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Secede and Decentralize: An Open Letter to Clinton Supporters – Article by Justin Murray

Secede and Decentralize: An Open Letter to Clinton Supporters – Article by Justin Murray

The New Renaissance HatJustin Murray
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Dear Clinton Voters:

I know this election has been painful for you. Many feel betrayed and even believe yourselves no longer living in the country you thought you were. Reflect on that pain and frustration for a moment. Now recognize how you feel now is how an equally large, possibly larger, number felt for the past eight years. Those who are of a liberty bent feel it all the time, no matter who ends up in office. Reflect on it, feel it, understand it, own it.

Before you get the wrong idea, this is not my attempt at rubbing in your face the loss of your candidate or an endorsement of President-elect Donald Trump. If anything, I share your pain and frustration, just for an entirely different reason. What you’re feeling, this hopelessness, this feeling that you’re no longer represented, this feeling that people other than you are now able to dictate your way of life, this is all a result of the massive expansion of the Federal government. Elections have long ceased being voting for someone you think represents the lifestyle you want to live and are, in practice, an exercise on determining whether or not you get to impose your preferred lifestyle on someone else.

This is the nature of elections, especially the “first past the post” method utilized in the United States. This system is, by its nature, one where one group of people enjoys the ability to effectively dictate to those who did not win how they will be living their lives over the next term period. The effect of this on voter frustration, which manifests as cultural divisiveness, only gets magnified the more powerful that government becomes. A weak federal government would produce little divisiveness because there is little to be divided over. A strong Federal government would produce significant divisiveness since there is much to be divided over. It also goes to say that an absolute government would create absolute division while the absence of government would not produce a division because there isn’t any risk of having your life dictated by distant populations. When we add in factors of geographic distance and cultural diversity, we end up with a horrible mud-slinging process where people actively dislike both candidates and the electorate openly attacks one another over the political process, completing the division process. These issues won’t go away with vague calls of being civil, coming together or getting along. One group or another will always feel put out and ignored since those in office only truly represent those that got them elected.

However, you need not despair. The liberty movement has the answers you seek to not only distance yourself from future risk of being dictated to by distant populations and political heartache but also be able to more quickly and nimbly get policies and lifestyles you prefer without having to fight someone else for it.

Option 1: Demand Your Representatives Shut Down DC

Nothing Obama signed into law or created through regulatory diktat had to be done at the national level. Not the Affordable Care Act. Not raising minimum wages. Not identifying tax rates. Not regulatory agencies. Not even food stamps and various other welfare programs. None of it has to be done in Washington DC. All of it can be done at your State level and even locally. To prove a point, Colorado had an opportunity to form the nation’s first European-style single-payer health care system. Had that referendum passed, residents of Colorado could have been able to copy the Canadian model of medical care delivery. And it would have been entirely legal and done so without having to collect the opinions of 320 million people or impose it on residents of other States that would not have wanted it.

However, as noted in the linked article, the referendum was opposed on grounds that it could not be sufficiently paid for. This is not because of the common argument that the entire nation needs to be tapped to afford it. Colorado is wealthier than the national average, so Colorado would realistically end up having to pay residents of other States if such a scheme went national. So why is this law fiscally impossible in today’s environment? It is mainly because the Federal government is already taking all those resources for itself.

On average, the Federal government consumes 50 percent of all the taxes paid in this country. This means that, if the average holds for Colorado, and the State is likely further disadvantaged because of the higher income bracket, residents are sending $1 in taxes to the federal government for every $1 in taxes that are collected from them that go to the State or Local governments. In other words, Colorado residents have no say in how half their tax resources are used. Worse, Colorado residents would likely do a better job administering the exact same programs and do so for less because most Federal programs do little more than return the money back to equivalent State agencies. This means your State is having to cover the overhead of 2.7 million Federal employees whose sole purpose is to take money from your State then give it back again with orders on how to spend it.

By eliminating these programs wholesale on a national level and utilizing your existing State systems, you can avoid any disruptions in the programs and also enjoy a less expensive process. Instead of the Federal government collecting its pound of flesh, you will send it to your State capital. This not only allows you to continue the policies and even amend and adjust them more readily without having to convince up to 59 other Senators, hundreds of House representatives and a sitting president, along with an unknown and distant bureaucracy. All you need to do is ask your State representative, who is probably far more available to talk to than the senator you send to DC. With an added bonus, the people living the next State over aren’t going to feel threatened by your political philosophy because they are safe knowing that whatever system you decide to live under does not apply to them if they so choose not to.

Option 2: Secession

This is a more extreme process, but it is also just as valid and allows for more culturally compatible people to have a stronger option at self-determination. This strategy further removes the chances of having a central power structure usurping the wishes and desires of your more culturally compatible group by incompatible groups elsewhere. If one looks at the 2016 election map:

us_2016_election_map

We can find that, at minimum, save for a couple of orphans in the form of New Mexico, Denver, Minneapolis, and Chicago, the United States as it stands is perfectly set up for a secession movement to split the nation into at least three separate entities.

