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We're back with another edition of The
Federalist Radio Hour. I'm Emily Tashnsky,

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culture editor here at The Federalist.
As always, you can email the show

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at radio at the Federalist dot com, follow us on Twitter at fdr LST.

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Make sure to subscribe wherever you download
your podcasts, and to the premium

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version of our website as well.
Today we're joined by Michael Tanner. He

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is a senior fellow at the Foundation
for Research on Equal Opportunity. He's the

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author of The Inclusive Economy and also
the author of a new paper that we

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are going to dig into today.
Michael, thanks for joining us. What

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is the pleasure to be with you? Nett, tell us about I've read

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the paper, but tell the audience
a little bit about this latest paper that

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you worked on. If you could
sort of distill the ur the central argument

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that you're making, that would be
awesome. Sure. The paper looks at

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the question that we're facing today of
reparations for African Americans, and I think

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that it basically makes the point that
you can't deny the sort of downstream impact

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of slavery and Jim Crow and ongoing
inequalities in the in the economic system that

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just put African Americans at a disadvantage. So the moral claim that African Americans

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make the reparations is probably something that
shouldn't just be waved away. There's something

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that we should pay serious attention to. That said, we need to recognize

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that there are practical difficulties that make
reparations probably impossible in the long run and

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probably not very effective in terms of
relieving African American problems. So we should

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be looking for more forward solutions,
facing solutions, things like changing zoning laws,

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the police, reform, school choice, things that will give that a

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level of playing field today, rather
than sort of looking back at what we

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can do to make up for the
sins of the past, and what are

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some of those because actually, later, one of the things I did like

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about the pieces that your point about
the downstream effects really can't be denied,

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and we can talk about it as
you do the effects of maybe well intentioned

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government policies as well, But tell
us a little bit about what you see

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as some of the most obvious or
the most workable solutions going forward as well.

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We sure in terms of things that
are going forward, Number one is

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we need to deal with zoning laws
which basically have locked racial segregation and housing

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into place over the years. The
fact is that many whites bought into neighborhoods

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back when it was restricted by race, and that there's values and hosing rises,

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and we put in more stricter,
restricter zoning laws to prevent other types

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of housing and other types of low
cost units from being in that area.

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We perpetuate the segregated outing patterns of
the past. If you look at demographic

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zoning maps from say the nineteen thirties
and you look at them today, they're

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very little change in terms of where
various racial groups live, and that is

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a result of government policy in many
cases. Second, we need to look

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at education. Where you get your
you know, your zip code to large

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attend large extent determines how good your
education is going to be. We don't

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give parents the choice to get out
of failing schools, and the fact is

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that public schools have failed African Americans
and continue to do so. Right,

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and so the point about you in
the paper you talk about how reparations if

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we if we take the ideas for
reparations at face value, which is important

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because California, as you know it
is working on this at the moment,

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and you know, other states could
follow suit if we take the idea that

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reparations are are morally justified and go
on to envision what may happen if some

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type of workable solution from the left
was enacted. You also say, you

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argue that would not necessarily be good
for the black community either. Well,

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that's right for a lot of reasons. I mean, first of all,

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we should recognize that some of the
proposals out there are not really meant to

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be taken seriously. No one is
mailing five million dollar checks to every African

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American in San Francisco an each time
soon. But that said, there are

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some proposals out there that need to
be looked at more seriously. That sort

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of eschewed the idea of white guilt
and talk more in terms of about a

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corporate responsibility that we have for government
actions in the past, which is a

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very different set of circumstances. That
said, money to pay reparations would have

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to come from somewhere. It's going
to be either taxes or debt, depending

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on whether you're talking about the state
or local levels or federal government doing it.

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And that's going to have a tremendous
impact on the economy. It's going

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to cau jobs, is going to
slow economic growth, it's going to limit

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entrepreneurship by making it harder for African
Americans to find jobs or start businesses.

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Is not exactly remedying the problem that
we set out to fix. Yes,

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that could clearly be a little bit
counterproductive on that, and tell us so

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these what we were just talking about, a lot of this is actually rolling

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back, like zoning for instance.
This is that there are government policies that

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are in the way of prosperity or
greater prosperity opportunity for the black community.

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How would you describe is that the
case that actually a lot of this that

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some of these solutions actually can go
after things that are already in the way.

