Austro-Libertarian Natural Order Philosophy From Indyeah

Individualistic Austro-Libertarian Natural Order Philosophy From Indyeah

Friday, April 30, 2010

On ID Cards, Unions, And The Chacha GUNvernment

I have a fair bit of fare for you today - biometric ID cards, Labour Day, and the CONgress theory of GUNvernment - so let's begin with the ID card. Yesterday, I had rubbished the very idea itself, as based on the Welfare Principle. I had omitted mentioning anything that might be "Orwellian" in the idea. Well, today there is an excellent column in the Express on the very Orwellian possibilities behind the biometric ID card project. That is, the idea is being promoted as welfarism, but actually smacks of totalitarianism. Nandan Nilekani may well be an agent of the Police State, with Chacha as his sponsor. Oppose the evil idea of biometric ID cards tooth-and-nail.

On now to Labour Day. Independent India was conceived of as a workers' paradise, but even today masses are poor, and many are in armed rebellion against it. What went wrong? Obviously, socialism and trade unionism are NOT in the interests of the working classes.

Do not forget that all workers are consumers - while labour, strictly speaking, is a "disutility." We work in order to spend our wages on satisfying our needs. Thus free trade and free competition are in the workers' interests - and this was the clear understanding among the working people in Cobden's time, when the English working people unitedly rose in opposition to protectionism and mercantilistic privileges. Sadly, 50 years later, they succumbed to the lures of socialism and trade unionism. And see what great disaster has befallen them. There ain't no cure but classical liberalism.

The unhampered free market - or Capitalism - is the BEST for ALL workers. Trade unions are a privileged elite. They are also allowed to use force legally. This goes against the Principle of Justice. Nobel Laureate F.A. Hayek once said, "We have now reached a state where [unions] have become uniquely privileged institutions to which the general rules of law do not apply." Students are also recommended the works of the late Professor WH Hutt, a staunch classical liberal, who clearly saw through the evil of unionism.

Not just Britain or India, the USSA too has got fucked by trade unionism. Detroit is a dead city today. LRC has a great column on trade unionism in the USSA by Tom Woods that is truly worth reading. It shows that India must break free from this great error in our social system - that too, in the true interests of poor workers. I hate trade unions in the West for another reason: they are the biggest supporters of immigration control. If you want a free, competitive world for all workers, you must oppose unionism.

Finally, there is this NYT story titled "India's ruling party's biggest challenge remains governing" that I found worthy of note. Hah! Governing? What does Chacha know about that? Their entire theory of the Total State is based on force, force and more force - and always the misuse of force. The biometric ID card, the trade union, the State Police, the Income Tax "raid," and so on and so forth, right down to the bloody excise bastards. This is a theory of GUNvernment, not government. It is good that people are finally rebelling. More power to the rebels.

Thursday, April 29, 2010

The Monster's Budget... And A Grievous Error

The pig-circus has passed the Finance Bill, so a monstrous Union Budget is to be foisted upon the poor people of India - and my favourite newspaper, Mint, has goofed up real bad. And the two are related. Let us begin with the Budget.

Why did I oppose this Budget so vociferously? Answer: Because the Total Chacha State doesn't have the money. I opposed the huge amount of borrowing.

Why are they borrowing? Because they want to finance welfare schemes for the poor. I opposed these welfare schemes because they amount to "capital consumption" - which is even worse for the poor.

Let us now turn to Mint. Their lead editorial of today strongly endorses the biometric ID card project of Nandan Nilekani. The only argument that they have in its favour is that this will allow welfare money to directly reach beneficiaries, by-passing corrupt administrative intermediaries.

But then, where is all this welfare money going to come from? Do we need a Welfare State? Or do we need a Capitalist State? The two are certainly not the same. The Welfare State might need biometric ID cards for all citizens, in order to pay them (fiat) money. The Capitalist State only wants Property Titles to make markets work. The "mystery of capital" is the Property Title. Once this mystery is solved, people make money on their own, in markets, and do not ask the State for handouts.

Mint should also be aware of events abroad. The USSA and their dollar are headed down the tubes because of welfarism, interventionism and corporatism. In Europe, things are not much better - for the same reasons. The lesson for India to learn is that sound money matters. It is noteworthy that Bill Clinton has pinned the blame for the current mess in the USSA on their departure from the gold standard. Sound money is what we in India need - not welfare. We do not need huge State borrowing to fund welfare. We need Property Titles, not biometric ID cards.

Mint is therefore befuddled in their thinking. Their problem is inconsistency. They strongly support free markets. They stoutly stand for Capitalism. They have raised important questions on the "rights" agenda of the Total Chacha State - right to miseducation, right to dig ditches, right to rotten cereals etc. But today, in the final analysis, they goofed - and stood for Welfare.

The Welfare Principle and the Market Principle are two entirely different things. And all welfare is about consumption - not production. The Market Principle is about Production and Exchange. The two can never meet. Therefore, on this issue, which is of critical importance, I part ways with Mint.

Tuesday, April 27, 2010

On Inflationism, Tyranny, And A Pig-Circus

Inflationism is a policy - a policy by which the government finances its needs. As such, inflationism is a sneaky, undemocratic policy. It is the policy method of the tyrant. Such a tyrant who needs money to spend on his projects deceives the people and parliament on the true costs of his measures. Indeed, parliaments always existed to vote on the taxation demands of the monarch. With inflationism, parliaments can be bypassed, or even bought over, for the government can print for itself whatever money it needs. Chacha Manmohan S Gandhi is an inflationist. He is a tyrant. He is undemocratic. And he is buying up support in Parliament.

As Ludwig von Mises wrote:

"The most important thing to remember is that inflation is not an act of God, that inflation is not a catastrophe of the elements or a disease that comes like the plague. Inflation is a policy."


Thus, this policy can be ended - and it should. It is the worst kind of policy to have in a country where the majority are poor daily-wage earners. It is "capital consumption" and thus against the interests of rich and poor alike. But it continues because SOME people gain by it: viz., Chacha and his Cronies.

