India: Great Expectations

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In 1991, under pressure from the IMF, India opened some industrial sectors to private companies and removed several licensing requirements. Private cellphone operators, banks, and airline companies started to appear. Soon, private banks were so customer-friendly that they would send someone to your home to help open an account. If you wanted more than $400 in cash, they delivered it free of cost. If you had a complaint, an employee would come to meet you in person within hours — wearing a tie, even in sweltering heat. Mobile phone companies provided outstanding service and, within years, at an enviable price. They delivered my SIM card to my home. If you wanted a new car, you did not have to worry about going to their showrooms. They came to you. Local airlines served great food and drinks, and were manned by bubbling youths full of passion for success. Foreign companies looking for competitive, English-speaking young people set up their operations in India.

Today, much of this lies in ruins. You have to keep chasing these private banks. Their websites are unfriendly, and they deduct money from your account without first informing you what they are about. An account holder stays away from credit cards, unless he really needs them or must show off; yet he still gets credit cards sent to him with yearly fees charged to his bank account, all without his approval.

The Indian government is a vicious, insensitive, passionless, totally corrupt, utterly stupid, and spineless organization, made up partly of psychopaths and partly of crooks, from top to bottom.

Airlines are marginally fine — with sulky services — as long as your baggage doesn’t go missing or a delay doesn’t make you miss your connecting flight. When my baggage went missing, so did the sleek-looking customer agents, for no one wanted to take responsibility. I recently discovered that the biggest mobile company now has no customer service number where you can talk to a live person. You must visit their office. If you deposit cash after your SIM was slated for disconnection (which of course you would not have been informed about), it will have disappeared into a black hole, from which a refund is virtually impossible unless you waste a horrendous amount of time. If the front-line agent has some figment of humanity (which is quite a rarity), he will tell you not to try getting your money back, for he might see the pain you would suffer trying.

Meanwhile, foreign companies started to realize that the costs of doing business were much higher than they had anticipated. They found that looks were deceptive. The English-speaking employees lacked skills, productivity, work ethic, and curiosity. Call-centers started to move to the Philippines. India stayed at best a back-office hub.

On earlier occasions, when I faced problems with Indian companies, I would report them to consumer forums, or write in to the complaint sections of the media. But I soon realized that despite any compensation I received, I spent so much time fighting the insensitive ears of these private companies that the project was cost-prohibitive. These days, if the money involved isn’t much, I forgive and forget, a sign of greying hair and loss of idealism. If what is involved is substantial, instead of fighting in consumer courts, I look for the most efficient strategy. If the Indian company is a subsidiary of a foreign company, I start by calling their CEO's office. When the Indian arm of a Korean refrigerator company refused to do anything about a problem, by calling their Korean office I got a new refrigerator. When a subsidiary of an American company gave me a faulty air conditioner and did nothing about it, I called their CEO in the US. I told his secretary that I would call twice a day to ensure that I got to speak with the CEO. Then their Indian arm worked so well that even the best anywhere in the world would have been impressed. But I have digressed.

In a mere few years, private companies became more like state-owned companies. In some cases one prefers state-owned companies, where at least a bribe does the job. Why?

In general, the "profitability" of Indian companies, particularly the big ones, is a reflection not so much of wealth-creation but of political backing, of their ability to find loopholes in regulations, and of outright theft, often from the poor section of society.

How things go wrong

The Indian government is a vicious, insensitive, passionless, totally corrupt, utterly stupid, and spineless organization, made up partly of psychopaths and partly of crooks, from top to bottom. Most have very numb or dead brains. They exist in dirty, unhygienic, and terrible environmental conditions, for it is they who do the cleaning. I can recall very few encounters with bureaucrats or politicians in which a bribe was not demanded. Moreover, you must grovel and beg in front of these (figuratively and literally) diseased people. Even then there is no guarantee that they will do the job.

I remember that on many occasions the bribes were not about approving something, but just to release my files so that I could take them myself to the next diseased creature. Only a citizen whose mind has not been destroyed and numbed would not feel humiliated by what he goes through at government offices. Not only is the bureaucrat after money, but he relishes the act of demeaning citizens, in a corrupt attempt to make up for his deep-rooted inferiority complex and self-hatred.

Demeaning others leaves the Indian bureaucrat feeling good about himself, at least for the moment. The irony is that all this makes him seriously sick, physically, mentally, and spiritually. His children go astray and he never understands why. As you discover reading The Lord of the Rings, in a tyranny, there is no single tyrant. Everyone is tyrannized by everyone else; everyone's spirit is subdued by everyone else’s. A bureaucrat must sit with people of his kind, who scheme against one another, forever wallowing in the rotting sewage of envy, hatred, and a strange kind of showmanship. In reality, however, they have nothing to show but impotence, for they never create anything useful or productive. They, their wives and kids, and even name-dropping relatives, show off their status in an exaggerated way, through noise, heavy-handedness, armed goons in costumes, and big cars with sirens.

Not only is the bureaucrat after money, but he relishes the act of demeaning citizens, in a corrupt attempt to make up for his deep-rooted inferiority complex and self-hatred.

A casual observer might believe that all you have to do is get rid of such bureaucrats. All you have to do is to change the party in power and streamline regulations and remove corruption through an empowered constitutional authority that politicians cannot touch.

Why then why did private companies fail to sustain their proper character?

The problem is much deeper than an observer might imagine. It is a problem that cannot be reached by the typical libertarian prescription of reducing the size or composition of government. When the prescription is applied, things don’t not turn out much better; and the improvement certainly does not last.

What most people fail to understand is that the state is little more than the sum total of the collective mind.

In India, even a perfectly created product has a very short half-life. My new gym has grown old within months. The dust piles up; the equipment rusts, rather rapidly. My new car earned a big dent, the day I bought it. Every vehicle gets smeared with dents. I don't know anyone who hasn't had several injuries and close calls with death. Day-to-life faults happen with amazing regularity, a frequency that could never have been imagined or statistically expected. The most resilient equipment burns away if you do not think of using a surge protector, for the electricity company will increase the voltage by misconnecting the wires at the main poles. Normal cars need to be redesigned to ensure that they work because, for example, there is almost universal adulteration of petrol. Refrigerators that are designed to keep working as long as they are plugged in stop cooling when water condenses and freezes in their air-pipes as a result of frequent electricity cuts.

Every time you take anything for repair, even a minor one, you get a patch-up job. You are looked upon with amusement if you ask for a good, clean job. No self-respecting workman would want to have anything to do with you, irrespective of the money you offer. Expediency is the mantra. If ever there is a serious repairman, he needs immense cognition to isolate the problem. The others patch whatever they can get away with patching. When you tinker with a system or an individual piece of equipment, trying to correct the problem, you often create more problems, for your tinkering — however innocent it may be — undoes the other patches. This situation exists not just with equipment but with absolutely everything in life. Most Indians waste a very large part of their day putting out existential fires. My five hours of no electricity today, in what is among the best neighborhoods and those most catered to, are one of my smaller worries, for at least I know what the problem is.

So what is the deeper problem?

Unfortunately, but predictably, the bureaucrat described above is merely a reflection of the larger society. He is the tip of the iceberg. This is always the case, but what most people fail to understand is that the state is little more than the sum total of the collective mind. The visible state — the government — and its tyranny is a symptom of the underlying problem: a society that breeds and sustains the statist poison. Individual Indians will decry corruption, but virtually everyone will pay a bribe to gain an unfair advantage over others or take bribes by rationalizing it away. Even written contracts have no value. It is considered fair game if someone steals your money and gets away with it. Most people will not rent their property, for they fear it will not be returned. Most people, even the guy on the street, have a perfect prescription for how I should live my life and will offer it to me unabashedly. Respect for others as individuals and their properties is a completely alien concept. This, combined with fatalism (a product of a superstitious mind that is immune to the concept of causality), is the reason behind the chaos on the roads and every other area of life. I contend that the Indian road is a visual representation of how the Indian mind works.

You cannot have a small government in a society in which everyone wants to control everyone else's life, where no one can be trusted to do a job properly, where the concept of how to make money is not wealth-creation but manipulation and theft. You cannot avoid building a large and corrupt police force in a society where the individual cannot be trusted. You cannot stop a complicated structure of regulations and government in a society in which individuals cannot think straight, clearly, or rationally.

If someone wants a real, sustainable change he should work in the arena of critical thinking and individualism, not on imposing superficial Western ways.

