Posts tagged with: Economic liberalism

downloadIn his latest column for National Review, Jonah Goldberg notes the difference between being pro-business and pro-market and says the GOP can’t have it both ways anymore:

Just to clarify, the difference between being pro-business and pro-market is categorical. A politician who is a “friend of business” is exactly that, a guy who does favors for his friends. A politician who is pro-market is a referee who will refuse to help protect his friends (or anyone else) from competition unless the competitors have broken the rules. The friend of business supports industry-specific or even business-specific loans, grants, tariffs, or tax breaks. The pro-market referee opposes special treatment for anyone.

Politically, the reason the lines get blurry in good times and bad is that in a boom, the economic pie is growing fast enough that the friend and his competitor alike can prosper. In bad times, when politicians are desperate to get the economy going, no one in Washington wants to seem like an enemy of the “job creators.”

Goldberg is absolutely right about the difference being categorical. As economist Arnold Kling has helpfully outlined, support/opposition to markets and business gives us four categories:
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Who is the biggest enemy of the free market system? The late Milton Friedman, one of the 20th century’s most prominent free market champions, had a surprising answer: the business community.

Economist Arnold Kling explains why support for markets and business are not the same thing:
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Blog author: dpahman
posted by on Monday, February 24, 2014

Today at Red River Orthodox, I offer a brief introduction to the liberal tradition for Orthodox Christians living in the West:

Liberalism, historically, is a broad intellectual tradition including a large and disparate group of thinkers. The epistemological differences between John Locke, David Hume, and Immanuel Kant do not stop them all from being liberals. In economics the range extends from Friedrich Hayek to John Maynard Keynes. In political philosophy, from John Rawls to Robert Nozick. For that matter, both the American and French Revolutions have liberal foundations, though often (and rightly) contrasted.

I conclude by encouraging a more nuanced engagement with the West than is sometimes the case in the East:

[F]or a responsible, “liberal engagement” with the West from an Orthodox Christian perspective, it will not do to dismiss anything we don’t like as Western and liberal and, therefore, wrong. As Solzhenitsyn put [it], “the line dividing good and evil cuts through the heart of every human being.” And if that is true, then both East and West, including Western liberalism, have plenty of good and evil to go around.

How might Orthodox Christians better evaluate one of the many liberalisms that make up the water in which we swim in the West today?

To give an example, I would positively recommend to my fellow Orthodox Christians the German ordoliberal school of economic thought for the following reasons: (more…)

Blog author: jballor
posted by on Thursday, February 13, 2014
"I don't build in order to have clients. I have clients in order to build!"

“I don’t build in order to have clients. I have clients in order to build!”

At Slate Miya Tokumitsu writes that the motto “Do What You Love” really functions as a kind of capitalism-supporting opiate: “In masking the very exploitative mechanisms of labor that it fuels, DWYL is, in fact, the most perfect ideological tool of capitalism.” While Tokumitsu singles out Steve Jobs, perhaps Howard Roark might agree.

If that’s true (and it is more than debatable), then this Think Progress piece which touts the Affordable Care Act as a liberation of workers to do what they love ends up being a funny kind of justification for the capitalistic status quo: “People need to work, sure, but that doesn’t justify forcing people to do a particular kind of work — one they wouldn’t choose to do otherwise — at the pain of bad health.”

The problem with these perspectives, and they both represent ends of a continuum, is that work isn’t either all about you or all about someone else (society, your boss, lords of capital, our elected royalty, and so on). Work is something that concerns both us and others; it has a subjective and an objective aspect that must be balanced.

The reality is that a flourishing society needs people working at occupations all across the spectrum, from more subjectively and inwardly focused artistic, creative, entrepreneurial, and inventive types to those who are working primarily with the service of others in mind, whether to provide for their families or to do the dirty work necessary for others to thrive. But all occupations need to have some element of both the subjective and the objective element, even if the ratio is somewhat different in each individual case.

Even so, the best way to balance these horizontal concerns, I argue today at Think Christian, is by triangulating them vertically, to add attention about God’s divine call into the mix. That gets us beyond, I think, “the conflict that inevitably follows the calculation of labor against capital, dog against dog, me against you.”

liberal-conservativeWe read the same Bible and follow the same Jesus. We go to the same churches and even agree on the same social issues. So why then do liberal and conservative evangelicals tend to disagree so often about economic issues?

The answer most frequently given is that both sides simply baptize whatever political and economic views they already believe. While this is likely to be partially true, I don’t think it is a sufficient explanation for the views of more thoughtful and sophisticated evangelicals (which naturally, dear reader, includes you and me).* Even if we start with our naturally acquired political orientation, our engagement with the Bible tends to have a dialogical effect, causing us to modify and rethink our economic views in light of principles we discern from Scripture.

