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The Unsung Virtues of Regulation, The Clear Foolishness of Libertarianism

Eric Zuesse

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Friedrich von Hayek

Libertarianism opposes all economic regulations. Robert A. Levy, of the libertarian Koch brothers’ Cato Institute, has written that, “Libertarians are not opposed to reasonable safety regulations, sensible compromises of civil liberties to enhance national security, or even selective gun controls,” but whenever a ‘libertarian’ advocates that way, and (like there) fails to define what determines those adjectives “reasonable” and “sensible,” and “selective” (on what basis?), he or she is merely begging the issue (faking it), so as to avoid dealing with the reality of their own ridiculous philosophy.

Libertarianism has accurately and commonly been described as anarchism, the repudiation of government, which is actually at the very foundation of libertarian philosophy. The way that Grover Norquist most famously phrased it was “I don’t want to abolish government. I simply want to reduce it to the size where I can drag it into the bathroom and drown it in the bathtub.” But what “size” is that, and how is it to be empirically determined? And why that particular size and shape, and none other? They never say, because their philosophy is too ridiculous to address the real issues in a way that will make it attractive to intelligent people, and so it’s all a game to them, a game of deceit to themselves (for whatever psychological reason) and to others (for whatever reason they want to spread their faith). Libertarianism is a repudiation of government, but it pretends not to be anarchic. Essential to libertrianism is its repudiation of regulation.

Nobody credibly denies the fact that, in actual practice, libertarians are especially fighting against regulations of corporations. However, in the case of sellers in the gun-control debates, libertarians — who tend to be very much on the pro-gun side as a reflection of their repudiation of government — fight for gun-owners’ rights (the rights of the consumers, instead of the gun-makers), and against gun-sale regulations that reduce consumers’ rights to purchase guns.

But the vast majority of the anti-regulatory thrust of libertarianism, particularly as reflected by the mega-corporate funders of libertarianism and their most broadly influential fundees — people such as the funders Kochs, and such as the fundees Friedrich von Hayek and Milton Friedman — are for (as much as possible) unfettered corporations. Libertarians are for corporations’ rights, against governments’ rights, and against governments’ obligations to their citizens — those citizens being the real persons, instead of fictitious collective “artificial persons” that are no “persons” at all but instead collections of financial assets —- mere property, not real “owners” (except in the legalistic fiction). So: libertarianism is against regulations that restrict the rights of corporations (i.e., that restrict the rights of owners, most prominent of which are corporations). As between producers (including corporations) and consumers (including everybody), libertarians are especially concerned to protect the rights of producers.

However, economic regulation lowers, not just raises, prices; and it raises efficiency by introducing and enforcing standardization, so that consumers can reliably know what they’ll get for what they pay — for example, “500 mg” of x will then far likelier be 500 mg of x. Of course, if the government is corrupt, then the regulation and its enforcement will be, too, but that’s a corruption-problem, not a problem of regulations that shouldn’t exist at all (according to libertarian dogma); so, keeping one’s conceptual categories clear is important, when discussing regulation (or anything else).

Take, for example, drugs — all types, regardless of whether they’re now legal, or, to the exact contrary, are altogether prohibited. Any drug should be taken in the dose suitable for the intended purpose — neither more nor less — but if there is no reliably enforced legal penalty for dishonest labeling of potency, etc., then the consumer (again, regardless of whether the drug itself is legal or not) can be victimized by a dishonest or sloppy vendor, who can be careless or else shortchange that consumer on potency or even include toxic impurities, without that seller’s having any other concern than that perhaps the consumer will change vendors or perhaps die from what the vendor did and will thereby reduce the seller’s customer-count by one, but cannot be subjected to legal or regulatory penalties that would be disincentives above and beyond that of perhaps merely losing a customer.

Furthermore, in all types of consumer-rights cases, not just drug-related ones, only the existence of government enables the consumer to hold accountable a manufacturer or seller of dangerous and misrepresented products, such as of tobacco products, insecticides, or food-ingredients such as hydrogenated oils, if and when those products or services turn out to be vastly more dangerous than their consumers assume (and such as their news-media have been paid by the producers of these products and services to promote or to advertise).

