Friday, September 26, 2008

Time to Start Cheering for the Good Guys

Whilst tirading against the bailout and mourning the slow and inevitable slouch towards socialism the US seems hell-bent on, a reader made an excellent point that deserves further attention. I'm paraphrasing, but it basically went like this;

"You're like Hank Rearden when he realizes that it's not society that is behaving irrationally, but given the bail outs, corporate and social welfare, taxation rates, etc., it is your economic behavior that is irrational."

Now I confess I have not read Atlas Shrugged, but the point was still very well made. I, as well as all of you out there are suckers. We're rubes. We're the dumbsh!ts for working hard, paying our taxes, living only in houses we can afford, spending within our means, and otherwise supporting ourselves. That with all the benies government pays to the losers and parasites of society, why on God's green earth would we be working in the first place?

It's an outstanding point. I look back at my life and see just how much work and sweat I put into college, my career, my side jobs, only to have what is essentially the parasites of society lob off 33% of it, and now $700 billion more, and I have a hard time seeing how it was worth it. I'm trying to find out why I slaved and toiled working full time and going to school full time, when I could have just taken the easy way out and said "screw it, I'm collecting welfare and going on MinnCare (Minnesota's state health care) and refusing to work a day in my life." I'm trying to find out why I paid WaMu religiously and timely for every mortgage payment in the past 7 years, only to have their deadbeat leaders come to the government with a cup in their hand and ask for more of my money. I should have just defaulted like everyone else and stayed at home and played video games all day. But the key point is that whereas we berate and loathe such behavior, given the progressively socialist environment foisted on us by the government, how could a rationale person NOT avail themselves of all those benefits? Yes, we detest the parasite, welfare, sub-slime deadbeats who lived in better houses than we did, drove nicer cars than we have, and did it all with no ability to pay, and ultimately on the dime of us responsible members of society, but can you blame them?

And thus, why the entirety of this whole financial/banking/housing situation is so enraging. We did the right thing. We worked hard, we paid our bills, we budgeted, lived within our means and adhered to other simple concepts that 3rd graders can understand. The losers of society, whether knowingly or ignorantly (though I'm going more with knowingly), spent themselves into oblivion. And while they enjoyed luxury cars, sushi diners, trips to Europe and SUV's, we scrimped and saved and conserved, only to ultimately subsidize and bail out these degenerates. But to add insult to injury, as we look back at it, we were the ones who were idiots. We were the ones who were taken. To do the right thing, to work hard, to pay taxes, to pay your mortgage to live within one's means for the past 5 years was laughable and idiotic. We were voluntary hosts to parasites. It is arguably the most angering and depressing feeling a lot of us are feeling right now.

Alas, we are faced with a choice. Do we become "rational" human beings and capitulate to this wave of socialism sweeping the nation? Do we tell our mortgage company to ef off and refuse to pay our mortgage? Do we go out and sign up for welfare and state-paid health care? Or do we continue in our idiotic, archaic, obsolete 1940's old-school-American ways and continue to work hard and live within our means? Let me argue for that "stupid" "old school" Americanism.

First off you must realize the honor that comes with being one of those dwindling few that support themselves. If it weren't for us, the entire human race would cease to exist. I'm not saying this as hyperbole or rhetoric, I mean that dead-seriously. If it weren't for the producers, the human race would cease to exist. There'd be no New York, there'd be no X-Box, there'd be no ice cream there'd be no wiener dogs. The reason is very simple; if you don't produce, if you don't support yourself, then by definition you will die. And the same thing applies on a society wide level. I've always asked myself "what would happen to the country if all the Libertarians, republicans, conservatives and other varied sorts of capitalists, just ceased to exist?" And the answer is very simple; there'd be no country. We are the people who work and make this country go. We are the people who made America great. It is the workers and producers and entrepreneurs of the world that are the sole reason for advances in technology, creations in medicine, democracy, flight, cars, scotch and everything else. Everybody else is in the most literal sense, irrelevant to humankind and human history.

Second, is the nobility of independence. I don't know how many times back in college I heard some little 20 something girl, fresh out of a women's studies class bravado about how she was "independent."

