[Back to the top from November 3, 2010. –GSS]
Here’s what the Republicans won last night, most probably: The opportunity to be left holding the bag if the whole creaking kleptocracy crashes.
Here’s what they mostly can’t do, at least not right away: Cut spending or taxes. A huge and growing portion of the budgets at all levels of government are entitlement payments — a subsistence dole under various labels. We have taken a once-free people and turned it half-predator, half-prey — often with both halves living under one scalp, amazingly enough.
So what can Republicans actually do, right now, to deliver on their promises?
They can eliminate every form of business regulation, at all levels of government.
Civil court has always been more than adequate to deal with actual injury. Not coincidentally, statutory regulation is always anti-economic nonsense: Banning competitors (as with the real estate licensing laws), government make-work, monkey-see-monkey-do, superstition, ossified tradition, power lust, etc. If no one is getting hurt, what is being regulated out of existence is this: Human intelligence.
That’s significant for two reasons: We need for business people to get to work and to take a bunch of us along with them. If we decriminalize human intelligence, at least partially, it’s reasonable to expect to see more of it — to everyone’s benefit. But even without the innovations we currently forbid in many businesses and industries, business people need to be able to plan for the future. If they are constantly subject to a vast, unknowable array of ever-changing regulations, they will not take risks. This is news to no one.
So: I’m not talking about some kind of “temporary moratorium” on regulation. This is an old, old leftist dodge: If the cows start to look scrawny, let them fatten up a little before you take up the slaughter again. Alas, because Republicans often have no firmly-held philosophical principles, they fall for these stunts again and again — as with the Bush tax “cuts.”
No, what is needed is the complete eradication of regulation: Repeal the enabling legislation, pay off and dismiss the staff, liquidate the chattel- and real-property. (All of this will throw off enduring budgetary benefits as a happy secondary consequence.)
Not a moratorium. Not an abatement or a credit or a trade-off or a subsidy. No government in the marketplace, period.
If no one is injured, it’s none of our damn business. But by trying to mind everyone else’s business, we have totally wrecked the world’s economy — with far worse devastations on the horizon.
That’s bad, but this is good: If we stop trying to outlaw intelligence by dictating what the mind is and is not permitted to do, the human mind will produce incredible wonders overnight. Our economy is amazing, even now, despite being buried under towering snowdrifts of codified insanity.
When buyers and sellers are free to do as they choose, the economic frenzy that ensues is invariably called a “miracle” by thoughtless people and the politicians who feed on them. But the human mind is autonomous by its very nature. It should come as no surprise that acting upon people as they actually are works rather well, while trying to legislate away their identity results in progressively greater and greater catastrophes.
But, but, but… Someone could get hurt without tens of thousands of pages of regulations! That’s a topic for another essay, but this is sufficient to address the objection: Are you under the impression no one is getting hurt now? Have you looked at your retirement accounts lately?
And: If you insist that you can’t live without officially-sanctioned and therefore massive theft on Wall Street, we can deal with that later. But Bob’s Deli and Acme Cabs and Stan the Dentist can all manage to get the job done without being tied down like Gulliver.
Real growth — not just increased production but progressive improvements in productivity. Not just more jobs but greater real wealth — real things, not paper dollars — for everyone. If the market can substantially outproduce the welfare state’s wages of sloth, the vast entitlement class can gradually be weaned away from Big Mother.
This won’t happen, of course. ObamaCare can break a sweat when Republicans manage even to trim the “public” TV budget. Republicans will compromise and temporize, and we will have Socialism Lite for now — and a jackboot on your neck later.
Graft and power, sustenance and indolence, predictable profits resulting from outlawing your competition. And the predator does not care that he kills the prey — even though he is both predator and prey living under one scalp…
We have no chance to escape the tax collector, for now. But if we stop trying to enslave each other in our work, we just might someday find a way to put the taxman himself out of work.
This is something Republicans can do right now, at all levels of government, and it will deliver salutary benefits in vast abundance. They can’t cut spending and they can’t cut taxes, but they can cut regulation — as much as possible, as quickly as possible, a dramatically resounding abolition of all forms of slavery in the marketplace.
Brian Brady says:
Amen.
I think Republicans can start off with the easy ones, to show how silly occupational licensing is. Go to this list:
http://reason.org/news/show/1002854.html
There are close to 400 licensed occupations. Compile a list of half of them, introduce legislation that outlaws states (and Feds) to regulate any of these professions.
