I have some respect for Ayn Rand when it comes to individual liberty and even economic freedom. I’m not a fan of socialism either, but this idea of Cowboy Capitalism, which how we would describe her brand of capitalism today, is exactly what we shouldn’t be doing today. We have more than ten years now of evidence to know that doesn’t work. Cowboy Capitalism, is where you don’t regulate the economy at all. You essentially let American enterprise govern themselves and when they screw up, tough for taxpayers. Because now they have to bail them out. Which is what TARP represented in 2008 and why Dodd-Frank was passed in 2010 to reform how Wall Street was regulated.
One problem with the Bush Administration from 2001-09 was that they didn’t bother to do much if any regulating of Wall Street. They didn’t enforce the current laws that were on the book and the Congress not only passed new laws to go along with the laws that were already there, but not being enforced. So now the Federal Government has to figure out how to enforce its old laws which may be old and outdated now, as well as the new laws from the Dodd-Frank legislation. You need to have a referee in the economy. Especially an economy as large as America’s, otherwise people are going to be abused and screwed over. Because people can get away with it and you’ll see monopoly’s forming. Because again they can get away with it. Not public monopoly’s, but private monopoly’s and I’m not in favor of either.
American capitalism, works best when the Federal Government is spending a set amount based on what they take in. And only doing what they do well and can only do well. And you have to lay these things out ahead of time instead of letting them pick and choose what they do. The Federal Government, needs to be regulated as well and also when their taxes that we pay are low, but high enough not to hurt the economy. But so they can do the things that they should be doing. Again that are decided ahead of time. One of the problems with the Federal Government right now, is that it doesn’t budget and borrows 40% of the revenue it spends and this gives them a lot of freedom to do a lot of things.
The Federal Government, used to operate under a budget and we need to get back to that. We need a lot of economic freedom again that’s low taxed. With a maximum amount of free, fair and open competition. With anti-monopoly laws that can be enforced and are enforced. Let business’s and individuals run their business’s as they see fit, as long as they are not abusing anyone with their freedom. Including their workforce, without them they would be out of business. What doesn’t work in America is Cowboy Capitalism as we are finding out the hard way and socialism. Which so far we’ve avoided going down that road and only have a safety net. What works in America is American capitalism as I just laid out and regulation as well as economic freedom have to be part of that.