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American Liberalism: The Infantile Disorder

rcwhalen's picture




 

 

“The approach of a great storm was sensed everywhere. All classes were in a state of ferment and preparation. Abroad, the press of the political exiles discussed the theoretical aspects of all the fundamental problems of the revolution. Representatives of the three main classes, of the three principal political trends -- the liberal-bourgeois, the petty-bourgeois-democratic (concealed behind "social-democratic" and "social-revolutionary" labels), and the proletarian-revolutionary -- anticipated and prepared the impending open class struggle by waging a most bitter struggle on issues of programme and tactics. All the issues on which the masses waged an armed struggle in 1905-07 and 1917-20 can (and should) be studied, in their embryonic form, in the press of the period. Among these three main trends there were, of course, a host of intermediate, transitional or half-hearted forms. It would be more correct to say that those political and ideological trends which were genuinely of a class nature crystallised in the struggle of press organs, parties, factions and groups; the classes were forging the requisite political and ideological weapons for the impending battles.”

 

The years of preparation for revolution (1903-05) 

Left-Wing Communism: an Infantile

Disorder

V.I. Lenin

April-May, 1920

 

Grand Lake Stream, ME:  Had good fishing yesterday even as temperatures rose steadily as the group converged on Leens Lodge for evening activities.  Dinner last night featured a brief presentation by ME Governor Paul LePage and also a discussion of Weimar Germany by Madeline Schnapp of Trim Tabs.  The two discussions were good complements for the larger evening discussion.  But sad to say for Persian Economists, there were no Power Point presentations.

 

Governor LePage started his discussion with a very frank appraisal of the state’s fiscal situation, namely that the Democrats spent and stole the state broke.  Voters in ME recently gave control over the governor’s office and both houses of the state legislature to the Republican Party.   Suffice to say that the main theme of Governor LePage’s comments to the audience at Leens Lodge, which included a number of advisers who own the state’s debt, is that the State of Maine is going to pay its bills and keep its promises.

 

One interesting part of the Governor’s remarks involved how ME is clearing up the many years of arrears of Medicare payments to hospitals around the state.  He noted thatthe Democrats in the legislature wanted to “negotiate” a settlement for the arrears of 50 cents on the dollar with the state’s hospitals, which would doom many of them to failure.  The consistent objective of American liberals is to destroy the free enterprise system and make the US a monolithic socialist state a la France.  That battle is underway in ME right now.  

 

Contrary to the Fabian scenario, Governor LePage has insisted on paying the hospitals in full.  “Then we can spend money on other things,” he told the audience.  But more to the point, LePage’s promise to pay the hospitals will thwart Democratic designs to decimate private health care institutions and drive more and more Mainiacs into the arms of the state.  But don’t look for Governor Le Page or anyone in the northern part of ME to go along quietly. 

 

The evening discussion was set up by Madeline Schnapp, who provided a brief but entirely chilling review of the financial stairway to hell of hyper-inflation in Weimar Germany.  In an extraordinary and succinct discussion, Madeline talked about the timing and duration of the appearance of different denominations of paper money used in the Weimar period.  Suffice to say that as the paper lost value, the printing became less and less attractive.  

 

From the start of WWI in 1914 through until 1923, the cost of a loaf of bread went from 0.10 Deutsche marks to 1 trillion marks in December 1923.  The hyperinflation in Weimar Germany, Schnapp noted, wiped out all of the accumulated wealth and savings of the German middle class and left most of the population in poverty.  Attendees at the dinner received examples of Weimar money and a brief presentation showing the rate of inflation during the Weimar inflation.

 

The juxtaposition of Paul LePage and his battle against the downstate, apartment dwelling socialists over spending and debt, and then Schnapp’s reminder about the death of money in Weimar Germany is a powerful pairing.  At the start of 1924, let us recall, Germany wiped out all existing financial assets and introduced a new currency back with real estate and other tangible assets.  When Paul Krugman and his ilk talk about the need for more deficit spending, more fiscal stimuli, they are taking you down the road to Weimar America.  There is nothing at the end of Paul Krugman’s road to borrow and spend save national destruction and personal disaster.  

