Free market exchanges and controlled markets (centralization or state socialism) are incompatible. Since the New Deal, the American “third way” has developed. It sought to combine free markets with controlled markets and tame “capitalism.” It has melded these contraries only by increasing the regulatory burdens on markets, thus increasing the degree of state socialism or state control. There have been only sporadic and half-hearted attempts to free up the system. The system is held together by chewing gum, force, rubber bands, and baling wire. It is rigid and inflexible. The credit stringency is revealing the strains on this arrangement. Either … Continue reading Galloping centralization