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If that makes sense, well,
that's that should be the primary focus

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right now. That if you simply
pay reparations, that's going to do nothing

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to desegregate housing. If you pay
reparations, it's going to do nothing to

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make these schools and the inner city
better. What we really need to do

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is be looking forward and how can
we change circumstances from this point on,

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Recognizing that the situation isn't fair today, But we can't go back or fix

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the problems of the past. It's
just much easier to criticize them than it

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is to repair them. And simply
doing what we've been doing, which is

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throwing money at this situation, hasn't
worked so far. What we really need

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to do is be having a different
way of looking at how can we level

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the playing field for African Americans.
Well, and this also eliminates the problem

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with reparations that is just enduring and
incredibly difficult of Even if we did agree

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to do some sort of reparations,
who qualifies who gets money and from whom.

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That's an enduring problem. But these
solutions wouldn't really actually even run into

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a roadblock like that one. Well, that's right. These are essentially race

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neutral solutions that will have a race
conscious impact if you will that the African

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Americans are more likely to go to
failing schools. School choice will benefit African

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Americans more they were likely to benefit
middle class white students. But it's nothing

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on the face of it that says
that this is a race conscious solution.

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So in that way, it's unlike
affirmative action or unlike the type of situations

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and the Supreme Court seems to be
striking down right now, which are facially

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raised based and the other. We
can actually go to the first thing that

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we mentioned here, because I think
that's one of the most interesting questions,

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and you address it at length in
this paper, the moral justification for reparations.

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If you were in conversation, as
I'm sure you have been with the

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skeptical conservative, maybe a skeptical black
conservative, you're in conversation, maybe with

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Thomas soul, and you're making the
point for why this case should be made

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to a skeptical conservative who says a
lot of this, you know, post

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the last couple of decades is not
the fault of wide Americans. It's not

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you know, the continue the continued
effects of slavery. What would your response

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to that be, Well, I
think it's true that it's not the fault

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of white Americans, and I don't
think most of the serious reparations proposals are

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sort of based on this idea of
individual behavior, the idea that well,

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my grandparents never owned slaves, therefore
I'm not obligated. Nobody is suggesting that

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it's about individual sins of the past. But you have here is government action,

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and there is sort of a corporate
liability that cruise to government action.

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Now, if you if somebody's car
hits a pothole because the road is badly

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maintained, they have a claim against
the city, even if that is going

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to be paid for out of taxes
from people who had nothing to do with

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road maintenance. And that's that's a
long standing legal tradition. And I think

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the same thing applies in terms of
reparations. These are government policies. The

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government enforced segregation, the government enforced
slavery, and I think that there is

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an obligation to make up for what
the government has done in the past.

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Yeah, that's that's interesting that it's
a reparation from the body that is responsible,

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and obviously it's representative of the people, but it's the government sort of

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shouldering the weight of the burden rather
than individuals shouldering not. Well, that's

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right, And you know, I
do think that we can't say that all

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African American problems are based on past
behavior by the government or by white people

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or anything of that nature. Well
we can suggest, however, is that

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you can't have a ten lap race. We'll have one of the racers where

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changed for nine of the ten laps
and strike them off and say, Okay,

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everything is equal. From this point
on, I think we have to

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recognize that there are costs that have
accrued in the past. For example,

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there's about ten to fifteen trillion dollars
in lost wealth to the African American community

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because of lost wages from slavery or
when African members are paid less under Jim

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Crow and so on. That's wealth
that doesn't exist in the community today that

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can't be used to build businesses and
to stimulate entrepreneurship and things of that nature.

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Now, we can't go back and
pay fifteen trillion dollars in compensation,

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but we can look at those things
that understand why there are inequalities in the

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system today. Yeah, I'm reading
from a Thomas soul op ed here.

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It's from two thousand and one,
and he writes decades of propaganda from black

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leaders have also convinced many, if
not most, blocks their achievement has been

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due to political activism, and then
end to racial preferences and quotas would mean

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an end to their progress. Blocks
lose most of all of the version of

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their efforts and energies into seeking reparations
that they're not going to get instead of

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into the many economic opportunities that pay
off a lot bigger. So actually,

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Michael, this is almost the sort
of happy medium. Your solution is almost

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the happy medium here to pursue opportunity
sort of rebranded as reparation, to say

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there is a case for inequity as
a consequence of slavery, as a consequence

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of jim as a consequence of discrimination. The band aid not the band aid.

