If Men Were Angels...

If men were angels, no government would be necessary. If angels were to govern men, neither external or internal controls on government would be necessary.

James Madison, Federalist Papers.

So, today I get a visit from a guy from the Office of Supervisory Jurisdiction of my broker-dealer...my OSJ. He will be in my office to audit my books and records. He shows up once a year with his notepad and noses around through my stuff to make sure I’m not a crook. I must provide full access to all my checking accounts, business and personal, plus he gets to rummage through my client files looking for any irregularities. During the rest of the year my OSJ is the guy who calls me whenever I make a mistake on an application, or to ask me to explain my reasoning for something I submitted. He’s like a traffic cop who constantly walks around the building looking for someone double parked. You would think our relationship would be strained, but honestly, Herb is a good dude. The way I look at it is, Herb is the guy who’s job it is to insure that I don’t get into trouble. It would be a different story altogether if I was up to no good. If my business model was based on manipulation and exploitation of my client’s money, I would hate Herb. Herb would be my enemy, because I would have a lot to hide and if Herb were to find out about it I would be finished.

I mention this in conjunction with the quote from James Madison that has been banging around inside my head recently. If all financial advisors were angels Herb would be out of a job. Because men are as far from angels as it is possible to be, Herb’s job is secure, his future bright. It’s the same way with governments. Limited government guys like me have to concede the fact that the amount of limits its possible to place on governmental power in large part is restrained by how dark are the hearts of men. Since the behavior of mankind seems to darken by the day, governments continue to grow larger and more powerful.

But the flip side is also true. We are, in fact, decidedly not governed by angels. The men and women in power over us, with a few notable exceptions, are a despicable lot, the halls of power are lined with self-serving, double-dealing, power-hungry careerists who would sell the country down the river for a large enough campaign contribution. Their selfish ambitions and the power of their reach must therefore be constrained...placing this republic in a classic bind. At a time in history when government oversight over the affairs of men is needed more than ever, protection from government malfeasance and abuse has never been more necessary. There are only two solutions. Either the citizens of this country need to start behaving better, or we better elect better people to public office.

Keep this in mind as you go to the polls.