The world according to Ron Hart (unedited transcript)

For Log columnist Ron Hart, there is plenty of black and white in the world.

Hart is a self-described libertarian, who writes a weekly column in The Log that runs each Saturday.
In addition to opining in his spare time, Hart has appeared on CNN as a political analyst and is a regular visitor to the area.

Regular readers know him for his sharp wit and firm opinions that target big government — both Republicans and Democrats alike. From the amount of feedback we get each week, we know he has quite a following.

So recently, The Log caught up with Hart and did a Q&A with a man, who is ranked among the most successful businessmen in the nation.

Tell us a little about your professional life.
After getting my MBA in 1983, I went to work for Goldman Sachs. Currently, I am ranked No. 1 in the South and No. 7 in the country in Fortune magazine’s recent Reg Rep poll of “Top 50 Advisors in the Country.” Currently I am a managing director of Citi/SmithBarney, with over $5 billion of assets under management.

What are your connections to the Destin and South Walton area?
I have been vacationing in the area since college. Recently I bought a place near Rosemary Beach, and my son is working this summer at The Watercolor Inn. My family loves it there!

What do you love about the area?
The people, since it is the vacation spot for the South. And we all know southerners are the best! It’s all about the golf, the beaches and the restaurants.

What are the area’s biggest problems from a Libertarian perspective and the perspective of a tourist?
Certain areas of 30-A get too congested, so much so that folks do not even bother to drive there. In addition, the expensive airfare to the area needs to be addressed. Getting an AirTran or Southwest Air to come to the new airport should help, along with the better location.

What is your definition of libertarianism?
Smoke all the meth or crack you want, just do not expect me to pay for your rehab. We are for limited government, states rights, individual responsibility and free-market capitalism. As P.J. O’Rourke said, “Giving money and power to government is like giving whiskey and car keys to teenage boys.” He also defined our thinking with his comment “The mystery of government is not how Washington works but how to make it stop.”

How did you come to be a libertarian?
I was student body president and a Republican in college at the University of Memphis. I then went to Georgetown and took economics classes that dealt with Adam Smith, Friedrich Hayek and others who had a view that free-market capitalism was the best way to go.
Upon working at Goldman, it seemed that the libertarian view of the world works best, and the capitalist system is the fairest way to sort out the good from bad in business.
Nothing makes people pay more attention to detail than having their own money at risk. It is hard to be racist, sexist or any kind of “ists” when you are focused on the optimal financial outcome for your investment. It is the great equalizer when the best are allowed to win. Government intrudes and is an impediment to business. The less they butt in the better.
History bears this out.
Why have communism and socialism failed each and every time they have been implemented? It is because a strong and demanding central government is inherently flawed.

What are your secrets to success?
This is a great country. You can be raised in a mobile home, but it can be an upwardly mobile home! While my home did not have wheels, I did grow up in a small Tennessee town near Nashville.
Early on, I worked hard to get better and learn something every day. I was hungry and took a long-term view of relationships and business. I tried never to be expedient and always tried to leave a situation better than I found it. Building something was always more exciting to me than immediate gratification of spending money.
Clients, especially those who made their own money like J.B. Fuqua and Bernie Marcus took a liking to me and that helped. I would never do anything that was not in a client’s best interest and they know that. And I did work hard, because there is no substitution for that.

Do you vote Libertarian why or why not? 
I may this year. Historically I have tried to work within the libertarian wing of the GOP. Sadly, we have had about as much power as the log cabin Republicans, but we keep trying. I am not of the mind set to vote for a libertarian that, at the margin, gives the Presidency to the Dems.

Why is it Libertarians seem to do so lousy at the polls?
See the above. Many of us think we can fix the Republican party from within (Ron Paul, Jeff Flake) and bring it back to its roots, which is, at its core — libertarian.

Who is going to win in November and why?
McCain, I think, will come from eight points behind in the polls to win. At its core, the U.S. is conservative and Obama is way too liberal. In addition, voters do not like to see one party with the House, Senate and White House. The only ones allowed to control all three are lobbyists, as we all know.

Is it naive to think that a candidate who does not pander to pollsters and lobbyists can ever win a national election?
I really hope not. If the media would do its job and point out BOTH sides cozy relationships with special interests (including unions etc), then maybe the electorate would, as we said in my home town "bow up" and do something.
 
Many people believe when you have no government regulation, what you get is chaos in the free market. What do you think?
An educated consumer is the best defense against a corrupt business. That and a vigilant free press. Reputation, in a free market society is everything, and enduring businesses protect that as a precious asset. Some minimal government is needed, but we have gone way too far in the USA. Regulations, taxes and silly government intrusion have sent jobs and corporations overseas. Money and corporations can move more quickly today than anytime in history.
Making it hard on business will send them to a more friendly environment. We have to recognize that. China, ironically, is communist/socialists---which is the way Obama and the Dems want to take us. While Europe moves to the right and more pro-capitalist, we seem to be moving the left and more socialist. Having health care run (1/7th of the economy) by the government, the same one that brought you FEMA, is crazy.

