Bloglinks: On Robber Barons

In scrolling through the blogs I followed, I found two that both used the term robber barons to use different, but very good, points.

First, over at CATO, a post about the current "stimulus" bill makes an important distinction between political entrepreneurs and market entrepreneurs using a historical example and tying it to big business, in this case IBM, today:

Right away this separates two groups of entrepreneurs — those who sought subsidies and those who didn’t. Those who tried to succeed in steamboating primarily through federal aid, pools, vote buying, or stock speculation we will classify as political entrepreneurs. Those who tried to succeed in steamboating primarily by creating and marketing a superior product at a low cost we will classify as market entrepreneurs. No entrepreneur fits perfectly into one category or the other, but most fall generally into one category or the other.

Enter IBM chairman and CEO Sam Palmisano

Since November, Palmisano has been making a pitch to Obama’s transition team that investing $30 billion in expanding rural broadband access, computerizing health-care records and improving the electrical grid could create 949,000 U.S. jobs. [ The stimulus package] could also create billions in revenue for Big Blue, which specializes in the technology and services used for health-care IT and smart-grid infrastructure, not to mention its recent $9.6 million contract to provide broadband service in rural America.

What we see here is IBM as the political entrepreneur.

I think the distinction between political and market entrepreneurs is critical, as I am pro-business for market entrepreneurs but not pro-business when it comes to the lobby ridden political entrepreneurs.

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Next, David Theroux has a post with passages quoted from one of my few heroes, C.S. Lewis, who would prefer life under robbers barrons before allowing others to rule with our "best" interests in mind:

If we are to be mothered, mother must know best. . . . In every age the men who want us under their thumb, if they have any sense, will put forward the particular pretension which the hopes and fears of that age render most potent. They ‘cash in.’ It has been magic, it has been Christianity. Now it will certainly be science. . . . Let us not be deceived by phrases about ‘Man taking charge of his own destiny.’ All that can really happen is that some men will take charge of the destiny of others. . . . The more completely we are planned the more powerful they will be.
. . . .

Of all tyrannies, a tyranny exercised for the good of its victims may be the most oppressive. It may be better to live under robber barons than under omnipotent moral busybodies. The robber baron’s cruelty may sometimes sleep, his cupidity may at some point be satiated; but those who torment us for our own good will torment us without end for they do so with the approval of their own conscience. They may be more likely to go to Heaven yet at the same time likelier to make a Hell of earth. Their very kindness stings with intolerable insult. To be ‘cured’ against one’s will and cured of states which we may not regard as disease is to be put on a level of those who have not yet reached the age of reason or those who never will; to be classed with infants, imbeciles, and domestic animals.
—C. S. Lewis, God in the Dock

As the old saying goes, hell is paved with good intentions.