Archive for Book Reviews
Panderer to Power: The True Story of Alan Greenspan
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Book Review of Panderer to Power, by Frederick Sheehan. McGraw-Hill: New York, 2010. Retail: $29.95
For the bulk of my life so far, I have lived in the age of Alan Greenspan, the chairman of the Federal Reserve Bank from 1987 to 2006. Mentioning a Federal Reserve chair like this in the past would not have been considered normal, yet Mr. Greenspan has a sort of legendary status associated with him. Well, at least some people consider him to be an iconic figure, but more and more the general public is coming to realize the destructive effect he has had on the world economy. Books like Frederick Sheehan’s Panderer to Power have something to do with the dispelling of the myth.
Sheehan’s book is the first critical, post-crash biography of Greenspan. Using Greenspan’s own words, Sheehan tracks Greenspan’s education as a young man, early professional life, his meteoric rise to stardom as a celebrity figure, and his tenure as Federal Reserve chair. The questions primarily raised are: What kind of man is this who has so much power over the world, and what did he do that has led us to today’s economic crisis? The answers are quite surprising. Here are some of the things I learned about Greenspan.
- Greenspan was supposedly a disciple of Ayn Rand, yet he probably did not understand what Rand generally was talking about. Nathaniel Branden wrote later, “I wondered to what extent he was aware of Rand’s opinions.” Apparently, he would even argue the question of his own existence with the objectivist coterie. Rand herself wondered, “Do you think Alan might basically be a social climber?”
- Even in his pre-Fed years, Greenspan was actually a rather mediocre economist and forecaster. Time after time he would make highly-publicized predictions and yet the exact opposite would occur (see pages 43, 54, and chapter 7).
- Greenspan was a master self-marketer, which is probably the reason for his rise to stardom. He constantly engaged the media and the New York financier social scene, hence he had everyone’s ear without the wisdom to back it up. How else can you be both a professional economist and yet date Barbara Walters?
- Even though Greenspan has supposedly had a historically apolitical career, he was a master politician (read: liar). One only need look to his involvement during the Nixon and Carter presidencies to realize that he knew how to play the political game brilliantly.
- Greenspan’s policies during his Fed years were incredibly political as well. He frequently timed his actions in accordance with what was politically expedient. Wall Street and the fat cat Congress could count on the legendary “Greenspan Put” to be their savior when things were looking down.
- Post-crash, Greenspan has tried to play his own game of historical revisionism about his policies that led to the economic crisis. Sheehan exposes these and many other lies.
- Greenspan has been hired as a consultant by many of the firms who profited from the economic crisis via government handouts. Go figure, the man who enriches Wall Street and causes the meltdown gets the extra paycheck…
Clearly, there is much yet to learn about the man whom many called “the second-most powerful man in the world” for nearly twenty years.
In summary, Sheehan’s retrospective on Greenspan is a fascinating read, and I anticipate it will become a valued resource for those looking to understand the Greenspan years from a perspective that offers more than tacit approval of inflationism and government intervention in the economy. Keep in mind, though, it is not an easy read. Economics is discussed at a fairly high, but understandable level. You will probably end up like me, referring to Wikipedia and other sources to recall certain investment and econ topics. Nevertheless, Panderer to Power is worth your time if you desire more knowledge about the Greenspan legacy.
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Tags: Bernanke, biography, Book Reviews, economics, Federal Reserve, Greenspan, money, recommended books
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Top 10 Books for Christian Libertarians – 2009 Edition
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One of the most popular and commented on posts of this past year was my Top 10 Books for Christmas last December. I’m thinking it’s about time for another list, since the Christmas season is upon us and I bet you’re wondering what to get that liberty-loving friend, brother, or spouse. Now, although the title of this post says “Christian Libertarians,” plenty of these books are applicable to libertarians everywhere. Anybody can find something on here to enjoy and learn from. Check out some of these great books and see what you think…
End the Fed, by Ron Paul – The Federal Reserve banking system is corrupt and has devastated the world economy, and Ron Paul demonstrates in this great book just how bad it really is. A must-read for our current political situation!
Meltdown, by Thomas Woods – Here’s another essential book for you to know well. Tom has not only written a great expose of how the government has crippled the economy but also a great treatise in basic economics. This book even hit the NYT Bestseller list for multiple weeks!
The Libertarian Theology of Freedom, by Edmund Opitz – Most LCC readers are already familiar with Opitz since I have been in the process of archiving his essays online, but I want to point out that this book is back in stock again at Amazon (but probably not for long). Read my review of this book for more information. But for that matter, any book by Ed Opitz is well worth having on your bookshelf.
