The Upside of Down

What makes America great? Is it the people? The beautiful landscape? The election process? I think a lot of citizens define the greatness of America through her economic and military prowess. Over the past 10 years there has been a lot of news about America’s dominance fading in the world. I hear things like, “China owns half of our country!” “Their is a new Cold War with Russia!””There are going to be taco stands at every corner!” “All of our jobs are being shipped overseas!” I never really looked into these claims before so I wanted to read a book about the true economic status of the developed world compared to the developing. I picked up The Upside of Down: Why the Rise of the Rest is Good for the West by Charles Kenny. Kenny was previously a senior economist at the World Bank and is now a senior fellow at the Center for Global Development and writes for Bloomberg Businessweek and Foreign Policy magazines. To put it simply, this guy knows his stuff.

First off, China is definitely going to surpass the United States economy very soon – some economists argue that is has already happened. The math is simple: China has 1.3 billion people and the United States has roughly 350 million people. That is a billion more workers and consumers with an ever widening middle class that is ready to spend.

“…by 2030 the world will have four major economic players. China will be the heavyweight, with a share of global GDP around 24 percent (measured at purchasing power parity). Next will be India, the European Union and the United States – each with 10 to 12 percent of the global output. Brazil, Indonesia, and Japan will each control a little more than 3 percent of global GDP.”

Should this fact worry the United States? Not at all. It is great news. For one, the average Chinese or Indian will one day be able to buy more products from the United States. With more money flowing into America, there will be more jobs created and more services needed. Second, countries with large economies love trade agreements – allowing them to easily import and export. This increases alliances and decreases the risks of wars. Thirdly, with greater partnerships with other countries, the United States can reduce military spending and focus more on improving quality of life measures for her citizens (health care, infrastructure, worker benefits, etc.).

Now what about all the worries of immigration and jobs being taken by the “rest” of the world.

“…US offshoring may have been responsible for a 1.6 percent decline in manufacturing jobs over the period 1997 to 2007, but the impact on long-term productivity may actually increase employment (which may also be better paid). The idea is that firms save money by offshoring, which, by allowing them to sell more for less, increases both their own revenues and the revenues of those that purchase the goods they sell. As a result, they can hire more people, or their shareholders have more money to buy goods and services from other Americans.”

Yes, America has lost jobs overseas but the economy as a whole has benefited immensely from affordable goods and greater domestic purchasing power – the result being a net increase in job creation. So what about jobs at home being taken by immigrants? The United States attracts some of the best and brightest students from around the world. Our universities, with the help of foreign students, foster innovation that continues to make America a leader in patents and technology. Immigrants are vital to our growing economy, because as earlier explained, the number of people in a country is one of the biggest factors in economic health. With an aging population and a decreasing birth rate, the United States should be happy to take all the skilled labor she can get. What about the “illegal” immigrants? Shouldn’t we build a wall? It was found that immigrants from Mexico do not take jobs from Americans but rather help create new jobs (click here for clear example). By paying less for labor, businesses have more money for investments, purchases, and new job creation. Furthermore, between 2009-2014 there was net loss of Mexicans leaving the United States. This is due to an improving Mexican economy and better family reunification programs. It was found that increased border control actually increased the number of illegal immigrants in the country; due to the fact that it was harder for Mexicans to reenter their country.

All of this points to the need for more investment and economic teamwork throughout the world. We should not become a isolated country that is afraid of immigrants or the success of other countries. We need to remember that immigrants founded this country and that the rise of the rest is good for the west. If you liked this article please a related post, The World is Flat.

 

Mike Rowe-Not Everyone Should Vote

The election is less than a month away and we are all soaked from the political cloud that has been looming over our heads. This election year has been unique because it seems like facts don’t matter and conspiracy theories reign supreme. I am not a conspiracy theorist and believe that they are very dangerous for our society (The Sexiness of Conspiracy). Believing that there is always some hidden agenda makes people avoid facts (abstaining from vaccines for instance) and react negatively to certain groups (the persecution of Jews in the 20th century). I honestly don’t believe that everyone should vote in the election and Mike Rowe, the guy from Dirty Jobs, made this point perfectly clear when asked a question by a fan.

