Information about RSS

Stimulating a New Planet
by Jacob G. Hornberger

In the 1951 sci-fi movie “When Worlds Collide,” a giant asteroid is headed toward our solar system and is going collide with Earth, destroying the planet and everyone on it. However, a smaller planet, whose atmosphere is similar to that of Earth, is circulating around the asteroid and provides hope for a limited number of people on Earth. Scientists calculate that after the collision, the smaller planet will begin orbiting around the sun. Thus, plans are put into place to have people shipped to the new planet in rocket ships prior to the collision.

Let’s assume that that was really about to happen. One hundred Americans are able to flee Earth and land on the new planet. Due to the emergency departure, each of them is able to bring only 3 months worth of food and water.

They quickly establish a new government modeled on that of the United States and elect a president and members of Congress.

Due to the desperate economic conditions on the new planet, the president and Congress announce an economic stimulus package to stimulate the economy. They announce that the government will give everyone a free one month’s supply of food and water.

One of the children, however, raises his hand, and asks, “How can the government give people anything when the government doesn’t have anything to give?”

No problem,” answers the president. “We’ll just tax each person one month’s supply of food and water in order to send everyone one month’s supply of food and water.”

The people hail the president for his genius. Most everyone is gleeful over the fact that he will soon be receiving his economic stimulus of one month’s supply of free food and water.

That precocious child, however, asks another pointed question: “How am I going to be better off if I’m having my food and water taken from me through taxation only to have it returned to me in the form of a stimulus package? I started with 3 month’s supply of food and water and I’m ending up with 3 month’s supply of food and water.”

An astute economist responds, “The boy might have a point. I recommend that the government simply borrow the food and water from each person rather than take it away in the form of taxation.”

So, the president announces his modified stimulus plan: “The government will now borrow one month’s supply of food and water from each person and then send everyone a free stimulus package of one month’s supply of food and water.”

The people begin celebrating again. The president awards the economist with the Presidential Medal of Freedom.

That child, however, asks, “How am I better off? Didn’t I start with a 3-month supply of food and water and isn’t that what I’m ending up with after the president’s stimulus package?”

The economist responds, “Before the president’s plan, all you had was your three months of food and water. Now you have 3 months of food and water plus a promissory note from the government promising to pay you a month’s supply of food and water.”

“That’s true,” responds the boy. “But when the government pays off the promissory note, won’t it first have to tax me one month’s supply of food and water to pay off the loan?”

People begin scratching their heads, when all of sudden someone discovers that one of the colonists was actually able to bring hundreds of tools and thousands of food seeds with him from Earth.

That discovery prompts the president to announce a newly modified economic stimulus plan. “We’re going to take most of the rich guy’s tools and seeds and share them with everyone else. This sharing of the wealth will ensure that everyone is made more equal”

People are ecstatic once again. Not the rich guy though. He says, “Those tools and seeds rightfully belong to me. I was a very successful farmer on Earth and earned my money legitimately by establishing a big food-producing business that employed thousands of people. I intend to use my money to build a similar business here on the new planet and I plan to hire most of you. Others can devote themselves to producing other things that people will need. On Earth, I was also a great benefactor who helped the poor with voluntary donations out of the money I earned in the marketplace. You have no right to take my wealth away from me.”

The president responds, “Equality is an important principle in our new society. It is not fair that you have more when others have less. We need to start out with a level playing field, one in which no one has an unfair advantage. So, we are going to take most of your tools and seeds and share your wealth. You will still be considered a great benefactor because your tools and seeds will be going to help everyone else. We’ll even honor you with our new Medal of Benevolence.”

The kid raises his hand and asks, “What good will it do to have all those seeds and tools when the rest of us don’t know anything about farming? Wouldn’t we better off letting the rich guy keep his wealth so that he can use it to establish a big farm, which not only would provide people with jobs but which also would produce the food that all of us need? And isn’t it considered immoral to take that which does not belong to us?”

At that point, Congress quickly enacts a law prohibiting children from speaking without permission, which the president immediately signs into law.

Jacob Hornberger is founder and president of The Future of Freedom Foundation. Send him email.