Thanksgiving Special

Pyrolitical Radio Thanksgiving Special [ 54:30 ] Play Now | Play in Popup | Download

During this broadcast we wanted to take a little time and pay special attention to this wonderful holiday that we will be celebrating. Thanksgiving does not only deal with the excessive consumption of poultry and pie, these are merely cultural practices that have grown out of the original celebration of simple gratitude.

The story of Thanksgiving sets up the foundation for many of the blessings that we enjoy today. Listen in and be grateful for this great opportunity to remember how blessed we are as a people.

A Government Which Doe$ Everything

Let’s say you have a government that does EVERYTHING: from foreign aid to policing the world to cradle-to-grave entitlements to never-ending wars and on and on and on. Tonight we will take a look at how this impacts the quality of life of the world. We will cover the following and more:

- How much $$ has the U.S. Government spent during the past century on all of the above?
- How has individual freedom been impacted by our government’s involvement in everything?
- What is the true cost in terms of inflation, taxation, and motivation?
- What should we do about it?

Join us for a lively discussion!

Presented by: Randall Hinton and Thomas Dyches

• Conference dial-in number: (218) 862-7200 then enter access code: 467648
• Begins at 9:00PM(MST)
• Callers can just listen in or participate in the discussion

**Remember: If you can’t call in you can still catch the show live on Pyrolitical Radio! Go tohttp://www.pyrolitical.com and click the radio button at the top of the page. FYI: Pyrolitical Radio is broadcasting 24/7 so tune in anytime to catch previous episodes of the Call For Freedom.**

The Call for Freedom – Tuesday Feb. 23rd, 2010, 9:00PM(MST)

ECONOMIC CONCEPTS: THE FALLACY OF THE FREE LUNCH

“Government is the great fiction, through which everybody endeavors to live at the expense of everybody else.” –Frédéric Bastiat

Join us as we discuss the invasion of the “Entitlement Mentality,” and how it has affected our nation. What has been the result of our turning away from the virtues of self-reliance and responsibility? To what extent has this mental shift aided in the creation of our oppressive monetary policy? Listen in or call in this week to share your insights and impressions.

Presented by: Randall Hinton and Thomas Dyches

• Conference Dial-in Number: (218) 862-7200 then enter access Conference Code: 467648
• Begins at 9:00PM(MST) sharp!
• Call kicks off with a 30 minute presentation by our speakers followed by an open forum discussion to answer your questions and debate.

**Remember: If you can’t call in you can still catch the show live via Pyrolitical Radio! Go to http://www.pyrolitical.com and click the radio button at the top of the page. FYI: Pyrolitical Radio is broadcasting 24/7 so tune in anytime to catch previous episodes of the Call For Freedom.**

Political Potporri: Golden Shackles – 10-27-2009

Golden Shackles: The Unintended Consequences of Cash for Clunkers and the $8k Real Estate Tax Credit [ 31:34 ] Play Now | Play in Popup | Download

Listen to our call for freedom from October 27th 2009, where we discuss the unintended consequences of Cash for Clunkers and the $8k First Time Home Buyer Tax Credit.

We discuss:

1. What is the true cost of getting a home or car through these and similar programs?
2. How does it affect you and your childrens’ future?
3. The answers may shock you!!!
4. Join us as we expose the fallacies behind these programs and pull back the proverbial curtain for you.

And much more.

Please join us for the Call for Freedom each week Click Here for this week’s details.

Listen to all of our Call For Freedom Recordings, Click Here to view our archives.

The Medicaid Dilemma – 10-13-2009

The Medicaid Dilemma [ 45:45 ] Play Now | Play in Popup | Download

Many of us want to make sure that our family, friends and even all Americans have the opportunity to have access to good medical care. The big question is how to accomplish it.

In previous Call’s for Freedom we have discussed the corrosive effect that socialism has on the hearts and minds of a free people. The government does not have anything to give anyone else, unless it takes it from YOU, and Your Neighbor, Your Friend, Your Cousin, your Mom and Dad, or someone else. If it is not physically taken from them in some form of taxation, it is stolen in a discrete manner through inflation.

Once we understand this it is our responsibility to make sure that others know and understand these principles as well. And we must change the way we act so that we do not encourage or endorse any of this “Legal Plunder”.

Listen to our Call for Freedom from 10-13-09 where we interviewed a member of our network who has gone through the paces of discovery and then recovery through changes in his employment and the way he leads his daily life.

Please join us for the Call for Freedom each week Click Here for this week’s details.

Listen to all of our Call For Freedom Recordings, Click Here to view our archives.

