Plato's Laws IX, 5
Hunting Hedge Funds
So something really important happened today, and I want to talk about it a bit.
GameStop is a company that sells physical copies of video games. It's mostly located in malls and strip malls around America. For a long time, hedge funds have been targeting it with short sales. They think its business model is dead, like movie theatres, and they're trying to rip the capital out of it a little at a time.
Short sales are not well understood. Not everyone can do them; you have to have a broker and a margin account, and have passed through various forms for gaining permission. It's a game for the rich and connected, mostly. It's not for everyone.
The way it works is that you enter into a contract to borrow someone else's shares of stock, promising to return them on a particular day. Since you think the business is losing money over time, you immediately sell the borrowed stocks. You wait until the last moment, buy the stocks again, and hand them back to the original owner. You pay a transaction fee to make it worth their while, and worth your broker's while. They make money at no risk: you borrow 500 shares (or whatever), you return 500 shares plus a transaction fee. Your broker makes money at no risk. You make money only if you can buy the stocks back for less than you got when you sold them.
What happened today was that Reddit went hunting short sellers at hedge funds. They went after the ones feasting off GameStop, American Movie Company, and a few other places.
Reddit put together a coalition of people with money to buy GameStop (etc) stocks. Now this caused the price to rise. It rose a lot.
When the contracts come due, within about six days, the short sellers are obligated to return the same number of stock shares as they borrowed -- or else make up the difference in market value. They lost, last I heard, $14 Billion today.
When we get to the end of their contracts, they have to either pony up cash to the loaners of the stocks, or buy shares at whatever the cost is. Everyone who bought GameStop today, if they hold until that mark, is going to make a small fortune.
This model can be repeated anywhere hedge funds are shorting American (or other) stocks.
Connected firms and people panicked hugely today. They shut down trading on GameStop and AMC and others; they persisted in trading among themselves after hours (when most people are forbidden from trading) to artificially lower the prices, in the hope of scaring people who bought today into selling tomorrow. They're terrified.
Good.
Today we learned an important lesson for fighting back against these internationalist, corporatist scoundrels. Remember it and look out for chances to do it, because you can profit by it too.
Country Music Revisited
If we ever get to heaven, boys, it ain't because we ain't done nothin' wrong.
Akratēs Revisited
So I want to "circle back," in the current expression, on akratēs. Remember that in Laws III, the Athenian described this as the great destroyer of states.
I think Plato might be doubly wrong here. I think he might be wrong to have decided that this is a sort of ignorance, and I think he is definitely wrong to think it is the worst kind. Rather, what is going on here is that a person knows what is right and chooses to do the wrong thing anyway because it is more pleasurable. This is a regular feature of country music songs about men who ought to be home being good fathers, but are instead out honky-tonking and drinking up their paycheck. (Roger Miller's "Dang Me," for example.) It may well be ruinous behavior, but they aren't doing it out of ignorance. They know it is wrong, and are doing it anyway.
What strikes me as a worse kind of ignorance -- and properly a kind of ignorance -- is to have come to the conclusion that the base is actually noble, the bad actually good. It seems to me that the great destroyer of our nation is not the country music song case, where people are failing in what they nevertheless recognize are their duties. The great destroyer is that people have embraced a host of things that are wrong, but that they have learned and taught each other to uphold as right. Arson in our cities and riots that result in great damage to public buildings and the common peace, for example, are celebrated as the pursuit of justice. Abortion is said to be health care.
These people are often college educated, so they are not ignorant in the sense of having never been educated. They are nevertheless possessed of a towering sort of blind ignorance, which can no longer discern good from bad, but instead names the bad as good and navigates as if that were the case.
[Example, and photo, removed]
Today the FBI arrested a guy for posting memes on social media... in 2016. They doubtless take themselves to be doing the right thing. They're trampling on our whole tradition of free speech, especially political speech, including satire; but what he said wasn't strictly true, you see. And he was on the wrong side.
D29 points out that Homeland Security is now in the business of policing wrongthink on the election. They think what they're doing is good, too.
They're also taking it on themselves to decide when your 'false narrative' beliefs might qualify as incitement to domestic terrorism. They're starting with a friendly case -- belief in lizard people, re: the Nashville bomber -- but the principle is supremely dangerous.
So, the guy in the country music song is really wrong. He knows he's wrong; he accepts that he's sinning, and that sinning is wrong. He accepts his duties, and admits his failure in fulfilling them. He's putting pleasure in front of virtue. He plans on making some kind of account for it with God later. He may blow up his marriage; he may blow out his liver.
But how much happier would you be with America if he was the worst kind of problem we had to face? This 'country music problem' of akratēs is a serious philosophical puzzle, but my guess is that it's actually not nearly the great destroyer of states that Plato makes it out to be. If Cal Smith is your worst problem, maybe you as a nation can mind your business and let him do his thing. Even if there are a lot of Cal Smiths, they're ordered to the moral structure that undergirds society.
We are in a much worse case.
UPDATE:
This doesn't even make sense in terms of making trans-men more comfortable. Half the toilets in the men's room require you to stand up. If all of us non-trans-men insist on sitting down to make trans-men feel "included," trans-men who need to sit down will have to wait a lot longer to go. What's less comfortable than that?
