Post Opposes Blue Laws

I'm stunned. The Denver Post, which I've also heard called The Denver Pravda, has come out for repealing Colorado's ban on Sunday liquor sales.

We can buy liquor at bars on Sunday, but not at liquor stores, which are forced closed by law. Grocery stores can sell only "3.2" beer on any day of the week. How it was decided that beer purchased at grocery stores may can contain no more than 3.2 percent alcohol by mass, as opposed to, say, 3.1 percent or 3.3 percent, I'll leave the historians of political minutiae. There is one exception, as the Post points out: "Each grocery chain is allowed to sell full-strength beer and wine in only one of its stores in the state, according to Colorado law."

Regarding the Sunday ban, the Post argues:

...Colorado is among 16 states that still has blue laws prohibiting liquor sales on Sunday. ... It has remained the law largely due to efforts of liquor store owners... Their chief concern is that they'd have to pay to staff stores for an additional day but overall sales wouldn't increase. They argue the sales they get in six days would just end up being spread over seven.

If you follow that logic, then why shouldn't the government prohibit the sale of say, auto parts on Mondays so those businesses can save a day's worth of overhead? It's an argument that is at cross purposes with the basic tenets of capitalism.

The Denver Post endorses capitalism? Of course, the paper is rather selective about this. For example, the paper has endorsed a wide variety of tax hikes, subsidies, and economic controls. But for the paper even to mention the term "capitalism" in a positive light counts as progress, I suppose, however slight.

The Post rightly points out that the ban

is out of step with the lives of Coloradans. ... Sunday has become the second-busiest shopping day of the week, and many folks rely on that day to get their personal business done. It makes no sense in this day and age to shackle the consumer for the convenience of liquor store owners.

However, capitalism is not about making the laws "in step" with the majority of the populace at a given time. Capitalism is about protecting the rights of every individual, all the time. If even one person wants to buy liquor on Sunday, and if even one person wants to sell it, then the ban violates their rights and is for that reason immoral.

If the legislature considers repealing the ban on Sunday liquor sales, no doubt some will argue that the ban prevents some instances of irresponsible drinking on that day. But, if that argument were valid, it would also justify a ban for every other day of the week. The large majority of people who buy liquor do so responsibly, and they should not be punished for the vices of a few. Similarly, sales of books should never be banned or restricted, even if some buyers find in certain books inspiration to commit crimes. In all cases, the proper principle is to punish the criminals, not the innocent.

I hope the Post's editorial writers are careful. If they keep sticking up for people's rights, they may find that consistency guides them to overturn many of their past recommendations. But, then again, another fitting name for the paper is The Denver Pragmatist, or, "Principles, Schminciples."

Dr. Pritchett on Freedom

Inspired by the 50th anniversary of Atlas Shrugged, I decided to read the great novel again. I'm nearly a third of the way through. The novel is a magnificent accomplishment -- and it's as though I'm reading it for the first time. The first third focusses on the characters of Dagny Taggart, the great railroad executive; Hank Rearden, the steel producer; and Francisco d'Anconia, the copper owner who has apparently fallen to depravity. The dramatic tension, as when Dagny and Hank meet at a party or celebrate an accomplishment, is gripping.

I thought that I would include a few quotes on this web page. They're not necessarily the most central quotes; they're just what happen to grab me. Here's what Dr. Pritchett has to say about the Equalization of Opportunity Bill, which forces business owners to sell off all but one enterprise:

But I believe I made it clear that I am in favor of it, because I am in favor of a free economy. A free economy cannot exist without competition. Therefore, men must be forced to compete. Therefore, we must control men in order to force them to be free. (page 129)

Ridiculous? Nobody would ever actually say that? But my previous entry quotes just such a statement.

Government Financing is Not "Private"

Here is yet another example of how advocates of individual rights and free markets must fight both "liberals" and "conservatives."

Diane Carman writes for the October 16 Denver Post:

For conservatives, the belief that private industry does everything better and at less cost than the evil government is the sacred 11th commandment of politics.

And, the debacle with Blackwater USA notwithstanding, there's no question that some jobs are done best by private contractors.

On that everyone can agree.

Trouble is, a whole back-slapping system of financial rewards has evolved to corrupt the process. ...

Here in Colorado, private firms supply everything, even bus drivers and prisons. Former Gov. Bill Owens was a believer in the 11th commandment, so contracts for public services during his terms exploded.

One result was a $300 million computer system that never worked, Carman notes.

In Carman's world, then, you can either work directly for the government or indirectly for the government. If you work indirectly for the government, then that's "private" enterprise.

What's missing from this picture? Hmm... I know it's a toughie! How about the possibility of not working for the government at all?

