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Time for change's Journal
Posted by Time for change in General Discussion
Sat May 05th 2007, 10:46 AM
A workable economic system should be based on an evaluation of how policies operate in the real world, rather than on ideological dogma. The ideal combination of policies varies from one culture to another and from one nation to another.
In the 20th Century arguments over the relative merits of capitalism and socialism routinely went way beyond stridency – they resulted in immeasurable amounts of violence and deaths, especially during the Cold War along with the numerous hot wars that it spawned. With the demise of the Soviet Union in 1989 the proponents of capitalism claimed complete and permanent victory for their preferred economic system, claiming further that that victory was inevitable and due to the inherent superiority of capitalism over all forms of socialism.

But there were several problems with that claim. The economic system that a country practices is only one of numerous traits that characterize the nations of the world. World history is full of examples of collapsing empires that are explained by factors other than Communism or socialism. Furthermore, the Soviet Union practiced one variant of socialism, and an extreme variant at that. Even if their economic system was the sole reason for their collapse, that wouldn’t prove that other, less extreme variants of a similar economic system are inherently unsustainable.

Arguing the relative merits of capitalism vs. socialism can be a very frustrating undertaking because of the extreme emotionalism frequently associated with both sides. Frequently, if not the good majority of the time, such arguments have an all or none quality that refuses to recognize solutions that involve a combination of the two systems. That’s a shame because – in my humble opinion – the argument should not be at all about which system is better, but rather, what combination of the two, in what circumstances, makes for a better system. For the fact of the matter is (I believe) both pure capitalism and pure socialism are myths that have not and cannot work in reality.

I do not intend in this post to argue for the superiority of one system over the other. Rather, my intention is to describe a framework for discussing the issue, along with some thoughts about the relative weaknesses and strengths of each. It could be that economists on both sides of the issue will consider my ideas to be too simple minded. Perhaps they are. But still, I think that they represent an improvement over the stridency with which this issue is often discussed.


Definitions and goals

For the purpose of this discussion, capitalism is a system whereby economic transactions are handled individually, without interference by government or any other entity. Socialism (Communism being the most extreme variant of socialism) is a system where economic transactions are governed instead by the community – which generally would mean the government. (How responsive the government is to the people that it represents is another issue, which I won’t go into at this time.) Those two definitions aren’t very different, as far as I can tell, from the definitions of socialism and capitalism provided by Wikipedia, though Wikipedia goes into considerably more detail to define them.

Before arguing about the relative benefits and detriments of a system people should define what they believe the system is supposed to accomplish. For example, if a person believes that the virtues of an economic system should be defined entirely by how that system benefits him, then obviously he is going to argue for a different kind of system than he would if he had a more altruistic attitude towards the subject.

My personal opinion, boiling it down to the bare essentials, is that an economic system should be judged on two goals: 1) Fairness – that is, the extent to which people receive relative benefits from the system according to what they deserve; and 2) Total wealth creation – that is, the total benefits (or wealth) that the system creates.

There is probably at least some tension between those two qualities, such that too much of an increase in one necessarily results in a decrease in the other. People vary in the relative importance that they attach to those two qualities. In discussing this issue I encountered one person, for example, who felt that fairness (or perhaps evenness is a better word in his case) was the only quality that was important. In other words, if benefits are measured on a scale of 1 to 10, he felt it would be better that everyone gets a value of “1” out of the system than that the benefits vary from 2 to 10. My opinion is that that is an extreme and unfortunate position to take on the matter, since that would cause everyone to suffer. Rather, I believe that if we can’t have a system that is completely fair and results in maximum productivity at the same time (which is obviously the case) it is best to strike some sort of reasonable balance between the two.


A few words on capitalism and fairness

I have in numerous different DU posts quoted the 431 to 1 income ratio between the average CEO in the United States today and the average employee, as a severe criticism of our economy and our country under Republican leadership. I quote that figure as a criticism because I very much doubt that such a wide disparity in income is morally right or deserved by CEOs relative to their employees. In other words, I very much doubt that the average CEO works or produces 431 times as much as his average worker.

