A Confederacy Of Confusion

Welcome Comrades,

The problem with the theory of free markets and supply-side economics lies not in its' complexity, but its' simplicity. Laissez-faire capitalism is supposed to remove the ethical problems of finance - on an equal playing field, the market determines the success or failure of business, and critical judgement is not required. If a product is not practical or beneficial, no one will buy it and the business will flop. Simple. At least, that's the idea; except any social system that attempts to be idiot-proof is doomed to failure. There are just too many idiots.

The famous British economist, John Maynard Keynes, said, "Capitalism is the astounding belief that the most wickedest of men will do the most wickedest of things for the greatest good of everyone." In contemporary society, any idea is potentially justifiable, and if you repeat it enough, it becomes valid. The elimination of critical thinking from modern debate about conduct is endemic of political correctness. For an example, just watch any episode of Jerry Springer, Jenny Jones, et al. and, inevitably, some pathetic guest with a personal agenda will spew out, "You don't know me! You can't judge me!" Oh, yes, I can, but corporate executives reflect this attitude like it's common sense.

Those who can, do; those who can't, teach. Perhaps more accurately, those who can't get the public to swallow their crazy notions go to a university and force them onto young, pliable minds, then, send them forth into the world to wreak havoc. Keynes also said that "the mad rants of men in authority have their origins in the jottings of some forgotten professor of economics."

For years, the argument has been against 'liberal' campuses and professors who spread sedition and un-American ideas. What about the professors like Milton Friedman, the father of Reaganomics, who taught the 'Chicago Boys?' They were a group of international students who spread the word about trickle-down theory and destroyed the economies of their home countries like Chile and Brazil. They just wanted everyone to know the good news that 'a rising tide raises all boats.' Assuming, of course, that you're rich enough to own a boat. If you're just treading water like the rest of us, nothing's going to change. If you're anchored to the bottom like the poor of the third world, you're going to drown.

One of the tenets of 'voodoo' economics is deregulation - set the forces of the market free and competition will drive down costs for the consumer. This is a nice idea, and seems to make sense on the surface, but once again, the idiots take over. In this instance, however, we're the idiots. Now, we see the phenomenon known as 'co-opetition' come into play. Corporations band together to set prices and inflate demand for their products. This is how Enron became so successful, by gouging the energy market along with their 'competitors.'

So, how do we avoid such scandal and abuse in the future? Ready? I'm going to say it... reg-u-la-tion. Someone has to oversee how business operates. Removing the ethical debate from the process is a bad idea. If the leaders of the business community aren't going to exercise judgement, we should. And that's how it should be. No matter how loudly CEOs cry about their hands being tied, it's better than being lined up and shot, and historically, that's the next step.

Hasta la victoria siempre,

TVD

--- 1/06/03

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