Wednesday, 8th April, 2009
Is This Really Who We Want To Trust?
Pulp Nonfiction (from The Nation)
To be fair, it could be argued that the original tax credit implemented by former President Bush could have been defined or structured in such a way that this sort of abuse would not be allowed. However, I think the point is that, if there is a way to manipulate a loophole or otherwise "game" the system, the vast majority of private corporations would have absolutely no qualms about taking advantage of it, regardless of the long term consequences. And this really gets to the heart of something that has troubled me as of late - how much faith some people seem to put in private industry.
Private corporations exist for one purpose, and one purpose alone: to make money. This is an extremely simple point that is not at all profound; however, it does help to provide some insight into the behaviors of those corporations. Because of this singular goal, it is important to remember that a company will almost never do what is in the best interest of its customers, its employees, the world, or anything else. In general, it will only do as much as is needed to maintain the highest level of profit. For example, a company will have absolutely no concerns about asking their salaried employees to work 60, 70, or even more hours per week without additional compensation, as long as those employees are willing to do it. Obviously it is not in the best interest of the employees, but the company only cares to the point that the employee considers "acceptable".
Now don't get me wrong, I'm not against private industry one bit. After all, I'm a firm believer that too much in any one direction is not in the best interest of anyone outside the very small group of people that would stand to profit from that extremism. However, it is clear to me that private industry without oversight or any form of checks and balances is a recipe for disaster. If we have learned anything from the recent banking collapse, it is that lack of regulation of the private sector will inherently lead to poor decisions that have disastrous long-term consequences. Private industry should be allowed to thrive, but not without an efficient and effective set of regulations to insure that the best interests of everyone are not sacrificed in the name of making a quick dollar. We need a reform of our regulatory system, with more regulations put into effect to protect our interests, if we ever want to have a strong and stable economy.
Those on the other side of the fence would argue that regulations are costly for private industry, and they would stymie growth and prevent innovation. To a certain point, they are correct. However, it is important to remember that a good regulatory system ensures that all companies bear the burden equally, and that good regulations are really there to help enforce things that would otherwise be common sense, but that the need of profit often gets in the way of. Combine that with tax incentives for small business, and you will go a long way toward building an economy that is not only strong, but stable long-term instead of our current flawed system.
To close, I'll leave you with an example I learned from one of my friends. Back in the early 90s, there was a movement to put rear guard devices (known as underride bars) on the backs of 18-wheeler trucks. This was in response to the growing number of people who were killed when they rear-ended a truck and their car ran up underneath it, essentially decapitating them. Trucking companies had fought this, not because they didn't want to prevent those deaths, but because they didn't want to be the only company to incur the cost of the new device, thus cutting into their profitability and making them lose ground to their competitors. Eventually the NHTSA stepped in and created a regulation requiring these devices to be installed on all new trucks. Pretty much everyone within the trucking industry praised the decision; after all, they didn't want people to be killed any more than anyone else, and the fact that everyone was bearing the burden of the new regulation meant that they could still remain competitive while also adding another level of safety.
Government-run industries are not the answer. But neither is unchecked private industry. We need a balance.
Wednesday, 15th April, 2009
Happy Tax Day
And in response to this whole tea-party demonstration crap, I bring you:
Commentary: April 15 is patriots' day
I don't always agree with Begala, but there's not much more to say.
Thursday, 16th April, 2009
The Independent Country of Texas
I can't even make this stuff up.
Texas governor says secession possible
So my first reaction was, sweet!!!! I mean the only thing better than no Texas in the United States would be no Florida in the United States. And really, who wouldn't want to see Chuck Norris try to lead a country? Except that would probably a whole new league of Chuck Norris jokes, which can't possibly be a good thing.
But once the elation recedes, then you realize just how idiotic this really is. I mean secession? Really?!!! Sounds like just a bit of an overreaction to me. It's not like anyone is forcing them to take any stimulus money; they have a right to turn it down if they want to. In my opinion, they're just bitter that they can't have their way anymore, and so they're turning to a "temper tantrum" in an attempt to force people to do what they want.
Here's an idea Mr. Governor. Why don't you focus on running your state, and let Obama focus on running the country? Or better yet, grow up and don't make veiled threats to try to get your way. Or even better, make good on your threat so the rest of the world can laugh at your stupidity.
Something tells me Jon Stewart is going to have fun with this one...