Part Two: The Industrious American

Part Two: The Industrious American, by Wade B. Cook  THE WRONG PATH

Oh, how I'd love to say that the path this administration has us on is the path to nowhere, but that is not the case. Debt, high taxation, strangling regulations and control of our lives by the state, is a path with an ugly destination. Everything we are seeing has been tried before. Each time it ends with failure. While we rush in, crippled economies the world over are abandoning statist policies. Many are at the door of bankruptcy. Some will never change, but others are making wholesale changes. Lawrence Kudlow said: " . . . today's key theme is a global revulsion towards massive spending and debt programs."

One major problem we face globally is the burden of debt. We know how to manage, for the most part, our own debt, but the need in Washington to spend money knows no limits. They are insatiable. Investor's Business Daily

reported: "Our projections of public ratios lead us to conclude that the path pursued by fiscal authorities in a number of countries is unsustainable," The report says. It put the blame not on capitalism, not on Wall Street Bankers, but on "Fiscal authorities"—a polite way of saying "politicians." (Taken from a report by the National Center for Policy Analysis).

But they'll never look to themselves as the source of the problem. They'll make excuses and point fingers: "politicians promise far more than they can deliver—and then, almost in unison, blame capitalism (the only wealth creator) for their ills." (Ibid)

Phil Donahue is noted for his left-leaning tendencies. It is often enlightening to get into the heart and soul of liberals by seeing what a few chosen questions reveal. The noted economist Milton Friedman, a true free market thinker, was being interviewed. Mr Donahue asked, "When you see around the world the mal-distribution of wealth, the desperate plight of millions of people in underdeveloped countries, when you see so few haves and so many have-nots, when you see the greed and the concentration of power, did you ever have a moment of doubt about capitalism and whether greed's a good idea to run on?"

Mr. Friedman asked a question in return, "Tell me, is there some society you know that doesn't run on greed?" He continued with a short economic lesson for us all. "Do you think RUSSIA doesn't run on greed" You think China doesn't run on greed? What is greed? Of course none of us are greedy; it's only the other fellow who's greedy.

The world runs on individuals pursuing their separate interest. The great achievements of civilization have not come from government bureaus. Einstein didn't construct his theory under order from a bureaucrat. Henry Ford didn't revolutionize the automobile industry that way. In the only cases in which the masses have escaped from the kind of grinding poverty you're talking about, the only cases in recorded history are where they have had capitalism and largely free trade. If you want to know where the masses are worst off, it's exactly the kinds of

societies that depart from that. So the record of history is absolutely crystal clear; that there is no alternative way so far discovered of improving the lot of the ordinary people that can hold a candle to the productive activities that are unleashed by a free enterprise system."

Part Three will be added soon.

Money and PoliticsWade Cook