For example, Janet Bufton, co-founder of the libertarian Institute for Liberal Studies, has written against regulations of tattooists, because:

I’m considering getting a tattoo of ama-gi, the earliest known writing of the word “freedom” and was trying to find out if the Ontario tattoo industry was regulated or not, since if it was I would go to Michigan, where the industry is unregulated.

[A friend challenged her preference to buy tattoos in a country where it’s an unregulated industry and asked her, “So, on principle you want to get hepatitis?”]

Finally, I had an epiphany. I texted her: “It’s important to me that where I go is being safe because they think it’s important to be safe, and not because they’re doing the absolute minimum the government says they have to do.”

And I think that’s at the heart of the libertarian argument against regulation.

Government regulations take away our vigilance for our own well-being and the rewards that should be enjoyed by people who are willing to go the extra mile with their business through a declaration that all businesses are acceptable in their eyes. It’s a terrible injustice; in fact the epiphany probably put me one step closer to a pro-tattoo decision.

Buffoon wanted “to get my freedom tattoo in an unregulated tattoo parlour” so as to be totally ‘responsible’ for the outcome (after all: in an anarchic world, it’s every person on his own and for herself, no laws restraining his or her ‘freedom’), so that if she’d become diseased from it, she would blame only herself, and not the corrupt system in which she functions and which she wants to love — craves to love the “state of nature” — and not to blame it for whatever bad might come to her from its being corrupt. Only the consumer is to blame, in that system (libertarianism). (Like she said: “Government regulations take away our vigilance for our own well-being and the rewards that should be enjoyed by people who are willing to go the extra mile.”)

Of course, aristocrats, who have enormous wealth, might reasonably self-identify with the supply side in all economic transactions, because they’re much more on that side (the side of the producer and seller) than on the side of the consumer (the purchaser and user), and so they reasonably might fund such operations as the Cato Institute or perhaps the Institute for Liberal Studies — in order to maximize the freedom of corporations.

But, for anyone else to welcome the increased danger to themselves that will result from such a corrupt system, is to self-identify with the corruption, and self-identify against anyone who would seek to change it so as to attach legal accountability to irresponsible or evil unconcern regarding suppliers’ meeting the most basic and legally enforced standards of safety in the provisioning of the given product or service.

Such buffoons — suckers of the corporate propaganda — are unfortunately assisting the corrupt to victimize the public. They’re thus dangers not only to themselves, but also to non-buffoons, who recognize the foolishness (if not evil) of libertarianism. They thus harm the entire body-politic, by their foolishness. To the extent that they influence government, they reduce everyone’s safety.

Investigative historian Eric Zuesse is the author, most recently, of They’re Not Even Close: The Democratic vs. Republican Economic Records, 1910-2010

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Hiroshima and the Peace of the Bomb

Dr. Arshad M. Khan

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Seventy five years ago this week, the world witnessed a cataclysm that was to change the nature of war forever:  The atom bomb was dropped on Hiroshima, and worse — while the Japanese argued among themselves about whether and how to surrender — a second bomb was dropped on Nagasaki three days later on August 9th.  Now there was no other rational choice, and the Japanese gave up.

If anything good ever came out of a war, it was the generous peace.  The US helped in the reconstruction of the defeated nations.  As a teenaged student in London, I remember visiting Germany a dozen years after the war ended.  Major centers had been flattened by the bombing.  In Hamburg, one would see a few residential buildings and then ruins as far as the eye could see as if a massive earthquake had hit.  A never ending horror across all major cities and a shortage of labor.  So the Turks came … and stayed.  Welcome then, not so much now.   

The Germans were humble — a humility that would gradually diminish with the country’s resurgence as one observed over succeeding decades.  Cleanliness and order are part of the national psyche, particularly the latter.  Everything in order — ‘Alles in ordnung‘.  It even applies on a personal level as someone might ask exactly that if you appear disturbed.  It then means, ‘Everything okay?’