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The solution isn't to hand out money. The solution is to roll background

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tape and to people give people the
opportunity to prosper. I think that's exactly

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correct. I mean, look,
politics doesn't have to be zero sum,

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But on the other hand, political
capital is not infinite, and to waste

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political capital on a sort of chaotic
chase after reparations that are never going to

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happen, I think it's wasting an
opportunity that we have right now. When

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we're having kind of a long term
discussion about race and what it means in

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America. We have an opportunity now
to make some reforms. We should be

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realistic and what we're trying to achieve
At the same time, we should also

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recognize the simply doing what we've done
for the last fifty or sixty years in

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terms of throwing money it's various problems
hasn't worked. And simply rebranding throwing money

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at the problem is now as reparations
isn't going to make it things any better

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than they've been in the past.
Yeah, I was going to ask about

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that. You know what, Obviously
we've already sort of talked about downstream wage

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loss, for instance, what studies
have found. And actually I think this

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is something that conservatives ignored to their
detriment, that government policies, as you've

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mentioned, actually specifically and in ways
that we can I think understand with even

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quantified numbers and data, have actually
directly led to inequities. It doesn't apply

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to every individual, certainly, that's
not the case. It doesn't mean that,

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you know, somebody born in nineteen
ninety is guilty of what their ancestors

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did in eighteen ninety and eighteen fifty
seventeen ninety. It doesn't mean that at

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all. But it does mean that
at least some of what we're seeing if

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you think of generational wealth. I
know a lot of people on the right

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in particular, get frustrated by that
because they don't have generational wealth. You

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know, they look at their own
lives and they don't see white privilege,

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and that's entirely understandable. On the
other hand, there are some cases,

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obviously, there are some cases in
the aggregate. When you look at it,

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there's there's clearly an effect. What
effect, then, have well intentioned

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government government policies had on exacerbating some
of these iniquities since the War on Poverty

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and the Great Society in particular,
Michael, Yeah, I mean, we

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certainly have made a lot of progress
in this country and we've tried very hard

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to remitty the inequities, but they're
still there. I mean, if you

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look at terms of unemployment, to
mald race, poverty, race well,

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intergenerational wealth, all those sorts of
things, you find that they are not

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evenly distributed by race, and a
lot of that can be traced back to

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these sort of downstream impacts that we've
been talking about. Now, how do

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you go about fixing that? I
think that what we need to be doing

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is looking at the problem itself and
saying how do we fix that problem?

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Not trying to sort of reach back
and say, how do we fix the

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original cause we can't do that.
I mean, essentially, the debt we

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owe African Americans in terms of slavery
and Jim Crow and four hundred years of

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maltreatment by the government is not a
payable one. So let's let's get real

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and see what we can do.
You wrote a book called The Inclusive Economy,

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as we mentioned at the top,
and actually this is this paper is

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in the same sort of thematic ballpark
of that book. And in the book,

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I'm reading from the description because it's
a it's interesting to talk about combining

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social justice with limited government. Your
plan includes reforming the criminal justice system and

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curtailing the warrant drugs, bringing down
the cost of housing, reforming education and

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give more control and choice to parents, and making it easier to bank,

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they borrow and invest. I want
to talk about the War on drug point,

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because that is interesting. We saw
the Trump administration pursue it, and

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now a lot of people on the
right criticizing Trump from the right on the

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particular his policy in that case,
the one that sort of famously brought together

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Kim Kardashian and Ivanka and Jared.
But what role does the war on drugs.

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I can imagine a lot of people
on the left saying, actually,

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that is one of the very biggest
roadblocks right now to escaping the cycle of

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poverty in the black community. So
what role from your perspective does that play

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in this entire landscape. Well,
I think the whole criminal justice reform issue

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often gets oversimplified as being either soft
on crime or tough on crime. And

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in reality, what African Americans want, and what low income people want,

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and what Americans want is effectiveness on
crime. They watched to find people who

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are repeat criminals, people who are
causing problems, peop who are violent and

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take them off the street. And
the fact is that, especially in low

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income communities, far too often the
policing is haphazard. The clearance rate for

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crimes is very small, the amount
of efort put into actually finding criminals is

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pretty small. At the same time, in order to make the charts look

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good and make your arrest rates look
good, there's often an over emphasis on

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petty crimes that are out there.
So you start arresting people with marijuana,

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for example, or simple possession of
drugs, and often that that builds up

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your stats but doesn't do anything to
get real criminals off the street. Yeah,

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that makes sense. Are there are
other I guess things in that along

