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John Petro

George Will: American Socialism Is Not New

On ABC's This Week With George Stephenopoulus, George Will had this to say about Sarah Palin's campaign trail attacks on Barack Obama's "socailist" economic policies:

"Ninety-five percent of what the government does is redistribute wealth. It operates on the principle of concentrated benefits and dispersed costs. Case in point: we have sugar subsidies. Costs the American people billions of dollars but they don't notice it it's in such small increments. But the few sugar growers get very rich out of this. Now we have socialism for the strong - that is the well-represented and organized in Washington like the sugar growers. But it's socialism none the less and it's not new."

I'm not sure if I would call sugar subsidies socialism (these subsidies have been decried by conservatives and libertarians), but it does represent the redistribution of wealth and it surely goes against free market principles. But where socialism seeks to create a more equal distribution of wealth, these subsidies concentrate wealth into the hands of a few Florida growers. Mr. Will's example does, however, exemplify why the American people are fleeing the Conservative mantra of "what's good for corporate America is good for the people" and the trickle down economics of tax cuts for the wealthy and lax regulation.

Americans are still waiting for the prosperity to trickle down. Or, rather, they've given up waiting. By examining the burnt out husk of our financial system it's become pretty apparent that corporate interests aren't just selfish interests, but they're also self-defeating. That is why there is a positive role for the state to play. In order to correct market failures, the government redistributes wealth in a way that is good for the collective whole, thereby making the country stronger.

Mr. Obama is seeking a more equal distribution of wealth. I think some conservatives need to stop and ask themselves why Mr. Obama - and based on the polls, a majority of the American people - think we need some sort of wealth redistribution. Instead of seeing it as "taking my money," they should realize that a more equitable America is a stronger America. America isn't strong when the personal savings rate is negative. America isn't strong when its people can't access health care. By changing the way our tax dollars flow, we can make America stronger.

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Posted at 8:55 AM, Oct 27, 2008 in Economy | Election 2008
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