As a believer in free markets and limited government, it is dispiriting to see the American people (50% of them anyway) choose European social democracy. However, there is a silver lining to the black cloud of Obama’s re-election: some of the Democratic party's policy positions are good. Obama is a mitigated disaster, and we can take some comfort in that.
First, the Democrats are more liberal--read libertarian--on the social issues. They do not want to revisit the criminalization of abortion, which would be a disaster for all concerned (I know: my godfather was on the NYPD abortion squad). The Democrats are generally more supportive of an enlightened drug policy, as opposed to the current prohibition that keeps the drug cartels, the prison guards and the DEA in business, and which is turning Mexico into a failed state which exports its illiterate peasantry.
I wish the Democrats had the guts to advocate drug policy reform, but they don’t, probably because of the prison unions and other corrupt influences. It would be a great day for liberty if some future president could zero out the DEA and all of its infantry, weaponry and foreign adventurism. Forgive me for pointing out that the DEA is also 100% unconstitutional.
Second, the Democrats understand monetary policy much better than do the Republicans. It is an indisputable fact that the GOP is opposed to QE and to the reappointment of Bernanke as Fed chairman. The GOP is the party of hard money and flirtation with the gold standard. The US will never be able to correct its debt trajectory as long as it pursues European-style deflation. Growth is the only way to balance the budget and to grow the denominator of the D/GDP ratio. I have much more confidence in Obama’s choices for Fed governors than Romney’s. I hope that Obama reappoints Bernanke or a a man of similar excellence.