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The Era of Big Government

26 Sep 2007 10:24 am

Bill Clinton, at the opening ceremony for his meeting, defined the purpose of the Clinton global initiative as to tackle problems that "government won't solve, or that government alone can't solve." A worthy purpose, indeed, for a charity. And I really think there are things that fit that category. Direct government sponsorship of the arts, for example, is a great way to preserve classic works and make them available to a broad audience. But if you want to encourage new, innovative works of art it makes much more sense to rely on a vigorous philanthropic sector that won't face political pressure to avoid anything that offends the sensibilities of anyone.

That, though, isn't what this event is about. Instead, it's really about political issues: education, poverty alleviation, global public health, and climate change.

In those fields, it really seems to me that Bill Clinton could do much more good using his charisma and standing to try to convince rich guys and executives at big companies to take a more enlightened attitude toward the political process, to return to the sort of public-spirited involvement in public affairs that characterized the business class in the 1950s and 60s. Realistically, you can't resolve climate change if the United States of America is in the grips of a fanatic ideological aversion to taxes and regulation, an ideological aversion that American business has spent -- and continues to spend -- tons of money propagating and re-enforcing. Similarly, you could do a ton of poverty alleviation if you worked through the political process to reorient America's global engagement away from such a lopsided reliance on the military. But somebody other than defense contractors and Israeli nationalists would need to invest serious money in foreign policy ideas.

Meanwhile, Hillary Clinton doesn't seem to have made much of a priority out of climate change or global poverty issues relative to some of the other candidates in the race. She's also the front-runner for the Democratic nomination in what looks to be a very pro-Democrat election cycle. Maybe he should talk to his wife?

Meanwhile, griping aside Clinton still has that weird charisma whereby he can make a somewhat rambling disquisition on the technical hurdles in establishing commercially viable solar power initiatives seem very compelling.

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Comments (22)

it seems to me that the idea that bill clinton has sufficient charisma to cause a quasi-capitalist system to overcome its bias against taking social costs into consideration is quite unrealistic.

it's not only the people at the top, matthew, it's the systemic incentives, as you seem to understand most of the time....

"It really seems to me that Bill Clinton could do much more good using his charisma and standing to try to convince rich guys and executives at big companies to take a more enlightened attitude toward the political process, to return to the sort of public-spirited involvement in public affairs that characterized the business class in the 1950s and 60s."

I suspect he thinks that's what he's doing, and that to achieve the goal, indirection by philanthropy is the best course. He's a (tiny) incrementalist.

I just shake my head at stuff like this. Poverty, malarial prevention, education, AIDS prevention - these are issues (if not *the* issues) government should be taking on.

When you get a bunch of rich benefactors like Bill Gates and Warren Buffet to throw money at these problems, you let government off the hook and reinforce the notion that these are things that government ought not to be involved in, thereby further discrediting the basic premise of government.

Did anyone see him on Jon Stewart the other day. He basically endorsed publicly financed elections in a backhanded way. It sucks that politicians can't just say what they think and instead have to talk in some weird code.

When you get a bunch of rich benefactors like Bill Gates and Warren Buffet to throw money at these problems, you let government off the hook and reinforce the notion that these are things that government ought not to be involved in, thereby further discrediting the basic premise of government. -McKingford

QFT

I have serious doubts that an NGO can do anything a government truly can't do. They can do things corrupt governments refuse to do, but they will never have the resources or power that a government has.

cf. Jay Inslee:

"... volunteerism is great for PTA bake sales, but they will not reorder the economic system of the world, and move to a clean energy technology"

http://thinkprogress.org/2007/09/25/inslee-global-warming/

...to return to the sort of public-spirited involvement in public affairs that characterized the business class in the 1950s and 60s.

If Rick Perlstein captured the zeitgeist of the business class of that era accurately in the opening chapters of Before the Storm: Barry Goldwater and the Unmaking of the American Consensus, I for one most definitely do not want to return there....

Of course, the current % of GDP devoted to government spending isn't all that different than was the case in the halcyon days of the 50s and 60s, and anybody who thinks the ferocious opponents to government regulation have prevailed over the past seven years has never looked at the Federal Register. I suspect that what Matthew really dislikes most is what projects tax revenues are devoted to, and what purposes Federal regulatory schemes are devoted to.

