As I mentioned in my last post, I took advantage of the “cash for clunkers” program – a program I completely disagree with. As the Wall Street Journal explains, this program is crackpot economics. It will not increase net wealth and amounts to “destroy[ing] a perfectly serviceable asset in return for something he might have bought anyway.” So am I a hypocrite because I took advantage of a government subsidy I completely disagree with?
Before any decision, it is always important to ask “what is this going to accomplish?” If I chose not to take advantage of this program, would my defiance have had any effect? No. The allotted money was spent in a week and if I didn’t take that money someone else would have. The Journal piece also makes a very important point: Americans are not stupid. I was going to buy a new car next summer anyway, and now I got one for significantly cheaper.
There are a lot of things the government does that I disagree with, and it would be nonsensical for me to avoid every one of them. I don’t think the government should give me subsidized student loans, but I take them. I don’t think the government should have given me a stimulus check last year, but I spent it. It boils down to the fact not taking these things would hurt me significantly, while having no effect on the overall policy.
That does not mean I would advocate for these programs. In fact, I advocate against them. While my advocacy may not make economic sense, this is where I feel principles do play a role. When my actions start to have an impact (even minor) on the policy, that is where I draw the line.
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