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those lines. So we're on drugs
and we're talking about I mean, obviously,

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again, like Thomas soul Is,
a lot of people on the right

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would would say, there are cultural
roadblocks that will just you know, we

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can do opportunity zones, we can
do reverse zoning laws, we can we

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can do all of these things,
and there will still be deep seated sort

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of cultural problems, for instance,
a single parenthood etcetera, etcetera, although

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there's probably an argument actually that single
parenthood itself is downstream a sort of great

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society. We're on poverty, government
policies that can be changed in and of

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themselves. I imagine you're actually probably
familiar with some of those things in the

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welfare system that could probably be tweaked
in a helpful way. Well, we

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do just incentivize marriage and in marriage
childbearing through the welfare system. We also

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discourage marriage in a number of other
ways. We do know that it's generally

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better to be married than not because
the two incomes is better than one,

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although cohabitation often has made a big
difference than in those terms. But it's

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also we know that women who have
children outside of marriage are much more likely

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to be poor than those who don't
have children or who wait until after they're

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married to have children. That said, the question is exactly who poor black

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women are going to marry. We
often behave as if this is giant pool

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of inner city computer programmers that are
just waiting for them. The reality is

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that a lot of our policies have
made it difficult for African American men to

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get the type of jobs that are
going to support their families. That you

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do have to deal with the criminal
justice issues in the inner city. William

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Julius Wilson points out that about a
million and a half young Black men have

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been taken out of the marriage pool
because they now have criminal records or tied

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up in the criminal justice system in
some way that makes it difficult for them

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to be a good provider in terms
of a family. Yeah, that's exactly

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where I was going to ask next. So you've already answered the question I

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want to ask also about There's so
much to talk about here. I want

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to ask about. I guess the
combination or let me just have something more

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specific. Tim Scott is obviously running
for president and made a lot of headlines

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with his opportunity zone Paul that was
added to the Trump administration's tax bill that

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passed was that twenty seventeen now is
there and that's, by the way,

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something that is and you could probably
explain this but then I can, but

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that's something that was business friendly allowed
for sort of investment incentives. Is that

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something that you find helpful? Michael? Did you think that policy worked out

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well? Because I feel like that's
pretty representative of the way a lot of

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conservatives have approached this issue. And
you know, it's it's now been on

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the books for you know, half
a half a decade roughly. But what

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have you seen when we look at
opportunity zones? Is there something to go

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off of their going forward? I
think it's theory. They make sense and

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like good many of the free markets
years, I was much in favor of

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enterprise zones or opportunity zones when the
idea first came out. I think Jack

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Kemp going way back, was one
of the first to push on that idea,

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and of course Reagan and others.
Uh. Then then they sort of

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fell out of disfavor. There was
a lot of evidence to suggests that they

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didn't really create new businesses. They
simply moved businesses from one part of town

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to another. There was a great
deal of corruption in the awarding of opportunity

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zone designation that they're well connected managed
to get their business designated and others were

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left out. So they sort of
fell out of favor, and the idea

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became that they weren't really working.
A couple of studies recently within the last

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year of come out now and suggested
that maybe we should rethink them because there

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is evidence that they are starting new
businesses and guiding businesses in the underserved areas.

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So I think this is open for
debate right now. We really need

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to look at more research on it. But I think it's something that's not

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it's a program whose hearts in the
right place. Yeah, So that's actually

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where I was going to go with
that was wondering. You know that I

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have heard some of the questions about
chronyism when it comes to opportunity zones,

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and you know, investment incentives that
can lead to this is just a problematic

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relationship between government and business. But
uh, you know, in the overall

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sort of picture of them, I
do feel like they're representative of the way

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a lot of people on the right
have approached this. And as somebody who's

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studied this for a very long time
written books on this, I wanted to

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ask Michael what you think it is. And some of this is in the

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paper, but just kind of overall, looking at the last couple of decades

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and maybe even the very very recent
past, what you think it is that

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conservatives get wrong when they approach the
question of poverty from a policy perspective.

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Is are there certain things that conservatives
still are not understanding or that they're still

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sort of clinging to in these policies, or there's certain things that they just

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need to sort of open their minds
too that they haven't in the past.

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Yeah, I think we need to
recognize that poverty is not a moral failing.

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I think there's still a sort of
a Darwinian response social darwinners in response

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in there that suggests that if people
are purged, their own fault because they've

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made a lot of bad decisions over
the or their life, and in many

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cases, of course, those bad
decisions have led to increase poverty or harder

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to get out of poverty. On
the other hand, we don't live in

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a pure meritocracy. Things like luck
do play a role. Things like race

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and where you're born and what your
parents do and where your parents came from.

