Free Market Capitalism Based On Voluntary Exchange

A Talk to Intermountain Republican Women Federated

 Thank you ladies for inviting me to speak about my new book, Romancing The Voters, A Handbook on Republican Political Talking Points. You can depend on this brief Handbook when you need to be quickly conversant on issues you don’t have time to research and want to become more politically persuasive.

At such events,  I’m usually asked to tell some political jokes —-I can’t —- They’ve all been elected.

However, let me mention that  diapers and politicians must be changed often —-  and for the same reason.

My favorite political story is of President Lyndon Johnson taking a gaggle of reporters on a tour of his Texas Ranch. He stepped in a fresh Cow pie, looked down and exclaimed, “Oh my Gawd, I’m melting.”

With the recent Presidential election, some of us feel like the great American philosopher in the “Peanuts,” comic strip: Charlie Brown.

After losing his 99th consecutive game, Charlie Brown, hangs his head down low.
Lucy says: “Charlie, in these days of discouragement and despair don’t be depressed, one day you’ll win.”
“Really, do you really think so?” Charlie Brown asks.
Lucy says:  “Well, frankly no!”

It’s amazing how many “Charlie Browns” have called or emailed, discouraged and disheartened over President Barack Obama “fundamentally transforming America,” about the country being on the wrong track, not only in elections, but in Obamacare, Food stamps, and the coarseness of the culture.



Democrats today are flying high, over confident. But  …..  they’d be wise to consider the turkey.

For 1,000 days it believes, it has the world by the tail.

Getting fatter every day, it believes people love it — taking care of it and its offspring.  Life is good!  Couldn’t be better! To use a liberal term, Life couldn’t be more “fair!”

Then, the day before Thanksgiving it suddenly and unexpectedly, get a “reality” check— everything it believes is wrong.

Let’s review the political cycle for a moment.

In 2004 Republicans had won the House, the Senate, 28 governorships, and of course, the White House.

Shortly after, two L.A. Times reporters wrote, “One Party Country,” asserting Republicans would dominate politics for the next 40 years and the Democrat Party would be consigned to the dustbin of history. Karl Rove changed the way politics are run forever, with a new methodology.

In 2008 Republicans lost Big Time!
Shortly after, Sam Tanenhaus wrote, “The Death of Conservatism” and
Time Magazine’s 2009 cover story, “Republicans, an Endangered Species.”

What a difference two elections cycles make. From “dominating politics for 40 years” to “Endangered.”

It reminds me of my fourth grade class.  The teacher tells my friend Johnny to write his name on chalkboard.  Johnny says, “Hey Teach, I ain’t got no chalk.”  Correcting him she says, “It’s I don’t have any chalk, he doesn’t have any chalk, she doesn’t have any chalk, they don’t have any chalk.  We don’t have any chalk.”  Little Johnny blurts out, “What the hell happened to all the chalk?”

And conservatives and Republicans wanted to know: “What the hell happened to the Republicans”?

Then in 2010, Republicans re-captured the House of Representatives, defeating Speaker Nancy Pelosi.

In 2012, President Barack Obama won a 2nd term and is inheriting a worse economy from himself—— than from George W. Bush and Democrats have to overcome the famous Clinton saying: “It’s the economy, stupid!”  As the pendulum swings.

2013 October Time Cover: Majority Rule scratched out, a story of Republicans wearing suicide vests.

TEA Party conservatives, despite the media spin, however, are winning today.  You can tell by the hysterical over-the-top vitriolic rhetoric the liberals use whenever they are losing.



On the left, a few hundred articulate and persuasive intellectuals of Socialism.  People like John Kenneth Galbraith and Paul Krugman (in Blue), followed by many more low-information voters (in orange).

On the right, a few hundred articulate and persuasive intellectuals of free market Capitalism, Milton Friedman, Friedrich Hayek, and William Buckley, followed by many more in the choir. How good we get at “PERSUADING” the vast number in the green middle, mostly  non-political, voters that may be great engineers, great musicians, gardeners, church goers,  parents —  who determines the nation’s fate.
You may be thinking to yourselves, Fred, you are speaking to the choir.  But the choir is what counts in politics. It is critical that we spend time energizing the choir and providing it the intellectual ammunition to influence others to join our cause; to teach why limited government, private property, and free market capitalism based on voluntary exchange is the only moral economic system ever devised.  The purpose of teaching others the philosophy of freedom, is not to convert them into believing in freedom “from” government, but to find them. More precisely, help them find themselves in becoming passionate about individual liberty and to swell the ranks of the choir.  It is you in the choir, Isaiah’s Remnant, which carries civilization and freedom forward generation to generation.

