Archive for the ‘Economy’ Category

On the Desire of Democrats to Believe in Myth of Russian Interference

April 26, 2017 2 comments

While I would have preferred to not write about this topic, it is clear that the democratic elite and MSM are still flogging what is obviously still a very dead horse. As some of you might remember, my previous post on this topic was about how the narrative surrounding Russia hacking the 2016 election demonstrated the intellectual bankruptcy of the democratic establishment and their MSM lapdogs. At that time, I had hoped that the passage of a couple of months would lessen the desire of the democratic establishment to peddle this ridiculous narrative, especially since it was not gaining any traction among voters who were not already highly partisan democrats.

Well.. we are in late-April 2017, and the democratic establishment is still busy pushing this comical narrative, while simultaneously ignoring the many other unpopular actions taken by Trump since he assumed office on Jan 20. Consequently, the democratic establishment and party are now widely seen as an ineffectual opposition to Trump at best and an irrelevant, if entertaining, freak show at worst. It is therefore not surprising that all substantive and successful opposition to Trump’s many brain-farts have come from places other than the official opposition. For example, it was pressure from pissed-off voters rather than concerted actions by the democratic establishment which scuttled his first attempt to repeal ‘Obamacare’. Similarly, it was the judiciary rather than the democratic establishment has taken the lead in opposing Trump’s many executive orders.

Moreover, the democratic establishment has been more than eager to support Trump’s ill-advised saber-rattling against Syria, N.Korea and Iran. It is also establishment democrats who cheer the loudest when Trump breaks yet another one of his populist campaign promises. It is therefore not surprising that the democratic party brand has become less popular with voters since the election. It is also no secret that their massive and sustained loss of power at multiple levels of elected government over last 8 years has not helped the situation. You might have also noticed that the losses of 2016 and prior years have not resulted in any real change in the general direction or strategy (if they had either to begin with) of the democratic party. I should also add that the most popular politician in USA is Bernie Sanders, who still rightly calls himself an independent.

My point is the democratic establishment has more in common with a cult in terminal decline than a functional political party with a future- unless they want to be the nominal opposition in perpetuity. But what does any of this have to with the core reason behind the desire of the democratic party to continue believing in the myth of Russian interference in the 2016 election. As you will soon see.. a lot. Let us start by trying to list all the main reasons that most people give for the seeming obsession of the democratic establishment with finding some evidence, however weak and phony, to link Trump with Russia and Putin.

There are those who point out, quite correctly, that democrats obsession with finding a Russian “connection” to Trump have their roots in a modernized version of cynical red-bating such as that practiced by McCarthy in the 1950s. While that analysis is generally correct, I see it as a second order symptom of a much deeper systemic problem. Another possibility is that democrats are so desperate and short of ideas to get rid of Trump that they are literally grasping on straws and tweets of an unstable performance artist like Louise Mensch. Once again, there is a lot of truth in that view but it is at best a second order symptom rather than the root cause. Still others see the whole “Russian interference” sideshow as a way for the deep-state to control Trump, and they too have a point but not the root cause.

The root cause (in my opinion) stems from the fact that establishment democrats are still unable to understand, let alone come to terms with, the loss of HRC in the 2016 election. I am sure that, by now, some of you must have read or heard undeserved hagiographies of HRC by establishment liberals and wondered if the authors in question actually believed a single word of what they wrote or said. Here is what I think.. In most cases, all those “liberal” celebrities and intellectuals who peddled those HRC hagiographies did (and do) actually believe most of what they said or wrote. But why would that be the case? Why would supposedly smart and credentialed people be so blind to the many glaring flaws of HRC as a presidential candidate?

I think that is comes down to their professed religion aka neoliberalism. HRC was the perfect neoliberal candidate in that her public profile put a checkmark on every point in the neoliberal scoresheet. She was white, female, rich, from a well-known family, “credentialed”, had a full resume, center-right on all issues except a few social ones, fiscally conservative, hawkish on foreign policy, in favor of stealth privatizing everything, capable of endless empty platitudes. In other words, HRC was a neoliberal wet dream- even more so than Obama. Furthermore, she hired mostly ivy-league people for her campaign team, invested in big data and every other fashionable bullshit scam and presented a very “polished” and “professional” public image.

And yet she lost to a reality TV host with a bad comb who had the hots for his own daughter and a style of speaking that made more in common with pro-wrestling than “serious” politics. Her loss to Trump, you see, is totally baffling to all those who believe in the religion of neoliberalism. They are simply incapable of mentally processing the idea that there might be people who do not want to vote for this living breathing epitome of american neoliberalism. It is as if the greatest saint of their religion was defeated by an underling of the Devil before their very eyes. They are therefore doing what most people whose belief system has been thrashed and defeated do.. find a scapegoat and then blame it on the devil.

