Monday, January 28, 2013

Absurd Price Controls



Well, the regulators are at it again...

It seems cheap milk is just too detrimental to the State of Louisiana, so it must be crushed.

  If you want to understand how insane the reasoning behind price controls actually are, just talk it out;  The price of Milk must be kept high, otherwise people will sell cheap Milk and undercut their competition who will be forced out of the market and then the remaining Milk sellers will raise the price.  So high prices will prevent high prices by eliminating low prices.   Sounds ridiculous, right?
 
"[State Agriculture and Forestry Commissioner Mike] Strain said the regulations exist to keep the price of milk as low as possible.
Allowing a supermarket to sell milk below cost could drive competitors out of business, allowing the store to then increase the price of milk, he said."

Just ponder that for a moment...the regulation exist to keep the price as low as possible...by preventing the sale of cheap Milk.    How could this be stated with a straight face?   Truly, this defies every form of argumentative logic.  Truly, in the mind of regulator Mike Strain, War is Peace, Ignorance is Strength and Freedom is Slavery

Now listen to someone who actually knew what was wrong with price controls...with a special appearance by a two-faced Richard Nixon.


And here is some more on price controls with one of the most clear examples; Post-War West Germany.  Cheers to the late Ludwig Erhard for his clarity of vision to allow the West German economy to thrive.

 







Wednesday, January 2, 2013

Gee, Thank You Internet. (NFSW)

An innocent search for a photo of Joe DiMaggio and Marilyn Monroe goes awry.

The black and white is a classy touch.


Tuesday, January 1, 2013

A Great Post About Israel

I wasn't planning on posting today, but I came across a great post by classical liberal economics professor  Steve Horwitz.  In it, correctly identifies a problem that frequently occurs with libertarians, which I would call an all-or-nothing position of anarchy, but professor Horwitz calls (cleverly, I might add) the dichotomy of being "Anti-State" as opposed to being "Pro Liberty".   The anarchist or, I am sorry to say, Rothbardian sees no distinction and that you cannot support the latter; liberty, without being the former; anti-state.    I personally see this as being dogmatic and frankly, nonsensical, because it tends to treat all states, all the time, with the same rancor.

As Horwitz says;

"And more important:  even if libertarians agree that “all states are bad,” that does not mean that all states are equally bad.  The US government is bad, and so was Stalinist Russia.  But you know what?  I’m pretty comfortable thinking that Stalinist Russia was a hell of a lot worse state than the US was then or now. "
Hear hear. I would even go a step further in saying that all state actions are not equally bad either.  Some actions taken by the state, however rarely, might actually be good.  Arresting murderers for example.    The same reasoning can be applied to the Israeli government; it's not good, but it is much better than the alternatives.   Yet many people don't see it that way.  As one anarchist named "Marc Abela" with whom I was arguing stated (emphasis mine);

"degrees of severity are of interest to you. They aren't to me. I try to do without. It blurs my thinking process to study whether Islam is grayer than Christianity.
Australia, Britain, Nazi Germany, Japan - all the same stuff. Barbaric statism. I live better and my reflection is cleaner when I just condemn rape and racism all together, not when I try to classify forms of racism into different groups and various flavors. A taxpayer funded post-office is the wheel on the genocidal car."
 This person claims that Australia is the same, morally speaking, as Nazi Germany.    If that isn't morally reprehensible thinking, I don't know what is.  To this person, everything, at least with regards to the state, is equally bad.  That is to say a congressman who uses his office to pay for, lets say, some new suits, is morally equal to this man.     What other way is there to describe this binary thinking other than sick? 

I suspect this person is being somewhat dishonest though and that he doesn't really see everything as being a yes or no question.  But, he presented an argument a certain way from the begining and was more focused in maintaining argumentative purity, rather than being reasonable.  You can read the entire exchange here. (I'm kev3d, in case you were wondering.)

Of course what is reasonable is to examine things on a case by case basis, to carefully weight the social, environmental, economic and most importantly, the moral costs and benefits.   As I have stated elsewhere, a good doctor understands triage; the most urgent problems require the most urgent care.  This requires a discriminating assessment, not all-or-nothing thinking.   Would you really want a hospital to treat someone with a sprained ankle with the same urgency as a person with a heart attack?  Or a common cold with the same remedy as cancer?  Of course not.  So before we claim that Israel is equally morally reprehensible as Iran, lets keep a little perspective, shall we? 

As professor Horwitz says;

"Yes, we all dislike the state, but sometimes the enemy of my enemy is not my friend.  Ending the state is not the same as building the institutions that safeguard liberty.  A free society is more than just one without a state;  it is one with the rule of law, protection for private property and contract, and equal political rights for all.  Only Israel comes close to having that, and the alternative Israel-free Middle East would be a net loss for liberty."

 Happy new year everyone.



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