John Stossel

Moore visits the National Archives to see if the Constitution establishes capitalism as the country's economic system. Seeing the words "people," "union" and "welfare" in the document, he says, "Sounds like that other ism."

That's just silly. The Constitution limits government's power to interfere with the people and their property. The Constitution is on the side of the free market.

Toward the end of the movie, Moore says capitalism is irredeemably evil and "has to be replaced." With what? I assumed he'd say socialism, but instead his answer is "democracy."

This apparently means expanding "hundreds of worker-owned businesses" in the United States.

But since workers are already free to start businesses, what's his point? A more astute observer would show how government intervention -- licenses, taxes, regulations -- inhibits such businesses.

Thankfully, I will soon have my own show on Fox Business Network to make such points. I'll invite Moore to come on as a guest.

For two hours, Moore rails against reckless banks and government bailouts, but never once mentions the government-business partnership that created the conditions for the turmoil. The fact that America no longer has a genuinely free market is the unnoticed 10,000-pound elephant in Moore's room.

Watching "Capitalism," you'd never know that the federal government colluded for decades with the financial, real estate and construction industries to divert resources into housing in the name of promoting home ownership -- even for people who couldn't afford it. You'd never know that Fannie Mae and Freddie Mac were, and are, privileged government-sponsored enterprises that encouraged shaky loans.

At least Moore has an inkling of what's wrong: cozy ties between Wall Street and government. Moore thinks the answer is better regulators or nationalization of banks. But his own evidence suggests that the real answer is a separation of state and economy -- stripping away Wall Street's privileges.

In other words: Limit government's power. Let the free market work.


John Stossel

John Stossel is host of "Stossel" on the Fox Business Network. He's the author of "No They Can't: Why Government Fails, but Individuals Succeed." To find out more about John Stossel, visit his site at >johnstossel.com. To read features by other Creators Syndicate writers and cartoonists, visit the Creators Syndicate Web page at www.creators.com. ©Creators Syndicate