Repeat each quarter. Within a year, you’ll only have 25 regulated industries. Within two years, the unemployment rate will drop to 6%, and there will be some 2 million new businesses created
November 4, 2010 — 12:42 pm
Greg Swann says:
> Within two years, the unemployment rate will drop to 6%, and there will be some 2 million new businesses created
Check. There’s more that can be done, much of it to the benefit of very small businesses. Consider this: When you’re trying to decide if you should take a chance on a restaurant, who do you trust more, a city inspector who may be on the take or nine fiercely independent Yelpers? The dollar cost of preventing injuries that almost never happen is half of our economy — which is nothing compared to the opportunity costs and interest value of those lost opportunities. We’ve got a dinghy loaded up with admirals and we can’t figure out why it’s slowly sinking.
November 4, 2010 — 1:03 pm
Brian Brady says:
Oh I like that Yelp analogy. You would think a company like theirs would be screaming that gov’t regulation is passé
November 4, 2010 — 2:02 pm
Greg Swann says:
> Oh I like that Yelp analogy.
I have clients who research everything to nine decimal places. Amazingly smart people, High-Cs off the charts, and they will find and read everything there is to be known about any product or service they are considering. Their opinions are gold — and they give them away for free. Caveat emptor has been crowd-sourced, and that is much more reliable than any government functionary’s seal of approval.
November 4, 2010 — 3:44 pm
Don Reedy says:
>From the back row, but loud> “Amen brother Greg!”
This “marketplace slavery” is an insidious pest, though; not likely cured when most of the players are the plantation owners. Nonetheless, quick, across the board, gutting of the regulatory quagmire would provide an airway for economic life and recovery.
The question remains. Will either party, or the President, commit to an Advanced Directive, or will we all tarry around the operating table, building up unending debt, prolonging, but never ending a certain demise?
November 4, 2010 — 7:02 pm
Greg Swann says:
> or will we all tarry around the operating table, building up unending debt, prolonging, but never ending a certain demise?
This is what will happen, alas. The one thing to watch for is one state or another electing to do as Colorado did in Atlas Shrugged, getting its idiot government out of commerce. The ensuing “economic miracle” could save us all in due course.
November 4, 2010 — 11:00 pm
Al Lorenz says:
Great post Greg! The costs of the regulations we toil under are pretty much unfathomable to me they are so high. Imagine how much we could all save with a simplified tax code, eliminating most of what tax specialists, estate planners, the IRS, H & R Block and others take from us. None of it produces anything but mountains of paper and punishment for trying to accomplish something. I agree, we need a state, any state…
November 5, 2010 — 10:04 am
Greg Swann says:
> I agree, we need a state, any state…
It won’t be Washington, alas. Probably not Arizona, either. We can hold out hope for Texas.
Here’s Michael Ramirez with an observation about California.
November 5, 2010 — 3:46 pm
Doug Quance says:
As much as I would like to see something like the Fair Tax come to fruition – I am very skeptical about any wholesale changes to the tax code at this time.
Repealing much unnecessary regulation, on the other hand, is a sensible way to begin to kick-start the economy.
November 6, 2010 — 8:52 am
Sean Purcell says:
The one thing to watch for is one state or another electing to do as Colorado did in Atlas Shrugged, getting its idiot government out of commerce. The ensuing “economic miracle” could save us all in due course.
Right idea, wrong execution…
BTW, it won’t be Colorado that leads us toward the light, but California…
November 6, 2010 — 11:47 am
John says:
Greg, Great article – I agree completely. However, politicians on both sides of the aisle have fought ferociously to wield power over the simpletons and keep us dependent on them… Your suggestion leads to less government, which both sides have proven unwilling to embrace, yet is the solution. Time will tell if the Tea-Party backed candidates like Marco Rubio and Rand Paul, along with Jim DeMint, etc., are a driving force in this direction and not co-opted as the Country Club Republicans have vowed to do.
November 7, 2010 — 8:12 am
Roger Winkler says:
Brian,
I don’t wish to have Congressional prohibition of states regulating license requirements. I wish to have states make their own minds up about that and the federal government to butt completely out of it.
November 7, 2010 — 1:50 pm
Michael Patton says:
THANK GOD for some common sense solutions! Love your thinking and plan on sharing with my network…
August 7, 2011 — 10:00 am
Bob Truman says:
AIG wasn’t regulated…
August 8, 2011 — 8:59 am
Teresa Boardman says:
I would miss the FDA but I would have more choices without them especially when it comes to drugs.
August 8, 2011 — 9:45 am
Travis Marker says:
I enjoyed this article because I didn’t really know how bad the European economy have fallen since 2005.
August 8, 2011 — 2:23 pm