dObama’s Regulatory Chief Believes in “Libertarian Paternalism” - Paul Hsieh M.D.
Capitalism Magazine - March 9, 2009
“The basic premise of libertarian paternalism is that the government should use its power to “nudge” people into acting in their best interest, while leaving them the choice to “opt out.” If the government decides that saving money is good, it would automatically divert a percentage of your paycheck into a savings account in your name unless you explicitly declined. Supporters claim that this preserves freedom because government is only changing the default, while leaving individuals the final choice. It is merely a gentle “nudge,” not a hard push.
However, nudging represents an assault on freedom, because it undermines man’s basic tool of survival — his mind. By creating a default, libertarian paternalism in essence says, “Don’t worry — we’ll do your thinking for you.” Sunstein’s book explicitly compares Americans to a bunch of Homer Simpsons in need of such guidance. If Americans surrender their minds