A tyrannical government is a product of a tyrannical, corrupt, and statist society. Even before the society changes, it is the individual who must change. A free society is unsustainable without free-minded individuals. Those who want real change must work on the root: the individual.

The general totalitarianism, indolence, dishonesty, lack of work ethic, confused thinking, irrationality, superstition, and lack of respect for other people have too much momentum on their side to let private companies stay good. The initial euphoria, mostly of a drunken kind, a catharsis, lasted for no more than a few years. What you culturally see in India is not different from what the West was like perhaps 500 years back. India's problems cannot be dealt with unless the society has gone through the reformation, enlightenment, and scientific revolution that happened in the West.

What differentiates the West from "the Rest"

For vices to be replaced by virtues — the way in which a rational individual perceives them — the concept of reason must take precedence. For those who do not think by means of reason, for those whose culture is not based on it, the vantage point from which vice and virtue are considered is very different. For such people, touching a low-caste person to help him might be a sin, and forcefully occupying the property of a poor person to build a temple might be a virtue.

Lacking appreciation of all this, the US government — assuming it was well-intentioned — spent many years lavishing its resources in attempts to bring democracy, the rule of law, etc., to societies where such constructs have mutated back to what they originally were. Those truly interested in bringing a change must understand that outside the West, the mainstream's way of thinking and conceptualizing the world, its way of imagining and perceiving the world, and its resultant aspirations and motivations are driven by undercurrents that are essentially pre-rational. It is the undercurrents that must be changed. They must, indeed, be replaced by reason and individualism.

The problems of India are extreme, but they aren’t just India's problems.

In my travels around the world, I am reminded of this again and again: there is the Western civilization, which values the individual and the concept of reason; and there is the rest, the area of the world in which most people haven't a clue about what individualism means or, if they have a clue, abhor it, even after hundreds of years of interactions with the West and even after the advent of the internet, easy information, and cheap traveling.

Reason and individualism are a rare fruit, a very expensive one. Without it, democracy, the rule of law, and regulations against excessive state power have limited and mostly unfavorable effects. That is the problem of India today.

And not just India. Most places outside the West are in a mess, living a contradiction, having some material development but lacking the necessary basis in reason and individualism, and hence of ethics. Even the West has increasingly lost these concepts. This might be making the world an extremely unstable place. But, again, I digress.

If someone wants a real, sustainable change he should work in the arena of critical thinking and individualism, not on imposing superficial Western ways, trying merely to reduce regulations or reduce the size of the public sector.

The future of India

With China slowing down, Russia failing to impress, Brazil in stalemate, and the economies of the West in stagnation or decline, the focus of those looking for economic growth has moved to India.

Despite producing some of the largest numbers of so-called scientists, engineers, and so forth in the world, India is an extremely wretched country. Relatively speaking, a huge amount of economic growth has taken place since 1991, when it is believed that India started to open up — from GDP per capita of a few hundred dollars then to $1,625 today. In my view, the date when India started to change economically was a decade earlier. India had started opening telecommunications to impress visitors during the hosting of the Asian Games in 1982. This in turn opened channels for an easy import of information and technology through the telecommunications cable. Things developed from there. But now that the low-hanging fruits of imported technology have been extracted from the tree, India is stagnating again.

The mainstream media disagree, strongly. During the past year, the euphoria of the old days has returned to India. The stock market has recently been the highest ever. Foreign institutional investors are flocking again. They see India as the next China, ignoring the fact that India is one of the rare countries that hasn't had an event to shake off entrenched interests, social habits, and patterns of thinking during the past many centuries.

How Modi can change a country of 1.25 billion is something that no one really wants to think about, for these are times of euphoria.

Deaths of hundreds of thousands every year in avoidable calamities of course haven't triggered any shakeup, and hence cannot be called revolutionary. Also, it pays to remind ourselves that the so-called independence movement in India was a political event. As a rule of thumb, a political event is an active avoidance of introspection. India's certainly wasn't a cultural movement or even a shakeup. In a way, it was the antithesis of a shake up. Before that, entrenched interests had participated in the revolt against what came to be known as the Bengal Renaissance, which the English supported. Democracy allowed the basest of elements to rise to the top, making entrenchment worse and a possibility of a shake up more remote and entangled.

India's newly elected prime minister, Narendra Modi, is behind today's grand hopes. Everyone is looking at him. Alas, Indians are so badly trained (and unable to think straight and clearly from the perspective of reason) that supervising a mere few of them often feels impossible. How Modi can change a country of 1.25 billion is something that no one really wants to think about, for these are times of euphoria. Hence, the cycle starts again.

There are far too many hopes about this deity. Modi's deification is perhaps the most visual symptom of India's problems: the society looking up to someone or something external to bring salvation. Today's youth have far too many material expectations, taught them by the TV, but not enough productivity. This might be a very dangerous cocktail in the making. Even if it isn’t, I see no way for India to experience meaningful change unless it gives up its irrationality and superstition. I see nothing on the horizon that is capable of teaching critical thinking to the youth.

For those who care to imagine, India may be, culturally and intellectually, where China and Russia were in the late 19th century. Then, India was indeed going through its own renaissance — the Bengal Renaissance — until it was nipped in the bud by half-baked, uneducable people (Gandhi, Nehru, etc.) who went to study in England and learned nothing more than what their irrational minds could accept: intellectual rationalizations for socialism. They neither got nor were capable of getting even get an inkling that what had made England great was reason and individualism. A bottom-up renaissance was corrupted into a top-down design to change India, the so-called independence movement.

At some point, India has to pick up the threads where it left them, with the premature end of its renaissance. Would that require it to suffer what China and Russia suffered in the early 20th century? It shouldn't, and I would hate to see that happening, but is there any other possibility that human history shows?




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Here’s What’s Wrong About Price Gouging

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Here are some situations. See what you think of them.

You’re getting ready to drive to work when you turn on the radio and discover that an accident has closed two lanes of the freeway you usually take. Unwilling to spend two extra hours inching through horrible traffic, or to forfeit half a day’s wages so you can go to work at a later time, you decide to sacrifice four dollars and take the toll road.

Your friend has a birthday tomorrow, and you want to give him his favorite thing, which is a certain kind of Brazilian coffee. When you get to the store, you find that the cost has gone up. Several would-be customers are shaking their heads and turning away: they’re not buying at that price. “Bad season in Brazil,” one of them says. “Half the crop wiped out.” Hence the price increase. But you want to please your friend, so you pay the extra money and buy him a pound of coffee.

The first snowfall of the winter turns out to be a bad one. When you see the stuff clogging your driveway, you regret that you didn’t contract with the neighborhood snowplow guy to clear the drive whenever it snowed. You call him on his cell, and over the sound of heavy equipment you hear him say something about wanting to “do the customers with contracts first.” In fact, he’s got all the contract customers he can handle — but he’d be willing to help you out today, for twenty dollars extra, fifty dollars for doing it right away. You happily agree.

Do you see anything wrong about any of these little episodes? I mean, do you see anything contrary to common morality? Anything contrary to common sense? Anything contrary to normal economic reasoning? No? You don’t? I don’t either.

You would have paid a hundred dollars, if the snowplow guy had asked for it. It would have been worth it to you. But no, he’s not allowed to ask for more.

Now suppose the government decreed that no motorist should have to pay more to drive, just because there was some dumb accident on the freeway. Suppose the government therefore closed the toll road, just to make things fair, meaning that you would be required either to spend extra hours on the freeway or to forfeit some of your pay for a much delayed arrival at work, or both.

Or suppose the government decided that no one should pay more for essential foodstuffs (e.g., coffee), just because some unpreventable meteorological event occurred. Suppose the government therefore decreed that no one should be allowed to pay more for coffee than the price that prevailed before that event, meaning that all available supplies of coffee would be long gone before you went to shop for it — purchased by casual customers who would never have bought any coffee at the price it is worth to you.

Or, to go at this one more time, suppose the government refused to allow the snowplow guy to charge you extra just because there was a big snowfall and you hadn’t been prepared for it. Obviously, you wouldn’t get your driveway plowed, despite the fact that some of the people who got theirs plowed, at the ordinary price, had nothing better to do with their cars than drive to the convenience store for a bag of chips, whereas you needed to show up at the office to sign an important contract. You would have paid a hundred dollars, if the snowplow guy had asked for it. It would have been worth it to you. But no, he’s not allowed to ask for more.

