Adam Smith critiques the Deficit Reduction Commission
comments powered by Disqus
Allan Walstad - 12/10/2010
Thanks. Sorry I didn't get back here earlier. I was not under the impression that Smith or the other classicals wanted to "free markets from rent and interest," either. Does that even make sense?
Mark Brady - 12/9/2010
Good question. Certainly, classical school economists disagreed vigorously among themselves over theory and policy, not least because their ideas evolved over the best part of a century from the Wealth of Nations to the eve of the Marginal Revolution. That said, they believed the state performed essential functions that would necessarily require taxation, and it was widely held that taxation of land rents would be the least harmful form of taxation. The reference to the "government power to ... regulate prices to keep them in line with socially necessary costs of production" is a mystery to me right now.
Allan Walstad - 12/8/2010
Hudson: "Their [classical economists'] idea was to free markets from rent and interest, not to dismantle government power to tax and regulate prices to keep them in line with socially necessary costs of production."
Is that correct?
- Most Millennials Resist the ‘Millennial’ Label
- Isis profits from destruction of antiquities by selling relics to dealers – and then blowing up the buildings they come from to conceal the evidence of looting
- China military parade commemorates WW2 victory over Japan
- New documentary explores the legacy of the 5,000 Rosenwald schools set up by a Sears magnate and Booker T. Washington
- Rare silent Native American movie of 1920s attracting a lot of interest
- Historian Evelyn Brooks Higginbotham wins National Humanities Medal
- AHA President Vicki L. Ruiz named National Humanities Medalist
- Historians of Color Are Revolutionizing the Narrative of ‘American Exceptionalism’
- Henry VIII voted worst monarch in history
- The Fuhrer style: Historian says press coverage of Hitler’s lavish life fueled his rise to power