Posts tagged with: America

“Despite the mounting cost and swelling debt,” notes Laura Prejean in this week’s Acton Commentary, “America’s demand for education, particularly higher education, has not decreased, defying typical market expectations.”

This is what economists call inelastic demand, when people continue to buy a good or service regardless of an increase in prices. Though the post-recession job market is still difficult, growing student debt ought not to lead us to forget the dignity — and responsibility — of each individual student. When prices for goods and services rise, consumers often make sacrifices and adjust their spending. For example, as gas prices rise, families use carpooling or more efficient routes to and from the grocery store. But what are students sacrificing when they join the immovable market for education? Are they considering less costly options with lower tuition, or do they unthinkingly take out student loans, falling into serious debt as they enter their twenties?

The full text of the essay can be found here. Subscribe to the free, weekly Acton News & Commentary and other publications here.

AHB with tank.jpgThe Great War began 100 years ago last week.

From an economic perspective (from Pulitzer Prize economist Liaquat Ahamed) the European nations paid for WWI not with taxes, but with massive debts financed largely by America. The warring nations could not pay their way out of debt so many resorted to the easier route: inflation. But that inflation destroyed the savings of the middle class and that did not make European nations more stable.

Germany finally defaulted on its war debts after the 1929 crash. The international financial system also collapsed. Of course, German people listened to Hitler’s ideas about blame and solutions, while France, half destroyed by the war, looked at Germany (where few battles were fought) and wanted the Germans to pay for that destruction. The Depression made each nation more economically isolated which added to the misery as trade shrank. Europe was ripe for WWII.

WWI could be taken as a lesson on the perils of excessive debt. Governments have discovered three nasty advantages:

  1. They can borrow beyond emergencies (war) to pay for anything.
  2. Government pensions (more debt) are excellent ways to buy votes with the vague idea that ‘future growth’ or ‘future generations’ will easily cover the massive pension obligations.
  3. Governments have more recently seen that they can lower interest rates and ‘print money’ without being held accountable as they will be bailed out by other countries through central banks which will do, as Mario Draghi famously said, “whatever it takes.” These financial gimmicks look like serious plans because the men wear suits and because their ideas work, at least until the office holders retire.

However, as with WWI debt and the Crash of 1929, a severe crisis will come and prove that these leaders (while possibly not as incompetent or corrupt as the political leaders of Detroit) were wrong.

Blog author: jcarter
posted by on Thursday, July 3, 2014

PatriotPicture-1We Americans have a peculiar relationship to the term “patriot.” To question someone’s patriotism is considered an insult, while to praise their patriotism is a compliment. Yet strangely, the only people who refer to themselves, completely without irony or qualification, as patriots are old veterans, old conservatives, and certain pro athletes in New England .

Of course, people who do not fit into those three categories sometimes self-identify with that label. But when they do it’s almost always accompanied by an asterisk, denoting—whether expressed or implied—that the use of the word comes with a qualifier:

 *Sure, I love my country but I that doesn’t mean I support ________. (the President, the war, etc.)

*I am, but that doesn’t mean I think America is better than other countries.

*Of course I would never, ever serve (nor let my child enlist) in the military.

*But I’m nothing like those Bible-thumping, flag-fetishizing, NASCAR-loving, types of patriots.

However, some people are more straightforward their mixed feelings. A Japanese reporter once inquired of filmmaker Michael Moore, “You do not seem to like the U.S., do you?” Moore’s response sums up the sentiment behind the patriot’s asterisk: “I like America to some extent.”
(more…)

single-payerFor those on the left side of the political spectrum, single-payer health care — a system in which the government, rather than private insurers, pays for all health care costs — is one of the most popular policy proposals in America. But the recent Hobby Lobby decision is reminding some liberal technocrats that giving the government full control over health care funding also gives the government control over what medical services will be funded.

As liberal pundit Ezra Klein explains:
(more…)

In 1820, America’s per capita income averaged $1,980, in today’s dollars. But by 2000, it had increased to $43,000. That economic growth has benefited the rich, of course. But it has also transformed the lives of the poor — and prevented many more from becoming or staying poor.