What do you think of the morality and economics of that second set of situations? Not much, I imagine. Yet that is the morality and economics that is official in our country. That is the morality and economics that the people, as a corporate body, loudly applaud.

Consider what happens when some meteorological accident befalls an East Coast state. As soon as a hurricane is foretold, state and local officials decree that no one will be allowed to charge more for gas, food, or lumber than they do on a normal day. To charge more would be “gouging,” and an awful thing. The result? The economy grinds to a halt. Long lines form at stores and gas stations. People in urgent, perhaps desperate, need wait in line up behind people who have nothing better to do that day, and no one has a compelling economic interest in rerouting supplies to the weather-threatened region from other places; it’s a hassle, and the price would be the same anyhow. Besides, if you made a mistake in pricing, you could be arrested. Fat little Chris Christie, or some similar buffoon, bustles from one gas station to another, threatening to arrest “profiteers” and occupying the 6 o’clock news. And the people cheer.

It appears to be an article of the national faith that prices are determined by the law of supply and demand. But another article of faith is that the government can and should violate that law.

The other day, federal officials made headlines by announcing an investigation of airline companies because they allegedly raised prices on flights in New England after a government train had an accident that disabled the main line from New York to Boston. The idea of these high-level feds is that it would have been scandalously immoral for the airlines to charge more money for their seats, thereby allowing travelers who were willing to pay more to go ahead and pay it, and travelers who didn’t set so high a priority on getting to Boston right away not to pay it. Except on John Stossel’s show, no murmur of disapproval greeted the well-publicized announcement of this sanctimonious investigation, or witch hunt.

So this is the mystery of contemporary politics. Actions that would, in certain contexts, make almost all Americans shake their heads in wonder are welcomed, in other contexts, with pious approval. Why is that? I don’t know.

It appears to be an article of the national faith that prices are determined by the law of supply and demand. This idea is even taught in high schools, where realistic ideas almost never appear. But another article of faith is that the government can and should violate that law (which it constantly does), and that no one will pay a price for the government’s action: no one will spend hours waiting to buy something he’d prefer to pay a bit more money for; no one will find that the items he wants to buy have disappeared when he finally gets to buy them; no one will lose his life or livelihood because of an arbitrarily imposed “fair price.”

Americans believe that there’s no such thing as a free lunch. They also believe that the government can cook one up for you, at any time, and no matter what happens. No problem! Just make a law.




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Acapulco Gold Rush

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Last weekend my wife was seized by an unwholesome enthusiasm for tiny houses. She’d read they were featured at something called a Better Living Show and wanted to go.

That’s what they call them, tiny houses; and in the truth-in-naming department you can’t do much better than that. Tiny houses are two-hundred-square-foot jobs, conveniently sized to fit into a single parking space. Except, if you lived in a parking space you’d have more room because you wouldn’t have to share your living quarters with a furnace and a water heater.

Tiny houses are the city of Portland’s newest, most environmentally correct way of encouraging neighborliness and doing something about urban sprawl at the same time. “Infill” is the word the planners use to justify them: 11, maybe 20 of the things bumper to bumper on a standard neighborhood lot. A business opportunity is what my wife called them. We could crowd a few dozen in the backyard, charge rent, and kayak the income stream into a comfortable old age.

The stuff isn’t even legal until July, yet here we were at a staid Better Living Show browsing booths filled with bongs and vaporizers and rolling papers and roach clips.

Marriages being what they are, we headed over to the Better-Living-in-the-Shanty-Town-of-the-Future Show, got out of the car, made our way on foot to where the parking lot receded over the curve of the earth, spotted a crowd, followed it into a warehouse-like building and found . . . marijuana paraphernalia. In fact, the first aisle was nothing but marijuana paraphernalia, display after display of the kind of things that would get you busted at any airport in America. Better living indeed.

Interesting, we thought, how quickly the free market kicked into gear once Oregon passed its marijuana initiative last fall. The stuff isn’t even legal until July, yet here we were at a staid Better Living Show browsing booths filled with bongs and vaporizers and rolling papers and roach clips. And it wasn’t just paraphernalia. One particularly popular young lady was pushing samples of what she billed as “medicine-free” edibles. Not that you can’t get edibles with medicine right now, just not at a recreational-use booth. Medical marijuana has been legal for decades but, until July, you will still need a prescription to indulge in recreational munchies.

In the next aisle orchids were being ultra-violated in the sort of high-tech grow-box you see in movies about space stations. Orchids, we thought. Now that we’ve found the more traditional part of the Better Living Show, can tiny houses be far away?

Turned out they could. It also turned out that the grow-box wasn’t meant for orchids. The orchids were nothing more than body doubles for the medicinal herbs that were meant to go in the grow-box but, like the medicine for the munchies, were biding their time until July. Next to the grow-box were shelves of seedless seed packets bearing the names of every imaginable variety of the scientifically engineered seeds you could grow in the grow box, just as soon as July rolls around and the seed packets contain seeds.

It began to dawn on us that, maybe, the better living show we’d arrived at wasn’t the same Better Living Show advertised in the paper. Sometimes we can be pretty insightful.

“This is the Oregon Cannabis Convention & Trade Show,” a nice young man informed us. “Better Living Show is the next building over. Building after that is the Gold & Treasure Show.”

Gold & Treasure? I thought. Gold and treasure is even better than marijuana paraphernalia. The Internet will send marijuana paraphernalia right to my home, but gold and treasure? Not even the most desperately dispossessed Nigerian widow ever came through with any of that. We headed over to the Gold & Treasure Show.

You had to go through a metal detector and check your guns before they’d let you in. I saw that as a favorable sign, a promise that we were about to be ushered into Aladdin’s cave. Or, and this is a particular fantasy of mine, Uncle Scrooge’s money bin.

Tiny houses are a lot more honest about what they call themselves than that Gold & Treasure Show. At the Gold & Treasure Show there was no treasure and not much more gold than there was marijuana at the marijuana show . . . and gold has been legal since the early ’70s. A couple of guys at out-of-the-way tables were pushing run-of-the-mill coins at about 30% more than you could get them for at any gold shop in town, which may say something about who they thought would be attending the show.

In the next aisle orchids were being ultra-violated in the sort of high-tech grow-box you see in movies about space stations.

What there was plenty of was late middle-aged men dressed up like prospectors who’d been thawed out of a glacier left over from Klondike days. They sported full beards and work boots, flannel shirts, and heavy-looking pants held up with suspenders. Their only sartorial concession to the 21st century was baseball caps advertising the names of equipment companies, which weren’t that much of a concession because the equipment they were advertising was as old-fashioned as the outfits. Row after row of sluice boxes. Pans. Picks. All the latest in 19th-century gold-mining technology. Pretty much anything you’d want if you were about to head on up to Dawson City in 1898.

Except, that is, for the gold magnets. Gold magnets weren’t part of any 19th-century prospector’s kit I know about. The fact is, I’m not persuaded that gold magnets should be part of any 21st-century kit, either. The idea of using magnetism to suck gold out of the ground doesn’t fit with anything I remember from high-school science; and, when I tried one on my wife’s wedding ring, it didn’t notice anything special. Which could go a long way toward explaining why these guys were at a trade show selling equipment rather than making their fortunes in the wilds of Alaska. But then, gold-rush fortunes are always made by the guys who sell the equipment.

Competitionwise, the Better Living Show picked a bad weekend to come to Portland. Marijuana fills the better-living bill for lots of people, and pretty much everybody thinks gold and treasure would go far toward making their living better, but almost nobody except city planners and the occasional overly enthusiastic wife imagines tiny houses could possibly make life better for anybody except slumlords, which left the Better Living Show a distant third attendancewise.

The people who put on that show seemed to share the general opinion and gave tiny houses the same pride of place as the Gold & Treasure Show gave gold coins: next to a wall on the far side of the room. There were two of them, both looking like the kind of place Red Riding Hood’s grandmother immigrated to America to escape from, once she’d been regurgitated by the wolf.

While the Gold & Treasure people were mostly pushing 19th-century mining gear, the marijuana people were selling stuff from a century that hasn’t even happened yet.

Also, they were culturally better suited to Red’s grandmother than to modern Americans. Medieval European peasants were minimalists in the way of possessions, and the houses were decorated in that style. Nothing was in them, including plumbing, so you had to imagine where the toilet and sink and shower would go, along with the furnace and water heater, which took some imagining because a tiny house doesn’t have space for much more than a single room with a fold-down bed, and the beds weren’t there, either. I would have gone into one for a better look, but I couldn’t get in. Somebody was already inside and I wouldn’t fit.

