Maggie's Farm

While Americans tend to cringe at the idea of 'social' anything, they first need to come to terms with the fact there are some thing that are best run by the government or at least administered and regulated by the government.

Just to be sure we're all using the same term, I have included the Merriam-Webster definition of simple socialism:

"A way of organizing a society in which major industries are owned and controlled by the government rather than by individual people and companies."

http://www.merriam-webster.com/dictionary/socialism

I would consider "major industries" those which are intended to provide basic public services which are essential for any industrialized country to care for its citizens. Under this definition, Ford, GM, Bank of America, McDonalds, and the local hardware store would not be controlled or operated by the government and would remain in private hands.

For example:

1. The military - not really up for debate. Does anyone want a private corporation to run the Army, Navy and Air Force? We've all seen how well Blackwater and other mercenary organizations have worked out. America has the best trained and equipped military in the world, so please don't mess with it.

2. Basic Mail service - in nearly every country where this has been privatized, the costs went up and service has declined. Under this concept, junk mail would be forced to be delivered by private carriers, however essential mail (first class) would be serviced by the government.

3. Public utilities (water/gas/power) - no one should ever have to worry about clean water and reliable power or freezing to death in winter. Of course the recent debacle in Flint isn't a very good example, but that's what happens when you have the wrong people in charge.

4. Public transportation - Busses and basic commuter services. Ever since Deutschebahn (German trains) went public, services were cut, on-time arrivals and departures have declined. Same thing happened in the UK. Transportation essential for getting to/from work would be provided. Car and air would remain private.

5. Health care - I would argue that the government should set limits on what doctors and HMO's can charge for their services. In Germany, the government limits the prices that can be charged, sets a profit limit and has very restrictive rules about suing hospitals or doctors in order to keep costs down. Same with pharmaceuticals, no one should pay $10 for a single aspirin or other generic drugs.

All industries know their operational costs and labor rates by the hour. An eye doctor or dentist has fixed prices for an eye exam or a crown. Just like going to a garage for an oil change, you can ask how much will a given service cost from an eye doctor or dentist and get a pretty good estimate up front. So why don't hospitals have fixed costs for their services? X-rays, CAT scans, simple broken leg, suturing a laceration, etc. All fixed at costs with a cap on profit.

6. Education - Why are state run elementary and high schools free, but not state colleges or universities? Private schools (Harvard, Yale) can charge what they want, that's fine. But students who attend state universities shouldn't be buried in debt by the time they graduate.

Basically, any goods or services which are not essential to the public good (durable goods, cars, air transportation, food, clothing, gasoline, housing, etc.) should be left to the free-market and whatever prices the market will bare. But any public service that affects the heath and well being of its citizens should be regulated and controlled by the government.

I believe it is a case of social benefit to everyone, that basic services which are intended for the public good (society) should be paid for by everyone (taxes) and provided by the government to prevent private corporations from the possibility of denying these services to the public simply out of greed.

Okay...bring on the hate mail! :-)

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Thanks to all for the comments. Valid arguments one and all. And the comment "bring on the hate mail" was meant in jest. All in good humor. :-)

I agree that Government shouldn't dispense health care. That is clear. But it seems there has been a great deal of confusion about our "social" healthcare system here in Germany.

To clarify, German health care is not like the Canadian or British systems at all. All our medical coverage is through insurance, it's not free and it's not tax supported. Okay, if you are poor, it is subsidized in the same way as medicare in the US, but otherwise it is paid by the private citizen, provided by the private sector, but regulated by the government.

Our hospitals are both public and private...however...the government controls the level of profits hospitals, pharmaceuticals and doctors salaries to ensure a reasonable cost of care. They don't "ration" health care as they do in the UK or Canada.

We actually have two levels of health insurance, that which is a public program where everyone contributes into a common pool and a private system, which is much more expensive but is for those who want a private room all to themselves or any "above and beyond" care not typically provided (health spas, etc.). At the end of the day, the care is identical and you get what you pay for.

Think of it this way...it's no different than buying a car; you can buy a Toyota or Mercedes, both get you from point A to B. However the speed limits and seat belt laws, enforced by government, keep people safe and ensure you get there.

As for utilities and public transportation, any organization run by incompetent people (like Flint) should not exist and those in charge should be fired. A public utility can (and does) work well like any private organization if managed effectively with accountability. Your military is the perfect example. It has a fixed budget, limited number of workers, and does exactly what it's supposed to.

Yes, the high speed rail in California is a very bad idea indeed. It makes no sense to me at all. However BART was outstanding, and I was very happy to see it extended out to Livermore and Concord. Hopefully they will extend it further towards Gilmore. But you're right, every Congressman wants a station in their district. Again, this can be simply put to public vote, and let the democratic (not autocratic) system be put to the purpose for which it was intended. The voice of the people.

@ AVI - typically, the scale factor reduces costs, but like anything it must be properly managed.

@ mudbug - I am for only for public bus, rail and commuter trains which are necessary for getting people back and forth during their daily trek to and from work. As our cities grow, people end up farther away from major services. I don't want people, especially the elderly, to have to worry about bus fair to get to a market, post office or hospital. Anyone using a car can pay for parking (private) or take a plane to longer trips (also private). I believe Amtrack was intended for long distance hauls (like airlines) and should have been left to fail as a private enterprise when passenger demand declined. Like any service, if there's no need for it, then it goes away like horses and buggy whips.

@ Gonewiththewind - any company (public or private) can be run into the ground with poor management and unqualified people in charge. We (taxpayers) must engage with our governments more and not just sit back and complain when bad things happen. The vote is a very powerful tool when it's actually used. I don't believe your founding fathers intended for the public to just sit back and expect your elected officials to make great decisions all the time. It was intended as a team effort.

@ JMA- thanks for your good wishes. Things will sort themselves out sooner or later. As I mentioned before, this is just a new situation to us and the German people are a lot smarter than people give us credit for. ;-)

Back to my example of the military as a role model for public (government) services. All members of the military are paid a fixed salary. One can look it up online. In this same way are all government employees. So there's really a much better control of wages for government employees than for private ones. This same principle must also be employed for the costs of goods and services as is done with the GSA contracts. If implemented properly, it works quite well to maintain costs and provides excellent services. Yes there is waste and mismanagement, but it must be managed and those in charge held accountable, especially those charged with the public trust.

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