Comments on: Bad Regulation Drives Out Good http://fee.org/articles/goal-freedom-badregulation/ Home to freedom and prosperity, and free-market education for over 50 years Sat, 20 Mar 2010 02:06:22 +0000 http://wordpress.org/?v=2.9.2 hourly 1 By: Boomerang: Government and Systemic Risk | Foundation for Economic Education http://fee.org/articles/goal-freedom-badregulation/comment-page-1/#comment-4381 Boomerang: Government and Systemic Risk | Foundation for Economic Education Fri, 24 Apr 2009 12:28:00 +0000 http://fee.org/?p=5928#comment-4381 [...] something bizarre, indeed, about government assuming the role of protector against systemic risk. Knowledge problems aside, is there any entity in our society that presents a greater systemic risk than the U.S. [...] [...] something bizarre, indeed, about government assuming the role of protector against systemic risk. Knowledge problems aside, is there any entity in our society that presents a greater systemic risk than the U.S. [...]

]]> By: Matt http://fee.org/articles/goal-freedom-badregulation/comment-page-1/#comment-4077 Matt Tue, 14 Apr 2009 08:56:12 +0000 http://fee.org/?p=5928#comment-4077 I have the perfect regulator for Mr. Schumer, SuperMan he can fly ya know. <br><br><br>"All right fellas, you’re getting rid of those two hedge funds; you’re gonna raise more capital" um how? wait wait I know Chuck you get the Fed Chairman on the line and have him Print out 700 billion and we will be good to go. We can get some real valocity going with that kinda cash. Chuck lets talk about the money multiplier oh your not sure what that is, Hey Chuck lets talk about how I can protect the tax payers investments against risk, no I dont think the matress is a good idea. Chuck I cant get this loan approved or underwritten because its been setting on SuperMans desk. I know I know he's busy but for pete sakes the guys whats to buy an electric car. Ah Nirvana. I have the perfect regulator for Mr. Schumer, SuperMan he can fly ya know.

“All right fellas, you’re getting rid of those two hedge funds; you’re gonna raise more capital” um how? wait wait I know Chuck you get the Fed Chairman on the line and have him Print out 700 billion and we will be good to go. We can get some real valocity going with that kinda cash. Chuck lets talk about the money multiplier oh your not sure what that is, Hey Chuck lets talk about how I can protect the tax payers investments against risk, no I dont think the matress is a good idea. Chuck I cant get this loan approved or underwritten because its been setting on SuperMans desk. I know I know he's busy but for pete sakes the guys whats to buy an electric car. Ah Nirvana.

]]> By: pintpundit http://fee.org/articles/goal-freedom-badregulation/comment-page-1/#comment-4050 pintpundit Mon, 13 Apr 2009 18:44:24 +0000 http://fee.org/?p=5928#comment-4050 It strikes me that the opponents of a truly free market could accuse proponents (including myself) of exactly the same fallacy. Some libertarians assume what they have to prove and present the free market as a sort of libertopia, where all of the problems of life are reduced and perhaps even entirely eliminated. A truly free market would certainly eliminate much of the dead-weight loss that needless, foolish, etc. regulations incur. And, we should certainly point out the foolishness and needlessness of such regs as Dr. Richman has ably done in this case above, but is "the movement" as a whole making the positive case for economic liberty very well? Those within the libertarian ranks are already fully convinced of the efficiency and superiority of a free market, but I suspect that the majority of average folks are not. Though it is important to point out the flaws and ultimate harmfulness of intervention, it seems that avoiding our own charges of committing the Nirvana fallacy requires making a positive case for freer markets by demonstrating exactly how markets work and pointing out that though they are superior to other means of economic organization, they are in no wise perfect. I say this not because FEE especially hasn't been doing a good job of making the positive case, because the folks at FEE are among the leaders in doing so, but rather because the movement as a whole tends toward a negative strategy of pointing out our opponent's flaws rather than emphasizing the benefits of our own position. Such a negative approach seems hardwired into our brains as does the belief in the possibility of perfection, which is likely why the Nirvana fallacy exists and is so successful, but that demonstrating the virtues of the free market and how a free system of individuals pursuing their own ends peacefully will lead to a better (but not perfect:) world that will eliminate some of the problems we face seems to be the better approach. Sorry for rambling:) It strikes me that the opponents of a truly free market could accuse proponents (including myself) of exactly the same fallacy. Some libertarians assume what they have to prove and present the free market as a sort of libertopia, where all of the problems of life are reduced and perhaps even entirely eliminated. A truly free market would certainly eliminate much of the dead-weight loss that needless, foolish, etc. regulations incur. And, we should certainly point out the foolishness and needlessness of such regs as Dr. Richman has ably done in this case above, but is “the movement” as a whole making the positive case for economic liberty very well? Those within the libertarian ranks are already fully convinced of the efficiency and superiority of a free market, but I suspect that the majority of average folks are not. Though it is important to point out the flaws and ultimate harmfulness of intervention, it seems that avoiding our own charges of committing the Nirvana fallacy requires making a positive case for freer markets by demonstrating exactly how markets work and pointing out that though they are superior to other means of economic organization, they are in no wise perfect. I say this not because FEE especially hasn't been doing a good job of making the positive case, because the folks at FEE are among the leaders in doing so, but rather because the movement as a whole tends toward a negative strategy of pointing out our opponent's flaws rather than emphasizing the benefits of our own position. Such a negative approach seems hardwired into our brains as does the belief in the possibility of perfection, which is likely why the Nirvana fallacy exists and is so successful, but that demonstrating the virtues of the free market and how a free system of individuals pursuing their own ends peacefully will lead to a better (but not perfect:) world that will eliminate some of the problems we face seems to be the better approach. Sorry for rambling:)

