Apparatchik Economics:

the Past and the Future

Fred E. Foldvary

Dept. of Economics, Santa Clara University, California 95053, USA

Econ Journal Watch

The Universal Ethic:

1) Acts which are welcomed benefits are morally good.

2) Acts which invasively harm others are morally evil.

3) All other acts are morally neutral.

Evil consists of an invasion into another's domain, coercively harming others.

The Half-Life of Policy Rationales (2003)

Eds. Fred Foldvary and Daniel Klein

It is a contradiction to advocate a free market only in the context of a mass democracy in which it cannot operate.
We need to also advocate a shift to small-group democracy.

Elements that will bring us to freedom:

1. Ethical philosophy: the universal ethic provides the meaning of liberty and the market.

2. Governance theory: liberty is preserved with

radical decentralized bottom-up democracy.

3. Economics: civic services generate land rent, free-enterprise can use this rent to finance public goods, eliminating the justification for taxation.