how would fried handle all the problems: ethnic unrest in ussr, iraq-iran, tribes in amazon, our indians, poaching, deforestation, greenhouse, acid rain, /fried: why subsidize stu ed and not stu biz? 50% of college fams came from upper 25% of income. loan to chrysler was wel for stockholders
/fried. phys cap = 0, hum cp is it as proven after wwii by jap and germany
/fried: role of gov l protect country 2 protect citizens from coercion
/fried big cos = bur. small ones innovative. We’re as resp for trade deficit as jap. we cut back on their cars and they raised the price and made the same.
/fried: too many laws undermine respect for law. tape 5.
/fried: people have right to kill selves. give rr’s away. taxes, dereg.
cap renaissance under way thru world. even w intellects – sig. need humor, can’t take self too serious. the friedman test has survived 50 yrs. free to choose – best seller – rr rec ed it to all. says galbraith a publicist. 2 bypasses. agnostic. chi to him what ny was to me. found drs’ incomes up l0-l5% by limiting newcomers.
nothing worse than academic pol. as little at stake. [?] fried
l776 – adam smith’s wealth of nations: comp of all = invisible hand.
depression was accelerated by foolish, erratic $ policies – fed blew it.
mean what you say, say what you mean.
attacked jfk’s ask what you can do for country.
good debater. if you stop calling mil vols mercenaries, I’ll stop calling draftees slaves. nixon’s ending draft due to fried. young men indebted to him. disappointed in a burns. with rr, a long last we had a free market , anti reg pres. some disappointments.
little past im w/o sweat shops. econ.. don’t belong in pol. predicted recession and infl in 83 – wrong. tax indexing: shiled us from being forced into higher brackets due to infl. said rr lst pres elected cause people wanted to hear what he was saying, not reverse.
? anti: pollution controls, fda, consumer protect, hiwys, nat prks. pub hsing fosters jd +. says ex rates twix currencies should be set by supply and demand. slow, steady, predictable growth of $ supply =key to prospertiy. econ freedom basic to pol freedom. gov to defend, watch $, l & o. & not consumer protect, hiwys, nat prks. pub hsing fosters jd +. neg inc tax could end wel bur. this from freid # la t mag l2/l4/86
==============================================Please do not return this. If you can’t use it, no need to reply.
/fried doesn’t agree with p samuelson very often
/hayek: pri prop is the most sig guar of freedom for those who own it and those who don’t.
/fried: pri prop means right to use inc from it as you with [w min interference with others. right to transfer it. only 50% of us resources are pri prop, as gov spends 40-45% of nat. income. so we are l/2 soc. cost gov twice what it does pri to do a any job.
/m. fried: vol army, no tax-exempt insts. no mw. cash grant instead of wel. only soc resp of biz is profit. tax witholding [‘4l]
/when fried got the nobel in 76, there were demos, as people didn’t like his support of free trade in chile, while? pinochet was still strong. /fried is 79 92. nix too.
/structural deficits over a long period are a great danger. fried. 92
/virtually all economists round world believe in free trade, not protecti… fried.
/fried: sent: lists, lc. disk, cartoon.
send: ed? c, lm, lr?, spa2 i?, ment?
/fried: all things called free ent. aren’t nec that. biz may use gov. for not the best reasons. can’t have free soc without free ent. freest societies have the most free enterprises. greatest source of inequality has come from spec favors from gov. as in eng. stats can be used in all sorts of ways. socialists in 30s in us only got a few votes, but their programs were later adopted by both parties. most people in hist have lived in tryany and misery.
/fried: l9th cent, much maligned, was hi tide of cap. and charity. wel destroyed a lot of charities.
/biggest obstacle to neg inc tax is wel worker’s be out of work. fried.
/what would fried say about the indians, gi bill.
