Government Knows Best! (Starve On That, Dude)
@Instapundit linked to a Real Clear Politics Thomas Sowell article on Cass Sunstein and the notion that government knows best, and there was this shocking passage in it about protectionist policies:
Even in the United States, government policies in the 1930s led to crops being plowed under, thousands of little pigs being slaughtered and buried, and milk being poured down sewers, at a time when many Americans were suffering from hunger and diseases caused by malnutrition.The Great Depression of the 1930s, in which millions of people were plunged into poverty in even the most prosperous nations, was needlessly prolonged by government policies now recognized in retrospect as foolish and irresponsible.
From Living History Farm:
During the early years of the Depression, livestock prices dropped disastrously. Officials with the New Deal believed prices were down because farmers were still producing too many commodities like hogs and cotton. The solution proposed in the Agricultural Adjustment Act of 1933 was to reduce the supply.So, in the late spring of 1933, the federal government carried out "emergency livestock reductions." In Nebraska, the government bought about 470,000 cattle and 438,000 pigs. Nationwide, six million hogs were purchased from desperate farmers. In the South, one million farmers were paid to plow under 10.4 million acres of cotton.
The hogs and cattle were simply killed. In Nebraska, thousands were shot and buried in deep pits. Farmers hated to sell their herds, but they had no choice. The federal buy-out saved many farmers from bankruptcy, and AAA payments became the chief source of income for many that year.
Yes. My grandfather was a rancher, and was paid $5 per animal to slaughter his herd and let the carcasses rot in the field. People were hungry, but the federal agents stayed around to make sure no one made any use of the meat. The theory was that this would combat deflation.
Government policies were stupid, and in retrospect they deepened and prolonged the recession. These actions were based on the ivory-tower economic theories of the times.
In a few decades, it will be equally clear that today's borrow-and-spend policies caused and prolonged the current economic crisis. These actions are based on the ivory-tower Keynesian theories of the times.
You'd think it would be obvious by now that Keynesian economics doesn't work. However, our government is good at denying reality. What's the definition of insanity? Doing the same thing over and over again and expecting different results.
a_random_guy at March 3, 2013 11:55 AM
"You'd think it would be obvious by now that Keynesian economics doesn't work. However, our government is good at denying reality. "
In so many ways, I've heard several competing theories:
We just didn't tax and spend enough and need MUCH more of the same.
The Republicans or buisnesses resisted or sabotaged being spoil sports.
The economy is fine see look at the stock market.
And the scariest to me, what it will take at least 20 more years to undo what Bush did.
Joe J at March 3, 2013 1:23 PM
Joe J - Could you explain what you want to say in another way? No offense meant, English is probably not your first language. I'd hate to just assume that you are as stupid as what you wrote implies.
Dave B at March 3, 2013 1:55 PM
I think Joe J is simply listing four explanations he's heard for the current sorry state of affairs, and not advocating any of them. I've heard those same things and others as well.
Ken R at March 3, 2013 2:34 PM
A recent article from RT observed that some 7 million Americans 'disappeared' un-noticed from the census during the depression. This is contrasted to the millions who died of famine at the same time in the Ukraine... food for thought, no?
jefe at March 3, 2013 2:51 PM
A_random_guy: The people pushing such policies are not expecting different results. A hungry, desperate populous and more powerful centralized government is the same result because they want that thing. Perhaps it is a refinement that instead of plowing under the corn they require that we grow inedible ethanol corn for low-grade fuel, but the same result is expected. This hain't insanity, sir, it's evil.
Storm Saxon's Gall Bladder at March 3, 2013 3:33 PM
Anecdotal told to me by my mother years ago:
In the early 50's the government was going to drop the milk subsidies to dairy farmers significantly in the New York region. They showed up with a significant number of dairy farmers and milk trucks in tow to protest and spilled the milk in the street.
So once the subsidies are in place, it isn't just the evil government. It can be the sycophants that have been seduced by the 30 pieces of silver.
Jim P. at March 3, 2013 5:40 PM
This hain't insanity, sir, it's evil
Face it, you're only cannon fodder for the gov'mint. No more, and probably even less.
Stinky the Clown at March 3, 2013 6:33 PM
"The people pushing such policies are not expecting different results. A hungry, desperate populous and more powerful centralized government is the same result because they want that thing."
Indeed. Tyrants through the centuries have known that the quickest way to bring the citizenry to heel is to starve them.
Cousin Dave at March 4, 2013 6:07 AM
Yes Ken R that is what I meant. I thouht it was clear. Several competing theories Dems present as to why Keyensian didn't work or didn't work yet.
Joe J at March 4, 2013 6:51 AM
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