TGIF: Democracy as Religion

During a conversation with someone who loves representative democracy but hates America's current political situation, I pointed out a problem with his view. The current situation, I said, is a product of representative democracy. So you can't have the system without the lamented consequences.

Why is that? People like free benefits for themselves and society, and politicians prosper by promising and delivering apparently free benefits to enough voters. Individuals and interest groups see the government as a bazaar open for business 24/7.

The problem, of course, is that there are no free benefits. The government, which does not produce anything, can't give away anything it hasn't first taken from someone else. The system's inherent perverse incentives deliver big spending, high taxes, and growing budget deficits (when raising taxes is unfeasible) financed through massive borrowing. This process eventually leads to central-bank monetary inflation, rising prices, and shrinking purchasing power. The transfer of purchasing power from regular people to politicians is a form of taxation.

I proposed to my interlocutor that a better way to go would be to move the government's few legitimate functions to the free, competitive market, which aligns incentives more consistently with individual rights and general prosperity. The government's illegitimate functions should be abolished.

He mocked my position by holding his hand in the praying position and looking toward heaven as he said, "If only we all believe." I responded that it's no article of faith that freedom and free markets—classical liberalism—have eradicated most extreme poverty and created unmatched living standards worldwide. You can easily look up the graphs that show this astounding progress. The still-lagging areas lack freedom.

For roughly 200,000 years human beings lived short lives with virtually no material progress. Then a few hundred years ago things changed dramatically thanks to liberalism, the Enlightenment, and the Industrial Revolution. That was no coincidence, and understanding what economic historian Deirdre McCloskey calls the "Great Enrichment" requires no faith.

I could have said much more to my interlocutor, and I'll say it here.

First, classical liberalism, or what we moderns call libertarianism, is not mainly about believing; it's about respecting each individual's person, property, and liberty, and particularly about the government's respecting those things. It's also about understanding that freedom leads to social cooperation (the division of labor and trade), peace, and prosperity. Economic theory and history show it.

Second, it's democracy, not freedom, that requires faith in the absence of evidence. It's a religion that holds that If we believe hard enough, tens of millions of us going to the temple polls to vote will make the right decisions. No one explains why it should work out that way. And it doesn't. It's a faith in magic, and magic is not real.

There is a glitch in the democratic religion: most voters are ignorant. Poll after poll shows that most people know little about the government and the economic process, which the government regulates. They are not only ignorant of basic economic theory, which the evaluation of candidates requires; they are also ignorant of basic indisputable political facts, such as who their so-called representatives are, how they vote, which party controls the Senate and House, and how much the government spends and borrows. How can they vote wisely? (For more on voter ignorance, check out the many YouTube appearances of George Mason Law Professor Ilya Somin and his book Democracy and Political Ignorance: Why Smaller Government Is Smarter, 2d ed.)

People shouldn't be faulted for not knowing these things because they have an incentive not to spend time and money learning; their time and money could be better spent. Better spent than on becoming an educated voter? Yes. How so? Because anything else they did would have a better chance of making a difference.

Am I saying that voting does not make a difference? Yes. In almost any election, one vote contributes nothing to the outcome. Ilya Somin says that one vote for president, on average across the states, has one chance in 60 million of determining the outcome. The chance is larger in House, Senate, and other races but not enough to make make a difference. People vote for many reasons, but one reason not to vote is a determination to decide the result. Voters understand this. With no incentive to learn what's important, they vote for what makes them feel good and against what makes them feel bad. The result is the mess we're in today.

The political realm differs from the voluntary sector because politics separates choice from costs and benefits. In the voluntary sector, when you choose a dozen eggs, you get a dozen eggs: you pay the price, and you enjoy the benefits. Not so in politics. Choosing Candidate A  doesn't mean you get Candidate A; that depends on a lot of other people. And even if Candidate A wins, you will reap only a minuscule fraction of the benefits (if there are any) and pay only a minuscule fraction of the costs. The bulk of the costs and benefits will fall on everyone else. Under those circumstances, most voters will pay no price for voting according to their biases, so that's what they will do.

What hope is there if ignorant people choose the country's rulers? The informed among us might stop having rulers, but they won't let us opt out. Somin calls for shrinking and decentralizing power. Good idea. But how?

 

TGIF: Immigration and Liberty

Forbidding freedom of movement to aspiring migrants strikes at the liberty not only of those individuals but also of citizens and legal residents of the United States. That's the way it is with immigration. Indeed, that's the way it is with freedom. The government can't violate the freedom of some peaceful people without also violating the freedom of others.