As far as establishment democrats are concerned, Bernie Sanders is the scapegoat and Putin is the Devil. Thinking in this manner is far easier than admitting that their belief system was defective and prone to failure. You might recall that in the middle-ages, Christians in Europe blamed Jews and the Devil for massive plague epidemics. Oddly enough, they were never able to come up with a convincing rational explanation for why either of the two alleged culprits might be the cause of their misfortunes. I guess it was just easier for them to think like that than consider alternate possibilities which would question their existent belief systems.

What do you think? Comments?

How CONservative Subhumans Think: Apr 21, 2014

April 21, 2014 71 comments

Regular readers of my blog know that I have never seen CONservatives as anything other as subhumans who will willingly slave away to enrich their real exploiters. Rarely does a day go by when I do not come across one more example of why people of the CONservative mindset are subhuman tools. The remainder of this post is based upon one recent, and very clear instance, of why CONservatives are subhumans.

Edit: Here is a more recent post that explains the gist of my argument.

It all started with a recent article in Washington Post about the effect of rising university tutions on the ability to students to feed themselves- More college students battle hunger as education and living costs rise

When Paul Vaughn, an economics major, was in his third year at George Mason University, he decided to save money by moving off campus. He figured that skipping the basic campus meal plan, which costs $1,575 for 10 meals a week each semester, and buying his own food would make life easier. But he had trouble affording the $50 a week he had budgeted for food and ended up having to get two jobs to pay for it. “Almost as bad as the hunger itself is the stress that you’re going to be hungry,” said Vaughn, 22, now in his fifth year at GMU. “I spend more time thinking ‘How am I going to make some money so I can go eat?’ and I focus on that when I should be doing homework or studying for a test.”

To make a long story short, the above linked article talks about how rising tuition costs and decreasing (or harder to obtain) student financial aid causes food insecurity for university students who do not come from well-to-do backgrounds. As many of you might also be aware of, university tuition fees in the USA have consistently grown at rates far higher than gross inflation, wage growth or even health care for the last thirty years. It is noteworthy that this rise in fees has not translated into wage increases for the tenured university faculty or support staff. Indeed, universities are now heavily dependent on temporary sessional instructors who get paid only a fraction of what the shrinking tenured faculty makes. FYI- all of that extra income from ever-increasing tution fees is mostly spent on “wealth” management for the university, sports teams and athletic facilities, salaries for a greatly expanded administrative staff and other stuff that has no positive effect on the quality of teaching.

So what aspect of this article ticked me off. Well.. it was not so much the article, as some of the comments that made me write this post. Here are a few of the more typical examples.

ChrisMallory 4/15/2014 8:48 AM MDT
Have these special snowflakes never heard of Ramen noodles? Get them on sale at 10 packs for a dollar and eat like a king.

joepah 4/11/2014 12:28 PM MDT [Edited]
You can buy a 50 lb sack of rice for $25 and a 5 quart bottle of veg oil for $10. 25 lbs dried black bean $23. 1 lb salt $1. Not the most exciting food but provides all the fat and carbos to keep you going. Flour lard and veggies can be cheap. Give me $100 at month and I can feed a college student, IF they are willing to learn to cook.

ceemanjo 4/10/2014 6:48 PM MDT
I was hungry every night my first year of graduate school, lost fifteen pounds and I wasn’t fat to start with. After a while, I learned that you can live off potatoes and beans. It is truly amazing how little you can spend on food. Do you want to live like that your whole life? No. But it doesn’t hurt for a few years. I look back with some fondness to my struggling student days. I think we should lighten up about this. It is actually a good thing for college kids to be hungry sometimes, good learning experience. A good inexpensive college dish is ramen with cabbage and carrots. You can fill your stomach for less than a dollar. Ramen isn’t much good for you but it fills you up and the cabbage and carrots are. Potatoes are cheap.

Terrence Lorelei 4/10/2014 4:47 PM MDT
Well, something tells me that Mommy and Daddy (or, Mommy and Mommy) won’t really let their little darlings starve. Also, the ridiculous arguments about following the models of some silly Euro-weenie nation simply do not hold water; a nation of 330 MILLION in a free-enterprise system cannot be compared to a mini-nation of 10 million socialists, all living just above the poverty line due to government confiscation of most of their paychecks. But then again, the spoiled American under-25 crowd simply will never understand that they are NOT owed anything until they earn it.

CivilUser 4/10/2014 12:20 PM MDT
What happened to Ramen Noodles? They still sell those dont they? Thats what got me through school. That and a used rice cooker that always had rice cooking. Meal plans at my school were for the kids who had parents with money.

