What Happens When Synthetic Reality Meets Actual Reality?

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When a government and society are living in the synthetic or fantasy reality of the government’s creation and/or of the society’s following, what happens when fantasy meets actual reality? This happened to the Third Reich and to the USSR. Actual reality wins. Pain and human suffering are the results. Actual reality follows certain laws that when disobeyed produce results that are both unexpected and painful to both the disobedient and to anyone else who happens to be unlucky enough to be in their vicinity or subject to their fantasies.

Keynesian economics is a fantasy based upon a vast over-simplification and distorted model of a real economy. It makes GDP into a social goal, while real economic activity is not based on such a goal. It supposes that a dollar spent on consumption has the same impact on GDP that a dollar spent on investment has, and this is untrue. It supposes that a dollar spent by government has the same consequence as a dollar spent on private consumption or private investment, and this is false. It supposes that capital is a homogeneous thing, and it isn’t. Because Keynesian economics constructs a fantasy reality, it is bound to conflict with the economic laws and behavior that occur in the real economy. This conflict is bound to produce human pain and suffering. Actions that contradict realities have reactions and consequences that cost people and hurt.

Reporter Michael Jansen has an article in The Jordan Times titled “The ‘fantasy’ regarding Syria”. He begins with the U.S. fantasy that Taiwan was China and Mainland China was not China that the U.S. worked by between 1949 and 1979. Now the U.S. won’t recognize Syria’s government and favors some oddball council. Furthermore, it fantasizes that increasing aid to “moderate” rebels will result in a new government to Washington’s liking. The article goes on to puncture other illusions of Washington regarding Syria. If we repeat this exercise for Ukraine, we will again find a slew of Washington fantasies. When reality intrudes, Washington papers it over with further fantasies. The results of operating on these synthetic realities is pain and suffering spread far and wide and not excluding Americans who pay and die.

5:49 pm on September 4, 2014