Joseph A. Schumpeter is identified with two related ideas, the notion of the innovative entrepreneur and the imagery of the competitive market as a process of creative destruction.
Economics
The Wonders of a Self-Regulating Free Market
The fact is, there is far more in the world that successfully manages and “regulates” itself without the controlling hand of the government than many of us pause to reflect on or understand.
In Defense of The Austrian School of Economics
If you approach Austrians economics from a Marxian-style dialectic, as Janek Wasserman does, then you will miss the entire point of the school of thought and its contribution to the science of economics.
What Is Comparative Advantage?
Your building your own deck would be worthwhile only if your cost of doing so is less than the cost of having someone else, such as Jones, build it for you.
Jean-Baptiste Say: An Economist in Troubled Times
To consume, men must first produce.
The Four Phases of the Great Depression
The Great Depression was not one, but four consecutive depressions that Professor Hans Sennholz has labeled as four “phases”: the business cycle; the disintegration of the world economy; the New Deal; and the Wagner Act.
Jean-Baptiste Say, Capitalism and Say’s “Law of Markets”
Say’s Law of Markets already included the answers to the questions against free markets with which the Keynesians attempted to challenge the efficacy of capitalism a century later.
Say’s Law and the Keynesian Revolution: How Macroeconomic Theory Lost Its Way by Steven Kates
Steven Kates refutes Keynes’s caricature of the classical economists. Ultimately it is always goods that are traded for goods. Say’s Law, properly understood, explains both what causes unemployment and how to solve it..
Wealth Tax Consumes Capital To Appease Envy
Amongst Thomas Piketty, Elizabeth Warren, Bernie Sanders, Jerry Yang, and Jeremy Corbyn a wealth tax is all the rage as a means to rectify “wealth inequality”. But what does it really do?
Shareholders, Not “Stakeholders”
So many CEOs know so little about economics that they don’t know that in a free market producing for the profit of their stockholders in and of itself implies producing for the benefit of everyone.
Hazony’s Tradition-Based Society Is Social Engineering
At any moment in time, the world seems to be going to hell in a handbasket. Manners are missing; ethics are being eliminated; culture is corrupted; social attitudes are supercilious; virtues are vanishing; literature is mostly licentious; industry...
Laissez Faire vs. Interventionism
In eighteenth-century France the saying laissez faire, laissez passer was the formula into which some of the champions of the cause of liberty compressed their program. Their aim was the establishment of the unhampered market society. In order to...
Capitalism is the Solution to the Problem of “Asymmetric Information”
It is capitalism and the competitive market process that generates solutions to the knowledge problems of the society, including the “informational asymmetry” that naturally follows from any developed social system of division of labor.
Marx and His Exploitation Theory
As the economic degree of capitalism rises, not only do profit margins and the rate of profit fall, but wage payments come into being and then rise both absolutely and relative to profits.
How Ayn Rand’s Philosophy of Objectivism Can Rescue Hayek’s Economics
In economics Hayek is a radical; but in philosophy, unlike Ayn Rand, Hayek is a conservative.
As the U.S. Government Grows, American Prosperity Slows
Economic growth has been faster when the federal government has been smaller (relative to GDP) – and vice versa.
Trump’s ‘Infrastructure’ Plan Versus Obama’s ‘Stimulus’: Part II
“I cannot undertake to lay my finger on that article of the Constitution which granted a right to Congress of expending, on objects of benevolence, the money of their constituents.”
Defending Capitalism: Ayn Rand vs. Hayek
Ayn Rand publicly recommended the works of Mises but not of Hayek. Today, when Hayek is much better known than Mises, it's worth seeing why. I came to the full realization of what's wrong with Hayek's approach while re-reading Atlas Shrugged. No,...