 

On Monday this scribe will be taking the Bat mobile to Chautauqua, NY, to give a talk on Tuesday evening regarding the morality of regulation in America -- or perhaps the lack thereof.  In an age when the entire framework of left wing liberalism, “the infantile disorder” to paraphrase V.I. Lenin, lies in tatters, maybe it is time to ask why we all don’t do the right thing.  Or if the future of economics is merely a free-for-all for an existing pie of resources, perhaps we should just dispense with the civilities?  

 

Whether you are a Krugmanite progressive-socialist or a classical liberal lost in the 21st Century, in both cases we rely upon a consensus called the rule of law.  But is that assumption still valid?  Many conservatives believe that the left has lost its collective mind and embraced hyperinflation a la Weimar Germany, not to help people in any meaningful way but to simply preserve Democratic political power.  

 

If the political tsunami underway in Maine is any indicator, the November 2012 election will be fascinating and unpredictable.  But while there may be conservative uprisings at the local level, in Washington at the Fed a decidedly orthodox form of state socialism continues to reign supreme.  

 

“If you consider that John Law’s main intellectual error was thinking that shares of stock were just as good as money,” AIER scholar Walker Todd noted recently.  “Ben Bernanke’s error is thinking that derivatives and math models are as good as a scarce commodity in restraining the quantity and promoting the value of money.” 

 

But the beliefs of mere Fed economists are a sublime concern compared to the naked inflationism of Paul Krugman and his fellow travelers in American liberalism.  The battle now is between people like ME Governor Le Page, who want to restore fiscal sanity to American life, and those who merely wish to destroy the private economy and monetary system.  By ensuring that as many people as possible are dependent upon government for their livelihoods, liberals in states like ME are treading the path blazed a century ago.  by V.I. Lenin.  What a shame most of them do not appreciate this irony of repeating the same mistakes over and over again.    

 

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Sat, 08/04/2012 - 16:52 | 2678503 MeelionDollerBogus
MeelionDollerBogus's picture

Fascism is the rule  / merger of corporations with government.

Pay them no debts that are illegitimate.

Part of today's problems are fraudulent, massive theft.

Sat, 08/04/2012 - 12:46 | 2678111 Sean7k
Sean7k's picture

"Paying one's debts" has always been the cry of the creditor. The paying of "debts" is neither historical nor sensible if the conditions that created the debt have criminal underpinnings. Your first hint should have been "his advisors" holding the debt. 

If the State has created the debt from fascist agendas that encourage the development of the military-industrial complex or social spending beyond a reasonable ability to pay, then why is paying this debt so sacrosact? 

Paying this type of debt could be fiscally IRRESPONSIBLE, if it encourages the continued spending by government beyond the ability of the people to provide revenues or is beyond their desire to pay them.

Sat, 08/04/2012 - 12:32 | 2678079 blacksheep
blacksheep's picture

The debt is the government's. It is the tax payers who are being forced to pay it. I didn't spend any of that money and I didn't approve of it being spent. I don't intend to pay it. The people who lent government money should have thought about how the government was going to be able to pay it back. The government produces nothing. They should have realized that eventually the tax payers would say no more. Forcing people to pay off other people's debt is wrong. That governor is looking out for the bond holders while he cares not for the fate of the poor tax slaves.

Imagine I don't have a job but I am allowed to run up a credit card bill. Is it morally superior to screw the credit card company or steal from my neighbors to pay my bill? It sounds like you are saying the debt holders' rights trump other people's rights not to be robbed.

Sat, 08/04/2012 - 11:35 | 2677978 El
El's picture

Democrats...Republicans... I'm not seeing much of a difference between them these days, other than the means they use to drive us over the edge of the cliff. Even those differences are getting smaller every year. There is such an instantaneous knee-jerk reaction whenever one or the other party is criticized, and yet the funny thing is that neither is anything to be proud of.

This will be the last election I will go to the polls as a member of either prong of the two-party establishment. I don't recognize my own party anymore and haven't for some time. I certainly won't stand here and try to defend them to you.

Sat, 08/04/2012 - 15:44 | 2678398 Anusocracy
Anusocracy's picture

Liberals: driving civilization off a cliff in reverse gear.

Conservatives: driving civilization off a cliff in a forward gear.

Sat, 08/04/2012 - 11:57 | 2678022 mkarolusa
mkarolusa's picture

That is exactly what the MS media has convinced many of - there is no difference so lets just go with the Hope and Change crowd - how is that working for you?

