Chicago School of Economics

[nosaj]

I am currently reading The Shock Doctrine by Naomi Klein: http://en.wikipedia.org/wiki/The_Shock_Doctrine

It really takes aim at Milton Friedman and the "Chicago School": http://en.wikipedia.org/wiki/Chicago_sc ... _economics

I am not very well read in economic theories, but with the global economy being what it has been for the last several years, I thought I should try to figure some of it out. Lots of newspaper articles since 2008 have highlighted the Keynes vs. Friedman debate.

I will say that reading Klein's book is pretty scary and casts Friedman and the Chicago School in a pretty bad light...BUT, I will want my next book to be from the other angle, as I know Klein's biases.

Anybody already have a view on the Chicago School of thought? Recommendations for reading?

[Flying pig437]

I think it all depends on what you think the ulitmate purpose of an economy and our lives are. To have as much fun as possible or to be as wise as possible or some combination of those two extremes. If people are using the economy to have as much fun as possible then it doesn't really matter what the theorist come up with 'cause it's inevetably going to go to shit as we've seeen in recent years where people have been living lives far more towards the fun end of the fun-wise spectrum.

[J Ed]

I never read him but I always understood Friedman to be Mr Freemarket, and his views became conventional policy wisdom round the time of Reagan and Thatcher
one odd thing I know is he was pro-decriminalization, ie of the kind bud
which of course makes perfect consistent sense if you really serious about freemarkets
why waste money building unneeded prisons while forgoing millions of dollars in potential sin tax revenue

I think many of the politicos who talk loudest about the freemarket have no interest in a true freemarket at all
like what would Friedman say about billions of dollars in subsidies to the already profitable oil and gas industry?

[Flying pig437]

http://www.youtube.com/watch?v=0PaN9M4WwHw

I find this very interesting but I think there's a risk of Libertarianism turning a country, the world even into one gigantic sweatshop but there's definately a lot of room to abolish a lot of what the state does imo.

[nosaj]

...but I think there's a risk of Libertarianism turning a country, the world even into one gigantic sweatshop...

I think that is the main complaint, and Klein's book sure does bring this up.

[walter5]

That's actually been my critique of Libertarianism for 25+ years. When I was a young man, in North Carolina, in the late 70's, the Libertarian Party here in the U.S.A. at the grass-roots level was pro-legalization, anti-motorcycle helmet laws, free-market, Lassaiz-Faire economics, with a lot of hippies and freaks running the local T.V. weekend weatherman for State Congress...but six or seven years later, when I was an Army Journalist I met the State Party leadership in Massachusetts, I found out real quick they were a bunch of big business fat cats and their not-so-hidden agenda seemed to repealing the minimum wage laws so they could exploit labor at poverty-level wages.

The last Presidential candidate I had any hope for was Bill Clinton. Since then, I try to follow Wavy Gravy's political sense, and "Vote For Nobody!" Nobody lowered *my* taxes! Nobody has *my* interests at heart in Washington! Obviously Nobody is right for the job! What if they held an election and Nobody Won?

[nosaj]

1. repealing the minimum wage laws so they could exploit labor at poverty-level wages.

2. Since then, I try to follow Wavy Gravy's political sense, and "Vote For Nobody!" Nobody lowered *my* taxes! Nobody has *my* interests at heart in Washington! Obviously Nobody is right for the job! What if they held an election and Nobody Won?

1. Yes, that is something the "Chicago School" has talked about a lot...even our Buddy Friedman. Actually, as you have pointed out multinationals keep benefiting the most from all these "libertarian" policies.

2. Maybe that is the best advice!!

[my breakfast.]

Anybody already have a view on the Chicago School of thought? Recommendations for reading?

I understand Friedman and co to be strongly in favour of an economy without any sort of command and control, ergo the market knows best? I think the current economic climate demonstrates this might not be working.

[thefinalcut]

I think it´s time to re-visit J.M. Keynes´essays, inmediately!

Blame it on the US and their bloody economical doctrine, which keeps on ruining the world as we know it.

[Flying pig437]

Actually, as you have pointed out multinationals keep benefiting the most from all these "libertarian" policies.

Yeah but who benefits from multinationals apart from the multinationals? I'd have thought it was people like you and me...

[Flying pig437]

I think the current economic climate demonstrates this might not be working.

That's more as a result of people spending too much of their money and time unwisely...self-indulgently...a result of people spending too much of their time and money on holidays and alchol and stupid things like extravagant box set's of their favourite bands re-re-re-issue. It's always someone elses fault isn't it. If the govertment or the mulitnationals don't do all they can to make sure everyones got all they want then everyone just hates them and blames them...Libertarianism is a dangerous and flawed idealogy but in terms of making people take responsiblity for themselves and live wiser lifestyles it's got a lot going for it.

[Flying pig437]

I think it´s time to re-visit J.M. Keynes´essays, inmediately!

Blame it on the US and their bloody economical doctrine, which keeps on ruining the world as we know it.

I blame everyday people's greed and indulgence more than an economic doctrine.

[nosaj]

I think it´s time to re-visit J.M. Keynes´essays, inmediately!

Blame it on the US and their bloody economical doctrine, which keeps on ruining the world as we know it.

I blame everyday people's greed and indulgence more than an economic doctrine.

But, the economic doctrine of the Chicago School includes the notion that greed is good, and further, that is the economic norm which most governments seem to indoctrinate children in school with...Indoctrination!!!

[Flying pig437]

[But, the economic doctrine of the Chicago School includes the notion that greed is good, and further, that is the economic norm which most governments seem to indoctrinate children in school with...Indoctrination!!![/quote]

No one in this country get's indoctrinated into greed outside of their own pathetic squallid inabilty to think for themselves and free themselves from their pathtetic squalid lifestyle choices.