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general freedom ideological culture meme moral hazard national politics & policies Popular responsibility too much government

9 Dangers of “Democratic Socialism”

First… some definitions:

Socialism advocates the public ownership and control of business and industry in service of a more equal distribution of wealth.

Democratic Socialist” Bernie Sanders places emphasis on redistribution and downplays the public ownership and control part of the system.

However… Bernie seems never to have met a government monopoly he didn’t love, or a private enterprise he didn’t distrust or despise. It’s the state for Bernie, and Bernie for the state.

What are the 9 dangers?


It normalizes envy.


It rationalizes theft.


It idealizes state power.


It penalizes accomplishment.


It rewards indolence.


It preaches obedience to the state.


It encourages dependence on the state by treating citizens as children.


It dismisses the protection of individual rights with a vague appeal to the “collective good” or “public good.”


It has repeatedly led to economic collapse, oppression, poverty and starvation.

So how have Scandinavian democratic socialists managed to avoid these dangers?

Quote from the current Prime Minister of Denmark:

“I know that some people in the US associate the Nordic model with some sort of socialism. Therefore I would like to make one thing clear. Denmark is far from a socialist planned economy. Denmark is a market economy.”
Speech, Harvard Institute of Politics

 

From “Scandinavian Unexceptionalism” (from the Institute of Economic Affairs):

Today the Nordic economies are again growing, following a return to broadly free-market policies that served them well before policies changed during the 1960s and 1970s.

The countries are changing in the face of serious long-term problems that have developed over the last 30 years.

Finland, Sweden and Denmark have…introduced far-reaching market reforms. These changes include greater openness to trade, clear reductions in the tax burden, private provision of welfare services, the introduction of personal retirement accounts and, in Denmark, even a shift towards a liberal labour market.

—Scandinavian Unexceptionalism (highly recommended!)

And the moral hazards?

The development of Scandinavian welfare states has led to a deterioration in social capital.

Nordic societies have for hundreds of years benefited from a strong Lutheran work ethic, a strong sense of individual responsibility and high levels of trust and civic participation.

In the early stages of their transition to “democratic socialism”, safety nets did exist, but few used them. Over time, an increasing share of the population became dependent on government transfers. The welfare states moved from offering services to the broad public to transferring benefits to those who did not work.

The situation that exists in Nordic societies today is one in which ethics relating to work and responsibility are not strongly encouraged by the economic systems. Individuals with low skills and education have limited gains from working. This is particularly true of parents of large families, which gain extra support if on welfare.

It is true that welfare systems have reduced poverty. However, especially in the second generation, they have also created a form of social poverty of the same type that is apparent in the countries from which many of the admirers of the Scandinavian systems come. Detailed research clearly shows that welfare systems have formed a culture of dependency which is passed on from parents to children.

All of these problems are widely acknowledged by policy makers in the Nordic states. They are generally ignored by American enthusiasts for “democratic socialism.”

MUCH MORE HERE on the moral and economic capital that preceded the welfare state, and its gradual disintegration over time… 


Do you believe that socialism is a good idea that has simply been corrupted by ruthless dictators? Consider the story of the Great Cultural Revolution. . .  a mass movement of Chinese youth dedicated to eradicating capitalism and advancing socialism. Its bloody history tells us quite a lot about the logic of this flawed political philosophy. . . “Socialism’s Idealistic Youth”


 Useful References

Scandinavian Unexceptionalism (Institute of Economic Affairs)
This paper is especially valuable because it was written by someone who actually favors a large welfare state. His willingness to concede the problems inherent in such a state are refreshingly honest… and useful for anyone interested in the issues.

What Can the United States Learn from the Nordic Model? (CATO Institute)

Myth: The Scandinavian countries are proof socialism works (Being Classically Liberal)

The Myth of the Scandinavian Model

Economic Freedom of the World: 2013 Annual Report

International government spending (Wikipedia)

Index of Economic Freedom (Heritage Foundation)


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Categories
folly free trade & free markets meme moral hazard national politics & policies too much government

Why government is (almost) never the solution. . .

When you systematically reward failure, incompetence and irresponsibility…what results should you expect?

Bank Bailout

QE – Toxic Asset Government Purchases

Moral Hazard


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big government, solutions, toxic assets, bank bailout, meme, illustration, Jim Gill, Paul Jacob, Common Sense

 

Categories
Accountability general freedom government transparency ideological culture initiative, referendum, and recall national politics & policies porkbarrel politics responsibility too much government

Ethics First

The biggest problem facing Americans? According to a Gallup poll, for the second year in a row, it’s our government.

Maybe I should say “the government.” Few think it represents us. Which is sort of a big problem for a representative government.

