The Vast Disparity Between Keynesian Economic Theory/Political Promises And Their Actual Practice In USA! Democrats Often Cannot Keep Theirs Because Republicans OBSTRUCT Anything Designed To Help ‘We The People’ Instead Of The Top 1%; Republicans Keep Their Promises Because They Never Promise ‘We The People’ Anything Anyway! And The Economic Textbooks Are Predicated On A World Dominated By Elite Countries Deploying Capitalism And Violating All Keynesian Tenets; Any Form Of Socialism Is OBSTRUCTED (There’s That Word Againl) Lest Other 3rd World Countries See The Possibilities Not Included Under Capitalism And ‘Domino Theory’ Stampede Over Capitalism On The Road To World Socialism! Why Do We Do Business With Communist China And NOT With Communist Cuba? Because Cuba Is Socialist & China Is Now Capitalist – IT WAS NEVER ABOUT COMMUNISM; IT WAS ALWAYS ABOUT SOCIALISM – Just One More Capitalist LIE!


If Albert wasn’t talking about CAPITALISM, he certainly should have been! The Elitists repeat and reiterate how MAHVELOUS Capitalism is, but all ‘We The People’ get out of It are Depressions, Recessions, Enrons, Amways, Bernie Madoffs, Pyramid/Ponzi Schemes, George Bushs, Ronald Reagans, Karl Roves, Mitt Romneys, Paul Ryan Budgets, Sarah Palins, Intelligent Design, Voter Caging, Labor Union Repression, Right-Wing Economic & Political Conspiracies, Lobbying: Legalized Political Bribery, Deregulation, Tort Reform, Flat Tax, 401Ks Saving Corporate America ½, Derivatives, Outsourcing, Mortgage Foreclosures, Privatization & Other Preferential Laws & Policies Only For The Elitists, Mainstream Media Propaganda, Fox News (GOP TV), Half-Truths, Lies & False Promises! Against all that, we have the Republican Assertion that IT AIN’T SO; and if it is, look at all we have because of Capitalism! I think they mean the Top 1%, NOT YOU! But don’t expect them to say so!


The CAPITALIST LIE (Work Hard & American Dream Can Be Yours!) is DISPROVEN time and time and time again by Facts, History, Sophistic History Rewrites, your own Experience and the Ignoring of what we can prove – as if all this never happened.


Republicans, “Who you gonna believe,

our truthful assertions

or your own lying eyes!”

Monday, March 24, 2008 – 01:31

Is Industrial Civilization a Pyramid Scheme?


Eric Zencey


Mr. Zencey is a novelist, essayist, and environmental historian, who currently teaches in Europe and New York for Empire State College; his writing in environmental history and political theory has been supported by grants from the Rockefeller, Guggenheim, and Bogliasco Foundations.


If I said to you, “give me a thousand bucks today, and in 45 days I’ll give you $1500,” you’d think I was stupid or crooked or both. That kind of interest rate works out to a phenomenal 2466% per year, and it’s what Carlo Ponzi offered investors in Boston in 1920.


If I said to you, “give me a barrel of oil today, and in a month and a half I’ll give you a barrel and a half back,” I’d be making the same deal–but, thanks to the generous Energy Return on Investment of oil back in the 1920s, I could have made good my promise. I could have used the energy in your barrel of oil to help drill a well, which would have returned to me 100 barrels of oil for every barrel I invested in the effort of extraction. (The EROI of U.S. oil back then was about 100:1.)


Too bad Ponzi wasn’t an oilman. He went to jail for what he did. His spirit lives on, though, in economists who assure us that infinite economic growth is possible on a finite planet. And when you use EROI to think about what Ponzi did, you’re led to some other interesting thoughts.


Carl Ponzi came to Boston from Italy in the early years of the twentieth century, and after a few decades of knocking about at the edges of the law, he figured out a sure-fire way to make money. The International Postal Union had been set up to facilitate the exchange of mail between countries, and was authorized to print and sell International Postal Coupons for use as postage (which it still does, since one country’s postal system doesn’t accept stamps issued by another’s). In the wake of The Great War, the values of different national currencies were in flux, but the IPU hadn’t adjusted the various national costs of their Coupons. Ponzi noticed that by arbitraging these coupons–buying them where they were cheap (like in Italy) and exchanging them for currency where they were expensive (like in the U.S.), he could make a profit. Quite a tidy profit: 400%, by his reckoning.