Practice Personal Virtue – 9-29-1009

A Personal Fight Against Socialism [ 27:51 ] Play Now | Play in Popup | Download

All of us who are citizens of the United States have many liberties that we take for granted. Some are taken for granted so much that we engage in activities that undermine the very foundation upon which those liberties rest.

When we start to realize that our actions are creating that negative effect, there is only one way to correct the problem and aim for a resolution. That answer is Virtue. Virtue in both our Public and Private lives. If we decide to practice Virtue, we will treat others differently because we realize that our actions do not effect ourselves alone. They will either increase or decrease the liberty of others. Listen to our podcast to hear of one individuals quest to practice virtue in their own life.

Please join us for the Call for Freedom each week Click Here for this week’s details.

Listen to all of our Call For Freedom Recordings, Click Here to view our archives.

Is There a Right to Health Care?

by David Kelley

(A speech delivered at multiple venues in 1993-94)

Bill Clinton ran for president last year by attacking the 1980s as a “decade of greed” —attacking the leveraged buyouts and hostile takeovers engineered by Wall Street financiers. I happen to think this trend in the 1980s was a good thing, a productive realignment in American business. But be that as it may, the irony is that President Clinton is now proposing a hostile takeover of his own, a hostile takeover on a scale far beyond anything that Wall Street capitalists ever dreamed of, a hostile takeover of one seventh of the nation’s economy. I’m referring, of course, to his recently announced plan for health care “reform.”

The Clinton plan in its present form involves a massive exercise of coercion against physicians, employers, and patients alike. Most people will be forced to do business through health insurance purchasing cooperatives: government-backed monopolies that collect payments from consumers and set the terms on which producers can offer their services. Everyone will be forced to buy health care through these monopolies, with employers forced to pay the lion’s share of the bill. Physicians, hospitals, and HMOs will be prohibited from dealing with patients directly; they will be forced to offer their services through the purchasing cooperatives, subject to highly restrictive rules.

What has brought us to this state of affairs? Socialism has collapsed in the Soviet Union. The nations of Western Europe are trying to trim back their welfare states, desperately looking for ways to privatize. Yet in this country we are on the brink of a massive increase in government subsidies and government controls. Why?

The full story is a long and complicated one, but the essential cause, I think, is simple. The essential cause is the assumption that if people have medical needs which are not being met, it is society’s responsibility to meet them. In the current debate over health care reform, universal access has become the unquestioned goal, to which all other considerations may be sacrificed. The assumption is that the needs of recipients take precedence over the rights of physicians, hospitals, insurers and drug companies—the producers of health care, the people who deliver the goods—along with the rights of the taxpayers who are going to have to pay for it. In other words, those with the ability to provide health care are obliged to serve, while those with a need for health care are entitled to make demands.

Indeed, it is often said that the need for health care constitutes a right. President Clinton campaigned with the slogan, “Health care should be a right, not a privilege.” Opinion polls regularly show that the belief in such a right is widespread, even within the medical profession. The AMA’s “Patient’s Bill of Rights” includes the statement that patients have a “right to essential health care.”

If health care is a right, then government is responsible for seeing that everyone has access to it, just as the right to property means that government must protect us against theft. For the past thirty years, the idea that people have a right to health care has led to greater and greater government control over the medical profession and the health care industry. The needs of the indigent, the needs of the uninsured, the needs of the elderly, among other groups, have been put forward as claims on public resources. Government has responded by subsidizing these groups, and regulating physicians, insurers, and pharmaceutical companies on their behalf. Now the Clinton Administration proposes to make this right universal, to create a universal entitlement, and to vastly expand government control.

In this context, I can state my own point in a sentence: there is no such right. I will show you why the attempt to implement this alleged right leads in practice to the suspension of the genuine rights of doctors, patients, and the public at large. And I will show why the concept of such a right is corrupt in theory. I want to stress at the outset the importance of this issue. The long-term direction of public policy is not set by electoral politics, or by horse-trading in Congress, or by this or that court case. In the long term, at a basic level, public policy is set by ideas—ideas about things are just and worthy, what rights and obligations we have as individuals. The idea that people have a right to health care is inimical to our genuine liberties. The policies that flow from that idea are harmful to the interests of doctors and patients alike. To fight against those policies, we have to attack their root.

Liberty Rights vs. Welfare Rights

Let’s begin by defining our terms. A right is a principle that specifies something which an individual should be free to have or do. A right is an entitlement, something you possess free and clear, something you can exercise without asking anyone else’s permission. Because it is an entitlement, not a privilege or favor, we do not owe anyone else any gratitude for their recognition of our rights.

