced to a meeting of Christian Socialists in London in the mid-1800s. They rejected individual rights and the selfish aggression brought on by market-place competition. They thought Christian-type cooperation was the best replacement for competitiveness, and gave it a test drive by financing co-partnerships and profit sharing in industry. Henri de Saint-Simon was an early advocate, Frederick Denison Maurice, Charles Kingsley and others followed suit.
Today, Christian Socialists have melted into the background of so many other political parties. They are not much different than any other groups attempting to secure governmental power for their own interests.
After the death of the apostles, Ruler’s Law was found infiltrating Christianity in a variety of ways. Some examples:
The great Reformation was a rebellion by Christians who didn’t believe the leadership of the Catholic Church had the right to rule and reign in civic affairs, or had the right to oppress others. The Reformers called for a return to the original teachings of Jesus and to put the Bible at the head of the Church. The Reformers were not guiltless in their rebellions—they too were guilty of unchristian behavior such as driving out, killing, and burning devout Catholics.
Over the centuries, Catholic clergy functioning closer to the people on the local level remained diligent and, for the most part, practiced true Christianity. They served their flocks with devotion and compassion, often in conditions of extreme poverty and stress.
The primary problem in the Catholic Church during its first 1,500 years was the upper clergy’s penchant for entangling alliances with the powers of the monarchies to force religious obedience. In places where this grew into an all-powerful culture from which no one could escape, Catholic or not, that was Ruler’s Law replacing the Gospel of peace. The fruit of that shift away from free religious practice was misery, heavy burdens, taxation, punishment, war, and death.
In recent centuries, many dozens of Christian churches have been formed with the declared intent to restore true Christianity and become more in line with the New Testament. These assorted churches encompass approximately one billion followers of Christ outside of the formal structure of the Catholic church.231
Catholic Church Today: Despite some bad apples and abject foolishness among some that do great harm against the true teachings of Jesus Christ, for the vast numbers aligned with Christianity, a refining and refreshing spirit of love, service, and selfless labor dominates the Catholic Church, its leadership, and Christians everywhere.
ADHERENTS: 376 million232
STORY: Buddhism is both a religion and a philosophy that dates back to about 600 B.C.233 Its founder, the young prince Buddha, desired to learn more about life, and left the sheltered care of his father’s palace to learn the normal earthly pain and suffering of others. Along the way he learned important lessons about his own mortal desires, stresses, and failings, and a pathway to control them, a pathway toward enlightenment.
Hunting for Perfection: Seeking to conquer his mortality, Buddha experimented with forms of meditation. The end result was an earthly perfection of his body and soul through complete personal control. Buddha formed a monastic society whereby he shared his insights.
Modern Leader: Buddhadasa (1906-1993) was a modern-day philosopher of Buddhism in his native Thailand. He taught that socialism is a natural state of being. “Look at the birds; we will see that they eat only as much food as their stomachs can hold. ... Therefore a system in which people cannot encroach on each other’s rights or plunder their possessions is in accordance with nature and occurs naturally ... The freedom to hoard was tightly controlled by nature in the form of natural socialism.”234
Not Forced: Buddhism is voluntary, although some fringe groups have used force to regain members who convert to other religions, but these are infrequent. Buddhism’s modern view is to seek world harmony through natural socialism—to live within one’s own sphere, share what nature provides, and don’t be an exploitative capitalist.
Surplus is Wasteful: While Buddhadasa called for mankind to become like the birds and eat only until they’re full, he implied at the same time that any surplus must therefore be evil. His problem that remains unanswered is that the surplus he objects to as wasteful is not an extravagance. It is the only means whereby people may serve one another. After they eat, are there no crumbs for the hungry? Surplus is how people are able to care for themselves and also help others less fortunate at the same time.235
ADHERENTS: 1.5 billion236
STORY: Islam is the only major world religion that combines civic and religious law into one. Islam’s doctrine, tenets, and commandments mandate death and violence against apostates and non-believers. That orthodoxy, however, is generally practiced by only a minority of its followers.
Islam had its beginnings with Muhammad (570-632 A.D.). He was a merchant who, at 40, started receiving revelations from the Angel Gabriel. These messages were written down as the Quran, and claimed to restore the fullness of God’s teachings, beginning with Adam to Moses, to Jesus, and to others.
Muhammad’s religion was intended to put followers on a path away from worldly ways and toward obedience to God’s commandments. Today that path is manifested as both peace and terror. In countries where it has been allowed to rule society, it is imposing a way of life that must be obeyed or violators are faced with fines, jail time, dismemberment and death.
The Quran is the cornerstone of all Islamic belief. Muslims view the book as sacred scripture. It is organized in sections that are not chronological, but are ordered roughly according to size, approximately from the longest chapter to the shortest.
The book is a mixture of war and peace. The verses written by Muhammad while in Mecca are mostly peaceful and encourage cooperation with people of other beliefs.
That changed after Muhammad became a rich and powerful warlord in Medina. There he attracted his first followers and established his theocratic government. The verses he wrote in Medina took on a much more forceful and violent spirit. They express a very intolerant view toward other religions. For example, Surah 2:256, written in A.D. 614, the more peaceful years in Mecca, says, “There is no compulsion in religion ....” meaning no one should be forced into a religious belief system; they should be free to choose participation or not.
Some 13 years later, Muhammad is in Medina. There he writes in Surah 9:5 that people should be threatened with death if they don’t join Islam, and actually be killed if they ultimately refuse: “Kill the unbelievers wherever you find them. ... But if they repent and accept Islam ... then leave their way free.”
Sharia Law: Religion and state are not separated in Islam. It is a complete way of living. In Muslim nations, Islam governs all moral, spiritual, social, political, economical, and intellectual aspects of life. This makes breaking away, or expressing opinions critical of Islam, not only blasphemous but against civic law—and very punishable.237
There is an extensive record of Islamic warfare all through the middle ages.238 The aim was not necessarily to win more converts to Islam but to protect the Islamic empire. There is debate over interpretation of the Quran’s role regarding jihads during this period, whether or not the wars and battles were for an offensive or defensive purpose. In either case, bloody conflict in connection to Islamic law and society has continued up until the present time.
The Individual Muslim: The nuclear family and vast populations of the Islamic community look to make God the center of their lives. Many of them wish to stand apart from today’s political activists.
When the extremists (or more precisely, the orthodox Muslims) dominate the world’s top news stories day after day, Muslim families truly ignoring the Ruler’s Law aspects of Islam can only hope others will understand that the monster parading in front of the media is brutal fanaticism—evil expressions of compulsion and slavish indulgence—and nothing like their peaceful version of Islam.
The public appearance of Islamic tenets extracted to an extreme has been forming and molding western opinions about Islam for many decades. It’s a public relations nightmare for many Muslims, especially those enjoying freedom of religion in the West.
Unalienable Rights Denied: In terms of natural and unalienable rights, the western view is that Islamic traditions of managing all human rights has cost untold millions of people the joy and prosperity that true religious freedom brings. It is Ruler’s Law of tyranny and force rather than choice and conscience.
Dying in the Name of Allah
News of another suicide bombing somewhere in the world has become an almost weekly event. Suicide bombers, however, are not really suicidal according to Islam. Suicide is contrary to the Quran. But dying while in the act of killing nonbelievers is acceptable.
According to Surah 9:111, “Verily, Allah has purchased of the believers their lives and their properties for (the price) that theirs shall be the Paradise. They fight in Allah’s Cause, so they kill (others) and are killed. It is a promise in truth which is binding on Him in the Taurat (Torah) and the Injeel (Gospel) and the Quran. And who is truer to his covenant than Allah? Then rejoice in the bargain which you have concluded. That is the supreme success.”
In modern times, Christians and Jews have sought peaceful coexistence with Muslims, and in lands where the freedom of religion exists, such peace often works. However, authorities point out that in the 49 or so nations where Muslims are the majority, and in the dozen of those that have installed Islamic or Sharia law, Christians and Jews face persecution or worse. “Allah’s Apostle said, ‘I have been ordered to fight with people till they say, None has the right to be worshipped but Allah.’”239
No Central Authority: There is no top-level governing body in Islam to guide, restrain, instruct, and advise all the people. Various factions compete for leadership. The Sunni and Shi’a Muslims have long clashed—often with lethal violence—to argue points of doctrine or settle prejudices.
For lack of the cultural virtue necessary to enjoy true freedom, various pockets of extremists froth their way to the world’s attention with terror, stonings and beheadings as if they hold some moral high ground over everyone else, which God’s law makes clear they don’t.
Ruler’s Law and the Seven Pillars of Socialism
The pillars of socialism most prevalent in Muslim-majority nations include the iron-clad use of force to impose religious obedience; an all-powerful ruling class that will punish the violation of laws; the destruction of personal freedoms of choice; strict control over all associations (especially between men and women); and the violation of property ownership rights for women. This slavery mentality is forced on millions who, for the most part, are trapped into obedience. In some Muslim countries these extremes are being challenged or eased, and support for more individual rights is growing.
ADHERENTS: 14 million240
STORY: The Jews descend from Abraham through his grandson, Jacob. Judah (1700 B.C.), was one of Jacob’s 12 sons. With the political breakup of the twelve tribes around 930 B.C., only the tribes of Judah and Benjamin, with some remnants of Levi and Simeon, remained in the regions around today’s Jerusalem—they formed the southern kingdom of Judah. Later, they were joined by members of Ephraim and Manasseh.
Scattered: For 3,000 years, the Jews have been scattered to all corners of the earth. At the same time, they developed a remarkable reputation for outstanding scholarship, science, business, and artistic talents that are exceptional from such a relatively small group.
The modern development of the state of Israel initially embraced socialism. In the early 1900s many Jews were driven from Russia, most going to America but some settling in Palestine. Being too poor to buy land or start farms individually, they pooled their labors and funds to create a collective.
The kibbutz (meaning “community”) began as “... a voluntary collective community, mainly agricultural, in which there is no private wealth and was responsible for all the needs of its members and their families.”241
The earliest kibbutz pioneers cleared thousands of acres, first around Galilee. They planted orchards, crops, raised poultry, dairy and fish farming. They made the barren lands blossom. Membership ranged from 40-50 to more than 1,000, with most of them averaging today around 400-500 residents. The median age is 30.
The political side of the kibbutz was a pure democracy, “one man, one vote, the majority rules.” Both men and women could vote. The structure they created allowed members to be assigned their work positions, and had routine duties such as kitchen and laundry rotated.
For many years, children were raised in communal children’s houses. Modern times have changed that, and the assurance of an intact family unit has become important to new couples moving in.242
With only 2.5 percent of the nation’s population, the kibuttzim produce about 33 percent of the agriculture and farm produce, and 6.3 percent of manufactured goods for all of Israel.
Declining: The number of kibbutzim in operation has been declining but has stayed around 270 nationwide for the last couple of decades. There are about 117,000 people participating.
The kibbutzim have struggled to keep up with changing times. Where large investments would upgrade and modernize their equipment and facilities, the collectives are generally too poor to handle large capital improvements. An association of kibbutzim has helped solve that problem, but the greatest improvements have come when the lands and facilities were privatized as profit-making operations.
An important difference in the socialistic nature of the kibbutz and similar farming communities (called a moshav) is that these establishments are all voluntary—people may join or leave at their pleasure without being arrested, punished, or forced to remain.
Free Religion: The tourist to Israel will find that Jewish beliefs and traditions are not imposed by law. Even so, many Jews observe tenets at their businesses. For example, most Jewish establishments in Israel will close for the Sabbath, elevators will go into automatic mode and stop on every floor of hotels (so a person doesn’t “work” by pressing a button for the desired floor), and only Arab-operated taxis and shops are open.
But come Sunday morning, it’s business as usual for the Jews—and time for the Christians living in Israel to put on their Sunday best and attend church—freely, encouraged, and welcomed.
ADHERENTS: 1.1 billion
STORY: Hinduism is the most predominant group of religious beliefs in South Asia. There is no record of a single founder, no single religious or traditional style, and no singular code of beliefs—it is the combination of several ancient religions with strains of beliefs reaching far back into antiquity. They call it the oldest living religion. In fact, Hinduism is not a religion in the traditional sense but more like a way of life. A person doesn’t really convert to Hinduism, he just melds in with the rest.
Belief in Afterlife: The Hindus put a great deal of importance into breaking the cycle of birth and death, which is the main goal of their search for a loftier state of connection with the eternities.
Some believe in gods who occasionally visit the earth to rectify imbalances and to guide humans toward the right way. One method Hindus employ to find the right way is yoga. Yoga is one of any number of rituals performed in temples or anywhere the person desires to seek peace. These rituals include chanting mantras, offering sacrifices, reciting scripture, and meditating.
In several countries, Hindu society is a caste with four divisions. There is debate about this being sanctioned by their sacred tenets, or simply a leftover social custom, but it dates back thousands of years.
The four classes of Varna (meaning order, type or color) are, 1) the Brahmins who are scholars and teachers, 2) the warriors and kings, 3) the agriculturists and merchants, and 4) the artisans and service providers. At the bottom are the untouchables. The untouchables do the dirty work—haul away corpses, execute criminals, dispose of night soil, basically your on-call disaster or stinky mess cleanup crew. In the past they were forbidden to learn from holy books and lived together in their own ghettos outside of the villages.
The caste gave each individual a place in society, and if they behaved well, morally, they would be reborn after death into a higher caste as a reward—or lower caste if they were immoral.
Your Are What You Were: Hindus consider their places in life as the consequence of their own earlier actions in a previous life. A person born rich is rich because of his karma. But if he was born poor and suffering, he has only himself to blame. Getting out of the mess is a chore viewed as his only. Enduring his plight is proof of his worthiness for a higher state of existence in his next life.
The same view is taken toward electing leaders or being invaded by foreigners. Hindus put up with the resulting hardships of corrupt leaders, wars, or conquerors, believing that a bad leader or a conquering army is the result of their own lapses or fault. They believe they are personally responsible, and must endure the suffering for its cleansing effects.
Socialism Won’t Work in Hinduism
Hindu’s beliefs encourage such an independent and personal responsibility that any form of collective or socialist action among them is simply impossible. The individual pursuit for karma makes a group or socialistic society completely incompatible.
These self-interested people wouldn’t want wealth sharing, or their freedom to suffer or improve, impeded by socialism—it is illogical and contradictory to personal perfection. Likewise, free enterprise is very much in harmony with Hinduism. It blends wonderfully well with independent action and personal responsibility.
With so many variations in belief and practice among the world’s religions, is there a singular universal religion to which all may adhere? Benjamin Franklin and other Founders thought there was. They identified five basic beliefs common to the major world religions:
1. There is a Creator.
2. We are his creations.
3. He has revealed laws that govern our actions toward one another, and we are responsible to treat one another well.
4. There is life after death.
5. We will be judged for our treatment of others.243
Samuel Adams said these basic beliefs constituted “the religion of America,” which he said was also “the religion of all mankind.”244 In other words, these beliefs belonged to all world faiths—Christianity, Islam, Judaism, and the others—and could be taught without being offensive.
John Adams called them the “general principles” on which the American civilization had been founded.245
Thomas Jefferson called them the principles “in which God has united us all.” 246
Careful Not to Mention that “Force” Word
Socialist-thinking planners are careful to avoid the necessity of Ruler’s Law to enforce their utopian schemes, and tend to skip over the negative consequences of force directed against those who will not obey the rulers.
As with medieval Christianity and orthodox Islam, the use of force to impose a religion at any level always violates moral law and personal unalienable rights, and backfires. History shows the downward spiral of coercion ends at the same place: force, torture, burnings, beheadings and war.
Religious Leaders Not Religious Government
Religion changes the man on the inside so that he can change his world on the outside. Extremists try to change the outside world to force change on the man’s inside. It doesn’t work, and that explains the eternal conflict between force and choice. Separate religion from the force of government, and let the choice of religion become a tool of personal refinement, and the best of both worlds is created.
Jesus clarified the importance of keeping religion and government carefully separated when he said “Render therefore unto Caesar the things which are Caesar’s, and unto God the things that are God’s.”247
Moses clarified the power of rational organization and God-centered government among the children of Israel without force.
The Founding Fathers clarified the beneficial powers of religious influence in good government when they founded the United States.
When individuals and their culture freely embrace the positives of religious belief, there is an automatic increase in cooperation, harmony, neighborliness, and prosperity. When any form of religious force is imposed on the people, by one person on another or a regime on its people, the whole society stagnates or explodes in anarchy.
Some socialists justify forcing others to “be good” and “do good” by misinterpreting Jesus’ teachings. In their attempt to formulate the true heart and spirit of their benevolent socialism, they misinterpret Jesus’ actions in this fashion:
The above misapplications of Jesus’ teachings avoid the most important difference between the teachings of Jesus and the core doctrine of socialism. That difference is force. Jesus’ acts of compassion and his call for others to do likewise were never to be done by compulsion, but voluntarily, by free-will choice. Socialism doesn’t work that way. Socialism must compel others to obey, and therein boils and churns all of mankind’s eternal clashes, wars and destruction.
Is force bad when it is used to compel people to help the poor and needy? Should people be forced to sell their goods and give to the poor? Should they be forced to have all things in common?
Early in his ministry, Jesus showed that force is not the way to get things done, even if it’s to help the hungry. After he had fasted 40 days, Jesus was tempted by the devil:
“And the devil said unto him, If thou be the Son of God, command this stone that it be made bread.”250
If Jesus had used his Godly powers to force a solution, to bypass the normal way of obtaining bread and create it from stone for the positive purpose of feeding the hungry (in this case, himself), his mission would have been an immediate failure.
A hungry man using a shortcut to turn stone to bread proves that he is a slave to the craving for instant self gratification, a slave to human appetites, a slave to the vice of wanting something for nothing. Jesus came to teach us the opposite, to control our appetites.
Such power to turn stone to bread apparently was his to use, but Jesus would reserve those charities for another time—to teach his followers and bolster their faith, not to gratify selfish hunger pains.
On this day, however, the devil tempted Jesus in the shroud and solitude of privacy, with no one else there to witness a little cheating to eat bread—to indulge just a little to the powerful temptations of mortality and the human flaws that Jesus had come to conquer.
Jesus could not be swayed. Later in his ministry he would teach that only by resisting such urges would true peace and happiness ever be found. He would teach his followers to hold fast to the iron rod of true principles that runs along the pathway of provident living as established by his Father in Heaven—and to never let go.
As for the bread, Jesus knew God’s commandment was to work for what you eat.
“In the sweat of thy face,” God commanded in Genesis 3:19, “shalt thou eat bread.” Jesus was obedient to all of his father’s commandments. He refused to set himself above any law his Father gave to everyone else, and forthwith rejected Satan out of hand:
“And Jesus answered him, saying, It is written, That man shall not live by bread alone, but by every word of God.” (Luke 4:4)
Jesus waited until he could procure food himself, a very real and tangible example to everyone else who suffers for want and is tempted to indulge against honesty or principle, and shrink.
Forced Goodness?
When charity for others is imposed by force, people are denied the benefits of carrying the entire responsibility of compassion on their own shoulders. In this they are robbed of one of life’s grandest and most gratifying experiences possible. Forced compassion always short-circuits the human heart and destroys the integrity of true and loving charity.
Sincere and voluntary charity is kind, it doesn’t envy, it doesn’t boast, it endures, and never fails. People enjoy helping when they can, it is part of human nature. But when people are forced to pay heavy taxes to finance entitlement programs, food stamps, and welfare, they hate it. Some will go so far as to skip, cheat, or dodge paying such taxes by any means available. Paying taxes so somebody else can have food stamps and eat for free—or buy cigarettes, alcohol, drugs and lottery tickets from money they saved because of free food—doesn’t ignite feelings of compassion. It ignites feelings of anger and resentment, the antithesis of a helpful attitude. So—which process has the better outcome, the government’s policy of force, or Jesus’ way of voluntary charity? Why isn’t the compassion side of this being emphasized more than it is? Has something died in our culture?
Force will always and inevitably frustrate the simplicity of pure compassion. The positive messages Jesus taught are in no way connected to the seven despotic pillars of socialism. Jesus’ message was precisely the opposite: be free to choose—and choose wisely.
226 Daniel, chapter 3 .
227 See Adherents, Religions, www.adherents.com.
228 The Catholic Encyclopedia, Priscillianism.
229 See Tony Perrottet, The Besieged and the Beautiful in Languedoc, May 9, 2010.
230 The last name of Jan Hus mans “goose” in Czech. Those who mocked his entrapment and death told other heretics they had “cooked his goose,” a phrase that has come to mean you’ve been caught or ruined.
231 See Adherents, Religions, www.adherents.com/Religions_By_Adherents.html.
232 Ibid.
233 Discovery of earliest Buddhist shrine sheds new light on life of Buddha, FoxNews November 25, 2013.
234 Buddhadasa Bhikkhu, No Religion, www.abuddhistlibrary.com.
235 Buddhadasa Bhikkhu, Dhammic Socialism—Political Thought of Buddhadasa Bhikkhu, see www.stc.arts.chula.ac.th/.
236 See Adherents, Religions, www.adherents.com/Religions_By_Adherents.html.
237 Oussani, G. (1911). Mohammed and Mohammedanism. In The Catholic Encyclopedia.
238 Rudolph Peters, Jihad in Medieval and Modern Islam, 1977, p. 3.
239 Sahib Al-Bukhazi, Vol. 1, Bk 8, number 387.
240 See Adherents, Religions, http://www.adherents.com/Religions_By_Adherents.html.
241 Encyclopedia Judaica, Kibbutz, 1989.
242 See Abraham Pavin, The Kibbutz Movement, facts and figures, Central Bureau of Statistics, State of Israel, 2006.
243 Benjamin Franklin, “Here is my creed: I believe in one God, the Creator of the universe. That he governs it by his providence. That he ought to be worshiped. That the most acceptable service we render to him is in doing good to his other children. That the soul of man is immortal, and will be treated with justice in another life respecting its conduct in this. These I take to be the fundamental points in all sound religion.” Smith, Writings of Benjamin Franklin, 10:84.
244 Wells, Life of Samuel Adams, 3:23.
245 John Adams, letter to Thomas Jefferson, Writings of Thomas Jefferson, 13:293.
246 Thomas Jefferson, Writings of Thomas Jefferson, 14:198.
247 Matthew 22:21 .
248 Luke 12:48 .
249 Acts 2:44-45 .
250 Luke 4:3 .
Chapter 36: Did the Early Christians Practice Communism?
By W. Cleon Skousen251
A few students have secretly or even openly defended Communism because they considered it to be an important set of principles practiced by the early Christians. Such persons often say that they definitely do not condone the ruthlessness of Communism as presently practiced in Russia, but that they do consider it to be of Christian origin and morally sound when practiced on a “brotherhood basis.”
This was exactly the attitude of the Pilgrim Fathers when they undertook to practice Communism immediately after their arrival in the New World. Not only did the project fail miserably, but it was typical of hundreds of other attempts to make Communism work on a “brotherhood basis.” Without exception, all of them failed. One cannot help wondering why.
“Brotherhood Communism” is Unchristian
Certain scholars feel they have verified what Governor Bradford has said concerning “brotherhood Communism,” namely, that it is un-Christian and immoral because it strikes at the very roots of human liberty. Communism—even on a brotherhood basis—can only be set up under a dictatorship administered within the framework of force or fear. Governor Bradford found this to be true. Leaders in literally hundreds of similar experiments concur. Students are therefore returning to ancient texts with this question: “Did the early Christians really practice Communism?”
Two Bible Passages Create Confusion
The belief that the early Christians may have practiced Communism is based on two passages. Here is the first one:
“And all that believed were together, and had all things in common; and sold their possessions and goods, and parted them to all men as every man had need.” (Acts 2:44-45)
Two things might be noted here. First, the people formed a community effort by coming together; second, they sold their possessions and goods as they appeared to need cash proceeds for the assistance of their fellow members. It does not say that they sold all their possessions and goods although it is granted that at first reading this may be inferred. Neither does it say that they pooled their resources in a common fund although this has been assumed from the statement that they “had all things common.”
Problems in Common, Not Things in Common
What they actually did is more clearly stated in the second passage which is often quoted,
“And the multitude of them that believed were of one heart and of one soul; neither said any of them that ought of the things which he possessed was his own; but they had all things common.” (Acts 4:32)
Here we have a declaration indicating that the common effort was not a legal pooling of resources in a communal fund but rather a feeling of unity in dealing with common problems so that no man “said” his possessions were his own but developed and used them in such a way that they would fill the needs of the group as well as himself.
That this is a correct reading of this passage may be verified by events which are described in the next chapter of Acts.
Ananias and Sapphira Try to Cheat Peter
There we read of Ananias and Sapphira. They had a piece of property which they decided to sell. They intended to give the proceeds to the Apostle Peter. But the author of Acts says that when they had sold the property they decided to hold back some of the proceeds even though they represented to Peter that their contribution was the entire value of the property received at the sale. For this deceit, Peter severely criticized them, and then, in the process, he explained the legal relationship existing between these two people and their property. Said he, “While it (the property) remained, was it not thine own? and after it was sold, was it (the money) not in thine power?” (Acts 5:4)
In other words, this property had never been required for any communal fund. It belonged to Ananias and Sapphira. It was completely in their power. After the property was sold the money they received from the sale was also in their power. They could spend it or contribute it. If contributed, the money was a freewill, voluntary offering. It will be seen immediately that this is altogether different from a Communist’s relationship to property where there is a confiscation or expropriation of each member’s possessions, and the proceeds are distributed by a single person or a small committee. The member thereby loses his independence and becomes subservient to the whims and capriciousness of those who rule over him.
Christians Kept Legal Title to Property
It would appear, therefore, that the early Christians did keep legal title to their property but “said” it was for the benefit of the whole community.
This is precisely the conclusion reached in Dummelow’s Bible Commentary. It discusses the two passages we have just quoted and then says: “The Church of Jerusalem recognized the principle of private property. A disciple’s property really was his own, but he did not say it was his own; he treated it as if it were common property.”
Dr. Adam Clarke’s commentary also makes this significant observation concerning the Apostolic collections for the poor: “If there has been a community of goods in the Church, there could have been no ground for such (collections) ... as there could have been no such distinction as rich and poor, if everyone, on entering the Church, gave up his goods to a common stock.”
Jesus Taught Property is Individually Owned
This, then, brings us to our final comment on this subject, namely, that the Master Teacher made it very clear in one of His parables (Matthew 25:14-30) that property was not to be owned in common nor in equal quantities.
In this parable He said the members of the kingdom of God were servants who had been given various stewardships “every man according to his several ability.” One man was given a stewardship of five talents of silver and when he “traded with the same and made them other five talents,” his Lord said, “Well done!” However, another servant who had been given only one talent of silver feared he might somehow lose it, so he buried it in the earth. To this man his Lord said, “Thou wicked and slothful servant!” He then took this man’s one talent and gave it to the servant where it could be developed profitably.
Enjoy Property as a Stewardship
Two things appear very clear in this Parable of the Talents: first, that every man was to enjoy his own private property as a stewardship from God. Second, that he was responsible to the earth’s Creator for the profitable use of his property.
All of the evidence before us seems to clearly show that the early Christians did not practice Communism. They did not have their property in common. Instead, they had their problems in common. To solve their problems, each man was asked to voluntarily contribute according to his ability “as God had prospered him.” (1 Corinthians 16:2)
When carefully analyzed, this was simply free enterprise capitalism with a heart!
The student will also probably recognize that whenever modern capitalism is practiced “with a heart” it showers blessings of wealth, generosity, good will and happy living on every community it touches.
The ancient Christian order was a great idea.
251 Reprinted with permission from The Naked Communist by W. Cleon Skousen, 1958, 2006.
Chapter 37: The Word That Can’t Be Defined
Socialism is often defined to promote a particular brand of the perfect dream. In truth, they’re all nightmares.
With the preceding historical summary to give context, what then can be the best definition for socialism? The traditional definitions include something about the government controlling parts of the economy that typically are controlled by private businesses. Outside of that, definitions of socialism are all over the map. This sampling includes both pro- and anti-socialism observations—
SOURCE: Encyclopaedia Britannica, 13th Edition
DEFINITION: “Socialism is that policy or theory which aims at securing by the action of the central democratic authority a better distribution, and in due subordination thereunto a better production of wealth than now prevails.”252
COMMENT: A central democratic authority is the trap. When the people control their government through their representatives, then they will remain free. Centralized authority to impose “better” anything means the use of force in violation of rights.
SOURCE: Alexis de Tocqueville, defender of freedom
DEFINITION: “Democracy extends the sphere of individual freedom, socialism restricts it. Democracy attaches all possible value to each man; socialism makes each man a mere agent, a mere number. Democracy and socialism have nothing in common but one word, equality. But notice the difference: while democracy seeks equality in liberty, socialism seeks equality in restraint and servitude.”253
COMMENT: As precisely stated, socialism means force.
SOURCE: Paul Hubert Casselman, Labor Dictionary, 1949
DEFINITION: “An economic theory which holds that ownership of property should be in the group and not in the individuals who make up the group. Collectivism may be partial or complete. Partial collectivism is exemplified by public ownership of schools, hospitals, recreational centers, etc., in the capitalistic system. Complete collectivism exists under communism where all wealth is owned in common.”254
COMMENT: The error here is that collectivism is not exemplified by public ownership of schools, etc. Schools, hospitals, etc., are cooperative expenses managed by freely-elected officials. In a collective society, top-down force imposes those decisions outside of the control of the people.
SOURCE: Robert V. Daniels, U.S. author and educator
DEFINITION: “I take as my general working definition of socialism, ‘any theory or practice of social control over economic activity.’ This definition is purposely vague. It embraces any degree of social control in the economy, from the U.S. Post Office to the completely nationalized economy of the USSR. It covers both state socialism and non-state (cooperatives, syndicalism, etc.). It permits democratic as well as dictatorial forms of political control.”255
COMMENT: “Social control” means top-down government control without power by the people—the loss of freedom.
SOURCE: Ludwig von Mises, pro-liberty scholar and teacher
DEFINITION: “My own definition of socialism, as a policy which aims at constructing a society in which the means of production are socialized, is in agreement with all that scientists have written on the subject. I submit that one must be historically blind not to see that this and nothing else is what has stood for Socialism for the past hundred years, and that it is in this sense that the great socialist movement was and is socialistic.”256
COMMENT: Von Mises accurately points out that any name or label describing the regulation of society is still and will always remain socialism.
SOURCE: Benjamin Tucker, publisher, proponent of socialism
DEFINITION: “First, then, State Socialism, which may be described as the doctrine that all the affairs of men should be managed by the government, regardless of individual choice.”257
COMMENT: Tucker cuts to the chase: Under socialism, there are no unalienable rights, no choice, and no property.
SOURCE: Roger Nash Baldwin, a founder of ACLU
DEFINITION: “I am for socialism, disarmament, and, ultimately, for abolishing the state itself ... I seek the social ownership of property, the abolition of the propertied class, and the sole control of those who produce wealth. Communism is, of course, the goal.”258
COMMENT: Baldwin echoes the major goals of all socialists. Communism does it by abrupt force—socialism does it by gradual infiltration and change. Both aim for the same goal.
SOURCE: H. G. Wells, author and outspoken socialist
DEFINITION: “The New Deal is plainly an attempt to achieve a working socialism and avert a social collapse in America; it is extraordinarily parallel to the successive ‘policies’ and ‘Plans’ of the Russian experiment. Americans shirk [shun] at the word ‘socialism,’ but what else can one call it?”259
COMMENT: H. G. Wells points out that the New Deal was the socializing of the United States—and an otherwise inattentive America embraced it with hopeful smiles.
SOURCE: Franklin Spencer Spalding, Episcopal Bishop
DEFINITION: “The Christian Church exists for the sole purpose of saving the human race. So far she has failed, but I think that Socialism shows her how she may succeed. It insists that men cannot be made right until the material conditions be made right. Although man cannot live by bread alone, he must have bread. Therefore the Church must destroy a system of society which inevitably creates and perpetuates unequal and unfair conditions of life. These unequal and unfair conditions have been created by competition. Therefore competition must cease and cooperation take its place.”260
COMMENT: Bishop Spalding sees force in everything—the church must destroy capitalism, it must destroy competition, it must save the human race. The bishop neglected to consider free choice as originally taught by Christianity, and the words of the strongest proponent of free choice among all religions, namely, Jesus Christ.
SOURCE: Frederic Bastiat, French economist and politician
DEFINITION: “Socialism, like the ancient ideas from which it springs, confuses the distinction between government and society. As a result of this, every time we object to a thing being done by the government, the socialists conclude that we object to its being done at all. We disapprove of state education. Then the socialists say that we are opposed to any education. We object to a state religion. Then the socialists say that we want no religion at all. We object to a state-enforced equality. Then they say that we are against equality. And so on, and so on. It is as if the socialists were to accuse us of not wanting persons to eat because we do not want the state to raise grain.”261
COMMENT: Bastiat brilliantly gives perspective and illustration of the fifth pillar of Socialism (force). While free people choose what they want in their society, socialism deems it necessary to impose on everyone “what is good for us” by government force. The problem is and will forever be, who decides for everyone else? As Bastiat observes, the best answer is “We the People” must remain free to decide our future. We do this by way of a free representative government, not through tyrants who will dictate what best benefits themselves, their opinion, and their power base.
Wolves in Sheep’s Clothing
In short, socialism is government force to control and change society. These examples illustrate the difficulty in parading tyranny in a positive light. It takes a lot of careful work to gloss over the details of Ruler’s Law and cast it as worthy of consideration, or as a viable solution to human problems. Socialists try to get around this by inventing a good name or category or leader around which others who want change may rally. There are hundreds of these groups, but only a few have achieved widespread recognition.
252 Encyclopaedia Britannica, 13th Edition.
253 Cited in Hayek, The Road to Serfdom.
254 Paul Hubert Casselman, Labor Dictionary, Socialism, 1949.
255 Quoted in J.D. Bales, What is Socialism?
256 Ludwig von Mises, Socialism, 1951, p. 20.
257 Benjamin Tucker, State Socialism and Anarchism: How Far They Agree, and Wherein They Differ, paragraphs 11 and 12, 1888.
258 Robert C. Cottrell, Roger Nash Baldwin and the American Civil Liberties Union,
pp. 228-229.
259 H. G. Wells, The New World Order, p. 46.
260 Franklin Spencer Spalding, The Christian Socialist, November 1914.
261 Frederic Bastiat, The Law, par. L. 102 (1850 edition).
There are more variations, brands, flavors and combinations of socialistic ideas and socialism than you can shake a stick at.
What are the major groups? This list is not all-inclusive, but presents a few of the more common forms of modern socialism. Each form embodies the same general theme: a promised utopia of peace and prosperity provided that control over social and economic choices are given to a central all-powerful authority.
UNIQUE FEATURE: Impossible, but delightfully hypothetical
STORY: First envisioned by Plato and then given a name by Sir Thomas More in his book, Utopia (1516 A.D.), this brand of socialism found roots in the early 1800s. It promised a perfect society brought about through the harmonious cooperation of like-minded people. Everyone shares everything happily—a garden of earthly delights with no fights, no poverty, and no crime.262
UNIQUE FEATURE: People vote for socialistic policies
STORY: This brand is hard to define. In general, it has deeper involvement of the masses who vote democratically for policy instead of relying on an elite class of leaders to impose it. Some see capitalism and basic property ownership (house, car) as engines of prosperity benevolently tolerated to prop up a democratic socialistic society. Others see it as a transitory mechanism, an in-between that leads from evil capitalism to righteous Marxist socialism without those nasty revolutionary wars and upheavals. Democratic socialism means voting to be impoverished and miserable rather than having it forced upon you.263
BRAND: Marxist socialism (communism)
UNIQUE FEATURE: Quickly imposed with violent uprising
STORY: It’s the culmination of an evolution. Marx envisioned capitalism reaching a breaking point at which time the working class would rise up and take over everything. These masses of laborers are managed by the State until order is restored, and then the State supposedly dissolves away so science can direct everything. Find yourself short on decaf? Plug your problem into the master planning computer. Workers are moved from one job to the other, more decaf is produced, and suddenly you have less to be fidgety about. The end goal is no property, no state, and no religion—just communism.264
UNIQUE FEATURE: Adjusts according to supply and demand
STORY: Similar to Marxism, this brand relies on evolution. By looking back in history at how the needs of a society expand and change, the scientific socialist strives to predict future needs. He adjusts his production and distribution to meet those needs—and then hopes he is right. If he’s wrong, millions starve to death, or barges of unused tofu go rotting on some distant loading dock, but that’s okay—the ends always justify the means, better luck next time.265
UNIQUE FEATURE: Price fixing by trial and error
STORY: This version has the state owning all resources and setting prices by trial and error. The idea is to lower prices on surpluses to get rid of the excess, and raise prices on scarce items to encourage more production to make more money and employ more workers (sounds very capitalistic). In this back and forth trial and error, a nation is eventually supposed to reach a point where everyone is producing what the country uses, everyone is employed, and their united labors happily grow the economy.266
UNIQUE FEATURE: Secretive, subtle, sneak up and infiltrate
STORY: Founded in London in 1884, its supporters advanced communism through gradual, easily swallowed means, not sudden revolutionary action. Socialism imposed slowly will last longer than a revolution, they said, provided it isn’t obviously anti-democracy or too bossy. The Fabians proposed minimum wage, national health care, “social justice,” and nationalization of the land, among other things. They promoted forced schooling and eugenics (selective breeding). Famous people embraced it wholeheartedly: George Bernard Shaw, H.G. Wells (for a while), Virginia Woolf, Bertrand Russell (for a while), Jawaharlal Nehru, Tony Blair, etc. It’s the same ol’ same ol’ socialism. When fully matured there would be no private property, no free choice, no liberty and personal rights.267
UNIQUE FEATURE: Turns family against family
STORY: “Fascism” has become a colloquialism for anything that is rash and brutal. For Italy’s Mussolini during WWII, fascism meant centering all power in him. His secret police spied on everyone to crush all opposition and dissent. Support for fascism was promoted as a patriotic duty and anyone opposed was viewed a traitor. To maintain popular support, Mussolini cultivated a state of ignorance about his activities by controlling all media, and restricting travel and association. It fomented a war-like state of crisis, convincing people of a threat they must be prepared for, and then employing many in the government to prepare and make armaments. The wealthy supported it because it protected their private properties. But once established, Italy’s fascist forces turned on the propertied classes to take from the “haves” and spread around the wealth to the “have-nots.”268
BRAND: Environmental Socialism
Unique Feature: Destroy rights to save the environment
Story: The so-named “green movement” has taken root in recent years to expand government power at the expense of individual liberties. Carbon taxes, global warming, capitalism’s supposed penchant for using too much energy, limited natural resources, cap and trade, the hole in the ozone layer, evil filament light bulbs, flatulence-prone cows—just about anything that puts humans below all things to regiment or eliminate them altogether, is today euphemistically called going green.
Ecosocialists say that Marxism already contains many pro-earth ideals, but today’s movement is designed to give teeth to the abstract—such as empowering Americans to sue companies that are not “green” enough, or shutting down coal-powered power plants (and driving up energy costs), or stopping oil drilling (and driving up energy costs), or stopping land development (make everything a no-touch national park), or imposing mandatory regulations to create ultra-expensive alternatives that are theoretically kinder to the earth.
In 2009 and 2011, suspicions about the political motivations of the global warming movement were validated when batches of 5,000 emails were posted on the Internet.269 Among the messages are cleanly stated the intentions of prominent scientists to conceal underlying data that went contrary to their political agenda, to promote political causes instead of making unbiased scientific inquiry, and admissions that the global warming science is dependent on manipulation of the facts.
Ecosocialism has developed into a filthy assault on liberty that many Americans are supporting at the expense of their own future freedoms to exercise innovation.270
Prickles Off the Same Weed
The growing number of forms of socialism are prickles off the same weed. Each destroys property rights with force. Each has its own elitist class of lordly I-know-better egotists leeching off the masses for sustenance and justification. The misery they create brings out the worst in people. Fighting, knockout games, lawlessness, protests, occupy movements, greed, corruption, and a general breakdown of society all create the excuses needed for an increase in police power. The rulers use police power to punish and crush opposition forces with brute force and multi-layered regulations. This continues until the population has had enough, and then regimes start falling—Egypt, Libya, Syria, Tunisia, Yemen, Bahrain, Somali, etc.
Socialism Has Been a Terrifying Failure
Socialism is the organized pursuit of something for nothing. It feeds on human nature with false assurances. It claims the power to satisfy all needs with minimal or no effort. In the end, only an elite class enjoys the advantages while everyone else must suffer.
The philosopher Ayn Rand spoke about the dark tide of socialism that swept across her homeland of Russia, and warned that no good will come of it for the rest of the world.
“Socialism is the doctrine that man has no right to exist for his own sake,” Rand wrote, “that his life and his work do not belong to him, but belong to society, that the only justification of his existence is his service to society, and that society may dispose of him in any way it pleases for the sake of whatever it deems to be its own tribal, collective good.”271
Rand was an eyewitness to the modern-day spread of socialism and the power it wields over individuals—
“Socialism may be established by force, as in the Union of Soviet Socialist Republics—or by vote, as in Nazi (National Socialist) Germany. The degree of socialization may be total, as in Russia—or partial, as in England. Theoretically, the differences are superficial; practically, they are only a matter of time. The basic principle, in all cases, is the same.
“The alleged goals of socialism were: the abolition of poverty, the achievement of general prosperity, progress, peace and human brotherhood. The results have been a terrifying failure—terrifying, that is, if one’s motive is men’s welfare.
“Instead of prosperity, socialism has brought economic paralysis and/or collapse of every country that tried it. The degree of socialization has been the degree of disaster. The consequences have varied accordingly.”272
Rand said the right to property was the single most important and consistent field of battle between freedom and socialism—
“When you consider socialism, do not fool yourself about its nature,” she wrote in the early 1960s. “Remember that there is no dichotomy as ‘human rights’ versus ‘property rights.’ No human rights can exist without property rights. Since material goods are produced by the mind and effort of individual men, and are needed to sustain their lives, if the producer does not own the result of his effort, he does not own his life. To deny property rights means to turn men into property owned by the state. Whoever claims the ‘right’ to ‘redistribute’ the wealth produced by others is claiming the ‘right’ to treat human beings as chattel.”273
The seven pillars of socialism are not applied equally through time, but are applied according to world circumstances and changing tolerances. In every instance, all seven methods to violate human rights become part of a painful test of endurance for the populous. When the ruling class, having finally exhausted their consumptions on the people, becomes weak, as they always do, a revolution erupts and new forms are installed to guide the people.
Are these ever any better than the originals?
It is the sad experience of generations past that replacement governments, once installed, eventually decay into abuse, like their predecessors—except for one grand exception: the government formed by the U.S. Constitution.
The assorted experiments in government practiced through the ages prove the brilliance of the Founding Fathers’ wisdom when they drafted the ideal framework for correct management of political power.
The Constitution was not a set of laws per se, but rather a structure to accommodate laws that would be as fair, as managed, and as carefully controlled as humanly possible. It was the great happy news for all of mankind, a change in human history when that miserable tide of blood and misery could, at last, come to a halt—perhaps not for everyone, but at least in one part of the world. And from there, freedom and liberty were positioned to spread to the rest of the nations if they wanted it. It was a time-altering and historical moment that forever changed everything.
Here, then, is the genesis, the unfolding, the brilliant beginning of that sparkling lunge for freedom, the amazing U.S. Constitution—
Learning to Recognize Socialism
Part VII--THE MIRACLE THAT STOPPED SOCIALISM
“The utopian schemes of leveling ... are arbitrary, despotic, and in our government, unconstitutional.”
262 Ludwig Von Mises, Socialism An Economic and Sociological Analysis, p. 249; Clarence B. Carson, The Utopian Vision, The Freeman, February 1965, pp. 20-34; The Encyclopaedia Britannica, 13th edition, 1926, Vol. 27, p. 823.
263 See Alex de Tocqueville, Democracy in America, 2:336; W. Cleon Skousen, The Majesty of God’s Law, pp. 556-558.
264 See W. Cleon Skousen, The Naked Communist, pp. 47-59; The Encyclopaedia Britannica, 13th edition, 1926, Vol. 17, pp. 809-810; Encyclopedia of Marxism, Marxism and Marxist.
265 Friedrich Engels, Socialism: Utopian and Scientific, 1880.
266 See Mark Skousen, The Making of Modern Economics, pp. 414-415; Encyclopedia of Marxism, Market Socialism.
267 See Paul Hubert Casselman, Labor Dictionary, p. 132; A. M. McBriar, Fabian Socialism and English Politics, 1884-1918, pp. 8-11; Anne Fremantle, This Little Band of Prophets: The British Fabians, p. 263; Margaret Cole, The Story of Fabian Socialism, 1961.
268 See Ludwig Von Mises, Socialism—An Economic and Sociological Analysis, pp. 524-528; Friedrich A. Hayek, The Road to Serfdom, pp. 168-169; Dictatorship, Its History and Theory, 1939, pp. 131-135. 275-279; Whittaker Chambers, Witness, p. 462; Walter Lippmann, A Preface to Morals, p. 251; Norman Thomas, A Socialist’s Faith, 1951 pp. 52-53.
269 Forbes, Climategate 2.0: New E-Mails Rock the Global Warming Debate, Nov. 23, 2011.
270 Jon Basil Utley, Obama and the Alternative Energy Fiasco, Reason.com, May 13, 2009; Joel Kovel, The Enemy of Nature, 2002; Robyn Eckersley, Environmentalism and Political Theory, 1992; John Clark, The Anarchist Moment, 1984); John Belemy Foster, Marx’s Ecology in Historical Perspective, International Socialism Journal, Winter 2002.
271 Ayn Rand, The Ayn Rand Lexicon, edited by Harry Binswanger, p. 463.
272 Ayn Rand, “The Monument Builders,” in For the New Intellectual, 1963, pp. 100-101.
273 Ibid., p. 120.
Chapter 39: The Miracle That Stopped Socialism
It was 1787, and for the first time in history a nation rose to its feet firmly planted on the correct principles of freedom. They built a structure that banned forever the seven despotic pillars of socialism.
T he miracle that stopped socialism sprang directly from America’s Founding Generation—those pioneering souls who suffered through depravation, tyranny and death, beginning with Jamestown and slogging forward for 170 years. On the eve of their War for Independence in 1776, some 3 million colonists found themselves standing on the precipice of change—a change for freedom.
What was the “spirit of the times” in America on the eve of that war? What was the soil from which a miracle arose that altered the course of human history, that changed the world forever? Was it a confluence of enlightened ideas stirring the people to sever all ties to oppression, or was it the work of religion and Christianity? Or both?
What Makes a Nation Christian?
There are two ways to consider a nation Christian, Muslim, agnostic, or any other form. The first is when it declares itself as such, and formally endorses or enforces a state religion. For example—
In 1979, Ayatollah Ruhollah Khomeini established a theocratic system of government in Iran. Their new constitution left no doubt: “The form of government of Iran is that of an Islamic Republic, endorsed by the people of Iran...”274
In 1978, Spain’s constitution included: “...The public authorities shall take into account the religious beliefs of Spanish society and shall consequently maintain appropriate cooperation [sic] relations with the Catholic Church and other confessions.”275
In 1944, Iceland’s constitution said: “The Evangelical Lutheran Church shall be the State Church in Iceland and, as such, it shall be supported and protected by the State.”276
In 1787, the Founders put no such declaration directly into the Constitution. Nor was any added through the Bill of Rights in 1791. Does that mean the United States was not Christian?
“Look Unto the Rock Whence Ye Are Hewn ...”277
The second way to consider a nation as Christian or not, is to look at its social constructs, ethics and human values.278
John Eidsmoe offers a survey of America’s values and religious roots in his book Christianity and the Constitution.279 He points out—
At the time of the War for Independence, about 2/3rds of the American colonists came from countries steeped in Calvinism and similar versions of Christianity as taught by the Protestant reformers.
900,000 colonists were of Scotch or Scotch-Irish origin.
600,000 colonists were from Puritan England.
400,000 colonists were of German or Dutch-reformed origins.
And more thousands of additional European emigrants crossed the ocean with a cultural schooling of Christianity in their upbringing.
As the colonists formed their local governments, specific religious schools of thought were formally codified into their laws—
1. Plymouth, Massachusetts Bay, New Haven, and New Hampshire incorporated the beliefs of Puritan Calvinist Protestants.
2. New York, Virginia, North Carolina, South Carolina, and Georgia incorporated the beliefs of the Church of England.
3. Maryland maintained formal neutrality although various uprisings over the decades attempted to install an official religion.
4. Colonies that had no state religion were Pennsylvania (founded by Quakers but neutral on religion), New Jersey (populated by many Quakers and Calvinists), and Delaware Colony although Catholics and Quakers periodically struggled for political control.
The Colony of Rhode Island and Providence Plantations officially granted religious freedom but the Catholics were sometimes persecuted or banned.
Additional insight into the religious culture of colonial America is gained from religious affiliation—all but three of the signers of the Constitution claimed allegiance to an organized religion. And, from actions such as the 1777 Continental Congress ordering 20,000 Bibles. And, by the assorted oaths of office that required public declarations such as Delaware’s, “I do profess faith in God the father, and in the Lord Jesus Christ...” And, by Congress setting aside 10,000 acres in 1787 for “civilizing the Indians and promoting Christianity.” And, by Congress’s 1787 Northwest Ordinance: “Sec. 14 Art. 3. ... Religion, morality, and knowledge, being necessary to good government and the happiness of mankind, schools and the means of education shall forever be encouraged.”280
‘Religion is necessary for good government and happiness’? Where did these ideas come from?
John Calvin, Founding Father of the Reformation
The European nations from which these Americans emigrated were heavily schooled in Calvinism. John Calvin was a French pastor who greatly influenced the Protestant Reformation beginning around 1517. He taught three primary doctrines that helped form and steer the philosophical underpinnings of the Constitution:
Learning Becomes a Personal Religious Obligation
The colonists believed that self rule would not succeed unless every citizen learned for himself to read the word of God in the Bible.
In 1647, for example, Massachusetts passed the “Old Deluder Satan Law” to set up schools because “one chief project of the old deluder, Satan, [is] to keep men from the knowledge of the Scriptures.”281
The religious fervor for education soon ingrained itself into American culture. In 1760, for example, John Jay’s entrance requirements to King’s College obligated him to translate the first 10 chapters of the Gospel of John from Greek into Latin.
In 1730, a freshman at William and Mary College had to adhere to the Calvinistic Thirty-Nine Articles, and also be able to read, write, converse and debate in Greek.
In 1763, John Adams studied Plato in French, English and the original Greek, as could most well-educated Americans in those days.282
At the time of the Revolution, one in eight families received a newspaper that was passed along to others and usually read in public. There were nine large college libraries, and more than 60 subscription libraries. Hundreds of personal libraries of 500 or more books were scattered among the colonies, such as Thomas Jefferson’s collection. He donated 6,487 of his books to Congress to create the Library of Congress. Later on, he donated another 1,000 books.283
Numerous studies conclude that a religious culture of literacy made Americans the most literate in the world. Among white New England men, 60 percent were literate between 1650 and 1670. By 1760, that figure rose to 85 percent, and between 1787 and 1795, it rose to 90 percent. In major cities such as Boston the literacy rate was close to 100 percent by 1800.284 At the turn of the century studies conclude that only Scotland surpassed America in literacy.285
What Books Were in the Founding Father’s Library
Although a Christian ethos permeated national morality, the Bible was silent on many aspects of self-rule. The Founders discovered what they needed in other sources—such as Cicero’s explanations on right reason and natural law, David Langhorne’s Plutarch’s Lives, the teachings of Virgil, of Thucydides, and of Tacitus and his Germania.
They studied the enlightening Essays on Civil Government by John Locke, and Baron Charles de Montesquieu’s hopeful Spirit of the Laws. They pondered the enduring principles of Anglo-Saxon law as a restatement of Moses’ laws. They loved Paul’s letters on personal and national virtue. And, they pored over Sir William Blackstone’s legal commentaries and Adam Smith’s The Wealth of Nations.
They read Aristotle’s Essays on Politics and James Hampton’s translation of The General History of Polybius. They also scoured Plato’s Republic and Laws for principles important to freedom.
They read the legal commentaries by Sir Edward Coke, the essays of Francis Bacon, and could borrow copies of Rapin’s five-volume History of England from many of Colonial America’s libraries.
They researched the essays of Richard Hooker, and the challenges of social contracts between citizen and state in Thomas Hobbes’ Leviathan. They studied Montagu’s Rise and Fall of Ancient Republics and Oliver Goldsmith’s The Roman History.
They reviewed Algernon Sidney’s Discourses Concerning Government that got the man beheaded by Charles II in 1683. They absorbed the insights from the Scottish economist David Hume—and more.
Three Grand Conclusions
It is evident from their reading and writings that the Founders knew their history—European, American, Roman, Greek and Biblical. From their combined accumulation of study, knowledge and experience they came to three important conclusions about self-government.
Toppling the Seven Pillars of Socialism
When the Founding Fathers affixed their signatures to the new Constitution, they put into play the greatest power for good the world had ever known. It was infused with the wisdom of the ages, steeped in the principles of Biblical law, and calculated to stand unremittingly for the good of all. With only 4,429 carefully ordered words, backed by an educated constituency with strong national virtue, the Founding Generation did what no other tyrant, monarch or dictator had ever before done: they established permanent freedom and prosperity, and chained down its enemies forever.
It was the miracle that stopped socialism.
274 1979 Constitution of Iran, Article 1.
275 1978 Constitution of Spain, Section 16:3.
276 1944 Constitution of Iceland, Section VI, Article 62.
277 Isaiah 51:1, KJV
278 See Church of the Holy Trinity v. United States, 143 U.S. No. 457 (1892)
279 John Eidsmoe, Christianity and the Constitution—The Faith of Our Founding Fathers, Baker Book House Company, 1987.
280 See Library of Congress, “Religion and the Founders of the American Republic.”
281 The Laws and Liberties of Massachusetts, 1648; see Eidsmoe, p. 28.
282 Ibid., Eidsmoe, p. 22
283 See a fascinating analysis of the Founding Fathers’ books in Forrest McDonald’s Founding Father’s Library: A Bibliographical Essay, first published in Literature of Liberty: A Review of Contemporary Liberal Thought, vol. 1 no. 1, January 1978. See also, Donald S. Lutz, “Top 40 Authors” cited by the Founders, at www.libertyfund.org.
284 Jack Lynch, Literacy in Early America, Colonial Williamsburg Journal, Winter 2011.
285 F. W. Grubb, German Immigration and Servitude in America, 1709-1914, Volume 53 of Routledge Explorations in Economic History, Routledge, 2013, p. 107.
Chapter 40: Abolishing Pillar #1, “The Ruler”
Because the first pillar of socialism is the strongest, it required the most work to abolish. That’s why the Founders carefully wove layers of protections to strike an excellent balance between power and freedom.
In order to remove the despotism of “all power in the ruler,” the Founders put two brilliant devices into the Constitution.
• Dilute: The first device controls the ruling body by spreading far and wide the political power among all the people.
• Define: The second device specifies exactly what that ruling body can do—and then it is chained down with laws, checks and balances.
How is Power Spread Out?
The idea of diluting power has ancient roots. Polybius (Greece, 204-122 B.C.) proposed a mixed constitution with political power shared among “the many.” He envisioned the ruler being assigned the executive duties of the government. The interests of the nobility or the “established order” would be represented in the Senate. The general population would be represented in the popular Assembly.
Polybius’ insight led to the idea of a single government made of three separate powers, each accountable and dependent on the other two. It was a great idea that unfortunately died when Polybius died.
About 1,900 years later, it was given new life by Baron Charles de Montesquieu (1689-1755) as America’s now-famous Separation of Powers with self-protecting checks and balances. Thomas Jefferson explained why these ideas were so effective for retaining freedom:
“The way to have good and safe government is not to trust it all to one,” Jefferson wrote, “but to divide it among the many, distributing to everyone exactly the functions he is competent to [perform best]. Let the national government be entrusted with the defense of the nation, and its foreign and federal relations; the State governments with the civil rights, laws, police, and administration of what concerns the State generally; the counties with the local concerns of the counties, and each ward [township] direct the interests within itself.
“It is by dividing and subdividing these republics,” Jefferson continued, “from the great national one down through all its subordinations, until it ends in the administration of every man’s farm by himself; by placing under everyone what his own eye may superintend, that all will be done for the best.”
Jefferson then asks, “What has destroyed liberty and the rights of man in every government which has ever existed under the sun? The generalizing and concentrating all cares and powers into one body, no matter whether of the autocrats of Russia or France, or of the aristocrats of a Venetian senate.”286
The results of Separation of Powers were ingenious. It was a three-headed American eagle—executive, legislative, judicial—each watching the others for bad behavior. Here’s how they laid it out:
A. EXECUTIVE: This is the president with strong but well-defined powers.
B. LEGISLATIVE: The law-making body was divided into two houses, each watched closely by the other.
The House: Today there are 435 congressmen equally divided according to population among the many states—the larger the state, the more representatives. Today, each congressman represents about 732,000 people.287
The Senate: This “upper house” has two representatives for each state. The Founders gave the state legislatures the responsibility for hiring and firing their two senators. This made the senator beholden to the legislature on a regular basis. This control was demolished in 1913 with the 17th Amendment (discussed later).
C. JUDICIARY: The Supreme Court is to test the validity of new laws in light of the principles of freedom as contained in the Constitution. They are not to interpret or twist the Constitution to meet “changing times,” although that happens all the time.
The lower courts are empowered to resolve all issues unless something is specifically identified for scrutiny at a higher level.
D. CHECKS AND BALANCES: The three branches of government stand together and support each other, but guard their responsibilities carefully. If one branch tries to step across the line, the other two branches have power to push it back.
E. THE STATE LEGISLATURES: Here’s where neighbors vote for neighbors. A state legislator is the first and most easily reached representative of the people. These people carry concerns in their districts to the state level where they can be discussed and solved. It it remains unsettled the concern can be elevated to the federal level through the two senators.
F. THE PEOPLE: The right to elect representatives begins with the individual voter who must be left alone and free to ponder, consider, and make a choice.
Tying Down the Power
The next problem the Founders faced was how to make sure the power remained under control of the people and not the other way around. Thomas Jefferson said Americans should view government power with jealousy and suspicion, not confidence. Americans may love their leaders, he observed, but that is no excuse to release them from careful control. The power is the people’s, not the government’s.
“Free government is founded in jealousy, and not in confidence,” Jefferson wrote in 1798. “In questions of power, then, let no more be said of confidence in man, but bind him down from mischief by the chains of the Constitution.”
What Are the Chains on the President?
The Founders wanted a leader with enough power to act with vigor but not escape accountability. If he acted foolishly, they wanted very real and legal punishments available.
The president’s job description is written up in Article 2. This section makes it clear the president was not given power to make laws like a king, or to issue edicts on a personal whim.
They gave him six responsibilities:
1—Chief of State
2—Commander in Chief
3—Executive over the whole executive branch of government
4—Chief diplomat in foreign affairs
5—Chief architect for needed legislation
6—Conscience of the nation in granting pardons and reprieves.
The Founders opposed political parties. They saw their corrupting influence in Europe and tried very hard to prevent it in America. The system they proposed did a much better job at vetting a presidential candidate. It shut the door on hype and hyperbole, and required candid, face-to-face contact by those who did the actual voting. From that came understanding, promises, commitments, and explanations. It was called the Electoral College. See Article 2.1.
The length of term was hotly debated. The Founders wanted the terms long enough so the president wouldn’t be wasting all his time fighting for re-election when there was so little time to get the work done. Seven years was deemed too long, three was too short, so they settled on four.
The Founders decided a president should be rewarded for good service with the chance to be reelected. The elections acted as referendums on the president’s capacity to govern well. (Article 2.1)
What Are the Chains on Congress?
The Founders opposed how Europe wasted the labors of the people with massive welfare projects. In Article 1, they gave the House and Senate power to take care of the nation’s general welfare, but drastically shortened the list of things they could do.
What is “Welfare”?
Noah Webster’s dictionary of 1828 defined welfare in the days of the Founders as “exemption from any unusual evil or calamity; the enjoyment of peace and prosperity, or the ordinary blessings of society and civil government.”288 This had nothing to do with food stamps, Social Security or Medicare, as claimed by tax-hungry bureaucrats in later years.
What is “General Welfare”?
The intent of “general welfare” was clearly a restriction, not a free-for-all blank check. Madison defended that specific list of do’s and don’ts as necessary to prevent runaway taxation and spending. In Federalist No. 41 he said the list in Article 1.8 was exactly that, a limitation on the kinds of projects for which the government could tax:
“For what purpose could the enumeration [a numbered list] of particular powers be inserted, if these and all others were meant to be included in the preceding general power?”
