Ocasio-Cortez Newfound Hope of the Democratic Party Might Be A Handicap

Ocasio-Cortez seems to be the new hope of the Democratic Party that’s desperate to appeal to a naïve electorate. If it pursues its errant path, it will ensure Trump’s re-election. If his past or present misdeeds don’t remove him from office before. Rising star Ocasio-Cortez (AOC) will stress the party’s paucity of relevant ideas. This burden will increase as she and Bernie Sanders promote their failed socialist sound bites on their current campaign trail. Their socialist ideas appeal to college students and younger voters. But most folks will reject them once they realize AOC and Bernie have not computed the full effect of these ideals.

Ocasio-Cortez Socialism and the  Democratic Party

Ocasio-Cortez Socialism, Empty pockets
Ocasio-Cortez Socialism, Empty pockets

As a student in the late sixties in London, England, socialism enamored me. I studied Mao Tse-tung’s (1893-1976) Little Red Book, Karl Marx’s (1818-1883) Communist Manifesto, and Adam Smith’s The Wealth of Nations. The image of care for the people and wealth distribution in socialism seemed right to me. However, over time, after digging deep into the practical aspects of wealth creation and distribution, I saw hurdles in socialism that caused it to fail. Bernie and AOC say they are Democratic Socialists. They say the differ from socialiasm in Cuba, for instance. Still, in socialism, governments control the vital sectors of the economy. This merely switches from the private capitalist to the public capitalist. But there is more. The public capitalist is unaccountable. The private firm is.

Bernie And Ocasio-Cortez Will Promise The Moon

Bernie and newcomer AOC plan to provide goodies to the people. Where will they get funds? Only one source exists. That’s businesses. Like it or not, that’s the only productive wealth generating entity in society. Why do these folks demonize and want to tax firms? Why do they want to create myriad rules and regulations and interfere with a business’ operations? Shouldn’t government create an attractive environment for firms to engage in dynamic wealth creation. Companies have options and can exercise them in more friendly places. We should not be surprized when firms move activites off shore.

Like many on college campuses, neither Bernie nor AOC have a practical plan to pay for their promises. Free education, free medicare, guaranteed income, and other free items sound good in theory, but who pays for them?  The government, they say, should play a more vital role in the economy. But I would ask each of them this question: What does government do well beyond wasting tax dollars?

Neither Socialism Nor Trump is the Answer

Donald Trump isn’t the answer, either. he is a narcissistic bully, failed businessman, and poor leader. Still, he convinced many folks he is a great negotiator and excellent businessman, despite facts to the contrary. Not even his “alternative facts” can change his record of failures and deceit. He survives because he tells  his followers not to believe what they “see” or  “hear.” Instead, he says, they should listen to his version of the “truth.” 

His erratic behavior and his actions to start the present trade war is causing uncertainty, but his bullying tactics might work. He is dividing and conquering Canada and Mexico while sidetracking NAFTA. Even the EU humored him. The EU’s president says Trump’s tariffs are stupid, but Mr. Juncker said he would play along with Trump: “If you want to be stupid, I can be stupid,” Mr. Juncker said. 

Trump’s tariffs show his naivete and duplicity. He slaps duties on items, countries retaliate, and he claims victory. And in his stupidity he says tariffs won’t hurt consumers or producers at home. But he doles out billions of dollars of corporate welfare to those hurting by these tariffs. Only he sees the victory through his narcissistic eyes!  What a waste?

Democrats seem to be void of original ideas except splintering their party. Bernie and Ocasio-Cortez are favorites among those folks who do not realize that socialism has never worked because it is flawed. Taking from the “rich” and giving to the poor doesn’t work. Later, the “rich” sees no incentives to produce, and there is nothing to give to the poor. 

I visited the former Soviet Union in 1976 with a study group from MIT. Though the government ensured we saw what they wanted us to see, I saw enough and reviewed sufficient data that showed it did not work. We need no more confirmation than it collapsed (1922-1991). 

We Must Rein in Wall Street

To be sure, we must rein in Wall Street to stop its narrow focus on the short term that causes greedy CEO’s to make bad choices. And we need more shareholders’ activism to tame these CEO’s. Health care costs need to be more affordable. We must make post-secondary education more affordable, run it more well, and ensure it is relevant and worthwhile.  We can achieve these goals in the capitalist system provided we stop playing politics and move beyond the present ideological debates between Republicans and Democrats. People’s lives are at stake! It’s not all state control or all private control. We need practical solutions that put people first; we don’t need rhetoric from politicians concerned mainly with their careers.

Let’s create an environment where we can debate each other’s views instead of each party claiming a monopoly on knowledge. Why can’t we accept that some people are pro-life and some are pro choice? Does every university student need to be pro-choice? Why must everyone embrace liberal issues or liberals label them bigots? It is time we stop being so divisive (Trump majors on this), start loving, respecting, listening to each other, and accepting one another as he and she is. We are all made in the image of God!  

The US Economy Grew In The Second Quarter

The US economy recorded big gains in the second quarter, and Trump claimed victory. He doesn’t realize much of the gains came about because companies pre-ordered many items ahead of his stupid tariffs. Note how Trump reacts next quarter when the economy does much worse than last quarter because of his tariffs. As the master of deflection, he will take credit for ‘something’ that prevented the economy from sinking even lower. 

Let’s pray for Trump and pray for God’s will despite his erratic actions. Meanwhile, expect a gradual rise in interest rates, and stock markets to remain volatile, if Trump continues to be Trump.

© 2018 Michel A. Bell

SEE ALSO:

Donald Trump’s Trade War

Tax Reform Should Encourage Job Creation

Michel A. Bell

Michel A. Bell is a former senior business executive, author of six books (including Business Simplified released in 2018), speaker, and adjunct professor of business administration at Briercrest College and Seminary. Michel is a Fellow of the Chartered Certified Accountants (UK), holds a Masters of Science in management degree from Massachusetts Institute of Technology and a Doctor of Business Administration honoris causa from Briercrest College and Seminary. He is founder and president of Managing God's Money.

2 thoughts to “Ocasio-Cortez Newfound Hope of the Democratic Party Might Be A Handicap”

  1. Wow! A Canadian that is not only aware of what is happening in the US, but gives realistic, non-partisan, advice on how to move forward. As an American who has lived most of my life in Canada, it is refreshing to see someone go beyond the naive perspective on US politics that is common in Canada. What you have said is the best critique I have seen on either side of the border.
    When the stats came out, earlier this year, that more than one half of college students in the US prefer socialism, I was alarmed. Thank you Michel for addressing this in a very matter of fact, business fashion. May your exposure and influence increase.

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