In this superb short video, the American Enterprise Institute briefly explains the moral value of economic growth.

Blog author: jcarter
posted by on Wednesday, June 11, 2014

familyfirstNeo-, paleo-, theo-, crunchy, compassionate, fiscal, social. . . in modern America there are almost as many brands of conservatism as there are conservatives. To truly understand what a conservative believes, though, it is often more instructive to simply ask what it is they want to conserve.

Like Russell Kirk, I believe the institution most essential to conserve is the family. At Canon & Culture I offer a “tentative manifesto” of what a family-first conservatism would entail:
(more…)

Calvin_Coolidge_and_Israel_Moore_Foster“The Power of the Moral Law” is the title of an address delivered by Calvin Coolidge at the Community-Chest Dinner in Springfield, Massachusetts on October 11, 1921. Published in The Price of Freedom, the text is only available online through Google Books.

Coolidge’s main point in his remarks was to reinforce the truth that it is prosperity not grounded in a deeper meaning that threatens our American Republic. Displaying his conservative thought, he challenges materialism of government interventionists and reminds proponents of business and the market that material success alone is insufficient. True progress must have a deeper foundation.

There are many lines that stand out in his address, but perhaps few stand out more than this simple sentence: “Ideals and beliefs determine the whole course of society.” Currently, we see this playing out powerfully in our culture today. The ideals that have held our Western and American civilization intact for centuries have largely eroded. Ideals and commonly held standards, especially in the academy, are attacked as backwards and oppressive.
(more…)

America could have saved more jobs if, prior to the Industrial Revolution, politicians had banned the use of tractors. But that would have made everyone (especially those of us living in 2014) much worse off. Many Americans understand this point and yet still believe that when workers lose their jobs, we automatically become worse off.

Economist Bryan Caplan explains the problem with this ‘make-work’ bias, and why we are better off because of 19th century workers who lost their farm jobs.

DiversityWith its decision in Brown vs. Board of Education, the Supreme Court ended systemic racial segregation in public education. Now, sixty years later, courts have released hundreds of school districts from enforced integration—with the result being an increase in “resegregation” of public schools.

Numerous media outlets have recently picked up on a story by the investigative journalism nonprofit ProPublica about schools in Tuscaloosa, Alabama. According to the report:

In recent years, a new term, apartheid schools—meaning schools whose white population is 1 percent or less, schools like Central—has entered the scholarly lexicon. While most of these schools are in the Northeast and Midwest, some 12 percent of black students in the South and nearly a quarter in Alabama now attend such schools—a figure likely to rise as court oversight continues to wane. In 1972, due to strong federal enforcement, only about 25 percent of black students in the South attended intensely segregated schools in which at least nine out of 10 students were racial minorities. In districts released from desegregation orders between 1990 and 2011, 53 percent of black students now attend such schools, according to an analysis by ProPublica.

Why has this resegregation occurred? A forty-year-old experiment on racial diversity might just hold the answer.
(more…)

The United States is often perceived as a land of religious freedom and pluralism. Has such a space allowed for the growth of a new generation of young Muslim leaders, activists, and artists? According to a recent article in TIME magazine, the rising prosperity and integration of Muslims in America is allowing for new Muslim leaders to emerge in the American public sphere.

Because the United States is faring far better with Muslim cultural and societal integration than Europe, a new platform is opening up for redefining Islam in the West. While the American Muslim community is also navigating their place in a shifting American demographic and religious landscape, intra-Islamic conversations continue over the identity and practice of American Islam. With the advent and growth of Islamic religious scholarship in the United States, the country is also becoming home to continuing creative conversations about Islamic identity and practice.

There is no doubt that an element of economic freedom has allowed the Muslim community in the United States to expand, flourish, and succeed. The link between religious and economic freedom will be considered more fully at an upcoming Acton conference in Rome,  “Faith, State, and the Economy: Perspectives From East and West.”

The conference will take place on April 29 in Rome and is the first in a series called “One and Indivisible? The Relationship between Religious and Economic Freedom.” For more information visit the conference series webpage.

Additionally, please consider registering for Acton University 2014 for lectures on Islam by Mustafa Akyol, a columnist for the Turkish Daily News.