Wilhelm Roepke: German Economist as Southern Neighbor

Wilhelm Roepke

Wilhelm Roepke

by Ralph E. Ancil

How can a German economist be called a Southerner? Obviously not geographically but in the important sense that Southern Agrarians came to understand, as a possession of the mind and spirit. That Wilhelm Roepke’s mind and spirit, embodying the best of the German tradition, share significantly in the essential features of the South­ern heritage is not too surprising when it is re­called that Southern culture itself was essentially European.

In evidence of this there are some sugges­tive comparisons that can be made here. For example, Richard Weaver went home in spring to farm his ancestral fields with horse and plow and refused the use of airplanes, preferring trains for long distance travel. Similarly, Roepke promoted urban gardening for the health of city-dwellers and refused to use ski-lifts, preferring to ride up the mountain slopes on shank’s mare. Or one may refer to the Southern fondness for the books of Sir Walter Scott whose stories of Saxon yeomen fighting Norman invaders parallels those of William Tell fighting Austrian conquerors as eulo­gized in Schiller’s famous poem, admired by Roepke. Then one may conjecture about the influence of Germans and Lutherans on Southern life. Certainly, Luther himself was a social medievalist and agrarian and longed for the non-commercial life of an earlier time. To what extent this affected Southern life is arguable as is the effect of his Lutheran faith on Roepke’s outlook. But the parallels are thought-provoking. [Read more...]

Who Killed the Middle Class?

middle class

Pat Buchanan

by Patrick J. Buchanan

It is our generation’s task, then, to reignite the true engine of America’s economic growth — a rising, thriving middle class.

So said Barack Obama in his State of the Union.

And for one of his ideas to reignite that engine, Republicans applauded.

“And tonight, I am announcing that we will launch talks on a comprehensive Transatlantic Trade and Investment Partnership with the European Union — because trade that is free and fair across the Atlantic supports millions of good-paying American jobs.” [Read more...]

Strike Three: You’re Out-The Economic Reality behind Unions and their Job Actions

Economic

Michael Bauman

by Michael Bauman 

“Any damn fool can pull a strike.  It takes commonsense to avert one.”-Joseph Frederick

“As in other warfare, victory in a strike is to the strong, not the just; and often noncombatants suffer most.”-W. H. Hutt

Strike One

When a strike happens, almost everyone loses, whether businesses, or consumers, or workers. [Read more...]

A Theology of Gift: The Divine Benefactor and Universal Kinship

theology

Stratford Caldecott

by Stratford Caldecott

My topic is a theological appreciation of the notion of “gift”, and how this throws light on what something is, which to our usual way of thinking would seem to be a matter for philosophy or science rather than theology. The sense of being as “gift” and ourselves as primarily “receivers” of this gift of existence, which carries with it – by virtue of its very gratuity – a strange kind of obligation to reciprocate, is implied by Pope Benedict in Caritas in Veritate, in phrases that some have found obscure.

In section 34 of that encyclical he writes: “Charity in truth places man before the astonishing experience of gift. Gratuitousness is present in our lives in many different forms, which often go unrecognized because of a purely consumerist and utilitarian view of life. The human being is made for gift, which expresses and makes present his transcendent dimension.” [Read more...]

Cut Commitments, Not Muscle

defense cuts

Pat Buchanan

by Patrick J. Buchanan

In that year of happy memory, 1972, George McGovern, the Democratic nominee, declared he would chop defense by fully one-third.

A friendly congressman was persuaded to ask Secretary of Defense Melvin Laird to expatiate on what this might mean.

The Pentagon replied the Sixth Fleet might have to be pulled out of the Med, leaving Israel without U.S. protection against the fleet of Adm. Sergei Gorshkov, and provided the congressman a list of U.S. bases that would have to be shut down. [Read more...]

Wilhelm Roepke and the Liberal Ideal

Wilhelm Roepke

Wilhelm Roepke

by Ralph Ancil

Much of Wilhelm Roepke’s work can be understood as an exposition of the essence of Western, Occidental thought, a contribution to civilization that can be summed up in the word “liberal” properly understood. It means balanced respect for all the spheres of human personality and activity, multiplicities that can only be fully pursued in the spirit of individual freedom within a framework of individual moral restraint. And this also means an openness to transcen­dence, to divine revelation, a fact which limits and conditions thought and action in this world. Opposing this attitude is the largely Eastern gnostic or immanen­tist thinking which is characterized in a closed, self-contained system of thought, tending to absolutize one thing, be it art, politics, science, or a technological or religious form, and render it autonomous. This warfare between two trends of thought, the liberal and the immanentist, is found throughout European history and is arguably the main key to understanding this history. [Read more...]

