This episode features a presentation by economics professor Donald Boudreaux from 2001 about the nature of government. He says that even in the face of public choice-type of environment that is constantly pushing the state to grow, ideas do matter and can constrain what the state can do. Purchase books by Donald Boudreaux on Amazon here.Open This Content
Whenever my children express an interest in economics or are curious about the ideals of freedom and responsibility, I can barely contain my excitement. It wasn’t until college that I discovered, and fell in love with, economics, and it wasn’t until much later that I understood liberty as a life philosophy.
Fortunately, I can avoid stifling their budding interest by drawing demand curves or quoting Hayek and Hazlitt (though I’ve been known to do both!) and turn to some outstanding resources just for kids. Designed to introduce economic principles and the foundations of a free society to young children, these tools are interesting, engaging, and easy-to-understand—for children and adults alike!
The Tuttle Twins
The popular Tuttle Twins book series continues to grow, with 10 children’s books now available, as well as accompanying activity sheets and instructional materials. Created by Connor Boyack, a father who was disappointed by the dearth of good economic and civic content for kids, The Tuttle Twins series introduces concepts ranging from spontaneous order and how money works to individual rights and youth entrepreneurship. The latest book in the series, The Tuttle Twins and the Education Vacation, makes a case for non-coercive learning outside of the classroom.
These may seem like big ideas for small children, but Boyack says we underestimate children’s ability and interest. “I’ve been blown away at how well little kids can understand big ideas,” he says.
We get reviews from parents daily who are amazed at the same discovery and are thankful that their children are being introduced to ideas that most adults never learn.
Boyack recently launched Free Market Rules, a new weekly, family-centered curriculum for exploring free-market principles in greater depth, and FEE readers can use the coupon FORTY to get 40 percent off the Tuttle Twins books.
Nobody Know How to Make a Pizza
FEE’s founder, Leonard E. Read, wrote his famous essay, “I, Pencil,” in 1958, celebrating the miracle of the free market in facilitating voluntary exchange and producing the goods and services we want and need. This process happens spontaneously, without any central planner determining what to produce and how to produce it. Indeed, the remarkable message of “I, Pencil” is that “not a single person on the face of this earth knows how to make me.”
Now, author and economics commentator Julie Borowski offers a kid-friendly version of Read’s classic essay in her new book Nobody Knows How to Make a Pizza. Like a pencil, a pizza may seem simple to make, but it relies on millions of strangers working together peacefully and spontaneously to produce a basic cheese pizza. Borowski explains why she decided to write this book:
Over the years, many parents have told me that their kids enjoy listening to my commentary because I make learning about economics fun and simple. Some have asked if I would ever consider writing a children’s book. One day, I was re-reading Leonard Read’s “I, Pencil” when it hit me. It’s already a fascinating story, but can I make it more kid-friendly? I changed it to pizza cause, well, kids are more interested in pizza than pencils. And my illustrator, Tetiana Kopytova, did an amazing job creating cute characters with bright colors. It’s a fun, positive book that will revolutionize the way kids think about the world.
I Know My Rights: A Children’s Guide to the Bill of Rights and Individual Liberty
A 2017 survey by the University of Pennsylvania found that 37 percent of American adults couldn’t name one right protected by the First Amendment of the US Constitution, and only one-quarter of them could name all three branches of government. Clearly, there is a crisis in American civic education and a disturbing lack of understanding of individual liberty.
Author Rory Margraf wanted to address this problem by creating an accessible, colorful children’s book that easily explains the Bill of Rights and the principles of liberty to kids. He says:
I Know My Rights: A Children’s Guide to the Bill of Rights and Individual Liberty was inspired by research for an article while reflecting on the first time I was stopped by the authorities. The gap in civics knowledge, between both children and adults, indicated a crucial need for additional resources outside of brick-and-mortar schooling.
The book was so well-received that Margraf plans to release a sequel to I Know My Rights before the holidays. He adds:
I have found that the philosophy of liberty and the principles of free markets reach children extremely well.
FEE also provides many high-quality resources to help young people expand their knowledge of economics and individual liberty. The free Invisible Hands video series for kids combines fun puppets and a famous YouTuber to offer an introductory look at basic economic principles. And for teenagers, FEE’s three-day summer seminars on college campuses across the country offer an opportunity for more in-depth exploration of these important ideas. Additionally, FEE’s free online courses on economics and entrepreneurship are great for people of all ages!
