America; The Next Rome? Or Are We Going To Change?

in #economy8 years ago

All great Empires or civilizations throughout history follow the pattern of a prominent rise to power through mostly military conquests, followed by the dominance and expansion of that prevail civilizations economic model, trade laws, and societal culture. However, every such empire then follows the pattern and fall victim to over expansion, a cultural forgetfulness of the core values which got the domination civilization to a point of leadership, and a weakening of that dominating civilizations economic base. This weakening comes about as the human desire for goods or services becomes an economic or societal need, and those goods, resources, or services can only be found outside the dominating civilizations original homeland and located only in the parts of its empire which now must be controlled and protected. This sustained need for a forward fighting and occupying military apparatus inevitably becomes too expensive and costly in moral, global or regional soft power and influence, as well as too great a toll in actual capital and currency.

Human history is full of such examples, for example the Greeks under Alexander the Great, the Roman Empire, the Ottoman Empire, the British Empire of the 1800’s and 1900’s, the Soviet Empire or USSR, and unfortunately unless we as a country can’t learn from the mistakes of others and don’t pay attention to the past the United States of America and it’s empire like powers globally. We have already fallen victim to two of or arguably three of the death blows which strike down all mighty empires. One, we are over extended both militarily, politically, and economically, where our country itself owes a great deal of debt to foreign countries. Two, we have forgotten our Constitution and thereby ourselves, which is reflected in how we are viewed globally. Globally, we are now the hypocritical bully empire, instead of the forthright purveyor of justice whose help was often sought. Other Countries were obliged and happy where the American’s came as other countries knew what we stood for, as we held ourselves, government, and leaders accountable and in-line with limited power provisions and laws of the Constitution. Other Countries knew they could trade squarely with the US, as our core laws did not change. Three, we are dependent on oil from the Middle East, and are forced to maintain forward capable military power in order to assert our will and control assets or resources which are not found in sufficient quantity for the Countries needs inside the boarders and traditional home lands of the United States of America. Four, the cost of the weight of our huge military complex is crushing our economy, coupled with the continued outsourcing of jobs to foreign markets where cheap labor is readily available to manufacture goods.    

Becoming aware of the cycle and syndrome is merely the first step towards escaping the still very avoidable outcome, which America has currently charted as a destination. The reason for this is in fact the awesome power of the United States of America. However, certain steps must be immediately undertaken and policies set at the highest levels of government. First, we must address our foreign policy approach, practices, and in fact way of viewing other sovereign countries. First, we must stop and avoid believing that other countries are our pons and resources to exploit at will through economic and military power and influence. We must adopt a partnership based value added approach to our foreign policy and diplomatic relations. To many this will seem crazy as how can we as a country bend other countries to our will and desires through the approach which I am proposing. The fact of the matter is we cannot impose our will upon other countries, and more to the point we need to step away from the idea that imposing our will is a possibility either through military or economic force. Through this approach we can and will find our relations with other countries much more reasonable and fruitful in the outcome.

     By way of example of failed and failing diplomatic policies, which are currently employed I call attention to the current state of the world. To this extent if the purpose of our foreign policy has been to coerce other nations to do our bidding or at least adopt an economic and political policies and styles more compatible with our own, then the foreign policies employed for the past twenty to thirty years have failed. Example number one are the failed sanctions levied against North Korea, Iran, and Cuba. In all but the case of Cuba, the United States foreign policy tactics utilized to prevent these countries from acquiring nuclear weapons, adopt more democratic governments, or exert any form of real control over these nations has failed. Instead, we isolate and starve countries, while creating a new generation of citizens in each of these countries who is ultimately hyper vulnerable to the anti-American propaganda produced by the leaders of these countries.



   Part of the problem with long term economic sanctions is that the sanctions have gone on so long that these countries don’t even realize the possibilities or capabilities they’d possess if the sanctions were lifted. In other words, eventually these countries get used to being poor, and forget that there is a possibility of something better.  In effect, when employing a carrot and stick methodology, one must occasionally allow the rabbit to catch, keep, and eat the carrot. The reason for this is deprived of the carrot for long enough, the rabbit can and will forget what carrots taste like, why the rabbit would miss a carrot taken away, why the rabbit even wants the carrot, and eventually stop chasing the carrot all together. At this point all one is left with is the stick, but unfortunately over use of the stick can and will cause the rabbit to develop thicker skin. Pretty soon all forms of possible coercion short of all out warfare, which profits very few people if any one, are lost and along with such influence America loses any useful business or trading capabilities which could and should had been created with the sovereign countries like Iran, North Korea, or Cuba. In this regard, the United States of America does lose opportunities for true influence and profit to the new world powers like China or India, whom are willing to provide the carrots certain countries have been so long denied through sanctions and international trade embargos.



