This Blog Has Moved!

My blog has moved. Check out my new blog at realfreemarket.org.



Your Ad Here

Tuesday, June 8, 2010

Bribing Joe Sestak

Pennsylvania senator Arlen Specter switched from being a Republican to a Democrat. He thought he'd have an easier chance of getting reelected if he switched parties.

Joe Sestak decided to run against Arlen Specter in the Democratic primary, and he won. During the campaign, Joe Sestak claimed that President Obama offered him a patronage job, if he dropped his primary campaign.

When campaigning, Joe Sestak raised the issue to attract votes. Now that he won the nomination, he's not pressing the accusation. Republicans are now pressing for an investigation. They aren't pressing too hard, because they do the exact same thing!

President Obama picked a lawyer to investigate the accusation. This lawyer concluded that nothing improper occurred. This is a big flaw in the State justice monopoly. When a State insider is accused of misconduct, the person conducting the investigation is another State insider.

Even Republicans don't want to press the issue too far. They don't want the slaves to start thinking too hard about State corruption.

Suppose that I am 100% owner of a business, and you are not a State insider. It isn't immoral for me to say "I'll offer you $200k/year if you quit your job and work for me!" Exchanging favors is immoral only when the State is involved.

If I say "I'll hire your brother-in-law for $200k if you give me a $5M State pork contract!", that's obviously immoral. The corrupt politician is spending the taxpayers' money and not his own personal money. This is the Principal-Agent problem.

The system by which politicians exchange favors is a type of counter-economy. There are no written contracts. These arrangements are illegal. Politicians exchange bribes and favors completely off-the-books.

President Obama didn't issue a press release saying "I hereby offer Joe Sestak a job if he abandons his primary campaign." It was an informal offer. By offering a patronage job, Obama is spending/wasting wealth he doesn't technically own. State insiders treat State property as if it were their personal property. They stole it fair and square, and now they may spend it as they please.

State corruption is fueled by taxation/theft/violence. The State taxation monopoly means that politicians control resources they don't own. This creates the opportunity for corruption and profit.

2 comments:

Anonymous said...

See

http://www.dailymail.co.uk/news/article-1285328/Miriam-Clegg-conflict-row-taking-job-Spanish-wind-farm-company.html

The UK Deputy Prime Minister's wife (a lawyer) is a joining a Spanish construction company, which has been awarded contracts in Britain, including a desalination plant.

Now should a young person decide to be an engineer or a lawyer when they grow up?

Anonymous said...

See

http://www.libdems.org.uk/latest_news_detail.aspx?title=Liberal_Democrats_launch_green_jobs_manifesto_pledge&pPK=907b390d-d73d-4e25-a62f-c85d9dfc1848

It seems the Liberal Democrats are in favour of wind farms according to their own website.

Now the LibDem leader's wife has got a job at a company involved in constructing wind farms.

This Blog Has Moved!

My blog has moved. Check out my new blog at realfreemarket.org.