John Steele Gordon, writing in
Commentary, about
problems facing the U.S. economy. Gordon quotes economist Peter Morici about what is wrong:
1) Poorly enforced trade agreements that allow China to manipulate its currency and export more goods to the United States, costing U.S. jobs.
2) Counterproductive energy policies that reduce domestic production, and therefore jobs, and cause more oil to be imported.
3) Burdensome regulations and taxation, such as restrictive licensing requirements and the highest corporate tax in the developed world.
4) Crony capitalism that reduces competition in the private sector in exchange for political contributions.
5) Disincentives to work, such as ever-expanding entitlements.
Gordon says there is good news, and bad news.
The good news is that, unlike the economic problems faced by many countries, all of these problems are amenable to reform.
The bad news is that reforming the status quo, which always has determined defenders, requires strong presidential leadership and a Congress capable of acting in the national interest, not just in its members’ interests. Right now, of course, we have neither.
