Posts tagged with: capitalism

phillies-cubaThree years ago, Dalier Hinojosa was making the equivalent of $5 to $20 per month playing baseball in the state-run Cuban league. Having now defected from the country, escaping first to Haiti and now to America, Hinojosa will make $514,000 this season, playing for the Phillies.

In a profile at Philly.com, we learn more about the trials of his journey, which involved a high-risk, 12-hour escape at sea, joined by his wife and a smuggler in a small motorboat:

You never think about how you’re going to escape, [Hinojosa] said through an interpreter. You think about when. You cannot think about the risk of imprisonment or, worse, death. You think about the desperation that you never want to feel again.

The transition from communism to capitalism has already made Hinojosa rich, indeed. He originally signed with the Boston Red Sox for a $4 million bonus. (more…)

walter_williams2On this day in 1936, Walter E. Williams was born in the city of Philadelphia. The George Mason University economist is famous for his classical liberal views, often arguing that free market capitalism is not only the most moral economic system known to mankind, but it allows for the creation of the most wealth and prosperity. He has discussed many diverse themes, including: race in the United States, politics, liberty, education, and more. A prolific writer, Williams has written ten books, dozens of essays for scholarly journals, and hundreds of newspaper articles.

In honor of turning eighty, here are ten excellent quotes from Williams:

At the beginning of each semester, I tell students that my economic theory course will deal with positive, non-normative economic theory. I also tell them that if they hear me making a normative statement without first saying, “In my opinion,” they are to raise their hands and say, “Professor Williams, we didn’t take this class to be indoctrinated with your personal opinions passed off as economic theory; that’s academic dishonesty.” I also tell them that as soon as they hear me say, “In my opinion,” they can stop taking notes because my opinion is irrelevant to the subject of the class — economic theory. Another part of this particular lecture to my students is that by no means do I suggest that they purge their vocabulary of normative or subjective statements. Such statements are useful tools for tricking people into doing what you want them to do. You tell your father that you need a cell phone and he should buy you one. There’s no evidence whatsoever that you need a cell phone. After all, George Washington managed to lead our nation to defeat Great Britain, the mightiest nation on Earth at the time, without owning a cell phone.

Democracy and liberty are not the same. Democracy is little more than mob rule, while liberty refers to the sovereignty of the individual.

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Blog author: jcarter
Thursday, March 31, 2016
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An Ethicist Reads The Art of the Deal
John Paul Rollert , The Atlantic

Donald Trump succumbs to the age-old temptation to see capitalism not as an economic system but a morality play.

Welfare System Is ‘Anti-Work,’ Researchers Say
Mariana Barillas, The Daily Signal

The war on poverty is a war on work, the authors of a new book that criticizes the nation’s welfare system assert.

Again, What Is Economic Freedom?
Jeffrey Tucker, FEE

Quite often when I am interviewed, I get the question: What precisely do you mean by “capitalism”? It’s an excellent question. The great debate among capitalism, fascism, and socialism suffers from a lack of clear language.

Nafta May Have Saved Many Autoworkers’ Jobs
Eduardo Porter, New York Times

There are still more than 800,000 jobs in the American auto sector. And there is a good case to be made that without Nafta, there might not be much left of Detroit at all.

23-VIEW-master675Under the feudalistic societies of old, status was organized through state-enforced hierarchies, leaving little room for the levels of status anxiety we see today.

For us, however, status competition ranges wide and free, leading to multiple manifestations and a whole heap of status signaling.

Such signaling is as old as the free society itself, of course. Whether sending their children to fancy classes and fencing lessons, accumulating ever-expensive luxury goods, or boasting in the labels of their fair trade coffee and the nobility of non-profit activism, aristocrats have always found ways to signal their superiority.

Yet these preferences have shifted over time, the present form of which is carving out its own unique space. In a recent report from the Adam Smith Institute, Prof. Ryan Murphy explores the situation, noting that while past generations were more concerned with “conspicuous consumption” and “keeping up with the Joneses” – chasing faster cars and bigger diamonds – the current pursuit of status has adapted toward “conspicuous authenticity.”

We are now seeing a “new status signaling,” Murphy observes, where society has “moved beyond associating ostentatious displays of wealth with high status,” opting instead for behavior that signifies we are above and beyond such base behavior. (more…)

Blog author: sstanley
Thursday, February 4, 2016
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030620-N-7391W-007 Pearl Harbor, Hawaii (Jun. 20, 2003) -- Cashier Sue Amine assists a customer at the Pearl Harbor Commissary, run by Defense Commissary Agency's (DeCA), in the new Pearl Harbor mall complex, which opened earlier this year. The current commissary sales floor is 29 percent larger than previous commissaries, with wider aisles to maneuver shopping carts and numerous registers to speed up checkout. DeCA's $22.8 million share of the Pearl Harbor mall was funded with surcharge dollars. U.S. Navy photo by Journalist 2nd Class Jim Williams. (RELEASED)

Trading $ for groceries > Murdering people and stealing their food

It’s been said before, but it’s certainly worth saying again. Not only does the free market lead to material wealth, but it reduces violence.

On a recent episode of the podcast “Question of the Day,” co-host Stephen Dubner reads a question from a listener: Why haven’t humans evolved as a species away from aggression? Dubner and James Altucher deal with the question in a rather roundabout way. Altucher points out that, really, aggression has dropped for as long as we’ve recorded the data. Specifically, the percentage of violent deaths keeps declining. “As a species, we have been evolving passed aggression and I think a lot of that has to do with trade,” He says. “All these methods of trade have actually limited aggression because I no longer need to invade your country to get your resources. We can trade resources instead. And then it benefits us to be nice to each other.” (more…)

Blog author: jsunde
Thursday, December 10, 2015
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elvesIn “The Elves and the Shoemaker,” the famous fairy tale by the Brothers Grimm, a cobbler and his wife struggle to survive, barely making enough to eat (never mind investing in the future of their business).

One morning, however, they wake to find that their last scraps of leather have been turned into a remarkable pair of shoes. Not knowing the source of such craftsmanship — and apparently incurious — the cobbler sells them off at a higher price, gaining new capital to grow his business. Each night thereafter, the miracle continues, and the enterprise grows in turn.

Months later, they finally take an interest in the source of such help, staying awake through the night to spot two naked elves, each happily laboring to make more shoes. The wife sews clothes for the elves, who, after finishing their work, express their thanks and graciously depart, never to be seen again.

One can find several morals or lessons in the tale, but Jeffrey Tucker does a marvelous job of highlighting its themes on the meaning of work, the gift of exchange, and the glories of capitalism. (more…)

bernie-sanders-photo1In last Tuesday’s Democratic debate, Senator Bernie Sanders stayed true to his famed aversion to capitalism, proclaiming the fanciful virtues of “democratic socialism.” Yet when prodded by Anderson Cooper — who asked, “you don’t consider yourself a capitalist?” — Sanders responded not by attacking free markets, but by targeting a more popular target of discontent: Wall Street and the banks.

“Do I consider myself part of the casino capitalist process by which so few have so much and so many have so little, by which Wall Street’s greed and recklessness wrecked this economy?” Sanders asked. “No, I don’t.”

One could be forgiven for not understanding what Sanders means by “casino capitalism.” Is it crony capitalism, in which legislative favors are secured by the rich and powerful (which conservatives also disdain)? Is it bailouts for the big banks (which, again, conservatives also disdain)? Is it basic trade and exchange on a large, complex scale, and if so, at what size does it become problematic? Does he despise the stock exchange itself? Too loud with all its blinky lights and bells? (more…)