“Friedrich Hayek identified the ‘fatal conceit’ of believing that markets are flawed and can always be rectified and/or improved and/or fine tuned by bright people with big brains and good intentions. However, the fatal conceit is not just, or even, a cognitive error; it also inevitably features a good deal of self-interest. People come into government to do good and stay on to do well.” [emphasis added]
-- Peter Foster, Financial Post (Canada)
Government’s not working today. Our “best and brightest” in government have found themselves unable to generate jobs and economic growth. Scary.
“Fear of dependency” is a psychological condition, the basis for passive-aggressive behavior. In psychology, the condition is set against autonomy, which facilitates self-determined motivation, healthy development, and optimal functioning.
There is a rational basis for liberal American fear of Republicans and of conservative thought. It lies in the link between freedom, capitalism, and economic success. This freedom, this autonomy, is associated with Isaiah Berlin’s “negative liberty,” in contrast to “positive liberty,” which builds not from the actual wishes of individuals, but rather from what individuals should desire. “Positive liberty" justifies collective action by races, classes, sexes, nations, or religions, and lays down an alibi for coercion.
To simplify, the ruling class is panicking (“fear of dependency”) because it knows government has to depend upon economic development. Government cannot create economic development. Government is a parasite, taking in the form of taxes (kleptocracy) from society’s producers, those who risk, invest, employ, fail, and generate wealth. Like the scorpion who drowned after fatally stinging the frog that carried him across the stream because “he couldn’t help himself,” government knows it needs capitalism, but often can’t help interfering with the market economy.
Karl Marx is the modern government party’s godfather. Marx, who lived when the industrial revolution began providing unimaginable wealth to the general population, fully understood how well capitalism worked. In response, Marx developed a “scientific philosophy” that justified government seizing wealth from capitalists (socialism) by proclaiming the workers (proletariat) the true source of wealth (labor theory of value).
In reality, capitalism is the most advanced stage of economic evolution, spreading economic responsibility to an ever-increasing circle of brains, talent, and energy. Capitalism democratizes economic decision-making. Progress means sharing capitalism’s rewards with ever more people.
In reality, government is the force of reaction, wary of entrepreneurs and fighting to retain top-down control over the population. Government cannot replace the market’s efficiency; it should rely on it. But government, built upon a concept as old as the 3700 B.C. Mesopotamia priesthood, one that says we need a credentialed elite to make our lives better, has found “helping the weak” (proletariat) its best justification for disrupting free market operations.
So we have a Republican Party fighting for economic growth, while deeply resenting taxes and government interference. And we have a Democratic Party panicked about its separation from the free market, fearing dependency, deeply hostile to capitalism’s Republican supporters, still blind to the value of autonomy.
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