The welfare state

Already the free market economy reflects a compromise between pure capitalism and pure socialism, although the free market preserves the benefits of capitalism and permits only necessary legislation to moderate the economy. Governments limit pollution of the air and land and water. They make sure that the products sold to consumers are safe. They also regulate work areas for the safety of the workers. Governments even place limits upon who can work—setting minimum working ages to keep children out of the work force—and they limit the number of hours per week required of workers and demand rest times and meal times for workers.

A further compromise between pure capitalism and pure socialism is called the welfare state. Although some kinds of government welfare can be detected in ancient times—the Roman government subsidized bread and circuses for the people—the real welfare state began in the late nineteenth century as a result of the conflict between the ideas of capitalism and socialism. Otto von Bismarck introduced the welfare state to the newly-formed country of Germany in the 1880s. Fifty years later, Franklin Roosevelt introduced aspects of the welfare state to the United States as part of his New Deal, an attempt to overcome the troubles of the Great Depression.

Behind the welfare state lies the concept that all people have rights and that governments exist to protect those rights. In the original definition of human rights (life, liberty, property), the work of the government was largely negative. The government was not to deprive people of their rights without due process (a declaration of war or a criminal trial, for example). The government was to protect the rights of some citizens from enemies and criminals that would violate those rights. But, at first, no one said that the government should guarantee life by positive efforts to support the lives of all citizens.

People have basic needs. We need food and drink, clothing and shelter, and other physical supplies. When John Locke and Thomas Jefferson wrote about a right to life, they did not intend for the government to feed and clothe and house all citizens. People who work are given money, and they use that money to purchase what they need. People who do not work receive care from their families—children, the elderly, and the ill generally expect their families to feed and clothe and shelter them. Churches, community groups, and other charitable organizations care for those who are lacking the support of a family and those whose needs surpass the capacity of their family to meet. The government, therefore, had no role in supporting and protecting the poor beyond its essential task to keep enemies and criminals from taking advantage of those who were poor.

God gave his Law to his chosen people, the Israelites. He said that poverty would not exist if his Law was obeyed, but God acknowledged the reality of sin when he said, “You will always have the poor with you.” Jesus calls his people to be loving and generous, caring for those in need. If every Christian obeyed those commands to their fullest extent, poverty would not exist. Today’s Christians must confess that we have not perfectly followed the commands of Jesus. The poor, the needy, the homeless, and the oppressed among us reveal our shortcomings, our sins, our need for forgiveness. Christians are forgiven. Jesus paid the debt of all sinners in full on the cross. Being forgiven, Christians are being transformed into the image of Christ, doing what Jesus would do. Because the transformation is not complete, the poor and needy and homeless and oppressed are still among us.

Socialists point to the poor and oppressed and blame capitalism for their plight. Rather than acknowledging the sinful nature of all people, they focus their accusations upon the wealthy, the business owners, the people who benefit most from capitalism. Bismarck and Roosevelt did not want to renounce capitalism and endorse socialism. Instead, they used the authority of the government to require more help for the needy from those who could afford to offer help. Businesses are required to give their workers health insurance, disability insurance, and retirement plans. Under Social Security (part of the New Deal), workers are taxed to provide the government money; that money pays other people—chiefly the elderly and the disabled—not to work.

Does its defense of the right to life require the government to guarantee food, clothing, shelter, education, and health care to every citizen? This question defines the debate between conservatives and liberals in Europe, North America, and much of the rest of the world. The more services the government undertakes to feed the hungry, shelter the homeless, and provide medical care for the ill and injured, the more money it must collect from all its citizens. Government programs tend to be less efficient and more expensive than comparable programs under private ownership. Wealthy capitalists and their foundations often provide help for the poor that addresses their needs more specifically and more completely than government programs. On the other hand, when citizens begin trusting the government to solve the problems of the poor, those citizens often become detached from the problems of the poor, losing their compassion and their willingness to help their neighbors one person at a time.

