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6*20*2018 - Blind to Real Problems

Thursday, June 21, 2018 - 12:30pm
Walter E. Williams

        For several decades, a few black scholars have been suggesting that the vision held by many black Americans is entirely wrong. Dr. Shelby Steele, a scholar at Stanford University's Hoover Institution, said: "Instead of admitting that racism has declined, we (blacks) argue all the harder that it is still alive and more insidious than ever. We hold race up to shield us from what we do not want to see in ourselves."
        Dr. John McWhorter, professor of English and comparative literature at Columbia University, lamented that "victimology, separatism, and anti-intellectualism underlie the general black community's response to all race-related issues," adding that "these three thought patterns impede black advancement much more than racism; and dysfunctional inner cities, corporate glass ceilings, and black educational underachievement will persist until such thinking disappears."
        In the 1990s, Harvard professor Orlando Patterson wrote, "America, while still flawed in its race relations ... is now the least racist white-majority society in the world; has a better record of legal protection of minorities than any other society, white or black; (and) offers more opportunities to a greater number of black persons than any other society, including all those of Africa."
        During an interview in December with The Daily Caller, Steele said the anti-Americanism that started during the 1960s and has become mainstream and visible in the black community is "heartbreaking and sad." That anti-Americanism that so dominates the American black identity has been "ruinous to black America, where we are worse off than we were under segregation by almost every socio-economic measure."
        Some people might challenge Steele's assertion that in many measures blacks are worse off than during segregation. How about some numbers? As late as 1950, female-headed households were only 18 percent of the black population. Today 70 percent of black children are raised in single-parent households. In the late 1800s, there were only slight differences between the black family structure and those of other ethnic groups. In New York City in 1925, for example, 85 percent of kin-related black households were two-parent households. According to the 1938 Encyclopaedia of the Social Sciences, that year 11 percent of black children were born to unwed mothers. Today about 75 percent of black children are born to unwed mothers. From 1890 to 1940, a slightly higher percentage of black adults had married than white adults. Today about twice as many blacks have never married as whites. The bottom line is that the black family was stronger the first 100 years after slavery than during !
 what will be the second 100 years.
        What about the labor market? In every census from 1890 to 1954, blacks were either just as active as or more so than whites in the labor market. During that earlier period, black teen unemployment was roughly equal to or less than white teen unemployment. As early as 1900, the duration of black unemployment was 15 percent shorter than that of whites; today it's about 30 percent longer. Would anyone suggest that there was less racial discrimination during earlier periods?
        White liberals and the Democratic Party are the major beneficiaries of keeping black people fearful, angry, victimized and resentful. It's crucial to both their political success and their efforts to change our nation. Racial harmony would be a disaster for leftists, be they politicians, academic liberals or news media people. As for black politicians and civil rights hustlers, Booker T. Washington long ago explained their agenda, writing: "There is another class of coloured people who make a business of keeping the troubles, the wrongs, and the hardships of the Negro race before the public. Having learned that they are able to make a living out of their troubles, they have grown into the settled habit of advertising their wrongs -- partly because they want sympathy and partly because it pays. Some of these people do not want the Negro to lose his grievances, because they do not want to lose their jobs."
        Walter E. Williams is a professor of economics at George Mason University. To find out more about Walter E. Williams and read features by other Creators Syndicate writers and cartoonists, visit the Creators Syndicate webpage at www.creators.com.
COPYRIGHT 2018 CREATORS.COM

 