While comments such as the ones highlighted above are now becoming the minority opinion, they were until very recently the majority opinion. But why? It should be obvious to all but the brain-damaged that there are no real constraints in providing every single person on this planet more than enough to eat. The technology and resources to do so have existed for a few decades now. Nor is money a real issue, partly because it is not real to begin with and can be produced in unlimited amounts at a touch of a button. Furthermore, the USA spends infinitely more money on far more dubious causes such as “stealth” aircraft that cannot fly in the rain, nation “building” in the middle-east and spying on its loyal “citizens” (subjects).

It is clear that food insecurity in university students is not due to a real lack of food, money or social utility. It is about creating artificial scarcity.

But why? What is the rationality behind creating artificial scarcity? Well.. while there is no rationality behind creating artificial scarcity, there is certainly a logic- a CONservative one. As I have said before, CONservatives are almost exclusively motivated by making the lives of someone else, usually less fortunate than them, miserable. They are, as a group, incapable of relating to other humans and indeed any other life forms in any other way. CONservatives have no real interest, or belief, in concepts such as personal responsibility, frugality, utility, or honesty. Indeed, they only invoke such concepts to try to shame and handicap naive people. CONservatives are just a bunch of pathetic parasites who were not lucky or smart enough to make it into the big leagues. They spend the rest of their pathetic lives trying to win small personal victories by trying to screw over other people. The only real and lasting solution to this problem involves the sudden disappearance of all CONservatives and their progeny.

What do you think? Comments?

Profit, unlike Gain, is a Measure of Theft from the System

March 24, 2014 7 comments

The idea that profit-driven capitalism is the only system capable of delivering sustained improvement in living standards is a deeply cherished belief of many Americans, despite considerable evidence to the contrary. Some of you might even argue that the dissolution of the Soviet Union is definitive evidence of that ‘there is not other way’. Of course, doing so would require us to ignore that state communism did take Russia from a chaotic 19th century society to a superpower within 30 years, inspite of the massive damages inflicted by Stalin’s paranoia and WW2.

We would also have to ignore that the massive and unprecedented increase in the standard of living in the USA from the mid-1930s to mid-1980s was largely financed by direct and indirect government spending. Imagine an American middle-class without the New Deal, WW2-related spending, GI Bill, Space Race and all other Cold War related spending. But this is not a post about which flavor of capitalism is better than which flavor of state communism. Instead I will try to show how one of the fundamental proxy measures of success in capitalism (and state communism) eventually up destroying them.

I am certainly not the first to point out that monetary profit is fundamentally a measure of theft from other people or groups. However unlike many others, I am more interested in its downstream and knockon effects than the morality and mindset of those who benefit from it. There is also the interesting issue of why capitalism seems to “work” as long as it is kept under control, but becomes destructive to almost everybody once it is unregulated. In my opinion, all of this comes down to difference between profit and gain.

Some of you will counter by saying that “but aren’t profit and gain two words for the same thing”. Well.. not quite and let me explain. We use the word profit to denote a situation where one party benefits at the expense of another party. It is fundamentally impossible for all the parties involved in a profitable transaction to gain from it and is therefore a zero-sum interaction. Now contrast that an interaction where some parties gain more than others but pretty much everybody gets a pretty good and fair deal. Still confused? Let us look at some examples.

Consider the case of a generic multinational corporation which has managed to increase its reported profit by off-shoring its manufacturing base to a low-income country. So who are the winners and losers in this type of scenario? The biggest winners in this scenario are almost always the top-level management, large stockholders and those involved in the financial (and other) intermediation necessary to make it happen. Minor winners include the poorly paid workers in the low-income countries now working at a slightly better paying job and the consumers who benefit from a slightly cheaper product. So who are the big losers in this transaction? Well.. everybody else- starting from the unemployed workers to local business who depended on those workers and the local governments who depended on tax revenue from those workers, business and the corporation.

Now consider the case of a company, business or an institution developing a new way to fulfill some human need or desire. How many people were negatively affected by the development of computer technology? What about antibiotic drugs? What about better automobiles or airplanes? What about effective vaccines for diseases like polio? In each of the above examples, pretty much everybody benefited (or gained) far more than they lost. Moreover each of these products increased the size of the economy without a significant increase in income inequality. That is the important, and crucial difference, between profit and gain. You might also notice that my description of gain is pretty close to most peoples mental image of functional capitalism.

So why is gain-based capitalism in full retreat and why has its profit-based form taken over?

It comes down to concentration of power in the hands of a few large players or oligopolization. Capitalism, or indeed any other system, works best when there are many and almost equally capable competing players in the system. That is also why capitalism seems to function pretty well when a new area opens up for business. But sooner or later you will end up with a handful of major players who will dominate the new area.