Many Americans who say that they support socialism are actually longing for a more complete welfare state. They do not necessarily want their government to run all the factories, all the farms, all the hospitals and clinics, and all the means of production. They merely want a guarantee that all the hungry will be fed, all the homeless will be sheltered, and all the sick will receive the care they need. Calling for socialism, they blame the wealthy for creating and perpetuating the needs of their neighbors, and they accept no personal responsibility for causing or for solving those needs. The welfare state is not as bad an answer to human problems as is pure socialism; but it falls short of being the best answer available. J.

Ethics, government, and the economy

Should a human government follow the ethical principles described by Jesus in the Sermon on the Mount? The answer, in a word, is, no.

Jesus calls his followers to love their enemies, to turn the other cheek and to go the extra mile, to forgive those who sin against them and do good to those who persecute them. But the government is established by God to protect its citizens, to punish those who do wrong, to uphold the law. Instead of forgiving the sinner, the government must punish the wrongdoer, “eye for eye and tooth for tooth,” rendering justice on behalf of all its people.

During the Baroque Era (or Enlightenment), European philosophers described human rights and said that governments exist to protect those rights. John Locke wrote about rights to life, liberty, and property. (Thomas Jefferson, writing the Declaration of Independence, would fudge the third right to “pursuit of happiness.”) Governments protect the rights of their citizens—they take life only from enemies who attack the country or from the worst of criminals who threaten the lives of others. Governments protect the liberty of their citizens, only depriving criminals of freedom, and then only for a term that fits the crime. Governments protect the property of their citizens. They may claim some property as fines for misdemeanors, other property as fees for services, other property as taxes, and still other property to provide services such as roads. In general, though, governments take no more than they must take from their citizens. When they become overbearing, when they stop respecting the rights of their citizens, the citizens are entitled to change their government, to find new leaders who will respect and protect their rights.

Philosophers spoke of a social contract between citizens and their government. Citizens agree among themselves what they want the government to do, and they use their property and their energy to help the government accomplish these goals. If citizens want public schools, they agree to pay taxes to support those schools, and they agree to send their children to those schools. For protection from foreign enemies and domestic criminals, citizens are willing to limit some of their own freedoms and property. For other services from the government, some citizens are willing to accept further limits. Among any group of citizens, a range of opinions will be found: some want the government to do more, and they are willing to pay more for those government services; others want to cede less to the government, and in return they are happy to receive fewer government services.

To some Americans (including Franklin Roosevelt and Bill Clinton), some problems are so big that only the government can address them. To other Americans (including Ronald Reagan), the government is the biggest problem and life improves when government is reduced and limited. Pure capitalism demands that the government not involve itself in the economy—capitalists say laissez-faire, leave it alone. Even Adam Smith in Wealth of Nations acknowledged that some government regulation is necessary for the good of all citizens. Under socialism, the government controls more aspects of its citizens’ lives; in return, it demands more property and restricts more freedom of those citizens. In a free market economy, the government regulates what must be regulated but leaves more freedom and more property in the hands of its citizens.

The question remains: which economic system is better for all the citizens of a nation: socialism, or a free market economy? J.

Defeating terrorism

I intended to write a post about problems in Europe and about its changing relationship with the United States. That topic is so complicated, though, that I shall have to break it into several pieces. One of those pieces is terrorism, particularly as it relates to the Muslim world.

Many Muslims are fleeing war and poverty, seeking safety and a chance for a new life in Europe. Many more have died attempting to reach Europe. The crisis is a humanitarian problem not directly related to terrorism. On the other hand, many Europeans and North Americans have linked the problems of human migration and terrorism, using the religion of the migrants as a linking factor.

Muslim terrorist organizations claim that they are fighting in a war between Islam and western civilization. They view this violence as valid because they have been exposed to the decadence that freedom of expression has allowed in western nations. Fundamental Muslims are not so much opposed to Christianity or the Constitution of the United States as they are opposed to Jersey Shore and the Kardashian family. This decadence is what they believe they are attacking when they explode bombs and engage in acts of violence in public places.

