Moving from Democracy to Dictatorship?1

July 6, 2009

The current Congressional majority and the President have a strong inclination to think they can enact plans for the American economy that are superior to the independent market place (each of us acting in our own best interests within the rule of law).  They are taking actions to back up their inclinations.  Your freedom is in danger from those actions.  A long time ago it was explained why you are now in danger.

“In these instances delegation means that some authority is given power to make with the force of law what to all intents and purposes are arbitrary decisions (usually described as “judging the case on its merits").  …Even if by this expedient [of delegating economic planning for various parts of the economy] should succeed in planning every sector of economic activity, it would still have to face the problem of integrating these separate plans into a unary whole.  Many separate plans do not make a whole - …But the democratic legislature will long hesitate to relinquish the decisions on really vital issues, and so long as it does so it makes it impossible for anyone else to provide the comprehensive plan. …the inability of democratic assemblies to produce a plan will evoke stronger and stronger demands that the government or some single individual should be given powers to act on their own responsibility.  The belief [becomes] more and more widespread that, if things are to get done, the responsible authorities must be freed from the fetters of democratic procedure.”

“The cry for an economic dictator is a characteristic stage in the movement toward [centralized government] planning.”

“[A virtual dictator does] not have to destroy democracy; he merely [need take] advantage of the decay of democracy and at the critical moment [obtain the support of many… as] he [seems to be] the only man strong enough to get things done.”

Lest you think this writing is too old to be pertinent here are some up to date observations in its regard.

“In these instances delegation means that some authority is given power to make with the force of law what to all intents and purposes are arbitrary decisions (usually described as “judging the case on its merits").  [Current Example: deciding what businesses get bailed out and which do not.]  …Even if by this expedient [of delegating economic planning for various parts of the economy {Current Example:  multiple presidential administrative ‘czars’}] should succeed in planning every sector of economic activity, it would still have to face the problem of integrating these separate plans into a unary whole.  Many separate plans do not make a whole - …But the democratic legislature [Current Example: Congress] will long hesitate to relinquish the decisions on really vital issues [Current Example: government policy determining who can buy a house, or now, health care planning], and so long as it does so it makes it impossible for anyone else to provide the comprehensive plan. …the inability of democratic assemblies to produce a plan [due to their serving multitudes of special interests] will evoke stronger and stronger demands that the government or some single individual should be given powers to act on their own responsibility.  The belief [becomes] more and more widespread that, if things are to get done, the responsible authorities must be freed from the fetters of democratic procedure.”

“The cry for an economic dictator [emphasis, Spalding] is a characteristic stage in the movement toward [centralized government] planning.” [Current Example:  paraphrase of Sam Donaldson comment on the radio the week of July 1, 2009 – The health care plan is in trouble because the various parts of congress cannot agree.  Pretty soon Obama will have to step in and tell them how things are going to be.]

“[A virtual dictator does] not have to destroy democracy; he merely [need take] advantage of the decay of democracy and at the critical moment [Current Example: As related by an Obama Administration key figure, “do not allow a good crisis to go to waste”] [obtain the support of many… as] he [seems to be] the only man strong enough to get things done.”

1  Quotes are excerpts from “The Road to Serfdom”, by F.A. Hayek, 1944, Chapter 5, Planning and Democracy.  Blue text is Dan Spalding commentary.