Message-ID: <008301bde57b$e19c58e0$5d14fea9@jay98> Date: Mon, 21 Sep 1998 06:21:24 -1000 From: Jay Hanson <mailto:j@QMAIL.COM> Subject: Re: CORRUPTION To: mailto:DEVEL-L@AMERICAN.EDU
From: Morten Emil Hansen <mailto:MEH@IBIS.DK>>I am currently looking into the complex issues of third world corruption,
>especially anticorruption strategies and reforms implemented by Governments
>or international donor agencies. Although the fight against corruption has
>been carried out for years, the results are inadequate and the empirical
>data very limited. Why is that so ?
On need not go to the Third World to find corruption. Why not combine your research with a trip to Disneyland-on-the-Potomac? If you want to go on all the favorite rides -- like the Lincoln Bedroom -- don't forget your checkbook: "I see the White House is like a subway – you have to put in coins to open the gates." – Johnny Chung (1997)
Although we reserve that term for Third World countries, in truth, America was founded on political corruption:
"In 1757, one of early America's wealthiest men sought a seat in Virginia's colonial legislature, the House of Burgesses. The gentleman left nothing to chance. To guarantee his election, this aspiring politician bought 28 gallons of rum, 50 gallons of rum punch, 34 gallons of wine, 46 gallons of beer, and two gallons of cider. Contemporary observers were impressed. There were, after all, only 391 voters in young George Washington's district.
"In 1884, one of the wealthiest men of his time, Henry B. Payne, wanted to become the next United States senator from Ohio. Payne's son Oliver, the treasurer of Standard Oil, did his best to help. Just before the election for Ohio's seat, son Oliver 'sat at a desk in a Columbus hotel with a stack of bills in front of him, paying for the votes of the state legislators,' who then elected U.S. senators." [ 12 p. 12, Sam Pizzigati, THE MAXIMUM WAGE; Apex, 1992. ISBN 0-945257-45-7 ]
America's so-called Democracy selects for corruption:
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BAD DRIVES OUT GOOD
Systems that select for failure are often called Greshamite systems after the English financier Sir Thomas Gresham (1519?-1579). His name was given to Gresham’s Law, the economic principle that "bad money drives out good. " When depreciated, mutilated, or debased (bad) money circulates concurrently with money of high value (e.g., silver or gold), the good money disappears because of hoarding. As more and more people notice that good money is being hoarded, more and more good money is hoarded—runaway positive feedback. Ultimately, the monetary system fails.
American Democracy can also be seen as a Greshamite system. To understand why, first consider the theoretical premise of our political system: a government that is willing to act for the Common Good. Next, consider two very different candidates for public office. Ms. Honesty believes in the principle embodied in our Pledge of Allegiance "... liberty and justice for all." If Honesty is elected, she will treat everyone fairly and pursue the Common Good.
Mr. Corruption is a good capitalist who motivated to pursue his own private gain. He has studied the system carefully and knows that he can gain political power by rewarding his friends and punishing his enemies.
Which of these candidates has the advantage? Obviously, Corruption has the advantage! Here's why:
Mr. Jones is a local developer who has money, employees and influence. Philosophically, he is an average, self-interested individual who was trained by television (and to some extent by his family and formal education) to consume as much as he can. In fact, Jones can’t even remember ever hearing about public goods.
Will Mr. Jones contribute to Ms. Honesty? No, why should he? If she wins, Jones will receive justice and fairness from her anyway (a public good). If she loses, Jones will be punished by Mr. Corruption for helping her.
Will Mr. Jones contribute to Mr. Corruption? Yes, because Jones has been promised a change of zoning (a private good) so he can build his new gated community. Jones writes a check for $2,000 to Mr. Corruption and has a few dozen employees volunteer to help out on Corruption’s campaign.
American Democracy tends to elect politicians who are motivated to maximize their own private gain (there are some rare exceptions). Runaway positive feedback occurs as politicians need more and more money to run for public office. As this process continues, more and more politicians are corrupt.
Bad drives out good and Corruption drives out Honesty. To what end? In the end, we do not even have a political system (one-person-one-vote), only an economic system (one-dollar-one-vote).
Jay ------------------------- COMING SOON TO A LOCATION NEAR YOU! http://dieoff.com/page1.htm