Immediately, Congress tried to twist and turn the restrictions and definitions of welfare. They used the opening paragraph of Article 1.8 as the excuse—words, they said, that authorized them to care for the “general welfare.” In defense, Madison said that paragraph was an introduction only, and what followed was the actual authority:
“Nothing is more natural nor common than first to use a general phrase, and then to explain and qualify it by a recital of particulars. But the idea of an enumeration of particulars which neither explain nor qualify the general meaning, can have no other effect than to confound and mislead, is an absurdity, ...” (Federalist No. 41)
Madison called it an absurd misconstruction to believe that “general welfare” amounted to an “unlimited commission to exercise every power which may be alleged to be necessary for the common defense or general welfare....” (Federalist No. 41). Hamilton said the same thing:
“This specification of particulars evidently excludes all pretension to a general legislative authority, because an affirmative grant of special powers would be absurd, as well as useless, if a general authority was intended....” (Federalist No. 83)
Jefferson said that if “general welfare” truly meant any taxation for any purpose, “it would reduce the whole instrument to a single phrase, that of instituting a Congress with power to do whatever would be for the good of the United States; and, as they would be the sole judges of the good or evil, it would be also a power to do whatever evil they please.”289
Unfortunately, those early controls were abolished by aggressive presidents, congresses, and a willing Supreme Court. In the beginning, however, the chains were brilliantly applied, well-crafted, and would have kept America out of the trouble it’s in today.
Rule by Law, Not “Whim”
The House puts forth reasons to raise money for various needs of the country. The Senate may agree or suggest changes. Extracting a tax had to be equal for everyone, and not graduated as it is today (Article 1.2.3). The use of those taxes is highly restricted—a laundry list of acceptable expenses is written right into Article 1.8.
“The Congress shall have power to ...”
...and the power to make all laws necessary to carry out these responsibilities.
Extra Chains Just to Make Sure
After the list of 17 permissions, the Constitution lays out eight limits on Congress as outlined in Article I.9.
Keeping control of these enumerated powers and preventing them from expanding to become all-inclusive was the Founders’ goal.
“If Congress can apply money indefinitely to the general welfare,” Madison told Congress, “and are the sole and supreme judges of the general welfare, they may take the care of religion ... education ... schools ... roads ... In short, everything from the highest object of State legislation, down to the most minute object of policy.”291 As most Americans painfully realize, that’s what happened.
What Are the Chains on the States?
The Founders learned by sad experience that the Articles of Confederation gave the states far too much power over the federal government, and this prevented the country from making progress. The challenge was to balance the power just right so both governments would function well within their own spheres of influence.
Article 1.10 puts the states under authority of the Constitution and explains what they may do. In addition, Amendments 9 and 10 gave yet one more restriction on the federal level, clarifying that powers not given to the federal government defaulted to the states or to the people themselves.
Rule By Law, Not By “Whim”
To make sure the states didn’t try to act as a separate country to the detriment of the other states, these restrictions were laid out:
• NO TREATIES: States may not enter into treaties and alliances.
• NO BULLYING: States may not instigate actions or authorize anyone to commit acts that could bring the nation into war (such as issuing letters of marque and reprisal).
• NO CURRENCY: States may not coin money or issue credit.
• DEBTS: States may not pay debts with anything but gold and silver.
• HABEAS CORPUS: States may not jail someone without a trial and conviction.
• NO EX POST-FACTO: States may not pass laws after an act has occurred that makes the act illegal.
• CONTRACTS: States may not pass laws that undo contracts or make their provisions illegal after such contracts have been agreed upon. For example, neither Congress nor state legislatures can suspend the payment of house mortgages during a depression—that is none of government’s authorized business.
• NO SNOBBERY: States may not grant titles of nobility.
• COMMERCE: States may not charge taxes (duties) on imports or exports of other states.
• FAIR FEES: States must allow Congress to control any import fees charged to offset the costs of inspecting things at the border.
• SHIPPING: States may not charge fees on ships according to their tonnage (which, of course, varies with each ship), but are required to all charge the same fees.
• MILITIAS: States may have state militias, but may not keep troops or build up a military—that is the job of Congress.
• NO WARS: States may not start a war except for self-defense. For any other purpose, Congress must give its consent.
• ALL OTHER RIGHTS ... States are responsible and obligated to handle everything else not specified in the Constitution—a privilege and right that has been foolishly abrogated and delegated to the whims of Congress.
What Are the Chains on the Judiciary?
During the Revolutionary War, the people had no top court to settle squabbles between the states. The Founders realized that some form of new judiciary had to be invented to handle national-level problems.
The Supreme Court was intended to be a third branch of the federal government, an independent branch at that. As will be discussed later, the Court quickly evolved into the last and final word on anything, including the actions of the other two “equal” branches. The judiciary became the new Ruler.
Jefferson was extremely disturbed with the Court’s role as an un-checkable ultimate authority. This, Jefferson warned, would result in the Court one day twisting and interpreting the Constitution as a means of amending it without due process, simply by reading the supreme law this way or that way. “Our peculiar security is in the possession of a written Constitution,” Jefferson warned. “Let us not make it a blank paper by construction.”292
Jefferson suggested an amendment giving power to Congress or the state legislatures to veto Supreme Court decisions, giving the people a remedy when the Court strayed from the Constitution. See Chapter 63 for more of Jefferson’s concerns and suggestions.
Job Description: Article 3 describes the duties of the Supreme Court and related courts in America.
• SUPREMACY: The judicial power of the U.S. is vested in one Supreme Court and such inferior courts as Congress shall establish.
• LIFE-LONG: Judges in the federal courts are appointed for life, provided they serve with “good behavior.”
• SALARIED: Judges will receive a salary that can’t be diminished during their terms.
• EQUALITY: The judiciary handles all cases of law and equality. Even though equality is not guaranteed under the Constitution, it becomes an issue when people are taken advantage of when forced into situations of hardship or misfortune. The federal court system is supposed to look at those cases, too.
• CONSTITUTIONAL: The federal courts shall deal with all questions concerning the Constitution.
• APPEALS: The federal courts must accept appeals from lower courts when the case involves enforcement or interpretation of U.S. law.
• TREATIES: Federal courts are responsible for problems arising from treaties or agreements made with foreign powers.
• AMBASSADORS: The delicate legal entanglements of foreign ambassadors and consuls shall be handled only by the federal courts.
• NON-STATES: Federal courts handle all cases involving maritime issues outside of a state’s jurisdiction (off its coastal waters, for example).
• SUING: The federal courts deal with any lawsuit or legal action involving the U.S. government.
• INTERSTATE: Problems between the states shall be handled by the federal courts.
• CITIZENS: Controversies between citizens of different states shall be handled by the federal courts.
• PROPERTIES: Controversies between citizens in the same state over lands or issues in other states may find a neutral hearing on the federal level.
• FOREIGNERS: Any individual or states having difficulties with a foreign state or group may have the case heard on the federal level.
• DIPLOMATS: Top diplomats may have access to the highest court in the land if they run into trouble in America.
• STATES: If a state is involved in a legal issue, it has the right to be heard by the highest court in the land.
• CASE LOAD: Congress may limit the number of cases appealed to the Supreme Court so the justices don’t get buried in a mountain of trivial issues that should be resolved at the lower levels.
Abolishing the Ruler
Forging all the links necessary to chain down federal power includes more than what is listed above. Additional controls can be found interlaced with other restrictions, responsibilities, and declarations throughout the Constitution. The all-powerful Ruler is prevented from tyranny and kingly dictatorship in the United States thanks to the chains put down with wisdom and foresight by America’s Founding Fathers.
286 Bergh, et al, 14:421.
287 See the U.S. Population Clock at census.gov/popclock/
288 Noah Webster, An American Dictionary of the English Language, 1828.
289 Jefferson’s Works, Official Papers, Vol. III-I, p. 148. See Federalist Papers No. 14 (eighth paragraph), No. 27 (last paragraph), No. 39 (last three paragraphs), No. 45 (ninth paragraph), and the 10th Amendment where all powers not listed in the Constitution revert to the States or the people.
290 James Madison, Veto Message, To the House of Representatives of the United States, March 3, 1817.
291 James Madison, remarks, debates on the Cod Fishery Bill, February 7, 1792, p. 429.
292 For an explanation of Jefferson’s position, see Skousen, The Making of America, p. 576.
Chapter 41: Abolishing Pillar #2, “The Caste”
The Founders disrupted the natural tendency toward divisions in society with the creation of a republic.
A republic is a state where power is held by the people, who express their desires and control through elected representatives. This means even the smallest class in society (the individual) has a voice and someone close by to hear it and convey those concerns into the limelight of public consideration.
It Takes a Family ... Then the Village
The beginning place for ‘power by the people’ is first, the family, and then the village. Jefferson called these clusters of people wards, meaning “watched over.”
“These wards, called townships in New England,” Jefferson wrote, “are the vital principle of their governments, and have proved themselves the wisest invention ever devised by the wit of man for the perfect exercise of self-government.”293
Jefferson pointed to this strong local self-control as the means to protect freedom. “The way to have good and safe government is not to trust it all to one, but to divide it among the many ...”294
James Madison said that division of power is best made by putting the bulk of the power at the lowest possible levels. “The powers delegated by the proposed Constitution to the federal government are few and defined,” Madison wrote. “Those which are to remain in the State governments are numerous and indefinite.” (The Federalist Papers #45)
The Republican Form Works Best
Madison explained, “In a democracy the people meet and exercise the government in person; in a republic they assemble and administer it by their representatives and agents. A democracy, consequently, must be confined to a small spot. A republic may be extended over a large region.” (The Federalist Papers #15)
With the power so disbursed, the various classes cannot usurp political control to create advantages for themselves.
It’s the Law
Preventing castes was dealt with in Article 3.4: “The United States shall guarantee to every State in this Union a Republican Form of Government ....” So long as representation exists in every state and community in America, the caste system with an aristocracy at the top and a vast working class of peasants below cannot take root.
Historian Richard Frothingham pointed out how monarchs in England fought local autonomy, and destroyed it so a caste system could be created. Regarding England’s history of local control, he wrote:
“In the course of events the Crown deprived the body of the people of this power of local rule, and vested it in a small number of persons in each locality, who were called municipal councils, were clothed with the power of filling vacancies in their number, and were thus self-perpetuating bodies. In this way, the ancient freedom of the municipalities was undermined, and the power of the ruling classes was installed in its place. Such was the nature of the local self-government in England, not merely during the period of the planting of her American colonies (1607 to 1732), but for a century later.... It was a noble form robbed of its life-giving spirit.”295
Families of Tens: As mentioned earlier, republicanism or the process of elected representation, was used by Moses and then the Anglo-Saxons some 2,000 years later. Thomas Jefferson, Benjamin Franklin, John Adams, and others who were students of Anglo-Saxon culture carried those same concepts to the Constitutional Convention. To this day Americans continue to benefit from the wisdom of that inspired system of management. It helps keep power and responsibility where it belongs: with the people, and without a caste.
Chapter 42: Abolishing Pillar #3, “All In Common”
Of all the socialistic promises made to lure people into surrendering their rights, the promise to deliver something they didn’t earn has been the most difficult to eradicate.
The proper role of government is to ensure equal rights, not equal things.
At the foundation of all socialist thought is the stated goal of taking from the “haves” and giving to the “have-nots.” The Founders called this “leveling.” The fiction that equality in things is in some way possible is dismissed out of hand by the lessons learned at Jamestown, Plymouth, and all other times and venues where it has been tried. The Founders were determined to save America from falling for that one again. Samuel Adams said,
“The utopian schemes of leveling [redistribution of the wealth], and a community of goods, are as visionary and impracticable as those which vest all property in the Crown. [These ideas] are arbitrary, despotic, and, in our government, unconstitutional.”296
Ownership is Necessary for Life: John Locke (1632-1704) explained that there is a proper and necessary role for private property to achieve lasting prosperity and freedom. To begin with, he said, mankind’s greatest common gift is this earth and all that it contains.
“God, who hath given the world to men in common,” Locke wrote, “hath also given them reason to make use of it to the best advantage of life and convenience.”
Locke said that the Creator’s command to have “dominion” over the earth and to “subdue” it required exclusiveness over property:
“It is allowed to be his goods who hath bestowed his labor upon it, though, before, it was the common right of everyone,” Locke said.
For example, a man comes upon a tree in the wild. He turns it into lumber, makes a table and chair, and sells them. It is his labor that made the tree of value in the marketplace, and by natural law no other person has the moral right to deprive him of that property without his permission and without a fair compensation.297
“The supreme power cannot take from any man any part of his property without his own consent,” Locke said. “For the preservation of property being the end of government, and that for which men enter into society, it necessarily supposes and requires that the people should have property, without which they must be supposed to lose that [property] by entering into society, which was the end for which they entered into it.”298
If property rights are destroyed, the lessons of history teach that there must follow a series of consequences that no one wants. Without property rights—
1. The incentive to develop property is smothered. New ideas, improvements, labor-saving devices, cures for disease, multiplying the quality and production of food, etc., withers and dies. The people descend into a desperate hand-to-mouth existence.
2. The industrious are deprived of the fruits of their labors and freedom of choice. Without an incentive to create a surplus, the industrious don’t, and the great motor that powers the world dies.
3. Desperate mobs combine in various forms to go about confiscating by force whatever they please.
4. People are compelled to live out their days on bare subsistence levels because accumulating anything invites attack.
The Right to Property: Justice George Sutherland of the U.S. Supreme Court made an important distinction about property rights that reflect the Founding Fathers’ position:
“It is not the right of property which is protected, but the right to property,” he said in New York in 1921. “Property, per se, has no rights; but the individual, the man, has three great rights, equally sacred from arbitrary interference: the right to his life, the right to his liberty, the right to his property... The three rights are so bound together as to be essentially one right. To give a man his life but deny him his liberty, is to take from him all that makes his life worth living. To give him his liberty but take from him the property which is the fruit and badge of his liberty, is to still leave him a slave.”
Property Rights Necessary to Freedom
John Adams made it clear that the right to property was the most important foundation stone for liberty.
“The moment the idea is admitted into society that property is not as sacred as the laws of God, and that there is not a force of law and public justice to protect it, anarchy and tyranny commence. Property must be secured or liberty cannot exist.”299
James Madison said the same thing in his Essay on Property (1792) where he rejected all excessive spending and future raids on the U.S. people and treasury in the form of taxation:
“Government is instituted to protect property of every sort.... This being the end of government, that alone is not a just government, ... nor is property secure under it, where the property which a man has in his personal safety and personal liberty is violated by arbitrary seizures of one class of citizens for the service of the rest.”
And from these building blocks of freedom came these declarations inside the Constitution and Bill of Rights:
Chapter 43: Abolishing Pillar #4, “All Things Regulated”
The attempt to regulate the market to achieve prosperity has proved a consistent failure. Regulating freedoms simply doesn’t work, and each attempt to do so always backfires. The Founders clearly understood that when they gathered in 1787 to talk about how to balance power and freedom.
To abolish the abuse of regulatory powers, the Founders gave the new American government a very simple chore: protect the freedom to fail.
Allowing for equal failure meant certain rules of fairness had to be enforced—no monopolies, no fraud, no collusion, no restrictions of trade or access, no artificial limits or subsidies, no violation of free trade and competition, no violation of personal rights.
If the government ever found itself getting in the way of any enterprise falling flat on its face, that was proof positive the government had overstepped its bounds.
George Washington Said: “Let vigorous measures be adopted; not to limit the prices of articles, for this I believe is inconsistent with the very nature of things, and impracticable in itself, but to punish speculators, forestallers, and extortioners, and above all to sink the money by heavy taxes. To promote public and private economy; encourage manufacturers, etc.”300
To chain down the government from encroaching on regulating commercial activities, the Founders wrote this into the Constitution:
When these responsibilities were drafted, the emphasis was on the commerce—to prevent the states from trying to gain advantages over each other by interfering in the fair exchange of goods across state lines.
The government is further restricted from regulating the private lives of Americans with:
So long as the American people could keep their national government chained down, there would be no fear of the government agency heads regulating aspects of American lives for which they had no constitutional power. Legislation was Congress’s job, not a czar’s.
Lastly: If there was ever any doubt about the powers of regulation, the Founders included the tenth Amendment to the Constitution:
“The powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively, or to the people.” (Amendment 10)
It was made very clear: Unless the federal government was granted specific powers of regulation, those powers remained with the states, for example, capital punishment, gay marriage, trade unions, guns, abortion, health care, immigration reform, speed limits, etc.
300 Letter from George Washington to James Warren, in Massachusetts, March 31, 1779.
Chapter 44: Abolishing Pillar #5, “Force”
The weaknesses of the Articles of Confederation taught the Founders an important lesson about political power: authority without sufficient power of force is no authority at all.
For the Founders, the critical question of the day was, how much force should be granted so the ruling power doesn’t grow into another ruling monarchy?
The Key Was “We the People”
Putting reins on the power, having it emanate from the people themselves, was how the Founders intended to keep control of “force.” This wholly unique invention was designed to tolerate only definite and limited powers. As James Madison wrote301:
“The powers delegated by the proposed Constitution to the federal government are few and defined. Those which are to remain in the State governments are numerous and indefinite.”
It was a common-sense choice. Generally speaking, Madison said the federal government was responsible for the whole and the outside, and the States were responsible for the individual issues on the inside.
“The former,” Madison continued, “will be exercised principally on external objects, as war, peace, negotiation, and foreign commerce ... The powers reserved to the several States will extend to all the objects which, in the ordinary course of affairs, concern the lives, liberties, and properties of the people, and the internal order, improvement, and prosperity of the State.”
A Nation of Laws, Not Men
It wasn’t enough to declare restraints and responsibilities. The Founders wanted a written law controlled by the people, under which all government power was required to perform and otherwise required to be restrained, according to the Constitution.
Doubts Remained
Even after their very best efforts to forge all the necessary chains around the government were finally talked out and described as cleanly as the Founders thought possible, there remained doubts about unseen loopholes.
As a double-safety net, they added these interesting and well-crafted words: “The enumeration in the Constitution of certain rights shall not be construed to deny or disparage others retained by the people.” (Amendment 9)
This passage expresses a distrust of government, and admits that a government’s very nature is to corrupt, usurp, and creep into realms where it doesn’t belong. Therefore, the Founders also added:
“The powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively, or to the people.” (Amendment 10)
If ever there was conflict over power and rights, the Founders wanted the default resolution to point away from the centers of power and into the control of the individuals. Their systems of checks and balances were meant to encourage the flow of force to the lowest logical level. They wanted power diluted into the hands of many.
“This balance between the national and state governments,” Alexander Hamilton wrote, “ought to be dwelt on with peculiar attention, as it is of the utmost importance. It forms a double security to the people. If one encroaches on their rights, they will find a powerful protection in the other. Indeed, they will both be prevented from over-passing their constitutional limits, by certain rivalship which will ever subsist between them.”302
James Madison laid his axe at the root of the problem and foreshadowed America’s greatest threat: “I believe there are more instances of the abridgement of the freedom of the people by gradual and silent encroachments of those in power, than by violent and sudden usurpations.... This danger ought to be wisely guarded against.”303
As shall be seen a little later, the “gradual and silent encroachments of those in power” is precisely what happened. Today, that crafty invasion and violation of personal rights is burying Americans in a pit of destroyed culture, lost freedoms, and a mountain of obligations approaching $120 trillion.
Chapter 45: Abolishing Pillar #6, “Information Control”
Among the seven pillars of socialism, controlling information is the next most powerful tool after raw force. Information control is necessary to keep a dictator in power. Even if conditions are bad, the illusion of stability will keep the people under control because a natural human trait is to put up with bad things so long as hope and change are on the horizon.
Jefferson made that very point in the Declaration of Independence: “... all Experience hath shewn, that Mankind are more disposed to suffer, while Evils are sufferable, than to right themselves by abolishing the Forms to which they are accustomed.”
He continued, saying that when the abuses become intolerable, “it is their right, it is their duty, to throw off such Government, and to provide new Guards for their future security.”
Throwing off the old tyranny and installing new guards with the Constitution included unhampered information flow.
Abolishing Information Control
America’s founding documents include several statements enforcing freedom of information and government transparency.
The Founders also insisted the activities of the nation be scrutinized. Among their requirements for transparency and openness are:
Trending Toward Ignorance
Cultivating a culture of ignorance helps the grip of socialism tighten. As long as the people don’t know what’s going on around them, so long as they are fed and housed and entertained, those in charge feel more free to do as they please. Preventing parents from teaching their children, abolishing Bible study, regulating what can be spoken and taught, controlling the media’s bias to one side or the other, these and all other inhibitors of the free flow of information keep people ignorant.
Top Secret Code Word
There are some exceptions to the free flow of information, such as the duties necessary for national security. Elected representatives have oversight responsibility on intelligence committees to keep an eye on U.S. government activities. Unfortunately, moles, spies and reckless comments by self-enamored politicians have compromised intelligence advantages that have cost this nation untold billions of dollars and thousands of lives.
Another tool of information control comes from changing a nation’s medium of currency from actual gold and silver to paper notes that cannot be cashed in for gold or silver. Once a baseless paper is admitted into circulation, it may be inflated and traded without the natural controls of the marketplace, and without the knowledge of the people—it is an insidious and powerful form of information control.
George Washington advised, “We should avoid ... the depreciation of our currency; but I conceive this end would be answered, as far as might be necessary, by stipulating that all money payments should be made in gold and silver, being the common medium of commerce among nations.”304
Thomas Jefferson saw oppressive power in the control of money that was not based on gold. The following quote is attributed to Jefferson, but some believe it is a combination of his statements. Either way, it is prophetic: “If the American people ever allow the banks to control the issuance of their currency, first by inflation and then by deflation, the banks and corporations that will grow up around them will deprive the people of all property until their children will wake up homeless on the continent their fathers occupied. The issuing power of money should be taken from the banks and restored to Congress and the people to whom it belongs.”305
Restoration of control that Jefferson promoted meant keeping money tied to gold and silver reserves on hand.
“We are overdone with banking institutions,” Jefferson wrote toward the end of his life, “which have banished the precious metals, and substituted a more fluctuating and unsafe medium... These have withdrawn capital from useful improvements and employments to nourish idleness... [These] are evils more easily to be deplored than remedied.” (The Writings of Thomas Jefferson, Vol. 12, p. 379.)
A free market is best at conveying accurate economic information. Each dollar spent is a vote for products it is used to purchase. Such exchanges convey volumes of information about the worth of products: Is supply meeting demand? Are there more opportunities for profit-making investments? Unfortunately, once the government intervenes and removes the precious metal backing from the dollar, the people have nothing but faith in which to assume their dollar’s true value. All that glitters is not gold—sometimes that glitter is nothing more than the government’s deceptive smile.
Chapter 46: Abolishing Pillar #7, “No Natural Rights”
At the very heart of tyranny is the demand that only the ruler can declare rights and permissions. In the real world, nothing could be further from the truth.
By the time the Founding Fathers completed the Constitution and its Bill of Rights, they had sufficiently defined natural rights so they could be protected within the strong fortress of the Constitution. That sifting process was difficult. One of the teachers who guided them along the way was a man named Cicero.
Cicero (106-43 B.C.) was a Roman statesman, lawyer and constitutionalist. His excellent understanding of natural law laid the foundation for protecting natural rights, a breakthrough to which Thomas Jefferson was particular attracted.
Cicero lived in pagan Rome. It was unusual in that society to find a man speaking of a one true God, but so declared Cicero. He made his reliance upon and advocacy of God the center of his political philosophy. He taught:
How did the Founders protect natural law from abuses and usurpation? Here is a sampling:
Constitution of the United States of America
The Constitution is a very thorough declaration of natural rights from its opening preamble to its conclusion. At least 286 rights are specified.306
The people feared, however, that since England’s King George was so lax in his interpretation of natural rights, they should make a specific list of natural rights so there would be no question.
The Problem of Listed Rights
Alexander Hamilton didn’t like a list of specific ideas. In Federalist Papers No. 84, he pointed out that the federal government had only 20 specific enumerated powers—nothing more. “I go further and affirm that bills of rights, in the sense and to the extent in which they are contended for, are not only unnecessary in the proposed Constitution but would even be dangerous. They would contain various exceptions to powers which are not granted; and, on this very account, would afford a colorable pretext to claim more than were granted. For why declare that things shall not be done which there is no power to do? Why, for instance, should it be said that the liberty of the press shall not be restrained, when no power is given by which restrictions be imposed?”307
At the end of the Constitutional Convention, several of the delegates refused to sign the Constitution without some kind of list of unalienable rights included. George Washington and others had to give personal assurances that if the states would accept the Constitution as presented to them, Congress would accept suggestions to improve it—including a Bill of Rights. Eventually, the states submitted 189 amendments. James Madison boiled them down to 17. Congress approved 12, and the states ratified 10—today’s Bill of Rights.
The Bill of Rights comprises the first ten amendments to the Constitution. Their stated purpose is laid out in the preamble, “... the States ... expressed a desire, in order to prevent misconstruction or abuse of its powers, that further declaratory and restrictive clauses should be added ...,” and thereby provided these 27 protections of individual rights:
1. RELIGION: Congress may not interfere in the free exercise of religion.
2. SPEECH & PRESS: Congress may not interfere in the free exercise of speech and the press.
3. ASSEMBLY: Congress may not interfere in the right of the people to peaceably assemble.
4. PETITION: Congress may not interfere in the right of the people to petition the Government for a redress of grievances.
5. ARMS: The people may possess arms without interference from the government.
6. SOLDIERS: The people will not be forced to house the military except as the people’s representatives describe it according to law.
7. PRIVACY: The people have the right to the privacy of their homes, their businesses, and all their private papers and effects.
8. SEARCH AND SEIZURE: The people have the right to be free from unreasonable searches and seizures.
9. WARRANTS: The people may not be arrested without a properly issued warrant.
10. ACCUSED: People accused of a felony do not need to answer for it unless a formal charge is brought against them that has been heard by a grand jury and formal charges issued.
11. MILITARY CRIME: Military personnel charged with crimes may be tried by a civilian court except during times of war.
12. DOUBLE JEOPARDY: An individual passing through the criminal trial process is free of any additional prosecution for that same crime.
13. SELF-INCRIMINATION: People may not be forced to testify against themselves in court unless they freely choose to do so.
14. DUE PROCESS: People may not be deprived of life, liberty or property without due process of law.
15. PROPERTY: Private property may not be taken without just compensation.
16. TRIALS: The accused shall enjoy the right to a speedy, fair and public trial in the state and district where the crime was committed.
17. ARBITRARY EXCUSES: The accused has the right to have explained the nature of the crime of which he is accused.
18. WITNESSES: The accused has the right to confront witnesses brought against him.
19. POVERTY: The accused will be provided the means to obtain witnesses in his favor using the compulsory powers of the court.
20. DEFENSE: The accused has the right to a defense attorney whether he can afford it or not.
21. CIVIL CASES: The accused in a civil case has the same right to trial by jury as does an accused in a criminal case, provided the suit involves $20 or more.
22. APPEALS: The facts of a case may not be altered, added to, or adjusted during the appeal process.
23. BAIL: The accused of a bailable crime will be released without providing a bail that would be considered excessive and unreasonable.
24. FINES: The convicted has the right to penalties that are reasonable and not excessive.
25. PUNISHMENT: The convicted will not suffer cruel or unusual punishment.
26. ALL RIGHTS NOT MENTIONED ... Americans may claim any and all rights that belong to them whether or not they are listed in the Constitution.
27. ALL POWERS NOT DELEGATED ... Americans and their sovereign states retain all powers not delegated to the federal government.
It’s All About Rights
The important distinction between the U.S. Constitution and other forms of government is that natural rights are not presumed to be invented by government, but instead are declared pre-existing and therefore receive protection by the government. The great modern clash between socialistic governments and freedom always points back to this fundamental part of human creation. Cicero said it best:
“The animal which we call man, endowed with foresight and quick intelligence, complex, keen, possessing memory, full of reason and prudence, has been given a certain distinguished status by the Supreme God who created him; for his is the only one among so many different kinds and varieties of living beings who has a share in reason and thought, while all the rest are deprived of it. But what is more divine, I will not say in man only, but in all heaven and earth, than reason? And reason, when it is full grown and perfected, is rightly called wisdom. Therefore, since there is nothing better than reason, and since it exists both in man and God, the first common possession of man and God is reason.
“But those who have reason in common must also have right reason in common. And since right reason is law we must believe that men have Law also in common with the gods. Further, those who share law must also share Justice; and those who share these are to be regarded as members of the same commonwealth. If indeed they obey the same authorities and powers, this is true in a far greater degree; but as a matter of fact they do obey this celestial system, the divine mind, and the God of transcendent power. Hence we must now conceive of this whole universe as one commonwealth of which both gods and men are members.”308
Cicero Also Wrote:
“True law is right reason in agreement with nature. It is of universal application, unchanging and everlasting.”309
“God ... is the author of this law, its promulgator, and its enforcing judge. ...Whoever is disobedient is fleeing from himself and denying his human nature, and by reason of this very fact he will suffer the worst punishment.”310
Socialism Abolished
The miracle that stopped socialism was brilliantly crafted—and it worked. All seven pillars of socialism were handily dealt with. The Founders knew this would continue only if the people wanted it, and only if the Constitution remained intact, understood, jealously protected, and supported. Here’s what it achieved—
No Ruler: The executive was locked down so he couldn’t become a king and declare edicts on a whim. So long as Congress and the Court could reign him in, the president had little authority except to manage the government with the support of the other two branches.
No Caste: Classes and castes could not develop among the populous because the Constitution gave individuals a raw chance at freedom, and the responsibility to bear the full weight of their own choices, their own industry, and their own ability to make opportunities where none existed.
When a people knows their salvation rests in their own hands, history proves they are more apt to labor their way out of difficulties. The American system promoted that to everyone’s advantage.
No Things in Common: ‘Things in common’ was outlawed by both the culture of self-sufficiency and independence, and the Constitution. Taking a handout was once considered humbling proof of a person falling on hard times, or worse, palpable proof of laziness. But failure also allowed other processes to unfold in positive ways: innovation, compassion, creativity, etc., that rose to the challenge.
The Constitution wisely prevented government entitlements from developing—those misguided safety nets that eat up the labors of the people, encourage dependency, and ultimately destroy economies and cultures.
Minimal Regulation: The sluggish drag on prosperity that over-regulation creates was carefully guarded against. Government was denied the power to shadow every human action and manipulate it toward some national goal.
Small and well-managed government allows men and women to be responsible for themselves—it sets free that pioneering spirit that broke the land in Jamestown, Plymouth, Oregon, Utah, the prairie, the mountains, the continents, the moon, Mars and outer space. The best government is small government, and America’s resulting prosperity, ingenuity and capability proved that adage true.
Balanced Force: Political force was held to the minimum necessary to meet national goals. The proper role of government was caged with chains and guards so it remained the servant of the people instead of vice-a-versa. As a result, prosperity exploded into fantastic realms of creative progress that went far beyond anyone’s expectation or imagination.
Free Flowing Information: The free flow of information promotes prosperity; it is the key to wealth. With a free press, free association, and a money based on the sound value of precious metals, the flow of information lifted the American body and soul to heights of achievement and satisfaction unlike ever before in history.
Natural Rights: The Founders built their model government on the simple premise that a national government should have no more rights than those of any individual. The individuals may delegate rights, but the government may not take them or grant unto itself any new rights.
Upon that simple formula was the greatest nation in the history of the world scratched out of the prairie sod and coastal swamps to become a land littered with light, growth, and peace. It was indeed the miracle that stopped socialism.
Chapter 47: Founding Fathers Speak on Socialism
Socialism is unconstitutional.
The Founders did everything they could to preserve choice and make socialism, communism and any other scheme of leveling, clearly and unquestionably unconstitutional.
Sam Adams: “The Utopian schemes of leveling and a community of goods, are as visionary and impractical as those ideas which vest all property in the Crown ... [these ideas] are arbitrary, despotic, and in our government, unconstitutional.”311
Socialism is Theft
Thomas Jefferson: “To take from one, because it is thought his own industry and that of his fathers has acquired too much, in order to spare to others, who, or whose fathers, have not exercised equal industry and skill, is to violate arbitrarily the first principle of association, the guarantee to everyone the free exercise of his industry and the fruits acquired by it.”312
Socialism Erases Property Rights
John Adams: “The moment the idea is admitted into society that property is not as sacred as the laws of God, and that there is not a force of law and public justice to protect it, anarchy and tyranny commence. If ‘Thou shalt not covet’ and ‘Thou shalt not steal’ were not commandments of Heaven, they must be made inviolable precepts in every society before it can be civilized or made free.”313
Socialism Destroys Profit
Thomas Jefferson: “A wise and frugal government… shall restrain men from injuring one another, shall leave them otherwise free to regulate their own pursuits of industry and improvement, and shall not take from the mouth of labor the bread it has earned. This is the sum of good government.”314
Socialism Stops Progress
Thomas Jefferson: “I predict future happiness for Americans if they can prevent the government from wasting the labors of the people under the pretense of taking care of them.”315
Article 1.8 Prevents Socialism
Thomas Jefferson: “Congress has not unlimited powers to provide for the general welfare, but only those specifically enumerated.”316
James Madison: “With respect to the words ‘general welfare,’ I have always regarded them as qualified by the detail of powers connected with them. To take them in a literal and unlimited sense would be a metamorphosis of the Constitution into a character which there is a host of proofs was not contemplated by its creators.”317
Socialism Benefits Only a Few
James Madison: In 1794, Congress appropriated $15,000 for relief of French refugees coming to America. James Madison objected, saying, “I cannot undertake to lay my finger on that Article of the Constitution which granted a right to Congress of expending, on objects of benevolence, the money of their constituents.”318
Socialism is Forced Welfare
James Madison: “The government of the United States is a definite government, confined to specified objects. It is not like the state governments, whose powers are more general. Charity is no part of the legislative duty of the government.”319
Socialism Begins With Easy Money
Benjamin Franklin: “When the people find that they can vote themselves money, that will herald the end of the republic.”320
Socialism Centralizes Power
James Madison: “An elective despotism was not the government we fought for; but one in which the powers of government should be so divided and balanced among the several bodies of magistracy as that no one could transcend their legal limits without being effectually checked and restrained by the others.”321
Socialism Destroys “Power By the People”
James Madison: “Wherever the real power in a Government lies, there is the danger of oppression.”322
Thomas Jefferson: “When all government, domestic and foreign, in little as in great things, shall be drawn to Washington as the center of all power, it will render powerless the checks provided of one government on another and will become as venal and oppressive as the government from which we separated.”323
Socialism Always Becomes Tyranny
James Madison: “If Congress can do whatever in their discretion can be done by money, and will promote the general welfare, the government is no longer a limited one possessing enumerated powers, but an indefinite one subject to particular exceptions.” 324
Socialism Left Unchecked Creates Tyranny
James Madison: “There are more instances of the abridgment of the freedom of the people by gradual and silent encroachments of those in power than by violent and sudden usurpations.” 325
Socialism Traps People Into Welfare
Benjamin Franklin: “I am for doing good to the poor, but I differ in opinion of the means. I think the best way of doing good to the poor, is not making them easy in poverty, but leading or driving them out of it.”326
Freedom ends with Socialism
Thomas Jefferson: “To compel a man to furnish contributions of money for the propagation of opinions which he disbelieves and abhors, is sinful and tyrannical.“327
Only War Will Dislodge Socialism
John Adams: “A Constitution of Government once changed from Freedom, can never be restored. Liberty, once lost, is lost forever.”328
Centralization of Power Leads to Socialism
Thomas Jefferson: “Our country is too large to have all its affairs directed by a single government. Public servants at such a distance from under the eye of their constituents, must, from the circumstance of distance, be unable to administer and over-look all the details necessary for the good government of the citizens, and the same circumstance, by rendering detection impossible to their constituents, will invite the public agents to corruption, plunder and waste. And I do verily believe, that if the principle were to prevail, of a common law being in force in the United States ..., it would become the most corrupt government on earth....
“What an augmentation of the field of jobbing, speculating, plundering, office-building and office-hunting would be produced by an assumption of all the State powers into the hands of the General Government. The true theory of our Constitution is surely the wisest and best, that the States are independent as to everything within themselves, and united as to everything respecting foreign nations. Let the General Government be reduced to foreign concerns only, and let our affairs be disentangled from those of all other nations, except as to commerce, which the merchants will manage the better, the more they are left free to manage for themselves, and our General Government may be reduced to a very simple organization and a very unexpensive one; a few plain duties to be performed by a few servants.”329
311 Sam Adams to Massachusetts’s agent in London, 1768.
312 Thomas Jefferson to Joseph Milligan, April 6, 1816.
313 John Adams, A Defense of the Constitutions of Government of the United States of America, 1787.
314 Thomas Jefferson, First Inaugural Address, March 4, 1801.
315 Thomas Jefferson to Thomas Cooper, November 29, 1802.
316 Thomas Jefferson to Albert Gallatin, June 16, 1817.
317 James Madison to James Robertson, April 20, 1825.
318 James Madison, 4 Annals of Congress 179, 1794.
319 James Madison speech at the House of Representatives, January 10, 1794.
320 Attributed to Benjamin Franklin; similar quote also attributed to Alexander Fraser Tytler.
321 James Madison, Federalist No. 58, February 20, 1788.
322 James Madison to Thomas Jefferson, October 17, 1788.
323 Thomas Jefferson to Charles Hammond, August 18, 1821.
324 James Madison to Edmund Pendleton, January 21, 1792.
325 James Madison, speech to the Virginia Ratifying Convention, June 16, 1788.
326 Benjamin Franklin in On the Price of Corn and Management of the Poor, Nov. 29, 1766.
327 Thomas Jefferson in An Act for Establishing Religious Freedom, passed in the Assembly of Virginia in the beginning of the year 1786.
328 John Adams to Abigail Adams, July 17, 1775.
329 Thomas Jefferson to Gideon Granger, 1800.
Critics dismiss the Constitution as a creation ideal for a culture of farmers, but no longer applicable to today’s modern problems.
America has made unprecedented progress since the Declaration of Independence in 1776. Some people clamor for reform, claiming that America has outgrown her founding Declaration and Constitution. They suggest these antiquated ideas be abandoned for something more modern. But can anything more modern be offered?
EQUALITY: The Declaration of Independence declares “all men are created equal”—Is equality old fashioned?
RIGHTS: The Declaration of Independence declares we “are endowed with unalienable rights”—Are rights old fashioned?
LIBERTY: The Declaration of Independence defines those rights as “life, liberty, and the pursuit of happiness”—Which of those three is old fashioned or can be improved or replaced?
The Constitution of the United States lays out the mechanisms and restraints for those absolute truths to abide.
There is no improvement of liberty possible—no new plan or new approach that can advance human beings forward as have the Declaration of Independence and the Constitution. To refuse those truths is to turn back to Ruler’s Law.
On the 150th anniversary of the Declaration of Independence, Calvin Coolidge said this about those absolute truths,
“No advance, no progress can be made beyond these propositions. If anyone wishes to deny their truth or their soundness, the only direction in which he can proceed historically is not forward, but backward toward the time when there was no equality, no rights of the individual, no rule of the people. Those who wish to proceed in that direction cannot lay claim to progress. They are reactionary. Their ideas are not more modern, but more ancient than those of the Revolutionary fathers.”330
Said another way, those clamoring for reform are really clamoring for control.
330 Calvin Coolidge, July 5, 1926, Philadelphia Pennsylvania.
Did the U.S. Constitution work? Here is one of countless millions of ideas that proves the workings of the phenomenon of free choice.
In 1945, one of the hottest-selling gadgets at Gimbels in New York City was the first-ever ball-point pen. It was bragged about as a “fantastic … miraculous fountain pen guaranteed to write for two years without refilling.” More than 5,000 people jammed the store that day and snatched up the entire supply of 10,000 pens, paying $12.50 apiece—that’s $145 in today’s dollars.331
The ingenious invention of a loose ball set in a socket that smeared ink on paper was not new. The idea had been around since 1888, but it was Laszlo Jozsef Biro, a Hungarian refugee, who first brought it to market.
The Milton Reynolds Company grabbed Biro’s idea, developed it, and struck gold. For the first time in history there was a viable solution to the maddening frustration of charcoal pencils or quill pens with all their problems of spilled ink, blotting, and smearing that these ancient tools had brought to the art of written communications.
And everybody wanted one. That’s when America’s amazing free market took over.
Competing companies saw the popularity of the ball-point pen and started working on their own designs.
By the 1950s, inventors discovered a better ink so people could hold the pen at an angle, upside down, or even in water, and it still worked.
Another company made it retractable. With just a click, the ball point disappeared inside so ink wouldn’t leak all over someone’s shirt. Others invented clips to hold it fast in a pocket.
One company boasted that their ink would not stain clothing, and sent salesmen into offices to write all over the shirt of the boss. If the ink didn’t wash out, they would provide a more expensive shirt. But the ink did wash out—each and every time. The company made a fortune.
What did all these new features do to the price of pens? Instead of making them more expensive, the competition forced the prices down—and the quality up. Companies all over the world began manufacturing their brand of a better pen in hopes of cornering the lucrative market. By 1952, a ball-point pen could be purchased in almost any store in America for only 19 cents.
By 1964, annual sales topped $80 million with nearly a billion pens sold worldwide.
In 2005, the Bic pen company sold its one-hundred-billionth pen (that’s 100,000,000,000). That’s enough pens to draw a line from Earth to Pluto and back, 33 times.
The story of the ballpoint pen is a wonderful example of how freedom in America works. No one forced Mr. Biro to invent his pen, and no one forced Milton Reynolds to market it. Nobody forced anybody to make it better. Every individual involved did it for one reason: to make millions.
They tried different ideas, they lowered the price, they advertised, they tried virtually anything to lure dollars away from competitors and into their own pockets.
For the consumer, all of that competition and fighting was delightful. Pens were invented and re-invented, improved, and made cheaper, and as prices fell their availability went up.
Along the way many inventors and marketers succeeded, and others failed. But everyone benefitted. At first, only the well-to-do could afford the ball-point pen, but over time, everyone could get one—rich and poor alike. Predictably, the tide of freedom lifted all boats. That’s how the free market works. It makes life better for the greatest number of people at the lowest possible cost.
Are there still $12.50 ballpoint pens out there? Indeed there are. In fact, there are some designer pens that sell for thousands of dollars. Many of those are just flamboyant gimmicks flaunted for attention, but inside, the ink, the roller ball, and the technology are essentially the same ideas at work.
The final fruit of that remarkable combine of energy is this: If you happen to know a good insurance salesman you can get a pocket-clipping, ink-safe, button-clicking, non-leaking, long-lasting gravity-defying amazing ball-point pen for absolutely free.
And that’s how freedom to choose works in America.
Learning to Recognize Socialism
Part VIII--REVOLUTION OF THE SOCIALlSTS, Part: 1
“When the people find that they can vote themselves money, that will herald the end of the republic.”
331 See, among others, Robert Sobel, When Giants Stumble: Classic Business Blunders and How to Avoid Them, Prentice-Hall Press, 1999, pp. viii-xi.
Chapter 50: Conspiracy to Socialize America
While the United States pushed forward with a new standard in human freedom and potential, its powerful engine of productivity was looked upon with greed and envy.
The Founding Fathers did such a good job of protecting the nation from the spread of socialism that the socialists had to invest an enormously difficult and costly amount of time and infiltration to upend the Founders’ best efforts.
In 1895, the Fabian Socialists complained, “England’s [unwritten] Constitution readily admits of constant though gradual modification. Our American Constitution does not readily admit of such change. England can thus move into Socialism almost imperceptibly. Our Constitution being largely individualistic must be changed to admit of Socialism, and each change necessitates a political crisis. This means the raising of great new issues ...”332
Ramsay MacDonald, a British Fabian socialist greatly vexed by the Constitution’s “roadblock to reform,” complained that “The great bar to progress is the written constitutions, Federal and State, which give ultimate power to a law court.”333
U.S. Constitution Blocks Socialism
Because of a written Constitution, the shift toward top-down socialistic control of the American economy and culture was thwarted. But that didn’t ensure that the American way would remain impervious to collapse. The carefully prepared structure of the Constitution was built to work only if the people managing it (that would be us) kept all of its necessary protections in place.
Those protections relied upon a voluntary and freely embraced national virtue, morality, religion, education, participation, and knowledge. As those guardrails on the road to freedom were refused, ignored, and taken down, so was freedom, a little at a time. For many ill-informed and misguided people this drift toward Ruler’s Law was a good change—they called it progressive.
Chapter 51: There’s Nothing Progressive about Progressives
The so-called Progressive Movement in the U.S. did not begin around 1900—it can be traced to more than a century earlier, back when the ink on the Constitution had not even dried.
An otherwise unknown woman remembered only as “Mrs. Powel of Philadelphia,” caught Benjamin Franklin after the Constitutional Convention and asked, “Well, Doctor, what have we got, a republic or a monarchy?”
Franklin responded, “A republic, if you can keep it.”334
Franklin’s answer was both prophetic and factual. “If you can keep it” was a piercing expression of both hope and doubt: the hope of unrealized capacity because of freedom—and some degree of doubt that weak and gullible humans could sustain it as long as might be hoped.
Already by 1787, the seeds of erosion were planted at the top levels of the new government, and Franklin probably knew of it as he stood in front of Independence Hall to briefly converse with Mrs. Powel. He was more than likely well aware that forces lay in wait to undo the hard work of birthing freedom that the Founders had so recently completed.
Seeds of Corruption
Since America’s break with England, various efforts to replace the republic and impose unrestrained top-down control had been urgently promoted by self-proclaimed reformers seeking an overthrow of nearly every aspect of American life.
For more than a century, historians have called that drift toward reforming the Constitution the Progressive Movement—a generalization of the plethora of efforts to socialize America.
Terms of Enslavement
A progressive is someone who seeks to cut the chains of the Constitution that hold back the consuming powers of the federal government. With such chains cut, there is only one way the federal government can grow: bigger, fatter, more meddlesome, and more expensive. Recent history demonstrates this in a trillion-dollar way.
A progressive seeks to install top-down government power to eliminate control from the bottom up. He does this in the name of fairness or equality or social justice or economic justice or civic responsibility or equal opportunity, or some other appeal to the free- lunch mentality. A progressive strives to take advantage of the ever-changing whims and frustrations wrought by the natural inclinations of human nature to trod the path of least resistance.
The very term “progressive movement” is an oxymoron. There is nothing progressive or positive or beneficial about the work to destroy freedom. Progressives would not see it that way, of course, but why call going backwards going forwards except to deceive and mask their true intentions? A more suitable name for progressivism is just what it is—socialism.
Each and every progressive effort, regulation, plan, law, court decision, and legislation has worked to remove freedom from individuals or the nation as a whole. Many of these changes came to America with a great amount of pomp and circumstance, of pontificating and proclamations promising some utopian dream.
The passage of time eventually wears away those empty promises and facades, and exposes progressivism for what it really is—the systematic and carefully crafted violations of true principles. There is nothing new here. Progressivism is simply another flavor, another version, another strategy, another deception to take a great forward-moving people backward—under control of a ruling body of the elitists.
Progressivism has unleashed multiple chain reactions that give us today’s national meltdown in which Americans are now trapped. When did it actually start?
334 See James McHenry’s diary, reproduced in the 1906 American Historical Review, see New American, November 6, 2000.
Chapter 52: America’s First Progressive
America’s first big-league progressive was also a respected and brilliant Founding Father. What went wrong?
We pause in our world-wide view of socialism to focus on America for this important reason: the dominant power in the earth tends to draw all other nations to it through trade, alliances and example. With America standing as the sole practitioner of actual liberty, its resulting prosperity has blessed the entire world. All other peoples who have sought to emulate its patterns of success have also succeeded to varying degrees.
But then, as America’s integrity was weakened, so began the shrinking of freedoms everywhere. Liberty and prosperity in the Earth today do not rise any higher than the level established by the United States. It will remain that way unless America’s demise becomes so severe that it becomes unseated as the major influential power over all nations.
Discovering when and where that weakening actually began helps formulate a cure and a solution. As it turns out, surprisingly, that starting place was a dismal doubt in the heart of an original Founding Father.
Alexander Hamilton (1755-1804)
For all of Alexander Hamilton’s brilliant and inspiring insights into principles of freedom, he had a dangerous blind side: he liked some aspects of Ruler’s Law, of the “British system.”
Hamilton was one of America’s Founding Fathers and the first Secretary of the Treasury. He was born and raised in the Caribbean and attended Columbia University in New York. He was elected to Congress from New York and later founded the Bank of New York. He represented New York at the Constitution Convention in 1787, and wrote 52 of the 87 essays in The Federalist Papers to explain and define the new Constitution, and get it ratified.
Hamilton’s admiration for the British system was his downfall. While his role in setting up the new government is highly admired, quoted, and celebrated, his corruption of its authorities in favor of a stronger central government spoiled an otherwise honored place among the defenders of freedom. His policies as Treasury Secretary reverberate to this day in the form of bottomless national debt and incurable federal intrusion.
Promoted British System
Hamilton wanted a strong ruler in the nation’s capital, an all-powerful leader similar to the monarchy of England. He wrote:
“I have no scruple in declaring ... that the British government is the best in the world; and that I doubt much whether anything short of it will do in America. ...It is the only government in the world which unites public strength with individual security.”335
Hamilton gave a 5-hour speech at the very beginning of the Constitutional Convention celebrating the British system as the model of government that America should follow. The speech didn’t sparkle with his usual flourish, but listeners knew he was trying to stir up the comforting memories of old loyalties to crown and country.
The speech probably wore everyone out. It received polite applause but that was about it. William Samuel Johnson from Connecticut panned it saying Hamilton was “praised by everybody” but “supported by none.”336
Hamilton was so disappointed in the lack of appreciation (no discussion or votes were called), that he left the convention discouraged and angry. Except for a few times when he dropped in to see what was happening, he didn’t return until it was about time to sign the finished document. As a result, Hamilton missed all the debates on the important issues.
The ideas that Hamilton proposed in his speech read like the “to-do list” of a modern-day progressive.
Hamilton said it was too dangerous to tread the untried waters of a truly representative type of government. The British system, he said, was the best way to go.337 His plan called for:
That’s Bad Because—The people can’t easily get rid of a bad president who is appointed to office for life. He’ll give favors, bribes and freebies to keep himself in power. Bribes are corrupting and create a class of privilege and power. U.S. federal employees enjoy higher salaries (averaged $126,000 in 2010) and retirement packages 2.7 times more generous than large private sector companies. In 2011, Washington, D.C. became richer than Silicon Valley.339
That’s Bad Because—A president with all-power, except for a few listed restrictions, is essentially a king. Jefferson and Madison were totally opposed to Hamilton’s theory because it removed the chains on the executive office that would keep it from growing beyond the people’s control, which today it has.
That’s Bad Because—Life-time senators will always vote to keep the president in power and his policies in force. They would tend to never bite the hand that feeds them for fear of falling out of favor.
That’s Bad Because—Two years is more than enough time for those with control over the money to prove their worth of office. If they do poorly it shows quickly—they can be kicked out with the next election before too much damage can be done. Their incentive to keep their job, therefore, is to be wise.
That’s Bad Because—Appointed executives instead of elected executives puts the States under the thumb of the federal government’s arbitrary control to pick and choose friends and supporters. It’s the model of the old USSR where a Communist Party member was required to be present at all local government events to ensure that Party policies were being obeyed.
That’s Bad Because—Consolidating all power in one leader who could tell States what they could or couldn’t do violates the separation of powers, destroys State sovereignty, and would be a return to government by monarchy, the very power and enslavement the colonists had rebelled against at the cost of so much American blood.
Hamilton Tries to Install a King
In 1786, Hamilton and some friends tried to convince 50-year-old Prince Henry of Prussia to be king of the new United States.343 The plot came dangerously close to success. Prince Henry hesitated just long enough to allow an investigation to expose him as one of Europe’s most debauched and notorious philanderers—with both sexes.344
New Government Includes Hamilton
On April 30, 1789, George Washington was inaugurated as the first President of the new United States of America.
On September 11, President Washington chose Alexander Hamilton as his Secretary of the Treasury. Two weeks later the federal court system was set up with a Supreme Court presiding over federal district courts in each State. John Jay was appointed the Chief Justice. A week later President Washington created the United States Army.
Hamilton Wanted to Be Prime Minister
Hamilton was a star-struck student of England’s history and was intrigued by the ruling power of its Prime Minister.
In 1727, King George II inherited his father’s throne. He reigned for about 33 years, and was the last British monarch to be born outside of Great Britain. Like his father, he was a German elector and spent nearly all his time away in Germany with his mistress. For England’s Prime Minister, the king’s absence opened the door for him to keep things running practically any way he saw fit. That Prime Minister was named Sir Robert Walpole.
Hamilton liked the way Walpole was able to run things as an almost all-powerful monarch.
In addition, Walpole also served as the secretary of the treasury, or more formally, “chancellor of the exchequer.”
As Hamilton began his new duties as the U.S. Secretary of the Treasury, that chance to wear many hats was playing in his mind. As one biographer writes:
“Hamilton contemplated an American adaptation of the British scheme of things—with Washington as George II and himself as Sir Robert Walpole.” It fit nicely his idea of a strong executive authority as practiced in Great Britain. Jefferson and Madison were disgusted by this attitude, as noted in their journals.345
An Interesting Dialogue
Hamilton took many opportunities to emphasize the superiority of the British political system over that of the Constitution.
One day while John Adams was serving as Vice President under Washington, Adams apparently tried to humor Hamilton and poke fun at Hamilton’s pet project, the British system. Said Adams,
“Purge that [British] constitution of its corruption, and give to its popular branch [House of Commons] equality of representation, and it would be the most perfect constitution ever devised by the wit of man.”
Hamilton shot right back:
“Purge it of its corruption and give to its popular branch equality of representation, and it would become an impracticable government; as it stands at present, with all its supposed defects, it is the most perfect government which ever existed.” 346
Thomas Jefferson, who recorded this conversation, wrote, “Hamilton . . . [was] so bewitched and perverted by the British example, as to be under thorough conviction that corruption was essential to the government of a nation.”347
The “corruption” Jefferson loathed was Hamilton’s introduction of the same kinds of “buddy networking” that England’s King enjoyed: appointing all leaders of influence, rewarding loyalty, paying for obedience, ensuring perpetuity of private wealth and income, wrapping his arms around the aristocracy with money and privilege, viewing all the rest of society as peasant masses requiring the seasoned guidance of aristocratic leadership.
Said Jefferson, “Hamilton was not only a monarchist, but for a monarchy bottomed on corruption.”348
Hamilton’s Ideas to Ignite the Economy
As Secretary of Treasury, Hamilton wanted to fire up the economy of the new nation and attract leaders of industry, shipping, and commercial enterprises, He proposed doing this by using several techniques:
That’s Bad Because—Instead of outright bribes, these special royal favors usually came in another form—inside investment tips, lucrative contracts, prestigious appointments or nominations to high offices in the government. In other words, politics as usual, rewarding supporters with advantages the others don’t get—dishonesty that the other Founders thought they had outlawed in the Constitution.
That’s Bad Because—In the Founders’ wisdom, the Constitution forbade the government from taking money from some and giving it to others, as either a handout or a tax break. It is wiser to let the free market dictate what works and what fails, and leave the people’s hard-earned taxes out of it.
That’s Bad Because—Every working man or woman knows you’re never free to do what you please with your money until you are debt free. Jefferson argued to Washington that paying off the national debt is the responsible, smart, and morally mandated direction to take, but Hamilton’s position prevailed. As a result, the affluent were always first in line for bailouts and handouts—then and now.
That’s Bad Because—The Constitution gave those fiscal responsibilities to Congress where the people could keep an eye on how coins and the value thereof were managed.
Hamilton won congressional support for a central bank by corrupting their personal principles—he offered Congressmen generous stock in the new private bank. Many of them happily accepted, hoping to secure a nice fat portfolio.
The awful fallout from the bank’s attempt to regulate the money supply was a horrific 72 percent inflation in its first five years of operation.
A central bank prevents private banks from flourishing—it sets all rules and forces compliance without any power by the people to manage the efficiency, elect new directors, etc.
A central bank can inflate or devalue the currency to control the market. It has power to instantly reduce the buying power of the dollar. Such power created America’s first boom and bust cycle, and the banking panic of 1819.
Today’s incarnation of Hamilton’s central bank is the Federal Reserve—to be discussed later.
That’s Bad Because—Hamilton’s suggestion was that Continentals be exchanged for their face value, not what they were actually worth. Hamilton bragged about the plan to a friend and when word got out, schemers scattered far and wide offering to buy up worthless Continentals for pennies on the dollar. This dishonest scheme was underway long before the holders of the old Continentals even knew they could get more. The crooks then presented the Continentals to Congress for full exchange value.349
Jefferson never forgave Hamilton for his loose talk that resulted in the organized cheating and betrayal of the veterans, farmers, and business houses who had sacrificed so much to support the war effort.
That’s Bad Because—This was the very corruption that Jefferson and the other Founders worried about, as Hamilton sought a more progressive way to run things.
Hamilton told the States the federal government would assume all their war debts, even an estimate if they couldn’t provide documentation proving what debts they owed.
Jefferson Tries to Convince Washington
Jefferson hated Hamilton’s plans. At his first opportunity, Jefferson sat down with Washington and carefully explained what the monetizing of the debt meant to future generations. Instead of paying off this debt, Jefferson explained that Hamilton and his moneyed friends were buying the right to receive interest checks taken from the taxpayers for generations to come.
Washington told Jefferson that high finance was something he didn’t entirely understand. He was impressed, however, that Hamilton’s plan had made the country’s credit first rate.
Jefferson sadly returned to his journal and recorded:
“Unversed in financial projects . . . his [Washington’s] approbation of them was bottomed in his confidence in the man [Alexander Hamilton].” 350
How shocked Washington would have been if Jefferson could have shown him our own day—two hundred years after the fact—when the national debt Hamilton so gleefully promoted would exceed $17 trillion and the interest payments would amount to more than $400 billion per year, with many of those payments taken from working Americans in the form of taxes going to foreign investors.
Hamilton Pays Bribes to Cover Adultery
It was during the same period that Hamilton was extremely worried over threats of exposure by the husband of Maria Reynolds with whom he had established extra-marital relations. The liaisons began soon after the federal government moved from New York to Philadelphia in 1790.
Mrs. Reynolds had gained Hamilton’s sympathies by claiming her husband had deserted her. However, after their affair had continued for some time, the husband suddenly returned and threatened Hamilton with exposure if he did not provide immediate satisfaction. At first Hamilton paid $600, then $400, and apparently other payments from time to time. By 1797 the scandal broke in the press and Hamilton eventually issued a public confession setting forth a complete recitation of the whole sordid affair.351
By this time, however, Hamilton had long since resigned as Secretary of the Treasury and was practicing law. He had also gone through a bitter and long-standing dispute with Thomas Jefferson who considered Hamilton one of the foremost enemies of the Constitution as it was originally designed.
Death and Legacy
Hamilton’s death resulted from a pistol duel with Vice President Aaron Burr. Hamilton was mortally wounded and died the next day, July 12, 1804.
Many biographers attribute to Hamilton a keen insight into changes necessary to stabilize the early American economy. There is no doubt that he was a leading advocate for the principles of freedom, and that he did a great deal to help to get the Constitution ratified, and contributions in other areas. However, this brief review is meant to highlight Hamilton’s damaging socialistic policies, not present other achievements in his life which are well remembered and honored.
Hamilton fell victim of the socialist lie—that the people cannot be trusted to govern themselves, that intellectual superiors should be put in charge. It was this attitude and his actions as Secretary of the Treasury to centralize control in the Executive that opened the doors to dismantling the chains and protections put forth in the Constitution. These were the early blows of progressivism that would evolve into stronger influences as the decades wore on.
335 Madison’s Report, Works, i. pp. 388, 389; see Frederick Scott Oliver, Alexander Hamilton: An Essay on American Union, 1918, p. 155.
336 Forest McDonald, Alexander Hamilton, 1979, p. 105.
337 “Hamilton’s Plan” from The Majesty of God’s Law by Skousen, pp. 366-367.
338 Noemie Emery, Alexander Hamilton, An Intimate Portrait, New York: G. P. Putnam’s Sons, 1982, p. 98.
339 Congressional Budget Office, Comparing the Compensation of Federal and Private-Sector Employees, January 30, 2012; Frank Bass and Timothy Homan, “Beltway Earnings Make U.S. Capital Richer Than Silicon Valley,” Bloomberg, October 18, 2011.