Oh sure, dad bought her a brand new car.

And paid her rent.

And paid her credit card bills.

And her tuition for her worthless sociology degree.

Oh, but she was "independent."

And the womens studies professors. Certainly even more adamant about their independence than their student.

Oh sure, nobody in the private sector would hire them.

And the only thing they do is teach a study whose only function is to be retaught to the next generation of kids with no practical application outside academia.

And in most cases, these professors are in the public schools thereby necessitating the only way they'd get paid is if the government forces tax payers to cough up the money for something they wouldn't have spent money on otherwise.

But they're independent.

And those preppy frat boys soon to become Wall Street's finest as they kiss ass and suck...errr...I mean "work real hard" pulling off C's and D's in college because they know daddy has a job lined up for them in the end, so why work anyway?

Oh yeah, they're "independent."

Especially when they go to the government and need a bail out for Bear Sterns, Lehman Brothers, AIG. Oh yeah, real independent.

Let me tell you who is really independent.

The burger flipper at McDonald's who is slaving away to make ends meet and doesn't have the luxury of being a suburbanite prince or princess. He's independent.

The security guard who works the third shift so s/he can go to school during the day so they might be able to better themselves. They are independent.

The blue collar family that lives within their means and BUDGETS (any of you parasites ever hear of that word), to ensure they don't spend more than they make. They are independent.

And the capitalist or entrepreneur that saves their money, starts a company, fails but then doesn't go to the government for a subsidy or a check. He is independent.

Independence is arguably the most noble trait to have. It means you are truly and genuinely supporting yourself and do not rely upon others. Furthermore, it means you are a contributing member to society. Even if you think it a menial task or job you have, the burger flipper at McDonald's has done more to advance society than the highly paid Wall Street investment banker who's asking the government for a bail out because he's truly and genuinely INDEPENDENT. And it is because we are truly independent (not just "told" we're independent by some academian putz) that makes us (and I mean this seriously) better people than those who are dependent no matter what our financial background.

Finally, to give those of you who are independent, self-supporting contributing members of society one final thing to think about; who would you rather be?

I've often opined what would it be like to be a welfare bum or suburbanite prince/princess or "professional activist" on their death bed. To have all those years of lying about, not producing, not making anything of this one, precious finite life you have, and then when the end of that life is upon you, don't you have just a little bit of remorse or lament you've pissed it away?

When I die, I will be proud. I have taught thousands of people how to dance. I've taught thousands of people about personal financial management. I've gotten hundreds of little kids interested in paleontology and fossils. I hope I educate millions about the housing crisis. And for my day job (though it sounds nerdy) I've allocated capital efficiently. I can point to something so when I'm on deathbed I can say, "hey, good or bad, sub-prime deadbeats parasiting off of me or not, I achieved some amazing sh!t."

The dependent, the deadbeats, the losers who we are currently bailing out, can't say that. All they will be able to say is "I sat around and watched TV while collecting a government check."

"I helped bring the world's largest economy to recession as well as the global economy while I pocketed $100 million in a severance package."

"I filed for bankruptcy 3 times and had the consumer eat the extra costs."

When you die, you will leave a legacy. Maybe you aren't Tony Stark. Maybe you're not Bill Gates. But in the end, you will be able to point to your life and say, "I didn't waste it." You will go down in history as one of the producers. One of the independents. Alas, rational or not, there's nothing wrong with wanting to be Hank Rearden.

26 comments:

  1. Cap, some years back I was diagnosed with severe schizophrenia and put on permanent disability. This last health calamity came on top of an injured back and a bad heart.

    If I had stayed on disability for the rest of my life no one would have blamed me. But I didn't like it. I had always paid my own way and I was determined to keep doing so if I could.

    So I self-studied and became an expert on computers. I scrounged old bits from garbage bins and built working systems. I read everything available at the local libraries. I horse traded for used books. I scraped together to find money for new books.

    Now I'm a certified computer technician running my own business in a small town in Alberta, Canada. I'm not rich by any means, but we get by. I drive a 20 year old van and my family lives in a *paid for* manufactured home. We have some business expenses on our credit cards, but it's all debt that we can service, even if our business is cut by 2/3.

