Tag: road to serfdom

The Hayek Boom

Bruce Caldwell, editor of The Collected Works of F. A. Hayek and Director of the Center for the History of Political Economy at Duke University, writes in today’s Washington Post about the booming interest in Hayek:

Friedrich Hayek, Nobel-prize winning economist and well-known proponent of free markets, is having a big month. He was last seen rap-debating with John Maynard Keynes in the viral video above, (in which Hayek is portrayed as the sober voice of reason while Keynes overindulges at a party at the Fed). His 1944 book, “The Road to Serfdom,” provided the theme for John Stossel’s Fox Business News program on Valentine’s Day.

Hayek, who died in 1992, is also reemerging as a bestselling author. A new edition of Hayek’s seminal book, “The Road to Serfdom,” was published in March 2007 by the University of Chicago Press as part of a series called “The Collected Works of F. A. Hayek,” for which I serve as editor. For over a year-and-a-half, the book sold respectably, at a clip of about 600 copies a month.

But then, in November 2008, sales more than quadrupled, and they haven’t slowed down since. What’s more, the Kindle edition went on sale in late May 2009 and is now the best-selling book that the University of Chicago Press has offered in that format.

I reported on the rising sales of The Road to Serfdom last July. I argued that a Wall Street Journal op-ed by Dick Armey had sent sales jumping in February. Caldwell has a slightly different answer. After noting the general concern about President Obama’s big-government program and the talk about socialized medicine, he writes:

But perhaps the biggest stimulus to sales was, well, the stimulus package. The macroeconomic analyses of John Maynard Keynes had gone quickly out of vogue in the 1970s, when a decade of stagflation delivered a death blow to the notion of Keynesian fine-tuning of the economy. But in early 2009, people were talking about Keynes again, and indeed the fiscal stimulus package, to the extent that it had a theoretical underpinning, would find one in Keynesian economics….

Because Keynes and Hayek actually did have a great debate over their rival theoretical models of a monetary economy in the early 1930s, just as the Slump of 1930 was turning into the Great Depression, it seemed natural for opponents of these policies to turn to Hayek’s writings. (For those who are interested in this episode, I recommend a perusal of volume 9 of The Collected Works, Contra Keynes and Cambridge.)

Not only is “The Road to Serfdom” still relevant in our own time, it has something else going for it, too. It is actually readable. Anyone who has tried to master Keynes’s “General Theory,” or for that matter Hayek’s rival title “Prices and Production,” will find the going pretty tough.

Not so for “The Road to Serfdom,” a book that was condensed by Reader’s Digest in April 1945, just as the war in Europe was ending. Plus, “The Road to Serfdom” is, simply put, a great, evocative title. And with 10 percent unemployment, people certainly have more time to read it.

In the end, however, I think that the underlying reason for the sustained interest in Hayek’s book is that it taps into a profound dissatisfaction in the public mind with the machinations of its government. Both Presidents Bush and Obama have presided over huge growth in the size of the federal government and in the size of the federal deficit, with little obvious effect on unemployment. Things seem out of control.

Whether it was the financial crisis, the stimulus package, Dick Armey’s endorsement, or general fears about the growth of government, I’m glad to see people rediscovering F. A. Hayek. His ideas are a good foundation for a coherent and consistent response to the collectivist resurgence that now seems to be on the defensive.

The Way We Were

Conservatives and even libertarians often view history through the prism of “the road to serfdom,” believing that there was some golden age of liberty in the past that is progressively being eroded. Two recent articles remind us of some of the problems with that thesis.

An obituary in today’s Washington Post told of what happened to American-born May Asaki and her family after the outbreak of war between the United States and her parents’ home country of Japan:

On May 8, 1942 – May Asaki’s 23rd birthday – she and her family were loaded into the back of an Army truck and sent to a detention center. They were allotted one suitcase each.

May, who was the second oldest of 11 children, spoke only rudimentary Japanese and had known no home but California. Her older brother volunteered for the Army the day after Pearl Harbor, but his patriotism didn’t help her family. U.S. authorities considered Americans of Japanese descent to be potential enemies during World War II, and the Asaki family eventually ended up at an internment camp in a snake-infested swamp in Arkansas. Within six months, May’s mother was dead at 48.

“My older brother was serving in the U.S. Army while our family was incarcerated as criminals,” May wrote in her memoir, “the stress of which was too great for our mother to bear.”

The only good thing to be said for May’s two years of captivity was that she met Paul Ishimoto, whom she married in April 1944. Three months later, when their internment camp was closed, they moved to Washington. The federal government gave them $25 apiece to start a new life.

We can only hope that census data will never again be used to round up American citizens and imprison them on the basis of their race. Meanwhile, at the Independent Gay Forum, David Link writes about a historian who was frustrated in trying to find stories in the Los Angeles Times archives about homosexuality in L.A. during the mid-20th century. His searches kept coming up empty. Had they simply never covered such stories?

Then he realized that he was searching for words and phrases he was used to using: “homosexual” and “gay” and “sexual orientation.”  But those were not the words journalists would have used prior to our own time.

Try it for yourself.  If you have access to any database of news stories up to about the 1960s, see how many articles you can find about homosexuality using the words you know to describe sexual orientation.

Than try using these: “deviant;” “degenerate;” “pervert.”

That is the way homosexuality was both understood and reported (when it was reported at all) in days gone by.

Those are the words, and the preconceptions, that would have been dominant, if not exclusive in the minds of the single demographic we can most reliably count on to vote against us today – seniors.  Those who grew up in the 1930s and 40s and 50s would have, first, avoided any possible discussion of such an unpleasant and impolite subject as homosexuality.  That is how the closet – the don’t ask, don’t tell of its day – accommodated the times.

But denial on such a wide scale has to begin fraying at the edges.  And when homosexuality did come up, as Chauncey so vividly described – in criminal trials, bar raids, and mass arrests – the reporting had a condemnatory force built-in.  The police arrested a dozen sexual perverts; a high-profile degenerate was found in a love nest; a bar owner lost his license because his business catered to deviants.

Taxes may have been lower in the 1950s (though come to think of it, the marginal rate was 91 percent). Regulation may been less burdensome (except for the New Deal-derived microregulation of finance, transportation, and communications). The labor market may have been freer (unless you got drafted into the armed services, like Elvis and millions of other young men). But stories like this remind us of how many people were excluded from the promises of the Declaration of Independence – the inalienable rights of life, liberty, and the pursuit of happiness – throughout American history. Liberalism has always campaigned for a society of merit, not of status. That meant in the first place the dismantling of the privileges of nobility and aristocracy. Over the centuries it has also meant extending liberty and equality to people of other races and creeds, to women, to Jews, to gays and lesbians. And current historical trends are certainly more complicated than worries about a road to serfdom, or nostalgia for “the world we have lost.”