This view is common to the naive statist. They believe that if only the right people were in charge, inevitable, pervasive phenomena like regulatory capture and government spending purely for the purpose of vote-purchasing of energetic minorities could be limited. Well, I'd like to have Stephan Marbury's job and contract, but I don't think that is going to happen, either, and imagining a golden past, or a present which doesn't match reality, isn't going to make it happen.

Meanwhile, those that think that reducing carbon emmissions are truly as critical as their rhetoric suggests would do well by forming a coalition with those of us who favor that our tax structure be far more oriented to consumption taxes. Gore has been pretty good in this regard, and it makes me wish that he was running.

This reminds me that Marbury, like Clinton, seems to have a weirdly charming effect upon young women...

"When you get a bunch of rich benefactors like Bill Gates and Warren Buffet to throw money at these problems, you let government off the hook and reinforce the notion that these are things that government ought not to be involved in, thereby further discrediting the basic premise of government."

Is this the reason why liberals lag conservatives in charitable giving, according to most studies? You'd give more, but you're afraid to let government "off the hook"? I don't agree with all of, say, the Gates Foundation's initiatives, but the one advantage of that foundation and other charitable organizations run by businessmen and entrepreneurs is that they are results-oriented and demand a certain accountability from the recipients of their charity. In fact, "charity" implies a certain responsibility on the part of the recipient. Government aid doesn't.

Also, charitable givers often give more than just money. Consider, for example, the evangelical churches that have essentially adopted villages in Africa. They don't just send money, they send themselves; they see how they money is spent, what helps and what doesn't, etc. I'm willing to bet that on a dollar-for-dollar level, this charity is far more effective than any government aid. Last year, American individuals and corporations donated a record $295 billion to charity. If you don't think this enough, and you think charity is a high enough priority for us to finance with additional government debt, then perhaps propose some sort of matching fund for individual donations. I can't see how one program run by the government would be more effective than dozens of programs run by smart and dedicated social entrepreneurs though.

Will Allen makes a good point. But, of course, politics is all about putting the "right" people in charge of the government apparatus. That apparatus is not going away.

Still, there's a foolish knee-jerk pro-tax, pro-bigger-government reaction on the left. What we need is not bigger government, but different government. Most of our tax money goes to fund military and quasi-military government entities and much of that is funneled directly into the pockets of corporations. Most of our tax money goes to fund terrible things and things we don't like. And yet we aren't the anti tax party. Why should that be?

"Most of our tax money goes to fund military and quasi-military government entities and much of that is funneled directly into the pockets of corporations."

Have you ever taken a moment to do any research on the federal budget online? It doesn't take that long. If you did, you'd know how ill informed that sentence of yours is.

You are of course correct, Fred. Most of our tax money goes to supporting the lifestyle of our wealthiest (by median, not mean) age demographic, without regard to need, and a large chunk of that tax money comes from our most poor age demographic. Our federal government's principal activity is the operation of a gerontocracy, and a gerontocracy of the wealthiest, at that.

The primary reason for this is because non-poor old people are the most reliable voters, they are a large minority which is extremely well attuned to their interests, and they have an alliance with an even larger minority, baby boomers who aren't that many years away from a non-trivial inheritance. 21 years old, without much hope of earning a large income, and decades away from an inheritance, if any? Well, sorry pal, but this party ain't for you. Don't have the bad judgement to die in the next five decades, though, and don't worry, you'll get your turn, as long as you still aren't poor.

Ahh, democracy.

Matt's mistake here is that assuming that Bill and Hillary Clinton are liberals. They are not, and never have been (at least since they have been in politics). They are conservatives.

Once one understands this fundamental point, their nonsupport of governmental action to fight global warming makes perfect sense.

Hey Matt (et al.)

I would just say that, in every country other than America, this contention:

"if you want to encourage new, innovative works of art it makes much more sense to rely on a vigorous philanthropic sector that won't face political pressure to avoid anything that offends the sensibilities of anyone."

Turns out to be completely untrue. Denmark (whose homegrown playwriting scene is entirely the result of government intervention) and the UK are just two examples I can think of off the top of the ole head.

In fact, in the United States the above contention is routinely untrue as well. What happens here tends to be a pendulum swing where there are brief periods of government sponsorship for the arts leading a lot of new good work being created by new artists and then a big ole swing to the conservative side (the Red Scare and the NEA-4 being the biggest examples) that has a chilling effect for a long time.

