The Gateway Objectivists' April Meeting:
"Property: Bulwark to Liberty"
At our April meeting, Bob Greene will present "Property: Bulwark to
Liberty,"
a lecture on the evolution of property rights and its importance to the
restriction of government power. The meeting will be on Saturday, April
15,
at 8 p.m., at the home of Joy & Jeff Kiviat. Call (314) 469-2723 for
directions.
Bob's talk will examine how property rights have kept absolutism in
check,
from its beginnings in ancient Greece, through its codification into law
in
the Roman Republic, to its refinement during the Renaissance. He will
look at
the methods used by power-seeking governments to get needed funds and
how
these led to political liberties, such as the Magna Carta and English
Bill of
Rights.
Since our property is always under threat of attack from progressive
taxation, forfeitures, seizures and takings, we must understand how
property
rights evolved so that we may protect our property, liberty and lives.
"The Myth of Market Failure"
At our last meeting, Jeff Kiviat gave an informative lecture on
"The Myth of
Market Failure." Jeff spoke primarily about three economic factors
that are
claimed to prevent some mutually beneficial transactions from taking
place,
resulting in "market failure." He showed that each of these do
not in fact
lead to market failure, but that public policy causes failures.
The first supposed cause, market power (or monopoly), is actually what
drives
innovation. Almost every company has market power because their brand
differentiates their product from others. Farm commodities come the
closest,
but even some of them can be different. Therefore, absolutely perfect
competition is unachievable and should not be held as the standard of a
free
market.
Secondly, there are public goods, which is the problem of non-exclusability
leading to non-production (or the free rider problem). By using a number
of
examples, Jeff showed that reputed public goods are supplied in
abundance,
using methods such as tying or converting to private goods to get around
the
problem.
The third major argument for market failure is externalities, or that
transactions costs keep potential gains from trade from being realized.
But,
like perfect competition, the zero transactions costs model is not a
good
model because it is unattainable.
The solution for those who think free markets will fail is always
government
intervention, but this is what actually leads to market failure. Public
policy produces inefficient outcomes for a number of reasons, including
rational ignorance, the special interest effect, and the fact that it is
inherently short-sighted. The only way public policy can contribute to
free
markets is to clearly define property rights.
By looking in depth at these reasons, Jeff explained that the idea of
market
failure is just a myth -- free markets can't be blamed for not achieving
an
unachievable goal.
The Return of Camp Indecon
After a successful first year, Camp Indecon is now offering enrollment
for
its second summer. The week-long program aimed at building independence
and
confidence is expanding to allow 40 campers this year, in two sessions
for
ages 8 to 11 and ages 12 to 16. It will once again take place in
Deerwood,
Minnesota, with a variety of outdoor and recreational activities, as
well as
a Montessori-based learning program. Last year, the children discovered
basic
philosophical principles such as nature's rules and free will, as well
as
learning about life planning and money management.
More information about the camp, as well as pictures from last summer,
can be
found at www.campindecon.org.
The Future of Education
In St. Louis, the three charter schools which have been approved are
recruiting students for the coming school year. The Ethel Lyle Hedgeman
Academy, the St. Louis Charter School, and the Thurgood Marshall Academy
will enroll up to 1,300 students from the city of St. Louis this fall.
Meanwhile, Kansas City charter schools are going strong, with 15 opening
last
year. They have become so popular that the Kansas City School District
is
closing four of its public schools this fall. The "St. Louis
Post-Dispatch"
reported on March 9 that the district, once home to 70,000 public school
students, now has fewer than 32,000, along with a $22 million deficit.
The first statewide school voucher system in Florida has been ruled
unconstitutional by Tallahassee Circuit Judge L. Ralph Smith Jr. His
decision
on March 14 stated that Florida's Constitution bars public money from
financing private education, according to the "Post-Dispatch."
Opponents of the program argued that the program violated the separation of church
and state, but the judge did not address that issue in his decision. Florida
Governor Jeb Bush, a supporter of the program, plans to appeal the
ruling
Get Your Daily Dose of Stossel
Even with frequent segments on "20/20," as well as his own
prime time specials, the world needs more John Stossel. And it soon may be
available. Stossel is planning his own hour-long weekday talk show. If it's
finalized after shooting pilot episodes in April, the news-driven, single topic
show will be syndicated, hopefully airing this summer or fall.
Stossel's latest ABC special, "What's Happening to Free
Speech," aired on March 23.
We welcome submissions of reviews, articles, columns and commentary.
Direct all correspondence to gwobjctvst@aol.com.
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