It is my position that the left (and basically all of our opponents) are congenitally unable to differentiate crony capitalism and other evil government acts from libertarian NAP free market activities. They start with a bogus and mindless “theory”, USA = racism = capitalism (think of Michael Moore), then proceed to blame all examples of state racism upon “capitalism”. It’s very similar to their “thought process” (such as it is) when creating their bogus economic narratives (USA/Fed/crony capitalism/military Keynesian = The Free Market). It then becomes easy for them to blame “The Free Market” for the boom bust cycle, war and jobless recoveries when employing their simpleton historical anecdotal methods (think “Lord Keynes“).
Both narratives allow for them to imagine problems that do not and would not exist in the free market. The problem for blacks historically in the USA was not racism in the market but vicious state action. Blacks and poor people generally around the world desperately need the protections provided by private property, freedom of contract and sound money. It is “progressive” “thought” imposed around the world that keeps them from having these benefits and is thus the cause of most violence and grinding poverty in the third world. Further, just think about how the left (and probably the CIA too) would howl if an African country attempted to go libertarian. The only conclusion one can have from this is that the leftists hate poor people.
Regarding “states rights”, I would suggest that that Ron Paul look into Clarence Thomas’ theory that the 14th amendment requires that the states respect fundamental rights of citizens as a result of the Privileges or Immunities Clause which he insists is substantive and not procedural. Such an interpretation would have precluded all Jim Crow type legislation. See here and here @ p. 67.