I was reading an article on Bleeding Heart libertarians
about Sufficientarian Liberalism
. The concept is that government should abolish
all barriers to market entry while simultaneously providing a safety net for
the poor. We would provide no subsidies, tariffs, state-educations and barrier
to immigration. The poor would be the only ones with wealth redistribution. The
author Fernando Teson points out the Doctrine of Right by Kant. Which states
that the state must be able to provide for those unable to provide for
themselves.
Through
more efficient run markets we would see a closer perfect competition be reached
over a period of time like we haven’t seen. This would reduce the waste the
government spent on subsidies, privileges and other inefficiencies. Big
government would be reduced to just programs that were in place to provide a
safety net for those unable to provide for themselves. With the decrease to
entry into a field the opportunity to create jobs could be enormous and not
restrict growth because Crony-Capitalist have congress providing a safety net
for their own private gain. With more opportunities and less spending through
this deregulation we would see a dramatic shift in improvement in welfare as
whole. The author does mention that this is a very open idea where the finer
details are yet to be established.
The thought
that deregulation of business and government aid to business could actually
improve welfare as a whole is a very interesting concept. Is it possible that
this could be a perfect median between Republicans and Liberals where socially
the needy are taken care of and the private sector is deregulated? Thoughts?
I think that it is impossible for governments to abolish all barriers to market entry for these few years or not provide subsidies, tariffs and barriers to immigration. The purposes of governments setting some rules for market entry are to prevent excessive competition of inefficient allocation of resources, ensure economies of scale, improve economic efficiency and so on. Without these rules, how government can achieve their goals. Especially when it comes to some important industries, like energy and food, governments should control more strictly. Although governments can save some spending from stop offering subsidies to business, they also will lose money from imposing tariffs. However, when governments take these measures, their purposes are not to save money or earn money. They want to improve the whole economy of their countries. Moreover, if governments implement deregulation of business, it will generate a lot of problems too. Thus, whether it can improve welfare as a whole is hard to say.
ReplyDeleteThis comment has been removed by the author.
ReplyDeleteI think what you said makes sense. That their would be more free market transactions, but what about how we have been talking about market failures. Do you then regulate for that or would you just let the market take care of those too, even if they are not effecient?
ReplyDelete