Chacha the inflationist should therefore be also seen as the WORST thing that could happen to our malfunctioning democracy. He is making it malfunction even more. I could not help being overcome by a feeling of deep sadness as I read an editorial in Mint today on the proceedings in Parliament yesterday that asks the reader the question: Has expediency totally devalued principles?

(This post is appearing a day late.)

Principles, did they say?

You expect principles from socialists? Did Lenin, Stalin or Mao possess principles? Does Chacha?

The ONLY principle of Justice is Property - and socialists do not believe in this principle. It is not a principle of government according to our socialist constitution. It is this absence of principles that has made a pig-circus out of our parliament. Only socialist pigs are allowed entry therein.

Actually, the principle of sound money is also Property. Money must be legally defined as a gold coin of prescribed weight and fineness. Then paper money becomes a "money substitute" - and is a Property Title to coin. But will this parliament ever understand this? After all, these are the very people who passed the draconian Foreign Exchange Regulation Act (FERA). Rajan Pillai and Ashok Jain died because of FERA. Remember?

No siree. This pig-circus manipulated by Chacha's paper money won't do. We need a Capitalist State that is UNDER the Law of Property. This must be the new constitution. Property must be seen as a Higher Law - something far above parliament. Only then will we be possessed of sound money. Only then will inflation be ended forever. Only then will our poor be able to accumulate Capital.

Perhaps we should thank Chacha for this. He has not only devalued the currency; he has also devalued parliament. A pig-circus - that is what he has made it into.

Looking Mayawati In The Eye

The Finance Bill is up for vote today. I had called this "The Monster's Budget" and urged the citizenry to rally their representatives to defeat this Bill - and "bring Chacha down." I had later asserted that Chacha Manmohan S Gandhi was India's "gravest threat" - to our financial security.

News has it that Chacha may survive. It seems the Bahujan Samaj Party (BSP), with its 21 MPs, will side with Chacha, as will the Samajwadi Party (SP) of Mulayam Singh Yadav. The BSP is a pro-Dalit party led by Mayawati, who is now chief minister of Uttar Pradesh. Mulayam was UP chief minister earlier. These rivals from Chuttar Pradesh are going to keep Chacha in power, messing up the whole of India's prospects forever.

Yet, the Opposition has brought much of the country to a standstill with protests over inflation. Inflation hurts Dalits the most - because they mainly earn daily wages. It is shocking that a pro-Dalit outfit should support an inflationist like Chacha and his Finance Bill.

It becomes obvious that Mayawati, like Mulayam, is interested in the budget outlays for Uttar Pradesh - all based on inflationary finance. Her huge collection of "disproportionate assets" comes from this inflationary finance. She is thus an accomplice of inflationism too - and therefore an enemy of Dalits.

How is the daily-wager the worst affected by inflationism?

When increased quantities of money enter the system, the price of everything he survives on rises although his earnings remain the same. As a result, the daily-wager's consumption keeps falling in inflationary times. There are other classes of people who lose under inflation - pensioners, fixed-income earners, creditors, but none lose so much as the daily-wage earner, who is mainly Dalit.

Meanwhile, those who get to spend the newly-printed government paper money first - like Chacha, Mayawati and Mulayam - buy up everything at current prices. They do not lose; they gain. There are gainers too in inflation, which is why it continues. Agents of the Total Chacha State are permanent gainers in permanent inflation.

The news report on Mayawati says she is supporting the inflationist Chacha government because they have promised to keep the CBI off her back in the disproportionate assets case. This is corruption heaped upon corruption. Both Chacha and Mayawati are corrupt. Period.

Mayawati's BSP is voting against the true economic interests of all Dalits.

Down with inflationism!

Down with Chacha!

Down with Mayawati too!

Friday, April 23, 2010

Patriots! Smoke Afghani Hash

When the owner of a "coffee shop" in Amsterdam says that it his "patriotic duty to smoke Afghani Hash" (he adds, "from the Northern Alliance") I take it seriously, because I have been to many coffee shops in Amsterdam, and written about it too.

This quote appeared in an excellent article by Julien Mercille in Counterpunch (I got the link via the Lew Rockwell blog) and some of the descriptions of things on the ground, as far as the production of Afghani hash is concerned - for example, that Afghan farmers are three times more productive than those in Morocco - are truly worth reading with full attention. This, for a very important reason: The USSA-NATO-Pakistan-Chacha network are all painting the Taliban as "enemies of India." Even today, there is a report in the Express, quoting an expert witness at a US Congressional hearing, that Pakistan might use the Taliban to nuke India, if some war breaks out over Kashmir. Now, I have been to Srinagar - read the travels here - and it is a horrible place for the local people: the people over whom all this warring is going on. This must end. But we were talking about the Taliban.

The article by Mercille concludes:

This might give pause to the many pundits who argue that we must fight a war on drugs in order to cut the Taliban’s finances. Wouldn’t eliminating opium and cannabis crops also cut many other Afghans’ income, including government forces’, weakening them in their fight against insurgents? This question has been pondered by Dutch marijuana shop owners post 9-11, who have wondered if smoking Afghan hash amounts to supporting terrorism. One of the owners, Nol Van Schaik, gave an interesting answer: “If the Northern Alliance are the people on the ground who are going to defeat the Taliban, people who want to defeat the Taliban should buy as much of their hash as they can,” Van Schaik said: “It's a patriotic duty to buy their hash.”


Good bumper sticker, what?

Be A Patriot: Smoke Afghani Hash


When I began smoking hash back in the early 70s, in New Delhi, Afghani hash was freely available. Mercille says there are more than 500,000 hash smokers in Afghanistan; I'd bet there are more hash smokers in New Delhi today. And they are smoking crap.

But why only New Delhi? Goa as a tourist destination, also known for cannabis smoking, would gain by opening up its airport to Afghani hash imports. There is a lot of local competition in beach tourism - Sri Lanka, Thailand, Bali, etc. By allowing a free market for "herbs" like hashish resin, Goa would gain a competitive advantage. Hash is non-addictive. It is good for the appetite. It enhances sexual pleasure. It makes music very intense. Babur used Afghani hashish. (He tried alcohol too - but gave it up).

If Goa does this, won't Goans always be safe from Taliban terrorism? - and never get nuked?

