This is a age old argument, or seems to be, capitalism versus socialism. The truth of the matter might be that no extreme of either economic system is probably a good idea.
Pure capitalism means no regulations, rampant abuse of workers, peonage, serfdom, slavery, pollution, etc.
Pure socialism means no competition and therefore less innovation, etc etc etc.
Our system in the U.S. has always been a combination of the two. What we've been doing is trying to find the right balance.
Maybe our ability to shift that balance, as needed, is what allows the system the flexibility to adapt and perpetuate itself. Whenever business needs a boost, capitalism is unregulated and set loose. Whenever the public needs a boost, socialism is instituted to bridge them through the tougher times.
Some things have to be socialized, like the public ownership of roads and bridges. Other things must be privatized, like home ownership. So we need to strike the right balance, not swing to extremes.
The world has had trouble admitting that socialism is terrible.
Communism was a total and complete disaster as predicted by the great economist Ludwig Von Mises decades before it collapsed.
Legit economists like him were ignored or ridiculed. They weren't part of the politically connected club that got awarded prestigious positions in government or academia.
Once communism collapsed and its failure could no longer be denied, the world came to the conclusion that we need this mixed economic system. A balance between the two. Like some sweet spot.
But after decades of that, all we will be left with is trillions of dollars of debt, trillions of unfunded liabilities, wild booms and bust cycles due to central banking run amuck and guess what gets blamed when this happens?? You got it ! Capitalism ! The free market ! Lack of regulations!
Wrong. The problem is still too much Socialism. Having socialism lite just means it takes longer for the house of cards to collapse. Like cancer, some minor beginning stages of cancer are still bad and eventually could lead to something life threatening. No cancer whatsoever is better.
BTW, we haven't been swinging both ways trying to strike a balance.
It has been swinging in one direction for over 100 years. Towards more socialism, more regulations, less freedom.
A real free market is the way to go . But realistically the people can't be convinced of it. Which is why Ron Paul lost in three presidential elections. The people voted NO for freedom.
They want Trump or Sanders. More welfare more warfare till everything crumbles!
Now I will sit back and watch them expect Clinton, Sanders or Trump to work miracles.
