Liberaltarianism’s New Groove
Who imagined that the great opportunity for joint progressive and libertarian advocacy and activism would end up being economic? But that’s where we are. This loathsome bailout plan is a slap in the face to anyone who believes in either free-market principles or social justice. William Greider calls it “a historic swindle.” Paul Krugman says, “No Deal.” Radley Balko decries it. Arnold Kling says, dueting with Luigi Zingales (pdf), “the government officials making these decisions are seeing things from the perspective of Wall Street, which is kind of like seeing the auto industry from a Detroit viewpoint or seeing the movie industry from a Hollywood viewpoint or seeing elections from a Washington viewpoint.”
What we have here is a soul test of several tendencies in American politics – progressivism, libertarianism, limited-government conservatism, principled defenders of managerial liberalism generally. This is as naked a case as we could imagine seeing of the state working to enrich the already wealthy at the expense of the many. The only theoretical defense of it would be a belief that the well-being of America’s wealthy as a class is necessary to the well-being of the country as a whole, and that this transcends any merit its members possess. That is, the business of America isn’t business, but businessmen. This is not an argument anyone is going to want to make in so many words.
If libertarians fail to oppose this bailout, they stand revealed as the hypocritical apologists for corporate power their detractors have always accused them of being. If Democratic leaders fail to oppose this bailout, they will prove to be the phonies and weaklings of stereotype. If managerialists go along with it, then every argument against the State as guardian of the general welfare will bear out. Right now a corrupt and spent corporate class is on the brink of getting a corrupt and spent governing class to perpetuate its privilege by almost dumbfoundingly transparent means. Anyone with a soul needs to oppose them.
Comment by Walt —
September 20, 2008 @ 11:26 pm
I surprised that Arnold Kling was supposed to be saying something intelligent, so I was relieved to read his comment and see that he’s a gullible tool of world capital, as always. Yes, Arnold, it really is all the fault of government regulations. You keep telling yourself that, otherwise you are in danger of having to learn something new about the world.
Comment by Nell —
September 21, 2008 @ 12:49 am
Who imagined that the great opportunity for joint progressive and libertarian advocacy and activism would end up being economic? But that’s where we are. This loathsome bailout plan is a slap in the face to anyone who believes in either free-market principles or social justice.
…
Right now a corrupt and spent corporate class is on the brink of getting a corrupt and spent governing class to perpetuate its privilege by almost dumbfoundingly transparent means. Anyone with a soul needs to oppose them.
Needed to hear that; thanks so much. The Shock Doctrine depends on the shock not wearing off before the powers and goods have been handed over…
Trackback by Unpartisan.com Political News and Blog Aggregator —
September 21, 2008 @ 3:09 am
Illegal Stock Tactics Under Investigation…
New York’s attorney general says he’s launching an investigation into whether some traders used ille…
Comment by Rob Hansen —
September 21, 2008 @ 7:36 am
If this isn’t the biggest case in history of stealing from the majority to give to the rich then I don’t know what is. And they know it too, hence this bit Atrios quotes from the proposed bill:
It takes chutzpah to be that naked about it. My prediction: the bill goes through unoppsed by Democrats, who are as much in the pocket of Big Business as the Repugs. So do you think that the burden of that $1 trillion or so will a) fall almost entirely on the average tax payer; b)be borne in fair measure by increased taxes on the wealthy and by getting levels of corporate tax back to where they are in the rest of the developed world and used to be in the US? Anyone who thinks there’s any likelihood at all of b) happening is a fool, IMO. Actually, c) is probably more likely, ie: selling large chunks of the US economy to the Chinese and, maybe, the Russians.
Comment by Thingumbob Esq. —
September 21, 2008 @ 8:16 am
For the Congress to vote for a bill which abrogates the constitutionally mandated separation of powers is prima fascie treason.
Comment by Jim Henley —
September 21, 2008 @ 8:32 am
You know, the typo in facie makes a pretty apposite pun.
Comment by mnuez —
September 21, 2008 @ 9:51 am
Do I find myself in agreement with the infamous and ugly Robin Hanson? or is comment #4 by some other Rob?
Comment by Jim Henley —
September 21, 2008 @ 9:53 am
Very much someone else.
Comment by Rob Hansen —
September 21, 2008 @ 10:50 am
Yep. I have no idea who Robin Hanson is.
Incidentally, having mentioned chutzpah above, a rather breathtaking current example is how the Repugs have been talking in terms of the current financial regulatory system being archaic. No, what it is is ‘gutted’. Those regulations were put in place after the Great Depression to stop that sort of financial madness happening again. After a quarter century of dismantling those regulations, guess what? That sort of financial happened again. What are the chances, eh? Pretty much 100% I’d've thought.
Comment by Gabba —
September 21, 2008 @ 2:12 pm
I am having trouble believing just how blatant this theft is, and the scale of it.
Comment by jason —
September 21, 2008 @ 10:15 pm
It’s very simple, anyone claiming to be a libertarian who is not opposing the bailout, isnt really a libertarian. Most likely, they are a stooge setting themselves up to smear libertarianism. Just as the Republicans embraced “deregulation” and fooled Americans into believing that we have a “free market” ( we don’t ) so that they can blame everything that goes wrong on those libertarian fools who advocate lassez-faire.
Comment by The Charters Of Dreams —
September 22, 2008 @ 9:05 am
“If libertarians fail to oppose this bailout, they stand revealed as the hypocritical apologists for corporate power their detractors have always accused them of being.”
The Cato Institute has been at the forefront in predicting the current crisis — see:
William A. Niskanen media, in particular catch his debate with Kevin Phillips on corporate governance. It’s actually not a debate — he and Kevin are in good agreement:
William Niskanen debating President Bush’s corporate governance proposals with author Kevin Phillips (July 9, 2002). [Real Media]
and they are quite critical of the “bailout:”
Why Bailouts Scare Stocks
What Price Stability?
The United States of Permanent Receivership
Finally, see:
Many economists skeptical of bailout.
God help us . . .
Comment by The Charters Of Dreams —
September 22, 2008 @ 9:13 am
By the way, if you want to know who IS keeping their mouths essentially shut on the bailout, look for further than Obama AND McCain. They don’t have much for say, and for good reason.
Check out the Bill Moyer’s journal interview of Kevin Phillips:
http://www.pbs.org/moyers/journal/09192008/watch2.html
Kevin Phillips is highly regarded — he’s not a libertarian, but we really him anyway. He’s not optimistic about either McCain or Obama — and for good reason. Both are better than Bush, and it’s debatable which is relatively the best choice, but in absolute terms, both parties have really REALLY screwed up: they were basically hands-off the American manufacturing section, but NOT the financial section. Obama and McCain, as individuals, are good men, as Kevin points out, and have a good idea about what’s really going on, but they beholden to and dependent on their parties, and both parties meddled, propped up, bailed out the financial sector for 20-30 years, because they politically profited, and now . . . OMG!
So, it shows one thing — the government’s hands off approach to manufacturing was the right thing to do because THIS is what happens when the government decides to help/support/”enhance” a significant part of the economy: we ALL pay for that decision, and we pay BIG.
Trackback by The Charters Of Dreams —
September 22, 2008 @ 9:44 am
Financial Crises and Libertarians: Where Do They Stand? …
Jim Henley is livid: This loathsome bailout plan is a slap in the face to anyone who believes in either free-market principles or social justice. William Greider calls it “a historic swindle.†Paul Krugman says, “No Deal.†Radley Balko……
Comment by Fledermaus —
September 22, 2008 @ 1:40 pm
In the words of a man much smarter than me “This country was bought sold and paid for a long time ago”