Sat, 08/04/2012 - 13:53 | 2678239 El
El's picture

Go with the Hope and Change crowd? Uhmmm...no.

Sat, 08/04/2012 - 11:56 | 2678021 AnAnonymous
AnAnonymous's picture

They are all 'Americans'. 'Americanism' matters the most.

Sat, 08/04/2012 - 12:17 | 2678047 Kayman
Kayman's picture

Did you plant a nice sloppy kiss on the butt of your Chicom handlers this morning ?  How's that criticizing the Chinese Politburo thing going for ya ?

Sat, 08/04/2012 - 20:56 | 2678783 nmewn
nmewn's picture

I notice AnAnus has gone from criticizing "US citizenism" to criticizing the American people in general.

So this confession should help even the most deluded among us understand his underlying bigotry.

Sat, 08/04/2012 - 11:29 | 2677963 Mr. Lucky
Mr. Lucky's picture

The article does have a discreditable aspect of cheerleading for red vs blue.

The historical perspective of events and their potential results for the future do resonate.

Sat, 08/04/2012 - 21:47 | 2678867 John_Coltrane
John_Coltrane's picture

How about Gov Christy in New Jersey or Walker in Wisconson to mention just two who are making a real positive difference by taking on the public sector unions whose pensions and salaries are bankrupting the states?  To say there is no difference in philosphy is naive in light of the emergence of people like Cruz in Texas or Rand Paul ahd Hill of Utah in the last election.  The republicans do have strong liberatarian, anti-federalist wing.  The key to the power of the state is debt.  Therefore, anyone favoring debt destruction, favors lessening the power of the state.  An example was the attempt by Paul Ryan to block grant medicaid-putting it back into local control.  Elimination of the dept of education is another example.  Actions speak louder than words or labels.

Sat, 08/04/2012 - 11:15 | 2677936 davey
davey's picture

One nation under the fortune 500

Sat, 08/04/2012 - 21:38 | 2678849 John_Coltrane
John_Coltrane's picture

That's fine with me.  Just no taxpayer bailouts or below market loans or state sponspored industrial policy/investment (hear that Fanny and Freddy, GM and AIG, high speed rail, ethanol, electric cars, wind and solar power?).  You can't have real capitalism without true competition.   Let's try it for a change.  I like people who put profits first especially when its their own capital at stake.  I worry about people, like politicians who hate the idea of profits but have no problem with massive fraud of other people's money (see medicare, medicaid, defense contractors and SS disability).  

Sat, 08/04/2012 - 11:12 | 2677929 Seasmoke
Seasmoke's picture

Fuck Le Page !  Fuck DeMarco ! Fuck Romney !

Sat, 08/04/2012 - 11:54 | 2678016 mkarolusa
mkarolusa's picture

Typical Liberal response - very elloquent!

Sat, 08/04/2012 - 19:17 | 2678666 mbarido
mbarido's picture

NO, fuck 'em all!!!!

Sat, 08/04/2012 - 10:52 | 2677902 TransWarp101
TransWarp101's picture

American liberalism sucks, but "infantile disorder" is not a term that distinguishes it from the psycopathic infantile disorder known as American conservatism.  

Psychopathic infantile American conservatism:  1) no big gummint except of course an imperial army stretched around the world; 2) let the billionaires decide everything, that's what God wants; 3) capitalism, because capitalists love competition, especially when they can eliminate it and sell at optimal prices, i.e., monopoly prices.

Sat, 08/04/2012 - 21:04 | 2678796 A Nanny Moose
A Nanny Moose's picture

More monopoly myth bullshit. Monopoly only exists when government gets involved. Otherwise, your rising price scenario is a price signal for more compe-fucking-tition. Standard oil reduced prices as it gained marketshare.

Sat, 08/04/2012 - 15:38 | 2678388 Anusocracy
Anusocracy's picture

Liberals are bad for the economy and for peace.

Conservatives are bad for peace and for the economy.

Sat, 08/04/2012 - 17:49 | 2678562 MeelionDollerBogus
MeelionDollerBogus's picture

Now that's what I call a double-plus ungood analysis.

Sat, 08/04/2012 - 19:00 | 2678647 Anusocracy
Anusocracy's picture

You're not making fun of my Epsilon-Minus Semi-Moron status are you?

