31 July 2011

ECONOMIC MISMANAGEMENT

The ideology of the left recognizes little distinction between the state and society, and this view pervades the current administration. Decisions that properly belong in the private sector are being second-guessed or usurped by government officials. The most egregious case involves the NLRB (National Labor Relations Board) and the Boeing corporation. Boeing has substantial facilities in Washington state and recently expanded by creating a second production line in South Carolina for its 787 Dreamliner. You would think that expanding capital investment and jobs is a good thing for everyone, but not for administration bureaucrats.


The general counsel of the NLRB has issued a complaint against Boeing on behalf of the International Association of Machinists union, which if successful, would actual compel the company to move its South Carolina operation back to Washington State. The reason for this is that South Carolina is a non-union, right-to-work state, i.e. you aren’t forced to join a union to work. Never mind that, as it turns out, this expansion will also lead to an increase in jobs in Washington State as well. This is an outrageous and fundamental abuse of government power for which there is no possible justification. It is an entirely political move, which is not surprising, given that AFL-CIO President Richard Trumka boasted during a February news conference that he's "at the White House a couple times a week, two, three times a week." and that he has "conversations every day with someone at the White House or in the administration." It is just as bad when a crony-capitalist corporate executive has similar influence.

Politicians are inept enough at running the government, never mind trying to run the economy. This is the sort of state direction you would expect in Russia and China, where state-directed capitalism prevails, not the United States. But apart from the sheer stupidity of trying to manage business decisions, badly, either we are a free society or we aren’t. Either individuals and corporations are free to make decisions about their own affairs or they are not. It is not the business of the state to arbitrarily favor one group over another, or determine how they will conduct their affairs beyond established law and regulations. No wonder the economy continues to falter.

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