Arbitrage isn’t illegal. Neoclassical (and other) economists tell us that arbitrageurs provide a valuable service: their actions tend to equalize the cost of investment and commodities across borders, which promotes efficiency (by equalizing marginal returns and costs, less transaction costs). Ponzi explained his scheme to a few associates and friends, and they gave him some money, receiving in return promissory notes that said very clearly: in exchange for $1000, Ponzi would pay 50% interest in 45 days when the note came due. (In theory, the plan could have worked–the changes in exchange rates had created a significant disparity–but it would have been stymied by transaction costs. Though the potential gains were large on a percentage basis, a 400% gain on a three-cent stamp doesn’t net a whole lot of money in absolute terms.)


Word of the good deal spread, and Ponzi had eager investors. He wrote his first promissory note in February of 1920; by March, he had taken in half a million dollars; by the early summer, he was taking in a quarter of a million dollars a day. Some newspapers celebrated the immigrant’s egalitarian dream of sharing financial wealth more equitably; didn’t bankers get rich by depriving little guys of their fair share of returns? Others–including Charles Barron, founder of the financial journal that bears his name–smelled a rat. To invest with Ponzi you had to ignore warnings that for his company to make good on the claims against it, it would have to be holding 160 million IPCs–and only 27,000 were actually in circulation.


It’s not clear that Ponzi ever even bought any International Postal Coupons; from his point of view, he didn’t have to. Thousands of people wanted to invest with him, and it seemed a simple matter to pay his old customers out of the proceeds of the incredible cash flow he got from his exponentially increasing base of new customers. And that’s how Ponzi’s business model became fraudulent–he started treating capital as current income.


As any accountant can tell you, treating capital influx as income is a no-no. Any company that cashes out its capital stock (sells off its productive assets, like factories and infrastructure) and treats the result as income is going to go broke.


And here’s the connection with oil. The fossil fuels of the planet are a capital stock: they represent past solar income the planet received in its 4 billion year history, which wasn’t consumed at the time, but was locked away as fossil energy. (Some geologists believe that the vast quantities of oil and coal that we received as our endowment was made from sunlight that was turned into biomass before herbivores evolved to eat it.) We’re drawing down our capital stock and treating the inflow of money as income. Does this make our economy a pyramid scheme? Consider: anyone who offers you interest in exchange for a loan of money is betting that the economy will grow. (I borrow the price of a gallon of milk today, and promise to pay you a gallon and a pint next year. Multiply by billions: the economy has got to grow, has got to produce a gallon-and-a-pint next year for every gallon it produced this year, or someone is going to be left holding worthless claims.)


There are only two ways an economy can grow. It can suck up a larger flow of matter and energy, or it can achieve internal efficiencies–keep the rate of uptake of matter and energy stable, but lose less to waste and entropy within the productive cycle.

That’s it. There are no other ways. And there are limits to both of these avenues. When we increase the rate at which the economy sucks matter and energy out of nature, we increase the economy’s ecological footprint–which has already exceeded a sustainable level. And while there is still plenty of room for additional efficiencies in how we use that matter and energy, we achieve those efficiencies within physical limits. Many of the things we make we could make using less matter and energy; we cannot make things using no matter and energy.


When debt–a claim on the future productivity of an economy–grows faster than that productivity grows, then somebody who holds a claim is going to have to have that claim go unfulfilled. There are some basic ways this happens in an economy: inflation and bankruptcy. You could, with some effort, correlate the amount of debt that is erased by inflation and bankruptcy every year to the difference between claims on future income and actual increases in productivity. It would be interesting to examine the recurring inflationary episodes and bankruptcy crises of the American system in this light–from the Savings and Loan scandals of a few decades ago, through Enron, on up into the SubPrime mortgage crisis. It seems that the system is always shedding claims on future income, because it systematically allows claims on that income to grow faster than the income itself can grow.


Ecological Economists talk about this stuff. Neoclassical economists do not. From this perspective, compounding interest is a wager that says we will continue to increase our economy’s ecological footprint. Or, to see it from another angle: one of the strong drivers of our economy’s rapacious draw-down of natural capital in all its forms (including our loss of ecosystems that provide crucial ecosystem services) is the practice of charging interest on loans.


(For those of you who are interested, Frederick Soddy was a pioneer in thinking about the perverse relationship between a monetary convention–charging interest–and the physical laws that rule economics. See the discussion of Soddy in Herman Daly and John Cobb, For the Common Good, or see Daly’s earlier piece on Soddy in the Journal of the History of Political Economy.)


