Posted by Ilya Somin:
Public Opinion Still Skeptical About Big Government:
http://volokh.com/archives/archive_2009_01_25-2009_01_31.shtml#1232989092


   The combination of an economic crisis and unified government is almost
   always a bad time for limited government. Recent events have already
   demonstrated that in spades.

   However, there is a small ray of hope for free market advocates:
   public opinion data show that the majority of the public remain
   skeptical about big government. Question 19 on [1]this recent
   Washington Post/ABC News poll shows that 53% of the public prefer
   "smaller government with fewer services" to "larger government with
   more services" (supported by 43%). Note that this question wording is
   slightly biased against the small government side because it lists a
   negative consequence of smaller government (a reduction in services),
   while omitting any negative consequences of larger government (such as
   higher taxes or increases in the national debt). Other surveys show
   that the majority of the public was [2]opposed to the October bank
   bailout and also to the [3]auto bailout. On the negative side,[4]
   surveys show that a majority supports increased government spending to
   stimulate the economy, especially if the plan also includes tax cuts.

   Public skepticism probably won't stop Obama and Congress from enacting
   significant expansions of government over the coming months. However,
   it could help free market advocates limit the damage. By appealing to
   the public's still strong suspicion of government, they might be able
   to force Congress and the administration to expand government somewhat
   less than they would otherwise. They might also be able to persuade
   the Democrats to increase the proportion of tax cuts in the stimulus
   plan and reduce the role of spending - as[5] may already have happened
   to some extent.

   To avoid confusion, I should emphasize that I am not claiming that the
   fact that majority public opinion coincides with my views on some of
   these issues proves that I am right. I have often emphasized that
   public opinion about political issues is [6]heavily influenced by
   ignorance and irrationality. And that remains true even in cases where
   the public happens to agree with me.

References

   1. 
http://www.washingtonpost.com/wp-srv/politics/documents/postpoll_011709.html
   2. http://money.cnn.com/2008/10/21/news/economy/paulson_poll/index.htm
   3. 
http://voices.washingtonpost.com/behind-the-numbers/2008/12/poll_auto_bailout_wrong_way.html
   4. http://www.cnn.com/2009/POLITICS/01/17/poll.obama.stimulus/index.html
   5. http://www.nytimes.com/2009/01/05/us/politics/05spend.html
   6. http://papers.ssrn.com/sol3/papers.cfm?abstract_id=916963

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