Despite refutation after refutation of the idea that our current economic turmoil is due to “laissez-faire” and deregulation, conniving politicians and their allies continue to say that our troubles are rooted in the free market and require strong government medicine. That is to say, the complete politicization of society. This is like a bunch of con artists telling an elderly widow that they have noticed a structural flaw in her house that they can fix in return for a lot of money.
Since the falsehoods about the origins of this mess abound, it’s a good thing to keep trying to get the truth through to people, as Thomas Sowell does here.
Without government intervention in the housing market and cheap credit from the Fed, there would have been no bubble and no recession. Increasing federal power and spending is exactly the wrong thing to do. It’s as if a doctor said that bleeding was the proper treatment for a person weak from loss of blood.