                                            HEALTH CARE— DEMOCRAT’S ACHILLES’ HEEL
Having government design your health care plan is like having plumbers who install valves —– perform open heart surgery.

But, you say, the people voted for it, when they democratically voted for Barack Obama!

“Democracy,” simply means majority rule — for good or bad. The heart of politics is the art of Romancing The Voters (pretending with intent to deceive).

No U.S. President or Congress has ever represented the majority of the people in 100 years, and in fact, almost never more than a third of the Voter Eligible Population (VEP) or registered voters. President Obama is the first President to twice win over 51% of those voting in 50 years, but only 31% of those Registered to vote.  However, the rules of the game determine the outcome. For instance, no woman’s basketball team can beat the L.A. Lakers. But change just one rule and you’ll get a different outcome: make everyone play in high heels! In politics, the rules say only those who turn out to vote — determine who rules over us.


In Romancing The Voters, I cover a number of things.



A cardinal rule of politics is “Watch what they do, not what they say.”  And, remember, 96% of all Congressmen ………… give the other 4% a bad name.

Liberals and conservatives think differently, the words they use have different meanings.

Liberals are primarily concerned with “equality of results.” This is the only way to prove fairness, and justice — often stating, “They are socially liberal but fiscally conservative.”

Conservatives “believe” equal results are impossible without authoritarian rule and advocate “equality of opportunity” — often stating they simply want a “fair field without favor.”

Liberals frequently use the terms “fair” or “for the children” and opinions with which they disagree are dismissed as “simplistic,” or from “the best minds of the 19th century.”

When liberals refer to equality, they mean that the income of people more successful than they are should be re-distributed. They never suggest a re-distribution of their income for the benefit of 95 percent of the earth’s population whose income is lower than theirs is.

Mark Twain said, “If you don’t read newspapers, you’re uninformed. If you do read them, you’re mis-informed.”

I once told an L.A. Times Star Reporter his story did not tell the truth.  He told me, “Newspapers don’t print the truth they print what people say.” He asks my opinion and then finds someone to quote with the opposite opinion. Then prints it.  So there’s a good chance, regardless of what side you’re on, half of what you read in the newspapers is wrong.

In the book I quote, Walter Williams, distinguished economist at George Mason University, who wrote,   “The U.S. has the richest poor people in the world.”

Also, Dinesh D’Souza who speaks of a friend in India dying to move to the U.S. Why? “I want to move to a country where the poor people are fat.”

This month (October 2013) the U.S. Energy Information Agency reported the U.S is the world’s  # 1 producer of oil and gas.  Oil is a miracle of the free market: Just think, oil companies can go halfway around the world, punch a 3-mile deep hole in the ground, suck out the oil, ship it to Long Beach or Louisiana, transport it to a refinery, pipe the refined gasoline to your city, and deliver it to your neighborhood gas station for less money per pound than the U.S. government can deliver first class mail across the street.  And Congress wants to prosecute the oil companies, not the Post Office.  Just like the sun is finite but inexhaustible — Oil is finite and inexhaustible.  We are not running out of oil!

The price of gasoline as determined by the U.S. Energy Administration, in 1918 “adjusted for inflation”  was $3.84 per gallon; and in 2012, $3.55 or 29 cents less than in 1918.


“We have to pass it to know what’s in it,” was House Speaker, Nancy Pelosi’s response to the 2,700-page Obamacare Bill (with 20,000 pages of implementing rules).  James Madison in Federalist Paper 37 warned us against “the obscurity arising from complexity.”  Since many laws today, particularly in the tax code and health care are incomprehensible — who gets absolute power under their obscurity? The answer is whoever has the power to interpret them. Without transparency, it is the politicians, bureaucrats and poseurs on a daily basis who interpret them.
How can you prove we conservatives are winning?  Despite liberals dominating the media, universities, and Hollywood, for over 2 decades, about twice as many Americans self-proclaim to being conservatives as liberals, 46% to 20% in 2012 according to Gallup.   Liberals become conservative once they graduate, move out of their parents’ home, get a job, get married, buy a house and pay taxes.


