Date: Tue, 11 Oct 1994 12:25:16 -0400 (EDT) From: SCIABRRC-AT-ACFcluster.NYU.EDU Subject: More on Hayek I appreciate Donna's post on "Hayek (1)." I would however, like to recommend reading HAYEK, and not merely his critics (of which Wainwright is one). It is not enough to read his more polemical works, such as THE ROAD TO SERFDOM. I think you will find other works more challenging, including: THE FATAL CONCEIT; INDIVIDUALISM AND ECONOMIC ORDER; STUDIES IN PHILOSOPHY, POLITICS, AND ECONOMICS; and NEW STUDIES IN PHILOSOPHY, POLITICS, ECONOMICS, AND THE HISTORY OF IDEAS. I would just like to say, in passing, that Hayek and the Austrian school are not ahistorical in their analysis of markets and prices. What we have had up till now is not a free market system. For sure, prices and markets exist globally, but there are enormous state interventions throughout the global community. Cartel arrangements are all government-sanctioned. Monopoly cannot result except through a POLITICAL intervention in which entry into a field is blocked by various legal maneuvers (regulations, compulsory cartelization, price controls, output quotas, licensing, certificates of convenience and necessity, compulsory unionization, product control through standards of quality and safety, tariffs, immigration restrictions, minimum wage laws, maximum hour laws, conscription, conservation laws, patents, franchises, the use of eminent domain, antitrust). It is no coincidence that the genesis of the entire alphabet soup of federal regulatory agencies was supported, sanctioned, and shaped by the very industries to be regulated in their quest for "stabilization" under 19th- century conditions of rivalrous competition. (See Kolko's THE TRIUMPH OF CONSERVATISM for a fine introduction to this area of history.) It is no wonder that in the incestuous relationship of state and business, militarism and neo- colonialism has resulted. Perhaps Hayek's alternative is as utopian as Marx's. His vision of free markets and free prices and free movement of peoples throughout a global economy unencumbered by cartelization, nationalisms and militarisms bears no resemblance to what exists today. If what exists today is degenrating into barbarism, it is not the fault of Hayekian free markets and free prices, for these exist nowhere on earth. Regarding Philip Goldstein's comment on my response to critics, just a quick note. I think that he is correct to observe that some of Engels's (and Marx's) "over-statements" can be attributed to rhetoric. Marx and Engels wrote many works to appeal to specific audiences and often overstated the case. Unfortunately, there are loads of examples where rhetoric outshines common sense, and whole schools of Marxists have derived from such rhetorical usages. On this basis, both Marx and Engels decried the use of historical materialism, for example, by those who applied the "material base" in a one-dimensional manner, never acknowledging reciprocal causation and effect. Nevertheless, I should add too, that just because I believe Marx embraced, at least in this instance, an Enlightenment-rooted constructivistic rationalism, I do not blame the totalitarian practices of the Soviet Union strictly on such views. I think my previous posts make clear that one cannot disconnect the Soviet reality from the historically specific conditions that Russia has faced. Finally, two cheers for Gramsci; I think Philip is right to note Gramsci's views on hegemony. There is much value in the Gramscian perspective vis-a-vis some of the issues we have been discussing. I think Habermas and Wainwright also contribute much of interest to the debate on "unintended social consequences," even if they don't quite satisfy the epistemic strictures that Hayek has so eloquently written about. - Chris ============================================================Dr. Chris M. Sciabarra Visiting Scholar, N.Y.U. Department of Politics INTERNET: sciabrrc-AT-acfcluster.nyu.edu BITNET: sciabrrc-AT-nyuacf ============================================================= ------------------
Display software: ArchTracker © Malgosia Askanas, 2000-2005