It
snowed and we were housebound and watched a movie. “Moneyball” was one of the big surprises of
this year, a movie that was supposed to be grade B and the makers merely hoped
would break even. Instead it became a
blockbuster hit. It’s about the
management of baseball talent, the story of how Billy Beane, general manager of
the Oakland A’s managed to contract a bunch of cast-off players and remake the
A’s after they had gone to the World Series the year before, but then all the
big players had left for rich contracts with other teams. A’s had no money to
replenish the team and Beane managed to hire a young kid who was a
statistical/computer whiz who found the undervalued players. And of course, if you know baseball history,
the A’s made the playoffs and set a new major league record of 20 straight
wins. All the while Beane’s scouts and
manager and the rest of the baseball public made fun of his changes. But the punch line of the movie comes through
the President of the Boston Red Sox who tried to hire Beane at the end of the
season. Roughly quoting, he said, “The
first guy to break a barrier, to go through a wall, usually gets pretty bruised
up. That’s because the guy who comes in
with a new idea threatens the guys in power, the guys who are used to running
things their way, the guys who hold the reins.
And they go absolutely batshit crazy over the change.”
How
true in all things. It was true of the
Civil Rights movement when Southern governors and officials went batshit crazy
over the marches and the marchers got pretty beat up. True of Washington at Valley Forge, true of
the guys who started Apple, true of Karl Benz and his auto-mobile. And most of
all, I remember how true it was of Ronald Reagan and Arthur Laffer who came in
with a novel idea that if you tax less, government gets more revenue. That was utterly counter-intuitive for many
political junkies and politicians. Reagan’s
own V-P went batshit crazy, calling it voodoo economics. The media, the Europeans, the ruling
Congressional Democrats, just about everyone went batshit crazy with criticism.
But Lafferism worked. And then Thatcher
tried it also and it resurrected the Brits from “The British Disease” of welfare
statism. The Pacific rim countries paid
note. They had longed to become
developed countries, and couldn’t decide if they wanted the Japanese model or
the Chinese. When they saw Lafferism
they tried it and they became Asian Tigers of growth.
Sometimes
the guy with the new ideas loses. Benz
just didn’t have enough resources to fight and wound up selling out to a guy
who named the cars after his girlfriend, Mercedes. Henry Ford had a vision of cheap cars but
then when the country got richer, they wanted something upscale and bought
GM. And the Republicans put the Voodoo
Economics Veep in after Reagan and gradually lost the movement to Washington
political hacks. But as the Red Sox Prez
noted, “Next year any team that isn’t rebuilding their team with your model [Beane
and the A’s], is going to ultimately lose.” And now the Northern Europeans as
well as Asia are converting sheepishly to Laffer’s models.
But
here in America, the Batshit Crazies won an election with 52% in 2008 and 50.3%
in 2012. They used all the old faithful ‘progressive’ tools—Class Warfare,
Chickens in every special interest pot—and they are cocky as can be over 50.3%.
Counter to the warnings of Britain and Scandinvians and Australians, they have
doubled down on the Spend-Into-Prosperity model of government. May I simply point out that it won’t work in
the broader scheme of things. Economics
doesn’t lie. We face horrid stagflation.
What then? Default? Volcker 21% interest rates? At that point may I quote the
words of Rev. Wright, “America’s chickens have come home to roost”.
The
American people await new management.
The new manager will have to be expert at turnarounds in the political
world, a communicator who can keep the people on his/her side, a bold artist of
change back to the conservatism and free-market principles that made America
the envy of the world. We’ve come
through the wall, been bruised a bit, but I have faith in American common sense. Common sense will come out in spades when our
team’s economy starts to look like the Royals and Expos.
In
the end, Beane’s numbers guy encourages him to start attending the games and
not distance himself from the team. The
romance of the game is still there. So
too, we need to take the fight to the Batshit Crazies.
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