SouthernWorldwide.com – Steve Forbes, a staunch proponent of American capitalism, free markets, and sound monetary policy for decades, has voiced his strong agreement with Donald Trump’s warning about the internal threat of communism. As the chairman and editor-in-chief of Forbes and a former presidential candidate, Forbes is a leading economic voice in the nation.
Forbes noted the historical tendency of New York City to elect radical candidates, referencing the presence of an allegedly communist member of Congress in the late 1940s. He believes this indicates a broader dissatisfaction among a significant portion of the population.
The 78-year-old publishing magnate observed that the left appears to be more effectively organized than its freedom-loving counterparts. He emphasized the importance of effectively communicating the message of free enterprise.
“We’ve got to get the message out,” he stated. “And one thing that the left has learned is that you try to occupy the high moral ground. Even if you wreck people’s lives, kill millions of people under socialism, communism, your intentions were good.”
Forbes elaborated that the left often attempts to leverage a moral argument. He argued that simply stating free enterprise leads to greater prosperity is insufficient; it must also be presented as a moral system, grounded in liberty and the freedom for individuals to be creative and improve their circumstances, echoing Abraham Lincoln’s sentiment.
Following Trump’s speech at Mount Rushmore, which addressed the internal threat of communism, Forbes concurred. He cited Abraham Lincoln’s observation from the 1800s: “It won’t be foreign forces that destroy the United States. It’ll be things we do internally.”
Forbes suggested that many people mistakenly attribute societal problems to free markets when, in reality, government policies are often the culprit. He explained that when governments enact detrimental policies that harm citizens’ prospects, people tend to blame capitalism and free markets.
“What happens is when governments start making mistakes and doing things that people don’t like and that hurt people’s prospects for getting ahead, upsetting society, they blame it on capitalism. They blame it on free markets,” Forbes said. “So they help wreck free markets and then say, ‘The victim is the cause of it.'”
According to Forbes, true prosperity and innovation can only thrive in an environment of freedom. While acknowledging that capitalism is not flawless, he pointed to its role in driving inventions that significantly improve human lives.
As an illustration, Forbes mentioned the evolution of personal technology. He remarked that just 30 years ago, the idea of a grandparent operating a supercomputer would have seemed extraordinary. Today, such devices, far more powerful and accessible than early models that cost thousands and were the size of shoeboxes, are commonplace and continuously decrease in real cost.
“Take your handheld,” he said. “If you’d said 30 years ago [that your] grandma could operate a supercomputer, you’d have gotten a rather strange look. Now we take it for granted. The first one was just 40 years ago, cost $3,995, weighed like a brick, the size of a shoebox. And today we have handhelds that are really supercomputers that can do anything anywhere. And in real terms, they get cheaper and cheaper. So that’s the miracle of human creativity. And then the amazing thing is we take it for granted.”
Forbes has long been a proponent of sound money and a vocal critic of the Federal Reserve. He disputes the notion that economic prosperity leads to inflation, calling it “absolute nonsense.”
“Start with the Federal Reserve, the idea that prosperity causes inflation. Experience shows time and time again, it’s absolute nonsense. So if the economy starts to do well, you hear mutterings from the central bank asking, ‘Is the economy overheating?’ as if the economy is a machine,” Forbes stated.
He questioned the logic behind the Federal Reserve’s concern about an “overheating” economy. “So ask yourself, if your income is improving, do you start to feel overheating? Do you start to sweat at night? You know, ‘Take it away because I’m overheating?’ No, it’s preposterous,” he added.
Forbes believes the central bank’s primary role should be to maintain the dollar’s integrity, not to manage economic activity through interest rate manipulation. He drew a parallel between controlling interest rates and rent control, which he argues distorts markets and ultimately leads to higher costs and reduced availability.
“And yet most free marketeers, for example, realize rent control distorts markets and ends up costing more and giving people less,” Forbes noted. “Well, what is controlling interest rates? It’s a form of rent control. They used to call interest rent. You’d rent the money.”
For the Trump administration, Forbes offered a straightforward prescription for domestic policy. He advocated for a new round of tax cuts for both individuals and businesses.
“On the domestic front, go for a new round of tax cuts. Reduce tax rates for individuals and for businesses,” Forbes advised. “Taxes are a price. So, propose it. Congress may not pass it, but you’ve got an issue you can take to the voters.”
He suggested that such a plan could be effectively marketed to the public by highlighting success stories and employing persuasive messaging, reminiscent of old late-night television commercials.
“Bring out examples of people who have benefited enormously from not taxing overtime, not taxing tips, and saying, remember those old late night TV commercials [where hawkers would say] ‘But wait, there’s more?’ They can say, ‘But wait, there’s more. We’re going to have big tax cuts. Everyone’s going to benefit.'”
Forbes concluded by emphasizing the importance of continued deregulation. He believes that pursuing these policies will lead to positive outcomes.
“And continue with the deregulation,” he concluded. “You go on that path, and good things will happen.”