RELEASE: WEDNESDAY, JANUARY 15, 2014

Income Inequality

        Democrats plan to demagogue income inequality and the wealth gap for political gain in this year's elections. Most of what's said about income inequality is stupid or, at best, ill-informed. Much to their disgrace, economists focusing on measures of income inequality bring little light to the issue. Let's look at it.
        Income is a result of something. As such, results alone cannot establish whether there is fairness or justice. Take a simple example to make the point. Suppose Tom, Dick and Harry play a weekly game of poker. The result is: Tom wins 75 percent of the time. Dick and Harry, respectively, win 15 percent and 10 percent of the time. Knowing only the game's result permits us to say absolutely nothing as to whether there has been poker fairness or justice. Tom's disproportionate winnings are consistent with his being either an astute player or a clever cheater.
        To determine whether there has been poker justice, the game's process must be examined. Process questions we might ask are: Were Hoyle's rules obeyed; were the cards unmarked; were the cards dealt from the top of the deck; and did the players play voluntarily? If these questions yield affirmative answers, there was poker fairness and justice, regardless of the game's result, even with Tom's winning 75 percent of the time.
        Similarly, income is a result of something. In a free society, for the most part, income is a result of one's capacity to serve his fellow man and the value his fellow man places on that service. Say I mow your lawn and you pay me $50. That $50 might be seen as a certificate of performance. Why? It serves as evidence that I served my fellow man and enables me to make a claim on what he produces when I visit the grocer. Google founders Sergey Brin and Larry Page are multibillionaires. Just as in the case of my serving my fellow man by mowing his lawn, they served their fellow man. The difference is they served many more of their fellow men and did so far more effectively than I and hence have received many more "certificates of performance," which enables them to make greater claims on what their fellow man produces, such as big houses, cars and jets.
        Brin and Page and people like them created wealth by producing services that improve the lives of millions upon millions of people all around the globe. Should people who have improved our lives be held up to ridicule and scorn because they have higher income than most of us? Should Congress confiscate part of their wealth in the name of fairness and income redistribution?
        Except in many instances when government rigs the game with crony capitalism, income is mostly a result of one's productivity and the value that people place on that productivity. Far more important than income inequality is productivity inequality. That suggests that if there's anything to be done about income inequality, we should focus on how to give people greater capacity to serve their fellow man, namely raise their productivity.
        To accomplish that goal, let's look at a few things that we shouldn't do. Becoming a taxicab owner-operator lies within the grasp of many, but in New York City, one must be able to get a license (medallion), which costs $700,000. There are hundreds of examples of government restrictions that reduce opportunity. What about the grossly fraudulent education received by so many minority youngsters? And then we handicap them further with laws that mandate that businesses pay them wages that exceed their productivity, which denies them on-the-job training.
        Think back to my poker example. If one is concerned about the game's result, which is more just, taking some of Tom's winnings and redistributing them to Dick and Harry or teaching Dick and Harry how to play better? If left to politicians, they'd prefer redistribution. That way, they could get their hands on some of Tom's winnings. That's far more rewarding to them than raising Dick's and Harry's productivity.
        Walter E. Williams is a professor of economics at George Mason University. To find out more about Walter E. Williams and read features by other Creators Syndicate writers and cartoonists, visit the Creators Syndicate Web page at www.creators.com.
COPYRIGHT 2014 CREATORS.COM

 

 

RELEASE: WEDNESDAY, DECEMBER 25, 2013

Dumb Politicians Won't Get Elected

        Politicians can be progressives, liberals, conservatives, Democrats or Republicans, and right-wingers. They just can't be dumb. The American people will never elect them to office. Let's look at it.
        For years, I used to blame politicians for our economic and social mess. That changed during the 1980s as a result of several lunches with Sen. Jesse Helms, R-N.C., which produced an epiphany of sorts.
        At the time, I had written several columns highly critical of farm subsidies and handouts. Helms agreed, saying something should be done. Then he asked me whether I could tell him how he could vote against them and remain a senator from North Carolina. He said that if he voted against them, North Carolinians would vote him out of office and replace him with somebody probably worse. My epiphany came when I asked myself whether it was reasonable to expect a politician to commit what he considered to be political suicide -- in a word, be dumb.
        The Office of Management and Budget calculates that more than 40 percent of federal spending is for entitlements for the elderly in the forms of Social Security, Medicare, Medicaid, housing and other assistance programs. Total entitlement spending comes to about 62 percent of federal spending. The Congressional Budget Office estimates that entitlement spending will consume all federal tax revenue by 2048.
        Only a dumb politician would argue that something must be done immediately about the main components of entitlement spending: Social Security, Medicare and Medicaid. Senior citizens indignantly would tell him that what they're receiving are not entitlements. It's their money that Congress put aside for them. They would attack any politician who told them that the only way they get Social Security and Medicare money is through taxes levied on current workers. The smart politician would go along with these people's vision that Social Security and Medicare are their money that the government was holding for them. The dumb politician, who is truthful about Social Security and Medicare and their devastating impact on our nation's future, would be run out of office.
        Social Security and Medicare are by no means the only sources of unsustainable congressional spending. There are billions upon billions in handouts going to farmers, corporations, poor people and thousands of federal programs that have no constitutional basis whatsoever. But a smart politician reasons that if Congress enables one group of Americans to live at the expense of another American, then in fairness, what possible argument can be made for not giving that same right to other groups of Americans? Making a constitutional and moral argument against the growth of handouts would qualify as dumb.
        Let's examine some statements of past Americans whom we've mistakenly called great but would be deemed both heartless and dumb if they were around today. In 1794, James Madison, the father of our Constitution, irate over a $15,000 congressional appropriation to assist some French refugees, said, "I cannot undertake to lay my finger on that article of the Constitution which granted a right to Congress of expending, on objects of benevolence, the money of their constituents." He added, "Charity is no part of the legislative duty of the government."
        In 1854, President Franklin Pierce vetoed a bill intended to help the mentally ill, saying, "I cannot find any authority in the Constitution for public charity" ... and to approve such spending "would be contrary to the letter and the spirit of the Constitution and subversive to the whole theory upon which the Union of these States is founded."
        Grover Cleveland vetoed hundreds of congressional spending bills during his two terms as president in the late 1800s. His often stated veto message was, "I can find no warrant for such an appropriation in the Constitution."
        If these men were around today, making similar statements, Americans would hold them in contempt and disqualify them from office. That's a sad commentary on how we've trashed our Constitution.
        Walter E. Williams is a professor of economics at George Mason University. To find out more about Walter E. Williams and read features by other Creators Syndicate writers and cartoonists, visit the Creators Syndicate Web page at www.creators.com.
COPYRIGHT 2013 CREATORS.COM
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