340 The Federalist, On the New Constitution, 1788, Letters of Pacificus (Hamilton), p. 408, Hallowell et al, 1852.
341 Alexander Hamilton comments to the Convention, Monday, June 19, 1787.
342 Alexander Hamilton at the Convention, Monday, June 18, 1787.
343 The Majesty of God’s Law, 2nd ed., 1st printing, by W. Cleon Skousen, p. 380.
344 Eugen Wilhem, “Die Homosexualitat des Prinzen Heinrich von Preussen, des Bruders Friedrichs des Grossen”, Zeitschrift fur Sexualwissenschaft 15, 1929.
345 McDonald, Alexander Hamilton, op. cit., p. 126.
346 Ibid, Thomas Jefferson, The Anas, p. 279
347 Ibid.
348 Ibid.
349 Ibid., Thomas Jefferson, The Anas, pp. 272-273.
350 Ibid., Thomas Jefferson, The Anas, p. 278.
351 Emery, Alexander Hamilton, An Intimate Portrait, op. cit., pp. 163-164.
Chapter 53: The Revolution of the Socialists
Industry wasn’t the only thing being revolutionized in the 1800s.
After America’s break from England, a spirit of individual freedom spread throughout Europe. People saw an opening to finally unshackle themselves from the lingering remains of the dying feudal system. They demanded a say in political affairs. They looked to throw off the tyranny of kings and lords. They sought ways to apply their own ideas to politics and economics, to create, invent, invest, and expand the freedom to exercise and protect their individual rights. It was a renaissance of liberty, of self-rule, of creativity, of inventiveness. It was the dawning of the Age of the Machine.
Industrial Revolution Changes the World
The so-called Industrial Revolution was really an industrial evolution that spanned more than 100 years. It was a time of opportunity, invention, investment and creativity.
This revolution had roots back to the age of the guilds when governments were sponsoring and protecting certain industries. By the 1700s, major advancements appeared in England, most of them in the textile industry. Assorted innovations in weaving and thread-making gave birth to new jobs, new machines and new industries.
Steam engines contributed to every aspect of society where traditional manufacturing processes suffered for want of some kind of power to run large machines.
New construction materials, iron and cement, were invented for better performance and cheaper production. This led to improvements in building construction, mining, machinery, mills, housing, and all of the related employment.
Like a giant vortex pulling in ideas from all directions and combining them into things never before thought of, this new creativity began churning and splitting and fusing and overlapping to advance engineering, metallurgy, chemistry, and medicine, to build inventions, discoveries and ideas, one atop another, until the tide toward a whole new age had swelled beyond imagination: automated looms, spinning wheels, flyer-and-bobbins, steam engines, steam power, spinning mills, rotary machinery, power tools, glass making, paper manufacturing, food productions, pharmaceuticals, ploughs, harvesting equipment, steamboats, steam locomotives, steel manufacturing, weaponry, and so much more.
Genius on Parade: As these discoveries, inventions and breakthroughs were put to market, many of them were proudly shared with the world, and sent on tour to be displayed and paraded around at symposiums and fairs and international expositions. Details and descriptions of the achievements were printed in books, encyclopedias, and periodicals. The means to spread this amazing knowledge was improved by the very act of spreading such knowledge.
It was a wonderful time of enlightenment and progress for the world, and Europe in particular.
Making Do on the Continent: For the European nations, the joys of actual freedom remained largely just headlines boasting the fantastic prosperity taking off in America. Could Europe follow suit, or would socialism get in the way?
Unfortunately for Europe, the march toward liberty became side-tracked by individuals and ideas that fell short of the necessary principles of freedom. It was an unsettled time, a vulnerable time, it was the rise of the revolutionaries.
Chapter 54: Revolutionary: Ned Ludd
He attacked a machine with a hammer and became a legend.
Not a lot is known about Ned Ludd but his legacy lives on as the lad who fought the machine and launched a revolution.
The Industrial Revolution had a worrisome impact on craftsmen who believed their handmade skills were put to flight by the machines. It was a love-hate relationship. Craftsmen boasted of their high quality handmade goods and their ability to manufacture products with careful attention to detail and patient processes. But the machines! They magnified everything. Those amazing technologies could do it faster and better than humans, thus increasing profits for manufacturers, and putting the craftsmen out of work.
Ned Ludd was born in England, and hailed from the little village of Anstey on the outskirts of Leicester. He was a weaver who, in 1799, exploded “in a fit of insane rage,” and took a hammer and broke two stocking frames (knitting machines). Such machines had been putting knitters out of work for 200 years before the Industrial Revolution, so Ned’s outburst doesn’t seem motivated by resentment of the newness of the machines per se’. He remains a puzzle. Some records called him a half-wit, dull, etc.
Nevertheless, Ned’s vigorous and single-handed attack on the machine was admired by others of similar concern, and gave birth to the 1812 movement of machine busters in England called the Luddites.
The Luddites were anonymous, masked, and well organized men. They went about destroying machinery, mostly in the textile industry, to keep the demand for handmade goods high. The conspirators’ loyalty was to no one but the now mythical “King Ludd,” and the preservation of jobs. As with the guildsmen of old, and the trade unions of the future, the Luddites learned that they could destroy the property of other people as a means of propping up their own sources of income. It was by force that they prevented the competition from getting a leg up on them in the hosiery business.352
352 English Historical Documents, XI, Oxford University Press, 1959, pp. 532-33.
Chapter 55: Revolutionary: Unions and the King
Circa 1795-1825
The king giveth and the king taketh away—anything more or less than that meant death.
The problem of the Luddites was not new. Other groups were forming, in particular the trade unions that were striking for more pay, fewer hours, and other demands.
As a step to stop this breakout of free assembly and action, England’s king declared in 1795 that 50 was the maximum number of people allowed to gather for any purpose outside of his official decrees—especially if they met for political reform. If the number exceeded 50, the local sheriff could force the crowd to disburse. After an hour, if 12 or more remained, they could be arrested. If any were found guilty of seditious talk, they could be hanged.
These draconian measures against the freedom to associate were lumped together in the Seditious Assembling Act of 1795.
By 1799, a similar proclamation against seditious assembling, the Combination Act of 1799 and 1800, prevented workers from forming trade unions and collective bargaining. They were not allowed to strike “for obtaining an advance on wages ... or altering their usual hours of working ... or decreasing the quantity of work.”353
The anti-union laws remained in force until 1824. Sympathy for the problems that workers faced, and the necessity of resolving them outside the view of the king’s guards, brought about a repeal in 1824 of the Combination Act. Almost immediately a series of strikes broke out by workers wanting to settle old and festering grievances. A short time later, the Combination Act of 1825 was passed, making labor unions legal.354
And so began the complex era of unions that would slowly erode the property rights of business owners. It was a power given teeth by the iron fist of law and government. This brand of socialism had already spread to America by the early 1800s.
Chapter 56: Revolutionary: Napoleon Bonaparte
Circa 1799-1815
In a strange contradiction of goals, Napoleon used force and Ruler’s Law to impose onto his conquered European subordinates many of the freedoms gained from the French Revolution.
The failure of France to figure out permanent freedom with its first revolution in 1789 continued to haunt the country for sixty more years. The first decade was a topsy-turvy confusion of competing forces that sought to de-throne the king, or at least sharply curtail his powers. Several versions of constitutions and declarations rose and fell until France found herself embroiled in despotism, war, runaway inflation, tyranny, and confusion.
By 1799 the country was tired of the revolutions and turmoil, and submitted almost with relief to the rise of Napoleon Bonaparte. The brilliant strategist, who already had led France’s armed forces through several decisive victories, participated in a coup d’Etat on November 9-10, 1799 and overthrew the government.
For 15 Years, Napoleon expanded French dominion into Italy and most of Europe. He created a vast empire of states, threatening to dominate them militarily if they refused to accept the monarchs he gave them.
Most of Europe was already under the rule of kings with their confusing patchwork of feudal laws. As Napoleon’s troops swept across the landscape, he gave the sitting monarchs the option to capitulate or die. Many stepped down, others fled. In this way, Napoleon was able to put loyal friends on the various thrones and extend France’s new-found freedoms across the continent—these new-found freedoms became known as the Napoleonic Code.
Napoleon’s Code abolished the old feudal ways of ancient monarchs, serfs, and lords, and replaced them with a code of relatively broad-based freedoms such as—
Other Nations Copy Napoleon
As that spirit of newly-found freedom spread, the Napoleonic Code was adopted by many other European countries including Poland, Holland, Portugal, Spain, England, Russia, Prussia, the lands of Germany, and Italy. Leaders saw how well such freedoms were working and decided that the best way to retain strength and national harmony was to adopt those same principles. Even to this day the Napoleonic Code remains the foundation for many European nations’ jurisprudence.
As resistance to Napoleon’s march through Europe grew, his power began to fade. He was finally deposed in 1814. He managed to escape his prison island and rebuild an army, but he was re-conquered in 1815—this time permanently.
Cleaning up the Mess
Napoleon’s demise left Europe in a mess. It took the Congress of Vienna, with delegates from the largest countries, to sort things out. They labored for more than a year (1814-15) to carefully re-draw European borders so that no single nation could grow strong enough to rise up and dominate the others, as had Napoleon’s France.
Backward is Their Idea of Going Forward
When the dust settled, many of European borders were returned to their pre-Napoleon boundaries and rulers.
France returned to its 1789 borders, and its old line of Bourbon kings was put back in power. Most nations took back their own kings and re-instituted the old ways, dissolving natural rights as if they were some form of contagious plague. And, in just a matter of a few years, Europe was back in the grip of the seven pillars of socialism.
The taste of freedom, however, was hard to erase—it lingered in the memories of millions for a long time afterward.
Chapter 57: Revolutionary: Robert Owen
They call him the father of modern socialism. His capitalistic experiments helped him build a fortune, and then his socialistic experiments took it all away in just a few years.
SOCIALIST: Robert Owen (1771-1858
STORY: Born in Wales, sixth of seven children, became famous for buying textile mills in Scotland and giving his paid workers and their families good educational and living opportunities. He encouraged self sufficiency within the whole.
When Owen tried his utopian schemes in New Harmony, Indiana in 1824, he abandoned what he called “private property, irrational religion, and marriage” for the hollow ideals of socialism. His experiment was an expensive failure, costing him 4/5ths of the fortune he had built with capitalism back in Scotland.
Impact: Considered the “father” of modern-day socialism, Owen pioneered the “cooperative movement” in Great Britain where villagers jointly owned and operated the town’s businesses.
Famous Words: “Man is the creature of circumstances.”355
It’s the old nature vs. nurture argument. Owen taught that no one was “responsible for his will and his own actions” because “his whole character is formed independently of himself” by his nurturing.356 The better the environment, the better the person becomes in all aspects. Owen said no one was “responsible for his will and his own actions” because “his whole character—physical, mental and moral—is formed independently of himself.”357
History teaches otherwise. Throughout all ages in all places, men and women resist slavery and stagnation. They bristle against tyranny. Whether they ultimately escape or not, nurture can only go so far. Built-in human nature always demands the freedom to choose.
Famous Words: “[Religions] have made man the most inconsistent, and the most miserable being in existence. By the errors of these systems he has been made a weak, imbecile animal; a furious bigot and fanatic or a miserable hypocrite...”358
Believing that to be true, Owen tried to make the ideal workplace at his textile mills. He invested heavily to provide nice homes for workers and a school for the children. He insisted there be no child labor, created shorter work days, and, instead of punishing poor performers, he rewarded excellence. Like all good capitalists, Owen believed proper incentive would encourage better performance. He was right, of course, and he made millions.
Inspired Marx and Engels: Owen’s ideas helped lay the philosophical groundwork for Marx and Engels that human nature has no pre-disposed or built-in tendencies. He believed that human nature was the product of interaction with others, and that such nature is under constant revision and change.
Owen was convinced that people are not born with certain attributes and proclivities, but they develop these according to the world in which they are born. And that’s just what Marx and Engels concluded just a few decades later.359
Changing Into a Socialist: Then a strange thing happened. Owen turned from a capitalist into a socialist. He believed that planning and regulation could create the same prosperity without the capitalistic principles of incentive and ownership that had worked so well for him before. Owen thought the incentive of working together for the common good would be sufficient motivation for people to work hard.
Infecting America: In 1824, Owen sailed to America to launch his idea. He was welcomed everywhere as a great reforming hero—he spoke to Congress, the president, and justices of the Supreme Court. His socialist ideas spread about into many rural areas where people seeking a better way in “the land of the free” decided to give it a try.
Seeking Harmony in Indiana: Owen’s own choice for his blissful experiment in socialism was New Harmony, Indiana in 1825. Here he invested his treasure to create the perfect utopian society with everyone happily working for the benefit of everyone else. All things were tightly regulated and there was no private ownership—all was in common.
About 900 families joined Owen in his enterprise. They sold their properties, invested with the commune, and took their place in Owen’s new socialist village. It took only two years for the commune to fall apart.
According to Josiah Warren, an original participant at New Harmony, Owen lured them all with the same old false promises:
“[Owen] showed us that in Communism, instead of working against each other as in competition, we should all work for each other while working for ourselves.360 ...It appeared that it was nature’s own inherent law of diversity that had conquered us ...our ‘united interests’ were directly at war with the individualities of persons and circumstances and the instinct of self-preservation...”361
Warren elegantly summarized the failure of socialism everywhere and anywhere, from New Harmony to Jamestown, Plymouth, Sumer, China, Greece, Sparta, the USSR, today’s European Union and the United States, when he said, simply, “Nature’s law conquered us.”362
Learning to Recognize Socialism
Part IX--REVOLUTION OF THE SOCIALISTS, Part: 2
“When virtue suffers neglect and death, the historian knows an end to the whole is not far behind.”
355 Quoted in The History of Co-operation in England, by George Jacob Holyoake, 1875.
356 Quoted in Joshua Muravchik, Heaven on Earth: The Rise and Fall of Socialism, p. 37.
357 Ibid., Muravchik, p. 37.
358 Robert Owen, from a speech delivered August 21, 1817, an extract of which is included in “The Parliamentary Debates,” Vol. 41 (Nov. 23, 1819 to Feb. 28, 1820), p. 1201.
359 Steven Pinker, The Blank Slate: The Modern Denial of Human Nature, pp. 287-88.
360Josiah Warren, The Motives for Communism—How It Worked and What It Led To, Woodhull and Claflin’s Weekly, IV, 15 (Feb. 24, 1872).
361 Josiah Warren, Periodical Letter, II (July, 1856), pp. 55-56.
362 This is a paraphrase of Josiah Warren’s quote, “It appeared that it was nature’s own inherent law of diversity that had conquered us...” Ann Caldwell Butler, “Josiah Warren and the Sovereignty of the Individual,” Journal of Libertarian Studies, Vol. IV, No. 4, Fall 1980.
Chapter 58: Revolutionary: Union Organizers
Circa 1740-2010
After a thousand years of looking for an easier way to make a buck, the guilds finally found traction in the form of trade unions in the 1800s.
One of the intriguing legacies left by the guilds (Chapter 28) is their ingenious strategy of organizing themselves with government control in such a way that other people were not given the fair opportunity to participate or compete. In the free market, competition pushes prices lower and ignites the creation of better quality or new inventions—that’s how a civilization grows. But the guilds had complete control over pricing, availability, value, and quality. They held a firm grip on the market of try, buy, sell, and fail.
The guild system seemed to work pretty well for a while. They became powerful small-business associations, or cartels. Small towns benefitted enormously from their local guilds and zealously protected all the sources of revenue the guilds helped generate. Town leaders passed laws favoring the guilds, and helped them preserve the secrets of their trade—an early form of patent and copyright protection.
With the passage of time and the growth of populations, the tables turned against the guilds. People started blaming guilds for having too much control, for stifling innovation and business development, for preventing technology from advancing, and practicing a form of nepotism by benefitting only their friends and relatives in other communities. The guilds also ignited fights over sales territory. The fighting and control turned towns against villages and cousins against relatives. It was bad public relations for the guilds, and helped lead to the guild system’s eventual collapse.
Were Guilds Forerunners of the Labor Unions?
Modern scholars debate whether or not there exists a direct connection between guilds and modern trade unions. Whatever the technical definitions are that create such debates, to an outsider it seems fairly clear that guilds led to unions.
Like unions of today, the guilds united craftsmen into what amounted to an exclusive members-only club. For example, with all the skilled shoemakers in a particular region strongly united to create only so many shoes in a week, and demanding a sales price of so much money per shoe, and setting standards of skill so that only so many shoemakers were servicing a population, they could control the shoe market and get rich.
Pro-labor Politicians Not New
That exclusive control across hundreds of crafts and services was further entrenched when pro-guild candidates ran for election. Those who won office carried forward the guilds’ agenda into town hall to pass pro-guild laws: lace sold in this town must be made with locally produced thread; shoes sold in this town must be made of local leather; candles sold in this town must be made with locally produced wax and wicks, etc.
To the guild members this was fantastic progress. To everyone else, it made life more restricted. And to competitors, it was the loss of the liberty to compete.
Minority Becomes the Ruler
The labor movement in the 1800-1900s had similar goals and tactics as did the ancient guilds. Most histories of trade unions list a time-line of strikes and violence, and show how the courts and society gradually accepted the unions as if they were necessary components of progress.
In the beginning, only a minority typically joined a union. The unions were led by a small group of leaders. The select groups, with the strong backing of the government, demanded that the rest of the industry, the country, and the world obey their commands.
Unions are ‘Socialism in the Workplace’
From the perspective of the spread of socialism, union “milestones” in history do not represent progress—they represent battles won in the war to take away property rights of business owners. As unions gained more power, so did the laws that protected their actions on all fronts. Unions constituted the socialization of a nation—as unions grew, so did socialism.
Like the Guilds: Trade unions organized themselves to restrict or prevent competition. They gained the legal power of the strike or the walk-out to force their demands. They created exclusive markets and centers of production. They illegally confiscated advantages with the backing of legal entities. It was, in short, the imposition of Ruler’s Law in the marketplace.
By the mid-1700s, there was already a good working relationship among employers and employees throughout the colonies. Walk-outs and strikes in this early setting were viewed more as greedy conspiracies that fostered antagonisms than as the means to bargain over wages or working hours.
Strikes Increase: The number of strikes in the first 35 years of the 19th century grew so rampant and widespread in America, the strikers starting behaving as if this was standard procedure to get pay raises. Union leaders advertised their newly-found ‘easy pickings’ by advertising the possibilities in the newspapers. In 1835, The New York Daily Advertiser boasted that strikes “are all the fashion,” and encouraged others to get in on the action, saying it was “an excellent time for the journeymen to come from the country to the city.”364
Crossing the Line and Changing the World
In 1842, the Massachusetts Supreme Judicial Court broke the last chain preventing socialism from entering American labor when it declared that labor unions were not criminal conspiracies.
At issue was the Boston Journeymen Bootmakers’ Society that tried to force boot factories to hire union members only. In modern terms, they tried to create a closed shop.
In 1839 the bootmakers went on strike for a closed shop, and the strike leaders were arrested on charges of conspiracy to restrain trade. The lower court found them guilty, but the union appealed to the State supreme court. Chief Justice Lemuel Shaw identified their constitutional right to assemble, but only if they never used force to get their way.365
The shaky ground on which Shaw made his ruling was this: unions have but one purpose—to use the force of the strike to get their way. Shaw’s ruling was contradictory. Can an institution founded on the use of force and created to violate the rights of owners be made legal so long as it doesn’t use force, or violate the rights of others?
Shaw declared that the union could exist regardless of its purpose (seeking a closed shop) or the means whereby it would seek those ends (the power to strike).
The ruling gave unions a legal foundation to exist. That’s all they needed to launch strikes and make other demands for control across multiple issues and multiple decades.
Unions More Important Than Property Owners
Since the 1842 Bootmakers case, the courts have given legal teeth to widespread union organizing, even when business owners don’t want that on their property.
The problem was that Congress and its NLRB only had constitutional authority over trade between the States. The steel plant issue was inside Pennsylvania, and it did not extend to other States.
Justice Hughes said even though the company didn’t engage in trade outside the State, its close relationship to those that did meant Congress and the NLRB could indeed control them. The court ordered the company to rehire the ten employees and give back their lost wages.
The justices who disagreed said Congress shouldn’t be allowed to interfere with a company that was just in-state.369 The dissenters were outvoted 5-4.
This decision warped the restrictions in Article 1.8, the so-called Commerce Clause that restricted congressional powers. Without amending the Constitution, the Court gave Congress the power to control intrastate businesses if unions wanted to organize there.
The Supreme Court said this was okay because the union had a legitimate claim to higher wages, and destroying property was acceptable in pursuit of that claim.370 Violent acts against a business, including assaults, destruction of property, and even murder, are not punishable under federal law, but they can be punishable under State law. In the 25 years after that 1973 ruling, there were 8,799 incidents of violence recorded, but there were only 258 convictions.371
Hostess (Twinkies, Ding Dongs, Ho Hos, etc.): About 80 percent of its 19,000 workers belonged to a dozen different unions. When Hostess fell on hard times, it tried to amend its contracts with the unions to reduce pensions, medical benefits and restrictive work rules that cut into profits. Some unions wanted to help, but others did not, and the company had to close its doors in 2012.
“Big 3” Automakers: When Detroit’s automakers controlled a monopoly over car production, they could afford to acquiesce to costly union demands. And then came foreign competition—better cars at lower prices. This required change. However, the tight marriage between unions and the Democrats in government prevented the automakers from trimming back union demands. Cost per car stayed high. The companies responded by dropping quality to keep prices low. People stopped buying those unreliable products. Foreign car makers took bigger chunks of the market, and today, the once vibrant motor city in Michigan sits rusting with its hood up and the engine gone.
American Airlines was losing almost a billion dollars a year for the decade of 2001-2011. During this period labor unions were pulling out $800 million a year more than other airlines’ unions. They had demanded better pay, work rules, pensions and benefits. Strikes loomed everywhere each time the company tried to trim costs—flight attendants, check-in clerks, baggage handlers, cabin crews, pilots, mechanics, and suppliers said ‘don’t touch our contracts.’ The result? The company filed for bankruptcy in 2011. And what about the unions? They sued.
Detroit: This city is a wreck. For decades, union demands chipped away at Detroit’s prosperity. With wages and benefits higher than market levels, thanks to the prosperity of the auto industry, the unions drove up costs on just about everything. City services were unionized, and taxes had to rise to meet those costs. It was unsustainable and discouraging. People started moving out, reducing Detroit’s population from 1.8 million in 1950 to about 700,000 in 2013. By then, total unemployment was over 50 percent. Detroit’s bloated and inefficient government stood blamed for shattered morale, 47 percent of the population being illiterate, 40 percent of the street lights not working, police taking an average of 58 minutes to respond, only 1/3 of the ambulances running, and 2/3rds of the parks closed since 2008. In all of this, the unions insisted that a city horseshoer making $56,000 was critical to the city, even though there were no horses in Detroit.372 That’s socialism at work.
Unions successfully advance their socialist causes until they run out of other people’s money, and then they loudly complain.
Union members pay into pension plans so they have money to retire. The pension funds have been in trouble for years. The Pension Benefit Guaranty Corporation, a U.S. government agency, is always seeking billions in tax dollars to fill pension fund vaults because those funds are being drained for other purposes. This ongoing pursuit will not let up until the socialism train wreck either explodes in bankruptcy, or a firm resolve is made to return to the principles of freedom.374
With the passage of time and the growth of populations, the tables are turning against the unions. People have been blaming unions for having too much control, for stifling innovation and business development, for preventing technology from advancing or benefitting other industries and workers as did the old guilds.
Unions have a history of igniting fights over sales territory. The fighting and control has turned cities against towns, and friends against competitors. There is a lot of bad PR for the unions, and the right-to-work States are prospering from an influx of businesses fleeing the union-heavy States. This shift away from unions is nearly identical with the shift away from the guild system centuries earlier.
In 1944, union membership accounted for almost 36 percent of the U.S. work force. The U.S. Bureau of Labor Statistics375 reported that in 1983, union membership stood at 20.1 percent of the labor force, or about 17.7 million union workers. By 2011, membership had dropped to 11.9 percent, or 14.7 million of the current number of employed Americans. That decline was spread across 33 States where union membership has been dropping since 2010.
About half of the American workers in unions live in only six States: California (2.4 million), New York (2 million), Illinois (800,000), Pennsylvania (800,000), Ohio (700,000), and New Jersey (600,000).
As government grew, so did the benefits extracted from taxpayers to support government employee unions. In 2010, union membership for people working for the government stood at 36.2 percent, while the rate for private-sector union membership dropped to 6.9 percent. The pay difference? Average pay per week for union members in 2010 was $917, and for non-union members, $717.
Slow Erosion of Liberty
The golden era of unions rose and fell at the expense of human rights. The right to compete on a fair playing ground, and to exercise unalienable rights, had fallen prey to the ever-increasing bully tactics of unions.
There is no question that labor disputes are a complex issue. On the one hand there are the needs of the desperately unemployed, those who are willing to do anything for a paycheck. On the other hand are those employers needing workers, and who take unfair advantages such as hiring illegal immigrants to work at below-market wages.
The strike, with all its connected coercion, intimidation, and violence, was the lever to steal from a property owner his right to develop his idea in the fashion that freedom allows.
To their credit, the unions did launch strikes to correct lapses in the workplace. They correctly identified abuses, safety issues, and other risks.
But such discovery didn’t require a union. Men and women are capable of noticing, all by themselves, that rats in the kitchen, lopped-off fingers in the ground beef, and more pay for men than women doing the same work, are all bad. Was union-instigated force the only alternative to correcting such problems?
Was Union Force the Only Answer?
Pro-union people stand aghast with shocked annoyance that anyone would dare question the contributions of unions to change the working environment.
What they ignore, squash, squander, and kick under the rug are all of the positives that the free market might have brought.
The free market has a way of improving everything it touches with a unique durability that expands into other corners of civilization. The question of how life might be different were unions not the driving force for such corrections in the workplace must remain unanswered for the 1700-1800s.
However, letting freedom back into the workplace portends a more satisfying solution to employment issues in the future. A 2011 study376 showed that during the period 1977 to 2008,
Freedom in the Workplace
How different might today’s world be if companies had to actually compete for good employees. Come work here, we don’t have rats. Come work here, our machines are finger safe. Come work here, we offer a shorter work week, fewer hours, better pay, equal pay, and fantastic benefits such as insurance.
Obviously, everyone would rush to the employment office of companies offering so many positives, and ignore those that didn’t. Competing to compete is a novel idea that freedom allows.
Unions hijack that market-driven process by forcing business owners to acquiesce to their union demands. There is a lot of discussion on this subject, but our purpose here is not to resolve all of it, but simply show that unionization is what Karl Marx called for, a means to violate the rights of business owners, property owners, and tax payers. It is not the free market at work when coercion is supported by government force to violate other people’s unalienable rights to make contracts, to control property, and to exercise free choice.
363 Monthly Labor Review, May 1938, by Florence Peterson, Bureau of Labor Statistics.
364 The New York Daily Advertiser, June 6, 1835.
365 Commonwealth vs. Hunt, 45 Mass. 111 (1842), Farwell vs. Boston & Worcester RR, The Law of the Commonwealth and Chief Justice Shaw cited in Orth, John V. (2010)
366 Title 15 of the United States Code, Section 6.
367 Norris-La Guardia Act (1932).
368 See National Labor Relations Act of 1935, and the Federal Labor Relations Act of 1978.
369 National Labor Relations Board vs. Jones & Laughlin Steel Corporation, 301 U.S. (1937).
370 United States vs. Enmons, 410 U.S. 396 (1973).
371 Carl F. Horowitz, Union Corruption: Why it Happens, How to Combat It, published by National Institute for Labor Relations Research, 1999.
372 Jarrett Skorup, No Horses, But Detroit Water Department Employs ‘Horseshoer’, Michigan Capitol Confidential, August 20, 2012.
373 Citizens United vs. Federal Election Commission, 558 U.S. 08-205 (2010).
374 PBGC website www.pbgc.gov.
375 Bureau of Labor Statistics U.S. Department of Labor, News Release, USDL-11-0063, January 21, 2011.
376 First five points attributed to Sean Higgins, Investor’s Business Daily, June 29, 2011, citing Richard Vedder, Ohio University, January 2011.
377 Washington Examiner, July 2, 2011.
378 CNBC.com, America’s Top States for Business 2013; National Right to Work Legal Defense Foundation, Inc., Right to Work States
Chapter 59: Revolutionary: Religious Revivalists
There are hundreds of examples of socialism entering the rank and file of religions and religious movements. The following is just a random sample from the 1800s.
WHO: Frederick Denison Maurice
WhAT: His book, The Kingdom of Christ, 1836
WHERE: Normanstone, England
STORY: Maurice was a professor of theology at Kings College and the University of Cambridge. He was attracted to the socialist ideas of Robert Owen, and pressed those ideas forward to start a movement that later became known as Christian socialism. The foundation of his viewpoint was a dislike for competition in the marketplace. He called it unchristian.
In 1838, Maurice spelled out his version of the ideal relationship between religion and society in The Kingdom of Christ. He expressed his philosophy that politics and religion were one and the same, and that the church should be involved in both.
Maurice believed that individual rights and the pursuit of self-interest, with all of its inherent selfishness, were wrong. He rejected the economic principles of laissez faire (French: “leave it alone”), and looked to compulsory change through socialism as the best solution.
He encouraged profit-sharing as a means of creating the perfect Christian society, and added numerous tracts and writings to support Christian socialism until his death in 1872.
WhAT: Created a utopia in America, 1842
WHere: Hopedale, Massachusetts
STORY: In the early 1840s, Ballou set out to create the ideal society that would be blissfully set apart from the wicked ways of the world. With the help of his 31 followers, he purchased 600 acres in Worcester County, Massachusetts. It was supposed to be the seed of an ideal utopian-Christian community. They built churches, homes for members, and factories to make an income.
Unlike other socialist societies, members could take their original investment, or 90 percent of what they earned, if they chose to leave the society. Although they attempted to treat men and women as equals, women were usually relegated to domestic chores and men became the political leaders.
Members could own their homes but all other facilities and tools were owned in common. Hopedale was built on equality more than Christianity, although basic Christian tenets were emphasized.
Their constitution listed important commitments made by the members: Avoid all evils mentioned in the Bible, never hold political office or have any dealings with the rest of the country, never file lawsuits, or join a posse, or serve in the military, or vote, or gamble, or drink, or be unchaste.
After 14 years, the people had tired of working for each other and wanted to build their own profit-making businesses. As a result, many moved out. When the commune finally used up all of its members’ money, it went bankrupt.379 Communal living with Christian hopes and desires couldn’t satisfactorily replace the natural laws of economics and self interest. Hopedale collapsed in 1856.
WHO: Sidney Rigdon and “the disciples”
WhAT: Socialism in the early Mormon Church, 1831
WHERe: Kirtland, Ohio
STORY: When the Church of Jesus Christ of Latter-day Saints (the Mormons) was founded in 1830, one of its early converts was a man named Sidney Rigdon. He was a successful Baptist minister who formed his own communal religion based on the ideas of Robert Owen. When the Mormon missionaries found Rigdon, he was already living with “all things in common,” and had about 50 followers in a commune he called his “family.”380 Rigdon and his whole congregation converted to Mormonism.
Rigdon’s “communal family” lifestyle didn’t sit well with Mormon teachings of self-sufficiency and independence. The founder of the Mormon Church, Joseph Smith, saw “no private property” as an unworkable flaw in Rigdon’s organization. He had them abandon it, calling attempts at having all things in common “dreadful.”
The two men became good friends, but the ideas of communalism continued to spread among other members in the new church.
Glutting Themselves on the Labors of Others
In 1831, Joseph Smith and Rigdon returned to church headquarters in Kirtland, Ohio, and found “The disciples had all things in common and were going to destruction very fast ... they considered from reading the scripture that what belongs to one brother, belonged to any of the brethren, therefore they would take each other’s clothes and other property and use it without leave, which brought on confusion and disappointments, for they did not understand the scripture.”381 “There were some of the disciples who were flattered into the Church because they thought that all things were to be common, therefore they thought to glut themselves upon the labors of others”382
Joseph Smith later cautioned the saints that communalist societies of any sort don’t work: “We further suggest ... that there be no organization of large bodies upon common stock principles, in property, or of large companies of firms, until the Lord shall signify it in a proper manner, as it opens such a dreadful field for the avaricious, the indolent, and the corrupt-hearted to prey upon the innocent and virtuous, and honest.”383
Smith eventually set up his own organization for funding the Church’s activities. He called it the United Order where members retained private ownership of their property but were asked to voluntarily put it to work in behalf of the Church.
Retaining property ownership in their common religious labors was a clever process that actually worked and provided the needed support that saved the Church from financial collapse.
After the Mormons settled in the Rocky Mountains in 1847, Smith’s successor, Brigham Young, deployed the United Order to about 200 start-up communities. The members gave it a good try beginning in 1855—but this time they made the serious error of trying to have “all things in common,” and minimal private property ownership. The usual problems crept in with the industrious doing more work than the feeble or lazy, so that most of the collectives failed by 1858. Community leaders responded by turning to more traditional and successful means (i.e., free market) to sustain themselves, and after that, the whole region started prospering.
WhAT: Pro-union encyclical issued May 15, 1891
WHERE: Europe and the world
STORY: In response to what the Catholic Church called “The misery and wretchedness pressing so unjustly on the majority of the working class” from the industrial revolution, the pope issued an open letter on labor, unions, wages, and working conditions. It was called On the Conditions of Labor, or Rerum Novarum.384
Promoted Minimum Wage: “Let the working man and the employer make free agreements,” the letter stated, “and in particular let them agree freely as to the wages; nevertheless, there underlies a dictate of natural justice more imperious and ancient than any bargain between man and man, namely, that wages ought not to be insufficient to support a frugal and well-behaved wage-earner.”
Promoted State Force: “...It is advisable that recourse be had to societies or boards such as we shall mention presently, or to some other mode of safeguarding the interests of the wage-earners; the State being appealed to, should circumstances require, for its sanction and protection.”
Promoted Unions: “History attests what excellent results were brought about by the artificers’ guilds of olden times. They were the means of affording not only many advantages to the workmen, but in no small degree of promoting the advancement of art ... Such unions should be suited to the requirements of this our age. ...”
Contradicting Principles: The letter further called for life to be made rosy for the worker but neglected to consider the property rights of the factory owner. Pope Leo XIII viewed the owners as profit-hungry and willing to abuse workers where possible:
“... If through necessity or fear of a worse evil the workman accepts harder conditions because an employer or contractor will afford him no better, he is made the victim of force and injustice.”
As a solution to the plight of the working class, the letter called for the creation of trade unions, the power of collective bargaining, and the right to a “living wage.”
Interfering With Free Markets: The pope’s letter appears to view competition with disdain, and called for imposing an orderly process in the market:
“The great mistake made in regard to the matter now under consideration is to take up with the notion that class is naturally hostile to class, and that the wealthy and the working men are intended by nature to live in mutual conflict. So irrational and so false is this view that the direct contrary is the truth.”
Class conflict was a favorite theme of Marx. He, too, called for labor and capital to work together instead of against each other.
Recognized Evils of Socialism: On the positive side, the letter pointed out that redistribution of wealth doesn’t help:
“To remedy these wrongs the socialists, working on the poor man’s envy of the rich, are striving to do away with private property, and contend that individual possessions should become the common property of all, to be administered by the State or by municipal bodies. They hold that by thus transferring property from private individuals to the community, the present mischievous state of things will be set to rights, inasmuch as each citizen will then get his fair share of whatever there is to enjoy. But their contentions are so clearly powerless to end the controversy that were they carried into effect the working man himself would be among the first to suffer. They are, moreover, emphatically unjust, for they would rob the lawful possessor, distort the functions of the State, and create utter confusion in the community.”
Socialism at Work
As with all those who preceded them, the socialists’ “new” concepts continue to be flawed failures from the start. The oft-heralded discoverers of socialism’s tired ideas were the revolutionary philosophers and economists—otherwise brilliant thinkers who exhausted their life pursuits to prove that the unworkable works. Of these labors it may be said: Socialism will continue to spread misery until morale improves.
379 Hopedale, Massachusetts, www.hope1842.com.
380 Joseph A. Geddes, The Mormons, Missouri Phase: An Unfinished Experiment, pp. 16-21; see also, Larson, Andrew Karl, I Was Called to Dixie: The Virgin River Basin: Unique Experiences on Mormon Pioneering. 1961.
381 Journal of History, Vol. 1, No. 1, January 1908, Reorganized LDS Church, Lamoni Iowa.
382 The Book of John Whitmer, BYU Archives and Manuscripts, Provo, Utah, Chapter 3
383 Joseph Smith, March 25, 1839, The Personal Writings of Joseph Smith: To the Church of Latter-day Saints at Quincy, Illinois, and Scattered Abroad, Letter from Liberty Jail, March 25, 1839, p. 389.
384 All quotes from Encyclical, May 15, 1891.
Chapter 60: Revolutionary: The Thinkers
Philosophers and economists matched wits with natural law and despite their best intentions, they were check-mated each time.
SOCIALIST: Robert Malthus (1766-1834)
LEGACY: Worried about unchecked population growth
STORY: Malthus was fascinated by the relationship between human population and the supply of food. According to his extensive collection of data on births, deaths, and changing ages of marriage and childbearing, he concluded that the human race was in for trouble—food production was rising steadily but populations were rising geometrically.
Malthus decided that the most logical solution to an insufficient food supply was to keep population growth on par with food production. In other words, control population growth.
He saw that humanity’s ills and flaws could serve to slow down population growth, and “check” the excessive numbers of people. Malthus listed among these natural inhibitors the positives of marrying late or not at all (fewer babies), the withholding of health care (shorter lifespan), higher food prices (malnutrition), diseases or filthy living conditions (early death), warfare (genocide), and even infanticide. Government welfare, he said, was faulty because—while it helped sustain life—it did nothing to increase the overall food supply for everybody else.385
Malthus was fascinated that against all these odds, humans still survived. He said it must be the will of God that such evils are present to keep the Creator’s creations active at solving problems.
“Evil exists in the world,” he wrote, “not to create despair, but activity. We are not patiently to submit to it, but to exert ourselves to avoid it.”386 Malthus’s ideas spawned a whole generation of socialistic perspective. For example, Darwin and his survival of the fittest; social engineers and their demands for population control; assumptions about global warming; China’s one-child policies, etc.387
Socialist: Charles Darwin (1809-1882)
LEGACY: Popularized evolution and natural selection
STORY: Darwin was an insightful scholar remembered for his keen attention to detail and his voluminous experimentation with the flora and fauna of raw nature. He wrote several books on botany, including four zoological works that were exhaustive in their depth and observation. Darwin is best remembered for his works on evolution—in particular, Origin of Species and the Descent of Man.
Evolution Not New
The idea of evolution was not invented by Darwin, but his research gave the idea some scholarly support. While science today is obliged to reject several of Darwin’s theories, he nevertheless made a great impact on the world, pitting people of faith against people of science. True to the theme of his books on evolution, Darwin wrote that his reason for giving up on Christianity was “Because I found no evidence for it.”388
Darwin and Marx Were Acquainted
The parallels between Darwin and Marx are personal. Their lives overlapped by 65 years, and two of their books, Origin of Species and Marx’s Criticism of Political Economy (the foundation work for Capital) were published the same year, 1859.
Marx Devoured Darwin’s Books: Darwin wasn’t very interested in Marx’s writings. He was the true scientist, ever buried in his research. Darwin did once acknowledge receiving one of Marx’s books and wrote in reply, “I believe that we both earnestly desire the extension of knowledge; and this, in the long-run is sure to add to the happiness of mankind.”389 Darwin’s optimism in Marx’s writings saw no fulfillment, but that personal note reflected the close sentiment the two shared via correspondence.
Marx’s Son-in-law: Edward Aveling married one of Marx’s daughters, and grew to know both Marx and Darwin on a personal basis. He believed their teachings were a confluence of innovative thinking that was both harmonious and mutually supporting. “Socialism is indeed the logical outcome of evolution,” Aveling wrote, “and its strongest scientific support is derived from the teaching of Darwin.”390
The connection between Marx and Darwin can be seen in Marx’s later writings that envisioned an evolutionary path growing out of class struggle. Marx’s philosophy declared:
John Dewey (page 286), the “father” of education in America, was a strong proponent of Darwin’s evolutionary process and encouraged that schools exclude the teachings of parents and the Bible so young minds could evolve toward undiscovered horizons of knowledge.
SOCIALIST: Karl Marx (1818-1883)
LEGACY: Early advocate of revolutionary Communism
STORY: Marx believed that all of the world’s ills could be reduced to one common fault: private ownership of property. He surmised that because there are always those who have, and those who don’t, that all of society is, as a result, constantly in turmoil to beg, earn, or steal its way to survival.
Guard the Property: Marx believed that the rich created a culture to protect their property: the state, religion, and the family. He also lumped into this mix, as disposable appendages, all the moral restraints, restrictions, and ideas associated with religion and society. Morality, he declared, is whatever the socialists define it to be—nothing more. This idea mimics Plato, who said that only the elite could declare morality, tell lies, and keep the masses pacified. Plato said that all others in his perfect society would be forced or obligated to tell the truth.
Workers’ War: Marx predicted that one day the working class would rise up against their chains of economic restraint and forcibly take what was theirs. He promoted ideas such as labor unions, graduated income taxes, regulation, government czars, and government intervention in the marketplace to foster and prepare for this destruction of the existing condition and usher in a new utopian age of reason.
It’s in My Books: Marx’s vision for the world was put forward in two books prepared with the help of his cohort, Friedrich Engels: Communist Manifesto and Capital.
Was No Prophet: History shows Marx was wrong in his predictions of a collapsing capitalistic society and a revolution by the working class. Capitalism’s erosion has not come from its strengths or weaknesses, but rather from the corrupting influence of Marx’s socialistic ideas imposed on natural rights and freedom. Relentless chiseling away of freedoms over the last century in particular has corrupted the free market’s best operations. As the Psalmist asked, “If the foundations be destroyed, what can the righteous do?”391
Though idealized as a great thinker and theorist, Marx’s philosophy remains confusing and flawed. Like all other shifts toward the seven pillars of socialism, the true outcome of Marx’s intentions had to be buried in a lot of empty promises, predictions, and warnings.
Even his supporters didn’t “get it.” In 1886, an admirer of Marx, Herr Werner Sombart, admitted that Marxism was a “disordered confusion of the most conflicting conceptions. It represents an extremely heavy potpourri of contradictory doctrines.”392 And so it remains today.
SOCIALIST: John Stuart Mill (1806-1873)
LEGACY: Promoted the force of government in society
STORY: Mill was a contradiction. He defended individual rights, he hated paper money that could not be traded for gold, he opposed others telling people what their personal religion or morals should be, and he favored women’s right to vote.
On the other hand, Mill called himself a socialist. He was in favor of heavy taxes on inheritances and nationalizing private land, he worried about the problems of overpopulation, and he wondered why private property was something people should completely control.
He encouraged the confiscation of the property and land of dead people who had no relatives to inherit it, and supported the redistribution of people’s money. He also didn’t like people hanging on to land that wasn’t being used. “When land is not intended to be cultivated, no good reason can in general be given for its being private property at all.”393
Like all socialists, Mill saw a wonderful potential dream for humanity—if only the people would get out of the way.
Mill was very influential in economic circles, and his ideas spread far and wide.
SOCIALIST: John Dewey (1859-1952)
LEGACY: Sometimes called the father of education in America
STORY: John Dewey had an early fascination with Darwin’s theories on evolution. He liked Darwin’s explanation that creatures could survive their changing world by adapting and evolving. He believed this principle should apply to education.
A Missionary for Misinformation
In the early decades of the 1900s, Dewey spread his ideas on education and teaching in such nationally-published outlets as The New Republic and Nation magazines. He was active in political causes such as women’s suffrage (right to vote) and unionizing teachers. He was invited to speak at public and academic settings where he shared his secular and evolutionary views with America’s rising generation of educators and decision makers.
Frontal Assault on Religion
A pivotal document called A Humanist Manifesto was published in 1933. Many believe Dewey was one of its primary authors or editors (there were an unknown number who participated). Author or not, the Manifesto received Dewey’s blessing, along with the signatures of 33 other leading philosophers, educators, and leaders. Among its 15 conclusions are:395
One Generation
These doctrinal declarations contained in the Humanist Manifesto were injected into America’s public school system. It took only one generation to make prayer, God, and the Bible illegal in public schools. This fulfilled an important goal for socializing America. It removed 6,000 years of recorded human history that perpetuated values that had proven themselves as the most beneficial to peaceful and prosperous human relations—and replaced them with a new religion called scientific analysis.
While science as a whole is an invaluable extension of people’s curiosity and life-enhancing inventiveness, any attempt to make of it a religious belief for its own sake is corrosive and destructive. And so the world suffers as it loses its heart and soul to a god of human invention.
SOCIALIST: Albert Einstein (1879-1955)
LEGACY: Regarded as the father of modern physics
STORY: Revered as one of the world’s greatest mathematical thinkers, Einstein was once asked for his theory on how best to run the economics of a society. He chose socialism, showing that great minds do not always ask the right questions.
“The economic anarchy of capitalist society as it exists today is, in my opinion, the real source of the evil,” Einstein wrote in 1949. “We see before us a huge community of producers the members of which are unceasingly striving to deprive each other of the fruits of their collective labour... I am convinced there is only one way to eliminate these grave evils, namely through the establishment of a socialist economy, accompanied by an educational system which would be oriented toward social goals.”396
385 Robert Malthus, An Essay on the Principle of Population, 1st ed., 1798.
386 Malthus, Ibid., XIX. 15.
387 For a summary of Malthus’s theories, see Mark Skousen, The Making of Modern Economics, pp. 67-89.
388 Edward Aveling, Charles Darwin and Karl Marx: A Comparison, 1897, p. 13.
389 Ibid., p. 11.
390 Ibid.
391 Psalm 11:3
392 Yves Guyot, Socialistic Fallacies, Book VI, Chapter 3, 1910, p. 234.
393 John Stuart Mill, Principles of Political Economy with some of their Applications to Social Philosophy, Book II, Chapter II, p. 29.
394 John Dewey, Democracy and Education, Chapter 7, 1916.
395 For all quotes, see A Humanist Manifesto, The New Humanist, Vol 3, pp. 1-5, 1933.
396 Albert Einstein, Why Socialism? Monthly Review, Vol. 1, No. 1, May 1949.
Chapter 61: Revolutionary: Top Ten Books
Regardless of age, era, or continent, the idea of socialism has been perpetuated for millennia in books.
It didn’t seem to matter in what century a person lived, finding the latest writings on how to build a socialist world was not too difficult—provided that person could read, and the writings were translated into the right language. However, writers and readers weren’t necessarily looking for socialism—they were looking for fair.
BOOK: The Republic, written around 380 BC
AUTHOR: Plato (428-348 B.C.)
SYNOPSIS: The author engages various speakers to consider the definition of justice and how to create a city where all human frailties and ills are disposed of by proper management—pure socialism that influenced almost 2,500 years of dreamers and inventors seeking to control humans like bees in a beehive.
Historian Will Durant, among others, dismisses Plato’s Dialogues as “cleverly and yet poorly constructed. ...they seldom achieve unity or continuity, they often wander from subject to subject, and they are frequently cast into a clumsily indirect mode of being presented as narrative reports, by one man, or other men’s conversations.”397
BOOK: Peach Blossom Spring, a poem (A.D. 376-397)
AUTHOR: Tao Yuan Ming (A.D. 365-427)
SYNOPSIS: This essay and poem tell of a fisherman rowing upstream from his home. Suddenly, he discovers a hidden valley and people living there. They know nothing of the real world and live in a utopian state of blissful happiness—a type of ancient Shangri-la. The fisherman loses the route after he leaves, even though he placed markers to help him return at a later time.
BOOK: Al-Madina al-Fadila (The Virtuous City)
AUTHOR: Abu Nasr al-Farabi (A.D. 872-950)
SYNOPSIS: Some see this book as an Islamic version of Plato’s Republic, although Islamic philosophers will clarify that any of the perceived similarities are really superficial. Al-Farabi’s perfect city is God-centered. The role of philosopher king in Plato’s book is replaced here with a prophet-Imam.
The ruler in the Virtuous City uses his superior human reasoning ability to direct the people, with or without personal divine revelation. It’s his job to force the citizens to be obedient to the laws of happiness. The author chose democracy for the ideal system of government, but gave society a rigid stratification with rulers at all levels to make sure—with force—that everyone behaved correctly.
BOOK: Utopia, published in 1516—full title: A Truly Golden Handbook, No Less Beneficial Than Entertaining, About the Best State of the Commonwealth and the New Island of Utopia.
AUTHOR: Thomas More (A.D. 1478-1535)
SYNOPSIS: Written as a dialogue between two people (More and a friend, Peter Giles), the tale spins around the island of Utopia, where there is no private property or money. Everyone is forced to work the farms and must learn a craft that will benefit the city. Their clothing, hair styles, and homes are all the same. No locks on doors—in fact, houses are swapped by lottery every 10 years.
Meals are eaten in common and all venues of vice (taverns, brothels, etc.) are forbidden. There are no secret private places, and permission is needed to take a stroll or leave the town.
The Utopians are pagans who found “god” in all things. The narration criticizes European society of the day, and weaves the possibilities of brilliant regimentation among the island’s people into humanity’s failings—from which solutions to everything are found.
BOOK: City of the Sun, published 1602
AUTHOR: Tommaso Campanella (A.D. 1568-1639)
SYNOPSIS: This is another seafarer story where a Grandmaster asks a sea captain to tell about his latest voyage. The spokesman describes an island in the Indian Ocean where a priest rules all. He knows everything and is therefore brilliant, wise, and understanding, and able to meet the needs of all the inhabitants (called Solarians).
All things are in common, including women and children. Everyone receives their needs from the community, and the officials make sure no one gets more than he deserves or goes wanting. Everyone must work four hours a day—the rest of the time is spent “in pleasant occupation with the sciences, in discourse and in reading.”
BOOK: New Atlantis, published 1624
AUTHOR: Francis Bacon (1561-1626)
SYNOPSIS: This story takes place on a mysterious island called Bensalem, somewhere in the Pacific Ocean, west of Peru. These people manage to create the perfect socialistic society, including the ideal college, “Salomon’s House.” Living in such isolation, it is curious how they became Christian and how they acquired so much knowledge from the outside world. These puzzles are resolved in the book—in particular, how they send fellows in disguise around the world to collect the best inventions and ideas (all created, of course, in free societies) and bring them back to benefit the island.
BOOK: The Law of Freedom, published 1652
AUTHOR: Gerrard Winstanley (1609-1676)
SYNOPSIS: As a leader of the Diggers movement, Winstanley complained to Oliver Cromwell that the English revolution did not help improve the poor. His “Law of Freedom” presents his socialistic view of a future day when money and private property are not needed. The government regulates everything, and all production is put into a central storehouse. Regimentation exists on all levels of society, and neighbors can have each other arrested for violating the rules of society.
BOOK: How the Other Half Lives, published 1890
AUTHOR: Jacob Riis (1849-1914)
SYNOPSIS: Riis was a so-called muckraker who photographed the poor and their run-down housing in New York City. The shocking exposé served to unite public demand for government intervention—people wanted strict laws to improve housing, standardize the building codes, and improve sanitation.
To everyone’s satisfaction, more or less, the government did step in and force change, all at the expense of free-market solutions. Why couldn’t the market fix these things? The socialists say it was because of greed. The free market was too slow, too irregular, and too inefficient—or so the socialists said.
BOOK: The Jungle, published 1906
AUTHOR: Upton Sinclair (1878-1968)
SYNOPSIS: It’s not too difficult to make a slaughter house look disgusting and unsanitary, but Sinclair’s creativity helped launch a nationwide examination of how America’s meat supply was processed. The descriptions of filthy handling and packaging processes prompted lawmakers to pass the Meat Inspection Act in 1906.
The free market has a way of fixing things if left to its own devices. To this point, the financial incentives to clean up the meat packing processes were curtailed by government intervention. It was an easy activity to regulate, and government control carried popular support. Since then, government regulations have spread into nearly every aspect of American society because of the same concerns and presumptions of control. Proponents of the free market insist, once again, that the free market would do a better job were it left to its own creative ways.
BONUS BOOK: Communist Manifesto (1848)
AUTHOR: Karl Marx (1818-1883) & Friedrich Engels (1820-1895)
SYNOPSIS: This short book is mostly Marx’s passionate call for a grand revolution. He and Engels tell the workers of the world to unite and overthrow capitalism, abolish private property, install a heavy graduated income tax, eliminate the family as a social unit, abolish all classes, establish industrial armies (unions), overthrow all governments, and enact communism with communal ownership of property in a classless, stateless society. Alas, as with all the other books on socialism, the Communist Manifesto has a very bad ending.
Learning to Recognize Socialism
Part X--Revolution of the Socialists, Part: 3
“God is dead. God remains dead. And we have killed him. How shall we comfort ourselves, the murderers of all murderers?”
397 Will Durant, The Life of Greece, Chapter XX, p. 513, Simon and Schuster, 2011.
Chapter 62: Revolutionary: Bad Amendments
For lack of understanding about the correct principles of freedom, Americans busied themselves amending away their liberties—a little here, a little there—until suddenly, the country was back on a path toward Ruler’s Law.
14th Amendment (Ratified 1868)
Of all the Amendments, the Fourteenth (passed in 1868) is one of the longest, perhaps the most poorly written, and certainly one of the most difficult to understand.398 Whole books have been written to explain its creation, passage and subsequent ramifications.399 It lacks the more careful and calculated calmness typically present in other bills and amendments.
The 14th is repetitive but it plugged some holes left by the 13th in regards to giving former slaves their full rights of citizenship. In some States the former slaves were “forbidden to appear in the towns in any other character than menial servants,” or were excluded from some jobs, or barred from testifying in court against a white.400 These lapses, among others, were dealt with by this amendment.
The 14th added three new limitations to States’ powers: 1) States may not violate citizens’ privileges or immunities, 2) States may not deprive them of life, liberty or property without due process, 3) and States must guarantee equal protection by the law.
Good Points in the Fourteenth
Bad Points in the Fourteenth
Only the federal government may define or declare “privileges or immunities” regardless of what the people in any particular State vote on. This violated the 9th and 10th Amendment rules that powers not given the federal government by default belong to the States.
When Congress imposed the graduated income tax the 14th prevented the States from protecting its wealthiest citizens from paying more. The States could pass no law to the contrary.
16th AMENDMENT (Ratified 1913)
The Sixteenth Amendment was advertised as a “soak the rich” scheme that backfired terribly and has been soaking everyone for a century. This Amendment gave Congress the power to extract taxes directly from everyone’s personal income.
Good Points in the Sixteenth
For the socialists, this Amendment provided the mechanics to generate virtually unlimited funding for their progressive programs. It footed the bill so they could promise anything in exchange for the voters’ support: “Keep me in office, and when we retake the White House, think of all the money I can bring to our State!”402
Bad Points in the Sixteenth
Impact: When T. Coleman Andrews, the Commissioner of the IRS, resigned from his post in 1950, he blasted the Sixteenth Amendment as one of the worst course changes America had made: “I am convinced that the present system,” Andrews said, “is leading us right back to the very tyranny from which those who established this land of freedom, risked their lives, their fortunes and their sacred honor to forever free themselves.”405
Most of this tax money went to federal programs that the Founders declared should remain State responsibilities. A whole generation of “progressive” thinking is to be blamed for breaking down these chains of protection. The resulting rampant and immoral accumulation of tax power has grown into a futile attempt to fulfill the utopian pursuits of cradle to grave care by the government. Such spending has bankrupted America to the tune of trillions of dollars.
17th AMENDMENT (Ratified 1913)
The original job of a senator was to represent the State as a sovereign entity. The State legislature selected their representatives (the senators) to go back to Washington and make sure their State’s best interests were protected and represented—such as keeping taxes as low as possible, balancing the budget, helping calm the abrupt extremes of the House that might erupt from time to time, and providing stability in the government. Senators were supposed to be the seasoned senior statesmen who kept things moving forward.
The 17th Amendment ruined this important link in representative government. It made both the senators and the house members representatives of the popular ebbs and flows of emotional rambunctiousness, actions that typically lead to bad choices for leaders. That’s why congressmen were allotted only two years in office, so they couldn’t do too much damage before their reckless ways could be exposed and they were kicked out. That’s why senators were beholden to the legislature—the legislature could fire them immediately. But today, almost six long years must expire before the next voting cycle when voters are empowered to replace a bad senator.
The momentum to vote senators into office (instead of appoint) began with prolonged debates over the subject during the Constitutional Convention in 1787. Rumblings opposing appointment continued over the decades and all the way into the early 1900s. The final blow came when Senator William Lorimer (R-Ill) literally purchased his way into office by bribing the whole legislature to appoint him as senator. The nation was in an uproar over the corruption and demanded protection in the form of popular election.
Ever since, nearly all seated senators have pointed to that corruption as justification for keeping the 17th Amendment in place. They do not want to answer to the direct scolding of legislators for betraying their state’s best interests—appealing to the mass of inattentive voters is so much easier with good ad campaigns at election time. Many senators like to run on a platform to repeal the 17th, but once in office, they claim their presence in the Senate is so valuable, “let’s repeal it later.”
Good Points in the Seventeenth
People who do not understand the importance of an appointed Senator are very supportive of this amendment. They point out how the 17th allowed a popular election campaign to vet the candidates for office in a public forum. That much helps—popular elections do give people a chance to vote directly for who will represent them.
Bad Points in the Seventeenth
For the socialists, this amendment removed an important link of representation between the States and the federal government. With no direct representative of a State’s legislature present in Washington, D.C., the legislature’s immediate concerns cannot easily resonate outside the halls of their capitol building. Their concerns and decisions are emasculated, and become subject to the whims of political emotions every time a senator comes up for reelection.
The lowest level of representation—state senators and congressmen—are approachable by anyone in that voting precinct. Such representatives are their neighbors and have regular jobs outside their legislative duties. People could visit their State senator during lunch, air their grievance, and expect action on that State’s Capitol Hill. If the complaint had enough support, it was relayed through the appointed federal-level senator in Washington, D.C..
Now those direct links are broken. The State legislature may communicate concerns to the senators, but there is no controlling or compelling authority (“Senator, you’re fired”) to make him or her properly represent the legislature’s views in the nation’s capital. The 17th Amendment severed that linkage, and America has suffered for it ever since.
Many senators don’t even try to cast a shadow across their States except before re-election time, and then suddenly they’re everywhere, defending you and your rights and your pocketbook as if they were the next best thing since sliced bread.
For an unfortunate majority—in all parties—that six-year cycle between re-elections has become a predictable sham.
1. When a senator dies in office, or is otherwise removed, the governor with higher aspirations may resign his office and be replaced by the lieutenant governor.
2. According to a pre-arranged agreement, the new governor appoints the ex-governor to become the new replacement senator for the remainder of the deceased senator’s term.
3. When the new elections roll around, both leaders run as incumbents—and often win reelection.
Impact: Few senators are willing to acknowledge the power of accountability that existed when their direct boss was the State legislature. Senators prefer having the voters be the boss, voters who are easily swayed by singular issues, mail campaigns, and media-driven causes, and whose apathy at the voting booth has become predictable. It’s relatively easy to manipulate the voters every six years, but very difficult to manipulate legislators who jealously make it their mission to be up to date on all the issues and all the voting records.
Repealing the 17th Amendment is unpopular today because the voters would view that as stripping away their right to directly vote for their Senator. Nevertheless, that day of restoration must come before America will gain back control over the federal government. The original Senator was one of the finest controls the Founders invented.
18TH AMENDMENT (Ratified 1919)
The problem with the 18th amendment, “Prohibition,” is that it went beyond the proper role of government and violated the basic right to choose, in this case, the right to choose to consume alcoholic liquor.
Interest in Prohibition had been growing since before the Civil War. Even so, only five States had actually adopted statewide prohibition by 1900. Many other States adopted laws allowing counties to decide on Prohibition if they pleased. These were called the local-option laws.
By 1919, a huge effort by women nationwide was organized into the Anti-Saloon League. This helped push 14 more States to go dry, with many others embracing the local-option laws.
World War I: With the war getting under way, Congress passed a prohibition law as a means of food-control in 1917. That same year Congress went further and passed the 18th Amendment and sent it to the States for ratification. It became law in 1919.
Unpopular: The troops returning home from the war felt left out of the debates and ratification process. Their stubborn resistance to the Amendment over the prohibition of even lighter drinks, such as beer and wine, compounded the Amendment’s unpopularity. Loud complaints grew nationwide until it was repealed with the 21st Amendment in 1933. That Amendment didn’t make drinking legal—it just turned the problem back over to the States where it should have been kept in the first place.
