WSJ on James Otteson’s book: “A transaction based on extraction or theft is zero-sum (1 – 1 = 0). A transaction based on a mutual exchange is positive-sum (1 + 1 = 2). Wealth in most societies before about 1800, he reminds us, was based on the former model; wealth in market economies is based on the latter. What we need is someone able to explain to our well-intentioned politicos that the wealth they want to reallocate came about from mutually beneficial positive-sum transactions and not from zero-sum extraction. The way to diminish poverty and aid the disadvantaged is therefore not to punish positive-sum exchanges by taxation, but to allow more of them.”
F.A.Hayek: “If we wish everybody to be well off, we shall get closer to our goal, not by commanding by law that this should be achieved, or giving everybody a legal claim to what we think he ought to have, but by providing inducements for all to do as much as they can that will benefit others.” [via CafeHayek]
Vishnu Agnihotri: Who is Liberal Arts a Good Choice for?