My point is this: It was Chacha's foreign minister - a former UN bureaucrat - who was found to be corrupt. Do we need centralised foreign policy? If trade is free, and if we trade with all people, we will be secure. So I don't agree with buying only Northern Alliance hash - I would say let all suppliers of Afghan hash sell their stuff in India.

The word "catallactics," which means the "science of exchange" is based on a Greek word kattalatien (I may have spelt it wrong.) According to Friedrich Hayek, who confessed to "having fallen in love with this word", there were two other meanings the ancient Greeks attached to the word exchange: and that is, "to welcome into the community"; and "to turn from enemy into friend."

If we want peace with all Afghanis - and indeed, all peoples - we must first freely trade with them. The idea of an urban catallaxy where strangers gainfully exchange amongst themselves is radically different from the primitive idea of "community" that communists swear by, or even the monolithic "society" so beloved of socialists.

The Indian sub-continent must aim towards becoming an association of many free, competing, urban catallaxies - where strangers interact in peace. Why shouldn't these strangers include the Taliban? They would have no war with us if we bought their hash. It would solve the security problem. Solve a law enforcement problem. Solve a diplomatic problem. Promote tourism. And get you high as well. What could be better.

So if you believe in the idea of the urban catallaxy, put this message on your car or t-shirt:

Patriots! Smoke Afghani Hash.

Thursday, April 22, 2010

The Crisis... And The News

For the past two days I have been bored stiff by both newspaper and television headlining the political scandal in commercial cricket. Surely, there are more pressing issues in the news, from Maoism to the Finance Bill.

On Maoism, Barun Mitra's WSJ column to which I referred to yesterday has been published by Mint today, here. The title: "Pull the land issue from under the Maoists." Precisely! But that means we need a State that upholds and protects Private Property - which is a Capitalist State. Further, that means the Adivasis should be seen as "good guys" fighting for their Property, and the current establishment, including their State Police, as the "bad buys," hell-bent on usurping Property. That is, as I had earlier said:

This is a Crisis of Legitimacy.


However, the newspapers and television are all worked up about a total non-issue: the scandal at IPL. There are many "socialist pigs" calling for the nationalization of IPL. What is even worse is that the Income Tax Department has been conducting "raids" on IPL offices, in a manner reminiscent of those totalitarian times when socialist pigs ruled the roost.

Perhaps the ruse in the media spin is to portray the private sector as corrupt. This should not be allowed to succeed. Politicians get "free equity" because they, and not the private player, are corrupt.

Further, the Income Tax Department is worse than the State Police, who at least perform some useful functions. The IT Deptt. is but a band of tax parasites. In a kleptocracy, there is little point paying taxes. All these taxes the IT Deptt. steals from us are our Capital that goes into the Total Chacha State's "consumption": precious Capital is destroyed. And there is more.

As Ludwig von Mises always pointed out, "progressive taxation" of the kind the IT Deptt. imposes go against the interests of poor workers. If Capital is not taxed, then it gets invested, and workers' wages rise. Chacha is screwing the poor with this parasitical IT Deptt. They should be seen as less legitimate than even the State Police.

There are three aspects to the science of Economics:

Economic theory
Economic policy
Public finance


And Chacha Manmohan S Gandhi gets a "zero" on all three.

And he faces a crisis of legitimacy.

That should be the news.

Tuesday, April 20, 2010

For A "My Piece Of Earth Day"

My last post said it all: This is a constitutional crisis. This is a crisis for socialist public administration. This is a crisis for socialist jurisprudence.

The future of India belongs to Private Property.

There is no other solution to Maoist/Naxalite insurgency.

No longer must The State own everything while The People own nothing.

From now on The People must own everything while The State merely administers their affairs - a Private Property Natural Order. Also called Capitalism. This is also the "political" solution to Maoism, an ideology based on "collective property."

Today, I am glad to report that I have Barun Mitra on my side, writing in the Wall Street Journal that securing private property rights in the jungles is the only way to beat the Maoists. He talks about the Forest Rights Act, 2007; how this Act is not being implemented; and how it has seen "vociferous opposition from various environmentalists."

These environmentalists must also be seen as an enemy. Their God is the forest guard. They hate the idea of tribal people as proprietors of their forests.

Their great day is approaching: Earth Day.

I suggest an alternative day for all tribals:

My Piece Of The Earth Day.


That's right! Private property in forests and wildlife - and minerals.

The Natural Order Blog has an excellent post on the foolish ideas of modern environmentalists, who are invariably statists. They do not want The People to look after their immediate environment. Rather, they want The State to perform this function. Actually, as recent history shows, the more powerful the State - as in the USSR, China and India - the worse the environment.

So do read the post.

And watch out for these stupid environmentalists and their silly sentimentality over "nature."

The Private Property Order is also "nature" - based on the Nature of Man.

Capitalism (and cities) are Man's "natural environment."

So say "No" to Earth Day.

And let's have a "My Piece Of The Earth Day."

Cheers!

Sunday, April 18, 2010

A Constitutional Crisis

A retired IAS officer, BS Raghavan, formerly chief secretary to the government of West Bengal, has written a column on a "much simpler solution to Maoism," wherein he looks the problem in the eye. He writes:

I am obliged to Deboo Bandyopadhyay, than whom it is difficult to find a person who has made such a deep study of Naxalism, for the information that, according to a knowledgeable scholar, Dr Walter Fernandes, between 1947 and 2004 nearly six crore (60 million) persons were forcibly displaced due to acquisition of land for development purposes, and of them 40 per cent constituted Scheduled Tribes. Out of a total population of generic tribals of eight crore, 2.4 crore (24 million) were involuntarily thrown out of their land, home and occupation. This figure constitutes 30 per cent of the total tribal population.

Official figures admit that only 28 per cent of the displaced tribal population has been rehabilited. Assuming that even this low figure is not an exaggeration, what happened to the remaining 72 per cent of the displaced tribals numbering 1.44 crore (14.4 million)?


We must all thank Deboo for giving his highness this information, which surely should have been at the fingertips of a socialist planning bureaucracy equipped with so much statistics.