You said your Republican Women sponsor a gun club. We often hear of children being killed by guns. But seldom told it is due to gang-banger teenagers killing other gang-bangers or drug dealers.  Also, you are 11 times more likely to be shot accidentally by policeman than an armed citizen.
                                     MARTIN LUTHER KING – A REPUBLICAN
MLK knew the history of the Democrat Party and its terrorist arm the Ku Klux Klan which had lynched Blacks up until the 1964s. Former Democrat Rev. Wayne Perryman documents the racist history of the Democrat Party in Unfounded Loyalty.  No wonder MLK was a Republican, with 3,445 Blacks having been lynched since 1882 according to the Tuskegee Institute.  (Lynched primarily by Democrats).

In closing, we must never forget our legacy:  Eternal Vigilance – is the price of Liberty.

Permission granted to forward or quote with or without credit.
You can buy  Romancing The Voters, by Fred Schnaubelt, at,  $12.99 also at
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On Kindle Romancing the Voters



Segregation and Separation

Bernie: Donald Trump is a rich idiot, but the rich have always been problematical in society, especially their children. Buddha, Che Guevara, Peggy Rockefeller,  Alida Rockefeller, The Weathermen, Mao Tse Tung, Lincoln Steffens, Felix Dzerzhinsky,  Abby Rockefeller, Silas Bissell, Karl Marx, Fredrich Engels, Reverend Jim Jones,  Jane Fonda, Ted Turner, Lenin, Trotsky, Jack London, Upton Sinclair, Lillian Hellman, Bernadine Dohrn, Oliver Stone, Woody Guthrie, Yoko Ono, Herbert  Marcuse, Vanessa Redgrave,  Ho Chi Minh, John Reed, Gaylord Wilshire (Wilshire Blvd.), Peggy Guggenheim, George Pillsbury, Fidel Castro, Daniel Ortega, Obie (Mercedes) Benz, all came from rich or well-to-do families. But Trump a racist, no way.  The Democrat Party has the lock on racism it being the party of racism, segregation and separation for the first 200 years of its history. Most Democrats who accuse others of racism don’t know their own history.  See: former Democrat delegate, Rev. Wayne Perryman, Unfounded Loyalty.  Or, page 83,

Dan: “The upshot is that Democrats, who speak passionately about the hungry and homeless, personally fork over less money (30% to 50% less) to charity than Republicans — the ones who try to cut health insurance for children.”    See Chapter 2, Romancing The Voters

Tom: “The government spends a trillion dollars more than it collects by borrowing. This is adding to our grandchildren’s credit cards, loans that will have been taken out by dead grandparents that must be paid by children not yet born. How much should we steal from these children’s future?      FB 10/18/13

Matt: “Government is like a baby: An alimentary canal with a big appetite at one end and no sense of responsibility at the other” – Ronald Reagan For more humor see:

Carlos, thanks for reinforcing Bernie Palmatier on Wall Street Banks making billions. Why else would they overwhelmingly contribute to Democrat Campaigns? I looked up politics in the dictionary, and it a combination of two words: “Poli,” which means many, and “tics,” which means “bloodsuckers” Jay Leno Found at  For more humor see:

Bernie: You make some excellent points. Especially about Wall Street. But why did you leave out that Wall Street primarily supports Democrats such Chuck Schumer and Jon Corzine. In the last 20 years Goldman Sachs gave $21 million to Democrats and only $12 million to Republicans. Defunct Lehman Brothers, incubated as Democrats, gave 72% of its political “donation” to Democrats, for 20 years, undoubtedly for all the reasons you identify. Thanks for clarifying the record for us.