Drug Problem: Alcoholism is the number one drug problem in the U.S. Had Prohibition imposed higher taxes and penalties for intoxication from the hard liquors and left the lighter liquors alone, it might have achieved some good while respecting individual rights. But as an amendment to the U.S. Constitution, that was an improper role for government to play.
Local Level Best: Alcoholic drinks and other social issues that concern society are best managed by the States. Some of these issues include capital punishment, abortion, gun laws, beer and wine distribution, sex education, minimum age of marriage, definition of marriage, gambling, the lottery, dog and horse racing, etc. The Founders’ good counsel was to push the problem to the lowest possible level. That wisdom was timeless, and America would benefit by returning to it.
23rd AMENDMENT (Ratified 1961)
This Amendment gave the seat of government, Washington, D.C., its own electors—that is, representatives to the Electoral College—to help choose the president and vice president.
Good Points in the 23rd Amendment
The people living in Washington, D.C. had no ability to participate in the elections for president and vice president. The 23rd Amendment gave them a place on the electoral college.
Bad Points in the 23rd Amendment
Leaders of the Democratic Party saw an opportunity to stack the political deck against the Republican Party. Washington, D.C., was very left-leaning and would easily become a deciding factor for any legislation if it were allowed two senators and one representative. To achieve this, Congress had to make DC a city-state—that is, grant a city the same powers of representation as a full-fledged, sovereign State.
The first step was achieved with the 23rd Amendment.
The second step was the “Washington, D.C. Voting Rights Amendment” proposed in 1978. It gave the District of Columbia two senators and one representative. This amendment failed to become ratified, and expired in 1985.
If the failed amendment passed, it would have opened the door for additional city-states to be created, probably beginning with New York, Los Angeles, and Chicago—traditional strongholds for the Democratic Party. If the Republican Party had pushed for the same in strongly-conservative cities, the howling on the other side of the aisle would have been just as loud.
The Founders and other students of history observed that the seat of government in any nation throughout history becomes showered with national treasure for its beautification and aggrandizement. The citizens of such cities become happy converts to the money and attention, and anxiously support whichever ruling party can keep the money flowing.
A simpler solution is to send the residents of Washington, D.C., back to Maryland to cast votes because Maryland was the original landowner of the District of Columbia.
25th AMENDMENT (Ratified 1967)
When the president or vice president dies, resigns, or is removed from office, the one or the other is given authority to fill the vacancy by the 25th Amendment. Before this Amendment, a vacancy in the office of vice president had to remain vacant until the next presidential election, while a vacancy for president already followed a written plan.
Good Points in the 25th Amendment
The procedure for keeping the top two executive positions filled was streamlined by the 25th Amendment. However, the potential to misuse this process is, and has been, dangerously abused.
Bad Points in the 25th Amendment
This amendment allows un-elected people to occupy the highest office in the land. For example:
Ford
In 1973, Spiro T. Agnew resigned as vice president, and President Richard Nixon appointed Congressman Gerald R. Ford of Michigan to fill the spot. This appointment was approved by a majority of the Senate and House.
Rockefeller
In 1974, Nixon resigned as president, and Vice President Ford became the new president. Ford had power to appoint his replacement and called on Nelson A. Rockefeller to become vice president, with approval of a majority of the House and Senate.
And with that, the United States suddenly had two men in these important positions who were not elected by the American people.
A wiser process would require a 2/3rds majority vote by the Senate instead of a simple majority vote in these various office-hopping activities. Simple majority allows confirmation to follow party lines instead of forcing cooperation between both parties (assuming neither party has a 2/3rds majority).
Power Sharing or Power Usurped?
Untested in Many Ways
The potential consequences of the dangerous flaws incorporated into the 25th Amendment are not farfetched, as illustrated by the Nixon administration. America has yet to fully try on the 25th Amendment. But, as described above, the Amendment is fraught with dangerous loopholes and potentials for abuse. It should be repealed and replaced with something putting Congress and the Senate more firmly in control, with 2/3rds majorities required to replace an elected officer of the Executive Branch.
398 For a brief and clarifying discussion on the 14th Amendment, see Skousen, The Making of America, op cite., pp. 721-727.
399 For example, see Raoul Berger, Government by Judiciary, The Transformation of the Fourteenth Amendment, Harvard, 1977; Bernard Schwartz, The Fourteenth Amendment Centennial Volume, University of London Press Ltd, 1970, Michael Kent Curtis, No State Shall Abridge: The Fourteenth Amendment and the Bill of Rights, Duke University, 1987.
400 Thomas James Norton, The Constitution of the United States—Its Sources and Its Application, Committee for Constitutional Government, Inc., 1952, pp. 235-242.
401 Andrew Johnson, Presidential Proclamation, Dec. 25, 1868.
402 A direct quote from a sitting senator to the author and his two brothers on May 7, 2010.
403 Karl Marx, Freidrich Engels, Communist Manifesto, 1848 (German original) Chapter 2.
404 Karl Marx, Critique of the Gotha Program, 1875, published after Marx’s death.
405 The Utah Independent, March 29, 1973; also, U.S. News & World Report, May 25, 1956.
Chapter 63: Revolutionary: U.S. Supreme Court
Jefferson saw this one coming like a bull charging out of the fog ... and with the passage of time, it corrupted everything.
One of the gaping holes left in the Constitution was how to prevent the U.S. Supreme Court from exercising its prejudiced will when it was supposed to exercise an unprejudiced judgment. The problem then, and now, is that judgments by the Court pivot on the political biases and social philosophy of the individual justices instead of the Constitution and the intent of its Founders. Every president hopes to pack the court with his kind of justices.
For the other branches, the Founders put restraints on Congress with several good safeguards and constitutional remedies. It was the same for the President. But where were the safeguards for the Court?
This is one of the issues the Founders left unfinished. They talked about it, they worried over it, they debated it,406 but the closest they came to crafting controls and a remedy was in three inadequate restrictions.
1. Presidential Appointment: All the judges had to be appointed by the president—with the advice and consent of the Senate. This let the president pick a justice who would support his own political aspirations. This is not strong control by the people.
2. Congressional Restrictions: The Congress was authorized to restrict what cases the Court could handle (its jurisdiction), but that has rarely been attempted. (See Article 3.2)
3. Impeachment: Congress was allowed to impeach the justices and kick them off the bench for treason, bribery, or other crimes, but not for unpopular decisions—even if the Court altered the Constitution with an unconstitutional decision.
The authority to examine Acts passed by Congress or State legislatures is called the right to “judicial review”—meaning, the Court can review a State law or Act to measure if it violates any provision in the Constitution as designed by the Founding Fathers.
This authority wasn’t spelled out very well. There was much discussion on the matter, but it was never really resolved. This resulted in a gradual evolution of the Court’s power.
Today, the Court is so independent and all-powerful that it has indeed become despotic—an outcome that Thomas Jefferson warned about very early on, as will be discussed later.
Evolution Of the Court’s Power
The Court passed through four stages of development:407
1. John Marshall Period (1801-1835). Marshall was the fourth chief justice and established the Court as the “last say” on all things constitutional. For reference material the Court used the Constitution, the Federalist Papers, and the words of the Founders to make their decisions.
2. Roger B. Taney Period (1835-1895). Starting around 1835, the Court began distancing itself from the Founders. It leaned heavily on constitutional doctrines and theories, and the Founders’ philosophy. However, the justices stopped quoting the Founders and the Federalist Papers in most cases. Justice Taney is remembered for delivering the majority opinion in Dred Scott vs. Sanford (1857) that said blacks could not be considered citizens of the United States.
3. Judicial Supremacy (1895-1930s). Around 1895, the Court took a giant “progressive” step and became more vocal about its opinions being supreme instead of the Constitution. The Constitution was no longer what the Founders said it was. It was now what the Supreme Court said.
4. ‘Super Legislature’ (1930s to today). Today, the Court bypasses the amendment process to make law, voiding Congress and the States if an Act happens to hit the justices wrong for any reason. The norm has been for the sitting president to pack the Court with politically friendly justices who will support his agenda, instead of a good thinker who puts principle and constitutional restrictions at play. The result is decades of reshaping the Constitution from a document of rights to a document of powers.
Court Sides With Strong Federal Government
Just as Jefferson had warned, an unchecked Supreme Court began abolishing, little by little, the subtle protections of rights provided by the Constitution. Each weakening of the Constitution gave ground for the establishment of various components of Ruler’s Law and the seven pillars of socialism. There are hundreds of cases that prove the Court’s progressive tendencies.
CASE: Marbury vs. Madison (1803)
PRECEDENT: Declared a congressional bill unconstitutional.
STORY: This was the first time the Supreme Court declared an Act passed by Congress to be unconstitutional. This decision emphasized that the Constitution was the supreme law of the land, and that’s good. But it also emphasized that the Supreme Court justices wanted everyone to understand that they were the final authority on what the Constitution actually meant. So long as decisions were handed down based on the actual Constitution, this declaration of supremacy was appropriate. When decisions were based on precedent (what prior courts decided), that’s when trouble started.
Judicial activism found its opening with this case—the un-checkable power to create new laws by twisting or ignoring the Constitution to mean something the Founders never intended it to mean.
CASE: Martin vs. Hunter’s Lessee (1816)
PRECEDENT: The Court declared itself the supreme authority.
STORY: At issue was a State’s interpretation of a federal law. The Court refused the States any authority to interpret federal law. This case was good because it helped unify the new nation under a single, unified, common understanding. It was bad because it eroded State sovereignty, making it tough for the States to challenge federal laws that were bad or unfair or conflicted with State law. It contributed to the loss of State’s rights and State sovereignty.
CASE: Gibbons vs. Ogden (1824)
PRECEDENT: Unleashed power to regulate almost everything.
STORY: The case involved New York giving Robert Fulton 100 percent control of steamboat operations along the Hudson so nobody else could compete. The Supreme Court declared it unconstitutional, saying that competing steamboat operators could engage in trade along a coast—it was an interstate commerce activity. This was later interpreted to mean Congress could also regulate the actual steamboat itself, the means of its construction, all safety issues, loading docks, fares, and just about everything else. This wiped out a State’s right to set any of those parameters, clearly a violation of States rights to control their own commerce.
CASE: United States vs. Butler (1936)
PRECEDENT: Removed restrictions on taxing and spending, defined “general welfare” as a blank check.
STORY: Ever since the Constitution had been ratified, Hamilton and Madison had argued over the actual meaning of the Constitution’s list of enumerated powers granted to Congress in Article 1, sections 8 and 9. Hamilton said the list was mere suggestion, and Madison disagreed, stating unequivocally that there is a strong limit for what Congress may tax and spend.
In the Butler case, the Supreme Court settled the debate by siding with Hamilton, saying Congress could raise taxes for anything it deemed important for “the general welfare.” Did that change things? Yes. In 1936, the federal budget was under $6 billion. By 1980, it had grown to about $600 billion, and now pushes past $4 trillion, and 30 times that amount in national obligations. The Butler case turned America’s economic power on its head. Today, the burden of that foolishness is being felt across the country and worldwide.
CASE: Everson vs. Board of Education (1947)
PRECEDENT: Forced Bill of Rights onto the individual States.
STORY: This case involved State legal support for children attending private religious schools in New Jersey. The Court ruled the practice was unconstitutional, citing “Congress shall make no law respecting an establishment of religion.” This case gave the federal government jurisdiction over States if their laws conflicted with federal law. It was the beginning of the removal of religion from America’s public institutions. Later on, the courts would stand atop this ruling to stomp all over States’ rights by forcing all public schools to eliminate prayer, the Bible, and God from their curriculum and in-school activities.
PRECEDENT: The Court turns State issue into a federal issue.
STORY: Abortion is an enormously complex issue that has consumed billions of words across millions of pages. In Roe vs. Wade, the court mandated that abortion was a legal medical procedure in America, and available for the asking.
The very most the Court should have done was to turn the issue over to the States where it belonged. The “Jane Roe” in the lawsuit, Norma McCorvey, has since regretted her role and petitioned the court to re-hear the case based on evidence that abortion also harms the mother.408 The court refused.
CASE: Garcia vs. San Antonio Metro. Transit Authority (1985)
PRECEDENT: Destroyed Tenth Amendment.
STORY: The Tenth Amendment reserves to the States all the powers not specifically granted to the federal government. In National League of Cities vs. Usery (1976), the Court declared that Congress had no authority under the Tenth Amendment to dictate wages and overtime rules for local governments. In Garcia (1985), the Court overruled itself and said that Congress could indeed dictate on the local level.
At issue were volunteer government employees, such as policemen volunteering as ambulance drivers, and teachers volunteering for extra duties for their students. The Court ruled that Congress could indeed force the municipalities to pay wages. The point of volunteering was purely to help local governments short on cash to improve their communities. In violation of the Tenth Amendment, the Court said Congress could control those activities. The Court mandated that either the 80,000 employees from State and local governments go without this extra volunteer help, or they must pay wages to get it.
CASE: Kelo vs. New London (2005)
PRECEDENT: Destroyed Fifth Amendment and private property.
STORY: This controversial case allowed the transfer of private property from its rightful owner to another private owner whose purposes promised an increase in jobs and tax revenue. The decision destroyed the distinction between private and public use of property. The dissenting justices declared that this action amended the Constitution by erasing from the Fifth Amendment the words “for public use” and replacing them with “for whatever use the government decides.”
CASE: “ObamaCare,” national health care (2012)
PRECEDENT: The Court expanded congressional powers beyond constitutional boundaries, again.
STORY: In its most damaging swipe against freedom in 100 years, the Supreme Court upheld the individual mandate in President Obama’s national health care program, giving Congress authority to force Americans to buy health insurance under Congress’s power to “lay and collect taxes.” In a carefully crafted slight of hand, the Court said the government could not order people to buy health insurance, but it could tax those who didn’t. The Court also said the federal government could not force States to expand Medicaid to cover millions that were uninsured. It rejected Congress’s claim it could force health care as an enumerated right in the Commerce Clause.
In 2008, Robert A. Levy and William Mellor published a list of a dozen other cases where the Supreme Court409 ...
Jefferson Offers Better Direction
Thomas Jefferson had plenty to say about the tyranny of the Court, and proposed some solutions. One was to remove life-time terms and make them earn reappointment by the president every 4-6 years, with approval from both houses.410 Another was to overturn a bad Court decision by calling a constitutional convention. That provision from Article V allows the States to bypass all three branches of government, and with a 2/3rds majority vote, set things right again. By the time Jefferson became president, the Court was already taking power it wasn’t granted, and he sent stern warnings about that unconstitutional usurpation.411
“The judiciary branch is the instrument which, working like gravity, without intermission, is to press us at last into one consolidated mass. ...If Congress fails to shield the States from dangers so palpable and so imminent, the States must shield themselves, and meet the invader [the judiciary] foot to foot.” How else would Jefferson propose the States shield themselves except with a constitutional convention or an Amendment returning power to the States?412
As president, Jefferson expressed his concerns about the Judiciary in a letter to Abigail Adams:
“You seem to think it devolved on the judges to decide on the validity of the sedition law, but nothing in the Constitution has given them a right to decide for the executive, more than to the executive to decide for them. Both magistrates are equally independent in the sphere of action assigned to them.
“The judges, believing the law constitutional, had a right to pass a sentence of fine and imprisonment, because the power was placed in their hands by the Constitution.
“But the executives, believing the law to be unconstitutional, were bound to remit [refrain] the execution of it, because that power has been confided to them by the Constitution. That instrument meant that its coordinate branches should be checks on each other.
“But the opinion which gives to the judges the right to decide what laws are constitutional and what not, not only for themselves in their own sphere of action, but for the legislature an executive also in their spheres, would make a judiciary a despotic branch.”413
Jefferson on Marbury vs. Madison
Jefferson objected to the Court taking upon itself unbounded powers of decision, and wished to abolish the precedent the Court established in Marbury vs. Madison—
“The Constitution intended that the three great branches of the government should be coordinate, and independent of each other,” Jefferson wrote. “As to acts, therefore, which are to be done by either, it has given no control to another branch.... It did not intend to give the judiciary ... control over the executive.... I have long wished for a proper occasion to have the gratuitous opinion in Marbury vs. Madison brought before the public, and denounced as not law.”414
Jefferson on Corruption of Justices
In a letter to William Charles Jarvis in 1820, Jefferson pointed out that Court justices are no more immune from corruption than anyone else, and with life-long appointments, there is little incentive to stay responsible to the people and the Constitution:
“You seem ... to consider the judges as the ultimate arbiters of all constitutional questions; a very dangerous doctrine indeed, and one which would place us under the despotism of an oligarchy.
“Our judges are as honest as other men, and not more so. They have, with others, the same passions for party, for power, and the privilege of their corps.... Their power [is] the more dangerous as they are in office for life, and not responsible, as the other functionaries are, to the elective control.
“The Constitution has erected no such single tribunal, knowing that to whatever hands confided, with the corruptions of time and party, its members would become despots. It has more wisely made all the departments co-equal and co-sovereign within themselves.”415
Jefferson on Unconstitutional decisions
Continuing in his letter to William Charles Jarvis, Jefferson points out that all others in the federal government are responsible to those who elected them. But not the Court, and this is dangerous to freedom:
“When the legislative or executive functionaries act unconstitutionally, they are responsible to the people in their elective capacity. The exemption of the judges from that is quite dangerous enough.
“I know of no safe depository of the ultimate powers of the society but the people themselves; and if we think them not enlightened enough to exercise their control with a wholesome discretion, the remedy is not to take it from them but to inform their discretion by education. This is the true corrective of abuses of constitutional power.”416
“If ever this vast country is brought under a single government, it will be one of the most extensive corruption, indifferent and incapable of a wholesome care over so wide a spread of surface.”417
Putting the Court in a position to pronounce what the Constitution meant was not what the Founders intended. They wanted the Court to apply the Constitution, not interpret or twist its meaning. The Founders wanted the justices to be pro-Constitution, not anti. As president, Jefferson wrote:
“On every question of construction, [let us] carry ourselves back to the time when the Constitution was adopted, recollect the spirit manifested in the debates, and instead of trying what meaning may be squeezed out of the text, or invented against it, conform to the probable one in which it was passed.” 418
Constitution Not a Blank Paper
Jefferson declared that the Constitution is not an arbitrary set of flexible rules. Had America adhered to that counsel, how many looming problems might never have developed? Said Jefferson:
“When an instrument admits two constructions, the one safe, the other dangerous, the one precise, the other indefinite, I prefer that which is safe and precise. I had rather ask an enlargement of power from the nation, where it is found necessary, than to assume it by a construction which would make our powers boundless. Our peculiar security is in the possession of a written Constitution. Let us not make it a blank paper by construction.”419
An Unchecked Judiciary Will Destroy Democracy
Jefferson believed the Supreme Court and its lesser offices posed the greatest danger to liberty. He said,
“...The germ of dissolution of our federal government is in the constitution of the federal judiciary; an irresponsible body working like gravity by night and by day, gaining a little today and little tomorrow, and advancing its noiseless step like a thief, over the field of jurisdiction, until all shall be usurped from the States, and the government of all be consolidated into one. To this I am opposed; because, when all government, domestic and foreign, in little as in great things, shall be drawn to Washington as the center of all power, it will render powerless the checks provided of one government or another, and will become as venal and oppressive as the government from which we separated.”420
While the Courts, the people, and economic experimenters tried new opportunities in the revolutionary 1800s, a more subtle and dangerous manifestation of socialism was quietly eating into the core of national stability. It was a failure system that one day would embrace all seven pillars and all the world’s nations. It carried the moniker state welfare. But first, before that final temptation towards power could be tried, the people had to be weakened—
406 A summary of the Founders’ concerns may be found in Skousen, The Making of America, pp. 569-581.
407 See Edwin S. Corwin, editor, The Constitution of the United States, Annotated, Library of Congress, 1953.
408 “Court rejects challenge to abortion ruling,” Associated Press, February 22, 2005.
409 Robert A. Levy, The Dirty Dozen: How Twelve Supreme Court Cases Radically Expanded Government and Eroded Freedom, 2008.
410 Jefferson to James Pleasants, December 26, 1821.,
411 See Jefferson to William Johnson, June 12, 1823 (“The Chief Justice says, ‘there must be an ultimate arbiter somewhere.’” “True,” says Jefferson, but “the ultimate arbiter is the people” who may meet in a constitutional convention [Article V] and override the Judiciary and “let them decide to which they meant to give an authority...”); and, to Nathaniel Macon, August 19, 1821 (If the Judiciary rule unconstitutionally, and the other two branches “relapse into the same heresies,” impeach them all, an act made possible by Article V, a convention of the states), The Works of Thomas Jefferson, Vol. 12, Correspondence and Papers 1816-1826.
412 Jefferson to Archibald Tweat.
413 Bergh, 11:50.
414 Bergh, 11:50, p. 213.
415 Ibid., p. 277.
416 Ibid.
417 Jefferson to W. T. Barry, August, 4, 1822.
418 Bergh 15:449; See also Bergh 10:248.
419 Bergh, 10:418.
420 Thomas Jefferson letter to C. Hammond, 1821.
Chapter 64: Early Progressive Milestones
For a hundred years, American liberty survived the buffeting of usurpers and tyrants. Could it survive another century against the new progressives of the 1900s?
When Theodore Roosevelt became president in 1901, he started decades of destruction of constitutional restraints. This grab for power was supported by the Supreme Court, and unleashed all manner of avoidable problems. This episode shows how the establishment of Ruler’s Law was streamlined with the installation of an all-powerful ruler.
The Problem of Too Much Success?
America’s amazing growth during the industrial revolution was racing white-hot at the turn of the century—with more to come during the “roaring twenties.” For the general public in the early 1900s, all they read and heard about were tycoons taking over businesses, finances, and labor practices. Popular resentment began to spread. People wanted some kind of national police power to step in and get things under control.
Feeding the public frenzy were the muckrakers. Journalists sold millions of books and articles exposing the dirty under-belly of bad conditions—grotesque conditions in the meat-packing industry, packaging of spoiled food, illegal drugs, child labor, and prostitution (white slavery).
For the progressives, this was an important transition opportunity. They saw the chance to break from the Constitution and grant the federal government fantastic control over the States—a new authority to become a national regulatory dispensary outside the Founder’s restraints—a top-down, Ruler’s Law police power.
Two Ways to Dismantle the Constitution
Federal power was brilliantly chained down, and the progressives somehow needed to break those chains. They had two options:
Making the Constitution Unconstitutional
The progressives’ first and most important constitutional weapons were the powers of regulating commerce and the power to tax. The strategy was, first, to bring to light or exaggerate social horrors, and second, to arouse public opinion to demand federal legislation to fix it. Here is the evolution:
Give Congress power to outlaw trade. In 1895, Congress tried to control gambling by outlawing the buying or selling of lottery tickets across State lines (Federal Lottery Act, 1895). A man was caught trying to ship lottery tickets privately from Texas to California. Could Congress actually stop lottery ticket sales inside the State boundaries of California because the tickets arrived from Texas? The Supreme Court said yes—Congress could outlaw, forbid, reject, and ban whatever items it chose from being shipped across State lines. Writing for the majority, Justice Harlan said, “Congress may arbitrarily exclude from commerce among the states any article, commodity, or thing, of whatever kind or nature, or however useful or valuable, which it may choose, no matter what the motive....”421
Give Congress power to arbitrarily tax unequally. At the turn of the century an amazing butter substitute called “oleomargarine” appeared on the market and was cutting into the sales of natural butter. In 1902, angry dairymen repeated the actions of their guildsmen ancestors and tried to summon government power to eliminate the competition. They succeeded. In 1902, Congress raised the tax on artificially colored margarine to $.10 (ten cents) a pound (The Oleomargarine Act, 1886, amended 1902). When the case went to the Supreme Court, the justices ruled that Congress rightfully had the power to tax whatever it pleased, even to eliminate the competition to the dairymen’s butter industry. This case made it clear: there are no limits on what Congress can do with the power to tax—and a willing Supreme Court to back them.
Violate State boundaries to control food production. Dr. Harvey Wiley, an employee in the Department of Agriculture, did research that showed a trend of dangerous commercial preservatives, coloring chemicals, and food preparation becoming “almost universal” in America. Added to this was the impact of Upton Sinclair’s The Jungle, and actions by other social activists that further inflamed the public about food safety. Popular outrage pushed Congress to exert regulations to protect the public. And just like that, a federal law requiring inspection of meat and outlawing adulterated products was signed into law on June 30, 1906 as the Pure Food and Drug Act.
Force local meat packers to obey federal rules. On June 30, 1906, the Meat Inspection Act was signed into law. Inspectors were sent to every inter-state meat-packing plant to look for diseased animals or putrefying carcasses. Rejected meat or meat that was not inspected could not be shipped. No one wants dangerous meat and food in the market, but such encroachment on States’ rights was ignored as a possible danger by these various regulatory Acts.
Take State property for federal use. The Weeks Act (1911) gave the federal government power to purchase, preserve, and control watershed areas inside the States and turn them into national forests. Part of the cost was to be carried by the States with the so-called “grant-in-aid.” The idea was to offer money to a State for some mutually beneficial project. To receive the federal money, States had to match the grant with equal money, and allow the federal government to supervise and approve the projects. Similar projects had been tried already—that of sharing the costs of maternity welfare, of infant welfare, of vocational training, and of aid to disabled veterans.
But something was amiss. People feared this was a means to break down the sovereignty of local self-government. After a dozen years of grants-in-aid, President Calvin Coolidge expressed concern in 1925: “The functions which the Congress are to discharge are not those of local government but of National Government. The greatest solicitude should be exercised to prevent any encroachment upon the rights of the States or their various political subdivisions. Local self-government is one of our most precious possessions .... It ought not to be infringed by assault or undermined by purchase.”422
People watching this friendly usurpation of State responsibilities feared that grants-in-aid were simply a crafty way to expand federal power and destroy State sovereignty. It allowed the national government to take over functions that belonged to the States. States were pressured to participate because, either way, their tax dollars were taken for these programs. If they refused to participate the money would go to other States—a clear violation of constitutional spending authority in Article 1.8.
Force the States to comply with federal child labor rules. The 1900 census showed that 2 million children were working in factories, mines, mills, fields, stores and on the streets all across the U.S. The census result triggered a national clamor for more control over child labor. To further stir alarm, a photographer was hired to document some of the abuses, and the call to spare children from accidents and damage to their health went far and wide.
Most children at this time were teenagers, and were in the work force because of dire necessity. Working in the deplorable factory conditions that existed in those days was by choice because it was a better alternative than unemployment, starvation, and death.
Congress justified the Child Labor Act (1916) with its interstate commerce authority. It made it illegal for anyone to ship products produced by children under age 14, and prohibited labor by children 14-16 for more than 8 hours a day, 6 days a week—and no night work allowed. Preventing the abuse of children at the work place is important. However, allowing the government to dictate labor rules prevented the children, their parents, and the employers their freedom to make a contract, a right that was protected in Article 1.10.1 of the Constitution.
The Act was signed into law, but was declared unconstitutional in 1918. Another attempt was made in 1918—also declared unconstitutional. The Court said the government wasn’t regulating, it was prohibiting—a sudden recognition of the true principle involved that apparently was ignored for the lottery, pure food, and white slave laws. Not until 1938 did the government win police power over State’s rights with the passage of the Fair Labor Standards Act that fulfilled most of the original intents of the earliest child labor laws.
Force States to submit to federal narcotics control. The Harrison Narcotics Tax Act (1914) was created to get the names of producers and track their illegal drug transactions. After the Spanish-American War of 1898, the U.S. acquired the Philippines. The population there had a severe and widespread problem with opium addiction. Opium abuse was growing in the U.S., particularly among immigrants from opium-producing countries.
The problem was hoisted up the flag pole and drew a lot of international attention. This resulted in the first international drug control treaty signed in 1912. Meanwhile, over in America, the importation and abuse of opium was spreading. By 1914, an estimated 1 in 400 U.S. citizens was addicted.423 This same year, 46 States had laws against cocaine and 29 States had laws against opium, morphine, and heroin.
The Harrison Act required everyone who manufactured, sold, or distributed narcotic drugs to register with the government. They had to pay $1 a year in taxes, keep detailed sales records, and use special authorized forms whenever making drug transactions. It also outlawed recreational use of the drugs. The tax really had no value other than to force narcotic dealers to let the government know who they were, where they lived, and how much product went through their hands—another usurpation of internal State police power by the federal government.
Portraits of Progressive Change
The progressive era familiar to most people reached prominence from 1880 to 1920. Even though the formal Progressive Party dissolved in 1916, the mind set continued to pursue the same ends through other means.
At its beginning, the progressive movement was a sporadic, spontaneous uprising that called for more freedoms for some things, but more central control over others. In the progressives’ gallery of infamy hang a thousand portraits of change, change purported to be better for America and the world—
Eliminate the Supernatural: Progressives insisted that humans are not born free, nor is freedom a gift of God. John Dewey (1859-1952) said freedom is not “a ready-made possession ... it is something to be achieved.”424 He said any idea of natural rights and liberties exist only in “the kingdom of mythological social zoology.”425
Eliminate Concept of Natural Rights: Progressive writer Charles Merriam (1874-1953) also rejected unalienable rights: “The individualistic ideas of the ‘natural right’ school of political theory, indorsed [made valid] in the Revolution, are discredited and repudiated.... The origin of the state is regarded, not as the result of a deliberate agreement among men, but as the result of historical development, instinctive rather than conscious; and rights are considered to have their source not in nature, but in law.”426
Promote All-powerful Government: John Dewey said government’s role was to create laws and structure “not [as] means for obtaining something for individuals, not even happiness. They are means of creating individuals ....” In other words, it was government’s role to properly train people, create them, and fabricate their lives with education, structure and economy into ideal servants of society.
Promote Unlimited Government: Charles Merriam said the public wants unlimited government: “The public, or at least a large portion of it, is ready for the extension of the functions of government in almost any direction where the general welfare may be advanced, regardless of whether individuals as such are benefited thereby or not.”427
Promote Intrusive Government: Theodore Woolsey (1801-1889) was president of Yale College. His vision was a government meeting all human needs: “The sphere of the state may reach as far as the nature and needs of man and of men reach, including intellectual and aesthetic wants of the individual, and the religious and moral nature of its citizens.”428
Dismiss God: The Humanist Manifesto, published in 1933, was an accumulation of progressive philosophy that rejected God, religion, and creation. The Manifesto declared, “Religious humanists regard the universe as self-existing and not created.” And, “Humanism believes that man is a part of nature and that he has emerged as a result of a continuous process.”429
Replace God With the State: Georg Wilhelm Friedrich Hegel (1770-1831), the originator of the idea of class conflict (dialectics), elevated the state as the “divine idea as it exists on earth.” “All the worth which a human being possesses,” he said, “all spiritual reality, he possesses only through the State. ...”430 “We must ... worship the State as the manifestation of the Divine on Earth.”431 Progressives embraced Hegel and his ideas.
Deify the State: John Burgess (1844-1931) was an influential political scientist who echoed Hegel, and said the ultimate end of the state is not heaven above, but the “perfection of humanity, the civilization of the world, the perfect development of the human reason and its attainment to universal command over individualism; the apotheosis of man.”432 Apotheosis means “man becoming God.”
God is Dead: Friedrich Nietzsche (1844-1900) was a German philosopher who viewed God as either a mythical creation or the rejected founder of western culture who was usurped by materialism. A preoccupation on things secular led Nietzsche to declare, “God is dead. God remains dead. And we have killed him. How shall we comfort ourselves, the murderers of all murderers?”433 His words helped spark the anti-God revolution that lasted for generations.
No Rights Except as Declared by State: John Burgess wrote in 1891, “The state cannot be conceived without sovereignty, i.e. without unlimited power over its subjects.” He said the state must have “original, absolute, unlimited, universal power over the individual subject, and all associations of subjects.”434
Replace “Republic” With “Democracy”: Progressives pushed for removing representatives and replacing them with a direct popular vote. They wanted the power to approve new laws by direct vote, remove public officials by direct vote, nominate candidates by direct vote, elect senators by direct vote, and legalize the vote by women. The last two goals were achieved with the 17th and 19th amendments to the Constitution—the former (the 17th, direct election of senators) turned out to be a foolish mistake; the latter (suffrage) was good, but it was already being adopted in several of the states by the time it was formalized as an amendment.
Make Taxation Easy: Taxing individual income became a reality during the Civil War with a flat tax of 3 percent that was expanded to 5 percent. Various tax plans were put forward until 1909 when an amendment was passed by Congress. It was ratified in 1913 as the 16th amendment, allowing a direct tax on wages, salaries, commissions, etc. The progressives wanted—and got—the rich to be forced to pay more, a levelling scheme proposed by Marx in 1848.435
Eliminate Private Property: The American dream of building a business into a large generator of jobs and prosperity was viewed with envy by the progressives. They called for large monopolies of corporations to be nationalized—taken over by the federal government, or otherwise fiercely regulated. With the outbreak of hostilities in World War I, a preview of the progressive’s world was unveiled:
Eliminate Self-Sufficiency: The Food and Fuel Control Act of 1917 imposed limits on how much food an American could have on pantry shelves. It also regulated the production and consumption of “distilled spirits”—all of this “to support the war effort.”
Invest Kingly Powers in Herbert Hoover: During WWI, Hoover could fix food prices, act against hoarding to ensure sufficient food for the troops, control food production and distribution, control profits, and tell farmers what to grow. He set guidelines to reduce consumption with “meatless Tuesdays,” “sweetless Saturdays,” and “wheatless Mondays.” These were voluntary for the private sector.436
Invest Kingly Powers in Harry Garfield: During WWI, Garfield could save coal by closing non-essential factories (which he did), setting prices, and controlling production, shipments, and distribution. Garfield distributed fuel oil in similar fashion, and called for voluntary “gasless Sundays,” “lightless nights,” and “heatless Mondays.”437
Can’t Own Gold: In 1933, President Franklin D. Roosevelt signed an executive order “forbidding the hoarding of gold coin, gold bullion, and gold certificates” by American citizens. The theory was this prevented the circulation of money that would help ignite the economy. There were rumors that safety deposit boxes were being searched for gold—in rare instances this did take place, but not as an official government policy.438
Can’t Control Private Railroad: Owners of small railroads lost their freedom to set fees for hauling goods because of the Shreveport Rate Case (1914). Congress said the Commerce Clause (Article 1.8) gave it power to tell a private rail owner to charge the same rates inside a State as those carriers running cross-country through his State. Congress didn’t want the little guy competing by charging too little, or “soaking” the carriers with higher rates if his was the only rail line available. The Supreme Court agreed—Congress could force the little guy to set rates the same as the interstate carriers. Ever since the Shreveport Rate Case, this ruling has been used to expand federal power beyond “interstate commerce,” and into just about every aspect of life.439
Can’t Set Prices: Theodore Roosevelt believed in top-down control: “We wish to control big business so as to secure among other things good wages for the wage-workers and reasonable prices for the consumers.”440 “I believe in a larger use of the Governmental power to help remedy industrial wrongs.”441
Can’t Consume As One Pleases: The consequences of alcohol and drunkenness were such a blight on human progress that the progressives successfully pushed through the 18th amendment prohibiting the consumption of alcoholic beverages. As noted earlier, this action was nothing short of socialism at work. An amendment that does not protect rights, even the right to get smashed, is not in harmony with the intent and design of the Constitution.
Can’t Set Wages: In 1912, the Progressive Party wrote into their platform a call for set wages. “We pledge ourselves to work unceasingly in State and Nation for ... Minimum wage standards for working women, to provide a living scale in all industrial occupations....”442
Force Foreigners to Pay Taxes: Protective Tariffs had already proved counterproductive, but not according to the Progressive platform. “We believe in a protective tariff which shall equalize conditions of competition between the United States and foreign countries, both for the farmer and the manufacturer, and which shall maintain for labor an adequate standard of living.”443
Can’t Teach Constitutional Law: By the 1920s, American law schools had abandoned teaching law based on principles in the Constitution. Students were immersed in a study of “casebook law”—that is, the decisions made by judges regardless of application or reference to the Constitution. There was no test for constitutional correctness because people were led to believe that what the Court said was law, so why argue? (See brief history of that abandonment beginning in Chapter 65, Revolutionary: Law Schools).
Rule Other Countries: Charles Merriam called on Western culture to advance its expertise into the core of other cultures and nations: “The Teutonic [Germanic] races must civilize the politically uncivilized. They must have a colonial policy. Barbaric races, if incapable, may be swept away. ... On the same principle, interference with the affairs of states not wholly barbaric, but nevertheless incapable of effecting political organization for themselves, is fully justified.”444
Tyranny Under the Color of War Powers: Many revolutionaries before and after the progressives believed the ideal time to enact change or to violate rights was in the middle of a crisis. World War I came along just in time. Measures to secure the nation included the Espionage Act of 1917—people were threatened with 10-20 years in jail if they “interfered with the draft or encouraged disloyalty [to America].” The Sedition Act of 1918 made it a crime to obstruct the sale of U.S. war bonds, discourage recruitment, use “disloyal or abusive language” about the government or the American flag or the Constitution, or even military uniforms. Some 1,500 were arrested for those very crimes. These Acts had good intentions but infringed on the people’s right to object or express opinions opposed to the way war was being conducted.
Nationalize Industries: Taking over free-market enterprises spooked Americans after World War I. By that time, the U.S. government already owned most of the radio facilities and controlled the railroads and a vast merchant fleet. Congress didn’t dare take over directly, but it did pass Acts and regulations that, over time, forced the marketplace to comply with government regulations—a slow grinding down of private investment.
Expand Ruling Agencies to Strengthen Government Control: The federal government issues laws, rules, and regulations to control commerce through more than 50 agencies, each with its own set of purposes, rules, requirements, and impact.
Replace Personal Responsibility With Laws and More Laws: Federal agencies are now tasked with enforcing more than 150,000 pages (and growing) of rules. Not all are bad—some fall within the proper role of government, but the rest are highly debatable or outright unconstitutional by any reasoned review of the powers usurped by such agencies. A 2013 study put a conservative cost of obedience to government regulations at a crushing $1.9 trillion every year.445 Regulation stifles innovation in ways not even imagined. For example, decades of communications restrictions by the Federal Communications Commission stalled the invention and development of cell phones, the Internet, and wireless services. When the rules were relaxed, the wireless technology exploded in a worldwide revolution that created jobs and trillions of dollars in new business.
The Socialist Party
In 1912, the progressive movement split from the Republican Party and formed the Progressive Party. Here was, at last, the foundation for candidates seeking office to further their progressive ideals. It didn’t last long, and dissolved in 1916, but not out of defeat. Rising to the forefront was a new home for progressivism, the Socialist Party, which had been gaining strength since 1901.
The Socialist Party was popular. Membership grew rapidly in its first couple of decades. Most of its support came from progressive and trade union members, and they succeeded in putting candidates in office everywhere. By 1912, they had nine seats in Congress, a senator, and more than 200 elected officials all across the country as mayors, city councilmen, and State legislators.
Debs and Darrow
Two influential progressives worth noting are Eugene V. Debs (1855-1926) and Clarence Darrow (1857-1938).
Debs helped form America’s first industrial union, the American Railway Union, and led the famous Pullman Car Company strike of 3,000 workers in 1894. He was an articulate anti-war advocate, and ran for president five times beginning in 1900. In 1912 he won 900,000 votes.
Debs congealed the progressive movement’s scattered and disjointed protagonists into a more cohesive force united against unalienable rights. Socialists, communists, union members, and anarchists rallied around him to pursue Ruler’s Law in America. Debs died of heart failure in 1926. He was 70.
Clarence Darrow was an American lawyer and leading member of ACLU. He was described as a sophisticated country lawyer who became famous for his wit, oratory, and successful defense of famous cases such as his defense of John Scopes, an evolution-teaching biology teacher, in the Scopes Monkey trial.
Darrow’s political and religious views perpetuated the progressive ideals. He supported the idea that judges should break from constitutional law and tailor-make laws to fit the circumstances.
“Laws should be like clothes,” he said. “They should be made to fit the people they serve.”446
He rejected religion: “The origin of the absurd idea of immortal life is easy to discover; it is kept alive by hope and fear, by childish faith, and by cowardice.”447
Darrow was an advocate of unionizing the work force: “With all their faults, trade unions have done more for humanity than any other organization of men that ever existed. They have done more for decency, for honesty, for education, for the betterment of the race, for the developing of character in man, than any other association of men.”448
Darrow blamed abuses of individual rights on the Constitution. “The Constitution is a delusion and a snare if the weakest and humblest man in the land cannot be defended in his right to speak and his right to think as much as the strongest in the land.”449
What Darrow failed to recognize in his indictment of the Constitution was the fault of corruption and the failure to sustain the original Constitution that would have prevented the country’s difficulties. More laws couldn’t fix those problems and never will. The real culprit in Darrow’s complaints was the encroaching tyranny of Ruler’s Law, the seven pillars of socialism that had taken root and were eroding the liberty, orderly cooperation, and long-lasting free-market solutions that were once guaranteed by the Constitution. The perpetuation of the bad ideas was rooted in the unchecked powers of judges and attorneys, those without constitutional training from their law school days. And that raises the question, What kind of constitutional insights and perspectives were being taught in the law schools back then?
421 Champion vs. Ames, 188 U.S. 321, 1903.
422 Calvin Coolidge, State of the Union Address, December 8, 1925.
423 New York Times, Uncle Sam is the Worst Drug Fiend in the World, March 12, 1911.
424 John Dewey, The History of Liberalism, excerpted from Liberalism and Social Action, 1935.
425 Ibid.
426 Charles Merriam, A History of American Political Theories, 1903, Chapter VIII.
427 Ibid., p. 333.
428 Theodore Woolsey, Political Science, Vol. I, pp. 23-25.
429 See www.americanhumanist.org.
430 G. W. F. Hegel, Philosophy of History.
431 G. W. F. Hegel, Philosophy of Law.
432 Merriam, ibid., Vol. VIII.
433 Friedrich Nietzsche, The Gay Science, Section 125.
434 Political Science and Comparative Constitutional Law, I, p. 52, 1891, cited in A History of American Political Theories by Charles Edward Merriam, 1915.
435 Marx, Engels, The Communist Manifesto, chapter 2.
436 New York Times, Hoover Declares ‘Victory Bread’ and Cut Rations, January 27, 1917.
437 David M. Kennedy, Over Here: The First World War and American Society, 2004, pp. 124-125.
438 Time Magazine, Josefowitz Gold, April, 1936.
439 Walter Hines Page, Arthur Wilson Page, The World’s Work, Vol. 28, 1914, pp. 377-378; United States Reports, Vol. 234, p. 342.
440 Effingham Wilson, Progressive Principles by Theodore Roosevelt, Selections from
Addresses, 1913 p. 139.
441 Ibid., p. 171.
442 Ibid., p. 317.
443 Ibid., p. 320.
444 Merriam, Ibid., p. 314.
445 Wayne Crews, Ten Thousand Commandments, 2014; W. Mark Crain, The Impact of Regulatory Costs on Small Firms, Small Business Administration Office of Advocacy, September 2005.
446 Attributed to Clarence Darrow.
447 Attributed to Clarence Darrow.
448 The Railroad Trainman (November 1909).
449 Address to the court in People vs. Lloyd (1920).
Chapter 65: Revolutionary: Law Schools
The progressives’ effort to control information made a giant leap when they successfully penetrated education.
A pillar of socialism is the control of information. The importance of this pillar was not lost on those pushing for change in the early 1900s.
The leading progressives viewed traditional ideas about freedom as archaic remnants holding back revolutionary ideas. Reformers blamed the clergymen for controlling higher education and stifling the natural intellectual evolution of college students. Such stagnation, they warned, was suicide in a rapidly changing industrialized world.
The law schools became an early venue for this reform. The first attempt at law school reform started on the tradition-laden campus of America’s oldest university. The key players were—
WHO: Charles W. Eliot, Harvard president 1869-1909
IMPACT: He saved Harvard from bankruptcy, and ignited growth in higher education in America.
STORY: Eliot graduated from Harvard in 1853, and stayed on for a decade to teach math and chemistry. Using family money and savings, Eliot decided to go exploring. He took a two-year hiatus to Europe so he could study other forms of education. He was fascinated by their styles of curriculum and how teachers conveyed information. When he returned to America, Eliot was ready to help American education catch up with the times.
In 1869, Eliot was appointed president of Harvard. He was passionate about education as a tool to expand opportunities of study. That’s when he introduced the “electives system,” a buffet of top-notch classes from which students could choose how to develop their intellectual lives according to their interests.
Eliot served for 40 years as Harvard president, and built the school from near closure to the world’s wealthiest private university. He was described as a fearless crusader for education reform and also pushed for many progressive goals. One of his most eloquent spokesmen for progressive views was Herbert Croly, class of 1889.
WHO: Herbert Croly (1869-1930)
IMPACT: Intellectual leader of the progressive movement; author of the progressive classic, The Promise of American Life (1909).
STORY: Croly made three attempts to graduate from Harvard, withdrawing each time for one reason or another. In 1910, after The Promise of American Life was published, Harvard finally awarded Croly an honorary degree.
Croly was enamored by Alexander Hamilton’s views of a strong central government. His 1909 book reflected that view as a way to transform America from an agrarian society to a powerhouse in the industrialized world. He also supported Thomas Jefferson’s views on individual freedom, but set them secondary as “tantamount to extreme individualism.”450
Croly’s solution to a new America included nationalizing large corporations, building a strong national government, and strengthening the labor unions—calling them “the most effective machinery which has yet been forged for the economic and social amelioration of the laboring class.”451
He also promoted heavy taxes, creating an aristocratic class of elites, and allowing unlimited government—even at the expense of individual rights so long as national ideals were supported.
After Croly’s death his unnoticed book took off and imparted socialism to presidents, jurists, and teachers—for decades.
WHO: Christopher Columbus Langdell (1826-1906)
IMPACT: Turned law schools from studying constitutional law to the “casebook method.”
STORY: During Eliot’s reign at Harvard there came along a teacher and scholar named Christopher Langdell. He advanced progressive goals deep into American culture and jurisprudence by changing the way law was studied in college.
Langdell attended Harvard’s law school from 1851-1854, long before Eliot came along. But the two joined up in 1870 when Langdell was made Dane professor of Law at Harvard Law School. Shortly after, he was made dean of the law faculty, a position he held until 1895.
Langdell introduced two major changes into how law was taught in America. The first is still in use today. It’s a system for teaching first-year students the intricacies of contracts, property, torts, criminal law, and civil procedure.
Langdell’s second innovation was the case or casebook method. He dropped the Constitution as the deciding factor in law, and had students study how they, and presiding judges in the cases, thought the outcome should be. Unfortunately, judges’ personal biases and agendas proved contradictory and fluctuated with every major case. Deserting the Constitution as a foundational starting place for law education ultimately proved to be a foolish abandonment.
IMPACT: Started the “legal realism” movement that institutionalized judicial activism.
STORY: Roscoe Pound started teaching law at Harvard in 1910, and became dean of the law school in 1916.
Pound was one of the early promoters of the casebook method, and took it a step further. He helped start the so-called “Realism” movement.
“Legal Realism” was the view that law should be used to achieve whatever social purposes seem to fit at the time. Said another way, “the law” is whatever the judges say it is.
Prior to that time most law schools were teaching “legal formalism.” This tradition held that the formal written law is unmovable—it is what it is, not what the judge says. And if the law failed for some reason, it wasn’t the judge’s job to rewrite it, but to apply it as best as he or she could and leave it to the legislature to make necessary clarifications.
Those supporting “formalism” said that judges should be constrained in their interpretations. Allowing judges to say what the law should be instead of making them pass judgment according to what the law does say violates the Constitution’s separation of powers.
Why? Because the legislative branch is supposed to make the law, and the judicial branch is supposed to apply it, not change it according to their own whims.
Pound’s approach to teaching law has sent hundreds of thousands of law students into America with the mistaken belief they are empowered to create law if the situation warrants it. It is a progressive’s dream come true.
Interpretations Versus Application
Supreme Court Justice Antonin Scalia is one of those former law school students who didn’t fall for “legal realism.” He deeply respected the Constitution and wanted it left alone, and made this clear many times as a justice on the Supreme Court—
450 Herbert. Croly, The Promise of American Life, 1901, p. 194.
451 Ibid., p. 387.
452 Antonin Scalia, Sosa vs. Alvarez-Machain et al., 542 U.S. 692 (2004).
453 Antonin Scalia, forum at American University, 2005.
454 Antonin Scalia, Wabaunsee County vs. Umbehr, 518 U.S. 668 (1966).
455 Antonin Scalia, from a speech in Alexandria, Virginia, April 9, 2008.
456 Antonin Scalia, speech at Marquette University, March 13, 2001.
Chapter 66: Socialism Run Amok
With the most important pieces of progressivism in place before World War II, there remained but two more primary goals—socializing the healthcare system, and the money supply.
Recognizing the step-by-step corruption of the American system helps explain the pattern of ruin that all nations have suffered. Just as soon as the ruling powers discover how to rob from the national treasury, they impose the forces of regulation to support that thievery. It becomes just a matter of time before a country caves from within. Europe, the former Soviet Union, Asia, Africa, Australia, the U.S., and all others slouching toward socialism did or will in the near future face the same demise if the people fail to wrest back full control of their governments.
The New Deal era in the U.S. accelerated America’s problems as massive government bailouts were used to create a welfare class numbering in the many millions. To support the handout, the government had to chip away at the property rights of others (higher taxes) to fulfill their political promises. And with that, the chains that once bound down the federal government turned to bind down the people.
Beyond the Point of No Return
Now we shift gears to look at the way socialism perpetuates itself in today’s world. It pins a nation beneath massive promises to take care of the people by taking more from the “haves”—
1. National health care. This is the quickest route to win support for a larger and more intrusive government. When desperation justifies it, a nation will vote away their liberty for another handout. Those thinking like socialists shrug and say, “why not?” And that is how the socialists keep the flewage457 flowing.
2. State welfare. This is unemployment benefits, pensions, Social Security, school lunches, publicly-subsidized transportation and utilities, forced hiring practices, meddling in the market, etc.
3. National banking system. Controlling the money is how the socialists control the government and its power, as will be shown.
Learning To Recognize Socialism
Part XI--THE LAST TEMPTATION, PART 1: COMPULSORY CARE
“The surest path to dictatorship is braced with the promises of universal care.”
457 Flewage: A mass of disgusting waste that flies past the people’s attention with such velocity they can’t recognize it for what it is, and blithely assume its place and importance is being handled by somebody else, and let it go by unchallenged—Author.
Chapter 67: The Last Temptation: Compulsory Care
The number-one contrivance in the socialists’ bag of tricks is popular, enticing, addictive, and fools most of the people most of the time.
The most important survival lesson from history is this: Having problems in common always works—having things in common doesn’t. From Rome’s free bread to Jamestown’s common storehouse, each attempt at “all things in common” has failed.
Whenever the seven pillars of socialism are applied to basic welfare needs, an amazing breakdown of judgment overwhelms common sense.
First, welfare cultivates a sense of entitlement. Recipients become addicted to the regular and timely handout, and adopt assorted and blurred conclusions that, somehow, society owes them everything—food, clothing, medicine, shelter, employment, disability help, retirement, disaster relief, etc.—they eventually demand it as a right.
Second, welfare is circular. As the payouts grow, the tax burden on everyone else also grows. With shrinking profits, businesses suffer and turn to cutting back and laying off workers. The unemployed are then let loose into a community with no income source, so they go to the government offices and apply for welfare. Increased welfare rolls require more funding, so, taxes must rise, and that makes more unemployed, and it repeats—it’s a snake eating its tail.
Third, state welfare lifts the weight of personal responsibility and corrupts the innate sense of compassion from individuals. This puts the chore of caring for the needy right on the doorstep of that innocuous, faceless and soulless entity called government.
Fourth, state welfare leaves the poor with little incentive to improve their situation because their basic needs are being met. A free ride through life doesn’t help people in the long run—it destroys their greatest capacity to learn and grow. That’s what Benjamin Franklin discovered during his difficult years in Europe—
Chapter 68: Franklin Speaks ...
Benjamin Franklin did more than talk about welfare—he lived it.
Benjamin Franklin was a “have not” in England for several years. He was an eye witness to compulsory welfare in action—and had a lot to say about its failings.
Writing to his friend, Franklin said, “I have long been of your opinion, that your legal provision for the poor [in England] is a very great evil, operating as it does to the encouragement of idleness. We have followed your example, and begin now to see our error, and, I hope, shall reform it.”458
Addictive Welfare Not Natural
The Christian ideals of helping your neighbor were already a part of the American culture in the 1700s. Franklin and the Founders believed helping others was not someone else’s job, it was everyone’s. But it must be dealt with in the correct way, Franklin said—
“To relieve the misfortune of our fellow creatures is concurring with the Deity; it is godlike; but, if we provide encouragement for laziness, and supports for folly, may we not be found fighting against the order of God and Nature, which perhaps has appointed want and misery as the proper punishments for, and cautions against, as well as necessary consequences of, idleness and extravagance? Whenever we attempt to amend the scheme of Providence, and to interfere with the government of the world, we had need be very circumspect, lest we do more harm than good.”459
Helping, Not Hurting
Franklin said the poor are not led out of their problems by giving them easy handouts. The goal must be to help them help themselves until they are on their own feet. Too much help achieves precisely the opposite.
“I am for doing good to the poor,” Franklin said, “but I differ in opinion of the means. I think the best way of doing good to the poor, is not making them easy in poverty, but leading or driving them out of it. In my youth I travelled much, and I observed in different countries, that the more public provisions were made for the poor, the less they provided for themselves, and of course became poorer. And, on the contrary, the less was done for them, the more they did for themselves, and became richer.”
Four Flaws in State Welfare
Franklin taught that state welfare is always counterproductive. His personal experience led him to identify four major flaws:
Chapter 69: Bastiat speaks ...
Reckless welfare corrupts everyone and everything.
Frederic Bastiat was a gifted writer who could clarify in simple terms an amazing array of complex ideas. He issued the following cautions about welfare in 1848, the same year Marx and Engels published their Communist Manifesto. Bastiat warned that Marx and Engel’s ideas about levelling are old, tired and dangerous traps that ruin people and destroy economies—
“[The socialists declare] that the State owes subsistence, well-being, and education to all its citizens, that it should be generous, charitable, involved in everything, devoted to everybody; ...that it should intervene directly to relieve all suffering, satisfy and anticipate all wants, furnish capital to all enterprises, enlightenment to all minds, balm for all wounds, asylums for all the unfortunate, and even aid to the point of shedding French blood, for all oppressed people on the face of the earth.
“Who would not like to see all these benefits flow forth upon the world from the law, as from an inexhaustible source? ... But is it possible? ... Whence does [the State] draw those resources that it is urged to dispense by way of benefits to individuals? Is it not from the individuals themselves? How, then, can these resources be increased by passing through the hands of a parasitic and voracious intermediary?
“Finally ...we shall see the entire people transformed into petitioners. Landed property, agriculture, industry, commerce, shipping, industrial companies, all will bestir themselves to claim favors from the State. The public treasury will be literally pillaged. Everyone will have good reasons to prove that legal fraternity should be interpreted in this sense: ‘Let me have the benefits, and let others pay the costs.’ Everyone’s effort will be directed toward snatching a scrap of fraternal privilege from the legislature. The suffering classes, although having the greatest claim, will not always have the greatest success.”464
464 Frederic Bastiat, Justice and Fraternity, in Journal des Économistes, June 15, 1848, p. 319.
Chapter 70: The Twisted Roots of Modern Welfare
Several centuries before Franklin and Bastiat, the foundations for state welfare were laid in the wake of a deadly plague. It was a desperate time in the 1300s—what was a king to do?
The Black Death did more than kill millions of people around the world. It also inadvertently killed Europe’s fabric of private compassion, a safety net for the needy that had been developing for many centuries. This fascinating tale of twisting intrigue, collapse, and interwoven collisions of freedom and force had its beginning after Rome collapsed.
A Millennia of Good Works
Soon after the fall of Rome in A.D. 476, various religious aid societies took on the role of civic humanitarians for Europe. They lent a helping hand at the most intimate levels of people’s lives—helping the needy, keeping order, attending to marriages, baptisms, child births, burials, local elections, and giving food, shelter, clothing, financial aid, sometimes employment, sometimes education, and sometimes protection and public safety. Not all at first, but over time, society’s fabric grew strong enough to bear the burdens of caring for one another voluntarily.
As the centuries passed, these activities were institutionalized in the Roman Catholic Church and in its thousands of representative parishes scattered all over Europe.
Journeying toward these well-propertied stone edifices, the faithful gathered to petition God’s clerics to have their eternities massaged and secured, and their mortal probations cleansed of impurities—for which they were willing to pay a tithe. These accumulated funds provided food for the poor and helped expand Church-owned estates, influence, and ever-increasing wealth.
Church Infighting Leaves a Lasting Weakness
At the very root of modern-day welfare is a break in relations between the Roman Catholic Church and its flocks, starting in the 1300s. It began with the new pope, Clement V, a Frenchman who took office in 1305.
With Rome engaged in local uprisings, Clement V decided the city was dangerous to live in, and chose to stay at Avignon, south of ancient France. The Roman cardinals wanted him to move to Rome for fear he was vulnerable to corruption and collusion with the French king. Clement V refused, and so began the “Babylonian Captivity of the Papacy.” The schism lasted through 67 years and seven successive popes until 1376.
Black Death Changes Society
Meanwhile, King Edward III had a complete disaster on his hands and didn’t know what to do. The Black Death had recently indulged its horrific rampage from A.D. 1348-1350, taking millions of lives from all across the continent. England suffered tens of thousands dead, 30-40 percent in most villages, and more than 80 percent in others.465 London lost at least 35,000 of its 60,000 inhabitants.466
Sporadic outbreaks of the plague that followed are said to have precipitated a death toll of 50 million out of an estimated 80 million in Europe. Worldwide, perhaps as many as 100 million died.467
Across the grassy knolls of England’s farmlands, landowners found themselves in a terrible strait. A significant portion of the farmhands who had reliably worked the land year after year were now dead. They were the backbone of England’s agricultural prosperity. Without their help, much of the farmland went fallow. Herds of cattle wandered untended. Farm production fell off, food prices rose, and landowners were left desperate to make an income.
To entice those few workers who were available, landowners competed against each other by offering higher wages, more benefits, and promises of future prosperity. They were good capitalists and passed along these higher wage costs in the form of higher food prices. So began a period of medieval inflation.
Increasing food costs wasn’t helping King Edward rebuild the country. As he went groping about for some workable solutions, he detested the sight of relatively healthy people loafing around the street corners, begging for handouts. At a time when farm help was so desperately needed it was outrageous to let capable laborers stand about living off the dole and doing nothing.
As the plague abated in 1349 and 1350, King Edward dealt with the loafers by passing laws that forced them to go to work—or else. He also tried to force wages and food prices back to the same levels before the plague. These changes gave temporary help but not a permanent fix. More laws were added to prevent workers from moving around to other jobs, a transience that was creating havoc.
Schism in Church Mortally Wounds Compassion
A second round of Church discord was triggered in 1378 when a fight over divine authority broke out in Rome. In protest, the newest pope, Gregory XI, packed his bags and returned to France. For 30 more years the French popes resisted any form of Roman authority, but unlike the previous schism, this time, almost everyone in Europe considered the French popes to be illegitimate and in the wrong.
The battle for authority was finally settled at the Council of Constance in 1414-1418. Rome won the tug-of-war, and the papacy was returned to its historic home in Italy.
Legacy of Holy Opulence
For centuries after Rome’s fall, the Church worked to fortify its presence wherever it could with massive landholdings, large stone cathedrals, and an involvement in everyone’s day-to-day affairs. Over time numerous social imbalances appeared such as many of the nuns and clergy enjoying a standard of living far superior to that of the impoverished masses. The poor watched this with envy and discontent. Opulence in the name of Jesus became a dangerous sore spot, and reformers started rallying support for change. They challenged the Church to return to its more humble roots and practice that universal simplicity as originally taught by Jesus.
England’s poor found a political voice for their frustrations in King Henry VIII (1491-1547) and his young son, Edward VI (1537-1553). These Highnesses and other aristocrats decided the suffering and oppression by the Church had continued for too many centuries and it was time to fleece it of its power and wealth.468
Europe’s monarchs liked the idea of raiding the churches. The kings had tremendous economic burdens to carry—armies to raise, ships to construct, fortifications to build, lavish lifestyles to maintain, plus bribes and rewards to buy loyalty from the faithful. The temptation to finance that by leveling the Church was popular.
So began the continent-wide plunder of the Church in the late 1400s. No longer were the Church’s vast landholdings safe. The sanctified opulence that reclined unmolested and sheltered behind the cross for so many centuries whetted an appetite for confiscation.
