By way of executive order, President Trump aims to implement a Sovereign Wealth Fund in the United States. A 90-day deadline has been set for the official plan, requiring various officials and departments to quickly collaborate on its development. But what are some of the implications? What could this look like?
The Federal Reserve and the other central banks of this world already act as an immense market force. Even if this administration’s heart is in the right place, do we really want another multi-billion-to-trillion-dollar fund to handle people’s savings? The propensity for things to go wrong, market distortions to take place, or just the opportunity cost of giving more money to the government as opposed to the public probably makes this not ideal… But for now, all we can do is wait and see.
I agree with the conclusion that we will have to wait and see. However, I am not crazy over the idea of creating another huge pool or slush funds from our (the little people’s) savings or money taken by taxation. When will these a**holes begin to understand that they do not know how to run the economy or have the knowledge to even make a decent decision for other people. I quote C. S. Lewis again:
“Of all tyrannies, a tyranny sincerely exercised for the good of its victims may be the most oppressive. It would be better to live under robber barons than under omnipotent moral busybodies. The robber baron's cruelty may sometimes sleep, his cupidity may at some point be satiated; but those who torment us for our own good will torment us without end for they do so with the approval of their own conscience. They may be more likely to go to Heaven yet at the same time likelier to make a Hell of earth. This very kindness stings with intolerable insult. To be "cured" against one's will and cured of states which we may not regard as disease is to be put on a level of those who have not yet reached the age of reason or those who never will; to be classed with infants, imbeciles, and domestic animals.” ― C.S. Lewis, God in the Dock: Essays on Theology (Making of Modern Theology)