The Myth of Unplanned Economic Development

[sophia-sadek.livejournal.com]

One of the heroes of libertarian ideology is the railroad robber baron entrepreneur James J. Hill. He is contrasted with the other robber barons entrepreneurs who built the intercontinental railroad. The big difference is that Hill did not leverage public financing to construct his empire organization.

Hill derived his wealth from his serfs yeoman farmers who settled on his land to raise abundant harvests for transport to distant markets on Hills road. The settlers were forced encouraged to sell their produce to grain elevator shysters entrepreneurs at rock bottom market prices. These pilfering enterprising middlemen held on to the grain until a more favorable price was offered on the grain market and they obtained rate rebates by shipping in bulk. (They also bilked optimized grain prices from farmers by underrating the quality of the grain.)

When we look at the surface of Hill's story, it appears that no public planning went into this development. The libertarian historian has conveniently avoided looking at the planning that took place years before Hill obtained his fiefdom property. Racist Forward-looking politicians deliberately expropriated acquired the land from its native inhabitants for the purpose of economic development. Hill and his settlers maintained their holdings under the protective hand of federal and state thugs military personnel, lest it fall back into the hands of the original proprietors uncivilized people.

Although the Solyndra investment appears to be a piece of failed public planning, it has more of the earmarks of traditional robber baron private development. Back in the day, a thieving an enterprising operator would run his business into the ground and sell off the depleted stocks to a shifty trusted new partner, leaving the original investors with little or no return on their capital.

Were it not for public planning, this Internet space would not be available for us to use. In fact, I would not have the capacity to communicate as well as I do had it not been for public planning.

Is there really such a thing as unplanned economic development?

Comments

Re: Not only this but

[sophia-sadek.livejournal.com]

My argument is that libertarianism looks like the path to slavery from where I sit. Nothing you have said has convinced me otherwise.

Re: Not only this but

[montecristo.livejournal.com]

Identify the essential characteristic which distinguishes government from any other corporate entity acting in human civilization. Let me save you some time: government is the corporate entity which holds a monopoly on the presumed authority to initate force against people who have not themselves violated anybody's rights.

That is its distinguishing essential characteristic. The nature of this characteristic is obfuscated by collectivist mysticism, expressed as nationalism, racism, tribalism, patriotism or other such mumbo-jumbo lacking any basis in fact or cause and effect. Presuming to support the government on the grounds that it acts as a deterrent to the other corporate entities is a dangerously foolish delusion. It is government which allows all of the other corporate entities to grow big and corrupt by regulation, taxation, subsidy, etc. As Orwell said, allegorically of the Soviet Union, "Freedom Is Slavery."

Power is corrupting. It gets concentrated and centralized through human action. It is a zero sum game. It can be decentralized through human action.

Property is a natural essential characteristic of human action. The use of property in voluntary trade can increase wealth for all participants in the process. Wealth is not a zero sum game.

Supporting the government because you're afraid of the market is like befriending a psychopath because you're afraid your parents aren't going to leave you an inheiritance.

Re: Not only this but

[sophia-sadek.livejournal.com]

I remain unconvinced.