June 27, 2007

Keeping the Thread Alive

Perry Eidlebus of Eidelblog has provided some thoughtful and well articulated comments interleaved through three posts. Two new ones appeared yesterday, and the post will fall off the page today and my evil SQL script will soon disable comments.

Now, all these thoughtful and reasoned comments are in opposition to me. But they deserve better placement. Here are yesterday's two comments, concatenated into a single post:



"I'll counter that your don't-give-an-inch does not serve the cause of liberty."

It does not work today not because it isn't the right thing to do, but because so many people prefer "the tranquility of servitude" and the peace of compromise, being too afraid of the "extreme" of full-blown God-given rights.

We fought for independence because we refused to give in, because real liberty is not won with compromise or "accepting" that certain things cannot be. As a matter of "practical politics" (a phrase I often use), sure, elections aren't won by extreme candidates. But which do you want to win, centrist candidates, or the cause of real liberty?

"Braveheart" had a couple of great lines on how far one is willing to go. The Elder Bruce maintained, "But it is exactly the ability to compromise that makes a man noble." It is easy for people to compromise when their livelihoods are based on power, whether they wield it (politicians) or derive benefits from it (welfare state recipients). When the Princess of Wales offered Wallace the king's bribe, he retorted, "Slaves are made in such ways!"

"But I will stand up for the ownership society and Part D. You refuse to admit that it is built on market principles and that is unfair."

I refuse to admit it because it's patently false. The very fact that government is intervening (i.e. taking money from some people to give to others) means it is NOT free-market. Something can be based on "market principles," but that is NOT the same as a free market where people make purely voluntarily transactions. This is not John Kerry nuance. It's plain fact.

You can keep arguing "ownership society" until you're blue in the face, but it's an absurd phrase while Social Security and Medicare taxes are coerced out of my salary.

"The rest of Medicare is single payer; part D has private insurers competing for subscribers."

Via an infrastructure that government created, thus skewing market forces. Again, not free market.

"As such, it is the one government program that has surprised to the downside both in cost to the government and average premiums to its subscribers."

Which is only so far. People think they can keep credit card under control, too, but how much will they restrain themselves when they're borrowing money in other people's names? Not much.

I will point out for the umpteenth time that even the most conservative estimates show the program has high long-term costs to make Social Security look cheap. Have you ever looked at the full projections? I have.

"A future administration might build on those figures to spread market mechanisms into the rest of Medicare."

Again, it's only the skewing of free market forces. You need to understand the difference between "market forces" that have the appearance of the free market and what is truly the free market.

"The idea of the ownership society is that these mechanisms function like seed crystals. Over time, they become a larger percentage of the structure and crowd out the collectivist portion. It is a bold attempt and it may not work, but it is disingenuous not to recognize the attempt."

That I "recognize" the attempt is a ridiculous demand when the process is just another instance of government intervention. Not recognizing the programs for their proto-socialism IS what is disingenuous.

A real ownership society is one where government butts out and allows people to function on their own. History proves, time and time again, that all the planting of seeds will do is create a larger and larger bureaucracy. Look back to FDR's New Deal, and its constantly failed attempts that kept the U.S. mired in depression. Should we have "recognized the attempt" that he was "pragmatic" in his belief that government needed to "prime the pump"?

"You applauded the try for private Social Security accounts -- that's the exact same thing. Had legislation progressed, there was much talk of increasing benefits to sell it to the Democrats. Were you being a Socialist? Perry was trying to take my money against my will and give it to seniors! What a Communist that Perry is!"

Private accounts are very different from Plan D, because you're using your own money. It's not really free market because the state forces you to save, but you're not being given someone else's money to save. The rest of Social Security is complete socialism, however, just like Plan D. It's a very simple test: is government taking money from someone to give to you?

I support real privatization, namely the abolishment of the whole thing, but I will support private accounts as a first step. It's not enough, but it's legally important: it could force the SCOTUS to recognize people's legitimate claim on what they paid in. You may recall that it ruled otherwise in 1943.

"McClellan did not last long enough, but there was improvement in his tenure. Fast track approvals for terminal conditions and the Pharma funded faster approval process both happened under his watch. (Sadly, I think he was pulled off to do Part D -- that was a dark day for me)."

Which comes down to begging government for permission to do what is our natural right in the first place.

"I got a kick out of your prison sodomy line, but I think you are missing the saddest fact there is. Welfare for seniors is wildly popular beyond those who accept benefits. People like the idea of a safety net for themselves, their parents, and think that it is a component of "a just society." "

Oh, don't think I realize that. Limousine liberals aren't the only ones who feel "good" about coercing others into charity. Liberalism is all about generosity, after all: generosity with other people's money.

