2010 EPJ Economist of the Year

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by Robert Wenzel: If
You Are In a Line, the Odds Really Are That Other Lines Do MoveFaster



Rothbard has been named, post-humously, the 2010 EPJ Economist of
the Year, specifically for his work surrounding power elite and
their influence on government.

In this day
and age of the Internet, it is relatively easy to track and report
on the comings and goings of bankers, such as Lloyd Blankfein at
Goldman Sachs and Jamie Dimon at JPMorgan, as they trek to the White
House and Treasury for power influence sessions. And, it is relatively
easy to see and understand how they operate and dole out cash to
themselves, but anyone, who read Rothbard years ago, would have
been aware and understood back then.

For example,
Murray Rothbard wrote
in 1984 (more than 25 years ago!), my emphasis:

or manufacturers can either be genuine free enterprisers or statists;
they can either make their way on the free market or seek special
government favors and privileges. They choose according to their
individual preferences and values. But bankers are inherently
inclined toward statism.

bankers, engaged as they are in unsound fractional reserve credit,
are, in the free market, always teetering on the edge of bankruptcy.
Hence they are always reaching for government aid and bailout.

bankers do much of their business underwriting government bonds,
in the United States and abroad. Therefore, they have a vested
interest in promoting deficits and in forcing taxpayers to redeem
government debt. Both sets of bankers, then, tend to be tied in
with government policy, and try to influence and control government
actions in domestic and foreign affairs.

In 1992, Rothbard
(My emphasis):

is less well-known is that this Big Business – Big Finance
– Big Labor – Big Intellectuals and Media alliance has
been going on for a long time: certainly since the New Deal.
is little known, for example, that such crucial New Deal statist
"reforms" as the Social Security Act and the Wagner
Act of the mid-1930s were put into place by a powerful and malevolent
alliance of left-technocratic New Deal ideologues, and powerful
Big Business leaders: notably John D. Rockefeller, Jr.’s Industrial
Relations Counselors and its successors, and W. Averill Harriman’s
Business Advisory Council of the Department of Commerce…

We can
rest assured that the power elite, the crucial special interest
groups we have been analyzing, have no sentimental attachment
to party labels. Republican? Democrat? Who cares, so long as they
are under control by the "right" people.
good for the ______ " is the overriding consideration, and
you can fill in the blank with any one of these power elite groups.

the rest of the article

3, 2011

Economic Policy Journal

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