]]> By: Sheldon Richman http://fee.org/articles/goal-freedom-badregulation/comment-page-1/#comment-4040 Sheldon Richman Mon, 13 Apr 2009 16:03:03 +0000 http://fee.org/?p=5928#comment-4040 Darren, excellent point. Charles Johnson elaborates here: <a href="http://radgeek.com/gt/2009/04/12/oneway_mirror/" rel="nofollow">http://radgeek.com/gt/2009/04/12/oneway_mirror/</a><br><br>Hear, hear, Less and Ross. Darren, excellent point. Charles Johnson elaborates here: http://radgeek.com/gt/2009/04/12/oneway_mirror/

Hear, hear, Less and Ross.

]]> By: Ross L. http://fee.org/articles/goal-freedom-badregulation/comment-page-1/#comment-3937 Ross L. Sat, 11 Apr 2009 21:01:33 +0000 http://fee.org/?p=5928#comment-3937 I'm much less concerned with labeling Schumer and his ilk as fascists or socialists than I am in opposing loudly those who label the current system a free market. I'm much less concerned with labeling Schumer and his ilk as fascists or socialists than I am in opposing loudly those who label the current system a free market.

]]> By: Less_Antman http://fee.org/articles/goal-freedom-badregulation/comment-page-1/#comment-3919 Less_Antman Sat, 11 Apr 2009 14:21:39 +0000 http://fee.org/?p=5928#comment-3919 Great TGIF. And you're right about labels: the biggest problem with the Glenn Beck interview was that he was determined to make it the entire interview about the definition of Fascism, and made it impossible for you to discuss substance. Sure, Schumer is a Fascist, and it is probably the case that the majority of the American population is, by the formal definition, fascist, but the cure is to persuade them of the value of free markets, not to hope they'll flee from our labels. Great TGIF. And you're right about labels: the biggest problem with the Glenn Beck interview was that he was determined to make it the entire interview about the definition of Fascism, and made it impossible for you to discuss substance. Sure, Schumer is a Fascist, and it is probably the case that the majority of the American population is, by the formal definition, fascist, but the cure is to persuade them of the value of free markets, not to hope they'll flee from our labels.

]]> By: Darren http://fee.org/articles/goal-freedom-badregulation/comment-page-1/#comment-3918 Darren Sat, 11 Apr 2009 14:18:04 +0000 http://fee.org/?p=5928#comment-3918 Expanding on my first comment I wrote an article, 'How Dare You Want To Know What "Your" Government Is Doing!'. <a href="http://www.nolanchart.com/article6279.html" rel="nofollow">http://www.nolanchart.com/article6279.html</a> Expanding on my first comment I wrote an article, 'How Dare You Want To Know What “Your” Government Is Doing!'. http://www.nolanchart.com/article6279.html

]]> By: Jacob D Steelman http://fee.org/articles/goal-freedom-badregulation/comment-page-1/#comment-3906 Jacob D Steelman Sat, 11 Apr 2009 09:37:20 +0000 http://fee.org/?p=5928#comment-3906 Shumer' is describing nationalization not regulation. The regulator becomes the Chairman and CEO and tells the managers how they are to run the company. And of course they who work for a government which runs a huge deficit and who created this financial mess through its central bank know best how to run a business. No matter how flawed the private sector may be it is still light years ahead of any government bureaucrat. Shumer' is describing nationalization not regulation. The regulator becomes the Chairman and CEO and tells the managers how they are to run the company. And of course they who work for a government which runs a huge deficit and who created this financial mess through its central bank know best how to run a business. No matter how flawed the private sector may be it is still light years ahead of any government bureaucrat.