"Nine percent libertarians according to Pew. The other 91% are, sadly, very cool with collectivist, nationalized health care and pensions for the elderly. If you will not admit that, you will not be successful in a Madisonian democracy."

It does depend on the question's phrasing. If you ask someone, "Do you believe that people are entitled to the fruits of their labor," they may not realize it's completely at odds with, "Do you believe government should provide a safety net?"

Ask people if they're willing to support Part D to help seniors, then ask them if they're willing to pay massive tax hikes to fund it. Or ask them if they're willing to tax "the top 1% of taxpayers," notwithstanding it's that 1% that provide the business management, savings and investment to create jobs for the rest of us.

I forgot to comment further on Roberts and Alito. I'm not saying Bush nominated a pair of Souters. They're actually not bad, but they've disappointed me with past and present rulings. A while back, Professor Bainbridge had a great entry on why "originalist," "textualist" and "strict constructionist," which are often used interchangeably, are really different. So I really wasn't concerned if they were like Scalia and Thomas, who themselves have disappointed me. I don't care if someone's conservative, libertarian or liberal: my single test is how faithfully he will defend the Constitution.

Originally I said on my blog that Alito would be a good choice, and he could well be in the end, but I have a feeling his dispositions might be a problem for our freedom at some point in the future. For example, his dissent in Doe v. Groody was inexcusable. Granted it was when he was a federal appeals court justice, but it shows he's too willing to give police the benefit of the doubt. As my friend Billy Beck charged, the police are a part of government that has no right of presumptive innocence when charged with wrongdoing, by the very fact that they are pre-authorized to use force on behalf of the people.

Now, getting specific with Roberts, his ruling in Hedgepeth v. Washington Metropolitan Area Transit Authority was completely inexcusable. That sets the tone for what will happen in the future, I'm afraid. Also, is he consistent? It bothered me during his testimony to the Senate Judiciary Committee that he said he'd be obliged to respect SCOTUS precedent. That doesn't jive at all when he said the Court was correct to rule as it did in Brown v. Board. As you may recall, it was a reversal of Plessy v. Ferguson. So which one does Roberts really believe? Did he say what he did before the committee just to placate abortion litmus test liberals, or will he rule as a matter of convenience for the politics of the president who nominated him?

Pretty good nominees overall, but it's that fraction that may come back to bite us.

Politics Posted by jk at June 27, 2007 10:37 AM

On Part D, I think we've both made our points. I'll stop before it denigrates into "Are not!" "Are too!"

But which do you want to win, centrist candidates, or the cause of real liberty?
I'll take real Liberty. The quandary is whether to let a Senator Clinton or Obama win the White House because the GOP candidate is not "pure" enough to support. I know many people who will do this and, I know you're undeclared right now, but I suspect that you will be one.

You compare Part D, passed by both Houses of Congress and signed into law, to private SS accounts which exist only in your mind. To get something so radical as people keeping their money would have necessitated huge increases in benefits and plenty of coerced redistribution.

When one argues with Democrats, one always seems to end up discussing President (William) Clinton; when one argues with Libertarians, one seems to end up here: I'd love to live in your world, Perry, and it saddens me that there are no new continents that we can sail to and set up a classical liberal society. But we live here and many distasteful political exigencies are dictated to us. You can ignore them and let the forces of darkness and anti-modernity elect President (Hillary) Clinton or Obama.

I quote that 9% Pew number frequently. I don't know if it is dead on but I think a perfect poll will show that we are far short of plurality. I'm ready to make common cause and fight at the margins.

SCOTUS: My hero is Justice Thomas, because of his dissent in Raich v Gonzales. I don't know that either Alito or Roberts are the reincarnation of Stephen Field, but they are good picks.

I look forward to the day when the fight on the bench is between the textualists and the strict constructionists. Right now, I'm happy that we got two more who think that the Constitution outranks the New York Times Editorial Page.

Nor am I bothered by Judiciary Committee testimony. Of course one respects precedent. Judge Bork respects precedent. Overturning incorrect decisions by previous courts should be done respectfully.

Posted by: jk at June 27, 2007 11:19 AM

Crikey, if this Perry character hangs around here much longer I'm gonna be out of a job! About all I can quibble with is "God given." Replace it with "inalienable" rights and I'd be proud to have written this. It is blunt, but respectful; informed and factual, yet delightfully entertaining. Well done, and keep it coming.