But does this retired IAS officer see Private Property as a Principle that needs to be upheld by the civilian administration? No. He has a "simpler solution":

There is a much simpler answer to Maoism than even development, and that is good and honest governance and rule of law. There should be visible evidence that the government is determined to deal summary justice to the corrupt and the venal, rid legislatures and cabinets of persons involved in crimes, and inculcate sensitivity, empathy, responsiveness, commitment to values, dedication to the public weal and, most of all, humility in public servants from top to bottom.


Note that these are just pretty words, devoid of any understanding of the First Principle of Government.

In his posthumously published pamphlet, Interventionism: An Economic Analyisis (Pdf here, go to page 8 of the text for the following quote) Ludwig von Mises writes of what The State is expected to do in a Capitalist Society, which should be the direction in which most of us want to proceed, finding nothing attractive in either socialism or Maoism - or even Hindootva. It must be Capitalism Or Bust, which means a Private Property Order. Mises writes these important words about what The State is expected to do in such an order, something which should be of great interest to those who administer our public affairs. Mises writes:

In a market economy the State concerns itself with the protection of the life, health, and private property of its citizens against force or fraud. The state insures the smooth working of the market economy by the weight of its coercive power. It refrains, however, from any interference with the freedom of action of the people engaged in production and distribution so long as such actions do not involve the use of force or fraud against the life, health, safety, or property of others. This very fact characterizes such a community as a market economy or a capitalist economy.

If liberal, i.e., classical liberals, oppose governmental interference in the economic sphere they do so because they feel certain that the market economy is the only efficient and workable system of social cooperation. They are convinced that no other system would be in a position to bring more welfare and happiness to the people.

The English and French liberals and the fathers of the U.S. Constitution insisted upon the protection of private property, not to further the selfish interests of one class, but rather for the protection of the whole people and because they saw the welfare of the nation and of each individual most secure in the system of a market economy.

It is, therefore, naive to say that the true liberal advocates of private property are enemies of the state because they want to see the realm of governmental activity limited. They are not enemies of the state but opponents of both socialism and interventionism because they believe in the superior efficacy of the market economy. They want a strong and well-administered state because they assign to it an important task: the protection of the system of a market economy.

Even more naive were the Prussian metaphysicians when they maintained that the program of the adherents of a market economy was negative. To these supporters of Prussian totalitarianism everything seemed negative that stood in the way of their desire to create more governmental jobs. The program of the advocates of a market economy is negative only in the sense in which every program is negative: It excludes all other programs. Because the true liberals are positively for private ownership of the means of production and for a market economy they are necessarily against socialism and interventionism.


IAS men are like the "Prussian metaphysicians." They don't know First Principles. I had earlier written about the IAS Academy director Wajahat Habibullah, currenctly "misinformation czar," and his "misteaching" of young recruits. This should be seen as a crisis in socialist public administration.

What this means is that, if we want Capitalism, and we want the "Rule of Law" and "good governance" and all those pretty words this retired highness dreamt up, we need to stress Private Property as the First Principle.

This should be seen as a Constitutional Crisis - because the socialist constitution does NOT recognize Private Property at all.

A crisis of legitimacy.

Saturday, April 17, 2010

Chacha Is "The Gravest Threat"

For the past few days I have been writing about the Maoists, suggesting the simple solution of Private Property - which is Justice. Only when there is no Justice does "power flow through the barrel of a gun" - as Chairman Mao famously said.

Today, I would like to reiterate a point I made weeks back, when the Union Budget was presented in Parliament. I then called it "The Monster's Budget" and advised the citizenry to ask their representatives to vote against the Finance Bill, so as to "Bring Chacha Down."

Yes, in my opinion, it is not the Maoists, but Chacha Manmohan S Gandhi, who is "India's gravest security threat." It was laughable seeing Chacha and Obama at the "Nuclear Security Summit" the other day, when both are busy making the lives of the people they govern financially insecure.

Indeed, as an economist, I do believe that financial security comes uppermost. If you have the Capital, you can make yourself quite secure. You can buy guns, engage security guards from The Market, buy insurance - and what not. But if you are financially insecure, you are at the mercy of the elements. No "nuclear security" can help you.

My point is this: Chacha Manmohan S Gandhi is NOT an "economist." Real economists believe in "economization." Chacha does not. Rather, he believes in "capital consumption" - as does his friend Obama. Chacha is consuming Capital with all his foolish ideas, from NREGA to "food security" to the "right to free and compulsory (mis)education."

All "welfare" involves capital consumption, because all welfare is about consumption, and not production. Chacha and Obama sail in the same boat - the Pirate Ship of State.

While the Americans have enough to survive on, so they can withstand Obama, we in India have precious little, and cannot survive the onslaught of capital consumption that Chacha Manmohan S Gandhi has unleashed. This "maleconomist" must be brought down from the "commanding heights."

Our economy can only grow if Capital is saved and invested. Further, if foreign Capital is also free to enter. The more Capital we have per unit of Labour, the higher will be the wages of our poor workers. If, on the other hand, precious Capital is consumed on welfare, and foreign Capital is denied entry, our people will always remain poor.

In my post, "The Monster's Budget," I had commented on Chacha's huge borrowing programme. I had shown how those who purchase government bonds are but clients of The State, who receive "interest" from the tax kitty - which adds to capital consumption.

We suffer from double-digit inflation now - and this is also capital consumption.

No siree. We need a balanced budget. No borrowing. Sound money. Private Property. Justice.

We don't need this Uncle Sham "welfare."

Chacha Manmohan S Gandhi must GO!

Chacha is the "gravest threat" to our financial security.

Thursday, April 15, 2010

On Adivasis... And Their Properties

There is news today that the Total Chacha State is testing Unmanned Aerial Vehicles (UAVs or "drones") which they plan to use against the poor tribals of Central India. Too funked to fight, eh?

But the fight will go on forever. It will never end.

Here is another report, this time quoting the Army chief, in which this dude says that the Armed Forces Special Powers Act should NOT be diluted in the North-East and Jammu & Kashmir. In Manipur, the AFSPA has been in force since before I was born - and peace is nowhere in sight. Ditto for J&K.