Dr. Friedman, Thot you might like to glance over these. Best always,/uib pays 2/3 of its $ to the non poor. fried/hh & sow to fried next time, but not sig/where is he i read la times, us news, wash post weekly, and see a lot of cable and reg tv and you’re almost never on. it’s thurow, reich, moyers, /fried and marshall plan
/fried was 80 in 93/fried: nothing wrong with trade deficit. a smith: consumption more sig than production. latter serves former. we are returning to mercantilism. it wants opposite. producers don’t mind narrowing the competition. consumers benefit from imports, and exports if not subsidized. on bal, free trade creates more jobs. w post 8/93/fried says trade deficit ok. 93
/fried is anti ss and medicare, but uses them.
The economist Milton Friedman, b. Brooklyn, N.Y., July 31, 1912, is the leading exponent of the conservative, free‑enterprise point of view in modern economics identified with the University of Chicago. His practical proposals are often radical in their implications. Friedman’s MONETARY POLICY approach to economics offers a major alternative to the FISCAL POLICY of the Keynesians. Friedman’s ideas have had a profound impact on economic policy in the United States and elsewhere; they won him the 1976 NOBEL PRIZE for economics. @b
In A Monetary History of the United States, 1867‑1960 (1963), written with Anna J. Schwartz, and in other works, Friedman argues that John Maynard KEYNES incorrectly minimized the role of money and greatly exaggerated the efficacy of government taxing and spending policies in determining the level of national income (see INCOME, NATIONAL) and EMPLOYMENT. According to monetarist theory, the level of economic activity is largely determined by the quantity of money in the system. The best general policy for the central bank is to promote a gradual, regular increase in the money supply; sudden, discretionary changes in policy are to be avoided. @b
Another of Friedman’s important contributions is his argument for a negative income tax in Capitalism and Freedom (1962). The negative income tax plan would limit the administrative role of government. Payments to the poor would be made automatically when their incomes fell below a certain level. @b
Friedman served as a professor of economics at the University of Chicago from 1946 to 1982. He is a fellow at Stanford University’s Hoover Institution. Among his recent books is Monetarist Economics (1990)./the free market is the only mechanism that has ever been discovered for achieving participatory democracy./prices are a source of info. hayek. fried got pencil story from leonard reed of fee 82 in 94. his ideas haven’t changed with age. he and wife came from lo income fams, but never felt poor./collapse of berlin wall was super sig as showed the folly of communism. success of e. asia shows the same.
/bigger gov creates vested ints. ed, wel. gov always expands failed programs.
/last 30 yrs – gov much worse. congress not supposed to interfere with interstate commerce.
/he wants to abolish the fed reserve. started in l9l4, presided over doubleing of prices in wwi, produced major collaspe in 2l. good from 22-28. then caused recession in 29 & 30. and then caused depression. then doubled prices in wwii, financed infl of 70. done far more harm than good. debt is not the problem as big assests. problem is letting gov grow. which ams won’t allow. from 28 to now, we’ve been starving … and feeding the fed. galbraith is a soc: if something bad, it’s a person’s fault. so get gov in. people seeking their own int promote the gen good. benefits of gov tend to be concentrated. but costs are spread out. those who feed at gov….
/he likes rr – great man. vs he and hayak are not cons. the const of lib.
they are radicals. libs in true meaning [classical]. today’s libs are lib with your $. jefferson was a classical lib. can’t pidgeon hole linc. fried is a libertarian and republican. close to goldwater who was libertarian. clint is a soc. who believes in gov. worst way is think progress will start at bottom. wipe out wel and have neg income tax. he was wrong on being a keynesian in wwii. keynes basic: spending is sig and gov spending is sig. an elitist. /gov savings bonds were a gyp. in 50s. bank pres pushed em to get on good side of gov.
/fried is against tenure. great.
out of hi sch in 28. informers can cause aft to break in and take your prop. gov was spending l0% of nat income. now they spend 50% much less safe today. his hi sch ed was better in 28. ed is the most soc industry of our country. thus lo qual.