The vendors at the Better Living Show appeared to have a lot of spare time on their hands. The one I got to talking to seemed much more interested in the marijuana show next door than trying to sell me whatever he was supposed to be selling. He was elderly, almost as old as I am from the grizzled look of him. He’d grown up in Detroit and, like a lot of inner-city Americans, didn’t have any tolerance for drugs. But marijuana? He spent time volunteering with veterans and, well, he’d seen guys even older than himself cured, by drinking marijuana tea, of the neuropathy that goes along with type 2 diabetes.

Tea, he said. “If it’s tea it’s not a drug. “That show still there tomorrow?”

“Think so,” I said.

“I need to go find out about tea.”

The marijuana show wasn’t really about tea, although there were people there who probably could have told him. Maybe the munchie lady would have slipped him a recipe or two. What the marijuana show was about was selling you equipment, then selling you the knowledge you needed to use the equipment.

The marijuana show was about gleaming pipes and tubes and gauges and vats and dials that looked like they’d been left over from Breaking Bad. It was about grow lights and consultants to tell you how to save electricity once you’d bought the grow lights. It was about other consultants who knew how to maintain the optimum humidity, or the proper day-night cycles. It was about scary-looking machinery to extract hash oil from all the buds you’d be growing with all the grow boxes and humidity and day-night cycles. It was about consultants on indoor growing to tell you about nutrients and hydroponics, and about entirely different lines of equipment and consultants for people who wanted to make their fortunes growing marijuana outdoors. Underneath it all, it was about selling people who didn’t know the first thing about marijuana cultivation or marijuana processing the dream of turning into international marijuana kingpins.

If I’d had a lot of money, even if I’d had a lot more money than that, I still would have had to go into debt, yea, even unto the seventh generation, to get started in that business. But none of that debt would have made the least bit of difference in light of all the money that would be rolling in, once I got the business cranked up. It was pretty clear these people had had a lot of practice selling this line.

They were, when I thought about it, the same sort of people as the ones at the Gold & Treasure Show, except that, while the Gold & Treasure people were mostly pushing 19th-century mining gear, the marijuana people were selling stuff from a century that hasn’t even happened yet.

Something that nobody was selling was the statistics on what became of marijuana prices in Washington when weed went legal. Despite sellers up there having their state, Idaho, and the whole captive Portland market to themselves, the bottom fell out of their businesses. Too many who thought they were getting on the elevator at the ground floor wound up stepping into an empty shaft, only to get smashed flat when the elevator turned out to be heading down at them.

Try as I might, and I tried for half an hour, I couldn’t get a clear reason why weed farmers would want to unionize their workers.

It wasn’t as if there was nobody at the marijuana show who knew that. Or knew how to run a business in general. Several organizations had booths selling business-support services. One fellow claiming to provide this kind of expertise was a union leader trying to organize the workers on marijuana farms.

“But nobody here is planning to be a farm worker,” I told him.

“Plenty are planning to be growers, though,” he said. “I’m organizing growers, too.”

“You think growers want to join a union?”

“Their workers would. I’m organizing the growers so they can organize their workers.”

Try as I might, and I tried for half an hour, I couldn’t get a clear reason why farmers would want to unionize their workers. The best unclear reason involved keeping all the farms on the same playing field, which would keep prices for the product at a uniformly high level so that everybody, farmers and workers alike, would get rich. When I asked if his union planned to organize the illegal growers who are, when I thought about it, all the growers that exist right now, his answers became more unclear than usual. When I asked how anybody was going to get rich when marijuana doesn’t sell for any more than it’s selling for in Washington, he became even less clear.

A few booths over, a lady was touting a security service. “Marijuana businesses attract a lot of shady characters,” she said. “Owner needs to know who they are.”

Maybe, I thought, when marijuana is against the law. When it’s legal and cheap, shady characters are a lot more likely to hang around jewelry stores and places selling gold and treasure.

“You see a car in your parking lot with some shady characters inside,” she went on, “the last thing you want is to have to approach that car to find out who they are.”

Probably true I thought. Of any business.

“If you hire us, all you have to do is call with the tag number and we’ll tell you everywhere that car has been in the last few months.”

“You know that?”

“Sure. We get it from the street cameras. We can tell you within seconds everywhere that car has been.”

I knew about street cameras. Street cameras are one of things I talk about that make people think I’m some kind of anti-government crazy person, along with the thing I used to say about how the NSA records everybody’s phone calls and emails. I never expected the government would bother about something like a warrant when it wanted to check up on where my car had been, but I did think that calling up a specific license number would take a bit of trouble, like those operators tracing phone calls in old movies. And that, at the very least, the government would be embarrassed enough by the whole thing not to go making it any more public than it needed to. It never crossed my mind that you or I or a private security firm could tie directly into the street cameras and know where somebody else’s car had been. And do it within seconds.

I also couldn’t see how knowing where a car had been would tell you much about the people in the car. Unless the car turned out to be parked every night in a federal motor pool, which would tell you all you needed to know if you were running a marijuana outlet.

Which brings up the gentleman in the insurance booth. He was selling policies tailored for marijuana businesses. “Cover slip-and-fall. Product liability. Renter’s insurance to ease landlords’ concerns about leasing buildings to use as grow facilities. Theft. Bad debts. Acts of Government.”

Say what?

“Acts of Government. It’s not just what the thieves are planning that a businessman has to worry about, you know. It’s what the government has in mind, too.”

Now that’s something I could understand, at least until I thought about it. Insurance against acts of government was the one thing out of the whole trade-show lollapalooza, the one thing among all the fantasies of tiny houses and 19th-century gold-mining, of drive-you-to-the-poorhouse high-tech grow equipment and knowing where somebody else’s car has been, that made sense to me. Insurance against acts of government — that has . . .

That has . . . I don’t know. The things the government gets up to always turn out to be so far ahead of anything any sane person can imagine, I’m not sure what that guy was really selling. Could be he was no different from the other hucksters that morning. At the very least, he knew who his marks were.

Lots of people who use marijuana, and lots of people who would have wandered over from the Gold & Treasure Show, have their suspicions about acts of government. Could be he saw us coming.

Could be I’m the sort of guy who’d be suckered into the empty promise of a policy insuring me against acts of government in the same way those latter-day prospectors imagined they’d make their fortunes in Alaska, or those urban wannabe farmers and processors fancied there’s endless money to be had in marijuana.

Could well be something like that.

p/p




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The Berlin Wall

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I often travel between Canada and the United States. Typically, I am asked to line up involuntarily at the immigration counter to be interrogated by the officers. The Canadians and the Americans ask exactly the same questions. Where am I coming from? Am I married (for I have brown skin)? What do I do? Where do I live? What is my name? Where will I be staying? How long will I be there for?

The extremely clever minds of the officers process my tone and responses to decide whether I am a terrorist or not.

In Canada, I am often greeted as “Sir.” And when I am tired — after a 20-hour flight — they show some understanding. I expect none of this in the US. In the US, the herd is constantly shouted at to keep them well-behaved.

It is hard to think that these are actually our (public) servants. But given that an individual cannot really change much, one’s knee-jerk reaction might be a preference for the Canadian way.

I prefer the American way.

A long time back I was mugged when crossing a park in Manchester (UK). They addressed me as “Sir” and were extremely polite. When they found fifty pence in my pocket, for I was broke and hungry those days, they returned it and promised me that they would never stop me again. Then they let me go. Lacking perspective, I was lost and confused. I never reported this event. Were they not nice guys? They could have beaten me if they wanted to. At the same time, I was overwhelmed by an unknown, cloudy anger. How could someone who calls me “Sir” have the right to detain me? How could they touch me, physically molest me while showing respect toward me?

Twenty-five years after the destruction of the Berlin Wall, we are proud of the world without it, but now there are many more such walls all around us.

Had they not been nice, at least I would have left sane, with my mind clear, unclouded by conflicting emotions. I would have seen them clearly as robbers.

Do you remember the Internal Revenue Service? Would you not feel clearer about what they did if they did not call themselves a service? No one in his right mind considers it a service department and mostly it incites anxiety, even among the most “law” abiding people.

How many people experience any interaction with “peace officers” without fear?

