By Herman Cain on 9.12.05 @ 12:06AM
The free market, not the government, is saving those affected by calamity.
As residents of New Orleans and the rest of the gulf coast begin
to pick themselves up from a devastating natural disaster, they're
finding lots of hands reaching out to help. Ordinary Americans and
companies large and small from across the country are reaching out
by the thousands to offer flood victims their time, talents, and
financial resources. It will take a long time for some communities
to recover from Hurricane Katrina, but we are once again witnessing
that the most effective compassion comes from the private
sector.
While Americans are reaching out, the media are pointing
fingers. The media always seem to point first at the federal
government's response in times of national tragedy -- demanding
that federal agencies do more, spend more, and send more.
An example is a September 2 ABC News/Washington Post
poll. The pollsters were so blinded by their bias that all they
could see was the federal government's response in the aftermath of
Hurricane Katrina. Their questions focused on placing blame on
President Bush and asked people whether the government's response
left them "angry; proud; ashamed; hopeful; or shocked."
A hallmark of our free market economic system is that when
individuals work on pursuing their dreams, in this case rebuilding
cities and states, the positive effects ripple throughout the
economy. Together, those dreams lift a society. It's been widely
reported that Home Depot's stock value rose with the floodwaters.
But the story behind that is exactly what USA Today
reported on September 1: the company's massive effort to stock
stores in the devastated region and to prepare for a speedy
response. As USA Today's Julie Schmit wrote, "Plywood
makers are cranking up production. Contractors and laborers are
lining up to enter the area. Retailers are redirecting products
from as far as Wisconsin to the gulf region."
Without a free economic market, the companies that can help the
most wouldn't have the incentive to hurry to the scene. They know
their products and services will be needed -- so they're doing all
they can to assist those who want to begin the rebuilding
process.
Of course, plenty of companies aren't solely concerned with
demand for their products and services. They're going above and
beyond to provide huge amounts of charitable assistance. In a
commendable September 4 article, the Washington Post told
the tale of corporate generosity in Hurricane Katrina's wake. The
outpouring has included everyone from blanket manufacturers to
wireless communications providers to toymakers. In addition to its
quick response efforts, Home Depot and its foundation donated $1.6
million.
I hope Americans will notice that some of the often-maligned
corporations -- which the media and the liberals hate for making
money -- have given some of the biggest gifts. Wal-Mart pledged $15
million. U.S. drug companies have donated more than $25 million in
cash and pharmaceutical supplies.
And what about the oil companies, whom the media continually
vilify for profiting from gasoline? The Post reported that
Exxon Mobil has pledged $7 million; ConocoPhillips and Shell $3
million apiece; Marathon Oil $1.5 million, and the BP Foundation $1
million. Guess where all that disaster-aid money came from? Profits
from gasoline.
But will the media recognize that corporate profits are used for
corporate charity? It's doubtful. They don't want to admit that
America's marketplace encourages success, which in turn allows the
successful to be charitable. It's times like these when that truth
is most obvious.
The generosity of individual American citizens and corporations
was evident after the 9/11 attacks and the recent tsunami disaster.
We are a country of compassionate, resilient, and hardworking
optimists, and we are proving that again as we seek to help those
in need. When the people in Louisiana, Alabama, and Mississippi
rebuild, it will make the country stronger. Right now we're
beginning to forge new ties between Americans, as people from other
states make sacrifices to get into the affected regions and help in
any way they can.
Rebuilding is not a question of "should we do it" -- it's merely
a question of who will do it. What we're about to see in the coming
months and years along the gulf coast is a dynamic rebuilding
process, and I just hope the media don't get in the way.
When the media look to the federal government to direct every
aspect of American life, it is no wonder that their polls focus
only on the federal government's role in the recovery from
disasters. But if you asked me about the American people's
response, the answer would be clear: I'm proud. And hopeful. And as
long as we enjoy the incentives -- and the charity -- that abound
in a free market society, I will continue to be hopeful about the
future no matter what disasters come our way.
Herman Cain is the former president and CEO of
Godfather's Pizza, Inc. and currently is CEO and president of
T.H.E. New Voice, Inc., a business and leadership consulting
company. He is the National Chairman of the Media Research Center's
Free Market Project.
topics:
Business, Oil