Carlos Iraheta says, “Republicans are sinking in the polls faster then goose shit goes through a goose.”  A few facts for Dan and anyone paying attention: 60% of the nation’s governors are Republicans. Four of the five women governors are Republicans, 27 of the States legislatures are dominated by Republicans.  The states are closest to normal people.  Washington politicians are in a universe all their own.  There is an old joke that 96% of the members of Congress give the other 4% (TEA Party members) a bad name.  “There is no distinctly American criminal class – except Congress.” – Mark Twain For more humor see:

Bob: Sounds like the famous Democrat “Optimist” story you are reliving: “the ‘so far, so good’ fallacy of the Democrat who has fallen from the 30th floor and passes the 20th floor saying ‘so far, so good’) and you do not seem to understand the implications of what has been done. Hopefully, Democrats won’t be too late when they exclaim ala Colonel Nicholson in The Bridge on The River Kwai, “What have I done?”

Carlos: Close, but the moral of the story is Nicholson built the bridge when no one else could which was enormously detrimental to this own country’s well-being, and when he saw his countrymen undoing what he had tried so hard to build he came to his senses saying, “What have I done?’ Will Democrats do the same when they realize what they are doing to this country?

Linda, No surprise on the compromise. I predicted last July, “The Republicans nearly always cave in on budget deficits since government spending has “shrunk” only four times in 62 years: 1954, 1955, 1965 and 2010 when the Tea Party ascended. (These are not the same as balanced budget years). What are the chances the Republicans will lose the fight over any future “Budget Crisis?” Historically – based on the last 62 years – 16 to one. Page 61,

Kirk: You are right. It doesn’t matter who you vote for — the government always wins.
If they don’t do it to their wives — they do it to the country –Mel Brooks  For more humor see:

Global Warming causes temperatures

Darrell, see this proves that Global Warming causes temperatures to rise, temperatures to fall and temperatures to stay the same.  Fred

11:50 AM | 2013 – a year with minimal extreme weather events in the US


There have been many forecasts in the news in recent years predicting more and more extreme weather-related events in the US, but for 2013 that prediction has been way off the mark. Whether you’re talking about tornadoes, wildfires, extreme heat or hurricanes, the good news is that weather-related disasters in the US are all way down this year compared to recent years and, in some cases, down to historically low levels.

Tornadoes To begin with, the number of tornadoes in the US this year is on pace to be the lowest total since 2000 and it may turn out to be the lowest total in several decades. The table below lists the number of tornadoes in the US for this year (through 10/17) and also for each year going back to 2000. (Source: NOAA,

Year         # of Tornadoes
2013                    771
2012                   1119
2011                   1894
2010                   1543
2009                   1305
2008                   1685
2007                   1102
2006                   1117
2005                   1262
2004                   1820
2003                   1374
2002                    938
2001                   1219
2000                   1072

Wildfires Second, the number of wildfires across the US so far this year is on pace to be the lowest it has been in the past ten years and the acreage involved is at the second lowest level in that same time period (table below). (Source: National Interagency Fire Center;

2013            Fires: 40,306           Acres: 4,152,390
2012            Fires: 67,774           Acres: 9,326,238
2011            Fires: 74,126           Acres: 8,711,367
2010            Fires: 62,471           Acres: 3,233,461
2009            Fires: 78,792           Acres: 5,921,786
2008            Fires: 80,094           Acres: 5,254,109
2007            Fires: 85,822           Acres: 9,321,326
2006            Fires: 96,358           Acres: 9,871,939
2005            Fires: 66,552           Acres: 8,686,753
2004            Fires: 63,608           Acres: 8,097,880
*2013 data through 10/16

Extreme Heat In addition to wildfires, extreme heat is also way down across the US this year. In fact, the number of 100 degree days across the country during 2013 is not only down for this year, but it is perhaps going to turn out to be the lowest in about 100 years of records (chart below).


(Source: NOAA, USHCN reporting stations; through August)

The five summers with the highest number of 100 degree days across the US are as follows: 1936, 1934, 1954, 1980 and 1930. In addition to the vast reduction in 100 degree days across the US this year, the number of high temperature records (ie hi max and hi min records) is way down compared to a year ago with 22,965 records this year as compared with 56,885 at this same time last year. (Source: NOAA,; through 10/17).