Presidential candidate Donald Trump says our leaders are “stupid.” Were that the case, it’d be easier to correct. The reality is worse.

We have an ethical problem in government. Those entrusted to represent us represent, instead, themselves. And their cronies. And special interests.

Charged with creating a level playing field where we can all succeed through hard work, our elected officialdom have tilted that field. Oh, they’re doing just swell. The rest of us? Not so well.

Elected officials from Washington to state capitols have hiked up their pay, finagled perks, per diems and other bennies, and rewarded themselves with lavish pensions. Meanwhile, most Americans lack even a 401K to help save for retirement, much less a pension beyond a meager (and politician-imperiled) Social Security safety net.

Transparency? Well, it’s not just Hillary Clinton who has conducted public business privately. Even with her scandal looming in the headlines, Defense Secretary Ash Carter confidently did likewise.

Let’s end pensions for politicians, nudging them to return to our world. And let’s change the rules so they work serving the public, not for private gain.

Can we count on our elected representatives to rectify their ethical lapses? Not on your life. We need to do it ourselves, using ballot initiatives to put ethics first.

This is Common Sense. I’m Paul Jacob.


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government, cronyism, crony, trust, worry, Common Sense, illustration

 

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folly general freedom ideological culture too much government

Discreditable Credit

Capitalism can be rigged a hundred different ways, apparently. China’s is run by its Communist Party, and even current innovations bear the stamp of the Party.

Take “social credit.”

Not the quaint decentralist economic reform movement that was a minor deal in politics on the West Coast of the U.S. and Canada 60 or more years ago.

What I’m referring to is the innovative credit scoring system devised by a gaming company in cooperation with China’s commie-run government.

But it’s not quite like the credit scoring systems set up by competing companies in the U.S., which cook up “credit scores” based on going into debt and paying off debt. If you pay your bills, you get a higher score. If you don’t, it plummets.

The new “Sesame” credit scoring system is less interested in the debts you pay off and more in what you buy and what you put up on social media. The company has concocted a secret algorithm, and gives higher scores to good citizens — obedient people — and lower scores to lazy people (inferred from, say, if you play a lot of video games) or to folks who are rebellious free thinkers (posting pictures of Tank Man in Tiananmen Square, for example).

That is what it seems like, so far.

It rewards those Chinese who are industrious (yay?) and who kowtow to Communist Party expectations (yikes!) — and makes me extra glad I live in the U.S., where government is too chaotic and stupid to cook up anything quite this insidious.

This is Common Sense. I’m Paul Jacob.


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China Credit System, Sesame, China, Credit Rating, Common Sense

 

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free trade & free markets general freedom individual achievement property rights responsibility too much government

Roman Rockets?

Is Big Government necessary to accomplish Big Things?

Big government built the pyramids. Big government erected the Great Wall of China. Big government put Man on the Moon.

But humanity could have reached Luna over a thousand years ago, had Roman civilization not gone into a death spiral.

Bill Whittle made this point in some recent talks on Afterburner and guesting on Stefan Molyneux’s philosophy show. He blames the fall of past civilizations on “sexual strategies”: the sociobiology of r/K. (The “r” strategy organisms make lots of babies, invest little in them, accept widespread predation; the “K” strategy makes fewer babies, invests heavily in each, and suppresses predators and parasites.) Civilizations start K-style and decline with r.

It’s a theory.

Whatever the biology, Big Government was integral to Rome’s decline, with its exploitative systems and corruption, monetary inflation and “handouts.”

Rome wasn’t destroyed in a day. There were delays and cost-overruns, like any government job.

But Whittle’s right about progress. Humanity would be a lot further along if it didn’t get caught in government/conflict/exploitation traps. Private companies might be on the Moon today were it not for Big governments that destroyed promising civilization in the past.

But hey: private enterprise is catching up.

“In an historic first,” Popular Science informs us, “the private company founded by Amazon co-founder Jeff Bezos has become the first to land a re-useable rocket that’s traveled to and from space.” The rocket lands as envisioned in old science fiction flicks, vertically — though with the aid of “drag brakes” (parachutes).

Let’s hope our civilization doesn’t once again collapse before we witness (and contribute to) further progress.

This is Common Sense. I’m Paul Jacob.


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Blue Origin, Jeff Bezos, rocket, private, privatize, Common Sense, illustration

 

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folly general freedom too much government

Worth a Crackdown?

Charming. That is the best word to describe the “Little Free Library” movement.

Haven’t heard of it? It is the practice by which just plain folks share their books by building these little birdhouse-sized free lending libraries that they place in their yards by the curb. Usually, the little “libraries” encourage folks to take a book, bring a book.

Sometimes they advise readers to just take.

It’s the spirit of the public library, only provided privately, and without great pretense. Or expense.

