POSTED RESPONSE TO A COLUMN BY CLIVE CROOK IN THE FINANCIAL TIMES
Clive Crook has some astute observations here.
The trouble, however, with all reasonable suggestions for the future improvement of America’s position, such as value-added tax, is that American voters are in large part simply not reasonable.
I believe it truly is the heart of the matter that Americans have an ongoing sense of entitlement like nothing found anywhere else. It is captured in that warped political expression "the American Dream," a slogan still mouthed by the pathetic workers losing their jobs, and their homes, likely permanently.
America can't pay for what it imports and expects others to forever hold its debt. It can't pay for its extreme actions abroad but expects others to help bear the load. And the average American makes no effort to alter the most lunatic expectations, the kind of attitude that created the financial crash.
America is wasting immense amounts on two wars and countless interventions, yet it remains insanely stubborn over the taxes needed to support such excess and ignorant concerning the lack of any economic benefit for the average citizen in these colossal expenditures.
Few people comment on another trend underway, and that is the rise of China (and a couple of other potentially great competitors). The competition China offers is necessarily killing American jobs: you might call it "creative destruction" on an international scale.
Instead of focusing on measures needed to compete in an ever more competitive world, American administrations just repeat economic illiteracies and berate the Chinese for being successful. And they continue to spend like drunken sailors on military waste. And they continue to believe that somehow it is entitled always to end up in first place.
It is not, of course.
I think the BP disaster in the Gulf of Mexico, as others have said, may be seen as something of an allegory for America’s problems. BP, unbelievably, was permitted to drill by American regulatory agencies without having taken basic, needed preparations. Blind stupidity based on the slogan that America needs oil – and it does, so long as the endless march of new three-car garages, beached-whale-sized new houses, meaningless urban sprawl, lumbering vehicles continues – threw sensible regulation overboard. Ironically, this disaster, its magnitude still not widely appreciated, has pretty well destroyed the political possibilities of further offshore drilling as supported by Bush and Obama.
America's mythology about itself has rendered it literally incapable of governing itself rationally, and I believe, sadly, nothing we can say will turn that stumbling, blind colossus towards enlightenment. We will all pay a price for its stumbling and falling.