So let us not laud all this "tough talk" about using military might (like UAVs) against the disaffected tribals. They are citizens of India and the only solution must be political. As Jug Suraiya recently put it, "Pehele Aap, Mantriji."

Once again, I repeat the classical liberal line that Private Property is the only solution. Let us consider this extract from the column I referred to in my post of yesterday. The author says:

One positive measure taken in 2006 was the Forest Rights Act. But its implementation leaves a lot to be desired. As of end February 2010, out of the 27 lakh claims filed, 7.6 lakh have been accepted, 9.3 lakh have been rejected and the rest have still to be decided. There are also problems about recognising community rights and the linkages with Joint Forest Management.


The author goes on to make a damning statement:

The rights of the tribals to capture the value of the natural resources in their homelands have never been fully accepted by the rest of us. We displace them in the name of development, compensate them for the loss of their meagre livelihood but fail to accept that they should have a share in the rents that accrue today to mining mafias, forest contractors and corrupt officials.


The word "adivasi" means "original inhabitant." The very word implies that these people have been inhabiting these forests for thousands of generations; indeed, since before the Aryan invasions. It is unthinkable that they should not be possessed of Property in their homelands.

Dunno too much about Mao except that "power flows through the barrel of a gun" - but I know enough about John Locke, who said, in 1691, that "where there is no Property there is no Justice."

It is because there is no Property that power is flowing from the barrel of a gun. The answer is not the UAV; the answer is Settlement Officers who will physically visit the areas and award property titles - just as Munro did in Baramahal. There is no other way. State violence I condemn.

How does a Settlement Officer know who owns what?

One story I read somewhere is that of a Brit who approached a house to check out who owned it, and found a dog barking. He found out who was the dog's master and concluded that the same person must be the owner of the house.

It is as simple as that - if you know something about the science of government.

And if you don't - then there is the UAV, the AFSPA and all that endless blood and gore.

That is the choice before the nation.

History Lessons For Our Adivasis

There is a thoughtful column I found today on the Adivasis, the original inhabitants of the jungles of Central India, who have now turned to Maoism. The author concludes: "What the tribals need is not hand-outs. They need honour and dignity. Give them this and the pool of discontent in which the Maoists swim will dry up."

Honour and dignity are big words. What I had said in an earlier post is that "Private Property Is The Only Solution."

Let us not forget that the white people we love to admire so much today for their modernity, technical know-how, music, art, culture and political institutions were but tribesmen not so long ago. Why did the Anglo-Saxon tribes advance so far ahead of the rest of humanity? Once upon a time, racial superiority was considered to be the only reason, but this explanation is found wanting today when several non-white nations have also advanced - the Japanese, for example. What could be the real reason for the white man's superiority?

The Peruvian economist Hernando de Soto has offered one answer: It was their laws that deserve the credit. These laws were based on the morality of Private Property and, further, these white people developed the system of "property titles" that were "representative" of real Property. Because of these property titles, land could be bought and sold, or mortgaged, and this is how De Soto says the white man solved the "mystery of capital."

There is more, of course, for their laws also protected foreign creditors in their loans. This is how Capitalism kicked in - long before the so-called "industrial revolution." Indeed, the East India Company came to India in the early 1600s - when the industrial revolution was still far away. But Capitalism had arrived in London long ago.

The conclusion: The rapid rise of the Anglo-Saxon tribes has everything to do with their laws, which respected Private Property, and nothing whatsoever to do with race. Thus, our own tribes can progress in precisely the same way, if they adopt the best rules of the game; rules that the Anglo-Saxons accidentally stumbled upon.

Do read the chapter in my Natural Order: Essays Exploring Civil Government & The Rule of Law (free E-book here) where I discuss the "origins of the common law." It is clearly established therein that Private Property is the key. It is therefore highly regrettable that the Adivasis are turning towards Maoism and "collective property" - ideas that will get them nowhere, and ideas that the Total Chacha State cannot fight.

Note that the Founding Fathers of the Republic did not see this. They took the "latest ideas" of the West - socialism, democracy and Keynesianism. They did not look at their ancient heritage. They adopted the worst ideas of the West.

It is also worth noting that it is these modern ideas that are bringing down Western civilization - just as Ludwig von Mises had predicted they would. Since the 1900s, Britain, USA, France, Germany - all these nations have gone the way of socialism and interventionism: what Mises calls the "hampered market economy." These are the very ideas that have brought them down.

There are many great lessons in the history of the West - lessons that backward societies ought to imbibe. If they do so, why the Adivasis, the whole of India could live with "dignity and honour," instead of being considered, by the West, as the world's most poverty-stricken and charity-needing nation.

Tuesday, April 13, 2010

Beyond The Democratic Pigsty

Yesterday, I said, in agreement with the Maoists, that the Indian parliament is a "pigsty." I rested my case on the government and the opposition being united in pursuing an inflationary policy.

But then again, classical liberals and libertarians are NOT allowed to contest to enter this parliament. The Indian people are free to choose their representatives, yes, but only among officially approved "political parties" - all of whom must swear by the "socialism" in the Constitution. For this reason alone, all classical liberals and libertarians should refer to this parliament as a pigsty - full of "socialist pigs." We must convey to the Maoists that we fully concur with them on their opinion of parliament.

Yet, it is also a fact that parliaments have lost much of their sheen the world-over. The House of Commons was recently rocked by scandal. And as for the USSA, there is this excellent book by PJ O'Rourke (of Rolling Stone magazine and Cato Institute) called Parliament of Whores which I earnestly recommend that you buy and read. Long before Hans-Hermann Hoppe penned his Democracy: The God That Failed, it was PJ O'Rourke who had ripped apart all claims to legitimacy that democracy in the USSA possessed. Yet, I do believe O'Rourke libels all whores, who sell sex based on voluntarism. Parliaments use force. The book would have been better titled Parliament of Rapists.

All over the world, parliaments are busy raping taxpayers and bribing vote banks. All over the world, governments that emerge from these parliaments pursue inflationism. Then there is interventionism. There is protectionism. The voter gets screwed - by force. Raped!