Christianity and War, by Laurence Vance – I’m going to keep pushing this book until every Christian I know is reading it. Laurence’s work is incredible and absolutely essential for getting the church at large to realize war is NOT the answer. (Don’t forget that you can get the audiobook exclusively from LCC!)
Amusing Ourselves to Death, by Neil Postman – Does American “culture” sometimes make you wonder what on earth happened here? Neil Postman clarifies the problems we face on a regular basis in this classic book. Check out my book review here at LCC.
The Ethics of Money Production, by Guido Hulsmann – Guido is definitely one of my favorite scholars in the Austrian School, and this book is just one more reason why. His thesis is simple: money creation must occur on the free market, neither inhibited nor controlled by government, in order to be created in an ethical manner. Pretty great topic, eh? (By the way, you can get this book at Amazon, but it’s cheaper via the Mises Institute online store.)
The Cult of the Presidency, by Gene Healy – I met Gene for the first time this past October at the Students for Liberty Texas Conference, and am now an even greater admirer of his intellect and tenacity to hit the establishment hard. This book shows just how ridiculous statolatry has become, especially in the last eight years with Bush. Now, I think he could write a second book just about Obama. (Also, the paperback version runs a couple bucks cheaper if it matters to you.)
Faith and Liberty, by Alejandro Chafuen – I was really excited to find this book, which covers the history of the Late Scholastic thinkers and their writings on private property, trade, money, and the State – which were all written from theological perspective.
The Way, the Truth, and the Sword, by Scott Ritsema – You can get Scott’s great book either as an eBook or through Lulu.com. Either way, you’re in for a treat, as Scott has written a wonderful little book encouraging the church at large to reject the State and get back to the true savior, Jesus Christ. Scott is the webmaster at Civics News.
An Amazon Kindle filled with the Mises library and Christian Classics – This may be #10, but it’s probably #1 in my list. You know, almost every book the Mises Institute publishes (and much more) is available to download for free as a PDF on their website. You could easily fill a flash drive with liberty PDF’s from the Mises Library and tons of classic theological texts from the Christian Classics Ethereal Library and Project Gutenberg. Now THAT would be a gift long remembered! (Hey Mom, hint hint?)
And remember, if you follow one of these links, LCC gets a small referral cut from every purchase you make at no cost to you. So, get some great books AND support LibertarianChristians.com while doing your Christmas shopping. It’s much appreciated…
Finally, if you think a great book deserves to be on this list, comment below and make your voice heard!
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Tags: Book Reviews, culture, government, history, money, philosophy, recommended books, statolatry, theology
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Book Review: Leviathan at War edited by Edmund A. Opitz
Posted by: | CommentsBy Robert Higgs of the Independent Institute
Perhaps the most valid justification of government is its defense of citizens against foreign aggressors. But when governments wage war, a thin line separates defense and offense. And even in a defensive war, governments typically deprive their own citizens of many liberties. Historically, war has done more than anything else to enhance the power of governments and to diminish the liberties of the people. Classical liberals have always recognized the dangers of war and supported policies, such as free international trade, that reduce the likelihood of war.
The Foundation for Economic Education has stood squarely in this classical liberal tradition, and over the years its monthly publication, The Freeman, has presented many articles alerting readers to the domestic dangers of war and espousing policies that promote peaceful international relations. Leviathan at War, edited by Edmund A. Opitz, reproduces many of those articles as well as several other commentaries. The longest essay in the collection, Wesley Allen Riddle’s “War and Individual Liberty in American History,” is a previously unpublished contribution.
In a chapter on “The Roots of War,” Ayn Rand succinctly states a major theme of the book: “If men want to oppose war, it is statism that they must oppose. So long as they hold the tribal notion that the individual is sacrificial fodder for the collective, that some men have the right to rule others by force, and that some (any) alleged `good’ can justify it—there can be no peace within a nation and no peace among nations.”
In an excerpt from Human Action, Ludwig von Mises expresses similar ideas. “Aggressive nationalism is the necessary derivation of the policies of interventionism and national planning. While laissez faire eliminates the causes of international conflict, government interference with business and socialism create conflicts for which no peaceful solution can be found.” Mises describes how the engagement of governments in “total” war led them inexorably to extend their controls over economic life.