Republicans will tell you, in order to justify the tremendous income disparities that we see in our country today, that I am wrong about that. They will claim, in other words, that such a system works to the benefit of all, because of the increased wealth that it produces, or that it is fair because CEOs provide an invaluable service that few others could provide. Or they will claim both. Since I pride myself in having an open mind and in being able to judge things without the aid of ideology, I try to have an open mind on this subject. But that’s hard to do because the Republican position on this seems rather absurd to me.

CEOs determine their own salary to a very large extent today. Do they make that determination based on the value that they create, or do they make it based on how much money they want. Common sense tells me that the latter is the case. And when I look at people like Ken Lay or the elites of Exxon Mobile, who go to extra-ordinary lengths to prove that global warming is a myth, it is extremely difficult for me to look at the “value” that those CEOs produce a positive light.


Some problems with unfettered capitalism

The extreme proponents of capitalism claim that unfettered capitalism results in a distribution of wealth that maximizes total wealth and is almost completely fair at the same time. It seems evident to me that that claim is based much more on their ideological point of view than it is on actual evidence. Here are some facts and issues that I believe dispute their claim:

The need for government regulation
Pure capitalism presupposes the complete absence of government regulation on how people make their money. But we live in a world where industry has a great potential to impinge upon and harm the lives of other people. For example, industrial processes have the potential to degrade the quality of the water, air and soil that people need to live decent lives. Other assaults on our environment, while not affecting today’s inhabitants of our country, may have the potential to profoundly impair the quality of life for future generations. Why should an influential minority of our population have the right to do that at the expense of millions of other people?

Services that only government can (or should) provide
There are many services that people need that cannot (or should not) be provided by the private sector. It is so important that these kinds of activities be performed well, that making a profit from them should be either of no consideration at all, or at the very most it should pale in comparison to the need to do the job right. Take public health services, for example. Threats to the public health may affect whole populations. If government contracts out such services to the private sector, the corporations who get the contracts might be tempted to cut corners in order to make a larger profit. When government contracts out our elections to the private sector, those corporations may be tempted to manipulate the vote count in order to get their friends elected. Can we afford to risk our democracy in that manner? And consider our prison system. Lobbyists for the prison industry actually lobby Congress for laws that increase our prison population and provide them with a source of slave labor. All of these things border on turning our government from democracy to tyranny.

Monopolies
It has long been recognized that corporations have a tendency to form monopolies, which reduce competition and raise prices. When that happens, the “free-market” principles that purportedly work to give corporations the incentive to provide quality products or services at fair prices go out the window. Where is the fairness in that? The only entity that can prevent that from happening is government.

Situations where free markets can’t operate well because of lack of information
In the ideal “free-market” corporations are motivated to provide good quality products because people are willing to pay more for good quality. But there are many instances where the public doesn’t have the information to adequately judge crucial aspects of quality, so they must rely upon government to help them out. Examples include the Food and Drug Administration to ensure the safety of foods and drugs and the Consumer Product Safety Commission to ensure the safety of consumer products.

Scarce resources that are essential to people
One particular scarce resource that is essential to American democracy is the public airwaves. Essential information is transmitted through the public airways, and therefore their use is intimately tied up with our First Amendment rights to a free press, which is essential for the workings of democracy. This fact was recognized as early as 1934, with the enactment of the
Federal Communications Act and the Fairness Doctrine in 1949, which required that radio and television stations must act in the public interest in return for being granted free licenses to use the public airways. Given the fact that democracy itself depends upon the free flow of information, it should be obvious that control of the airways must remain open to public use and not allowed to be taken over by powerful corporations with no public obligations. Government should have an obligation to ensure that use of the public airwaves is conducted in the public interest.

Unemployment
Unemployment is a well known, common and tragic plague of capitalistic societies. How can unemployment improve the wealth of society? Worse yet, how can it be fair for a person (especially a child) to go hungry, lack education or medical care, or be homeless when that person is willing to work if given the chance?

