https://www.nationalreview.com/magazine/2021/11/01/life-after-capitalism/?utm_source=recirc-desktop&utm_medium=homepage&utm_campaign=top-of-nav&utm_content=hero-module
The information theory of economics
Anyone determined to provide a “new economics” must haul a heavy burden of proof up a steep slope of professional resistance. At the summits of academic prestige, economics presents a Delphic façade of math and marble.
A still higher barrier faces anyone suggesting major modification to the entrenched system of reasonably free markets and economic incentives associated with “capitalism.” Within recent memory, exponents of free markets — myself included — were celebrating a triumphalist “end of history.” Even China’s “Communist Party” and “Middle Kingdom,” self-consciously central in the order of the universe, were thriving as a self-evidently capitalist regime. China’s entrepreneurs were as “free to choose” as any “robber baron” of yore, particularly if their field was sufficiently technical to baffle the bureaucracy and so long as they didn’t under any circumstances compare their rulers to Winnie-the-Pooh.
With the U.S., Europe, and China all essentially organized by markets, dissenters retreated to government-funded universities, cranky leftist redoubts such as Harvard and the New York Times, and green movements thriving on money and lawyers from the disgruntled families of penitent or deceased entrepreneurs.
As autodidact supply-side paragon Jude Wanniski put it in 1980 — with credit to economists Arthur Laffer and Robert Mundell — to most observers, capitalism is simply “the way the world works.” And Wanniski was proved right. I long had criticized him for his judgment that Communist regimes were merely capitalist in a disguise of incompetence. But even this view may prove prescient, as today market-oriented regimes are blithely donning the same disguise.
With banks essentially nationalized and stultified by regulators and no longer making loans to entrepreneurial companies; with the nation recently locked down and masked because of COVID at the caprice of germophobic governors; with energy usage regulated, subsidized, priced, and litigated by bureaucrats around the globe out of a demented fear of CO2 emissions; with education run by manipulative ideologues with lifelong tenure and government appointments, funded by $1.5 trillion in guaranteed student loans; with money pumped up and propagated like gilded gas — we live in a new twilight zone beyond capitalism and freedom.
Thomas Sowell is lapidary: “Freedom is not simply the right of intellectuals to circulate their merchandise. It is, above all, the right of ordinary people to find elbow room for themselves and a refuge from the rampaging presumptions of their ‘betters.’”
Still, for all the complaints in the air, let us give tribute to the far from dismal accomplishments of economic science.