Free Markets

I blogged elsewhere the “Palmer on Patents” post below a couple years ago.

No doubt, the costs of a return to "sound money" — that is ending the government money-supply monopoly and returning the supply of money to free-market forces — would most likely be substantial. It would most likely entail a severe loss in output and employment, given that inflation has been allowed to have a say in the allocation of scarce resources for decades.

We do know, however, that free people are better able to adapt and prosper than unfree people, in whatever situation the future holds.

So long as one exercises discretion in accepting information from Wikipedia, and so long as one's research extends beyond the Wikipedia article to the sources it cites, Wikipedia is an exceptional resource that is unique to our generation.

At least it will give us something to do until we figure out where next to hitch up the engine of inflation. At which point we can once again cast off the hair shirts, put on our gladrags, and throw another wild, exuberant, but ultimately destructive, orgy of high living and hot money — and devil take the hindmost!

What does society need to do to make sure that it has enough scientists and the right level of technological advance that is also economically viable? It needs a free market.

We would see entrepreneurs seeking profit by providing the poorest people of New Orleans with affordable housing. We would see economical levees built.

And best of all, we wouldn't see FEMA.

In a longer talk, I could discuss the role of police and enforcement of judgments, but this much should give some flavor of the legal system practiced by the Somalis. It provides an effective rule of law entirely without the backing of a government.

However, a large trade deficit — even one that persists for decades — is not necessarily bad or unsustainable.

Above all, the merit of homeschooling is that it allows for experimentation, flexibility, and trial and error. Here is the great contrast with state-provided education.