Socialized medicine is not an answer, but private medicine has become unaffordable for a large percentage of working people. What is the answer?
It is not as good as it could be because of plantiffs attnys and government regulation. Wal-Mart type service is the answer. They do $4 prescription drugs now when left alone to compete. They should have Dr's or PA's in every store to handle 90% of folks ills ---and would do so at a reasonable market driven cost. Legislatures in each state need to get out of the way in protecting drug companies and medical lobbies and let the free-market work. Adam Smith wondered if the government should even license doctors since it often sanctioned quacks. His thought that a good Dr with a good reputation is much more important than some bureaucracy issuing credentials.

How do we teach children personal responsibility if there is no parent to do it?
Examples have to be made of how making good decisions lead to a better life. Men need to step up and be mentors. Fathers, who often are marginalized by society and laws, need to assume their roles or they do not need to have kids. Sex education would be important to help people not make a bad decision that will ruin their lives.
It amazes me what people do not know. It would help if Bill Cosby would not be made out to be a dope and Tupac, a hero. Popular culture needs to make Snoop Dog less of a role model and J.C. Watts more of one.
Race relations, meanwhile, needs to be a two-way conversation, not one where whites are lectured to. Reverend Wright’s ranting showed the nation just how far we are apart on racial understanding. Resentment of wrongs, both real and imagined, are fanned by politicians who traffic in class envy. As Charles Barkley pointed out, “poor people have been voting for Democrats for 50 years — and they are still poor.”
It is a complex issue, yet we forget simple truths.
People do not want to hear the fundamental truth about why kids grow up to be on drugs and go to prison. We need to be more honest and less coddling with our dialog in the matter. We tend to PC-dance around the issues.

Are there people who are innately better suited to become rich and powerful?
 Yes. People who have a good upbringing which values/rewards hard work, ingenuity, self-reliance, leadership, creativity and honesty. The neat thing about America, if you look at the Forbes 400 wealthiest people is that most grew up middle-class. Dumb inherited money, through the magic of economic Darwinism, eventually finds its way to the bank accounts of the more industrious. It is fun to watch it happen and when Paris Hilton inevitably files bankruptcy, we as a nation will cheer.

Why do you feel third world countries cannot overcome their poverty and become self-reliant?
Education. It is not in their culture yet to believe in free-enterprise. Even the Soviet Union, a group of well-educated people in a country with vast resources have take a long time to wring out the mind set of communism and corruption in favor of free-markets. I am on a board in Washington DC the endeavors to teach capitalism to break off Soviet Republics and Eastern European countries about the economic theories of Adam Smith and Hayek. All they were taught was Marx growing up and it will take time and a free flow of information to change their way of thinking.

What is the darkest period in American history and why?
When Nixon put a bowling alley in White House. My hope is that Obama will right that wrong when elected. Clearly it was slavery, but it worked itself out. We are inherently a moral country, and in the long-run that prevails.

What do you think of the current economic climate and the struggles Americans are facing?
There have been cycles of inflation and corrections in the economy for thousands of years. This is a normal adjustment of supply and demand. Interestingly, the areas that we have the most inflation is where there is more government control: oil/gas, energy, education, cable and food.
Government does not regulate consumer electronics, and I can buy a PC that cost $1,500 three years ago for $599 today.
Let the free market work and prices come down to the benefit of the consumer. No one company has done more to bring down the cost of living than that evil Wal-Mart that the left so hates.

What do you think about offshore drilling?
It would be great for the Panhandle as long as it is far enough off shore as not to hurt the view from the beaches (which I think is the case). Imaging how nice the high paying jobs will be for the housing market etc. OPEC countries and others laugh at us for being so restrictive on drilling, building nuclear plants and refineries.

What do you think about federal fishing regulations?
When the government does things like this, folks who are the target of their brilliance at meddling wish that government had done it to someone else. So is the case with fishing regulations. The less federal regulations, the better. The bureaucrats in D.C. come in each day and all they care about is what they are going to eat for lunch. They do not have a clue about fishing in Florida and should not butt their nose in.

What do you think about beach restoration? 
If people, with a vested interest to preserve their beach, want to chip and do so, it makes sense. I am not sure it is the government's decision as to which beach to rebuild and under what conditions. It is fraught with problems, chief among them is that it is done by government.

What do you think of the area’s growth over the years?
All businesses and homeowners have a vested interest in seeing Destin grow in a sensible way. The less the government dictates (since the only thing government is good at growing is government) and the more the community is involved, the better. To quote Yogi Berra, “Nobody goes there anymore; it’s too crowded.” I do not think Destin wants that.