The Obama Administration has chosen to compare the current economic conditions to those of the 1930’s to justify action on legislation without public comment and debate. Despite the fact that the current economic conditions were caused by government intervention into the housing industry, just as the crash of 1929 was caused by government monetary policy, 2009 differs from 1932 in one important way. The American public of 2009 has witnessed the failure of collectivism, which it had not in 1932.
In 1932, Communism was considered a viable alternative to Capitalism. The members of FDR’s cabinet that had met with Joseph Stalin some years earlier were impressed with the progress his central planning or collectivism had made in Russia. The brutal mass genocide of Stalin’s regime had yet to be exposed. They were also intrigued with the industrial collective that Mussolini’s fascist government was able to achieve in Italy.
FDR was able to gain support for his programs by blaming business and investors for the economies’ failure to recover, despite the fact it was his programs and policies that were thwarting the recovery. His collectivist policies kept wages and prices high while discouraging businesses from expanding to reduce unemployment.
It has been the spread of Capitalism throughout India and China that has lifted millions of people out of poverty, not central planning
Today, the American public is able to see that collectivism does not work. Communism and Fascism have had their chance in many parts of the world. Suppression of individual initiative and liberty to enhance the power of the state can not be sustained indefinitely. It has been the spread of Capitalism throughout India and China that has lifted millions of people out of poverty, not central planning.
Today, small business will not allow themselves to be blamed for the failure of misguided government policies. Business groups have banded together to fight the blatant abuse of Card Check organizing. The US Chamber of Commerce has started a multi-year campaign to educate the public about free enterprise. If Card Check, Cap and Tax or Nationalized Healthcare is enacted, massive numbers of jobs will move overseas. The job losses resulting from each of these collectivist programs will be in the millions.
The vast majority of Americans earn their livelihood through participation in the free enterprise system and will not allow it to be jeopardized by an administration enamored by a failed collectivist model.
David Nace was raised in rural western Pennsylvania. Graduated from Penn State University with an Undergraduate degree in Engineering and a Masters degree in Business Administration. He has managed and co-owned a construction company since 1989. Dave is active in the Associated Builders and Contractors organization on the local and national level, and is able to demonstrate the consequences of legislation and policies in concise and easily understood articles.
