Monday, September 14, 2009

Analysis: Liberty & Porter County


If we were to fully accept the theory presented in this video, we would all agree that any form of taxation would be considered stealing (unless each individual were to give consent first). Since all of us were born after the taxation system was created, it looks like we have little say in the matter. Could a society function without taxation? Not unless you want to go back to pre-industrial days where each individual produced a good/service then directly exchanged it with another individual. This sounds a lot like the 1800s to me. Returning back to such a time would be a regression in society, dangerous.


Public Sector v. Private Sector

When it comes to taxation, libertarians fail to realize that there are certain times when the public sector can do things that the private cannot. Chicago is a great example. As the city became more urban, transportation into the Loop became impossible as parking was scarce. Developing a public transit system became the only solution to such an issue. Could the private sector fulfill such a need? No, because it could never acquire all of the land needed to lay the rail, set up stops etc. The EL and Metra provide an essential need to the city of Chicago so that highly skilled (and unskilled) workers can travel to the Loop in order to keep the capitalistic machine going. Libertarians often state “I don’t use it therefore I shouldn’t have to pay for it.” Again, we have an ideological argument. There are several public services that I do not use but since they benefit many others, I am happy to provide such resources.


Social Issues & Economic Theory

Now that I have expanded into the realm of economics, it is important to note that believers in the liberty theory above are also blind to elementary economic theory which reinforces their anti-government views (in regards to taxation). Libertarians tightly grasp onto free market capitalism without understanding the impacts of such a system. The ‘every man for himself’ ideology doesn’t work well unless you come from a family of “have” or “have a little”. Economic theory assumes that we all start with the same resources, be that money and/or education. Clearly, the ‘Mathew Effect’ begins to take place: To those who have, more will be given and to those who don’t, more will be taken away. Capitalism has proven to cause massive (financial) inequalities in society, especially America. Some social programs (created through taxation) must exist in order to level the playing field for those at the bottom of the social ladder. This is not to say socialism is the answer but that a problem exists and we must address it. Once upon a time, the church was the center of civic life in the community. Here socialism took place everyday without the use of government because at the ground level, people could help each other but also keep one another accountable for their actions. As America has become more complex (and secular) we have allowed the large and inefficient federal government to perform this duty.


Capitalism and Government’s Role - Planning

Merrillville is a great representation of capitalism run amok. Without government planning, capitalism operates on a simple idea: minimize inputs and maximize outputs. The city has become an urban sprawl of box stores and eating chains. Businesses like these have their place in American life but creating a community takes much more effort. Merrillville is a place where godless consumerism takes place. Everyone is a number, faceless with no personal relationships. The value each individual has is reduced to mere transactions and numbers. Entrepreneurship has also been reduced to simple operations like food service which may create jobs but takes society back to unskilled, low paying dead end positions.

In Valparaiso, the Costas administration has created a long term vision and plan for the city that goes much farther than just bringing in businesses. By securing liquor licenses for the downtown and adding stipulations, the administration has created an incentive for good entrepreneurship but also ‘navigated’ the boat in the sea of capitalism. Securing low interest rate loans for businesses so they can finance new facades has done wonders for the aesthetic beauty of Lincolnway Ave. Moving the YMCA to the North Calumet creates a development ‘anchor’ which allows for business to congregate around the facility. This well planned development also enhances the value of Valparaiso University. When prospective students tour the city, they see much more than the urban decay that existed just five years ago. There have been accusations that the Costas administration has done nothing but ‘exploit’ the city to benefit wealthy land/business owners. It is paradoxical that those in favor of capitalism quickly back peddle when the first shovel started to change Valpo. Has Valparaiso become a better place to life? Have the changes recently made created a better sense of community? Has the development drawn in more business? Is the city much better off in the long term? The answer to all of these questions is ‘yes’. There’s a reason Valparaiso was chosen as ‘city of the year’ by the Indiana Chamber.


Conclusion

Government and business are inseparable. Both communism and free market capitalism are ideologies based on theory which assume specific behavior of humans. The reality is that both the public and private sector have specific roles in society and we must keep those in balance. Obviously, as of late, the federal government is making a power move to force ‘one size fits all’ polices on Americans. Their power should be extremely limited because the needs of each community are not the same. Having a bigger local government is more beneficial because those individuals are able to see problems at the ground level. With that, they are able to implement policies that have a much greater impact on the day to day lives.

My question to liberty minded folks in Porter County (specifically Valparaiso). What are your goals and objectives for the community? The growth rate for any society is (almost) always positive. How do you plan to create jobs today for those who enter the workforce tomorrow as we are constantly threatened by overseas competition (remember, protectionism is anti-capitalist!). All I hear is how the Costas administration is evil, pro business and progressive. If you’re against the things happening in Valparaiso, propose alternative solutions.

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