May 6 2016
the staff of the Ridgewood Blog
Ridgewood NJ, Reader challenges Ridgewood blog on “Free Market principles “claiming we are picking the candidates in favor of more regulation against “free market developers and development”.
“Ironic that “Free Market Laissez-faire Point of View” is in favor of a government that promises to be more restrictive than the alternative, but in this case, Jamsie, I agree with you 100%.
I hope you are learning the flaws in your Randian world view, specifically, left to their devices, the “job creators” would starve themselves out of existence. In the case of Ridgewood: motivated by short term benefit, the Job Creators (i.e. CBD restaurant owners and landlords) would overdevelop the CBD and surrounding areas to the detriment of our community, schools and way of life. In the long term, the quality of the schools would decline even more, the quaintness of the village would erode, property values would drop, and before you know it, you live in a version of Caldwell or whatever.
The judicious application of regulation is a good thing.”
Got to laugh on this one but the reader is a bit confused ;
The Free Market is ,”A system of economics that minimizes government intervention and maximizes the role of the market. According tothe theory of the free market, rational economic actors acting in their own self interest deal with information and price goods and services the most efficiently. Government regulations, trade barriers, and labor laws are generally thought to distort the market. Proponents of the free market argue that it provides the most opportunities for both consumers and producers by creating more jobs and allowing competition to decide what businesses are successful. ”
What we have in Ridgewood and New Jersey as well as on a National level is called by many Crony capitalism or Cronyism , “Crony capitalism is a description of capitalist society as being based on the close relationships between businessmen and the state. Instead of success being determined by a free market and the rule of law, the success of a business is dependent on the favoritism that is shown to it by the ruling government in the form of tax breaks, government grants and other incentives.”
Developers using the Village Council forcing tax payers to pick up the tab for a parking garage that clearly benefits certain businesses ie those that support the Mayor and his consorts is not in any way shape or form “Free Market Capitalism” but clearly a local example and the very definition of “Cronyism”. The negative issues associated with over development in the Village are all a direct or indirect cause be they foreseen and unforeseen consequences of government intervention ie.. 3066 , COAH, open space , and so on . These tax breaks, government grants and other incentives are all put in place to aid developers and to garner political contributions .
Crony capitalism is the marriage of the state and private special interests. Some people have called it corporatism, mercantilism, fascism, or even Communism.