Sat, 08/04/2012 - 12:27 | 2678067 vinoverde
vinoverde's picture

C'mon. Most conservatives are not big supporters of these three principles.

What point are you trying to make here. I got bored with the "everybody does it it" defense back during the Clinton presidency.

Sat, 08/04/2012 - 13:08 | 2678151 granolageek
granolageek's picture

Most people who call themselves conservatives are in favor of at least two out of three. Just because you don't does not exactly give you the right to read a majority of self described conservatives out of the movement.

 

A tiny minority, yes. But The tiny minority comprises those who do not expouse those three principals.

 

Mitt Romney, Sarah Palin, the Koch brothers, Mitch McConnel....After Ron Paul, who are we talking here?

Sat, 08/04/2012 - 16:40 | 2678479 LowProfile
LowProfile's picture

So many Neocons have usurped the term "Conservative", that true Conservatives have taken to calling themselves Paleoconservatives, Goldwater Conservatives, Constitutional Conservatives, etc.

Same thing happened with Liberals.  True Liberals have taken to calling themselves Classical Liberals, Left-Libertarians, etc.

Most Libertarians I know are now calling themselves Minarchists or Anarchists...

Most Anarchists are now calling themselves Voluntarisists...

Sat, 08/04/2012 - 10:50 | 2677899 batterycharged
batterycharged's picture

LOL, it was 2.5 stars before I selected 1 star.

ZH seems to have some very smart people on the site, do we need to bring the Hannities and Limbaughs on board?

Maybe I should respond with a Rachel Maddowesque retort to drag this down further to cable news TV status.

Sat, 08/04/2012 - 10:46 | 2677897 johnQpublic
johnQpublic's picture

yay!

the republicans will save us :a)from ourselves

                                             b)from the democrats/liberals

                                              c)from the republicans

 

 he world is my expense
The cost of my desire
Jesus blessed me with it's future
And I protect it with fire
So raise your fists
And march around
Don't dare take what you need
I'll jail and bury those committed
And smother the rest in greed
Crawl with me into tomorrow
Or I'll drag you to your grave
I'm deep inside your children
They'll betray you in my name

Sleep now in the fire
[ Lyrics from: http://www.lyricsfreak.com/r/rage+against+the+machine/sleep+now+in+the+f... ]
The lie is my expense
The scope of my desire
The Party blessed me with it's future
And I protect it with fire
I am the Nina The Pinta The Santa Maria
The noose and the rapist
And the fields overseer
The agents of orange
The priests of Hiroshima
The cost of my desire

Sleep now in the fire

For it's the end of history
It's caged and frozen still
There is no other pill to take
So swallow the one
That made you ill
The Nina The Pinta The Santa Maria
The noose and the rapist
The fields overseer
The agents of orange
The priests of Hiroshima
The cost of my desire

Sat, 08/04/2012 - 10:43 | 2677895 XitSam
XitSam's picture

"What a shame most of them [liberals] do not appreciate this irony of repeating the same mistakes over and over again."

They don't see the irony because they simply don't see it as a mistake.

Sat, 08/04/2012 - 21:27 | 2678832 John_Coltrane
John_Coltrane's picture

Yep, its a determined plan that accelerated with the creation of the FED and the income tax in 1913 but goes back even further to the conflict between Jefferson and Hamilton about the nature of the new nation-modeled on the empires of Europe with a central bank and a standing army supported via debt (Hamilton) or an independent republic with most of hte power at the state level based upon agrarian production and saving.  The name of the game is debt and bailout.  Don't take my word for it read the real economic history of the world in "The creature from jeckyl Island" and make up your own mind.  Then all the Fabian socialist actions will make sense.  The Fabian socialist symbol is the wolf in sheep's clothing.

Sat, 08/04/2012 - 10:39 | 2677889 lieutenantjohnchard
lieutenantjohnchard's picture

excellent article. just finished a (yet another one) book on weimar germany and the inflation. of course the author and (schnapp) didn't have the time to give a complete expose on the period, and why the hyperinflation happened. regardless, the point is, don't mess with hyperinflation. it's bad bongo. maintain sound money, and pay as you go.

Sat, 08/04/2012 - 10:20 | 2677867 TaxSlave
TaxSlave's picture

And here I thought I was going to find some nice pictures of pretty young women in diapers.  Oh well.

