Free Enterprise Revival Needed

Steven Hotze, M.D.

Socialism is seeping into the body of our state government through over-taxation and entitlement programs.  Texas needs a free enterprise, capitalism revival in order to stop this infection and secure a healthy, prosperous future for its citizens.

There are two ways to organize economic activity, either by voluntary associations in a free market, known as capitalism, or through centralized planning by the state, known as socialism.

In a free enterprise system, the principle which determines the distribution of income can be stated: “To each according to what he produces with his effort, equipment and property.”  The individual is accountable for his own actions and reaps the results.  The free enterprise system of capitalism allows him economic liberty without which there can be no personal or political liberty.

Milton Friedman stated it succinctly, “Competitive capitalism is the organization of the bulk of economic activity through private enterprise operating voluntarily in a free market.  It is a system of economic freedom and a necessary condition for political freedom.”

Socialists proclaim: “From each according to his ability, to each according to his need,” as the way to determine how income is distributed.  Redistribution of wealth is accomplished through government coercion.  The hard earned money of the producers is confiscated and redistributed to bureaucrats who run bloated entitlement programs for the non-producers.

Socialists talk a lot about fairness when they tax productive people in order to redistribute their income, which they use to buy the votes of the non-producers, keeping them weak and dependent.  By using the word “fair”, socialists feel they can justify their endorsement of state sponsored theft and violate the commandment, “Thou shalt not steal,” with impunity.

Under Republican leadership, billions of dollars are being confiscated from the hard working citizens of Texas and transferred to the coffers of the state.  Republicans claim to be supporters of free enterprise on one hand, yet they are presiding over a dramatic growth in state government.

Expansion of state government should disturb anyone who values political freedom.  The private economic sector, which provides an essential counter balance to the state and provides us with economic freedom, is being crippled.

The state’s power to confiscate your money through taxation, forcing you to finance entitlement programs, erodes political liberty.  Listen to Ronald Reagan explain the difference between capitalism and socialism using the allegory of the Little Red Hen at

CRTXNEWS. All rights reserved