Author Archive

Randy Barnett and the Health Care Overhaul

Cato senior fellow Randy Barnett is featured on the front page of today’s New York Times as the chief academic critic of the constitutionality of the 2010 health care law. He spoke at Cato on that topic last Friday; video here.

The article notes his longstanding interest in the Ninth Amendment, the subject of his book published by Cato and the George Mason University Press in 1989, The Rights Retained by the People: The History and Meaning of the Ninth Amendment.

Professor Barnett also cooperated with Cato on his most recent book, Restoring the Lost Constitution: The Presumption of Liberty.

Red Team, Blue Team, and Gas Prices

The Washington Post puts public opinion on gas prices in stark red and blue:

Pretty clear Red Team/Blue Team answers. Republicans in 2006 accepted that there wasn’t much the president could do to reduce gas prices, but most of them think Obama could. Democrats show an even sharper shift; they overwhelmingly said that Bush could bring prices down, but few expect Obama to do so. I hope the fact that both Independents and Americans as a whole are 12-13 points less likely to think that presidents set gas prices is a sign of improvement in general economic understanding.

Back around 2003 or 2004 a colleague was escorted through the hallways of CNN by a junior staffer or intern, who asked him, “Do you think Bush is raising gas prices now so he can lower them before the election?” With perceptions like that among budding journalists, is there any hope for better public understanding of economics?

For examples of informed and nonpartisan analysis of gas prices, check out

Why Is the Recovery Slow?

Here are some news stories you could find in Friday’s Wall Street Journal:

  • The Federal Reserve is holding an international conference of central bankers to reassure themselves that their “easy-money policies” are working and won’t cause too much inflation this time.
  • The IRS is ramping up audits of the most successful people in the economy. If you make more than $5 million in a year, you can pretty much expect a time-consuming audit.
  • Federal regulators are preparing a drive to tell workers at nonunionized businesses they have many of the same rights as union members, a move that could prompt more workers to complain to employers about grievances ranging from pay and work hours to job safety and management misconduct.”
  • The Department of Energy has placed nearly one-third of its clean-energy loan portfolio on an internal ‘watch list’ for possible violations of terms or other concerns, according to a copy of the list obtained by The Wall Street Journal, highlighting how such concerns have spread beyond the now-bankrupt Solyndra LLC.”
  • The European Union is beefing up its permanent bailout fund to keep failed businesses alive.
  • States are circling Amazon and other online retailers, about to pounce with new taxes.
  • The Labor Department has “stepped up pressure” on PulteGroup, demanding thousands of records on its contracts with employees and subcontractors.

That’s one day’s stories about new government assaults on wealth creation and new political transfers of wealth. And so maybe it’s no surprise that the paper also carries these stories:

Note that few if any of these stories made headlines, or even appeared in other newspapers. Many voters know about Obamacare, the massive 2009 stimulus bill, and Cash for Clunkers. Many fewer realize the tax tsunami planned for 9 months from now. Hardly anyone knows about the costs of stepped-up regulation and regulatory enforcement. But everyone wonders why the recovery is so slow and unemployment remains so high. Just read the papers — in detail.

How Washington Sees the World

A headline in Tuesday’s Washington Post — actually, it was a teaser on page B1 for a story inside — read:

Another hand on wallets

I figured it would be a story about the Maryland income tax increase, or the proposed Arlington County tax increase, or the coming federal tax tsunami.  But then I read the subhead:

If it’s Tuesday — or any day that ends with “Y” — it must be time for another move on the wallets of federal workers.

Ah, yes. In the world as seen by the Washington Post, the “hand in your wallet” is the taxpayers, trying to keep some of their hard-earned money. And then, when you read the story, titled “Another hand in federal workers’ pockets,” it says, “The latest attempt in a seemingly unending series of proposals to cut their pay or benefits is scheduled for a Senate vote Tuesday.” But it’s not a cut! It’s just a proposal to extend the alleged federal pay freeze. So not a cut in pay, just no increase.

And then, as so often happens in Washington, it turns out that even if this did save any money, the money wouldn’t go back to the taxpayers anyway:

In an amendment to the highway bill now being considered by the Senate, Sen. Pat Roberts (R-Kan.) wants money saved by extending the federal pay freeze to fund energy projects, an adoption tax credit, and tax deductions for college expenses and for state and local property taxes.

Oh, there go those mean ol’ Tea Party, tight-fisted Republicans again, trying to restrain federal workers’ already high pay in order to . . . um, fund their own favorite projects. Seems like the taxpayer has no dog in this fight.

Capitalism, Medical Progress, and the Tragic Death of John F. Kennedy’s Son Patrick

Many authors have noted how much progress the world has seen since the coming of liberalism, capitalism, and the industrial revolution about three centuries ago: Julian Simon, Matt Ridley, Indur Goklany — who reminds us that we’re living longer, healthier, more comfortable lives on a cleaner planet — even me. Bryan Caplan mused recently on George Vanderbilt’s magnificent house, Biltmore:

Despite his massive library, organ, and so on, I submit that any modern with a laptop and an internet connection has a vastly better book and music collection than he did.  For all his riches, he didn’t have air conditioning; he had to suffer through the North Carolina summers just like the poorest of us.  Vanderbilt did travel the world, but without the airplane, he had to do so at a snail’s pace.

