Totalitarianism such as that embodied in the Great Reset destroys everything that makes life worth living. From J.B. Shurk at gatestoneinstitute.org:
Notice that no nation has managed merely to print money and tax its citizens on the path to prosperity. Real wealth cannot simply be conjured from thin air. There must be recognized value in what a nation and its citizens possess.
More than any other source for national wealth, however, one towers above the rest: innovation. The ability of the human mind to create something new and valuable provides society with endless wealth creation…. Innovation is the magic sauce for generating wealth.
Humans struggling merely to survive in the world do not waste time, labor, or resources on projects that offer no prospect for future reward. Humans working as servants to the state under centrally controlled economies have no incentive to innovate. Only when private ownership and personal liberty combine can human innovation flourish. Freedom is the secret ingredient to innovation’s magic sauce for increasing wealth.
A country whose institutions do not respect property rights or whose customs do not value freedom will remain a barren desert for human innovation. In this way, nations have a great incentive to liberalize over time. Should they not, they quickly become financially and militarily vulnerable to more innovative and wealthier nations. Observing this simple truth, classical liberals have always understood free markets as the gateway to human emancipation. Economic self-interest, in other words, ultimately leads to expansive human rights and liberties across the planet.
Every great wave of innovation has a lot of failures and a few great companies that capitalize on the innovation. Don’t let the recent weakness in cryptocurrencies prompt you to throw out the investment baby with the bathwater. Odds are that some cryptos will emerge from the carnage and over the long term will be stellar investments. From Simon Black at sovereignman.com:
The Chinese are building a lot of cool stuff. From Fred Reed at unz.com:
Visitors look at a model of Linglong One (ACP1000) at an expo in Beijing, China. © Reuters / Stringer
Technological advance in China is rapid, broad in scope and, one might suppose (apparently) incorrectly, of interest to Americans. It is also easily discovered. Subscriptions are not all that expensive to Asia Times, NikkeiAsia, the South China Morning Post, and Aviation Week. The web is awash in tech sites covering everything from operating systems for smartphones to quantum computing. Reading of Chinese efforts, one gets a sense of motion, agility, vitality remarkable in a nation that in 1976, when Mao died, was the poorest nation on earth. America maintains a lead in many things, but seems to be almost asleep and resting on scientific virtuosity that is now lacking.
I hope the snippets below will give a sense of this. In many of the fields involved, such as quantum computing and fusion research, I am not remotely competent to judge their merit, but when they appear in internationally respected journals of physics, they are clearly taken seriously by those who are competent.
- China to Build World’s First Modular Mini-Reactor
“Linglong One is a pressurized water reactor with a capacity of 125 MW – the first small commercial onshore modular reactor or SMR to be constructed in the world. After being launched, the SMR will be able to generate enough power to meet the energy demands of approximately 526,000 households annually.”
- China maintains ‘artificial sun’ at 120 million Celsius for over 100 seconds, setting new world record
Underestimate the Chinese at your peril. From Fred Reed at unz.com:
Today’s characteristically luminous insights will be disordered and structurally horrifying, the sort of essay that would have sent my high-school English teacher into anaphylactic shock. In exculpation I plead laziness.
Recently I wrote a column on China’s digital yuan, now in late-stage testing. Bare-bones explanation: You download a digital-wallet app with which you can then send payments to anybody in the world who also has the app, no forms, bureaucracy, or bank account needed. OK, that’s cute, you say. Then, with my phenomenally perceptive, pincer-like grasp of the inescapable, I thought, it sounds scalable. If you can do it with thirty bucks (in yuan) for a hat from some store, why not with fifty million dollars (in yuan) for a shipment of oil from Iran? Sure, with more security and so on, but same mechanism.
Interestingly, such payments would be completely independent of, and opaque to, Washington. And independent of…SWIFT, eeeeeeek! Do you suppose China has thought of this?
Well, I thought, this is mere speculative maundering by some guy in Mexico who is admittedly pig ignorant of international finance. And of course China itself was saying that the dijjywan had nothing to do with the dollar, oh no, was solely for domestic use, and for retail sales. Not important. Move on. Nothing to see here.
Industrial and technological innovation is driven by entrepreneurs and businesses, not governments. From Joaquin Flores at strategic-culture.org:
Genesis 1:26 – And God said, Let us make man in our image, after our likeness: and let them have dominion over the fish of the sea, and over the fowl of the air, and over the cattle, and over all the earth, and over every creeping thing that creepeth upon the earth.
Humanity is on the precipice of a new dark age, a long dark winter. It is one in which the technologies once developed to liberate humanity from toil, have developed further into a seemingly insurmountable techno-industrial leviathan. This is one based upon misanthropy, slavery, and human eradication. Called the Great Reset, it is being put forth by the same as those speaking of this 4th Industrial Revolution.
But there is another 4th Industrial Revolution which is on the horizon, one which places mankind at the helm of liberatory technologies like the internet of things (IoT) and 3D printing.
Hence, what is being termed the 4IR is in fact about subverting the actual 4IR towards the interests of the financialists whose old method of control (finance) is dwindling.
In this piece, we will attempt to shed light on two very altering visions of a 4th Industrial Revolution. One of prosperity and individual human freedom as well as social liberty, versus one of repression and a new technocratic police state.
“The real 4th Industrial Revolution is about micro-production and each household, in its garage, owning its own means of production. That is the real promise of the internet of things and 3D printing. It is not about furthering globalization or the mass societies of scale towards an ever-larger pyramidically shaped control paradigm.”
