Thursday, June 27, 2013

The Diminished Value of Human Beings in the Dependency State

Land, labor, capital and entrepreneurship are the essential factors of economic production.  Two of these factors, labor and entrepreneurship, are human factors.  Production has been defined as the mixing of human ideas and effort with natural resources (land) to create utility – i.e. something of value.

In a free economy, human beings are the most valuable components of productivity.  Humans bring their effort, energy, skills, vision, creativity and ingenuity to bear in creating those goods and services that profitably meet the needs of other human beings.  It can be safely said that, in this world, there will always be unmet needs and, therefore, work to be done.  Thus, by introducing more human beings into the economic equation, more work gets done and more needs are met.

However, in the modern dependency state; people are more likely to be looked upon as liabilities than as assets.  The economies of the developed Western nations curtail production with a myriad of taxes, subsidies, regulations and work rules. 

To say that productivity is curtailed is to say that human beings are forced out of performing productive, creative work.  Because great numbers of people are prevented from producing useful goods and services they become wards of the state.  And once people become wards of the state, they are no longer productive assets, they are now expensive liabilities.

Thus when the modern welfare state begins to consider a great many of its constituents to be costly liabilities, it is only natural that they will want mitigate their liabilities by reducing the absolute number of dependents. 
Therefore it is only logical that we find Western governments subsidizing the non-production of new people / new liabilities by underwriting contraception and abortion.    And now the latest foray is the systematic state promotion of homosexuality.  Western democracies are actively promoting same sex relationships that are as infertile and unproductive the economies that they have ruined.

In the early 1950s millions of refugees from Communist China flooded into the British Protectorate of Hong Kong, then a tiny fishing village.  At that time the world’s thought leaders were predicting a demographic and economic catastrophe and for this tiny city-state.   They said that it could never support more than 1.5 million people.  The rest is history.  Hong Kong became a free market, capitalist miracle that today supports over 7 million prosperous residents. 

Ironically, while crowded little Hong Kong was thriving, its big sister, the People’s Republic of China was floundering economically while forcibly restricting couples to one child.  This policy led to the genocide of millions of baby girls by couples who wanted a boy.  Because of this gender-cide China now faces a woman shortage which has encouraged a vibrant underground sex-slave trade.

Hong Kong taught the PRC to liberalize its economy and has unleashed a powerful engine of growth.   Hopefully Hong Kong will also show China, along with the rest of the industrial world, that people are assets to be cherished and not liabilities to be limited.

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