“capitalism”

We live in a world in which people are beheaded, imprisoned, demoted, and censured simply because they have opened their mouths, flapped their lips, and vibrated some air. Yes, those vibrations can make us feel sad or stupid or alienated. Tough shit. That’s the price of admission to the marketplace of ideas. Hateful, blasphemous, prejudiced, vulgar, rude, or ignorant remarks are the music of a free society, and the relentless patter of idiots is how we know we’re in one. When all the words in our public conversation are fair, good, and true, it’s time to make a run for the fence.

Those who think that the destruction of war increases total “demand” forget that demand and supply are merely two sides of the same coin. They are the same thing looked at from different directions. Supply creates demand because at bottom it is demand. The supply of the thing they make is all that people have, in fact, to offer in exchange for the things they want. In this sense the farmers’ supply of wheat constitutes their demand for automobiles and other goods. All this is inherent in the modern division of labor and in an exchange economy.

This fundamental fact, it is true, is obscured for most people (including some reputedly brilliant economists) through such complications as wage payments and the indirect form in which virtually all modern exchanges are made through the medium of money. John Stuart Mill and other classical writers, though they sometimes failed to take sufficient account of the complex consequences resulting from the use of money, at least saw through “the monetary veil” to the underlying realities. To that extent they were in advance of many of their present-day critics, who are befuddled by money rather than instructed by it. Mere inflation—that is, the mere issuance of more money, with the consequence of higher wages and prices—may look like the creation of more demand. But in terms of the actual production and exchange of real things it is not.

Trade is the voluntary exchange of goods, services, or both. Trade is also called commerce. A mechanism that allows trade is called a market. The original form of trade was barter, the direct exchange of goods and services. Modern traders instead generally negotiate through a medium of exchange, such as money. As a result, buying can be separated from selling, or earning. The invention of money (and later credit, paper money and non-physical money) greatly simplified and promoted trade. Trade between two traders is called bilateral trade, while trade between more than two traders is called multilateral trade.

Until the middle of the 1920s,this country followed a general policy of unrestricted immigration; except for some exclusion of orientals, anyone who wanted to come was welcome. From 1905 to 1907, and again in 1910, 1913, and 1914, ,over a million immigrants a year came. They and their descendants have created a large part of our economic and cultural wealth. It would be hard to find any major public figure willing to argue that this policy was a mistake.

It would be almost as hard to find a major public figure who would advocate a return to that policy. Recent debates have been on how we should allocate and enforce our limited immigration quota among different nationalities, not on whether the quota should exist

In my opinion, the restriction on immigration is a mistake: we should abolish it tomorrow and reopen the most successful attack on poverty the world has ever seen.

One danger in this policy is that poor immigrants might come with the intent of somehow surviving until they became citizens, and then going on welfare. I therefore include in my proposal the condition that new immigrants should face a fifteen year ‘resi¬dency’ requirement before they become eligible for welfare. I also suggest that the federal and state minimum wage laws be altered so as not to cover new immigrants, or, better yet, be repealed.

We would receive a vast flood of immigrants, probably more than a million a year, possibly several million. Most would come from Asian and Latin American countries. Most would be poor. Many would work as unskilled labor for the first generation, as did most of the previous immigrants. They would bring with them levels of education, nutrition, and health, which would appall our social workers; they would live, by our standards, very badly, but they would live well by their former standards, and that is why they would come.

Unrestricted immigration would make us richer, as it has in the past. Our wealth is in people, not things; America is not Kuwait. If a working wife can hire an Indian maid, who earned a few hundred dollars a year in India, to work for her at six thousand dollars a year, and so spend her own time on a 30 thousand a year job, who is worse off?

As long as the immigrants pay for what they use, they do not make the rest of the society poorer. If increased population makes the country more crowded, it does so only because the immigrants produce wealth which is worth more to the owners of land than the land is worth, and the immigrants are able to use that wealth to buy the land. The same applies to whatever the immigrants get on the free market; in order to appropriate existing resources for their own uses, the immigrants must buy them with new goods of at least equal value.

The immigrants will get some governmental services for which they will not pay directly. They will also pay taxes. Given present conditions, I see no reason to expect that they will cost government more than government will cost them.

The new immigrants will drive down the wages of unskilled labor, hurting some of the present poor. At the same time, the presence of millions of foreigners will make the most elementary acculturation, even the ability to speak English, a marketable skill; some of the poor will be able to leave their present unskilled jobs to find employment as foremen of “foreign” work gangs or front men for “foreign” enterprises.

More important than any of these economic effects is the psychological effect on the present poor; they will no longer be the bottom of the barrel, and as Liberals have pointed out with some justice, it is where you are, not what you have, which defines poverty. Mobility will be restored; each generation of immigrants will be able to struggle up to a position from which to look down on their successors.

A policy of unrestricted immigration would bring us more than cheap unskilled labor. It would bring a flood of new skills, not least among them the entrepreneurial ability that has made Indian and Chinese emigrants the merchant classes of Asia and Africa. Once the new citizens become familiar with the language and culture of their adopted country, they will probably work their way into the great American middle class just as rapidly as did their predecessors of eighty years ago.

It is a shame that the argument must be put in terms of the economic or psychological “interest” of the present generation of Americans. It is simpler than that. There are people, probably many millions, who would like to come here, live here, work here, raise their children here, die here. There are people who would like to become Americans, as our parents and grandparents did.

If we want to be honest, we can ship the Statue of Liberty back to France or replace the outdated verse with new lines, ”America the closed preserve/That dirty foreigners don’t deserve.” Or we can open the gates again.

The American flag.. is worthless except as a symbol, a symbol of men achieving their ends by voluntary association, cooperating through mutual exchange in a free society. Capitalism.

Tiempo de lluvias. Estas en tu camioneta, aburrido, esperando que toque verde, cuando un hombre en un overol rojo brillante con el logo de Merkabastos^ELZR y una clara leyenda de “servicio de cortesia” se acerca: “Buenas tardes, me permitiria limpiarle su parabrisas? Cortesia de Merkabastos.” Asientes sorprendido y el hombre sonrie, planta enfrente de tu camioneta un tripie que no habias percatado y que sostiene un letrero mediano anunciando que esta noche es la venta nocturna de Merkabastos, con papas y nabos a mitad de precio—y procede a limpiar tu parabrisas religiosamente. El vidrio queda impecable, tu apurado procuras unas monedas y se las ofreces al hombre pero este sonrie: “Gracias, pero este servicio es cortesia de Merkabastos. Que pase usted una buena tarde” te responde—y se marcha.

A system for prioritizing data traffic might well be necessary someday, yet one might hope that it would be based on the needs of the transmissions rather than the deal making and caprices of the cable owners.