It seems that whenever there is a problem in the marketplace the first thing we do is we blame the entrepreneurs, businessmen, and industrial capitalists. Lately, we’ve even come to blame capitalism itself and the free markets, which it embodies it, this is a huge mistake.
You see, as soon as we do this there is an immediate call for more regulation and there is always a podium pushing politician willing to declare that they will fix the problem by increasing regulation, something that never works, but for some reason it always keeps the mindless masses restless and casting their votes for the politician who best plays the blame game.
We do not need more regulation. What we really need is more regulating of our regulators. Further, we need fewer regulators that have never been in business before or participated in free markets, and we need more regulators that have come from the private sector and understand how things actually work in the real world.
It is unfortunate but often true that the regulators think they are solving one problem when in reality they are creating two more; isn’t this nothing more than the law of unintended consequences, and if so how are we the voting public well served by all these shenanigans?
Even a Congressional hearing on regulations does nothing more than spook the market, cause the stock markets to go down, and create fear, unrest and a lack of confidence in the way we do things. All too often regulators will regulate based on what a politician tells them to do, or the way in which the media spins public perception.
In this case all we do is appease the population that probably doesn’t understand capitalism anyway. You see, only 10% of the people that live in our society own their own small businesses. And only about 1% of the people that live in our society are oriented by way of a managerial position or an executive of a company.
We need to draw upon this percentage, the 11%, of the people that understand this. And we need more regulation of the regulators who do not understand free-market capitalism. We must realize that every single turn to create more rules, which lead to more rules on top of that and so on, make us less viable economically. Eventually we have so many rules and regulations that no one knows for sure what they all are as they vary from industry to industry and they are enforced haphazardly or not at all, and then all of a sudden.
No company can plan for the future based on that, no company can estimate their future earnings that way, and their need to buy capital equipment or hire more people. If no company can plan ahead then no company can succeed to the best of their abilities to create a profit to expand their companies.
This is why our economy is hurting right now and until we fix this problem of regulating our regulators, we are not to be breaking any speed records as we climb out of this recession. Please consider this.