Home
/
RELIGION & LIBERTY ONLINE
/
Economic policy should focus on economic issues
Economic policy should focus on economic issues
Dec 27, 2025 8:52 AM

With any new presidential es new policies. That’s part of the electoral calculus made by the American people every four years. Different presidents have different priorities. No one expects otherwise.

That said, it’s reasonable to anticipate certain consistencies. National security policy focuses on protecting America from foreign threats; its first priority is not gender equality. Similarly the Department of Energy’s main goal is to ensure that America has sufficient energy supplies; it’s not responsible for developing educational curricula.

In other words, there’s a natural division of labor that, notwithstanding potential overlaps, helps government officials concentrate on their specific responsibilities and establish who is accountable for what.

Which brings me to the Biden administration’s economic policies. If position and rhetoric of President Biden’s economic team is anything to go by, Bidenomics aspires to be focused as much upon addressing questions like racial disparities and climate change as on topics like growth, taxes, deficits, poverty, employment, etc., which traditionally fall under the economic policy umbrella.

Some progressive thinkers have even specified that they want the new administration’s economic policies to be filtered through what they call “an intersectional gender lens.” Broadly speaking, this means factoring in gender, race and ethnicity when designing economic policies, regardless of whether the topic is wages or infrastructure.

How much of the Biden administration’s economic rhetoric will amount to virtue-signaling to progressives as opposed to reflecting fundamental shifts in the framing of economic policy is yet to be seen. But there are two problems with taking economic policy in intersectional directions.

One is that it opens an already-wide door to trying to promote particular groups’ economic well-being through targeted, top-down government interventions. Historically speaking, it’s at best unclear whether such approaches have produced the anticipated results. There’s also evidence to suggest that such interventions have adverse unintended consequences.

Consider, for example, Lyndon Johnson’s Great Society programs. In Johnson’s own words, the goal was to use the federal government to “cure poverty,” especially among racial minorities. But as authors such as Amity Shlaes have argued, these interventions invariably had negative effects upon the very populations they were designed to help.

Among other things, they created disincentives to work and undermined long-established civil society networks which were quite effective at addressing some of poverty’s deeper causes (family dysfunctionality, substance addiction, etc.). Moreover, by the 1970s, the large bureaucracies created to implement these programs weren’t even hiding the fact that their priority had e self-preservation rather than the welfare of the groups they were ostensibly serving.

A second problem is mission drift. Economic policy has implications for vast spheres of human endeavor, ranging from defense to education. But there are some fundamentals that should remain top priorities for anyone engaged in designing and implementing any administration’s economic program.

One such priority is sustained wealth-creation. Without wealth-creation, it es difficult to enhance the economy’s ability to meet people’s economic wants and needs over the long term, let alone sustain employment.

Indeed, we can’t even begin to have serious discussions about distribution issues, unemployment and poverty unless we have ongoing economic growth. More equal distributions of a shrinking economic pie result over time, in diminishing returns for everyone — including, eventually, those on society’s margins.

More generally, it’s every economic policymaker’s responsibility to bring economic insights and issues to the forefront of policy discussions, not least because there are plenty of other government officials whose (often very expensive) priorities lie elsewhere.

The Environmental Protection Agency’s entire raison d’etre, for instance, is safeguarding the environment. Surely, however, there should be someone sitting on one of the Oval Office’s couches during a climate change discussion who’s courageous enough to highlight the significant economic costs associated with trying to achieve zero-emissions.

The Treasury secretary’s job is not to largely echo whatever her EPA colleague says. Instead, economic policy officials should be asking all those hard questions that people pursuing the realization of what the economist Thomas Sowell famously called “cosmic justice” (i.e., heaven on earth) don’t like answering. In fact, it’s precisely by pointing to realities like trade-offs, or reminding people that endlessly expanding deficits are unsustainable, or highlighting how excessive regulation incentivizes cronyism that economic policymakers make distinct contributions to political debates unlikely to be made by anyone else.

A society’s well-being obviously isn’t reducible to economics. Questions of freedom and justice go far beyond supply and demand. Nonetheless, economic policymakers should resist being reduced to handmaids to everyone else’s political agendas. Ironically, it’s through sticking to their lane that they are most likely to promote mon good.

