The last time national industrial policy – where the government picks winners and losers in the market – was in vogue was the late 1970s and early 1980s.

Japan’s fast-growing economy was all the rage – with nearly a dozen bestselling books marveling over the “rising sun.” Campy economists like MIT’s Lester Thurow (aka “less than thorough”) lectured us that America had to be more like them, toss out our antiquated devotion to free markets, and allow politicians to choose what companies and strategic industries to invest in.

Fortunately, Ronald Reagan chose the opposite course and instead cut taxes and deregulated.

This chart from Laffer Associates shows the results. Japan’s centrally-planned economy flat-lined for decades, while the U.S. experienced the greatest bull market ride in global history.

But now we have Republicans supporting a handout of $10 billion to Intel, and Democrats still pouring tens of billions more into green energy flops like Solyndra as if they were genius stock pickers, like Warren Buffett. Even more dangerous is the rise of big government Republicanism, sometimes called National Conservatism, which espouses industrial policy.

Here we go again!

We will fight them always and everywhere.