Democracy
Vast disparities in wealth lead to a situation where the wealthy have disproportionate political influence. Essentially, they pay money to our elected representatives, and in return those representatives enact laws that favor those who bribe them… I mean donate to their campaigns. It’s actually legal in our country to do that, as long as it isn’t too obvious. Perhaps this issue has more to do with politics than economics, since it is theoretically possible to have a system where disproportionate wealth does not translate into disproportionate political influence. But though that may be theoretically possible, it is not likely to transpire anytime soon. As it stands now in the United States, wide disparities in wealth create a vicious cycle whereby the wealthy buy political influence, which they then use to increase their wealth even further.

Fairness
I’ve already touched on this issue. It is well known that children who come from poor families have bleaker futures, on average, than those whose parents are middle class or wealthy. Add that to the vicious cycle between wealth and political influence, and it’s difficult to see how wide disparities in income can routinely be justified as being fair.


The purported connection between capitalism and liberty

Another argument frequently used by proponents of capitalism is that capitalism is virtually synonymous with liberty. This philosophy suggests that intrusions by government into the economic affairs of its citizens constitute egregious violations of their basic freedoms.

That argument ignores some basic facts concerning the way that capitalism operates in our society. The U.S. government establishes, through its monetary system, infrastructure, laws and institutions (not to mention subsidies), a system that safeguards private property, facilitates business transactions, and enables corporations to make their profits. In the absence of those laws, infrastructure and institutions, chaos would reign and the conducting of business would be next to impossible. Under such circumstances, the contempt shown by the wealthy and powerful towards any attempt of government to help out its less fortunate citizens should be seen as highly hypocritical. And as noted above, the absence of corporate regulation often means that corporations are thereby granted license to destroy the environment or the quality of life of less influential Americans in their quest for profit.

In any event, in a democracy, ideally the people create a government to provide for their needs and wants. Typically that involves empowering government to intervene, at least to some extent, in the economic life of the nation for the benefit of its citizens. Why shouldn’t people have the right to create such a government? Why should a wealthy and powerful minority claim the right to do whatever they want, regardless of the effects on other people, in the name of what they claim to be “liberty”?


Some problems with excessive socialism or Communism

Despite all the problems that I’ve attributed to capitalism, it does have some major virtues. Most important, if properly modulated it can provide major incentives for people to produce goods and services that benefit society at the same time that they add to their own wealth. Excessive socialism can destroy those incentives, thereby inhibiting the production of needed products and services, to the detriment of all society.

We also know that some Communistic societies, the Soviet Union being the major example in the 20th Century, have been associated with very repressive and dictatorial governments. What the causal relationship is between Communism or excessive socialism and repressive government is not a question that I’m prepared to answer. There are plenty of examples of non-Communist dictatorships as well, most notably Germany under the Nazis. It could be that extreme economic systems of either the right or the left tend to lead to repressive dictatorships.

Well, I guess I had a lot more to say about the defects of capitalism than I had to say about the defects of socialism. That doesn’t necessarily mean that I believe socialism to be superior to capitalism – rather it simply means that I see the defects of capitalism as more complex and thereby requiring more words to describe adequately. Or, maybe it’s simply because I’ve lived in a capitalistic society all my life and therefore am better able to describe its defects.


The ideal economic system

The ideal economic system would provide economic rewards (incentives) sufficient to motivate people to produce the products and services that society needs and wants. But at the same time it would have safeguards to ensure that the wealthy and powerful couldn’t walk all over ordinary citizens in their quest for profits. It would ensure that corporations are prohibited from destroying our environment; it would provide government protection to consumers against the risks of dangerous products; it would ensure that all citizens had the opportunity to create a decent and healthy life for themselves; it would actively protect vulnerable population groups against discrimination; it would actively guard against disparities in wealth that are so great that they endanger democracy; and it would ensure that government provided the goods and services that its citizens need and could obtain in no other way.

I’ve spoken in generalities here, without delving into the specific policies needed to accomplish these things. I will just briefly note here that a recent article in The American Prospect, by Mark Greenberg, called “Making Poverty History”, talks about this in more specific terms. It mentions things such as federal minimum wage laws, progressive tax laws, health care, education, child care assistance, promotion of full employment, and labor laws that put workers on a more equal footing with their more wealthy and powerful employers. Greenberg’s article is part of a much larger series of articles in this month’s issue of The American Prospect, titled “Ending Poverty in America”.