 

Sat, 08/04/2012 - 14:18 | 2678271 NoTTD
NoTTD's picture

More likley Pelosi, Feinstein, Murkowski, et al, i diapers so careful what you wish for.

Sat, 08/04/2012 - 10:39 | 2677887 Piranhanoia
Piranhanoia's picture

Think it's the men and boys that are wearing the diapers.  It's where they keep the fish.  When is Chris going to write the new fascist manifesto?    Will he finish it before he gets roasted by his neigbor's and eaten by their animals?

Sat, 08/04/2012 - 10:13 | 2677860 Snakeeyes
Snakeeyes's picture

Another great piece by Chris Whalen.

Sat, 08/04/2012 - 10:34 | 2677878 johnQpublic
johnQpublic's picture

sarc?

Sat, 08/04/2012 - 11:25 | 2677956 Landrew
Landrew's picture

One can only hope, otherwise he/she is a moron. We are in a depression and you can't get out of a depression until all asset values fall. The trick is to hold the one that falls the least as only the Swiss and Germans seem to know now.

Sun, 08/05/2012 - 12:26 | 2679513 Bastiat
Bastiat's picture

you can't get out of a depression until all asset values fall.

Fall vs what?  Denominated how?

Sun, 08/05/2012 - 09:32 | 2679265 Stuck on Zero
Stuck on Zero's picture

Interesting perspective Landrew.  I wouldn't think that as you make your way through a Depression that there is any one asset that will fall the least.  I suspect that you'll have to jump asset classes fairly frequently.  Gold, farmland, dollars, food etc.

 

Sat, 08/04/2012 - 11:34 | 2677974 LMAOLORI
LMAOLORI's picture

 

 

Absolutely surprisingly even mainstream news is starting to report that

 

The depression is here — it’s just invisible

http://www.marketwatch.com/story/the-depression-is-here-its-just-invisible-2012-08-01?link=MW_story_investinginsight

 

Do Two Recessions Equal One Depression?

 

http://blogs.wsj.com/marketbeat/2012/07/25/do-two-recessions-equal-one-depression/

Sat, 08/04/2012 - 15:29 | 2678368 Anusocracy
Anusocracy's picture

Two Recessions minus government welfare equals one Great Depression.

Sun, 08/05/2012 - 12:30 | 2679521 knukles
knukles's picture

Two Recessions or One Depression + Big Gubamint + Monied Interests = absolute lack of ethics and morals + unequal application of law = money printing + propaganda + restriction of rights = how's that work out for anybody else anywhere before? =  no fiat currency has lasted more than 200 years = no, just because we're America we ain't exempt = more pabulum and horseshit to follow = we're sooooo fucked

Simple math

Sat, 08/04/2012 - 10:00 | 2677845 AchtungAffen
AchtungAffen's picture

American Republicans: The infantile disorder...

"The consistent objective of American liberals is to destroy the free enterprise system and make the US a monolithic socialist state a la France."

"But more to the point, LePage’s promise to pay the hospitals will thwart Democratic designs to decimate private health care institutions and drive more and more Mainiacs into the arms of the state."

"The juxtaposition of Paul LePage and his battle against the downstate, apartment dwelling socialists over spending and debt, and then Schnapp’s reminder about the death of money in Weimar Germany is a powerful pairing."

"On Monday this scribe will be taking the Bat mobile to Chautauqua, NY, to give a talk on Tuesday evening regarding the morality of regulation in America -- or perhaps the lack thereof.  [...]  Or if the future of economics is merely a free-for-all for an existing pie of resources, perhaps we should just dispense with the civilities? "

"But is that assumption still valid?  Many conservatives believe that the left has lost its collective mind and embraced hyperinflation a la Weimar Germany, not to help people in any meaningful way but to simply preserve Democratic political power." --hm TARP anyone? Bernanke being a Bush apointee... hmm...

" By ensuring that as many people as possible are dependent upon government for their livelihoods, liberals in states like ME are treading the path blazed a century ago."

 

So in the end, fearmongering, name calling, using terms that elicit emotional responses (rather than rational) to make a point, inaccuracies, straw mans everywhere. This is one of the most infantile articles I ever read on ZH.

Sun, 08/05/2012 - 11:06 | 2679359 blunderdog
blunderdog's picture

Chris doesn't do political commentary very well.  When he puts on the "pundit" hat, it's pretty easy to ignore him.