Perhaps the starkest wartime deprivation of liberty is the conscription of men to serve as soldiers. The United States first conscripted men during the Civil War. In World War I nearly 3 million were drafted, in World War II some 10 million, and the draft persisted until 1973. In “The Conscription Idea,” written in 1953, Dean Russell lamented that “the principle of conscription is now fearfully close to becoming a permanent American institution.” Russell, who had served in the Air Corps for five years during World War II, rejected the standard defense of the draft, which maintains that the end justifies the means. Said Russell, “Those who advocate the `temporary loss’ of our freedom in order to preserve it permanently are advocating only one thing: the abolition of liberty.” He believed that if the United States were genuinely menaced from abroad, volunteers would come forward in sufficient numbers to defend the country.
The book reprints Daniel Webster’s stirring speech opposing conscription when it was proposed in 1814. “An attempt to maintain this doctrine upon the provisions of the Constitution,” declared Webster, “is an exercise of perverse ingenuity to extract slavery from the substance of a free Constitution.” Anyone would be struck by reading Webster’s speech alongside the unanimous decision of the U.S. Supreme Court upholding the constitutionality of the draft in 1918. Then, Chief Justice Edward White found himself “unable to conceive” how anyone could regard conscription as involuntary servitude—obviously, America’s effective constitution had changed enormously since 1814. In an excerpt from a 1944 book, the British military historian B. H. Liddell Hart criticizes conscription, calling it “a decisive step towards totalitarianism.”
In “How to Finance a War,” Willard M. Fox exposes the fallacy that the costs of war can be shifted to future generations by debt financing. He observes that “the real cost of waging war is borne by the living who are deprived of things that in the absence of war could be produced and consumed in ordinary peacetime life. No amount of fiscal hocus pocus can change that reality.” He also shows how the U.S. government has resorted to inflation to help finance its wars, and he explodes the myth of wartime prosperity. He concludes that “by a combination of persuasion, appeals to patriotism, veiled threats of coercion, and bidding a high enough price, government can get what it wants in the market” for most wartime purposes.
Nothing displaces sound morality quicker than warfare. Soldiers are lionized for indiscriminately killing people and destroying property—actions that would ordinarily bring moral censure. Government propaganda encourages citizens to dehumanize enemy populations, so that mass murder can go forward without moral restraint. Leonard E. Read’s contribution, “Conscience on the Battlefield,” challenges the herd mentality underlying the savagery that attends the waging of war. Mark Twain’s classic “War Prayer” hits the same target.
James Madison spoke wisely when he warned that “of all the enemies to public liberty war is, perhaps, the most to be dreaded.” It is inconceivable that, absent the wars of the past century, the government of the United States—and probably many others as well—could have grown nearly so powerful. From its participation in wars, the U.S. government gained, for example, high income-tax rates and income-tax withholding, the system used to finance the voracious modern welfare/warfare state. Even more importantly, victory in the world wars convinced Americans that the federal government has the ability to achieve great social objectives in the public interest and can be trusted to do so. A clear progression leads from wartime economic planning to the massive contemporary government meddling in economic affairs.
Edmund Opitz deserves much credit for compiling an excellent collection of commentaries on a subject of the greatest importance. No matter how much Americans may wish to throw off the shackles of the welfare state, recover their lost liberties and live in peace, they stand little chance so long as the government can divert them by engaging in war. As Opitz wisely observes, “while many people say they want peace, few know or want the things that make for peace. . . . When men rely on political privilege to acquire economic goods, they have already embraced the near end of a principle whose far end is war.”
December 1995
Robert Higgs is Research Director for the Independent Institute.
Order Leviathan at War from Amazon.com or the Foundation for Economic Education.
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Tags: economics, Edmund Opitz, history, recommended books, war
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Summer Reading – Top 10 books that you should drop everything to read now…
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Looking for some good summer reading, fellow Christian libertarians? I gave this list to a friend in mid-July (a reader of LCC, incidentally) when he asked what 10 books I would recommend that he drop everything to read right now… Ok then, here they are! Some I’ve mentioned in previous articles, but some will be new to you, I hope. In fact, not all of this list is straight libertarian philosophy or theological treatise… there’s some fiction, some personal finance, and some business productivity stuff too. Enjoy!
- Ron Paul, The Revolution: A Manifesto – If you haven’t read this yet, you should. Become a part of the R3VOLUTION!
- Murray Rothbard, For a New Liberty – This is a great way to delve into libertarian thought. It’s freely available online as a PDF, HTML, or MP3 audiobook. (BONUS: A cheaper alternative if you want a paperback would be Linda and Morris Tannehill’s The Market for Liberty. It’s shorter than Rothbard, and slightly randian-sounding, but awesome.)
- Tom Woods, Meltdown – The best quick way to understand the current economic crisis, its causes/solutions, and a bunch of Austrian econ.
