The End of the Free Market Fundamentalism Not of the Mixed Economy
This article by Harry Clark takes a point of view on the economy by looking at the fairly recent global financial crisis (GFC) and pointing out the shortcomings of market regulation. Stating simply, “While market regulation has failed, ‘capitalism’ as a whole has not.” Clark continues to explain about the importance of a “mixed economy” in which the government’s main purpose in the market system is one of deterrence of market failure. This is a great article for me to read and comment on in my website because, though Clark agrees in a sense with Hume and Smith, he creates a good point that “no meddling in the market system” (to quote Smith) is not always the best practice. This thought would actually disagree with my personal belief that all government intervention is bad for the economy (small government vs. large government). Additionally, Clark uses history to show (though indirectly) whether the ideas of Hume/Smith, Marx, or Keynes works in the real world.
Clarke, H. (2009). The End of Free Market Fundamentalism Not of the Mixed Economy. Economic Papers: A Journal of Applied Economics and Policy, 28(4), 376-382. doi:10.1111/j.1759-3441.2009.00037.x
Toward a Horizontal Theory of Justice: Efficiency, Equity, Rights and Capabilities in a Free Market Economy
In this article, Jennings takes a look at morality in the context of the economy. He refers to Smith’s “invisible hand” as the reason behind individuals’ (who are following self-interests) ability to cause the market to serve a population’s needs through competition. When it comes to the market system, Jennings creates a case that the market should have a “selective focus on common needs over opposition” in the pursuit of “concerts of value”. This article would be a great source for a potential section on my website about morality in the market system. Though I am more thinking about concentrating on the historical data or the psychological correlations of economies in populations throughout history, I may decide to also include the idea of morality in the competitive, dynamic environment of the market system. Very possibly, I would attempt to create a comparison to the concept of market morality to the psychological process by which the needs of the consumer govern the abilities of the market to produce.
Jennings, F. (2010). Toward a Horizontal Theory of Justice: Efficiency, Equity, Rights and Capabilities in a Free Market Economy. Forum for Social Economics, 39(1), 77-87. doi:10.1007/s12143-009-9045-x
Teaching the Rules of a Free-market Economy in the Post-Communist Countries – Metro-education Case in Poland
In this article, Rydzak takes a close look at the effects of Marx on the economy of Poland and attempts to describe the difficulty of a transition in the thinking of such a system to one of a free-market. “In the eighties Poland was part of a political block with a centralized state economy which excluded not only foreign companies but also private ones from taking part in economic circulation.” This article would be perfect for a historical point of view on the ideas presented by Marx put into practice, and a comparison both with it and a market system more alike to the ideas of Smith and Hume. Additionally, this article would also elaborate on the great difficulty of changing a society’s thinking in regard to the workings of the economy. While the desires of the consumer may dictate the production of the market, the mind processes of the people within that market system determine the efficiency of that market to produce those goods.
Rydzak, W., & Trebecki, J. (2009). Teaching the Rules of a Free-market Economy in the Post-Communist Countries – Metroeduction Case in Poland. Journal Of International Studies, 2(1), 117-126. doi:10.14254/2071-8330.2008/2-1/13