    I'm proud of making it from where I was when I was 23 -- written off by the medical profession -- to being a successful independent business owner 16 years later.

    So it angers the hell out of me when I have the candidate for the socialist party here in Canada come into my store and tell me how much he appreciates small business when the leader of his party is busy promising all of my hard-earned $$$ to a bunch of welfare suck tits. I told the wanna be politician that he had ten seconds to decide whether he was leaving via the front door or the front window.

    Yeah, it would be easier just to sit back and let others pay my way, but there's no way I could live with myself if I did. And let's face it: if someone with my degree of health impairment can earn a living, so can a lot of other "disabled" people.

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  2. Anonymous10:04 AM

    From one independent sucker to another, read Atlas Shrugged.

    I cannot be a parasite because I have a conscience and personal pride.

    The government robs me daily, but I have found ways of getting it back.

    It feels good and helps others in the process.

    I do not have a cure for the disappointment I feel when I look at the human race. It is a pitiful mass of protoplasm that doesn't deserve the life on this once lovely planet that it has.

    We get what we deserve. Some of us deserve better. If you feel you are one of them, then you need to take it.

    The government will only give you small drippings. Take what you want and don't worry about the masses, they aren't worth it.

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  3. Anonymous10:11 AM

    Excellent post!

    There are very few times when I actually have to concentrate all my energy solely on not speaking and not slapping the crap out of someone, but that happened recently when someone told me they are so broke because they can't find a job. "Really, because I saw three help wanted signs today?" Oh, they said, "I don't do retail or fast food."

    Since when do people have too much pride to work at McDonalds, but not enough to turn down food stamps? Well Mr. I-don't-do-fast-food or Miss I-don't-do-retail, do you "do" sleeping in a cardboard box making $5 bucks a day collecting cans? Maybe you should start!

    I say from now on, all the welfare offices are required to have ONE teller style window placed at a prominent intersection, WITH security system that displays their face on a billboard above it. No more of this sending stuff in plain brown envelopes in the mail BS. That's reserved for pornography for people WHO GET OFF THEIR LAZY BUTTS AND GO TO A JOB 5 DAYS A WEEK TO PAY FOR IT!!

    Then we'll see who is too damned cool to work "retail".

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  4. Dude, you've just made me feel a whole lot better about my crappy grocery store day job.

    Thank for putting things in perspective.

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  5. Anonymous10:21 AM

    Excellent Post - you have heartened those of us who work for a living and pay bills on time.

    I will never understand why educators don't mandate personal budgeting/financing courses as mandatory high school curriculum. Any thoughts?

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  6. Anonymous10:29 AM

    Great blog - but please please please switch to white on black - this format is very hard to read!

    Thanks!

    :-)

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  7. Time for Atlas to shrug?

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  8. Well said dude.

    You don't have to read Atlas Shrugged. It basically says:

    "Independence is arguably the most noble trait to have. It means you are truly and genuinely supporting yourself and do not rely upon others."

    ...but takes eight thousand turgid, horrible pages. Seemed like eight thousand pages anyway.

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  9. Glad you got around to honour and pride (self-esteem), for these are reason enough to carry on as a producer.

    The outgrowth of these character traits is the work ethic. Independence, as you call it, therefore, is really an extension of an individual's integrity or moral fiber. Choosing to live on welfare or to leech government programs when one is able to work speaks directly to the moral fiber of the person.

    Yes, sometimes life throws a curve ball at someone (critical illness, for example) that might cause them to go on welfare for a brief period. But people of strong moral character will or should learn from any mistakes in such circumstances (such as not purchasing CI insurance) and get back to work as soon as possible. They'll do so because their character cannot stand to be dependent for no good moral reason.

    Where character deficiencies abound, so does dependence.

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  10. I couldn't find a contact button, so I'll leave this request as a comment.

    I was wondering if you could create a chart or find some research on the following:

    What percentage of people move from the bottom 90% of the income/net worth to the top 5% of income/net worth?