When we speak of rights, we invoke a concept that is fundamental to our political system. Our country was founded on the principle that individuals possess the “inalienable rights to life, liberty, and the pursuit of happiness.” Along with the right to property, which the Founding Fathers also regarded as fundamental, these rights are known as liberty rights, because they protect the right to act freely. The wording of the Declaration of Independence is quite precise in this regard. It attributes to us the right to the pursuit of happiness, not to happiness per se. Society can’t guarantee us happiness; that’s our own responsibility. All it can guarantee is the freedom to pursue it. In the same way, the right to life is the right to act freely for one’s self-preservation. It is not a right to be immune from death by natural causes, even an untimely death. And the right to property is the right to act freely in the effort to acquire wealth, the right to buy and sell and keep the fruits of one’s labor. It is not a right to expect to be given wealth.

The purpose of liberty rights is to protect individual autonomy. They leave individuals responsible for their own lives, for meeting their own needs. But they provide us with the social conditions we need to carry out that responsibility: the freedom to act on the basis of our own judgment, in pursuit of our own ends; and the right to use and dispose of the material resources we have acquired by our efforts. These rights reflect the assumption that individuals are ends in themselves, who may not be used against their will for social purposes.

Let us consider what liberty rights mean in regard to medical care. If we implemented them fully, patients would be free to choose the type of care they want, and the particular health care providers they want to see, in accordance with their needs and resources. They would be free to choose whether they want health insurance, and if so, in what amounts. Doctors and other providers would be free to offer their services on whatever terms they choose. Prices would be governed not by government fiat, but by competition in a market. Since this is an imaginary state of affairs, no one can predict what mix of private practitioners, HMOs, and other sorts of health plans would emerge. But market forces would tend to ensure that patients have more choices than they do now, that they would act more responsibly than many do at present, and that they would pay actuarially fair prices for health insurance—prices that reflect the actual risks associated with their age, physical condition, and lifestyle. No one would be able to shift his costs onto someone else. In a truly free market, I might add, there would be no tax preference for obtaining health insurance through employers, so most people would probably buy health insurance the way they buy life insurance, auto insurance, or homeowners insurance—directly from insurance companies. They would not have to fear that losing their job, or changing the job, would mean losing their coverage.

So that is what liberty rights—the classical rights to life, liberty, and property—would mean in practice. The so-called “right” to medical care is quite different. It is not merely the right to act—i.e., to seek medical care, and engage in exchanges with providers, free from third party interference. It is a right to a good: actual care, regardless of whether one can pay for it. The alleged right to medical care is one instance of a broader category known as welfare rights. Welfare rights in general are rights to goods: for example, a right to food, shelter, education, a job, etc. This is one basic way in which they are quite different from liberty rights, which are rights to freedom of action, but don’t guarantee that one will succeed in obtaining any particular good one may be seeking.

Another difference has to do with the obligations imposed on other people. Every right imposes some obligation on others. Liberty rights impose negative obligations: the obligation not to interfere with one’s liberty. Such rights are secured by laws that prohibit murder, theft, rape, fraud, and other crimes. But welfare rights impose on others the positive obligation to provide the goods in question.

Health care does not grow on trees or fall from the sky. The assertion of a right to medical care does not guarantee that there is going to be any health care to distribute. The partisans of these rights demand, with air of moral righteousness, that everyone have access to this good. But a demand does not create anything. Health care has to be produced by someone, and paid for by someone. One of the major arguments offered by supporters of a right to health care is that health care is an essential need. What good are our other liberties, they ask, if we cannot get medical treatment for illness? But we must ask, in return: why does need give someone a right? Fifty years ago, people whose kidneys were failing needed dialysis every bit as much as they do today, but there were no dialysis machines. Did they have a right to protection against kidney failure? Was Mother Nature violating their rights by making their kidneys fail without a remedy? It makes no sense to say that need itself confers a right unless someone else has the ability to meet that need. So any “right” to medical care imposes on someone the obligation to provide care to those who cannot provide it for themselves.

If I have such a right, some other person or group has the involuntary, unchosen obligation to provide it. I stress the word “involuntary.” A right is an entitlement. If I have a right to medical care, then I am entitled to the time, the effort, the ability, the wealth, of whoever is going to be forced to provide that care. In other words, I own a piece of the taxpayers who subsidize me. I own a piece of the doctors who tend to me. The notion of a right to medical care goes far beyond any notion of charity. A doctor who waives his bill because I am indigent is offering a free gift; he retains his autonomy, and I owe him gratitude. But if I have a right to care, then he is merely giving me my due, and I owe him nothing. If others are forced to serve me in the name of my right to care, then they are being used regardless of their will as a means to my welfare. I am stressing this point because many people do not appreciate that the very concept of welfare rights, including the right to health care, is incompatible with the view of individuals as ends in themselves.