In the beginning the Roman Catholics cheered the monarchs onward to absorb the properties of the “apostate” French popes and their followers. They cheered more as the confiscated buildings were eventually put to good use as colleges and universities.
But then—the kings turned on the Roman Church itself.
Printing Press Fans the Flames
In the mid-1440s, Guttenberg’s new printing press invention had caught everyone’s attention and took Europe by storm. By the 1500s, the press was warmly welcomed by England’s religious reformers who used it as a missionary tool to more quickly spread their discontent through religious tracts.
The press also undermined the monasteries’ most valuable service: penmanship. The monarchs often turned to the monks and priests to reproduce important proclamations and manuscripts. Such work came faster and cheaper with the new press. The old fashioned hand work was, by comparison, too slow and expensive. People began to wonder, for what else are these monasteries useful?
Anti-begging Law Passed in 1495
As turmoil and economic trouble dragged on across Europe, England’s Parliament continued having trouble kick-starting the economy. They gave it one more try with an Act that made begging even more illegal. Anyone found loafing around, refusing to work, or otherwise suspected of loafing, could be put in stocks for three days and fed nothing but bread and water. After the humiliation, the convicted were escorted out of town.
Pope Tries to Salvage the Church’s Public Image
It didn’t take long for the pope to see the writing on the wall. A big rebellion was swelling and something needed to improve. He issued a few reformations in 1518, hoping to calm things down but these didn’t pacify the vast masses of peasants for very long.
In 1529, King Henry stepped in and forced the pope to backtrack a few steps more. Among other things, Henry had Parliament impose caps on the fees that the Church was charging for services such as burials, and put a limit on the “right of sanctuary” by criminals seeking refuge behind Church walls.
Dismantling of the Monasteries
Then came Martin Luther. In 1517, the legendary reformer penned his complaints against the Church, a document now known as the 95 Theses, and nailed it to a church door in Wittenberg, Germany.
But that wasn’t all. Four years later, in 1521, Luther produced another document, “On the Monastic Vows.” He outlined from the Bible how institutions such as the monasteries had no basis in scripture, and the tyranny they exercised over the people certainly didn’t support the true teachings of Christianity.
Luther’s ideas were appealing to the masses and Guttenberg’s press helped spread them like fire. Intentional or not, he supplied Europe’s monarchs with the biblical permission needed to justify dismantling the various monastery institutions—the larger abbeys, the medium-sized priories and nunneries, and the smallest, called the friary. England, France, Sweden, Denmark, Germany, and Switzerland joined in the nationalization of Church properties.
Confiscating property forced the clergy and nuns to move out, sell their lands, congregate in larger cities, get married, and otherwise blend into society.
When King Henry took England’s throne in 1509, he appointed Thomas Cromwell as chief minister in charge of the daily affairs of the Church. In 1535, Cromwell decided to tighten the Crown’s grip on the religious orders and announced an inspection of all 830 Church properties that dotted the landscape throughout England and Wales.
In times past, such inspections had been conducted by a higher member of the clergy. But not this time. Cromwell had other plans in mind—he thought it an ideal opportunity to also take a census so he could start taxing Church property.
With the surveys in hand, Cromwell was ready to make his move. In March 1536, Parliament passed a law declaring that any monastery making less than £200 a year had to be dissolved and all the property turned over to the king. Some 300 religious houses failed and had to shut their doors immediately. Those with the right government connections earned a reprieve, and for the cost of a year’s income, they could stay open. About 60 or 70 managed to survive.
Let the Legal Looting Begin:
When Parliament’s decree was passed, government agents were sent to the religious houses to confiscate all precious treasures—gold, silver, bronze, lead, paintings, books, anything that could be of value to the Crown. The metals were melted down for His Highness, and as for the remainder, the locals were given free rein—furnishings, fences, windows, bricks. In short order, the churches were reduced to the classic ruins that today lie strewn all across the English countryside.
By 1541, more than 800 monasteries had been closed. Ten years later, most of the associated religious guilds, hospitals and almshouses were also closed. That made the dissolution complete.
Nobody Remaining?
Left in the vacuum of this levelling and consumption were the ever-present needs of the poor, the needy, and the homeless. Who was going to take care of them now? The dissolution did more than turn vast resources of wealth over to the king—it also destroyed the institutional fabric of Europe’s “good Samaritan” society. Along with the opulence of the Church’s wealth, the move also destroyed the network of human compassion, the helping hands, the epitome of Christian charity originally intended to help those in need.
Human Welfare Becomes Government’s Job
The vacuum left by the rejected Church was poorly filled in England. Parliament eventually launched numerous attempts to resolve the problems, and these became known as the Poor Laws that were piled up for three centuries, from the 1500s to the 1800s.469
Where Have All the Caring People Gone?
England’s population was swelling during the 1500s, and so were its problems—jobs were scarce, the king’s coins were losing their value, and grain prices were skyrocketing. In fact, grain prices tripled from 1490 to 1569, and jumped another 73 percent by the time English colonists were sent to settle Jamestown in 1607.
On top of the rising prices, England suffered through four crop failures in a row (1595, 1596, 1597, and 1598), almost driving the country into widespread famine. These problems pushed the number of welfare recipients higher every year.
Centuries of Poor Laws
For more than 350 years, England’s evolving Poor Laws were the guiding rules for every assorted welfare problem that came along. The shift from compassionate human welfare toward state-run welfare did not significantly re-invent itself after those beginning years except in degree. Coverage was expanded and taxes were increased to pay for more handouts, but the underlying philosophy remained the same: we the rulers will take care of you. For example—
By the early 1800s, the Poor Laws were extensive. So many of life’s difficulties were covered that the public viewed Poor Relief as a personal God-given right. They were happy to indulge in the entitlements and avail themselves of the state storehouse handouts.
What Does This Have to Do With Socialism?
The first pillar of socialism is an all-powerful ruler. Welfare, health care, pensions, insurances—any government sponsored care—cannot be dispensed without the power to extract taxes whenever needed to support all of those costly and assorted expenses.
This can only work if the people are made dependent on the government for that level of help. Once they are “made weak,” as the ancient Chinese did, then the ruler is assured perpetual power. The welfare recipients will never vote it away, they are too dependent on it. The rich will never vote it away, it calms their conscience. The middle class will never vote it away, it relieves them of the bother and financial strain to help others. With everybody looking at their feet as the poor extend a hand for help, few are looking up to see that over the horizon lay untold solutions that an unhampered free economy might bring, such as more employment and higher wages that would result if taxes were lower and regulations were tamed.
A government promising a never-ending flow of welfare help will always be sustained by the recipients. It’s the same ages-old corruption at play: tax-tax, spend-spend, elect-elect. It is socialism.
465 Suzanne Austin Alchon, A pest in the land: new world epidemics in a global perspective. University of New Mexico Press. 2003, p. 21.
466 Barney Sloane, Black Death in London, The History Press Ltd., 2011.
467 See Ole J. Benedictow, The Black Death, 1346-1353, The Complete History, 2004.
468 See Geoffrey Baskerville, English Monks and the Suppression of the Monasteries, 1937; and Alexander Savine, English Monasteries on the Eve of the Dissolution, 1909.
469 See Paul Slack, The English Poor Law, 1531-1782, Macmillan, 1990.
470 The Pictorial History of England, Vol. 2, 1839.
471 R. O. Bucholz, Newton Key, Early Modern England, 1485-1714, p. 176.
472 Paul Slack, The English Poor Law, 1531-1782, 1990.
Chapter 71: Modern Welfare Born in Prussia
Bismarck knew all about tax-spend-elect—he made it work in Germany and everyone wanted to copy him.
It was 1794, and the Prussian states were finally ready to unite their fiefdoms into a single nation. They wanted to stamp out the last remnants of feudalism and protect the average citizen from the ancient order of arbitrary law-making by local princes.
Their new constitution in 1794 was supposed to do just that—create a single new nation. But what a document! The king expanded it to preempt every possible legal contrivance whereby his many judges might attempt to gain personal advantages. In the end, the king’s constitution was an unwieldy tome of 17,000 paragraphs.
The people were excited about the new country. Impoverished immigrants started pouring across the borders to begin their new lives. As the people jammed into the cities, a new problem erupted: masses of unclean and diseased people all pushed together in slums. And just that fast, a plague of new outbreaks of disease appeared—smallpox, malaria, tuberculosis, typhoid fever, dysentery, influenza, the “sweating sickness,” and others.473
What does a country do to stem the explosion of rampant disease? While Prussia hunted for a solution, a similar problem was developing in neighboring Bavaria. In 1811, Bavaria decided the best answer, next to driving the poor away, was to force them into preventative health care.
The Bavarian government picked two dozen towns as an experiment, and made it mandatory for the poor to pay a modest but regular insurance premium. In exchange, they received “free” medical care in local hospitals. This way, the spread of disease could be arrested with preventative care, a degree of hygiene and cleanliness could be introduced into the slums, and the rest of the population could find protection from the spread of sicknesses.
The idea seemed to work. Other Europeans soon copied it.
The Prussians liked this idea, too. Some 25 years later they did the same thing and started preventative medical care for the same reasons. Their system wasn’t strictly government-supported. Volunteers pitched in to contribute to basic health and sanitary needs—clearing the streets and alleyways of garbage, making sure the dead were buried, inspecting the food, ensuring the water supply was clean, and to see that waste-water was safely carried away.474
By 1845, the diseases and problems of the poor in Prussia were brought under control. The Prussians decided to expand mandatory health insurance to the entire nation, and created a national health insurance.
Meanwhile, the German monarchy watched these developments with great interest, wondering aloud if compulsory insurance could work for them too.
Germany’s Chancellor Otto Van Bismarck (1815-1898) had a problem growing among his people. One the one side, the socialists in Prussia was happily turning national treasure loose to support national health care. And, across the border the other way, the socialists in France staged a nine-week revolt in 1870-71 for the same health care benefits. The French called it their Second Commune, and tried to overthrow the government. French troops put down the revolt, killing about 50,000 in the process. The slaughter sent a shock wave across Europe as monarchs wondered, could that happen here?
Over in Germany, the German Social Democrats were winning huge followings to their cause. Their platform was popular. They called for common public ownership of capitalism and private factories. They demanded improved working and living conditions, safety inspections of mines and factories, and other changes. But more than that, they called for a revolution against the status quo—an overthrow of leadership, the disposal of Emperor Wilhelm I.
The conflicts led to two assassination attempts on Wilhelm I. He survived both, and blame was quickly directed toward members of the Social Democrat party. The government vowed to retaliate against the socialists’ violent tactics.
Anti-Socialist Laws
Bismarck struck back in 1878 by passing the Anti-Socialist Laws. Any group, he said, that promoted socialist principles was henceforth banned. Trade unions were outlawed. Some 45 newspapers were closed. Many socialists were arrested or expelled, and their agitations were silenced—for a while.
With the socialists put underfoot, Bismarck could then turn his attention to other problems. One of those was a shrinking population of thinkers and leaders. The people were clamoring for the ideas the socialists had advanced, and out of frustration, many were leaving for a land where they could have more freedom and prosperity. They were going to America.
The Brain Drain
One of Europe’s frustrations in the latter part of the 1800s was the lure of American prosperity. Many of Europe’s best and brightest emigrated away for the chance at freedom and wealth, and Germany was losing tens of thousands. In one year alone (1882), more than a quarter million emigrants—250,630—pulled up roots and left their homeland to settle in the U.S.
Bismarck needed to kill several birds with one stone. That’s when he came up with a plan to out-promise the socialists, out-promise the alluring temptation of life in America, and sweeten the pot for living in Germany. The idea he launched was national insurance—state welfare of the highest order. “Stay home in Germany,” was the plea, “and look at how we’ll take care of you.”
The First State Welfare Program
At the core of Bismarck’s welfare plan were three new programs:475
Did Bismarck’s insurance scheme work? Absolutely. By 1898, emigration had plummeted to 17,000, and continued to shrink from that time forward.476
Power, Not Philanthropy
Were the socialists happy that Bismarck’s ideas precisely mirrored what they wanted? Not at all. They hated his socialistic programs.
They believed that his handouts took all the foam and steam out of their great proletariat uprising. The socialists wanted discord to spread. They were anticipating Marx’s prophecy that one day the angry and frustrated workers would rise up in spontaneous revolution against capitalism and set up the new socialist society. How could that great change in society ever materialize if “evil” leaders like Bismarck made life too soft and too easy? How could they convince German workers to rise up and fight against cushy security and handouts and safety nets like that?
Even though Bismarck’s compulsory insurance was socialism in action and should have been celebrated by the socialists, it wasn’t. Their actions betrayed a true desire—a desire to acquire power under the guise of helping the common man with fantastic government handouts.
As a result, whenever the socialists could win seats on the Reichstag, they would go to work to defeat Bismarck’s programs. It was their goal to smother Bismarck’s attempted bribe of the working class.
Bismarck’s government labored for six years to implement his state welfare ideas. For the rest of Europe, Germany became the model. Its compulsory insurance laws were emulated all over the continent, and eventually, the world. They became the foundation for today’s modern welfare state.
473 See for example, Stephen J. Kunitz, Making a Long Story Short: A note on men’s height and mortality in England from the first through the nineteenth centuries,” 1987; and Felinah Memo Hazara Khan-ad-Din, Common Misconceptions about Medieval England, 2003.
474 See citation in Fritz Dross, The Price of Unification—The Emergence of Health & Welfare Policy in Pre-Bismarckian Prussia, footnote 21 and 22, pp. 31-32.
475 Hajo Holborn, A History of Modern Germany—1840–1945. 1969. pp. 291–93.
476 U.S. Dept. of Commerce, Historical Statistics of the United States, Colonial Times to 1970, ser. 95, at 105 and 106 (1975).
Chapter 72: The Roots of American Welfare
The creeping temptation to extract the cost of welfare from the ordinary citizen found an early home in the land of the free.
There was a day in early American history when the government kept its distance. Those in charge left the people alone to go about their business and take care of themselves. If business made someone successful, he or she was free to buy and hire, sell, and invest. The money flowed down from the “haves” to the “have-nots” in the form of jobs, buying, selling, investing—in short, America’s government stood back so the free market and capitalism were left to themselves to grow and shrink, to adjust and re-tool as needed in freedom, endurance and efficiency.
The spirit of the times was pioneering: Stand on your own feet, make your own way, create your own value, work hard, work harder, and rise as high into the economic and social stratosphere as your creativity could lead you.
Self-sufficiency was viewed as a mandate from God—to earn your bread by the sweat of your face; to support those dependent on you; to give liberally to strangers in need. Strong Christian principles governed the spirit and tenacity of many early American settlers.
Letting Go of Freedom
A major shift in that American culture took place when the Civil War erupted in 1861-1865. For a long time there were unresolved questions about the proper role of government—did the federal government have authority to draw its own lines in the sand separating its powers from the states?
After the war, any lingering questions about the supremacy of the federal government were answered. States couldn’t secede, and the federal government could wield heavy control.
The balance of power had shifted. No longer was it hands-off management, but it grew toward direct involvement in local responsibilities. Suddenly, the federal government had to have its hand everywhere—stretching the Constitution’s original intent to paper thin.
At first there were only a few innocent intrusions over that line, intrusions that seemed safe and were not challenged.
In 1861, for example, the government established the U.S. Sanitary Commission to help sick and wounded Union soldiers. The Commission had all the trappings of a private organization—it was self-funded, was run by thousands of volunteers, and was effectively filling in where the military fell short. It raised $5 million and delivered another $15 million in donated supplies. It help saved untold thousands of lives. For all of this valuable good, no one felt threatened that the federal government had violated states’ rights.
Uneven, Unfair, Unconstitutional Land Grants
In 1862, another precedent was set by way of the Morrill Land Grant Act. The Act set aside 30,000 acres of federal land for every senator and representative in each state. The federal goal was to get this land into the hands of the states so they could sell it to build colleges. The larger states loved this idea—it gave them a great deal more to work with.
It was a huge shot in the arm for better access to higher education, but the grants were unequal. For example, states with too little federal land were authorized to take their 30,000 or more acres from another larger state—usually in the west—and sell it off for cash. Westerners howled over this unfair federal usurpation.
The Land Grant Act was first passed by Congress (1859) during President James Buchanan’s administration. He vetoed it as unconstitutional and as an unfair redistribution of national resources. And then came new elections. The Land Grant Act was re-submitted, and President Lincoln signed it into law on July 2, 1862.
By the time all the dust settled, the Land Grant Act had re-distributed 17,400,000 acres and raised $7.55 million.477
Another subtle federal encroachment into states’ rights was the Freedman’s Bureau (1865-1872). This was a federal welfare program established to care for freed slaves. Lincoln wanted it to last only a year, but it proved so valuable by supplying food, housing, education, health care, employment, and badly needed resources to reunite families that the expiration date was extended.
How could so much positive be considered negative? The problem wasn’t the fact the programs were supposed to support the war, build college campuses, or feed and house freed slaves and their families. The problem was the federal government stepping into areas it was forbidden to touch—economic and cultural issues reserved to the States.
The transition from “business as usual” and a hardly-noticed federal government into a totally new creature, was snowballing by the turn of the century. Suddenly, people expected and demanded the federal government to provide all the answers to all their problems.
The Old Ideas Return As New
Swirling beneath the upheavals and evolutions and disruptions across nations and war-torn America in the later 1800s was a budding new philosophy that promoted top-down government control to force, manage, and regulate all resources toward common goals.
People thought this was a new idea, a great idea, an evolved idea well suited to the industrial revolution underway around the globe. The political science seemed new and the books and pamphlets all said it was new. Strong central governments controlling the resources of prosperity—yes, socialism as usual—was sold as the new way of the future.
Can’t Trust the People
Running parallel to this thrust toward Ruler’s Law was an undercurrent of finger pointing. There was a growing sense that “it can’t be my fault.” Agitators pushed the perspective that the world’s woes were no one’s fault—individuals couldn’t possibly be at fault for the miserable nightmares unfolding to their left and right. At fault, the new philosophy declared, was the “system.” The system was broken. The system must be changed. The system must be overthrown and replaced.
Socialists of all stripes and backgrounds were calling for change, many of them pointing to the “enlightened” teachings of socialists Bentham, Mill, Marx, the Fabian Societies, and finally the Progressives in 1900, for economic and moral guidance. These new prophets of prosperity had risen to take their places in the world, all of them chanting in unison, change the system. But, change it to what? The first step to answer that was to gain control of the economy, and that lever rested with just one thing: national welfare.
Learning to Recognize Socialism
Part XII--THE LAST TEMPTATION, PART 2: HEALTH CARE
“All modern dictators believe in coercing people into governmentalized medicine.”
477 Michael L. Whalen, A Land-Grant University, 2001.
Chapter 73: Death by National Health Care
“All modern dictators have at least one thing in common. They all believe in Social Security, especially in coercing people into governmentalized medicine.”—Melchior Palyi
Providing health care is not an enumerated power of the U.S. government. It is not on the list of permissible activities in Article 1.8. Regardless, the U.S. began around the New Deal period (1930s), to go down the path of welfare, health care, and the perpetual economic upheaval and suffering such ideas always bring.
Dr. Melchior Palyi, an American of Hungarian descent, astutely observed, “In democracies, the Welfare State is the beginning, and the Police State the end. The two merge sooner or later, in all experience, and for obvious reasons.”478
The “obvious reasons” Dr. Palyi cites include:
Health care is not a right, it is a luxury. The private market does a far superior job of providing the highest level of health care because it has built-in incentives. The better the services, the more likely the patients are to visit a modern facility and spend their insurance dollars there. Hospitals and clinics where mistakes, inefficiencies, outdated equipment, aging facilities and antiquated processes go unchecked or ignored will discourage foot traffic and keep the affluent people away—and their dollars.
The inequalities are what socialized medicine seeks to rectify. The very process of seeking equality with national health care gives government enormous power over national economies. It is indeed the last and greatest gateway whereby Ruler’s Law can impose the will of the rulers to the most extreme degree.
478 Melchior Palyi, Compulsory Medical Care and the Welfare State, 1949, pp. 13-14.
Chapter 74: Top Six Flaws of Universal Health Coverage
The flaws are inborn, inescapable and fatal.
The frantic cultural dash that begins with government medicine and ends with the welfare state is too long and too slow to recognize—and that’s the trap.
For years—maybe a couple of generations or more—the positives of universal health coverage appear to outweigh the negatives. Enthusiasm charges the decision makers with resolve to edge ever-closer to the brink of some fantasy world of health-care utopia.
An amazing phenomenon unfolds along the way: everything becomes unimaginably more expensive. The people want more, the doctors want more, the managers want more. The resources shrink, the quality suffers, the complaints increase, the dissatisfaction grows, and then the system’s bloated, seething, unwieldy enormity—unable to collapse, explode, exhaust or congeal—simply imbloats.479
When this happens, politicians sound the alarm and threaten to raise taxes, cut expenses, reduce services, screen out the extremes, and finally settle on the typical, usual, normal default solution: Get out your wallets, everyone, you must pay more.
Missed in these frequent fire drills is the best solution of all: let the free market prevail—it solves issues faster, better, and with more innovation, better service, and competition that drives the costs down.
Unfortunately, suggestions such as free-market solutions are anathema and sacrilege to the socialist’s brain. Instead, a cacophony of assurances is persistently foisted on the national dialogue, seeking cultural triteness through blissful slogans and chants: “New Deal!” “Great Society!” “Hope and Change!” “Forward!”
But, in the end, nothing rescues—and the six flaws remain.
A bottomless treasure of government insurance creates its greatest flaw in over-use or “use abuse” to the point of self-destruction. It creates an attitude of, “Because it’s free, take all you can get.” This human phenomenon is best illustrated by Garrett Hardin’s The Tragedy of the Commons.480 In this classic 1968 economic parable, Hardin meant to promote population control. However, he also showed how socialism failed to serve his fictional group of cattle herders.
Things in Common: The story starts with Hardin’s herders sharing a pasture in common. Naturally, each man works to keep as many of his cows grazing there as possible. Over the decades, wars, theft, and disease keep the numbers of man and beast well in check, so the pasture manages to carry the same load of animals for centuries.
And Then Peace Arrives: With the wars over, each herdsman decides that to advance himself, to grow his prosperity, he will bring one more cow to graze. This seems to work well, so he decides to add another, and then another. He is not unique in that pursuit—all other herdsmen do exactly the same, for the very same reason.
Suddenly, there are a lot more cows grazing the commons than were initially anticipated.
Ruining the Commons: In a few short weeks, the grassy green meadow is reduced to a barren overgrazed patch of brown muddy waste. Had the commons been divided among the herdsmen, each man would have tended his place with an economy of care, protecting it from overgrazing so it would serve him in the future. Without specific ownership, assumption of equal access is used to advance self-interest. With each herder so engaged, the property in common is ruined for all. Socialized medicine is no different—it’s all about use abuse.
Examples: The destruction from “overgrazing” the benefits of free or subsidized health care can fill volumes. Some samples:
California: In 2004, a report revealed that 250,000 California adults and 60,000 children use high-cost emergency rooms for their regular, routine medical care. The ER costs are about six times those of a regular doctor’s office visit.482
Georgia: In 2006, Northeast Georgia Medical Center’s emergency department had 97,000 visits. About 26,000 were non-emergencies, and 40,000 had to be written off because the patients didn’t pay the bills.483
Texas: In 2009, an investigation revealed that nine people made 2,678 visits to an Austin, Texas emergency room over a six-year period, costing taxpayers $3 million. Some of the diagnostic bills totaled $20,000 in one visit. Of the 750,000 under-insured in the surrounding region, 900 were frequent users who racked up 2,123 preventable visits in 2009 costing taxpayers another $2 million.
Given enough time, “free” government care brings out the worst in people. It creates dependency, fear and panic in otherwise good and honorable people. A spirit of consumer frenzy is one of the private shambles resulting from socialized medicine, for example—
Austria: A woman from Vienna was quoted in 1962: “My man and I are seldom ill. We were used to sending our Krankenscheine (sick tickets) to one particular doctor. We considered him our family physician. We wanted to help him. Every three months as we got the tickets I would send them to the doctor whether we were sick or not. Everybody does it. Then one day I really needed a doctor. I had an infection in my eye and he swabbed it out. Then he told me, ‘Don’t think that your two tickets are enough for this treatment. Send me your father’s ticket, too.’”484 Greed knows no loyalty.
United States: Howard E. Kershner, the editor of Christian Economics, reported on a personal experience with the free-for-nothing attitude: “Many people still believe that money from Uncle Sam is free and costs nobody anything. That’s why otherwise honest people seem to have no conscience about the charges they run up against Medicaid and Medicare. It is widely believed that some druggists and doctors join in the scramble to get as much as they can of Uncle Sam’s ‘limitless’ money.
“The writer went recently to buy a wheel chair for his wife, who had an injured knee and ankle. He picked out a good serviceable chair, but the dealer urged him to buy a far more costly one, saying, ‘Medicare will pay 80 percent of it, so why not have the best?’ We replied that we did not want to take advantage of the public even by reporting that we had purchased the chair. To this the dealer replied, ‘You’re very foolish. You’ve been paying in all your life, so why not take the benefits?’
“That spirit is rampant in America today and it is growing at an astonishing rate of speed. The more socialistic measures we adopt, the more we centralize the government, the more opportunity there will be for individuals and especially strong pressure groups to wangle more and more money out of the taxpayers ...”485
United Kingdom: Dr. E. Lloyd Dawe, formerly with the NHS, wrote in 1961 regarding his decision to move his practice to America. “A curious demand came one day in London from a patient of mine, a middle-aged factory worker. He wanted me to prescribe for him ten pounds of absorbent cotton, which is used in packing open wounds and which could be ordered almost free under Britain’s program of nationalized medicine. ‘What on earth do you want with that absorbent cotton?’ I asked. ‘I want to restuff a sofa,’ he replied.
“When I refused to approve this improper request, he angrily threatened to withdraw his whole family of six who were my regular patients. This attitude of disdain for the British health-care program and the doctors who serve under it became widespread soon after the National Health Service was established in Great Britain. It is only one—perhaps the least important—of the potential dangers America faces if a system of nationalized medicine is adopted in this country.”486
In 2013, the world’s media watched in breathless anticipation as Kate Middleton awaited delivery of her baby, a royal heir standing third in line for the throne. Instead of using Britain’s hugely promoted and highly touted (but failing) socialistic National Health Services for the historic event, she went to the privately funded Lindo Wing of London’s St. Mary’s hospital for the better services offered there.487
Sweden: On the ten year anniversary of Sweden’s compulsory health insurance, U.S. News & World Report said, “...The present system is proving anything but a clear-cut success. The average patient here finds his situation is worse rather than improved. It is more difficult for him to get a doctor. He must wait longer to get into a hospital. And he may be forced to leave the hospital before he is medically ready for discharge. The shortage of nurses is acute.
“Over-burdened doctors must turn away thousands of patients annually—many of them old people who badly need medical care ... these crippling shortages are the result of vast increased demands for medical services since the start of Medicare, Swedish authorities say. They point out that since 1950 the total number of practicing doctors has doubled, the number of nurses has nearly doubled. The number of hospital beds has increased by more than 25 per cent. During the same span, population has gone up less than 10 per cent. Yet shortages grow worse ... Everyone, young and old, is demanding more medical services, now that it is free ....”488
Soviet Union: Famed Soviet nuclear physicist Andrei Sakharov was outspoken about the broken Soviet health system. He told American reporters, “The deplorable condition of popular ... health care is carefully hidden from foreign eyes....”
Russian writer Alexander Solzhenitsyn expressed more of the same in his novel, Cancer Ward: “What does ‘free’ mean? The doctors don’t work for nothing, you know. It only means that they’re paid out of the national budget and the budget is supported by patients. It isn’t free treatment, it is depersonalized treatment ... You would be ready to pay goodness knows how much for a decent reception at the doctor’s, but there’s no one to go to get it. They all have their schedules and their quotas, and so it’s ‘Next patient, please.’”489
The resulting inferior care in Russia drove American embassy personnel out of the country. News reporter Allan H. Rvskind was in Russia for two weeks in 1974. He wrote, “American doctors in Moscow, in fact, are not high on Soviet health care and U.S. Embassy personnel advised us that they go to Finland or to other countries when they are hit by serious illness and have to be hospitalized. They go to Finland for the dentist, too ...”490
The dangerous possibility of failure constantly haunts the owners of privately-run clinics and hospitals. They must therefore work harder to achieve maximums, stay efficient, reduce waste, and encourage more customers with the lure of excellent quality care. Government operations have no incentive to achieve superlatives. They don’t have to worry about losing business, being closed, or a sudden collapse of funding. They have no real incentive to climb any higher than society’s legal minimums because the pay is the same, regardless of how hard they try.
Meanwhile, over in the socialized sector of Germany—the other 90 percent of the population—premiums are based on income. When the rich opt out, the remainder with lower incomes suffer through fewer resources, longer waits, and poorer service.492
Chinese law allows physicians to earn extra cash by selling pharmaceuticals. This gives them an incentive to overprescribe medicines—which they do. The lucrative drug market also tempts most medical school graduates to abandon medical practice and go straight to the higher-paying drug companies.493
The history of politicized, government-run national insurance programs shows that they repeatedly fail to reach an equilibrium with need. Growing population, new innovations and treatments, and longer life spans are all good things, but they also put more demand on insurances. Every time a government tries to intervene, the whole system slows down, bogs down, and finally breaks down.
Around the world, various incarnations of the bad idea have been mulching national treasure for decades. Some samples:
On the 30th anniversary of NHS, the British Medical Association reported there were too many defects in the system to list, and it was facing bankruptcy in 1978. Surveys revealed that the hospitals were outmoded, repairs were minimal, and modern equipment was lacking. Also, strikes were common and very long waits were typical.497
In 1987, Congress promised that Medicaid’s special relief payments to hospitals would never exceed $1 billion by 1992. It exploded to $17 billion.
In 1988, Congress promised that Medicare’s home-care benefits would slowly and predictably creep up to $4 billion by 1993. It blew past $10 billion.
In 1997, Congress promised the children’s health insurance program (SCHIP) would cost only $5 billion each year. Every year Congress must supplement it with hundreds of millions ($283 million in 2006, $650 million in 2007). In 2009, President Obama signed a $33 billion bill that would open SCHIP to four million more children and legal immigrants.500
In 2000, the Health Care Financing Administration estimated an increase of only 1 percent a year for children enrolled in Medicaid, growing from 22.6 million that year to 23.8 million five years later. It ended up at 29.9 million.
In 2010, the new so-called ObamaCare national health-care plan promised $569 billion in higher taxes, $529 billion in cuts to Medicare, 16 million new recipients of Medicaid, and creation of two bureaucracies, the “Patient-Centered Outcomes Research Institute” and the “Independent Payments Advisory Board” with power to ration the resources.501 As of this writing, government’s record of reliability on any project puts ObamaCare into the trillions of dollars projected to be squandered on a national, unconstitutional extravagance that the free and unhindered market clearly handles with greater efficiency. In 2012, the U.S. Supreme Court invalidated ObamaCare as an action permissible under the Welfare Clause in Article 1.8, but allowed it to stand under Congress’s power to tax—a legitimate power, the Court said. The Founders would not recognize the America that has been created by progressive congresses, presidents, and Supreme Courts that combined to bring about ObamaCare.
Regardless of how rigid or lax the controls are on socialized health care—be it dictated from Moscow, London, or Washington—people will always find a way to steal, abuse, or manipulate the system. Some samples:
Massachusetts: In 2009, Massachusetts taxpayers funded millions in false, bogus, or unnecessary procedures: $7 million in claims by non-Massachusetts residents (including foreigners); $18 million for fraudulent claims such as foot X-rays for headaches and gynecological exams for men; and $6 million wasted on duplicate claims.504
Kansas: A Kansas doctor and his wife were convicted in 2010 of illegally dispensing controlled prescription drugs, collecting more than $4 million from 93 different insurance companies. The doctor was found responsible for 68 deaths from overdoses over a six-year period.505
Detroit: In 2011, nine health-care professionals, with the aid of 12 others, filed false Medicare claims to the tune of $23 million for bogus home health care, psychotherapy, physical therapy, and podiatry.506
Los Angeles: Five people were indicted in 2011 for stealing $28 million from Medicaid with false claims for medical equipment and home health care.507
Brooklyn: Four health-care professionals with six accomplices were indicted in 2011 for submitted $90 million in false Medicare claims for fraudulent physical therapy, proctology, and nerve-conduction testing.508
Dissatisfied with their government-set fees, doctors and nurses began supplementing their income by demanding under-the-table compensation. These “informal payments” are the expected norm across eastern Europe. The degree of these informal exchanges is difficult to measure, but estimates made in 2006 include:511
Bulgaria: Doctors reportedly ask—and get—up to $1,100 to augment their average monthly salary of $100. As much as 80 percent of that extra cash reportedly comes from surgeries, thereby creating an incentive for excessive surgeries. These informal payments are now a way of life, averaging 4.4 percent of household income spent on medical care.
Czech Republic: Informal payments are not high because doctor’s salaries are rising faster than the rate of inflation. In 2000, five percent admitted they gave medical care in exchange for “something more” than a small gift.
Azerbaijan: An estimated 84 percent of all health-care expenses are “informal” and “under the table.”
Georgia: People pay out of pocket 70-80 percent of their health-care costs, and about half of that is “informal.”
Romania: Patients pay 41 percent of all out-of-pocket expenses “under the table.” A recent survey showed that 39 percent of those with high incomes paid under the table for health care, while 33 percent of the poor did too. The country adopted a national health insurance program hoping that would help stem the “deal making,” and forced everyone to pay monthly. This has not significantly reduced informal payments.
Kazakhstan: In 1991, the government promised that citizens did not have to pay anything out-of-pocket for health care. Within five years, however, a third of all doctor visits required both formal and “under the table” on-the-spot payments. The informal system extracted a greater price from those least able to pay. The poor spent 252 percent of their monthly wages for hospital care compared to the middle class, who paid 52 percent for the same service.
Lithuania: An experiment in freedom is bearing good fruit. Government permission for doctors to open private practices apart from the government is spreading. As the number of those practices increased, the number of “under the table” arrangements correspondingly decreased.
Czech: Similar to Lithuania, a new private sector is growing, and the line between government doctors and private doctors is sharpening. The private doctors make more money than their government counterparts—no surprise there—and the quality of care is superior.
Government Spawns Cheating: Desperate people will go to any lengths to get the things they want. The normal growth of bureaucratic institutions always leaves holes the desperate will exploit.
Socialized medicine and its many fatal flaws inadvertently generate an underground market of exchange, influence peddling, and outright theft. The free-market private insurance companies, on the other hand, are better motivated to protect profits, and are more efficient at catching abuse and dishonesty.
There is a misunderstanding about “panels” in the political dialogue of health care. Many Americans understand the panel to be a committee controlling medical decisions between doctor and patient—making life-and-death choices by restricting access to certain life-saving medical treatments.
In Europe, the traditional panel system is different. In the 1800s, workers formed voluntary associations to meet the needs of emergency illness or disaster. Control was local and managed by the participants. These were the original “panels”—German krankenkassen, the French caisses de maladie, the Dutch ziekenfondsen, Danish sick clubs, Swedish orders, the Friendly Societies, and more.512 They formed the backbone of voluntary care for the sick and needy.
In England, for example, the Friendly Societies were 100 percent voluntary and grew to 14 million members by 1909. They pooled the risk of medical care without government “help.”
Eventually, European governments got involved and made panel membership compulsory, laying the foundations for most national health care throughout the continent. Exceptions include the U.K., where the panel system was completely abandoned in 1946 and replaced by the National Health Service.
The panel system evolved to the point where managers could mix and match the various patients so no single doctor had all the rich and healthy who paid their bills, and no one doctor was stuck with all the poor and sick who didn’t pay. This created opportunity for graft where a doctor sought to negotiate (or bribe) his way into being assigned a “good panel.”
Today, government interventions in most panel systems worldwide have destroyed them. Regulations have created exactly what people feared—“death panels,” committees rationing resources to save money, to weigh one expensive treatment against another. In essence, to decide between life and death. For example—
In 2007, New Zealand denied permission to Richi Trezise of the U.K. to immigrate because he was too fat. With more than half of New Zealand’s adults and a third of the children overweight or obese, the country’s health-care system cannot afford to add overweight immigrants. After Trezise lost some pounds, he was allowed to resettle, but his wife remained overweight and had to stay in Wales until she worked her weight down. High blood pressure and diabetes is over-taxing New Zealand’s socialist health-care system.514
In 2008, Japan imposed a maximum waistline standard (age 40 and older) of 33.5 inches for men and 35.4 inches for women. This was part of a national campaign to reduce health-care costs. Those who grow too fat must, by law, undergo counseling. Companies that fail to reduce the number of overweight people on their payrolls are penalized with higher payments into the national health-care program.515
“Death Panels” is a term spawned by the idea that committees will rise up to ration health care based on cost, leaving some without—to die. In reality, all health care is rationed one way or another, both private and public—there is no such thing as an unending supply of medical care. Rationing, however, comes in two forms:
1. Public Minimums: The government is motivated to ration health care for a minimum level of care for a maximum number of people—typically paid for by the most inefficient means possible—taxes. Are taxes any different from co-pays and premiums universally extracted from everyone? No. As long as payments, by whatever name the regime gives them, continue to flow, public caregivers have no fear of ever going out of business, and therefore have little incentive to maximize their efforts.
2. Private Maximums: The private sector is motivated to ration health care so there is a maximum level of the best care money can buy. It is paid for by as many participants as the insurance companies can entice. It is persistently motivated by competition with other companies to be efficient, affordable, and innovative—or it goes out of business.
Health care is a luxury. It always has been. Whether paying the local shaman to offer chants in exchange for a dead chicken, or mortgaging the house for chemotherapy, the same principle applies: health care is a needful luxury, not a personal right.
Excellent health care is available because of the hard work and unleashed creativity of doctors, chemists, nurses, inventors, business developers, and other professionals, all uniting their efforts to make a living. While rationing is a harsh reality for health care, stepping aside and allowing free-market incentives to induce both the giver and receiver to participate creates more advantage, progress, participation and cooperation than the stagnation of compulsory care.
Top-down control of health care is pure Marxism: “Each patient gets care according to his needs from each doctor according to his ability.”518 Here are some samples of administrative failures that the vibrant, unhindered free-market approach is better at eliminating.
A comparison of Canadian national health care vs. U.S. regulated health care reveals government meddling created a surprising difference in wait times for doctor appointments—
To see a doctor in 2005, about 36 percent of Canadians waited 6 days or more. Only 23 percent in the U.S. waited that long.
When Canadian patients raced to the emergency room for urgent help, 24 percent had to wait more than 4 hours to be seen. Only 12 percent in the U.S. waited that long.
Specialists: If Canadians required a specialist, 57 percent had to wait 4 weeks. In the U.S., only 23 percent waited that long.
Elective: If Canadians wanted elective surgery, 33 percent had to wait 4 months. In the U.S., only 8 percent waited that long.
Rising Costs: On the 20th anniversary of Canada’s national health-care services (1978), hospital costs had already skyrocketed 424 percent, and costs of doctor care were up 71 percent. They had too many specialists and not enough general practitioners. Doctors were hard to find in rural areas, and non-existent in inner cities. It was also found that Canadians were paying more for “free” government health care than they would have paid for a free-market system.519
“Adverse Events”: This term means mistakes, errors, poor management, or out-right mismanagement of health care leading to unnecessary illness, injury, or death. Government impositions destroy local efficiencies. Some samples:
United States: A Harvard study showed that 3.7 percent of hospital admissions in New York had adverse events. Most of the problems were minor, but 7 percent created permanent damage, and in 14 percent of the cases, the patients died.520 A study in Colorado and Utah showed similar results.521
A Health and Human Services study in 2011 found that hospital employees reluctantly reported only one out of every seven medical errors they made at hospitals receiving Medicare funds. HHS estimates 130,000 Medicare patients experience some type of adverse event per month, such as over-medication (pain killers, usually), hospital-acquired infections, and severe bedsores. Some of the more serious adverse events led to death.522
United Kingdom: A 2001 study of two London hospitals found almost 12 percent of the patients experienced adverse events—at least half of these were judged preventable. A third of the mistakes led to greater disability or death. The researchers estimated the added costs for such problems would exceed £1 billion ($1.6 billion) a year.523
Australia: Almost 17 percent of hospital admissions in New South Wales and South Australia experienced adverse events—half of them were considered preventable. About 14 percent were permanently disabled and 5 percent died. Keeping people in the hospital longer than originally planned because of preventable adverse events accounted for 8 percent of Australia’s total hospital bed days, adding $4.7 billion a year in unnecessary costs.524
Sweden: In 2006, a couple rushed to the emergency room with their 3-year-old son who was suffering from diarrhea and had been vomiting for two days. A doctor sent them to a pediatric clinic for intravenous fluids, but the nurses there had no time for him—too many patients, too little time, they said. The parents’ repeated pleas were met with the same excuses. Six hours later, the boy died of heart failure. This event is one of too many that result from budget cuts meant to somehow meet national needs for full medical coverage in socialist Sweden.525
In 2007, Sweden’s third-largest city, Malmo, had only two public clinics available to serve its 280,000 residents. The clinic visit was required before a patient would be allowed to see a specialist. Only one clinic is open after business hours. It becomes so crowded, security guards are stationed in the waiting room to keep the crowds from becoming unruly after waiting several hours to see the doctor—and to prevent new patients from entering. The government limits how many can wait.526
China: In 2009, China abandoned a medical system they called ‘capitalistic’ and ‘profit driven,’ and started implementing a top-down, government-run regulated system. According to several interviews by Jeffrey Kaye for PBS,527 the transition has been anything but smooth—
In an interview with Dr. Chen Zhu, Chinese Minister of Health, the country now boasts about 94 percent of the population with insurance coverage—that’s about 1.2 billion people. One of the architects of China’s health reforms, Gordon Liu, said the overcrowding at the health-care facilities is so severe, even those with money in their pockets and insurance cannot get into a hospital quickly for a diagnosis. People start lining up early in the morning to get appointments for the following day.
The principle underlying good medical care, good government, and good economic growth is the same—local control. When the people most affected by any issue are empowered to deal with it on their lowest possible local level, the most efficient solutions emerge.
A doctor and a patient are the most qualified people to make important medical decisions. A government employee in some office a thousand miles away giving the stamp of approval or rejection based on a balance sheet of check boxes is not.
U.N. Calls for Socialized Medicine
In 2010, the World Health Organization (WHO) published its World Health Report. The Director-General of WHO, Dr. Margaret Chan, wrote a message pleading with the world to adopt socialistic measures for medical care. She declared socialized medicine to be the best solution to world health needs. She was proud to declare that the work to achieve a new world order of medicine was well underway. She wrote:
“Concerning the path to universal coverage, the report identifies continued reliance on direct payments, including user fees, as by far the greatest obstacle to progress. Abundant evidence shows that raising funds through required prepayment is the most efficient and equitable base for increasing population coverage. In effect, such mechanisms mean that the rich subsidize the poor, the healthy subsidize the sick.”529
Socialism at Work
The power of national health care to ruin individual rights is already at work in the welfare-state nations. The economist Melchior Palyi points out this corruption is ancient. He called it “the systematic dispensing, through political channels and without regard to productivity, of domestic wealth.”530 Dispensing wealth, he said, could one day control the world:
Expanding welfare coverage requires enormous taxes and tight control of the national treasury. How would the agents of socialism get control of the money? They found a way, a clever way, almost by accident. It started with a man named John Law.
Learning to Recognize Socialism
Part XIII--SOCIALIZING THE MONEY
“There is something behind the throne greater than the king himself.”
479 “Imbloat,” best describing a state of static and distended dilation of engorged excess—too large to move, too weak to correct, too seamy to contain, it labors unceasingly to perpetuate its own stagnation.—Author
480 Garrett Hardin, The Tragedy of the Commons, SCIENCE, Vol. 162, December 13, 1968, pp. 1243-1248.
481 Edwin Leap, M.D., The Problem With ‘Free’ Health Care, WND, Dec. 11, 2009.
482 Sacramento State News, Report Highlights Emergency Room Abuse, September 1, 2004.
483 Debbie Gilbert, Hospitals Try To Limit Emergency Room ‘Abuse,’ Gainesville Times, October 15, 2007.
484 Chicago Tribune, July 28, 1962.
485 Howard E. Kershner, Christian Economics, April 14, 1970.
486 Dr. E. Lloyd Dawe, Nation’s Business, July 1961.
487 Did Kate Middleton Use the NHS? Of course Not, by Charles C. W. Cooke, National Review Online, July 23, 2013.
488 U.S. News & World Report, January 24, 1966.
489 Human Events, November 23, 1974.
490 Human Events, December 28, 1974.
491 Jenny Hope, GP bonuses ‘lead to poor patient care,’ MailOnline, June 29, 2011.
492 Stefan Gress, Private Health Insurance in Germany: Consequences of a Dual System, 2006.
493 Chee Hew, Healthcare in China, IBM Institute for Business Value, 2006; Bradley Blackburn, World News Gets Answers on China: Health Care, November 18, 2010.
494 Senate Joint Economic Committee, Minority Staff, Are Health Care Reform Costs Estimates Reliable? July 31, 2009.
495 George Winder, The British Nationalized Health Service, The Freeman, August 1962, pp. 3-14; NHS Summarised Accounts, www.nao.org.uk.2007-12-11.
496 U.K. Department of Health, Spending Review 2010, October 20, 2010.
497 National Health Insurance—It doesn’t work & it’s not free, American Cause, Inc., Vol. IV, No. 9, October 1978.
498 CBCNews, Canadian Health-care spending to top $180B,” November 19, 1990.
499 Ibid., Senate Joint Economic Committee.
500 Robert Pear, Obama Signs Children’s Health Insurance Bill, The New York
Times, February 5, 2009.
501 Ibid.
502 Kate Kelland, “Global health care fraud costs put at $260 billion,” Reuters, January 18, 2010.
503 National Health Care Anti-fraud Association white paper, Combating
Health Care Fraud in a Post-Reform World, October 6, 2010—www.nhcaa.org.
504 Associated Press, “Mass. Discovers Abuse of Free Health Care Pool,” May 29, 2011.
505 Ibid.
506 Medicare Fraud Strike Force Charges 111 Individuals for more than $225 Million in False Billing and Expands Operations to Two Additional Cities, U.S. Department of Health & Human Services news release, February 17, 2011..
507Ibid.
508 Ibid.
509 Transparency International, Global Corruption Report 2006, country reports, p. 183.
510 Myriam Marquex, Medicare crooks like Cuba—why? Miami Herald, February 5, 2009.
511 Transparency International, Global Corruption Report 2006, Chapter 1,
part 4, pp. 62-75.
512 Palyi, Ibid., p. 34.
513 BBC News, Obese patients denied operations, November 23, 2005.
514 U.K. Daily Mail, as quoted in FoxNews, New Zealand Denies Immigration to U.K. Wife Because She’s Too Fat, November 17, 2007.
515 David Nakamura, Fat in Japan? You’re breaking the law, GlobalPost, June 16, 2010.
516 Washington Post (AP), Russia’s Parliament Adopts Law Restricting Abortions to 12 Weeks, October 21, 2011.
517 Sven R. Larson, Lessons from Sweden’s Universal Health System: Tales from the Health-care Crypt, Vol. 13, No. 1, Spring 2008, pp. 21-22.
518 Quoted from Lin Zinser and Paul Hsieh, Moral Health Care vs. “Universal Health Care,” The Objective Standard, Vol. 2, No. 4, 2007..
519 National Health Insurance—It Doesn’t Work & It’s Not Free, American Cause, Inc., Vol. IV, No. 9, October 1978.
520 Brennan, Leape, Laird, et al, Incidence of Adverse Events and Negligence in Hospitalized Patients—Results of the Harvard Medical Practice Study I, February 7, 1991.
521 Gawande, Thomas, Zinner, Brennan, et al, The incidence and nature of surgical adverse events in Colorado and Utah in 1992, Brigham and Women’s Hospital, Boston, MA, 1999.
522 U.S. Department of Health & Human Services, Report OEI-06-09-00091, Hospital Incident Reporting Systems Do Not Capture Most Patient Harm, January 5, 2012.
523 Charles Vincent, Graham Neale, Maria Woloshynowych, Adverse events in British hospitals: preliminary retrospective record review, British Medical Journal, March 3, 2001.
524 Wilson, Runicman, Gibbert, et al, The Quality in Australian Health Care Study, The Medical Journal of Australia, November 6, 1995.
525 Journal of American Physicians and Surgeons, Vol. 13, No. 1, Spring 2008, pp. 21-22.
526 Ibid. p. 21.
527 PBS NewsHour, China Struggles With Health Care Reform Amid Growing Demand, April 14, 2011.
528 Health Care Tops List of Concerns in China, Washington Post, Jan. 10, 2008.
529 World Health Organization, World Health Report, Executive Summary, 2010.
530 All quotes: M. Palyi, Compulsory Medical Care and the Welfare State, 1949.
531 See, for example, Boy with Cancer Loses Coverage After ObamaCare Launch, WND, November 27, 2013
Chapter 75: John Law’s Trillion Dollar Idea
About 70 years before Alexander Hamilton pushed for a strong central bank, a clever scheme was unfolding in The Netherlands. At the hands of John Law, a Scottish economist, the scheme grew into a creature that would eventually infiltrate every bank around the world, control the U.S. economy, and saddle all sovereign economies with an expensive helmsman steering their growth. All of the necessary pieces didn’t come together overnight—in fact, it required a couple of centuries to catch on. Today, John Law’s get-rich-quick scheme is called fractional reserve banking.
IMPACT: Implemented fractional banking in France
STORY: In 1694, John Law was sitting in prison. He was just convicted for murder. It was a shooting duel over the affections of a young lady, and the competing beau died in the contest. Law was arrested and sentenced to death, but the dead man’s brother appealed the sentence—murder was reduced to manslaughter, and Law was spared. Then one day, Law managed to escape his English prison and fled across the channel to Amsterdam. That’s where it all started.532
One thing Law had going for himself was a brilliant mathematical mind. He discovered great success as a professional gambler. He could win card games by calculating the odds in his head, and made a pretty good living at it. But a much bigger game eventually presented itself that whetted Law’s appetite. It was the risk of a lifetime, but could be worth millions.
The Bank of Amsterdam, he saw, was essentially a warehouse for gold. Merchants deposited their gold for safe keeping and were given a receipt to reclaim the gold at their pleasure. The bankers made their money by charging a storage fee.
Rocks, Paper, Scissors
And then Law caught wind of a strange pattern in human behavior. With very predictable regularity, the merchants rarely went to the warehouse to claim their gold. Using the paper receipts in their pockets was more convenient than taking a carriage ride downtown, withdrawing a purse sagging heavy with coins, bullion, and carrying it about around the neck or bulging in a pocket for key business transactions. Trading receipts was so much easier than heavy gold.
The Ten Percent
At the time, the clerks at the Bank of Amsterdam had already been working this curious tendency to their advantage. In fact, they had been keeping track. On any given day, only 10 percent of the merchants actually took their gold. The other 90 percent seemed content with trading around their paper, secure in the knowledge that their gold was always there, tucked away inside the bank vault.
The bankers then got the idea they could print up more receipts than they had gold. They could go about town, swapping a receipt for groceries, a horse, maybe a new boat. Or, why not make loans? Now there’s an idea—if the people believed they were actually borrowing real gold, but got receipts instead—and then had them pay back the loan with real gold, what a fantastic way to make some fast cash.
A Million for a Billion?
John Law saw an amazing phenomenon unfolding. Since only a small percentage, a small fraction of people, worried enough to retrieve their gold, could not an entire economy be built on this human tendency? Could a country prosper with only a million in gold but a billion in paper, or whatever amount was needed in the vault?533
John Law tried for 20 years to sell his scheme of fractional banking to other European governments, but nobody took the bait. He assured them that if at least 10 or 20 percent of the gold was kept in the vault, 80 or 90 percent of it could be loaned out.
First Up: King Louie’s Court
Law’s luck finally changed in 1715. France was grinding down into financial failure. King Louis XV was desperate. He summoned John Law to his chambers for details on how to make fractional banking work in France. The scheme sounded risky, but workable, so Louis put John Law in charge of the whole thing and sent him on his way to repair France’s troubles.534
John Law’s scheme started out great. All the country’s gold and silver was steered and enticed into the vaults of his banks. Paper money was suddenly in fashion for all business transactions.
As bails of money were printed, John Law became wealthy and France prospered—everyone exchanging receipts that they had been led to believe were instant claims equal to all of their actual deposits.
Rainy Day Funds on Rainy Days
And then circumstances threw a wrench into the works. A growing number of people who picked up their gold didn’t turn around and deposit it again. Some took it with them and moved out of the country. Others shipped it away to invest in foreign activities or to pay off debts. And others stuffed it at home under the mattress. It was becoming more difficult to keep enough actual gold in the vaults to keep the wheels of fractional banking turning.
Ignore That Man Behind the Curtain
How did John Law respond? To stop the flow of gold out of the country, he arranged to outlaw private ownership of gold. The receipts were still good, he assured everyone—you just can’t trade them for gold or silver right now. That did not sit well with some people and they demanded their gold. Word spread and suddenly there was a run on the banks—those first in line emptied all the vaults. Everyone else was left holding millions in worthless receipts. Like a rock thrown off the yet-to-be-built Eiffel Tower, France’s economy plummeted overnight.
John Law had to flee the country in 1720, chased away by hordes with a hangman’s rope. He survived and managed to get along for a few more years, only to die in poverty in 1729.
National Banks to the Rescue
John Law’s experience demonstrated some important points that were later adopted by European bankers.
“They wrote it down—it must be true!”
Another appearance of stability was created by tracking everyone’s transactions in ledgers, passbooks and receipts showing balances remaining in an account. People could “see” their balances securely noted in ink, officially scrawled on official bank documents, official proof that they had that much money stashed somewhere ... officially.
Deception Becomes Policy
Today, the ruse is no longer hidden. In fact, allowing banks to lend the same money over and over again is an established policy for banks worldwide. They must keep a certain reserve of cash on hand “for the 10 percent” or more—whatever reserve their circumstances require.
The socialists loved this idea. Some 200 years ago, Nathan Rothschild said,
“The great body of people mentally incapable of comprehending the tremendous advantages that the capital derives from the system, will bear its burdens without even suspecting that the system is inimical to their interests.”535
Karl Marx made this scheme of top-down financial control an important goal for implementing socialism. His fifth communist plank espoused “Centralization of credit in the hands of the State, by means of a national bank with State capital as an exclusive monopoly.”536 That goal has been met.
532 The Encyclopedia Britannica, John Law, Thirteenth Edition, Vol. 16, pp. 297-299, 1926.
533 A billion from a million is an exaggeration to make a point. “Deposit multiplication” is a complex subject, and lending on a 1:1000 basis would be deemed too risky for banks today.
534 See John T. Flynn, Men of Wealth, 1941, Simon and Schuster, Inc., NY.
535 This quote has been attributed to the Rothschilds—see National Economy and The Banking System of the United States, Document No. 23, 76th Congress, 1st Session, 1939.
536 Ibid., The Communist Manifesto.
Chapter 76: The Ruling Power of Central Banks
The principles of socialism are well exercised in international banking. The bankers’ entangling alliances have created financial labyrinths into which no sane person would ever wish to tread. However, by cutting away the centuries of barnacles and shrouds, the pillars of modern banking can be found resting on the very same ideas of control and change that have wreaked havoc since the dawn of humanity.
Power Behind the Throne
If money is power, do the powerful control the money? An interesting development in recent centuries is the place that central banking has taken in politics. It is so pervasive, some have suggested the real rulers are the bankers—
The Real Ruler is a Central Bank
The references to powers behind the throne point to privately-run central banks that concentrate financial power in just a few private hands. This idea is polar opposite from “power by the people” that the Founders envisioned.
Before the War for Independence, England’s King George attempted to force the colonies to set up their currency by borrowing from the Central Bank of England. The Americans refused to submit. Benjamin Franklin listed this demand as one of five major reasons for the Revolution.542 He said the king’s “prohibition of making paper money among themselves [the colonies]” helped turn the colonists against Parliament and king alike.543
The problem then, and now, is that central banks gain political and economic control over others by lending money. After decades of borrowing, by 2011, the central banks had loaned the U.S. government a total of more than $16 trillion. That year the U.S. paid $454 billion in interest. That’s $454 billion taken from the taxpayers.
Create Currency: The banks’ job is to print money, control how much is in circulation, and control interest rates.
Create Debt: A central bank doesn’t simply give money to the government. The government must borrow it—and pay interest.
Create More Debt: The interest must be paid somehow, and the government doesn’t go out and print up its own dollars for that. It typically must borrow from the same central banks to pay off the interest, with more interest due on the new interest loan. As a result, the country is forever borrowing, forever in debt, and forever at the whims and behest of bankers.
Create Boom and Bust Cycles: When the central bank allows a lot of money to circulate, loans are cheap. With cheap, low-interest loans aplenty, people feel more free to buy that car or house or start a business. But, when the central bank pulls money out of the system, money is scarce and lenders charge higher rates of interest to borrow it. And, just like turning off a switch, many people stop borrowing until rates drop again.
Create False Authority: It is always critical that the central bank appear to be a branch of the government, it gives the people confidence that somehow, it’s being watched. When confidence collapses, there are runs on the banks, people start hoarding money, black market bartering systems emerge, and the bankers lose their power, influence, and profits. Instead of blaming the banks for inflation, deflation, recessions, etc., people must be led to believe that the banks are rescuing them from regular and painful business cycles that operate beyond anyone’s control.
Appearing official is why private central banks around the world adopt such names as The Central Bank of England, The U.S. Federal Reserve System, The Central Bank of Argentina, Reserve Bank of Australia, National Bank of Poland, Central Bank of Cuba, National Bank of Rwanda, etc.
For almost every country in the world there exists at least one such bank with National, Central, or Reserve in its name serving as its central bank. Only two countries remain independent—Andorra and Monaco have no central bank as of this writing.
How Much Do Nations Owe the Central Banks?
According to estimates accumulated by the Joint External Debt Hub,544 the CIA Factbook, the U.S. Census Bureau, the International Monetary Fund,545 the World Development Indicators,546 and others, the total on-the-books external indebtedness (not liabilities) of all nations combined, and payable to the central banks, is a staggering $74.1 trillion in 2011 dollars. In early 2014, the Bank of International Settlements raised the number to more than $100 trillion as governments splurged to pull their economies out of recession, and companies borrowed to take advantage of low interest rates.547
537 Quoted by Lord Mahon, History of England, Vol. V., p. 258.
538 Thomas Jefferson Randolph, editor, Memoirs, Correspondence, and Private Papers of Thomas Jefferson, Vol. 4, 1829, pp. 285-288.
539 Benjamin Disraeli, Coningsby, Book 4, Chapter 15, 1844.
540 Elliott Roosevelt, F.D.R.: His Personal Letters, 1928-1945, 1950, p. 373.
541 Theodore Roosevelt, The Progressive Covenant With the People, a speech given in 1912.
542 Franklin’s five reasons include restraining trade, prohibiting paper money, the Stamp Act, removing trials by juries, and refusing to hear the colonists’ petitions.
543 William Jennings Bryan, editor, The World’s Famous Orations, America: 1. (1761-1837), [Benjamin Franklin] His Examination Before the House of Commons, 1766, New York: Funk and Wagnalls, 1906.
544 World Bank Group, The Joint External Debt Hub, www.jedh.org.
545 International Monetary Fund, www.imf.org.
546 World Bank Group, World Databank, http://databank.worldbank.org.
547 Bank for International Settlements, quarterly review highlights, March 9, 2014.
Chapter 77: Progressives Finally Get Their Central Bank
They called it “The Federal Reserve”—it was, however, neither federal nor reserved.
Putting a central bank in America had been a goal since Alexander Hamilton first encouraged it. After decades of start-stop and succeed-fail cycles, the opportunity to wrest control of America’s money supply and interest rates came in 1907 on the heels of recent frustrations with the banking system and the economy in general.
Powerful financial forces were at work in the U.S. by 1900, fiercely competing against each other for influence and control. People watching this maneuvering developed a deep sense of suspicion about these Wall Street titans—it was a tripwire of panic tautly stretched.
In October 1907, the family owning United Copper Company tried to corner the market on copper. The attempt failed miserably. The market punished the conspirators by selling off United Copper stock at $10 a share when it was trading at $60, ruining the schemers’ financial lives. As brokers dashed about making repairs, the rest of the stock market reacted badly. The New York Stock Exchange fell almost 50 percent.