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  11. Anonymous12:05 PM

    Thank you for validating my existance and telling it like it is. I came from a poor family,and started working when I was 10 to help support my family. I work for a living and live within my means. Everything I have, I earned. I drive old cars. (Always paid for.) and pay for my purchases in cash. Although I have over $150,000 in available credit,I don't use it and I have no credit card debt. I KNOW BETTER! I pay my mortgage. I don't depend on anyone else for a living. I DO NOT pity the greedy idiots who got into this mess. I am a veteran and was taught to GROW UP and be RESPONSIBLE for my actions! If I make an irresponsible investment, I take my lumps. THESE BASTARDS SHOULD DO THE SAME! No crying to Me, the taxpayer, for a bailout. IT WAS NOT MY FAULT THAT GREEDY INVESTORS WORE AN ASSHAT WHEN IT CAME TO MANAGING MONEY! Thanks for speaking out on this.

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  12. Why do we do it you ask? Simple answer, not really understood or recognized by those who don't have it - integrity. The personal integrity to always strive, always achieve. To make man great. Greatness never, NEVER comes from anywhere else. Whether it is the inventor or scientist curing cancer, the ditch digger digging the best ditch in town, the athlete driven to be the best that he can be .... it is personal integrity that leads to greatness.

    You really ought to read Atlas Shrugged - you kind of summarized a large chunk of it in this post. But what if "we" all did not exist? What if we shrugged? I'll survive, and so will the rest of us who produce, and strive for greatness. The rest? The hell with them.

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    http://www.youtube.com/watch?v=H5tZc8oH--o

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  14. Unless you built (and maintain) your own house, grow your own food, built your car, sewed your clothes, hammered out your cookware, and so forth, you're not truly independent.

    Most of the cases you mentioned as not independent I would describe as net consumers; except that frat boy that gets a job from his dad. Assuming he doesn't suck at it (I know, not a great assumption) he might still be contributing. People who work, and spend less than they earn, are net producers. But nobody is really independent anymore.

    Other than that, I generally agree.

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  15. Anonymous1:24 PM

    I have to say thanks, Captain, I wasn't sure anyone cared. I'm one of those "patsies" who, when faced with bankruptcy instead took the hard but honorable road. Uprooted my family, moved into a small apartment, worked out payment plans with debtors, and my wife and I busted our asses for the next ten years. It was tough, but we can hold our heads up and our boys KNOW the meaning of work and honor.
    Which is why this situation is such a hot button. I am furious that I am presented with a "choice" between probable collapse of the economic system, and the socialization fo that system. Where's Door Number 3?

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  16. Anonymous1:30 PM

    If you haven't read Atlas Shrugged, you should. It is, by far, the most compelling, engaging book that I have ever read. I highly recommend it.

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  17. Anonymous3:05 PM

    I'm actually reading Atlas Shrugged now. The parallels between the first half of the book and the events that are currently occuring are incredibly depressing. I recommend reading Atlas if only for the parts where Rand breaks off into a rant through her characters. Those make me just go F$ckin Right(!) as I'm reading.

    Socialism coming to America...we live in interesting times.

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  18. Anonymous5:27 PM

    I read Atlas Shrugged in High School, about a decade ago. Since there's so many who loved it, I'll provide a counterpoint. Overall it was pretty good (after all, I managed to finish the whole thing), but there wasn't much subtlety in the characters. The "good guys" were absolutely superior to the "bad guys" in every way, as if subscribing to an Objectivist morality automatically makes one stronger, more beautiful, and more competent in every way than everyone who doesn't.

    Just about the only one that isn't perfect is Dagny Taggart because she's a chain smoking slut, but it's obvious Ms Rand didn't think that was a bad thing. When she wrote it people didn't know that cigarettes mess you up. Oops.

    Another complaint I have is that Ms Rand seemed to have some kind of pathological aversion to favors. When someone in her ideal society loaned a friend a car, they were charged a trivial sum for it. It's like she found the idea of doing something nice for a friend without compensation to be offensive. Hell, the transaction costs on both sides were far greater than the amount transferred. The kind of man who could run a massive banking empire or develop a method for producing oil out of a freaking tap from oil shale probably has valuable enough time that digging through a wallet for a buck could be called a stupid waste of time for everyone involved.