Ilya Somin, who teaches law at George Mason University and is a constitutional scholar with the Cato Institute, makes this point in "Three Constitutional Issues Libertarians Should Make Their Own." (The other two issues his title refers to are zoning and racial profiling.) Somin also wrote the book Free to Move: Foot Voting, Migration, and Political Freedom.

"Immigration restrictions," he writes, "massively restrict liberty and degrade human welfare. By barring entry to hundreds of thousands of people who seek freedom and opportunity in the United States, the federal government massively restricts the liberty of would‐​be immigrants and American citizens alike."

The harm to aspiring migrants is obvious. People seeking to escape crushing poverty and/or oppression are denied the freedom to move to a safer and more productive place. They are condemned to deprivation, misery, and pain at the hands of the government and gangs. (The U.S. war on drug makers and merchants in Latin America is the big reason for this.) By what right are they condemned? "Legal" immigration is more of a theoretical fiction than a real thing. Somin writes:

In theory, they can join the “line” and wait to enter legally. But for most, that line is either decades‐​long or nonexistent. And for the most part, these exclusions are based on arbitrary circumstances of parentage and place of birth, of a kind libertarians and others in the liberal political tradition consistently reject in other contexts.

He goes on: "Less widely appreciated, even by many libertarians, is the massive negative effect of immigration restrictions on the liberty of current American citizens." We don't usually think of immigration this way. (Political philosopher Chandran Kukathas does.) But every person represents an American's opportunity for gains from trade, friendship, and more intimate relationships, all the things that promote flourishing. Immigration controls control Americans too. As Somin writes:

Immigration restrictions bar millions of Americans from engaging in economic and social transactions with potential immigrants. It closes off Americans from hiring immigrant workers, getting jobs at businesses founded by immigrants (who establish such enterprises at higher rates than native-born citizens), renting property to immigrants, and benefiting from scientific and economic innovations to which immigrants also contribute at higher rates than natives.

Those who lament the government-made mess at the border have never understood that constructive responses to the new potential employees, buyers, tenants, etc. would privately and spontaneously arise if border crossing was legal.

Somin adds that "No other current U.S. government policy restricts liberty more than immigration exclusion does—and that’s true even if we focus solely on the liberty of native‐​born citizens, especially economic freedoms."

The prevention of gains from trade has profound and negative consequences for the production of wealth. Somin: "Economists estimate that free migration throughout the world would double global domestic product. That’s an enormous chunk of lost wealth for immigrants and native‐​born citizens alike."

Think of the abundance of goods, the new things, and the low prices that we're all missing out on! (See Bryan Caplan's Open Borders for details.)

Somin also sees constitutional problems with the restrictions that he laments has been neglected by even most libertarian legal scholars (including himself), not to mention others, such as conservatives, who claim to be staunch constitutionalists. "It’s far from clear," he writes, "that the original meaning of the Constitution even gives the federal government a general power to restrict immigration in the first place."

Nothing in the text specifically grants Congress or the president such authority, and leading Founding Fathers—including James Madison—argued that no such power existed. It took more than a century for the Supreme Court to rule—in the 1889 Chinese Exclusion Case—that the federal government does in fact have this unenumerated power. And that decision is based on highly dubious reasoning and tinged with racism.

Somin does not foresee an imminent overturning of the ruling, but he would like to see assaults on "extensions of that ruling that have largely immunized immigration restrictions from constitutional constraints that apply to virtually every type of government policy." For example:

Immigration detention and deportation proceed with far weaker due process protections than other severe deprivations of liberty. Due process is so lacking in the system that Immigration and Customs Enforcement and other agencies have detained and sometimes even deported thousands of American citizens before they figured out their error. Such detention with little or no due process would not be tolerated elsewhere.

But do "illegal" immigrants have rights supposedly protected by the Constitution? Somin replies: "A few constitutional rights are explicitly confined to U.S. citizens. But the vast majority are phrased as general constraints on government power, and protect citizens and noncitizens alike." Thus, "[t]he exemption of immigration restrictions from many normal constitutional constraints on government power has no basis in the text or original meaning of the Constitution."

So he wants an end to the many double standards. That "would curtail many of the worst abuses of the current migration regime, and perhaps set the stage for further progress. Even incremental improvement could make the difference between freedom and oppression for many thousands of people."

Hear, hear!