Perhaps most shockingly, he suffered ”sudden death from complications following an appendectomy” at the age of 51.  (Here‘s the original NYT obituary).  Whatever your precise story about the cause of rising lifespans, it’s safe to say that George’s Bane wouldn’t be fatal today.

And now a story on NPR’s Morning Edition reminds me of the same point. Dr. Adam Wolfberg, a maternal-fetal specialist at Tufts Medical Center, discussed his new book, Fragile Beginnings: Discoveries and Triumphs in the Newborn ICU. One of the points he made (first lines only in the audio) reminded us of the tremendous progress in neonatal medicine in just 50 years:

President Kennedy’s baby Patrick was born prematurely with a problem breathing that today would be trivial — would be cared for with the assistance of medicines and equipment that are routine in any hospital in the United States and in most hospitals around the world.

The infant son of the president of the United States, a very wealthy man, could not be saved with 1963 medical technology. Yet today saving such a baby is routine. Thanks to the wealth and technology generated by free markets, It’s Getting Better All the Time.

Save the Cato Institute

No doubt you have read about the lawsuit that Charles and David Koch have filed to give themselves majority control of Cato’s long-dormant shareholder arrangement and therefore control over the Board of Directors, which has heretofore run the Institute for 35 years with no input from the shareholders. Already the Koch forces have managed to put 7 people on the Board.

For now, our friends should know this: We believe this effort is a direct threat to the independence, nonpartisanship, and libertarianism of the Cato Institute. Koch control would destroy 35 years of hard work by our Board, officers, staff, and donors to build the Cato Institute’s brand and reputation. We intend to fight it. And we intend to win and to preserve our independence.

To read more go to SaveCato. And “like” the Facebook page Save the Cato Institute.

There are many links at those sites. But you might be especially interested in Tuesday’s New York Times story. And Steve Chapman’s short item at the Chicago Tribune.

This misguided attempt at corporate control of an independent, nonpartisan think tank is bad for the Cato Institute and bad for the libertarian movement. We hope that everyone will come to see that, soon, before any more damage is done.

Endless Spending

Urging Congress to spend more money on infrastucture, Rep. John Sarbanes (Big Government-Maryland) says, ”You’ve got to kind of get past this mentality that you can’t spend any money at all.”

Right. Because it’s that kind of attitude that has given us a federal budget of $3.8 trillion, up more than 100 percent in a decade, and spending at permanently higher levels of GDP:

A Call to Arms: The War on Sugar

New York Times columnist Mark Bittman delivered this commentary on Marketplace Radio:

Mark Bittman: Florida state Sen. Rhonda Storms could never be thought of as progressive. But her bill puts her in the same camp as New York Mayor Michael Bloomberg, who suggested something along similar lines, only to have it batted down by federal ag officials, who described it as “too complex.”

Well, what’s not complex is our relationship with sugar. We eat too much of it: half a pound a day per person — and it makes us fat. The processed food industry says sugar is not to blame. A calorie is a calorie, they say. Limit your total calories — regardless of where they come from — and your health will be fine. That’s total nonsense. A calorie of refined sugar is far more likely to cause damage to your body than a calorie of, let’s say, fiber.

With sugar, we’re in a situation where a dangerous substance is perfectly legal and available everywhere. It’s sold without restriction to everyone, and it’s marketed, with billions of dollars, to children before they can even speak, let alone reason… What choice do we have but to regulate it, just as we would — and do — regulate tobacco and alcohol and, for that matter, firearms?

This is so obvious that Florida state senators not known as forward-thinkers can see it, though the Department of Agriculture evidently can’t. But this is precisely what government is for: to protect us from the things from which we cannot protect ourselves. Sugar is not exactly an invading army, but it can be thought of as a hostile force, and the processed food industry has succeeded in getting us to eat way more of it than is good for us. Will power alone isn’t enough to stop that: we need national defense.

Oh, my. First I note the reflexive use of the terms “progressive” and “forward-thinkers” to mean “believing that government should make your decisions for you.” I look forward to a day when it won’t be regarded as progressive to take autonomy away from adults.

Second, note the hysteria and militarism: “a dangerous substance is perfectly legal and available everywhere. It’s sold without restriction…. [like] firearms….Sugar is not exactly an invading army, but it can be thought of as a hostile force….we need national defense.”

Wow. Sugar . . . it’s “the moral equivalent of war.”

Stossel Thursday — New Time

I’ll be on the Stossel show this coming Thursday, along with nearly 1000 cheering Students for Liberty at their annual conference. Also taking questions from John Stossel and the students are Nick Gillespie of Reason, John Bolton (!), and Ken Klukowski of the Family Research Council (!!).