Can we do without these pigsties? I should think so - in direct contradiction to Francis Fukayama, who thought liberal democracy is the "end of history." As I wrote in my recent column on a "private law society," we do not need legislation at all. This is one function of the pigsty we can easily dispense with.

What remains? There is only the task of "administering justice" - which means magistrates and judges. There is the task of administering cities and towns - which means mayors. There is not much else. None of these tasks require a pigsty.

Perhaps medieval England was better. There, parliament was only called upon to vote upon taxation. There was zero legislation. And the monarch was supreme as far as the "administration of justice" was concerned. Note that the monarch did not make new law. The House of Commons is "sovereign" today - but it makes new laws everyday, something no English sovereign ever did. I think the legal philosopher at fault is Blackstone - and it is interesting to note that his book was always under Abraham Lincoln's pillow. And Lincoln set up the great US Central State - Uncle Sam.

As far as our own Uncle Sham is concerned, I do believe everyone knows in their heart of hearts that it is the pigs of the pigsty who are the worst violators of all the laws of human morality and decency. Ask any beat constable or district magistrate who are the worst people in his area, and he will answer: the politicians. We must do without them - and without their pigsties.

Liberal democracy cannot be the "end of history." O'Rourke, Hoppe, the Maoists and I are united in thinking that it is a farce. There must be a better way - and I am looking for it. As the old Dylan classic goes:

There must be some way outta here,
Said the Joker to the Thief,
There's too much confusion,
I can get no relief.
Businessmen they drink my wine,
Ploughmen dig my earth,
None of them along the line,
Know what any of it is worth.

Monday, April 12, 2010

Parliament Is A Pigsty

The Maoists say that "the Indian parliament is a pigsty" - and I am forced to agree.

Read this about the Opposition (mainly Communist) talking about a "cut motion" on the Finance Bill to reverse price hikes - in "administered prices" - of petrol, diesel and fertilizers.

In reality, inflation is biting hard: we have double-digit inflation, and we do not have double-digit growth. Says a lot, if you know your Economics. But have Communists ever known anything about this subject? After all, they hate The Market. And they idolize The Total Chacha State.

Yes, inflation is everywhere. The prices of everything we buy here in Goa have gone up in the past few months - vegetables, provisions, milk, beer, cigarettes. You name it, and you will find that its price has sky-rocketed.

Why is this happening?

Answer: Because the Total Chacha State is printing money in excess. If more potatoes come to The Market, the price of potatoes goes down. Similarly, if more rupees come to The Market, the value of that money - its purchasing power in exchange - goes down.

As Ludwig von Mises wrote:

"The most important thing to remember is that inflation is not an act of God, that inflation is not a catastrophe of the elements or a disease that comes like the plague. Inflation is a policy."


It is the Total Chacha State that is following an inflationary policy. This is devastating for the poor.

Thus, it seems that the Government and the Opposition are in league over the inflationary policy - and Parliament indeed is a pigsty.

We need radical reform of government expenditure and borrowings if we want to tackle inflation. We also need "sound money."

A "cut motion" on the Finance Bill is mere tokenism by the Opposition. Citizens must see Chacha Manmohan as an inflationist. The must call for a defeat of the Finance Bill, for a pulling down of Chacha. No more inflationism.

On inflation, I have an excellent read to recommend today. It is by Doug French of the Mises Institute and he compares Ben Bernanke of the US Fed with Governor Gono of the Central Bank of Zimbabwe. Read it - and you will know how Chacha Manmohan S Gandhi and his cronies in government are just clones of Bernanke and Gono.

And Parliament, of course, is a pigsty.

Sunday, April 11, 2010

Rukawat Hatao!

The news has it that our Total Chacha State has banned foreign direct investment (FDI) in cigarette manufacturing.

Banned?

Libertarians HATE the word “ban.”

All that should be "banned" are murder, rape, theft, cheating and not much else – and we ALL agree that these acts should be prohibited.

But cigarette manufacturing?

Are we supposed to smoke swadeshi cigarettes forever?

Didn’t our drinking improve with FDI in alcohol? Anyone recall the bad old days of Old Monk(ey)? Or Campa Cola?

In Orwell’s 1984, the cigarettes are terrible. Just as Indian cigarettes are terrible today. Shouldn’t foreigners be allowed to compete? Shouldn’t the consumer get a better deal? Shouldn’t millions who smoke bidis move up to cigarettes?

Should the tribals of central India be stuck with tendu leaves as their only source of income? Or should they be smoking 555 State Express in their mahua plantations? And surely State Express would be the preferred brand of these tribals, who are currently "Smoking The State" - as this report in the Express indicates.

And what about tobacco farmers? Should ITC be their only customer?

All this apart, banning FDI in a capital-poor country is rock-bottom stupidity. As with FDI in retailing, so with cigarettes, we only entrench domestic poverty by keeping foreign capital out. Employing more Capital per unit of Labour is the only way to raise wages permanently.

This clearly shows that any “FDI policy” is harmful. It makes everything arbitrary – and necessarily corrupt. Foreigners should be able to freely invest in India, and Indians should be able to freely trade with them. What this means is a “private law society.” Ministers should be forced to get out of the way of FDI.

Rukawat Hatao! Remove the Obstacle!

Free Trade.
Free movement of Capital.
Free movement of Labour.


The classicals called it:

Laissez faire et laissez passer!

Thursday, April 8, 2010

Fear Is The Key

The cops are scared to enter the forests - that is the news today.

Is this good news? Or is this bad news?

Think about it.

But it shows that the danda (stick) is not working. Politics must come into play. And the only politics that can work, as I said yesterday, is the politics of Private Property - classical liberalism.

Thus, all this nonsense about "welfare" has to end. That is but classical socialism. And it can never work. You cannot buy the tribals of central India with free miseducation, cheap rice and wheat, and doles for digging ditches. The rot runs too deep.

Mint makes this point in another timely editorial today, which says that all this "social sector spending" cannot buy peace in central India.

Chew on that.

