Tuesday, April 15, 2008

A year ago, no doubt in celebration of the holiday

that is April 15, Robert Murphy wrote:
Advocates of the free market—including those considered “right-wing” and “conservative”—believe it is wrong to violate property rights. Consequently, they oppose egalitarian measures to steal from the rich and give to the poor. Such “income redistribution” represents naked theft and epitomizes the Founding Fathers’ fears of unfettered democracy. At the same time, champions of laissez faire devote much of their time to criticizing the thousands of distortionary and punitive regulations imposed on businesses. Indeed, Ayn Rand went so far as to write an essay in which she described big business as “America’s persecuted minority.”

In light of these tendencies, it is easy to overlook the fact that a large portion of the welfare state is devoted to the rich. Although couched in altruistic language and billed as serving the public interest, much of the government’s redistribution of wealth is from the hapless taxpayer to the pockets of large corporations. This may seem paradoxical to naïve observers whose political views are shaped largely by political campaigns between Democrats (the ostensible friends of the poor) versus Republicans (the ostensible opponents of welfare). But anyone familiar with political economy can quickly recognize that it makes far more sense for politicians to funnel tax dollars into the hands of powerful (not to mention rich) special interests. Big business learned long ago that the easiest way to handle taxes and regulations is to divert “public” money into its own hands and to influence the regulators to enforce measures that disproportionately burden upstart competitors.

But that's okay because it's always been that way. No need to harass your Congressman.

I like this bit:
Another classic example of how the well-to-do fleece the taxpayers is the multiplicity of “joint ventures” between the government and big business. Projects such as sports stadiums, railroads, or even amusement parks are deemed “too big for the private sector.” Besides being silly—after all, any money that the government spends on such projects was taken from the private sector—these pork-barrel expenditures represent a transfer from the poor (and middle class) to the rich.

But nobody in the private sector would invest in such a thing if "we" didn't force them to.

Bread and circuses, man.

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