I do think he's right to bring up one point: that "rule of law" issue is what you might call "bipartisan," and that's a major problem right now.

Sat, 08/04/2012 - 12:01 | 2678031 Nobody For President
Nobody For President's picture

Agreed. There are plenty of good points to be made about the crazyness of spending your way out of debt without calling those that you disagree with 'communists' - insert old joke about internet discussions always degenerating into somebody throwing out the 'nazi' label...

There is a line between rational, civil discourse and frothing at the mouth that turns people away - rc crossed it here. I will have much more caution in reading his stuff in the future.

Sat, 08/04/2012 - 15:28 | 2678295 Bob
Bob's picture

Those bewildered by the perverse ignorance of neoliberals in mislabeling anything that concedes a "collective good" or "public interest" as communist should do themselves a favor and read some Austrian political-economics.  Hayek's Road to Serfdom is a good taste. 

Bottom line in their theology is that communism is the Devil.  Evil equates to virtually any restraint on free trade and the morally omnipotent invisible hand of "free enterprise."  Government personifies that Devil, as it is the only force that could conceivably impose said limits, even in instances such as breaking up monopolies (which they oppose.)  Government interceding in the interest of "fairness" to redistribute wealth in that perfect free system only intensifies its inherent evil to a mind-shattering max.  Modern government is communism is Devil. It's pretty simple. 

The Austrians are effectively tools for the oligarchy, whose tracks they have long greased in service to neoliberal "idealism."  They don't take responsibility, they just turn the blame back on a world that hasn't yet measured up to the high standards of The Faith and blame the commies for the abuses of the oligarchs that their shilling enables.  They essentially assert that until they actually control the world and have eliminated all vestiges of any and all other influence, they can't be blamed for anything.  It's all everybody else . . . i.e., the commies.

To many, that's nothing short of bat shit crazy.

But they like it, so don't expect it to change.

In fact, the ugliness of the demagoguery is a matter of immense pride in those circles. 

Sat, 08/04/2012 - 21:44 | 2678863 nmewn
nmewn's picture

I've read some complete drivel in my time but this is up there with the worst.

Let's see if I can condense yours from this...

"Government interceding in the interest of "fairness" to redistribute wealth in that perfect free system only intensifies its inherent evil to a mind-shattering max.  Modern government is communism is Devil. It's pretty simple."

The only monopoly that should be granted is to the state itself because it is in the "fairness" business. 

Really?

You're thinkin its "fair" to use a monopoly to take through threat or force something that does not belong to them and give it to someone else it doesn't belong to who supports said monopoly...re-distribution as it were.

Wouldn't it be easier and more efficient to hire the Crips or a biker gang on a short term contract basis to break into peoples homes and take their stuff to re-distribute? You could cut out all the middlemen in the monopoly (government) and there would be more for everyone else...in your static view.

But no Bob...your vision is more monopoly not less...you are a known supporter of ObamaCare whereby the state is threatening fines and/or a tax by LAW for doing absolutely nothing but sitting in their homes.

Sat, 08/04/2012 - 22:22 | 2678900 Bob
Bob's picture

Speaking of drivel, same old, same old.  You should review your notes on "supporters of ObamaCare" and correct it.  

Sat, 08/04/2012 - 22:33 | 2678912 nmewn
nmewn's picture

Now you're saying you don't support it Bob?

Sat, 08/04/2012 - 22:52 | 2678926 Bob
Bob's picture

Apparently you're stalking the wrong commie, dumbass.  Take it up with your patriot posse. 

Sat, 08/04/2012 - 23:05 | 2678939 nmewn
nmewn's picture

I'm not stalking anyone Bob,

I thought we were having a conversation about the role of government in a "free society" under the Rule of Law, monopolies and some in that society seeking the re-distribution of the wealth of others.

So, if you now won't say that you're still for ObamaCare...I certainly can't blame you...but all your bullshit up thread just got blown to smithereens...because thats exactly what it is.

Re-distribution to the state, to be apportioned as it sees fit, not you.

But I have to admit, I look forward to forcing you through "democracy" to purchase an AR-15 and a thousand rounds of ammo or pay the "progressive" yearly penalty/tax it will impose on you until you comply ;-)

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