To the children: Deregulation and the damage done
- South County Spotlight - Opinion
Regarding 'Fun with Kool-aid drinkers,' (Aug. 17): Policy makers in Washington D.C. have been promoting and following the tenants of Milton Friedman since the 1970s. Milton Friedman does not stray too far from the beliefs of Ludvig von Mises. The policy is known as supply-side economics, or some call it trickle-down economics.
John Galbraith called it the horse and sparrow theory: 'If you feed the horse enough oats, some will pass through to the road for the sparrows.'
Regardless, if you're a believer in Mises, Friedman or Ayn Rand, you believe in libertarianism which means you believe in little or no government. Of course, some government is necessary, (defense and justice) but liberationists want no more government than absolutely necessary. They would privatize everything and regulate nothing.
Now let's analyze where that point of view has taken us since the 1970s. Ronald Reagan deregulated the savings and loan industry in the early 1980s. Does the name Charles Keating ring a bell with anyone? Well, his was just one of the 747 savings and loan banks that failed within a year or two after deregulation. How about the electric industry? Does anyone remember Enron? How about 2008 when the government had to step in to rescue the banking industry? Phil Graham, a former Texas Congressman and lobbyist for the banking industry, lobbied long and hard to deregulate that industry and you can see what happened. Even Alan Greenspan, an Ayn Rand worshipper, realized that they had gone too far, but that was after all the damage had been done.
So, parents, think long and hard before you rush out and buy scissors to cut out last week's column, and before you waste your valuable time copying those points to have your children memorize them.
Regarding the fact that stupid people like me vote: Actually the Republicans in most of the 'Red' states are making an attempt to keep that from happening. They have proposed legislation that will keep people who do not believe as they do from voting. Check it out, people, because it's happening in Michigan, Wisconsin, Maine, Indiana, Ohio, Florida and many other states with Republican governors.
Regarding the writer's comment on demand: Wouldn't the fact that we have very high unemployment, and have created many low-paying jobs over the last 20 years (Wal-Mart, anyone?) cause a lowering of demand? Even Henry Ford realized that if he paid his workers a decent salary, they could buy cars and that's what he was selling. If workers are paid less and less, that can only afford the necessities of life and that does not create a robust economy.
- Marion F. Langton, Scappoose