The Myth of Socialism Vs. The Reality of Crony Capitalism

Every red-blooded American knows that Capitalism is the

only economic system that works, yet there are posters

appearing in downtown Covington promoting Socialism. The

poster in question appeared over the weekend, at the corner

of Columbia and Kirkland streets, near the Junior League of

Covington building. Are you angry? Don’t be.

Why would anyone reject a free market capitalist system in

favor of socialism? In the academic world, the United

States is referred to as a Mixed Economy, meaning that it

exhibits traits of both Capitalism and Socialism. As

difficult as it may be to grasp for some, the United States

already exhibits socialist tendencies. This is seen in

social programs as well as the so-called corporate welfare,

both ends of the economic spectrum. Some would argue that

the situation actually perpetuates the issues of poverty

and economic disparity.

David Gordon explains in The American Economy is Not a

Free-Market Economy (

“Those of us who favor the free market must confront a

problem. The virtues of the market, and the vices of

socialism and interventionism, have been made incontestably

clear by Mises, Rothbard, Hazlitt, and others… What we

have today is not the free market but ‘crony capitalism’,

an altogether different matter. Government and businesses

are in a predatory partnership that extracts wealth to its

own benefit.”

As many readers are aware, Covington Weekly closely

followed the tale of the Parish’s Economic Development

Foundation, which was recently dissolved.

The St. Tammany Parish Development District, a subdivision

of the state, recently posted a notice to fill the position

of Executive Director/CEO. The link on their website then

takes the applicant to GNO, INC:

“St. Tammany Parish Development District CEO

The St. Tammany Parish Development District, an independent

public entity, seeks an Executive Director/Chief Executive

Officer to lead its efforts to grow business, industry and

jobs in St. Tammany Parish.

To Apply: Email a letter of interest and your resume to: Please be aware that the St. Tammany

Parish Development District is a public entity subject to

the Louisiana Public Records Law. Courts have held that

“applicants” for positions such as this are subject, upon

request, to disclosure. To obtain additional information

regarding the position (without becoming an ‘applicant’),

please email with a request to speak

with someone regarding the position.”

What is the relationship between GNO, Inc. and the STPDD

such that applications for STPDD Executive Director are

being mailed to E. Poitevent at GNO, Inc.? Bill Davis,

President of the STPDD Board of Commissioners, responded to

the question:

“Dear Mr. Gates, Thank you for your inquiry. The St.

Tammany Parish Development District is a political

subdivision of the State of Louisiana and is not part of

St. Tammany Parish Government.
GNO, Inc. is collecting applications and responding to

inquiries on behalf of STPDD, but it is not conducting the

interview process.

The interview process will be conducted by the STPDD Board

of Commissioners. Sincerely, Bill Davis”

While this response appears to give the STPDD an “out,” it

does not address the actual question. When a larger

regional economic development agency influences a smaller

regional economic development agency by means of vetting

candidates for a particular position, then the

representation claimed for the public is irrelevant to the

plutocrats making decisions behind closed doors.

Timothy Achan Gates, CW Correspondent

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