We have entered a new era, and perhaps nothing expresses this better than the worry, by those who define themselves as “of the left,” that the poor are being “left behind” in the recent economic recoveries.
For some reasons, the cause for this is assumed to be “markets.” But what if the cause for this new social stratification were nothing other than government itself, as advocated and run by those who say they “most care”? What if they were responsible?
Go to the Townhall column, and come back here to consider a few more ideas. Here are some references:
- All quotations from Casey Mulligan are from his talk with Russ Roberts of EconTalk. Listen. It’s fascinating.
- The Mohs scale, mentioned early on, is a scale of mineral hardness. Glass, we were told in school, is 5.5 on the Mohs Scale; diamonds rate a 10.
- The importance of the Basel agreements in setting off and ramping up the monetary aspect of the current depression can also be found on EconTalk, this time a conversation with Steve Hanke.
- The crucial role played by the triple‑A ratings system was identified by Lawrence J. White, and is briefly dealt with in David Henderson’s review of a book on the origins of the current crisis.
I urge my readers to look into Mulligan’s book, and the book cited immediately above. Tell me what you think.