So, an hypothesis: for much of the twentieth century, the essential relationship between money and physical reality was obscured by the increasing exploitation of fossil fuel with a high Energy Return on Investment.


EROI is a fundamental measurement that we’re all going to learn more about as we face the end of the oil era. A particular energy source may or may not be economically viable, but that’s an accident of the market, which is a human construct: economic viability is determined by market prices, which are influenced by human thinking, government subsidies, the degree to which an energy source’s negative and positive externalities either are or aren’t reflected in its monetary price.


A sturdier measure of an energy source’s viability is its EROI ratio. How much energy does it take to get a unit of usable energy into the economy? When it takes a barrel of oil to get a barrel of oil out of the ground, refined, and transported to market, the Era of Oil will be over, no matter what its monetary price happens to be.


When I looked into EROI and learned that in the 1920s the EROI for U.S. oil averaged something like 100:1, several things became clear:


If you could invest one valuable unit (like, say, a dollar) and get a 100% return, you’d have to be a fool not to make money. And look at the history of the U.S. in the twentieth century: quite an impressive record of wealth creation. From one perspective, that wealth creation was the result of long, hard struggle, which neoclassical economists and others attribute to the virtues of our free-market system, with its impetus to innovation, invention, and entrepreneurship. Sure, no doubt it was a struggle, and no doubt free market institutions and the quality of American character played a role. But if you were party to a deal in which someone regularly gave you $100 bucks for every $1 you invest, well, you’d have to be stupid or crazy not to end up with quite a pile of money. With the EROI of oil, the U.S. could hardly lose.


Certainly the people who trusted Ponzi were naive, but maybe they weren’t completely stupid. Oil was giving stunning returns; why shouldn’t some other form of investment do the same? I’d be interested to read a good social history that put the phenomenon of Ponzi and his scheme into some kind of broader, socio-economical-historical context. Were people’s expectations of large returns encouraged by the experience of oil?


When you think of the economic history of the U.S. this way, you’re led to wonder: what did all that energy wealth buy? What do we have to show for it?


It’s no accident that oil barons–Rockefeller, Getty–became some of the richest people on earth. Some of that wealth went into millionaire extravagance: mansions, yachts, Adirondack lodges, balls, parties, other forms of material self-indulgence. Some went to philanthropy: it built museums and libraries and universities. And some, through taxes, went to creating our country’s impressive infrastructure: bridges, railways, water systems, public buildings and parks. As we watch our infrastructure age, as we begin calculating what it might cost to replace it, we’re led to this sobering thought: we’ll never have that oil wealth ever again.


And from that perspective, it seems that perhaps too much of that wealth was spent on current consumption: on Gilded Age excess, on mansions and armaments and war, and–yes, the wealth did trickle out into the general culture–on the development of a consumer society in which people measure their happiness by how much they can buy, how many material belongings they have, how fast they can cycle through the irreplaceable resources of the planet.


Oil gave us a once-in-the-history-of-the-planet chance to build a sustainable industrial infrastructure, one that would provide a high standard of living by running on current solar income rather than by drawing down the planetary stock of capital, and so far, we’ve blown it. We’ve been like Ponzi, meeting current expenses out of capital rather than true income. Like him, we’ve built a system that has to grow or it will crash; and like him, we’ve built a system that cannot grow forever, and so it must crash.


Ponzi went to jail, and when he got out he moved around the world, eventually dying in poverty in South America. He survived the crash of his eponymous scheme–not well, but he survived. Here’s hoping that industrial civilization does half as well.




Let’s compare




PROMISES against


Reality & History!




Corporate Subsidy    Market Self-Correction

No Nuclear Energy Facilities have ever been started in any country w/o Government Subsidy first! If Markets “Self-Correct”, why did Republican President, George W. Bush, initiate T.A.R.P. to Save Too Big To Fails? Bush, like Hoover, governed over Stock market Crash! Are Republican Presidents just unlucky? Or do they bring on their own Crises! Either way, we’d ALL (including GOP Corporatists) be a lot better off Economically without them!



Corporate SocialismDeregulated Capitalism

T.A.R.P. (Troubled Asset Relief Program) – If it had been targeted for Middleclass and Poor, they would have called it “Welfare” – That’s what it is: CORPORATE WELFARE! TABACCO ASKS, “Where are the Billion$ in Loans, paid back by T.A.R.P. Recipients? If money didn’t go to paying down debt, ‘We The People’ are SCREWED ONCE AGAIN!