Wednesday, April 7, 2010

Private Property Is The Only Solution

While there are many editorials and op-eds on the correct State Police response to the Maoists, who just butchered 76 cops, as I reported yesterday, the only item in the news that caught my eye is an interview with a tribal activist in Chattisgarh conducted by rediff.com. This is an interview truly worth reading, for it points to the fact that this Total Chacha State is nothing but a Predatory State; and its cops, in their "uniforms of brutality," deserve no sympathy. Nowhere in the interview does this activist condemn the killing of 76 cops. Rather, he points to killings and rapes of tribals by cops that always go unreported, that receive no Justice from this predatory establishment. One sentence in this interview is truly worth quoting, for it also shows that the Maoist ideology is wrong. It points to the solution, which is classical liberalism: Private Property.

The man says:

We should ensure that each and every tribal is made to understand that his or her land is not going to be taken away.


According to classical liberals The State exists to uphold and protect the rights of people to their Property. It is this ideology that this activist is suggesting as the solution, not Maoism. In fact, he says that he has nothing to do with the Maoists; he is merely a friend of the State-ravaged tribals.

I also commend a "quick edit" in Mint today, titled "Reaching out to tribals." This is what the "political response" must be, based on Private Property.

If you read the interview and the edit, you get the feeling that the Total Chacha State is a SHARK - a "land shark."

And, as I said yesterday, sometimes sharks too get killed. Our sympathies must lie with the tribals. Not the predatory cops.

Tuesday, April 6, 2010

Man Eats Shark

The other day, I ate a shark steak at a nearby beach restaurant, and commented: "Man Eats Shark." Somehow, it felt good that a dangerous predator had become the prey. And the shark tasted good.

This is the precise thought that came to mind today reading of the killing of 70 cops by Maoists. These cops were engaged in "Operation Green Hunt." The hunter got hunted.

The editorials I read today are all being "politically correct" - on the side of the regime - but methinks it is time this regime got real. On the ground, the cops possess zero goodwill, and are universally hated throughout the vast territory. I have only recently recounted the story of police predation in New Delhi. I think it is time the mainstream press factored in this widespread perception of the State Police when considering the proper response to Maoism.

My advice to the Morons-on-Top is: Get Real. You morons are busy talking about "food security" while your "security personnel" are insecure! Mint has a great editorial on food security today - and they are saying the idea sucks. It does.

It is time the Morons-on-Top start thinking of physical security - their own. I doubt whether Chidambaram, the Central State Police Minister, feels very "secure" when he visits the Maoist badlands. Yes, it is definitely high time that the regime got real.

As far as the Morons-on-the Bottom are concerned - the "security personnel" of the Total Chacha State - my advice to them is to seek alternative employment in The Market. They will be more secure then. They will no longer be "the hunted." They are but the dogs of war of the Total Chacha State and they should not get themselves killed for the errors of our socialist politicians. Maoism must be tackled politically. The socialists cannot do that. Indeed, even the IAS Academy teaches Maoism to its recruits. So quit. You would be better off selling peanuts or operating a chai-shop - and when you do so, fight the cops who extort haftha.

Let us now turn our attention to the Morons-in-the-Middle - the hired hands of the Total Chacha State who are "embedded" in the media: These morons must open their eyes. Their great idol - The State - is an abject failure at everything. It must be forced to "change its evil ways" - as the Santana classic goes. By mindlessly parroting whatever the regime wants you to say, you are doing yourself and the reading public a great disservice. You are disgracing yourselves, and you are acting against the true interests of the nation. So get real on the sham of "food security."

Food is quite secure here in Goa.

I just ate a shark!

Monday, April 5, 2010

Danger: A New Statism

Whereas the Economic Times has an editorial advising us to cooperate with the Census, ostensibly because it will "change the way the government delivers its services," its rival, Mint, warns that with all this increased "welfare" that the Total Chacha State is embarking on, India could be heading for "a new kind of statism."

This editorial in Mint is really worth reading. It informs the citizen of the basic philosophical differences between classical liberals like Isaiah Berlin (and libertarians like me) and the welfare school led by Amartya Sen and Jean Dreze - both of whom are very close to Chacha Manmohan S Gandhi. The concerned citizen will emerge much better informed after reading this editorial, and he will clearly see the danger of this new "welfare statism" that these old Nehruvian socialists are inflicting upon India today.

The ET editorial, on the other hand, is just repeating what The System wants you to hear. This newspaper is just a shill of the regime. It does not inform the reader of the wrongs of government policy. The Census, as I said earlier, is a Horror. None should cooperate with it. Give them only the headcount and no more information.

ET lives in cloudcuckooland if it thinks that a thorough Census with universal fingerprinting and other biometric information, with foolproof ID cards etc., will "change the way the government delivers its services." Rather, we will be ruled by a Predatory Police State that PRETENDS to be a Welfare State.

Here is another report in Mint that says that in two big States of the Union, the number of "below poverty line" households (i.e., those in need of "welfare") exceed the total number of citizens. I quote:

In the case of Tamil Nadu and Andhra Pradesh, the proportion of BPL card holders to total number of households in the state was 142.83% and 120.20%, respectively.


This welfarism is unsustainable.

What is more important, the philosophy behind it is dangerously wrong. It will increase tyranny - increase the number of "tax parasites" - while omitting Liberty from all political discussions. Ultimately, it is only when the Total Chacha State gets out of our way that the people can feed themselves.

Say NO to welfare.

And raise a shout for LIBERTY.

And read Mint regularly.

Sunday, April 4, 2010

Freedom For Goa And The Konkan Coast

As with Karwar and Mangalore ports, so too with Goa, the export of LOW GRADE iron ore is all the action that is happening, thanks to the anti-trade policies of New Delhi. We export red mud, and we import nothing. Quite a change from the ages gone by, when these ports on our western coast were bustling centres of foreign trade.

There is news today that New Delhi has sanctioned 100 more mines in Goa – and the port authorities say that the waterways may not be able to handle that much more traffic. Yes, the rivers are chock-a-block full of iron ore barges, where there should be pretty sailing boats, ferries and steamers, and other country craft for the tourists. Goa’s backwaters are now out-of-bounds for tourists; they have been taken over by iron ore barges. Ugly!

