Clipmarks | Rustee's clips

Victory in Anbar

Fri, 05 Sep 2008 04:58:45 GMT

clipped by: Rustee

Clip Source: outsidethewire.com

The road Abraham travelled passed through villages and cities whose names have changed or been lost to the ages.

One of those is the ancient city of Anbar.

Persians, Romans and Arabs all fought battles over this ancient city.

The Roman leader Gordian died at Anbar.

The Arab General Khalid wrested the city from the Persians.

Centuries later, U.S. Marines and Soldiers fought house to house in the same city. We know it now as Fallujah.

Scarsely two years ago, Al Anbar province was thought to be lost. But just yesterday, control of the province was handed over to the Iraqi government.

This victory will not be splashed across the headlines above the fold. It will be buried under a hurricane, a Vice Presidential nominee and the Republican Convention.

But it is a victory worthy of the ages as the coalition and Iraqi citizens defeated one of the greatest evils of our time.

Like Abraham, Gordian and the others of history who tread the banks of the Euphrates river--they have made their mark.

The Wrong Question

Sun, 31 Aug 2008 07:54:42 GMT

clipped by: Rustee
clipper's remarks:

“Natural capital” (minerals, croplands, etc.) and “produced capital” (factories, roads, and so on) account for less than a quarter of the planet’s wealth. In America, intangible capital — the stuff in our heads, our hearts, and our books — accounts for 82 percent of our wealth.
In large measure our wealth isn’t the product of capitalism, it is capitalism.

Clip Source: article.nationalreview.com

People ask, “Why is there poverty in the world?” It’s a silly question. Poverty is the default human condition.

As individuals and as a species, we are born naked and penniless, bereft of skills or possessions. Likewise, in his civilizational infancy man was poor, in every sense. He lived in ignorance, filth, hunger, and pain, and he died very young, either by violence or disease.

The interesting question isn’t “Why is there poverty?” It’s “Why is there wealth?” Or: “Why is there prosperity here but not there?”

At the end of the day, the first answer is capitalism, rightly understood. That is to say: free markets, private property, the spirit of entrepreneurialism and the conviction that the fruits of your labors are your own.

Tags: capitalism, wealth, poverty

Aristotle on Mixed Economies

Sat, 30 Aug 2008 07:46:47 GMT

clipped by: Rustee

Clip Source: mises.org

A friend recently commented that he has found wisdom in moderation. He said it seems that truth and goodness are found not at the extremes, but at the place of balance between extremes.

As Aristotle wrote in his Nicomachean Ethics, "Virtue must have the quality of aiming at the intermediate." In Aristotle's examples, it is cowardice and recklessness that are the extremes, courage the middle ground.

My friend went on from this concept to state that he believed in neither socialism nor capitalism, but in a mixed economy — or what he called a "messy middle ground."

The true middle ground is to accept a capitalist system — i.e., avoid the extreme of coercion — and choose personally to care for and about others, and persuade them to do the same — i.e., avoid the extreme of neglect.

Attempting to find a middle ground between coercion and freedom is a bad idea.

Finding a middle ground between coercion and neglect is a good one.

Capitalism is the only system that allows for both of these.

Tags: capitalism, socialism, economics

The Great Depression Hoax

Sat, 30 Aug 2008 07:30:03 GMT

clipped by: Rustee
clipper's remarks:

Are we a nation of whiners, as Phil Gramm put it a little while ago? No, the American public is not whining...More likely, though, Americans are just leaving the whining to pundits and trend reporters. Our problem is not whining. It is persuading young people that, with baby boomers retiring, entitlement programs bulging and the world economy growing ever more competitive, now's the time to roll up the sleeves for something other than tattoos.

For example, India produces 2.5 million college graduates every year (with concentrations in high demand fields - electronics, programming, engineering, accounting, etc.), and approximately 90,000 MBA's. Nothing against tattoos, but I do feel ignorance and apathy are much too prominent in America. Awareness of ignorance is the first step to wisdom.

Clip Source: online.wsj.com

Never mind that GDP is puttering along in positive terrain. Headlines still scream that we're closing in on 1929, not 2009.

Meanwhile, Prius cars are flying off the Toyota lots, even though they cost $3,700 more than a similarly sized gasoline-fired Toyota and it takes 3.5 years to pay back the investment in fuel savings.

In July the jobless rate among college graduates was just 2.4%, drifting up from 2.1% in March. That is miles away from the 1981 recession and, of course, you'd need scientific notation to compare it to the Great Depression

For some, it still feels lousy out there. But lousy is not a technical synonym for recession.

Still, no president, Democrat or Republican, can create prosperity for those who decide to forgo even a basic education.