On the nine percent:

I'm so enamored of Perry's idea that the question skews the answer, and his selected examples, I'm going to add one more of my own.

Ask your random sampling of registered voters, "Are you selfish?" Far fewer than nine percent will answer 'yes.'

Now ask them, "Can I have 20 bucks?" I'm sure you can see where this is going. Even if you find someone who WILL hand you a Jackson, there are few who will continue to do so, over and over, indefinitely. At some point just about everyone is selfish.

I'll be surprised if Perry abstains from choosing the best of two candidates, each of which has one or more evil attributes, although I know people who have. Most voters do not, however, abstain. The point here is that you're both right. In the political arena we must compromise, though the best compromise there is often to do nothing. In the arena of ideas - the public discourse - we must be ruthless in defense of the idea that "extreme" individual liberty is not an extreme idea, it's just the natural, sustainable, self-regulating, peaceful, efficient, profitable, progressive, moral, inalienable and unassailable way for human beings to live life. As more people come to understand this, fewer will elect political representatives who want to put the government's hand into their neighbor's pocket.

Posted by: johngalt at June 27, 2007 3:36 PM

I offered him your job, jg, he turned it down. Something about the dental plan...

I hear a lot of people talking about staying home because the candidates are not "conservative" enough. Nine more percent stay home because the candidate is not "liberal" enough (think Mises, not Humphrey) and we'll safely elect a Democrat who will oppose both goals.

If the 9% figure is off by a factor of five, there are still not enough to elect a President.

Posted by: jk at June 27, 2007 4:20 PM

Oddly enough - Perry's own blog's most recent post suggests that buying city employees in SF bottled water when tap water there is safe to drink is a "form of compensation for employees like health insurance".
http://eidelblog.blogspot.com/2007/06/todays-winner-of-goddamn-idiot-award.html

I'd have to disagree.

Posted by: Terri at June 27, 2007 4:41 PM

(sorry Perry - I would have left a comment directly there, but can't remember my google password)

Posted by: Terri at June 27, 2007 4:49 PM

I'm with Perry on the bottled water, but with Terri on Eidelblog's restrictive, google-centric comments policy.

Posted by: jk at June 27, 2007 5:04 PM

"On Part D, I think we've both made our points. I'll stop before it denigrates into "Are not!" "Are too!""

Well, it's a very simple difference. You're talking "market principles." I'm talking genuine free market. When I talk about the free market, you can trust that I'm as hardcore as you can get. I'm not fully Austrian, but you could call me the stepchild of a third-generation Austrian economist.

"I'll take real Liberty. The quandary is whether to let a Senator Clinton or Obama win the White House because the GOP candidate is not "pure" enough to support. I know many people who will do this and, I know you're undeclared right now, but I suspect that you will be one."

No candidate other than Ron Paul wants real liberty, and we won't get such a candidate past the primaries until enough people stand up and *demand* it.

There's a GOP candidate I'll probably endorse soon. I'd say he's 95% of what I want, and someone who can win. He's a conservative and has had a couple of positions in the past that I can overlook, so I disagree with his likely desire to continue the War on Drugs. So you can tell right there, my choice isn't Ron Paul.

Yesterday, I suggested to a friend that Paul is wasted in Congress. He should instead be on the Supreme Court.

"You compare Part D, passed by both Houses of Congress and signed into law, to private SS accounts which exist only in your mind. To get something so radical as people keeping their money would have necessitated huge increases in benefits and plenty of coerced redistribution."

Even private accounts won't solve the pyramid scheme's problem of redistribution (don't forget that I want to abolish the whole thing or at least let people opt out), but it's better than Part D, which is purely redistribution.

The proposed private accounts aren't the same thing as true privatization, but at least you'll be able to do something with the money than let Congress spend it and give an IOU to the SSA. Do you see the benefit of the system going bankrupt sooner than 2017? People would finally realize it's a pyramid scheme, and enough might just demand they truly hold on to the money.

"You can ignore them and let the forces of darkness and anti-modernity elect President (Hillary) Clinton or Obama."

We *can* live in a what's accused of being "idealism" if we are brave enough to fight for it. There are more than you think who want limited government, but they fall into the trap of "Well, the two parties are in control." All it takes is enough people to get a majority of states' electoral votes by getting a plurality (a majority in some jurisdictions) of the vote in each. Also, look at how low Congress' approval rating has become. People hate both parties and want change. Unfortunately, McCain-Feingold may have solidified the two-party system too much.

