Sunday, October 19, 2008

Those Who Forget History...

THIS is a long, yet worthy read on the history of regulation in regards to the economy.

Many people, especially liberal politicians, have blamed the disaster on the deregulation of the last 30 years. But they do so in order to avoid the blame’s falling where it should—squarely on their own shoulders. For the same politicians now loudly proclaiming that deregulation caused the problem are the ones who fought tooth and nail to prevent increased regulation of Fannie and Freddie—the source of so much political money, their mother’s milk.

In short, not all regulation is a good thing, and not all deregulation is bad. More often than not, government intervention is the cause of the problem, not the solution. Ronald Reagan said this in the 80's, and it remains just as true today.

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