When I get told what to eat, and what I can do or what I cannot do, should I feel warm about the caring nannies or should I worry about how, through a nice facade, they take over my liberties? Moreover, they attempt to confuse me through Orwellian language and the application of laws that claim to do good to me exactly when harming me.

I prefer the mental clarity and reduced frustration that come from a robber being clear that he is a robber.

Since the fall of the Berlin Wall, the Western world has become increasingly less free. All our lives are now fully documented and filed in obscure databases. In Canada, if you have a certain savings account (called a tax-free savings account), you don’t even have to file any tax documents. The revenue agency gets all the relevant information directly from the bank. If they don’t like how you run that account, they issue an assessment based on what the bank tells them.

We are repeatedly told that this is all for our own good.

Twenty-five years after the destruction of the Berlin Wall, we are proud of the world without it, but now there are many more such walls all around us. It is merely that we don’t see the walls as clearly and find ourselves confused even if we can see them, for they don’t have the rough facade that the actual wall had. We are presented instead with cuddly, warm, fuzzy facades.

I prefer the American immigration and the real walls. At least I see them for what they are. At least they don’t assault my sanity and confuse my understanding of morality.

I prefer that when I am raped, it is done in a way that I don’t enjoy.




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Apocalypto-World

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Opponents of libertarianism often make its adherents sound deadly dangerous. They speak as if, at any minute, libertarians might seize absolute power, changing life as we know it in cataclysmic ways and at supersonic speed. Dire warnings are issued of the apocalypto-world, Mad Max society we would create. The poor would starve in the streets, children would wither from lack of nurture, rabid dogs would tear us to bits, people would be perpetually naked and stoned and copulating in public and nobody would even care. Where the hell does this stuff come from?

It comes equally from the statist left and the statist right, from everyone who buys into the notion that if government doesn’t do absolutely everything, absolutely nothing will get done. The fact that for the vast majority of human history, government didn’t do most of the things it does right now is entirely forgotten.

Some libertarians contribute to this by talking as if we could, or should, make dramatic transformations simultaneously and in the blink of an eye. But of course, any change we influenced could only happen gradually. And once implemented, every step would also need to succeed very rapidly, or it would be even more rapidly reversed.

The fact that for the vast majority of human history, government didn’t do most of the things it does right now is entirely forgotten.

If a full libertarian agenda were enacted all at once, we would be in trouble. Our society has become so corrupted, degraded, and infantilized that we probably wouldn’t be able to deal with it. We have, indeed, come to depend on government to do everything for us except think. And government wantsto do that for us, too. But in order for a nation with limited government and a reliance on personal responsibility to survive, people must once again be willing to do for themselves all that countless generations did far better than government ever could.

The process wouldn’t be like that of children growing up. It would be like that of adults who, having suffered debilitating brain injuries, must be rehabilitated to full functionality. The difference is that we have suffered injuries not so much to our brains as to our spirits.

It isn’t the nature of libertarians to rule over everybody and everything. If we did that, we would no longer be libertarians. The most we really can do is exert an influence. If that influence is great, it will open a wider space for experimentation, to verify what works and what doesn’t. The best ideas, once proven, don’t need to be forced.

Most libertarians actually know that our agenda could never be enacted all at once, nor do we all agree about what the agenda should be. I wish we did a better job of assuring people that we can’t flip a switch, wave a wand, or cast spells with a wiggle of our nose, like Samantha on Bewitched. A libertarian transformation of society could indeed be enacted only over a long period of time. People opposed to it would have to fight it, be won over, and — perhaps hardest of all — get used to it.

Government does everything it can to discourage us from taking care of one another.

Behind the fear of a libertarian nose-wiggle is the notion that if government doesn’t force people to do good things, they simply won’t do them; that when they’re not being bullied by thugs with a license to kill, human beings are incapable of responsible behavior. According to this view, we are toddlers who will need Mommy, Daddy, Nanny, and Teacher all our lives.

I beg to differ. We are perfectly capable of cooperating peaceably with one another, engaging in trade, and caring for those who need our help. Government of some sort will always be necessary to protect us from force and fraud, but when it attempts to do anything beyond that it inevitably becomes a nuisance, and generally something worse than a nuisance. Then it does more harm than good. Though we’re always being told that government makes us virtuous, what it actually does is degrade us morally. Its constant warnings of our irresponsibility, infantilism, and decadence become self-fulfilling prophecies. Government does everything it can to discourage us from taking care of one another. It breaks us of the habit of spending on behalf of our families and communities by taking our money and spending it for us — often on things we don’t want. It tells us, again and again and again, that we can’t take care of ourselves or each other, that we’re too stupid to know what’s best and that we can’t run our own lives until we begin to believe what it says.

Increasingly, however, instead of helping us to do good things for each other, government is actually keeping us from doing them. Thus municipalities levy fines against churches for feeding the homeless, or for taking them in, to save them from freezing. Law-abiding citizens are now prohibited, in many areas, from defending themselves or their families against violent criminals. The police themselves are rapidly becoming militarized, devoting nearly as much time to preying upon the innocent as they do to protecting them.

It is no longer possible for statists to conceal the emptiness of their claim to be keeping us safer or making us better. In fact, they barely bother trying to hide their intent to control us. In pushing their authority, they are in-our-faces brazen.

The people who actually do the work in this country are merely expected to foot the bill. We have little, if any, say over how the money bled from us is spent. Yet nothing gets my “progressive” friends more apoplectic than my claim that we should be the ones to determine where our money goes. They splutter that it should be spent on behalf of “social justice.” As if that’s what’s happening now.

The common, working American is presumed to be too selfish to use his or her money to help care for those less fortunate. As in imperial Rome, the state has been deified. It is credited with powers of divine benevolence and entrusted with the duties of upholding every worthy cause and providing for our every need.

Big government is expensive. It will inevitably belong to those who can afford to buy or bribe it. This stark reality, which should be obvious even to simpletons, somehow eludes the statist Left.

People built and sustained communities for thousands of years before government decided it had to do that for us. Systematically, the leviathan state has destroyed community. It wants to plan how we live, where we live, and with whom we live. But true community is the nexus between the individual and the larger society, and to function in ways that contribute to human happiness, it must equitably serve the needs of both. That which crushes the individual for the supposed sake of society — micro-managing people so they’ll be good little cogs in the social machine — really serves neither.

Those in other countries who pose a danger to us are often protected and enabled by our own government. Most of the weaponry with which they attack us was manufactured by us. If protecting our own people ever became a greater priority than milking money from us to fund our enemies, the great majority of those who pose a genuine menace to us would be disarmed. If we had more control over how our money is spent, we would certainly spend it on ourselves — and each other — instead of on them.

I suspect that what the powers-that-be actually fear is that we might use our time, talent, and treasure for our own good, and for that of our fellow human beings. That would explain the millions of dollars they’re pumping into the corporate media to warn us how dangerous and irresponsible we are. A hell of a lot of capital is being invested in telling us to trust our self-proclaimed (and handsomely-funded) betters, instead of trusting ourselves and each other.

Big government is expensive. It will inevitably belong to those who can afford to buy or bribe it.

If we truly got the chance, once again, to work together unimpeded by government restraint, we could put to constructive use all that progressivism genuinely has to teach us. Would some use their freedom to do things of which others disapprove, and that would, perhaps, even be self-destructive? Of course they would. But those who did so would lack the government-backed brawn to force themselves on all the rest of us, or to dump the consequences of their irresponsibility on us.

The nervous nellies can relax. Libertarians have great confidence that our way is the best way. And we have reason to hope that someday, even many of the most dogged skeptics will come to realize it, too.

Those opposed to our ideas seem very much afraid that our influence could succeed. They don’t dare to even let us think so. But a world in which statist control freaks don’t rule over everyone else would be an apocalypse only for them.




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Public Servants

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I’ve always liked the comedian Paul Mecurio. He’s a smart, funny, attractive guy. The other day, when I was surfing around and landed on Fox’s softnews program “Outnumbered,” I found that he was the guest, so I decided to watch.

Someone on the show said that President Obama behaves as he does because he “doesn’t like America,” and Paul got upset and said that he often doesn’t agree with Obama himself, but he didn’t like that kind of thing to be said about a man who has devoted his life to “public service.”

His statement came as a shock — not to the people of Fox, but to me. I’ve been listening to talk about “public service” all my life, but hearing Obama called a public servant made the concept seem even stranger than it had before.