But why would narrowing the list of players favor profit over gain. Well.. once again there are many interrelated reasons but they all arise from one characteristic common to all large human organisations- who runs them. The higher levels of large and established organisations are almost always dominated by sociopaths who have learned to climb the pyramid by stepping on others. These climbers often have no understanding of what it takes to make the enterprises they are leading function properly, nor are they interested in making them function properly.

The mindset of these sociopaths is dominated by two interlinked desires. Firstly, they want to subjugate and impoverish everyone else. Secondly, they want to do so while basking in material comfort. They have no interest, desire or even the mental ability to be anything else. These billionaires, “business leaders”, CEOs, board members, banksters, head honchos etc are functionally identical to parasites or viruses in that they both lack a purpose for existence and an internal ability to restrain themselves. They survive and thrive by exploiting the structure of the system and eluding systemic attempts to destroy them. But why are they so interested in generating more profit and suppressing gain? The answer to that question lies in what happens to monetary profit once it is generated.

Monetary profit, unlike gain, is almost never reinvested back into the system. In other words, all money made as profit exits the functional economy and impoverishes everybody else.

Only sovereign governments can replenish this supply of money. It is therefore not surprising that billionaires and other rich people spend lots of their time making sure that the government does not replenish this supply or that they get most of that replenishment. It is not about more money for them, as much as it is about less money for everybody else. Of course, it certainly helps that they have a whole bunch of morons to do their dirty work.

What do you think? Comments?

Film Remakes, Sequels, Prequels and the True Nature of Capitalism

March 1, 2014 8 comments

Have you ever wondered why mainstream movie-making in the last twenty years has gravitated towards remakes, sequels and prequels of previously successful movies? Why do movie studios keep on making newer version of old hits? What is purpose of making progressively inferior sequels or prequels of questionable quality? Now there are some who would say that all literature, theater and cinema is derivative (cleverly plagiarized and recycled) and there is some truth to that. But that is not what I am talking about. Let me explain my point with a few examples.

The original Star Wars and lords of the rings franchises are indeed clever rehashes of epics centered around reluctant hero trope. Furthermore, such epic stories are found across diverse cultures and eras. However reading the Odyssey, Scandinavian sagas or even the much earlier Epic of Gilgamesh does not diminish the enjoyment of watching the original star wars films or the LOTR trilogy because while they all have the same basic story structure, each one takes great effort to create and populate its own unique and self-consistent universe. Similarly modern superhero characters have more than a passing resemblance to the trans-human/semi-divine characters that populate ancient myths and stories. Yet once again, the creators of most modern superhero characters took considerable effort to make them and the worlds they inhabit as unique and richly detailed as possible.

Now contrast this level of creativity and effort to that seen (or not seen) in the Star Wars and LOTR “prequels”. Or take movie remakes- Why do most modern movie remakes and sequels suck so badly? Compare the original Robocop movie to its recent remake. Or compare the remake of Total recall to its far more innovative original version. This is not to say that every remake, prequel or sequel sucks. There are examples where the reboot was as good or better than the original such as Scarface (1983 vs 1932) or the Mummy (1999 vs 1932). Note that both examples of successful remakes mentioned in the previous sentence were quite different from the original versions. Having said that movies in which the remake, sequel or prequel are better than the original are exceptions and not the rule.

But why is that so and what does it have to do with the true nature of capitalism?

The short answer to that question is as follows- trying to relentlessly increase and optimize monetary profits from any new source of income will always kill the proverbial golden egg laying goose. The somewhat longer answer to that question requires us to first take an honest look at what capitalism (or any other materialism based -ism) is really about.

In the preceding paragraph, I hinted that the tendency of capitalism to kill golden egg laying geese is shared by other material-based ideologies (such as state communism). But why would that be so? Aren’t materialism based ideologies more “scientific” and therefore superior to other ways of looking at the world? Well.. it depends and here is why.

Materialism based (reductionist) models work best when the systems are small in size, fundamental in nature and/or tractable. So materialism based models are perfect for doing things such as predicting the motion of planets, understanding the physical nature of matter, launching artificial satellites, synthesizing some new chemical compound or designing a new engine or vehicle. Their predictive value starts to decrease as the systems become more complex or chaotic- yet they are still quite useful for understanding phenomena as diverse as biological evolution, speciation or weather systems. Reductionist models however reach the end of their usefulness when we enter the realms of complex, fundamentally unstable and adaptive systems such as human societies.

Models based in reductionism work well only as long as the fundamental components of the system and interactions between are constant, predictable and measurable. We simply cannot do that with human societies of even basic complexity. This is where reductionist thinkers make two fundamental errors.