The Sequester That Saved the Economy

economyby Brian Domitrovic

Remember stimulus spending? That’s the stuff that the government is supposed to come up with when the economy goes into recession. The idea is that since government expenditures are one part of overall economic output, when private activity wanes, aggregate output, or “GDP” can be maintained.

It’s intriguing as a theory, perhaps, but in practice it doesn’t work. From 2007 to 2009, inflation-adjusted federal spending went up by a staggering number, 24%. In 2007, we had a big government. By 2009, we had a big government and then some. Yet the recession was severe from 2007 to 2009, the worst since the Great Depression, as we’re always told. [Read more...]

The Weak Dollar Is Getting Caught In a Currency War Pincer

dollar

by Brian Domitrovic

The dollar—that thing the Federal Reserve has been printing like mad the last few years—is in one of the worst spells in its history, short, medium, and long-term. Against the world’s major currencies, the dollar’s rate of exchange is down 5% since the Great Recession started, 32% from the 2001 peak, and 15% from the stability achieved in the late 1980s and early 1990s.

This is not to imply that the world’s other major currencies are themselves paragons of value. Against gold, all currencies have suffered mightily. But the dollar is especially bleak. It’s devalued 80% against gold since the 1980s, most of that in the last ten years. All of this has basically shown up in the consumer price index. The cost of living is double what it was twenty-five years ago. [Read more...]

The Case for Supply Side Economics: Wealth & Poverty

supply side economics

Book of the Day: Hailed as “the guide to capitalism when it first appeared in 1981, Wealth & Poverty is one of the most famous economics books of modern times. In it Mr. George F. Gilder argues that supply side economics and free market policies are –the answer to decreasing America’s poverty rate and increasing her prosperity. He also presents arguments for the moral superiority of free-markets. Mr. Gilder goes on to suggest that supply side economics is more effective at decreasing poverty than government-regulated markets. In this new and updated edition, Wealth and Poverty: A New Edition for the 21st Century, Mr. Gilder compares America’s current economic challenges with her past economic problems, –particularly those of the late 1970s,– and makes the case that President Obama’s big-government, redistributive policies are doing more harm than good for the poor. [Read more...]

Sensible Economics: What Would Hayek Do?

Eamonn Butler Economics

Eamonn Butler

by Stephen Masty

An audience of more than a thousand, mostly young people, came to the London School of Economics on February 18th to hear Professor Eamonn Butler deliver a talk entitled “What Would Hayek Do to Sort Out This Mess.” You can listen to the audio here.

In context, Butler’s talk is part of a recent series of LSE lectures and debates between Keynesians and their (usually free-marketeer) critics; some notable Keynesian academicians were said to have been woefully ill-prepared and in either case were routed in every contest. Youth attendance was considerable and overwhelmingly anti-socialist. [Read more...]

Small is Beautiful and Faithful: The Vision of E. F. Schumacher

by Joseph Pearce
schumacher

A little over a century ago, on August 16, 1911, the great visionary economist E. F. Schumacher was born in the German city of Bonn. An icon of the early Green movement, few people seem to know that Schumacher’s vision was inspired by the great papal encyclicals of Leo XIII and Pius XI or that Schumacher himself was a convert to Catholicism.

Disgusted with the Nazis, Schumacher moved to England before the beginning of the second world war and remained there for the remainder of his life. Best known for his international bestseller, Small is Beautiful, published in 1973, he is, without doubt, one of the most influential thinkers of the twentieth century. The enormous impact of Small is Beautiful, which became the bible of a new generation of environment-conscious politicians, economists and campaigners, makes it one of the most important books of its time. Jimmy Carter, following his election to the presidency in 1976, invited Schumacher to the White House for a photo-shoot. Pictures of Carter and Schumacher, arm in arm, were splashed across the newspapers, indicating, so the president would have us believe, that he was in tune with the latest thinking on “economics as if people mattered”, which was the sub-title of Schumacher’s book.  [Read more...]

President Obama’s Economic Growth Is Unworthy of U.S. Tradition: What’s the Matter?

by Brian Domitrovic

Economic

Brian Domitrovic

Last November, the political science models that predict presidential-election winners broke. As has long been taught, no incumbent ever wins re-election after presiding over weak recovery from a steep recession and 1.5% yearly economic growth—namely President Obama’s record over his first term in office.

So political scientists have to tend to their models. In the offing, you might expect the president to have breathed a sigh of relief. As of last election day, Barack Obama had the worst economic-growth record of any president since Herbert Hoover. Even George W. Bush had him beat by a tenth of a point. And Bush’s presidency started from a very high base—the peak of Bill Clinton prosperity—while Mr. Obama’s started near the bottom of the Great Recession freefall. [Read more...]