Free Markets

In this episode, Murphy clarifies what is right and wrong on comparative advantage.

So-called economic moderates claim to support free-market capitalism, but then say that markets still need “some” government oversight. Free markets, however, don't need government-based rules because markets effectively regulate themselves.

Sponsored by Dan Johnson and Randee Laskewitz.

The idea that “if it can fail, it should” probably seems oxymoronic to most people when applied to the economic realm.

Ask most people why our economy is advanced, and they will likely will answer, “Technology.” Yet, technical knowledge is meaningless without capital development, and capital development is impossible without real savings.

With Europe moving toward conflict in 1938, a number of economists and other intellectuals met in Paris to try to revitalize liberalism. Ludwig von Mises also was there as a lonely voice defending laissez-faire and the free market economy.

Contra Marx, the laws of economics are immutable and are the same no matter what historical epoch exists. Economies cannot flourish unless market prices, private property rights, and profits and losses are unhampered.

Frederic Bastiat was a well-known and eloquent defender of liberty and free-market economics. He also was a devout Catholic who looked to tie his faith to his economic and political beliefs.

Many proponents of free markets have tried to cast aside the name “capitalism” as a descriptor of the market system. They should take caution before doing so.

The so-called great minds in economics and finance claim that gold is a “barbarous relic” or a “shiny,” worthless rock. Gold is neither. Despite the steady attacks on its integrity, gold remains a good place to put one's money.