Search

Number of results to display per page

Search Results

  • Author: Richard M. Salsman
  • Publication Date: 04-2014
  • Content Type: Journal Article
  • Journal: The Objective Standard
  • Institution: The Objective Standard
  • Abstract: Free Market Economics: An Introduction for the General Reader, by Steven Kates. Northampton, MA: Edward Elgar Publishing, 2011. 352 pp. $50 (paperback). Not since 1924 has there been a comprehensive yet readable book on economics aimed at the ordinary but intelligent citizen that defends and incorporates the field's foundational principle, Say's Law (named after Jean-Baptiste Say, 1767–1832) and its main corollaries: the primacy of production, the entrepreneur as prime mover, and prices as the commercial language that coordinates economies and their subsectors. Now we have such a book: Free Market Economics: An Introduction for the General Reader by Australian business economist Steven Kates. His prior books examined the prevalence of Say's Law among top economists during the pro-capitalist 19th century and its abandonment by most economists in the anti-capitalist 20th century. The handful of texts on economic principles since the 1920s that recognize the superiority of a free economy have been too technical, narrowly devoted to refuting economic fallacies, or tainted by dubious philosophy. This book avoids such flaws. Kates accomplishes what was last achieved by Oxford professor Henry Clay (1883–1945) in Economics: An Introduction for the General Reader (1924). Better still, Kates's book offers a modern, more sophisticated, more pro-capitalist treatment than did Clay's book, and it provides the ideas people need to grasp and refute the disastrous dogmas and policies of Keynesianism. At the core of this book is Say's Law, the principle that supply constitutes demand, that one cannot demand (or purchase) anything in any market without first producing an economic value for offer (or, in a monetary economy, without first earning spendable income by producing value). This principle recognizes that markets are made by the producers and that the most economically important producer of all is the entrepreneur, who specializes in soliciting and coordinating the other main factors of production: land (including raw materials), labor, capital, and financing. Say's Law condenses the truth that material prosperity is attained not by consuming (using up) wealth, but by saving, investing, and producing wealth. Unlike most textbooks today, Kates's says economics should explain wealth creation, or “net added value,” not how we ration “scarce resources.” Keynesianism, Kates explains, explicitly rejects Say's Law and asserts that a free market is prone to “failures” and crises, to excessive production, deficient consumption, and depressions; it further insists that government deficit spending, money printing, and near-zero interest rates can fix said market failures. Keynesian policies assume, contra Say's Law, that there can be an aggregate, economy-wide excess of abundance, or deficiency of aggregate demand. Say's Law holds that aggregate supply and aggregate demand are the same thing viewed from different perspectives and thus cannot be unequal; recessions entail reduced production and typically (but not always) are caused by government policies that are antithetical to production and profits. In contrast to Keynesianism, Say's Law, properly understood, tells economists (and citizens) to reject the contradictory claim that a contracting economy reflects an overexpanding economy, that somehow poverty is caused by prosperity, and it recommends the rejection or removal of any policies that impede or depress the incentive or capacity of entrepreneurs to create wealth or employ other factors of production. According to Kates, Say's Law “is the essence of market-based economics”; and “without the clarity that [it] brings, economic theory has lost its moorings and the irreplaceable value of leaving things to the market in directing economic activity cannot be understood” (p. 6). Yet, the classical, Say-based theory of the business cycle and public policy “has the ability to penetrate the darkness left by Keynesian theory in understanding the causes of recessions and the steps that are needed to bring recovery about” (p. 7). . . .
  • Topic: Economics, Government, Law
  • Political Geography: Australia
  • Publication Date: 03-2013
  • Content Type: Journal Article
  • Journal: The Objective Standard
  • Institution: The Objective Standard
  • Abstract: I want to thank C. Bradley Thompson for his excellent (and disturbing) article on government "education" ["The New Abolitionism: Why Education Emancipation is the Moral Imperative of our Time," TOS, Winter 2012-13]. Among the many disturbing facts Dr. Thompson reports, one that affected me personally concerns homeschooling in California. I have done (and continue to do) some homeschooling for local California families and was disturbed to learn that what I do was ruled illegal by some judge named Croskey. I was relieved to find by the end of the paragraph that Croskey (partially) reversed his ruling. What an abhorrent man and system! I, too, am an abolitionist.
  • Topic: Education, Government, Law
  • Political Geography: California
  • Author: Ari Armstrong
  • Publication Date: 12-2012
  • Content Type: Journal Article
  • Journal: The Objective Standard
  • Institution: The Objective Standard