“Hey Mike, I have nothing but respect for you. Your no-nonsense outlook and incredible eloquence have really had a profound impact in my life. Can you please encourage your huge following to go out and vote this election? I would never impose on you by asking you to advocate one politician over another, but I do feel this election could really use your help. I know that there are many people out there who feel like there is nothing they can do. Please try to use your gifts to make them see that they can do something – that their vote counts.” -Jeremy

Hi Jeremy,
Thanks for the kind words. I appreciate it. I also share your concern for our country, and agree wholeheartedly that every vote counts. However, I’m afraid I can’t encourage millions of people whom I’ve never met to just run out and cast a ballot, simply because they have the right to vote. That would be like encouraging everyone to buy an AR-15, simply because they have the right to bear arms. I would need to know a few things about them before offering that kind of encouragement. For instance, do they know how to care for a weapon? Can they afford the cost of the weapon? Do they have a history of violence? Are they mentally stable? In short, are they responsible citizens?

Casting a ballot is not so different. It’s an important right that we all share, and one that impacts our society in dramatic fashion. But it’s one thing to respect and acknowledge our collective rights, and quite another thing to affirmatively encourage people I’ve never met to exercise them. And yet, my friends in Hollywood do that very thing, and they’re at it again.

Every four years, celebrities and movie stars look earnestly into the camera and tell the country to ‘get out and vote.’ They tell us it’s our ‘most important civic duty,’ and they speak as if the very act of casting a ballot is more important than the outcome of the election. This strikes me as somewhat hysterical. Does anyone actually believe that Leonardo DiCaprio, Ellen DeGeneres, and Ed Norton would encourage the ‘masses’ to vote, if they believed the ‘masses’ would elect Donald Trump?

Regardless of their political agenda, my celebrity pals are fundamentally mistaken about our ‘civic duty’ to vote. There is simply no such thing. Voting is a right, not a duty, and not a moral obligation. Like all rights, the right to vote comes with some responsibilities, but let’s face it – the bar is not set very high. If you believe aliens from another planet walk among us, you are welcome at the polls. If you believe the world is flat, and the moon landing was completely staged, you are invited to cast a ballot. Astrologists, racists, ghost-hunters, sexists, and people who rely upon a Magic 8 Ball to determine their daily wardrobe are all allowed to participate. In fact, and to your point, they’re encouraged.

The undeniable reality is this: our right to vote does not require any understanding of current events, or any awareness of how our government works. So, when a celebrity reminds the country that ‘everybody’s vote counts,’ they are absolutely correct. But when they tell us that ‘everybody in the country should get out there and vote,’ regardless of what they think or believe, I gotta wonder what they’re smoking.

Look at our current candidates. No one appears to like either one of them. Their approval ratings are at record lows. It’s not about who you like more, it’s about who you hate less. Sure, we can blame the media, the system, and the candidates themselves, but let’s be honest – Donald and Hillary are there because we put them there. The electorate has tolerated the intolerable. We’ve treated this entire process like the final episode of American Idol. What did we expect?

So no, Jeremy – I can’t personally encourage everyone in the country to run out and vote. I wouldn’t do it, even if I thought it would benefit my personal choice. Because the truth is, the country doesn’t need voters who have to be cajoled, enticed, or persuaded to cast a ballot. We need voters who wish to participate in the process. So if you really want me to say something political, how about this – read more.

Spend a few hours every week studying American history, human nature, and economic theory. Start with “Economics in One Lesson.” Then try Keynes. Then Hayek. Then Marx. Then Hegel. Develop a worldview that you can articulate as well as defend. Test your theory with people who disagree with you. Debate. Argue. Adjust your philosophy as necessary. Then, when the next election comes around, cast a vote for the candidate whose worldview seems most in line with your own.

Or, don’t. None of the freedoms spelled out in our Constitution were put there so people could cast uninformed ballots out of some misplaced sense of civic duty brought on by a celebrity guilt-trip. The right to assemble, to protest, to speak freely – these rights were included to help assure that the best ideas and the best candidates would emerge from the most transparent process possible.

Remember – there’s nothing virtuous or patriotic about voting just for the sake of voting, and the next time someone tells you otherwise, do me a favor – ask them who they’re voting for. Then tell them you’re voting for their opponent. Then, see if they’ll give you a ride to the polls.

