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From
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}}}>Begin
The DC Horror Show
by Llewellyn H. Rockwell, Jr.

Suddenly,
              after the attack, all of our wealth and all of our
freedoms are up for grabs, and not only by foreign terrorists, but by
our own government and its uncritical cheerleaders. Is there a limit
to
              how much liberty can be compromised in the name of
security? How
              much spending Congress should authorize? How much money
and credit
              the Federal Reserve should create? How much business
can be regulated?
Apparently
              not. But why not? A government unconstrained by law,
tradition,
              or public opinion is nothing short of despotic. Not
everything can
              be justified in the name of punishment, prevention, and safety:
              not conscription, not the elimination of privacy, not killing innocents,
              and not the use of nuclear weapons that necessarily violate the
              tenets of just war. Yet one US Senator, no less, has called for
              the death of innocents on grounds that terrorists don�t distinguish
              between military and civilian targets. In other words, we are being
              told to fight terrorism by becoming terrorists ourselves.
Robert
              Higgs, author of Crisis
              and Leviathan, has shown how government grows the most during
              times such as these. In a usual wartime situation, the government
              massively expands and then falls back only partially after it is
              over. This creates a ratchet effect that guarantees a relentless
              march of the state. Every new spending program creates a precedent
              said to apply in peace time. How often have we heard calls for a
              "Marshall Plan" to solve this or that social issue?
The
              present circumstances are even worse than wartime, where at least
              there is a starting point and an ending point (though Clinton�s
              wars have clouded even this). A war against terrorism, already begun
              in the 1980s and so far spectacularly unsuccessful, promises to
              be perpetual because of the endless number of conceivable threats.
              We�ll never know if we are winning or losing the war since something
              as monstrously huge as the recent attack could happen anytime.
It
              is proposed that we be on permanent war alert, which means that
              we must permanently trade our liberty for a promised (but undelivered) 
security. Bush�s requested $20 billion, make that $40 billion and
              rising, for antiterrorist measures is just the beginning.
The
              US already spends nearly $10 billion and employs nearly 1000 people
              to work on counterterrorism exclusively, and it has gained us nothing.
              Are we really supposed to believe that quadrupling this budget will
              somehow work to prevent future attacks? The money so far has done
              nothing but saddle the American people with more armed federal agents
              and invasions of privacy. It�s a sad commentary that many Americans,
              for now, say they are willing to shell out more in taxes and give
              up commercial freedoms. It is even sadder to note that the purchased
              security won�t actually be delivered.
So
              far we haven�t even been spared the commentator who pops his head
              up to observe, after a disaster, that at least the government-directed
              rebuilding effort will be good for the economy. One might think
              that the sheer scale of the losses would be too immense for that
              classic Keynesian fallacy. But no: writing
              in Slate Timothy Noah informs us that "we live in
              a very wealthy nation that responds to horrible disasters by spending
              large sums of money." This spending will, he predicts, "provide
              a meaningful Keynesian stimulus to a national economy."
Must
              we recount Frederic Bastiat�s parable of the broken window? The
              story goes that a boy throws a rock through a store window, and everyone 
is justly sad. Suddenly, Timothy Noah�s 19th-century equivalent shows up to say, hey, 
this is actually great! Now the
              glazer will be paid to fix it, and he in turn will buy a suit, and
              the process will multiply until everyone is actually made better
              off. What this forgets is the alternative uses of the resources
              that are spent in rebuilding: the unseen costs of property destruction.

