Monday, March 10, 2014

Economically Consistent Libertarianism

Some pretty decent comments here... What Should The Government Do?

************************************************************

Most of you libertarians probably already have a decent idea what the government should do...and chances are good that it's not a very long list.

The thing is...I think that there might be a problem with how you came up with your list.  In order to show you the problem...let's tweak the question a bit...

What should the private sector do?

How do we determine the proper scope of the private sector?  Easy!  We shop.  Right?  Each time we spend our money on a good/service... we help determine what the private sector does.  As a result, the scope of the private sector accurately reflects the complex preferences and circumstances of consumers.  It's a bottom up...decentralized...invisible hand approach.  Because it's the epitome of a group valuation effort...the private sector creates the maximum possible value.

With this in mind...how do we determine the proper scope of the public sector?

A. We strictly adhere to the Constitution
B. We elect Rand Paul
C. We shop
D. Other

A. The Constitution was written by a small group of government planners.  If a top down approach can more accurately determine what the public sector should do...then it can more accurately determine what the private sector should do.  This is because "accuracy" is value.  More accuracy equals more value.  If the top down approach for the public sector creates more value than the bottom up approach would...then clearly the value judgements of a small group of government planners are superior to the value judgements of millions and millions of consumers.  Therefore, we should want congress to be our personal shoppers in the private sector as well.

B.  Rand Paul is pretty great...but if he determines the proper scope of government...then it's still a top down approach.

C. We shop (pragmatarianism).  Each time we spend our own taxes on a good/service... we will help determine what the public sector does.  This is the bottom up approach.

D. Other?  If it's not bottom up...then it's top down.  If it's not decentralized...then it's centralized.  If it's not the invisible hand...then it's the visible hand.  If you're not dancing to the beat of your own drum...then you're dancing to the beat of somebody else's drum.  If you're not determining which items are being placed in your shopping cart...then somebody else is.


Can government planners know that limiting the public sector to the production of x, y and z will create the maximum possible value?  If so, then why do you want to reduce the scope of government?  Clearly you believe that the value judgements of millions and millions of consumers are inferior to the value judgements of a small group of government planners.

Pragmatarianism is economically consistent libertarianism.

No comments:

Post a Comment