Smugglers As Heroes

Posted By Walter Williams On April 26, 2011 

Smugglers are heroes of sorts. The essence of what a smuggler offers is:
"Government tyrants want to either prevent or interfere with peaceable
voluntary exchange among individuals. I can reduce the impact of that
interference." Let's look at smuggling, keeping in mind that not everything
illegal is immoral and not everything legal is moral.

Leading up to our War of Independence, the British, under the Navigation
Acts, had levied taxes on a wide range of imports. One of those taxes was on
molasses imported from non-British islands. John Hancock, whose flamboyant
signature graces our Declaration of Independence, had a thriving business
smuggling an estimated 1.5 million gallons of molasses a year. His smuggling
practices financed much of the resistance to British authority. In fact, a
joke of the time was "Sam Adams writes the letters (to newspapers) and John
Hancock pays the postage."

Hancock's smuggling, as well as that of many others, made the people of our
nation better off by providing cheaper prices for molasses used for making
rum. British oppressors were worse off by having lower tax revenues.

In 1920, the 18th Amendment, prohibiting the production, distribution and
sale of alcoholic beverages in the United States, went into effect. It had
wide public support. In my opinion, no case can be made for stopping another
person from enjoying beer, wine and whiskey. That's oppression, but along
came heroes to the rescue. The ink hadn't dried on the 18th Amendment before
smugglers started smuggling beer and whiskey from Canada and Mexico. Ships
lined up along our shores, just beyond the three-mile limit, to off-load
whiskey onto speedboats. Smugglers and bootleggers spared millions of
Americans from do-gooder oppression. 

While the smuggler qua smuggler is my hero, several important negative
effects surround his activity. Smuggling is illegal. It becomes a
sometimes-nasty criminal enterprise because those who engage in it tend to
be people with an overall lower regard for the law. Since smuggling is
illegal, disputes must be settled with guns and violence instead of courts.

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Plus, police and other public officials are corrupted. Worse of all is the
reduced respect for laws by the public at large. After the 18th Amendment's
repeal, virtually all of the crime and corruption associated with
Prohibition disappeared.

Not many Americans are aware of today's big smuggling activity - cigarette
smuggling. Confiscatory taxes that are as high as $7 a pack, in New York
City, making one pack of cigarettes sell for $13, have encouraged a thriving
smuggling business across our country. Like Prohibition, confiscatory
tobacco taxes are popular with Americans.

A recent study by Michael LaFaive and Todd Nesbit of the Midland,
Michigan-based Mackinac Center for Public Policy titled "Cigarette Taxes and
Smuggling" shows that states with the highest cigarette smuggling rates are
those with the highest tobacco taxes such as Arizona (51.8 percent of the
state's total consumption are smuggled), New York (47.5 percent), Rhode
Island (40.5 percent), New Mexico (37.2 percent) and California (36.3
percent).

Cigarette smuggling, like yesteryear's whiskey smuggling, has become a
livelihood for criminals. The Bureau of Alcohol, Tobacco, Firearms and
Explosives has found that Russian, Armenian, Ukrainian, Chinese, Taiwanese
and Middle Eastern (mainly Pakistani, Lebanese and Syrian) organized crime
groups are highly involved in the trafficking of contraband and counterfeit
cigarettes. What's worse is that some of these groups use their earnings to
provide financial assistance to terrorist organizations such as Hezbollah
and Hamas. That means tax-hungry politicians and anti-tobacco zealots are
providing the means for aid to America's enemies.

The solution to cigarette smuggling, and the criminal activities associated
with it, is to eliminate the confiscatory taxes. Unfortunately for
tax-hungry politicians and anti-tobacco zealots, who see confiscatory taxes
as a tool in their moral crusade against tobacco, only benefits count. For
them, the costs of their agenda are irrelevant or secondary at best. And, as
novelist C.S. Lewis put it, "Of all tyrannies a tyranny sincerely exercised
for the good of its victims may be the most oppressive."

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Article printed from FrontPage Magazine: http://frontpagemag.com

URL to article: http://frontpagemag.com/2011/04/26/smugglers-as-heroes/

 



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