And
              speaking of unseen costs, what about the alternative uses that might
              have been made of the $40 billion (for now) to be spent on 
counterterrorism
              that will go to hiring more government employees to boss everyone
              around? This kind of spending multiplies the damage already done
              by the terrorists, destroying more wealth and channeling more resources
              from social needs into political ones.
There
              have been many other equally absurd actions, all of which amount
              to compromising our personal and commercial liberty. The first impulse
              of the government in all times of crisis is control and coercion. So it 
was no surprise that all planes, private and commercial, were forcibly grounded, 
including those carrying overnight packages.
              But this action has already bankrupted Midway Airlines, and others
              will follow in the United States and Britain. If it gets worse,
              so will the pressure to subsidize them.
New
              regulations are being imposed that will dramatically increase the costs 
associated with air travel, some of them (like the elimination
              of curbside check-ins) making no sense whatsoever. The presumption
              is that the airline industry itself has no incentive in preventing
              hijacking. Well, perhaps if airline crews had not been barred (decades
              ago) from carrying weapons, this never would have happened. Perhaps
              if the airlines weren�t so busy obeying preposterous government
              demands (like asking every passenger if our bags have been with
              us the whole time) and otherwise doing things the federal way, they
              could have designed some serious anti-hijacking measures that didn�t
              also attack the paying customers. Leave it to the government to
              prohibit owners of airlines from defending their own property (and
              customers) when it is most necessary.
The
              coercion generated by the crisis first showed up in the harassment of 
gasoline retailers, who, trying to conserve resources in the
              face of a wildly gyrating spot-market price for gas, raised prices.
              To threaten them and investigate them gives us a clue into what
              government will do with its new powers: not go after difficult-to-find
              criminals, but the easy-to-find innocents who are just trying to
              make do.
Then
              there�s monetary policy, the means by which the government taxes
              when the legislative process seems too cumbersome. Thus the Federal
              Reserve injected $38 billion one day, another $70 billion the next,
              and established a $50 billion swap line with other central banks the 
next. Now that�s power. Not all of this new money will make
              its way into the economy; at least, that should be the hope. To
              destroy the purchasing power of the dollar in response to the destruction
              of the US financial district is a heck of "response" to
              terrorism.
As
              for the draft, someone please explain how conscripting America�s young 
men and women into the military � forcibly taking them
              away from their jobs and schools � is going to prevent more
              attacks like we saw September 11. It�s a power grab, of course.
              The government is using this occasion to do what it could only have
              dreamed of doing last week.
Civil
              liberties are already being curtailed. The government�s invasive 
"carnivore" software was already being shopped around
              the nation�s leading Internet Service Providers, to permit the feds
              to spy on all email. Until now, the ISPs had resisted. But in the
              aftermath of the new Bush "antiterrorism" act just passed
              by the Senate, they will not be allowed to say no.
As
              regards the mainstream print media, they are their usual selves:
              the Wall Street Journal and the New York Times are
              both whooping it up for bombing anything and everything, on the
              theory that yet another display of rampant imperialism will deter
              future attacks and not actually have the reverse effect. By pursuing
              this course, we are made less secure, of course.
What,
              then, should the government do in this time of crisis? Less, not more. 
It was the US foreign policy of unyielding empire that incited these attacks in the 
first place. It�s hard to say when the turning
              point was. It might have been 1990, when the US gave tacit approval
              to Iraq to invade Kuwait and then bombed Iraq back into the stone
              age for doing so. It might have been the war on Serbia, or the bombs
              in Sudan, or the destruction of the Chinese embassy, or any number
              of other foreign adventures.
Most
              likely, the turning point was May 12, 1996, when Madeleine Albright,
              then US ambassador to the UN, explained to Lesley Stahl of CBS that
              500,000 dead Iraqi children, killed by US sanctions, was morally
              justified to get Saddam. "We think the price is worth it,"
              were her exact words, words that were mostly unreported here but
              which rang out throughout the Arab world. She was then made Secretary
              of State. That was five years ago. We continue to bomb Iraq, often
              on a daily basis, and the sanctions are still on. We should not
              do unto others what we do not want them to do unto us. There�s
              never a good time to give up liberty. But  when everyone else is
              calling for despotism to fight despotism, it�s the best time to
              stand up and say: We will not be moved. We need more, not less,
              liberty.
September
              15, 2001 Llewellyn
              H. Rockwell, Jr. [send
              him mail], is president of the Ludwig
              von Mises Institute in Auburn, Alabama.
Copyright
              � 2001 LewRockwell.com

End<{{{
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