russell brand socialismJohn Stossel is fed up with celebrities whining about the very economic system that made them rich. From Russell Brand demanding redistribution of wealth to George Lucas decrying “capitalist democracy,” celebrities who are rolling in dough seem to be suffering from some sort of entrepreneurial guilt. Of course, they aren’t feeling guilty enough to ditch one of their seven planes (à la Harrison Ford) so as to lower their carbon foot print, but guilty enough to tell us that capitalism is wrong. Very wrong.

It’s bad enough that celebrities trash the only economic system that makes poor people’s lives better. What’s worse is that many are hypocrites. (more…)

Blog author: jballor
Wednesday, December 11, 2013
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Broken bank 02In yesterday’s edition of The Transom, which I highly recommend, Ben Domenech included a discussion that places the debates over raising the minimum wage within the broader context of the effects of inflation more generally.

Here’s a section:

There shouldn’t be any debate about the reality of the problem that the costs of basic staples, health care, and higher education are chewing up ever-increasing portions of the median family budget which is, in inflation-adjusted terms, smaller than it’s been since 1995. According to the Bureau of Labor Statistics, over the past five years, the average prices for all goods are 7.7% higher; the average price of bread is 10.4% higher; and the average price of meat/poultry/fish/eggs is 16.2% higher. In the past decade, the average worker has paid 89 percent more toward their health care benefits, while their wages grew 31 percent. The rising costs of the government-fueled higher education bubble makes American parents concerned they can no longer afford to send their kids to college. On top of it all, Americans no longer feel confident about their ability to find a new job which can pay them enough to make up for the costs of these goods and services.

The problem is not that the cost of unskilled labor is too low. The problem is the costs of what workers can buy with the fruits of that labor are too high. And the reason for that is largely due to government and systems which socialize risk and insulate producers from reality, not the realities of a competitive marketplace. http://vlt.tc/16×9 Those who favor a free market response to these inequality-related concerns ought to view the minimum wage push as an opportunity to put forward an agenda that speaks to these real concerns with a gas & groceries agenda. This is not going to be solved by more government requirements which raise the cost of labor and will absolutely lead to more low-skilled unemployment: it is with an agenda that would smash the insulated systems which have led to these higher costs.

Ben goes on to outline in some detail what an agenda might look like, which includes “ending the government’s management Soviet-style programs of dairy and raisins.” Horror of horrors, the Daily Beast and dairy producers would have us believe that the result would be $8/gallon milk. I can’t be the only one who wonders what the market price of commodities from milk to oil and sugar might be without various protectionist measures and subsidy schemes.

Ben ends the section with a key question: “Some Republicans have taken up more populist anti-corporatist and anti-cronyist arguments in recent months, because they can read the same polls we do. But will they stand up to cronyism, or are they just interested in demagoguery on the issue until they hold the reins of power again?”
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Blog author: jcarter
Wednesday, December 11, 2013
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Tea-Party-Catholic-196x300Sociologist Max Weber famously associated Protestantism with capitalism. Although widely accepted by many, that claim is theologically dubious, empirically disprovable, and largely incidental, says Acton Research Director Samuel Gregg:

Even when we consider modern capitalism’s emergence, a direct connection between this event and Protestantism is very open to question. The economic historian Jacques Delacroix, for instance, has highlighted many facts about this period that Weber’s theory simply cannot account for. “Amsterdam’s wealth,” Delacroix writes, “was centered on Catholic families; the economically advanced German Rhineland is more Catholic than Protestant; all-Catholic Belgium was the second country to industrialize, ahead of a good half-dozen Protestant entities.”

Read more . . .

Blog author: jcarter
Wednesday, December 11, 2013
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Ukraine protest is spiritual movement, bishop says
Cindy Wooden, Catholic News Service

Catholic, Orthodox and Protestant clergy have been assisting the demonstrators.

Business Is a Community Service
Joy Pullmann, Values & Capitalism

In short, providing something people need at a price that keeps buyers happy and the business running is a community service.

How to Help Americans with Pre-Existing Conditions
Amy Payne, The Foundry

Those who buy health insurance on their own in the individual market—about 10 percent of the private market—are the ones who need the protection. So let’s send the help there.

The Controversy Over Evangelii Gaudium
Rachel Lu, Crisis Magazine

My friends seem to think I have a problem because I’m a Catholic who likes free markets. More specifically, I take my faith seriously, but I also incline towards the view that global markets are less free than they should be.

AOTDid you miss Acton on Tap? You really shouldn’t miss Acton on Tap. That’s a bad idea. For instance, if you missed last night’s event, you passed up an opportunity to hear Jordan J. Ballor, Executive Editor of the Journal of Markets & Morality and author of Get Your Hands Dirty: Essays on Christian Social Thought (and Action), speak at San Chez Bistro in Grand Rapids, Michigan on the topic of the economics of the Heidelberg Catechism. He focused on Lord’s Days 50, 42, and 38 as the origin, essence, and goal of economic activity, and it was a really worthwhile talk.

But we’re nothing if not forgiving here at Acton, so if you weren’t able to be there, we’re posting the audio of Jordan’s talk below. Enjoy, and watch this space for info on our next Acton on Tap event!

Jordan J. Ballor speaks at Acton On Tap

Jordan J. Ballor speaks on the economics of the Heidelberg Catechism

  1. fifa world cupThe Fédération Internationale de Football Association is holding the World Cup in Brazil, June 2014.
  2. Six men have been arrested for fixing Premier League soccer matches.
  3. Earlier this month, two British men were arrested for fixing Australian soccer matches.
  4. Retired English striker Alan Shearer is calling for “zero tolerance” for fixing of soccer matches.

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Blog author: jballor
Tuesday, December 10, 2013
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Most commentators, apart from Virginia Postrel and the like, seem to think that it would be tragic for the city of Detroit to lose the art collection at the Detroit Institute of Arts (DIA) in the city’s bankruptcy proceedings. I agree that liquidating or “monetizing” the collection and shipping the works off to parts unknown like the spare pieces on a totaled car would be tragic.

Diego Rivera - Detroit Industry MuralsBut at the same time, there’s something about the relationship between the DIA collection and the city government (not to be confused with the people of the city itself) that would seem to warrant the city government’s loss of this asset. When you are a bad steward, even what little you have will be taken from you.

Now one could argue about the details of the DIA’s day-to-day operations, the compensation package for its director, and so on. But apart from these details of stewardship of the DIA itself, the real object lesson in bad stewardship has to do with the city government. Rife with structural corruption, cronyism, and incompetence, the city has been unable to provide the basic services and protection that it is responsible for, despite the best efforts of so many individuals working within the city government. So when the city cannot do the primary things it needs to do, it should lose the privilege of overseeing the secondary things, at the very least until it proves itself to be a responsible steward.
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