Most Republicans and Democrats are crony capitalists and protectionists, which means they love stuff like the Export-Import Bank. Its supporters include left-wingers like Senator Elizabeth Warren, and right-wingers like Texas Governor Rick Perry.
The basic idea is, foreign governments harm their own citizens with export subsidies. So our government should harm us, too.
The Ex-Im Bank simply takes money from taxpayers, and then splits it up between foreign buyers and U.S. exporters.
Ex-Im supporters say that it’s not costing taxpayers, because the agency makes loans that are usually repaid. But they are below-market loans. Estimates are that the agency really costs taxpayers a few hundred million dollars a year. But even one penny is too much. Taxpayers should not be on the hook for any of this.
And the Ex-Im Bank also undercuts private lenders, which unfairly harms their business.
Companies like Boeing whine that foreign governments have similar programs, so it’s not a “level playing field.” Too bad. Instead of lobbying our government to make things worse, they should lobby foreign governments to make things better.
And why would foreign governments get rid of their subsidies when we keep ours? Let’s set a great example for the rest of the world and stop burdening our taxpayers with the Ex-Im Bank. Maybe some foreign governments will follow suit. Freedom is contagious.
The Libertarian Party platform includes the following:
2.6 Marketplace Freedom
Libertarians support free markets. We defend the right of individuals to form corporations, cooperatives and other types of entities based on voluntary association. We oppose all forms of government subsidies and bailouts to business, labor, or any other special interest. Government should not compete with private enterprise.