I might add that the difference between charity and rights is very well understood by the advocates of a right to health care. One of their main arguments for using the language of rights is that it removes the stigma associated with charity. A right is something for which you don’t owe anyone any gratitude. But notice the contradiction. The reason for proposing such a right in the first place is the claim that certain people cannot provide for themselves, and are thus dependent on other people for their medical care. The advocates of a right to health care then turn around and insist on using the concept of rights to disguise the fact of dependence, to allow the recipients of government subsidies to pretend that they are getting something they earned.

It is also worth noting that the Supreme Court has never recognized a constitutional basis for any welfare right, including the right to medical care. The Court recognizes that the concept of rights embodied in our legal system is the concept of liberty rights. Welfare rights are a product of later movements to expand the role of government beyond the original conception of its role. In our constitutional system, there is no requirement that the federal government provide health care. Health care entitlements, unlike fundamental rights like freedom of speech, have to be invented by legislators.

Effects of a Right to Health Care

Unfortunately, our legislators have been equal to the challenge. They have invented such entitlements in spades. And that leads me to my next point. When government attempts to implement a right to health care, the result will be the abrogation of liberty rights. As with money, bad rights drive out good ones. Let’s review the major consequences of implementing a right to medical care. I am going to use illustrations from our current situation, but these consequences follow inevitably from any approach: single payer, managed competition, whatever.

1) To begin with, of course, the government has to tax some people to pay for medical subsidies offered to those it considers to be in need. So the first consequence of implementing a “right” to medical care is forced transfers of wealth from taxpayers to the clientele of programs like Medicare and Medicaid. And this will inflate the demand for health care services. Offering free or heavily subsidized care is inevitably going to increase overall use of the health care system.

Figures from the early years of the Medicaid program indicate the vast increase in demand that can result. According to a Brookings Institution study, in 1964, before Medicaid went into effect, those above the poverty line saw physicians about 20 percent more frequently than did the poor; by 1975, the poor were visiting physicians 18 percent more often than the nonpoor. Again, before Medicaid, those with low incomes had only half as many surgical procedures as those with middle-class incomes; by 1970, the rate for low-income people was 40% higher than for those with middle class incomes.[1] When Medicare was instituted in 1966, the House Ways and Means Committee estimated that by 1990, allowing for inflation, the program would cost $12 billion; the actual figure was $107 billion.[2] (Government forecasts of the costs of entitlement programs are never accurate. In many cases, like this one, they do not even get the order of magnitude correct.)

2) The cost explosion leads to the second major consequence of implementing a “right” to medical care: restrictions on the freedom of health care providers. During the debate over health care policy in the 1960s, proponents of Medicare and Medicaid assured doctors that they only wanted to pay for indigent care, and had no intention of regulating the profession. Abraham Ribicoff, then Secretary of Health, Education, and Welfare, said: “It should be absolutely no concern to a physician where a patient gets the money.”[3]

But of course the surge in demand for medical care led to rapid price increases, along with abuses of the system by clients of the government programs as well as by unscrupulous doctors and hospitals. These problems had to be addressed somehow, and the result was a growing web of controls: Professional Standards Review Organizations, diagnosis-related groups, restrictions on balance billing, utilization reviews. Under the managed care systems that have proliferated in the effort to control costs, physicians have less and less autonomy to act on their own best judgment about what is best for the patient. Dr. Maurice Sislen has written: “A huge, complex, policing system has taken the place of what used to be the doctor’s responsibility to his patient. Probably only a practicing physician can fully appreciate the magnitude of the economic waste and moral degradation involved.”[4]

3) A third major consequence of implementing a right to health care is the increased burden imposed on consumers of health care—the ones who were originally not in need of government subsidies. As taxpayers, of course, they have to pay for all the programs; that’s point 1. But as consumers, they are also affected by all the distortions of the market which these programs create. Everyone pays the higher prices caused by the inflation of demand for medical services, together with the increased costs of regulation and paperwork. As people are priced out of the system, they are forced into managed care systems that limit their choices of doctors.

