Thursday - October 30, 2003

Category Image Medicare Blimps? Hayek is Proven Right Again.


Medicare has been spending $600,000 on a blimp to advertise a phone number. This is the sickness of socialist government programs. Not only is it absurd to advertise a number that is easily found in the phone book and a waste of money, but it is symptomatic of government agencies with a sick sense of their own importance.

Clearly a blimp is ridiculously over the line of what should be spent. But where is the line? Of course, as F. A. Hayek demonstrated in "The Road to Serfdom," that is the whole problem.

Some Medicare executive might think that putting an ad in the Yellow Pages might be acceptable. What does he care if he spends money on a blimp? It doesn't affect his bottom line. In fact, he might see it as increasing visibility to the government subsidies that he is authorized to dispense. Increased visibility might in his sick mind be the justification for this waste of our money, but I'll bet his real goal is to use that increased visibility to get more money for next year's budget. Advertising may convince some legislators to grow the Medicare program more and more.

Hayek's brilliant point was that whenever you have a program that forcibly takes money from people and redistributes it, you will end up with corruption, and eventually despots. Let's take welfare as a quick and easy example. Someone has to decide how much to take from the people, and someone has to decide who to redistribute it to. When a program is first implemented, it's entirely possible that the intent is honest and well intended (the realist in me knows better, but let's just pretend for now that politicians are capable of honesty), and that only the truly indigent are intended to be helped.

But here's the problem. What does indigent mean? Does it mean living on the street over a grate? Or does it mean only having two televisions? This has to be decided, and it also means that someone has to make that decision. And as Hayek showed, when someone has to make this decision, you tend to get people in charge who like to make that decision, and who like to use that decision to further their own aims.

It's been the same throughout time. The Romans had their "bread and circuses." Hayek, when he wrote this, had just escaped from the early years of Hitler's Naziism and had this example most clearly in mind. As both examples show, the larger the amount of people you give free things to, the more power you can attain.

What we're seeing in this particular example of blimpish excess, is a government agency being run by a political power seeker. Well, let's be honest. It is being run directly by a lackey, but there are real power seekers whose bidding he is doing. They are using funding that most Americans assume is being used to help people in order to increase their ability to take our money from us and grant it to those that they think will help them achieve power.

Make no mistake. This blimp may seem nothing more than a bit of excessive ego or maybe even just a silly expense, but it is a symptom of the brazeness of the socialist state that we have become. It is nearly impossible to end socialism once it starts because the people want their bread and circuses, and they will elect those that give it to them. Only one thing can help us, and that is if the courts rule that the federal government has no legal role to redistribute wealth, but that isn't about to happen. We're doomed for a long time to come to undergo growing socialism. Let's hope that someday it will be ended and we return to freedom before we end up under the boot of some despot.

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