High schools don't teach what they used to, and so students who don't go to college are left without the skills necessary to compete in a global economy.

Tags: economy, education, media

The Pigeonhole Principle

Sat, 23 Aug 2008 06:06:45 GMT

clipped by: Rustee
clipper's remarks:

Do any two people in Houston have the same number of hairs on their heads? Sounds tough to answer. Lining people up. Counting their hair follicles.
Let’s take another look at our hair problem. The average head has 150 thousand hair follicles. So we can safely assume there’s no head with more than, say, a million hairs on it.
Now let’s imagine we have a collection of holes labeled zero through a million. We’ll take all the residents of Houston and put them in the holes corresponding to the number of hairs on their heads. But Houston has a population of over two million. So by the pigeonhole principle, at least one hole (and probably many) will contain at least two people. We can be certain that at least two people in Houston have the same number of hairs on their heads. And we haven’t counted anything.

Clip Source: www.uh.edu

The pigeonhole principle is a wonderful mathematical tool because it’s so incredibly simple yet comes in so handy. It takes its name from the following example. Suppose we have ten pigeons but only nine pigeonholes to put them in. Since we have more pigeons than pigeonholes, at least one of the holes must have at least two pigeons in it. That’s it. That’s the pigeonhole principle.

It’s so basic that when it shows up in the solution of a more difficult problem it evokes a smile.

The tricky part is recognizing that the pigeonhole principle can be used, and then figuring out what are the pigeons and what are the holes.

Do you have three different styles of socks mixed up in your dresser? No worries. Just pull out any four socks and you’re sure to have a matching pair. Once again, it’s the pigeonhole principle at work.

Tags: math, ingenuity

Suspicion of Capitalism

Fri, 22 Aug 2008 03:31:56 GMT

clipped by: Rustee
clipper's remarks:

What ideas and ideals are needed for freedom to flourish?

History offers no better answer than the American story. Two centuries ago, the Founding Fathers blazed the path to a capitalist future by creating a nation based on the individual's right to life, liberty, property and the selfish pursuit of his own personal happiness.

For the first time, a nation's social system embodied approval of profit-seeking, the lifeblood of capitalism. America's founding principles, all but forgotten today, facilitated the explosive economic globalization of the 19th century and remain our only hope for freedom in the 21st century.

Clip Source: www.forbes.com

So why is the world retreating behind nationalistic walls--even in America, where you might least expect it?

The short answer is this: The expanding economic freedom of the past few decades was primarily a response to the bankruptcy of communism and socialism; it was not based on acceptance of capitalism as an ideal. Without such acceptance, recent political advances--despite the economic success they generated--are vulnerable to the new wave of anti-capitalist measures.

For all of capitalism's astounding accomplishments, the intellectual underpinning sufficient to deflect its critics has never been fully identified or understood.

This is why Barack Obama can get away with belittling the "money culture," his wife can smugly counsel youth to shun "corporate America" and John McCain can brag about working "out of patriotism, not for profit."

Capitalism will remain the world's punching bag until such time as the profit motive is rescued from moral oblivion.

Tags: economics

Economics in One Clip

Thu, 21 Aug 2008 04:04:18 GMT

clipped by: Rustee
clipper's remarks:

One reason that Bastiat's example has power is that it applies not just in one area of policy but all areas. If it isn't true that breaking windows creates wealth, it is not true that government spending and inflating is a boon to the economy. It only ends up draining wealth from the private sector, which is the only source of wealth creation.

Clip Source: mises.org

A kid throws a rock at a window and breaks it, and everyone standing around regrets the unfortunate state of affairs. But then up walks a man who purports to be wise and all knowing. He points out that this is not a bad thing after all. The man fixing the window will get money for doing so. This will then be spent on a new suit, and the tailor too will get money. The tailor will spend money on other items, and the circle of rising prosperity will expand without end.

What's wrong with this scenario? As Bastiat put it, "It is not seen that as our shopkeeper has spent six francs upon one thing, he cannot spend them upon another. It is not seen that if he had not had a window to replace, he would, perhaps, have replaced his old shoes, or added another book to his library. In short, he would have employed his six francs in some way which this accident has prevented."

If the broken window really produces wealth, why not break all windows up and down the whole city block?

Tags: economics

Obama's Fair Tax

Thu, 21 Aug 2008 03:34:57 GMT

clipped by: Rustee
clipper's remarks:

Mr. Warren, a man of the cloth, has done us a great service by asking the candidates to answer a pretty secular question: What kind of income makes an American "rich"? Maybe in the more secular setting of an upcoming debate, one of our nonpastor moderators could ask the candidates the moral question: What specific rate of individual taxation would it take for the rich to be paying their fair share?

