Saturday, May 8, 2010

BloggeRhythms 5/8/2010

While writing about the Rudy Giuliani movie yesterday, there was a word that kept circling my mind but wasn't used in the entry. The reason I thought of the word was, that although Rudy is driven by a host of things in striving to accomplish his goals, I think one in particular is more important than others, as well as it is for most successful people.

The word is incentive.

According to Merriam-Webster, incentive is something that "incites or has a tendency to incite to determination or action." Rudy himself, while talking to his wife in the movie explained, more or less, that he thought the difference between democrats and republicans was, democrats always talk about change, but republicans go out and get things done.

Now, I think that by using Rudy's own definition of political party differences and incorporating the dictionary description of incentive as well, a clear picture can be developed of where and how party objectives in the U.S. are polar.

To begin, republicans strongly believe in free markets, low taxation and minimization of governmental control. This belief, in and of itself, puts the greatest economic risks on individuals themselves, permits them free reign within the law, but most important of all, offers by far the greatest individual rewards.

In this way, republican philosophy "incents" people to try their best. Thus, the greater one's capability and the harder one works, the more benefit an individual gains. That has also been an American fundamental approach to life since our country began. And, through it all, regardless of the ups and downs that have taken place over time, the country's become the most successful for all its citizens in the history of the world.

Now, lets look at the other approach, which begins primarily by taking individual incentive away. When that is done, the question becomes, particularly when it applies to economics: What's the point of hard work if there's no reward? Of course, one might say, in that case: "Well, we're all in this together and pulling for each others welfare" that's why one should want to work.

But, what really happens when incentive is removed and the spark of altruism burns out over time? If folks are going to receive the same rewards, regardless of how hard they strive, I doubt you have to be very smart to figure out there's no point to over-achievement. And, in that regard, there's no penalty for underachievement either.

The best examples of how poor performance really becomes when there's no reward for exceeding goals, extraordinary accomplishment nor job penalty for poor execution are the teaching profession, the civil service, and government itself. In all three of these occupations the cream never rises to the top because there isn't any to begin with and anyone seeking reward for outstanding performance would never consider those types of careers at all.

Now, are there flaws in the world of pure competition? Of course. Greed, avarice, and illegality are always present, regardless of whatever economic system is employed. Its probable, for example, that the underground economy in Russia and eastern Europe was larger than the Soviet budget itself. So, government taking over all aspects of life, in order to "protect" its citizens, surely isn't any kind of viable answer. And, that brings us right back to risk and reward.

Whether the subject is business, trade, education, health care, medicine, sports, science or any other endeavor requiring exceptional individual effort to get to the top, if there's no reward for trying your best...no one with any real capability will make the effort. And when it doesn't make any difference whether you're competent or not, because some "uncle" will insure your survival, you've programmed yourself to fail.

And that's the Achilles heel of a welfare system. It promotes a population wherein nobody but the politicians even try to win, because while everyone else is homogenized and reduced to their lowest levels, the politicians themselves are still greatly incented. And that incentive is -to steal as much as they can from everyone else for themselves.

That's it for today folks.

Adios

1 comment:

  1. "the greater ones capability and the harder one works, the more benefit one gains.". What dream world are you living in, Mike? Where is the benefit for the single mother working three jobs and still can't make ends meet? Where are the benefits forbthe 8 percent of Americans who can't find work because your capable and hard working oligarchs crashed the economy - while becoming ridiculously wealthy? You've got a politics that only works for yuppies (like me), my friend.

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