An exchange occurred on the Tyler Cowan thread that I would like to memorialize by promoting it to a full post. I suspect it is based on the wrongheaded idea that Mercury Rising is somehow anticapitalist, which is simply ridiculous. I think I speak for all of us in saying that Mercury Rising represents the best of the Founding Fathers ideals for the country: to establish a place where people could achieve their greatest potential without at the same time limiting or harming others (and, yes, I am aware that they failed at that task by not extending their conception of what constitutes a human being to slaves and the indigenous population). Capitalism can certainly be a part of that– no alternative system for the exchange of goods and services has been demonstrated to work in complex societies– but capitalism is not God.
So, here, unedited, is the initial comment, and what it inspired:
fairelaissez said November 15, 2011 at 12:09 am e
As painful as it is to make a logical comment on this ranting, here goes. Alan Greenspan betrayed Ayn Rand, her philosophy and himself. His opinion either way is irrelevant. Capitalism has never been tried, not fully. Not even halfway. We had a taste of it a hundred years ago. Little is left of it now. We have to start over.
Fairelaissez, that’s exactly what Marxists say about communism! Stalin and Mao betrayed it, it has never been tried, etc. etc. They will not concede the possibility that it contains a structural flaw.
But I think it’s more important that you’ve managed a fail at the most basic point, i.e., your implication that you are making a logical comment. Most prominent is the fact that the thread is about Rand, not about capitalism. Unless you believe that Rand represents the only flawless exponent of “real” capitalism, it does not follow that a failure to embrace Randianism represents a failure to embrace capitalism.
But the fail is far deeper than that. Logic implies well-defined terms, a limited set of reasonably defensible axioms, and a proposition which connects axioms into a theorem which itself is not falsifiable. On all accounts, your comment is a fail.
Since capitalism, according to you, has never actually existed, using it as a term is problematic. If I were to claim that we would all be happy if only we worshiped the Magic Duck, no one would take it seriously. But because there are a number of people with a lot of money who sincerely wish for a capitalism that doesn’t cause human suffering, the same unsubstantiated claims circulate decade after decade.
Well, let’s concede that in a real world we always deal with impure quantities. If we have experience with 99% pure gold, we probably have a pretty good idea of how 100% gold would behave. It’s always possible that there could be a discontinuity of behavior, but if the ideal is greater than what can be achieved, we cannot posit such a discontinuity. We have to argue our case through careful extrapolation.
The generally agreed upon definition of capitalism, let’s say Wikipedia’s (“elements of capitalism include private ownership of the means of production, creation of goods or services for profit, competitive markets, and wage labor”), does not include Rand’s vision of (again, Wikipedia) “a market system with no interference by states.” So, you wish to use a definition that resembles a Magic Duck in that most people simply don’t accept it.
But, ok, let’s humor you. A market system with no interference by states it is. Such states do exist in the form of small villages. Unfortunately for your case, they tend to be socialistic. People may not be coerced by the state to share their bounty, but they do not engage in the sort of sociopathic behavior that Rand advocates, if only for a healthy fear of being shamed publicly. And, before you take “sociopathic” as some sort of insult, it is fully grounded in fact. She based one of her fictional heroes on William Edward Hickman, a man who kidnapped and dismembered a 12 year old girl. In this case, Wikipedia does not do justice to the man or Rand’s relationship to him, so I refer you to this and this. If you are unwilling to explore those links, then you do not know Rand.
But, of course, Rand’s little idiosyncrasies do not discredit the Magic D…er, pure capitalism.
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