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Peter S. Cohan, WALL & MAIN

Published Wednesday October 23, 2013 at 5:00 am

Updated Wednesday October 23, 2013 at 7:50 am

Hurray! The Red Sox are in the World Series afresh abrasion abroad all but a ambiguous anamnesis of October's 16 day government shutdown. I would be blessed to balloon about that unpleasantness, except for the $24 billion it bulk the American abridgement and the absolutely baneful political arrangement from which it sprang that is abiding to rear its animal arch at the alpha of 2014 aback the accepted concise accord expires.

But I accept a bashful angle to accomplish Washington act added like a role archetypal of democracy: Require the actuality who led the abeyance Calgary, Alberta-native, Senator Ted Cruz (R-Texas) to pay for the bread-and-butter accident that his "leadership" helped cause.

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How abundant accident did the abeyance cause? Standard & Poor's Ratings Casework said on October 16 that the abeyance bargain fourth-quarter 2013 gross calm artefact advance by at atomic 0.6 percent demography $24 billion out of the economy.

Should Mr. Cruz abode a $24 billion analysis to the U.S. Treasury to awning the accident that he acquired to the U.S. economy? He is beneath no acknowledged obligation to do so. Nor is he the alone actuality amenable for the shutdown.

But he would be a acceptable actuality to accept the $24 billion balance and he could go hat in duke to aggregate from his adolescent travelers. Afterwards all, he was the actuality who filibustered the Senate for 21 hours on September 24 in an accomplishment to defund the Affordable Care Act in barter for aperture up the federal government. That accomplishment was adjourned by $200 actor from Wichita, Kansas-based Koch Industries, according to the New York Times.

And House Speaker, John Boehner (R-Ohio), invoked the Hastert Rule which calls for a baton not to accelerate legislation to the House attic for a vote unless it has the abutment of the majority of the majority to accumulate the House from voting on a bill that would accept kept the government from shutting down. Rolling Stone appear that 174 Tea Party Republicans associates of the Republican Abstraction Committee adjoin it.

Why should Cruz pay? To accept my reasoning, let me altercate two account from the University of Chicago incentives matter, and chargeless markets rule; and one from the Supreme Court, that money is First-Amendment-protected speech.

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University of Chicago economist Gary Becker becoming a 1992 Nobel Prize for his account about how bodies acknowledge to incentives. For example, he argued that best abyss are not deranged lunatics, but rational people. According to the Chicago Tribune, he argued that "criminals counterbalance the accolade of a abomination adjoin the likelihood of accepting bent and the severity of the punishment. Becker came to abstraction this accountable afterwards he absitively one day to illegally esplanade in a acceptable spot." Change the incentives, and you change the behavior.

Another University of Chicago abstraction that "free markets" able by government action crop bigger allocation of assets was propounded by Mr. Becker's mentor, 1976 Nobel Prize champ Milton Friedman. This aesthetics underpinned the deregulation of the banking casework industry, finer repealing the Glass-Steagall Act anesthetized in the deathwatch of The Great Depression, that led to the banking crisis of 2008 that bulk the U.S. $23.7 abundance in banknote and guarantees according to Bloomberg.

Finally, there is the 2010 Supreme Court accommodation Federal Election Commission vs. Citizens United which equated money with accent enabling companies to absorb an absolute bulk of money on politicians and political advancement as adequate by the Aboriginal Amendment of the Constitution.

What do these three account accept to do with Mr. Cruz? The abstraction of chargeless markets is absolutely important actuality ,especially as it pertains to the alleged Tea Party of which Mr. Cruz is a articulate member. The Tea Party was formed in the deathwatch of bodies actuality agitated that the government was bailing out Wall Street during the 2008 banking crisis kicked off by CNBC's Rick Santelli's February 2009 bluster about taxpayers "bailing out the mortgages of deadbeats."

In adjustment to be logically constant with Mr. Santelli's appearance that taxpayers should not pay for the banking mistakes of the bodies who acquired them, Tea Partier Cruz should be the one to buck the costs of the government abeyance that he caused. Added specifically, application Tea Party logic, why should taxpayers pay the salaries of government workers who were furloughed for 16 canicule acknowledgment to Mr. Cruz? Let Mr. Cruz pay.

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This brings me to the accent of banking incentives. Mr. Santelli's abuse that sparked the Tea Party blaze was sparked by a abuse of a basal chargeless bazaar idea: Bodies who booty a accident should accept the rewards, if any, that breeze from it and they should buck the bulk of a bet gone bad rather than alive that accident assimilate addition else.

But Mr. Cruz is not abode the $24 billion accident to the abridgement that he kicked off. In fact, he enjoyed a $1.2 actor access in contributions afterwards his filibuster, according to The Atlantic Wire. Mr. Cruz's accommodation to delay was a rational acknowledgment to incentives. So it stands to acumen that if the incentives were changed, he ability alternate to accompany such a action in the future. If instead of accepting $1.2 actor in attack contributions, he were affected to pay the abounding bulk of the government shutdown, he ability anticipate alert afore accomplishing it again.

Finally, there is the bulk of equating money with speech. This brings to apperception the abstraction that the Aboriginal Amendment does not assure all forms of speech. For example, Supreme Court Justice Oliver Wendell Holmes wrote in a 1917 decision, one that blocked the administration of flyers opposing the World War I draft, claiming that they constituted a bright and present crisis to the U.S. beneath the Espionage Act that "the best acrimonious aegis of chargeless accent would not assure a man falsely shouting blaze in a amphitheater and causing a panic."

But absolutely the government abeyance and the abortion to accession the government's debt beam until the aftermost moment came alarmingly abutting to causing banking panic. Perhaps the banned to abandon of accent about which Mr. Holmes wrote should administer to the way Koch Industries spent $200 actor to abet Mr. Cruz's about panic-inducing utterances.

To stop that from accident in the future, all we accept to do is administer the chargeless bazaar attempt that got Mr. Cruz's Tea Party started in the aboriginal place. Accomplish Mr. Cruz pay aback the $24 billion he helped bulk America!

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Peter Cohan of Marlboro active a administration consulting and adventure basic firm, and teaches business action and entrepreneurship at Babson College. His email abode is peter@petercohan.com.

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