Americans serve no good purpose when we agree that the war being fought is a war between Islam and western civilization. All we accomplish by agreeing with that idea is greater success for the recruiting efforts of terrorist groups. A far better approach is to label terrorism as the actions of a few deranged individuals, actions that are opposed to the principles of Islam as well as to the principles of western civilization. The more North American and European governments cooperate with North African and West Asian governments to battle terrorism, the better all these governments can persuade Muslim populations that western civilization is not at war with Islam; it is combating terrorism, which is the right thing to do.

Ironically, one method for governments to respond to terrorist threats is to reduce human rights—those very rights to which the terrorists object. To catch all the terrorists before they cause harm, governments must closely monitor communication, internet usage, and other aspects of our lives that are not generally the government’s business. European and North American governments have tried to find a balance between respecting personal rights and protecting citizens from harm. Most government decisions—and most government controversies—are a balancing act of this kind, trying to maintain two good things that contradict each other. The governments are probably doing as well as they can when some citizens are complaining that the governments are not doing enough while other complain that they are doing too much.

When President Franklin Roosevelt received letters from Jewish citizens of the United States asking why the U.S. was not doing more to end the Holocaust in German-held lands, Roosevelt said that we were doing everything we could to end the Holocaust. The only way to end it, Roosevelt said, was to win the war and defeat the German government. The same approach is needed today. Eliminating the conflicts that migrants currently flee would relieve a lot of pressure on European governments regarding those migrants. Seeing capable governments established in Libya, Iraq, and Syria would make it easier to eliminate cells and training institutions of terrorists in those countries. Overcoming the self-proclaimed Islamic State in Iraq and Syria while cracking down on other terrorist groups would make the world far safer. The United States cannot do this alone, or even with help only from our European allies. Winning the war against terror requires the help of governments in Turkey, Egypt, Saudi Arabia, Iran, Pakistan, and their smaller neighbors. Even Israel has a role to play and a strong motive to play that role.

We can and should expect leaders of governments throughout the world to communicate and cooperate in order to defeat terrorism. Complete victory will not happen in our lifetime, or probably any time before Judgment Day. Marginalizing terrorist groups and stifling their opportunities and motives to cause harm will bring improvement, though, and improvement is a worthy goal. J.

The social contract

All people have rights. When we all try to exercise our rights at the same time, we fall into conflict. Therefore, we make an unspoken agreement with one another. We surrender some of our rights to the government, and we give that government the power to protect our remaining rights. Which rights we surrender and which we maintain—that is the difficult question. Nations differ from one another in their answer to that question, and citizens within nations argue with each other about the answer to that question.

Like many ideas of western philosophy, the idea of the social contract has its roots in the writings of Plato and Aristotle. The idea first reached its full structure in the writings of Thomas Hobbes, John Locke, and Jean Jacques Rousseau. All three agreed that government is a necessary evil. All three wanted to see the size and the power of the government limited. Hobbes even compared human government to the Biblical monster, Leviathan, writing that it must be tamed as much as possible, because things would be worse without it.

All people have rights. Locke summarized these rights as life, liberty, and property; in the Declaration of Independence of the United States, Thomas Jefferson rephrased the third right as “the purfuit of happineff.” (All his Ss looked like Fs—Stan Freberg.) Governments exist to protect the rights of their citizens to life, liberty, and property; they do not exist to take these rights away. Locke, and later Jefferson, said that when a government fails in this basic duty, citizens have an additional right to take power from their government and give it to a new government. Locke saw that very event happen twice, first with the end of the Puritan Commonwealth and the restoration of the monarchy in 1660, and later with the Glorious Revolution bringing William and Mary to power in Great Britain in 1689. Jefferson was, of course, key in seeing the same thing happen in the British colonies on the Atlantic coast of North America.

All people have a right to life, but government can deprive a murderer of life, since that person has deprived someone else of life. All people have a right to liberty, but government can put a convicted criminal in prison to protect its other citizens. All people have a right to property, but the government can take property away from some people in the form of fines if they have broken certain laws. Citizens surrender to the government the power to seek, capture, convict, and punish criminals rather than having each citizen responsible for defending his or her life, liberty, and property all the time.