Health insurance stipulations by states raise the cost of insurance, and discourage employers from hiring certain kinds of workers. For example, “community rating” laws require insurance companies to offer policies for the same price to all people, regardless of age, lifestyle, or physical condition. Since the actual risks depend on these factors, what community rating means is that the young pay higher prices to subsidize the elderly, the well subsidize the sick, and those with healthy lifestyles subsidize those with unhealthy ones. As an indication of the kind of subsidy involved, community rating in New York nearly tripled the cost of insurance for a 30-year-old male.[5]

4) Yet another consequence is a growing demand for equality in health care. If something is a human right, after all, then it should be protected equally for all persons. Our system is based on the idea of equality before the law. Now if we plug into this system the additional idea that we all have a legal right to some good like health care, the natural inference is that we all ought to receive that good on a more or less equal footing. For example, in a 1989 survey for the Harvard Community Health Plan, 90% of the respondents said that everyone should have “a right to the best possible health care—as good as a millionaire.” Here’s another example, a statement by Horace Deets, the Executive Director of the American Association of Retired Persons: “Ultimately, we must recognize that health care is not a commodity. Those with more resources should not be able to purchase services while those with less do without. Health care is a social good that should be available to every person without regard to his resources.”[6] And the Clinton plan is clearly egalitarian. One of the explicit goals of the proposal is to eliminate any “two-tier” system in which some people are able to buy more or better health care than others.

5) The fifth consequence–the last one I’ll mention–is the collectivization of health care, and of health itself. Just as a mixed economy treats wealth as a collective asset, which the government is free to dispose of as it sees fit for “the common good,” so a collectivized health care system treats the health of its members as a collective asset. Under this regime, physicians no longer work for their patients, with the overriding responsibility to act in their interests. Instead, physicians are agents of “society” who must decide the amount and the kind of care they give an individual patient by reference to social needs, such as the need to control costs in the system as a whole. Indeed, even the individual in such a system is urged to protect his own health not because it is in his self-interest, but because he has a responsibility to society not to impose too many costs on it.

To summarize, then, a political system that tries to implement a right to health care will necessarily involve: forced transfers of wealth to pay for programs, loss of freedom for health care providers, higher prices and more restricted access by all consumers, a trend toward egalitarianism, and the collectivization of health care. These consequences are not accidental. They follow necessarily from the nature of the alleged right.

Clinton Plan

The same is true of the Clinton Administration’s plan–true on a much larger scale. This plan will be far more destructive of our liberties than anything we have experienced so far.

The plan calls for a further extension of health care subsidies: to those who are currently uninsured, and to those who have health coverage less extensive than the proposed standard package of benefits. Where are these subsidies going to come from? The Administration has rejected the so-called “single-payer system”—that is, overtly socialized medicine, in which the government pays all the bills—because it knows that the government cannot pay all the bills. The necessary tax increases would be politically impossible. So the Clinton plan calls for a nominally private system in which regulations force some people to subsidize others.

At the heart of the plan are the health alliances: government-protected monopolies in each area which will collect premiums and negotiate with health care providers to offer acceptable plans. Everyone who lives in a given area will be forced to obtain health insurance through their local monopoly health alliance. Health care providers—private practitioners, HMOs, and others—cannot deal directly with individuals. They can offer their services only through the health alliances, subject to the conditions it imposes.

One such condition is guaranteed access: every plan must be willing to accept any individual who wants it; no one may be excluded for any reason. Another condition is community rating: the price of the plan must be the same for everyone. Now think about what effects this will have on incentives. If I know that when I get sick I will be able to enroll in any plan I want, at a price that does not reflect my condition, then I have no reason to obtain health insurance when I am well. If people are free to choose whether or not to obtain and pay for a policy, the only people enrolling will be the sick, and costs will go through the roof. So the system works only if everyone is forced to participate. That is exactly what the proposal requires, and although the details of the proposal keep changing, this is one point that cannot change.

At the national level, the system will be governed by a National Health Board whose two main functions will be to determine the standard package of minimum benefits, and to set global budgets. The global budgets will force the health alliances to impose what amount to price controls on medical providers. And the standard package of benefits will be set by interest group lobbying, as every group in the health care field will try to get its services included in the package. For example, the current definition of the package includes mental health and substance abuse counseling. You may feel that you do not need insurance for these services, but you are going to pay for them.

In short, the plan will require a massive exercise of coercion against individuals, far beyond anything we have seen so far. Which brings me back to the fundamental issue.

Moral Foundations

In all the ways I have described, any attempt to implement a “right” to health care necessarily sacrifices our genuine rights of liberty. We have to choose between liberty rights and welfare rights. They are logically incompatible. It is because I believe in the rights of liberty that I say there is no such thing as a right to health care. So I want to end by explaining why I think the rights of liberty are paramount, and by trying to anticipate some of the questions and objections you may have.

