The Civil War costs and benefits suggest Lincoln was wrong.


I’ve just finished watching Ken Burns “The Civil War” and (as usual) I think I’d argue a very unusual position in terms of what the North and South “should” have done given the massive cost in lives and prosperity and pride.    It seems to me that:
The South was reckless to secede.   They should have realized they had little or no chance of winning a war, and even if they’d won they would have been a weak and poor new country even if the North had agreed to engage in much trade with them – a questionable proposition at best.    Slavery was a morally bankrupt institution and the moral hypocrisy was particularly glaring given the South’s emphasis on the principles of Christianity.
Lincoln was irresponsible to prosecute the war so early.   After Fort Sumpter Lincoln should have pressured Virginia (or at least the West Point Graduates) to stay neutral rather than immediately calling for a massive army, an act that clearly pushed many Virginians toward secession.   Without Virginia’s wealth, military, and brilliant commanders like Jackson, Lee, Forest, Stuart, and more the war would have been over very quickly with far fewer dead and far less destruction.   Reconstruction would have worked well rather than ushered in a long era of exploitation and corruption.
Lincoln should have considered a “no war / no recognition” policy.   He would have allowed the deep south to go about their secessionist ways, courted Virginia to stay in the Union or stay neutral, and then enacted laws and policies to thwart secession non-violently such as no trade, no return of escaped slaves and active support of the underground railroad.   This would have undermined the secession efforts without the massive death and destruction of  infrastructure via Sherman’s march, and probably led to an eventual return of those states to the union when the economic challenges of secession started to bring greater and greater hardships to the people.
There seems to be a prevailing view in history circles that the war was justified because it preserved the union and ended slavery. I agree that slavery was so diabolical you can make a case that no cost was too high to bear to end it, but I think it could have been ended at a much lower cost both then and in terms of future fights for civil rights.  Innovation and industrialization combined with the growing moral outrage and demands of poor immigrants (who didn’t want to compete with slaves) would likely have eventually ended slavery soon even in the deep south.
In terms of preserving the union, I think the case for the Civil War is extremely weak – largely irrational in fact.    You simply cannot make a reasonable case that the cost of the Civil War – 625,000 dead, millions disabled, South destroyed and demoralized – justified simply keeping the deep South states in the union.   “A House Divided Against Itself” did not stand – one side crushed the other with consequences that last even today in terms of the lower living standards in the deep south.    A cost benefit analysis of the Civil War would show it was not worth fighting.
Comments very welcome as always!

USA Debt Rating Downgrade to AA+ is from our failure to cut defense and entitlements


S&P’s decision to downgrade the US debt rating from AAA to AA+ is very unwelcome news but it should not surprise anybody, especially in Washington where neither party has been willing to tackle the deficit or the debt in a responsible manner.

It’s time to cut the only two things in the budget that really matter – the bloated portions of Defense and Entitlements.    Even estimating (and then cutting back) the bloat at 10% – absurdly low given how recklessly this money is spent – we could solve all deficit and debt problems in less than a decade.   DO IT, DAMN IT!

The Tea Party’s was right that debt and deficit are major concerns, but their approach to solving the problem has been almost infantile, lacking in strategy as well as substance.    They won’t cut defense – clearly required to solve this problem unless you raise taxes which as they correctly note brings a host of other problems into the mix.   Defense spending is so high it’s become counterproductive, creating blowback and international tension which is mostly a function of our own reckless big spending in hostile territory.

One does not have to be an isolationist to see that it’s time for a much more strategic spending focus.   Troops can be paid well and protected – these portions need no cuts, but operations and maintenance budgets in each of the services are where the big money lies, and where the big cuts won’t create trouble for policy or troops.

The solution is pretty obvious to many of us out here in the real world, where two things are crystal clear:   1.  Entitlements are out of control.  The prosperity the USA has enjoyed for over a century as the kingpin of the  industrialized world is winding down in favor of spreading the wealth around the globe, especially to the developing countries of China and India.   This prosperity allowed us (and by “us” I mean everybody – from poor to rich) to enjoy health, welfare, education, and retirement benefits the rest of the world could only dream about.      Liberal middle class folks are whining too much about how they might lose benefits they never paid for – much of this in the form of “defined benefits” where their contributions won’t match their benefit so it’ll have to come from future taxpayers.   Social Security has this problem, but it’s easy to solve by lifting retirement age a few years for those who can afford the wait  OR doing a ” means test”  OR taxing higher income beneficiaries.   If we do nothing the Social Security trust fund will run out in under 20 years according to most estimates.      The fund is actually growing now but demographics in the form of fewer workers and more recipients will soon overwhelm the system.   Unlike a well managed system, Social Security has promised more benefits than incoming payments can support.

Summary:   Simple solution is to cut bloat in the two big ticket items of defense and entitlements.    Problem solved, AAA restored.  DO IT.