J.P. Morgan watched this mess unfolding, and feared his own Knickerbocker bank would be affected, or even be forced to close. Panicked patrons rushed his bank and cleaned out the vaults, but the panic wasn’t just in New York. Like tumbling dominoes, a crisis of confidence multiplied nationwide.
Thousands of banks braced themselves as hordes of customers flooded their institutions demanding their deposits back. Notifications by their head offices ordered the widely disbursed branches to pull in as much money as they could—foreclose on loans, limit withdrawals, limit payouts, etc.
Sen. Robert Owen later gave a congressional committee an idea of what these orders looked like. A demand from the National Banker’s Association that became known as “Panic Circular of 1893” instructed him, “You will at once retire one-third of your circulation and call in one half of your loans...”548
And that’s what they did, demanding loans be repaid—many of which, ultimately, were not. People lost homes, businesses, and those with cash hoarded it as their last ounce of security.
J.P. Morgan rescued the system by injecting $200 million of his own money into one of the last major banks still open. He issued certificates to mingle with the millions of IOUs that people were exchanging for lack of greenbacks.
Eventually, the certificates restored confidence, and people began spending cash again. As for the banks, the small ones died, the bigger ones absorbed those as new customers, and life went on—some wallets fatter, other wallets reamed out to the seams.
A writer for Life Magazine summarized the whole sordid affair in 1949. Frederick Lewis Allen described how J.P. Morgan caused the panic to further his own financial controls.
“Oakleigh Thorne, the president of [The Trust Company of America] testified later before a congressional committee that his bank had been subjected to only moderate withdrawals ... that he had not applied for help and that it was the (Morgan) ‘sore point’ statement alone that had caused the run on his bank. From this evidence, plus other fragments of other supposedly pertinent evidence, certain chroniclers have come to the ingenious conclusion that the Morgan interests took advantage of the unsettled conditions during the autumn of 1907 to precipitate the panic, guiding it slow as it progressed so that it would kill off rival banks and consolidate the pre-eminence of the banks within the Morgan orbit.”549
Congress Got the Message
Leaders in Congress wanted to know what caused the panic of 1907, and sent Senator Nelson W. Aldrich (R-RI) to investigate. His committee reviewed banking policies in America and decided the country needed central banking to prevent these kinds of damaging panics from ever happening again.
So, off he went to Europe with his committee, spending $300,000 for two years so they could study the national banking schemes in operation in all the major countries.
Upon his return in 1910, Aldrich convened a secret meeting that November to develop a plan. He invited several powerful investment bankers and financial leaders to join him. The gathering was kept super-secret—all travel was done at night, names were withheld and faces hidden until all were safely convened at a meeting place off the coast of Georgia at Jekyll Island.
The Plan: The Jekyll Island group crafted a central banking plan that would be fire proof, bullet proof, and fool proof. They called it the “National Reserve Bank.” Congress was presented with the idea, and they took two years of debate and refinement to work it over. As enthusiasm for a central bank grew, word was spread that this is a great idea!
Hard P.R. Push: The public relations campaign that followed was intense and enormous. Pressure by politicians to win support erupted on the House and Senate floors hundreds of times. For example, a promise that the new system would miraculously stop inflation was proclaimed from the Senate and Congress more than 50 times. How many of their promises failed? All of them. Nevertheless, as shown by the following quotes, the relentless, tedious and repetitive promises illustrate what happens when the socialists’ public relations machine is unleashed. How often have similar promises been deployed for other massive government programs, such as national health care?
Who Has the Power?
The Founding Fathers made every aspect of a central, private bank unconstitutional. That’s why it required a combination of crisis, an unwary public, and a progressive-minded Congress and president to push it through—and that’s what they did. On December 23, 1913, the Federal Reserve Act became law.
Aside from all of the laudatory assurances by Congress, there lurked beneath the establishment of the Federal Reserve something more sinister than any promise and assurance—
“Whoever controls the volume of money in any country is absolute master of all industry and commerce.”577
“Permit me to issue and control the money of a nation and I care not who makes its laws.”578
“When the President signs this bill, the invisible government of the monetary power will be legalized .... the worst legislative crime of the ages is perpetrated by this banking and currency bill.”579
548 Gary Allen, quoted in None Dare Call It Conspiracy.
549 Frederik Lewis Allen, Life Magazine, April 25, 1949.
550 Congressional Record, 63rd Congress, 2nd session, Vol. 51, Pt. 2, p. 1459.
551 Ibid., 1st session, Vol. 50, Pt. 7, p. A309.
552 Ibid., p. A293.
553 Ibid., 2nd session, Vol. 51, Pt. 1, p. 430.
554 Ibid., 1st session, Vol. 50, Pt. 7, p. A332.
555 Ibid., 2nd session, Vol. 51, Pt. 1, pp. 901-902.
556 Ibid. 1st session, Vol. 50, Pt. 7, p. A331.
557 Ibid., p. 301.
558 Ibid., pt. 6, p. 6028.
559 Ibid.
560 Ibid., pt. 7, p. A294.
561 Ibid., 2 session, Vol. 51, Pt. 1, p. 174.
562 Ibid., pt. 17, p. A32.
563 Ibid., 1st session, Vol. 50, Pt. 7, p. A297.
564 Ibid., p. A310
565 Ibid., p. A291.
566 Ibid., p. A314.
567 Ibid., pp. A295-296.
568 Ibid., p. A332.
569 Ibid., 2nd session, Vol. 51, Pt. 1, p. 773.
570 Ibid., p. 521.
571 Ibid., pt. 2, p. 1121.
572 Ibid., pt. 1, p. 782.
573 Ibid., p. 432.
574 Ibid., p. 1460.
575 Ibid., 1st session, Vol. 50, Pt. 6, p. 6026.
576 Ibid., 2nd session, Vol. 51, Pt. 1, p. 789.
577 Attributed to James A. Garfield in The American Plutocracy, by Milford Wriarson Howard, Chapter 16, p. 156.
578 Attributed to Mayer Amschel Rothschild (1744-1812) in Money Creators (1935) by Gertrude M. Coogan.
579 Attributed to Charles A. Lindbergh, Sr., December 23, 1913.
Chapter 78: Broken Promises of the Federal Reserve
Like a silent partner in a massive Ponzi scheme, the Federal Reserve has been mute about its damage to the U.S. economy.
The Federal Reserve is the financial arm of the socialist government of the United States. It has emerged as the modern rendition of Alexander Hamilton’s original concept of a strong central bank, and it brought in all the tyranny, regulation and economic misery that was long ago predicted.
The influence of progressivism was thick in Washington in the early 1900s. Had they stopped to put the Federal Reserve Act to the constitutional test, it would have failed. Article 1.8.5 clearly states that Congress is empowered to “coin money [and to] regulate the value thereof.” Congress was not to delegate this to another party. When they did, and that entity was not even a government agency but a private business, they violated the Constitution. Nevertheless, with unconstitutional powers exclusively in hand, the Federal Reserve went about to break all 12 of its promises.
1. Promise: No More Depressions—In 1921, a severe depression was caused by the Federal Reserve. They did it again in 1929, causing the worst depression in American history, lasting 1929-1939. Since World War II, the Federal Reserve’s policies created eleven avoidable recessions.
2. Promise: Interest Rates Will Be Kept Low—A week before Christmas in 1980, the interest rate charged by banks to their most credit-worthy customers—the prime rate—rose to 21.5 percent, its highest in America’s history. That record-breaking “usury fee” capped a rocky but steady climb upward that began right after WWII.580
3. Promise: No Inflation—Since World War II, the Federal Reserve’s inflationary policies have gutted the dollar, causing it to lose 92 percent of its value. For example, a very nice suit that cost $50 right after the war would cost $625 today.581
4. Promise: Submit to Direct Supervision—Originally, the proposal was to put government leaders on the Board “which shall consist of seven members, including the Secretary of the Treasury and ... five members appointed by the President” so there was some degree of oversight.582 Almost immediately after the Federal Reserve Act was passed, more than 200 amendments were added, its structure changed, and instead of transparency, it meets in absolute secrecy to control the economy.
5. Promise: Stabilize the Money Supply—The Federal Reserve’s mismanagement contributed to the Great Depression. In 1928, it tightened the money supply and forced interest rates up. The resulting recession triggered the stock market crash in 1929. It raised interest rates again in 1931, lowered them, and then raised them again in 1932, collapsing the U.S. economy. This foolishness continues today, costing Americans billions if not trillions with each attempt to force the free market to follow the Fed’s short-range solutions to long-range problems.
6. Promise: Keep Clear of Wall Street—The original Federal Reserve Act stipulated, “No director ... shall be an officer, director, or employee of any bank.”583 However, subsequent actions proved that the Board of Governors and the secret Federal Open Market Committee have been dominated by Wall Street bankers. In its first 15 years, Paul Warburg and Benjamin Strong, both Wall Street bankers, ruled the Federal Reserve.
7. Promise: No Charge to Government—In 1941, Rep. Wright Patman (D-TX), the chairman of the House Banking and Currency Committee, asked the chairman of the Federal Reserve Board, Marriner Eccles: “Wasn’t it intended when the Federal Reserve Act was passed that the Federal Reserve Bank would render this service without charge—since under the Act the government would give them the use of government credit free?” Eccles seemed insulted: “I wouldn’t think so!” he said.584
8. Promise: Help Farmers Survive—The Federal Reserve destroyed the U.S. farmers’ independence. It started when the wheat farmers were promised the price of $2 per bushel during World War I. This fixed price drove farmers to borrow and buy more land to enlarge their wheat farms. After the war, demand plummeted and so did farmers’ income. On May 18, 1920, the Federal Reserve raised interest rates on agriculture loans to 7 percent. Many couldn’t pay—and so began the Agricultural Depression of 1920-21. Thousands lost their farms, homes—everything. This process was repeated, with higher taxes, in the early 1930s. An estimated 25 percent of bankrupt farms were sold for failure to pay taxes.585 Taxes were so high that by 1933, farmers were essentially working 2 days a week for the government.586
9. Promise: Help Small Business Survive—The Federal Reserve’s constant yanking on the national economy destroyed thousands of small businesses. In 1925, unemployment was about 3 percent. When the Great Depression hit thousands of businesses closed, unemployment was around 25 percent—that’s 13 million by 1933. New York City police estimated that 7,000 people over age 17 were shining shoes for a living. Congress was forced to enact lending agencies to rescue as many small businesses as possible. Ben Isaacs, a Chicago clothier, sold his car for $15 to buy food. “I would bend my head low [in the relief line] so nobody would recognize me.”587
10. Promise: Protect Banks From Collapse—The unpredictable policy changes of the Federal Reserve kept most banks operating on the razor’s edge. Since the creation of the Federal Reserve, its powers of regulation and control over inflation and the money supply, has caused at least 3,970 U.S. banks to fail since 1934. Some put the number at more than 15,000.588
11. Promise: Protect U.S. Economy From Foreign Entanglements—The Federal Reserve makes no secret that it links U.S. fortunes to international developments. From its website: “The Federal Reserve formulates policies that shape, and are shaped by, international developments. It also participates directly in international affairs.”589 A 2011 audit showed the Federal Reserve provided hundreds of billions in financial assistance to foreign corporations ranging from South Korea to Scotland.590 Analysts accuse the Federal Reserve of escalating U.S. interest rates to make up for bad investments in international investments. Spending other people’s money is always easy.
12. Promise: Keep Banking Decentralized—For banking purposes, America is divided into twelve banking regions across the U.S. Despite this regional leadership, the entire structure gravitates toward the decision-making power in New York. Policies and money-market decisions all originate in New York with the Open Market Committee. People had suspected favoritism toward the New York investors all along.
Finally, after years of preventing an examination of the Federal Reserve’s books, a little light was shed on the complex system in 2011.
Up until 2011, the Federal Reserve had never been independently audited and scrutinized. It was well protected from snooping eyes. Even though its books were opened for examination for the first time in 2011, not all the books were examined. Nevertheless, the examiners found plenty of problems that simply can’t be excused or ignored.
Insider Help
The auditors found that during the financial crisis of 2010-11, emergency funds dispatched by the Federal Reserve went to more than a dozen banks and companies that had ties to regional Federal Reserve boards. Why them and why not others? This violated the promises that the Federal Reserve would stand independent from high finance bankers and not show favoritism.
The Buddy Network
Financial and political neutrality wasn’t practiced by the Fed. The Government Accountability Office found 18 current or former board members of the Federal Reserve connected to businesses that received emergency lending. On that list were General Electric, JP Morgan, Chase, and Lehman Brothers.
Jeffrey Immelt, CEO of GE (General Electric), was serving on the board of the Federal Reserve when a $16 billion emergency loan was given to GE.591 Sen. Bernie Sanders (D-VT) said of this and other self-serving violations, the Federal Reserve is “riddled with conflicts of interest.”592
The audit also confirmed that between 2007 and 2008, about $1.2 trillion was lent to 300 banking and financial institutions that had close ties to the Fed’s New York “headquarters.” These loans were separate from the TARP bailout money approved by Congress during that same time frame (2008).593
Names Have Been Changed
The story of socialism as described in the previous chapters has invaded politics, the market, education, health care, and economics, and each attempt to reach a utopia has ended in the same way—loss of liberty, loss of prosperity, and loss of control over a nation’s self-directed destiny.
580 Federal Reserve Board, 2011.
581 Calculated at 8 percent of prices in 1945, or 12.5 times more costly today.
582 Federal Reserve Act, section 10, 1913.
583 Federal Reserve Act, section 4, 1913.
584 House Committee on Banking and Currency, June 24, 1941.
585 James Bovard, Hoover’s Second Wrecking of American Agriculture, Freedom Daily, 2005..
586 B.H. Hibbard, Taxes A Cause of Agricultural Distress, Journal of Farm Economics, Vol. XV, No. 1, January 1933, pp. 1-10.
587 Suds Terkel, Hard Times: An Oral History of the Great Depression, Pantheon Books, 1970.
588 FDIC, Federal Deposit Insurance Corporation Failures and Assistance Transactions, 1934-2011.
589 Federal Reserve, www.federalreserve.gov/pf/pdf/pf_4.pdf, p. 51.
590 GAO Report to Congressional Addressees, Federal Reserve System, Opportunities Exist to Strengthen Policies and Processes for Managing Emergency Assistance, July 2011.
591 Huma Khan, ABCNews, Federal Reserve Board Rife with Conflict of Interest, GAO Report, October 19, 2011.
592 GAO Report to Congressional Addressees, Federal Reserve System, Opportunities Exist to Strengthen Policies and Processes for Managing Emergency Assistance, July 2011.
593 Ibid.
Chapter 79: Forgotten Wedges of Socialism
In Samuel T. Whitman’s “Forgotten Wedges,” he tells about a big walnut tree that stood for decades on the family farm, steadily enduring the rough winters and windstorms of an entire lifetime.
Then, one year, an ice storm blew in. Normally the massive limbs of the beautiful tree could easily carry the weight of the ice that accumulated. But this year, it couldn’t. “It was the iron wedge in its heart that caused the damage,” Whitman wrote.
Whitman’s story begins many years earlier when a young lad found a rusty wood-splitting wedge, a faller’s wedge—wide, flat and splayed from mighty poundings. He carried his prize home, but the pathway did not pass the tool shed. He was already late for dinner so he laid the wedge, edge up, between the limbs of a young walnut tree that his father had planted by the gate. He planned to put it away in the shed afterwards, or the next time he headed out that way. He truly meant to, but he never did.
As the years passed, the lad grew to a man, and he took his father’s place tending the family farm. He raised his family and grew old on its familiar pasture lands. All the while, the walnut tree also matured. It managed as best it could the unfinished chore of the faller’s wedge, and extended its bark and girth around the iron tool, eventually hiding it completely from sight and from memory.
“In the chill silence of that wintry night,” Whitman wrote, “one of the three major limbs split away from the trunk and crashed to the ground. This so unbalanced the remainder of the top that it, too, split apart and went down. When the storm was over, not a twig of the once-proud tree remained.
“Early the next morning, the farmer went out to mourn his loss. …
“Then, his eyes caught sight of something in the splintered ruin. ‘The wedge,’ he muttered reproachfully. ‘The wedge I found in the south pasture.’ A glance told him why the tree had fallen. Growing, edge-up in the trunk, the wedge had prevented the limb fibers from knitting together as they should.”594
A Thousand Wedges
With each passing decade in America, the enthusiasm for growth and unencumbered freedom to build and advance and prosper has kept the nation on an upward climb. The great engine making that possible was the protection of unalienable rights, in particular, the right to property as laid out in the Constitution and the Declaration of Independence.
For reasons of neglect, lack of study, and the failure to teach those principles of freedom to the rising generations, a swarm of small iron wedges found their way into the machinery of liberty. Almost imperceptibly, the wedges bogged down the fragile mechanisms that were creating such power and invention in America. The zeal to expand on the astonishing magnification of labor and effort in the land of the free gave allowance for those wedges to remain unaddressed, unattended and forgotten.
America’s strength eventually spread out across the continent and extended its protections and prosperity to hundreds of millions of people on every continent in the world. Normally, the spreading limbs of this beautiful nation could easily bear the weight of temporary international need. But then cracks and splits started appearing in its limbs and its most critical areas of strength. It is the iron wedges in its heart that have caused all the damage.
The Lethal Faller’s Wedges
With the basic influences of socialism well entrenched within America’s heart by the early 1900s, it was relatively easy from that point forward to finish the job. Here’s how it came together—
1. Entangling Alliances: During World War I, the U.S. loaned billions of dollars to its European allies. When the war ended, a few countries started paying back the loans. This helped calm the American economy that had been on a roller coaster of market panic, recessions, and runs on the banks. Then came the roaring twenties, a decade of prosperity that most people thought would continue.
By 1929, relations with much of Europe started to sour. They changed their mind and decided they wouldn’t pay back their war loans. One of their major complaints repeated the early colonists’ during the War for Independence: If the king won’t let American merchants freely trade to make profits, how could they pay their debts to the Crown? The Europeans made the same claim for relief from the Americans: Why are you hurting us?
2. Smoot-Hawley Tariff Act (1930): In an effort to strengthen sales of U.S. goods, a new tariff was imposed on 3,218 items imported into the America. For almost 900 of these the tax was severely increased. When word of this new tariff reached foreign shores, America’s trading partners were incensed. They retaliated with boycotts and by charging high tariffs on American-made imports.
The tariff war between nations reduced world trade by 33 percent and contributed to the ongoing recession.595 When Smoot-Hawley was passed, unemployment in the U.S. was 7.8. By 1933, it was 25.1 percent. It was an enormous mistake. Already at work on the U.S. economy, was another socialist idea—
3. 16th Amendment, February 12, 1913—Income Tax: Originally designed to “soak the rich,” the 16th Amendment ended up soaking everyone. It bypassed the tax-revenue system in Article 1.2.3, and allowed the federal government to confiscate as much as 94 percent of a person’s income. In 1943, President Roosevelt created “withholding,” so taxes were taken at the payroll window before they were even due. Today, income tax has become the principle source of government income, and is an enormous drag on the economy. It was a wedge that would exact trillions out of American workers in future years. Where were the checks and balances keeping an eye on this federal usurpation? They had been blinded by the 17th Amendment—
4. 17th Amendment, April 8, 1913—Direct Election of Senators: As discussed in Chapter 62, the state legislature held the chain of control over representative government by its power to appoint a senator to Washington. The senators were supposed to concentrate on protecting states’ rights and maintaining the established order. They were supposed to balance the budget, keep taxes low, and temper the radicalism of the congressmen who came every two years.
The 17th amendment severed the leash held by the legislatures and freed senators to hide from the voters for five years, emerging in the sixth year to trumpet their achievements and then promise, “Vote for me, and think how much money I can bring to the state.” The people’s legislative watchdogs were silenced by the 17th Amendment.
5. Federal Reserve Act, December 23, 1913: And then came the Fed riding atop a Trojan Horse, promising economic peace and calm and prosperity, but hiding inside, another hidden wedge, was regimentation of the worst kind—absolute control of the money. “Power by the people” was dealt a fatal blow when control of money and its value was transferred to a private central banking cartel through passage of the Federal Reserve Act in 1913. The Federal Reserve’s record for calming the economy has been suspiciously volatile.
6. Federal Reserve and the Money Supply: From 1921-1927, the Federal Reserve inflated the money supply by 62 percent, sparking a rapid rise in stock prices and encouraging investors to buy stocks with borrowed money. In 1928, the Federal Reserve began a year-long program to pull money out of circulation. This pushed interest rates higher, and triggered the stock market crash in 1929.
To make matters worse, the Federal Reserve increased interest rates again in 1931. Overall, one-third of the money supply was removed from the American economy. This extended the Great Depression for a whole decade longer. In 1936-37, the Federal Reserve required banks to double the reserves of cash they kept in the vault. This reduced by even more the cash in circulation, and triggered a short recession during the Depression.
7. Legitimizing the Unions: Perhaps the most damaging and long-est-lasting wedge that threatened America’s ability to cleanse itself of extremes, followed next. The power of unions to extract higher wages and to force employees to join unions received the force of law in the 1930s.
The Davis-Bacon Act (1931) forced minimum wages on government projects. It also favored white workers in white-only unions. At the time, blacks were not as educated and skilled and were therefore excluded from white-dominated unions.
The Norris-LaGuardia Act (1932) allowed unions to legally organize, and stopped new hires from pledging to never join a union as a condition of employment.
The Wagner Act (1935) legalized the formation of unions, collective bargaining, and strikes. Later, it was amended to set minimum wages and eliminate child labor. Increased government costs to make these new laws happen had to be supported with increased taxes.
Forcing unions on America made the Great Depression last longer because higher wages were extracted with strikes and union actions. This hurt business and slowed the recovery of the economy. At its core, the idea of a union is the government-sanctioned violation of the property rights of a company owner. Unions are empowered by the force of law to tell a property owner what to do and how to do it, winning temporary advantages to union workers, but ultimately, as with the walnut tree, preventing free market solutions from solving the work-place problems. It was, and is, Marxism in the work place.
8. Increased Taxes: Painful tax increases severely damaged the ability of some companies to hire new people. In 1932, unemployment stood at a staggering 23.6 percent. The Revenue Act (1932) pushed the top tax bracket from 25 percent to 63 percent. Corporate taxes rose from 12 percent to 13.75 percent.
Four years later, in 1936, taxes went up again. The top tax rate climbed to 79 percent, and business profits were taxed at 42 percent. Unemployment fluctuated between 16.9 percent in 1936 and 19 percent by 1938. The incentives to work, invest, create savings, and be more productive were all chilled, contributing to the length of the Great Depression. Not until World War II did unemployment drop back to single digits (4.7 percent in 1942).
9. Laying the Foundation for the New Deal: Herbert Hoover (served 1929-1933) is the grandfather of the New Deal. He created an economic train wreck with his attempted scientific regulation of business, industry, farming, and the economy. He doubled federal spending, forced wages to stay artificially high, created a world-wide trade war with his Smoot-Hawley tariff, and increased taxes that depressed productivity. He even tried to subsidize farmers, but when that flopped he paid them not to produce so that prices would stay high. He imposed the Reconstruction Finance Corporation, and enacted or paved the way for every New Deal program that was yet to be deployed.
The so-called “Hoover New Deal” gave birth to a massive failure in the form of more government control, manipulation and intervention—the epitome of power run amok. The monument to his utopian fantasies was a ruined economy and the Great Depression.
10. The New Deal: Franklin D. Roosevelt (served 1933-1945), the father of the so-called New Deal, is best remembered for his intense regulation of the country with the largest expansion of government power in American history.
James Madison knew how government leaders would destroy the Constitution using a crisis as the excuse. He warned, “You will understand the game behind the curtain too well not to perceive the old trick of turning every contingency into a resource for accumulating force in the government.”596 And accumulating force is exactly what most presidents did—especially FDR.
It took a friendly Congress and a friendly Supreme Court (eventually) backing him up, but Roosevelt was able to exploit the emergencies of the Great Depression to fundamentally transform the United States into a democratic socialist republic. It was his New Deal.
11. New Deal—Force Banks to Take a Holiday: After Roosevelt’s first day in office he forced all banks to take a holiday in an effort to stop those vault-emptying runs that were beginning. This act was unconstitutional (many banks were privately owned).
12. New Deal—Force Taxpayers to Protect Deposits: Roosevelt promised everyone that their deposits were safe, and were backed up by the government’s FDIC. This was comforting and calming, but placed an unconstitutional obligation on taxpayers, without their consent, to insure complete strangers from loss.
13. New Deal—Can’t Own Gold: Roosevelt declared that Americans could no longer own gold. Later, FDR made it a criminal act to own gold—unconstitutional confiscation of private property without due process.
14. New Deal—Force Taxpayers to Pay Farmers to Sit: Roosevelt paid farmers to not grow crops. This kept prices higher at the market, forcing consumers to pay more. It profited the farmers so they wouldn’t lose their farms. There is no federal right to re-distribute wealth to help one sector of the economy over another, or to violate the freedom to fail, as took place with FDR and the farmers.
15. New Deal—Force Banks to Affiliate with the Fed: Roosevelt made sure that only banks affiliated with the Federal Reserve were protected from failure by the government. This was unconstitutional favoritism against private, non-Federal Reserve banks.
16. New Deal—Take Regulatory Power Away From Congress: Roosevelt usurped law-making power of the legislative branch by giving his agencies power to pass laws under the misnomer of “regulations.” This was the unconstitutional transfer of legislative power to the executive branch.
17. New Deal—Force States to Submit to Federal Finance Rules: Roosevelt forced brokerage firms, even those operating within state boundaries, to obey federal rules on stock trades as an interstate activity—here he crept in, unconstitutionally, to violate states’ rights.
18. New Deal—Selective Government Lending: FDR started lending tax dollars to farmers and struggling homeowners at below-market interest rates, but wouldn’t make similar concessions to other industries that were in harm’s way. This was an unconstitutional use of public funds to intrude into the free market.
19. New Deal—Force Banks to Treat Farmers Special: FDR pushed for a law that protected farmers who were late on mortgage payments. If they were late, their property could not be repossessed for three years. This was the unconstitutional violation of private contracts, and control of private property (preventing private investors’ money loaned to farmers from being collected).
20. New Deal—Nationalize the Railroads: Roosevelt declared the railroads to be public property and assigned the first rail czar to find ways to save money. He ended up destroying duplicated facilities. It was an unconstitutional nationalization of private property.
21. New Deal—Nationalize the Coal Industry: Roosevelt tried to control wages, prices, production, unions, and rules for all coal mines across America. The Supreme Court knocked him down on this one, calling the action unconstitutional.
22. New Deal—Force Taxpayers to Finance Local Projects: In 1933, Roosevelt used the Tennessee Valley Authority Act (TVA) to take over the means of production and distribution of electricity in that area. Massive projects were funded by taxpayers to build dams, reservoirs, power lines, etc., and to use the facility to create fertilizer and sell surplus power. The tally in the end showed that 98 percent of the country paid for the electrical power in the Tennessee Valley and surrounding region that made up only 2 percent of the nation. Recent studies reveal TVA retarded economic development of Tennessee compared to its neighboring states.597
23. New Deal—Force Taxpayers to Finance Home Loans: Roosevelt gave government authority to lend tax dollars to people in danger of losing their homes, or to help others to buy a home. This violated Article 1.8 of the Constitution, giving Congress the power to pick winners and losers by spending public tax dollars on some home mortgage loans, excluding others.
24. New Deal—Control Communications: The 1934 Communications Act regulated the airwaves, first controlling interstate radio, and later, television. It was expanded in 1982 to include the airwaves inside specific states in violation of the interstate commerce clause.
25. New Deal—Let Unions Violate Property Rights: Roosevelt pushed through legislation that gave unions unprecedented control to coerce business owners to capitulate to their demands—rule by the workers, just as Karl Marx had envisioned it.
Hidden Wedges Destroying the Tree
Subsequent generations of Americans born since the New Deal have expanded those federal powers to lethal proportions. Unrestrained powers at the highest levels now jeopardize the economy and culture of the United States. Unrecoverable debt, reckless spending, decaying virtue, and a widespread suspicion of fellow Americans are the poisonous fruits of the New Deal tsunami—they are the hidden wedges of socialism.
Learning to Recognize Socialism
Part XIV--SOCIALISM TODAY IN AMERICA
“It is impossible to introduce into society a greater change and a greater evil than this: the conversion of the law into an instrument of plunder.”
594 All quotes from Samuel T. Whitman, “Forgotten Wedges,” as related by Thomas S. Monson, Hidden Wedges, Conference Report, April 2002.
595 Jakob B. Madsen, Trade Barriers and the Collapse of World Trade during the Great Depression, Southern Economic Journal 67 (4), pp. 848-868, 2001.
596 Ralph Louis Ketchem, James Madison: A Biography, 1990, p. 351.
597 William U. Chandler, The Myth of TVA: Conservation and Development in the Tennessee Valley, 1933-1980, 1984, pp. 50-53.
Chapter 80: Thinking Like a Socialist
Reducing the definition of socialism to “government force to control and change society” helps measure how far leaders are moving their national fortunes and populations away from protected rights. Each day, the headlines shout new messages about all the consequences and problems from government force being used to address problems that are solved more cleanly on the local level with freedom and liberty. Socialists never see it that way—that is not how they think. “There ought to be a law” is their motto, and they go about making sure that happens in every way possible.
Begin With America
U.S. presidents who impose socialistic ideas are defended by their supporters who place blame (i.e., capitalism doesn’t work), guilt (i.e., look at all the suffering), and well, that’s his job (i.e., he must do what is necessary regardless of Congress or the Constitution), as reasons for a leader’s failings. They believe that government only has the solutions to national problems.
Once a nation embarks down the pathway of socialism, common sense becomes replaced with panic and self-absorption to “get my share from the government.” This mind-set is perpetuated by two things: a Santa Claus politician who bestows gifts not earned, and an economy so ruined by gratuitous government giveaways that dependency on the government has become a way of life, like it or not. People begin thinking in terms of “what can the government do for me?” instead of “what can I do for myself?”
The socialism that most Americans fear isn’t necessarily some party or platform. Americans fear an ever-expanding federal government that consumes an ever-growing quantity of their money, that creates trillion-dollar liabilities, and puts new restrictions on people’s behavior and activity. That expansion has swelled under the name of almost every political party and declaration since the Civil War.
In America, socialism is a uniquely crafted product. It must be slipped into the mainstream in a fashion that does not arouse suspicion or objection. Here are some examples of how that happened through the offices of the executive branch—
Chapter 81: U.S. Presidents and Socialism
—Lincoln, Cleveland, Teddy Roosevelt—
In both peace and war, the ruling executives of the United States are bound by oath to uphold, defend and protect the U.S. Constitution. Did they?
PRESIDENT: Abraham Lincoln (served 1861-1865)
EVENT: Unconstitutional actions during the Civil War?
STORY: As Commander in Chief during the Civil War, Lincoln declared war and established war policies (Congress’s job), suspended habeas corpus (Congress’s job), imposed martial law on Kentucky (Violated Article 4, Sections 2 and 4), tried civilians in military tribunals where they were convicted and punished by the military (Judiciary’s job), and exercised strong prerogatives thought by many to exceed his authority.
After the Union armies started gaining the upper hand in 1862-63, the constitutionality of Lincoln’s actions was finally brought to the Supreme Court as the Prize Cases.
The Court sided with Lincoln. It acknowledged that the president does not have power to start a war, but an insurrection within the country’s midst that “sprung forth suddenly” bound him to “meet it in the shape in which it presented itself.” The Court said Lincoln “was bound to accept the challenge without waiting for any special legislative authority ... He must determine what degree of force the crisis demands.”598
Dissenters in the case said the president didn’t have the power to change the nation from “a state of peace to a state of war ... this power belongs exclusively to the Congress ...”
Lincoln lamented that Congress and existing laws were sorely inadequate to deal with rampant preparations by the South to break away, including spying, stealing of war materials, and splitting legislatures to favor the rebellion. Lincoln felt compelled to take drastic action to save the Union.599
“I have never understood that the presidency conferred upon me an unrestricted right to act,” Lincoln wrote in 1864. “I did understand, however, that my oath to preserve the Constitution to the best of my ability imposed upon me the duty of preserving, by every indispensable means, that government—that nation, of which the Constitution was the organic law.”600
The Constitution is largely a peace-time document with little detail on war powers. By war’s end, however, many questions and lapses about federal power—for better or worse—were resolved.
PRESIDENT: Grover Cleveland (served 1893-1897)
LEGACY: Pro-Constitution, pro-free market
STORY: President Cleveland demonstrated how a man of integrity will refuse pressure by Congress to approve unconstitutional projects simply to gain votes. His administration was an example of how a president can function as a check and balance to counter an over-zealous Congress.
Cleveland’s story is an example of how a president should avoid the many tempting traps to expand the government, and focus on good leadership. Unfortunately, after Cleveland had to leave the White House with his correct perspective on freedom, things were never the same in Washington. It was the beginning of a slow decline into abusive political power, corruption, and struggle.
PRESIDENT: Teddy Roosevelt (served 1901-1909)
LEGACY: A progressive who dismantled restraints
STORY: A great wave of reform was sweeping the nation when Roosevelt took office. His energetic personality fit the times nicely. He emulated Hamilton’s vision of a strong monarch in the executive position—a head of state beholden to no one including, in the strictest sense, the Constitution.
“I declined to adopt the view that what was imperatively necessary for the nation could not be done by the President unless he could find some specific authorization for it. My belief was that it was not only his right but his duty to do anything that the needs of the nation demanded unless such action was forbidden by the Constitution or by the laws ...”603
Ruler’s Law: Roosevelt called for a faster, easier way to amend the Constitution, he smothered states’ rights, he forced minimum wages and child labor laws, he restricted work hours for women, he imposed the eight-hour work day, he called for Social Security insurance for everyone, and he granted legal protections of unions. All of these fell into the category of Ruler’s Law, and gave foundation to the New Deal that would come 20 years later.
598 Justice Robert Grier, 67 U.S. 635 (1862).
599 Kelly & Harbison, The American Constitution, p. 438.
600 Abraham Lincoln letter to A. G. Hodges, April 4, 1864.
601 Messages and Papers of the Presidents, Vol. IX, p. 301.
602 Annals of America, Vol. II, p. 481.
603 Theodore Roosevelt, The Autobiography of Theodore Roosevelt, 1913, emphasis added.
604 Attributed to Roosevelt but may have been taken from Albert J. Beveridge’s speech to the Senate on January 9, 1900. See Congressional Record, Senate, 56th Congress, 1st session, January 9, 1900, pp. 704-712.
Chapter 82: U.S. Presidents and Socialism, continued
—Taft, Wilson, Hoover, FDR, Truman—
In both peace and war, the ruling executives of the United States are bound by oath to uphold, defend and protect the U.S. Constitution. Did they?
By the first decade of the 1900s, freedom in the United States was being threatened—not by an outside force, but by the American people themselves. It seemed people were willing to abandon some of their rights in exchange for a more secure although regimented way of living. It was the beginning of the loss of freedom that would bear costly fruit in the decades that followed.
PRESIDENT: William Howard Taft (served 1909-1913)
LEGACY: A progressive beholden to the Constitution
STORY: Taft was a mixed Progressive. On the one hand, he worked to expand the power of the federal government and judges to create law rather than to apply law. On the other hand he put more emphasis toward constitutional restraints on the presidency.
“The true view of the Executive functions is,” he wrote in 1916, “as I conceive it, that the President can exercise no power which cannot be fairly and reasonably traced to some specific grant of power or justly implied and included within such express grant as proper and necessary to its exercise. Such specific grant must be either in the federal Constitution or in an act of Congress...”605
The new income tax had seven brackets. The lowest bracket was 1 percent on incomes up to $20,000 (equal to $435,292 in 2011 dollars). The highest bracket was 7 percent on incomes above $500,000 (equal to $11.3 million in 2011 dollars).606
PRESIDENT: Woodrow Wilson (served 1913-1921)
LEGACY: Human nature and Constitution must evolve
STORY: Wilson thought the original Constitution was designed for a simpler time and he looked to abolish the restrictions that prohibited him from meeting the challenges of the modern day.
He wanted Congress to delegate some of its law-making responsibilities to “the experts” in the executive branch. He was an elitist and believed people were too ignorant to understand the complexities of politics—they needed government to do for them all those things that were necessary and good.
Wilson’s mentor and sounding board was Colonel E. Mandell House, chief advisor, an advocate of Marxist socialism, and the man Wilson called “my second personality. He is my independent self. His thoughts and mine are one. If I were in his place I would do just as he suggested.”607
Through the formation of federal agencies, Wilson exerted vast amounts of power without direct accountability. From that framework, Wilson proceeded to subvert the Constitution with a long list of progressive reforms that forever changed America.
PRESIDENT: Herbert Hoover (served 1929-1933)
LEGACY: Grandfather of the New Deal
STORY: Hoover was a Progressive at heart, a benevolent socialist, and believed that top-down control of the economy could avert recessions and bring about prosperity. In 1921, he was appointed secretary of commerce where he began his intervention ideas, and later led America into economic ruin.
PRESIDENT: Franklin D. Roosevelt (served 1933-1945)
LEGACY: Father of the New Deal, New Nationalism
STORY: Before Roosevelt took office, signs were present that the Depression had bottomed out and the economy was on the rise. This wasn’t unusual—the economy had recovered from dozens of prior problems without any big government intervention. Despite all the stark suffering with millions of people out of work and billions of dollars lost in savings and investments, there still remained a large 75 percent of the private economy that continued to crank away, offering the same kinds of recovery potential as it had in panics past.
Roosevelt’s New Deal programs scared many business people. Their comfort level for investing in new activities rose and fell with their confidence in the various New Deal ideas put forward.
Stranger Danger: The more Roosevelt intervened with his plethora of programs, the more nervous he made the investors. His policies created an unpredictable investment world with property rights evaporating and various schemes of price fixing, wage fixing, production limitations, and reduction of farm acreage all justifying a great deal of doubt and worry.
“Business leaders sincerely believed that the government was in evil hands,” said historian Herman Krooss in 1970. It led people to believe the government was “preparing the way for socialism, communism, or some other variety of anti-Americanism.”619
In 1939, Joseph Schumpeter took note of this phenomenon of fear. “They are not only, but they feel threatened,” he said.620
If It Ain’t Broke, Don’t Fix It: With the economy slowly recovering when Roosevelt took office, the sudden onslaught of his New Deal legislation panicked investors, and millions of Americans became bewildered and confused. Dozens of new laws and regulations would bury the “old way” forever, and foolishly prolonged the Great Depression by years. By the end of the long Depression, America was less free, and socialism was here to stay.
Economic Bill of Rights: In 1944, Roosevelt declared the Constitution and the Bill of Rights “inadequate to assure us equality in the pursuit of happiness.”621 The solution he proposed was a new Bill of Rights that included economic guarantees.
Every American, he said, has a right to a job, a “living wage,” freedom from unfair competition, a home, medical care, an education, unemployment protection, and retirement security through generous tax-supported Social Security. His list of ideas was a nice taste of double-talk—all promises but no attention to the dissolution of individual rights that implementing such ideas would require.
Before he was finished, Roosevelt used government force to change and control America in a very fundamental and permanent way.
PRESIDENT: Harry S. Truman (served 1945-1953)
LEGACY: Father of Fair Deal, grandfather of health care
STORY: Truman’s major steps toward socialism included his so-called Fair Deal. One of its major promises was a national health-care program. It was an enormous proposal. Truman wanted to build hospitals and clinics all over the U.S., guarantee wages for doctors and nurses so it didn’t matter where they worked, and create a branch of government that would oversee who got the money and if standards were being met.
The most controversial part of the plan was national health insurance—available to everyone, and run by the government. The proposal came to Congress as an expansion of the Social Security Act, and was called the W-M-D bill. It failed to win passage.622
Truman tried to remove recently imposed controls on unions set by the Taft-Hartley Act of 1947. The Act restricted unions’ ability to strike and controlled how their funds could be used in elections. It also allowed states to bypass unions with their own right-to-work laws. The Act gave employees the right to get a job without being forced to join a union. Truman tried to veto the Act but failed.
Truman’s other activities to expand the government were carried forward as if the enumerated powers of Article 1.8 didn’t really exist. By the close of his administration, his actions helped underscore the assumed power of the federal government to use its enormous financial resources to shape America in whatever direction it pleased.
605 Our Chief Magistrate and His Powers, NY: Columbia University Press, 1916.
606 U.S. Federal Individual Income Tax Rates History, 1913-2011, Nominal and Inflation Brackets.
607 Charles Seymour, The Intimate Papers of Colonel House, Vol. 1, pp. 114-115.
608 U.S. Constitution, Article 1 Section 8.
609 Woodrow Wilson, The State, D.C. Heath & Co., 1889, p. 651, para. 1255.
610 Woodrow Wilson, Constitutional Government in the United States, The Columbia University Press, p. 70, 1908.
611 Woodrow Wilson, Socialism and Democracy, 1887.
612 Woodrow Wilson, Leaders of Men, 1890.
613 Woodrow Wilson, Socialism and Democracy, unpublished essay, 1887.
614 William J. Barber, From New Era to New Deal: Herbert Hoover, The Economists, and American Economic Policy, 1921-1933, New York: Cambridge University Press, 1985, p. 15.
615 Herbert Hoover, address to Congress, December 2, 1930.
616 Herbert Hoover, The Memoirs of Herbert Hoover, Volume 2: The Cabinet and the Presidency 1920-1933, p. 104.
617 Bureau of the Census, 1976.
618 Herbert Hoover, State of the Union Address, December 3, 1929.
619 Herman E. Krooss, Executive Opinion: What Business Leaders Said and Thought on Economic Issues, 1920s-1960s, 1970.
620 Joseph A. Schumpeter, Business Cycles: A Theoretical, Historical, and Statistical Analysis of the Capitalist Process, 1939.
621 Franklin D. Roosevelt, State of the Union Message to Congress, January 11, 1944.
622 See President Truman’s Proposed Health Program, November 19, 1945, Harry S. Truman library, www.trumanlibrary.org
Chapter 83: U.S. Presidents and Socialism, continued
—Kennedy, Johnson, Nixon, Carter, Reagan—
In both peace and war, the ruling executives of the United States are bound by oath to uphold, defend and protect the U.S. Constitution. Did they?
As America moved into the baby-boomer era, the government was no longer a manager of the post-war growth spurt of a rapidly growing nation. It had become the financial savior and instigator of all things “progressive.” The presidents who came along during this period not only wanted to expand their executive power into building an empire, but they discovered they could do it with relative ease. The checks and balances that should have stopped presidential expansion of power had largely been neutralized.
PRESIDENT: John F. Kennedy (served 1961-1963)
LEGACY: New Frontier and unfinished business
STORY: Kennedy’s expansion of government continued to socialize the nation, but with some surprisingly conservative actions that subsequent democrats failed to embrace. His record includes:
Despite those actions, Kennedy took some positive steps to reduce federal power over the country.
PRESIDENT: Lyndon Johnson (served 1963-1969)
LEGACY: Perpetuated New Deal with “Great Society”
STORY: Johnson’s expansion of government and injection of socialism did more to prove the negative consequences of socialism in America than anyone since FDR.
Johnson’s Act led to forced busing, forced housing, reverse discrimination, and the violation of constitutional protections to negotiate contracts and control property.
The issue has never become free from doubt and debate. With case after case, the Supreme Court forced a situation that would have fared much better had it evolved naturally without government force. Improved racial harmony has grown in spite of the Civil Rights Act, not because of it.631
In 1964, welfare spending was around $40 billion. Today it exceeds a trillion dollars—a 13-fold increase even after adjusting for inflation.632 The “war” failed to contain costs.
In 1964, children born to unwed mothers was at 10 percent. By 2010, it was 41 percent.633 The “war” failed to heal this and other foundational perpetuations of poverty in America.
Welfare for 2012: President Obama’s 2012 budget for welfare exceeded $1.5 trillion (Social Security—$754.5 billion; Medicare—$484.3 billion; Medicaid—$274.5 billion)—about 41 percent of the total budget.634 Johnson’s socialistic “war” failed to stem the snowballing effect of welfare growth.
Since the 1960s, the U.S. has spent more than $16 trillion on welfare, and President Obama proposed another $10.3 trillion for the decade of 2009-2018. Poverty under socialism is here to stay.
Johnson’s war on poverty was a colossal failure. The whole fabric of society was polluted beyond repair, and millions of lives were ruined because of the entitlement mentality. His program made things worse, for lack of—
Decreased Spending: Johnson’s programs did not roll back welfare spending or offer fixes and solutions.
Work Requirement: His programs did not ask for so many hours of work in exchange for so much assistance.
Loan Option: He did not offer aid in the form of loans. Instead, the checks were generously doled out—no strings attached.
Correct Incentives: He offered more welfare for each baby born out of wedlock, but did not similarly try to encourage marriage as a means of stemming unintended pregnancies and to support the family with an income.
Immigration Control: Johnson didn’t restrict immigration to those with higher education who could bring marketable value to the country instead of instant dependency.
Medicare became a nationwide health-care program paid for by income taxes. It was set up to help the elderly receive health care, to kick in at retirement with Social Security benefits.
Medicaid was a welfare program set up to help the poor and disabled. Because it matched a state’s health-care expenses it inadvertently created an incentive for states to spend more on the poor. Medicaid pays doctors much less than other insurances, so few physicians can afford to accept Medicaid patients.
These two programs are the natural outcome of a culture so inoculated against the aspirations of freedom that its people became dependent on the government for survival. Wherever such dependency becomes the accepted norm, the dependent feel trapped and will always vote for the candidates who will assure the continuation of their welfare support.
This kind of system is automatically doomed to failure. The needs of the consumers will always outgrow the capacity of the producers—it is a basic law of economics that is usually ignored.
PRESIDENT: Richard M. Nixon (served 1969-1974)
LEGACY: Inflated regulatory controls
STORY: Nixon expanded the reach of federal agencies more deeply into business and commerce than any president since World War II. When he resigned in 1975, the Federal Register—the record of new regulations for businesses—had doubled in size, becoming that much more of a drag that slowed America’s expansion and prosperity.
Billions in private projects and jobs have been voided by the EPA, and that same form of control has been expanding globally. Versions of the EPA are uniting advocates through the U.N. to put U.S. freedoms under the jurisdiction of a single ruling international body.
PRESIDENT: Jimmy Carter (served 1977-1981)
LEGACY: A thrifty socialist who just wanted peace
STORY: Carter’s turn at the Oval Office came during a tumultuous period of high inflation, a recession, and an energy crisis. In the midst of these, Carter took significant steps toward reining in government spending and issuing new regulations.
PRESIDENT: Ronald Reagan (served 1981-1989)
LEGACY: Conservative Constitutionalist who won Cold War
STORY: Reagan was the first in a long time to attempt to turn the country back to its fundamental roots. His so-called “Reaganomics” called for lowering taxes to stimulate the economy. He survived an assassination attempt, and brought a new level of respectful dignity to the executive office, mixed with self-effacing humor that endeared him to foreign leaders and tens of millions around the world.
Reagan was tough, smart, better read than most people realized, and exhibited leadership principles that caught most critics off guard. He is remembered for igniting prosperity that carried into future administrations, salvaging and energizing American morale, and reducing their dependence on the government. He crushed the Soviet empire with a spending program that dug a deep deficit but ended decades more of exorbitant spending.
A mistake he regretted was signing the legislature’s pro-abortion act. He said later he should have vetoed it. Reagan maintained a strong pro-life position from that time forward. He was also pro-capital punishment, anti-welfare, and in favor of shrinking the government and lowering taxes.
To finance federal programs while stimulating the economy, the national debt grew from $997 billion to $2.85 trillion, a burden Reagan described as the greatest disappointment of his presidency.
Ronald Reagan changed world history for the better.
623 John F. Kennedy, The Work Done and the Work Still To Do, a speech before the AFL-CIO Convention, November 15, 1964.
624 See SNAP Annual Statistics provided at www.fns.usda.gov.
625 Michael O’Brien, John F. Kennedy: A Biography, 2005.
626 John F. Kennedy, Annual Budget Message to the Congress, January 17, 1963.
627 John F. Kennedy: “Executive Order 11110 - Amendment of Executive Order No. 10289 as Amended, Relating to the Performance of Certain Functions Affecting the Department of the Treasury,” June 4, 1963.
628 John A. King, John R. Vile, Presidents from Eisenhower through Johnson, 1953-69 p. 95.
629 Congressional Quarterly, Volume 1, 1945-1964 (1965) p. 434.
630 Public Law 88-408, by the 88th U.S. Congress.
631 Alfred H. Kelly and Winfred A. Harbison, The American Constitution, Its Origins and Development, 1970, pp. 914-973.
632 Congressional Office of Management and Budget.
633 U.S. Department of Health and Human Services, National Vital Statistics Report, December 2010.
634 U.S. Office of Management and Budget, Budget of the U.S. Government, Fiscal Year 2012: Historical Tables, pp. 73-74, (figures adjusted for inflation).
635 A popular myth that Carter deregulated the beer industry grew out of a misinterpretation of H.R. 1337, a bill signed by Carter in 1978 to amend the IRS code regarding excise taxes. H.R. 1337 did several things, including lifting excise taxes on home-brewed beer and wine if certain conditions were met. The bill didn’t deregulate the commercial aspects.
636 Communist goal: In Toward Soviet America, William Z. Foster said (in 1932), “Among the elementary measures the American Soviet government will adopt to further the cultural revolutions are the following: the schools, colleges and universities will be coordinated and grouped under the National Department of Education and its state and local branches.”
637 See New York Times, Nixon Approves Limit of 55 MPH, January 3, 1974.
638 Jeffery Kahn, NewsCenter, UCBerkeley News, June 8, 2004.
639 Richard Lebow and Janice Stein, Reagan and the Russians, The Atlantic, February 1994.
640 See James M. Scott, Deciding to Intervene: The Reagan Doctrine and American Foreign Policy, Duke University Press, 1966, p. 63.
Chapter 84: U.S. Presidents and Socialism, continued
—Bush, Clinton, G.W. Bush—
In both peace and war, the ruling executives of the United States are bound by oath to uphold, defend and protect the U.S. Constitution. Do they?
After Reagan rescued the economy and national spirit by winning the Cold War, subsequent presidents and congresses acted as if growing the size and intrusion of government was their most important job. No longer was it the goal of politicians to shrink entitlement programs to the point of elimination, no longer was it allowing unregulated innovation and growth, no longer was it the private sector doing all the expansion—instead, it was all about taxes. How many new programs could government invent to justify more taxes, more spending, more borrowing? The Founding Fathers’ most abstract nightmares had at last become formalized and institutionalized. It was the new American way.
PRESIDENT: George H. W. Bush (served 1989-1993)
LEGACY: Implemented additional civil rights socialism
STORY: Bush had big shoes to fill. Reagan had just broken the back of the Soviet Union so freedom could rush in, his deficit-spending programs had to be curtailed, and there were tyrants loose in the world. Besides growing taxes, spending, government, and negotiating NAFTA, Bush pushed America away from freedom with another New Deal program—
Americans with Disabilities Act of 1990 (ADA)
The ADA falls into the category of civil rights socialism. The Act, another attempted “one size fits all” program, forces anyone dealing with the public to comply with rules set by the federal government, or be exposed to a costly law suit. The courts protected this position and allowed untold thousands of legal proceedings against companies failing to meet the rules.
Violated Interstate Commerce: Telling a state how to conduct its business, create its infrastructure, or protect its citizens was not a federal prerogative prior to the Progressive period. Such power in the ADA is a continuation of the same New Deal/Great Society expansion of federal power.
Violated Tenth Amendment: The Founders left nearly everything to the states because they knew how top-level government grows to abuse the people. The states do a better job of discovering reasonable solutions to problems than do far-removed regulatory agencies. Contrary to its legislative intent, the ADA and its close cousin, the Equal Employment Opportunity Commission, actually reduced employment of the disabled by 10 percent in the first five years after the ADA’s enactment.641
Reverse Discrimination: The ADA discriminates against the able bodied, forcing them to expend resources to accommodate other people. These additional expenses made hiring the disabled too expensive, and many employers avoided those added costs by turning to other solutions.
Example of Fabian Socialism: The Fabians promote socialism in this stealth-like fashion—not specifically the ADA, but as an over-all goal to replace individual freedoms with friendly-sounding Acts. Who could possibly be against a bill that prevents discrimination against people with disabilities? That is how Fabian socialism does its work. With Bush’s signature on the ADA, more liberty was lost—but “for a good cause,” his supporters said.
PRESIDENT: Bill Clinton (served 1993-2001)
LEGACY: A folksy socialist plagued with womanizing
STORY: Clinton and Al Gore’s opening agenda was called “Putting People First.” It was, in reality, a campaign to put government first. Toward the end of his second term he made his intentions more clear.
“Our government is a progressive instrument of the common good,” he said in his 1999 State of the Union address, “... determined to give our people the tools they need to make the most of their lives.”
The only tools his administration gave to the American people were more taxes, more regulations, and more controls.
“We can’t be so fixated on our desire to preserve the rights of ordinary Americans to legitimately own handguns and rifles—it’s something I strongly support—we can’t be so fixated on that that we are unable to think about the reality of life that millions of Americans face on streets that are unsafe...”642
“Whitewater”—While Bill was governor of Arkansas, the Clintons were accused of political improprieties in a failed Arkansas real estate venture.
“Travelgate”—The Clintons were charged with misuse of the FBI to bring fraudulent charges against White House employees whom the Clintons wanted fired.
“Filegate”—The Clintons were accused of collecting and storing confidential background FBI files on former White House employees.
Paula Jones sued Clinton for sexual harassment. Clinton claimed he was protected from private lawsuits by presidential immunity until his term expired. The Supreme Court disagreed. By a vote of 9-0, the Court said Clinton could not postpone the trial while serving as president. Clinton ultimately settled out of court for $850,000. Other sexual harassment cases came to light (Juanita Broaddrick, Gennifer Flowers, Kathleen Willey, Elizabeth Ward Gracen, and Sally Perdue, among others.)
Lewinsky—Depositions from the Paula Jones case exposed Clinton’s sexual relationship with 22-year-old White House intern Monica Lewinsky from 1995-1997. He was impeached by the House of Representatives for perjury and obstruction of justice.
Does character matter? Does a president’s private life impact his public life? The Founders thought so and with constitutional restraints they chained down the government so human flaws, jealousies, vices, and passions would not play out on the national scene. But the Constitution can only go so far—personal virtue and work ethic must fill in the rest.
Since the erosion of those values, people like the Clintons have been free to work the system to attack opponents, subvert fairness, and promote their private agendas through force and intimidation.
PRESIDENT: George W. Bush (served 2001-2009)
LEGACY: Grew government and undermined rights
STORY: When Bush ordered the invasion of Iraq in response to the terrorist attacks of September 11, 2001, circumstances seemed to justify tolerating some temporary war-time powers. However, the intrusion into private lives that followed was unprecedented.
While some elevated Bush as highly conservative for invading Iraq and cutting U.S. taxes, Bush ran on a different frequency. “We have a responsibility,” he said, “that when somebody hurts, government has got to move”—a concisely enunciated declaration of socialism’s moral article of faith that big government should serve as everyone’s savior.645
George W. Bush hurt America with policies of protectionism, increased federal spending, enormous budgets, massive bailouts, and nationalized portions of the economy.
These actions, among others, exposed the Bush Administration as just another in a long line of leadership behaving as if the chore of expanding government’s power was correct and needful.
The Act removed local control and imposed a one-size-fits-all approach. For all of its positive intentions, it earns a failing grade from the Founding Fathers’ better idea of leaving it to the states.
The 9/11 attacks illustrated how national security has become an extremely complex process for America’s open society. Nevertheless, a solution that better safeguards constitutional rights should quickly replace the Patriot Act.
641 Thomas DeLeire, The Unintended Consequences of the Americans with Disability Act, Regulation magazine, Volume 23, No. 1, 2000, pp. 21-24.
642 Bill Clinton, remarks in New Brunswick, New Jersey, March 1, 1993.
643 103rd Congress, H.R. 1804, Goals 2000: Educate America Act.
644 For example, see Gregory Korte, AmeriCorps fraud seldom followed up, USA TODAY, February 8, 2011, Jim Bovard, Bush’s AmeriCorps Fraud, Freedom Daily, September 2007.
645 George W. Bush, Labor Day remarks, 2003, to the Ohio Operating Engineers.
646 See, for example, FBI targets fraud in TARP, stimulus fund, Reuters, June 2, 2009.
647 Ellen E. Schultz, Theo Francis, How Cuts in Retiree Benefits Fatten Companies’ Bottom Lines, The Wall Street Journal, March 16, 2004; Bruce Bartlett, Impostor, 2006, p. 78.
648 Citizens Against Government Waste, Critical Waste Issues, www.cagw.org.
Chapter 85: U.S. Presidents and Socialism, conclusion
In both peace and war, the ruling executives of the United States are bound by oath to uphold, defend and protect the U.S. Constitution. Did he?
The blight on President Barack Obama’s presidency is that he made another of those blatant reaches for power that so many presidents in the past have made by offering everything to everyone. Basic economic restraint was rejected for the bailout, raising the debt ceiling, the borrowing, and the numerous dictatorial rulings outside the controls of Congress, largely to support political activism instead of political stability. After six years in office, the president had cut an ugly swath through the heart of United States with $8 trillion in new debt, a massive shift of priorities toward entitlement that he blithely minted as “hope and change.”
PRESIDENT: Barack Obama (served 2009-2016)
LEGACY: Imposed national health care and European-style socialism, to the detriment of job creation and individual rights.
STORY: The Obama administration first campaigned on “hope and change” without specifying what change they had in mind except to “fundamentally change America.” As the months unfolded into years, a supportive Senate and Congress (until 2011) made it abundantly clear—Obama’s goal was to close the doors on numerous constitutional freedoms. Instead of moving to solve the nation’s complex problems, he divided the nation along economic lines, granting favors to supporters, financing favorite projects, and using envy to stir demand for forceful redistribution of the wealth. Instead of uniting people of all political persuasions behind common goals—a sign of wisdom and seasoned leadership—he pitted one against the other, often in violation of his executive authority, and few tried to check him.
Obama’s administration will be remembered as a government-intensive transition in U.S. history when the fruits and lessons of socialism had not yet become fully realized in America. In the aftermath of his trillion-dollar annual borrowing and spending sprees, millions of people were left suffering.
Acting out Alexander Hamilton’s grandest visions of a president with all power, Obama plunged the nation into unrecoverable debt that created a welfare class unlike any in the history of the country. It would not have been possible without the cooperation of the other branches in government. When Congress became controlled by more level headed thinkers, the damage was slowed but not stopped. A random sampling from his imperialistic presidency includes—
Team Spokesman—Taking from the “haves” and giving to the “have-nots” is a primary pillar of socialism. Sen. Max Baucus (D-Montana), explained how Obama’s health care achieved exactly that—a redistribution of wealth using health care. Baucus said the bill was to be “an income shift ... a leveling to help lower-income middle income Americans. Too often ... the mal-distribution of income in America is gone up way too much, the wealthy are getting way, way too wealthy, and the middle income class is left behind. Wages have not kept up with increased income of the highest-income Americans. This legislation will have the effect of addressing that mal-distribution of income in America.”649
Friends of the Regime—Unfair preference is allowed for some businesses to opt out of ObamaCare. Thousands of waivers have been issued, the bulk going to labor unions. In 2011, about 20 percent went to businesses in Nancy Pelosi’s district (she was the House leader pushing ObamaCare).650 Harry Reid’s home state (Nevada) received a blanket waiver (he led the Senate push to pass ObamaCare).651
Death Panels—The Independent Payment Advisory Board is a group of 15 people the president appointed to shrink Medicare. Their decisions are law, reversible only by a 3/5ths majority vote in the Senate. They are beholden to no one and have power to reduce Medicare checks.652
Not Interstate—Obama claimed authority to regulate national health insurance based on Article 1.8 of the Constitution that allows congressional control over interstate commerce. The flaw here is that insurance isn’t interstate—it is offered and serviced inside state boundaries. In 2012, the Supreme Court supported the Constitution, saying the personal mandate in ObamaCare was not constitutional, although it allowed it on the basis of Congress’s power to tax.
Unchangeable?—Language in the health-care bill banned future Congresses from changing or amending the bill. This violated Article 1.1 that states only Congress is authorized to make law, including the right to alter, amend, and change the health-care bill. To deny this power is to violate Article 5 which outlines the amendment process—the only means whereby Congress could be stripped of its duty.
