Ever since the death of Fredrick Hayek, Milton Friedman and Peter Drucker there remains only one person left capable of fulfilling the role those men carved out for a hardened intellectual, namely Allan H. Meltzer who currently resides at the American Enterprise Institute in Washington D.C.
Meltzer is a professor at Tepper School of Economics in Pittsburgh. He WAS THE LONE VOICE COUNSELING MARGARET THATCHER TO PURSUE THE VERY POLICIES THAT SAVED ENGLAND. She, Reagan and Meltzer were alone in the conviction that a return to classical economics would save the West.
Meltzer recently wrote that ‘capitalist economies has lifted vastly more people out of poverty than any government or welfare program, Marxist or otherwise.’ He continues to support and defend open markets with prudential judgement rendering him a contemporary of those mentioned above.
Contemporary economics is not classical, and the Keynesian model used by Washington is a variant of a neo-Marxist agenda quite similar to the decades long approach that brought on the stagflation of the 1970’s. For Meltzer, you cannot justify using any disguised variant of Marxism be it welfare or redistribution to effect prosperity.
Meltzer is aware of today’s political elite using a ‘rational’ rubric analogously identical to Marxism to cover for its immediate failures as well as an appeal to the masses who understand themselves as victims. The appeal of ‘rational’ is as old as the Enlightenment (17th century) where men like Locke, Hume and Kant developed ideas that ultimately lead to Feurbach, Hegel and Marx, the fathers of Communism. For Meltzer, the appeal to a ‘rational’ basis for prosperity is an illusion for a “more productive use of resources is critical for rational choice.” There are antecedents that even the social engineers are reluctant to acknowledge.
For Meltzer, like the others before him, government must acknowledge a hierarchy of political, social priorities if it is to get American back on the path to prosperity. Such a step will mean acknowledging the intellectual patrimony that is Supply Side economics/classical economics. Because this would entail the death of the New Deal, The Great Society and by consequence contemporary liberalism, political elite’s throughout the West continue to dress up Marxist garb and appeal to the masses to deflect from failed policies.
How else to put it, ‘the more productive use of resources’ cannot be allocated from a centralized governing authority. The individual alone can do this. The moral, spiritual, ethical primacy resides with the individual person NOT GOVERNMENT!
Meltzer has written that “the response in Washington to escape the debt trap by stealth, is the route to inflation. Consequently, most economists are terrible historians, for this route can spur a global crisis on the US dollar, it can even jeopardize the Reserve Status that the US Dollar holds. The better answer, the only road back to fiscal sanity and AAA status is to reverse the economic policies of the Obama administration. The financial crisis followed by the Keynesian and statist revival of the last four years has brought the United States to an inevitable decline. The only solution is to return to the classical, pro-growth economic ideas that revived America at other moments of crisis.”
Thanks to Allan H. Melzer we have someone fighting the good fight.