In the meantime, dig into Economics in One Lesson, by Henry Hazlitt. It sounds like a snooze but it really is a page turner, and you can download it for free

-Mike Rowe

Don’t rely on Facebook or even news for your primary information. The least everyone should do before voting is to read each candidate’s policies. Start reading now and by the next election you may see the entire world differently.

Theodore Roosevelt vs. Donald Trump

The things that will destroy America are prosperity-at-any-price, peace-at-any-price, safety-first instead of duty-first, the love of soft living, and the get-rich-quick theory of life.

-Theodore Roosevelt

Theodore Roosevelt is my favorite president by far because he accomplished so many unbelievable feats during his lifetime:

-Preserved 150 national forests, 5 national parks, and 18 national monuments.
-He busted up 44 monopolistic corporations and enforced railroad regulations.
-Passed the Meat Inspection Act along with the Pure Food and Drug Act.
-Secured the Panama Canal and negotiated the end of the Russo-Japanese war.
-Conducted two major hunting expeditions to catalog animals for the Smithsonian.
-Published over 35 books and read over 10,000 books.
-Posthumously won the Medal of Honor.
-Was the youngest president in American history.
-He preemptively strengthened the Navy before WWI.
-Negotiated a major coal strike.
-Gave Cuba back to Cubans.
-Invited the first black man ever to dinner at the White House.

Added to these accomplishments is the fact that Roosevelt was an easy going guy who treated everyone with fairness; he was a loving husband and father; and he was passionate about making life for all Americans better. Theodore Roosevelt along with Abraham Lincoln are my two favorite Republicans because they were light years ahead of their time in championing social, economic, and racial equality.

Fast forward to today’s Republican Party. What use to be a party that represented disenfranchised blacks, immigrants, and conservationists is now the party that represents primarily whites who don’t believe in global warming but do believe in xenophobia. The Republican’s main man is now Donald Trump. I am not a fan of Trump because he is in many ways the opposite of Teddy Roosevelt. Roosevelt spent most of his life in public service while Trump spent most of his life expanding his father’s real estate business. The first 50 years of Teddy’s life could be summed up as a non-stop push to make America better. The first 50 years of Trump’s life could be summed up as a non-stop push to inflate his pockets and ego.  Here in lies the greatest difference between these two men-motivation. Roosevelt was a gentleman that treated his opponents with dignity and those who were disenfranchised with respect. Trump is a business man who uses derogatory language and authoritarian philosophies to make deals that increases his net worth regardless of the consequences. Some examples of these consequences include two divorces, four bankruptcies, and a mouth that vomits ridiculous material:

-“I will build a great wall – and nobody builds walls better than me, believe me – and I’ll build them very inexpensively. I will build a great, great wall on our southern border, and I will make Mexico pay for that wall. Mark my words.”
-“You know, it really doesn’t matter what the media write as long as you’ve got a young and beautiful piece of ass.”

-“The beauty of me is that I’m very rich.”

-“I’ve said if Ivanka weren’t my daughter, perhaps I’d be dating her.”

-“The point is, you can never be too greedy.”

-“My IQ is one of the highest — and you all know it! Please don’t feel so stupid or insecure; it’s not your fault.”

-“My fingers are long and beautiful, as, it has been well documented, are various other parts of my body.”

This is the current state of the Republican Party. Trump will not be remembered for his list of accomplishments but rather for his list of stupid comments. Teddy won the Nobel Peace Prize.What will Trump win as President? A spot on Comedy Central’s Roast of Hillary Clinton. Lincoln and Roosevelt would not even fit into the Republican Party of today and I’m sure Trump would find pleasant things to say about the immigrant lover and tree huger. We need a President who embodies the attributes of these two great men-not the attributes of a misogynistic-xenophobic-demagogic-school yard bully.
If you liked this article read Abraham Lincoln vs. Donald Trump for another comparison.