A grease spot on the otherwise fresh tablecloth at breakfast, my fastidious six-year old daughter complained.  It was whisked away with apologies and immediately replaced.  Order restored.  Ordnung muss sein says the German proverb.

In dollar terms, Germany is now the world’s fourth largest economy, Japan the third.  The world has not ended despite economic interests being often cited as a cause of war.  In fact, we are grateful for their products judging by the numbers of their automobile names in the US.  Japan appears to have eclipsed the famed auto giants of the past, GM, Ford and Chrysler and UK icons long forgotten.  And Donald J. Trump has a beef with both countries and is busy pulling out troops from Germany.   Of course the giant dragon of exporters to the US, namely China, is for President Trump our public enemy number one.

The bombs on Hiroshima and Nagasaki were not the end, merely the beginning, and at the back of our minds remains the terrifying hope that it is not the beginning of the end.

Following the US, there soon were other nuclear powers:  the UK and the Soviet Union followed by France, then China.  After China, India was not to be left behind, and after India the same logic applied to Pakistan.  Then there is Israel seeking external security while like diseased fruit, it rots from the inside.  And let us not forget nutty North Korea.

When the US and the Soviet Union faced off with thousands of nuclear weapons, the strategists produced the theory of mutually assured destruction.  Its acronym MAD was closer to the truth than its Pentagon proponents could ever have imagined for they would have destroyed not just each other but the world.

Even India and Pakistan with 100-plus weapons each could cause a nuclear winter from the fall-out and the dust covered skies.  The subsequent crop losses and famines would kill many more across the world than the devastation wrought by the bombs.  It is just one more reason why nation states could eventually become obsolete.

Fortunately, for the human race, nuclear war is more potent in the threat than in the execution; the latter  would certainly certify MAD.  The response to a military threat carrying the phrase ‘by all means necessary’ is enough to cool things down quickly.  It was Pakistan’s reply to India’s threat to expand an incident in the disputed Kashmir region with an attack on mainland Pakistan.  In that sense, nuclear weapons have become a sort of insurance policy.  Pakistan and India have fought several major wars but none since both sides acquired nuclear weapons.  The cost is unthinkable, and one hopes will remain so in the minds of strategists.

Such is the world my generation is leaving to you:  flawed but holding together all the same.

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China Replacing Russia as the Boogeyman in the U.S. Presidential Campaign

Danil Bochkov

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During the 2016 U.S. Presidential bid, Russia was picked as a scapegoat to justify the loss endured by the Democratic party candidate. Moscow was vilified for interfering in the election via the dissemination of false information. After the election, a judicial investigation was launched, ending with no evidence of the collusion.

Despite that fact, in 2017 and 2018, the U.S. imposed economic sanctions against Russian entities. This led to the further aggravation of already sour ties undermined by the Ukrainian crisis in 2014. As an act of reprisal for Moscow’s alleged meddling into the conflict, U.S. Congress initiated new economic sanctions.

Russia became what can be regarded as a boogeyman to be reprimanded for whatever misfortune happens — be it ex-spy Sergei Skripal’s poisoning in 2018 or Russia’s alleged bombings of peaceful residents in eastern Aleppo. Russia got blamed for everything, even though the evidence was missing.

In 2017 the U.S. and Russia crossed swords in a diplomatic row by cutting staff numbers and closing each other’s consulates. Since then, both countries have been experiencing alienation from one another, culminating in the recent cancellation of several arms control agreements (i.e., INF, Open Skies).

By the same token, the U.S. has recently upped the ante in handling thorny issues with China, which came under the spotlight during the American presidential campaign. Both candidates — J. Biden and D. Trump — appeal to their supporters using China, competing for the reputation of leaders with the toughest stance towards Beijing.

China is an obvious target of criticism for the U.S. President, who is adamant about securing his second term in office. It is hard to find any other positive agenda as soon as he failed to deliver an efficacious response to the pandemic, which has already put the country’s economy at risk of recession with a gloomy long-term economic outlook.

