Friday, October 7, 2011
The real systemic seeds of depression
I see the government and corporations as one and the same, since every politician I can name, got elected on corporate campaign contributions. I don't see the corporations as private businesses. A private business is one guy on his own property with no employees (or only occasional contracted help, who themselves are self-employed) turning out a product which he then sells directly to consumers (the web has brought back many such businesses, and in 1776, such businesses compromised over 90% of the American economy). As soon as the business has employees, it becomes a government- the business is governing over private decisions- which is why the state and federal governments require corporate charters and corporate governance regulations. The current depression was caused by relaxing those regulations for political purposes, both on the left (Democrats wanting more home and property ownership for minorities and the poor) and on the right (Republican destruction of banking regulations and lowering taxes on unreasonable income). The principle of subsidiarity covers this. "To preserve the dignity of man, all economic and law making decisions should be made by the smallest number of people possible, in jurisdiction over the smallest population of people possible" says one USCCB article on the subject. Too bad Article I Section 8 of the US Constitution puts "interstate commerce" under the jurisdiction of the federal congress, and Article I Section 10 keeps the states from doing the normal protectionist measures that a state, county, or city previous to the American revolution would use take to prevent class warfare. Without the principle of subsidiarity, we lose the natural right of association; which usually inspires an overgrowth of people expressing the right of solidarity. The Tea Party on the Right and the Occupy Protests on the Left, are merely examples of people using solidarity to attack the lack of subsidiarity. The problem goes far deeper than any one politician, or any one ideology- it is built into the Constitution itself, and how that Constitution has been interpreted over the last 175 years or so by the Supreme Court.