Elizabeth Warren Introduces Bill to Roll Back Economic Liberty
Many have heard the mantras of socialist activists and politicians over the course of the past two years. Socialists such as Bernie Sanders and Alexandria Ocasio-Cortez have declared war on the American value of liberty, trumpeting their intention to rob income-earners to pay for socialized medicine, free education, and benefits for those who cannot or, perhaps, are unwilling to take care of themselves.
It isn’t just that these leftist radicals are seeking to rob Americans of their hard-earned wealth to pay for others’ livelihoods. This week, Senator Elizabeth Warren from Massachusetts unveiled the Accountable Capitalism Act, a bill that would severely restrict Americans’ economic liberty.
When discussing liberty, more often than not, people think of political freedom. Examples of political freedom include the right to vote and to speak freely without fear of violent reprisals. We pay much attention to the left’s attempt to silence conservatives as well as those who are generally tired of the disease of political correctness. Yet as Milton Friedman laid out in “Capitalism and Freedom”, economic freedom is a necessary condition for political freedom, which means that this bill targets the foundation upon which political liberty rests.
Warren’s appearance on CNBC to advertise her intention to destroy the capitalist economy that made the US the richest and most powerful country in the world is something that should enrage every freedom-loving person. The Massachusetts Senator has demonstrated her intent to assault not only the American economy, but American democracy itself.
The Senator argues that American businesses have hurt themselves and their employees as a result of “the…obsession with maximizing shareholder returns at all costs.” While this may be the case, corporate leaders are actually driven to do so by factors such as government-mandated quarterly reports.
These government regulations place immense pressure on executives to do whatever it takes to maximize earnings every quarter, at the cost of long-term financial and strategic goals. A solution to such a problem would be to eliminate such regulations, which President Trump has actually asked the SEC to study. Warren, it appears, would prefer to kill capitalism.
Warren’s bill would require corporations that generate $1 billion in annual revenue to obtain a charter from the federal government. The government would oblige these corporations to have employees elect 40 percent of their boards. The government will also require that stock sales and share buybacks be approved by 75 percent of shareholders and board members. Note that there is absolutely no self-determination exercised on the part of the business-owners, the people who created these companies and the jobs that come with them.
The socialist Senator should just drop the word “Capitalism” from her bill, because you can’t call an economy “capitalist” if the government is taking over businesses and telling owners how to run them. Such actions constitute a seizure of private property by government.
Senator Warren’s despicable proposal should not be laughed off, as the Democratic Party continues to lurch leftward. The possibility that Warren might run in 2020 heightens the risk of America falling to the socialists and the passage of Warren’s bill.
Daniel Yoshino is the Editor-at-Large for theDailyLead.