Clip Source: online.wsj.com

He talks about it as a general theme: "It is time for folks like me who make more than $250,000 to pay our fair share."

He invokes it as a solution for Social Security: "[W]e will save Social Security for future generations by asking the wealthiest Americans to pay their fair share."

He points to how it guides his energy policy: "The first part of my plan is to tax the windfall profits of oil companies and use some of that money to help you pay the rising price of gas."

And he stuck to it on capital gains, even after ABC's Charlie Gibson noted that the record shows increased taxes on capital gains -- which would affect 100 million Americans -- would likely lead to a decrease in government revenues: "Well, Charlie, what I've said is that I would look at raising the capital gains tax for purposes of fairness."

It's not about robbing from the rich to give to the poor. Robbing from the rich will do, especially if it's done in the name of fairness.

Tags: taxes, election

Government True-isms

Tue, 19 Aug 2008 00:11:03 GMT

clipped by: Rustee

Clip Source: www.ktrh.com

Suppose you were an idiot. And suppose you were a member of Congress... But then I repeat myself.
-Mark Twain

I contend that for a nation to try to tax itself into prosperity is like a man standing in a bucket and trying to lift himself up by the handle.
-Winston Churchill

Democracy must be something more than two wolves and a sheep voting on what to have for dinner.
-James Bovard, Civil Libertarian (1994)

Government's view of the economy could be summed up in a few short phrases: If it moves, tax it. If it keeps moving, regulate it. And if it stops moving, subsidize it.
-Ronald Reagan (1986)

If you think health care is expensive now, wait until you see what it costs when it's free!
-P.J. O'Rourke

A government big enough to give you everything you want,
is strong enough to take everything you have.
-Thomas Jefferson

The inherent vice of capitalism is the unequal sharing of the blessings. The inherent blessing of socialism is the equal sharing of misery.
-Winston Churchill

Tags: government, quotes

Leftist Economic Nonsense

Sun, 17 Aug 2008 00:42:42 GMT

clipped by: Rustee
clipper's remarks:

It was astonishing to hear Maxine Waters openly discuss nationalizing the oil industry. She was talking to the heads of America’s oil companies, and she was a little worked up, so it was also possible to say that it was just one person, speaking impulsively in a moment of anger, and easily dismissed.

What left most conservatives and libertarians staring in slack jawed wonder was when Maurice Hinchey (D-NY) stood before the press and advocated nationalizing the oil refineries. While most have known about the socialist beliefs of the left, what surprised them was the matter of fact manner in which they were suggesting socialist controls over the oil industry.

Finally, the socialist trifecta was complete with Obama supporter Malai Lazu, of the non-profit group Oil Change International calling for “price controls” on Neal Cavuto’s “Your World.” As she simply put it, “When Congress can set prices, Congress can set prices.”

Clip Source: www.allamericanblogger.com

For thousands of years, governments have attempted to set the price of different products with disastrous results.

This was all done for the “salvation of the people.”

Throughout history, it has been shown that price controls are good for creating three things:

Shortages

In the free market, a producer knows what it takes to create a product.

When government enters the picture, they don’t consider the creation cost.

Rationing

The government now enters the scene again and tells people how much of a product they are allowed in a specific time. So, if the Democrats nationalize the refineries and shortages follow, it is likely to see them tell you how many gallons of gas you can have per month.

If the government’s allotment isn’t enough, there is only one place to turn.

Black Markets

The black market is created as a result of the state. Always.

Setting prices on gasoline and oil will not do what the socialists in Congress claim it will do. History shows it never has, and never will.

Tags: economics

Teachers Pack Heat In Tiny Texas School

Sat, 16 Aug 2008 00:10:48 GMT

clipped by: Rustee

Clip Source: www.statesman.com

HARROLD, Texas — A tiny Texas school district may be the first in the nation to allow teachers and staff to pack guns for protection when classes begin later this month, a newspaper reported.

Trustees at the Harrold Independent School District approved a district policy change last October so employees can carry concealed firearms to deter and protect against school shootings, provided the gun-toting teachers follow certain requirements.

Superintendent David Thweatt said the small community is a 30-minute drive from the sheriff's office, leaving students and teachers without protection. He said the district's lone campus sits 500 feet from heavily trafficked U.S. 287, which could make it a target.

"The naysayers think (a shooting) won't happen here. If something were to happen here, I'd much rather be calling a parent to tell them that their child is OK because we were able to protect them," Thweatt said.

