More featuring Mac Nichols»

by Mac Nichols, engineer and Mannkal Advisory Council Member

Regarding this sickening article, here is how to run a parasitic protection racket:

  1. Find a hard working patsy with physical assets and an amount of debt. You need a few of these.
  2. Get a gang together of thugs, layabouts and con-merchants. You need more of these than patsies.
  3. Tell the patsy to pay up or you’ll wreck the assets and use a big stick as backup. It helps to make them feel guilty about about living and prospering. Try to use some scientific mumbo-jumbo if possible.
  4. Don’t split any of the winnings until you know how much you have.
  5. Give the gang some bits, but keep the biggest chop of the takings so you can grow.
  6. Don’t kill off the patsy; encourage hard efforts.

So to it is with Australia here and now, where the thugs are our elected government and the gang our unelected bureaucrats. You are likely the patsy, and the current chop is the carbon tax.

Our esteemed Treasurer has no idea what business is, if he thinks Australia can be forced to transition to a clean energy economy of his definition with the blunt instrument of taxation. The only transition will be the size of the waiting rooms in Australia’s international airports as business moves first overseas and then for a small amount of time supports some Australians via the services and financial sectors.

Following that will be just what these thickwits apparently want: nothing. For once a government goes down this path of taxing life in order to pay for destruction there is no turning back.

Judging by the comments of numerous public figures, commentators, politicians and their advisers, their main concern seems to be “redistributing the wealth” and a nebulous unscientific “Carbon Pollution”.

They have the mistaken view that most of the wealth ends up in the pockets of the entrepreneurs of production.

Those who are are most successful at competitively supplying consumers with their requirements accumulate capital and capital goods.

However if there is a steady increase in Capital, per head of population, the living standards of all progressively increases. This is the trick. Even the kings of Egypt could increase wages and random activity, as our tricky PM does to her public sector minions and gangs.

This steady increase in Capital, per head of population is achieved by an increasing number of new entrepreneurs, and the unbiased impartial market phenomenon, of co-ordinating the economic activities of all, provided that:

  1. Secure private property rights are fashionable, which includes:
  2. Honest Money, (no inflation).
  3. Free internal and external markets.
  4. Rule of predictable law
  5. Very low taxation rates.

All needs to be accompanied by a very small bureaucracy, whose main occupation is defending our person and our property from internal and external thugs.

Any departure from the above, intervenes with the natural market forces, and, at all times everywhere impedes genuine progress and lowers the living standards of all.

This is best explained by Ludwig von Mises in his irrefutable opus titled “A Critique of Interventionism” first published in 1929. It can be viewed online here.