A meditation on the wondrous inventions we use and take for granted every day. From Doug “Uncola” Lynn at theburningplatform.com:
Due to some sustained winds, I had a large limb of a sizable ash tree blown down. And, in consideration of the Emerald Ash Borer, which is sort of the COVID-19 of ash trees complete with its own federal quarantine regulations, I decided not to save the tree. Instead, I chose to cut it down in 18-inch chunks, stack it, and let it season in the round. Then, as needed, I’ll split it and restack it prior to its ultimate delivery into my high-efficiency wood burner on some crisp winter day.
Although I am sad to lose the tree I find myself grateful for technology, and capitalism, when undertaking such tasks. These gratitudes cross my mind when disassembling the saw and using an air compressor or vacuum to clean the components. Or as I’m sharpening the chain and oiling things up for storage, I’ll think of those who designed and built the machines; creations that are, truly, three-dimensional manifestations of intelligence, logic, and love.
I’ll wonder how many people have benefited from such inspirations. I’ll think of Adam Smith’s “Invisible Hand”and the “rising tide of capitalism” lifting all “boats”; and the “I Pencil” essay… those beautiful words written by Leonard Read. He was a libertarian peer of Austrian School of Economics luminaries like Ludwig von Mises and Murray Rothbard. He was an author who founded the Foundation for Economic Education; and he had the surname of Read. The irony.
Time is a nonrenewable resource. From Scott Galloway at medium.com:
Survival — the pursuit of more time — is the most basic instinct. Procreation is a distant number 2. But 1a, making the most of your time, is survival instinct coupled with capitalism. Communism was intended as a more noble system — economic parity that avoids the inequality bound to arise from capitalism. Only the reds failed to recognize we won’t wait in line for fish for the benefit of our comrades. A cocktail of self-interest, cooperation, the assembly line, brand, and the processor has yielded more stakeholder value, as measured by GDP, in the last 50 years than in the previous 2,000.
Religion created a lot of value — it made people feel immortal. Time post death is an asset you’d trade shame for. But the ranks of the faithful are thinning. The opium of the masses no longer provides the same high. Wealthier, more educated societies have turned their focus to time on earth.
Any company that creates more than $10 billion in shareholder value does one of two things: extend time (more time, saving time) or enhance time.
Every firm that has aspirations of creating billions in shareholder value must construct a time machine and be clear on the type of benefit —savings or enhancement. The first trillionaire will build a time machine for the healthcare industry. The T-Man, or woman, won’t reduce costs (this is where the analysts get it wrong), but give us millions of years back, in the pursuit of health, at the same or lesser cost.
The money sentence: Capitalism is the system of liberty — of individual freedom and private property rights — that enables and rewards individuals to take their ideas and turn them into the products and services that benefit themselves and others through trade. From Raymond C. Niles at aier.org:
Last night the temperature fell 3 degrees an hour. As I write this, it is negative 10 degrees outside. A “once in a generation” polar vortex has swept into the American Midwest from the Arctic.
I am lucky to be alive. It would take me just a couple of hours to die from hypothermia if I were outside in such weather. But I am not just alive, I am comfortable. It is a balmy 73 degrees in my home. I am relaxing by my gas fireplace that gives off a warm heat as gentle flames dance about and please my eye. I can hear the gentle whir of fans blowing heat around my living room, generated by my furnace. I write this on my comfortable sofa with a computer on my lap powered by electricity and fed information via the Internet, itself powered by electricity and glass-fiber conduits that carry information to me from computers and minds from across the earth.
My refrigerator is full. I went to the grocery store last night in my car that is powered by an internal combustion engine and fueled by gasoline, which was refined from petroleum that was pumped out of wells drilled in miles-long holes and transported in pipelines and rail cars and refined at complex and gargantuan refineries and made accessible to me via pumps placed at stations in convenient locations for me to use. I am eating an orange that was grown in Florida or Brazil thousands of miles away and transported to me by railroads and airplanes powered by jet engines.
You can continue this description of bounties that, as we go back in time, human beings could only dream about. Even to a person living as recently as 1900, the Internet and jet airplanes would have seemed like science fiction. To a person living in 1800, electricity and railroads and combustion engines would have seemed like science fiction. And to a peasant working the fields — as more than 90% of all humans did for the past 10,000 years until the 1800s — technology itself is a concept they could not even understand, as they lived lives so hard that we can scarcely imagine it.
In many humans, there’s almost a congenital fear of the unknown. From Paul Rosenberg at theburningplatform.com:
It’s a strange thing that so many people unquestioningly doubt, even oppose, anything that they can’t see, that they can’t count on with absolute certainty, or especially, that lacks the approval of authority.
New and useful things, as we’ve all observed, begin as things that can’t be seen… things with no evidence, no substance, and usually no pedigree. Name your convenience and it probably began that way.
Why capitalism works. From George Reisman at mises.org:
By the “benevolent nature of capitalism,” I mean the fact that it promotes human life and well-being and does so for everyone. There are many such insights, which have been developed over more than three centuries, by a series of great thinkers, ranging from John Locke to Ludwig von Mises and Ayn Rand. I present as many of them as I can in my book Capitalism.
I’m going to briefly discuss about a dozen or so of these insights that I consider to be the most important, and which I believe, taken all together, make the case for capitalism irresistible. Let me say that I apologize for the brevity of my discussions. Each one of the insights I go into would all by itself require a discussion longer than the entire time that has been allotted to me to speak today. Fortunately, I can fall back on the fact that, in my book at least, I think I have presented them in the detail they deserve.
Posted in Business, Capitalism, Civil Liberties, Government, Money, Morality, Philosophy, Politics, Trade
Tagged Division of labor, Freedom, Inheritance, Innovation, Production, Profits