Let's take the example of bus drivers. Is it true that bus drivers either have to work for the government directly or work for companies that contract with the government? Obviously not. The alternative is to get government out of the business of running busses and allow bussing companies to operate independently, with the ability to set their own rates and routes and compete on a free market.

Carman actually knows that it's possible not to work for the government -- after all, she works for The Denver Post -- yet she packages government contracting together with real free enterprise as "private." But a company that's paid by the government -- i.e., by tax dollars taken forcibly from citizens -- is not really "private" at all. A truly private enterprise earns its revenues from willing customers.

I'll take another example to drive home the point. Currently, book publishers decide which books to publish and then sell the books to readers who buy them. That's private enterprise. But what if the government published books? (In fact, the government publishes government reports already.) If the government pays a contractor to print and distribute books, is that "private" in the same sense? To take an extreme example, if the government taxed everyone at a rate of 100 percent, then hired contractors for every job, then, by Carman's reasoning, that would be an entirely "private" economy.

So it is rather important to maintain the distinction between a real free market -- actual private enterprise -- and government contracting, which relies on the forcible transfer of wealth.

Is there a legitimate role for government contracting? Yes -- but only for tasks essential for the government to fulfill its job of protecting individual rights (which need not involve coercive taxation). For example, the government may properly hire contractors to build military equipment. However, when it comes to prisons, I think employees should work directly for the government, not for contractors, because of the perverse incentives created by indirect financing.

Carman makes another crucial mistake. She presumes that one must hold one of two views: either the government should finance bus drivers and all sorts of other occupations, or the government is "evil." What this leaves out is the view that government plays a crucial and essential role in protecting individual rights, but that government should be restricted to that role. The fact that government is not evil does not imply that government should restrict, compete with, or push out (actually) private enterprise.

Unfortunately, Carman draws her errors directly from the conservative movement. Conservatives often fail to distinguish between the proper and essential role of government and the misuse of governmental power. Conservatives usually endorse the forcible transfer of wealth, though for "conservative" aims. Conservatives also pretend that government contracting means the same thing as "private" enterprise.

Here's a recent example. A Colorado Republican release from October 16 states:

Leadership and members of House and Senate Republican caucuses gathered on the west steps of the Capitol today to unveil a comprehensive education package...

Among the GOP proposals addressing those priorities: a uniform, statewide curriculum standard to graduate high school; a general proficiency exam before any student could graduate; a requirement to display English proficiency before a student could graduate, and a plan to reward and retain the best teachers through performance bonuses. ...

Assistant Senate Republican Leader Nancy Spence... the ranking GOP member of the Senate Education Committee, showcased two of her education-reform bills at the conference. One of the bills would offer parents tuition assistance for special-needs children, and the other offered performance incentives to teachers.

She said that students with special needs are particularly vulnerable when their educational options are limited and that their parents ought to be able to choose a program, private or public, that addresses the unique challenges their children face.

There's that word "private" again, this time used by Republicans to mean government-financed schools for "students with special needs."

But what does a real "private" or free-market school look like? It does not accept any tax dollars. It earns its revenues from willing customers. It sets rates of tuition, perhaps including sliding scales to accommodate the poor, in cooperation with its customers. It might accept charitable donations or even (actually) private vouchers, meaning vouchers funded voluntarily, rather than through tax dollars.

But, with a few rare and quiet exceptions, conservatives will not endorse free markets in education. Government-run education is conservative orthodoxy. True, some conservatives want the government to control education via tax-funded vouchers, and they pretend that this is the same thing as "private" education, but this is merely a minor variation on the theme of government force.

Indeed, Colorado Republicans have proudly assumed the role of central planners. They want to micromanage every government-run school in the state. And why do government-run schools require such micromanagement? Because of the perverse incentives created by tax financing. Government-run schools face little incentive to serve their "customers." These Republicans have no problem with government-run schools; they just want the government to run the schools their way.

Here is another example. This evening, the El Pomar Foundation is hosting a talk with Thomas Krannawitter of Hillsdale College. Here's what Krannawitter has to say about government-run education:

In Ohio, as in the rest of America, taxpayers for years have poured billions of dollars into failing public schools. Dissatisfied with dismal results, the citizens of Cleveland decided to try something different. Parents would be given a voucher -- tax dollars, that is -- they could use to send their children to any school of their choice, public or private. By making choice available to more parents, schools would compete to attract students, providing a powerful incentive for all schools to strive for educational excellence. ...

Contrary to the ACLU, the men who framed and ratified the Constitution and Bill of Rights rightly believed political freedom and good government require moral citizens capable of governing themselves. And they thought religion a powerful means of moral education that ought to be promoted by government.

