Do we need the federal Small Business Administration (SBA) to provide loans to entrepreneurs and small business?
Liberal: Yes. Otherwise many minority-run or female-owned businesses would not be able to get start-up funds and create jobs in their communities. Conservative: Yes. Anything that helps free enterprise is a good thing. Libertarian: No. The SBA is just another example of welfare for business. The agency hands out money that was seized from working taxpayers and successful businesses. It gives that money to people who failed to persuade lenders to loan them funds voluntarily. Free-market venture capitalists are perfectly capable of deciding which new businesses have a realistic chance of succeeding, and lending money accordingly. About the author: David Bergland was the Libertarian Party’s candidate for President of the United States in 1984. He is the author of Libertarianism in One Lesson. The above essay is Chapter 18 of The Ninth Edition of his book, which was published by the Advocates.