The rights of liberty are paramount because individuals are ends in themselves. We are not instruments of society, or possessions of society. And if we are ends in ourselves, we have the right to be ends for ourselves: to hold our own lives and happiness as our highest values, not to be sacrificed for anything else.

I think many people are afraid to assert their rights and interests as individuals, afraid to assert these rights and interests as moral absolutes, because they are afraid of being labelled selfish. So it is vital that we draw certain distinctions. What I am advocating is not selfishness in the conventional sense: the vain, self-centered, grasping pursuit of pleasure, riches, prestige, or power. Genuine happiness results from a life of productive achievement, of stable relationships with friends and family, of peaceful exchange with others. The pursuit of our self-interest in this sense requires that we act in accordance with moral standards of rationality, responsibility, honesty, and fairness. If we understand the self and its interests in terms of these values, then I am happy to acknowledge that I am advocating selfishness.

We have to draw the same distinctions when we think about altruism. For it is, in the end, the moral code of altruism that makes people think that need is primary, that need gives one a right to the ability and effort of others. In the conventional sense, altruism means kindness, generosity, charity, a willingness to help others. These are certainly virtues, so long as they do not involve the sacrifice of other values, and so long as they are a matter of personal choice, not a duty imposed from without. I might note in this regard that physicians have historically been extremely generous with their time.

In a deeper, philosophical sense, however, altruism is the principle that one person’s need is an absolute claim on others, a claim that overrides their interests and rights. For example, Dr. Edmund Pellegrino has asserted, in an article for JAMA, “A medical need in itself constitutes a moral claim on those equipped to help.”[7] This principle has often been asserted by thinkers who are opposed to individualism, and it is the basis for the doctrine of welfare rights. It is the reason why advocates of government involvement in health care can take for granted that the needs of patients are primary, and that everyone else can be forced to provide for those needs.

No rational basis for this principle has ever been offered. The fact is that our needs have to be satisfied by production, not by taking from others. And production comes from those who take responsibility for their lives, who apply their minds to the challenges we face in nature and find new ways of meeting those challenges. Ayn Rand said it best, in her novel The Fountainhead: “Men have been taught that the highest virtue is not to achieve, but to give. Yet one cannot give that which has not been created. Creation comes before distribution—or there will be nothing to distribute. The need of the creator comes before the need of any possible beneficiary.”[8] The creator’s need, in any field, is the freedom to act, the freedom to dispose of the fruits of his labor as he chooses, and the freedom to interact with others on a voluntary basis, by trade and mutual exchange.

That freedom is a vital need, not only for doctors but for patients. It is only in a context of freedom that one person’s need is not a threat to others. It is only in a context of freedom that genuine benevolence among people is possible. It is only in a context of freedom that the medical progress which has brought so many benefits to all of us can continue.

The problems of our current system were caused by government. More government is not the solution. But we must oppose the expansion of government control in principle, by rejecting spurious claims of a “right” to health care, and insisting on our genuine rights to life, liberty, property, and the pursuit of happiness.

NOTES:

[1] Karen Davis and Cathy Schoen, Health and the War on Poverty (Washington: Brookings Institution, 1978), cited in Terree P. Wasley, What Has Government Done to Our Health Care? (Washington: Cato Institute, 1992), 61

[2] Steven Hayward and Erik Peterson, “The Medicare Monster,” REASON, Jan 1993, 20

[3] Quoted in Leonard Peikoff, “Doctors and the Police State,” The Objectivist Newsletter, June 1962, Special Supplement

[4] The Wall Street Journal, Jan. 10, 1990

[5] Michael Tanner, “Laboratory Failure: States Are No Model for Health Care Reform,” Policy Analysis #197, September 23, 1993 (Washington: Cato Institute, 1993)

[6] Letter to the Editor, The Wall Street Journal, Dec. 23, 1992

[7] Edmund D. Pellegrino, MD, “Altruism, Self-Interest, and Medical Ethics,” Journal of the American Medical Association, 258, Oct. 19, 1987, 1939

[8] Ayn Rand, The Fountainhead (New York: Bobbs Merrill, 1943), 712

© Copyright 1990-2009, The Atlas Society. All rights reserved.

UNCLE SAM’S LIMITED TIME OFFER

What is Socialism? – 8-25-2009

Call for Freedom on Socialism [ 56:55 ] Play Now | Play in Popup | Download

With all the different policies that have been proposed in Washington D.C. over the last few months, a great deal of almost zealous fervor has erupted in the populous. All to frequent is the call that these “Socialist” measures must be stopped. Many critics have derided their excitement as uneducated banter, stating that this is not socialism at all, but only a little additional step of control or regulation of the free market. Further stating that actual Socialism requires state ownership of the means of production.

