Q: You’ve said that economic law is just as binding as the law of gravity. It seems to me that economics is more loosely organized and less useful than physics. Would you care to comment?
A: Yes. Your comment has merit. There are charlatans in both fields. Both can be used for good or evil. Both have undergone refinement. Einstein fundamentally revised physics. Then the exponents of quantum mechanics revised Einstein. Now we have most of the younger physicists rejecting much of quantum mechanics and supporting Hugh Everett’s many-worlds interpretation. Personally, I prefer the infinite multiple parallel universes explanation in The Five Dimensions of Man. The field of economics is awash with propagandists. They work to advance the interests of central authority. They are paid by central authority. This is no different than the “scientists” working to prove that human action will cause catastrophic global warming. It is propaganda to increase taxes and government regulation. It is not the use of the scientific method to discern a law of physics. I do not dispute that there are charlatans and clowns in economics. My position is that the laws of economics are just as real as the laws of physics. They can be just as useful and just as abused.
Q: Can you give me a concrete example?
A: If you jump out a window from the 32nd floor onto a concrete parking lot without a parachute, you will suffer serious injuries. If you kill your mother and father, you will become an orphan. It is possible to hide the fact that you’ve killed both your parents, but the fact that you’re an orphan remains. Similarly, if you inflate the money supply, you may, for a time, hide the fact that there are now more monetary units in the system, but the fact and consequences remain. You can also predict that increasing the money supply will, all other factors being equal, result in lowering the economic wellbeing of the economic units affected.
Q: I am not following you. Can you clarify please?
A: The only thing that happens when you increase the number of monetary units is that you steal part of the purchasing power of existing monetary units and transfer it to the new monetary units. It is a simple theft, a transfer to the political class: bureaucrats, politicians, and their financiers. The transfer is from producers to parasites. Tell me please, if you can: When has that ever resulted in increasing the health of an economy?
Q: What do you think of socialist economists?
A: It is an oxymoron. They are not economists. They are propagandists. They are part of the 97% writing propaganda to serve the interests of their handlers. If you study the works of true economists you may learn economic laws just as binding and unforgiving as the law of gravity. It may not be easy, but it is worth the effort.
Q: Why do politicians lie so much?
A: They need to hide the fact that they are parasites and love to steal and live on stolen wealth. As H. L. Mencken famously said, “a political convention is a futures auction on the distribution of stolen property.”
by Arthur Fixed
[box type=”info” style=”rounded” border=”full”]Commentary from Arthur Fixed the author of the Art of Speculation during Civil War – Sun Tzu Meets Jesse Livermore is a private manuscript copyrighted 2012 by Art Fixed.[/box]
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