This would allow a greater level of freedom for residents of these three newly formed entities. Further, this split is more than possible from economic size. For the purposes of this exercise, I’ll name the three new nations Cascadia (Washington, Oregon, California, Nevada and let’s throw Hawaii in there), New England (all the blue colored States from Virginia through Maine), and the United States (everyone else). If the USA split into these three entities, here is how the top 20 nations by GDP would look:

us_3_countries

These new nations would rank second, fourth and sixth in world GDP and two of them, USA and Cascadia, are one decent year of growth away from jumping up a rank.

An additional benefit of secession is the ability to further harmonize the new nation with more desirable trade practices, immigration policy, foreign policy, military spending, court systems, and monetary policy. These decentralized entities even have the option of altering how the government itself works, such as dispensing with individual State identities, removing the Electoral College and applying a direct vote system or even converting into a European-style Parliamentary system. Secession allows for even greater self-determination missing in today’s system.

Or you could continue operating as-is and hope enough swing voters decide they want to go back to your philosophy so you can take your turn again imposing your lifestyle on someone else and taking the risk of playing backseat where you truly have no representation or real say in how you live.

In any case, the liberty movement can be a strong ally to allow you to avoid having to live through another Donald Trump term and forge your own destiny without all the strife and divisiveness that goes with a modern American election cycle.

Justin Murray received his MBA in 2014 from the University of St. Gallen in Switzerland.

This article was published on Mises.org and may be freely distributed, subject to a Creative Commons Attribution United States License, which requires that credit be given to the author.

Trump and Hillary Don’t Know How to Fix the Economy – Article by Justin Murray

Trump and Hillary Don’t Know How to Fix the Economy – Article by Justin Murray

The New Renaissance HatJustin Murray
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Recently, Hillary Clinton was taped ridiculing Donald Trump for lacking a detailed plan for the American economy. The message, so it goes, is that Trump is not suited for the presidency because he doesn’t have a plan on how to turn the American economy around.

But is it really more dangerous to elect a president who makes up economic policy on the fly than one who proclaims to have a detailed plan for us?

The answer to this is no, it is not more dangerous to elect someone who makes up economic policy by the seat of his pants — as Donald Trump is prone to do — than it is to elect someone who thinks she can have the future of the economy neatly mapped out. However, this does not imply that seat-of-the-pants method is less dangerous either. The underlying problem is we have two competing people who think they can manage the American economy.

The core of why both philosophies are equally dangerous is best summarized by F.A. Hayek and the pretense of knowledge. Hayek notes in his speech in 1974:

Unlike the position that exists in the physical sciences, in economics and other disciplines that deal with essentially complex phenomena, the aspects of the events to be accounted for about which we can get quantitative data are necessarily limited and may not include the important ones … in the study of such complex phenomena as the market, which depend on the actions of many individuals, all the circumstances which will determine the outcome of a process … will hardly ever be fully known or measurable.

We are incapable of knowing what the future will bring. No president can come up with a detailed or air tight plan or can accumulate a sufficient stable of experts to be able to guide the behavior, wants, and needs of 320 million people.

For example, if we were to have asked George Bush and his economic experts in 2002 to develop a five year plan for cell phones, we would have built up a massive production capacity and R&D structure around miniaturizing phones as that was all the rage. If someone said in 2002 that people in the future would give up physical buttons and want larger screens, they would have been looked upon as mad. People are buying smaller and smaller phones, there’s no way they could touch the screen and get anything done! But come 2007, Apple introduces the iPhone and the older-style button phone has nearly vanished from the marketplace. Had the government decided it needed to plan the economy around smaller phones, we wouldn’t be enjoying a mobility revolution.

This extends well beyond cellular phones and into all walks of our lives. We don’t need central planning on how we consume our energy, what cars we can buy, what we charge people for borrowing money, and so forth.

All behavior is risky. Even if central planners could somehow canvass all of our wants and needs, figured out when exactly we want to satisfy those needs, and determined who gets what in a world of scarcity, the planners would still fail. This is because even we have no idea what we’ll want in the future. If we were to ask someone to write down exactly what they would buy on August 14, 2017 and put it in an envelope then open it up and compare it to what was bought on that day, there is little doubt the results would be wildly different.

The planner is going to do no better. Instead of a single individual failing to predict his own habits in a fun exercise, we’ll be malinvesting untold amounts of money into unwanted industries and imposing counterproductive and dangerous rules on businesses — the effects of which are impossible to predict. Furthermore, central planning shuts down innovation and the entrepreneurial process because it assumes to know today what is wanted tomorrow. Most innovation arises when someone produces a product we had no idea we wanted and couldn’t fathom existing.

Does Hillary Clinton’s plan for the economy make her a more qualified president than Donald Trump, who will likely create plans spontaneously? No, it makes them equally dangerous as both assume they have the ability to do what countless officials over the centuries have never managed to do — predict the future.

Justin Murray received his MBA in 2014 from the University of St. Gallen in Switzerland.

This article was published on Mises.org and may be freely distributed, subject to a Creative Commons Attribution United States License, which requires that credit be given to the author.