Beginning this week, Stossel can be seen at a new time, 9:00 p.m. ET. (Which means 8 pm CT, 7 pm MT, and 6 pm PT.)

Set your DVR for the Fox Business Network at 9 pm Thursday.

Why We Honor George Washington

Today is some vaguely named “Presidents’ Day,” but Wednesday is the anniversary of George Washington’s birth. So it’s a good day to remember the contribution he made to the American republic. I wrote this several years ago:

George Washington was the man who established the American republic. He led the revolutionary army against the British Empire, he served as the first president, and most importantly he stepped down from power.

John Trumbull, "General George Washington Resigning His Commission"

In an era of brilliant men, Washington was not the deepest thinker. He never wrote a book or even a long essay, unlike George Mason, Thomas Jefferson, James Madison, Alexander Hamilton, and John Adams. But Washington made the ideas of the American founding real. He incarnated liberal and republican ideas in his own person, and he gave them effect through the Revolution, the Constitution, his successful presidency, and his departure from office.

What’s so great about leaving office? Surely it matters more what a president does in office. But think about other great military commanders and revolutionary leaders before and after Washington—Caesar, Cromwell, Napoleon, Lenin. They all seized the power they had won and held it until death or military defeat.

John Adams said, “He was the best actor of presidency we have ever had.” Indeed, Washington was a person very conscious of his reputation, who worked all his life to develop his character and his image.

In our own time Joshua Micah Marshall writes of America’s first president, “It was all a put-on, an act.” Marshall missed the point. Washington understood that character is something you develop. He learned from Aristotle that good conduct arises from habits that in turn can only be acquired by repeated action and correction – “We are what we repeatedly do.” Indeed, the word “ethics” comes from the Greek word for “habit.” We say something is “second nature” because it’s not actually natural; it’s a habit we’ve developed. From reading the Greek philosophers and the Roman statesmen, Washington developed an understanding of character, in particular the character appropriate to a gentleman in a republic of free citizens.

What values did Washington’s character express? He was a farmer, a businessman, an enthusiast for commerce. As a man of the Enlightenment, he was deeply interested in scientific farming. His letters on running Mount Vernon are longer than letters on running the government. (Of course, in 1795 more people worked at Mount Vernon than in the entire executive branch of the federal government.)

He was also a liberal and tolerant man. In a famous letter to the Jewish congregation in Newport, Rhode Island, he hailed the “liberal policy” of the United States on religious freedom as worthy of emulation by other countries. He explained, “It is now no more that toleration is spoken of as if it were the indulgence of one class of people that another enjoyed the exercise of their inherent natural rights, for, happily, the Government of the United States, which gives to bigotry no sanction, to persecution no assistance, requires only that they who live under its protection should demean themselves as good citizens.”

And most notably, he held “republican” values – that is, he believed in a republic of free citizens, with a government based on consent and established to protect the rights of life, liberty, and property.

From his republican values Washington derived his abhorrence of kingship, even for himself. The writer Garry Wills called him “a virtuoso of resignations.” He gave up power not once but twice – at the end of the revolutionary war, when he resigned his military commission and returned to Mount Vernon, and again at the end of his second term as president, when he refused entreaties to seek a third term. In doing so, he set a standard for American presidents that lasted until the presidency of Franklin D. Roosevelt, whose taste for power was stronger than the 150 years of precedent set by Washington.

Give the last word to Washington’s great adversary, King George III. The king asked his American painter, Benjamin West, what Washington would do after winning independence. West replied, “They say he will return to his farm.”

“If he does that,” the incredulous monarch said, “he will be the greatest man in the world.”

Chavez Launches Smears against His Opponent

I write on the Huffington Post that Venezuelan strongman Hugo Chavez is reaching into the age-old bag of anti-liberal smears to savage his newly nominated political opponent:

All of these epithets — homosexual, Jewish, bourgeoisie, and more recently, “American” — have been staples of illiberal rhetoric for centuries. Liberals — advocates of democracy, free speech, religious freedom, and market freedoms — have been tarred as “cosmopolitan” and somehow alien to the people, the Volk, the faithful, the fatherland, the heartland.

Read it all.

Hating the Rich, and Other Curiosities

Readers of Cato-at-Liberty should also check out our latest blog, Free Thoughts on Libertarianism.org. Lots of interesting stuff there.  Like Aaron Powell on “Why We Get Mad at (some kinds of) Rich People.” And Jonathan Blanks on “Black History and Liberty.” And Jason Kuznicki on NPR and Ayn Rand. And Aaron’s profound disappointment with Sam Harris’s latest book.

Not to mention, of course, an ever-increasing amount of other great material on Libertarianism.org, including

  • George Smith’s essays on libertarian ideas
  • “Exploring Liberty,” a series of original videos introducing libertarianism
  • the complete text of the classic journal Literature of Liberty
  • vintage, never-before-seen videos from people like Hayek, Friedman, Rothbard, and most recently David Kelley from 1991 on the faultlines in the Objectivist movement
  • essays on major libertarian figures from Lord Acton to Mary Wollstonecraft
  • and more!