[Editor note: This article first appeared in the October 2010 issue of Discovery, the quarterly newsletter of Koch Companies, Inc. This company’s values include an adherence to free-market capitalism, in opposition to political capitalism or rent-seeking, currently the fashion at a number of major U.S. corporations. (Also see “The Future of  Economic Freedom“). ]

We live in an era when many people–including policymakers and media celebrities–view businesses and corporations with disdain or intense suspicion. Their way of thinking begs a simple question: What is the primary role of business?

Is it to create jobs and provide benefits?  Help advance a social agenda?  Or just to make as much money as possible, by exploiting customers and employees?

As a matter of principle, Koch companies believe there is only one reason for any business to exist: creating value.…

What am I missing? Is there some aspect of our inane energy policies that I am failing to understand, much less appreciate?

“We the People” just booted a boatload of spendthrifts out of Congress, after they helped engineer a $1.3 trillion deficit on America’s FY-2010 budget and balloon our cumulative national debt to $13.7 trillion.

And the “bipartisan White House deficit reduction panel” chimed in with a 50-page draft proposal, offering suggestions for $3.8 trillion in future budgetary savings. The proposal targets $100 billion in Defense Department weapons programs, healthcare benefits and overseas bases. It also proposes a $13-billion cutback in the federal workforce and lining out $400 million in unnecessary printing costs.

Yet, amazingly, not even this independent commission was willing to eliminate the $6-billion sacred cow of annual ethanol subsidies!…

Can the Endangered Species Act (ESA) compel America to abandon fossil fuels?

My colleague William Yeatman alluded to this question last week after attending a symposium at the Heritage Foundation entitled, “Saving the Polar Bear or Obama’s CO2 Agenda?”

The short answer is yes and no. Yes, because once the Fish and Wildlife Service (FWS) listed the polar bear as a “threatened species” on the supposition that carbon dioxide (CO2) emissions are melting the bear’s Arctic habitat, the ESA logically requires that people stop engaging in CO2-emitting activities. The potential for mischief is vast. Carbon dioxide emissions come from fossil energy use, which in turn derives from economic activity. There is hardly any economic activity in the modern world that does not, directly or indirectly, produce CO2 emissions. Hence, almost any economic activity can be deemed to threaten the polar bear and, thus, violate the Act!  …

South Dakota is the No. 1 place in the world for oil and gas investment, according to the Global Petroleum Survey 2010, an annual survey of international petroleum executives and managers conducted by the Fraser Institute, one of the world’s leading free-market think-tanks.

Results of the survey include:

· South Dakota, which was ranked seventh out of 143 jurisdictions in 2009, vaulted into the No. 1 spot out of 133 jurisdictions included in this year’s survey results.

· Along with South Dakota, American states claimed eight of the top 10 spots this year: Texas (second), Illinois (third), Wyoming (fourth), Mississippi (sixth), Utah (seventh), Oklahoma (ninth), and Alabama (10^th).

· New York is the lowest ranked state at 102^nd.

· Austria, ranked fifth, is the only jurisdiction outside North America to make the top 10.