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All those sorts of things do play
factors in this, and we should

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so we should recognize that poverty often
has many multifaceted causes and we should be

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looking to them. That doesn't mean
that we need to simply get people more

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money. Too Much of our anti
poverty policies have been based on the idea

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that somehow we're going to make poverty
less miserable. If we give people enough

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money, we'll make sure that they
get fed and a roof over their head

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and clothing and medical care. But
they're not becoming self sufficient. They're not

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able to be fully actualized, to
rise as far as their individual talents can

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take them. We should be focusing
less on sort of the survivable level of

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poverty and more on the idea of
how we can enable people to eyes out

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of it. And I think that
the sort of conservatives and liberals both don't

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want to talk about that. Hmm, yeah, no, that's that's a

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really interesting way to put it.
If this were, you know, sort

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of politically let's say there's a Republican
president and Republican controlled the Congress going forward,

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but maybe, you know, like
in previous times or actually this administration

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itself, there's been a need to
compromise on a bipartisan level. How how

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should conservatives pitch this to the left? And I asked that because if people

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read the paper I think they see
it, they'll they'll read language that you're

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using in a way that is intentionally
written, crafted to uh, you know,

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find be persuasive and and find agreement. So, you know, and

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hypothetically, if if a conservatives work
on free market based anti poverty programs with

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the left, what's the best way
to sort of take somebody who is pro

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uh your government check based reparations and
bring them to the side. Yeah,

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I think we have to ask them
what is the purpose of the programs they're

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proposing? Why are they suggesting we
do what we do? And then if

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we agree with the final outcome on
that, we just then we ask is

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this the best way to achieve it? I think to some degree we have

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to come to common ground in terms
of what are what would be the ideal

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outcome if we could lift more people
out of poverty. If we could start

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more on businesses, if we could
create more jobs, would we think that

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that would solve the problem. And
I think it would go a long way

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towards doing so. And then it's
a matter once we reach agreement on the

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goal, then we can sort of
negotiate the details of how to get there.

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But I think we've got to talk
in terms of common language on what

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it is we're trying to achieve.
You know, it's so interesting because there's

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this chart that always goes viral that
AI updates every once in a while.

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You've probably seen it, Michael.
I think it's Mark Perry's chart. Where

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do you see the cost of certain
woods? Since I think it's like about

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nineteen eighty that are the Some of
the costs are going up, some of

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the costs are going down. And
you see the cost of things that are

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going down. It's like TVs and
those types of things. The things that

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are going up, it's it's housing, it's medical care. And this really

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gets you know, some some people
on the New Right, myself included,

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there's you can understand why a lot
of people are frustrated with this economy when

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you look at a trit like that, but then also, uh, you

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libertarians very rightfully point out, they'll
write, you know, where the subsidies

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are going on the graph, like
they'll actually like add it to the to

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the graph itself, the words,
you know, subsidies. And it's absolutely

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true, things like housing and healthcare
that are not helpful for people who are

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trying to escape the cycle of poverty, that are trying to move up the

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socioeconomic ladder and enjoy upward mobility that
probably was more accessible in earlier eras,

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those are heavily subsidized. And that
is not just the faults of the left,

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that is also the faults of the
right. It is some of this

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the faults of Republicans for being too
cozy with industry in many of these cases.

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Oh, absolutely, we should recognize
that most of what we spend on

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fighting poverty never goes to a poor
person. It goes to a large group

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of people who basically serve the poor, whether that's landlords or doctors or grocery

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stores or whatever. But very little
of it actually ends up directly in the

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hands of a poor person. You
know, the big fight over food stamps

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every year is not necessarily split along
Democratic Republican line to split between urban Democrats

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and farm state Republicans who favor increase
food stamps spending, and people who are

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at outside of those two categories who
worry about where the money's going. Yeah,

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And the reason I ask that is
actually because as the new right types,

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they're conceiving new ways to help people
at the sort of lower end of

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the scioeconomic ladder. Out of their
solutions are subsidy base and that is I

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feel like it's a very clear lesson
that we've learned from the past that it's

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probably not the best way to go
about because it doesn't have the intended consequences.

