12 thoughts on “Obama’s road to hell”

  1. Posted 07/09/2009 at 11:37 | Permalink

    The problem here is that the interests of government, households, and large corporations all coalesce around the need to ‘do something’. In a sense, therefore, the issue is not merely one of choosing the right economic policy, but of how interests operate in a democracy. Hayek’s arguments in the third part of ‘Law, Legislation and Liberty’ are relevant here. We need some means to prevent politicians bowing to short term interests.

  2. Posted 07/09/2009 at 11:37 | Permalink

    The problem here is that the interests of government, households, and large corporations all coalesce around the need to ‘do something’. In a sense, therefore, the issue is not merely one of choosing the right economic policy, but of how interests operate in a democracy. Hayek’s arguments in the third part of ‘Law, Legislation and Liberty’ are relevant here. We need some means to prevent politicians bowing to short term interests.

  3. Posted 07/09/2009 at 12:44 | Permalink

    As it happens, this is precisely what James Buchanan says in his endorsement.

  4. Posted 07/09/2009 at 12:44 | Permalink

    As it happens, this is precisely what James Buchanan says in his endorsement.

  5. Posted 07/09/2009 at 16:30 | Permalink

    Buchanan’s work suggests it may be possible to structure the ‘rules of the game’ such that the worst excesses of political and bureaucratic self-interest and short-termism can be mitigated. To give a simple real world example, I believe several Asian countries have constitutional limits on the size of the budget deficit. Having said this, the history of the US, particularly in the 1930s, shows how constitutions and rules can be undermined.

  6. Posted 07/09/2009 at 16:30 | Permalink

    Buchanan’s work suggests it may be possible to structure the ‘rules of the game’ such that the worst excesses of political and bureaucratic self-interest and short-termism can be mitigated. To give a simple real world example, I believe several Asian countries have constitutional limits on the size of the budget deficit. Having said this, the history of the US, particularly in the 1930s, shows how constitutions and rules can be undermined.

  7. Posted 07/09/2009 at 16:53 | Permalink

    There are 3 flaws.

    1) Demographics – the American populous has crossed a chasm of proportions between wealth creators and receivers of largess. Per Alexander Tytler, there are more Obama voters every year and they now have a permanent majority. As the boomers retire they are replaced with uneducated from the country’s own failed education system and the plebes beyond its borders. The result will be akin to Balkanization not a thriving melting pot.

    2) Globalization – simply put; the manufacturing clusters, then the R&D, then the Academic centers. China is winning the technology war and has massive scale.

    3) Debt – inescapable and unmanageable future burdens. And Bretton Woods is done.

  8. Posted 07/09/2009 at 16:53 | Permalink

    There are 3 flaws.

    1) Demographics – the American populous has crossed a chasm of proportions between wealth creators and receivers of largess. Per Alexander Tytler, there are more Obama voters every year and they now have a permanent majority. As the boomers retire they are replaced with uneducated from the country’s own failed education system and the plebes beyond its borders. The result will be akin to Balkanization not a thriving melting pot.

    2) Globalization – simply put; the manufacturing clusters, then the R&D, then the Academic centers. China is winning the technology war and has massive scale.

    3) Debt – inescapable and unmanageable future burdens. And Bretton Woods is done.

  9. Posted 08/09/2009 at 17:25 | Permalink

    Billy – Demographic trends, particularly ageing populations, do indeed present enormous challenges for the US and other Western countries, but they are not insurmountable. Reform of the welfare state is desperately needed in particular, along with a radical deregulation of Western economies to enable them to compete more effectively. Such policies would face tremendous opposition from vested interests but it is possible for the ideological climate to change such that they would receive sufficient support to be implemented.

  10. Posted 08/09/2009 at 17:25 | Permalink

    Billy – Demographic trends, particularly ageing populations, do indeed present enormous challenges for the US and other Western countries, but they are not insurmountable. Reform of the welfare state is desperately needed in particular, along with a radical deregulation of Western economies to enable them to compete more effectively. Such policies would face tremendous opposition from vested interests but it is possible for the ideological climate to change such that they would receive sufficient support to be implemented.

  11. Posted 10/01/2010 at 22:44 | Permalink

    I’m doing a book report on the cause of the great depression and your website is really alot of help, but I am trying to find even more info. I found this article cause of the great depression but I’m not sure I believe the ‘official’ story… I’m trying to find the TRUE cause of the great depression, if you have any ideas of some other additional sources for info please hit me back.Thanks

  12. Posted 10/01/2010 at 22:44 | Permalink

    I’m doing a book report on the cause of the great depression and your website is really alot of help, but I am trying to find even more info. I found this article cause of the great depression but I’m not sure I believe the ‘official’ story… I’m trying to find the TRUE cause of the great depression, if you have any ideas of some other additional sources for info please hit me back.Thanks

Comments are closed.