There's a place where the lights won't find you
Holding hands while the walls come tumbling down
When they do, I'll be right behind you
--Tears for Fears
Not a bad list of the principal players in Socialism--the tragic drama that ends in chaos.
To the central bankers' part, I would add the role of inflating away the value of currency which expropriates wealth from individuals by nefarious means.
I would also add another institutional player to the cast: special interest groups. These are factions that seek to influence other actors, commonly thru use of democratic process to get control of state force.
From a glass half full perspective, special interest groups can be seen as a means for individuals to cope with aggression leveled by the other actors. The glass half empty perspective sees the opposite--that special interest groups are the principals who contract with strong armed agents to do their bidding in a manner that escalates the socialistic machine to the chaos endpoint.
Saturday, March 5, 2016
Cast of Chaos
Labels:
agency problem,
central banks,
democracy,
inflation,
institution theory,
self defense,
socialism,
war
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