by Emrys Westacott
“It was the best of times; it was the worst of times.”
I suspect there are many who feel that this Dickensian paradox applies to their own life and times. I certainly do. If you’re fortunate enough to have a sufficient income, a comfortable home, loving family and friends, decent physical and mental health, and plenty of interests to pursue, then life is good. But then a lying, narcissistic, cynical, conman like Boris Johnson is ensconced in power in the UK for five years, and things are not good. One dwells in the Slough of Despond.
This odd disconnect between the relative pleasantness of one’s own circumstances and an appalled sense that, on so many counts (poverty, inequality, political corruption, news media, environmental damage…..), the world is heading in the wrong direction, has become a familiar, ever-present condition for many of us.
Interestingly, the disconnect seems to be not only experienced by people on the left. The median household income of Trump supporters during the 2016 Republican primaries was $72,000 (compared to a national median household income figure of $56,000). Historically and geographically speaking, $72K is a decent chunk of change which for most people should make possible a fairly comfortable lifestyle. And in fact, a 2017 PRRI study concluded that Trump supporters were not so much motivated by dissatisfaction with their own economic circumstances as by fears about cultural displacement (of whites by minorities and immigrants). For most of them, too, their fear, anger, and dissatisfaction concerned the state of the nation rather than their personal circumstances. Read more »
by Emrys Westacott
I just read Adam Smith’s The Wealth of Nations for the first time. Not every word. It’s over a thousand pages, and there are long “Digressions” (Smith’s term) on matters such as the history of the value of silver, or banking in Amsterdam, which I simply passed over. I was mainly interested in what Smith has to say about work, so I also merely skimmed some other sections that seemed to have little relevance to my research. Time and again, though, I found myself getting sucked into chapters unrelated to my concerns simply because the topics discussed are so interesting, and what Smith has to say is so thought-provoking. Reading the book is also made easier both by Smith’s admirably lucid writing and by the brief summaries of the main claims being made that he inserts throughout at the left-hand margin.
By any measure The Wealth of Nations is one of the most influential books ever written and represents a monumental intellectual achievement, initiating a paradigm shift in political economy. Before its publication in 1776, the dominant view in Britain and many other countries was some form of mercantilism. According to this theory, the path to prosperity and power for a nation lay in its having a positive balance of trade, exporting more than it imported, thereby accumulating wealth at the expense of its rivals. Government policy thus sought to promote the production of goods while ignoring or even suppressing domestic consumption. Against this, Smith argues that the wealth of a nation does not reside in a store of goods or gold, but consists, rather, in the totality of the economic activity that its people and institutions are engaged in. Read more »