Good intentions do not guarantee desirable outcomes

July 12, 2009 by admin · Leave a Comment 

There is a tendency to believe that if the proponents of a policy have good intentions, their proposals must be sound. This is not necessarily the case. Proponents may be unaware of some of the adverse secondary effects of their proposals, particularly when they are indirect and observable only over time. Even if their policies would be largely ineffective, politicians may still find it advantageous to call attention to the severity of a problem and propose a program to deal with it. In other cases, proponents of a policy may actually be seeking a goal other than the one they espouse. They may tie their arguments to objectives that are widely supported by the general populace. Thus, the fact that an advocate says a program will help the poor, increase wages, improve health care, expand employment, or achieve some other highly desirable objective, does not necessarily make it so. Let’s begin with a couple of straightforward examples. Federal legislation has been introduced that would require all children, including those under age two, to be fastened in a child safety seat when traveling by air. Proponents argue the legislation will increase the survival rate of children in the case of an airline crash and thereby save lives. Certainly, saving lives is a highly desirable objective, but will this really be the case? Some lives will probably be saved. But what about the secondary effects? The legislation would mean that a parent traveling with a small child would have to purchase an additional ticket, which will make it more expensive to fly. As a result, many families will choose to travel by auto rather than air. Because the likelihood of a serious accident per mile traveled in an automobile is several times higher than for air travel, more automobile travel will result in more injuries and fatalities. In fact, studies indicate that the increase in injuries and fatalities from additional auto travel will exceed the number of lives saved by airline safety seats. Thus, even though the intentions of the proponents may well be lofty, there is reason to believe that the net impact of their proposal will be more fatalities and injuries than would be the case in the absence of the legislation.
The stated objective of the Endangered Species Act is to protect various species that are on the verge of extinction. Certainly, this is a admirable objective, but there is nonetheless reason to question the effectiveness of the Act itself. The Endangered Species Act allows the government to regulate the use of individual private property if an endangered species is found present on OY near his or her land. To avoid losing control of their property, many landowners have taken steps to make their land less attractive as a natural habitat for these endangered species. For example, the endangered red-cockaded woodpecker nests primarily in old trees within southern pine ecosystems. Landowners have responded by cutting down trees the woodpeckers like to nest in to avoid having one nest on their land, which would result in the owner losing control of this part of their property. The end result is that the habitat for these birds has actually been disappearing more rapidly. As you can see, good intentions are not enough. An unsound proposal will lead to undesirable outcomes even if it is supported by proponents with good intentions. But economic thinking can help us avoid this pitfall.