Because we conservatives and liberals come to different conclusions, though, one side will be right and the other wrong (or at least more right and more wrong than the other). We all believe our views on economics are true, which is why we are justified in holding these beliefs and think those who disagree are necessarily wrong. That is just how belief works.

But we often don’t have a sufficient depth of understanding about each others fundamental economic beliefs to know why exactly we come to such different conclusions. Too often we express disagreements about policy without comprehending what guiding principles are motivating our differences of opinion.
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Rush Limbaugh kicked up some controversy over the past week with his analysis of Pope Francis’ Evangelii Gaudium:

…the pope here has now gone beyond Catholicism here, and this is pure political.  I want to share with you some of this stuff.

“Pope Francis attacked unfettered capitalism as ‘a new tyranny’ and beseeched global leaders to fight poverty and growing inequality, in a document on Tuesday setting out a platform for his papacy and calling for a renewal of the Catholic Church. … In it, Francis went further than previous comments criticizing the global economic system, attacking the ‘idolatry of money.’”

I gotta be very careful.  I have been numerous times to the Vatican.  It wouldn’t exist without tons of money.  But regardless, what this is, somebody has either written this for him or gotten to him.  This is just pure Marxism coming out of the mouth of the pope.  Unfettered capitalism?  That doesn’t exist anywhere.  Unfettered capitalism is a liberal socialist phrase to describe the United States.  Unfettered, unregulated.

You can read his complete critique at the link above. The Catholic Channel on Sirius XM Satellite Radio responded by calling upon Acton President Rev. Robert A. Sirico to provide a critique of Limbaugh’s statements. You can listen to that interview via the audio player below:

DollarSignCapitalism is routinely castigated as an enemy of the arts, with much of the finger-pointing bent toward monsters of profit and efficiency — drooling only for money, caring nothing for beauty, and so on. Other critiques take aim at more systemic features, fearing that the type of industrialization that markets sometimes tend toward will inevitably detach artists from healthy social contexts, sucking dry any potential for flourishing as a result.

Yet while free economies certainly introduce a unique series of challenges for artists and consumers alike, and despite the wide array of bottom-dollar record-company execs and merchandising-obsessed Hollywood crackpots that demonstrate such obstacles, recent increases in economic empowerment have also led to plenty of artistic empowerment in turn.

Empowered to Create

The more obvious and overarching examples of this have to do with the simple ways in which widespread prosperity has freed up our time, energy, and resources. As collaboration and innovation accelerate, folks are continuing to discover new ways of doing more with less. As result, the tools and time needed to participate in a variety of artistic ventures, from hand-painting to stage acting to music production, are closer to common fingers than ever before.

Of course, market forces aren’t perfect. As channels of culture, they mostly funnel what they funnel, and that includes squalid appeals to the lowest common denominator. But neither are such forces limited to the hands of the tasteless and trite. Indeed, despite the best efforts of the powerful and privileged, many artists are now finding themselves increasingly equipped to bypass the big shots altogether, taking their art and their audiences with them, from the purchase of their paintbrushes to the publication of their portrait.

As a young boy, I dreamed of one day becoming a filmmaker. After working only two summers at minimum wage, I was able to save up enough cash to put that dream to the test, purchasing a-state of-the-art video camera and my very own digital editing equipment. Thanks to the innovations of others, and the basic freedoms that unleashed it all in the first place, at the age of 16, I was able to secure the tools needed to begin my work — tools that, only a decade prior, were confined to the hands of Hollywood bigwigs. (more…)

Anyone who’s driven across the American landscape knows that there will be a familiar string of fast-food chains, gas stations and box stores along the expressways. You could virtually eat the same meal as you drive from one coastline of fast-food-exit-signAmerica to the other. Michael Matheson Miller, Research Fellow and Director of PovertyCure at the Acton Institute, takes up this issue, asking, “Does capitalism destroy culture?”

[S]ince the cultural critique comes from political observers at almost every point on the political spectrum, and since the bureaucratic-capitalist economies of the world really are cultures in crisis, the criticism is worth attending to seriously.

If we are going to analyze the cultural effects of market economies then I think the one of the first things we need to do is distinguish between those things Peter Berger called “intrinsic” to capitalism and those “extrinsic” to it. We need to distinguish among at least three things:

  • the cultural effects caused by capitalism,
  • effects aided and abetted by capitalism,
  • and those things that exist alongside capitalism and are often conflated with capitalism, but that are distinct from it.