Who, besides government employees, especially politicians, is associated with “service”? Who “serves” other people? Well, for instance, people in restaurants; they serve the public. They’re even called “servers.” So what, if anything, do a politician and a waiter or a waitress — a public servant and a servant of the public — have in common? That’s the question I asked myself, and one question led to others.

The last time you went to a restaurant, did you see your server punching, kicking, and biting the other servers, for the privilege of waiting on your table? Did your server claim to be the only person qualified to do so? Did you see him passing out money to the other diners, so they would choose him to wait on them? Or did he just promise them good jobs, cheap but perfect healthcare, and lavish retirement benefits? When you sat down, did he deliver an hour-long speech, saying how glad he was to see you and how much he had already done for you?

When you objected, did your server call the police and have you arrested for “hate speech”?

If you came with your children, were they ushered into a back room to be educated about how great the servers were? If you objected, were you sharply reminded that “this is the law”? After you’d been there a while, did you notice that many of the tables were filled with people who were eating and drinking but never appeared to receive a check? Did you notice that when they were rowdy and disruptive, the servers went to them and apologized for the disapproving looks that other diners cast in their direction? Did you notice that when the server brought your food, he first gave half of it to the people at neighboring tables?

When you read the menu, did you notice that many of the advertised dishes had been labeled “Unconstitutional,” and dishes with new and unfamiliar names had been penciled in? If you ordered filet mignon with the chef’s special sauce, did your server return with a cold turkey burger and an empty ketchup bottle? If you ordered a good cabernet, were you told that anything but grape juice was available only by prescription? If you complained about the food, did your server refuse to comment, because the matter was under investigation?

In the middle of your meal, did the servers suddenly head for the windows and start shooting at the restaurant next door? Did they grab all the young males in the place and use them as human shields? When the firing mysteriously ceased, did they demand a loan to cover the unexpected cost of ammunition?

When you studied the bill, did you notice that after your waiter added up the surcharges, special surcharges, seat rental fees, menu licensing fees, and other sources of revenue not previously mentioned, you were paying 15 times more than the amount listed next to the items you ordered — which, again, your server never brought you? When you objected, did your server call the police and have you arrested for “hate speech”?

Did those things happen to you? No? They didn’t? The people serving you never did any of those things? Then perhaps there is a difference between public servants and people who actually perform a service to the public. And perhaps it’s time we clarified our vocabulary.




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Updated Aphorism #6

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chambers succeed




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Techno-Fascism

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In January 2014, for one month, I held a job as a document review attorney in Manhattan. I was a member of a team of 30 attorneys, and we each reviewed about 500 documents a day. This means that 15,000 documents in total were reviewed each day. One day, out of those 15,000, my supervisor (who only had two assistants and was very busy herself) found one document on which I had made a serious mistake, and gave me a talking to about not making that mistake again. I was very embarrassed and promised to do better. But my initial thought was: how did she find my one wrong document out of 15,000? Then I realized: all the documents were stored electronically, and she simply ran a computer search that notified her of which documents contained the error.

My point is simple: there are no needles in haystacks anymore. One document out of 15,000 can be detected using a computerized search, because a computer can read 15,000 documents in a few seconds. If a computer search can find that, what else can it find? A search of every email in the Gmail, Yahoo, and Outlook email systems with the word “libertarian” in it? A search of the internet for a list of every libertarian Meetup? Given a set of names from a libertarian mailing list, a list of all addresses? Can you see where I’m going with this? How difficult would it be for a socialist government to round up all the libertarians? Using computers, a government could find us. Using computers, it could monitor every email and every phone call, so that we could never organize any resistance. Using computers, it could even do profiling to identify the people whose personalities would make them sympathetic to liberty, and add those supporters to a list before they made a move to act or even knew what libertarianism is. What Ellsworth Toohey said about “future Roarks,” namely, that they will all be destroyed, comes to mind.

Look at your smartphone. Does it have a webcam? Yes. Is it GPS enabled so it can give you driving directions? Yes. But how easy would it be for a government to turn on that webcam and direct a permanent video feed from your device to a government monitoring station? And to keep a constant record of where you go, every minute of every day? And could the government do it by issuing secret orders to Google and Apple, and to Microsoft, which controls the smartphone operating systems, so that your own device spied on you without your knowledge? I can tell you that your smartphone could easily be turned into a chain around your leg. If 300 million smartphones were so converted, the data could be sent to computers that, as I described above, could analyze the data for trends useful in detecting rebels — for instance, by listening for a conversation including such keywords as “freedom” or “rebel,” or noticing when you go to a place where libertarians are believed to meet in secret. 1984 is a real possibility, though a little late in 2014.

The technology for techno-fascism already exists. Its only real impediment is the Fourth Amendment.

Advances in technology bring great joy. But they also bring danger, especially when the advancement of politics lags far behind. Einstein’s work revolutionized physics; it also led to the nuclear bomb and the horrors of Hiroshima and Nagasaki. Similarly, I fear that the rise of computer technology, in the hands of a dictator, could lead to “techno-fascism.” The dictator would not need spies, because cameras and sensors, analyzed by computers, would detect all traces of resistance, and tell the secret police exactly where to go to crush rebellion before it started. Under all dictatorships of the past, rebels could meet in secret, make plans, and try to revolt, because spies could not be everywhere. Now they can be.

The fact that there are no needles in haystacks anymore was actually visualized in Batman: The Dark Knight, where, toward the end of the movie, Batman uses the Bat Computer to hack into Gotham’s cell phones and eavesdrops to locate the Joker. If, in this way, the government spied on people in the name of safety and fighting crime, then the public might let it happen, until it was too late to reverse the practice.

Well, if doom awaits, what do we do? The technology for techno-fascism already exists. Its only real impediment is the Fourth Amendment. Read it. In the modern era, no charter of civil liberty is more crucial. We must fight to protect the Fourth Amendment, and to use it in courts.

Meanwhile, we can expect spies to spy on other spies. Because there are no needles in haystacks anymore, every side can see what the other sides are doing. The techno-fascist wants to spy on others while remaining invisible himself, but this is impossible; everything is visible in the world of Big Data.




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In Defense of Intellectual Property

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Libertarianism can be different things to different people. Trying to define it, or characterize it, will leave some libertarians at odds with one another. What follows will isolate me from most libertarians. It is a defense of intellectual property rights (IPR) based on the thesis that there is no normative distinction between IPR and real property rights (RPR). I will use Butler Shaffer's short polemic for the Mises Institute, "A Libertarian Critique of Intellectual Property," as my primary foil as it encapsulates many of the arguments against IPR that libertarian thinkers embrace.

Where Shaffer ends I will begin. At the end of his polemic he boils down his rejection of IPR on the ground that a libertarian cannot endorse a right that is created and enforced by the state. The premise that IPR are created by the state is false, while the premise that IPR should be rejected because they are enforced by the state is unpersuasive. This essay will unfold in three parts, with the first demonstrating why Shaffer’s first premise is false, the second section demonstrating why his second premise is unpersuasive, and the third section confronting other objections to IPR.

Section I: Intellectual Property Rights are not created by the state

The only means through which one may defend RP, and not IP, is to say that the manner in which man exerts ownership over RP has nothing to do with his mind. RP and IP are both products of the same process, even though they take different forms. It doesn’t require a great imagination to see this, but because it is an unfamiliar formulation I will elaborate by means of a familiar source: John Locke. A Lockean justification of private property provides a sound defense of IPR by building through a property of conscience.

Unless we assume that man’s arms and legs move without cognition, man’s labor is a product of his mind.

In chapter 5 of his Second Treatise on Government Locke gives his seminal account of property rights. It runs thus: man alone is in possession of himself, and through his drive and ingenuity he extends his dominion beyond himself. Man is in possession of himself because no other individual gave him his will, conscience, or abilities; thus, no one else can exert dominion over him except that to which he consents.

Man takes possession of property when it lies in common and he mixes his labor with it. Simply put, if there is unowned property available, and someone takes it out of its natural state by mixing his labor with it, that property becomes his so long as there is enough left over for others to sustain themselves, for that man has no right to deprive others of providing for themselves. An acorn becomes mine if it is lying on the ground or staying in the tree, and I take it out of its natural state by mixing my labor with it — plucking it from the tree or picking it up from the ground. The mixing of labor makes it mine because that acorn is no longer what it had been. My labor made it something that it had not previously been, by virtue of my efforts. This means that nobody else can stake a claim to it without depriving me of the fruits (or nuts, in this case) of my labor.

