It's difficult to identify major problems that exist in our country that weren't caused by the government. Resentment in the Middle East is mostly due to U.S. interventionism. The U.S. imposed the Shah on the Iranian people, and he killed many. The U.S. imposed Saddam on the Iraqi people. The U.S. encouraged Saddam to do battle with Iran, and supplied him with weapons. Even chemical weapons, which he used on Iranian civilians. Likewise the U.S. provided weapons to Iran as well to fight against Saddam. The U.S. used the money from the sale of weapons to Iran to fund the Contras, who were busy attacking Nicaragua. Likewise, elsewhere in Latin America U.S. interventionism is largely to blame for resentment there. In Panama the U.S. imposed another CIA operative, Noriega, on the Panamanians. When the U.S. decided Noriega was a problem he was ousted violently, and many civilians in Panama were slaughtered.
The same thing is true with regards to the economic crisis that currently exists. Is capitalism the problem? Do we need more government intervention? In fact what we need is the very opposite, as Ron Paul explains well here. Notice how Ron Paul, speaking in 2002 long before the housing bubble had really burst, explains why a housing bubble is to be expected. The central planners that manipulate the value of money create the mal-investment that leads to the irrational financial decisions that are made. If the market were permitted to function without government regulation, then the true value of money is reflected in the price. When the central planners set the price, the market information is lost, and people make wrong, uninformed decisions.
It is the government involvement that caused the problem in the first place. But what politicians will do is use the current crisis to pile on more regulations that will lead to even greater problems. As Paul writes: "The only decision now before the central planners in Washington is whose special interests will continue to benefit from the coming pretense at reform."
If we don't get government out of the way things could get very bad in the U.S. Unfortunately neither the Democrats nor the Republicans are willing to fix the problem. I'm concerned that this is all going to end at some point in the near future. And it will end badly. Unless people wake up and we get the government out of the way.