5kYL: Principle Fifteen

FREE-MARKET ECONOMICS

After reading this chapter I am tempted to tackle the tombs of Adam Smith. However, it may be imperative to understand the formula to free-market economics Skousen outlined along with the four laws first. Until we as a nation relearn these and begin to apply them fully, I can hold off trying to digest the particulars of The Wealth of Nations.

So what is the formula to free-market economics?
1. Specialized Production - So far we are safe in this aspect, except for institutions such as affirmative action.
2. Government interference is all we're witnessing these days. Everyday the words of Jon Galt run through my head: "Get the hell out of my way!"
3. Government monopolies are forming in the financial institutions, auto and soon the health industry.
4. Supply and Demand - Because of government intrusion into the private sector, prices can not be regulated by the morally superior means of competition. This is because the government isn't concerned with making profit. This leads to the next point...
5. Profits - This is the only reason for the free-market to exist. However, companies like Exxon have been scorned for years because of their record profits. No matter they provide a service that without it, this country and the world would shut down.
6. Competition - Without competition, improvements aren't necessary and prices go up.

What are the 4 Laws?
1. The Freedom to try.
2. The Freedom to buy.
3. The Freedom to sell.
4. The Freedom to fail.

The founders knew that the government is the greatest threat to economic prosperity. But they also believed that it had a limited role. The responsibilities of government is to prevent:
1. Illegal Force
2. Fraud
3. Monopoly
4. Debauchery

One important responisbility of the government that was never rightly implemented was the regulation and coining of the U.S. currency. This was never intended to be the role of a private institution like the Federal Reserve.

Question to consider:
Why is it unfair for government to obtrude on the private sector?

5kYL: Principle Fourteen

PROPERTY RIGHTS ESSENTIAL TO LIBERTY

God commands man to multiply and replenish the earth, to subdue it and bring it under dominion.

Because property earned is a right of it's owner, it can't lawfully be taken away. This creates incentive for innovative people to continue developing, creating, and profiting. Property is an extension of life, energy, and ingenuity.
One main cause for the American Revolution was because the English Crown was excessively confiscating the property of the colonists by means of taxation without their consent (or representation).

A prominent government function is to protect the rights of property of the citizenry. However, the meaning of "general welfare", has been distorted. Since the 16th amendment of the Constitution was ratified, and the confiscation of peoples' property was made legal, that property has been misappropriated in the form of redistribution to non-earners.

So what is an accurate definition of "General Welfare" that appears often within the Constitution?
It is the belief that the poor should be taken care of, but who's role should this be, and to what capacity?

5kYL: Principle Seven

EQUAL RIGHTS, NOT EQUAL THINGS

From the 9/12 project:

7. I work hard for what I have and I will share it with who I want to. Government cannot force me to be charitable.

The government may not have any power over which the individual citizen has legal right to do. One cannot take what is not his and give to another he deems is in need. This follows that the government shall also have no authority to do so.

In America, we were protected by equal opportunity to acquire as much wealth/property as we please. It is the incentives that enables the wealth and prosperity of this nation. But once the government starts taking away incentives by placing exorbitant taxes on high-wage earners or by giving welfare checks to no-wage earners in the name of equality, equal opportunity is no longer protected. Ultimately, the more wealth taken from a few and given to many others, results in all living equally miserable.

The government should only protect the people's equal rights, not provide equal things. As noted previously, we are a generous nation. If our neighbor is in need, we are encouraged to pick him up. But it is not encouraging to be forced by government to be charitable.

5kYL: Principle Six

ALL MEN ARE CREATED EQUAL

In America, man is equal in the eyes of God, by the established laws, and in the protection of his rights.

This chapter explains the struggle of the second-class or minorities. I choose to disregard this as I consider the most important, and as a modern philosopher states it, the smallest minority, is the individual. It's not productive to exemplify a group that collectively surmount adversity, rather I extol the one who did. Only in America is this possible.

One important thing to note is that government hand-outs never improve the minority's position, as they are only supplements to his freedom to succeed or fail.

5kYL: Principle Five

ROLE OF THE CREATOR

The existence of the Creator is the most fundamental premise underlying ALL self-evident truths. The revealed law of God, based on man's reasoning, is considered the foundation of society's justice system. Laws are constructed based on a moral code that distinguishes right from wrong.


God is also deemed intimate, displaying divine intervention in our daily lives and in the founding of this nation.

5kYL: Principle One

NATURAL LAW

From the 9/12 project:

2. I believe in God and He is the Center of my Life.

This is a simple and easily understood principle:

• Love God and
  
• the truth of His Justice.
  
• Love your fellow man.
  

Follow these commandments and government becomes irrelevant. The foundation of society must be Nature's Law. Laws created in antithesis to Nature's Law are by definition, evil.

Questions to consider:

In the Declaration of Independence there is an affirmation of Nature's Law with the unalienable rights of life, liberty, and the pursuit of happiness. But what laws enacted thereafter oppose Nature's Law?

Is the permitting of abortion opposed to Nature's Law?

Is the recognition of gay marriage acceptable under Nature's Law?

The acquiescence of some States the bondage of fellow man in involuntary servitude was practiced and legal until the ratification of Amendment 13 of the Constitution of the United States. What becomes a Nation that permits such laws?