  • Abstract: Curt Levey is the president of the Committee for Justice, an organization devoted to promoting judicial nominees who uphold the written constitution, as opposed to a “living constitution.” After graduating from Harvard Law School, Levey clerked on the Sixth Circuit Court of Appeals, then worked for the Center for Individual Rights, where he participated in affirmative action cases involving the University of Michigan. Levey worked for the Office for Civil Rights at the Department of Education before joining the Committee for Justice. Recently I had the opportunity to interview Levey about the Supreme Court in the context of the upcoming presidential election. Although I disagree with various aspects of Levey's conservative perspective, I find his comments about the Supreme Court to be insightful.
  • Topic: Education, Law
  • Author: Ari Armstrong
  • Publication Date: 12-2012
  • Content Type: Journal Article
  • Journal: The Objective Standard
  • Institution: The Objective Standard
  • Abstract: Imagine how great it would be to have your own inside tour guide to the modern financial crisis, someone able to comment on the crisis not as an onlooker, but as the leader for two decades of one of America's strongest financial institutions.
  • Topic: Government, Law
  • Political Geography: United States, America
  • Author: Jared M. Rhoads
  • Publication Date: 06-2011
  • Content Type: Journal Article
  • Journal: The Objective Standard
  • Institution: The Objective Standard
  • Abstract: Turn back the clock for a moment to the months leading up to the March 2010 enactment of the Patient Protection and Affordable Care Act, also known as ObamaCare. What do you remember about the president's pitch for health care reform? You may recall the administration's claim that ObamaCare will expand health insurance coverage to 32 million Americans, guaranteeing that nearly all Americans will be covered. You may recall the claim that the new program will reduce waste and overhead, and save the typical American family $2,500 per year. And who could forget Obama's personal promise, delivered time and again: "If you like your doctor, you will be able to keep your doctor. Period. If you like your health care plan, you will be able to keep your health care plan. Period. No one will take it away. No matter what."1 With this and other rhetoric, the president and other supporters of this Act were able to push the program through Congress on a partisan vote despite low popular appeal and indeed amid public furor. But although the bill has been signed, history has yet to be written. Within the more than two thousand pages of legislation are countless provisions and authorizations for additional regulatory changes to be rolled out in the years to come. Thus Americans are left wondering what exactly will change, when it will change, and how. For everyone, the question remains: What does ObamaCare mean for me? Why ObamaCare is Wrong for America summarizes the key provisions of the new law, explaining how this historic piece of legislation fails to achieve the goals so loudly trumpeted by its proponents, and what it will actually do instead. The authors-four health policy experts from four different conservative public policy organizations-largely succeed in making a complex topic comprehensible to a general audience. For starters, they organize their analysis of the legislation into reader-friendly themes such as "Impact on Families and Young Adults," "Impact on Seniors," and "Impact on You and Your Employer." The subsection headings are descriptive and frequent, dividing the chapters into easily digestible segments, many of which are less than a page in length. . . .
  • Topic: Law
  • Political Geography: America
  • Author: David Littel
  • Publication Date: 06-2009
  • Content Type: Journal Article
  • Journal: The Objective Standard
  • Institution: The Objective Standard
  • Abstract: New York: Norton and Company, 2009. 221 pp. $24.95 (cloth). Reviewed by David Littel A political consensus is forming around the ideas of attorney and author Philip K. Howard. Beginning in 1990 with The Death of Common Sense and continuing through scores of articles and the work of his organization, Common Good, Howard has depicted an American legal system run wild, and he has advanced a thesis about what must be done. Political figures from Al Gore to Newt Gingrich praise his work. Self-proclaimed pragmatist Michael Bloomberg raves that Howard "offers big-picture ideas for how we can solve entrenched problems." In a prepublication review, George Will announced that Howard's latest book, Life Without Lawyers: Liberating Americans From Too Much Law, "surely will be 2009's most-needed book on public affairs." The bulk of Life Without Lawyers is an indictment of American law, covering everything from public schools to administrative regulations to civil lawsuits. As in his earlier books, Howard describes a series of nightmare scenarios drawn partly from his own experience as a practicing attorney and partly from other sources. For example, he tells the story of a family-owned dry cleaning business in Washington, D.C. that was sued for $54 million because of a lost pair of pants. The plaintiff calculated his damages based on a $1,500 consumer fraud penalty multiplied several times over in addition to $15,000 per weekend for a rental car to take his laundry to a more reliable establishment, $542,000 for his own time in pursuing the matter, and $500,000 for mental anguish. The suit was not dismissed but was allowed to linger for two years, costing the business owners more than $100,000 in legal fees (p. 72). . . .
  • Topic: Law
  • Political Geography: New York, America