Tuesday, August 4, 2009

"Cash for Clunkers" Proves that the U.S. Gov is Just Wrong

Productivity is a good thing. Standard of living is a good thing. These things are good. I think anyone would agree. Maybe what people don't understand is that productivity and standard of living work hand in hand. Understand that the more we produce in the world, the more we have. Its indisputable. See, if we produce more, given that everything produced will be sold, then prices are lower, which means everybody can afford more. That is how productivity equals standard of living: more goods and services and lower prices equal more products and services for our standard of living.

See- raised standard of living for people is a good thing. Anything opposing good could be considered evil. After all this is our lives and our families we're talking about, right? Not just an economics lesson... which brings me to "Cash for Clunkers" and the U.S. Government.

First of all, it is 100% percent economically wrong to believe that taxing me to give money to a car company will create jobs. Let me say that again. YOU CANNOT "CREATE JOBS" THROUGH TAXATION, at least not wealth-building jobs. Yes jobs were created. I understand that. You just have to remember where your money DIDN'T GO. Understand that if my money is taken and given to a car company, then yes, that company sold more cars and employed people. Plus the buyer was benefited with a discount. What you do not see is where the money didn't go. What about the money that was taken from me? Was it to be buried in a time capsule left useless to not produce the same exact job creation effect? No. I would have spent that tax money on something that I NEEDED and something that the market correctly dictated demand for. Plus, the program will artificially inflate the price of the cars. The government can't create jobs. All they do is get control of the money so their corporate/banking bosses can gain more power. Plus they create government innefficiencies which end up costing us way more money than if we would have just spent the money ourselves.

Now, why do you think they want to do this? Whats in it for them? Not much, really. Its whats in it for their bosses, the people who pay them and get them elected. Large financial institutions and corporations, the big boys. Yes, our money goes straight into the big corporate automaker pockets, and the side benefit of that is the bankers get to lend more now that affordable cars exist, probably at a higher interest rate to anyone on the government program.

Not only is it wrong to think cash for clunkers can create jobs overall, but the government has added their own opposition to good by requiring that all the clunkers have their engines destroyed! WHAT!?!? Now why on Earth would we want to destroy a good piece of machinery. Why would we want to lower productivity and thus lower our standard of living? Why would the government do this to us? Simply because their big boss says they will sell more cars and loans if the used cars are destroyed. Who cares about the standard of living of the people. Its almost as evil as the U.S. Government patent on a crop seed gene called the Suicide Gene that has the effect of rendering the seeds left over after plant production useless for re-planting. Anti-productive and pure evil. Yes the government is perfectly willing to provide you with a lovely food shortage so their buddies can make more money far more easilly. You can see my post in the archive about Monsanto and the gov for more on that. You can see this video below for more on the Cash for Clunkers program. Oh yes, it gets even worse with this program.