Money Makes MoneyWork Hard To Achieve

Under Capitalism, Mercantilism, Kings & Queens – it matters not – It’s not what you know; it’s whom you know! The poorest paid Workers in America usually work the hardest. Those Elitists that own Stocks & Bonds and populate ornate Board Rooms don’t lift, push, pull or carry anything except their paper profits!



In 3rd World CountriesBusiness Creates Jobs

Why is it whenever Republican Politicians repeat that phrase “Business creates jobs, not government”, they ignore the fact that it was Government that created their job! And Government jobs are rarely outsourced abroad – except for those at foreign embassies.



Democans & Republicrats2-Party System

America has a Dominant 1-Party Political System; a 2-Party System in America is a MYTH! Tabacco calls our System of Dem-GOPer-Dem-GOPer-Dem-GOPer “POLITICAL PING-PONG”! Our Political System has been carefully staged to prevent 3rd Party candidates from having any reasonable chance whatsoever. Many of you are too young to even remember Ross Perot. And nobody alive remembers when former President, Theodore Roosevelt, ran on a 3rd Party Ticket and lost! That’s how difficult it is to get elected in America if you are NOT a Democrat or a Republican. It’s no accident! Our System is the product of careful planning.             



Political Contributions:      

The More You Give,             

The Louder Your VoiceOne Man, One Vote

Money and Political Advertizing turn a single Rich Man’s Voice into an NFL Football Stadium on Sunday afternoon! This is another Myth!

BIG $ = LOTS OF VOTES             

little $ = 1 MSM Propagandized Vote



Chinese Currency ManipulationFree Trade

Where there’s a Will, there’s a way! Capitalism always provides a Way! The Chinese manipulate their own Currency to ensure they can sell their products in America cheaper than any American Company. And 56% of all American subsidies go to the 4 RICHEST industries:

That’s FINANCIAL, TELE-COMMUNICATIONS, UTILITIES, AND OIL/GAS/PIPELINES! But lots of lesser American Industries get CORPORATE SOCIALISM (AKA “WELFARE”) too! So tell me about Capitalism, Keynesian Economics, Market Self-Corrections & Free Enterprise – Go ahead, I dare you!



US Military World DominationFree Enterprise

Might makes Right, and it always has! There never has been a “Level Playing Field”!



Undermine EntitlementsLower Taxes

Note that Republicans do CUT ENTITLEMENTS for Poor & Middle Class, but they NEVER cut anything for the Top 1%! And “Cutting Entitlements” is exactly the same thing as RAISING TAXES on the Poor & Middle Class! See how GOP SEMANTICS camouflage the Truth!



Privatize FICAMiddle Class Opportunity For All

If “Privatized” Social Security ever failed like the Banking Industry failed, you can bet there would be NO T.A.R.P. for those individuals, who lost everything gambling on Social Security – Republicans would NEVER VOTE FOR THAT! Without a 60+ Senate Plurality, Democrats could never pass such a Bill!



Economic UpheavalsBusiness Deregulation 4 All

The Great Depression, beginning in 1929, was caused by the same Strategy of ‘Deregulation’ that fomented the 2008 Financial Crisis – and both those Events occurred on the Watch of Republican Presidents:

George W. Bush in 2008

Herbert Hoover in 1929

I see a pattern here! Why don’t the Voters!



But Not On Caucasians!A-Bomb Saved Lives

2-Cities, and only 2-Cities in Japan were never bombed conventionally during WWII. Can you guess which 2-Cities? Japanese-Americans know the answer; do you? Answer: Hiroshima & Nagasaki! That’s right! The 2-Cities that were A-Bombed by the USA under Harry Truman, a Democrat! Let’s not exonerate his deceased predecessor, Franklin Delano Roosevelt (FDR), also a Democrat! WHY NOT BOMB THOSE 2-CITIES! After all, America was inventing a NEW TOY! When you have a NEW TOY (Secret Weapon), you must try it out on Populations or else you will never know just how deadly it really is, will you!


From the minute America declared War on Japan and then on Germany, those Washington planners knew they had to eliminate Germany first and leave Japan to the EXPERIMENT! Some of you may conclude erroneously that, realizing their oversight (not bombing conventionally Hiroshima & Nagasaki), Truman concluded, “Hey, we have 2 pristine Japanese Targets; let’s A-bomb them and we can ascertain exactly what damage we inflict with A-Bombs – how clever of me!” To those of you, who believe that scenario, Tabacco says, “Stop reading my Blog immediately because you are too STUPID to live – let alone READ!


