Posts tagged with: Keynes

Paul Krugman made the mistake of over-sharing this past weekend when he told CNN’s Fareed Zakaria he thinks that the United States economy would benefit from a military build-up to fight made-up space aliens. He’s been defended as being fed up with Republican obstructionism, being desperate to make a point, or even being wholly and completely correct. He’s entirely wrong though, and his thinking (what there is of it) is an example of the kind of depersonalized economics that has cost this country so much.

You’ve probably seen the video by now. If not, your sides will ache through the rest of this post:

Economics is more than just the manipulation of balance sheets, which is how the hyperinflation trillions-in-stimulus crowd see it. Professor Krugman does not accept that essentially, economic activity is the production of something valuable, and he does not believe that human labor has intrinsic worth, besides its taxability. Therefore what people do does not matter; in fact, if lying to them makes the economy function more smoothly, that’s fine.

This is a vision in which Man has no dignity—in which Man is not made in the image of God or anything else. The study of human interaction, then, is nothing more than moving numbers around on a page, and people are no different than plastic cars to be shifted across a traffic jam board game. (It’s telling that Krugman turns to space aliens to save our economy.) Contrast this view with what the Pope said this morning at World Youth Day.

What does have value? The state, which for progressives like Krugman is the engine of historical progress. Enter Keynsian economics, and this weekend’s gibberish.

Memo to documentary filmmaker Michael Moore: Free markets didn’t cause the financial crisis. The biggest culprits were government planners meddling with the market. That’s the message of Acton’s newest video short.



So why on earth is Michael Moore (Capitalism: A Love Story, Sicko) so eager to route even more power and money through Washington? Centralized planning is economic poison. Doubling down isn’t the cure.

(Also, Acton’s resource page on the economic crisis is here.)