Posts tagged with: Austrian School

Pope Francis' trip to the US

“Supporting markets as the economic arrangements most likely to help promote human flourishing doesn’t necessarily mean you accept libertarian philosophical premises” says Acton Institute Director of Research Samuel Gregg in an essay published today at Public Discourse.  This comes in response to “Koch Brothers Latest Target: Pope Francis,” an Oct. 14  article written by John Gehring at the American Prospect that claims the Acton Institute is part of a larger network of organizations behind “a decidedly different message than Pope Francis does when it comes to the economy and climate change.”  Gehring, Catholic program director at Faith in Public Life, labels various free-market organizations as “libertarian” and asserts that “libertarian thought … is the exact opposite of Catholic teaching.”

Gregg begins his response by noting some of the contributions that great libertarian thinkers such as Hayek and Mises have made to economics:

Libertarianism’s great strength lies in economics. Prominent twentieth-century libertarian economists, such as Ludwig von Mises and Friedrich von Hayek, made major contributions to the critique of socialist economics. While ridiculed by some at the time, their criticisms turned out to be spot-on.

In Socialism (1922), for example, Mises illustrated that socialist economies can’t replicate the market price system’s ability to signal the supply and demand status for countless goods and services to consumers and producers at any one point in time. However intelligent and statistically equipped the top-down planners might be (whether they take the form of a Communist politburo, a Fascist dictator, or a 1970s British government), they simply cannot know the optimal price for any good or service at any point in time. Any attempt to dictate prices from the top-down will lead, paradoxically, to economic disorder and dysfunction.

(more…)

poor-working-class-family-after-the-days-workCapitalism is routinely blamed for rampant materialism and consumerism, accused of setting society’s sights only on material needs and wants, and living little time, attention, or energy for much else. But what, if not basic food, shelter, and survival, was humanity so preoccupied with before the Industrial Revolution?

As Steve Horwitz argues in a preview of his forthcoming book, Hayek’s Modern Family, our newfound liberty and accelerated activity in the Economy of Creative Service has actually freed us to devote more to other spheres of stewardship, not less:
(more…)

Blog author: dpahman
Tuesday, January 3, 2012
By

Reflecting on the GOP presidential campaigns and the Iowa caucus, Joseph Knippenberg has voiced serious concern on the First Things blog regarding the compatibility of Ron Paul’s libertarianism with traditional Christian social and political thought. As this race continues, this may be a question of fundamental importance, and I expect to see more Christians engaging this issue in the days and months to come.

Indeed, as Journal of Markets & Morality (JMM) executive editor Jordan Ballor has noted in his editorial for the most recent issue (14.2), the importance of this question is also highlighted by “the recent denial of a proposal for a master’s program in Austrian economics at Loyola University New Orleans [that] was in part attributed to ‘specific conflicts … between Catholic social teaching and the Austrian view of government, unions, taxations, human life and the place of Christianity in the public sector.'” Clearly, Loyola University New Orleans has already answered the question of compatibility with a strong no.

In light of the pressing need for a thoughtful and educated engagement of this question, I am pleased to note that the upcoming issue of JMM also features a debate in our “Controversy” section between Daniel Finn, Anthony Santelli, and John Mueller over the question: “Does libertarianism tempt some Catholics to stray from Catholic social thought?” The contributors represent an interesting spectrum of viewpoints on the issue and argue their stances with candor and conviction.

If you or your school or institution is not currently subscribed to JMM, this timely controversy is yet another reason to do so. For more information on how to subscribe, visit our website here.