The martyrdom of Aaron Swartz

Anti-Statism, IP Law, Technology
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A little over a year ago, a 26-year-old programmer and activist was murdered. His name was Aaron Swartz, and although he was found hanged in his Brooklyn apartment, and his death ruled a suicide, there is little question whose hands are stained with his blood. He was pursued mercilessly by a bullying prosecutor with a long track record of ruining the lives of brilliant (and perhaps naive) young men who didn’t play by the state’s rules. And he was betrayed by an educational institution that once prided itself on not playing by the rules, either.

Those are some of the heartbreaking and infuriating insights from a story in this month’s edition of Boston magazine about Aaron Swartz’ arrest and indictment, his father Bob’s attempts to extricate his son from the legal mess, and the relentless pressure by federal prosecutors to make an example of him. The punishment they sought for Aaron was draconian even by the feds’ standards: 13 felony counts under the Computer Fraud and Abuse Act (CFAA), with a possible prison term of 35 years, and a $1 million fine. Bank robbers and terrorists have received more lenient sentences. But U. S. Attorney Carmen Ortiz declared that Swartz’ prosecution would serve as a warning to other “hackers” about “stealing” from computers.

Aaron SwartzWhat did Swartz “steal”, exactly? Nothing. He downloaded files from JSTOR, an online archive for academic journals. Swartz used the network at MIT, where his father served as an adviser, under its “open access” policy, which included its subscription to JSTOR. Swartz had long held the view that scientific research should be freely available and not locked away behind a paywall. This wasn’t even the first time Swartz had performed such a download; in 2008 he grabbed 2.7 million documents from PACER, a federal court document system that usually charged for such access, even though they were public records. That attracted the FBI’s attention, but they found Swartz had committed no crime.

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The Freedom of Rose Wilder Lane

Anti-Statism
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People schooled in the libertarian idea are prepared for the thesis that freedom is productive and protective of human rights, whereas despotism is neither. Many years ago, I first glanced through Rose Wilder Lane’s The Discovery of Freedom and assumed that it was an eloquent statement of known truths, so surely there was nothing much to learn here. Maybe it was right for beginners.

In my second reading, some ten years later, I was struck by the depth and sweep of her argument and how it goes far beyond conventions. The problem, as she sees it, is not just the state, but rather, the universal penchant for repressing the human spirit. The state is only the most egregious form of authority.

Finally, on my third reading, I got it. This is a supremely radical and challenging work, one that essentially turns the world upside down. Nearly every expert on the topic of the history of civilization will tell you that the regime is what makes the difference between whether a nation rises or falls.

Lane takes another view entirely. She says it is not the regime but the absence of the regime that sets the human spirit in flight and permits it to create and make beautiful things out of the uncivilized world of the state of nature. She pictures the whole history of humanity as a struggle to be free of authority — not just this or that authority but all authority.

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Dallas Buyers Club

Fiction Reviews (Movies)
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dallas-buyers-club-poster-570x844A recent post by Jeffrey Tucker identifies a common theme in many of today’s movies: “powerful people are not our friends but our enemies – so if we want to have a free and flourishing life, we are going to have to get busy and figure out how to make it happen.”

One movie in theaters now that reflects this message as much as any is Dallas Buyers Club, which is based on the true story of Ron Woodruff, an electrician and rodeo enthusiast diagnosed with AIDS and given 30 days to live in 1985.

Soon after his diagnosis, Woodruff (Matthew McConaughey) learns that there’s a drug for treating AIDS, AZT, but it’s still in FDA trials. He can participate in a trial, but he won’t know whether he’s getting the real drug or a placebo. Understandably, he doesn’t find this satisfactory.

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Ted Cruz mad at Obama for not throwing more pot users in cages

Anti-Statism, Drug Policy, Immigration, Vulgar Politics
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Senator Ted Cruz (R-Alberta Texas), a “Tea Party” Republican and ostensibly a champion of states’ rights, is unhappy with President Obama’s decision to not round up marijuana users in Washington and Colorado:

“A whole lot of folks now are talking about legalizing pot. The brownies you had this morning, provided by the state of Colorado,” he jokingly said during his keynote speech at Texas Public Policy Foundation’s Policy Orientation.