American Politicians NEVER intended to ‘Experiment’ on German Caucasians when they had Japanese, squint-eyed Orientals as convenient Guinea Pigs! So we dispatched the Germans first (and yes, I know the Nazis were more dangerous, and that Hitler was working on his own A-Bomb); but isn’t it amazing when you have a plan, sometimes things just work out the way you want them to anyway!


So that “A-Bomb saved (American) lives” was merely the EXCUSE, not the REASON! FDR was so pleased to have those yellow Japanese to “play with” so he would never have to drop A-Bombs on European CAUCASIANS! Would Europe ever have forgiven America if he had! Europe would certainly NOT have bought into the EXCUSE!



Profit-Making ExcusesNational Security Wars

If you cannot see the relationship between all these Muslim Wars and OPEC OIL, you must be wearing BLINDERS!

Let’s hope she’s no GOP Vampire!



War As BusinessExclude Military From Budget

A Superficial Examination of US Government Policy excluding Military Expenditures from both our Budget Balancing and Senate Filibuster might give us the perception that this policy is both necessary and valid. After all, what if another Adolf Hitler Nazi-type country rears its ugly head! Worse, what if another Japan-like country attacks us Pearl Harbor style! But, upon reflection, Pearl Harbor was 1941 and WWII ended in 1945. This is 2012! Not a single War or ‘Conflict’, engaged in by the USA since 1945, has been anything but VOLUNTARY! And there have been PLENTY! Countries don’t seem to be prone to attacking other countries, which have Nuclear Capabilities.


Despite the Propaganda (and there is always PROPAGANDA), all these Skirmishes, Wars, Military Actions or Conflicts have been mainly for PROFIT of one sort or another, combined with FEAR of “WMDs”, “Communism”, “Anti-Democracy”, or some other BOOGEYMAN, manufactured by Politicians to JUSTIFY spending your Tax Dollars to benefit War Mongers, Disaster Capitalists & War Profiteers! If you ran a Military Weapons Corporation or a Military Contractor Operation, you WANT WAR – where or with whom is irrelevant – without War, you make no PROFITS! And you still have to pay your own Workers or Troops!


Hitler did it! Napoleon did it! Caesar did it! Alexander the Great did it! Every Numero Uno Military Power on Earth since early BC has followed a policy of “MIGHT MAKES RIGHT” for Profits, Power & Spoils. Why would you think the USA would be any different!


Then there are the Military Contractors like Black Water (a Mercenary Army in which soldiers earn 3-6 times what US soldiers earn, steal lots more, and are not liable for War Crimes as are US soldiers), which is now called Xe because its reputation is so compromised. Erik Prince, Blackwater’s founder, is closely associated with Republican Politicians. Black Water is an Anathema posing as an Abomination. Just one more Capitalist Concoction invented for the purpose of making Profits from Genocidal Wars with Political Ties to America’s Political MAFIA: primarily, but not exclusively the Republican Party!


Don’t forget Halliburton, Dick Cheney’s old Company!



Maximize Profits Only RequisiteIncorporation

The Legal Requirements for Incorporation is that you MAXIMIZE PROFITS – that’s the only stipulation! Oh yeah, there is something enclosed about obeying the Law, but that is vague. And if you write the Laws, you don’t have to disobey them. You just write Laws that favor the Wealthiest Americans and disenfranchise everyone else.



Social Security Trust FundSocial Security Failure      

The SOLUTION to a FUTURE PROBLEM is NOT ‘Raising the Age to 70+’, but billing all those Taxpayers, who exceed the Maximum for all their INCOME just as we do with the IRS Tax itself.


The U.S. Government has a NATIONAL DEBT of TRILLIONS!

Social Security has a Surplus (Social Security Trust Fund without accruing any Interest from Government whatsoever), which topped out in 2010 at $2.6 TRILLION! And Republicans squawk at paying the LOAN back to Social Security.






Privatization – I Don’t Think So!Medicare Failure

Capitalists in General and Republican Politicians Specifically want to PRIVATIZE anything that is government administrated so they can make more profits. There are Billions involved in the Social Security Program, most of which is impervious to the CAPITALISTS’ CLUTCHES! They would that were not the case! Medicare is MEDICAL INSURANCE, not Medical Treatment, paid for out of our SOCIAL SECURITY benefits, which we EARNED by working at least 40 quarters (annually speaking).  If you screw with Social Security, you also screw with Medicare!


