Tax-Loving Conservatives – Gary North – Mises Daily

An interesting article, but probably not quite fair to Hamilton.

Tax-Loving Conservatives – Gary North – Mises Daily.

Alexander Hamilton was a crusader for higher taxes and a larger national government in the 1790s. He wanted higher taxes in order to raise money for a higher federal debt. He wanted higher federal debt because he wanted investors in government IOUs to commit to the survival of the United States.

Emphasis WWTFT.

This article makes some very good points about protectionism and crony capitalism, but attributes all of these things to Hamilton.   Hamilton was a product of his time and circumstance.  The government under the Articles of Confederation was in danger of collapsing.  This nation owes him a tremendous debt for putting the country on a sound economic footing.  Even his most bitter political foes had to acknowledge his brilliance as a financier.  He wasn’t perfect, and did not foresee what others (like Madison and Jefferson) did.   But he wouldn’t have been for the degree of government interference we have today.

If you can get beyond the exaggeration:

The amazing thing about Hamiltonians is that they are impervious to economic logic. They argue that raising taxes is bad, unless it’s the sales taxes called tariffs. Then they switch sides. They join the ranks of the tax collectors, the bureaucrats, and the people with badges and guns who say that higher taxes and reduced choices make America rich.

There is a really good hypothetical argument against protectionism.  It’s just not necessarily Hamiltonians who argue for crony capitalism.  President Obama is no Hamiltonian.