Russia can no longer alone serve as a scapegoat for misdoings of U.S. politicians. Such rhetoric has been present in American media for such a long time that it has eventually lost some of its appeal to the U.S. audience.

Following a blueprint tailored for Russia, the U.S. has resorted to a maximum pressure campaign against China. In 2018 a full-scale trade war erupted and was followed by sanctions introduced against the most vital industry for China’s global rise — the hi-tech sector. Huawei and ZTE were swiped from the U.S. market. The U.S. also has been widely applying its longer-used instrument of sanctions not solemnly limited to hi-tech giants. Chinese officials in Xinjiang and foreigners doing business in Hong Kong also fell under various restrictions.

As for now, the pendulum has swung from economic agenda to geopolitics and ideology — with the latter being a novelty for U.S. policy towards China. Despite that, China and Russia were already labelled “rival powers … that seek to challenge American values” in 2017, Trump’s national strategy.

In January 2020, Secretary of State M. Pompeo called the Communist Party of China (CPC) the “central threat of our times.” As for Russian ideology, the country was already eloquently described as an “evil state” during the 2016 U.S. presidential campaign. In July 2020, Mr. Pompeo called on the Chinese people to help “change the behavior” of their government. Thus, he designated CPC as an ideological and independent entity separate from Chinese citizens.

In order to sharpen the rhetoric, U.S. politicians stopped addressing Xi Jinping as “president,” calling him “general secretary” instead — an act which deprives Mr. Xi of political legitimacy usually bestowed upon the elected leader. Another menacing sign is that the U.S. is reportedly reviewing a proposal to ban CPC members from traveling to the U.S., which would basically mean the start of an active phase of ideological confrontation.

Similar to the 2017 Russian-American diplomatic row, today the U.S. and China are also exchanging attacks on each other’s diplomatic missions. For example, from geostrategic perception, in mid-July, the U.S. officially recognized China’s claims in the South China Sea as “unlawful” and made it clear that its strengthening of the policy with regard to SCS is aimed at halting China’s use of coercion.

Both countries do not want to play alone in a tit-for-tat game. The U.S. has already summoned its allies to form a group of democratic countries to oppose the CPC. France and Britain have recently bowed to long-term U.S. pressure to convince allies to steer clear of the Chinese 5G technology.

China is also gearing up by upholding contacts with its tried and tested partners — namely Russia. Despite a minuscule slide in bilateral trade (a 4% decline compared to 2019) amid COVID-19, political cooperation has been developing. In early July, both countries demonstrated close coordination in high-level international organizations by vetoing extension of cross-border aid in Syria. During a telephone call to Vladimir Putin on July 8, President Xi vowed to intensify coordination with Russia internationally, including in the UN.

Russia and China currently maintain close and regular cooperation. According to the Russian ambassador to China A. Denisov, up to now, both presidents have held four telephone conversations and are currently working on preparation for a state visit of the Russian President to China, as well as on the participation of Xi Jinping in SCO and BRICS forums in Russia with open dates.

A new trend in China-Russia cooperation can be noted in the sphere of coordination of bilateral actions to oppose Western ideological pressure in the media. On July 24, spokespeople of the Ministries of foreign affairs held a video-conference on the information agenda. The parties recognized Western powers’ attempts to interfere in the internal affairs of China and Russia by disseminating fake news and placing restrictions on journalists’ work.

U.S. attempts to alienate and isolate China provide Beijing with no other choice but to seek further expansion of cooperation with like-minded states, be it Russia or any other country open for cooperation.

From our partner RIAC

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Origin of US foreign policy: An Analytical Review

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Origin of US foreign policy by Pat Paterson:An Analytical Review

After the start of the republic, the nature of the foreign policy of the US was unilateral. By the end of cold war, the President Clinton changes the traditional nature of Foreign Policy which was traditionally isolationism to ‘exceptionalism’ (to expand its overseas economic and political initiatives which were totally opposite to the traditional practices.)This manuscript is divided into four parts; each part defines us about the history of US foreign policy.