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And at this point we have decades
of the experiment being run giving us

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evidence in that direction. Yeah,
right wing subsidies are not likely to be

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more successful than left wing subsidies,
I think we can suggest. I mean,

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just look at a case for example, in terms of housing, we

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provide housing bodies vouchers based on sort
of median rents in an area. That

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means if you have a terrible housing
policy, your zoning laws are so strict,

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you have other restrictions on building of
environmental policies like let's say California for

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instance, that makes the housing costs
extremely expensive. We increase the subsidy,

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and we reward you for having that
terrible policy. We really should be making

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any subsidies and tangent on their making
reforms that are going to lower the cost

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of housing now reforms that drive up
the cost of housing. But sounds impossible

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just with this government. The thing
I wanted to also end on is you

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look at previous examples. And again, one thing I like about this paper

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is you look at the way the
United States has approached Native Americans. You

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look at the way actually that Ronald
Reagan approached the consequences of Japanese internment.

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There are some concrete examples in American
history of the government deciding listen, something

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is owed here, and we can
do it. There's a workable solution.

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But reparations have become a right so
politically charged and partisan because of the I

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think the word itself and there are
competing definitions of it, but that the

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term has just become a political lightning
rod. If we tear away some of

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the chatter and try to look through
the political fog, there are some a

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legitimate concerns and then be workable solutions. When you were looking back at the

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past, and you even look over
Europe the years after the Holocaust that was

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approached. What lessons can we take
historically from how different places have approached this

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problem in different situations. Well,
I think those places that have tried to

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address specific instances of mistreatment for minorities
I've been the most successful. Virginia,

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for example, has not gotten a
lot of grief over its reparations programs,

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but it actually has one that was
just recently extended by Governor Junkin, which

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dealt with the fact that in the
nineteen fifties the schools were largely closed the

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Great Defiance went on, and a
lot of southern states and when the integration

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00:29:49,680 --> 00:29:53,279
took place, they shut down the
public schools. Well, there's actually a

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00:29:53,319 --> 00:29:59,680
fund in Virginia to compensate people who
lost their education because their school was shut

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00:29:59,720 --> 00:30:04,279
down or they couldn't get to school, and that was just extended. So

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I think that sort of discrete,
targeted approaches. The police torture case in

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Chicago, for example, or reparations
for some of the African American communities that

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00:30:15,920 --> 00:30:19,799
were destroyed during Jim Crowe, those
type of things tend to have the most

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00:30:19,799 --> 00:30:26,640
excessive reparations, but none of them
are going to solve the long term problems

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that we face. Yeah, I
thought what you heard about the Native American

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community in particular, where they ended
up getting less than a thousand dollars apiece,

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and it was in I think what
like it went to a large conglomerated

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fund, something to that effect.
I found that to be pretty interesting example

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00:30:42,400 --> 00:30:47,880
of maybe even a persuasive example to
the left when they're arguing for reparations.

398
00:30:47,920 --> 00:30:51,119
There seems to be something to learn
from that example. Yeah, given the

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00:30:51,160 --> 00:30:55,559
money to the bureaucracy doesn't necessarily rebound
to the benefit of the supposed recipient.

400
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I think the Native Americans are a
great case. We we actually had two

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00:31:00,359 --> 00:31:06,400
different programs that were designed to provide
reparations for taking Native American land, and

402
00:31:06,720 --> 00:31:10,960
Native Americans got very little of it. Yeah, that's I think unsurprising,

403
00:31:11,039 --> 00:31:15,480
tragically unsurprising, but unsurprising. Nonetheless. Michael Tanner is a senior fellow at

404
00:31:15,480 --> 00:31:19,400
the Foundation for Research on Equal Opportunity
known as free OP and the author of

405
00:31:19,440 --> 00:31:23,440
The Inclusive Economy, also the author
of the paper We've been discussing, which

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00:31:23,440 --> 00:31:27,920
you can read at freeop dot org. It's called insider reparations, expand opportunities

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00:31:29,000 --> 00:31:33,079
for African Americans. Michael, thanks
for joining the show. My pleasure.

408
00:31:33,559 --> 00:31:37,440
You've been listening to another edition of
The Federalist Radio Hour. I'm Emil Jashnski,

409
00:31:37,519 --> 00:31:40,279
culture editory here at the Federalist.
We'll be back soon with more.

410
00:31:40,440 --> 00:31:51,880
Until then, the lovers of freedom
and anxious for the fright her the favors

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00:31:52,000 --> 00:31:56,079
a reason, then faded away.
