At Cafe Hayek, Russell Roberts writes:
As we prepare to partially nationalize the American automobile industry, it is a good time to remember that George Bush is not a free market ideologue and that he did not pursue free market policies. Please remember that in his last year in office he initiated and condoned measures that helped destroy the natural feedback loops that allow markets to recover from the inevitable mistakes that human beings make. And tell your children. I know. It seems obvious. But twenty and thirty years from now, there will be people writing about how George Bush’s free market ideology caused the mess we’re in.
And, over at Cato, Daniel Mitchel writes:
According to Politico.com, Vice President Dick Cheney lobbied Republican senators to support the bailout of auto companies, arguing that it would be “Herbert Hoover time” in the absence of government intervention.
Cheney is right, but for the wrong reasons. To the extent that it is “Herbert Hoover time,” it is because the current administration has repeated many of the mistakes that were made by President Hoover. There was a huge expansion in the burden of government spending under Hoover, up 47 percent in just four years. There’s been an equally huge increase in government spending under Bush. Hoover dramatically increased government intervention with everything from schemes to prop up wages to protectionism. Bush’s intervention takes a different form, with mistakes such as steel tariffs, Sarbanes-Oxley, and bailouts.
Hoover’s legacy is statism. Bush’s legacy is statism. The only unanswered question is whether Obama will be the new Roosevelt — i.e., someone who compounds the damage caused by his predecessor with further expansions in the burden of government.