Monday, November 07, 2016

An End to Politics (The Continuation of War by Other Means)

Votes are a club good, allocated equally to all citizens (members of the club).
Casting votes is a proxy for the voters’ participation in group force: Politics.
Political mobilization originates in war mobilization.
This is the reason votes were originally cast by men.
Fiat money, such as the dollar, is backed by sovereign force.
Just as do votes, dollars direct government force by proxy.


Newly created dollars are a club good not currently allocated equally to all citizens.


Government force protects property rights.
Property tax is properly treated as a service fee for protection of property rights.
Sound government money is backed by the property rights so protected.
Sound money is created and destroyed to reflect its backing.
The sound assessment of a property’s value as monetary backing is its liquid value.
Liquid value is established by escrowed bids for respective properties.
Demurrage is the term used for the cost of storing a backing commodity such as gold.
In money backed by property right, “demurrage” is its cost of protection.
Taxes can be replaced by charging demurrage for protected properties.
A reasonable public demurrage rate is the interest rate paid on public debt.
Escrowed bids establishing liquid value should not be charged demurrage.


When a crisis hits of such magnitude that it calls into question the ability of the government to effectively protect property rights, begin a local monetary system that pays a citizen’s dividend to all able bodied men, equally, an amount that, in sum total, is equal to the demurrage for protected property rights plus the change in total property rights during that period.

Let free enterprise do the rest. The "rest" will include a military organized after the successful Swiss model in which the able bodied men are required, by peer pressure, to prepare themselves to respond to threats to civil society. This peer pressure would take the form of exclusion of able-bodied men deemed to be a drag on society, from the club's territory. The responses would be not just emergent (as first responders) but strategic. Since able bodied young men, but not young women, will receive this dividend, they will tend to mate early with young women and start families. The strongest coefficient of determination found in the social sciences may well be the 0.88 discovered by Steve Sailer's analysis of election results in his study of "The Marriage Gap". Sailer's money quote:
"The r-squared when years married and fertility are combined in a multiple regression model improves to 88 percent." You will be hard pressed to find a stronger coefficient of determination in the social sciences between variables whose relationship is non-trivial.