Saturday, August 13, 2011

Mr. Perry goes to Washington

Well. We kind of knew it was coming.

A Christian conservative who said he felt "called" to a presidential run, Perry also touts a strong job-creation record in Texas. This could allow him to bridge the gaps between Republicans more focused on social issues such as opposition to gay marriage and abortion, the new activist Tea Party fiscal conservatives and the party's more centrist pro-business wing.

His formal announcement will come a week after Perry led a religious rally that drew tens of thousands of people to a stadium in Houston last Saturday. Religious conservatives play a big role in the Republican nominating race.

Texas Governor Perry to run for president - Yahoo! News
Sat, 13 Aug 2011 22:55:52 UTC

As can be seen by the above quote, when it is all about the economy stupid, Perry would make a huge error if he allowed the MSM to define him on social issues. Telling them he would redefine abortion gives them all the bullets they need.

On the other hand, it also appears the Left will somehow try to paint his poor upbringing against him, as if their definition of poverty is somehow a blight on Perry or Texas. That could be a huge mistake.

In the end, Perry is not nearly the fiscal conservative his reputation belies. Texas is traditionally a low tax state with a constitution that dissuades activist government. That climate is not of Perry's making, nor is it dependent on him. In fact Perry has come under fire from conservatives and Tea Party constituents for his meddling:

For some time conservative Texans, especially constitutionalists, have raised eyebrows at Rick Perry’s Texas Enterprise Fund (TEF). The Texas Governor’s website calls the fund a “development tool” providing the state’s leaders with a “deal closing fund,” but its administration is questionable and its existence unconstitutional...

With the exception of research mice, one would think these corporate giants would have plenty of their own money, (do Facebook and Bank of America really need to use our taxpayer dollars?), but it doesn’t stop there. Some of these listed (Cabela’s and Home Depot) have received awards to open shops in multiple Texas cities. And consider the real-life story of a small business owner in Austin, Bob Dacy, owner of a family hardware store, who watched as his tax dollars lured his competition to "open for business" right down the road.

Rick Perry and the Texas Enterprise Fund
Sat, 13 Aug 2011 23:06:03 UTC

Besides the obvious conflicts of interest outlined above that government investment causes, and the open door to favortism and corruption, their track records are terrible. No government, including USA, China, Russia or Britain, or anywhere else these 'investment' bureaucracies spring up, has demonstrated their ability to return any kind of positive return on investment.

The reasons for their poor performance is obvious. First, they are run first and foremost by politicos, subject to political forces. More fundamentally, if successful investment was easy, there would no need for private equity and entrepreneurial funds, all of which periodically fail. There is a reason we call it creative destruction.

Whatever the case, Perry will surely shake things up in the election race.

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