All posts by Thomas L. Knapp

Who Does Protectionism Protect? Not You.

Millville, New Jersey - Textiles. Millville Manufacturing Co. (Woman pulling thread.) Public Domain.
Millville, New Jersey – Textiles. Millville Manufacturing Co. (Woman pulling thread.) Public Domain.

In August, Congress passed and president Joe Biden signed the CHIPS and Science Act, a $280 billion corporate welfare bill for US semiconductor manufacturers.

In October, the Biden administration added new restrictions on  semiconductor exports to China, banning not just sales of semiconductors, but of the tools to make them — including by and to companies located in neither the US nor China.

All of this activity is essentially an extension of Donald “Tariff Man” Trump’s trade war with China, waged for the purpose of “protecting” Big Business from foreign competition at the expense of American consumers.

That’s not how its promoters put it, of course. Advocates of “industrial policy” say they just want to bring manufacturing jobs back to the US, reduce American dependence on imports, and of course guard our “national security” from an ever-growing list of Enemies of the Week.

But the two ways of putting it amount to the same thing.

Contrary to what you may have heard from advocates of “industrial policy,” the US manufactures more stuff now than it ever has (apart from the same worldwide dip during the COVID-19 pandemic) — more than half again as much by value than it did 25 years ago.

Yes, there are fewer manufacturing JOBS … but that’s a good thing, not a bad thing.

The less labor required to manufacture a thing, the cheaper it is to make that thing and the more people can afford that thing. More efficient, less labor-intensive manufacturing leaves workers free to put their labor into areas where it offers a greater return — and with historically low unemployment levels, why shouldn’t they?

Instead of welding auto frames or making shoes, more Americans are providing healthcare, information technology services, and other things we need at least as much as cars and shoes.

As for dependence on imports, such dependence promotes peace and friendship between countries. People who need and value each other’s products and services don’t fight, they trade. The recent downturn in US-China military relations is not mere coincidence.

That’s not to say protectionism doesn’t have beneficiaries. It certainly does.

Protectionism’s beneficiaries are politically connected business interests who want to charge you $500 for a laptop computer and so ask the government to keep you from buying a competing Chinese model for $350. And, of course, the politicians who give those business cronies what they want.

American consumers don’t benefit. We pay. Every “new American job” created by protectionist policies costs means that every American consumer — including the workers in those  “new jobs” — pays more for the products or services involved.

Advocates of “industrial policy” want you to believe their ideas make you better off. Unless you’re a large stockholder in a  “protected” corporation, they’re lying to you.

Thomas L. Knapp (Twitter: @thomaslknapp) is director and senior news analyst at the William Lloyd Garrison Center for Libertarian Advocacy Journalism (thegarrisoncenter.org). He lives and works in north central Florida.

PUBLICATION/CITATION HISTORY

Election 2022: The More Things Change …

Photo by Dwight Burdette. Creative Commons Attribution 3.0 Unported license.
Photo by Dwight Burdette. Creative Commons Attribution 3.0 Unported license.

“Election Day” has become a fuzzy concept lately: Officially it falls on “the Tuesday next after the first Monday in the month of November,” but most states offer early voting in person or by mail these days.

Millions of Americans have already cast their votes — and the probability that we won’t know all the winners and losers on “Election Night” is somewhere in the neighborhood of 100%. The US Senate race in Georgia may well go to a runoff. Some congressional races may come out close enough to justify a recount, and in some other races prospective sore losers have already announced their intention to litigate any result they don’t like until the cows come home.

Also, even though I’m writing this on the Saturday before “Election Day,” there’s a good chance you won’t see it until Wednesday or later. So now feels like as good a time as any for the “morning after” column.

So, how was it for you? Are you basking in the afterglow of “your team’s” victories, or venting loudly about the unfairness of “your team’s” losses?

Are you convinced that, after all the months of constant foofooraw leading up to “Election Day,” anything substantial really changed between Monday and Wednesday?

It didn’t. We’ve still got the same problems we had before, and we’ve still got the same people (minus a few old faces and plus a few new) who will spend the next two years promising to solve those problems if we’ll all just VOTE HARDER … next time.

