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My Silly and Wary Brother

My brother, Ryan, randomly told me this morning, "I like the ideas of libertarianism to an extent, but I don't think they would work well in the 'real world.'"  After asking him what he meant, to give me an example, or provide an argument, he said, "This whole free-trade thing--it doesn't work in our nation's interest.  People wouldn't be able to get the jobs they want because of outsourcing, and that would really suck for the economy."  Oh, Ryan, you silly boy.

I explained to him (mind you, he's 2.5 years older than me, but relatively open-minded, if you can argue well with him and keep his attention for long enough) that a free market situation DOES work well for our nation, because then there are no trade barriers, which make prices higher, and make our economy weaker.  Also, the outsourcing that occurs has not so much to do with free markets than it has to do with tech progression.  He's not up with that, but maybe I'll get him there.  He also fears monopolies.  What I can't get through his silly, sweet head is that the government holds so many monopolies I can't count them on my fingers and toes!  He hears my anarcho-capitalist arguments and ideas, and they sound ridiculous to him because he is pretty much a republican.  At least he is willing to talk to me about some things, though I don't have all the answers.  Could anyone else help me better explain how the free market is good and does NOT promote monopolies, other than those that are natural?  Hilf mir, bitte!  Danke! 

PerhapsNot's picture

by PerhapsNot on 12/12/05


Submitted by ledfist on Mon, 2005/12/12 - 17:35.
ledfist's picture

One thing worth noting about monopolies and regulation:

While there are some gov't laws against monopolies, more often gov't regulations serve to increase costs for new businesses, new business models, which is to say, many regulations end up hurting the entrepeanuer and the small business, those two sectors that bring a lot of the vital innovation to our (or any) economy.



Submitted by TuesdayIsComing on Wed, 2005/12/14 - 02:57.
TuesdayIsComing's picture

Capitalism.org has a nice section covering antitrust and monopolies in their FAQ.

http://www.capitalism.org/faq/monopolies.htm

http://www.capitalism.org/faq/antitrust.htm

Here is a (VERY good) article by Alan Greenspan:

http://www.polyconomics.com/searchbase/06-12-98.html

(Greenspan, by the way, advocates laissez-faire capitalism. He has earned a reputation for being an economic genius as well.)



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