Firstly, they try to use an external and artificial standard unit (money) to keep track of exchanges in the system. While the amounts of money exchanged might initially have some correlation to the actual value of most interactions in the system- it always reaches a point where the amounts exchanged between components in the system has little (or no) correlation to the actual value of the interactions. However the quantity and flow of money in the system are now increasingly seen as the only legitimate measure of value of anything or any person in the system. Money becomes a proxy measure for something it can no longer be accurately used to measure.

The triumph of money as the only way to measure the worth of anything results in the second type of reductionist error. The quest for more money results in the ever-increasing use of reductionist models (and thinking) to optimize interactions and actions. It is this mindset that leads to mediocre, insipid or just plain shitty movie remakes, sequels and prequels- while simultaneously starving truly innovative ideas and concepts. The people who make decisions about movie funding therefore have little interest in the quality or craft of the final product. They are principally motivated by the predicted monetary returns on their ill-gained money.

That is why capitalism, communism and all other reductionist -isms, which use artificial gameable proxy units, to model the real world ultimately end up destroying the very things that make their existence possible.

What do you think? Comments?

Capitalism Cannot Function Without an Endless Supply of New Suckers

October 31, 2013 53 comments

Have you ever wondered if capitalism could become a victim of its own “success” in ways other those put forth by Marx over a century ago. While it is certainly possible that the effects of declining profits and progressive impoverishment of the majority will derail capitalism in a world where there is not much left to plunder or conquer in an economically viable manner, there is an alternative (and possibly synergistic) pathway for things to fall apart.

The reason you have probably never heard of this ‘other’ pathway is because the conditions that made its existence possible are relatively new. Even today- most economic thought, literature and analysis is the product of people mired in the mindset of previous eras. It also helps that doing so keeps the rich patrons of these sophists (economists and intellectuals) happy and thereby ensures a steady stream of table scraps.

So how did I stumble across this pathway? Well.. it comes down to an extension of one of my observations about human beings. We are often told by “intellectuals” that human beings do things because they are naturally competitive. But how many people would jump through all the hoops and cripple themselves in ways that are considered “normal” in developed societies if they were really doing it for themselves?

What kind of moron would slave away for a house in the suburbs where he would be subject to the simultaneous tyranny of his aging hateful wife and municipal zoning guidelines? What kind of idiot slaves away to live his life surrounded by superficial and scheming people at work (colleagues) and home (neighbors)? What idiot would slave away in occupations that involved high stress or high levels of insecurity? What moron would enter vocations with decade long education and internship requirements but not much in terms of job security?

It is clear that the mindset, worldview and behaviors of the average blue- or white-collar person in all developed countries are blatantly irrational. So why do they persist, or more accurately- why was that behavior so prevalent in the past?

In one of my previous posts, I had put forth the idea that civilization as we know it is a ponzi scheme. I chose that particular term since it best describes the overall structure, mode of functioning and life-cycle of civilization. But it also describes how they grow and become bigger. Civilizations, like ponzi schemes, require a continuous influx of new naive members to scam, exploit, enslave and sacrifice. But why? Well for one you have to pay off the higher ranking (but non-apex) members in the scheme. But there is another reason especially relevant to the fate of capitalism in developed countries with low rates of fertility.

A significant minority of people who cannot move up the pyramid will eventually understand the true nature of the system, even if that realization occurs at a subconscious level.

Civilization always results in a significant minority of its members becoming cynical, disloyal and self-serving once they wise up. There is therefore a constant and unrelenting need for more naive suckers to replace and possibly help eliminate those who have wised up. Finding such new suckers was very easy in the pre-contraception era when the average women has more than two kids who lived to adulthood. But barely or below replacement fertility makes that much harder and hence we had immigration for decades. But today even countries like Mexico and India, not to mention China, have fertility rates that are close to or below replacement.

But what does any of this have to do with an alternate pathway for the demise of capitalism?

The answer to that question lies in the high level of similarity between civilization and capitalism in one area – producing cynical burnouts with nothing left to lose. However capitalist societies are also far more efficient at producing such individuals as they burn the inter-personal goodwill and institutional loyalty of their lower ranking members at far higher rates and levels than their pre-capitalist counterparts. Furthermore, the continuous and ultimately counterproductive competitions that characterize such societies are unsustainable in the absence of high level of growth and some wealth redistribution. The high ambient instability of careers in such societies, even those which involve a lot of personal investment and sacrifice, do not make things any better.

Many societies with these features attempt to stabilize themselves through social welfare programs and regulations to improve career/lifestyle stability. While such measures can be partially effective in the short to medium term, they fail in the long-term for reasons linked to human greed and short-sightedness. Moreover they do not produce fewer cynical burnouts- only slightly less bitter ones. There is a reason why even countries as ordered, stable and affluent as Switzerland, Germany and Japan are not full of highly motivated and enthusiastic people.