Hurricanes Finally, as far as hurricanes are concerned and keeping in mind that the season isn’t over yet, there have been only two hurricanes so far this year in the Atlantic Basin (Humberto and Ingrid) and they were both short-lived and weak category 1 storms. Also, the first forming hurricane this year occurred at the second latest date going back to the mid 1940’s when hurricane hunters began to fly. Overall, the tropical season in the Atlantic Basin has been generally characterized by short-lived and weak systems.

In addition, this suppressed tropical activity has not been confined to just the Atlantic Ocean. The eastern Pacific Ocean has had no major hurricanes this season meaning there has been no major hurricane in either the Atlantic or eastern Pacific which only occurred one other year in recorded history – 1968. This is actually quite extraordinary since the two basins are generally out of phase with each other i.e. when one is inactive the other is active.

One of the best ways to measure “total seasonal activity” in the tropics is through an index called the Accumulated Cyclone Energy (ACE) which is a metric that accounts for both intensity and duration of named tropical storms. Indeed, the ACE for this tropical season so far in the Atlantic Basin is only 29% percent of normal (through 10/17) when compared to the climatological average from 1981-2010 and it is the 7th lowest since 1950. Elsewhere, the ACE across the northern hemisphere is only 58% of normal and global ACE is 62% of normal. (Source: Dr. Ryan Maue at Weather Bell Analytics;

Finally, another interesting stat with respect to hurricanes has to do with the fact that we are currently in the longest period since the Civil War Era without a major hurricane strike in the US (i.e., category 3, 4 or 5). The last major hurricane to strike the US was Hurricane Wilma during late October of that record-breaking year of 2005 – let’s hope this historic stretch continues. By the way, just as a point of comparison, in 1954 the US was hit by 3 major hurricanes in less than 10 weeks.

Filed under: DEN, LA, NYC, PHL, WMA

Let local government decide about housing needs?

“Let local government decide about housing needs.” Really! Let there be no mistake, 100% of the so-called housing crisis is due to government policies. People are asking for those who created the housing crisis to solve it.  That’s absurd. The idea that low-income people are entitled to live in brand new housing is absurd. Inclusionary zoning policies are absurd that make all housing more expensive, both brand new and existing if you think about it for a couple of seconds, in order to help a handful of voters. When government adds to the cost of brand new housing, after a lag time the added  cost is capitalized into the price of all housing which is why 50-year old homes in San Diego cost over $300,000 today.

Fred Schnaubelt

Why government will never be “the problem”

Amy Roost (Why government will never be “the problem”) speaks of reading Laura Ingalls Wilder’s “Little House on the Prairie” to her children.  She might find it more edifying as they grow older to introduce them to Rose Wilder Lane’s (Laura’s daughter) “The Discovery of Freedom,” for a broader perspective on government. Reviewed at , and if she doesn’t want to spring for the cost of the book, this gem can be downloaded free at: .

Please note: the original trustee for the Wilder (Little House on the Prairie), and Lane estate was Roger MacBride, 1976 Libertarian candidate for President of the United States, who campaigned in San Diego.

Fred Schnaubelt

The Life & Death of Labor Unions

The Life & Death of Labor Unions As Seen Here


I think President Ronald Reagan led the way to busting the first union … FAA Pilots Daniel

You are right Daniel, but it was the Air Traffic Controllers, PATCO Union, not the pilots.  PATCO thought Reagan would never endanger the public without the air traffic controllers. He fired all who did not return to work and replaced them with military traffic controllers in 1981, with fewer air incidents I believe.   Boy did they miscalculate Regan’s resolve against an illegal strike, and he changed the power and influence of unions for at least the last 32 years.  Fred


Thanks Mark,
Good question, I’ll try to find out if the Daily Transcript is a union shop.  I don’t think so but will try to find out.
I believe the Union-Tribune’s Newspaper Guild was decertified several years ago.  I think there was a court ruling the unions can’t dictate editorial and management policies.  Fred

Fred, I’m very old but did miss reading the Atlantic Monthly edition back in 1898! Another Great Essay! Am surprised the Daily Transcript will put in print. Isn’t the print staff at the Transcript unionized? Thanks for sending! Monte

This is a FABULOUS article!!
Keep shining the light!
Best regards,  Tom

Barbara, you know the problem well.  There are similar stories at the City of San Diego unable to fire people who won’t work.