What is the precise combination of capitalistic and socialistic policies that is required for the best economic system is a question that has not been answered yet, and over which tremendous controversy remains today. I do however have three things to say about that question: 1) It would certainly make use of a combination of capitalistic and socialistic principles, rather than either one in pure form; 2) It should be based on an evaluation of how these policies operate in the real world, rather than on ideological dogma; and 3) The ideal combination of policies varies from one culture to another and from one nation to another. What works in one society may be unworkable in another.

And lastly I want to note that, among the Democratic candidates for President, John Edwards and Dennis Kucinich have discussed in detail plans for dealing with some of these issues, as I extensively discuss in this post.
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U.S. Democracy in Crisis
The Democratic Underground was born on one of the worst days in U.S history – The day that the worst President in U.S. history took office.

Now, here we are 8 years later, and we’ve managed to remove that cancer from our nation and replace it with something much better. Notwithstanding my many ambivalent feelings towards President Obama, I have no doubt that he will be infinitely better for our country than his predecessor.

Yet despite that, our country has been terribly scarred from the events of the past eight years, and it continues to suffer from all of the root problems that brought us the worst President in our history in 2000 and 2004. Therefore, it is worth taking a look at the root problems that brought us to this sorry state of affairs.


MAJOR IMPEDIMENTS TO DEMOCRACY IN THE UNITED STATES

One thing that we must keep in mind when considering our current problems is that they are not new. They were greatly exacerbated by eight years of Bush administration misrule, but they did not start with George W. Bush and Dick Cheney.


Money in politics

All but the most naïve of the American citizenry know that the wealthy and powerful in our country routinely influence our local and national elections through huge campaign contributions. And they also know that they are generally well rewarded for their “contributions”. And they also know that bribery is presumably against the law in our country. Yet, on the rare occasion that our politicians are actually accused of bribery, our news media makes a great big deal over it, as if bribery is actually a rare event in American politics.

The end result is that a great many of our politicians do everything they can to make their wealthiest constituents happy with them, at the expense of everyone else. They do that with the knowledge that the voters they lose in doing so will be more than compensated for by the disinformation that will be paid for by their wealthiest constituents. I discuss this situation in more detail here, here, and here.

There are a few dots to connect here, but any reasonable assessment of American politics tells us that bribery is routinely used to buy and sell elections in our country. So routine is it that it is actually built into our system and legalized. But that fact is never overtly spoken of. To do so would imply that our system of government is as much or more an aristocracy than it is a democracy.

Bill Moyers, in his book “Moyers on Democracy”, explains the situation bluntly:

We have lost the ability to call the most basic transaction by its right name. If a baseball player stepping up to home plate were to lean over and hand the umpire a wad of bills before he called the pitch, we’d call that a bribe. But when a real estate developer buys his way into the White House and gets a favorable government ruling that wouldn’t be available to you or me, what do we call that? A “campaign contribution”.

Let’s call it what it is: a bribe.

The legality of contributing money to political candidates, with the implicit (though not explicit) understanding that that money will buy political favoritism, has been defended by both our courts and our Congress by sanctimoniously pointing to the free speech provisions in the First Amendment to our Constitution and claiming that money is speech. But the absurdity of that contention should be obvious to anyone with some primary school education. Speech is of value from a political standpoint (or any other standpoint) only when it is heard. But if one billionaire has one thousand times as much opportunity to speak through a medium which reaches millions than several thousand other people added together, the speech of that one billionaire will drown out the speech of most other people, thereby interfering with their right to free speech.


Election fraud

Electronic vote switching with DRE (direct-recording electronic) machines poses a great danger to the integrity of our election system – by virtue of its ability to switch a voter’s vote without being noticed by the voter. In other words, someone tries to vote for John Kerry, and the machine registers a vote for George Bush instead. What makes matters worse is that many or most of these machines don’t even produce a piece of paper with the vote on it, which can then later be used for a recount. So, if fraud is suspected there is no recourse. And worse yet is the fact that most of these machines use proprietary (secret) code to determine who the voter voted for.