The same people who’ve spent the last two years telling us that this is THE MOST IMPORTANT ELECTION EVER said the same thing about the previous election and will say the same thing about the next election.

Those of us who believe that VOTING HARDER will solve our problems will find reasons why VOTING HARDER didn’t work this time.

Their team lost its Senate majority, or didn’t gain one.

The House changed majority parties, or didn’t.

The dog ate their ballots.

There was spit on that baseball or lead in that bat.

Whether we believe any of that or not, life will go on next week in much the same way it did last week.

Which, I guess, is better than the alternative.

I’ve worked full-time in politics for more than two decades and part-time for more than three.  I can summarize what I’ve learned in six words:

There’s nothing new under the sun.

The issues we tussle over may change in detail, but they don’t change in essence. VOTING HARDER answers the question “who do we let run our lives?” when we should instead be asking “why  let ANYONE run our lives?”

I follow (and occasionally practice) politics for the same reason a junkie seeks the next fix or a compulsive gambler places just one more bet, not because I expect VOTING HARDER to change my life for the better. It’s a nasty habit and I really should quit. But the dog ate my ballot.

What’s your excuse?

Thomas L. Knapp (Twitter: @thomaslknapp) is director and senior news analyst at the William Lloyd Garrison Center for Libertarian Advocacy Journalism (thegarrisoncenter.org). He lives and works in north central Florida.

PUBLICATION/CITATION HISTORY

 

The US “Intelligence Community” Can’t Be Trusted to Police Itself

Classified document on Resolute desk. Photo by Pete Souza. Public Domain.
Classified document on Resolute desk. Photo by Pete Souza. Public Domain.

An “experienced analyst” at the National Security Agency ran an illegal surveillance project that involved “unauthorized targeting and collection of private communications of people or organizations in the US.” The agency’s inspector general concluded that the analyst “acted with reckless disregard”  for “numerous rules and possibly the law.”

This happened ten years ago. The inspector general’s report was issued six years ago. But the public is just now learning about it, courtesy of Bloomberg. After some intrepid Freedom of Information Act work, we can now see a highly redacted version of the IG report.

The NSA’s investigation of the analyst began about a month before American hero Edward Snowden’s public disclosures of other illegal activities on the part of the  “intelligence community.”

Snowden’s reward for exposing crime in government? Involuntary exile to Russia under threat of life imprisonment.

Snowden’s comment on the report: “Defenders of broad surveillance authorities always insist that Americans don’t have to worry because our intelligence agencies are tightly constrained by law and policy …. But time and again we’ve seen that when laws are violated and powers are abused, no one is held legally accountable.”

New government offices/officials seldom solve anything, and usually make things worse. But something obviously needs to be done about the “intelligence community’s” lawlessness. How about a single replacement for multiple agency inspectors general?

Let’s call this proposal the “Intelligence Ombudsman Office.” It would presumably need to be created by Congress. They should get to work on that ASAP.

The IOO would replace all US intelligence agencies’ inspectors general and other internal enforcement mechanisms.

It would consist of a small board — with previous “intelligence community” affiliations an absolute disqualification for appointment — and a staff of reasonable size for the job.

The IOO would have complete authority to visit any “intelligence community” site, view any “intelligence community” generated document no matter its level of classification, interview any “intelligence community” employee under oath, and present allegations of “intelligence community” crimes to grand juries.

It would also run (hopefully very secure from “intelligence community” eavesdropping) tip lines via phone, Internet, snail mail, and in person, and it would be a felony to punish or retaliate against any “intelligence community” employee for using them.

The IOO wouldn’t solve the overall problem of America’s “national security” apparatus running amok. Supporters of freedom have been fighting a rearguard action against that apparatus’s encroachments since at least as far back as the 1940s. The only real solution is to disband the NSA, CIA, NRO, et al., and salt the earth where their headquarters once stood.

But if we can’t get rid of these rogue agencies, we should at least give an external board real power to police them.

Thomas L. Knapp (Twitter: @thomaslknapp) is director and senior news analyst at the William Lloyd Garrison Center for Libertarian Advocacy Journalism (thegarrisoncenter.org). He lives and works in north central Florida.

PUBLICATION/CITATION HISTORY