The situation is not much better in Karwar and Mangalore, both deep water ports, where the iron ore is delivered by trucks – and these trucks have damaged the roads extensively.

Now, these new mines in Goa have been sanctioned by the Delhi-based central ministry of forests and environment.

The foreign trade policy has been enforced by the Delhi-based ministry of commerce – and the guns of the customs department are paid for by Delhi.

What do Goa, Karwar or Mangalore get – in terms of economic benefits – from these “policy” diktats of New Delhi?

I would answer: Nothing. Rather, they lose. Lose heavily.

Consider the National Highway 17, the lifeline of the Konkan, that connects Bombay to Cochin and passes through Goa, Karwar and Mangalore. It is probably the worst highway in the world. Throughout Goa, at least, it is just an urban thoroughfare. And New Delhi has no plans of providing the area with the kind of highway a coastline dotted with deep water ports needs. The famous “Golden Quadrilateral” bypasses the Konkan Coast entirely.

Not only foreign trade, even the domestic trade policies of New Delhi are working against the interests of Goans – for example, feni is not allowed for sale anywhere in India.

Why do Goans pay taxes to New Delhi?

Why do Goans accept policy diktats from New Delhi?

Why does the Konkan Coast, which should be prime real estate, accept the tyrannical and nonsensical Coastal Zone Regulation Act that prohibits all building on the coast – for “environmental reasons.” Note that the mines are being sanctioned by the same “environment ministry.” There is a huge iron ore mine within the Kudremukh National Park!

Because of this nasty piece of legislation, traditional fisherfolk have no property rights to their beachside properties – which are worth zillions today. This, for the sake of the mythical "environment." Oh! How I HATE environmentalists.

All this calls for a re-think of the relationship between New Delhi and the various States of the Union. The new relationship must be based on “subsidiarity” – and you can find many posts under this label beginning with this one.

Let New Delhi look after defence and foreign affairs only. And let each region think for itself on all other issues, without any central interference whatsoever.

Mining LOW GRADE iron ore in Goa is stupid. The entire state should be prime real estate, a playground for holidaymakers. I read a recent report that some pretty hill somewhere in the hinterland was being flattened out for export. Methinks a snazzy hotel or casino would look fine atop this hill. Let’s build real estate on the Western Ghats. Let’s not export the hills. If you visit the Kudremukh National Park you will see that entire hillsides, dozens of them, have been exported. What nonsense!

How can a revolution happen? First comes awareness, which is what this blog aims at. Then comes a political campaign – a new freedom struggle. In the latest Budget, New Delhi gave Goa 200 crore rupees to celebrate its “liberation” from the Portuguese. Goans should now see that all this liberation entailed is slavery to New Delhi. This slavery must end.

For inspiration, read the chapter on the Magna Carta in my e-book Natural Order: Essays Exploring Civil Government & the Rule of Law available here (and on the right hand bar).

Then, the people of England obtained their Liberties from their monarch’s oppressive rule. One of the clauses said that the City of London and all other borough were to have the “freedom to trade by land and sea.”

Let this be the new battle cry of the Konkani:

Freedom To Trade By Land And Sea.

Sunday Reads - Good And Bad

The worst read today is "Swaminomics" - where this veteran journalist praises "backward Bihar" for fingerprinting and taking other biometric information of the people, for making "smart cards."

Actually, the Census underway is also taking fingerprints and a host of other information, including caste.

What Swami does not see is that these are steps towards making India a Police State. (We are already quite a Police State.)

My advice to all the citizenry is - DO NOT COOPERATE WITH THE CENSUS.

Just give them the total number of people in the house - and nothing more.

Do Not Give The Total Chacha State Any More Information - for this will be used against you.

So what is the best read of this Sunday?

I suggest an article titled "Should the Quantity of Money be Increased?" by Ludwig von Mises and Bettina Bien Greaves. This article is excerpted from lecture notes Ms Greaves took during a Mises seminar. A collection of these seminar notes is also available - and I intend to get a copy. It is an excellent thing to have Mises "talking" to you.

[Incidentally, you can hear Mises live thanks to the Mises Institute. Here is Mises' lecture to the Mont Pelerin Society in 1958, titled "Liberty and Property." Well worth hearing.]

This contribution from Bettina Bien Greaves to the debate over money and inflation should be widely read. It is interesting that the editor of Mint, Niranjan Rajadhakshya, in his latest column, talks of the "politics of currencies." This "politics," of course, is the gravest problem of our times. With a gold standard, politics would be taken out of money. Inflation would end. All money would then be "private money."

Think about that. Read and hear Mises.

And don't cooperate with the Census.

Saturday, April 3, 2010

The Libertarian Flag




I have bought a 5ft x 3ft flag of the libertarian rattle-snake from Amazon - and I hope you do so too. It is the true reflection of the "attitude" of he who values his Liberty. Such a person will never allow a State functionary to tread on him.

There is another version of this flag with Patrick Henry's motto "Liberty or Death" inscribed on it. I have ordered that too.

So spread the news about the Libertarian Flag - and get one yourself.

Here is a post from the Natural Order Blog on our very own Amartya Sen in which this flag is featured. Sen's ideas about "social justice" only lead to tyranny and injustice - that is, more State personnel treading on us.

Justice and social justice are very different things.

Read Hayek against "social justice"; don't read Amartya Sen.

Thursday, April 1, 2010

Say "NO" To Chacha's Education

As Chacha Manmohan S Gandhi and his Total Chacha State legislate themselves the power to educate every Indian child by force (this education is "compulsory") and as leading opinions do not see this as the greatest horror of all horrors, allow me to offer my reader the words of Frédéric Bastiat, from his own manifesto, on his stand on the role of the State in education:

“If you want to have theories, systems, methods, principles, textbooks and teachers forced on you by the government, that is up to you; but do not expect me to sign, in your name, such a shameful abdication of your rights.”


He added:

“The monopoly of teaching cannot reasonably be entrusted to any but an authority recognized as infallible. Otherwise, there is an unlimited risk that error be uniformly taught to the people as a whole.”


If you are smart, keep away from their schools and colleges. That is the only way you have to save your intellect - and your soul too.