Another aspect of the unions: teaching non whites how to file discrimination cases against white European males. My husband was accused of being a racist because he expected someone, who worked for him for only 13 days, (who was also lazy and couldn’t show up for work five days in a row) to do his job. The fact finding was done by a black woman and the report that was submitted had been edited and showed comments taken out of context that looked racist.
The irony of the situation, after being removed from his position so he couldn’t harm any one else, was being put in charge of all the new hires who were black or Mexican! Let’s hear it for City of San Diego water department who fulfill every requirement for equal opportunity with out any skills required!

Thank you Larry,


Another great article. Thanks for your efforts.  As I have seen what happens when 12-16 year olds do NOT work,  I realize that the labor union based rules keeping kids out has only helped create a drug culture and make kids less capable of competing in the work place.  Video games, drugs, sex, mischief …have all replaced working hard, gaining real work experience and learning responsibility.  Woodrow Wilson was creating racism…a primary goal of the Communist Manifesto to create disharmony in our society.  May God bless you my friend.



Discrimination In The Government

The Life and Death of Labor Unions

Resurgent San Diego Labor Unions have been getting a lot of publicity lately for their role in local elections. Two-thirds of San Diego’s population was born after the heyday of Labor Unions 50 years ago.

All they know comes from what they’ve read. Unions claim they raise wages, reduce hours, improve working conditions and provide competent workers. But, do they?

San Diego has six dams built in the backcountry after 1930. As the story goes, during the construction of one dam, a union steward said, “If not for those infernal earth moving machines there would be jobs for hundreds of men with picks and shovels.” The foreman responded, “and millions of jobs for men with teaspoons,” an Apocryphal story about early union mentality.

How the labor unions emasculated and nearly destroyed America’s railroads, airlines, steel mills, and automobile companies, I have no special wish to tell you.  They are subjects covered in the numerous books not published in union print shops, nor written by union paid economists. There are virtually thousands of pro-union articles — this is not one of them.  This is a countervailing account. This essay is “the rest of the story,” not commonly available about the history of unions.


If you passed this test in 1968, you “could” possibly become licensed as a plumber:

“ ————– is to Building Trades as —————– is to Lily White.

Czolgosz is to Booth as McKinley is to (a) Lincoln, (b) Washington (c) Roosevelt (d) Garfield.

—————– is to phlegmatic 1. Husky 2. Rheumatic 3. Pneumatic 4. Sluggish

as vivacious is to —————– A. elusive B. Pouting C. exuberant D. gripping

What does the test have to do with plumbing? Good question!

The above test is from Fortune Magazine, January 1968, (The Case Against the Unions), a report on union apprenticeship tests (p. 172). George Meany, President of the AFL-CIO, a licensed plumber at the time, could not pass this test.

Let’s go back to the beginning of the labor union movement in the late 1800s with observations at the time: “Black workmen, though free, were not permitted to organize against the employing class, and the distinction between white workmen and Black workmen really began when the organization of white laborers began.” The Atlantic Monthly, February 1898, (p. 226), in case you missed it.

The article reports that in 1859, The Society of Friends (Quakers) catalogued 1,637 Colored people in Philadelphia, working in 77 identified skilled trades and by 1898 nearly all the trades enumerated were closed against colored workers. (p. 228). This is how employment discrimination in America began.;cc=atla;rgn=full%20text;idno=atla0081-2;didno=atla00812;view=image;seq=0228;node=atla0081-2%3A8

In 1895, unable to launch an interracial machinists’ union of its own, the American Federation of Labor reversed an earlier principled decision and chartered the whites-only International Association of Machinists (IAM). Formally or informally, the color bar spread throughout the trade union movement.

In 1902, blacks made up scarcely 3 percent of total membership, most of them segregated in Jim Crow locals. In the case of women and eastern European immigrants, a similar devolution occurred–welcomed as equals in theory, excluded or segregated in practice.

Let’s move forward to how discrimination in the government began. Less than a month after his March 1913 inauguration, President Woodrow Wilson, a Democrat, who had promised Blacks for their votes to treat them fairly, took the first steps towards segregating the federal service. The Post Office Museum notes, “The Woodrow Wilson administration initiated the racial segregation of work places, rest rooms and lunch rooms in all federal offices across the nation” despite the fact that Blacks and whites had worked side by side without antipathy for generations.