In additional ways, citizens surrender liberty and property to the government for the greater good. (In times of war, some citizens even risk their lives for the good of their country.) Many people want to travel between City A and City B. If each citizen made his or her own path between the two cities, many property rights would be threatened, and the environment in general would be harmed. With the agreement of the citizens, the government claims a strip of land between the cities, giving the owners of that property due value. The government then builds a road on that strip of land. The road belongs to the government, by agreement of all the citizens. Therefore the government can charge people money to use that road, whether through tolls or through gasoline taxes or through fees paid for vehicle licenses and drivers’ licenses. Because the government owns the road, and make and enforce rules about the road, such as speed limits, stop signs, and laws against littering. Citizens agree to use the road and to obey the rules. This is how the social contract works.

In every family, parents could teach their own children; or groups of families could band together to provide private schools for their children. However, the citizens living in a town or city have an interest in seeing that all the children are in school, both to keep them out of trouble and to prepare them for useful lives in the future. Generally in the United States public schools are funded largely by property taxes. Even households without children and families which homeschool or send their children to a private school pay for the public school, because it is in everyone’s best interests to send the neighbor’s children to school. This is how the social contract works.

Taxes are a visible result of the social contract, but most political controversies also concern the social contract. Governments decide how best to protect the lives and liberty and property of all citizens. Sometimes, however, the rights of two people conflict, and the government must decide which right to protect or how to compromise the conflicting rights. Does a child’s right to life deserve more protection than the right of the child’s mother to liberty and the pursuit of happiness? If so, when does that right to life begin—at conception, at birth, at some arbitrary time between conception and birth, or perhaps a certain number of years after birth? Americans disagree with one another about the answer to that question, as do the members of the American government. Because of the social contract, the government must provide and enforce some kind of answer.

In socialism, the government owns all businesses and industries and decides how much workers will be paid and how much products will cost. Socialist governments generally charge high taxes and then provide many services for free. These can include public transportation, education, medical care, and even housing. In capitalism, private citizens own business and industries. Those private citizens decide how much workers will be paid and how much products will cost. Taxes are lower, but people must pay for things that they need and want. Even in capitalism, though, a social contract exists. Citizens trust the government to inspect factories for the safety of the workers and the quality of the products (such as food and medicine) that are produced. Citizens trust the government to regulate industries to reduce pollution, noise, and other problems. Citizens trust the government to make laws about child labor, limits on how many hours of work a worker must perform each day and week, and even minimum wage rules. Some liberty is surrendered to the government for the good of workers and of customers. People debate the details of such regulations, some wanting more and others wanting less regulation, but very few people want absolutely no regulation of privately-owned businesses and industries.

Human life requires food and shelter. To protect the right to life, should a government guarantee that every citizen has access to food and to shelter? Locke and Jefferson would have said “no,” but today American government provides unemployment compensation, food stamps and other welfare programs, and low-rent government-owned housing. Citizens object to abuses of the welfare system, but few would say it ought to be abolished. Most Americans are willing to see some of their tax money spent to feed the hungry, shelter the homeless, and care for the poor people who are our neighbors.

Access to health care is also necessary for human life. Since the 1960s, American citizens have debated heatedly the question of government involvement in the nation’s healthcare system. Most Americans are opposed to socialized health care in which the government owns all the hospitals, medical clinics, pharmacies, and other health care institutions. In socialized healthcare the government pays the doctors, nurses, pharmacists, and other health care professionals. That same government sets rates for medical procedures, making the most essential procedures available for free to those who are poor. Most Americans prefer capitalism in health care. Most Americans do not want governments to own the entire system. Most Americans want doctors and other professionals to have freedom to do their jobs in the way they think is best. Most Americans want freedom to make their own choices among doctors, hospitals, and the like. Americans disagree with one another about how much the government can control the health system through regulation. The goal of government participation in health care is to protect the right to life of poorer citizens. However, the same government participation reduces the liberty of doctors and patients, and reduces the property of citizens who must pay taxes to support the system. Discussion of what compromises should be made among these conflicting rights is part of the social contract.

On another occasion, I will write more about taxation and the social contract. J.