What do you think wealthier folks would say if some Politician attempted to modify their private insurance! Remember, that’s already PRIVATIZED!


The Concept that “GOVERNMENT IS INEFFICIENT”, but Private Industry is both efficient and preferable, could only be swallowed by persons, who never heard of Enron, E. F. Hutton (“When E. F. Hutton talks, people listen” – apparently not enough people), General Foods Corp., RCA, DeLorean Motor Co., PaineWebber, Merry-Go-Round, Beatrice Foods Co., Pullman Co., Eastern Airlines, Lionel Corporation, Zzzz Best Carpet Cleaning, Adelphia, (a 9-month flame-out), Compaq, Burger Chef (was 2nd only to McDonald’s), Drexel Burnham Lambert, TWA, Arthur Andersen (Enron Fallout Partner), MCI WorldCom, Standard Oil, Pan Am, Montgomery Ward, American Motors Corp., F. W. Woolworth Company, Barings Bank, Bear Stearns + Home Depot/Linens ‘n Things/Ann Taylor/Foot Locker (either closing or shutting down many locations soon).



Intelligent DesignPublic Education

The Texas School Board voted changes in our textbooks, which affect each and every one of our 50 States. The reason for this sweeping effect is that those Textbook Publishers are NOT going to make one set of Textbooks for Texas and a different set for the other 49! And these changes will last 10-years!


The word “Capitalism” is excised in favor of the less objectionable “Free Enterprise”. If you regularly read my Blog and what I say about “Capitalism”, you already know why.


Thomas Jefferson is being almost excised, while Jefferson Davis (President of the Confederacy no less) is being emphasized. Don’t know why? Does the name ‘Sally Hemmings’ mean anything to you?


Forget about War Crimes, errors in judgment or malfeasance in office; if you were an American President, whose sexual proclivities included Black women, you have committed THE UNPARDONABLE SIN – at least in the SOUTH! Good thing those Texas School Board members don’t know about George Washington’s SEXUAL RELATIONSHIP with his own BLACK SLAVE, BILLY LEE!



GentrificationUrban Renewal

‘Urban Renewal’ is the term! Gentrification is the Goal! Basically, “It’s poor negroes & PWTs out; Rich, Corporate types in!” In case you didn’t know, Harlem is now basically White, Gentrified and the property of COLUMBIA UNIVERSITY! This is NO ACCIDENT! It is the RESULT OF PLANNING & SCHEMING!



Pandering To Capitalist InterestsEminent Domain

For Big Business, there is more Profit in Business Real Estate and HGTV homes than there is in Middle Class apartments and SLUMS! Without Eminent Domain, you would not be able to facilitate Urban Renewal! The Supreme Court sanctioned ‘Eminent Domain’ permits Urban governments to do a REVERSE ROBIN HOOD:


Steal from the Poor and Give to the Rich!


Gee, ain’t America wonderfulllllll!



Foreign OutsourcingNAFTA

My Corporate contact praised NAFTA (North American Free Trade Agreement). Undoubtedly he swoons over all the other FTAs that have followed! He is oblivious to Working Conditions in the 3rd World, American Job Outsourcing Abroad and the condition or Salaries for mid-level employees in America (provided their jobs have NOT been outsourced, that is!)


Capitalists only see MONEY & PROFITS – their own, that is! If his plush gig were outsourced, I just bet his evaluation of FTAs would be 180-degrees in the opposite direction!


If I have a job, the Economy is doing fine. But if everyone else has a job, and I lost mine, there’s a DEPRESSION!



Rule By The Privileged FewDemocracy

I am certain you have recited the “Pledge Of Allegiance”, but have you ever actually paid attention to what you were mouthing?


I pledge allegiance to the flag of the United States of America and to the Republic for which it stands…….


The rest is inconsequential for our purposes! We have a REPUBLIC, NOT a DEMOCRACY!


The differences between a “Democracy” and a “Republic” are subtle but extremely relevant and important. In essence, in a Democracy the People do the voting; in a Republic, the People vote for Representatives, who do the Voting! It is NOT the same thing! True, Representatives are responsible to the People. But that usually occurs in 2, 4 or 6 years in the future. And Peoples’ memories of Political Abominations fade fast. Take a Poll, if you don’t believe me, and ask, “Who was President during 9/11, George W. Bush, Barack Obama or Bill Clinton”?


