Sultan Knish
As the great anchor of the election hits bottom, plummeting past feeder
fish, political plankton and eyeless creatures that lurk in the depths
of MSNBC and Current TV to rise during election season to lecture us on
how angry we should be, the theme of the season is that the choice
between Romney and Obama is the choice between big corporations and big
government.
Most
people have already been primed by decades of songs and shows to pick
the right answer to this one. We know that corporate boardrooms are full
of menacing characters who are always laundering money, dumping toxic
waste on children's playgrounds and plotting to blot out the sun. And
then they temporarily step out to work in government for a few years
before returning to do their sun-blotting duties.
A choice between big corporations and big government is a choice of
choices and no choice at all. There isn't much good that can be said
about corporations, just as there isn't much good that can be said about
any branch of the government. The difference is that you have a choice
whether to deal with a corporation or not. Unless the government
mandates that you buy health insurance from one of them; because most
cases where people are forced to do business with a corporation is due
to government regulations.
Imagine a big corporation. A really big corporation that monopolizes as
much as it can and compels you to buy its low quality overpriced
services and imprisons you if you refuse to pay for them whether you use
them or not.
Now imagine a CEO who has no accountability, who cannot be put on trial
for his actions while serving in that position, who picks and chooses
which laws to follow, who breaks the law, causes thousands of deaths,
lies repeatedly and wants to spend another four years doing it all over
again.
We are all shareholders of the corporation of government. A corporation
whose board and CEO we can vote for, but the corporation also has a
variety of undemocratic governing mechanisms that make those votes much
less meaningful. And the biggest problem is that many of the
shareholders are part of blocs that make money from the current
unsustainable practices of the corporation and vote in bad boards that
rob us blind so they can make more money.
Once upon a time, Americans were shareholders of government. Today Americans are consumers of government.
The current incarnation of the American Republic (is it the Fourth or
the Fifth incarnation? At least the Europeans have the good grace to
tack on those numbers) is primarily a provider of domestic services and
international defense. This is a striking contrast from the older
American Republic where the government provided domestic defense and not
much else.
It's simplest to think of a thing in terms of its function. With the
majority of Federal spending going to Social Security and Medicare, our
government is essentially an insurance company, taking a percentage of
salaries and "investing" that money to provide a social safety net.
Except the money isn't invested, it's squandered, and much of it goes to
people who are not paying into the system.
As insurance companies go, our government is completely financially
unreliable and untrustworthy, its payouts are poor, its customer service
is terrible and the people running it would be in a jail cell if they
were serving on corporate boards.
To understand what our government is, imagine a wasteful non-profit
obsessed with Third World children, merged with some kind of domestic
poverty charity, merged with an insurance company, attached to a bunch
of umbrella trade and regulatory groups for entire industry with a huge
military arm that exists to stabilize troubled regions for the business
community and occasionally does pro bono genocide interventions.
This Frankenstein America monster is what the current Republic looks
like and the people running it insist that this unwieldy beast, its
bulky body that can hardly walk in a straight line and its deviant
brain, are a massive step forward into the future. Well Dr. Frankenstein
thought the same thing and whether it's the Tea Party or OWS, there are
no shortage of peasants with pitchforks out there.
Our national government is essentially an insurance company attached to a
bunch of national and international trade and regulatory groups. And
that might be fine enough, if it actually worked. If it did work then
senior citizens would never have to worry about their Social Security
and local jobs would be protected against foreign competition. And when
Islamists began destabilizing a country that we do business with, our
Dutch East India Company with nukes would bomb them and their villages
to oblivion, on a budget, before flying home for a celebratory dinner.
Beyond all the moral and political problems, there is the practical
problem that the monster can't do any of these things. It performs its
functions like Frankenstein trying to take a flower from a girl's hand.
The flower gets crumpled and Frankenstein stomps off to smash things.
It can't handle the insurance business, because it can't control the
temptation to spend all those piles of cash coming in. It can't pay out
the money again, because it is determined to spend giant chunks of it on
social services to people who did not pay into it. And it can't deliver
any services in an efficient manner because its departments exist to
employ incompetents who are bound by the rules to be even more
incompetent than their actual inclinations, so that the system will be
forced to hire even more incompetents on an annual basis.
As for national defense, forget about it. Frankenstein can react to
threats after they happen. Mostly the military is lent out on a pro bono
basis to humanitarian projects maintained by NATO, which like an
international buggy whip manufacturer, exists with no purpose, and has
instead decided to go into the business of preventing trendy genocides
and is absolutely terrible at that as well. The whole thing is rolled
into the United Nations, which is like one of those dot com companies
that are supposed to be the next big thing, but never becomes the next
big thing, but keeps raking in piles of money from investors while
promising to one day revolutionize absolutely everything.
The big conflict with our grand corporation is conflict of interest.
First, the corporation is far more beholden to its suppliers of services
than its consumers of services. This is a significant problem because
it means that the cost of providing those services is constantly
becoming more expensive and the corporation keeps nodding its head at
the inflated product and labor figures presented by its suppliers.
Between the internal inefficiency and the unwillingness of the
corporation to hold the line with its suppliers, the financials are
impossible, and the corporation is currently running an annual trillion
dollar deficit. It keeps raising its compulsory prices, but there is no
reason to think that it can function within any conceivable budget
because its boards, its executives and its suppliers simply adjusting
their spending to match the available funds and then go twenty or thirty
percent higher.
More money doesn't mean better or even workable government. It means the
corporations and unions who are on the inside will take more money home
and next year there will be an bigger deficit, because like a dumb
beast, the system will eat as much as you give it. It will not stop,
because there is no profit motive for the individuals running things to
stop. They can only make money by spending money and they don't have to
make money to spend money because they control the cash flow..
On paper, the corporation exists to provide services to customers. In
practice it exists to provide wealth to its boards, its suppliers and
its employees. It is a non-profit, in the worst sense of the word,
because its finances are unsustainable, it keeps going only by
compulsively lying to everyone it owes money to, promising debtors that
they will be repaid and customers that they will be served, while its
insiders stuff their pockets full of stolen money.
This state of affairs is not unprecedented among corporations. It's a
familiar form of corruption being practiced on a truly epic scale.
Conflict of interest is completely natural. It is human nature for
people to look after themselves and their friends first. It is also
completely natural for a system to serve itself and to build its
governance mechanisms in such a way that everyone on the inside gets
paid and almost everyone on the outside gets screwed. It's all natural,
but so is murdering your neighbor for his camels and his wife.
Governments are set up to restrain the sort of natural abuses that flow
out of human nature. The American variety of it was an experiment that
tossed out a ridiculously corrupt system dependent on access and birth,
and replaced it with one that depended as little on government as
possible. It was still corrupt from the first, because it was still
human, but it was much less corrupt than all the other alternative
systems to it because everyone had limited veto power over it and
unlimited immunity from it in many areas.
Since then we have gone from a system that limited its own power to a
system whose ideologues cry for unlimited power and spin us the wonders
of universal college education and green energy that they will produce
for us if only we let them do whatever the hell they want. But at least
it's not one of those horrible big corporations. Then we might actually
have a choice whether to do business with it or not.
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