Unions exist in order to keep competition from filling jobs. They are a cartel protected by government, like no other, above the law in many instances. It wasn’t until Labor Unions effectively excluded competition and fought labor-saving devices that they were able to exercise enormous power and influence by delivering votes to politicians. They began by discriminating against Blacks and immigrants, then women and teenagers. From the U.S. Bureau of Labor Statistics web site, “First, anxious to protect the jobs and living standards of their members, trade unions emphasize their exclusionary aspects. Craft unions try to reduce the numbers of new entrants and to keep out those, like women and minorities, who threaten their conceptions of self.” ( p.34)

Unions represent union workers — they do not represent most workers — never have. By inference and confirmation this could not be clearer than in Albert Shanker’s famous statement, “When school children start paying union dues, that’s when I’ll start representing the interests of school children,” Albert Shanker, president of the American Federation of Teachers.

The apostles of unionism, however, still say they eliminated child labor, textile slop shops, sweatshops, and women’s long hours — it not being copacetic to admit their motivation was to eliminate competition for jobs to which unions claimed they were “entitled.” Contrary to popular wisdom, in the early years of the industrial revolution life in the factories, miserable as it was — was far better than in the countryside for most people. This is why there has been an unbroken chain of migration from the country to the cities for centuries. When children initially were prevented from working in sweatshops they did not skip home to read Shakespeare and listen to Beethoven. They died from starvation.

Nobel Laureate Milton Friedman said, thank God for sweatshops. His mother came from Russia when 14, with no skills and not speaking the language. “If his parents were not willing to work so long and hard under sweatshop conditions, they could not have earned the money to invest in his education,” and he would not have won a Nobel Prize.

Unions and the government cannot make workers worth more than what consumers are willing to payfor the goods and services they produce. Consumers ultimately, determine everyone’s income. The onlyway the general standard of living can be increased is by an increase in the amount of capital invested perworker, greater than the increase in population, making workers more productive.

At their peak in the 1950s, labor union membership reached 35% of the private sector labor force. Today(2012 data) unions represent about 6.6% (plus another 4.7% of government workers) or 11.3%, according to the Bureau of Labor Statistics. Ask yourself, why?

For over 100 years, union power was derived from discriminating against other workers, women,immigrants, minorities, and teenagers. Today, their power derives from plying politicians with booze,money and votes.

Real beneficiaries of minimum wage increases are the 98.6% above the minimum wage

Pomerado News, Dear Editor:

Amy Roost: Raise the minimum wage to alleviate plight of poor

Amy Roost writes, “Can we stop pretending it’s still possible to live on minimum wage in this country?”

I’m sure Amy Roost believes she is doing something laudable but she might re-read Frederic Bastiat’s, “That Which is Seen and That Which is Not Seen.”

My first job as a teenager was delivering newspapers for the Union-Tribune and my friends worked at the Mobile and Union 76 gas stations pumping gas, checking oil, and washing windshields while an older friend operated the elevator at Walker Scott Department Store downtown.  Thanks to people like Amy millions of those “learning”  jobs across the country have disappeared.

What is unseen is that thousands of teenagers today with excess energy and no job resort to vandalism and commit petty crimes for pocket money.  People who come to this country without a high school education and don’t speak English can’t even get on the  job ladder because Amy’s friends have cut off the bottom rungs.

Irrefutable evidence from the Department of Labor shows that nearly every time the minimum wage was increased since 1948, unemployment increased. If you track the federal minimum wage, you’ll see that unemployment among teens, particularly minorities, increased from 9.4 percent among blacks in 1948 to 32.5 percent in 2004 (40.5%, March 2012) and from 10.2 percent for whites to 17.2 percent in 2004. Yes, blacks formerly had lower unemployment rates than whites. (Handbook of Labor Statistics, pp. 153-55). (40.5% –

It sounds great to say everyone should be paid more but if it means having no job instead of a low-paying “learning” wage job it’s not so great for people who need money.  If $10 an hour is good, why not advocate $100 or $1,000 per hour and feel really, really good.Chart courtesy of Mark Perry, University of Michigan.minwage

For the record, The Bureau of Labor Statistics reports that only 1.4% of wage earners in California earn the federal minimum wage or less, about 1/3 as many nationally.  In 2012, there were 3.6 million hourly paid workers in the United States with wages at or below the federal minimum wage of $7.25 per hour.  Sixty-three percent of minimum wage workers receive raises within one year and only 1% of all wage earners earned the minimum after 3 years. .  About 1/10 of minimum wage workers are heads of household and they qualify for the Earned, Income Tax Credit for additional income.

