Happy Birthday to Milton Friedman!

Here’s a guy actually deserving of the Nobel Prize he was awarded! Milton Friedman in 1976 was the recipient of the Nobel Prize in Economic Sciences. Though Friedman died in 2006 (103 years ago today) he is continually championed a giant of free market capitalism and he must be revolving in his grave over the continual trashing of free market capitalism and the ascendancy of crony capitalism.

So what is crony capitalism?

“Instead of success being determined by a free market and the rule of law, the success of a business is dependent on the favoritism that is shown to it by the ruling government in the form of tax breaks, government grants and other incentives.”

Crony capitalism is the upward distribution of wealth and the taxpayers always lose. Government involvement in the economy always amounts to force, and only in an economy absent of force will individuals thrive, and take society with them to unprecedented heights.

What are some examples of Crony Capitalism?

  • GE
  • GM
  • The Export-Import Bank
  • Solyndra & other “green” companies who would fail without government hand-outs
  • Foreign & domestic financial institutes who were recipients of TARP funds
  • All of the “too big to fail” banks
  • Monsanto & other mega-corporations
  • Most defense contractors

Here’s a look at some of Friedman’s most notable quotes:

  1. “The most important single central fact about a free market is that no exchange takes place unless both parties benefit.”
  2. “Most economic fallacies derive from the tendency to assume that there is a fixed pie, that one party can gain only at the expense of another.”
  3. “A society that puts equality before freedom will get neither. A society that puts freedom before equality will get a high degree of both.”
  4. “When everybody owns something, nobody owns it, and nobody has a direct interest in maintaining or improving its condition. That is why buildings in the Soviet Union—like public housing in the United States—look decrepit within a year or two of their construction…”
  5. “Concentrated power is not rendered harmless by the good intentions of those who create it.”
  6. “One of the great mistakes is to judge policies and programs by their intentions rather than their results.”
  7. “If you put the federal government in charge of the Sahara Desert, in five years there’d be a shortage of sand.”

Aloha, Mikie ~just a blogger (fightin’ like a girl)

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