I will say from the outset that I support open, competitive economies that allow for free exchange, but I would not call myself a “capitalist.” Capitalism is generally a Marxist term that implies a mechanistic view of the economy and a false dichotomy between “capital” and “labor.” Capitalism also comes in a variety of forms and can mean many things. There is corporate capitalism, oligarchic capitalism, crony capitalism, and managerial-bureaucratic capitalism, such as we have in the United States. However, cultural critics of capitalism usually don’t make those distinctions and, even if they did, many would still be critical of an authentically free market. So without trying to tease apart all of these strands at the outset and so risk never getting anywhere let me use the term “capitalism” and ask and answer the question with the broadest of brushstrokes. Does capitalism corrode culture?  I think the answer is yes and no.

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Over at Fieldnotes Magazine, Matthew Kaemingk offers a good reminder that in our social solutions-seeking we needn’t be limited to thinking only in terms of market and state. By boxing ourselves in as such, Kaemingk argues, Christians risk an overly simplistic, non-Biblical view of human needs and human destiny:

When presented with almost any social problem (education, health care, poverty, family life, and so on), today’s leaders typically point to one of two possible solutions—a freer market or a stronger state. But in opposition to these rather myopic solutions, I think there is a more complex and biblical lens through which leaders can consider the social eco-system and the people who move around in it.

Instead of simplistic descriptions of human beings as either clients of the state or competitors in the market, the Christian Scriptures present humanity in a refreshingly complex way. We find a complex creature with a wide variety of gifts, abilities, interests, aspects, loyalties, and solidarities. Created in the image of God, human beings in the Bible are anything but simple. They are musical, communal, religious, artistic, familial, charitable, scientific, literary, moral, athletic, fun, and funny. The robust anthropology found in the Bible depicts a creature that could never be fully defined, controlled, content, or nourished by the market or the state alone—thank God.

This perspective ties in well with Rev. Robert Sirico’s final chapter in his book, Defending the Free Market, where he criticizes the popular notion of homo economicus, from which plenty of bad economic policy and market decision-making has been generated:

Any man who was only economic man would be a lost soul. And any civilization that produced only homines economici to fill its markets, courts, legislative bodies, and other institutions would soon enough be a lost civilization. Familial love, voluntary dedication to philanthropy and faith, the creation of art and music would be at their most minimal level, and whole sectors of life would completely vanish. Focusing the whole of life on the acquisition of quantifiable goods does not bring true happiness or peace, as almost everyone knows. We all have material appetites, but we do not (pray God) always feed them…Human beings find ultimate fulfillment not in acquisition but in developing, sharing, and using their God-given creative capacities for good and giving themselves to others. (more…)

In the Washington Times, Nile Gardiner praises Becoming Europe: Economic Decline, Culture, and How America Can Avoid a European Future, the new book by Acton Research Director Samuel Gregg. Gardiner, the director of the Margaret Thatcher Center for Freedom at The Heritage Foundation and a Washington-based foreign affairs analyst for The Telegraph, says Becoming Europe “should be on the desk of every member of the House and Senate who cares about the future of America as a prosperous and free nation.” Gardiner recommends the book for its “rich detail describing the economic and social ‘Europeanization’ of America, from the rise of vast welfare systems to growing skepticism of the merits of the free-enterprise system.” Excerpt from the review:

“Becoming Europe” is a meticulously researched and well-argued thesis that lays out what is at stake for the world’s superpower, as it faces a stark choice between European-style decline or a return to the original vision of America’s Founding Fathers, as well as the classical liberal teachings of Alexis de Tocqueville, Friedrich von Hayek and Adam Smith. Mr. Gregg, who is director of research at the Acton Institute, paints a grim picture of the direction America is taking but, nevertheless, conveys a positive message to his readers. Mr. Gregg argues that while America is indeed on the path to the European model, it can still turn back and avoid the fate that Europe looks doomed to suffer. In many respects, this is an optimistic book based upon faith in America’s ability to renew itself through rediscovering the principles of economic liberty.

I agree with Mr. Gregg’s assessment. As Gallup polling consistently shows, America is still at its core a conservative nation, one that cherishes the foundations of individual liberty. The fire of freedom still burns brighter on this side of the Atlantic than it does in the Old World, where the suffocating supranationalism of the European Union marches on, with the EU heading toward ever-greater political and economic centralization. The European nightmare can be avoided here, however, only if America’s leaders, at both a national and state level, are willing to stand up for economic freedom and reject the destructive ideology of big government. Washington is already on the path to Brussels, Paris and Athens, but it still has an opportunity to reverse course and avoid the road to economic ruin.

Read Nile Gardiner’s full review of Becoming Europe in the Washington Times.