Now some of you will say.. but what about the USA? isn’t it an exception to the pattern of capitalistic societies having a significant number of burnt out and cynical people? and isn’t the per woman fertility slightly above replacement or something like that? Well.. let us go through each point.

Firstly the USA is not an exception to the pattern of capitalistic societies having a significant number of burnt out and cynical people. It was just a late comer to that club for reasons I shall explain in a moment. As I have previously said, ponzi schemes can grow and appear stable as long as they can afford to pay off the higher ranking (but non-apex) members in the scheme. So things looked great as long as those born between 1930 and 1945 were getting excellent jobs and enjoying the fruits of rapid and fairly egalitarian post-WW2 expansion. They started dimming a bit when those born between 1945 to 1961 started their working lives but things still looked good and the overall system had enough inertia to keep the real party going into the 1990s. The fall of the USSR, opening of low wage countries like China and India, low interest rates on credit and the housing bubble helped the USA stretch it into the mid-2000s.

But the real cracks were visible as early as the mid-1980s. It was the beginning of an era where wages of average people stopped keeping pace with productivity or inflation. It was also the beginning of a breakdown in the implicit social contract that had existed in the USA since 1933. Lifetime job and stable careers slowly became a thing of the past, as did the formal and informal social welfare system. While this trend initially affected only the blue-collar workers, by the early-1990s even white-collar workers started feeling its effects. While the tech boom in the later half of 1990s and housing bubble in the first half of the 2000s masked the decline somewhat, it was obvious to many that something fundamental about the system had changed.

But which age group is most observant about such subtle but fundamental shifts? Is it the people who grew up before the 1980s and 1990s or those who were born and grew up in those decades? My point is that the mindset, worldview and behavior of those in their 20s and 30s today is a far better indicator of where things will go. So what do we see in that group?

Do we see tons of optimism in that age group? How many of them believe in a stable livelihood or the possibility of lifelong relationships? How many of them have kids, let alone one or two kids? How many will eventually have more than two kids? How many of them trust institutions? How many of them believe in a bright future filled with endless opportunities for growth? How many of them are crushed under student debt and working part-time jobs that don’t require degrees? How many want to move to faraway cities? and if not, why not? and most importantly- are things getting better or worse?

My point is that people in that age group have, throughout the developed world, become cynical burnouts. Even more importantly- the system has far less leverage over them than their parents generation.

Now there are many minor yet highly publicized reasons for this lack of leverage, from the growth of the internet, game consoles and smartphones etc. But the two major reasons are seldom mentioned so let me do that for you. First.. you cannot threaten what does not obviously exist (their children) or things whose existence is a matter of blind faith (secure livelihoods, meaningful relationships). The threat of sudden job loss, intermittent poverty and a generally uncaring and cruel society cannot extract enthusiastic compliance from somebody who sees that as inevitable even if they play by the rules. You cannot threaten a long-term homeless guy with lifelong poverty, especially if he knows that his compliance does not guarantee you will honor your end of the deal.

Secondly- social pressures don’t mean a lot in societies where almost every relationship is superficial, adversarial or mercenary in nature. This is especially so in an era where less fucked-up alternatives are readily available. People are no longer restricted to interacting with those in their immediate physical vicinity and now often prefer those who are not. Who wants to hang around people they don’t trust, despise or don’t care about.

But what this have to with capitalism, especially its american incarnation? Let me put it this way.. capitalism requires the majority to work hard and sacrifice for the enrichment of a small minority. However getting the majority to keep on playing this rigged game requires a decent chance of mediocre rewards (real or imagined), skin in the game (future of their children, family, friends) and social reinforcement. Without them- even the best lies, propaganda and marketing become useless rather quickly.

In the past capitalism could get around such problems by tapping into the then almost limitless supply of naive young suckers and desperate wannabe-american immigrants. However we no longer have a surplus of naive suckers or desperate immigrants who want to be american- and that is not going to change anytime in the near future.

What do you think? Comments?

The Unflattering Reason Behind Extreme Accumulation of Money : 1

October 26, 2013 22 comments

More than a few of my previous posts have centered on, or around, an odd but rarely asked, question.

“What is the point of accumulating money beyond the ability to spend it?”

Now, stupid sophists defending the status quo might say that its is impossible to determine what is enough. Curiously these sophists are seldom well off, let alone truly rich, making their defense of the status quo a bit odd. Perhaps they believe that their incessant barking on behalf of the rich might get them get a few more table crumbs or leftovers. But who knows..

Anyway, back to the question at hand. I have previously written that the reasons for accumulating money beyond the point of usability cannot be rational. But what if they are still logical. Confused? Let me explain. An action can be simultaneously logical and irrational, because logic is a mechanistic process in which the inputs don’t have to be factual or real.

