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EUROPEAN-SOCIAL-POLICY  June 1999

EUROPEAN-SOCIAL-POLICY June 1999

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Subject:

Macro & Micro Models of a Nation, III

From:

[log in to unmask]

Reply-To:

[log in to unmask]

Date:

Sat, 5 Jun 1999 17:40:48 EDT

Content-Type:

text/plain

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Parts/Attachments

text/plain (110 lines)

	

To: A few friends, many lurkers and Innocents, and too many Devious Defenders 
of the Status Quo (DDotSQ) on several mail lists.

Good day Folks,

My previous post, Macro & Micro Models of a Nation, II, Date:	99-06-03 
07:02:21 EDT, concluded with an offer which Fred Foldvary, Prof. of 
Economics, could not refuse.  The offer read:

>> If this does not illuminate the forward from Harry Pollard, let me know 
who Harry Pollard is and what the forward consisted of, and I'll do my best 
to close the gap.

Sincerely,

WesBurt <<
~~~~~~~~~~~~~~~~~~
Prof. Foldvary replied,

>> WesBurt:

Harry Pollard is on the land-theory e-mail list, where he posted your
message.
He teaches economics to high school students in Los Angeles.

I too admire Thomas Paine, but I don't see how this ties in to your
presentation, which seems to be saying that families should get some
minimum income from the government.

Thomas Paine said that society should be free, and that land rent should be
shared.
If there are no taxes on labor and enterprise, and rent is used for our
collective services, then would that solve the problem?

Fred Foldvary <<
~~~~~~~~~~~~~~~~~~~~~~

I could be making the second mistake of my life, but it seems to me that 
Prof. Foldvary is trying to dissipate my meager resources by changing the 
subject, from Macro and Micro models for cockroaches, rats, and poor people, 
to what Thomas Paine did or didn't say in Part II of his 1791-2 reply to 
Edmund Burke's 1790 REFLECTIONS ON THE REVOLUTION IN FRANCE. 

Part I of Paine's THE RIGHTS OF MAN treated the political structure of 
democratic-capitalism, Part II described the financial structure of 
democratic-capitalism, which had been well enough established in the United 
States by the 1790s to provide a steady increase in the value of the dollar, 
in peace time, until the 1890s.  But democratic-capitalism also needed to be 
established in France and England, or the "Old Order" would rock back into 
place.  They damned near hanged Thomas Paine for proposing the new economic 
paradigm.  Too bad Europe and England had to wait until after World War II 
before they could experience democratic-capitalism, and after a run of three 
decades, it seems that they can't hold on to it any better than the U.S. has, 
with its 4-10% unemployment and 2-3%/year inflation, since the 1890s.

The task ahead is to show the lurkers and innocents on these several lists 
just how well the Macro Model <FIG4B.GIF> and the Micro Model <FIG8.GIF> 
comprehends the financial structure of industrial economies, from the U.S.A., 
with its 30% of GNP tax rate, to the financial structure of the late great 
U.S.S.R., with its 75% of GNP tax rate, 92% of which was indirect taxes on 
the capital plant, as described in SEVENTY YEARS OF SOVIET GOVERNMENT, 1987, 
by The Novosti Press Agency Publishing House?  The financial structure of the 
other industrial nations fall in between the outer tax rate limits defined by 
the U.S. and the late U.S.S.R.  With the U.S.S.R. gone, the outer limits seem 
to be: the U.S. at 30% of GNP and Sweden at 55% of GNP.

 By strange coincidence and good fortune, my subscription to mail list 
<[log in to unmask]> was approved yesterday and among the several 
e-mails from SANE posters was a post from Harry Pollard on the subject:	 Re: 
Wealth, 99-06-05 00:02:00 EDT, in which he writes:

>>
> >We are concerned with how to help people suffering poverty, and offer them
> >everything from food to money. We never seem to ask the question Henry
> >George posed 150 years ago.
> >
> >"Why, in spite of enormously increased production, is it so hard to make a
> >living."
> >
> >Harry
<<

Pleased to meet you, Harry.  My understanding of "classical economics," from 
Spinoza 1670 to Adam Smith 1776 to Henry Carter Adams 1887, had its origin in 
the economic dispatching methods of the electric power industry.  I had the 
opportunity, in 1953, to include those methods in the technical 
specifications for equipment which would automate that industry's production 
dispatching function.  It was not until 1969, however, that I began to search 
the economic, religious, and political literature for some trace of the 
"classical economic" solution which had been standard operating practice 
(SOP) among power engineers since the 1920s.  The objectives of that SOP 
were: 1, satisfy the consumer demand for power with a minimum fuel input to 
the system, 2, preserve the stability of the interconnected system and the 
soveriegnity of each corporate member.

I am much obliged to you, Harry, for forwarding one of my posts to the 
land-theory e-mail list where it came to Prof. Foldvary's attention, and to 
Prof. Foldvary, for introducing me to this extended and SANE dialog.

Kind regards to all interested parties,

WesBurt




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