Incentive

Why does the modern American marketplace exist? Why is it private individuals, via collective groups, that build and distribute goods?

MARKET EVOLUTION

The American marketplace took shape as a free, highly unregulated, entity from inception to the Great Depression in the 1930’s. The resulting decade long disparity from the stock market crash and loose credit lending opened up avenues for governmental intrusion into private society. Franklin Delano Roosevelt wasted no time. The implementation of the Social Security Act (SSA) by the thirty-second U.S. president in 1935 set the stage for the federal government to apply one of the biggest taxes in U.S. history. Maybe you believe the SSA is not a tax. To date, how much money is in the so-called Social Security Trust Fund? That would be zero. I rest my case.

As the twentieth century rolled along, decade by decade, tax by tax, public programs of all flavors compounded, ultimately punishing those that it deemed to protect. It would turn out many of these programs were nothing more than fronts to garnishing more money from the private sector.

The largest neglect of governmental intrusion was the recent upholding of The Patient Protection and Affordable Care Act by the Supreme Court on June 29, 2012. We’ll touch on this subject in another article. Just remember that June 29th, 2012 was the first day the United States government was given the right, by the Supreme Court, to tax you for inactivity. Extremely dangerous!

AMERICA’S STANCE

Fast forward to today. American citizens find themselves transacting with a currency of 100% false value, a country with its debt-to-Gross Domestic Product over a 100%, a growing apathetic citizenry, a crumbling public education system that is focused too highly on social problems,  a federal government with over two-million employees, the second highest corporate tax in the world, a federal government picking institutional winners and losers with the imaginary front of “too big to fail,” and cumulative entitlement programs that are eight times greater than the size of the United States GDP. On top of all of this debt is the interest which, in the next ten years, could consume more than half of the federal budget.

If one can imagine America as an enormous super carrier in an ocean of toxic debt, she is listing badly; taking on debt water exponentially faster than all the inhabitants can bail it out. There are absolutely no rosy colored glasses to be found anywhere except in one place: you.

All future hope for America resides with you, the individual. Everyone else is just distraction fodder.

YOU

You, yes that person you see in the mirror everyday, are the reason why private American citizens go to bat, take enormous risks, and put sanity and treasure on the line in hope of profit. Often times, they form groups of people to expand upon an idea and distribute it to the nation, if not, world. It’s an immense amount of work all to fulfill the need of an individual. One’s future dreams of profits is the fuel that gives propulsion to risk and reward.

All of the hopes, efforts, and trials and tribulations of hundreds of millions reside on one three syllable word that has changed the face of our society forever in existence:

INCENTIVE

It is the incentive to improve one’s disposition; to excel, prosper, increase happiness, reach capital goals, enjoy the spoils of risk taking, and garner a strong reputation within your circle that drives man to innovate. Human beings are inherently driven by incentive no matter their political beliefs and location on Earth. The concept is unique to Homo sapiens and has been with us from the beginning.

For without incentive, so goes innovation and our current way of life.

Then there is the antithesis to incentive: the federal government. With all their burdensome regulations forced upon the American citizenry, incentives are being stifled and innovation is thwarted. Modern day government exist within a cloak of autonomy while taking from the private citizen with an iron fist by means of unjust, often time unconstitutional, taxation. To understand why market economies should be embraced and revered, please visit AceFrog’s marketplace article.

INDEPENDENCE DAY

Tomorrow is America’s two hundred and thirty-sixth birthday. To make this fellow American citizen smile recollect on everything that you have in your life and give thanks to the incentives that drove others to give you a better life. For without the wit, labor, and unyielding drive to improve, America’s landscape would comprise nothing more than shades of gray instead of the brilliant vibrancy that we so enjoy today.

2 Responses So Far... Leave a Reply:

  1. Isaac says:

    Can you expand a bit more on: “June 29th, 2012 was the first day the U.S. Government was given the right, by the Supreme Court, to tax you for inactivity”?

    Also, what do you think about the idea that we have a debt-based money system and that new money cannot be created in our system without new debt being created simultaneously? That the idea of eliminating or even reducing our national debt is an impossibility without reform of “our” banking system?

    • Matt says:

      John Roberts of the United States Supreme Court broke the tie and granted that the Patient Protection and Affordable Care Act (PPACA), i.e. “Obamacare,” was Constitutional by its application as a tax. Therefore, under the individual mandate within the PPACA, if you, John Q Citizen, do not actively participate within the PPACA, you will be penalized by a tax.

      John Roberts, single handily, sold out the citizens of the United States through contorted, illogical, legal reasoning. Also recall that the Democrat controlled Congress of ’08 and ’09 rammed this garbage piece of legislation through without even understanding the implications of such a 2000+ page monstrosity. At the time, Speaker of the House Nancy Pelosi stated, “that we won’t know what’s in the bill until we pass it” further exhibiting absolute contempt against the majority of American citizens who weren’t in favor of PPACA. At the time, equalization of all polling put 62% of Americans against this bill.

      No matter. The Democrats were hell bent on passing their keystone legislation no matter the political costs. Why? It’s sets a precedence never before achieved, but actively sought, for decades by hardcore liberals. And what is that? The opening of a legislative wormhole that will now allow Congress to penalize Americans, via a tax, if they do not do something that they put into law and force one to do. You see the danger in this? Forced “universal” healthcare, which constitutes ~1/7th of our economy, is probably just the start of this type of legislation. Free will under attack right out in the open and straight from the mouths of our traitorous “representatives.”

      For those of us that really understand the ins and outs of Obamacare, this is why we put it as priority #1 to eliminate this dangerous piece of legislation in 2013.

      Concerning your monetary system question and the national debt, I agree. Ultimately, Isaac, we must, and I yell, WE MUST return to a monetary system backed by gold. If we don’t, we’ll never be able to hold anyone accountable for devaluing our currency. Why? Well, what the hell do you measure it against? We now owe more than 1+ year of our GDP. Simply astounding.

      Concerning debt and money creation, again, I agree. Any unbiased economist would agree that the true value of the dollar is zero when you take in account all of the debt stacked against it — http://www.usdebtclock.org .Now is the time to reform. As a country, we’re already screwed. Let’s stop the nonsense quantitative easing, riding 0% interest into infinity, etc. and pick some low hanging fruit. First, and foremost, the Federal Government must STOP THE MASSIVE, UNCONTROLLED SPENDING!! Did you know their budget now exceeds 1 trillion dollars? Absolutely, unequivocally, insane!!

      Banks: No more big banks. I don’t care if globalization is the new norm. We need to think back to that old adage “think local.” Keep banks closer to the citizenry. Big, multinational conglomerates, DO NOT benefit a majority of the Americans. Instead, let each state have its own banking system the way it deems most successful. Keep the banks “closer” to the people. This one move would help bring Federalism back to our national stage.

      In closing, if more Americans, and their representatives in Congress, acted always with Federalism in mind, half of these problems wouldn’t even exist.

      Great questions. Keep ’em coming!!