All eyes are on the Mediterranean island of Cyprus, as it struggles to dealt with its banking crises.

Though Cyprus lawmakers rejected the idea of seizing depositor assets, Wabash College student Christian Lopac expresses his concern about the direction of European Union financial policies.

It’s safe to say that most Americans either have never heard of or could not locate Cyprus on a map. Unfortunately, Cyprus allows a glimpse into a highly possible governmental action in the United States and, thus, contains a vital lesson. The Cypriot government recently proposed a plan to pay off its European Union debts: Take money directly out of bank accounts.

Cyprus, a small island in the Mediterranean, will likely end up just other European Union nations, economically destroyed and unstable. Their government’s plan is relatively simple—take 6.75 percent out of bank accounts under €100,000 and 9.9 percent from accounts possessing over €100,000. The Cypriot government has further bolstered this proposed action by declaring a bank holiday until Thursday. Additionally, some say the government has also taken steps to prevent moving money out of Cyprus and the ATMs do not work. Some Cypriots are protesting the measure.

… Cyprus shows what happens when government is allowed any part in the economy and financial sectors. Government cannot regulate, govern, or guide these areas without disaster. It is simply not in government’s nature. It is only the market itself, based in human action, that can successfully be put in “charge” of the economy. Similarly, government cannot be charged with regulating and controlling the financial sector. Repeatedly, we have seen the error-riddled consequences. For example, the Great Depression’s cause was not the greedy bankers, so often espoused to be the case, but by the Federal Reserve’s policies. Our current economic climate stems from the same causes as well.

Lopac concludes:

As well as the political aspect, the Cypriot bank measures should additionally point to us the importance of seeing what might be coming in the future. We should be knowledgeable on the economy and be prepared for something like this. Now, I am not an expert. I am not telling readers to pull their money out of the banks and buy and bury gold. Our readers may do as they wish. Rather, I advocate for merely acting in a wise manner with one’s property and money.

Ponder how far we have advanced in the past few hundred years. Now ask what enabled this. Deep thought on this matter will show that it was not government, but the free market. Humanity has not reached an age complete with technological wonders, easy communication, and fast travel from government, an entity that violates liberties and steals. Whether in Cyprus or some other part of the world, we must maintain our focus on the true bringer of progress: the free market.