I have several posts on these issues on my blog, but I'll just link briefly to this one:
http://parabasis.typepad.com/blog/2007/05/the_rug_removed.html

Which talks in depth about the Danish example.

Will, you don't have to "suspect" anything about matthew: he comes right out and says it. he would prefer a government less oriented towards the world's largest military machine and more oriented towards climate change and poverty alleviation.

he doesn't favor lower taxes and smaller government, and you haven't come up with some fantastic insight when you recognize that.

neither does he favor lower government spending as a percentage of gdp, so he's not looking at the "halcyon" days of the '50s and '60s in that light: what he's hoping for (to put it in concrete terms) is a return to rockefeller republicanism in the senior ranks of american business leaders (for which, as i noted above, there is zero incentive in today's climate).

as for fred's notion that there is this wonderful business-oriented "accountability" in foundation giving: bullshit. i do a lot of work on behalf of one of the 20 largest foundations in the country, and i have some reasonable insight as a result into the activities of many of the others, and the notion that foundation giving is some hotbed of "accoutability" is nonsenical. Foundation giving functions, by and large, as a kind of "block grant," and part of why the recipients like it is that that are relatively few strings attached.

now a grant may or may not be "renewed" for any number of reasons, including that it failed to produce anything approximating the anticipated results, but that's not this hard-charging "accountability" that Fred seems to have in mind.

Meanwhile, will and fred, whatever are you talking about in terms of gdp: of course miltary spending (and its associated costs, such as veteran's spending) is the biggest element of the US budget.

and of course the bulk of social security and medicare spending does not accrue to the "wealthy." noting that households headed by those 65 and over are the wealthiest age-based subset of american households doesn't mean that social security and medicare are going in some outsized way to wealthy households: do we really have to cite the lame notion that bill gates (who is, what, 50?) and 800,000 households headed by someone aged 50 with no assets still constitute a "wealthy" cohort of households?

howard, note the use of median wealth instead of mean. Matt specifically contrasted a supposedly superior era to the current one, and specifically noted that the current one as being characterized by a fanatical ideological aversion to taxes. Of course, given that the current level of taxation isn't much different than was the case 50 years ago, it's kind of silly to say that there is any important element of the electorate which is more possessed of a fanatical ideological aversion to taxes than was the case fifty years ago.

Most of the debate regarding taxation in this country is somewhat similar to battles within university faculty; the bitterness is extremely high because the stakes are so small. Yes, there are exceptions, but I really wish everybody who acted as if it was of monumental importance whether the top marginal income tax rate was at 33% instead of 39%, or vice versa, would put a sock in it. When I want to listen to trivial idiocies, that's why Olbermann and Limbaugh have jobs. That market is saturated already.

I don't think the era of big government is over, but we readers have been privileged to witness the end of an era. We should be grateful, history is not usually so generous. Someone has accused Bill Clinton of being insufficiently political.

Oddly the sky has not fallen (yet).

will, you might want to check in with the gop: as far as they are concerned, the world changed forever in 1981 in terms of taxes, and ideological purity to the cause of tax-cutting is now essential to advancement in that party. there are no green eyeshade republicans left.

but i'm pleased that you regard the distinction between a 33% and 39% top rate as de minimis: does this mean that we can count on your support?

Robert: very droll....

Yet, howard, after 25 years of Republican fervor for tax cutting, total levels of taxation are pretty much the same. Yawn.

I'm glad you are in agreement with me, which means you won't care enough about 33% or 39% to support one position over another.

Is this the reason why liberals lag conservatives in charitable giving, according to most studies?

No, it's because donations to churches are considered charitable giving without distinction. The new HDTVs in a brand-new suburban megachurch are lumped in with oral rehydration salts that prevent kids with no potable water from dying of diarrhea. I'm not defending liberal giving (the US spends more on pet shelters than shelters for abused women) but don't be so smug about conservative giving. Church is like a social club for many conservatives and building a better club is considerated charitable. Paying dues to play in softball league isn't charitable giving yet playing in a church softball league IS considered charitable giving. More conservatives go to church, that is the only thing show in the studies you are citing.


Comments closed October 10, 2007.

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