Would it be to crazy for either side to find out that….their both correct in degree. Socialism takes on many faces in the world. There have been many advocates of different forms of socialism, from early 1800 social cooperatives, to full on communism. These forms varied in degree with the early “experiments” beginning as a perceived organic collective, to the complete and total control of the economy through central planning.

Later the implementing the ideas of “Social Democrats” sought to heal the apparent problems in a Market Economy (Capitalist) through the nationalization of key industries providing for the control over the market for the good of the people, while still allowing a semblance of the previous market economy to continue to operate.

it is this form of Democratic Socialism that is what the so called kook is screaming about, and what the critic downplays. They both have ground to stand on and both see each other as being the one that is wrong. But it is history that undermines each of their arguments.

The kook calls out the current socialist agenda and is marginalized in his arguments by his acceptance of past social/progressive agendas like Social Security, Medicaid, Farm Subsidies, Child Tax Credits, (insert your favorite government subsidy here), etc. Their unwillingness to admit to their dependance on those currently existing social programs, and only calling out the new addition to the menagerie weakens their moral standing. So more than being a call against socialism it is a call against changing the status quo.

The critic casts doubt on the kooks cause, vilifying them at every turn. While they will marginalize their own viewpoint by heralding new regulations and restraints in the market. With these new restraints in place they then suffer from the unintended consequences of the “needed” market reforms and then complain about the increased cost of their favorite widget. They then go off blaming this obvious injustice on the greedy underhanded Capitalist that must have raised prices to line his own pockets. Rather than realizing that the heralded regulation required additional resources of the Capitalist to produce their widgets, so the Capitalist was “forced” to pass those added capital expenses along to the consumer (AKA the critic).

In order for truth to be found on the issue of Socialism and its effects, one must push past the flawed opinions of both sides, Ignore the issue and seek to understand the underlying principle.

Our nation was founded on the principle that “All” were given the “Unalienable” right to Life, Liberty and the Pursuit of Happiness (This last right also being deemed to be Property). These were given to us by a source that was greater than our government, that our very existence verified the existence and necessity of these rights. Those rights created the foundation upon which all future legislation was to be judged. How does socialism stand up to the test?

In 1989, at Stockholm, the 18th Congress of the Socialist International adopted a Declaration of Principles, saying that

Democratic socialism is an international movement for freedom, social justice, and solidarity. Its goal is to achieve a peaceful world where these basic values can be enhanced and where each individual can live a meaningful life with the full development of his or her personality and talents, and with the guarantee of human and civil rights in a democratic framework of society.

Truly high ideals, who wouldn’t want to help everyone have a meaningful life,  and a guarantee of human and civil rights. Let’s look at the opinions of a philosopher who lived during the French Revolution, and argued against the Socialistic movement of the time.

Frederic Bastiat stated in “The Law”:

It is impossible to introduce into society a greater change and a greater evil than this: the conversion of the law into an instrument of plunder.

But how is this legal plunder to be identified? Quite simply. See if the law takes from some persons what belongs to them, and gives it to other persons to whom it does not belong. See if the law benefits one citizen at the expense of another by doing what the citizen himself cannot do without committing a crime.

Try to imagine a regulation of labor imposed by force that is not a violation of liberty; a transfer of wealth imposed by force that is not a violation of property. If you cannot reconcile these contradictions, then you must conclude that the law cannot organize labor and industry without organizing injustice.

Socialism, like the ancient ideas from which it springs, confuses the distinction between government and society. As a result of this, every time we object to a thing being done by government, the socialists conclude that we object to its being done at all. We disapprove of state education. Then the socialists say that we are opposed to any education. We object to a state religion. Then the socialists say that we want no religion at all. We object to a state-enforced equality. Then they say that we are against equality. And so on, and so on. It is as if the socialists were to accuse us of not wanting persons to eat because we do not want the state to raise grain.

He understood and was able to succinctly point out the major flaw in the theory of socialism. That is that to violate the founding principles of Life Liberty and Property for any reason however noble, creates injustice and inequity in the society that is in the process of being socially herded at the whims of the legislators. The very act of attempting to attain those high ideals that Democratic Socialists claim to espouse, will rob it from the grasp of those whom had already attained those ideals through their own labor and industry.