The Lockean argument gets a bit more complicated, but in terms of how common property becomes private, this is it. That is why Locke and his intellectual heirs consider private property paramount for the preservation of liberty, for there is no real distinction between man and his property, since property is nothing more than the extension and physical manifestation of a man's liberty.

As it relates to IP, a Lockean position is easy to extract. Unless we assume that man’s arms and legs move without cognition, man’s labor is a product of his mind. Without cognition I would not cut down trees and build a shelter, nor would I engage in any productive activity that would lead to property ownership. Whether it’s writing a book or building a widget, property originates from man’s will and ability to produce.

If the process by which IP is protected is conducted poorly, that is simply the government doing a necessary job poorly and not evidence that the job is unnecessary.

James Madison has a more expansive, and sometimes confusing, articulation of property rights, but he understands them as Locke does. Madison uses property to describe what man possesses within himself (what Locke would call will or labor), and those external objects that become man's possessions through the mixing of himself with them (land, hogs, etc.). This formulation is articulated by Madison in a 1792 essay entitled "Property." Madison writes:

In a word, as a man is said to have a right to his property, he may be equally said to have a property in his rights. Where an excess of power prevails, property of no sort is duly respected. No man is safe in his opinions, his person, his faculties, or his possessions. Where there is an excess of liberty, the effect is the same, tho' from an opposite cause. Government is instituted to protect property of every sort; as well that which lies in the various rights of individuals, as that which the term particularly expresses. This being the end of government, that alone is a just government, which impartially secures to every man, whatever is his own.

We may conclude that protecting property, broadly understood, is the sole object of government for both Madison and Locke.

Somebody stealing my IP is the same as someone stealing my RP, particularly if IP is what I use to make a living. If the market for my book is 10,000 people, then someone who resells my book, or makes 10,000 copies it and sells them without my permission, has shrunk the market for me, the originator and creator of the book. This is no different from someone breaking into my shop and stealing 10,000 widgets and selling them on the black market when the market for the widget is 10,000 people. In either instance my ability to make a living through my labor has been denied by someone who illegitimately used the product of my labor without my consent. In simple terms: my right to life, liberty, and property has been denied. Nothing gives someone else the right to capitalize on my labor without my consent, for without my labor that product would not be in existence. These considerations give me sole ownership of the property if we follow the Lockean formulation of property rights.

Section II: Rights and the State

It is not a defect of IP that it needs the government to enforce it; it is the fault of libertarians if they cannot accommodate a necessary and just idea, such as IP, without government enforcement. If libertarians reject IP on the ground that it needs government to enforce it, then we have not evaluated IP on its merits but merely through a heuristic defined by ideology rather than logic.

If the process by which IP is protected is conducted poorly, that is simply the government doing a necessary job poorly and not evidence that the job is unnecessary. The focus should be on how to correct what’s wrong, not how to eradicate protections for property. Government is legitimate when it protects life, liberty, and property, and illegitimate when it does not. That does not mean that life, liberty, and property are illegitimate ends when the government does a poor job protecting them. To reject the ends because the means are faulty is a logical error.

Furthermore, libertarians who embrace RP cannot reject IP on enforcement grounds, for RP also requires government enforcement. Perhaps in idealized settings, or at least in smaller, more communal settings than the current nation-state model, RP would not require the government for protection. But we don’t live in those scenarios and must therefore recognize the reality of the situation. We can certainly debate the degree to which the government protects RP well, the means through which it does so, and the externalities associated with government protection of RP, but I don’t think anyone would say that if the police in every city were shuttered up tomorrow, crime would be reduced significantly the following day. In today’s reality, RP requires government protection just as IP does. Thus, unless one is willing to reject RP on these grounds one cannot also reject IP for the same reason.

Section III: Remaining Objections and Rebuttals

Shaffer objects to those who say that IPR promote creativity by protecting the products of one’s creative endeavors. It is true that IPR do not make me more creative, but IPR protection may provide incentives for creative activities rather than other activities that would be more profitable. If I am a musician who is unable to profit from my music because others can steal my ideas, I will have to find another job. This doesn’t prevent me from being creative, but it does reduce my incentive to do so and it impedes my ability to dedicate the necessary time to creative endeavor.

Shaffer uses the Roman aqueducts and the Egyptian pyramids as examples of human achievements in ingenuity and creativity that occurred without IPR. What Shaffer fails to acknowledge is that these were state-sponsored projects that would not have been realized without financing and organization from a large state. Similarly, while Michelangelo did not require IPR to produce his art he did require a wealthy patronage to support him and his products financially. IPR is one reason we no longer have to rely upon a patronage system in the arts and literature.

We must not deny producers security in their life, liberty, and property for fear that the authority we must rely upon to do so may turn against it.

Shaffer endorses the claim by Paul Feyerabend that “science is an essentially anarchistic enterprise” to demonstrate that an open exchange of ideas is beneficial for scientific and artistic achievement. But the passage from Feyerabend goes on to stipulate that “theoretically anarchism is more humanitarian and more likely to encourage progress than its law-and-order alternatives.” Shaffer conveniently ignores the operative term “theoretically” and thus fails to explore the reality of our world and defaults to the theoretical without acknowledging having done so. Shaffer, and all those who endorse stripping producers of their ownership rights, should recognize that producers have bills to pay and those who steal their products deprive them of their ability to provide for themselves through the outcomes of their labor. Moreover, thieves do exist, and having a means to guard against them is necessary albeit unfortunate.

Conclusion

In practical and theoretical terms there is no meaningful distinction between real property and intellectual property. If libertarians accept government protections for real property then they must too accept them for intellectual property if consistency is to be maintained.

I am sympathetic to the concern that when we ask the government to protect us it enfeebles us potentially and opens the door for the government to inch into other areas of our lives. But, the potential does not have to be realized if we do not permit it. It is possible to restrain and confine the government to those means and ends that we think most appropriate. Thus, we must not deny producers security in their life, liberty, and property for fear that the authority we must rely upon to do so may turn against it. We must instead opt for just government rather than reject it outright until such a time comes that we live in a world of entirely honest men and women.

With the permission of the author, a reply to this essay has been invited from Wayland Hunter; it is available here.




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That Instructive Tone

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Many years ago, when I was a kid libertarian emerging from the swamps of the New Left, one of my friends, a student of sociology, told me something he had learned in class: among its other functions, government is a means of supplying information.

“What do you mean?” I asked. “Well,” he said, “like when they put up a traffic light. It tells you when to stop and go.”

I was too young to be paying any perceptible amount of money in taxes, so I didn’t think, “So this is why we need a government that spends as much every year as Europe did between AD 100 and AD 1960 — so it can throw that little switch on the traffic light?” But I did think, “Gosh, that’s banal.”

They are either godlike geniuses, capable of projecting complex meaning where it does not exist; or they are a passive and accepting folk, most closely resembling cows. You decide.

Since that time, unfortunately, government has become ever more intent on fulfilling the vital function of supplying information. Its attempts to do so are not limited to “merge,” “no left turn,” “pay your taxes by April 15 (or we are sending you to prison).” In my state, you can hardly eat a meal without being informed, someplace on the menu, that eggs and chickens need to be cooked at such and such a temperature. You can hardly pick up a package of anything without seeing a sign that says:

WARNING: This product contains chemicals known to the State of California to cause cancer and birth defects or other reproductive harm.

You can hardly enter an apartment house without seeing an even more disturbing sign:

WARNING: This Area Contains a Chemical Known to the State of California to Cause Birth Defects or Other Reproductive Harm.

A second or two after grabbing their genitals, most Californians recall that this information is without any merit or interest. Every property in the world includes some substance, some chemical, that might conceivably prevent you from reproducing. Eat enough dirt, and you will never reproduce again.

But lately the “information” conveyed by government has assumed a somewhat more lethal form — lethal to mental health, at any rate. President Obama’s comments are almost all of this nature; and the problem has gotten worse as Obama has moved from Partisan Manipulation and Just Plain Lies to the still deadlier genre of Words for the Ages. Even his diehard followers are reported to be mystified by a new discovery: Obama’s speeches have no content! They never did! Go back and read them.

As for the people who thought those speeches had information to supply, they are either godlike geniuses, capable of projecting complex meaning where it does not exist; or they are a passive and accepting folk, most closely resembling cows. You decide. I’m sure we can agree, however, on the idea that with such encouragement from the top, Obama’s subordinates are very likely to optimize their own potential for banality.

