Our domestic automakers produce fine cars and trucks that people freely choose to buy. They make lots of money doing this. So why is the federal government shoveling hundred of millions of dollars annually in corporate welfare their way?
The World Trade Organization has a fantastic but undeserved reputation in international circles as the world's premier institution of free trade. Despite all of the WTO's pretensions to greatness, this glorified trade-management bureaucracy exists only to promote the interests of well-heeled trade lobbyists and political power brokers.
The glories of private enterprise are most evident in the marvels we take for granted. For example, free enterprise created the marvelous, if much derided, institution of fast food. If there were a bureau of hamburger production, they'd be as scarce as budget cuts. As it is, citizens of every social and economic standing have daily access—in minutes—to a balanced meal denied to kings only two centuries ago.
The 5th Street Theater in Seattle, Washington, is one of a dwindling number of houses of its kind. It receives no government money whatsoever. Its revenues come from a permanent endowment and ticket sales to its popular, if small-scale shows. Its charter prevents it from raising money from other private sources. It keeps a low profile in the arts community, but its staff is as loyal and dedicated as its steady stream of patrons.
If one passage in Robert Barro's excellent book attracts notice in the wrong quarters, he is liable to find himself in serious trouble.
The Washington Times asked the new UN head why he thinks the agency has a PR problem in the United States. "It is a leftover from the late seventies and eighties," he said, "when there was a lot of talking about getting government off the back of people."
The furor over the supposed racism of Texaco's management dramatizes, in miniature, the tragedy and danger of so-called civil-rights legislation. The Texaco story paints a vivid picture of what we've become: an economy distorted and abused by a racial spoils system, in which race is pitted against race, employees pitted against employers, and all power is held by federal bureaucrats and magistrates who "resolve" disputes by taking capitalists to the cleaners.
The physical impossibility of Santa got me thinking about the economics of the old boy's operations. After all, he is not paid for the goods he delivers, and it would be improper for him to send a bill the next morning. Nobody asked him to leave the stuff, or contracted with him to do so. But that means he gets no feedback from the consumer, much less a clear indication of profit or loss.
As the Cold War wound down, opinion elites discovered a new menace: "unfair trade practices." These are the subsidies, protectionist tariffs, and various regulations and business practices other countries use, which hamper the export of American goods.
It's no shock that the Senate has taken another step towards socializing the medical sector. That's been the pattern for nearly a century. What's appalling is that this socialization is confused with authentic insurance, a viable market institution.
