“He didn’t invent iron ore and blast furnaces, did he?”

“Who?”

“Rearden. He didn’t invent smelting and chemistry and air compression. He couldn’t have invented his Metal but for thousands and thousands of other people. His Metal! Why does he think it’s his? Why does he think it’s his invention? Everybody uses the work of everybody else. Nobody ever invents anything.”

She said, puzzled, “But the iron ore and all those other things were there all the time. Why didn’t anybody else make that Metal, but Mr. Rearden did?”

Atlas Shrugged – Ayn Rand

Obama to Americans: You don’t deserve what you’ve earned
...There are a lot of wealthy, successful Americans who agree with me — because they want to give something back. They know they didn’t — look, if you’ve been successful, you didn’t get there on your own. You didn’t get there on your own. I’m always struck by people who think, well, it must be because I was just so smart. There are a lot of smart people out there. It must be because I worked harder than everybody else. Let me tell you something — there are a whole bunch of hardworking people out there. (Applause.)

If you were successful, somebody along the line gave you some help. There was a great teacher somewhere in your life. Somebody helped to create this unbelievable American system that we have that allowed you to thrive. Somebody invested in roads and bridges. If you’ve got a business — you didn’t build that. Somebody else made that happen. The Internet didn’t get invented on its own. Government research created the Internet so that all the companies could make money off the Internet....

Government Didn’t Create the Internet
The Internet is a trillion dollars of fiber optic cables laid in the ground and under our oceans. Fiber optic technology was developed by corporations, such as Corning Glasworks, not the government. The trillion dollars in capital that was used to pay for laying cable came from Wall Street, not the government.

The one thing you might be able to credit the government with is standards. The early days of computing were a hodge-podge of networking standards. Only computers from the same vendor could talk to each other -- indeed, often only the same model of computers. The situation was like the railroad network in the pre Civil-War South: each state’s rail network had different gauge tracks, different widths, different turn radiuses, different slopes. As cargo was shipped across the South, it needed to be offloaded from one rail network and loaded onto another, several times. After the Civil War, the U.S. government decreed a common railroad standard for the entire country so that it could move troops quickly to anywhere in the country to suppress insurrections.

In much the same way, around 1980, governments around the world, working with international standards organizations, created the "OSI" or "Open Systems Interconnect" group. The purpose of OSI was to create a single standard for all networks, to create a world wide "internetwork" that all computers could be connected to. By 1990, developed countries (US, Europe, Japan) had laws called "GOSIP" or “Government OSI Profile” that required all computers purchased by the government must support the OSI network standard. All large corporations, such as IBM and HP, supported this standard with their computers.

What’s important about the Internet is that the OSI standard failed. It’s not the standard of today’s Internet. The government backed the wrong horse, so to speak. Instead, today’s Internet is based on TCP/IP -- a networking standard the government tried to kill off....

Obama: “If You’ve Been Successful, You Didn’t Get There On Your Own”
The wealthy already pay more taxes than everyone else, both as a percentage of total federal taxes collected and as a percentage of their own income. So unless Obama is seeing different facts than the rest of us, upper-income earners are definitely not getting a free ride, or even half of a free ride, on the backs of middle-class earners. So the “somebody” who “invested” in “publicly funded widget XYZ” is actually the wealthy person Obama is bashing....

Mankiw: Middle Class Receives More in Government Benefits Than They Pay in Taxes
Because transfer payments are, in effect, the opposite of taxes, it makes sense to look not just at taxes paid, but at taxes paid minus transfers received. For 2009, the most recent year available, here are taxes less transfers as a percentage of market income (income that households earned from their work and savings):

Bottom quintile: -301%
Second quintile: -42%
Middle quintile: -5%
Fourth quintile: 10%
Highest quintile: 22%


Top one percent: 28%

The negative 301% means that a typical family in the bottom quintile receives about $3 in transfer payments for every dollar earned....

Obama's Soft-Core Socialism
...The contempt for small business was aptly summarized by Hillary Clinton back in 1993, when she was pushing her plan to nationalize health care. Told that her proposals would devastate small companies, she replied: "I can't be responsible for every undercapitalized small business in America."...