Monday, 1 July 2013

Crisis: Interventionism or Free Markets?

By John P. Cochran

Shawn Ritenour, author of Foundations of Economics, channels Mises to dispute the “sad narratives of the financial meltdown of 2008 and its aftermath .. that it was and remains the result of unbridled capitalism. Too much freedom spoiled the economic broth” is his excellent commentary  “Is the Economic Crisis an Indictment of Capitalism?” His conclusion:
In a free market rooted in private property, the only way entrepreneurs are able to sustain profits is by serving customers better than anyone else. It is only when they receive special privileges through preferential regulation, subsidies, bailouts and the like that they are able to reap profits for which they have not sowed productive activity.
Read the rest here... 

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