Category: Economic Freedom

LemonisMarcus2I’ve written before on how television can be a powerful tool for illuminating the deeper significance of daily work and the beauties of basic trade and enterprise. Shows like Dirty Jobs, Shark Tank, Undercover Boss, and Restaurant Impossible have used the medium to this end, and today at The Federalist, I review a new contender in the mix.

CNBC’s The Profit is arguably the best reality show currently on television. Starring Marcus Lemonis, a Lebanese-born American entrepreneur and investor, each episode highlights an ailing businesses in desperate need of cash, care, and wisdom.

By the end, we get a remarkable view into the types of struggle, pain, glory, and redemption that occur across countless businesses every single day.

The show counters a host of false stereotypes about business, three of which I highlight in my piece. But one that is perhaps more popular and pernicious than all is the notion that business and is necessarily driven by greed and selfishness.

On the contrary, I argue, selfishness kills and service prospers: (more…)

Blog author: jsunde
Wednesday, May 20, 2015

economicman (1)“As a social psychologist, I have long been amused by economists and their curiously delusional notion of the ‘rational man.’” writes Carol Tavris. “Rational? Where do these folks live?”

In a review of behavioral economist Richard Thaler’s new book, Misbehaving: The Making of Behavioral Economics, Tavris notes how economists are slowly beginning to see — or, one could argue, finally returning to the notion — that the discipline ought treat man as more than a mere robot or calculator.

“Researchers in this field are making up for lost time,” Tavris continues, “or perhaps realizing that they are social psychologists after all.”

As human beings who arrogantly and often wrongly consider ourselves “sapiens,” we simply don’t match the model of human behavior favored by economists, one that “replaces homo sapiens” (whom Mr. Thaler calls Humans) with “a fictional creature called homo economicus” (whom he calls Econ). “Econs do not have passions; they are cold-blooded optimizers,” he says. “Compared to this fictional world of Econs, Humans do a lot of misbehaving”—thus the book’s title.

The problem, Mr. Thaler argues, is that although economists “hold a virtual monopoly” on giving policy advice, the very premises on which that advice rests are deeply flawed. That is why “economic models make a lot of bad predictions”: some small and trivial, some monumental and devastating. “It is time to stop making excuses,” he admonishes his colleagues. Mr. Thaler calls for an “enriched approach to doing economic research, one that acknowledges the existence and relevance of Humans.” By injecting economics with “good psychology and other social sciences” and by including real people in economic theory, economists will improve predictions of human behavior, make better financial and marketing decisions, and create a field that is “more interesting and more fun than regular economics.” In that way, Mr. Thaler believes, economists will finally produce an “un-dismal science.”


Rent is Too HighSince the 1950s, the modern conservative movement has been marked by “fusionism”—a mix of various groups, most notably traditional conservatives and libertarians. For the next fifty years a conservative Christian and a secular libertarian (or vice versa) could often find common ground by considering how liberty lead to human flourishing.

But for the past decade a different fusionist arrangement has been tried (or at least desired) which includes progressives and libertarians. Brink Lindsey coined the term “liberaltarians” in 2006 to describe this uneasy alliance. Ten years into the experiment, the results have been less than impressive.

There were many reasons why the alliance was doomed to fail, but the most important was that libertarians tend to desire intellectually and political consistency in promoting a freedom agenda while progressives tend to be highly selective in their love of liberty.

Not to be too uncharitable, but urban progressives, for instance, tend to favor liberty only when it benefits urban progressives. This is especially true when it comes to government regulations. As Aaron M. Renn explains,

Blog author: jsunde
Wednesday, May 6, 2015

00979473.JPGI recently gave a hearty cheer for bringing back childhood chores, which are shockingly absent in a majority of today’s homes. The same appears to be the case with summer work for teenagers, which is increasingly avoided due to sports activities, cushy internships, video games, clubs and camps, and, in many cases, a lack of employment prospects altogether.

