The Golden State is once again demonstrating the pervasiveness of a terminal disease and the unwillingness to accept a fundamental truth: There is always an “end”! Ignorance in governance is dangerous largely due to yet another simple truth: Ignorance is always ignorant of its ignorance!
The current case in point relates to the resurgence of the Nexus Internet Commerce Tax upon which the State of California is pressing forward. It is the State Legislature’s plan to force web-based enterprises to remunerate, regardless of their domicile (State), sales tax revenues assessed on transaction originating from “sites” based in California. For a more details review of this particular subject take a look at Andrew Breitbarts article on the matter.
Recently I responded to a query from the Heartland Institute . I took a somewhat different approach in crafting a response one that went beyond the confines of the specific issue and on to the pathology that is indicative of a greater and systemic problem.
So then, thinking that others might find my response of interest, I include it here:
“The great divide between government and the concept of ‘economy’ is the result of a near un-recoverable evolution of pervasive and structural ignorance.
At the core of what I call the ‘Native Economy’ is the fundamental truth of what drives the process: ‘Demand in search of Supply.’ The ‘Native Economy’ is best understood by considering the ‘Organic’ notion of what constitutes the driving force behind this rather unique process as being the kinetic force/cause/inertia that exist both absent of or despite the existence of Government.
Government has, largely due to Progressive and/or Keynesian modeling, adopted the inverse belief that Government is the “kinetic force/cause/inertia” that lies behind the ‘Native Economy’ and not the more supremely intuitive ‘Organic’ fundamental.
With these points as a foundation for my response to your question, let me conclude my preamble with the following:
- To defeat the ‘Organic’ ideal that ‘IS’ the fundamental origins of a vibrant ‘Native Economy’ one has only to interfere with its process. This occurs by extracting from or alterations to any component of its fundamental routines. How the ‘Native Economy’ responds to this interferences produces an effect I refer to as,
- Physiological-Sociological Economics (PSE) (aka Physio/Socio-Economics) a term which identifies the practices and tendencies of how economic actions/events or enterprises orient themselves, intuitively, in response to sociological/political processes.
As we have witnessed over the last 70 years, the degradation in the U.S. Economy has not occurred because of so-called Laissez-Faire Capitalism but in fact, by the Policies and Practices of Government which have, either directly or indirectly, altered the wealth generating output, and re-application of the same through a process I refer to as ‘Pro-generative Economics’, whose result and effect has been nothing less than ‘entitlement apportionment’ to selective interest.
Perhaps our single greatest failure as a Nation is in the practice of extracting ‘Productive Wealth’ from the National Economy and that is, directly, what Ad Valorem and Individual Income taxes do. Presently, in the U.S., a single ‘dollar’ of income is now subject to no less than 28 different taxes.
With this thought in mind, is it any wonder the U.S. Economy is now beyond life-support. Moreover, to appreciate how ignorant the political system is to economic realities of, well, fundamental economic realities, is to consider both the point of your article, the addition of yet another ‘tax’, but also that Government entities prove their ignorance and hubris by (even) considering the notion when the more appropriate and effective process would be to encourage and vibrant wealth generating economic environment.
In each of my Books, ‘We Hold These Truths’, ‘Value Given, Value Received’ and ‘Valor in Prosperity’, all of these concepts are presented in greater detail and as well, solutions provided for recovery.
In the end, at the core of an productive economic principle, ideal or ambition lies the following absolute of truth:
Man must be free for Independence to be at Liberty to be Expressed!”
Curtis C. Greco, Founder
