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Progress, DC-Style

Is the black, Democratic mayor of Washington, D.C., actually a “racist”? What about the city council, which is 46 percent African-American, 85 percent Democrat, and 100 percent liberal/progressive?

That’s what a lawsuit argues — the DC ‘powers that be’ are racist in their development and housing policies. Filed on behalf of several African-American DC residents, it alleges that Mayor Muriel Bowser and the council have been striving mightily, as the Washington Post reported, “to ‘lighten’ African American neighborhoods and break up long-established communities.”

“Every city planning agency,” states the complaint, “... conspired to make D.C. very welcoming for preferred residents and sought to displace residents inimical to the creative economy.”

Nothing that a billion dollars couldn’t make right, of course — for which the plaintiffs ask.

But is gentrification a crime?

As American University professor Derek Hyra told the Post, “Developers want to maximize their return. This is not a conspiracy. This is capitalism.”

But no, this certainly isn’t laissez faire “capitalism.” It could be described as dirigisme — or “state capitalism” or “crony capitalism” or just a bad old-fashioned mercantilism, revised to work at the city level, where governments partner up with particular groups to extract as much wealth for the insiders as they can. Professor Hyra acknowledges that Bowser and the council were “providing subsidies” to bring in richer citizens and push out poorer ones.

Most importantly, we discover yet again that the power politicians claim they need to help the poor, is used to help the rich.

Way to go, “progressives.”

This is Common Sense. I’m Paul Jacob.

 


Note: The mayor is a Democrat and the 13-member council is composed of eleven (11) Democrats and two (2) independents. There are no Republicans.

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free trade & free markets national politics & policies too much government

A Million for Each Congressperson

A business filed for bankruptcy last week.

These have been tough times, so that’s not a shock. What makes the story juicy is that the FBI raided the company’s headquarters two days later.

The company? Solyndra, a solar panel manufacturer. A few months earlier, it had been boasting a profitable return on investment. And, as President Obama had proclaimed the previous year in a visit to the California outfit, Solyndra was precisely the kind of company that deserved federal government assistance. It was so cutting edge, so innovative, that it deserved a huge loan guarantee, to the tune of $535 million.

The raid occurred on the same day as the president’s “jobs” speech last week. Yet, Mr. Obama neglected to include an update on his administration’s previously self-praised policy of industrial subsidy pertaining to that very company.

Republicans are making much of this. They are themselves not immune to (indeed, during the Bush years they excelled at) just this sort of corruption.

And it is corruption. The Solyndra deal went down after major investors in the company gave millions in support of the Obama presidential campaign. It was fast-tracked as part of the federal government’s Keynesian “stimulus” spending.

This is how the politics of modern mercantilism — of systematic “business-government partnerships” — works. The moneymen support the politicians who support the moneymen.

It’s one way to get rich.

And gain (and maintain) power.

But it’s not good for the country.

This is Common Sense. I’m Paul Jacob.