/rutgers was pri then. no soc progress has ever come from the bottom [up] it has come from the top. worked his way thru c. grad in 32. written l5 bks. free to choose based on the tv series. it was the most pop. the most. cap and freedom was not reviewed by any biggies. adam smith founded modern econs. /most influential bk. the monetary hist of the united states./a monitary hist of the us won him the nobel in 76. ny times hasn’t liked his ideas, but wall st j oped has. soc paves way to totalitarianism said hayek. gov spending is 45% of nat inc? the costs of gov programs are dispersed; the benefits are concentrated. the latter tend to be powerful infl on pols. hayek was libertarian./fried say all 3 levels of gov spend 43% of …. 95 nat income. part of the debt was inflated away.
/chile doing well 95. due to fried?
/i wonder what he thinks of newt 4/95/fried said he’d been blessed with many critics.
Back to Hayek: Collectivism Still Leads to Serfdom
by Milton Friedman
‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑
Fifty years after Friedrich von Hayek warned of the failure of
collectivism, in “The Road to Serfdom,” the University of Chicago is
publishing a new edition of the economics classic. Mr. Friedman, who wrote
the introduction to a 1971 German edition of the book, has updated his
essay. Excerpts from the new introduction follow.
‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑‑
“Nearly a quarter of a century ago, I wrote an introduction to a new
German edition of ‘The Road to Serfdom.’ That introduction is equally
relavent to this 50th anniversary edition. I herewith quote from it before
adding a few comments.
***
believers in individualism how they came to depart from the collectivist orthodoxy of our times. most frequent answer was a reference to this
book.
“Hayek’s remarkable and vigorous tract was a revelation particularly to
the young men and women who had been in the armed forces during the war.
Their recent experience had enhanced their appreciation of the value and
meaning of individual freedom. In addition, they had observed a
collectivist organization in action.
“Today we hear little of ‘central planning,’ of ‘production for use,’ of
the need for ‘conscious direction’ of society’s resources. Insead the talk
is of the urban crisis‑‑s olvable, it is said, only by vastly expanded
government programs; of the environmental crises‑‑produced, it is said, by
-rapacious businessmen who must be forced to discharge their social
responsibility instead of ‘simply’ operating their enterprises to make the
most profit and requiring also, it is said,
-vastly expanded government programs;
‑false values stimulated by the self‑same rapacious businessmen seeking profits instead of exercising social responsibility and of course also requiring expanded government programs
to protect the consumer, not least from himself;
– the welfare or poverty crisis‑‑’poverty in the midst of plenty,’ though what is now described as poverty would have been regarded as plenty when that slogan was first widely used.
“Now as then, the promotion of collectivism is combined with the
profession of individualist values. Experience with big government has
strengthened this discordant strand. There is wide protest against the
‘establishment’; an incredible conformity in the protest against
conformity; a widespread demand for freedom to ‘do one’s own thing,’ for
individual lifestyles, for participatory democracy.
“As Hayek so persuasively demonstrates, these values require an
individualistic society. They can be achieved only in a liberal order in
which government activity is limited primarily to establishing the
framework with which individuals are free to pursue their own objectives.
The free market is the only mechanism that has ever been discovered for
achieving participatory democracy.
“Unfortunately, the relation between the ends and the means remains widely
misunderstood. Many of those who profess the most individualistic
objectives support collectivist means without recognizing the
contradiction.
“It is tempting to believe that social evils arise from the activities of
evil men and that if only good men (like ourselves, naturally) wielded
power, all would be well. That view requires only emotion and self‑praise.
To understand why it is that ‘good’ men in positions of power will produce
evil, while the ordinary man without power but able to engage in voluntary
cooperation with his neighbors will produce good, requires analysis and
thought, subordinating the emotions to the rational faculty …
“The emphasis [has] shifted from governmentally administrated production
activities to indirect regulation of supposedly private enterprises and
even more to governmental transfer programs, involving extracting taxes
from some in order to make grants to others‑‑all in the name of equalitya
nd the eradication of poverty but in practice producing an erratic and
contradictory melange of subsidies to special‑interest groups.
“As a result, the fraction of the national income being spent by the
governments has continued to mount.
“Yet experience in the past quarter‑century has strongly confirmed the
validity of Hayek’s central insight‑‑that coordination of men’s activities
through central direction and through voluntary cooperation are roads
going in very different directions: the first to serfdom, the second to
freedom.