How the West Won the Gun

Peanut Butter and Jelly. Chips and Dip. Simon and Garfunkel. Summer and Ice Cream. Americans and Guns. All these things go together and are culturally inseparable. The world knows that America is the land of gun loving-second amendment wielding-wild west winning red-blooded citizens. Americans view their own successful history tangentially with the success of the gun: single shot muskets in the Revolutionary War; Colt pistols in the western frontier; Winchester repeating rifles in WWII. Even my favorite movie during the holidays, A Christmas Story, details Ralphie’s unstoppable obsession with the Red Ryder Carbine Action 200-shot Range Model air rifle. Guns are constantly in the news because they beckon polemic arguments. Just last week Donald Trump incorrectly stated that Hillary Clinton wanted to abolish the second amendment, and if that happened, the gun lovers would have to take matters into their own hands (source). I for one am not anti-guns. I believe people should have a right to own pistols and rifles designed for hunting. I do not believe that people should be able to buy assault rifles that can kill dozens of citizens in a matter of seconds. Guns to me are like pharmaceuticals-they have the ability to protect but some come with severe side affects. And like drugs, guns should be regulated to prevent excessive harm to the public-think Antibiotics vs. Heroin. Many of our conversations about guns today are myopic in their view related to their long history in America. Were Americans always so gun obsessed? Why does American culture and the gun fit together like peanut butter and jelly? I found the answers to these questions in The Gunning of America: Business and the Making of American Gun Culture by Pamela Haag.

In 1756, a report found that the colonies’ “militia amounts to about 36,000 but not half that number are armed.” In 1776, the governor of Rhode Island wrote to George Washington that the colonists disposed of their arms due to feelings of security, that the colony was effectively “disarmed.” During the 18th and early 19th century, guns were made by gunsmiths. Gunsmiths would make one gun at a time per request and there was a high amount of skill required to complete the entire project. These early American guns were single-shot front loaders which were very heavy and not all that accurate. Since this type of gun was difficult to produce and limited in its capabilities, it was treated as a tool for people with specific needs-farmers, soldiers, Lewis and Clark expeditions, etc. The average Joe did not own a gun during this time. This would all change with Eli Whitney’s idea that he could make a gun with interchangeable parts.

Eli Whitney was one of the first gun manufacturers that made guns not with gunsmiths but with factory workers. Whitney was the forefather to Samuel Colt and Oliver Winchester who would begin their businesses in the mid 1800’s. Colt and Winchester are household names today but their businesses had very slow starts in the US. Americans simply did not see the appeal in semiautomatic rifles or handguns and in 1850, Henry William Herbert, one of America’s first sport-hunting writers, predicted that rifles would be obsolete by the end of the century. The Civil War kept the businesses temporarily afloat but afterwards, to stay in business, gun manufacturers used their factories to produce “sewing machines, horse carts, cotton gins, bridges, plows, mowers…” The only market that truly kept Winchester and Colt alive was the foreign war market. During the 1800’s, in South America, Europe, Mexico, and Asia, there was a huge demand for arms. The “American” gun only stayed out of bankruptcy because foreign nationalism required semiautomatic rifles. Colt and Winchester had to solve a problem, they had a ton of guns but little demand in America. How could they make a market?

Winchester and Colt were geniuses in marketing and they used the wild west as their primary medium. Buffalo Bill, Wild Bill Hickok, Billy the Kid, Annie Oakley, Belle Star, Calamity Jane, and many others were incessantly written about in dime novels. These dime novels were written as truth but were only fictional stories where “virtue must triumph, vice and crime must not only be defeated, but must by painted in colors so strong and vivid that there is no mistake about it.” What was the quintessential weapon of all these western heroes? Not coincidentally…Colt and Winchester. In addition to the dime novels, Winchester was a prolific user of full color advertisements that showed harrowing scenes of men in action making “The Finishing Shot” with their repeating rifle. It doesn’t end there, Winchester sent 3,363,537 boys between the ages of 10 to 16 a written letter about their .22 caliber that could be used to earn Winchester “Sharpshooting Medals.” This form of marketing extended to all forms of print and media-including Winchester sponsored movies that flashed ads for their guns. Over 750 westerns were released between 1950 and 1960 with 8 of the top 10 prime-time television shows in 1959 being westerns. The gun had morphed from a tool of war to a sexy symbol of virtue over vice, freedom, and individualism. Like so many other products, the gun was marketed towards our emotions and Americans soon connected this 1900’s gun mystique with all guns throughout American history. The guns of the American Revolution, that were sparse and clunky, were now prolific and majestic tools of freedom-just like they were with the winning of the west. Fast forward to today, where gun manufacturers have no problem selling guns because it is as American as eating apple pie. The second amendment gave us the right to bear arms but Samuel Colt and Oliver Winchester gave us the desire to bear arms.