Austro-Libertarian Natural Order Philosophy From Indyeah

Individualistic Austro-Libertarian Natural Order Philosophy From Indyeah

Wednesday, April 16, 2008

Let's Revisit (Real) Capitalism

I was quite aghast at Arun Maira’s recent column entitled Let’s Revisit Capitalism.

He quotes a former member of Bill Clinton’s cabinet and the former editor of the London Economist magazine as his authorities.

And he suggests that western-style capitalism is unsuitable for China and India – for two reasons: the first is environmental (ho hum); and the second is the economic inequality that will result (ho hum once again).

Mercifully, he does not ask for more government intervention. He advises more corporate social responsibility kind of stuff.

Yet, the article must go down as one against capitalism – and that too, by one of its most illustrious practitioners in India. This is, to say the least, unfortunate.

In such a climate of opinion, I was happy to read online an article by Ron Paul, Republican presidential candidate in the ongoing US elections, that is most refreshing – for Ron Paul argues for real capitalism, not this interventionist bullshit funded by fiat money:

"Capitalism should not be condemned, since we haven't had capitalism. A system of capitalism presumes sound money, not fiat money manipulated by a central bank. Capitalism cherishes voluntary contracts and interest rates that are determined by savings, not credit creation by a central bank. It's not capitalism when the system is plagued with incomprehensible rules regarding mergers, acquisitions, and stock sales, along with wage controls, price controls, protectionism, corporate subsidies, international management of trade, complex and punishing corporate taxes, privileged government contracts to the military-industrial complex, and a foreign policy controlled by corporate interests and overseas investments. Add to this centralized federal mismanagement of farming, education, medicine, insurance, banking and welfare. This is not capitalism!
To condemn free-market capitalism because of anything going on today makes no sense. There is no evidence that capitalism exists today. We are deeply involved in an interventionist-planned economy that allows major benefits to accrue to the politically connected of both political parties. One may condemn the fraud and the current system, but it must be called by its proper names — Keynesian inflationism, interventionism, and corporatism."


I sincerely hope Arun Maira will read Ron Paul’s entire article – and maybe all his books too – and also root for real capitalism.

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