]]> By: D. Saul Weiner http://fee.org/articles/goal-freedom-badregulation/comment-page-1/#comment-3885 D. Saul Weiner Fri, 10 Apr 2009 23:02:45 +0000 http://fee.org/?p=5928#comment-3885 Perhaps the problem is even more fundamental than Demsetz makes it out to be, that the term regulation itself implies that governments are capable of bringing order to, in this case, the financial realm, through the issuance of various rules, when there is otherwise no good reason to believe this to be the case.<br><br>By the way, I incorporated some of your insights into a recent article on the subject of regulation and the current financial crisis.<br><br><a href="http://www.lewrockwell.com/orig6/weiner7.html" rel="nofollow">http://www.lewrockwell.com/orig6/weiner7.html</a> Perhaps the problem is even more fundamental than Demsetz makes it out to be, that the term regulation itself implies that governments are capable of bringing order to, in this case, the financial realm, through the issuance of various rules, when there is otherwise no good reason to believe this to be the case.

By the way, I incorporated some of your insights into a recent article on the subject of regulation and the current financial crisis.

http://www.lewrockwell.com/orig6/weiner7.html

]]> By: Darren http://fee.org/articles/goal-freedom-badregulation/comment-page-1/#comment-3874 Darren Fri, 10 Apr 2009 22:18:36 +0000 http://fee.org/?p=5928#comment-3874 Excellent article. What grabbed my attention is the part where Schumer says "But they’re gonna be quiet." & "We’re not gonna tell anyone you’re doing this, but you do it or we’re gonna take sanctions against you.” Isn't he advocating secret govt? Then he goes on to "so they have complete transparency, they know exactly what’s going on." Now transparency is secret govt with access to all private info! Sounds like fascist tyranny to me. Obviously, you can only cover so much in one article, but this is what blew me away more than the same old song & dance the statists do to expand govt. Maybe you'll write a follow up article. Hint, hint. ;-) Excellent article. What grabbed my attention is the part where Schumer says “But they’re gonna be quiet.” & “We’re not gonna tell anyone you’re doing this, but you do it or we’re gonna take sanctions against you.” Isn't he advocating secret govt? Then he goes on to “so they have complete transparency, they know exactly what’s going on.” Now transparency is secret govt with access to all private info! Sounds like fascist tyranny to me. Obviously, you can only cover so much in one article, but this is what blew me away more than the same old song & dance the statists do to expand govt. Maybe you'll write a follow up article. Hint, hint. ;-)

]]> By: Sheldon Richman http://fee.org/articles/goal-freedom-badregulation/comment-page-1/#comment-3858 Sheldon Richman Fri, 10 Apr 2009 15:55:17 +0000 http://fee.org/?p=5928#comment-3858 My concern is that those words will repel those who don't already agree. So what's the point? Though the labels have clear definitions and descriptive value in some contexts, that won't stop them from sounding like emotion-driven name-calling to those we seek to persuade. My concern is that those words will repel those who don't already agree. So what's the point? Though the labels have clear definitions and descriptive value in some contexts, that won't stop them from sounding like emotion-driven name-calling to those we seek to persuade.

]]> By: DD http://fee.org/articles/goal-freedom-badregulation/comment-page-1/#comment-3857 DD Fri, 10 Apr 2009 15:50:50 +0000 http://fee.org/?p=5928#comment-3857 Schumer is a Fasicst, but I'm not sure he knows it. We should start to use "F" word and the "S" word more often becuase these regulations and policies really do amount to Fascism and Socialism. Schumer is a Fasicst, but I'm not sure he knows it. We should start to use “F” word and the “S” word more often becuase these regulations and policies really do amount to Fascism and Socialism.

]]> By: TGIF: Bad Regulation Drives Out Good | Anything Peaceful http://fee.org/articles/goal-freedom-badregulation/comment-page-1/#comment-3852 TGIF: Bad Regulation Drives Out Good | Anything Peaceful Fri, 10 Apr 2009 12:50:33 +0000 http://fee.org/?p=5928#comment-3852 [...] The rest of TGIF is here. [...] [...] The rest of TGIF is here. [...]

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