Economics

The Market, School of Virtue

Acton Institute | by Stephen Grabill | Nov. 4, 2009

Does the market inspire people to greater practical virtue, or does it eviscerate what little virtue any of us have?

Far from draining moral goodness out of us—as many think—the free market serves as a “school of the practical virtues.” Rather than elevating greed and self-sufficiency, the market fosters interdependence and cooperation. Its rewards do not go to those who are the most isolated, self-absorbed, or cut off from society, but to those who sustain mutually prosperous relationships with others. [Read more…]

In Defense of Capitalism

Capitalism Freedom Private PropertyFrontPage Magazine | by Vasko Kohlmayer | Sep. 18, 2009

“Capitalism is an evil, and you cannot regulate evil… you have to eliminate it and replace it with something that is good for all people,” concludes Michael Moore in his latest documentary Capitalism: A Love Story.

Moore’s fulmination is neither surprising nor atypical in this era when capitalism finds itself under all-out assault. Having become something of a derogatory term, capitalism gets faulted for almost every societal problem and ill. Blamed for exploitation, poverty, fraud, alienation, crime, racism and nearly everything else, capitalism is increasingly cast as the great villain of our time. [Read more…]

The French Model

The Washington Times | by Richard W. Rahn | Aug. 26, 2009

Why does it appear France is bouncing back more quickly from the recession than the United States? France has long been known for having an economy that suffered from too much government interference, too-high taxes and destructive union activity. Yet it grew 1.4 percent in the second quarter of 2009, while the U.S. economy continued to decline.

The United States and Britain have had the largest “stimulus” programs of the major economies (as measured by increases in government spending and deficits relative to gross domestic product) and yet they are not moving toward recovery as rapidly as most other countries that had far smaller stimulus programs or none. [Read more…]

The Assault on American Business

The message from Washington is clear and getting louder by the day. If you run a successful business you face excessive government regulations and higher levels of taxation for years to come. The more productive and profitable you become, the more you will be forced to pay for the privilege of operating in this country. This threat is real and it appears that many companies and business owners are taking steps to protect themselves.

President Obama’s anti-business and anti-competitive campaign messages made executives and business owners apprehensive ahead of the January 2009 presidential inauguration and the Democrats obtaining control of Congress. Coming in the midst of one of the worst financial crisis and economic recessions in recent memory these promises had predictable results: businesses aggressively cut expenses, decreased their capital expenditures, drastically reduced their payrolls, and hunkered down to weather the current crisis and deal with the long-term consequences of punitive government actions. [Read more…]

From Crisis to Creative Entrepreneurial Liberation

Acton.org | by Anthony B. Bradley | May 6, 2009

Necessity is the mother of invention, said Plato, and the truth of the proverb has been borne out once again. Necessity is generating entrepreneurial energy amid America’s current economic crisis, according to a new study by the Kansas City-based Kaufman Foundation. The study reveals an increase in business startups during 2008, as the recession was taking hold. The rise is consistent with similar previous trends, such as the boomlet occurring after the tech bust of the 1990s. Throughout human history, a nation’s best resource in time of crisis has been the unleashed creative and entrepreneurial spirit of its citizens.

According to the study, U.S. entrepreneurship rates increased for lowest-income-potential and middle-income-potential types of businesses from 2007 to 2008 but decreased for the highest-income-potential types of businesses. In other words, the highest growth rates were among necessity-inspired everyday Americans. The entrepreneurial spirit embedded in all human persons has been stirred in women and men at all levels of society. [Read more…]

Orthodox Christianity And Capitalism: Are They Compatible?


AFR – The Illumined Heart | Kevin Allen | Apr 17, 2009

Writer, attorney, and university professor Chris Banescu discusses the economic, moral and spiritual issues surrounding the “capitalist” economic model and whether it serves the best interests of Christians living the life of the Beatitudes, in this interview with Kevin Allen host of The Illumined Heart podcast on Ancient Faith Radio.

Orthodox Christianity And Capitalism: Are They Compatible? – 4/17/09 [audio:http://audio.ancientfaith.com/illuminedheart/ih_2009-04-17_pc.mp3|titles=Orthodox Christianity And Capitalism Are They Compatible?|artists=Chris Banescu]

[Read more…]

Is Rand Relevant?

The Wall Street Journal | by Yaron Brook | Mar. 14, 2009

Ayn Rand died more than a quarter of a century ago, yet her name appears regularly in discussions of our current economic turmoil. …her magnum opus, “Atlas Shrugged,” is selling at a faster rate today than at any time during its 51-year history.

There’s a reason. In “Atlas,” Rand tells the story of the U.S. economy crumbling under the weight of crushing government interventions and regulations. Meanwhile, blaming greed and the free market, Washington responds with more controls that only deepen the crisis. Sound familiar? [Read more…]