***
“In 1994, there is wide agreement that socialism is a failure, capitalism
a success. The fall of the Berlin Wall, the collapse of communism behind
the Iron Curtain and the changing character of China have reduced the
defenders of a Marxian‑type collectivism to a small, hardy band
concentrated in Western universities. Yet this apparent conversion of the
intellectual community to what might be called a Hayekian view is
deceptive.
“While the talk is about free markets and private property (it is more
respectable than it was a few decades ago to defend near complete
laissez‑faire), the bulk of the intellectual community almost
automatically favors any expansion of government power so long as it is
advertised as a way to protect individuals from big bad corporations,
relieve poverty, protect the environment or promote ‘equlity.’ The talk of
a national program of health care in America provides a striking example.
The intellectuals may have learned the words but they do not yet have the
tune.”
/refuses to shrink self. avoids discussing personalities. disappointed in rr’s admin. wants term limits 6 yrs as new tax law every 2 yrs. as it’s the most effective way to raise campaign funds. witholding tax ok in war, not peace. nix was terrible pres. saw him till wage and price controls. then saw little of him. you can’t engage in policy as an occupation. only as an avocation. espec in dc. mont pelerin soc. volker f. you’ve only got room for one big movement at a time. sig. solo ideas don’t fly. discussion amonst able people helps greatly. 90% got ed before compulsory schooling. [relaxing to read as you can understand easily. also he makes sense] [he got tired of rand. said best [sci..] thing he did was the theory of the consumption function. in policy, best was eliminating the draft. a scientist does his best work the lst l0 years.
the battles are perpetual. lot of agreement among economists in gen and on mw costing jobs and on benefits of free trade and on monetary expansion causing infl. reason 6/95/fried was called dr milty
/frieds new book: 2 lucky people
Ps: You must be the wisest man I’ve read. If I were president, I’d have you behind a curtain pulling all the strings.
The free market is the only mechanism that has ever been discovered for achieving participatory democracy,” he said.
Friedman’s “passionate calls for financial and securities market deregulation played no small role in ushering in the half-trillion dollar S&L fiasco of the 1980s and the deeply corrupt Wall Street stock market boom of the 1990s. His tax-reduction-at-all-costs policies helped lead to the nation’s yawning budget deficits.”
/unjustifiable under his economic principles. These included price supports for agriculture; restrictions on international trade; rent controls; legal minimum wage rates; detailed regulation of industries such as banking or transportation; control of radio and television by the Federal Communications Commission; Social Security (which he called a Ponzi scheme); licensing restrictions on any enterprise, occupation or profession; public housing programs; the military draft; the legal prohibition against carrying mail for profit; and publicly owned and operated toll roads.
/the theory of consumption function
/said ian ryand and Ludwig von mises were dogmatic, intolerant of outside views. Like the rel right, tho she was agnostic
/he’s anti foreign aid. Done more harm than good. Best example is e. germany. It got the most aid and has lagged far behind rest of e. eur. Sig
/rr was warned not to dereg gas and oil. Did, and after a short interval the prices went down.
/recession came before the big crash on wall st. then crash, then the fed dropped the supply of $ by a third for a few yrs, making it all worse. Sig
Never heard it.
/rr was bright
/anti gold standard. Dump ft knox
/free to chose was lst a tv series. Based on talk. The bk was writing on it. Being it was based on talk, it was thus easy to read. [sig]
www.ideachannel.com has it
/eng wouldn’t show the series as not pc, and ny resisted it for same reason. showed it during the superbowl. Whole st of NY is soc… [so he’s 0 there – wow. What impact after my living there!]
/sooo refreshing to see him on tv. One of the few worth listening to.
/he’s libertarian, but not a mem of the party. He’s republican. And I thnk c with a small c.
/money supply has to grow along with output?
/believes in a safety net.
/says we don’t have classes
/have to be open, free so people can rise AND fall. !!!!
