The Germans are back in Greece offering to bailout a collapsed system.
There is a problem that keeps playing out. The crisis, then the solution that makes things worse. Below I've tried to graph it out. Going up toward freedom, is, for example Hong Kong. Going down toward less freedom is Pyonyang (North Korea).
1. All policies have winners and losers, so all policies push at least some people down. Eventually they push too many people down.
2. Policies cause crises. At whatever point in the continuum the crises erupts, the policy makers can opt for more freedom or less freedom. They tend toward less freedom.
3. If they want to alleviate the problem, the solution is more freedom. But what we see is usually the policy is less freedom, that is, experience a crisis, and head down further. This graph came to mind watching the terrible policy decisions since the 1988 bust, but it would apply to any event.
When the people who make the decisions never experience the consequences of the decision, then the consequences are your own fault for giving anyone else that much power.
Feel free to forward this by email to three of your friends.
Aware of the acrid political atmosphere in Athens, Mr Schäuble came bearing gifts: €100m in state-backed loans for small and medium-sized Greek businesses. But what Greece really needs, to kindle a flame of hope in its future, is another restructuring of its foreign debt.You know an economic polity is shot when small business "needs" a bailout. How does lending money, or taking on debt, help a small business. They need to be free to serve customers.
There is a problem that keeps playing out. The crisis, then the solution that makes things worse. Below I've tried to graph it out. Going up toward freedom, is, for example Hong Kong. Going down toward less freedom is Pyonyang (North Korea).
1. All policies have winners and losers, so all policies push at least some people down. Eventually they push too many people down.
2. Policies cause crises. At whatever point in the continuum the crises erupts, the policy makers can opt for more freedom or less freedom. They tend toward less freedom.
3. If they want to alleviate the problem, the solution is more freedom. But what we see is usually the policy is less freedom, that is, experience a crisis, and head down further. This graph came to mind watching the terrible policy decisions since the 1988 bust, but it would apply to any event.
When the people who make the decisions never experience the consequences of the decision, then the consequences are your own fault for giving anyone else that much power.
Feel free to forward this by email to three of your friends.
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