Sound Off: What is Government's Role in an Economy?
It's been a main point of discussion locally and during the presidential campaign.
One of the main topics of discussion among voters—if not the main topic—for the last few years has been how to get the country's sluggish economy back on track.
If there was an easy answer, of course, it would have been done.
At the heart of this discussion is the role that government should play in creating jobs. One end of the spectrum is the belief is that government should do as little as possible and stay out of the way to let capitalism work. On the other end, is the belief that governmnent should manage as much of the economy as possible. Between these two views there is a lot of room.
This debate has been particularly timely in South Carolina in the last week or so. Last week, a company in Oconee County announced they would close a plant there and send 600 jobs to Costa Rica, paying employees a fraction of what they were paying them here. Gov. Nikki Haley told Patch she intervened but it was to no avail.
Earlier this week, Patch reported that a company moving to Greenville County would pay a flat fee for the next 20 years in lieu of income taxes. Being that taxes go up based on the amount of income earned, this would appear to be a great deal for Con-Pearl, the company involved. But is it fair? Politicians talk all the time about the government not picking winners and losers, but Con-Pearl's arrangement would appear to give it a significant leg up on its competition.
On Wednesday, Gov. Haley explained her philosophy on what the government should do in terms of boosting the economy through job creation.
What's your take?
Cookies Mom
10:54 am on Friday, September 21, 2012
I think for the most part that government should leave the free-market system alone. However, when a financial or natural catastrophe occur that threatens the stability of the system, then I think it is the duty of our government to intervene.
Shawn Drury
2:37 pm on Friday, September 21, 2012
Thanks CM. But that leaves me wondering, what's considered a financial catastrophe? Were you in favor of the stimulus packages from Pres. Bush and Obama? Most economic experts agree that the stimulus from the government prevented a second Great Depression, but there are a still an awful lot of people out of work. So, would you be in favor of another stimulus?
Richard Hayes
3:03 pm on Friday, September 21, 2012
Unfortunately the "free market system" depends heavily on government (local, state and federal) for infrastructure (bridges, roads, power, water, sewer) and for education - they want an educated work force. Businesses also expect amenities like parks, etc, also done by...government. So it is mandatory for government and business work together in bringing good jobs to the Lowcountry.
Roscoe Whipkey
4:47 pm on Friday, September 21, 2012
Why is that unfortunate?
Mimi
5:18 pm on Friday, September 21, 2012
Not according the MItt Robme they built that all by themselves. The free Market isn't free not for business and not for Americans. Bribing a buisness is the wrong attitude if people are paid a fair wage they spend money and create demand if Wall Street and the CEO's suck the life out of a business and demand more profits out of smoke then competition should be allowed to prevail. For instance why is it you can't buy Prescriptions from Canada or any other country that sells it for less??? Why is it that an Auto Insurance can't be bought from any state or health Insurance why is it necessary to prevent FREE market across state lines??? I for one feel that any business is only as sucessful as their employees. I also don't believe that wall street should be a concern to the tune that we have to rob from pete to pay paul just so the greed of wealth can continue to see a profit.
Roscoe Whipkey
7:28 pm on Friday, September 21, 2012
Excellent points, Mimi.
stanley seigler
7:49 pm on Friday, September 21, 2012
re One end v other end, takes
general:
a 'no reg' free market is peachy keen in theory. so is communism. neither work in practice.
proof: witness great 1929 depression; great 2008 recession; and great 1:99 divide for former...for latter the fall of USSR and deplorable conditions in cuba.
free markets or communism will work only when greed (free market) and will to power (communism) are removed from human nature...ie, nirvana and the second coming.
[all know a modified free market (socialism maybe) will work...communism will not]
in the mean time, a 'golden mean' is required...ieie, fair taxes, meaningful regs...effective programs promoting job creation, and the general welfare, and quality education for all...ieieio,
STOP the constant, ad nauseam, debate re 'no new taxes v no new program cuts...solution job #1 solution: make compromise JOB#1...not make BO a one 'termer' JOB #1.
[to be contd]
stanley seigler
7:54 pm on Friday, September 21, 2012
Contd: re One end v other end, takes
comment/opine re companies mentioned; one leaving (covidien), one arriving in SC...
tax structure should make it unprofitable to ship jobs outside continental USA and further exploited cheap labor in third world communities...e.g.,
a substantial tariff on products formerly manufactured in the USA.... which could be reduced if similar US wages paid workers provided jobs in countries to where operations were shifted...(details to be worked out)
for the company coming to SC, a 20 year tax break is corporate welfare...those (SC legs) negotiating this and boeing's welfare are comparable to 'kids playing stud' and/or perhaps they play a lot of golf with the corporate negotiators...ie,
they are inept losers...you dont have to give away the farm to get companies to locate in SC.
opine
DEMs favor the golden mean (balanced tax increase and spending cuts)...GOPs favor the greedy kockbros-etal...oh/and;
it really not about taxes or cuts...it's about effective government...efficient use of tax monies...
maizenbluedoc
8:36 pm on Friday, September 21, 2012
stanley seiger: you can display your assessment of the problem with few words-Democrats good, Republicans bad. It appears thaty most liberals live by that philosophy.
stanley seigler
10:35 am on Saturday, September 22, 2012
@maizenbluedoc '...few words-Democrats good, Republicans bad...'
it's about policies that work and those that dont...not about good v bad...to repeat my opine:
a 'no reg' free market is fine in theory. has not...will not...work in practice...proof: witness great 1929 depression; great 2008 recession; and great 1:99 divide...free markets will work only when greed and will to power are removed from human nature...
as you know there are many good GOPs and many bad DEMs...BO and MITT have said the other is a good man with whom they disagree...i like W and would enjoy a beer with him...
(BTW bet W and slick willie would enjoy a beer together...well not sure W drinks anymore)
it's really not personal as BO-haters have made it...making it personal detracts from an appreciation of the issues.