Friday, November 04, 2011

The case for Federalism

The case for Federalism lies in creating a continent wide market for good governance.  No monopolist ever 'did the right thing' without pressure.  The key to getting our government to treat us with decency and respect is to have the easy option to shift our homes and businesses to another state that does a better job.  This is why the Federal monopoly is so destructive.  As Milton Friedman said many years ago:


“I do not believe that the solution to our problem is simply to elect the right people. The important thing is to establish a political climate of opinion which will make it politically profitable for the wrong people to do the right thing. Unless it is politically profitable for the wrong people to do the right thing, the right people will not do the right thing either, or if they try, they will shortly be out of office.”

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