Krannawitter confuses government-financed schools with "private" schools, thereby helping to obliterate the very idea of an actually "private," free-market school. He enthusiastically endorses tax-financed education. And he suggests that government should also spend tax dollars to promote religion.

The broader critique is that Krannawitter conflates religion and morality, when actually objective morality can only be derived independently of religion. Religion undermines morality. But that debate is too broad for this post. For now, I need merely point out that Krannawitter does not advocate the right to control one's own resources with respect to education or even religion; he believes the government should be in control.

The modern contest between "liberals" and "conservatives" is merely one to seize government control over our lives.

"An Extreme Free-Market View"

As I write, sunrise is a few short hours away. But, as I was checking the papers for the baseball updates, I came across Jason Salzman's latest column for the Rocky Mountain News. He writes:

In response to my last column documenting how Denver journalists love and embed the conservative/libertarian Independence Institute, some people asked whom I'd quote instead of institute President Jon Caldara. ...

For an extreme free-market view, there's Ari Armstrong (ariarmstrong.com) [hey, that's me!] and Brian T. [Schwartz] (wakalix.com), among others.

So, before heading to bed, I wanted to welcome Salzman's readers who may have wandered this way. Because extreme exhaustion in defense of liberty is no vice! (Or something like that.)

Unlike most politicians and commentators these days, I don't get ruffled when somebody suggests that I'm "extreme." If this strikes you as odd, allow me to ask you a few questions.

Do you want to be extremely happy, or just sort of happy? (I'm not talking about a superficial giddiness, but a deep enjoyment of life.)

Would you like to live in an extremely just society, or a society that's just only some of the time?

Should we strive to be extremely good, extremely virtuous, extremely moral, or just pretty good?

The alternative to extreme happiness, justice, and goodness is some amount of unhappiness, injustice, and destructive vice. (Please don't confuse "vice" with activities that can be healthy in the right context, such as moderate drinking.)

Imagine yourself in the mid-1800s. The abolitionists called for the abolition -- the complete abandonment -- of slavery. They took the extreme position that slavery is morally wrong and should be completely outlawed. The moderates, on the other hand, argued that slavery should merely be restricted. Would you have been on the side of the abolitionists or the moderates?

Just as I would have been proud to call myself an abolitionist in the mid-1800s, so I am proud to advocate an "extreme free-market view" today.

What is a free market? An individual market is any space or network in which people can exchange goods or services. E-bay is a market. The market in the broader sense is the sum of such networks and transactions. A free market is one in which people interact voluntarily, free from the initiation of force. For example, if you and I agree to swap an apple for an egg, that's a free-market transaction. If one party takes something by force, threat of force, or fraud, then the market is no longer free. Force has replaced voluntary association. Buying groceries is an example of a free-market trade. Robbing a grocery store is an example of force.

The proper and necessary function of government is to protect each individual's right to control his or her own life, resources, and property, as consistent with the equal protection of the rights of others. You have the right to control your property and trade the fruits of your labor with others, so long as you don't violate the property rights of others in the process.

An extremely free market is one in which people's rights are consistently protected. The alternative is a society in which some people exert force against others.

Obviously I've given only the briefest overview of the basic theory. But that should give you a basic sense of where I'm coming from.

Here are some examples, again in brief, of how my "extreme free-market view" plays out with respect to particular issues. People have the right to control their own resources, so politicians should not force them to fund the health care of others. Voluntary charity is fine, but forced wealth transfers are not. People have the right to control their own property, so they should be left free to set smoking policy there. Company owners have the right to run their businesses and offer goods and services to willing customers, so businesses should not have to seek permission from the FTC or other bureaucracy to merge or otherwise operate. People own their homes, so local governments should not be able to take those homes away by force.

I realize that many of you have been trained since you could walk to compromise for the sake of compromise, reject any position that dares invoke a principle (except the "principle" that "there are not principles"), and always seek the centrist position, regardless of who defines the boundaries.

"Compromise." Even if you're compromising the good for the sake of the bad, the just for the sake of injustice?

"Be reasonable." But how can you reason apart from principles?

"Why go to extremes?" Do you wish to be moderate in pursuit of justice? Sanction the violation of only some rights?

A consistently or "extremely" free market means that individuals' rights are consistently protected, that people are free to control their own resources and associate voluntarily. The alternative is that some people control others by force.

I've written quite a lot more about political issues for the Colorado Freedom Report. For more about compromise, please see Ayn Rand's essay, "Doesn't Life Require Compromise?" in The Virtue of Selfishness. See also Rand's Atlas Shrugged, which sees its fiftieth anniversary this month.