Laissez-faire

Laissez-faire is obviously a French term which means to leave alone. In economics and politics, the term describes a doctrine that an economic system functions best when there is no interference by government. It is based on the belief that the natural economic order tends, when undisturbed by artificial stimulus or regulation, to secure the maximum well-being for the individual and therefore for the community as a whole.

In my opinion Ronald Reagan was the last president in the US who truly embraced the concept. Historically in US history Republicans have tended to be more supportive of laissea-faire policies than Democrats. Obviously the current administration is anything but pro-laissea-fiare. Even though it is a French term, Europeans have tended to be even more against laissez-faire policies than the US government. Businesses are much more highly regulated and "interfered with" in Europe than here.

While the US government has been giving out billions of dollars to "prop up" unhealthy US companies that are on the verge of bankruptcy, the European Union has done much of the same, but also the EU just levied a fine of $1.4 billion against chip manufacturer Intel for violating EU competition laws. If you don't know what competition laws are, basically it means if you are very successful at what you do (Intel has 80% of the market for computer operating chips), then the government is going to make it harder on you to do business.

My philosophy is if you want to understand just about anything follow the money. That's probably why I studied accounting in the first place. If you need to give billions of dollars to support your failing banks and manufacturers, then why not fine some successful companies billions of dollars to help offset what is going out.

Of course on the heals of the EU announcement about the record fine of Intel, the US Federal Trade Commission said that it is going to look into Intel's sales practices also. What else can you do? General Motors may need another couple of billion before it goes bankrupt.

...watch out Exxon, you have been way too profitable and that is just not right.