Cerberus: Exploitation of the Majority

Friday, July 27, 2007

Stephen

Exploitation of the Majority

I saw this article on the Mises Institute's blog:
Why Government Can't Make Decisions Rationally by Ben O'Neill

O'Neill does a great job of explaining why government decisions are always biased in the favor of small groups, particularly when it comes to cutting spending. Since every government action involves using tax revenues for things that benefits the population in non-uniform ways, every government action is really a redistribution of wealth. Since taxes are collected from almost everyone and most government programs primarily affect a much smaller group, the people on whom the program will have the greatest effect is that smaller group. As O'Neill points out, these people will be far more vocal about decisions concerning the program, and the government will give their views disproportionate consideration.

This mechanism explains the myriad of government programs that are of little advantage to most of the population. This is what is really going on with all the "special interests" that politicians always talk about. Since programs that take from the many and give to the few are allowed (even if forbidden by the Constitution), it is only rational for every small group to use their disproportionate influence to profit from the political system.

The proper functions of government such as national defense and police protection primarily benefit the entire populous. Even these cases, however, every change to expenditure or allocation will disproportionately affect some group(s), and they will be disproportionately vocal about these changes. Opening or closing a military base has a greater effect on the area immediately around the base than on the nation at large. When considering a proposal to decrease the size of a police force, the effect on the police officers will be given disproportionate weight over the issues of public safety and cost.

This over-representation of all small groups does have an advantage: it helps prevent the exploitation of minorities. The problem, of course, is that it has pulled us too far in the other direction, to the point that the majority is exploited though a plethora of government programs that redistribute wealth. The Constitution is supposed to protect us from both extremes, but the parts that limit the government are usually ignored. This is the logical outcome of allowing any latitude in the interpretation of the Constitution. The state makes decisions that increase the power and authority of the state. The three-branch system helps restrain this, but the President will nominate and the Senate will confirm judges who will deliver rulings that are advantageous to the Executive and Legislative branches. In-fighting slows the process down, but the direction of the drift remains the same, toward statism. The only way to stop or reverse this trend is for the population to use every election to insist that the Constitution be strictly upheld.

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