For example, burning women accused of having sex with the devil requires that particular entity to exist in the first place and is therefore irrational. However it can be perfectly logical if you were one of those perpetually fearful and greedy semi-retards who believed in the existence of the devil, especially one interested in having sex with human females.

Coming back to our era, a closer look at much of what we think is ‘normal’ and ‘right’ just does hold up to rational scrutiny. Many of my previous posts are about the sheer irrationality underlying a wide variety of systems- from the basic structure of “civilized” society, the bizarre illusion of money, the worthlessness of supposedly important inter-personal relationships to the futility of loyalty to institutions that demand it. To put it another way- most conventional expectations, norms, rules and behaviors are not rational. But what if they are still logical? and more importantly- what does that say about the real nature of the human mind?

One of the main feature of conventional models for the human mind, be they religious, secular or “scientific”, is the assumption that human beings are intrinsically good, rational, caring or at least capable of all those things. Even religious models that portray human as sinful and fallen, or whatever their secular equivalent are, allow for the possibility of being saved, lifted or “enlightened”.

But what if that is not the case? Could it be the vast majority of humans, including the supposedly smart ones, are fundamentally incapable of being rational.

This question is best answered by looking at the entirety of available evidence (aka historical evidence from multiple sources) factoring in the inevitable underlying contexts and biases. Throughout most of the last 5,000 odd years (aka the age of civilization) the general standard of human living was very low and even the very rich were an infection, poisoning or puncture wound away from death. To make things easy and clear, let us temporarily ignore the actions and behavior of insecure and desperate people under constant stress or duress.

We will therefore, for the time being, willingly ignore most of human history- even though it strongly suggests humans are highly irrational.

Let us focus on societies where a combination of resources and technology make it possible to deliver a very high quality of life to all their members. In case you are wondering, I am talking about the situation in developed countries after WW2- especially after the early 1960s. Studying such societies allows us to eliminate the role of scarcity on human behavior or the ability to reason.

Does the functioning of these societies suggest that humans are capable of rational behavior when not under any real resource constraints?

The answer to this question is complicated. From the end of WW2 to the late 1970s, the socioeconomic changes in these countries suggested that human beings might be capable of rationality- at least under certain conditions. Those times were characterized by very significant technological progress and considerable improvement in the living standards of the median person in those societies. This era was also characterized by fairly low income inequality and a realistic chance to improve ones position in society. It was as if after millennia of screwing around without anything to show for it, human societies had finally found the ability and institutional structures to provide a safe, stable and reasonably good existence for almost all of its members.

But there have been many changes since the late-1970s and almost all of them have taken those developed societies increasingly further away their early post-WW2 vision. But why? It is very clear that we do not lack the technology, resources, productivity or ability to extend the general socioeconomic improvements that occurred within the first three decades after WW2. But every single developed society has abandoned the path of improving the lives of its median, let alone its poorer, members.

How can we account for the rise of neo-liberalistive/neo-conservative (neo-feudal) ideologies throughout developed countries since the early 1980s?

There are those who see this is the result of clever propaganda, institutional capture or mass media-driven brainwashing. While this line of thought might sound appealing to those who see average humans as fundamentally good and therefore gullible victims, there are reasons to believe that it is not the case. You might have noticed that a lot of the ideas recycled by neo-conservatives or neo-liberals, from “personal responsibility” to “work ethic”, are actually old lies and fairy tales.

So what makes people want to believe in obvious lies such as “work ethic”, “meritocracy”, “invisible hand of market”, “creative destruction” and “personal discipline” while discarding other equally old and popular lies about the role of divine entities in human affairs.

Are people really that stupid, unobservant and innumerate? Then there is the troubling question of why the middle class is so eager to believe in the lies, scams and bait-and switches which trick, hurt and abuse them the most. Surely, they are not that retarded or unobservant. I also don’t believe that this behavior is due to learned helplessness. A rational person who understood his lack of control over events would not strive for the benefit of those who were abusing him.

Could it be that most people believe in or play along with norms, rules and paradigms that are against their rational interests because it provides surreptitious satisfaction of much deeper urges in their minds?

In a couple of my previous posts (Link 1 and Link 2) I had suggested that hoarding money beyond ones ability to spend it was irrational as it offered no real objective benefits to the hoarder. But what if hoarding money was about depriving others of resources, security and happiness rather than improving your own existence. Furthermore, what if the behavior of the rich is merely an exaggeration of how most humans relate to each other.

Have you considered the possibility that the primary intention behind almost all “normal” human interpersonal interaction is to somehow con, swindle, abuse, hurt, maim or kill the other party?

In upcoming parts of this series, of which there will be many, I shall demonstrate how my model of the human mind is a far better fit for available evidence on human behavior in a variety of situations.

