Planning vs. the Free Market

Following Wednesday's 280 point drop in the Dow, the headline of a CNBC article read "Wall Street Baffled by Slowing Economy, Low Yields." MBAs, financial analysts, seasoned stock traders, money managers, investment bankers, et al. are baffled? Really They, and our present crop of politicians (and Republican presidential candidates) would benefit from reading and heeding the wisdom of Henry Hazlitt (1894-1993), noted economist, author, columnist, and philosopher. At an address in 1962 before the Mont Pelerin Society in Belgium, titled "Planning vs. the Free Market", and later published in The Freeman, Hazlitt said: The way to get a maximum rate of "economic growth" to give maximum encouragement to production, employment, saving, and investment. And the way to do this is to maintain a free market and a sound currency. It is to encourage profits, which must in turn encourage both investment and employment. It is to refrain from oppressive taxation that siphons away the funds that...(Read Full Post)