August, 2020
Lincoln – Omaha and Warren Buffett come out the clear winners over Wichita and Charles Koch in a matchup to determine which has the better record for creating local prosperity.
The analysis by the LA Times looks mostly at philanthropic leadership in the two cities but also dives into political theory.
Charles Koch is an ideologue with an agenda to cut government spending and regulation at every opportunity at every level. His agenda, built on dubious economic and political theories, is aggressively hostile to governments good, bad, and indifferent. Koch support was instrumental in electing Sam Brownback governor of Kansas, which the state came to regret for the incredible damage he inflicted on it, especially to public schools ("government schools" to Koch followers).
Warren Buffett stakes out a different position toward government. He favors higher taxes on people like himself and he supported Hillary Clinton for president in 2016. While his investments, unfortunately, often do not show much regard for social consciousness and responsibility,* his pragmatism and philanthropic spirit have rubbed off on many in the Omaha community, and it is much the better for it.
Which is not to say that Koch is without influence in Nebraska. The Nebraska statehouse has been controlled for many years by Koch-think. As a result, no one these days would seriously hold up Nebraska state government as a good model of competent administration. Nebraska's human services and corrections departments are Exhibit A. The inept handling of the coronavirus pandemic by the governor and his state health director, who are at odds with the medical community and with science itself, are further degrading Nebraska's once-excellent reputation for good government.
What is striking in Nebraska is the split in the business community between the big-business, civic minded leaders based mostly in Omaha and influenced by Buffett, and the smaller business leaders outside that circle who have spent years in thrall of Koch.
The latter, in my view, have made a huge mistake, which is now becoming obvious. For years they denigrated government, ridiculed it, cut into it wherever possible to make its shortcomings purposely inevitable. They did not press for competence in government.** Now, when other countries and localities have the competency to deal with catastrophes like a pandemic, we don't, and we are in big trouble.
Want schools open? Want Nebraska football back? Run from Koch-think as fast as you can.
As I write this, Omaha's business and civic leaders are working to combat the spread of the coronavirus by advocating a government mandatory mask requirement. Ironically, strong evidence of mask effectiveness from Kansas, a state fighting back from years of Koch domination, is pointing the way.
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* Buffet investments push sugary drinks even as we know they are a leading cause of chronic and deadly diseases; his newspaper companies were supported by exploitation of student loan borrowers at predatory for-profit colleges (Kaplan profits kept the Washington Post afloat until it was sold to Jeff Bezos).
** Just to be clear, I'd like to think I take a backseat to no one when it comes to rooting out waste, fraud, abuse, and mismanagement in government. This is part of demanding competence.