In the first 150 years of US history, the US tried to remain geopolitically isolated from its neighboring countries. In this regards the US have geopolitical advantage having the ocean boarders. US first President, once in his speech told that US should avoid making alliances that might draw them into wars, but it can interact for trade and commerce. US had the policy of unilateral outlook that makes it stand alone among the developed states like China and Russia, as it refused to ratify International treaties. US even did not ratify the CRC (The Convention on Rights of the Child). In this article the author tells us about the 4 to 5 reasons why the US did not ratify the treaties.

US have no need to adapt different international treaties because it has sufficient legal and social protections rules for its citizens. It has no need to adapt anything from outside.  Also the US authorities had the fear that international government may try to force them by using these treaties. The other reason, the author tell us about why US not ratified the international treaties is that the foreign policy is the multi-faced topic, just to focus on the human rights and democracy, the nation have other interests like trade and security arrangements which is also important part of the negotiation.

The US is the only state in the world that has not ratified the ‘The Convention on Rights of the Child’ CRC. The religious and other Foreign Policy analysts reject this treaty and have a claim that it might threaten the rights of the parents, which I think is totally baseless explanation of this rejection.

The author in this article further described the four schools of thoughts regarding US foreign policy, that is based on the Foreign Policy recommendations for US citizens. They are, ‘Jeffersoniasm’ (the political doctrine and principles held by Thomas Jefferson that center around a belief in states’ rights, a strict interpretation of the federal constitution, confidence in the political capacity or sagacity of masses), ‘Hamiltonianism’ (the political ideas or doctrines associated with Alexander Hamilton, especially those stressing a strong central government and protective tariffs), ‘Jacksonianism’ (relating to Andrew Jackson, his ideas, the period of his presidency, or the political principles or social values associated with him), and ‘Wilsonianism’ (it describe a certain type of foreign policy advice. this term comes from the suggestions and proposals of the President Woodrow Wilson (1913-1921)).

The ‘Exceptionalism’ policy was not just like matter of consideration in the early days of US but in the 21st century it is still a point of pride for many US citizens. The ‘Exceptionalism’ group considers the philosophy of the priorities of the American first and then for the rest of the world. In this example I would like to quote the example of the ‘America First’ vision of the President Trump, this philosophy is used for protecting the values, nationalism and patriotism of Americans.In my opinion, according to this debate the US represented the common citizens of its state through its systems and policies. 

The second part of this manuscript is based on the expansions of the US position during after the World Wars. According to my analysis, the US continued its strategies of unilateralism until it have the fear of another emerging super power, after the expansion of soviet.

Role of Woodrow Wilson is important here as he implement the policies of neutrality in the first World War, President Woodrow Wilson adhered to the advice to kept the US out of the European conflicts when the first 100 Americans died on the Lusitania in May 1915.He also tried to stop the conflicts among the different states, so he tried to implement a new world order that is the League of Nations. After the second world war the focus of US leaders quickly change from inward to outwards as they had the fear of soviet expansion. Its priorities of foreign policies gets changes by changing in the global world order from unipolar to bipolar (the two global super powers).After the World War 2 its focus had changed from only US national security to world stability.

Here in this part of the given article, the author tells us about the two important features of US foreign policy development that is: (1) The Federalism, and (2) the dispensation of powers among different branches of government. The first one, the federalism, is the most important but a controversial issue since the start of the US. Second element is the separation of power between the execution, legislative and judicial branches of government. 

After the cold war the administration of the US is divided into four major eras of different Presidents, some are from democratic and the some are from republican. This era has dominated by globalization. After the world war, the President Clinton and President Obama have the same type of government, they used the smart power and promote multilateralism while the President Bush and President Trump used the hard power and promote unilateralism. Main focus of Donald Trump’s foreign policy may on the military rather than development or diplomacy. Trump pursues the ‘America First’ foreign policy. Trump’s doctrine is nationalism; his main focus is on the individuals of America. Trump use this philosophy of America firs for protecting their value, nationalism, and patriotism.

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