     However, America’s best chances are to take a hard look at our own financial house, and as a nation decide if we want to sink or swim. The one thing that America does have going for her, is the fact that we are in fact America. No one, or no country can beat the United States of America, but we can and are most definitely beating ourselves to the bottom. How? By forgetting who we are, what we stand for, how we operate, by ignoring the voices from our forefathers and generations past, while our nations competitors and trading partners are becoming more profitable, advanced, educated, and competitive than we are. How exactly are our competitors and trading partners surpassing us? Are they utilizing some secret economic recipe if you will, which America cannot obtain to bake these perfect goodies of socio-economic scrumptiousness? The answer is no, and what’s even more frustrating is what no one wants to admit to themselves in their greed fueled dreams of gluttony that would make even the likes of even King Midas sheepish with thoughts of over extravagance and ego gone too far, is that the me first, me second, me only, get rich at the cost of everything and everyone (except me of course.), including loyal employees, the environment, their fellow countrymen, and the very country itself is that the recipe countries like Germany are using is the old American economic recipe!



  Yes, it is true! As if to show America and those utilizing American styled capitalism in its most recent embodiment that the “Classic Economic Coke” recipe is fundamentally better, better liked, and better for one’s country than the New Economic Coke Recipe we are currently using, the Germans are single handedly showing America what we once showed Germany. What is this recipe exactly that allows Germany to have the highest GDP, an energy independent country, strongest dollar (Or largest say in the EU, or largest economic pull.), a healthcare system where any citizen may walk into a hospital and receive free care, a standard of living which could easily make the poorest Americans appear to be living in third world conditions, and an economic projected and prospected to remain the front runner leader of all the western styled capitalist countries far into the foreseeable future? Well, it is literally nothing less than that old American recipe for Classic Economic Coke (Almost done with recipe metaphors, I promise.), and it’s still just as economically tasty as it was before we switched to this New Economic Coke recipe.



   So should President Obama and the Legislature call Germany to ask for a copy of the recipe, because we apparently lost our recipe? Absolutely not! What America must do is dig back into its time honored, tested, and proven to be successful recipe boxes, and change the formula back to the Classic American Economic Coke that the entire world has been waiting to get a taste of. Remember after all, it is our recipe, and no one mixes that formula quite as well as its inventor which is the United States of America! If you can’t remember the formula don’t worry, as I have my copy of the formula right here. Moreover, I would like very much to share it with my readers, so they may in turn share it with more America economic coke drinkers. Where do we start? I thought you’d never ask?

To begin with all our rights must be restored, and the Patriot Acts and all laws and bills related to it or that are like it must immediately be stricken from the books! The United States of America must once again become that bastion of freedom, democracy, limited government, and of the rule of law, even at the cost of the risk of being less secure. In fact, especially when the choice is between safety (Or at least the illusion of Safety), and the surrendering of our rights and freedoms exactly because freedom has never been free. “Now, wait a minute Joel, we were talking economics, and you jumped straight to a legal and political issue! What’s the big idea?” I’m so glad that you know how to ask me the appropriate questions at just the right time, because to answer you I say… Exactly! “Exactly what?” Exactly we were talking economic policy, and I hauled off and started talking about the current threat to our civil rights! The reason is what you and most Americans actually believe is that those two subjects are not related, but to the Germans and other true connoisseur of the Classic Economic Coke the two issues are inexplicably linked!

 The first thing that must happen is America and New economics Americans need to stop thinking about business and economics as a subject or thing that is isolated, and in its own sealed bubble away from being influenced or influencing anything else around it. That is one of the most basic and common ideas that the American public complains is an ever growing problem with companies and economists, as well as the hardest motion and idea for American’s to get over or past at the same time. American business likes the idea of business and economics in a sealed non-holistic or interconnected idea, because it justifies and validates the current business culture of “Profits at the cost of everyone and everything, except our profits of course!” In this model or capitalistic method ideas like outsourcing, pay reduction, benefit cutting, environment pollution, and ethical corruption are justified and even encouraged, as no matter what you do in your quest for higher profits it can never or will never affect absolutely anything else in your universe. However, as we are now watching first hand with a lot of large America companies, this model and economic theory just simply isn’t reality at all. In fact, what’s turning the heads of many well respected economists and business leaders is the fact that one of the things that is suffering more than anything else by adopting a model of profits before all else, is in fact actually turning out to be their all-important profits! This has had the effect of sending many corporations scrambling to seek out more sustainable and holistic approaches and business methods to mitigate their now shrinking profits.       