The Smile of Reason
By DAVID BROOKS
Milton Friedman´s trek from the intellectual wilderness to global influence is one of the most exhilarating exodus stories of our time. ………..
he developed ideas like the volunteer army, the negative income tax (which evolved into the earned income tax credit), post office deregulation (which gave us FedEx), the flat tax and floating exchange rates
- ECONOMIC SCENE; A Charismatic Economist Who Loved to Argue(November 17, 2006)
- Milton Friedman, 94, Free-Market Theorist, Dies(November 17, 2006)
- American Wins Nobel In Economics (October 10, 2006)
- THE WAY WE LIVE NOW: 6-8-03: CRASH COURSE; Prospect Theory (June 8, 2003)
Related Searches
The Great Liberator
By LAWRENCE H. SUMMERS
No contemporary economist anywhere on the political spectrum combined Milton Friedman´s commitment to clarity of thought and argument.
/anti foreign aid – dup? – e germany. Got so much, they are beind rest of e. eur.
Friedman’s Large Legacy
Monday, November 20, 2006; Page A17
The ideas of economists and political philosophers . . . are more powerful than is commonly understood. . . . Practical men, who believe themselves to be quite exempt from any intellectual influences, are usually the slaves of some defunct economist.
— English economist John Maynard Keynes,
1883-1946
Friedman’s Large Legacy
Monday, November 20, 2006; Page A17
What Keynes said was true of economist Milton Friedman, who died last week at 94, except that Friedman’s immense influence emerged well before his death. He belongs on any list of the 100 most important people since World War II. In some ways, the conversion of China to a market economy, the conquest of double-digit inflation in the United States and elsewhere, the decisions of countless governments to sell (aka “privatize”) nationalized industries — these developments and many more could be traced to him. There was no more ardent or articulate advocate of free markets and personal liberty than Friedman.
It may seem strange to cite these familiar notions to affirm his historical significance, but that’s the point. These ideas were wildly out of fashion when Friedman first championed them in the 1950s. Remembering the Great Depression, when unemployment was 18 percent, Americans were suspicious of free markets. In 1962, the appearance of his “Capitalism and Freedom,” which remains in print with nearly 1 million copies sold, was a seminal event. It began to change the conversation. Its big theme was that economic freedom was not just good economics; it was “a necessary condition for political freedom.” Of course, it wasn’t enough, Friedman added, citing prewar fascist Germany.
Free markets favored individual choice and creativity. “The great advances of civilization,” he wrote, “have never come from centralized government.” But Friedman was not indifferent to societies’ hopes to improve themselves through government, and his ideas often aimed to reconcile these goals with maximum individual choice. We have adopted — or are still debating — many of his plans: school vouchers (he believed public schools perform poorly because they are monopolies); the negative income tax (Friedman proposed substituting direct payments to the poor for the “rag bag” of existing government services — an idea that partially inspired today’s “earned-income tax credit,” providing subsidies for low-income workers); the all-volunteer military, created in 1973; and personal accounts for Social Security.
Friedman, winner of the 1976 Nobel Prize in economics, made three huge scholarly contributions. First, he helped explain the Great Depression. Until the publication in 1963 of “A Monetary History of the United States, 1867-1960,” co-written with Anna Schwartz, the Depression was cast as an extreme example of capitalism’s instability. Not so, Friedman and Schwartz said. The Federal Reserve caused the Depression through mistakenly tight money policies that led 40 percent of U.S. banks to fail. Though this story has been amended and extended, it remains the central explanation for the Depression.
The second contribution, made in 1967, was to show that there was no convenient “trade-off” between inflation and unemployment: Governments could not, as many economists then believed, choose a slightly higher inflation rate (say, 5 percent) for a slightly lower jobless rate (say, 3 percent). Trying to hold unemployment at unrealistically low levels would produce ever-higher inflation, he argued. That’s what happened. Inflation went from 1 percent in 1960 to 13 percent in 1979. Finally, Friedman debunked the theory that as nations got wealthier, people would spend less and less of their incomes; that was once thought to doom affluent societies to stagnation.