    So, who's awesome? Francisco D'Anconia has a pretty awesome plan going, and Ragnar Denneskjold is a freaking pirate who raids government shipping convoys for their gold in his own private warship.

    Ms Rand was definitely not an economist, but if you're willing to overlook some of the dumber bits (like bazillionaires wasting time digging around to trade pocket change for trivial favors) it's a pretty good book.

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  19. "the only one that isn't perfect is Dagny Taggart because she's a chain smoking slut"

    Mr. Fuller, you are the only person who has convinced me to read Atlas Shrugged.

    On a side note e-mail me at captcapitalism@yahoo.com. Getting some freak making comments on this site regarding you which I haven't posted.

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  20. The problem with Atlas Shrugged is that you'll only stick with it if you already believe in the ideals it preaches (and even then you may give up in exasperation). Those who most need to read it are also the ones most likely to give up after the first chapter.

    Myself, I enjoyed enjoyed the book, but it took a conscious effort to stay with it. It would have been a great novel if she had made it about a quarter of it's current length. In it's current format it feels as if the author is constantly bludgeoning you over the head with the same stick, until you finally want to shout "ALRIGHT, ENOUGH, I GET IT!".

    Still, it's a great work of literature, and I'm glad I took the time to read it.

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  21. I should have posted this in my previous comment, but I didn't see Mr Fuller's comment until after I had already made mine. Anyway, regarding this bit:

    "Another complaint I have is that Ms Rand seemed to have some kind of pathological aversion to favors. When someone in her ideal society loaned a friend a car, they were charged a trivial sum for it. It's like she found the idea of doing something nice for a friend without compensation to be offensive. Hell, the transaction costs on both sides were far greater than the amount transferred."

    It's obvious that Mr. Fuller didn't quite understand the point which Mz. Rand was attempting to make. The reason she finds "favors" offensive is because they automatically incur a debt on which no specific value has been placed. If you help me buy a house without taking any payment for your services, it's automatically assumed that I "owe" you something. What that "something" may be is open to interpretation, but I will automatically feel honour-bound to help you out in the future, even if the value of my service to you is much greater than the service you provided me with. Conversely, others will never pay back a favour, and will instead take advantage of your good nature by repeatedly asking for more favours - requests which a generous person will naturally feel inclined to grant. One of the main themes of the book was that the scum-sucking leeches of society will attempt to exploit the good nature of others in order to get a free ride, so you can see why Mz. Rand frowned on the idea of requesting or granting "favours".

    There is simply no NEED for such uncertainty amongst productive individuals. I do not require your charity, and I do not want to take "favours" as a form of credit. There's no reason why we cannot all pay our own way, by coming to reasonable arrangements on every transaction. That way nobody feels like they "owe" something, and nobody gets stiffed by those who want to take advantage of the charity of others.

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  22. Anonymous10:17 PM

    An excellent post, Cap'n!

    And kudos to Sean for his extraordinary effort!

    While I recognize that the losers and parasites of society do exist in significant numbers and that misguided government policy encourages that behavior, I (still) can't understand what is so damned attractive about being less than you can be. I just don't get it - to me it's pure insanity and entirely irrational.

    Not too long ago the "comprehensive immigration reform (amnesty) bill" was shot down in flames by large number of constituents contacting their congresspersons and senators in strong opposition. We're now seeing this with the "financial bailout" being considered.

    We have proven that if enough of us get pissed off enough and flood our elected officials with phone calls, mails and e-mails, we can get our officials to hear us and do what we want.

    Where we are rubes is not that we work hard to produce - we're rubes because we don't organize and demand reform of the current socialist welfare system. We must insist ending the free lunch - we need require some real work for receiving those benefits. While we're at it, let's kill off ACORN.

    Now, I've been away from work on vacation for the last two weeks. I fixed some things around the house and was bored out of my mind - although it was nice to catch up on sleep.

    But this got me thinking. I'm about 10 years away from the normal retirement age, but I'm rapidly coming to understand that I'd think retirement would absolutely suck, not only because I would be bored, but because I wouldn't be a producer any more. Even though I spent my entire working life as a producer and people would say I earned my retirement, I'd would still miss being a producer and having that sense of purpose.

