Tag Archives: Economics

George Will explains how Democrats favor increasing dependency on government

Article here in the Boston Herald. (H/T Dad)

Excerpt:

For congressional Democrats, expanding dependency on government is an end in itself. They began the Obama administration by expanding the State Children’s Health Insurance Program. It was created for children of the working poor, but the expansion made millions of middle-class children eligible – some in households earning $125,000. The aim was to swell the number of people who grow up dependent on government health care.

Many Democrats favor – as Barack Obama did in 2003 – a “single-payer” health insurance system, which means universal dependency on government. The “public option” insurance proposal was to be a step toward that. So was the proposed “alternative” of making 55- to 64-year-olds eligible for Medicare. Both of these dependency multipliers will be revived.

The government used TARP funds not for their stipulated purpose of buying banks’ “toxic assets,” but to pull auto companies and other economic entities into the spreading web of dependency. Servile – because dependent – banks were pliable during the farce of Chrysler’s bankruptcy, but secured creditors resisted when settled law was disregarded. Nevertheless, those creditors received less per dollar than did an unsecured creditor, the United Auto Workers, which relishes dependency on government as an alternative to economic realism.

Democrats’ financial “reforms” may aim to reduce financial institutions to dependent appendages of the government. By reducing banks to public utilities, credit, which is the lifeblood of capitalism, could be priced and allocated by government.

Many Democrats, opposing the Supreme Court, advocate new campaign finance “reforms” that will further empower government to regulate the quantity, timing and content of speech about government. Otherwise voters will hear more such speech than government considers good for them. Such paternalism is American progressivism’s oldest tradition.

The Democrats aren’t the party of making the little guy bigger, they’re the part of making the little guy even smaller than he is right now.

Bigger government means smaller individuals

Consider this article about food stamps from the New York Times. (H/T Protein Wisdom via ECM)

Excerpt:

A decade ago, New York City officials were so reluctant to give out food stamps, they made people register one day and return the next just to get an application. The welfare commissioner said the program caused dependency and the poor were “better off” without it.

Now the city urges the needy to seek aid (in languages from Albanian to Yiddish). Neighborhood groups recruit clients at churches and grocery stores, with materials that all but proclaim a civic duty to apply — to “help New York farmers, grocers, and businesses.” [note who is missing from that list … ed.] There is even a program on Rikers Island to enroll inmates leaving the jail.

“Applying for food stamps is easier than ever,” city posters say.

[…]The drive to enroll the needy can be seen in the case of Monica Bostick-Thomas, 45, a Harlem widow who works part-time as a school crossing guard. Since her husband died three years ago, she has scraped by on an annual income of about $15,000.

But she did not seek help until she got a call from the Food Bank of New York City, one of the city’s outreach partners. Last year, she balked, doubting she qualified. This year, when the group called again, she agreed to apply. A big woman with a broad smile, Ms. Bostick-Thomas swept into the group’s office a few days later, talking up her daughters’ college degrees and bemoaning the cost of oxtail meat.

“I’m not saying I go hungry,” Ms. Bostick-Thomas said. “But I can’t always eat what I want.”

It is not good for people to depend on the government. It turns adults into children. People need to live with the results of their own decisions and not expect to be bailed out by their neighbors. For those of us who are concerned about poverty, we should solve the problem ourselves by private charity. Just taking an interest in your neighbor is a good thing.

Does the Bible support redistribution of wealth or private property?

Article here. (H/T C.S. Lewis Society)

Excerpt:

The fundamental question for those who consider the Bible authoritative is not whether it advocates charity or helping the poor. Obama, Wallis, and other statist Christians are not arguing for charity. They are arguing for government appropriation of property. The issue isn’t charity, but property rights. If the Bible rejects the notion of a right to property, then these people may have a basis for their perspective. But if the Bible supports a right to own property, safe from government redistribution to others, then their policy proposals are unbiblical.

What follows is an analysis of what the Bible says, in both the New and the Old Testaments, on the subject of property rights. Whether the Bible, or parts thereof, should be considered authoritative or useful for Christians I will leave to theologians. My concern is with the text itself.

I would like to be able to report that the Bible argues firmly for an absolutist view of property rights. I would like to be able to write that the Bible is a strictly libertarian document. It is not. Yet in the balance and taken as a whole, the Bible support the individual’s right to own property and hold onto it. Briefly summarized, the Bible’s teachings are that humans are stewards of God’s property in a rental relationship and are accountable to him, not to the state, for the disposition of that property. The Bible advocates charity for the poor and condemns the parsimonious, but it does not grant authority to the state to act on God’s behalf to redistribute wealth. It is mostly a laissez-faire system of ideas, which libertarians should not forfeit to statist misinterpretations.

The Bible suggests three central principles regarding property rights. One is the prohibition against theft, enshrined in Exodus 20:15 “You shall not steal.” The second is the idea that the world ultimately belongs to God (not to the state), as exemplified by Psalm 24:1: “The earth is the Lord’s, and all it contains, the world and those who dwell in it.” The third is a corollary: humans are temporary tenants upon God’s property, as King David said in 1 Chronicles 29:15: “For we are but sojourners before You, and tenants, as all our fathers were.”

Worth reading even if you disagree, because it’s well-written. I’d like to see a good debate on this topic, wouldn’t you? Jay Richards vs. Jim Wallis, maybe? I’d like to see that.

First Things reviews Jay Richards’ Money, Greed and God

Short book review here.

Here’s the full text:

Jay W. Richards channels the spirit of Michael Novak and provides a basic introduction to how and why a Christian can be a capitalist. Because man is made in the image of a creative God, he has the potential to create and multiply wealth. The core components of capitalism—free exchange, limited government, private property—allow this potential better than any alternative system. Although he shows that self-interest is not necessarily selfish, Richards also explains that the market can, in fact, channel selfish actions into positive outcomes. Responding to such critics as Ron Sider and Jim Wallis, Richards argues that the creation of wealth helped by economic freedom and the rule of law provides the best means of raising the poor out of poverty, in contrast to government-based redistribution of wealth or regulations of minimum wage.

Richards also offers critiques of communism, developmental aid to impoverished countries, and global warming, along with an extended argument against the notion that capitalism allows the unchecked depletion of natural resources. Because human beings are creative, Richards reminds us, they are not mere consumers but active producers. In response to charges of consumerism, Richards notes that consumerism comes from gluttony, not from free enterprise itself. The book concludes with a chapter on the workings of the free market as a sign of God’s provident care for sinful man. For those looking to wed faith and economics, the book provides a welcome challenge to reigning orthodoxies.

To understand what capitalism is, you can watch this lecture entitled “Money, Greed and God: Why Capitalism is the Solution and Not the Problem” by Jay W. Richards, delivered at the Heritage Foundation think tank, and televised by C-SPAN2. (Link below)

If you can’t see the Richards video, here is an audio lecture by Jay Richards on the “Myths Christians Believe about Wealth and Poverty“. Also, why not check out this series of 4 sermons by Wayne Grudem on the relationship between Christianity and economics? (a PDF outline is here)

Here’s a lecture with Jay Richards from the libertarian Cato Institute.

UPDATE: From a helpful comment below.

Updated link for video (link in blog results in an error).

http://www.booktv.org/Watch/10489/Money+Greed+and+God+Why+Capitalism+is+the+Solution+and+Not+the+Problem.aspx