“That’s great Joel, but you still have yet to link for me America’s economic decline, German rise as a new economic power-house, the Patriot Acts, and the thought and culture of greed and profits above all else, which you claim (And I believe most people would agree with.) is the dominant capitalistic theory and model. I would love to hear Mr. Big Brain Joel Drotts Juris Doctorate argue his way out of the geo-political and socio-economic corner he’s now painted himself into. Please, mystify us with your genius! Please, make the connection, which apparently no one else has seen or believes to exist!” Oh… Momma will feed you baby birds, because I’d never leave you hungry my little knowledge hungry doves. I have three words for you, and they are Broken Window Theory. “What does a well-known psychological condition from Criminal Justice and Police Science have to do with any of what you are talking about?” I thought you’d never ask. As you know in social psychology and police science there is a theory known as Broken Window Theory. What Broken Window Theory is is an accepted social-psychology theory that simply says by way of example that when one walks down the street and notices a broken window or graffiti on the walls that humans will inherently care less about that particular street or area, based on the fact that they believe the residence of that street or area don’t even care about the area or street, and may be shady or scummy people. In other words what Broken Window Theory explains is the beginning of a social psychological snow ball effect and existence of a culture of “Who cares about it, because it’s already crummy, broken, or ugly. Therefore no one wants to be the only one who cares, less they become the one idiot whom decided to attempt to blow against the wind! However, I believe that Broken Window Theory can be extrapolated, spread, and grown to a national level much easier than people tend to understand or believe. Especially, when the broken window is affixed to that brick and mortar house, which until of late always shined as an example of how a pristine, well ordered, and well-manicured home should look, which served as THE example of how a house of freedom, liberty, justice, and law should look! I am speaking of course about the United States Constitution, the broken window is the Patriot Acts and similar laws, and the culture, mood, morale, and unethical greedy behavior which has pervaded through-out the country, especially in business where government regulation in some form is the norm, has become ever apparent!



 To that end, our leaders in Washington and their creditability, leadership, and attempts to set both culture and policy will be continuously undermined by the hypocrisy of a government that demands its people to obey the laws and policy, but flagrantly disregards the rule of law itself by enacting, pursuing, and trying to enforce illegal and unconstitutional laws like the Patriot Acts. The window that is broken is far too apparent to the citizens of this country and to the rest of the world. It’s like that joke that came out recently where, “President Obama calls the President of China and demands that China stop spying on American citizens, to whom the President of China replies ‘You, stop first!’”  In business it’s called corporate culture, which is the policies, attitude, personality (Yes a business can have a personality, which is derived from the collective attitude and personality of those whom work there.), and the intangible je ne ce’ quo which can and often does either make or break a company. Well, when it’s the United States Government and her citizens, as opposed to a company, we just call it culture. However, that doesn’t make it any less important, real, recognizable, or concrete while staying ever illusive. However, one fundamental principle of all leadership will always remain true and the same and that is leaders always lead by example! Even if they don’t want to, care to, or mean to! Even if by the sheer nature of being the leader who people look to for guidance and direction, nothing will speak more to those whom a leader leads then the leaders’ actions. This is why generals that fight on the front lines with their soldiers are always admired through-out the history of warfare. Therefore, when the United States Government states obey the law, while blatantly violating the most sacred of our laws itself a culture of “who cares, “yeah right,” “You obey first,” and subconscious passive aggressiveness towards the government does and will continue to be present until such time as the United States Government leads correctly again, obeys the constitutional boundaries which makes it a government of limited power, and restores the rights and protects the privacy of her citizens instead of being the number one violator of our rights and privacy can the nation ever return to the Classic Coke Formula. The reason being is freedom, the rule of law, and a fundamental trust in the government and its agents to obey those laws, is some of the most important ingredients to the classic American economic coke formula.


    It is through this lens, and with this understanding of not only the power but the value and importance of the collective thought of a group of people or country, or their culture and from where it is derived originally, can one begin to understand how and why I began with the current culture of politics and the United States Governments interactions with its citizens, in order to explain why there is a culture of “screw the country” and “I am out for only myself and my profits” that is currently running America in first place in the race to the bottom! Even if they don’t realize it, business and business leaders have been and are greatly affected by this culture. The reason being, if they are not, then they gets put out of business. However, in Germany they have a much stronger sense of national pride, togetherness, and social responsibility to country and countryman. This is made apparent in the structuring and ownership of German companies, whereby most if not all employees own stock in the companies at which they are employed. In so doing what the Germans have done is give their employees a personal stake in the company, as well as say in the course, direction, and in some cases the leadership of the company. This has proven extraordinarily valuable as an employee retention, work output, and feeling about the companies they work at. More importantly it prevents egotistical CEO’s and corporate officers from extracting from German companies undeservedly outrageous payment packages, while practically starving out the low level employees. This still unequal, but fair pay system has born great fruit in the German economy as German employees can actually afford to purchase the goods and services that their employers have to offer.

The idea of fair pay or even good pay is not a novel one, and as the German economy is proving is the absolute best way to ensure the continued profitability of even the largest corporations, as a company could have no more loyal a shopper or consumer then its own employees, their family, and their friends. However, American employers need to rediscover their Henry Ford, who said of his employees “Every one of my employees can afford to purchase one of the cars that they are making, on the salary I pay them alone.” When one extrapolates this out nationally then all of a sudden foreign markets and even foreign manufacturing becomes less of an issue, as or if the disposable income of American workers raised significantly then American companies could do two things. The first is safely rely on the fact that they have an extraordinarily strong domestic market full of well moneyed workers that not only want to purchase their goods and services, but would then in turn have the buying power to do so. Secondly, as the standard of living and median income rises in the United States then American companies would no longer have to seek foreign cheap labor sources in order to remain profitable. Yes, the cost of their goods and services would rise in cost, but the buying power of the domestic markets would be there to afford the new slight rise in prices. Why? Because as American factories began to come back home, and began to pay well its American workers, the average purchasing power of the American worker would not only rise but multiply as well as their would be more employed American workers with paychecks to spend.

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