Our economy has once again devolved into Carter-style stagflation. Why? Because the President and his congressional accomplices imposed an economic model on the country that has a perfect record of failure.
Milton Wolf does a good job, in his most recent Washington Times column, of explaining why central economic planning and government ownership of business never produces the prosperity its adherents promise:
I am happy that Smith-Corona went bankrupt and that Western Union was forced to abandon its old business practices. If the government had bailed out these companies, we’d still be banging out papers on manual typewriters and communicating by telegram.
But in a free market environment:
A major corporation such as Smith-Corona couldn’t marshal its enormous resources to stave off what some students like Bill Gates, Steve Jobs and Michael Dell could create in their dorm rooms and garages is fascinating …
But its significance is not merely academic:
What’s important is that the best ideas prevailed no matter whose they were while, just as importantly, less effective ideas, no matter how good they were in an earlier era, were set aside.
This is what happens when the free market is permitted to work without the meddling of soulless bureaucrats and roundheel Beltway politicians. This, by the way, is as true for health care as it is for any other economic sector.
The rest of Dr. Wolf’s column can be read here.
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