Also, it would be practically and physically impossible for each Voter to cast a Ballot on each and every piece of Legislation in a country of 300-Million+! Would we really want Joe Q. Public voting on Issues he neither understands nor cares about!


That’s why George W. Bush could say, “I’m the Decider”, oppose the Will of the People and GET AWAY WITH IT!


In our ‘2-Party Republic’, which consists of Democans and Republicrats, We The People have little or no ACTUAL CONTROL OVER OUR OWN “DEMOCRATIC GOVERNMENT”! I call it





American MythologyAmerican Justice

This Self-Serving Myth is so prevalent and so obviously FALSE that I hesitate to mention the minority of its Exclusions for fear of ignoring the majority.


But being a head-first kind of guy, here goes anyway! I shall just mention Groups that have been discriminated against and exploited in America with JUDICIAL COMPLICITY, rather than focus on specific instances, about which you are probably already familiar. There is a limit to your Attention Span!


Native Americans, witches and warlocks, Catholics, Puritans, Quakers, Muslims, select Christian sects, Irish, Italian, Blacks, Japanese, Chinese, foreigners in general, Mexicans, (I omit Brits, Germans and convicted felons for obvious reasons), Hispanics, French, poor people, non-land owners, illiterates, actors, lawyers, teachers, government employees, elderly, juvenile workers, women, welfare recipients, non-Christians in general, Jews, etc. etc. etc. If I didn’t mention a particular group, forgive me! Discrimination is as American as APPLE PIE!



GOP Code Entitlement ProgramsSmaller Gov’t

In case you haven’t figured it out yet, when Republicans say “Smaller Government”, they mean the Marginalization & Diminution of Entitlement Programs for ‘We The People’ if not Privatization (‘Stock Market Crap Shoot’ and ‘Profit-Making Opportunity for the Capitalists’ – for the Uninitiated) or outright Extermination! Smaller Government MEANS:






A Sucker Born Every MinuteAmericanism

George H. W. Bush said, “Even if you don’t support ‘War In The Dessert’, SUPPORT YOUR TROOPS!” That’s like saying, “Even if you don’t support Slavery, SUPPORT YOUR SLAVE OWNERS!” How could you possibly do ONE and NOT do the other!


The Son, George W. Bush, said, “If we leave Iraq now, there will be Civil War!” The fact that British PM, Lloyd George, said exactly the same thing about Iraq in 1920 (and he was wrong lying too) made no difference to Americans, who never even heard of Lloyd George or his quote!


Not to be forgotten, Richard Nixon said, “The American People must know their President is NOT A CROOK!” (Do I even need to explain that one!)





Too Silly For EvaluationEconomic Growth 4 Life

The same comment holds true for Everlasting Oil Reserves, and for the same reasons!



No Abortions For Poor OnlyRight-To-Life

If Abortions are made Illegal, Upper Middle Class & Rich will just go abroad for their Abortions. You don’t really believe Republicans will empower the Federal Government to give Maternity Tests to every female who leaves or enters the USA, do you! That’s what it would take to monitor “Abortions Abroad”! And that’s not how you achieve SMALLER GOVERNMENT!


In case you don’t understand why Corporatists and Politicians might oppose Abortion for the POOR, it’s the same Reason Adolf Hitler installed Lebensborn “Breeding Program” (1935-1945) to encourage German Fräuleins to get pregnant (with or without a marriage certificate) and leave their babies to the State: to produce future soldiers!

          Lebensborn & Daughter:

        Heinrich Himmler’s Creation(s)

Even the author of this excerpted Post above didn’t assess the rationale correctly! Read the Post and you will see how feeble is his reasoning for Lebensborn! Hitler was more Pragmatist than Theorist! If the Rationale does not make sense, then it probably is NOT the PRIMARY Rationale! Like American Capitalists, Hitler did nothing without a reasonable reason. “Racial Purity” could have been no more than a secondary or side effect benefit. Hitler had no problem deploying Aryans as soldiers!


Why do you think the Bible castigates Homosexuality? Because they don’t make babies, who later become soldiers! Biblical Jews were vulnerable, and they knew that if they lost even a Single War, they could become a footnote in history. They were not Paranoid (at least not without reason)! Prescient is a more apt description! Have you never heard of Rameses and Hitler!


Nobody in America is more likely to enlist in the Military than chronically poor youths! To fight our Illegal OPEC WARS, America needs Warm Bodies. Poverty creates Volunteer Soldiers! Poor Illegals would be highly motivated Enlistees under the DREAM ACT!