Even his diehard followers are reported to be mystified by a new discovery: Obama’s speeches have no content! They never did! Go back and read them.

Governmental banality manifested itself in virtually Platonic form in remarks delivered on June 11 by Charles Timothy (Chuck) Hagel, former senator, former banker, former head of a cellphone company, former organizer for the Reagan campaign, former official of the Veterans Administration, former lobbyist for a tire company, and current Secretary of Defense. The occasion of his remarks was an investigation conducted by the House Armed Services Committee into the release of Bowe Bergdahl, a soldier who walked away from his post in a combat zone in Afghanistan, was captured by the enemy, and was ransomed at considerable expense by the Obama administration.

Hagel said:

Wars are messy, and they’re full of imperfect choices. . . .You know there’s always suffering through war. There’s no glory in war. War is always about human beings. It’s not about machines. War is a dirty business. And we don’t like to deal with those realities. But realities, they are. And we must deal with them. . . . . . War, every part of war, like prisoner exchanges, is not some abstraction or theoretical exercise. The hard choices and options don’t fit neatly into clearly defined instructions in how-to manuals. All of these decisions are part of the brutal, imperfect realities we all deal with in war.

Now, would anybody ever guess that this man had come to Congress to talk about Bowe Bergdahl?

Of course, it’s hard to talk about something you know absolutely nothing about. Hagel’s comments, on this and other occasions, indicated that he had no idea whether Bergdahl was a deserter or if other soldiers had lost their lives looking for him or if the five Taliban honchos who were released in exchange for him were really important or not. But as Secretary of Defense, he had to talk about something, so he talked about the eternal truths. If someone produces The Wit and Wisdom of Chuck Hagel, these wise observations will need to be included:

Wars are messy.

There’s always suffering through [sic] war.

War is not some abstraction.

War is always about human beings.

War is a dirty business.

And just to keep the troops happy:

There’s no glory in war.

What is the listener supposed to deduce from this string of truisms? Don’t go to war? If you go to war, make sure to obliterate your enemies? All’s fair in a dirty game? What goes around comes around? War is an existential tragedy, best understood by curling up with a Camus novel? War isn’t half so pleasant as a successful career in Washington? Pass me the gin bottle?

Here we have a traffic light that’s blinking red, green, and yellow, all at once. But Hagel’s demeanor insisted that you had to respect any information he supplied. When anyone expressed a hint of skepticism, the Secretary of Defense was miffed.

Watching Hagel’s testimony, I was reminded that Leland Yeager had alerted me to the existence of another exponent of government as information, Environmental Protection Agency Administrator Gina McCarthy. And Yeager was right, although McCarthy turns out to have a very different style from Hagel’s. Hagel (age 67) plays the part of the wise but grumpy old grandfather; he reacts to criticism by twisting around with an expression on his face that suggests his hearing aid is missing and he knows that the questioner has stolen it. By contrast, McCarthy (age 60) is young and hip. At least she thinks she is.

In a long, long speech delivered on June 2, McCarthy puffed something called the Clean Power Plan. In case you hadn’t guessed, this monstrosity has to do with governmental “shaping” and “crafting” of large but impenetrably vague “solutions” to such nonproblems as global warming.

Remember global warming? The idea that people are heating up the globe, or planet? Yes, that’s what we used to hear. But since the expected warming doesn’t seem to be going on, people concerned with the purported emergency have changed their name for it. What government is now supposed to prevent is climate change, climate inaction, or, if you’re really hip, just climate. Those are the words that McCarthy uses in her speech; never once does anything so frank as warming appear. But she is hip, or cunning, enough to realize that some people in her audience know, or have heard somewhere, that there’s been a lot of actual cooling going on. How can she handle that? She handles it by indicating she’s so far ahead of the game that she’s plumb tired of watching it. After all, her sole purpose is to win. So whether the climate is cold or hot — whatever. It makes no difference. We still have weather problems, don’t we? I mean, sometimes the electricity goes off!

If anything, what threatens reliability and causes blackouts is devastating extreme weather fueled by climate change. I’m tired of people pointing to the Polar Vortex as a reason not to act on climate. It’s exactly the opposite. Climate change heightens risks from extreme cold that freezes power grids, superstorms that drown power plants, and heat waves that stress power supplies. And it turns out, efficiency upgrades that slow climate change actually help cities insulate against blackouts.

The solution, of course, is a set of nationwide government interventions, entailing many billions in losses for companies and consumers.

But what strikes me is the tone. It’s the tone of a tenured sage who is tired of people with their petty questions and objections. If that’s the way they are, they’re not worth talking to — even though they’re paying her salary.

Remember, this woman hasn’t even been elected to her exalted position. And she isn’t a person who has won repute by offering the public some goods that it wants to buy. She’s just a government employee. But here she is, talking to people who have either been elected by the public or whose business has been favored in some kind of marketplace, and acting as if it’s her role to give awards at the kindergarten graduation:

I want to give a shout out to all the local officials, rural co-ops, public power operators, and investor owned utilities leading on climate change: It’s clear that you act not just because it’s reasonable, but because it's the right thing to do for the people you serve. Governors and mayors of all stripes are leaning into climate action. They see it not as a partisan obstacle, but as a powerful opportunity. And we know that success breeds success. Those of us who’ve worked in state and local government have seen healthy competition push states to share ideas and expertise. That’s when everybody wins.

If McCarthy actually were a teacher, I would advise her, first, to drop the attempt at pretending to be hip and cool. If you’re not young, you ought to know enough not to do that. But this is a teacher so unwise as to think that somebody’s going to like her to death because she uses expressions like shout out, lean into, and, elsewhere in her rambling, boring, repetitive speech, all about (“This plan is all about flexibility”), a win (“efficiency is a win”), think about it like this, calling our number (“Now, climate change is calling our number”), etc. It must be admitted that there are some signs of authenticity in McCarthy’s youthful patter: she resembles many young people in never having mastered English grammar and syntax. In company with her boss, President Obama, she has not yet learned the “like-as” distinction — and that’s just one example of a grammatical notion she’s never leaned into.

Whether the climate is cold or hot — whatever. It makes no difference. We still have weather problems, don’t we?

Second, I would advise her that one establishes one’s credentials to instruct others by recognizing and avoiding clichés, and not by running after them as if they were one’s heart’s desire. How else could she give us the right thing to do, of all stripes, success breeds success, and everybody wins within the space of five lines? In other passages we get in the driver’s seat, shifts the conversation, proven path,skeptics who will cry the sky is falling (actually, a skeptic would doubt that the sky is falling, but if you’ve collected a lot of clichés, you may as well butcher some), competitive edge, think of our children, cried wolf, bottom line, doomsday predictions that never came true (another odd choice for a person who spends her time warning about apocalyptic climate stuff),and my favorite pair of bromides, “Corporate climate action is not bells and whistles — it’s all hands on deck.”

That, like the earlier list, is selective. In the space available to me, I can’t do justice to McCarthy’s clichés. But go ahead — read the speech. I dare you. I gave you the link.

In the meantime, I ask you: Is she truly exercising the function of government to supply information? What she supplies is attitude, and a very bad attitude indeed. Bad ’tude, dude. No adult should talk to other adults in this way. In fact, no one should talk to anyone in this way. Although both the tone and the total absence of thought will be familiar to all who remember their high school assemblies, that precedent doesn’t make any of this a good, or even a decent, model for discourse of any kind, including high school assemblies.

But here, as bad speakers like to say, I’m reminded of a joke. Once there were two people who were very religious. They went to church all the time; they gave money; they never missed a vigil or a potluck dinner; with them it was all hands on deck. I’ll call this couple Adam and Steve. One Sunday Adam was sick, but he wanted to find out what the new priest had to say that morning, so he sent Steve along to church with instructions to report back to him. So Steve went and returned, and on his return he said, “Do you want the bad news first, or the good news?”

Adam gulped. “I guess,” he replied, “I’d better hear the bad news first.”

So Steve said, “Well, the priest got into the pulpit, and he preached nothing but heresy!”

“Oh my God!” Adam exclaimed. “After that, what could the good news be?”

“The good news,” Steve said, “is that nobody was listening.”

I would place bets on how many people, if any, read that speech by Ms. McCarthy, or, if present, listened to it. I fear that Leland Yeager and I may be her only attentive audience. And Obama’s sermons are just as eagerly followed.




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