When local government meets high tech sovereigns

Sometimes I think city government is sleeping at the wheel when it comes to technology and capital flows. During its lucid moments, government will fall back on its 1960s playbook of economic development by announcing plans to bring back manufacturing jobs that pay better wages than the service sector jobs that replaced factory work and eviscerated wages. This narrative may have worked in a locality that was created to take advantage of proximity to a local natural resource where factories could then convert the resources into goods for local and other markets, but for a city like a 21st century Atlanta, that narrative is disingenuous.

Atlanta’s “natural resource” today is information. Workers who know how to find, extract, organize, and distribute information are going to be the one’s who obtain employment and the higher wages that come along with work in the information sector. This demand for an information-centric political economy, I believe, is being driven by the changing tastes of capital. Capital wants its goods and services delivered conveniently and its production customized.

Information technology allows capital to target funds directly to high-value driven information entrepreneurs that can deliver a product that was designed, manufactured, packaged in, and delivered from multiple jurisdictions. Capital has no love for mass appeal. Why deal with crowded banks, malls, car dealerships, or grocery stores when extra minutes of leisure can be carved out by the manufacturing and service delivery efficiencies provided by Tesla, Uber, Grubhub, and Insta-cart.

Along with these efficiencies in product manufacturing and delivery come smaller work forces or work forces outside of the jurisdiction of local governments. Local governments have been the front line defense of investor capital from disgruntled labor. They regulate labor union speech during strikes. Where there is violence they arrest the rowdy. However, in an information age where there are a greater number of tech shops employing smaller numbers of non-unionized information workers versus a handful of large factories employing thousands of unionized lower-skilled workers, there is less demand for the police powers of local government. Disgruntled employees at today’s tech shops simply take their information knowledge somewhere else or create their own firm.

Eventually government starts tossing and turning in its sleep. It sees its “labor clamp down” requests severely diminished. Higher incomes start translating into reduced need for government services from garbage removal to security. Higher income earning citizens may consider pooling resources to support campaigns of candidates who agree to reducing tax burdens are, too the extreme, support carving out or “leasing sovereignty” to higher income communities.

Question is, how will those with no capital react to the erection of this wall of individual sovereignty?

Learning how to disconnect from the State’s political noise

It has been two months now since I got rid of cable. The noise out of Washington has gotten to be a bit much. Americans appear to be ever increasingly losing their minds over the man sitting in the Oval Office. In less than three years his critics in the electorate will have an opportunity to enter a ballot box near them and vote for someone else.

If engagement in the ballot box and with C-SPAN’s Washington Journal were so fruitful we would have less tension or at least fewer reports on Donald Trump. Social media would be quieter or at least focused on something hopefully less mind numbing (I know that’s a lot of hope.)

As the good people at Reason.com reported back in 2012, one’s vote, in the end doesn’t matter. Given that voting is about the most active political engagement most Americans will engage in, voting amounts to a colossal waste of time.  Citing work done by the National Bureau of Economic Research, of the one billion votes cast in 40,000 legislative elections between 1898 and 2001, only seven contests were decided by a single vote. There are higher payoffs from just about any other activity than voting.

And what does government provide that we feel so emotionally invested in calling each other names, not speaking to each other, or worse, unfriending people on Facebook? Not much for our tax dollar.

For example, do you like the state of your roads or other infrastructure? The American Society of Civil Engineers gave America’s roads, bridges, and ports a grade of “D+” in a 2017 survey. The score has stayed relatively the same for the last 20 years, and given Congress’ inability to fund budgets, especially the transportation portion, I believe that grade will be on the United States’ report card for awhile.

How about America’s education policies? Are policymakers effectively addressing how well the State educates kids? Well, no. Remember Common Core, the initiative detailing what children grades kindergarten through 12th grade should know at the end of each school year? While enthusiastically supported by a Republican and Democratic president, a report by the Brookings Institution in 2012 determined that the policy would have little to no impact on a student’s ability to learn.

The news isn’t so rosy on the collegiate level either. For all its equating of democracy to equality, Blacks and Latinos are equating democracy to a racial disparity in accessing college education. In a USA Today article citing statistics from the National Center for Education Statistics, it was reported that Blacks and Latinos, while enrolling in college on a relatively similar proportion as whites, were enrolling in for-profit schools and community colleges at a higher rate than whites. This is considered problematic, according to the article, because of complications surrounding financial aid.

These are just some examples of the State’s failure to deliver on the benefits that it promises to its “extended employees”, the constituents who vote for the politicians that promise the good schools, good roads, and bountiful opportunities. One would think that more Americans would disconnect from a government that hasn’t kept its word, but on the contrary, like the population who have endured abusive relationships, there is that small fraction of the population that somehow believe that abuse is love.

So how does one disconnect from the State’s political noise? First remember that you cannot avoid the State. The State influences you via its rules and statutes; its courts; the media; and the taxes it levies. You cannot violate its rules without bringing harm to yourself. Your actions should lead to maintenance and survivability of self and family; top optimize your sovereignty. Your goal is to minimize contact with the State and replace its “services” with services provided via voluntary, private arrangement.

A couple approaches that you may have already thought of. For example, avoid owning property. The State encourages its citizens to own property so that a nexus for taxation exists. Work hard to improve the value of your property and every year there is the State swooping in for its cut.

A mistake I made was having my son educated in State schools. If you can, educate your children at home. This way you can devote more time to inculcating life survival skills and critical thinking skills very early. Schools focus primarily on programming children for allegiance to the State’s values. An independent thinking, self-actualized child is one of the biggest threats to the State. Trust me. It’s not some teen-aged gang banger that the State is afraid of. The gang banger can be shot down and no one will raise a fuss.

Another approach, stop voting. Don’t feel bad about not going to the polls. First of all, you are not required to. As we discussed earlier, your vote doesn’t matter. More importantly, the tyranny of the masses that is democracy is fueled by the vote. Why further threaten your individual sovereignty by giving wanna be master any authority to write oppressive rules.

Finally, divorce yourself from government issued currency and form a trading community that uses a non-government issued currency, hopefully one backed by a natural resource. The Treasury issued, Federal Reserve Bank distributed currency is backed by  an economic infrastructure that may be working for some but not for the majority. The currency’s demand should be a reflection of the economy that lies behind it, one that is productive.