TGIF: The Russians Are Coming? The Russians Are Coming?

Civilization, in fact, grows more and more maudlin and hysterical; especially under democracy it tends to degenerate into a mere combat of crazes; the whole aim of practical politics is to keep the populace alarmed (and hence clamorous to be led to safety) by an endless series of hobgoblins, most of them imaginary.

―H. L. Mencken, In Defense of Women

It is in Mencken's spirit that I would size up this announcement from the U.S. Justice Department, titled "Justice Department Disrupts Covert Russian Government-Sponsored Foreign Malign Influence Operation Targeting Audiences in the United States and Elsewhere":

The Justice Department today announced the ongoing seizure of 32 internet domains used in Russian government-directed foreign malign influence campaigns colloquially referred to as “Doppelganger,” in violation of U.S. money laundering and criminal trademark laws. As alleged in an unsealed affidavit, ... Russian companies..., operating under the direction and control of the Russian Presidential Administration, ... used these domains, among others, to covertly spread Russian government propaganda with the aim of reducing international support for Ukraine, bolstering pro-Russian policies and interests, and influencing voters in U.S. and foreign elections, including the U.S. 2024 Presidential Election.

The release quoted FBI Director Christopher Wray: “Companies operating at the direction of the Russian government created websites to trick Americans into unwittingly consuming Russian propaganda. By seizing these websites, the FBI is making clear to the world what they are, Russian attempts to interfere in our elections and influence our society."

So once again a foreign power—usually Russia—is allegedly trying to manipulate the American people with disinformation as a presidential election is coming on. How dare the Russians do this? Political manipulation is allowed only to certain anointed Americans. It's a position of privilege. So the government will protect us from "consuming" Russian propaganda without knowing it. We're too stupid to check claims out for ourselves when they sound fishy—even when they come from so-called legitimate" sources. (Point of information: are Russians incapable of saying anything accurate worth hearing? Just asking.)

Before we get all primed for nuclear war, let's take a deep breath. Maybe it would help to picture a scene that may or may not have occurred in the Kremlin.

Picture President Vladimir Putin (not a guy I'd ever hang with) summoning a top aide to his office. "Sergei, I have a great idea," he might say this trusted aid. "Here's $10 million. I want you to launder it, then have some American-looking company pass the money to big-time American internet influencers. But make sure the money goes to people who are already saying what we want them to say. No sense wasting it on people who don't like us. Pay these friendly guys to post propaganda favorable videos."

Putin might have gone on: "What we want to do is capitalize—pardon expression, comrade—on the American sport of arguing about politics and culture. Muhahahahahaha! Yes, I know, America is severely divided over more issues than I can name. But it's not divided nearly enough for our purposes! We can do better, da? This will help us in many ways, primarily by disillusioning Americans about Ukraine. That would be good, nyet?"

After hearing Putin, Sergei might have laughed under his breath and agreed to oversee the project. Why might he have laughed? Because he might have been thinking, "Do we need to pay even a ruble on polarizing America? What a waste of money! America is doing just fine polarizing itself. They don't need our help. And $10 million? Is he kidding? That's a drop in the bucket compared to what Americans spend bitterly promoting their views on public issues. Is this the Putin who's cracked up to be so foxy? Sheesh! Maybe I should be president."

According to the government's indictment:

Many of the videos published by U.S. Company-I contain commentary on events and issues in the United States, such as immigration, inflation, and other topics related to domestic and foreign policy While the views expressed in the videos are not uniform, the subject matter and content of the videos are often consistent with the Government of Russia's interest in amplifying U.S. domestic divisions in order to weaken U.S. opposition to core Government of Russia interests, such as its ongoing war in Ukraine. [Emphasis added.]

Immigration, inflation, and other topics related to domestic and foreign policy? Are we to believe that Russian officials think they need to amplify divisions in America? How much more amplified can they get? And what about the Justice Department's acknowledgment that "the views expressed in the videos are not uniform"? What are we being asked to get upset about?

J. D. Tuccille writing at Reason points out:

Translated Russian documents [provided by the Justice Department] outlining a "guerilla media campaign in the United States" caution their intended audience that "in the United States there are no pro-Russian and/or pro-Putin mainstream politicians or sufficiently large numbers of influencers and voters. There is no point of justifying Russia and no one to justify it to." [Emphasis added—SR] The campaign was meant to exploit "the high level of polarization of American society" by paying commentators to say things they were already saying.

It's not clear they got a lot of mileage from that program.

