Yesterday, Larry Kudlow hosted an exchange between Vermont Socialist Senator Bernie Sanders and George Mason University Professor of Economics, Walter Williams.
To say that Sanders embarrassed himself by his ignorance and lack of awareness of modern economics and global realities is an understatement. Professor Williams easily made a fool of Sanders.
At one point, the Senator actually alleged that virtually all Chinese-made goods are inferior and dangerous to allow in the country, arguing, instead, that these should be made in the US. When Williams informed Sanders that he, Williams, had just purchased a Japanese-made car, Sanders expressed surprise and congratulated the Professor on finding an alternative source.
But, basically, Sanders' paean was the typical, tired leftist and socialist bromide that if only American companies would manufacture more goods onshore, we'd all be better off. Or at least Sanders' constituents would be.
Confronted with the realities of rising American manufacturing output over the past decades, with rising productivity, requiring fewer workers, Sanders missed the point. He railed at the lost jobs, rather than understanding the resulting rise in living standards brought about by this increase in productivity.
Despite Professor Williams' and Larry Kudlow's best efforts, Sanders remained resolute in his ignorance and stupidity.
What I realized, upon reflection, is not just that this Senator is, sadly, a representative of the Democratic majority in our upper chamber, with all his attendant misunderstanding of the operation of free market economics.
No, what really frightens me is that Sanders fails to distinguish between government which sets conditions, rules, and lets people create their own lives, wealth, and jobs, and government that legislates what will be made, by whom, where, and at what price.
Of course, that latter description tends toward either socialism or fascism.
By insisting that his voters must have jobs, and all US trade policy must directly ensure this, Sanders demonstrates his break with the country's actual past.
Our forefathers, who settled the Eastern seaboard, then pushed inland, were in pursuit of territory and resources with which they could fashion their own lives. They had no support network from the government. Nobody provided them with unemployment insurance, healthcare, or guaranteed jobs and wages.
Immigrants, of course, are an even more profound example of risk-taking citizens.
Now, we have Senators such as Sanders attempting to mandate industrial and trade policies to force companies to employ their voters.
They miss the fundamental fact of our free market system. Business and jobs go where necessary resources are. If Vermont workers are suitably educated and priced, and other aspects of Vermont are conducive to investment, then business will thrive there.
If not, in time, Vermonters, like their fore bearers, will pick up and move where there are jobs. Economic mobility is a key feature of our successful economic system. Our immigrant history adds to this expectation.
What Sanders and his ilk fail to realize is that our population, like our economy, is mobile and accepting of risk.
Does anyone seriously believe Bernie Sanders and 99 others like him can plan our economy better than tens of thousands of risk-taking business owners and millions of risk-taking workers? When did we come to expect certainty, either in business success, or employment?
It troubles me greatly that the perspectives, ignorance and values of Bernie Sanders, socialist, may well influence the evolution of our free market economic system in years to come, without a return to the majority of conservatives in the Congress.
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