But again, here as elsewhere, the nature of human beings is to be rejected as a source of moral wisdom; the principle of diversity and inclusion is to guide us, even where it guides us to a greater misery for all.
Plato's Laws IX, 4: Akratēs
The Smell of Gasoline
Nothing substantive today. I'm too busy doing taxes and other garbage to think any interesting thoughts.
To the Immortal Memory of Robert Burns
Sadly this year there is no Burns Night supper to attend, all things still being shut down and canceled here in North Carolina. I hear other states -- even California! -- are opening up, but our governor remains convinced that this lockdown concept is a valuable one.
Like so many things, we'll have to do it virtually this year.
Plato's Laws IX, 3
The next important topic the Athenian discusses is punishment for crimes. He has an interesting principle to propose: theft should be punished the same way, by being forced to repay double what was stolen. The effect of this proposal is that the success of the thief determines the penalty, but that there is proportionate equality for all thieves in terms of the punishment received.
This proposal receives pushback from his comrades. I'm not sure about it either. This would seem to serve as an excuse for a lot of thievery from the citizens, who have a secure source of wealth from which they could pay fines if they were caught (and which they cannot fall below). In Ivanhoe King Richard assigns Friar Tuck only the right to take three bucks per season, "but if that do not prove an apology for thy slaying thirty, I am no Christian knight nor true king." Here too a man who was in the upper quadrant of wealth might regularly engage in wanton thefts, knowing that if he got away with it he increased his wealth; whereas if he were caught in one of them, he only had to repay the double portion and go free.
The Athenian doesn't actually defend his proposition when challenged on it.
Ath. Once more let there be a third general law respecting the judges who are to give judgment, and the manner of conducting suits against those who are tried on an accusation of treason; and as concerning the remaining or departure of their descendants-there shall be one law for all three, for the traitor, and the robber of temples, and the subverter by violence of the laws of the state. For a thief, whether he steal much or little, let there be one law, and one punishment for all alike: in the first place, let him pay double the amount of the theft if he be convicted, and if he have so much over and above the allotment;-if he have not, he shall be bound until he pay the penalty, or persuade him has obtained the sentence against him to forgive him. But if a person be convicted of a theft against the state, then if he can persuade the city, or if he will pay back twice the amount of the theft, he shall be set free from his bonds.
Cle. What makes you say, Stranger, that a theft is all one, whether the thief may have taken much or little, and either from sacred or secular places-and these are not the only differences in thefts:-seeing, then, that they are of many kinds, ought not the legislator to adapt himself to them, and impose upon them entirely different penalties?
Ath. Excellent. I was running on too fast, Cleinias, and you impinged upon me, and brought me to my senses, reminding me of what, indeed, had occurred to mind already, that legislation was never yet rightly worked out, as I may say in passing.-Do you remember the image in which I likened the men for whom laws are now made to slaves who are doctored by slaves? For of this you may be very sure, that if one of those empirical physicians, who practise medicine without science, were to come upon the gentleman physician talking to his gentleman patient, and using the language almost of philosophy, beginning at the beginning of the disease and discoursing about the whole nature of the body, he would burst into a hearty laugh-he would say what most of those who are called doctors always have at their tongue's end:-Foolish fellow, he would say, you are not healing the sick man, but you are educating him; and he does not want to be made a doctor, but to get well.
From here he departs into two of Plato's favorite arguments: a criticism of the poets for portraying unjust things in heroic persons, and the Socratic argument that no one does wrong voluntarily. The first of these we have seen often enough that I will pass it by unless any of you wish a further discussion; if so, ask after it in the comments.
The second one Plato treats differently here than elsewhere, and it will require a little time to construct a proper comparison. Thus, I will end here for today with the question (for you, if you'd like to discuss it): what do you think of this idea of formal and proportionate equality in punishment? Does the fact that there is only approximate equality among citizens in society make this unjust? (There is even less equality among slaves and foreigners; but inequality there was built into the Athenian's justice system, which formally assigns them different and lesser punishments on the assumption that they are less blameworthy because they lacked the education in virtue.)
MOB VI
I recommend this book (a B&N link because I'm minimizing the business I do with Amazon as much as possible. I suspect it's available there, too), by medically retired Navy SEAL Justin Sheffield.
It's a raw description of his evolution from trouble-making teenager through highly successful SEAL through heavily emotionally and physically (primarily brain) damaged SEAL through his eventual, in the main, recovery.
There was some subtext that greatly interested me, too: the heavy dependence on technology of the SEALs and of our military generally, both in the run-up to a fight and during the fight itself.
I have to wonder--and worry--about how effective our troops would be in a war when ASAT EMPs have been employed, and when battlefield EMPs have been employed both over the approach/engagement and over Division and Army headquarters. How well can our men and women function in a manual environment? How well can units of any size coordinate with each other without their electronic com?
And mind you: it doesn't take nuclear weapons to generate an EMP. Nor are any of our enemies, state actors or network entities, nearly as dependent on technology as we are.
Eric Hines