06 October 2010

Fire protection and the free market

Earlier this week, fire fighters in Obion County, Tennessee let a man's house burn to the ground because he hadn't paid his annual $75 fee to the nearby city of South Fulton for fire protection. Here is the short version:
In rural Obion County, homeowners must pay $75 annually for fire protection services from the nearby city of South Fulton. If they don't pay the fee and their home catches fire, tough luck -- even if firefighters are positioned just outside the home with hoses at the ready.

Gene Cranick found this out the hard way.

When Cranick's house caught fire last week, and he couldn't contain the blaze with garden hoses, he called 911. During the emergency call, he offered to pay all expenses related to the Fire Department's defense of his home, but the South Fulton firefighters refused to do anything

They did, however, come out when Cranick's neighbor -- who'd already paid the fee -- called 911 because he worried that the fire might spread to his property. Once they arrived, members of the South Fulton department stood by and watched Cranick's home burn; they sprang into action only when the fire reached the neighbor's property.
I was planning on writing about this, but smarter people have already done the heavy lifting:
I don’t get this debate at all. It is not even a real debate. The fire-protection services were government services. The fee in question was a government-mandated fee. The county lines in which the fee was applicable is a government-drawn line that is completely arbitrary. The policy of not putting out the fire was a government policy enforced by the mayor. As he said, in the words of a good bureaucrat, “Anybody that’s not in the city of South Fulton, it’s a service we offer, either they accept it or they don’t.”

So why is the market being criticized here? This was not a real market. Instead, this is precisely what we would expect from government. In a real market, there is no way that a free-enterprise fire service would have refused to provide the homeowner service. They would be in business to provide that service. The fire would have been put out and he would have been charged for the service. It is as simple as that.

No comments:

Post a Comment

Please be relevant, civil, and brief... in that order.