In an article for the Wall Street Journal, Dave Shiflett explores the implications of this development, recalling the “grit and glory of traditional summer work, which taught generations of teenagers important lessons about life, labor and even their place in the universe.”

Whether it was newspaper delivery, construction, factory work, fast food, or manual labor on the farm or the railroad, such jobs have introduced countless kids to responsibility, creativity, and service, helping connect the dots between God-given gifts and the broader social order. (more…)

Blog author: ehilton
Monday, May 4, 2015

global shopping cartAt The Stream, Anne Bradley writes about the freedom that free trade brings. Why does free trade matter?

  • We live in a world of scarcity: we have unlimited wants and limited means (resources) to satisfy those wants.
  • As individuals, we aren’t good at producing everything we need to survive. We are limited in our talents and opportunities.
  • We flourish when we are free to trade the things we are better at producing for the things we are not as good at producing.


When divorced from God’s plan,  work is merely labor, a rudderless everyday job.

 Today May 1 is Labor Day in Italy and in virtually all of Europe. Alas, it is hardly festive. There is not much to celebrate here in terms of job growth and wealth creation. Economic figures across this Old and Aging Continent are like proverbial diamonds in the rough: there is much potential for glory, but with a lot of precision cutting and polishing still to do.

Simply read the latest statistical lampoon on European GDP in The Economist on April 14 Taking Europe’s Pulse. With a walking-dead growth of 0.3% in the first quarter of 2015,  nation after European nation is stifled by union strongholds on hiring and firing practices, crony capitalist deals born in Brussels’ backrooms, governments’ insatiable appetite for taxation to prop up bankrupt social welfare programs, and many other politico-economic and cultural tentacles holding back a not so free European Union.

Here in Rome, few are celebrating in an anemic peninsula with 12.70% unemployment and virtually no growth in the last 20-plus years. Absolutely no fist pumps are raised on this day in traditionally leftist Spain (23.78 %), nor in the communist party-run Greece (25.70%), and by no means in the rebuilding nation of Bosnia and Herzegovina (43.78%).

Nonetheless today, for good measure, is a public ‘holiday’, whether the economic mood is truly merry or not. At least it is a day to put workers’ worries aside. It is a day to forget about the sorry state of many economies on this extended weekend when Europeans head to the mountains, sea and its many cities of art.


The secular ‘holiday’.


The religious ‘holy day’.









May 1 is also a ‘holy day’, the Catholic Feast of St. Joseph the Worker instituted by Pius XII in 1955 in response to the May Day communist celebrations installed across Europe. Therefore, it is no small coincidence of calendar or etymology. (more…)

That’s one of the questions that comes to mind when reading Bill McGurn’s op-ed in today’s Wall Street Journal. Many free-market advocates, including yours truly, have already expressed concern over what may appear in the papal encyclical due this summer. McGurn concurs but, like a good entrepreneur, also sees an opportunity:

The fears are not without cause. There are many signs that do not augur well, from the muddled section on economics in the pope’s first encyclical [Actually, it was an apostolic exhortation. — K.J.] to his posing for a photo while holding up an anti-fracking T-shirt, to press coverage anticipating he will be to the fight against greenhouse gases what Pope John Paul II was to the fight against Soviet communism.

Even so, the topic is ripe for precisely the kind of corrective a pope has to offer: a reminder that God’s creation is meant to serve man—not man the environment. And its corollary: It is the have-nots who pay the highest price for the statist interventions so beloved of the Church of St. Green.

The term “human ecology” was used by Popes John Paul II and Benedict XVI (see my lecture on the topic), not only to speak about trendy environmental issues such as climate change but ones less popular among Western celebrities, especially the importance of marriage and family and the evils of population control. In doing so, the popes showed themselves to be pro-social-justice and pro-life/pro-family at the same time.

It’s possible, however, that the opponents of capitalism will use the occasion to attack economic freedom once again, even if it ultimately hurts the poor. Nothing very human about that kind of ecology.