Since free enterprise really began 200 years ago, the world’s per capita productivity has increased tenfold, which has allowed a sixfold increase in its population, and undreamt-of prosperity for freer countries.
During what Rudd calls the failed experiment in extreme capitalism of the past 30 years, the world’s population rose by 50 per cent, without the Malthusian corrections by mass starvation that used to characterise population explosions. Australia’s real per-capita GDP rose by 75 per cent.
Anyone whose criteria are human life and wellbeing on earth has to rate this a phenomenal success. It wasn’t extreme capitalism that did it, it was the partial capitalism of our mixed economy. Extreme capitalism would have done better; extreme socialism did much, much worse.
The global financial crisis was not caused by the false god of free markets. Beginning with the US housing bubble, which was caused by government stimulation and intervention to remove free-market restraints against subprime lending, it was caused by bad regulations, not by a lack of regulation.
The medicine our born-again-socialist PM is prescribing as a cure for the crisis is the poison that caused it.
Capitalism works just fine …
National Post Published: Tuesday, December 30, 2008
Had Jeet Heer actually studied Ayn Rand he would know that she would
have condemned Alan Greenspan for abandoning the fundamental
principles of capitalism.
Capitalism requires the separation of government from the economy,
including control over the form and quantity of money. Real money (in
the form of precious metals) was created as a tool for trading
produced goods and services.
When governments print paper money out of thin air and spend it, they
reduce the purchasing power of everyone’s existing money and create a
phony economic boom that eventually has to bust, as recently
witnessed. It’s another way to tax those who are productive in order
to reward those who are not — an inherently destructive act. A normal
tax is “in your face” and painful, whereas inflating the money supply
is virtually invisible and temporarily enjoyable, like a spiked drink.
No single corporation in a capitalist society could have caused the
economic destruction currently taking place, or which took place less
than two decades after the creation of the U. S. Federal Reserve in
1913. Only unbridled governments are capable of such destruction. Mr.
Heer ought to be embarrassed to promote Karl Marx, whose philosophy is
a gigantic rationalization for giving some people unbridled power to
loot, enslave and murder others.
Glenn Woiceshyn, Calgary.
And finally, a great article on the state of the world economy:
Concise and logical writing.