Bush: Free Markets Will Fix the Troubles Caused by Free Markets

Congressional Democrats may be pushing for some concessions from the finance industry in return for the billions they’re receiving in taxpayer bailouts, but President George W. Bush has other ideas. From today’s Washington Post:

After presiding over some of the most dramatic market interventions in U.S. history over the past two months, President Bush came to Wall Street on Thursday to urge world leaders not to venture too far down a path of government interference in capitalist economies.

Speaking to a conservative audience at historic Federal Hall, Bush sharply criticized proposals for aggressive regulation and control over financial markets while simultaneously defending his administration’s broad efforts to support the credit and housing sectors over the past two months.

His administration’s moves, including corporate bailouts and a $700 billion rescue plan, were “necessary so that the economy would not melt down and affect millions of our fellow citizens,” Bush said. But at the same time, he argued, world leaders gathering in Washington for a financial summit this week should avoid protectionism, excessive regulation or other measures that could stifle markets over the long term.

[…]

“If you seek economic growth, if you seek opportunity, if you seek social justice and human dignity, the free market system is the way to go,” Bush said to another burst of applause. “And it would be a terrible mistake to allow a few months of crisis to undermine 60 years of success.”

The message is clear: Industry protectionism, like torture, is only OK when the United States is behind it. Should be an interesting financial summit.