It wasn't the free market, consumerism, or capitalism that killed the movies. It was antitrust regulation, as enforced by the Federal Trade Commission. This government intervention in the 1940s radically altered the structure of the film industry for the worse. The direct and immediate result was a decline in acting, scripts, scores, content, and the cultural contribution of films.
There it is, on the cover of Newsweek, in thick, blood-red letters: "Corporate Killers." What follows is mug-like photo after photo, some of them grainy, of rich white men, all menacing and "greedy." They are the CEOs of America's top corporations. The story's thesis is simple: they are destroying the country.
Gus Stelzer, a retired General Motors senior executive, is on a rampage against free trade. It makes sense from his point of view. Like most big business, GM does not welcome competition from abroad, however much it's spurred product improvements over the years. It turns to the government to tax imports that consumers desire more.
Jews have been a conspicuous presence in black neighborhoods for more than a century, providing food, home furnishings, medical care, living accommodations, and financial services. Most of the Jews involved in these enterprises were first- or second-generation immigrants from Europe. In recent times, as Jews have veered toward more decorous occupations, these functions have been increasingly assumed by newer immigrants, often Korean or Arab.
Pigskin lovers and haters abound, but the ranks of football haters are swelling as more and more taxpayers are joining the chorus: "I hate football." In an attempt to lure football teams, local politicians are giving away the store on new stadiums, training facilities, rent subsidies, and sweetheart revenue deals. Even under the best circumstances, local taxpayers lose hundreds of millions of dollars.
Leave it to the federal government to generate sympathy, albeit inadvertently, for the richest man in the world. For five years, Bill Gates and Microsoft have been hounded by the Justice Department for engaging in "anticompetitive practices."
The lesson for everyone else is to be skeptical when the government claims it has a central plan to bring prosperity and joy to an entire hemisphere, and all we have to give up is money, power, and freedom.
"Business ethics" is mostly used to promote social policy that is incompatible with the profit and loss system. The argument of the business "ethicists" is simple. They say corporations neglect their social obligations because they are focussed on making money for selfish stockholders. Government must prod businesses to give back to society what they have taken. It is the corporation's penance for capitalist sins.
Americans are rightfully skeptical of "economic development." From India to Egypt to Brazil, it has meant Aswan Dam-size government projects that have failed to raise living standards while generating pollution and cultural instability.
Free-market economic development is entirely different.
This past baseball season promised to be the most exciting in my lifetime. Then the players' union opposed the owners' demand for a salary cap and refused to work. Baseball struck out. In the battle over blame, the most curious call is the union's for a "free market." The most often-cited remedy is to remove the owner's antitrust exemption.