We know for a fact that vote-switching occurred in the 2004 election. One study, based on voter reports to the national Electronic Incident Reporting System (EIRS), showed that vote switching incidents favored Bush over Kerry by a ratio of 12 to 1 nationally. A similar study showed that these vote switching incidents that favored Bush were 9 times as common in the heavily contested “swing states” than in non-swing states. To make the point that the EIRS reports represent only a small fraction of actual Election Day problems, an investigation by the Washington Post identified about 25 electronic voting machines in Youngstown, Mahoning County, Ohio, that were said to have been switching votes all day long. Yet only eight incidents of this nature from Mahoning County (all in favor of Bush) were reported to EIRS that day.

Clint Curtis, a computer programmer working in Florida prior to the 2004 election, testified before the Democratic staff of the House Judiciary Committee that he was requested in 2000 by his boss (at the request of a high level Republican operative, Tom Feeney) to “develop a prototype of a voting program that could alter the vote tabulation in an election and be undetectable”. Curtis’ testimony was followed by the death of Raymond Lemme, who while investigating Curtis’ allegations was found dead in a Georgia hotel room, just a couple weeks after telling Curtis that he had traced the corruption “all the way to the top”,

Another type of election fraud is the illegal purging of registered voters from the voter rolls. Like vote switching, the increasing computerization of voter registration is no doubt making it much easier to perpetrate this type of fraud on a mass basis.

This article describes a great deal of evidence that voter registration fraud played a major role in the 2004 presidential election, and in fact was probably the deciding factor in Ohio, which gave George Bush his electoral victory. Similarly, although the 2000 presidential election was stolen by a variety of means, voter registration fraud was quantitatively the most important method used. In 2000, the Florida Governor’s office used a computer program to purge tens of thousands of mostly black and Democratic voters.

There are many other means of election fraud that have been used in our country to destabilize our democracy. I discuss this issue in more detail, along with means for preventing election fraud, in this post.


Our corporate news media

If cash donated to their political campaigns is not enough to carry them through to victory, and if election fraud doesn’t happen to play a significant role, the corporate news media serves as another valuable tool for those seeking to sabotage our democracy. This problem overlaps with the role of money in politics, since those who own and control the corporate media are uniformly wealthy, and since it was their money that led to the acts that enabled our corporate media to become what it is today – Ronald Reagan’s veto of Democratic legislation to enforce the Fairness Doctrine in 1987, and the Telecommunications Act of 1996. This legislation allowed the monopoly consolidation of our news media to the point where today it is controlled by a very small number of extremely wealthy individuals.

Several excellent books have been written about the extent to which wealthy corporate interests control our news media today. I would highly recommend “Lapdogs – How the Press rolled Over for Bush”, by Eric Boehlert, “What Liberal Media – The Truth About BIAS and the News”, by Eric Alterman, and “Into the Buzzsaw – The Myth of a Free Press”, edited by Kristina Borjesson. And I have ranted about pseudo-journalists such as Tim Russert, who have made a largely successful, but hypocritical effort to appear unbiased to their viewers.

The bottom line, as Bill Moyers points out, is that the protection offered us by our First Amendment is based on the assumption of a separation of our government and a free press, which is supposed to protect us from government abuses. Moyers wrote this during the Bush administration:

What would happen, however, if the contending giants of big government and big publishing and broadcasting ever joined hands, ever saw eye to eye in putting the public's need for news second to free-market economics? That's exactly what's happening now under the ideological banner of "deregulation". Giant media conglomerates that our founders could not possibly have envisioned are finding common cause with an imperial state in a betrothal certain to produce not the sons and daughters of liberty but the very kind of bastards that issued from the old arranged marriage of church and state.

Consider the situation. Never has there been an administration so disciplined in secrecy, so precisely in lockstep in keeping information from the people at large and -- in defiance of the Constitution -- from their representatives in Congress. Never has the powerful media oligopoly ... been so unabashed in reaching like Caesar for still more wealth and power. Never have hand and glove fitted together so comfortably to manipulate free political debate, sow contempt for the idea of government itself, and trivialize the peoples' need to know.


Secrecy in government

Democracy suffers terribly when a nation’s citizens are uninformed – especially when they are uninformed with respect to the actions and motivations of their own government. If we don’t know what our government is doing, then how can we be expected to vote them out when they do something that we would consider deeply immoral had we known about it?