Parents are perfectly positioned to introduce economic and civic concepts to their children. In fact, they may be the best ones to do it. With authors now creating exceptionally good material for young children on these topics, it has never been easier or more enjoyable for parents to present these ideas to their kids and help them to deepen their knowledge throughout their teenage years.Open This Content
Today my friends Bob Lawson and Ben Powell have released their new Socialism Sucks: Two Economists Drink Their Way Through the Unfree World. Intellectually, EconLog readers will know the score, but Socialism Sucks embeds good economics and economic history within an irreverent travelogue. Modern socialist rhetoric is so ahistorical and otherworldly that it’s great to hear reports about what North Korea, Venezuela, and Cuba are actually like. Along the way, Lawson and Powell thoughtfully explore the whole “That’s not real socialism” slogan. Quick version: Contrary to First World socialists, it’s the hell-states that are real socialism, and the success stories of Scandinavia that are fake socialism.
I actually had the privilege of workshopping the draft of this book. Some of the attendees urged Bob and Ben to rewrite the book to appeal to young progressives, but I insisted that this was a task for a completely different book. Socialism Sucks speaks to people with common sense and a sense of humor who simply don’t know much about socialism. That includes 95% of American conservatives, who normally have negative feelings about the socialist label but who couldn’t tell you about the Holodomor, the Gulag, the Great Leap Forward, or the Laogai, much less the Molotov-Ribbentrop Pact or the Killing Fields. Talk radio is going to try to angry up its listeners anyway, so it might as well angry them up against smug nostalgia for a totalitarian idea that murdered over a hundred million people and reduced dozens of nations to slavery while claiming to be the greatest of heroes and humanitarians.
Do Lawson and Powell really think that young self-styled American socialists are plotting mass murder? Do I? My answer, at least, is, “I severely doubt it, but I shouldn’t have to wonder.” When activists gush about the glories of socialism as if the Soviet Union never existed, all people of common decency should be horrified. The right response to the slogan, “We want Sweden, not Venezuela” really is, “The Venezuelans didn’t want Venezuela either, but that’s what they got.”Open This Content
Government– specifically, statism– is irrational. Let’s look at what “rational” means:
1. agreeable to reason; reasonable; sensible:
a rational plan for economic development.
2. having or exercising reason, sound judgment, or good sense:
a calm and rational negotiator.
3. being in or characterized by full possession of one’s reason; sane; lucid:
The patient appeared perfectly rational.
4. endowed with the faculty of reason:
5. of, relating to, or constituting reasoning powers:
the rational faculty.
I already see a flaw. “a rational plan for economic development“. If it’s a plan which involves anti-economics– politics– it isn’t rational. And you know that’s the kind of “plan” they are referring to. This is why I’ll check dictionary definitions, but don’t automatically trust them. They have a lot of biases included.
But, back to the irrationality of government.
Government, specifically statism, is not “agreeable to reason”. If it were, there would be no statists. Instead, it is based on a superstition; a “just so” story written to explain something in a fictional manner to simpletons who are assumed to be too stupid to understand reality.
You can’t disprove it with reason because it isn’t based on reason. It is based on feelings and wishes. This is why the perfectly logical, reasonable, sensible, ethical statement “taxation is theft” sways so few statists. They are not agreeable to reason.
And the rest of the definition hinges on that first one. Government fails the first one so it, therefore, fails them all.
Government is irrational.Open This Content
The Mengerian-Misesian tradition in economics is also known as the causal-realist approach – in other words, it studies the causal structure of economic phenomena conceived of as outgrowths of real human actions. Thus, it finds verbal descriptions and declarations economically meaningful only insofar as they can be linked with demonstrated preferences and their causal interactions. In this paper, I investigate how the approach in question bears on topics such as the economic calculation debate, deliberative democracy, and the provision of public goods. In particular, in the context of discussing the above topics I focus on market entrepreneurship understood as a crucial instance of “practicing what one preaches” in the ambit of large-scale social cooperation. In sum, I attempt to demonstrate that the Mengerian-Misesian tradition offers unique insights into the logic of communicative rationality by emphasizing and exploring its indispensable associations with the logic of action.Open This Content
Teenagers are extraordinarily capable. Louis Braille invented his language for the blind when he was 15. Mary Shelley, daughter of libertarian feminist Mary Wollstonecraft, wrote Frankenstein when she was 18. As a young teen, Anne Frank documented her life of hiding from the Nazis during World War II. Malala Yousafzai won the Nobel Prize at 17.
