Economics by L. Ron Hubbard - On Economics - L. Ron Hubbard Humanitarian: Freedom Fighter

Then there is a system based on creating want. Governments almost uniformly believe in this system and use it. They repress supply by taxation of suppliers, and increase demand by punishment of the consumer for lack of funds—i.e., income tax. The theory, in its most crudely expressed form, is the reduction of production coupled to the enforcement of demand. Fathers can be arrested for not caring for children, and the price of bread, rent and services is beyond the father’s ability to pay. One is arrested as a vagrant if one does not dress well, but the price of clothing through scarcity puts it beyond his reach.

There are many, many variations of the same two factors, supply and demand, and these can be played on by huge industries or the State or robbers or beggars or anyone, almost without number.

A great deal is made of “deflations” and “inflations” and tomes are written to interpret them, but there are only two operative laws that govern them:

1. An INFLATION exists where there is more money in circulation than there are goods.

2. A DEFLATION exists where there are more goods than there is money to buy them.

These two laws can be twisted about at will to confuse people. But that’s all there is to know about either an inflation or a deflation, or booms or depressions either for that matter.

The economic laws break down to only one fact, or fundamental, usually never mentioned in the best suppressive circles.

This is the genus of economics, the beginning, how the whole subject came about.

To bring about economics, a being must be led to believe he needs more than he can himself produce and must be restrained from consuming his own production.

After that, one has economics, a society and rules, laws, governments and huge industrial combines.

Let us take the simple matter of a poor cow. The cow produces milk, more cows and even meat.

By being a producing animal, the cow is made to surrender the lot. She does not need her own milk, cannot use her calves and is also made to surrender her own body for meat. In return she gets a sloppy barnyard, a thistle pasture, barking dogs and abuse.

Sentient or not, intelligent or stupid, the cow yet sets us a fine example of the perfect citizen of the state.

The perfect citizen (from a suppressive governmental viewpoint) is one who demands nothing and produces everything and even surrenders her own body on demand—the ideal citizen; the perfect factory worker; the complete soldier; the praised comrade.

Life gets itself rigged this way. Those who can produce are then convinced they must produce and in production are given less and less until at last we have a slave—all work, no pay, minimum food and untenable quarters.

If you have reservations about the end product of various State acts or the intentions behind them, consider this hitherto hidden fact.

Income tax is designed on the Marxist principle (to be found in Das Kapital, the communist text) of taxation:

L. Ron Hubbard Der Menschenfreund - Freiheitskämpfer
L. Ronald Hubbard El Filántropo - Paladín de la Libertad
L. Ron Hubbard Le Philanthrope - Défenseur de la Liberté
L. Ron Hubbard L'umanitario - Paladino della Libertá

© 1997-2004 Church of Scientology International. All Rights Reserved. For Trademark Information

© 1997-2004 Church of Scientology International. All Rights Reserved.
For Trademark Information