All these findings qualified or contradicted Keynes, and Friedman was effectively the anti-Keynes. Whereas Keynes and his disciples relied on “fiscal policy” (government spending and taxes) to stabilize the economy, Friedman emphasized the importance of “monetary policy” (interest rates and the money supply as set by the Fed). Friedman was an anti-inflation hawk before it was fashionable. His tutorial of Ronald Reagan that inflation resulted from excessive money creation — too much money chasing too few goods — helped explain Reagan’s patience in allowing Paul Volcker’s Fed to crush double-digit inflation with the brutal 1981-82 recession (peak monthly unemployment: 10.8 percent). Following Friedman and not Keynes, most governments now rely on monetary policy as their main tool for economic stabilization.
Above all, Friedman believed in the power of ideas. Some of his were wrong. He thought cutting taxes would restrain government spending (“starve the beast”); it didn’t. His faith in “privatization” for the old Soviet Union was overdone. He wanted the Fed to limit growth of the money supply; unfortunately, the money supply proved hard to define. But these are footnotes. For decades, Friedman cheerfully and relentlessly pushed his main ideas, although they were outside the political and intellectual mainstream. From 1966 to 1984, he wrote a column for Newsweek. With his wife, Rose, he became a best-selling author (“Free to Choose,” in 1980, a pro-market manifesto). Time was on their side. Competing ideas proved unworkable, inferior or wrong. Friedman never joined the mainstream, but the mainstream joined him.
/with him, it all fit
/search him and bribes
/in the mil, you barter.
/podcast of him – http://www.econtalk.org/archives/2006/09/friedman_on_cap_1.html
/supported goldwater so lost credibility after his loss in 64, but started to gain in 68 with nix?
Draft stopped in 7l. that forced the mil to be more comp…
Pov rate cut in half in chile. Great progress – wine – montes. Pensions made pri which helped most but not self-employed or …. Got to have freedom to get equality. Many saying he was one of the lst they could understand.
/fried – http://video.google.com/videoplay?docid=6813529239937418232&q=Milton+Friedman&hl=en
http://video.google.com/videoplay?docid=
/do gooders used by spec ints. An ex is mw. Trade unions are the latter. Teen uib was much lower prior to the 50s when mw was raised. Then twice the uib rate. Thus 20%. It discriminates against those with low skills. Worse for blacks. Most anti negro law is mw. The purpose is keep union wages higher. And they discrim… the most against minorities. Unions on side of angels. In past.
All social measure have done more harm than good. Ss has done: it’s tax is more regressive and objectionable. It’s a tax on payrolls. Supposedly in two parts, but both paid by the employer
Trying to do good with other people’s $.
/what does he say about sanctions –
/ (India, China, and East Germany in the 50s & 60s),
/wp : content is good but not in readable format
/he said the deficit isn’t that bad. Is blamed for all. Said he’s not competent to comment on …
/he belongs on mt. rushmore
/3 kinds of freedom pol, econ, & ….civic?
/said NY is one of the most leftist – welfare oriented places
/said his book ad put on across from the superbowl, as lib media anti
/too rigid in eur. said you have to be able to rise and fall. SIG.
/after wwii anti trust laws suspended and the econ boomed
/ a volunteer army, freely floating exchange rates, abolition of licensing of doctors, a negative income tax, and education vouchers.
/said freedom to fail is nec for prosperity
/fried says no lic vs pi’s who failed our nursing test
/
/add his bks to my post?
/ dup? https://www.bing.com/search?q=friedman+donahue&form=EDGHPC&qs=AS&cvid=034ebfe5af4b4e9bbd998a07393e6ff2&pq=friedman+donahue&cc=US&setlang=en-US disappointing so far
/nader vs fried. Latter said that chevy ……..was safe. From unsafe at any speed
/search his views on renting and owning hmes
/him on fdr – not much so far – milton friedman on fdr – Bing
/joan claybrook – Search (bing.com)
/the corvair turned out to be safe.
/ not much so far – When Milton Friedman Ran the Show (msn.com)
/ who took the place of milton friedman – Search (bing.com)
/ albert shanker vs milton friedman – Search
why was milton friedman against air bags – Search
/ How Cars Got Safer: Free Market Lessons from Automotive Crash Test Ratings #