To illustrate this, let’s look at an example. Let’s say that you notice that you have two neighbors that have a noticeable difference, Neighbor “A” has two nice cars, and Neighbor “B” has none. This may seem like an obvious inequity in your neighborhood. So being the egalitarian that you are, you walk over and take one of Neighbor “A”‘s cars and give it to Neighbor “B”. We all should easily be able to see that no matter what the motives, You would be arrested and tried for Auto Theft. No matter how much you wanted to help Neighbor “B”, Taking the car from Neighbor “A” will always be a violation of their property rights. If the government enacts legislation requiring that everyone only be allowed to have one car, and giving the excess cars to those individuals who do not own one. The same principle has been violated, that of Neighbor “A”‘s property.

This example may seem a little far fetched you say, I would never take my neighbors car and give it to my other neighbor. Maybe not, but you would be willing to take money from your neighbor in order to receive your favorite subsidy. It some how seems to make it easier for individuals to swallow, if they are not directly involved in the plunder, but just get to be the recipients of it.

That is the point on which this whole debate revolves. Taking money from anyone to give to someone else, without their permission or direction, whether through your hands or the hands of the government is and always will be PLUNDER. That is why socialism in all its forms will never be successful and accomplish their aims, because it violates the core unalienable rights of its subjects. It can never create justice for all, by implementing injustice for all. When we can all understand the core of this then we can really begin to remove our own socialist blinders, then we can start to see some real effective changes in the United States.

Look in your own life and realize where you have been unjustly benefiting from others labor, and make the changes that are necessary in your own life.

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Arrogance

  
By John Stossel

It’s crazy for a group of mere mortals to try to design 15 percent of the U.S. economy. It’s even crazier to do it by August.

Yet that is what some members of Congress presume to do. They intend, as the New York Times puts it, “to reinvent the nation’s health care system”.

Let that sink in. A handful of people who probably never even ran a small business actually think they can reinvent the health care system.

Politicians and bureaucrats clearly have no idea how complicated markets are. Every day people make countless tradeoffs, in all areas of life, based on subjective value judgments and personal information as they delicately balance their interests, needs and wants. Who is in a better position than they to tailor those choices to best serve their purposes? Yet the politicians believe they can plan the medical market the way you plan a birthday party.

Leave aside how much power the state would have to exercise over us to run the medical system. Suffice it say that if government attempts to control our total medical spending, sooner or later, it will have to control us.

Also leave aside the inevitable huge cost of any such program. The administration estimates $1.5 trillion over 10 years with no increase in the deficit. But no one should take that seriously. When it comes to projecting future costs, these guys may as well be reading chicken entrails. In 1965, hospitalization coverage under Medicare was projected to cost $9 billion by 1990. The actual price tag was $66 billion.

The sober Congressional Budget Office debunked the reformers’ cost projections. Trust us, Obama says. “At the end of the day, we’ll have significant cost controls,” presidential adviser David Axelrod said. Give me a break.

Now focus on the spectacle of that handful of men and women daring to think they can design the medical marketplace. They would empower an even smaller group to determine — for millions of diverse Americans — which medical treatments are worthy and at what price.

How do these arrogant, presumptuous politicians believe they can know enough to plan for the rest of us? Who do they think they are? Under cover of helping uninsured people get medical care, they live out their megalomaniacal social-engineering fantasies — putting our physical and economic health at risk in the process.

Will the American people say “Enough!”?

I fear not, based on the comments on my blog. When I argued last week that medical insurance makes people indifferent to costs, I got comments like: “I guess the 47 million people who don’t have health care should just die, right, John?” “You will always be a shill for corporate America.”

Like the politicians, most people are oblivious to F.A. Hayek’s insight that the critical information needed to run an economy — or even 15 percent of one — doesn’t exist in any one place where it is accessible to central planners. Instead, it is scattered piecemeal among millions of people. All those people put together are far wiser and better informed than Congress could ever be. Only markets — private property, free exchange and the price system — can put this knowledge at the disposal of entrepreneurs and consumers, ensuring the system will serve the people and not just the political class.

This is no less true for medical care than for food, clothing and shelter. It is profit-seeking entrepreneurship that gave us birth control pills, robot limbs, Lasik surgery and so many other good things that make our lives longer and more pain free.

To the extent the politicians ignore this, they are the enemy of our well-being. The belief that they can take care of us is rank superstition.

Who will save us from these despots? What Adam Smith said about the economic planner applies here, too: The politician who tries to design the medical marketplace would “assume an authority which could safely be trusted, not only to no single person, but to no council or senate whatever, and which would nowhere be so dangerous as in the hands of a man who had folly and presumption enough to fancy himself fit to exercise it.”

Copyright 2009, Creators Syndicate Inc.

Page Printed from: http://www.realclearpolitics.com/articles/2009/07/22/arrogance_97561.html at August 05, 2009 – 12:27:09 AM CDT July 22, 2009

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