More on ignorance

US News is a good source for the sort of ignorance that seems to be driving politics. Susan Milligan provides an example in It’s Business Execs—Not Obama—Who Don’t Get the Rules of Capitalism.

“We saw this with the arrogant Wall Street financiers who brought the national economy to the brink of collapse because they played a little too carelessly with their investments. What made it worse is that the cash in question was other people’s money—not just big investors, but people with 401Ks and smaller investments. Letting the banking industry and the financial sector fall apart would have been hard on those industries, but devastating for people who had nothing to do with the bad decisions that got the sectors in such trouble to begin with.”

Note the use of words such as “arrogant” which are judgements rather than descriptions.

The fact is that those executives and financiers and many others are entrusted with handling other people’s money. As with any leader, they make convenient targets. For the Milligan crowd, they also serve as a source of envy due to their income. What Milligan doesn’t get, which the Teamsters appears to understand in the Hostess controversy, is that the amounts involved in executive compensation are small peanuts in the overall scheme of things.

“Obama isn’t socializing any part of the economy. But it appears a lot of executives actually want it that way.”

The socialism aspect is that of taking control of an enterprise away from the entrepreneurs and trying to take what they have earned to give it to some other class. Government is given the role of deciding who shall have control over money rather than an individual investor. The individual investor is allowed to bypass his responsibilities and risks in deciding what to do with his money. Socialism is second guessing the system to determine whose income is ‘fair’ and whose isn’t.

The sad part of such ignorance is that the outcomes have been rather clear whenever it is tried in governmental systems. Some people do not seem able to learn from history.

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