to the editor from this week's Chronicle
No. 362 - 4/3/22
America! We lucky citizens of this unique country have a choice to make! By studying the issues, and determining which candidates or party best represents the America we want to live in tomorrow, we may be able to help guide our country in that crucial direction!
And what are the clear choices we have today! In recent RNR's, an attempt has been made to distinguish between the critically different theories struggling to control the government and the people of America today. The claim made here is that the more traditional side, closely associated with our founders, is the theory represented by the diagram: God-->People-->Government. Proof of this comes from our 1776 Declaration of Independence, in words like the following: "We hold these truths to be self-evident, that all men are created by a God above, and are endowed with certain inalienable rights; life, liberty, pursuit of happiness. To secure these rights, governments are instituted by men and can be overthrown if it strays from it's true purpose." Admittedly paraphrased here, but very true to Jefferson's wording!
Having just finished reading one of three books discussing this matter, the first by Rabb, called "Speeches of the Founders," a reader is overwhelmed by the 200+ pages that proves beyond a doubt, that the men who gave us the Declaration and the Constitution were definite believers in a Creator who gave us the Ten Commandments, and HIS son Jesus who gave us also the Greatest Commandment: "Love God and neighbor as yourself." This belief, for the first time in history was woven into our government, accepted by most of the people, and resulted in the most amazing country in the world, granting freedom, security, prosperity, and living conditions!
But a much newer and fast growing theory, known today as Communism, had its beginnings in 1917 with the overthrow of Russia's Czarist government. It has as its basic premises, belief in Atheism, there is no concerned God above, that man himself is totally responsible for his own earthly well being, and that using the system of SOCIALISM, a virtual utopia can be developed on earth, where all live equally according "To each as is his need." IF history is studied, and IF common sense and good logic is used, this fast emerging philosophy has already proved to be disastrous for the number of nations which have given it a try, many times by force, and have proved the experiment to be a total disaster. Sadly, America has moved in that direction for several decades, but recently has accelerated the pace tremendously! The diagram that best represents the direction taken for years has been: People-->Government, Democracy, but more realistically lately is better represented: Government-->People!
Having already discussed here the impact John Maynard Keynes has contributed to the growth of a socialist type economy, we return for a brief additional look at the equation: MV=PO, traced back, it is claimed, to backers of the Austrian School of Economics. Keynes you will remember stated that the government and big central banks, can keep an economy stable by increasing or decreasing the M, money in circulation, and by adjusting interest rates lower or higher. Velocity is the number of times an average dollar is spent in a year's time. (1 if stored all year under a mattress, five if spent five different times in one year!). P is the average price level, and O is the total amount of goods and services available for purchase! Well, economic history tells us that MV in circulation since recessions in the late '90's, and another in 2008, has increased from a near $5.5 trillion national debt in 2000 to almost $30 trillion today! Add that to the fact that our interest rates have been kept near zero on borrowed money, and also that output O has been very sharply reduced because of Covid, is it surprising that prices, P, inflation is nearing 10%?