Government -- measured by its real cost, share of the economy, and power over the citizenry -- has never been larger. The regulatory state thrives and its hidden costs grow apace. Why, why, why?
First, most Americans — individuals, families, and businesses — are locked into a cycle of dependency on government, which began in earnest in the 1930s. The government way of life has acquired powerful and vocal constituencies, which few politicians dare to offend.
Second, there’s a widespread but mistaken belief in the affordability of government. Thanks in large part to three eras of rapid technological progress (in the early 1800s, the late 1800s, and the late 1900s), real per capita GDP has grown more than 50-fold since 1790. Thus most Americans don't know (or don't care) how much better off they would be if, for example, Social Security were privatized or the mountain of economic regulations was reduced to a molehill.
Third, Americans have become worldlier and less wedded to traditional sources of moral authority, namely, family and church. The family has dwindled in size, split with greater frequency, and drifted apart geographically. The church -- with the notable exception of counter-cultural fundamentalism -- has become more secular and less prone to the teaching of behavioral absolutes. Family and church have been displaced, in large part, by an increasingly paternalistic government, one that compels charity through taxation, one that enforces "right" behavior (e.g., bestowing special treatment on "disadvantaged" classes of people, banning smoking in most public and many private places, dictating the design of automobiles in the name of safety and environmentalism), and one that fosters the redress of grievances through legislatures and courts rather than directly or the good offices of friends, family, and clergy.
Like teen-age cultists, most Americans have renounced their faith in voluntary (and relatively costless) institutions. They have instead become addicted to the adoration of the state, which compels obeisance and demands a high price for the privilege.
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