
The growth of the state, The Economist, 23 janvier
« Huge state-run companies such as Gazprom and PetroChina are on the march. Nicolas Sarkozy, having run for office as a French Margaret Thatcher, now argues that the main feature of the credit crisis is “the return of the state, the end of the ideology of public powerlessness”. »
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The result of Bush’s guns-and-butter strategy was the biggest expansion in the American state since Lyndon Johnson’s in the mid-1960s. He added a huge new drug entitlement to Medicare. He created the biggest new bureaucracy since the second world war, the Department of Homeland Security. He expanded the federal government’s control over education and over the states. The gap between American public spending and Canada’s has tumbled from 15 percentage points in 1992 to just two percentage points today.
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Crises can be the midwives of serious thinking. The stagflation of the 1970s prepared the way for the Reagan and Thatcher revolutions. More recently, several countries have dealt with out-of-control spending by introducing dramatic cuts: New Zealand, Canada and the Netherlands all reduced public spending by as much as 10% from 1992 onwards.
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Fear of terrorism and worries about rising crime have also inflated the state. Governments have expanded their ability to police and supervise their populations. Britain has more than 4m CCTV cameras, one for every 14 people. In Liverpool the police have taken to using unmanned aerial drones, similar to those used in Afghanistan, to supervise the population.
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Governments will have to ask fundamental questions—such as whether it makes sense to let people retire at 65 when they are likely to live for another 20 years. Nda : Mdr, en France le PS, le reste de la gauche et les syndicats ne veulent pas démordre des 60 ans…
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The public sector is subjected to all sorts of perverse incentives. Politicians use public money to “buy” votes. America is littered with white elephants such as the John Murtha airport in Jonestown, Pennsylvania, which cost hundreds of millions of dollars but serves only a handful of passengers, including Mr Murtha, who happens to be chairman of a powerful congressional committee. Interest groups spend hugely to try to affect political decisions: there are 1,800 registered lobbyists in the European Union, 5,000 in Canada and no fewer than 15,000 in America. Mr Bush’s energy bill was so influenced by lobbyists that John McCain dubbed it the “No Lobbyist Left Behind” act. »
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