What do you think? Comments?

The Connection Between “Crime” and Hope

June 19, 2013 9 comments

The consistent and simultaneous fall in violent ‘crime’ rates for the USA, and pretty much every other developed country, over the last 20 years has baffled many ‘experts’. They have offered a multitude of often conflicting explanations for this phenomena ranging from a reduction in childhood exposure to lead, an older population, better policing, legalized abortion to longer prison sentences. But there are two major problems with almost all of their explanations.

1. They assume that A leads to B. For example- Low ‘IQ’ = more ‘criminal’ behavior or longer prison sentences = fewer ‘felons’ on the street.

2. More importantly, they assume that ‘crime’ is not a manifestation of something far more deep-seated.

Let us start by trying to define what ‘crime’ is, and is not. What make something a crime, anyway? Is it the net negative effect of an action or behavior or is it something else. I have partially answered that particular question in one of my older posts- How Laws and Legalism Destroy Societies, but let me summarize it thus:

All ‘crimes’ are defined by laws, rules and regulations rather than by their actual impact on society.

Here are a few examples. Consider prostitution, which at its core is an exchange of sex for money. Why is it illegal in some countries such as the USA? Is the exchange of sex for money in prostitution fundamentally different from a similar exchange occurring in the course of a marriage, cohabitational relationship or during the creation of a pornographic film? Or take drugs like marijuana or opiates.. isn’t all the criminality associated with them due to the fact that they are illegal in the first place rather than their effect on human behavior? What about the onerous rules and regulations associated with living in gated communities? Do they serve any purpose other than mollifying the egos of a few prissy bitches with control issues? What about laws and rules used by monopolies to extract rent or hinder competition? You get the general idea..

Which brings me to another point I made in that post

Laws are made by those with power for maintaining and extending their parasitic behaviors.

All ‘crimes’ should therefore be seen as attempts by the less-powerful to do what the more-powerful are already doing. Don’t believe me? Here are some examples: The system labels you as a ‘murderer’ if you kill another human being, but it is OK if you are a cop- even if you killed the ‘wrong’ person. Similarly, a death caused by a negligent or greedy doctor will almost never result in prosecution, but try doing that if you don’t have an ‘official’ medical license. Or consider how easy it is for a business to declare bankruptcy and stiff its creditors as compared to doing the same via personal bankruptcy.

Which brings us to one of the more peculiar question about the motivations behind committing ‘crimes: What combination of factors, circumstances and conditions makes the risk of getting caught worth the potential payoff?

A few of you might say that people who commit ‘crimes’ do so because they cannot accurately assess the risks because of their supposedly low ‘IQ’, poor future time-orientation or some other assorted bullshit reason. I think otherwise because the very fact that laws, rules, regulations, penalties and prisons have been unable to stop ‘crime’ suggest that there is something else driving the need to do what they do.

I believe that all ‘crime’ is driven by the HOPE for a better future.

People sell sex and drugs because they want to have more money and a better life tomorrow. Organised crime exists because its members can reasonably expect more income and a better lifestyle in the future. Also note that ‘criminals’ always try to maximize their life-expectancy and profit rather than go all out nihilistic and watch the world burn. Even revolutions require a significant degree of belief in a better future, and this is why people revolt on the streets in Turkey, Brazil and Egypt but not the USA, Germany or Canada.

I therefore see ‘crime’ as an expression of hope in the future of that society.

‘Crime’ rates in the USA were high during the 1960s-1980s because those who committed ‘crimes’ had high hopes of a better future. Similarly the high rates of ‘crimes’ in South- and Central- American countries should be seen as an expression of faith in the future viability of those societies. It is also no accident that low-crime societies like Japan, South Korea, Germany, Switzerland, Sweden etc are also full of people who have no hope for a better future. If you don’t believe me, just look at their fertility rates. How else do you explain the decision of so many people who live comfortable and relatively safe lives in paternalistic societies to not have kids?

They have already figured out (at some level) that their rigid and formulaic societies do not offer a realistic chance for a better future. However they are also not opting for suicide without a pretty good reason. So they just go through the motions of being alive in a somewhat detached manner, if only to keep up the appearance of systemic vitality and purpose.

We also cannot forget the role of modern-medical technology, especially contraception, in enabling this to occur on a scale unthinkable in any previous era. In those eras, surplus fertility would have quickly provided new suckers to replace the disenchanted and world-weary. However, that is not the case today and not just in the more affluent countries. Even the less affluent ones such as India, China, Iran, Saudi Arabia, Mexico and Brazil have fertility rates that are near, at or below replacement levels. We just don’t have that seemingly infinite supply of new suckers anymore.

What do you think? Comments?