- Frederic Bastiat, The Law – Essential classic reading in the classical liberal tradition.
- John Cobin, Christian Theology of Public Policy – There isn’t much out there better than this when it comes to Christian libertarian stuff. (BONUS: Cobin’s Bible and Government is less expensive and covers a lot of the same.)
- Boldrin and Levine, Against Intellectual Monopoly – This is the book I am currently reading, and boy am I excited about it. B&L just thrash the notion that intellectual property is necessary for innovation to be maintained in an economy, and in fact history shows exactly the opposite! IP is an invention of the state to give legalized monopolies, nothing more. Abolish it! (BONUS: Make sure to read Stephan Kinsella’s awesome Against Intellectual Property, a paper from the Journal of Libertarian Studies, in conjunction with B&L.)
- Ramit Sethi, I Will Teach You To Be Rich – Ramit is great on personal finance, and I highly recommend his book and his blog. Highly informative and fun to read. You *will* learn a lot. I pride myself on being a very good money manager and yet I’m learning tons of useful things!
- Robert Heinlein, The Moon Is a Harsh Mistress – A fun, fun book about revolution on the moon by the master of science-fiction. Incidentally, this book is where we get the acronym/phrase “TANSTAAFL”, which means, “There ain’t no such thing as a free lunch.” Heheh.
- David Allen, Getting Things Done – This book revolutionized the way I work. GTD is all about getting things out of your head and into an organizational system you can trust and review regularly in order to operate at maximum productivity as much as possible. For all you busy professionals out there, you MUST check this book out and see what you can learn and apply in your work.
- Neil Postman, Amusing Ourselves to Death – I reviewed this book on LCC a short time ago, so check that article out for more information. It is enough to say that Postman has delivered an excellent cultural critique that should pique the interest of anyone in pursuit of truth.
So, what are you reading this summer, and what have you already finished? Let everybody know in the comments. All books welcome, libertarian and otherwise! Don’t be shy!
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Tags: christian libertarian, history, philosophy, recommended books, theology
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Who Else Wants to Be a Good Steward?
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Environmental Stewardship in the Judeo-Christian Tradition: Jewish, Catholic, and Protestant Wisdom on the Environment (Acton Bookstore Link). Foreward by Rev. Robert Sirico, Introduction by Jay W. Richards. Grand Rapids, MI: The Acton Institute, 2007. 119 pages.
In this thin volume, the Acton Institute has assembled a superb group of scholars from the Judeo-Christian tradition to speak their minds on what it means to be a steward of God’s creation. The book consists of three position papers, one each by the Jewish, Catholic, and Protestant representatives, that explain their own viewpoints. It also includes the text of the Cornwall Declaration on Environmental Stewardship, which resulted from inter-faith dialogue between the three groups. The result is an imminently readable book that challenges us to be good stewards of what God has entrusted us with.
All three traditions emphasize the importance of the doctrine of creation. Regardless of the process itself, Genesis tells us that humans are the apex of God’s created order and have been given the role of steward in it. Thus, we are to use, cultivate, and develop environmental resources as responsible individuals.
I found it particularly interesting that each tradition’s position paper addressed the issue of over-population. I suppose this is important because it seems that every year we hear in the news about the “dangers of too many people” on earth. The book thoroughly trounces the absurd over-population argument once and for all. Other “catastrophe” positions, such as climate change alarmism, are debunked as well, most specifically in the Protestant position paper. The science itself is addressed and the duplicity of the ideas are exposed for what they are: anti-human hogwash.
Another prominent feature of the book is the affirmation of the free market and property rights as the proper means of environmental preservation. Each tradition understands that command-and-control economics cannot possibly result in environmental protection. In fact, it is progress on a free market that drives people to cleaner and better methods of production.
Surprisingly, I enjoyed most the Jewish tradition’s position paper. I thought their analysis of Torah and their logical exposition of the Old Testament was nothing short of stellar. On the other hand, perhaps I should not have been so surprised. After reading the section and reviewing some of the key points, I noticed that my favorite Rabbi, Daniel Lapin, was part of the group that wrote the paper. I guess he gets around!
Libertarian Christians need to become more aware of environmental issues, but that awareness needs to go beyond merely knowing arguments against global warming. We need to have a proper Biblical understanding of stewardship and communicate it accordingly. The Acton Institute’s little book has done the Christian community a great service with this book, and I highly recommend it to Christian readers looking for an accurate account of environmental stewardship theology.
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Tags: Bible, climate change, economics, environment, pollution, regulation, theology
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