Showing posts with label Nick Gillespie. Show all posts
Showing posts with label Nick Gillespie. Show all posts

Wednesday, July 28, 2010

A War Between Free Enterprise and Big Government.



click here for the 51 minute interview



The Battle then outlines three big facts:

First, there is a fundamental disagreement about America’s future between a socialist, redistributionist minority (the 30% coalition) and a massive free enterprise, work ethic, opportunity oriented majority (the 70% majority). For years I have spoken and written that “we are the majority”. It is a concept I learned from Ronald Reagan in the 1970s. Now Brooks provides the ammunition to factually explain why the 70% should govern America as a reflection of our legitimate majority status.

Second, there is an elite system of power which enables the 30% coalition to dominate the 70% majority. There are the seeds of an extraordinary history book buried in a few paragraphs of The Battle. How did the coalition of word users come to so thoroughly dominate the coalition of workers and doers? How did the elites on academic campuses come to define legitimacy for the news media, the Hollywood system, the Courts, and the bureaucracy? Brooks makes clear that the dominance of the hard left in these worlds is a fact. He sets the stage for someone (maybe another AEI scholar) to develop the historic explanation of how this usurpation of the people by the elite came to be.

Third, this is a conflict over values in which those who represent redistributionist, left wing materialism have stolen the language of morality while those who favor freedom, individual opportunity, the right to pursue happiness and personal liberty have been maneuvered into a series of banal and ultimately unattractive positions in the public debate. Brooks’ outline of a morally dominant culture of freedom shaming the materialistic, statist, coercive culture of redistribution is as important for our generation as Hayek’s The Road to Serfdom was for the Reagan-Thatcher generation.

source

Friday, July 2, 2010

New Financial REgulations Won't Fix Anything



The financial reform bill currently working its way toward President Barack Obama's desk for signing is being touted as the biggest overhaul of the banking and investment sectors since the Great Depression.

But the new regs won't be any more effective than the ones they replace in fixing anything or preventing the next major panic for at least three reasons.

1. New Watchdog, Old Tricks

They create a new watchdog consumer agency designed to protect consumers from their own supposed stupidity. You'll now be facing fewer choices when it comes to getting credit cards, loans, and doing other basic financial transactions.

2. Never Too Big To Fail

They replace "Too Big to Fail" with... "Too Big to Fail." One of the reasons why major financial institutions played Russian Roulette with the economy was because they were betting they would get bailed out. Which is precisely what happened. The new rules codify the idea that the government will make sure certain institutions can never fail. And if you think the big boys won't game that system, then you don't understand how well Citigroup, Goldman Sachs, et al have come through the current meltdown.

3. Housing Bubble Trouble

The financial crisis was set into motion by government policies that encouraged people to buy homes they couldn't afford at prices that were unsustainable. Between desperate attempts to keep people in houses and to keep interest rates below an effective rate of zero, the government continues to pour more money down the same rathole.

Markets work best when the risk and reward incentives are clear cut. When investors know they really can lose it all, they act responsibly with their money. If regulators think they can create a system that cushions us from bad decisions and doesn't encourage bad behavior, it's a delusion we'll all be paying for for a very long time.

source