10/27/12

One Theory About Too Much Government

There have been many theories about too much government being the problem for American economic health. Sometimes that is so, sometimes it isn't. The neo-narco state of Mexico has too little governing law enforcement in some respects, while a Soviet style state of insider party apparatchicks can be too much obviously. It is not only the quantity of government that is an issue, it is also a matter of government quality and orientation.


Petro-state governments have a cadre of insiders with cynched earnings from oil sales. The width of the dispersion of wealth may be decisive on the economic opportunities of the masses.
Government jobs in a variety of forms may be broadly available to many purchasing in effect social compliance and legions of followers with no interest in getting their head from under the hood of the machine especially if the resources are high and population low, and especially if there are opportunities for global corporations to outsource much of the natural wealth as the locals have been paid off. The insiders need to limit competetive private sector developments to maintain their power structure and a happy camp develops including payments to educational facilities and revenue sharing to municipalities. That social structure is intolerant of actual competitive economic development.
Some may regard the development of oil and gas resources in the U.S.A. recently through fracking as a movement toward pertro-statehood and the alternative economic development retardation that follows. A nation of oil followers burning fossil fuels moving toward 500 p.p.m. of carbon dioxide in the atmosphere globally seems a phenomenal trend. Instead of intelligent political leadership the nation since Bill Clinton has moved toward corporate statehood-even the Premeir of Communicst China's family has taken billions of dollars in lifestyle enhancement evidently as the urge to surge toward resource consumption and pure material production without intelligent limits has corrupted many social ecosystems.
Too much government can occur without a petro-state though. Simply building up state unions and bureaucrats with too large of numbers can require that very little social changes besides enhancing union benefits occur. The primary goals for ad hoc bureaucratic socialism arr to redistribute wealth from the corporate world to government workers, dependents and contractor friends. Too much redistribution can be a daylight vampire predation upon the corpororate herd of course bring low economic growth and high unemployment as anemia is pervasive.
We know though that government is an ad hoc networking in several respects these days. Bill Clinton's termination of Glass-Steagle let the People's Liberation Army buy in to Fannie Mae and Freddie Mac so many Americans can pay rent to the Red Army for being such nice landlords indirectly. They were tolerant of all the mortgage defaults and have stayed with the Federal Government through these hard times.
Too large of corporate size in wealth and employees works against competition and free enterprise. Social organization from communist parties to corporations let social collectives become intimidatingly powerful over the rest of the unaffiliated citizenry. The solution isn't to end corporations and take away their status legally as individuals since some social corporate structures are necessary for larger and complex economic projects to exist. The right direction to take, and one that is unliked by government or corporate sectors would be too limit the size of any corporation to 3000 employees and the number of corporations that anyone could invest in to three. If large development structures are needed it would be possible for temporary corporate relationships to develop to produce faster than light widgets or whatever.
To restore competition and to prevent the large organizational inertia that resists economic changes because of vested interest and cynched lifestyle mass social organizations of a private nature in business should be limited in size. Government without being wrapped up in spirals of interaction with too large size businesses might be able to downsize itself and perhaps, one day become responsive to real environmental and demographic challenges the nation and world face while yet searching for general social justice and equal protection of the law. Petro-states tend to function like soft authoritarian states where the rule of law is second in value to keeping class interests dominant over the state.

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