Why do you think most Politicians want the Dream Act? Republican Politicians oppose it because 11 million Poor Hispanics are more likely to register as Democrats. But Capitalists want those Illegals to join the Military in order to achieve Citizenship – I call it Russian Roulette! Hispanic Leaders@ swallow this SCAM hook, line and sinker – I call them “Unwitting Judas Goats”! Wake up, Hispanic Leaders: “Why are you so anxious to TRADE BLOOD FOR U.S. CITIZENSHIP! No one, not even “House Breakers”, should have to play Russian Roulette for Capitalists’ Profits to stay here!


Of course the Religious Purists oppose Abortion for Moral or Biblical reasons; not so with War Profiteers, Politicians and Disaster Capitalists!


TABACCO’S STRANGE BEDFELLOWS AXIOM: Not everyone opposes or supports the same Strategy or Tactic for the SAME REASON! @


But historically, all these governments have opposed Abortion and supported Right-To-Life for the same Military Purpose! Next time a government or political faction supports Right-To-Life, perhaps you will recognize it for what it is!





There are many more Examples that I have excised or completely ignored. After all, this is America! But even Tabacco gets tired of REVERSING LONG-BELIEVED FALSEHOODS!


TABACCO’S SOPHIST’S AXIOM: We go wrong because we buy into False & Unproven “Truths”; Whether those Axioms are Political, Economic, Social or Religious, make them prove it before you buy in. And use Syllogistic Reasoning, not Trust, Hope, Fear or Faith!



Tabacco: I consider myself both a funnel and a filter. I funnel information, not readily available on the Mass Media, which is ignored and/or suppressed. I filter out the irrelevancies and trivialities to save both the time and effort of my Readers and bring consternation to the enemies of Truth & Fairness! When you read Tabacco, if you don’t learn something NEW, I’ve wasted your time.


Tabacco is not a blogger, who thinks; I am a Thinker, who blogs. Speaking Truth to Power!


In 1981′s ‘Body Heat’, Kathleen Turner said, “Knowledge is power”.

T.A.B.A.C.C.O.  (Truth About Business And Congressional Crimes Organization) – Think Tank For Other 95% Of World: WTP = We The People

Subdomain re Exploited Minority Long Island community




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One Response to The Vast Disparity Between Keynesian Economic Theory/Political Promises And Their Actual Practice In USA! Democrats Often Cannot Keep Theirs Because Republicans OBSTRUCT Anything Designed To Help ‘We The People’ Instead Of The Top 1%; Republicans Keep Their Promises Because They Never Promise ‘We The People’ Anything Anyway! And The Economic Textbooks Are Predicated On A World Dominated By Elite Countries Deploying Capitalism And Violating All Keynesian Tenets; Any Form Of Socialism Is OBSTRUCTED (There’s That Word Againl) Lest Other 3rd World Countries See The Possibilities Not Included Under Capitalism And ‘Domino Theory’ Stampede Over Capitalism On The Road To World Socialism! Why Do We Do Business With Communist China And NOT With Communist Cuba? Because Cuba Is Socialist & China Is Now Capitalist – IT WAS NEVER ABOUT COMMUNISM; IT WAS ALWAYS ABOUT SOCIALISM – Just One More Capitalist LIE!

  1. admin says:


    I invite all professionals, who know Economics text and worship at the Keynesian altar, to respond here and say WHY Tabacco is wrong about Keynesian Theory vis-a-vis actual Economics practices today under Capitalism. Mere quoting of Economics text or unsubstantiated Assertions won’t do it!

    Bible advocates and students do the same thing. They accept Biblical text as axiomatic and quote it to me as if that proved anything. I don’t let those logically challenged folks get away with that. Nor will I permit Keynesians to do it either.

    To all Readers: Have, remember and deploy tried and true Principles, and avoid falling into Traps, set by Sophists, who claim Axiomatic Proof because of the Source rather than the Logic! Rest assured, I have read and understand my own “Sophist’s Axiom”! If you cannot logically argue your own Axioms, better not “open one’s mouth and remove all doubt!”


    PS Years ago, I engaged a Metal’s Trader and Job Applicant on the subject of Arbitrage, which I fully admit I do not completely understand even today. I asked him “Why it worked”, not “How”. He could not answer my question. He knew how but not why! That’s when I knew he was a functionary, not a competent Trader. I was never able to place the young man.

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