February 26, 2010

I'm a programmer. I'm also a writer. Put the two together, and you get a yummy stew full of pedantry. 

Free Market - an economic system in which prices and wages are determined by unrestricted competition between businesses, without government regulation or fear of monopolies.

We haven't had a free market in a really long time. Not since before the Federal Reserve was created in 1913.

Any action taken by government to regulate, manipulate interest rates (What do you think the Federal Reserve does?), or otherwise insert itself into the marketplace automatically removes the 'free' from 'Free Market'.

You can argue for or against the actions by the government, but you cannot still call it a 'free market' once that has been done.

If you're interested in economics, I recommend The Politically Incorrect Guide to Capitalism. It works whether you believe in Government intervention into the market or if you hate it. If you believe in government intervention, then this provides a useful counterpoint. If you hate government intervention, then it gives you evidence and logical reasoning as to back up your reasoning.

Now back to your regularly scheduled programming blog posts.


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February 26. 2010 18:57
Phileosophos
At the risk of defending the hoi polloi, the sense in which our market is "free" is in comparison to the others. Whereas the central production committee in China makes pretty much every decision, there are at least sectors of the American economy where government doesn't yet exert complete control. So while I agree with you completely in the most precise definition of 'free market', there is a looser, almost populist sense in which the market remains at least somewhat uncontrolled.

http://phileosophos.com/http://phileosophos.com/


 Hugo Estrada
March 2. 2010 09:45
Hugo Estrada
The free market never really existed. The powerful, i.e. the really, really rich, have always used the state to make the rules of society to work for their advantage.

So is having a few laws so that companies can take advantage of you good? Because that is what regulations are: rules to prevent companies from harming you. But if this

no site


March 2. 2010 11:28
George
@Hugo: So is the problem the free market? Or is the problem that those that have arbitrary power over others (e.g., the State) are in collusion with the rich to benefit themselves? Wouldn't the solution then be to limit the power of those that govern us?

http://blog.yapb.net/http://blog.yapb.net/

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The opinions expressed herein are my own personal opinions and do not represent my employer's view in any way.