Oh Ted, what a knee-slapper!

“And you can make arguments on that issue,” Cruz continued. “You can make reasonable arguments on that issue. The president earlier this past year announced the Department of Justice is going to stop prosecuting certain drug crimes. Didn’t change the law.”

The problem, as Cruz sees it, isn’t just limited to Obama’s decision to not interfere with Washington’s and Colorado’s legalization of marijuana. The president is running the government like a “corrupt dictator” and only enforcing the laws that suit him. And perhaps Cruz has a point. But let’s look at a list of Cruz’ complaints:

Cruz is on solid ground when criticizing Obama’s unilateral delay of the ACA employer mandate. He simply doesn’t have the executive authority to make such a decision, as a lawsuit filed in October to block the delay argued. But it all falls apart when Cruz goes after Obama on immigration and drug policy.

For one, discretion in law enforcement is not the same thing as suspending a law. Prosecutors have always had substantial leeway in choosing which cases to pursue and what evidence to present, so Obama’s directives to immigration and Justice officials on relaxing deportation rules and drug offense indictments is not flouting the law but simply changing the enforcement strategy. This is not uncommon.

But more to the point, Cruz is attacking Obama for not strictly enforcing immoral laws. No government has moral authority to use violence against people, especially so when those people have violated no one’s rights. Smoking a plant and crossing imaginary political borders are crimes only because the state has declared them so. It’s blindingly clear that the federal government has no compelling interest in criminalizing drugs nor does it have a constitutional mandate to do so. And arguably it need not have jurisdiction over immigration enforcement — the constitution provides for federal authority over naturalization, or the laws and process by which one becomes a citizen. A states’ rights advocate, as Tea Party Republicans purport to be, might argue that border enforcement is the domain of border states.

Cruz seems to be repudiating both a cornerstone of the new Republican grassroots platform, and arguing for more federal infrastructure to maintain policies any true conservative should oppose. This is the sort of cognitive dissonance, not to mention rank hypocrisy, that keeps Republicans so woefully out of step with much of the nation.

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Economist in NYT: Abolish corporate income tax

(Austrian) Economics, Taxation
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From one of the more unlikely corners of the interwebs — the op-ed section of the New York Times — comes a call to abolish the corporate income tax:

The United States may well have the highest effective marginal corporate income tax rate of any developed country. Jack Mintz, a public finance economist and director of the School of Public Policy at the University of Calgary, puts the rate close to 35 percent, which is also the statutory rate. Other economists, using different techniques, calculate the marginal rate to be as low as 23 percent. But both figures are miles above zero.

They are also miles above our 13 percent average corporate income tax rate — the ratio of corporate taxes to total corporate profits. The fact that the marginal tax rate, whether 23 percent, 35 percent or somewhere in between, is so much larger than the average rate suggests that a sizable share of corporate profits and production is ending up overseas and untaxed.

Making, rather than just stating, this case requires constructing a large-scale computer simulation model of the United States economy as it interacts over time with other nations’ economies, and then seeing how the model reacts when you change the American corporate income tax. I’ve developed such a model with three colleagues through the Tax Analysis Center, a nonpartisan research group. Our findings make a very strong, worker-based case for corporate tax reform.

The author, economist Laurence Kotlikoff of Boston University, argues that eliminating the corporate income tax will produce “rapid and dramatic increases in American investment, output and real wages, making the tax cut self-financing to a significant extent.” It’s an idea even President Obama embraced, at least partially — in 2012, he proposed lowering the corporate income tax a few points. Kotlikoff’s plan is considerably more radical, although he also calls for raising personal income tax rates to make up any decrease in revenues, and taxing capital gains at the same rate as income, among other reforms. Elsewhere, Kotlikoff has proposed what he calls a “Common Sense Tax” plan, which assesses a 13% flat tax on payroll and a 25% tax on personal income above $100,000.

Nobody in the mainstream press ever seems to want to propose ideas to make government do a lot less of what it does now, and thereby reduce the need for taxation, period, let alone “reform”. But talking about lowering or eliminating taxes in the Newspaper of Record is still a pretty good step forward.

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