Unable to Unify—In 2013, the U.S. Congress refused to fund the Affordable Care Act, but the Senate refused to go along, and the two philosophies hit head on. The result was a government shutdown. The Obama administration responded by inconveniencing as many people as possible. The list of actions his administration took is long and ugly, such as closing national parks and ordering staff to inconvenience people, thereby stopping tourism and hurting local businesses, preventing access to private property because government roads were used, shutting down websites upon which people depended, refusing permission to allow military chaplains to work for free, refusing permission to allow rowers onto the Potomac River, closing military commissaries, etc.
The House Republicans passed numerous bills to keep those services functioning, but the Democrat-controlled Senate refused to bring them to a vote so the pain would remain. And all the while, Obama kept telling the press he was willing to negotiate. The public wasn’t fooled, and in the end, Obama’s approval rating sank below 40 percent for the first time in his administration.
Distorted Objectives Smoothed Over—The roll-out of the Affordable Care Act depended almost exclusively on a website at which people could sign up for health insurance help. When the deadline arrived on October 1, 2013, the website crashed, and not just once, but all day, every day, for hours at a time. It became a national joke and was part of the national news reporting, day and night. Then came news that people were losing their existing insurance plans, something Obama promised would never happen.
The Washington Free Beacon documented at least 36 times that the president promised that under Obamacare, no one would lose their existing health plan if they wanted to keep it, and, the premiums would drop in price across the board.653 Obama said in 2009, “If you’ve got health insurance, you like your doctors, you like your plan, you can keep your doctor, you can keep your plan. Nobody is talking about taking that away from you.”654 As of this writing, it is estimated some 52,000,000 Americans will lose their insurance plan as a result of Obama’s Affordable Care Act.655
As millions were dropped by their insurance companies, Obama announced on November 14, 2013, that private insurance companies were compelled by the government to reinstate their lost customers for one more year. He called the free-market system “the old individual market,” and his plan “the new marketplace,” and reminded everyone that with 40 million Americans suffering without insurance before his fix, he would not allow others to “drag us back into a broken system.” These statements are recent examples of information control as described on page 7, that the new way trumps the old and should be embraced.656
“One of the ... tragedies of the civil rights movement,” Obama said on radio, “was ... because the civil rights movement became so court focused I think there was a tendency to lose track of the political and community organizing and activities on the ground that are able to put together the actual coalition of powers through which you bring about redistributive change. In some ways we still suffer from that.” 658
Obama’s Healthy, Hunger-Free Kids Act of 2010 provided free lunches for 100 percent of students in schools where at least 40 percent were on welfare, regardless if the other 60 percent qualified or not. If there were illegal children enrolled at the school, that percentage could be added to the number of welfare kids in order to achieve the qualifying 40 percent.671
Obama justified his actions because Congress would not comply with his demands for an amnesty program, the so-called DREAM Act. “I’ve said this time and again to Congress,” he said. “Send me the DREAM Act, put it on my desk, and I’ll sign it.”673 For lack of congressional obedience, Obama ignored and violated the Constitution to get his way. It also served to attract an untold number of Hispanic voters, legal and not, to his reelection campaign.
The ulterior motive became clear when Holder’s anti-gun supporters spoke up in his defense. For example: “And the problem is, anybody can walk in and buy anything,” Senator Dianne Feinstein (D-CA) said. “...So, the question really becomes, what do we do about this?”675
Fast and Furious was responsible for putting guns into the hands of people who killed a U.S. Border Patrol agent, and, hundreds of Mexican citizens. Holder denied knowledge of the operation, and then documents emerged showing he did know, and that he had lied to Congress. When Congress asked for 1,300 pages of documents that might shed some light on the smoking gun, Obama invoked executive privilege to prevent the transfer, thus raising more questions that the president himself might be implicated.676
When a chorus of angry voices called President Barack Obama a socialist, they weren’t necessarily pointing to his scurrilous affiliations, his secretive history, or his influential mentors who declared themselves adherents to communism. They may not even have pointed directly at the dictionary definition of socialism, or party affiliation.
They were responding with fear to suspicions about his true motives. They had been frightened by his declared goal to “fundamentally change America.” They saw him empowered to do as he pleased by exploiting an emerging American aristocracy driven by greed and bent on micromanaging private lives beyond the control of the people. They saw him threaten the free market with uncontrollable government force beyond the bounds of the original Constitution. They saw him smother every aspect of American life beneath growing mountains of new regulations, controls, and unrecoverable debt to purchase with indulgences the temporary salvation of his supporters. They watched him turn America into Europe, and worse.
Starting with his first term, Barack Obama, with support from Nancy Pelosi in the House, Harry Reid in the Senate, and some 69 million American voters, established a new order of elitist authority in the United States that will—like all other attempts at socialism—assuredly, predictably, and eventually collapse this nation in failure.
Those hard-working Americans who produce the wealth and drive prosperity forward will not carry on their backs so many millions of stagnated welfare consumers for much longer. Higher taxes, more regulations, continued flaunting of constitutional restraints, frequent excusing of corrupted public officials, disparaging traditional American and Judeo-Christian values—all of these added together are bringing about the accelerated slide into national bankruptcy of America’s economy and America’s honored virtues. The nation’s producers are not able to long stand against such a tide reared up against them, especially when it mocks and ridicules their values from behind the iron fist of government force.
Socialism is a rainbow of gray that frowns across America in shades of guilt and envy, promising no pot of gold, but to the rulers. Obama’s raid on the treasury was like no other before him. He doled out his rewards and favors to followers whose American dreams had been dashed upon the rocks of a corrupted economy, failed work ethic, and loss of hope—all at a time when the culture of America stood in its greatest need of correction and a course turned back to its fundamental principles. Obama failed to see that necessary corrective action, and did just the opposite.
Eating the Elephant a Teaspoon at a Time
The sampling of U.S. presidents and their advancement of socialism, as summarized in the preceding 30 pages is by no means complete, nor is it intended to give equal time to the positives of each man. It serves to illustrate how quickly a nation founded on principles of property rights and individual freedoms can lose them when the virtues of self reliance and circumspection are abandoned.
Is it fair, then, to call a president who enabled the loss of so many freedoms, who used government force to control and change society, who expanded federal power and eroded private liberty, a true-blue dyed-in-the-wool through and through socialist?
Great Nations Fall First From Within
For most of America’s first 225 years, there was no external force in the world that could take this nation down. Peace and prosperity were confidently guaranteed.
In retrospect, it is also clear that many of the troubles that plague the United States today never could have materialized had the country stayed true to its founding principles. But it didn’t.
The changes that voided the warranty on liberty didn’t come all at once. The leftward list toward Ruler’s Law came by small degrees, even fractions of degrees. It came in the form of unrestrained expansions of presidential power, unrestrained taxation and spending by Congress, and unrestrained re-interpretation of the Constitution by the Supreme Court. It came by the corruption and loss of national virtue that tends to follow the growth of prosperity. And, it came by the subsequent rewriting of the Constitution—not by amending it as much as by gross neglect.
Therefore, even if a president’s unconstitutional imposition on the American people is not a declared act of socialism, it is proof he is certainly thinking like a socialist—ever seeking government force to control society, to create the United States in his own image. Said Obama in August 2012, “Do we go forward towards a new vision of an America in which prosperity is shared?”677 Sharing prosperity—the ages-old promise of all socialist-minded dreamers, and the verbal poison that destroys, always destroys, without fail. And yet many entitlement-minded Americans loved hearing it and gave Obama a second term to finish the job.
Is he a socialist? As the ancient poet of Proverbs678 and the more modern philosopher of truths James Allen679 both astutely observed, “They themselves are makers of themselves ... for as a man thinketh in his heart, so is he.”
Learning to Recognize Socialism
Part XV--SOCIALISM AROUND THE WORLD
“... Vagabonds and beggars have of long time increased, and daily do increase ... being whole and mighty in body, and able to labour ... there to put himself to labour, like as a true man oweth to do.”
649 Max Baucus, speech on Senate floor, March 25, 2010, recorded by C-SPAN.
650 Matthew Boyle, Nearly 20 percent of new Obamacare waivers are gourmet restaurants, nightclubs, fancy hotels in Nancy Pelosi’s district, The Daily Caller, May 17, 2011.
651 Health Law Waivers Draw Kudos, and Criticism, New York Times, March 19, 2011.
652 See, for example, Scott W. Atlas, M.D., IPAB: President Obama’s NICE Way to Ration Care To Seniors, Forbes, October 21, 2012.
653 David Rutz, 36 Times Obama Said You Can Keep Your Health Plan, Washington Free Beacon, November 5, 2013.
654 ABC News, President Obama Continues Questionable Promise, July 10, 2009.
655 McClatchy DC, Analysis: Tens of millions could be forced out of health insurance they had, November 7, 2013
656 All quotes from a White House news conference addressing the cancellation of healthcare policies under the Affordable Care Act, November 14, 2013.
657 Barack Obama, speech at Shaker Heights High School, Shaker Heights, Ohio, recorded by C-SPAN, January 4, 2012, emphasis added.
658 WBEZ interview of Senator Barack Obama, 2001, emphasis added.
659 Senator Barack Obama gave a lengthy speech in support of TARP on the floor of the Senate on October 1, 2008.
660 The New York Times, Obama’s Interview Aboard Air Force One, Transcript, published March 7, 2009.
661 U.S. Department of Health & Human Services press release, June 28, 2013.
662 Renae Merle and Dina ElBoghdady, Obama Readies Steps To Fight Foreclosures, Particularly For Unemployed, The Washington Post, March 26, 2010.
663 New York Times, U.S. Winds Down Longer Benefits for the Unemployed, May 28, 2012.
664 U.N. Security Council press release, 6191st Meeting, September 24, 2009.
665 New York Times, The Final Numbers on ‘Clunkers,’ August 26, 2009; New York Times, Was the Car Rebate Plan a Clunker?, October 30, 2009.
666 Obama Signs Overhaul of Student Loan Program, The New York Times, March 30, 2010; Sen. Lamar Alexander (Tenn.) who was a former U.S. Secretary of Education.
667 Ed O’Keefe, Eric Yoder, Boehner’s Comments Revive Debate On How To Tally Federal Workers, The Washington Post, February 17, 2011.
668 Lachlan Markay, IRS Requests Army of Bureaucrats to Facilitate ObamaCare Implementation, The Washington Examiner, February 17, 2011.
669 Sean Alfano, Arizona immigration law SB 1070 draws lawsuit from Department of Justice, Daily News, July 6, 2010; see Arizona Senate Bill 1070, 2010.
670 See SNAP Annual Statistics provided at www.fns.usda.gov.
671 See Public Law 111-296-Dec. 13, 2010, at www.gpo.gov.
672 See Peter J. Wallison, The Dodd-Frank Act: Creative Destruction, Destroyed, American Enterprise Institute, July-August 2010.
673 FoxNews and AP, Obama suspends deportation for thousands of illegals, tells GOP to pass DREAM Act, June 15, 2012.
674 C-SPAN, January 30, 1995, brought to light in 2012 by researchers at Breitbart.com.
675 Fred Lucas, Feinstein Uses Fast and Furious to Make Case for National Gun Registration, CNSNews.com, November 1, 2011.
676 USA TODAY, Obama claims executive privilege, Holder held in contempt, June 20, 2012.
677 Barack Obama, said during a fund-raiser speech in Chicago, Ill, August 12, 2012.
678 Proverbs 23:7 .
679 James Allen, As A Man Thinketh, 1903.
Chapter 86: The Rise and Fall of Socialist Europe
There is an eerie similarity between today’s decaying European Union and the failed Soviet Union. Both attempted to amalgamate a variety of sovereign nations, each with its own unique culture, history, economy, resources, and national work ethic, into a single economic and political power.
Story: After centuries of wars and conflict, six of Europe’s nations decided to form a compact of cooperation. The goal was to prevent Germany and France from slugging it out in another of their costly conflagrations. Their hope was to keep the peace by intertwining mutual goals, and reviving their war-ravaged heavy industries of coal and steel production.
It started in 1950 when the nations of Belgium, France, West Germany, Italy, Luxembourg, and the Netherlands sent delegates to a round table and formed the European Coal and Steel Community. In 1957, they expanded their cooperation by treaty to become the European Economic Community. Some 36 years later, in 1993, they evolved into the European Union (EU).
Economic Powerhouse: The EU grew into one of the largest and most powerful economies in the world. By 2007, it had 492 million people in 27 nations, with a cumulative GDP of $14.8 trillion, ranking it first in the world (2010 estimate).680
Keeping Peace: Managing the EU has been convoluted by political party voting blocs, power grabs, widely divergent views on social issues, and political standoff’s.
The EU is ruled by a parliamentary system at the highest levels, fraught with political infighting that makes some nations threaten to leave. Germany is the heavyweight on the block, holding sway on many EU decisions because of its productivity, money and influence.
The Euro Burrow
In 1999, a common currency was created called the euro. As of 2012, only 17 of 27 EU nations had adopted it, and for a while the euro was on track to becoming the premier currency on the planet. And then came the 2009 debt crisis in Greece and in other EU nations.
With all EU countries taxed to support all other EU countries, and all EU countries borrowing from each other to give each other loans, it is no wonder that a toppling of any single member of that circle of dominoes could bring them all down. Saving Greece from collapse was an act of survival for the entire EU. But that wasn’t the root of the EU’s real problem. They had to save the euro. As Germany’s Merkel declared, the single-currency euro was “the glue that holds Europe together.”681
Rescuing the euro required massive bailouts by other banks. For help, George Papandreou, prime minister of Greece, turned to raising taxes: “We need a mechanism which can be funded through different forms and different ways,” he said, calling on nations to kick in “a financial tax or carbon dioxide taxes” to meet their needs.682 People watching on the sidelines wondered why taxes had to be raised. Why not stop spending? Lenders demanded austerity programs before shoveling over billions in rescue money, but the heart of the people was so accustomed to the generations of generous entitlements that cutting back was too abrupt, too archaic, and way too mean.
Standing in the Bucket
Most people know that standing in a bucket and pulling up on the handle doesn’t lift anything, not even a little. That is the problem the EU was facing with its mutual and individual country economies. The debt crisis that began around 2008 put the EU in the awkward position of borrowing from itself to lend to itself—pulling on the handle and expecting to rise.
The European Snake Eating Its Tail
The European dispensers and recipients of social welfare and social justice have long boasted of an elevated life style—shorter work weeks, generous holidays, universal health care, early retirements, full pensions, and cradle-to-grave care of the highest order. Much of this luxury has been paid for by ever-increasing taxes and the money the EU saves by not carrying the full load of self-defense—the cost of military protection has been left largely to the alliances with NATO and the American nuclear umbrella.
So, life in socialist Europe was relatively rosy for many years until it all came to a screeching halt at the foot of reality.
When the international debt crisis of 2008-09 forced the EU to examine its profligate ways, the long-ignored wreckage was massive—deeply entrenched unemployment, shrinking tax revenues, bloated budgets, growing numbers of retirees, exploding numbers of pensions coming due, and heavy welfare demands.
People weren’t dying fast enough. Longer life expectancy, lower birth rates, low economic growth, lack of productivity, too much reliance on services, lack of manufacturing, and all the problems and complexities that followed, exacerbated the rapid drain on the treasuries.
The Many Faces of a Meltdown
Same Thing All Over Again
In 2010, an economics student in Athens was quoted in the New York Times expressing his resentment that he had to pay higher taxes for his government’s extravagance. “They sit there for years,” Aris Iordanidis, 25, said, “drinking coffee and chatting on the telephone and then retire at 50 with nice fat pensions. As for us, the way things are going we’ll have to work until we’re 70.”685
Iordanidis’ comment echoed the same complaints from Plymouth, Jamestown, Harmony, and a thousand other failed socialist experiments: “Why do I have to work and pay for someone else’s luxury? Why don’t they work and pay for their own?”
Such is the nature of socialism in Europe and around the globe. People come to expect certain services from their governments. And when taxes and borrowing don’t cover the costs, economic reality forces governments to take a few steps back and reduce health coverage, pension plans, insurances, support for assorted projects, etc. And how do the people respond? With riots in the streets. It takes very little time for the entitlement mentality to grow oblivious to the basic economic realities of life; they think welfare is their God-given right.
In 1977, the French scholar and politician Alain Peyrefitte (1925-1999), identified a characteristic of hampered markets that always leads them to eventual collapse. He called it “the French Illness.”
“The state wants to assure the happiness of its citizens in spite of themselves,” Peyrefitte said. “Everything is decided at the top, far from those areas where the decisions will be imposed. Economies based on such authoritarian practices have always found it difficult to move forward. Our administration ... prefers to set prices, fix quotas, create new establishments rather than to make sure that the laws of competition are faithfully followed.”686
Peyrefitte saw in his day the eternal constant that when it comes to national economies, top-down manipulation never works. Decision makers removed from the realities of the day-to-day market activities are in no position to factor in everything necessary to make things work. He said, in short, distance makes the smart go wander.
John Maynard Keynes (1883-1946) gave “the French illness” some economic authority when he convinced most of the industrialized nations that spending money is what makes the world go ‘round. When one person spends, Keynes pointed out, another person earns. That person spends, and another person earns. This is supposed to produce prosperity for everyone. But when one person decides to stop spending and save the money, this theoretically prevents others from earning, and the whole cycle slows to a halt ... he said.
Keynes theorized that in hard economic times, going into debt was the best way to keep this cycle going. By spending for things using credit cards (even if the credit limits are in the trillions of dollars), Keynes’ idea was that more money would continue circulating, creating more opportunity for earning, spending, earning, spending, and so forth.
But that’s not what happened. Those who indulged in that philosophy spent too much and everyone went bankrupt.
The free market handles life with greater efficiency. Grandma’s traditional and time-proven principles of austerity, living within one’s means, pay-as-you-go, and working to pay off frugally-enacted loans creates healthier markets and nations. This lesson is obvious to any household or business owner, but for some reason, that clarity of prosperity becomes lost to politicians worldwide.
Managing the conflicting ideas of Keynes and the free market gave birth to decades of top-down control, central banks, and fully embracing the seven pillars of socialism—all of these working to control the markets for maximum production. Billions of people have been seduced to endure, embrace, and encourage those failed ideas.
Ruler’s Law Is Easier
There is not a purely socialist state in the world today. Every nation has a degree of free-market activity taking place, some clearly more free than others. Even in places like China, Vietnam, North Korea, Cuba, Africa, and some eastern European countries where freedom has been ground to dust, there remain some open market or black market activities that keep the government-controlled economies propped up and limping along.
Ever Promising, Never Delivering
The world’s descent into socialism is a loss of efficiency. Heavier tax burdens are placed on the populations. Dissatisfaction increases, crime rates rise, clashes with the government increase, and in some instances, full-scale rebellion breaks out and rulers are toppled. While the Middle East underwent regime changes after the first decade of 2000, most nations have continued to absorb the tyranny, giving validity to Jefferson’s observation that “Mankind are more disposed to suffer, while Evils are sufferable, than to right themselves by abolishing the Forms to which they are accustomed.”687
What are some of these forms people would rather suffer through than abolish? How have the people fared under the “Forms to which they are accustomed”?
680 The CIA World Factbook, European Union, 2011.
681 Montreal Gazette, Euro under siege as now Portugal hits panic button, Nov. 15, 2010.
682 Ibid.
683 The Guardian, Angela Merkel Casts Doubt on Saving Greece From Financial Meltdown, January 25, 2012.
684 The Guardian, ibid..
685 Steven Erlanger, Europeans Fear Crisis Threatens Liberal Benefits, The New York Times, May 22, 2010.
686 International Herald Tribune, Happiness Decreed From on High—’The French Illness’, Paris, May 1977.
687 Thomas Jefferson, The Declaration of Independence, July 4, 1776.
Chapter 87: A Snapshot of World Socialism
—Australia, Argentina, Canada, China, Cuba—
In bad economic times, nothing is more easily rationalized than a welfare check from the government.
Star Parker is a black American woman who fought her way out of her crippling addictions to drugs and welfare. For much of her adult life she cheated the welfare system to receive food stamps, a couple of welfare checks each month, free public housing, rent, and medical treatment. And then one day, she woke up hating the life she was living. She loathed what the free handouts were doing to her, and decided that welfare was as much an addiction as were her drugs. She said her life, her happiness, and her sense of satisfaction were “spiraling into a little dark hole.”
As a result, Parker got herself clean. She fought to rid herself from drugs, got a job, and started paying her own way. And then one day, finally, life started to have meaning, she said. She decided others were in a similar circumstances, and she wanted to help. That’s when she founded CURE (Coalition of Urban Renewal) to pull black families out of the entitlement trap she was in, a trap she blames on President Lyndon B. Johnson’s massive entitlement program:
“After the war on poverty in the ‘60s,” Parker said in 2011, “we began to see the unraveling of the entire black community because the family collapsed. During the ‘60s, the black family was pretty healthy. Seventy-eight percent of husbands were in their homes with their wives raising their children. But after this lure to government that said ‘you don’t have to work, you don’t have to save, you don’t have to get married,’ over time marriage stopped occurring to where now 7 out of 10 black children are born outside of marriage—and what happens when you don’t have that intact family is your values change. So your culture changes. So your community changes.”688
Parker said welfare can be blamed for:
In addition to the terrible toll on families that welfare exacts, the ugly truth that compulsory care doesn’t work hits hardest in the national wallet. Reining in the enormous costs is an exercise in painful reconciliation that is hard on every economy. In most countries, the political party stuck with the dirty work to bring entitlement spending under control nearly always gets booed out of office, or killed. The entitlement mentality is a viciously vengeful vassal that can rise up against its masters, even those attempting to fix problems, and exact its displeasure at a moment’s notice.
Nose Dive
The modern welfare state is in a death spiral. It has created an expectation among the populous that it can’t fulfill. The result has been varying degrees of enormous national debt, complicated by aging populations, low birth rates, huge budget deficits, and national demands for more government intervention to solve the mess. That’s what socialists do.
The only viable answer for these economic plagues and the associated pillars of socialism is to emulate the example of people like Star Parker. She knows how to restart the dead engines of personal incentive and escape to freedom.
Shrinking the welfare rolls in any nation begins with pushing the unemployed back to work. The term “incentive to work” was often used during the world debt crisis as code for “It’s time for the government to cut your monthly check—in half ... so get off the couch and get a job.”
Such calls to labor created a great hue and cry across the many nations as appeals were made to show mercy and compassion for the sick, young, elderly, disabled, and under-qualified—but those were not the people targeted by the various austerity plans. It was the able but non-working people who needed to be encouraged, re-trained, and enticed off the dole into real jobs. The world can simply no longer afford the costly welfare state.
Reining in run-away entitlement spending has a familiar ring to it, almost as if the ghost of Henry VIII and his Poor Laws of 1530 had returned to go after “...vagabonds and beggars [who] have of long time increased, and daily do increase ... being whole and mighty in body, and able to labour ... there to put himself to labour, like as a true man oweth to do.”689
Here are some samples of socialism’s ruinous impact on nations,690 and the pains of “compulsory care withdrawal” (as of 2012):
Country: Argentina (41 million people)
BELOW POVERTY LINE: 12 million (30 percent)
WELFARE COSTS: Not available
NATIONAL DEBT: $136 billion (#36 in world)
STORY: As of 2012, Argentina remains steeped in corruption and heavy-handed political intrusions that have plagued the country for years. The election of Nestor Kirchner to the presidency in 2003, and later his wife in 2007, continued the problems that have since grown worse. The country’s appearance of a booming economy was created in part by government intervention in the free market, nationalizing various industries, and data manipulation. Popular support continues despite the continued corruption at the highest levels and violations of personal rights that further entrench the ruling powers.691
Samples of tyrannical control include Mrs. Kirchner’s takeover of the country’s statistics bureau and replacing its director to stop the reporting of bad economic news. She also had the top staff fired. The manipulation of data became evident when some time later the government reported 7 percent inflation. Outsiders laughed it off, saying it had to be more like 22 percent and on its way to 30 percent in 2012.692
To balance the budget in 2008, Mrs. Kirchner seized private savings, similar to America’s 401(k) programs, to the tune of $30 billion, nationalizing the private savings industry at the same time. The move sent the Buenos Aires stock-exchange index plummeting by 24 percent in two days. Despite this and other interventions by Mrs. Kirchner, the country’s economic growth nevertheless continued to slow and inflation continued to climb.
To keep food, oil, and gas from being exported, she imposed a 35 percent tax on food and a 100 percent tax on oil sold above $45 a barrel. She limited how much farmland could be held by foreigners, heavily taxed beef exports to keep it in county, and put a cap on all utility prices—this latter intervention drove the U.K. and French energy companies out of the country. In 2012, Mrs. Kirchner seized YPF Gas, part of Spain’s energy giant Reposol Butano SA, making it an Argentina-owned public utility. In 1999, Spain invested $15 billion to buy YPF to help the then-struggling Argentina privatize its economy and get back on its financial feet. The 2012 takeover sent Spain’s YPF stock prices plummeting more than 70 percent.693
When the Central Bank president wouldn’t give Mrs. Kirchner the $6.6 billion held in the bank’s reserves so she could pay off foreign debt to keep confidence with lenders, she fired the president to make things easier. The president resisted, saying only Congress could fire him. It went to court and the judge ruled in favor of the bank president. A few days later the judge found the police standing on her doorstep with questions. She was watched and followed for weeks. Eventually, Mrs. Kirchner got her way—and a new bank president.694
To silence the press, she shut down the main Internet provider and nationalized the newsprint providers, forcing newspapers critical of her to pay higher fees for the paper.695
Do Argentinians love socialism? They’re evidently too afraid to think otherwise—Mrs. Kirchner was re-elected in 2011.
The Kirchner’s ruined Argentina’s budding marketplace, causing it to fall from the 19th freest economy in 1998, just prior to them taking power, to 135th in 2010.696
Country: Australia (21.8 million people)
BELOW POVERTY LINE: Not available
WELFARE COSTS: 18 percent of GDP (#22 in world)
NATIONAL DEBT: $1.4 trillion (#13 in world)
STORY: In 2011, Prime Minister Gillard prepared to slash spending on social welfare, which is her country’s largest single-ticket item. She estimated that at least 2 million would be encouraged back to work from the ranks of: 800,000 part-time workers who wanted longer hours; 800,000 who were unemployed and discouraged, but took no welfare; and 620,000 unemployed who were officially on welfare at a cost of $11 billion every year.697 Gillard was castigated by the press and politicians. Had there been enough pitchforks, her capital gates would have been stormed. The Australians love socialism.
COUNTRY: Canada (34 million people)
BELOW POVERTY LINE: 3.2 million (9.4 percent )
WELFARE COSTS: 17.8 percent of GDP (#24 in world)
NATIONAL DEBT: $1.2 trillion
STORY: An interesting decline in Ontario’s welfare recipients took place in 1995 when welfare payments were reduced by 22 percent. In eight months about 80,000 welfare recipients fell off the rolls, saving the province $499 million a year.698 Critics argued that the 80,000 were forced to take jobs that were not appealing. Well, wasn’t employment the point, to return able-bodied workers to the workforce? It appears that at least some complaining Canadians love socialism.
COUNTRY: China (1.3 billion people)
BELOW POVERTY LINE 36 million (at least)
WELFARE COSTS: Not available
NATIONAL DEBT: $635.5 billion
STORY: It is difficult to measure the demeanor of 1.3 billion people fully dominated by the totalitarian state of China. Statistics are always skewed by the prosperity of Hong Kong, the most vibrant part of China’s overall economy. Excluding that oasis of capitalism, the rest of the country suffers under the sluggish regimentation of communist rule.
But in January 2012, the little fishing village of Wukan, only 12,000 strong, held free elections to replace the dictatorship of crooked communists and police. What ended up being a recall election was ignited when local Communist Party members seized the villagers’ farmland, sold it for enormous profits, and invited into their quiet piece of the world all the trappings of China’s growing wealth—luxury homes, shopping centers, golf courses, and more. When an earlier protest was lodged against these confiscations, the protester’s leader, Xue Jinbo, was arrested and died while in police custody. In a fit of rage, the villagers attacked the police and drove them out and wouldn’t let them return.
For the people in Wukan, withdrawing from the abuses of socialism and communism was worth risking the wrath of the central Communist Party. It remains to be seen how far this rebellion will spread before the ruling powers crack down.699
Historical Perspective: In 1994, R.J. Rummel estimated the body count from socialism’s tyranny in China to be 72,260,000, probably a low-ball figure, tallied from 1949-1980. Chairman Mao Tse-Tung’s “Great Leap Forward” to make China a military superpower in just five years, cost at least 27,000,000 deaths from famine and another 5,680,000 deaths by execution.700 Mao’s massive push created a tremendous strain, diversion of resources, and severe conditions of living and overworking. Giant communes for grain production were organized, with tens of thousands of families grouped at the farmlands, with all things communal.701
COUNTRY: Cuba (11 million people)
BELOW POVERTY LINE: not available
WELFARE COSTS: not available
NATIONAL DEBT: $21 billion (77th in world)
STORY: The Communist state of Cuba was dependent on the Soviet bloc for decades. When the Soviet Union fell, Cuba was left hanging without the financial support to keep its socialist economy running. Despite the U.S. blockade, sprinklings of help arrived such as oil from Venezuela.
Having all things in common means rationed food. Today, the basics such as milk, bread, rice, eggs, and beans can be bought if there are any in the stores—otherwise, it’s a long wait in line to get small portions. Families are allotted 1 liter of milk per child per day. These scarcities drive a large black market for the basics.
Teachers suffer on a salary of $15 a month and cannot obtain pencils, paper, crayons, or books, not to mention computers.
Medical supplies are scarce, and modern medical technology such as MRI and CAT scanning equipment are almost unheard of. The water is turned off from midnight to 6 a.m. to save on energy, chemicals, and the machinery to pump it.
Technology helps increase freedom. For example, while impoverished Haiti had cell phones (40.03 percent) and Internet access (10-11 percent), Castro’s utopia had only 8.9 percent with a cell phone and 1.7 percent on the Internet.702 The people of Haiti enjoy much more freedom than Cubans.
Crime is rampant—corruption, prostitution, drugs, white collar crime. Tourists are often victims of robberies or pickpockets.
The Castro regime used torture, arbitrary imprisonment, false trials, and executions to keep the population under control. Civil activists protesting the communist leadership are routinely arrested and imprisoned. Next to China, Cuba has the second highest number of journalists in prison.703
In 2010, The Raul Castro government announced that Cubans could build their own houses. The following year, Cuba announced it was thinking about free enterprise—the legalizing of buying and selling property—as a way to restart the economy. What a novel idea.
Cuba’s enslaved and threatened population has little option but to support socialism. To do otherwise means prison—or death.
Historical Perspective: In 1997, R.J. Rummel estimated the body count from socialism’s tyranny in Cuba over the years 1949-1987 to be about 70,000 dead.704
688 Star Parker, Welfare Dependency Destroys Black Families, August 9, 2011, urbancure.org.
689 Ibid., Pictorial History of England.
690 For more information on the world-wide impact of socialization of nations as discussed in this section, see CIA World Factbook, 2012.
691 Alexei Barrionuevo, Kirchner Achieves an Easy Victory in Argentina Presidential Election, The New York Times, October 23. 2011.
692 Economists Quake as Argentina Votes, Wall Street Journal, October 22, 2011.
693 Liliana Samuel, Argentina Seizes Gas Firm Owned by Repsol, AFT news, April 19, 2012.
694 Argentina’s president fires central bank chief over foreign reserves, Los Angeles Times, January 8, 2010
695 Argentina shuts down Internet service provided by the Clarin media group, MercoPress, August 20, 2010.
696 Wall Street Journal, Heritage Foundation Index of Economic Freedom, 2012.
697 The Sydney Morning Herald, PM’s Dodgy Maths on Welfare Dreams, March 23, 2011.
698 The Ottawa Times, December 1995, Welfare cuts force thousands back to work, reprinted by Freedom Party of Ontario, Freedom Flyer 29, March 1996.
699 Brian Spegele, Chinese Village Vote Tests Waters on Reform, WSJ, February 2, 2012.
700 Jung Chang and Jon Halliday, Mao: The Unknown Story, Alfred A. Knoph, 2005, p. 438.
701 Rummel, R.J., Death By Government, New Brunswick, NJ, Transaction Publishers, 1994.
702 The World Bank, cited in Mike Gonzalez, Bringing the Light of Freedom to Cuba, March 21, 2012.
703 Committee to Protect Journalists, 2008 Prison Census: Online And In Jail, December 4, 2008.
704 R.J. Rummel, Statistics of Democide: Genocide and Mass Murder Since 1900.
Chapter 88: A Snapshot of World Socialism, continued
—France, Germany, Greece, Iran, Ireland, Italy—
In bad economic times, nothing is more easily rationalized than a welfare check from the government.
COUNTRY: France (65 million people)
BELOW POVERTY LINE: 5.3 million (8.2 percent)
WELFARE COSTS: 28.5 percent of GDP (#3 in world)
NATIONAL DEBT: $5.6 trillion
STORY: The second largest economy in Europe was stagnating by 2011, teetering on the brink of a major recession. In response, France turned to raising the retirement age from 60 to 62, eligibility for pensions from 65 to 67, raising corporate taxes, and raising taxes on consumable goods (except groceries). But welfare and pension expenses had already crushed the nation’s ability to prosper. French workers boasted that they spent more of their lives in retirement than did their counterparts in other countries. However, by 2011, those costly pension plans could no longer be sustained.
Rigid austerity plans were imposed on most EU nations looking for bailouts. Despite the dire necessity, the public was outraged at the announced cutbacks. Trade unions reacted violently to protect their hard-won social rights. Strikes of 1 to 2 million people took place several times across the country that included school students, truck drivers, teachers, train drivers, postal workers, trash collectors, and more—all in response to the government’s attempt to cut back spending and borrowing and spending and borrowing and spending and ....
In the streets of Paris and elsewhere during 2011, protesting citizens made it abundantly clear: the French love socialism.705
BELOW POVERTY LINE: 12.6 million (15.5 percent)
WELFARE COSTS: 27.4 percent of GDP (#4 in world)
NATIONAL DEBT: $5.6 trillion
STORY: Before World War II, the Weimar government tried to control the growth of towns and cities all across Germany. They believed the city life was overcrowded, too disorderly, and sorely unchangeable. The better answer, they said, was to build smaller, more easily controlled and organized communities in fertile areas where both farm and factory could thrive.
Just before the war, the new National Socialist government took the country just the opposite direction. They wanted to create beautifully ordered cities with large, but controlled, populations.
The back-and-forth of these growth models so disrupted the people that they rejected central planning altogether. When Ludwig Erhard came to power right after the war, he was fully expected to install a highly regimented socialistic government to control Germ-any’s war-ravaged economy. Instead, with the stroke of a pen, he abolished socialism and installed instead a free market.
Today there remains great bitterness and resentment toward central planners who take away local decisions and desires. Although socialist parties occasionally rise to take power, the Germans jealously guard their freedoms, and have worked hard to prosper despite the impositions of government.
The Germans probably hate socialism, but they’ve embraced many of the same costly government security nets that are crushing other economies in Europe and around the world.
Historical Perspective: Before Germany’s liberation from one of the most murderous socialists in history, Adolf Hitler, his regime began a state-sponsored systematic killing of at least 3,200,000 Jews in concentration camps, and at least 2,800,000 more—men, women and children—were exterminated and cremated with the help of Nazi collaborators in other nations. The Hitler regime called it “the final solution to the Jewish question.” The war Hitler helped foment ultimately killed between 62-78 million, or 2.5 percent of the world’s population, the deadliest war ever.706
COUNTRY: Greece (10.8 million)
BELOW POVERTY LINE: 2.2 million (20 percent)
WELFARE COSTS: 24.3 percent of GDP (#10 in world)
NATIONAL DEBT: $583 billion
STORY: The ruinous outcome of over-promising a mountain of perks and pensions and national care took center stage in 2011-12. Faced with half-a-trillion dollar debt, the Greek parliament tried to cut back its expenses so the nation wouldn’t default on its loans and thereby cause a chain reaction of defaults throughout Europe (many were invested in Greece).
The outgoing socialist government of Papandreou failed on his promise to privatize many nationalized parts of the economy—a promise made to stimulate economic growth. The new government promised they would fix things. In return for more borrowed money to stay afloat, the government promised to cut public spending by $20 billion, and raise taxes by the same amount over a five-year period.
The resulting burden placed on society was grating. Property taxes had to go up, consumption taxes at restaurants and bars rose from 13 percent to 23 percent, new taxes on luxury items were imposed, some tax exemptions were eliminated, taxes on fuel, cigarettes, and alcohol went up more than 30 percent, public wages were cut by 20 percent, about 30,000 public workers were to get only 60 percent of pay, all temporary public-sector workers were to be laid off, health-care spending and Social Security were all reduced, pensions were to be cut by 20 percent, the retirement age was raised to 65, and the government planned to sell off nationally-owned utilities to private investors.
The reaction of the people? With unemployment over 18 percent, there were bloody riots and protests that lasted for weeks. The Greeks made it clear they love socialism.
COUNTRY: Iran (78 million people)
BELOW POVERTY LINE: 14.6 million (18.7 percent)
WELFARE COSTS: not available
NATIONAL DEBT: $18 billion
STORY: Iran’s ruling Islamic regime has been forcing its people to obey religious tenets since the 1979 revolution. In the name of religious purity, the strait and rigid rules of oppression have crushed political dissidents, journalists, students, bloggers, advocates for women’s rights and human rights, and people of minority faiths. Those speaking out against the regime are followed and harassed, arrested and imprisoned, and sometimes stoned or hanged.
Ever since Ahmadinejad became president in 2005 and his questionable reelection in 2009, his regime has worried more about the indirect “soft war” that threatens to change the culture than any outside military attack. While imposing its purified Islam on the populous, it must crush all attempts to inject change. Silencing so many voices is a burdensome chore.
The rulers dictate everything—what people may wear, the books they may read, what television and movies they may watch, how they groom themselves, cut their hair, the food they eat, the company they keep. Journalists are jailed, movie makers are jailed, university instructors are jailed, anyone caught defaming the Supreme Leader or the declared tenets of Islam are jailed—or worse.
With nuclear weapons on the horizon, Iran became the new strategic threat to Israel and other western allies in the region.
Every pillar of socialism is present in Iran. The people are abused to such an extent that another revolution will be hard for the government to prevent unless they loosen the hard-line rules of complete obedience to the regime.
Historical Perspective: In 1988, Iran’s Ayatollah Khomeini issued a fatwa that led to the killing of 30,000 in Iran during a two-month purge. Some were children as young as 13, hanged from cranes, six at a time. It is unknown how many more have died for the purification of the culture. Socialism in religion is alive and lethal in Iran.707
COUNTRY: Ireland (4.7 million)
BELOW POVERTY LINE: 260,000 (5.5 percent)
WELFARE COSTS: 13.8 percent of GDP (#27 in world)
NATIONAL DEBT: $2.4 trillion
STORY: Like most of Europe in 2011, Ireland was buried under state welfare that supported the third highest EU unemployment rate of 14.6 percent—or 440,000. Half of those were long-term jobless who received benefits of £188 ($297) a week.
Cuts to wages for low-paid workers and restricting overtime pay on Sundays was floated as a solution, much to a cacophony of complaints. Working on Sunday always earned more per hour than weekdays, so all over Europe, people loved that extra opportunity to line the wallet. In Ireland, that Sunday pay was one of the very highest, a full 34 percent more than in England.
The Organization for Economic Cooperation and Development (OECD) chided the country for not reducing benefits as a means to encourage the job hunt. Said Education Minister Ruairi Quinn, “It doesn’t make sense for people to be better off by not working than by working.”708 The Irish love socialism.
BELOW POVERTY LINE: Not available
WELFARE COSTS: 24.4 percent of GDP (#9 in world)
NATIONAL DEBT: $2.7 trillion
STORY: Similar to Greece, the financial crisis that hit Italy extracted enormous costs and forced a turnover in the government. The two-decade reign of Berlusconi came to an end when he couldn’t salvage the country with cuts and increased taxes. The public debt at Berlusconi’s departure was almost $2.4 trillion, or 120 percent of GDP. Cuts across the board, plus increased taxes and shrinking the government, was their latest plan. And what did the Italians think of their bloated government’s efforts to rein in the extravagances? Riots and protests in the streets—a demonstration that Italians love socialism.
Historical Perspective: Benito Mussolini, Italian leader and founder of fascist socialism who carried Italy into World War II, helped Hitler exterminate Jews and worked to kill political prisoners both before and during WWII. At least 225,000 deaths are attributed to his dictatorship, deaths of Italians and people in Ethiopia, Libya, Yugoslavia, and Greece, among others.709
705 BBC, French Strikes Over Pension Reform, November 10, 2010.
706 Donald L. Niewyk, The Columbia Guide to the Holocaust, Columbia University, 2000.
707 Grand Ayatollah Hossein-Ali Montazeri, The Memoirs of Grand Ayatollah Hossein Ali Montazeri, published privately, 2001.
708 Thomas Molloy, The Independent, May 26, 2011.
709 Rummel, R.J., Death by Government—Genocide and Mass Murder, 1994; also Mark Mazower, Dark Continent: Europe’s Twentieth Century (1998).
Chapter 89: A Snapshot of World Socialism, continued
—North Korea, Peru, Portugal, Russia, Spain—
In bad economic times, nothing is more easily rationalized than a welfare check from the government.
COUNTRY: North Korea (24.5 million)
BELOW POVERTY LINE: Not available
WELFARE COSTS: Not available
NATIONAL DEBT: $12.5 billion (2001 estimate)
STORY: By all standards of measurement, North Korea is the most oppressed nation on earth. Its government is a dictatorship that controls every part of a person’s life, including how much weeping was sufficient when the late Kim Jong Il died in 2011 (replaced by his son, Kim Jong Un). Television cameras swept past farcical staged mourners in orderly lines all weeping in unison.
The government operates 450,000 “Revolutionary Research Centers” where citizens are indoctrinated on a weekly basis to believe the new leader. Kim Jong Un has all power, supernatural power, with other mystical traits worthy of the people’s worship.
The citizens are divided into 51 social castes710 based on their loyalty to the Dear Leader. The general caste is three levels deep—trustworthy loyalists are called “core,” followed by the “wavering,” and then the “hostile.” The hostile group are all those the regime doesn’t trust or like. They are denied employment and food.
People are required to spy on each other. If someone is arrested for disobeying the Dear Leader’s dictates, he or she goes to one of 210 detention centers, 210 labor camps, 27 holding facilities, 23 prisons, 6 political prison camps, or 5 indoctrination camps. There they join an estimated 200,000-250,000 prisoners held indefinitely for torture or execution.711 The casualty rate at the roughest concentration camps is estimated at 25 percent per year.712
Malnutrition is an ongoing problem. In the 1990s, some 3.5 million starved to death. The average 7-year-old is about 2 inches shorter than a South Korean child the same age.713
All media outlets, from print to electronic to church sermons, are controlled by the regime, and all messages must praise Dear Leader. Listening to foreign broadcasts or traveling outside the proscribed boundaries can result in a trip to the concentration camp.714
North Korea is desperately dependent on trade with China to keep the economy going. In 2010, the trade between the two nations was estimated to be at $3.5 billion, up from $2.5 billion in 2009.
In the capital city, nervous escorts guard visiting foreigners so they see only what is meant to be seen. The air is unpolluted, but that is for lack of industry and automobiles in the barren city. Photos of Dear Leader are everywhere. Sparsely placed dim lights illuminate the ghost-town feel of what once was a large metropolis. Under communism, North Korea is dying. But at least they have their 1.3 million-man army to protect their ruins.
Historical Perspective: In 1994, R.J. Rummel estimated the body count from socialism’s tyranny in North Korea to be about 3,163,000 since 1948.715 The U.S. Committee for Human Rights in North Korea estimated in 2006 that socialist policies caused the starvation deaths of about 2,500,000 between 1995-1998.716
BELOW POVERTY LINE: 10.2 million (34.8 percent)
WELFARE COSTS: not available
NATIONAL DEBT: $38 billion
STORY: After decades of extreme totalitarian governments and ruthless insurgencies, such as the Shining Path, positive changes came to Peru. The economy was freed to promote business and the government was finally decentralized. This triggered a wave of sustained economic growth.
From 2003-2011, the country averaged a 7 percent growth rate, one of the fastest in the world. At the same time, Peru cut its poverty rate in half. The economy was also booming, thanks to the country’s rich mineral wealth in gold, silver, tin, iron, zinc, and copper. People in the interior where such resources were found finally gained some wealth and a voice in national affairs.
Taxes on those mines rose to 30 percent in recent years, but the money went to regional governments instead of Lima. That was a good sign—proof the country was finally pulling down barriers and decentralizing the socialist government.
China is Peru’s biggest customer for raw resources. The trade became so rich, Peru embarked on a massive road construction project to link its Pacific coast with Brazil. The road made transporting exports to the east coast easier and cheaper. The Peruvians predicted the road would not only bypass the Panama Canal, but replace it as the shortcut of choice.
Peru gave credit for its economic turnaround to a political choice: Instead of following its neighbors—Venezuela, Ecuador, and Bolivia—into socialism, a dark place it admits was its worst modern-day nightmare, the country instead chose freedom. “We’ve learned from our mistakes,” says Francisco Sagasti, an analyst in Lima. “No one is pushing for nationalization here. Everyone here knows that you have to have sensible economic policies from top to bottom.”717 Peruvians hate socialism.
COUNTRY: Portugal (10.8 million)
BELOW POVERTY LINE: 1.95 million (18 percent)
WELFARE COSTS: 21.2 percent of GDP (#15 in world)
NATIONAL DEBT: $548 billion
STORY: Resisting austerity measures to save the economy was handled much more peacefully among Portugal’s 10.6 million people in 2011. Instead of rioting in the streets, they were content with a 24-hour general strike—and then got back to business.
But the ruling socialist party didn’t fare so well. It was kicked out of office in 2011 and replaced by the Social Democrats. The new leaders were faced with the daunting task of cutting wages in an already depressed economy, forcing the laborers to work longer hours, and slashing retirement benefits. Unemployment in 2011 climbed to over 12 percent with signs the trend would continue for the near term.
Fernanda Lopes, 60, who ran a fruit and vegetable stand in Porto, told CNN, “We are from a generation that has been through a lot before. We’ve been through a dictatorship when the country was very poor. The younger people haven’t been through so much, they are not used to this type of impoverishment.”718
COUNTRY: Russia (138 million people)
BELOW POVERTY LINE: 18 million (13.1 percent)
WELFARE COSTS: not available
NATIONAL DEBT: $519 billion
STORY: The motherland continued to suffer from the remnants of its abandoned socialistic heritage long into the new millennium. With reforms more than two decades in the making, the basics of property rights and protections continued to elude the nation.
People expecting protection of individual rights found the judicial system sadly unpredictable, corrupt, and unable to handle sophisticated cases. Foreigners arriving to create business contracts couldn’t get them enforced. Borrowing to buy a home was a massive exercise in bureaucracy, and any kind of intellectual property was thinly protected from piracy.
After all those years of climbing out of the shadow of Communist dictatorship, Prime Minister Vladimir Putin started turning back the clock in 1999. He retained the undercover forces of secret police to run things. He was accused of enriching his inner circle with profits from oil revenues. Most of the industry was privatized in the 1990s, but some were re-nationalized later.
Russia has enormous energy resources. In 2011, it became the world’s leading oil producer, passing Saudi Arabia, and is the world’s second largest producer of natural gas and has the world’s second largest coal reserves. The country pushes manufacturing, and is the world’s third-largest exporter of steel and primary aluminum. To insulate itself from the boom and bust cycles of world demand, Russia is focusing on high technology. For a decade, the economy averaged 7 percent growth until the 2008-09 world economic crisis. 719
Russia has reduced its unemployment and rate of inflation, but its shrinking labor force, high levels of corruption, and aging infrastructure are remnants of its old ways that need urgent attention.
Historical Perspective: In 1994, R.J. Rummel estimated the body count from socialism’s tyranny for all of the Soviet Union, not just Russia, to be about 58,627,000 from 1922-1991. An earlier confederation called the Russian Soviet Federated Socialist Republic killed 3,284,000 from 1918-1922. This does not count at least 6,210,000 killed in the civil war of 1918-1920.720 Robert Conquest, a Stalin biographer, estimated that Stalin’s administration killed 18 million with famines, executions, imprisonment, show trials, purges, and forced collectivization. Victor Kravchenko, author of I Chose Freedom (1946), said 19.8 million “enemies of the people” were arrested. Of these, 7,000,000 were shot in prison and untold thousands of others died in camp. Stalin killed most of the Soviet military officer corps and almost all of his inner circle. He was preparing an anti-Semitic purge, but died before it got underway.721
BELOW POVERTY LINE: 9.2 million (19.8 percent)
WELFARE COSTS: 19.6 of GDP (#20 in world)
NATIONAL DEBT: $2.57 trillion
STORY: Unemployment was Spain’s biggest problem in 2011, where it stood at 21 percent—the highest in Europe. Unemployment among the youth was at 46 percent. When bailout money was offered to restart the economy, along with many austerity requirements to cut back on spending, the people got mad. The rich were angry for the higher taxes, the population was mad because overall spending was cut by 8 percent, employees were mad because salaries were frozen, and other measures were met with widespread mobs and riots. The Spaniards also love socialism.
710 The Economist, Deprive and Rule, Why does North Korea’s dictatorship remain so entrenched despite causing such hunger and misery?, September 17, 2011.
711 The Chosunilbo, 200,000 Political Prisoners Held in N. Korean Camps, 1/21/2010.
712 The Korea Times, NK Defector Testifies to Horrors at Concentration Camp, 3/16/2011.
713 Economics & Human Biology, The biological standard of living in the two Koreas, Vol. 2, Issue 3, December 2004, pp 511-521.
714 Oppression in North Korea, http://jeresearchtopics.blogspot.com/2011/01/oppression-in-north-korea.html.
715 Rummel, R.J. Death by Government, New Brunswick, NJ: Transaction Publishers, 1994.
716 U.S. Committee for Human Rights in North Korea, Failure to Protect, A Call for the U.N. Security Council to Act in North Korea, DLA Piper U.S. LLP, 2006.
717 Matthew Clark, Latin America’s surprise rising economic star: Peru, The Christian Science Monitor, January 5, 2010.
718 Laura Smith-Spark, Portugal: When there’s no light at the end of the tunnel, CNN, December 20, 2011.
719 CIA, The World Factbook, Russia, 2012.
720 Rummel, R.J. Death by Government, New Brunswick, NJ: Transaction Publishers, 1994.
721 Victor A. Kravchenko, I Chose Freedom, Angell Press, 2007.
Chapter 90: A Snapshot of World Socialism, conclusion
—Sweden, U.K., U.S., Venezuela, Vietnam, Zimbabwe—
In bad economic times, nothing is more easily rationalized than a welfare check from the government.
BELOW POVERTY LINE: Not available
WELFARE COSTS: 28.9 percent of GDP (#2 in world)
NATIONAL DEBT: $1.02 trillion
STORY: This nation of nine million enjoys a degree of prosperity but at a huge personal cost. The county owes an enormous debt of $1.02 trillion (15th highest in the world),722 and its people carry a load of taxes that consumes up to 60 percent of the average income. Add to this the sales tax of 25 percent built into the price of consumer goods (VAT—Value Added Tax), plus 1/5th of the working-age people on welfare, a third of everyone working for the government, and a population growth rate almost flat (.163 percent), and Sweden is headed for trouble.723
Sweden is often celebrated as an example of how socialism can create prosperity. Closer to the truth is the fact that a small, homogeneous society of hard-working, law-abiding and well-educated people can overcome the drags of socialistic controls.
Sweden was an impoverished nation before the 1870s, losing many of its citizens who began migrating to the United States. The country persevered by adopting principles of the free market—protecting property rights, establishing a clean set of laws, and focusing hard on expanding education of the work force. The result was a nation growing richer into the early 1900s. During that time period, world-respected companies were created, such as Volvo, IKEA, Electrolux, Ericsson, and Alfa Laval, among others.724 Up until 1936, Sweden had the world’s highest economic growth rate among the industrialized nations. And then came the socialists.
Between about 1936 to 2008, the effects of the welfare state—larger government, more promises, higher taxes—began to slow Sweden’s growth. By 2008, it had dropped to 18th among 28 industrialized nations.
The cultural differences that helped Sweden do so well were reflected in their successes in other countries. The 4.5 million Swedes in America725 in 2008 earned on average $10,000 more than the average American.726 The poverty rate among American Swedes was about 6.7 percent in 2010, and in Sweden, also about 6.7 percent.727
Starting in the 1990s, Sweden began scaling back its socialist government from the oppressive heavy-handedness of the 1960s. The results were outstanding. School vouchers created competition among educators to improve quality. Health care and pensions became partially private, giving flexibility to people’s choices for when they could retire. The public transportation systems were returned to the private sector, including the rail lines. The center-right government that came to power in 2006 was reelected in 2010 with goals to continue privatization and reduce taxes.
A majority of Swedes still love socialism, but with each move toward economic liberty, the country grows stronger.
COUNTRY: United Kingdom (62.7 million)
BELOW POVERTY LINE: 8.8 million (14 percent)
WELFARE COSTS: 21.8 percent of GDP (#14 in world)
NATIONAL DEBT: $9.8 trillion
STORY: In 2010, Britain worked to reduce its yearly welfare costs of £190 billion ($300 billion). With 1.4 million receiving jobseekers’ allowance, the new plan required that each welfare recipient perform at least 30 hours a week in mandatory work activity for a month. If they didn’t put in the hours, they would risk having their welfare checks stopped for at least 3 months.
By 2011, conditions worsened and Britain planned to cut 490,000 government jobs, cut about 20 percent from government departments, and raise the retirement age to 66 by 2020.
Slashing the disability living allowances and other welfare payments was expected to push 400,000 back to work. Another 200,000 whose housing benefits would be capped were expected to leave their pricey subsidized homes for the suburbs. Housing benefits cost taxpayers more than £21 billion ($33 billion) in 2010.
Said one Labour MP, “It is tantamount to cleansing the poor out of rich areas—a brutal and shocking piece of social engineering.”728 Spoken like a true socialist.
Public uproar to the proposed cuts was huge—demonstrations numbering 250,000 people or more broke out in London and elsewhere, proving that the English love socialism.
COUNTRY: United States (313.2 million)
BELOW POVERTY LINE: 47.3 million (15.1 percent)
WELFARE COSTS: 14.8 percent of GDP (#26 in world)
NATIONAL DEBT: $16 trillion
STORY: America’s welfare system is enormous. It involves six top-level departments that run more than 70 programs. Many recipients of welfare receive funds from several departments at the same time.
Welfare in the U.S. has become an enormous drain. Plan after plan offering huge cash payments to the jobless was forced on the American people in 2008-2011—to the tune of hundreds of billions of borrowed dollars. This reckless abandonment of sound economic principle gave scholars ample opportunity to study the impact of historically unprecedented incentives for people to remain on the dole. Their findings showed:
COUNTRY: Venezuela (27.6 million)
BELOW POVERTY LINE: 10.5 million (38 percent)
WELFARE COSTS: Not available
NATIONAL DEBT: $90 billion
STORY: When Hugo Chavez became president in 1999, he promoted his “21st Century Socialism” as the great solution to alleviate all social ills. At the same time, he attacked America, capitalism, and democracy. The fruits of his brilliant solution rose no higher than all other failed socialist schemes.
Reckless government interference in the economy, rampant corruption, price controls on nearly all goods and services, a corrupted legal system, a lack of respect for property ownership and contracts, and the constant threat of government confiscation of wealth and property has almost killed prosperity.
Chavez trampled on human rights, outlawed free speech, abolished property rights, took over successful private businesses and nationalized them, exhausted the national treasure to build up the military, and made his neighboring countries angry.
In 2011, the country had the highest inflation rate in all of Latin America at 29 percent). The government-run infrastructure produced chronic power outages, shortages of food, housing shortages, escalating crime, and anemic economic growth outside of its oil-supported activities.
Venezuela’s oil industry produces almost 95 percent of its total export income, and provides 60 percent of total federal revenue. Even so, Chavez’s brilliant program forces the government to borrow money every year (he runs a deficit 5 percent of GDP), while creating a welfare class with 10 million of his 27.6 million below the poverty line.
On August 23, 2011, Chavez nationalized the gold industry. Foreign companies had to leave 50 percent of all the gold they mined inside the country. The only large foreign gold miner was Russia’s Agapov family, that produced 100,000 ounces in 2010. Chavez also withdrew $11 billion in gold reserves from U.S. and European banks so he could keep the metal closer to home. Chavez died in 2013, leaving an estimated $2 billion fortune to his family.733
COUNTRY: Vietnam (90.5 million)
BELOW POVERTY LINE: 9.6 million (10.6 percent)
WELFARE COSTS: not available
NATIONAL DEBT: $37 billion
STORY: Inflation is a continual problem for this repressed country, averaging more than 18 percent between 2006-08. By summer 2011, it jumped to 22 percent and was rising. The constant irritant to the Vietnam market was the government and its typical tyrannical manipulations—price fixing, regulation, subsidies, and ownership of business, enterprises, banks, and utilities. Corruption at all levels continued to be a big problem for this country of 90.5 million. The regime reaped benefits from the state-owned enterprises at the expense of the very workers it claimed to be rescuing from the ravages of the free market.
Vietnam depends on tourism and exports to bring needed growth, and has enjoyed an economic boom in recent years. This was the result of miniscule efforts to reform the economy and start benefitting from the fruits of capitalism, without admitting as much. In its proclaimed socialist society, the top producers are taxed at 35 percent and corporations at 25 percent. Everyone must pay a value-added tax on goods, and property tax. And, like everyone else, the government overspends every year and now has a national debt that is more than half its total output.
Without protection of private property rights, contracts, intellectual property rights, and a judicial system bogged down with corruption and manipulation, outsiders are wary of investing.
Withdrawal from compulsory care will be a long time coming for Vietnam, but signs of letting that wretched enemy called capitalism benefit all sectors in the country prove that the people may be open to something better than tyrannical socialism.
Historical Perspective: In 1994, R.J. Rummel estimated the body count from socialism’s tyranny in Vietnam to be about 1,670,000 since 1975.734
COUNTRY: Zimbabwe (12.6 million)
BELOW POVERTY LINE: 8.2 million (68 percent)
WELFARE COSTS: Not available
NATIONAL DEBT: $6 billion
STORY: This resource-rich country was once the breadbasket of the region before the regime of Robert G. Mugabe took power in 1979. His tyrannical rule has ruined the nation.
In 2000, Mugabe embarked on redistribution of the land. This drove out white farmers and ruined the economy. Massive shortages followed.
In 2005, Mugabe’s political machine corrupted the constitution so his regime could amend it at will. That same year he embarked on “Operation Restore Order,” and in the name of urban renewal he destroyed 700,000 homes and businesses of his political opponents and those who voted for them.
In 2007, Mugabe imposed price controls that panicked the nation, and store shelves were emptied in hours—and stayed that way for months. Inflation shot up to 1,700 percent and unemployment (and underemployment) stood at 95 percent.735
A rising political opposition leader, Morgan Tsvangirai, was subjected to multiple arrests and beatings by Mugabe’s men. In 2007, for example, he was arrested and hauled to prison. When his wife saw him, he was sorely injured, with gashes and a swollen eye. A freelance cameraman, Edward Chikombo, smuggled in a camera and broadcast images of the injuries. Chikombo was later kidnapped and his body was found the following weekend. Beatings and killings have been typical of the Mugabe regime.
In the 2008 elections, neither man received 50 percent of the vote so a run-off election was going to be held. Instead, Tsvangirai was made prime minister and Mugabe was made president, the positions now held as of 2012.
HIV/AIDS is a massive problem, with an estimated 1.2 million of the population infected. Zimbabwe has the 5th highest death rate from AIDS in the world. Life expectancy is one of the lowest in the world, averaging 51 years for both men and women.
Zimbabwe is a source of men, women, and children trafficked for forced labor, drug smuggling, and sexual exploitation. Some of these are forced into South Africa for additional sexual exploitation.
Socialism Needs A Host: Three Examples
Like all other freeloaders, to stay alive socialism requires a rich mentor. Because socialism doesn’t innovate, invent, or produce, every system ends up with the consumers out-consuming the ability of the producers to provide. Regular infusions of cash or help is a normal activity for highly socialized nations.
All socialistic schemes rise on the backs of prosperity. Once free enterprise builds a strong economy, the socialists show up demanding equality for the lazy, the less fortunate, and the impoverished masses.
British Prime Minister Margaret Thatcher said it best: “Socialist governments traditionally do make a financial mess. They always run out of other people’s money.”736 Or, to paraphrase, socialism works until it runs out of other people’s money.
In this small island where the Communist government sets wages and prices, where farmers are forced to produce without capitalistic profit incentives, the country is starving. Having lost its Soviet host to sustain them in recent years, the Cuban government has been forced to turn to free-enterprise economics.