The Impact of Low Expectations
These are remarkable people for sure, but teenagers are able to accomplish remarkable things when given freedom and opportunity. Instead, our culture systematically underestimates teenagers, coddling them like toddlers, confining them to ever more schooling, and disconnecting them from the adult world they will soon enter.
Our low expectations of teenagers create a vicious circle. We think teenagers are lazy, unmotivated, and incapable of directing their own lives, so we restrict their freedom and micromanage them. This process leads teenagers to believe that they are, in fact, lazy, unmotivated, and in need of micromanagement. According to Peter Berg, author of The Tao of Teenagers and a teacher who has worked with teenagers for over 25 years, this circle emerges because many of us were treated this way as teenagers. We may have a hard time trusting teens because we ourselves were not trusted. Berg tells me:
We know that many people in our society unfortunately don’t understand teenagers, don’t relate to them well, and actually, in my experience, have a fear of teenagers. In part, I believe this is because they struggled themselves as teenagers and were not treated well by adults. Coming from this mindset, it’s easy to underestimate teenagers and easy to view everything teenagers do through a lens that confirms that we should underestimate them.
Teens Crave Connection and Purposeful Action
When teenagers are trusted and treated well, they are incredibly enthusiastic and competent. I spent this week in Austin, Texas, with 14- to 17-year-olds attending one of FEE’s summer leadership seminars for teens. Far from being lazy and unmotivated, these young people were engaged and curious—even when confronting meaty material like Economics in One Lesson. In fact, I saw more adults dozing off during lectures than teens! Sure, teens like their smartphones and social media—but so do many of us adults. As Berg says:
What irks me the most is the myth of the lazy, always-on-social-media, disengaged teen. Teenagers are engaged and are far from lazy. Most teens today have schedules that many adults couldn’t navigate. Teenagers do care—maybe not always about things that adults think they should care about—but they do care about little things, big things, and everyday things. Teens want what adults want: to be respected, taken seriously, cared about, and treated fairly.
On the edge of adulthood, teenagers need and crave authentic connection to real, daily life, but they are increasingly cut off from this experience. Even as states like Oregon push to lower the voting age to 16, arguing that teens are fully capable of democratic decision-making, they raise the compulsory schooling age to 18. Be free to vote, but you must remain locked (literally) in coercive schooling.
Teens now spend more time in school and less time in work than at any other time in our history—even in the summertime. According to the US Bureau of Labor Statistics, 42 percent of teens were enrolled in school in July 2016 compared to only 10 percent in July 1985. Overall, teen labor force participation has plummeted from a high of 57.9 percent in 1979 to just 34.1 percent in 2011. Part of this decline is related to more emphasis on academics, extracurricular activities, and other structured programming for adolescents. But public policy may also be to blame.
The Minimum Wage’s Impact on Teens
Raising the minimum wage, as many states have aggressively done, has a disproportionate impact on young workers who do not yet have the skills and experience to justify an employer paying them a higher wage. As a result, these neophytes don’t get hired and thus don’t gain the necessary experience to ultimately warrant higher pay. It is widely understood that minimum wage laws lead to higher unemployment, particularly for young and low-skilled workers who are then prevented from gaining important entry-level career skills.
According to a July report by the Congressional Budget Office regarding a proposed $15 federal minimum wage,
The $15 option would alter employment more for some groups than for others. Almost 50 percent of the newly jobless workers in a given week—600,000 of 1.3 million—would be teenagers.
Young people would be harmed the most by increasing the minimum wage. Almost half of minimum wage workers are under 25, and 19 percent are teens.
Only 1.8 percent of US workers were paid at or below the federal minimum wage in 2015, so it’s a small segment of the overall population at this pay level but a large percentage of young people.
Rather than criticizing teenagers as lazy and in need of more control and structure, we should recognize the ways our culture infantilizes its teens. We confine them in coercive schools and school-like activities for most of their adolescence, limit their autonomy, and prevent them from working in jobs and gaining valuable career skills. Is it really any wonder that they may retreat into their cell phones when they get the chance? It might be the only moment of their day when they are actually in control and connected to the wider world.
From rising compulsory schooling ages to rising minimum wages, we treat teens like toddlers and separate them from the genuine adult world they will soon join. As Berg says:
For many teens, their days consist of an expectation to live a story or script that others have created for them.
Maybe we should give teenagers the freedom and opportunity to create their own scripts and witness the remarkable things they will do.Open This Content