That's an understatement, I'd say. But Putin's objective (if he was behind this) might simply have been to upset American officials and the public. Here's a suggestion: let's not get upset. Read the rest of Tuccille's article for more particulars about the effectiveness of meddling and about the U.S. government's own sorry decades-long record of manipulating other countries' political systems. Then remember the advice about stones and glass houses.

"So, take reports of Russian interference in American elections with a grain of salt," Tuccille advises, "knowing that Putin is paying Americans to say what they already believe, and the U.S. does the same in other countries. Importantly, none of that interference prevents you from making your own decisions."

I have plenty of criticism of democracy, as readers know, but I wonder: is America so fragile? Or is this one of Mencken's hobgoblins? If so, who benefits?

TGIF: What Government Has Wrought

Imagine two candidates for president, and ask yourself who is more likely to win.

Candidate A observes that people are facing generally rising prices. Their total at the supermarket checkout is higher than last year. Filling up the car at the gas station takes a bigger bite out of the budget. Everything the kids need seems costlier. Besides all that, the prospect of buying a home or moving to a larger apartment looks grim—too expensive.

Responding to this situation, Candidate A launches a campaign promising to defend the middle class and other working people against "corporate greed." Specifically, he proposes an expanded child tax credit, a crackdown on "price gouging," and down-payment subsidies to first-time home buyers. Targeted tax credits to homebuilders and small businesses are among the promises. (These and other tax credits are called "refundable," which means qualifying people who pay little or no taxes have their nonexistent tax payments refunded to them—a logical impossibility.)

Candidate B, not your typical frontman for a mass-marketing campaign, sees the same hardships as Candidate A, but he has a different message. He pledges to move heaven and earth to repeal taxes on savings, investment, and business, including the capital-gains tax and the corporate income tax. He explains that taxes on savings, investments, and enterprises are dishonest because businesses don't pay taxes; they collect them—from workers, customers, and corporate shareholders. Such taxes constitute double and even triple taxation. (See Roy Cordato's "Corporations Should Pay Higher Taxes?" and "Taxing Investment." ) He also promises to work to abolish regulation on business, which raises production costs, hikes prices, and reduces the supply and variety of consumer products.

The candidate unabashedly promotes his plan in the name of economic growth and prosperity for everyone. He does so because he believes that the only way for everyone to get rich(er) is for production to expand, for labor to become more productive, and for real prices to fall through increased supplies. That requires saving and investment, that is, deferred consumption. Anything that discourages savings is bad, he says. He favors prosperity, he says, over income equality, which is a recipe for poverty.

The candidate proposes to accommodate the lost revenue by pushing Congress to cut spending all through the budget. He also calls on the governors, county executives, and mayors to eliminate the barriers to home and apartment construction, including zoning, because, he notes, high housing prices are caused by politically restricted supply. This is especially egregious where some of the most lucrative jobs are. However, since housing is artificially scarce, many people can't move to where the best jobs are because they're priced out of the housing market. He also promises to get rid of any federal regulations that keep the housing supply from meeting the demand.

In general, Candidate B explains to voters that increased consumption requires increased production (not vice versa) and that bureaucracy discourages savings and raises costs and prices. The government is not good at creating real wealth; it is a consumer and engine of transfer, not a producer.

Who's likely to win the election? The one who promises direct help to middle- and working-class consumers or the one who promises to help them indirectly by freeing up entrepreneurship and free enterprise?

Does anyone doubt who, other things equal, would prevail? Candidate A would be widely portrayed as a champion of the people, a hero bursting with compassion and courage to take on special interests. Candidate B would be portrayed as a shill for Big Business and Wall Street, who favors having all the wealth go to the top 20 or even 1 percent, while the rest of America gets poorer and poorer. (Although that is the opposite of what's been happening for many decades.)

In other words, the candidate who understands how the free-enterprise system tends to work when left unmolested by politicians and bureaucrats will be scorned as an enemy of progress. Meanwhile, the candidate who either is ignorant of economics or engages in demagoguery will be lifted on people's shoulders and carried into the White House.

That's what a representative democratic republic produces. The result is a total national debt—$35 trillion and change—larger than GDP—almost $29 trillion—not counting the unfunded liabilities of the so-called entitlement programs. Interest paid on the debt will be about $900 billion this fiscal year, which ends September 30. Annual budget deficits have hit $2 trillion, which the government covers by selling bonds, which in turn the Fed (short for Federal Inflation Generator) buys up, creating money out of thin electrons. Inflating the money supply then raises prices generally as more dollars chase the same amount of goods, imposing hardship on regular people. A fiscal crisis looms.

If this tale of two candidates does not make you question the utility of government, what would?