The example in the artwork, above, is from across the country, in the tiny burg of Cathlamet, Washington. A reader sent me the photo. It is obvious: libraries like this are both quaint and useful — encouraging literacy, the activity of reading, and the appreciation of learning.

And yet, local governments across the country are cracking down.

Andrew Collins, writing at the Franklin Center website, points to an excellent Conor Friedersdorf article published early this year in The Atlantic, “The Danger of Being Neighborly Without a Permit.” Both these pieces present how meddlesome, ugly, intrusive, and anti-social local governments can be. Harassing friendly book providers with cease-and-desist letters, fines, and other niggly, invasive spins on zoning and public nuisance laws is just so idiotic it hardly merits much comment. But I agree with Friedersdorf — folks hosting Little Free Libraries are acting in the “venerable tradition” described by Alexis de Tocqueville in Democracy in America, the cooperative, neighborly culture that made our country great.

Government officials attacking this new, endearing bit of Americana are grand examples of the pettiness that is bringing America down.

This is Common Sense. I’m Paul Jacob.


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Little Free Library, illustration, Common Sense, Paul Jacob

 

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general freedom meme

What one man cannot morally do…

“We hold that what one man cannot morally do, a million men cannot morally do, and government, representing many millions of men, cannot do.”

—ALBERT JAY NOCK


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Nock_Gov_MoralityFINAL

 

Categories
general freedom ideological culture nannyism national politics & policies too much government

Marriage Savings

Weve all seen lawmakers yammer on and on about how they want to streamlinegovernment, or save the taxpayers money.

But they rarely show us much for all the talk.

Paul Woolverton, writing this weekend in the Fayetteville Observer, noted one such lapse after the North Carolina Senate voted to create a law to let magistrates opt out of conducting any weddings if they have a religious objection.

The problem? No one in the debate,Mr. Woolverton asserts, questioned the underlying premise that a magistrate or clergy member is necessary to seal the marriage contract.

The involvement of the state in the marriage contract biz is unnecessarily complicated, he explains. As fiscal conservatives,Woolverton insists, they could have taken the opportunity to ask something more fundamental:

A man and a woman pay the government $60 to get a government-approved marriage license. Why should they then have to visit another government office and pay the government another $20, or hire a government-designated third party for a fee or donation,to finalize their marriage contract?

Woolverton suggests streamlining the process: . . . [G]overnment should make its involvement the least intrusive it can be. It should record marriages when couples visit the Register of Deeds to buy their marriage licenses.

And thats it.

Betrothed couples can legally testify to meeting any and all state requirements and officially inform the state of their pre-marriage and married names.

Those who want the services of a priest or rabbi or preacher or imam can hire one, or cajole one. Or two.

Thats just not state business.

This is Common Sense. Im Paul Jacob.


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meme

The Solution is Simple. . .

Elections matter, after all. In fact, these days they matter too much. In the wake of the 2008 election, writer Jerry Pournelle observed: “We have always known that eternal vigilance is the price of freedom. It’s worse now, because capture of government is so much more important than it once was. There was a time when there was enough freedom that it hardly mattered which brand of crooks ran government. That has not been true for a long time — not during most of your lifetimes, and for much of mine — and it will probably never be true again.”

–Glenn Harlan Reynolds, USA Today


Reduce the power of government.

Then it won’t matter which gang of crooks in charge.

Categories
national politics & policies responsibility

Deficits Matter Morally

There are two things I don’t understand.

Actually, there are many things I don’t understand, but what I’m thinking about, now, is how one can honestly defend massive government deficits in one of the two usual ways.

The first defense became a cliché while I still wore footsie pajamas: Deficits don’t matter because we owe the debt “to ourselves.”

The truth? More complicated. Some people buy debt; others don’t. Were we to “forgive us our debts” (to appropriate a familiar phrase), we wouldn’t be forgiving what we owe “us,” but what the “U.S.” owes just those investors who’ve bought that debt.

And not even “everybody” owes the debt, since the taxes that would be collected, extra, to pay the debt might not come out of your pocket, or mine — it’ll come out of those pockets, over there. (Of course, you’re probably thinking, “I should be so lucky!”)

No wonder government debt is so tempting. On the surface it’s all inclusive. “We’re all in this together.” But beneath, it’s some folks trying to get one over on other folks.

Nasty, eh?

Then what about today’s excuse: “We owe it to folks overseas.” Since much of our governments’ debt gets bought up by investors abroad, we don’t have to worry about it because . . .

The unspoken thought is: “We’ll just renege on our promises.” Not pay it. Screw them.

Simple truth: Apologists for growing deficits flirt with mass theft from the government’s creditors.

This is Common Sense. I’m Paul Jacob.