How many people would say "yes" to "Are you a libertarian?" How many people would say "yes" to "Do you want the government to get out of your life and leave your paycheck alone?" How many would say "yes" to "Do you want the government to keep giving you social programs at others' expense?"

Thomas was great in the Raich case, but he has disappointed me a time or two. I actually wanted to see him as Chief Justice.

"Right now, I'm happy that we got two more who think that the Constitution outranks the New York Times Editorial Page."

Outranks, but they don't consider it Supreme as they ought to. That's the key: it's the Supreme Law of the land.

"Nor am I bothered by Judiciary Committee testimony. Of course one respects precedent. Judge Bork respects precedent. Overturning incorrect decisions by previous courts should be done respectfully."

I neither respect precedent nor automatically deride it. A previous ruling can be useful purely as a guide but should never be assumed to be correct, nor should the decision of a previous case have any weight on the procedures or eventual decision of the present case. When we turn to precedent, then cases boil down to attorneys for both sides poring over previous cases, arguing before a magistrate that, "Well, so-and-so ruled in he-v-she that..." What about arguing a case based on the merits of the case itself? And why assume that because some schmuck judge ruled this way 10 or 20 years ago, that we must rule the same way today?

And if a previous turns out to be incorrect, I'll have no mercy for the idiotic ruling of the predecessors.

Oh, and JG, I told jk that I appreciate the offer, but these days I just don't have the time to blog regularly for myself. I was supposed to blog at the Liberty Papers but never even bothered to log in. My plan was to make my first post *the* definitive introduction to Bastiat. All modesty aside, outside of GMU's professor-bloggers, I'm probably the one person in the blogosphere who's qualified to write that.

Posted by: Perry Eidelbus at June 28, 2007 4:58 PM

Terri, I'm a nice guy and all, but you'll learn if I keep commenting regularly that I'm pretty ruthless on pinning people down. If you're going to talk to me, defend your position. Otherwise, mind yourself, for I won't let you get away with "I disagree." It's better for you, anyway, because it'll force you to think through your position and, if necessary, refine or change it.

That being said (I tend to write that a lot at work when explaining our policies to someone), if company-provided bottled water is not a form of compensation for employees, then what is it? Altruism?

We get free water, soda and fruit juice at my office, as one way to make the office environment more pleasant and attract workers, just like a good health care package can attract workers albeit to a greater extent. We pay for the drinks eventually by receiving less of a salary than we'd otherwise be paid. However, the benefit of company-paid beverages is that income taxes aren't paid on the money used to buy them, only sales tax if applicable. The company can write it off as a business expense and not have to pay taxes, and you won't have to pay taxes on the money spent, unlike if you bought it yourself even at the company's same bulk rate. Tax laws aren't quite as simple for employer-provided health insurance, but it's the same principle.

By the way, did I ever mention Gavin Newsom is a goddamn idiot?

Posted by: Perry Eidelbus at June 28, 2007 5:17 PM

My humor will get me in trouble someday -- no one will ever replace you around here, jg. It was funny that you said that right after I had offered Perry an author's login. And he did demur.

In Part D, People can choose different providers based on cost or opt to not participate. That strikes me as fundamentally different from other government programs. I've yet to find a competitor to the IRS or FDA.

If I was down when I saw the 9^ number, I went lower when I read Brian Dougherty's "Radicals for Capitalism." Even though it ended on some upbeat comparisons, those who want liberty couldn't form a plurality if they numbered 90% -- they'd split into 15 factions. They're intrinsically unempowered to govern.

I will post the Pew Research paper.

Posted by: jk at June 28, 2007 5:26 PM

Perry,
I'm sure you're right and you are a nice guy. And I actually admire people who are idealist enough to stand on principles no matter what.
And you're right also, I don't generally spend a whole lot of time explaining myself, so I won't bother a lot as you work to "pin me down". The closer a person get's to getting pinned down the deeper and deeper you have to go to find evidence, write and re-write articulately etc, etc. Yes, I'm lazy and yes, I'd rather spend free time outdoors vs in front of the computer.

This is especially true when the argument is clearly not going to be won because we have different bases from which we are thinking.

That said we move back to bottled water.
You've misunderstood. I said "oddly" because your blog mentioned the "city" employees getting or rather not getting bottled water.

If your office wants to buy drinks on the house, good for them. It probabaly does make for a better working environment.

If I have to pay taxes to 1)first clean the water so that's it's good enough to drink and then 2) buy bottled water for the city employees to drink that seems like it would be against your principles.

Me - I'm not so fussy.

Posted by: Terri at June 29, 2007 11:38 AM | What do you think? [10]