    Or am I being irrational?

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  23. Hi Anon,

    No, you're not being irrational, though people would say you shoudl rest on your laurels.

    I would say most conservatives, working folk, producers would become intellectually bored or starved during retirement. It's not that they would find themselves worthless, it's just they ask the logical question, "Geez, playing cards at the assisted living center is really freaking boring." And they'd have to go teach or work part time or something.

    I think I'll teach dance until I'm dead. Go fossil hunting till I'm dead. Consult at least a little bit until I'm dead. I don't see lying about and going to the Grand Buffet.

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  24. Anonymous12:36 PM

    "It's obvious that Mr. Fuller didn't quite understand the point which Mz. Rand was attempting to make. The reason she finds "favors" offensive is because they automatically incur a debt on which no specific value has been placed. If you help me buy a house without taking any payment for your services, it's automatically assumed that I "owe" you something. What that "something" may be is open to interpretation, but I will automatically feel honour-bound to help you out in the future, even if the value of my service to you is much greater than the service you provided me with."

    If somebody loans me a book, for example, I won't feel any particular obligation to help him buy a house. If someone doing you a minor favor for you becomes a blank check moral obligation as you've claimed here, I'd suggest you're probably crazy.

    By the way, the favor in question was loaning a friend a car to show another friend around for a couple hours. Dumping more money than I make in a year into a friend's house is stretching the word "favor" more than just a bit.

    "Conversely, others will never pay back a favour, and will instead take advantage of your good nature by repeatedly asking for more favours - requests which a generous person will naturally feel inclined to grant. One of the main themes of the book was that the scum-sucking leeches of society will attempt to exploit the good nature of others in order to get a free ride"

    Others will never pay back a favor? Really? What kind of assholes are you hanging around with? Here's how it works for me: I'm willing to do nice things for people from time to time, and if they are unwilling to do the same for me, I stop doing nice things for them. This works really well on small scale stuff like carpooling or whatever, where the transaction costs involved in negotiating payment are probably worth more than the time it would take to work something out. I'll loan a book to a buddy for free because asking for a dime per day is a waste of my time and theirs.

    This gets even more ridiculous in the context in which Rand showed her ideal. These men were her moral titans, the perfect examples of everything that she believed humanity ought to be, whose time was immensely valuable and who swore to never live for the sake of someone else or force someone else to live for them. To suggest that men like those would suddenly become perpetual favor-begging parasites if they were to perform uncompensated trivial favors for one another instead of insisting on some minor payment for each act is ridiculous.

    "There is simply no NEED for such uncertainty amongst productive individuals."

    Sure there is. Trivial favors are often worth less than the transaction costs of paying for them, and this is certainly the case with Rand's supermen trading a buck to lend a car so they can show a mutual friend around town for a bit. "Hold on a sec, we need to stop reshaping the world while I wait for you to dig out a buck for me." If I asked for a nickel every time I held a door open for someone, I'd waste a lot of my time and theirs. I'd rather have the time I save by not asking for a nickel, as well as the side benefit of not looking like a jackass.

    You say there's no need for productive people to not pay for every little thing they do for each other, and I say there's no need for rational individuals, even those who are primarily concerned with their own self-interest, to negotiate payments when the transaction costs are greater than the amount of money transferred.

    If someone does something nice for me and I don't pay them for it, I don't begin living my life in fear that they'll ask me for a kidney and I won't be able to say no. I'd say that anyone who does respond that way is neurotic.

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  25. Anonymous6:15 PM

    Listen up deadbeats, we already have the answer to these questions.

    http://www.youtube.com/watch?v=fYXDYjHtsG8

    Fast forward to minute 7:00 to have it spelled out for you.

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  26. Thank you for putting words to so many feelings so many have and cannot verbalize.

    Do yourself a favor and read Atlas Shrugged. You will find that the true sin is forgiveness of people who do not deserve it and the persecution of those most able to withstand it.

    I refuse to "enable" those who will do it again and again and STILL expect to be bailed out when they screw it up. I say, shoot them upon being identified and let the culling begin now.

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