The Ayn Rand economic principle is important here. There is no need for a great MANY geniuses if the system promotes such people into decision-making capacities.
The way she would say it is that everyone is to gain by getting the smart people running things …………..
……….whereas she or others might add that under socialism (particularly) we all lose since ‘in a world of shit, pigs are upwardly-mobile.’ (H.S.Thompson).
Fractional-reserve-fiat-no-real-estate-investor-left-behind cronyism….. ie our current system …..is half and half. Since it leaves so much advantage to incumbents and dull bully-boy advocates of the status quo.
If a fellow has ambition and few vices he can overcome his origins and may work his way up.
But having few vices and ambition is not quite the same thing as genius.
And if true smarts isn’t actively sought after, as a general guiding principle, then everyone is worse off.
People talk about “Human Capital” but these people know-not-what they talk about.
You want people to be able to operate the capital goods, people to maintain the capital goods…….You want lots of people who understand double-entry cost accounting… And you want good policy which means mostly just constantly improving the strength and clarity of property rights.
If with these things you have a system that recognises smarts then you don’t need all THAT many smart people. Nor all that many tertiary educated people. Leastways not in a developing nation.
In fact in our system we are plagued by half-smart people. Smart-asses. Getting in the way.
Smart-asses with tertiary educations getting in the way:
I don’t THINKso.
This alleged human capital amounts to a force for the DESTRUCTION of capital when this so-called “human-capital” is really just half-smart arrogant bastards getting in the way.
Anybody who falls for this human capital JIVE!!!!! is taking a mystical approach to economics.
Double-entry book-keeping and the ability to buy capital goods. How HARD can that be?
Botswana upon independence proved that Africa had what it takes. They had clarity-in-property-rights, thrift in government, no hate in their hearts for their former overlords.
And thats all they needed for double-digit growth.
An exaggerated story says that if you go to the markets in Lagos (Nigeria) and ask a lady there (the women tend to work the markets in Africa I think) …..
….. You say to the girl ” I would like… can you give me…. can you sell me…..
….. A JET!!!!ENGINE!!!!!!
The girl never loses her toothy smile and she says to you:
“Come back tomorrow.”
She’s so friendly and her smile is so alive you’d swear she was coming on to you.
And when you get back the next day she’s got three Jet Engines just in case you don’t like the look of the first one she could get hold of.
The Africans have all the smarts they need for economic expansion but they have stupid whitey-economists telling them stupid shit, just like the stupid whitey-economists tell us stupid shit in OUR country.
Our utilitarian/nihilist economists don’t think education ought to be left up to the market……. And so whitey goes over there and Lamberts the African governments into setting up socialist education.
Our utilitarian/nihilist economists can’t imagine medicine not being socialised… So they go over there and Lambert these poor people into having socialist medicine.
Its no different to what we have here. Our economists on this very forum are just not interested in getting rid of government education as well as all financing of same.
Our utilitarian/nihilist economists HERE aren’t interested in a free market for medical services with little in the way of licensing.
And our utilitarian/nihilist-economists have a fetish for crony-capitalism but no such affection for the real deal.
So whitey goes over there and he neglects to talk about getting rid of crony-capitalism and how to clarity property-titles in order to be able to do this..
Utilitarianism recognises no natural law…. So whitey goes over there and isn’t interested in telling them about homesteading previously unowned goods.
Whitey gets excited about DDT….. So the dummies go over there and establish, through Lamberting…….a built-in bureaucratic-delay with-DDT-use which gives only the mosquitos a fair shake.
And tens of millions get sick and many millions die.
Whitey-utilitarian/nihilist economists are too stupid to figure out how to make private-infrastructure workable…. and not interested in the ideas of others who do have the capacity to think these things through.
So Africa is stuck with bigtime projects that burden the people down and get all the tribal cronies rich but no-one else.
Whitey economists over here take a mystical approach to money and capital accumulation.
The same voodoo in more extreme form is of course going to be replicated in Africa.
Humphreys et al think that fractional reserve is just wonderful.
Something for nothing.
A little bit of magic.
DOUBLE!!!!!!!!-Magic in fact.
And this paper money you just print it. Marvellous. Genius-and-sophistication. What was cheap paper now has value.
AND ITS JUST PAPER.
I can see it. I can visualise it. Humphreys, Kirchner, Davis, Soon and all the others getting excited telling Africans about fractional reserve aka “DOUBLE-MAGIC FROM GREAT WHITE WITCH-DOCTORS.”
There they are in the great outdoors. All these whitey economists lecturing late-teen black-bigshots-to-be.
Picture them in your mind in front of a watering hole and an outdoor chalkboard.
Do you see the Giraffe? The Hippo? The Zebras in the distance?
The two Lionesses, a little hard to see at first … they are watching the Zebras. They are low on the ground. And over to the left. They have blue mountains in Africa too.
But dig all these white guys so excited about fractional reserve and paper money and heaps and heaps of fucking compulsion but they don’t talk about that. They never mention what REALLY gives the paper value.
Everyones palms are facing frontwards. They are in a sort of basketball-guards pose. Both the lecturers and the audience. The economists are so excited. So the audience is exicited also.
“YOU CAN CREATE VALUE AND PURCHASING POWER BY PRINTING GREAT ANCESTORS ON PAPER AND PUTTING ALSO NUMBERS ON THE PAPER.”
“But what is the trick Professor Humphreys? Surely there must be a trick?”
“Education Simba. Its education thats the only “trick” we have for you here today” says Humphreys.
“Human Capital.” he says.
”You see I……….have a degree in economics. So I can give the paper value”
“With my science-magic I take my Human-Capital and transfer some of that human-capital into the paper…. And if you study in the finest Australian universities for many years you will gain this human-capital too.”
Then Soon speaks up:
“You can create even more value and purchasing power by bank-magic. Not black-magic bank-magic.”
Everyone is just so excited, the black bigshots with greed. And the white economists because its their fucking religion…..
Fractional reserve fiat is THEIR FUCKING RELIGION. Its the white economists religion.
And so everyone has to eat shit and die in circumstances that could simply never happen in a Continent that large with 100% backed multi-metals and standardised coins.
All on account of a totally irrational religion guarded over by mainstream economists as one of the strongest examples of tribalism IN-OR-OUT-of-Africa.
We might start by setting a good example.
And not talk crap all the time.
That would be a good start.
Make sure we get private infrastructure happening and sound money and so forth and no more of this double-magic something-for-nothing.
Show the World how we can make roads, rail and tunnels pay for themselves still leaving the ability for even the poorest folk to travel off-peak.
In other words its pretty clear that we here are being held back by the same stupidity and economics double-magic that plagues the poor countries.
And we should do better.
Lincoln talked about the eyes of the world being “upon” America.
He thought that America was the worlds last-best-hope.
I mention this because if you feel too jaded to allow people to do things right in OUR country for the sake of OUR people then think about how getting things right might save and enhance the lives of a lot of poor people overseas.