Bill Gates via last.fm
Before I start ranting about specific events I want to explain my philosophy if you will. The sort of economic system that I would like to see come into existence. I know that there are powerful vested interests that are not going to be in favor of this. I also know that not everyone, and maybe nobody, will agree with the tenets of this system.
But I think it is a better way of running things. It’s a third way if you will between the Washington Consensus, or Rational Economic Man, or whatever you want to call the system we have had for a while, and the various forms of socialism, or planned economics.
I call it Bounded Capitalism, or the Bounded Market System. It rejects the micromanaging and control of the market that the left tends to endorse, but puts limits on the excesses of the market. Yes, I am talking about a role for government. That may be heresy to some people, but I am also talking about letting the market decide almost all of the time.
By the way, I am talking about a market as defined in most Eco 101 courses. One with many buyers and sellers. That’s a market we haven’t seen in a while.
Obviously there are a lot of details to this idea and it will take more than one post to explain it. Hopefully there are those of you out there that will stick around and follow my argument as I develop it.
But the general idea is to keep income within certain boundaries, by mechanisms that interfere with the market as little as possible. Nobody is poor, nobody is Bill Gates.
Could I mean a (gasp!) graduated income tax?
Possibly, it’s one possible feature of this system.
Another key part is size. We have all read the various articles and speeches about too big to fail in re the financial crisis. Well, I think the too big to fail, or too big to exist phenomenon exists all through our economy and it is, to not coin a phrase “The Axis Of Evil”Details to follow.
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