“Despite being an agricultural nation with plentiful sun, soil and rain, Cuba produces barely 30 percent of the food it needs, due to an acute lack of resources and the inefficiency of its state farm sector. About 250,000 small family farms and 1,100 cooperatives till only about one-quarter of the land, yet still manage to outperform the state farms, producing almost 60 percent of crops and livestock, according to official figures.”737
In 2010, 4.1 million of Cuba’s 4.9 million workers were employed by the government. By 2012, the private sector jobs had grown to 1.1 million, a 16 percent improvement towards igniting the local economy.738
Before the USSR finally collapsed in 1991, common scenes in cities all across the land were the farmer’s markets. They were necessary to keep the populations fed. The government looked askance at these capitalistic activities because of their tremendous good. The markets offered a huge quantity and wide variety of agriculture goods—sold at a profit.
An example was a 78-year-old-woman in Kiev who rented a table at the Hay Market to sell her home-grown apples, pears, and berries. She charged a high price, and got it. Nearby, a 70-year-old man sold homegrown onions and garlic. Next door, another sold watermelons grown on private land by a group of cooperating farmers. What did these farmers do for their day job? The very same type of work on the less-efficient state farm. Others at the market sold cabbage, tomatoes, onions, apples, eggs, churned butter, beef, pork, poultry, cottage cheese, ducks, and geese—all of it privately raised, prepared, and brought to market.
“Every city in the Soviet Union has a similar market where farmers can sell their produce,” said a writer for in the Kansas City Star and Times in 1978, “... not at state-regulated prices but for whatever the market will bring. These tiny enclaves of free enterprise, while they may be frowned on officially, are welcomed and even encouraged by the Soviet government, in practice because they add so much to the national food supply.”739
Agriculture experts in both the U.S. and Soviet Union calculated that thousands of small gardens, accounting for a miniscule 3-4 percent of the cultivated land, produced a whopping 27 percent of all food grown in the Soviet Union, including 62 percent of all potatoes, 37 percent of all eggs, 31 percent of all meat and poultry, 30 percent of all milk, and 1 percent of all grain (sweet corn).
North Korea was once a powerhouse of productivity. Today, its people are starving to death. While their neighbor to the south thrives with a relatively free economy, socialism has flattened North Korea’s ability to produce. Today it relies on desperate measures. It sells its coal and minerals to China, and sells the right for Chinese fishermen to work Korean waters. It sends workers to other foreign lands as cheap labor to return whatever funds are possible.
Before he died, Dictator Kim Jong II required at least $1 billion a year to meet his needs, and dispensed worthless currency to the people to live on.
To compensate for the country’s inability to prosper, Kim and company might have supported or tolerated counterfeiting and money laundering to the tune of millions every year. Defectors claim in uncorroborated statements that the government of North Korea is indeed directly involved, despite public denials to the contrary. No one knows if or how the current regime has carried on that work.
Three primary facilities poured out at least $25 million in phony $100 bills every year for the past 25 years. The bills circulate primarily through Korea and China, sometimes making their way to Europe and the U.S. Locally, people buy $100 bills for $40 and try to pawn them off as real U.S. tender. If print quality is especially accurate, counterfeiters can get up to $70 each.
There exists some doubt that the socialist country has the technology to reproduce $100 bills. The government claims no involvement, and gave evidence by publicly executing two convicted counterfeiters in 2006.
Compared to national needs ($1 billion annually), and the total quantity of U.S. currency in circulation at any given time ($800 billion worldwide), $25 million a year in bogus bills doesn’t seem to make much of a dent. But the U.S. dollars are not the only lucrative trade coming out of North Korea. Some estimates put the value of counterfeited currency at more than $100 million a year.740 The fact that the practice continues poses the question: In what other ways is North Korea benefitting by counterfeiting currencies other than the U.S. dollar?741
North Korea can’t feed itself. With the fall of the Soviet Union, the country has been dependent on China for food and energy. According to a study by Heather Smith and Yiping Huang, China has been supplying North Korea with millions of tons of food and energy supplies. For example, between 1996 and 2000, China sent more than 1.2 million tons of grain, 2.3 million tons of crude, and 2.5 million tons of coal.742
Learning to Recognize Socialism
Part XVI--THE 46 GOALS OF SOCIALISM
The goal of socialism is communism: “What is usually called socialism was termed by Marx the ‘first,’ or lower, phase of communist society.”
722 CIA, The World Factbook, Sweden, 2012.
723 Ibid.
724 Nima Sanandaji, Sweden: A Role Model for Capitalist Reform?, Captus 2011.
725 U.S. Census Bureau, Selected Social Characteristics in the U.S.: 2008.
726 Nima Sanandaji, Robert Gidehag, Is Sweden A False Utopia?, www.newgeography.com, May 2, 2010.
727 Ibid., Sanandaji.
728 Gerri Peev, MailOnline, Welfare Payments Cuts ‘will force 200,000 benefits claimants out of London and into suburbs’, October 25, 2010.
729 Alan B. Krueger, et al, Job Search and Unemployment Insurance: New Evidence from Time Use Data, CEPS Working Paper No. 175, August 2008.
730 Ibid.
731 Alan Reynolds, The ‘Stimulus’ for Unemployment, Cato Institute, November 17, 2009.
732 Brookings Institution, cited in Incentives Not to Work, Wall Street Journal, 4/13/2010.
733 Estimate made by Jerry Brewer, president of Criminal Justice, reported in Analyst estimates Chavez’s family fortune at around $2 billion, News From Venezuela, July 27, 2010.
734 Rummel, R.J. Death by Government, New Brunswick, NJ: Transaction Publishers, 1994.
735 The Economist, Zimbabwe: The Face of Oppression, May 15, 2007.
736 Margaret Thatcher, in a TV interview for Thames TV This Week, February 5, 1976.
737 St. Petersburg Times, August 17, 2009.
738 Cuba: Private Employment Now 22 Percent of Jobs, AP, August 30, 2012.; CIA, The World Factbook.
739 Reprinted in The Palm Beach Post, Nov. 5, 1978.
740 Economist Intelligence Unit, Country Profile 2003, South Korea, North Korea, p. 85.
741 Dick K. Nanto, North Korean Counterfeiting of U.S. Currency, Congressional Research Service, June 12, 2009.
742 Heather Smith and Yiping Huang, Achieving Food Security in North Korea, presented at the Ladau Network/Centro di Cultura Scientifica A. Volta conference, June 2000.
Chapter 91: The 46 Goals of Socialism
The opportunities change, but the goals remain the same.
The biggest mistake in recent decades by the world’s free people is their indulgence in a prolonged mental demise into apathy, stagnation, and neglect. In many circles the former yearning for freedom is smothered under a desperate frenzy for government bailouts, the dole, the loan, the tax break—anything, as if governments were saviors of last resort with limitless resources.
Within a single lifespan the world has changed from hope to hype, concern to contempt, cautious to callous, from helping neighbors to fearing them. This can’t last. Many scholars believe it is time for a revolutionary change in our state of mind. What went wrong with the world’s state of mind?
First and foremost, we have been thinking the way the socialists want us to think—that is, we are thinking like socialists.
We want to change the world, but not ourselves. We want everything and anything, except the consequences. We want the government to force all things right. We impatiently want it all. Our motto has become “There ought to be a law ...”—and today, there usually is. Our slogan is, “Choose the right (my right)—or else.”
Western culture has been adopting socialist thinking for a very long time—but not in a vacuum. Guiding it along have been a number of socialistic objectives, targets, and goals. They come in the form of friendly solutions that play on our natural human weaknesses. They promise something for nothing—an easier life, all the benefits without the cost, a fix for all things, fairness, and social justice—just give socialism a try. These objectives and goals have a great world-wide following today.
Most people don’t realize that these goals are designed to soften them up, to prepare them for the final collapse of freedom and the birth of global Ruler’s Law, international socialism, a new world order. For lack of understanding, many loyal defenders of freedom are supporting these goals. The goals in the following list are derived from the vast collection of writings, both ancient and modern, from reformers and dreamers throughout history who have supported the seven bad ideas of socialism. Some could be quoted directly, others are surmised by actions being undertaken today. Some modern socialists bravely deny they would ever want to upset the culture, such as calling for the elimination of the family or religion, but as shown in the prior pages, given enough time, all socialism must and does eventually lead to those extremes.
The Current Goals of Socialism743
Please note: Referenced in the footnotes are a few examples of plans, proposals, or arguments that carry forward the enactment of the 46 goals of socialism.
1. Promote Socialism, Demean Capitalism: Eliminate laws and the popular stigma against socialism. Promote socialism as the best alternative to capitalism. “Once the vast majority makes the decision in favor of socialism,” says World Socialism, “then it will elect socialist representatives or delegates to ... administer the elimination of capitalism and the creation of socialism.”744
2. Promote the U.N.: Renew popular support for the U.N. as the only hope for the world. Rewrite its charter so it can establish a single global democracy745 with its own independent military force.746
3. No National Boundaries: Eliminate all borders and national sovereignty. “Socialism will be a world without countries,” says World Socialism. “Borders are just artificial barriers that belong to a past and present that is best left behind.”747
4. Install Environmental Rulers: Support U.S. acceptance of a “global green economy” and the U.N.’s World Summit on Sustainable Development. Compel the U.S. to accept the cap-and-trade market for carbon.748
5. One-world Currency: Create a new “global currency” to replace the dollar, euro, yen, and all other national currencies. The “global currency” would be managed by a “Global Reserve Bank.”749
6. Control the Internet: Form a specialized agency of the U.N. to absorb or replace ICANN (Internet Corporation for Assigned Names and Numbers), and regulate all Internet traffic, prices, and taxes—and censor content according to the ever-changing mandates from U.N. charter nations. Also, mandate construction of wide-area networks covering the entire inhabited world.750
7. Establish Economic Rulers: Use the European Union model to create a super-legislature under the auspices of the U.N.’s economic development and social councils. Infuse the super-legislature with power to bypass economic decisions of its member nations, and subordinate to this group all other laws and constitutions.
8. Economic Equality: Use the U.N.’s Declaration on Social Justice to force all nations to guarantee employment, protection, participation, and uniform labor practices regardless of gender, age, race, ethnicity, religion, culture, or disability.
9. Rulers’s Law: Legalize the general use of dictatorial powers by rulers, such as the Executive Order as used in America, to bypass national or constitutional law without checks and balances interference from congress, parliaments, assemblies, or a supreme court.
10. Render Congress Irrelevant (U.S.): Increase the number and powers of regulatory agencies of the executive branch as the primary law-making bodies of the federal government. Bypass Congressional authorization. Instead of seeking permission and approval, obligate Congress to override any new laws and rules enacted by the many agencies with majority votes, a much more time-consuming and debate-intensive process.751
11. Subordinate Local Government: Use technical decisions by the courts to bypass the laws and court decisions made by local and state governments. Make all decisions dependent on approval by leaders further up the chain of control.752
12. Destroy Representation (World): Resist any attempt to allow free elections that dethrone the ruling parties.
13. Uphold 17th Amendment (U.S.): Inflame suspicion about repealing the 17th amendment, warning that making senators beholden to the state legislatures will unleash back-door deal making and collusion. Keep this link of representation cleanly severed because it otherwise brings too much control by the people over the federal government.753
14. Deflate Constitutional Convention (U.S.): Spread fear that a constitutional convention would open the Constitution to a complete re-write and destruction. Hide the mechanics of protection the Founders gave to this act of last resort.754
15. Regulate All Transportation: Nationalize the transportation industries. Create cooperatives with car and truck makers to force government-mandated levels on fuel efficiency and to meet pollution limits. Expand tax-funded mass transit into all major cities.755
16. Regulate All Energy: Nationalize energy production and prices using as an excuse the terror of pollution and the fairness of equal access to every nation’s natural resources.756
17. Eliminate Private Property: Adopt the U.N.’s land policy (1976), “Land ... cannot be treated as an ordinary asset, controlled by individuals ... Private land ownership is also a principle instrument of accumulation and concentration of wealth and therefore contributes to social injustice ... The provision of decent dwellings and healthy conditions for the people can only be achieved if land is used in the interests of society as a whole.”757
18. Destroy Family Culture: Encourage the collapse of ties between husband and wife, children and parents, people and church by promoting pornography as a right granted by freedom of speech.758
19. Redefine Normal and Healthy: Present homosexuality, degeneracy, and promiscuity as a new class of people “normal, natural, healthy.” In 2011, the U.S. backed a successful U.N. resolution endorsing certain rights for gay, lesbian and transgender people.759
20. Destroy the Sacrament of Marriage: In the name of equality, remove all authority from church marriages so only those unions decreed by a clerk of the court according to established laws and requirements, with properly signed papers, may constitute a marriage.760
21. Discredit the Traditional Family: Dilute natural family structure by compelling by law the acceptance of any union of consenting adults without regard to gender, gender preference, or numbers involved.761
22. Destroy Gender Distinctions: Compel all institutions to recognize, accommodate, and facilitate any individual regardless of gender or sexual identification. Blur the biological differences between men and women and eliminate any requirements based on that distinction.762
23. Universal Access to Abortion: Transfer protection of reproductive rights to the U.N. In 2011, the U.N. said “States must take measures to ensure that legal and safe abortion services are available, accessible, and of good quality. ...Criminal laws and other legal restrictions that reduce or deny access to family planning goods and services, or certain modern contraceptive methods, such as emergency contraception, constitute a violation of the right to health.”763 In 2012, Barack Obama obeyed the order by forcing U.S. insurance companies to provide free contraceptives and “day after” abortion drugs, a mandate still under judicial review.
24. Limit Family Size: Remove all tax advantages from parents for their dependent children. Promote “responsible” family planning to reduce world population.764
25. Replace God-centered Religion with Humanist Religion: Infiltrate the pulpits to create a “social religion” that promotes social and political agendas. Inject the mainstream with messages of moral guilt for all aspects of human advancement. Promote a neutral belief system founded on financial and material goals, not God.765
26. Destroy Church Economies: Eliminate tax-exempt status for church properties and associated employees. Eliminate tax deductions for charitable donations.766
27. Eliminate Cash in the Market Place: Expand the network of electronic banking into every nation, allowing a digital economy with centralized electronic records to be kept of all transactions; make accessible to appropriate authorities as needed.767
28. International Health Care: Nationalize health care in every nation and place it under an international board of control. The U.N. World Health Organization said, “In the 21st century, health is a shared responsibility, involving equitable access to essential care and collective defense against transnational threats.”768 Shared and equitable access means government control.
29. Supreme World Court: Expand the international role of a world court system with power to bypass state and national laws and constitutions. Today, it exists in part as the U.N.’s International Court of Justice (also called the World Court), headquartered at The Hague, Netherlands.769
30. Create One-World Super-Legislature over the environment. Gain control of economic development by gaining control of energy production and the environment.770
31. Environmental Rights Supersede Human Rights: Lift environmental issues to a level that is equivalent or higher than human rights. Put forward the claim that preservation of the environment for the good of all living things must take priority over human needs.771
32. Nationalize All Natural Resources: Assume ownership and regulatory power over all national resources regardless of who owns the property on which the resource is found. Use this assumed control to promote ecologically correct choices—low- or non-flush toilets, battery-powered cars, low-energy light bulbs, recyclable containers and packaging, mandatory recycling, low-energy appliances, rationed energy access, and more—all of this mandated by government, not driven by free-market incentives and invention.772
33. Unilaterally Destroy Nuclear Weapons: Develop the illusion that dismantling all nuclear weapons would be a demonstration of moral strength. In February 2012, President Obama announced he was contemplating destroying up to 80 percent of America’s deployed nuclear weapons.773
34. Neutralize Israel: Resolve the Israeli-Palestinian issue by U.N. fiat and force Israel to surrender all disputed lands, including half or more of Jerusalem, to the Palestinians.774
35. Nationalize All Industry: In the name of ecological sanity, grant regulatory authority to the U.N. over all heavy industry such as steel, mining, automobiles, machinery, railroads, airlines, etc.
36. Sync Animal Rights With Human Rights: Legalize human rights in animals. Tax meat out of the marketplace. Prohibit all medical testing of animals, and human use of animal products for any purpose.
According to a writer for PETA, who was responding to a U.S. judge denying the animal rights organization its petition that the 13th amendment be applied to captive whales:
“Women, children, and racial and ethnic minorities were once denied fundamental constitutional rights that are now self-evident, and that day will certainly come for the orcas and all the other animals enslaved for human amusement.”775
37. Infiltrate and Regulate Education: Get control of the schools. Promote socialism’s goals and ideologies. In 1992, the U.N. adopted Agenda 21 as a blueprint of action to reduce human impact on the environment. Thoroughly indoctrinating the world’s children in how to sustain the environment is one of the U.N.’s mandates for every member nation.776
38. Control Information: Infiltrate the media. Promote the successes of the new order and disparage the inhibiting drag of the old order. Ridicule the old order, celebrate the new, hide the excesses of the ruling class.
39. Infiltrate and Regulate Labor: Unionize all labor at all levels, and rule them by an international body of regulators. Install overseers to ensure that government mandates are obeyed.
In 1999, the U.N.’s International Labor Organization declared its purpose to provide “a strong social dimension to globalization [of labor] in achieving improved and fair outcomes for all ... to accelerate progress in the implementation of the Decent Work Agenda at the country level.”777
40. Uphold All Labor as Optional: Make labor voluntary by providing financial safety nets for unemployment, illness, and retirement.
41. Discredit the U.S. Constitution: Re-educate the people regarding the American Constitution to cast it as inadequate and old-fashioned, a hindrance to cooperation between countries worldwide.
42. Discredit Freedom Heroes: Discredit America’s Founding Fathers and other heroes of freedom—cast them as elitists whose selfish desires left them no concern for “the little people.”
43. Rewrite History to Discredit American Culture: Remove know-ledge about the advances coming out of the Great Enlightenment and subsequent American Revolution, and white-wash U.S. history as relatively insignificant flotsam on the tides of history, an awkward child of the great enlightenment, 1500-1800. Emphasize the rich hist-ories of other countries such as China, India, and Australia.
44. Promote All-powerful Government Regulation: Support any movement that seeks government control over education, welfare, mental health clinics, social agencies, the arts, etc.
45. Install Socialism Everywhere: For any emerging nation, move quickly to install socialism. Promote it as the most efficient model to achieve political and economic stability.
46. Legislate by Crisis: Trigger widespread disorder to justify massive changes in the governments of the world. Use periodic chaos as the means to expand top-down control and restrict personal rights.
Learning to Recognize Socialism
Part XVII--THE PROPER ROLE OF GOVERNMENT
“Government may not possess more rights than those held by the individual. The individual may delegate certain rights—defense, justice, and raising revenue—but the government may not simply assume them. When it does, that is tyranny.”
743 These goals were compiled by the author from the vast accumulation of writings on socialism, and from national and U.N. efforts now underway to further these causes.
744 WorldSocialism.org, Socialist Party of Canada, Frequently Asked Questions, 2012.
745 See Jean-Philippe Therien, The United Nations and Global Democracy, From Discourse to Deeds, Cooperation and Conflict, December 2009, Vol. 44 No. 4, pp. 355-377.
746 United Nations, U.N. body urges support for treaty regulating private military, security companies, U.N. News Centre, April 30, 2010.
747 WorldSocialism.org, Socialist Party of Canada, Frequently Asked Questions, 2012
748 See Outcomes on Human Settlements, www.un.org.
749 See Decian McCullagh, United Nations Proposes New “Global Currency,” CBSNews.com, September 9, 2009.
750 Numerous proposals to this end have been offered. In September 2011, Russia, China, among others, petitioned the U.N. General Assembly for “an international code of conduct for information security.” See Trent Nouveau, Pentagon Opposes U.N. Regulation of the Internet, TGdaily.com, October 21, 2011.
751 See W. Mark Crain, et al, The Impact of Regulatory Costs on Small Firms, SBA, September 2005; Administrative Procedure Act, Title 5, United States Code, Chapter 5, Sections 511-599.
752 See World Socialist Movement goals at www.worldsocialism.org.
753 Typical of numerous scare tactics is this from Gerry Connolly running for Congress in Virginia, “Repealing the 17th Amendment would strip your right to vote for your U.S. Senators and allow political insiders in Richmond to decide who represents us in the Senate.” See http://gerryconnolly.com/blog/129. He avoids mention that the state legislature is more accessible than Washington, D.C., and therefore more responsive to constituent demands. The Founders knew this and created that direct link to the federal levels through the legislature.
754 Multiple references are available on the Internet. Nearly all promise the immediate destruction of the Constitution should such a convention be held. Close to none explain the parameters necessary to prevent a runaway convention. Progressive socialists win by paralysis, and America’s great escape clause remains unused—it’s as good as repealed, a sorry ending.
755 Ibid., Marx, Engels, Communist Manifesto.
756 See United Nations Development Programme, United Nations Environment Programme, United Nations Division of Environmental Law and Conventions, among dozens of others.
757 Report of Habitat: United Nations Conference on Human Settlements, Conference Report, Vancouver, May 31 - June 11, 1976.
758 See Ginsberg vs. New York, Miller vs. California, New York vs. Ferber.
759 AP, U.N. Gay Rights Protection Resolution Passes, Hailed as ‘Historic Moment,’ June 17, 2011.
760 Marriage licenses serve positive purposes (underage, close relations, disease issues, etc.). Elimination of the church is to remove the authority of the marriage sacrament—a serious and sacred commitment for life—and replacing it with a ticket to be intimate without disdain from the public. One day it will become a tool of “out of sight, out of mind.”
761 For example, see Respect for Marriage Act, H.R. 1116, S. 598 (2011); polygamy, see The U.N. Refugee Agency, Refworld, Polygamy.
762 The U.N. Human Rights Council, Human rights, sexual orientation and gender identity, June 14, 2011.
763 Arnand Grover, Right of Everyone to the Enjoyment of the Highest Attainable Standard of Physical and Mental Health, U.N., A/66/254, August 3, 2011; Sarah Boseley, U.N. States Told They Must Legalize Abortion, The Guardian, October 24, 2011.
764 For example, U.N. Agenda 21, www.un.org/esa/dsd/agenda21, 1992 and 2002; U.N. Population Division Policy, March 2009; World Population Report, Facing a Changing World: Women Population and Climate,” 2009.
765 For example, Jeremiah Wright, expounder of inflammatory rhetoric, ABC News, Obama’s Pastor: God Damn America, U.S. to Blame for 9/11, March 13, 2008.
766 For example, Diana B. Henriques, Religion-based Tax Breaks: Housing to Paychecks to Books, The New York Times, October 11, 2006; Proposed by Bipartisan Policy Center, Restoring America’s Future, November 17, 2010.
767 In 2012, Sweden completed major steps toward a cashless economy, leading the world toward electronic payments for everything from bus rides to church donations. See Associated Press, Sweden moving toward cashless economy,” March 18, 2012.
768 United Nations World Health Organization, About Who, 2012.
769 See the United Nations Charter; Articles 92-96; Article 93 makes all 193 U.N. members ipso facto (automatic) parties to the statute of the World Court.
770 The U.N. Environment Programme is already in place to “provide leadership ...”
771 See the United Nations World Trade Organization; Earth Day; International Mother Earth Day.
772 See U.N. Environment Programme, and World Conservation Monitoring Centre for blame on the “industrial age” for pollution, over harvesting, and climate change.
773 Associated Press, U.S. Weighing Options for Future Cuts in Nuclear Weapons, Including 80 percent Reduction, February 14, 2012.
774 Israel Today, U.N. to Israel: Surrender, March 30, 2011.
775 Jennifer O’Connor, The Case Forever Known as Tilikum vs. SeaWorld, The PETA files, the official blog, February 9, 2012.
776 See footnote 623 on page 431, “Communist Goal”; Rosalyn McKeown, et al, Education for Sustainable Development Toolkit, July 2002.
777 U.N., ILO Declaration on Social Justice for a Fair Globalization, June 10, 2008.
Chapter 92: The Proper Role of Government
The proper role of government is to protect unalienable rights and clear the way for people to prosper without violating those rights.
As illustrated in the previous chapters, governments throughout history have routinely followed the same patterns of usurpation to gain power over the masses. There appears a broad spectrum of assorted beginning places, but their ultimate ending places were and are, more or less, all the same. Each power has enthroned itself according to the seven pillars of socialism—and at the terrible expense of failing to protect the natural rights of its individual citizens.
When the U.S. Constitution was discussed and debated, its very design and purpose was to abolish that ages-old abuse of natural rights. It created watchmen that were built right into its very fabric—a clearly-defined set of checks and balances—to jealously guard the actions of all handlers of government power. That structure of self-correcting tensions and counterbalancing forces was almost universal (the Judiciary was not checked) in its application across all national, cultural, and racial boundaries. All that it required to function was a minimal level of personal and national virtue.
As Franklin said, “As nations become more corrupt and vicious, they have more need of masters.” When it comes to freedom, virtue is everything.
Because of corruption, neglect, and a constant chipping away at its foundations, the Constitution has lost much of its moral authority to guide America’s affairs—not just by the letter of the law, but the spirit as well.
For America, and for the world at large, to regain control over run-away governments, there needs to be a clear, common starting place. The following is a good one to consider—
In 1968, Ezra Taft Benson, former Secretary of Agriculture under President Dwight Eisenhower, gave a speech outlining the proper role of government. Each point of his message was a sermon by itself, and the very antithesis of all that socialism strives to do.
1. Founded on God: “I believe that no people can maintain freedom unless their political institutions are founded upon faith in God and belief in the existence of moral law.”
2. Rights: “I believe that God has endowed men with certain unalienable rights as set forth in the Declaration of Independence and that no legislature and no majority, however great, may morally limit or destroy these; that the sole function of government is to protect life, liberty, and property and anything more than this is usurpation and oppression.”
3. Law is Supreme: “I believe that the Constitution of the United States was prepared and adopted by men acting under inspiration from Almighty God; that it is a solemn compact between the peoples of the States of this nation which all officers of government are under duty to obey; that the eternal moral laws expressed therein must be adhered to or individual liberty will perish.”
4. Responsibilities: “I believe it a violation of the Constitution for government to deprive the individual of either life, liberty, or property except for these purposes:
“Punish crime and provide for the administration of justice;
“Protect the right and control of private property;
“Wage defensive war and provide for the nation’s defense;
“Compel each one who enjoys the protection of government to bear his fair share of the burden of performing the above functions.”
5. Can’t Delegate False Rights: “I hold that the Constitution denies government the power to take from the individual either his life, liberty, or property except in accordance with moral law; that the same moral law which governs the actions of men when acting alone is also applicable when they act in concert with others; that no citizen or group of citizens has any right to direct their agent, the government to perform any act which would be evil or offensive to the conscience if that citizen were performing the act himself outside the framework of government.”
6. Religion, Arms, Property: “I am hereby resolved that under no circumstances shall the freedoms guaranteed by the Bill of Rights be infringed. In particular I am opposed to any attempt on the part of the federal Government to deny the people their right to bear arms, to worship and pray when and where they choose, or to own and control private property.”
7. Legally Anti-Communist: “I consider ourselves at war with international Communism which is committed to the destruction of our government, our right of property, and our freedom; that it is treason as defined by the Constitution to give aid and comfort to this implac-able enemy.”
8. Legally Anti-Socialism: “I am unalterably opposed to Socialism, either in whole or in part, and regard it as an unconstitutional usurpation of power and a denial of the right of private property for government to own or operate the means of producing and distributing goods and services in competition with private enterprise, or to regiment owners in the legitimate use of private property.”
9. Fair Taxes: “I maintain that every person who enjoys the protection of his life, liberty, and property should bear his fair share of the cost of government in providing that protection; that the elementary principles of justice set forth in the Constitution demand that all taxes imposed be uniform and that each person’s property or income be taxed at the same rate.”
10. Coinage: “I believe in honest money, the gold and silver coinage of the Constitution, and a circulation medium convertible into such money without loss. I regard it as a flagrant violation of the explicit provisions of the Constitution for the federal government to make it a criminal offense to use gold or silver coin as legal tender or to use irredeemable paper money.”
11. Sovereign States: “I believe that each State is sovereign in performing those functions reserved to it by the Constitution and it is destructive of our federal system and the right of self-government guaranteed under the Constitution for the federal government to regulate or control the States in performing their functions or to engage in performing such functions itself.”
12. Political Welfare: “I consider it a violation of the Constitution for the federal government to levy taxes for the support of state or local government; that no State or local government can accept funds from the federal and remain independent in performing its functions, nor can the citizens exercise their rights of self-government under such conditions.”
13. Anti-Foreign Aid: “I deem it a violation of the right of private property guaranteed under the Constitution for the federal government to forcibly deprive the citizens of this nation of their property through taxation or otherwise, and make a gift thereof to foreign governments or their citizens.”
14. No Foreign Control: “I believe that no treaty or agreement with other countries should deprive our citizens of rights guaranteed them by the Constitution.”
15. Strong Defense: “I consider it a direct violation of the obligation imposed upon it by the Constitution for the federal government to dismantle or weaken our military establishment below that point required for the protection of the States against invasion, or to surrender or commit our men, arms, or money to the control of foreign or world organizations of governments.”
“These things I believe to be the proper role of government.”
The Proper Role Of Government Doesn’t Evolve
For the same reason that human nature doesn’t change, neither should the authority granted to governments ever change.
Government may not possess more rights than those held by the individual. The individual may delegate certain rights—defense, justice, and raising revenue—but the government may not simply assume them. When it does, that is tyranny.
With these ideals in mind, what are the next steps forward?
There is a strong basis for abolishing socialism from the earth—not just temporarily, but completely and for all time. It has something to do with birds, frogs, snakes, and raccoons.
Letting Others Do the Work
One specie of the cuckoo bird has an interesting laziness to her nature. Perhaps it’s not laziness, maybe it’s her clever exploitation of circumstances—it is difficult to read nature at this level.
When the cuckoo hen needs to lay her egg, sometimes she flies about to locate the nests of other birds. She will wait patiently until the nest is unguarded, and then swoop in, lay her egg, and leave it for tending by other birds. This frees her from nest duty. She is free to fly. The unsuspecting nest owner returns to see the egg, or if it’s among her own, maybe not notice, and plops down to warm and protect them, keeping the eggs safe until hatching.
This trick doesn’t always work. Some birds recognize the strange addition and remove the egg completely. Nevertheless, it’s a great way to get what the cuckoo hen wants without the responsibilities and consequences—or so it would seem.
“Careful, That Will Land You In Hot Water!”
There’s the old story of the frog standing on his hind legs in the pot of water that was just placed over a hot stove. At first, the water is cool, a temperature typical for any pond or gentle stream he is familiar with—just like home. So, the frog is content to stay for a minute. He senses no urgency to leap away.
As the water becomes warmer, a relaxing embrace of summertime comfort entices the frog to bask in the delicious lure, and his eyes go half closed—he thinks a short nap would be nice, and does not leap away.
As the water gradually becomes hot, the frog suddenly realizes he is in danger. His instinct is to leap away but his legs and muscles have become too weak—he tries, but fails to find the strength. The heat quickly overcomes him and he dies in the boiling broth.
You Knew I Was a Snake When You Picked Me Up
In an adaptation of Aesop’s fable, a hiker is working his way off a mountain and comes upon a snake. The snake addresses the hiker and pleads for a ride down to the valley below. The hiker hesitates, but eventually agrees to do this favor for the snake.
Upon arriving at the bottom, the hiker sets the snake down and is promptly bitten. As the hiker falls to the ground, shocked and saddened at the sudden betrayal, the snake replies, “Why are you surprised? You knew I was a snake when you picked me up.”
How Curiosity Killed the Raccoon
The classic children’s book Where the Red Fern Grows,778 tells the heartwarming story of a boy and his two Redbone Coonhound hunting dogs. Early in the book, author Wilson Rawls unfolds an exchange where Grandpa explains to his young grandson Billy how to catch a raccoon with a simple trap.
The trick, Grandpa said, is to bore a deep hole in a log and pound four nails around the outside at an angle so their points pierce the inside of the hole. The idea is to leave just enough space for a raccoon’s paw to fit through. Put a shiny piece of tin at the bottom and the raccoon’s curiosity will get the best of him—
“It’ll catch him all right,” Grandpa said, “and it won’t fail. You see, a coon is a curious little animal. Anything that is bright and shiny attracts him. He will reach in and pick it up. When his paw closes on the bright object it balls up, and when he starts to pull it from the hole, the sharp ends of the nails will gouge into his paw and he’s caught.”
Billy thinks it over a bit and decides Grandpa is telling a big joke. Growing angry, he gets up to leave but Grandpa calls him back and tells about a time when as a boy he had his own pet raccoon, and how he learned his pet would do exactly that—ball up his fist when he got hold of something he wanted, and refuse to let go. He told how the whole family had to hold down the raccoon to release his grip on a pat of butter he grabbed by reaching into the small hole in the lid of a butter churn. His balled-up fist was too big to pull back through, and he was caught.
Billy becomes convinced and goes to the nearby woods to give the idea a try. The next morning, he finds a raccoon stuck with its paw in the trap. It hisses and growls as Billy approaches, but won’t let go. Billy calls his family to come see, and they’re all surprised that grandpa’s idea really worked. Billy’s father kills the raccoon and goes about releasing it from the trap.
After Papa had pulled the nails, he lifted the coon’s paw from the hole. There, clamped firmly in it, was the bright piece of tin.
In a low voice Papa said, “Well, I’ll be darned. All he had to do was open it up and he was free, but he wouldn’t do it. Your grandfather was right.”
Comfort, ease, and security are difficult to let go for the sake of long term prosperity. Most people in countries ruined by socialism are in that trap. They don’t want to let go of their pensions, monthly checks, food stamps, insurance, housing, transportation, or anything coming to them gratis from the government. Like the cuckoo hen, people on welfare grow content to leave the burden of their financial and medical care in the nest of another’s labors.
But like the frog’s trap, socialism’s promise of an easy life feels good until enough time has passed and financial reality sneaks up hot and boiling, and quickly turns deadly.
Like the snake’s ulterior motives, the appeal to embrace the hopes for an easier life may seem right at first. But when a socialistic takeover has reached its goal, there is deadly betrayal for which hundreds of millions have been sacrificed already.
And like the raccoon, that shiny bit of tin—the hope for free money from someone else, a government handout, welfare, entitlements, a bit of nothing that seemed so important and desirable at first, soon turns out to be a trap holding fast those who can’t let go, from which the only escape is death.
Learning How to Preserve Freedom779
Among the highest aspirations of humanity is the hope that someday there will be universal peace. Peace is more than an absence of war. It is the state of existence where men are free to enjoy self determination, life, liberty and the pursuit of happiness.
The Bible says that the “meek shall inherit the earth.” The only reason this has not been possible so far is because each generation produces a minority group of barbarian personalities who become the Hitler’s, the Mussolini’s, the Stalin’s, the Kim Jong-il’s, the Osama bin Ladin’s, the Castro’s, the Mugabe’s, and hundreds of others. As long as there are barbarians among the meek, the peace of the earth is threatened. If the rights of the meek are to be preserved and the peace is to be enforced, the meek must stay strong. There is a critical moral difference between the peacemakers and the pacifists.
George Washington warned that pacifism doesn’t work, and without strength, peace simply isn’t possible—
“There is a rank due to the United States among nations, which will be withheld, if not absolutely lost, by the reputation of weakness. If we desire to avoid insult, we must be able to repel it; if we desire to secure the peace, one of the most powerful instruments of our rising prosperity, it must be known that we are at all times ready for war.”780
The issues then at hand were the pirates of Algiers selling American citizens into slavery. Washington’s outrage was supported by a few who said, “Millions for defense, but not one cent for tribute.” Seven months after Washington’s appeal (July 19, 1794), the pacifists persuaded Congress to pay a ransom of $800,000 to the pirates to leave U.S. shipping alone. The true slogan of the pacifists should have been “Millions for tribute and not one cent for defense.”781
The war between force and choice is not just a fight for the right kind of congressmen, president, soldiers and diplomats. Resisting the mind-set and oppression of socialism with understanding and firmness, and working for the expansion of freedom, is everyone’s job.
There is great hope and peace of mind that comes from studying the principles of freedom, but there’s more to living that elevated type of liberty than just having a certain knowledge of current events.
The Role of Judeo-Christian Ethics in Liberty
Anatole Lunarcharsky (1875-1933), the former Russian Commissar of Education, once declared, “We hate Christians and Christianity… Down with love of one’s neighbor! What we want is hate. Only then will we conquer the universe!”
What is it about Judeo-Christian ethics and beliefs that are so damaging to Lunarcharsky, Marx, Engels, Lenin, Stalin, and a host of other barbarians who sought to create the world in their own images? History makes the answer clear: Judeo-Christian ethics promote freedom of personal choice along the lines taught in the Bible, and thereby effectively inoculate a nation from internal decay and eventual enslavement. Those ethics and moral choices include—
Do unto others as you would have them do unto you.782
Blessed are the peacemakers.783
It is better to give than to receive.784
Do not hate your enemies but do good unto them.785
Be as humble and teachable as a little child.786
Be wise, aggressive and alert to promote good and preserve peace.787
Perfect yourself by overcoming personal weaknesses.788
Follow the commandments of God to increase the value of your life and blot out the scars of past mistakes.789
The greatest happiness comes through the greatest service.790
Do good secretly and God—who seeth in secret—will reward you openly.791
Do socialists promote these ideals, or do they seek to tear them down and replace them, by force, with their own morality? The Bible teaches that we are responsible to God for our daily conduct, even for our thoughts.792 And from such personal and responsible behavior come the traits and reliability that will support lasting freedom and the prosperity it creates. A nation cannot be destroyed by an enemy until it first destroys itself from within. A virtuous people prevents such decay, but virtue must be a voluntary choice, that is the key.
In 1839, Gardiner Spring said it this way: “Bad men cannot make good citizens. It is impossible that a nation of infidels and idolaters should be a nation of freemen. It is when a people forget God, that tyrants forge their chains. The principles of liberty and the principles of the Bible are most exactly coincident. A vitiated [spoiled] state of morals, a corrupted public conscience is incompatible with freedom. Nothing short of the strong influence of that system of truth which God has revealed from heaven is competent so to guide, moderate, and preserve the balance between the conflicting interests and passions of men, as to prepare them for the blessings of free government.”793
What, then, can we do? Because national leaders are products of the cultures in which they were reared and raised, the first step is to secure that culture and return it to its base. We must return to thinking like jealous lovers of freedom, aware of our past, aware of our present, and determined to secure our unlimited potential—
A quote often attributed to Vladimir Lenin declared, “Give me four years to teach the children and the seed I have sown will never be uprooted.” Regardless of who said it, every parent knows this to be true for both good and evil. The best starting place, therefore, to change a socialist thinker into a freedom thinker is at home.
Good parents stay close to children and teach them to think like Washington and Lincoln (“how do I solve my own problems?”), not like Marx, Lenin, and Che Guevara (“give us the power and we’ll solve your problems for you.”)
Good parents provide both physical and spiritual needs for their family. A basis in religion helps children understand that socialism worships the god of force, while the real God is one of kindly persuasion, love and choice. Good parents take their children to church, they don’t send them. And, they make sure their children are getting true religious values, not modernistic debunking. As Karl Marx saw things, an atheistic mind is already three-fourths conquered.
Good parents help their children grow, they don’t fall for the current sophistry that they are a detriment to their children. Parents are only a detriment when they don’t do their job.
Children need to know their boundaries and that there are consequences to their choices. Discipline—not extreme harshness—teaches a child that he lives in an orderly world, and such lessons learned early in life improve human development.
And, good parents keep a home library of educational materials that support principles of freedom, industry and knowledge. Keeping up on current events and being quick to point out news that slants a story against traditional values will help children see the benefits of Judeo-Christian values in maintaining freedom.
Children borrow their attitudes from mom and dad. Good parents practice what they preach and work to learn, understand and teach, always being careful not to leave these parental responsibilities to others.
Teachers are in the front-line trenches of the battle for lasting freedom. It is important that they have a good background in history and an understanding of how liberty is eroded so they can detect the old subversive ideas quickly whenever they appear in curriculum.
Teachers should define for students the difference between what made America the first free nation in modern times, and those seven bad ideas that destroy freedom whenever the socialists take charge.
Teachers can help students understand that free enterprise has produced and distributed more material wealth than any other system man has yet discovered. Point out that it also permits most of our citizens to make a living doing the things they enjoy, and lets them change jobs if they don’t like what they are doing. It is also vital for students to appreciate that the remaining weaknesses in our system are important, but they are minute compared to the monumental problems of the bare-subsistence economies that always exist under socialism and communism.
Teachers should be aware of educational organizations that are socialist-oriented. They should organize and involve other alerted teachers and move forward as a group, and retake control.
Adopting new textbooks is not as automatic as it once was. That’s because alerted parents and teachers are on the lookout for slanted and biased passages, content and omissions that advance certain beliefs that are destructive to time-tested traditional values.
A major milestone was achieved by socialists when God and the Bible were outlawed in the classroom, and most of today’s generation sees no problem with that—an unfortunate outcome. “Separation of church and state” was to keep creeds out of the curriculum, but not God. It would be as unconstitutional to teach irreligion in the classroom as it would be to emphasize some particular religion. Teachers are not to teach a particular faith, but parents are within their rights when they insist that the classroom not be used by those few teachers who seek to destroy faith.
Teachers who believe that teaching atheism is a necessary part of a good education are not really qualified to teach in a Judaic-Chris-tian culture. They are entitled to be atheists, but, as public employees, they are not entitled to teach it. If they do, they are violating important constitutional principles represented in the First Amendment (establishing a religion (atheism) or prohibiting free exercise of religion), Article IV (prohibition of religious tests), and the Fourteenth Amendment that prohibits discrimination on the basis of religion by securing “the equal protection of the laws” for every person.
A student will never have more time to study freedom and socialism than while at school. Gaining a genuine understanding of these philosophies, histories, and fallacies will serve as a point of reference for all things political and economic for the rest of a student’s life.
Most students don’t have the patience to detect slanting in textbooks and lectures. When something doesn’t sound right, bring it to the attention of parents and talk it over. This helps students work up their own answers to the ever-present push to exchange freedom and capitalism for centralized government and managed economies.
Students should be aware that most people look at world events through one of two windows. Out of one window the students (and sometimes the professor) see only blue skies. Out of the other window the student can see storm clouds—this is the window to watch. This is where history is being made, and the person who doesn’t keep his eye on this window is caught unawares when the storm breaks. On the day of the attack on the World Trade Center towers, most Americans had to move from window No. 1 to window No. 2 with great speed. They came close to being too late. Damage from the world’s threatening political storms can be avoided only by anticipating them—by being vigilant, educated, and alert.
Remember that Jefferson, Washington, Franklin, Madison, Adams, and the rest of the founding fathers were not “colonial aristocrats” as some textbooks portray them, but were successful businessmen. Because they were willing to sit down and think through the problems of their day, we inherited a free nation.
Business owners may play a similar role if they choose to. By staying informed and taking an active role in the political party of their choice is a good starting place.
Watch for the strong socialist influence which is trying to take over both parties. Do not hesitate to throw your financial strength and your time behind the fight for freedom. It cost Washington $65,000 to leave his business and serve in the Revolutionary Army. In current inflated money values this would represent more than $1.5 million.
Become a sponsor of essay and speech contests in school to promote American ideals and resist socialistic deceptions. Stir the local Chamber of Commerce to join you as a sponsor. Keep the entire community alert. Furnish views and suggestions to State and federal legislators, and invite State legislators to participate in freedom forums or presentations to schools.
And, strive to promote anyone standing up for a balanced budget, a reduction in the size and scope of the federal government, and a more equitable tax structure that is not arbitrary and confiscatory.
The war between freedom and slavery can be lost in the legislative halls of free men. The wave of socialism that is sweeping many free western nations toward a kind of suppressive feudalism is gaining ground. In this battle our legislators are on the first line of defense.
The entire fabric of American security has been badly weakened by technical decisions of the Supreme Court in recent decades. Creeping elements of Ruler’s Law have been allowed into American society to the point that many of King George’s abuses that triggered the rebellion in 1776 are now firmly entrenched in the cultural fabric of the United States.
The two party system that the founders fought against 225 years ago has grounded the U.S. Congress in stagnation and conflict. Instead of solving problems together, it is competing for political power at the expense of the American people’s well-being. A good executive might have calmed that acrimony, but to the socialist, it is not about anything but the consolidation of power.
Like turning the Titanic before it hit the iceberg, trying to save the federal government from an implosion requires several steps.
The senators have not been responsive to the people ever since the 17th amendment was passed. This needs to be repealed and the senators need to have new bosses in the form of attentive state legislators who have the power to hire and fire senators if they stray from the people’s will, as so many have for a century.
The Judiciary answers to no one, making it a super-legislative body exactly as Jefferson warned. A call to the states to override any Supreme Court decision by a 3/5ths majority vote, and restricting the justices to 4 or 6 year terms, renewable only by the States, would go far toward removing today’s political activism from the court’s rulings.
The blatant bias in media reporting in recent years has rendered too many reporting institutions irrelevant in the great debate of ideas. With the advent of the Internet, such bias is exposed and spread to millions of people at the speed of light. Both the politicizing of news reporting and the advent of technological transmission of information has replaced printed newspapers and news magazines as the principle source of news. Hundreds of papers have gone out of business as a result—in particular, those caught with blatant bias in their reporting.
In fulfilling the task of exposing crime, corruption and inefficiency in the American culture, reporters should be careful not to destroy confidence in American institutions. Because the negative forces in our society are more likely to be “news” than the positive accomplishments, it is easy to over-emphasize the negative side and provide extremely damaging propaganda to the enemies of freedom. Balanced reporting should always reflect a solid American interpretation of the problem. Isn’t that also bias? No, that’s telling the whole truth.
A constant diet of how bad everything is, without the opposing viewpoints of hope and courage by applying correct principles, not only reduces subscribers but it puts the loudest proponents of the destruction of the American way of life forefront in the news on a regular basis. Dig deeper so principles of liberty can play their part.
The religious foundation stones of freedom may be found throughout history and among the peoples of the Bible. These witnesses to the proper role of government serve no purpose if they are excluded from regular Sabbath day teachings. As representatives of God in the lives of millions, the ministers play a necessary role in teaching God’s gift of choice, self-control, personal refinement and responsibility. These identical qualities are necessary in political leaders. As Paul taught, if a man cannot rule his own being, how can he rule the Church of God?794 The principles are all the same on every level.
Ministers today need to be wary of purveyors of deception who seek to bury true principles in false declarations. Some of these falsehoods include labeling Jesus as the first true socialist, or that the early Christians practiced all things in common ‘as good socialists should,‘ or that God rules by force instead of persuasion, patience and love. Prior chapters in this book address those teachings.
Until the ministers understand for themselves the eight unalienable rights, the seven pillars of socialism, and passages in the Bible where these come in conflict, it will be difficult to persuade a congregation that political freedom is the same as personal righteousness. Leaders reflect the attributes of the people from whom they rise.
The gospel as originally taught is in total harmony with the principles of freedom as protected in the Constitution. An interesting scripture search would be to discover those passages that promote limited and representative government, protection of minority rights, and the lasting damage that results from violating God’s laws by forcing people to obey somebody else’s version of “good.”
The Birthing Grounds of Freedom
In the 1770s, the rugged settlers of a rough-hewn agrarian society, grossly underrated as mere American colonists, launched a unique and unprecedented revolution against the world’s greatest military power.
From these humble beginnings, pockmarked with risk and resistance, grew an uprising of the noblest kind.
Their ensuing shout for freedom was no coincidental gasp of the beleaguered. It was a brilliant declaration of principle. It was founded not on guns and cannon fire, nor bayonets and open fields of slaughter. This revolution was rooted in the simple but eloquent words of Jesus, “... know the truth and the truth shall make you free.”795
What is this truth that exposes and reveals so much with such liberating strength as to serve the cause to “make you free”?796 Has truth the fortitude to abolish socialism?
The truth is, the “laws of Nature and of Nature’s God” are at the foundation of all good government. It is a condition of liberty that natural law be honored and sustained, and that the people have a natural affinity and love for “Nature’s God,” God’s laws of justice, and their fellow man.
The truth is, self-mastery is necessary for freedom. It is a condition of liberty that “Only a virtuous people are capable of freedom,” because “as nations become corrupt and vicious, they have more need of masters.”797
The truth is, religion is the most efficient structure to elicit individual self-restraint and selflessness for an orderly and peaceful society. It is a condition of liberty that religion be freely allowed to work its refining influence on the people—without force or compulsion—as the means to prepare leaders and followers with the highest caliber of integrity, honesty, compassion, virtue, and ethics.
The truth is, all people possess unalienable rights that no other has the moral authority to abrogate. It is a condition of liberty that rights be jealously guarded and preserved as the well-spring from which solutions to all problems will emerge.
The truth is, all men are created equal, but that’s all. After birth, the only equality is in the eyes of God, in the eyes of the law, and in the endowment of unalienable rights. It is a condition of liberty that life’s struggles remain unimpeded by government intervention except to rectify violations of moral law.
The truth is, equal things are impossible. The expectation of equal outcomes and material items is the work of envy. Envy doesn’t build or create—it is mortality’s second worst enemy next to death. A condition of liberty is the firm rooting of free choice in all human action within the boundaries of moral law—even the freedom to fail.
The truth is, those who shirk their responsibilities will forever look to government to take from those who “have” and give it over by force to those who “have not.” It is a condition of liberty that each person acquires a strong work ethic, stand on his or her own feet, prepare for emergencies, and work for their lives.
The truth is, compassion for others and a spirit of service and charity is a condition of liberty. Experience and reason prove that delegating to the government the natural human trait to alleviate suffering will inevitably destroy a nation’s economy. A condition of liberty is leaving the care of the needy in private hands.
The truth is, the government may possess no more rights than those possessed by the individual. A condition of liberty is a strongly worded written constitution binding the government from mischief, and a process of checks and balances to ensure that the government does not stray from those boundaries.
The truth is, international alliances that take private property from the people and lend or gift it to other governments is an unjust theft of private labor. It is a condition of liberty that a nation’s sovereign laws never become subordinate to foreign powers.
The truth is, every person who is blessed with the protection of his or her life, liberty, and property is obligated to carry their portion of the cost for such protection. It is a condition of liberty that taxes taken from the people for these purposes are uniform and are taken from the people at the same rate.
The truth is, private control over public money will profit those private managers and their friends at the taxpayers’ expense, and lead to mismanagement and disaster. It is a condition of liberty that the people themselves manage their national money supply.
The truth is, duties delegated to the central government must be few and defined, while duties for local government are many and undefined. It is a condition of liberty that prosperity grows from the lowest levels of society upwards—from individual labors, not from government regulation, management, and meddling.
All regimes now standing cannot survive an examination of their behaviors with the light of such truths spotlighting their abuses.
The truth is, being free to choose is the only state of existence that endures—being free to let go of those shiny pieces of government-minted tin and escaping into the vast potential of self-made opportunity is the power of freedom, and it must be protected.
The obscure Quaker Isaac Potts, an otherwise unknown and insignificant figure in history, told of a poignant moment he personally witnessed during the ravages of the early days of America’s War for Independence. It was a scene at Valley Forge—amply recreated in paintings, drawings and popular media—of George Washington, the general of the American army, a bowed man whose shoulders carried the burdens of freedom through that grist mill of defeat and deprivation, dropping to his knees in final desperation to lay his petition for relief before God.
Quaker Potts is the sole source of the details of this event, telling it to family and associates. It’s a tale of lasting endurance drawn from the frozen mud of stark discouragement and death among the dwindling hovels of troops who then sustained the cause of freedom on that wintry day.
Seldom mentioned about this lowest point in their slogging struggle is that after his fervent and private communion with his Father in Heaven, General Washington gathered about himself what remained of his faith, his courage, and his inner resolve—and the man stood up.
He stood up against the arrogance of an all-powerful ruler who had dispatched death to smother the embers of freedom.
He stood up against the arbitrary chains of abject obedience forged around the throats of people wanting nothing more but their liberty and their lives.
He stood up against the tyrant who held the executioner’s axe that forced Washington and his troops into this forge of the worst kind.
He stood up against an impotent Congress, rendered chaotic and inept to unify the colonies or materially support the war because of their failed Articles of Confederation.
He stood up against the consuming collapse of a broken heart for the losses of men about him, suffering through starvation, disease, and the cold, leaving nameless bloody tracks in the snow as lonely monuments to their passages through the great struggle for freedom.
He stood up against all that would destroy and enslave and end the great cause that brought them to this place in the snow, this Valley Forge, where the only sentinel preventing an escape was his own personal resolve. And all around him, the powers of the cold, the elements, the collapsing decay of mortality and conflict, squeezed away the last drops of ability and hope, and callously poured them into the frozen earth—leaving just threadbare fingers of faith clutched in humble prayer. For this, George Washington stood up this one last time—for his life, for his liberty, and for his sacred honor.
And when he stood up, others in their rags and illness and misery saw it. Taking courage, they stood up with him, and so rose the greatest nation in the history of the world.
If free Americans are willing to stand up with Washington, stand up against the forces that are drowning human capacity, to put the virtues of freedom within their own hearts, and then stand up across the world in one vast united front, it is entirely possible to celebrate within our lifetimes this, the grandest prize of all, “Freedom in our time for all mankind!”
Learning to Recognize Socialism
778 All excerpts by Wilson Rawls (1913-1984), Where the Red Fern Grows, 1961.
779 Portions adapted from The Naked Communist by W. Cleon Skousen,, Ensign Publishing, 1958.
780 George Washington, fifth annual address to Congress, December 3, 1793.
781 Lowell M. Limpus, Disarm!, Freedom Press, N.Y., 1960, pp. 21, 126.
782 Matthew 7:12.
783 Matthew 5:9.
784 Acts 20:35.
785 Matthew 5:44.
786 Matthew 18:4.
787 Matthew 10:16.
788 Matthew 5:48.
789 Luke 24:47; Acts 2:38.
790 Luke 10:29-37.
791 Matthew 6:4.
792 Galatians 6:7; Matthew 5:28.
793 Gardiner Spring, The Obligations of the World to the Bible: A Series of Lectures to Young Men, p. 119, New York: Taylor & Dodd, 1839.
794 1 Timothy 3:5 (1-5)
795 John 8:32 .
796 For an expanded discussion about how truth creates freedom, see Ezra Taft Benson, The Proper Role of Government, 1975.
797 Smyth, Writings of Benjamin Franklin, 9:569.
The Naked Socialist is dedicated to the heirs of liberty, that supernal gift made available by the simple and divine happenstance of living in the United States of America. And, to my loving and supportive wife, Kathy, who persevered with kind patience to smooth the way so these many years of research could be concluded—a contribution of untold importance. And, to my ten children, their spouses and offspring, and to all other freedom-loving patriots. May they become a staff of knowledge and understanding and direction upon which the nation may lean, that together the people of the United States may bear the Constitution away from the forces of destruction described in these pages. May they live to see the day when liberty is restored and confidence in constitutional government rebuilt, so that freedom may once again reign supreme, and prosperity flourish.
It seems appropriate to acknowledge powerful guides, influences and sources of enlightenment. First, the tremendous scholarship and labors of my father, W. Cleon Skousen, who paved the way for this treatment on socialism, a project he prepared for but didn’t get a chance to write.
And, my mother, Jewel P. Skousen, who, at the age of 96, still retained her amazing talent for editing and thoughtful suggestion. She is one of those rare, precious souls who knows how to spin gold from an exhausted writer’s literary straw.
And, Igor Shafarevich, Ludwig von Mises, Milton Friedman, F.A. Hayek, James Madison, Thomas Jefferson, Ezra Taft Benson, a few hundred authors and scholars both modern and ancient, and all the American Founding Fathers whose insights, writings, and willingness to face the monsters of this mortal sphere with wisdom, courage, and patience, brought insight and understanding to these troublesome times in which the world finds itself.
And, dozens of family members and great friends who were willing to review the text for suggestions and corrections, including the studious attentions of editor Tristi Pinkston, and the encouraging suggestions of Benjamin C. Skousen, Michelle S. Kennedy, Joseph M. Skousen, Jacob P. Skousen, Tim and Wendy S. McConnehey, Joshua B. Skousen, Mary Ramirez, Sharon S. Krey, and students from my classes at the university. Also lending valuable suggestions were Patricia S. Taylor, Julie S. Mason, MaryAnn S. Hill, and the constant encouragement from Elisabeth Skousen who lent excellent and timely historical context. And, for the brilliant cover and illustration ideas powerfully originated and designed by Arnold Friberg, conceptualized for socialism by J. Rich Skousen, and magnificently recreated and restored by Benjamin C. Skousen.
There are others, but like the subject matter at hand, there must be an ending to the writing, and here it is.
Paul B. Skousen was an analyst and intelligence officer for the Central Intelligence Agency (1982-1987). For two of those years, he worked in the White House Situation Room for President Ronald Reagan. He is a journalist by training, a writer, published author, and a professor at Utah Valley University. He has a B.A. in journalism and communications from Brigham Young University, and an M.A. in National Security Studies from Georgetown University.
Quotes On Major Section Headings
xix. Part I: What is Socialism? “Socialism is government force to change society.”—Author
xx. Ouroboros “Socialism progresses like a snake eating its tail.”—Author
45. Part II: Socialism in Ancient History “Socialism is a time-released poison pill with a 100 percent success rate.”—Author
67. Part III: Socialism in Classical History “From Rome to ruins, the classical forms marched bravely toward the chasm, determined and assured that all was well.”—Author
93. Part IV: Socialism in the Middle Ages “They advocated having all things in common—including wives. Early Church fathers stated, ‘They lead lives of unrestrained indulgence’ ...”—Author
141. Part V: Socialism in the Americas “The sober and godly men ... evince the vanity of that conceit of Plato’s ... as if they were wiser than God.”—Gov. William Bradford, cited in Samuel Eliot Morison, Of Plymouth Plantation, 1620-1647, p. 120
161. Part VI: Socialism in Religion “All major world religions have gone through times when its members or leaders practiced Ruler’s Law in one form or another.”—Author
193. Part VII: The Miracle That Stopped Socialism “The Utopian schemes of leveling ... are arbitrary, despotic, and in our government, unconstitutional.”—Samuel Adams, 1768 letter to Massachusetts’s agent in London.
239. Part VIII: Revolution of the Socialists, Section 1 “When the people find that they can vote themselves money, that will herald the end of the republic.”—Often attributed to Benjamin Franklin, although not validated.
264. Part IX: Revolution of the Socialists, Section 2 “When virtue suffers neglect and death, the historian knows an end to the whole is not far behind.”—Author
295. Part X: Revolution of the Socialists, Section 3 ““God is dead. God remains dead. And we have killed him. How shall we comfort ourselves, the murderers of all murderers?”—Friedrich Nietzsche, The Gay Science, section 125
337. Part XI: The Last Temptation: Compulsory Care “The surest path to dictatorship is braced with the promises of universal care.”—Author
359. Part XII: The Last Temptation: Health Care “All modern dictators believe in coercing people into governmentalized medicine.”—Melchior Palyi, Compulsory Medical Care and The Welfare State, National Institute of Professional Services, Inc., Chicago, 1949.
383. Part XIII: Socializing the Money “There is something behind the throne greater than the king himself.”—Sir William Pitt, 1770, quoted by Lord Mahon, History of England, Vol. V., p. 258.
411. Part XIV: Socialism Today in America “It is impossible to introduce into society a greater change and a greater evil than this: the conversion of the law into an instrument of plunder.” —Frederic Bastiat, The Law, Ludwig von Mises Institute, Auburn, Alabama, 2007, p. 7 (paragraph 31)
455. Part XV: Socialism Around the World “... Vagabonds and beggars have of long time increased, and daily do increase ... being whole and mighty in body, and able to labour ... there to put himself to labour, like as a true man oweth to do.” —King Henry VIII, George Lillie Craik, et al., The Pictorial History of England, Charles Knight and Co., 1839.
491. Part XVI: The 46 Goals of Socialism The goal of socialism is communism: “What is usually called socialism was termed by Marx the ‘first,’ or lower, phase of communist society.”—Vladimir Lenin, The State and Revolution, Chapter 5: The First Phase of Communist Society.
503. Part XVII: The Proper Role of Government “Government may not possess more rights than those held by the individual. The individual may delegate certain rights—defense, justice, and raising revenue—but the government may not simply assume them. When it does, that is tyranny.”—Author
522. The Ouroboros “... Socialism progresses like a snake eating its tail . . . Let them pray, therefore, that their tail be very, very long.”—Author
At the bottom of each page are factoids, short news items or quotes about socialism or freedom. To find their citations and sources, go to www.paulskousen.com.
To locate any particular factoid inside the book, find it listed in the Index under its corresponding name or keyword entry.