Consider war for example. If Americans understood the real motivations for its nation’s wars, they would probably be much more likely to strenuously object to those wars. That would make war much less politically feasible, and our country would therefore be led into war much less frequently than it has been in the past.

That is why I so hate the “national security” excuse for withholding information from us, the American people – which has become so routine that it is willingly or passively accepted by the good majority of Americans. I very much doubt that the “national security” excuse for withholding information from the American people has anything to do with national security more than 5% of the time. Rather, the reason for withholding such information from us is almost always something totally different. It is to blind us to the real reasons for war or other nefarious acts, so that we will accept them and willingly support or even risk our lives in their cause.


Rampant U.S. nationalism and the GAME

Two months ago I wrote a DU post that I titled “The GAME”, which I began by discussing “Unmentionable things in U.S. politics” – including such things as the stealing of a U.S. presidential election, calling American military or covert actions immoral rather than merely “misguided”, and imputing bad intentions rather than mere incompetence to a U.S. president.

I find this to be terribly repressive, not because I personally can’t mention these things, but because our elected representatives are under tremendous pressure not to discuss them. We elect them to represent us and our nation, and except for some rare courageous exceptions such as Dennis Kucinich, Cynthia McKinney, and Robert Wexler, they refuse to even talk about some of our very most important issues.

It has occurred to me that this provides the backdrop for a huge GAME that has been foisted upon us. A prerequisite of the GAME is to create an alternate reality that must be believed by a critical mass of people in order for the GAME to proceed. Why is that necessary? I believe it’s necessary because the reality is so terrible that if enough people consciously recognized it they would rise up and simply refuse to play the GAME.

Although the GAME’s masters set the rules, there are two related character traits of many Americans that cause them to play along: Rampant nationalism and a propensity for denial. Rampant nationalism is the attitude that our country is inherently better than any other country – so much so that it can do no wrong. This attitude is drummed into the American people from the time that most of us learn how to talk. We are made to feel that to believe or speak otherwise demonstrates a dangerous lack of “patriotism”, which makes us deserving of being shunned – or worse.

The other character trait that persuades too many Americans to play the GAME is denial. Believing terrible things about one’s country can be very painful. Accepting reality as it is, rather than as one would like it to be, can be very painful. To make this point, in a recent post titled “12 Things that Never Happened in American History”, I discuss the following official stories that we have been told (or not told):

The U.S. is not an imperialist country; FDR’s New Deal was not instrumental in ending the Great Depression; the Cold War was just about fighting totalitarian Communism; JFK was assassinated by a lone gunman; bribery is infrequent in American politics; Iran-Contra was not a criminal abuse of presidential power; U.S. presidential elections cannot be stolen; Bush and Cheney did everything they could to protect us against the 9/11 attacks; the Bush administration’s crimes are not serious enough to warrant impeachment or prosecution; and, we’re barely told about our nation’s killing of more than a million Iraqi civilians, the October Surprise, or Operation Northwoods.


CONSEQUENCES

These impediments to democracy work together to surrender great amounts of power into the hands of a small number of elites, who use that power in the cause of increasing their wealth and power at the expense of everyone else. It is a vicious cycle that is very difficult to break. Here are some of the major tragic consequences.


Rampant militarism and illegal aggression against sovereign nations

We are so often told how good and pure our nation and its people are that only a minority of Americans are aware of the extent of our many illegal and immoral activities. Many or most who aren’t aware of these activities would be shocked to learn about them and quite resistant to accepting that information as the truth.

In myriad instances we have overthrown or assisted in the overthrow of sovereign nations. In the good majority of these instances we have substituted a repressive right wing government for one that was much more responsive to the needs and desires of the nation’s citizenry. Sometimes genocide was used to accomplish our goals. The purpose of these activities has most often been to create a government that is friendlier to the desires of American businesses or corporations – though we always have some sort of rationalization for our actions.

In “Excuses for War” I discuss many of the phony excuses that the United States government has used to lead us into war, including its Indian wars, the Mexican-American War, the Spanish-American War, and the Vietnam War.

