Jewish Peaceniks to Address Karl Hess Club

Partially through my efforts, a representative of L.A. Jews for Peace will address the libertarian Karl Hess Club on January 18, 2010.

That date is tentative, subject to scheduling. Like the Karl Hess Club, L.A. Jews for Peace meets on the third Monday of every month. But we're all trying to make this happen.

California issues IOUs

First the government of California passed the single largest state tax increase in the history of the United States. Then ballot propositions are sent to the voters to extend the tax increases, which the voters reject. The propositions were rejected by all groups in California; they were rejected by blacks, whites, Hispanics, Asians, and "others", they were rejected by men and women, by Republicans and Democrats, by conservatives and moderates, and only broke even among liberals. They were most strongly rejected in Orange County and barely rejected in San Francisco County.

The rejection of the propositions threw the budget into unbalance again, and as time went on and the economy worsened (and the tax increases failed to provide a corresponding increase in revenue for reasons Miseans would understand but would confuse Keynesians) the need for a balanced budget grew more urgent as the state Comptroller warned repeatedly that the state was running out of money. In the time between the failures of the propositions to the deadline the deficit rose from a projected $16 billion to a projected $24 billion.

The deadline came and went, a budget was not passed, and so on July 2nd the State of California started issuing IOUs. This was largely because although the Republicans were more than willing to aid and abet the last tax increase the voter reaction was so strong that they thought it better to actually follow their election promises this time around.

The reaction from the politicians is the most interesting part.

In the Assembly Budget Committee, a Democrat on the committee opined that while he supported the new round of tax increases perhaps it was time for the state to start living within its means. Chairperson Noreen Evans disagreed saying "There is this mantra out there 'living within our means' and while it sound really nice it sounds really simple and it sound really responsible it's meaningless. Our means are completely within our control". She opposed any cutting of the budget on the grounds that the state can always raise taxes to cover any needed revenue.

In an interview Assemblywoman Karen Bass reacted to the Republican refusal to approve of any tax increases. The recall effort against Assemblyman Anthony Adams (as well as other Republicans who violated even indirectly their no-tax pledges) has scared the rest of the party straight. Assemblywoman Bass opined about those who dare oppose tax increases by saying "The Republicans were essentially threatened and terrorized against voting for revenue. Now [some] are facing recalls. They operate under a terrorist threat: 'You vote for revenue and your career is over.' I don't know why we allow that kind of terrorism to exist. I guess it's about free speech, but it's extremely unfair." Daring to hold politicians accountable is now a form of terrorism? She called the taxpayers of California "terrorists" for being over-taxed already and not wanting to be even more over-taxed.

Finally Proposition 13, the favorite scapegoat of all who believe in government instead of the people, is being blamed with any rationale that makes limited sense at the moment. Some say it works too well. Others say that it holds the majority hostage to the minority, as if requiring 2/3 to pass a tax increase means that the remaining 1/3 is actually in charge.

So after all of that the state is issuing IOUs instead of payments. There is no information yet on whether or not the banks will accept these interest bearing IOUs, although the likelihood of that increases with the proffered interest rate. If the banks decline to accept the IOUs the willingness of the public to receive them will plummet, as will the credit rating of the state. Where California goes, so does the rest of the nation.

The path ahead

Now that the election is over and Obama has beaten McCain, now that the inauguration is over and Obama has replaced Bush, the question for libertarians is "now what?"

There are several things that a lover of liberty must do now that the socialist and reluctant warmonger beat the warmongers and reluctant socialists.

First, it is important to keep pressure on the Democrats to remember that one of the reasons Obama won their support was because he was allegedly the peace candidate. Granted that compared to McCain in the general election or Clinton in the Democratic primary he does appear to be a peace candidate, but compared to actual peace candidates like Paul or Kucinich he’s very much a hawk.

Pressure must be kept on the Democrats to actually work to disengage militarily. During the next year they are going to discover that they do like war after all, because the President leading the war effort is of their party instead of the other party. The appointment of Rahm Emmanuel to Chief of Staff is disturbing because it shows the process is already underway.

Second, all libertarians should prepare for when Obama (and a compliant congress) tries to introduce Universal Health Care or some other version of Socialist Medicine. It may even be necessary to work with the underdog Republicans on this. A necessary step for the Democrats to take if they want to implement this will be to change the cloture rules so that the Republicans cannot filibuster the proposal. Loudly and publicly proclaim any tinkering with the cloture rules to be a power grab and vociferously denounce it.

Third, be prepared to oppose calls for national service. Obama already wants us to perform national service simply in order to graduate from high school. His Chief of Staff has different plan for forcing everyone to do community service, and it is even less voluntary than the allegedly voluntary plan of Obama.

Fourth, many Obama supporters believed he was going to act in direct contrast to his record on issues other than the war, on issues like the USAPATRIOT Act and FISA Amendment, the Wall Street Crisis, and NAFTA, as well as a few others where (perhaps by accident) Obama was actually right and his supporters still believed he held the opposite view. Every time Obama acts in a manner consistent with Obama's record but inconsistent with how his supporters thought he would act is another moment to say "see I told you so." It will not likely work as on each of those positions his supporters will discover that the position Obama actually supports was what they supported all along, just like Oceana was always at war with EastAsia.

Fifth, the Republicans are busy trying to figure out where they went wrong. Be sure to tell them that they had a candidate who could have beaten Obama, and they wouldn’t even count his votes at the convention. Be sure to remind the local Republican organizations about that. Send them the message "don't blame me, I voted Paul in the primary." Even if it isn't true it should be said. Many libertarians didn't switch to the Republicans but instead cast primary votes Ruwart or Kubby or Root or Barr. It should still be said because all Republicans need to hear that.

Sixth, work should not stop on trying to open up the electoral process, a task that is never finished.

Seventh, there will be an effort by Democrats to blame the depression on a hypothetical laissez faire attitue of Bush that must be countered at every turn. Do not allow anyone to describe the financial meltdown as the result of deregulation as Hoover leaves office and Roosevelt enters office.

Finally, never forget to ask the Reform Caucus where are the additional votes Barr was supposed to deliver.