Join Free! | Login 

   Popular! Books, Stories, Articles, Poetry
Where Authors and Readers come together!

Signed Bookstore | Authors | eBooks | Books | Stories | Articles | Poetry | Blogs | News | Events | Reviews | Videos | Success | Gold Members | Testimonials

Featured Authors: James Boyle, iFrancis Eaden, iKarl Morgan, iPamela Taeuffer, iShoma Mittra, iPhillip Rice, iMiller Caldwell, i
  Home > Political Science > Articles
Popular: Books, Stories, Articles, Poetry     

Mel Hathorn

  + Follow Me   

· 72 titles
· 85 Reviews
· Share with Friends!
· Save to My Library
Member Since: Apr, 2002

   Contact Author
   Read Reviews

· The Prisoner's Dilemma

· Celts and Kings

· The Castlereagh Connection

Short Stories
· Thanksgiving Day Dinner at Oliver Wight Tavern in Old Sturbridge Village

· Spanking Plato: Prologue - Chapter 3

· Sticking it to the Man

· Women in White: Parts 1-6

· Men In Black

· A Study and Discussion Guide to The Prisoner's Dilemma

· The Corporation Who Mistook Itself for a Person

· The Gymnast

· No Broccoli Tonight!!!

· The Prisoner's Dilemma (Authors note)

· Stages in the development of Social Change

· But Who's Going To Clean The Toilets?

· George Will's Unanswered Questions

· The People's Fund

· Letter to World Leaders

· An Open Letter to Connecticut Transit

· Constitutional Amendment to end Corporate Personhood

· A Reasonable Teaching Philosophy?

· No Taxation Without Representation

· The No Child Left Behind Act: Why It Doesn't Work

· Georgie Porgie

· The Battle Hymn of the Republic Updated" contributed

· Lament for Lost Liberties

         More poetry...
· A New Business!

· Spanking Plato

· Nobel Prize Nomination

· The First Crack in the Wall

· Are the predictions I made in The Prisoner’s Dilemma happening?

· Get The Prisoner's Dilemma free!

· Dust Cover Copy for The Prisoner's Dilemma

Mel Hathorn, click here to update your web pages on AuthorsDen.

Books by Mel Hathorn
Is Reaganomics Dead?
By Mel Hathorn
Last edited: Friday, March 20, 2009
Posted: Friday, March 20, 2009

Share    Print   Save
Recent articles by
Mel Hathorn

• How To Eliminate Corporate Personhood; Part I (Updated)
• Stages in the development of Social Change
• But Who's Going To Clean The Toilets?
• George Will's Unanswered Questions
• Letter to World Leaders
• The People's Fund
• An Open Letter to Connecticut Transit
           >> View all 39
There has been much talk of recently of the death of Reaganomics. Is this true?


There once was a sheep farmer named Kirchener. Kirchener had a flock of seventy-seven sheep. Down the road another farmer, Steffins, had a small flock of ten sheep. Steffins’ flock, however, has one very valuable asset. One of his sheep, inherited from his father, is a prize-winning sheep, a Cheviot purebred. Very, very valuable.

Kirchener offers to buy the Cheviot sheep. Steffins refuses. Kirchener offers more and more. Steffins is not interested. That sheep was his father’s. It’s more that just an economic asset; it’s an heirloom. It’s sentimental. So in spite of all Kirchener’s efforts, Steffins will not part with the sheep.

Kirchener is determined to have that sheep. That Cheviot sheep will make an excellent addition to his flock. He can breed it, show it and do a lot of other things with that sheep. He simply must have that sheep.

So Kirchener, desperate, buys up Steffins’ mortgage and finds a reason to foreclose on it. As a part of the settlement, Kirchener gets the flock of sheep as well as the property. It’s all done legally so Kirchener is within his rights.

This story demonstrates some of the assumptions of the free market. They are as follows:

1. Free markets unrestrained by government result in the most efficient and socially responsible allocation of resources. Clearly Kirchener can utilize the value of that sheep more than Steffins can. By obtaining Steffins’ mortgage, Kirchener is merely following free market principles.

2. Removing the barriers to trade and freeing the flow of money and goods spurs competition and efficiency, creates jobs, lower prices, and benefits everyone. Kirchener has freed up the value of that sheep by his plans to breed and show it.

3. Privatization is more efficient than government control. By utilizing the private mortgage market, Kirchener has made efficient use of his resources, money and power, to increase his resources in the most efficient manner.

4. The primary responsibility of government is to provide the infrastructure needed to advance business and promote the rule of law respecting property rights. Kirchener acted legally and without government restriction to gain more private property.

These are some but not all of the assumptions of current free market philosophy. But if you really think about it, underlying these assumptions is an even more basic set of assumptions that are hidden to most of us. So let’s look at and explore these unspoken assumptions. Here are what I think are the hidden assumptions of free market philosophy:

1. Humans are motivated by self-interest expressed through the quest for financial gain.

2. The greatest benefits to society are those actions that yield the greatest financial return to the individual.

3. Competitive behavior is more rational than cooperative behavior and society should be built around competition and not cooperation.

4. People are motivated most by greed.
5. The need to consume and acquire is the highest expression of what it means to be human.

6. Pursuing greed and consumer goods leads to the best social outcomes.

Nowhere are these hidden assumptions made more clear than in Oliver Stone’s film, Wall Street, where Gordon Gecko claims, “Now in the days of the free market, when our country was a top industrial power, there was an accountability to the stockholder. The Carnegies, the Mellons, the men that built this great industrial empire, made sure of it because it was their money that was at stake. Today, management has no stake in the company…the point is, ladies and gentlemen, that greed—for lack of a better word—is good. Greed is right. Greed works.”

So what do you think? Which set of assumptions are the most valid? I invite you to reflect on both of these sets of assumptions and come to your own conclusions.

Some points to consider: 1) if the second set of assumptions is more valid than the first set, is Reaganomics over? 2) is the troubled economy today the natural result of the beliefs and practices of the last thirty years? 3) could there have been any different result?

I hope you will reflect on these assumptions and come to your own conclusions.



Reader Reviews for "Is Reaganomics Dead?"

Want to review or comment on this article?
Click here to login!

Need a FREE Reader Membership?
Click here for your Membership!

Reviewed by John Martin
Reagonomics ended when the administration ended. Greed was allowed to blossom and dominate when honorable decent men of good will like George Shultz, Bill Bennett etc were replaced by the low lives of today.
Reviewed by Edwin Larson
Excellent write.

Popular Political Science Articles
  1. The Daze of Swine and Roses
  2. A Special Invitation from Donald Trump
  3. Cavemen in Tuxedos (an editorial)
  4. Reply to: Income Inequality Benefits Ever
  5. They Spoke as One...Now it is Our Turn
  6. The Thirteen Factors of Strategy Generatio
  7. Republicans
  8. Social Security History
  9. Je Suis Charlie? ¿Yo soy Charlie?
  10. Ghost Town Ghosts

You can also search authors by alphabetical listing: A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Featured Authors | New to AuthorsDen? | Add AuthorsDen to your Site
Share AD with your friends | Need Help? | About us

Problem with this page?   Report it to AuthorsDen

© AuthorsDen, Inc. All rights reserved.