In “The Roots and Consequences of U.S. Overseas Imperialism” I note or discuss our covert and overt illegal and immoral overthrowing of the sovereign nations of Hawaii (1893), Cuba (1898), Puerto Rico (1898), the Philippines (1899-1902), Nicaragua (1910), Honduras (1911-1912), Iran (1953), Guatemala (1954), South Vietnam (1963), Chile (1973), Grenada (1983), Panama (1989), Afghanistan (2001), and Iraq (2003).

In “The Meaning of U.S. Imperialism, Genocide and Militarism” I note U.S. perpetrated genocides, as described in “State of Darkness” by David Model, including our atomic bombing of Japan (1945), those perpetrated against Guatemala (1954), Vietnam (1954-73), Indonesia (1965), Cambodia (1970-75), Laos (1969-74), and East Timor (1975), and our two wars against Iraq.

Other atrocities include our invasion of Cuba in 1961; U.S. Marine invasion of the Dominican Republic in 1965 to put down a rebellion against their repressive right wing government; U.S. military support of Haitian tyrant and mass murderer, Francois Duvalier; and numerous brutal interventions in several Latin American and African nations.


Massive Income and wealth inequality

Inequality of wealth in the United States is truly astounding – and it is increasing at a fast rate. In the United States in 2001, 1% of the population controlled 38% of the wealth, whereas the bottom 40% owned just 1%. That means that, on average, individuals in the top 1% owned about 1,500 times more wealth than individuals in the bottom 40%.

The rising level of income inequality in our country recently exceeded the point where it stood just prior to the stock market crash of 1929, which led to the worst depression in U.S. history. There are many who see a connection between the income inequality preceding that depression and our current situation. This graph, which plots income inequality measured as the ratio between the average income of the top 0.01% of U.S. families compared to the bottom 90%, over time, makes that point.

I discuss the subject of income and wealth inequality here, here, and here.


The loss of the rule of law

During the Bush Presidency I often argued that he should be impeached for his many crimes. Now that he can no longer be impeached, I have argued that our Justice Department should prosecute him for those crimes, and if it fails to do so then the International Criminal Court (ICC) should step in.

While Bush was still President, President Obama weighed in against impeachment, saying that impeachment should be reserved for only the most serious crimes. Now that he is President he has thus far given little or no indication that he intends to have his Justice Department prosecute George Bush or any other high level Bush administration official for their crimes. But if widespread torture, an illegal war of aggression, spying on American citizens, suspending of the right of habeas corpus, and numerous other violations of our Constitution don’t constitute serious crimes, then what does?

What would people say if a prosecuting attorney failed to prosecute a rapist and murderer simply because he had high level political connections? Who would accept that? Then why when far more serious crimes are committed by a President of the United States are there so many people who seem to think that it is ok to sit passively by and make no attempt to hold the perpetrators accountable for their crimes?

I’ll tell you why. It’s like I said earlier in this post. Saying that a former U.S. President might be guilty of prosecutable crimes is simply against the rules of the GAME. Given that and the failure to hold the Reagan administration accountable for its Iran-Contra crimes, George Bush and Dick Cheney connected the dots and thought that they might be able to get away with just about anything. Testing that assumption by moving ahead with prosecutions might be politically risky for the Obama administration. The Republican Party would no doubt raise holy hell if there was an attempt to prosecute high level Bush administration officials.

Consequently, we live in country in which, protestations to the contrary notwithstanding, certain people are indeed above the law. That fact, taken together with all of the impediments to democracy discussed in the first part of this post, means that democracy and the rule of law in our country are in grave danger. Indeed, some believe that we narrowly averted a military coup perpetrated by the Bush administration.

The American people and their leaders need to reassess what our country stands for. Is our democracy important enough to take steps to remove the role of money in politics, reform our election system, break up the corporate monopoly on our news media, require government actions to be much more transparent than they now are, and dare to look more objectively at who we are and what we do? Can we give up imperialism and warfare for the sake a world in which nations live and work together to further the cause of peace and justice? Can we make our nation one in which all of its citizens truly have the opportunity for life, liberty and the pursuit of happiness? And do our laws apply to all people, not just to those who lack the political influence to avoid them?

If we think that these things are important we have a great deal of work to do, lest our country sinks into a tyranny from which it may never recover.
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