Also unseen is that the minimum wage is not about raising the wage of 1.4% of workers in California but it is driven by labor unions whose contracts give them a wage increase whenever the minimum wage increases.  The real beneficiaries of  minimum wage increases are the 98.6% above the minimum wage.  They no doubt love Amy.

If Amy truly believes what she wrote: “Most economists believe that the best way to alleviate the plight of the working poor is to raise the minimum wage, which is exactly what California did last week.” Then all China, India and African countries have to do is raise their minimum wage by government decree and they will be as rich as America.

And while Amy bemoans “American  “Exceptionalism”   means the fourth-highest degree of wealth inequality in the world” it also means the “The Richest Poor People in the world.”

Fred Schnaubelt Author, Romancing The Voters, Published July 4, 2013 from which part of this essay is taken


Follow Us | What’s New | Release Calendar | Site Map U.S. Bureau of Labor Statistics

Table 3. Employed wage and salary workers paid hourly rates with earnings at or below the prevailing federal minimum wage by state, 2012 annual averages


Number of workers (in thousands)

Percent distribution

Percent of workers paid hourly rates

Total paid hourly rates

At or below minimum wage

Total paid hourly rates

At or below minimum wage

At or below minimum wage


At minimum wage

Below minimum wage


At minimum wage

Below minimum wage


At minimum wage

Below minimum wage

Total, 16 years and over
























“Never-married workers, who tend to be young, were more likely than married workers to earn the Federal minimum wage or less (about 9 percent versus about 2 percent).”




Congress who voted on this legislation without reading

Scott McLachlan All businesses try to get the maximum amount of profit. Raising the rates long before any costs are incurred is nothing but price gouging. And while Nancy Pelosi may not have read it, definitely the ones who passed it through committee did read it. Furthermore, any member of Congress who voted on this legislation without reading it needs to be kicked out of office.

I have some questions for you Scott. Where do businesses get the money to start a business or expand a business before “costs are incurred” if not from profits? How does a business know it is providing goods or services that consumers want if not by profits? If there are no profits, or worse yet losses, enough consumers say they don’t want it. The higher the profits the more urgently the consumers want it. “Gouging” is not an economic term it is an ignorant emotion laden  political term. If it takes a year to build an office building before any rents are received, where does the money come from to pay for the cement, lumber, windows, landscaping, carpets, etc. if not from profits from previous enterprises? If consumers do not determine what is to be produced in what quantities and qualities by buying or abstaining from buying, who does? Without profits how does anyone know the most cost effective way to line a railroad tunnel between using silver or cement? It is true, all businesses try to get the maximum amount of profit, however 4 of 5 business fail within 7 years. Even big business, for example, 86 percent of the Fortune 500 companies in 1959 were either gone or were no longer in the top 500 companies in 2009, according to University of Michigan (Flint) economics professor Mark Perry. For more in depth explanation see: Romancing The Voters Republican Cover.


Cheaper than the private market

Kirk: It is virtually impossible, economically, physically, practically, morally, or any other way for the government to provide anything cheaper than the private market because the government’s very substantial overhead has to be added to whatever government delivers that is provided by private parties or businesses.  The founders fully intended for Congress to be continually engaged in gridlock between the House, Senate, President and Supreme Court.  They felt the checks and balances would pit ambition against ambition and the people would come out on top since the fear has always been of government and not the people (except for 200 years primarily in the U.S.)  R.J. Rummel in DEATH BY GOVERNMENT points out that governments have murdered over 100 million people in the last 100 years or so. People who worship the government might keep in mind that the U.S. and freedom is an aberration over the last 10,000 years when they beseech more government intervention in their lives.