Tags: crime

The 12,000 Calorie Phelps Diet

Thu, 14 Aug 2008 01:40:19 GMT

clipped by: Rustee
clipper's remarks: Bowl of Wheaties? Yeah right! 4000 calories every time he sits down to eat.

Clip Source: www.nypost.com

Phelps lends a new spin to the phrase "Breakfast of Champions" by starting off his day by eating three fried-egg sandwiches loaded with cheese, lettuce, tomatoes, fried onions and mayonnaise.

He follows that up with two cups of coffee, a five-egg omelet, a bowl of grits, three slices of French toast topped with powdered sugar and three chocolate-chip pancakes.

At lunch, Phelps gobbles up a pound of enriched pasta and two large ham and cheese sandwiches slathered with mayo on white bread - capping off the meal by chugging about 1,000 calories worth of energy drinks.

For dinner, Phelps really loads up on the carbs - what he needs to give him plenty of energy for his five-hours-a-day, six-days-a-week regimen - with a pound of pasta and an entire pizza.

He washes all that down with another 1,000 calories worth of energy drinks.

Tags: olympics, nutrition, michael phelps

Full Video:Men's 4x100 Free Relay Final

Tue, 12 Aug 2008 06:36:09 GMT

clipped by: Rustee
clipper's remarks: It couldn't be clipped, but a good quality video of the whole race at the source.

Clip Source: www.nbcolympics.com

BEIJING -- The U.S. men's 4x100m free relay team won gold Monday in the most exciting, most record-breaking, most amazing, thrilling, unbelievable relay anyone could ever imagine, evidence of exactly what Jason Lezak, who swam the greatest anchor leg in relay history, had to say when it was all over:

"People always step up and do things out of the ordinary at the Olympics."

This was even so much more. Extraordinary in every regard.

Tags: olympics, swimming

No Tax Increase Needed for Social Security, Medicare, Medicaid...

Tue, 12 Aug 2008 02:39:55 GMT

clipped by: Rustee
clipper's remarks:

If Congress were to act responsibly (yes, an oxymoron), it would hold down the growth of spending, as was done in the late 1980s and late 1990s, and eliminate those government programs that do not meet a reasonable cost-benefit test. As has been shown before, such actions would quickly eliminate the deficit.

Clip Source: washingtontimes.com

Many of those who insist that tax increases are needed argue that the entitlement programs will grow more rapidly than the economy and they must be funded. The problem with this argument is that tax increases will slow economic growth, and that no amount of tax increase can fund these programs if they are allowed to continue to grow faster than the economy.

Other countries have solved, or are solving, the social security problem through privatization. The renowned economist, Jose Pinera, developed the world's first, major, privatized social security system when he was labor minister in Chile. The Chilean program has been in effect for 29 years, is fully phased in, and has provided the workers with a rate of return exceeding 10 percent per year compounded, resulting in many Chileans having a very large investment portfolio for retirement. The Pinera system has been so successful that more than 30 countries have now adopted it.

This program would be real constructive "change."

Tags: taxes, government

Cigarette Tax Burnout

Tue, 12 Aug 2008 01:55:36 GMT

clipped by: Rustee
clipper's remarks:

In New York City and State, tobacco taxes have been raised so many times that the retail cost can exceed $9 a pack -- about double the national average. Few budget-savvy smokers in the Big Apple pay that tax. Patrick Fleenor, an expert on tobacco taxes at the Tax Foundation, estimates that there is "now a 75% gap between cigarette sales in the city and cigarette consumption." In other words, three out of four cigarettes are bought elsewhere or are contraband.

In New Jersey, about 40% of the Marlboros and Virginia Slims that are lit up escape the $2.57-a-pack tax. In Washington State, evasion was so rampant that the legislature decided in 2005 to lower the 75% tax on cigars and other tobacco products as a way to raise revenue and help state retailers.

Clip Source: online.wsj.com

Politicians in Annapolis are scratching their heads wondering what happened to all those chain smokers who were supposed to help balance Maryland's budget. Last year the legislature doubled the cigarette tax to $2 a pack to pay for expanded health-care coverage. Eight months later, cigarette sales have plunged 25% and the state is in fiscal distress again.

As House Majority Leader Kumar Barve put it, fewer people smoking is "a good thing." Yes, except that Maryland may be losing retail sales more than smokers. Residents of Maryland's Washington suburbs can shop in nearby Virginia, where the tax is only 30 cents a pack, and save at least $15 per carton.

The Maryland pols are so afraid this is true that they've made it a crime for residents to carry two packs of cigarettes that weren't purchased in the state.

Out-of-state purchases, tax-free Internet sales and a cigarette black market are booming.

Tags: taxes, government, tobacco