Political systems and economic systems go hand-in-hand. They are two sides of the same coin, sort of speak. For thousands of years the dominant form of governance was the feudal system. In the western world, Europe originally, feudalism gradually gave way to mercantilism, in which the crown gave monopolistic power to certain companies in exchange for supporting the crown financially. Here in America our forefathers fought a revolutionary war to escape from the feudal-mercantilism. Our Founders gave us a constitution that set-off the Great American Experiment in free markets with limited democracy.It failed In the early twentieth century, the theories of Karl Marx were put to the test in Russia. It failed. Later, the trend was toward what we cal Democratic Socialism, especially in Europe and to a lessor extant here in the US. It is failing.
Victor Davis Hanson has an excellent article at PJ Media where in he describes the implosion taking place in todays socialism or liberalism.
Like a super nova, contemporary liberalism is imploding through its own irreconcilable forces.
I agree with Victor Davis Hanson. Liberalism/socialism is doomed. But, what will take its place?
Thomas Sowell writing for Human Events believes we are heading toward fascism. To me cronyism, fascism and, mercantilism are all one and the same. Where feudl-mercantilism tended toward monopolies, modern fascism/mercantilism tends toward oligopolies. I agree with Thomas Sowell. I do believe we are headed toward a fascist or mercantilist state.
Kurt Silverfiddle, author of the always thought-provoking Western Hero blog, had this to say in his post titled Free Market Myths:
The problem with businesses and corporations is the rent-seeking relationships they’ve set up with governments at all levels:
(Adam) Smith knew the difference between being sympathetic to the competitive economy—which he called the “system of natural liberty”—and being sympathetic to owners of capital (who might well have acquired it by less-than-kosher means, that is, through political privilege). He knew something about business lobbies.(Sheldon Richman)Very true, and it’s a distinction we have lost. We should not be “pro business,” we should be pro-free market, and let the capitalists take care of themselves.