This article originally appeared in The Detroit News on Jan. 31, 2021

Comments
Welcome to mreligion comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
RELIGION & LIBERTY ONLINE
The Perils of Obedience
On his blog, Marginal Revolution, Tyler Cowan links to an article about game show, The Game Of Death, that was recently broadcast on French television. According to the article (“Torture ‘Game Show’ Draws Nazi Comparison“) the program, “had all the trappings of a traditional television quiz show, with a roaring crowd and a glamorous and well-known hostess.” For all that it appeared to be a typical game show, what “contestants . . . did not realise [was that] they were...
Stossel on Nuclear Corporate Welfare
Channeling his inner Ralph Nader, John Stossel calls shenanigans on the GOP talking points touting the viability of nuclear power. As I noted in the context of a mentary on Obama’s promise of a new generation of nuclear reactors, Ralph Nader has asked a prescient question: “If these nuclear power plants are so efficient, so safe, why can’t they be built with unguaranteed private risk capital?” Stossel similarly says, “I like the idea of nuclear energy too, but if ‘America...
Health Care Rights, and Wrongs
A mentary from Dr. Donald Condit. Also see the Acton Health Care resource page. +++++++++ Health Care Rights, and Wrongs By Dr. Donald P. Condit As Speaker Nancy Pelosi promoted passage of Sunday’s health care reform bill, she invoked Catholic support. However, those who assert the right to health care and seek greater responsibility for government as the means to that end, are simply wrong. This legislation fails port with Catholic social principles. Claiming an entity as a right requires...
“Out of The City of Nazareth…”
If you listen to the radio, you’ve probably noticed mercials promoting the U.S. Census. Where I live, stations are intermittently mercials for the 2010 Census almost every time I’ve turned the dial. One of mercial messages contains a story about crowded buses and the need for folks munities plete the census so they get more money from the federal government and can buy more buses. Huh? The advertising budget just to promote this enterprise was initially publicized at $350 million....
Catholic Health Care Rifts
As rumors of congressional action on health-care reform continue to swirl (it will happen Sunday, maybe?), fissures in the American munity are ing increasingly evident. The rift is highlighted in the current, in some ways unprecedented, public dispute between two important Catholic voices. By size and clout, the principal health-related organization of a Catholic identity is the Catholic Health Association. The official organ of the American Catholic bishops as a collective is the United States Conference of Catholic Bishops. Although...
Poll: Thumbs down on the Sin Tax
From “56% Oppose ‘Sin Taxes’ on Junk Food and Soft Drinks” on Rasmussen Reports: Several cities and states, faced with big budget problems, are considering so-called “sin taxes” on things like junk food and soft drinks. But just 33% of Americans think these sin taxes are a good idea. A new Rasmussen Reports national telephone survey shows that 56% oppose sin taxes on sodas and junk food. Twelve percent (12%) are undecided. Many of the politicians who are pushing these...
Love Glenn Beck as you would love yourself
Acton es new blogger — and long time friend — Rudy Carrasco to the PowerBlog. He also writes at Urban Onramps. Don’t miss Rudy at Acton on Tap on March 31 (6 p.m. at Derby Station, East Grand Rapids, Mich.) — Editors +++++++++ I haven’t seen the video of Glenn Beck’s call to “run away” from churches that teach social justice. Nor have I read much on the responses by the many – see the Sojo God’s Politics blog for...
What do you mean by ‘social justice’?
On NRO, John Leo points out how Glenn Beck missed the mark in his recent criticism of “social justice” churches (the reductio ad Hitlerum fallacy, again). But Beck is on to something, Leo says: When Glenn Beck urged Christians to leave churches that preach social justice, he allowed himself to be tripped up by conventional buzzwords of the campus Left. In plain English, “social justice” is a goal of all churches and refers to helping the poor and seeking equality....
Acton Media Alert – Dr. Donald Condit on Health Care Reform
Dr. Donald Condit, author of A Prescription for Health Care Reform, was a guest today on Relevant Radio’s The Drew Mariani Show to talk about yesterday’s passage of health care reform legislation by the US House of Representatives and the many moral pitfalls that lurk in the legislation; the audio is available via the audio player below. [audio: ...
What Griffiths Said
In this week’s Acton Commentary I expand on a minor meme floating around the web towards the end of last year that criticized the purported claim made by Lord Brian Griffiths, a Goldman Sachs advisor and vice chairman: “The injunction of Jesus to love others as ourselves is an endorsement of self-interest.” I do a couple of things in this piece. First, I show that Griffith’s claim was rather different than that reported by various news outlets. Second, I place...
Related Classification
Copyright 2023-2025 - www.mreligion.com All Rights Reserved