Elizabeth Warren vs Eric Schmidt

Google Chairman Eric Schmidt gets a lot of grief among conservatives for the liberal leanings of his company. But judging by this interview with The Washington Post, Schmidt sounds like a conservative in the making. Here is Schmidt on regulation:

And one of the consequences of regulation is regulation prohibits real innovation, because the regulation essentially defines a path to follow—which by definition has a bias to the current outcome, because it’s a path for the current outcome.

And here is Schmidt on how Washington extorts money from corporations:

And privately the politicians will say, “Look, you need to participate in our system. You need to participate at a personal level, you need to participate at a corporate level.” We, after some debate, set up a PAC, as other companies have. And it’s basically in the interest of our customers to do this, because the government can make mistakes. And for every one of these Internet-savvy senators, there’s another senator who doesn’t get it at all. And it’s not a partisan issue. It’s true in both parties.

Compare Schmidt’s reality-based view of the federal government with Elizabeth Warren’s fairy tale:

You built a factory out there? Good for you. But I want to be clear: you moved your goods to market on the roads the rest of us paid for; you hired workers the rest of us paid to educate; you were safe in your factory because of police forces and fire forces that the rest of us paid for. You didn’t have to worry that marauding bands would come and seize everything at your factory, and hire someone to protect against this, because of the work the rest of us did.
Now look, you built a factory and it turned into something terrific, or a great idea? God bless. Keep a big hunk of it. But part of the underlying social contract is you take a hunk of that and pay forward for the next kid who comes along.

If only the federal government stuck to building roads and letting local governments supply police, fire, and education services. But of course, our federal government has grown way past a minimal state and is now doing everything from investing in solar companies to forcing people to buy government approved health insurance.

Describing Silicon Valley’s view of Washington in the early 90s, Schmidt says, “[A]t the time, we took the position of ‘hands off the Internet.’ You know, leave us alone. And that’s probably still the general view here. The government can make regulatory mistakes that can slow this whole thing down, and we see that and we worry about it.”

“Leave us alone.” That has been the conservative movement’s rallying cry regarding the federal government for generations.

Thanks to fellow George Mason University Law School alum Jerry Brito for the tip.

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