Jan 9, 2009

Dangerous but Necessary

The Necessary: I'm all for the government intervention - in it's many forms - into the economy at this point, as it's clear that we're dangling on the precipice of depression and I'm loathe to tell literally tens of millions of Americans to simply 'suck it up' like so many free marketers want to do. What's shocking is that I am unable to find an unemployed person (R's especially) at this point, opining on the virtues of the free market. I guess social welfare is not so debilitating or nefarious when you're the recipient...but I digress.

Dangerous: With the intervention comes government (R or D) entrance into private markets. This is a slippery slope, that is only going to get harder to retrace the more intervention we need. The government shouldn't be dictating which firms have private jets, pay bonuses and develop what products, that is a job traditionally reserved for the managers and shareholders. Unfortunately the managers need the politicians money (equity) thus forcing the pols to act as private investors, who are rightly entitled to dictate. This is the danger with asking pols to acts as investors.

The best analogy I could come up with for something being dangerous but necessary, would be imagining your wife lost, but safe, in the jungle. You know you can go in and find her, but are unsure if you will ever get back out. To be sure, you all will both be safe once inside, but may live the rest of your life in previously unimaginable environment.