Thursday, September 07, 2006
In class today there was a suggestion that our system of political economy could be described in terms of government acting primarily in ways that benefit a specific group or class (and the idea seemed to be this group was the "wealthy"). I expressed skepticism that our system of political economy worked in ways consistent with such a view. But, suppose for a moment I accept this "wealthy class" view of government as descriptive of our system of political economy. Given this, it seems to me that we would then want to say our system of political economy could be described as being governed by a stationary bandit, which is an idea we will learn about later in Olson's Power and Prosperity. If this view of our system of political economy as a stationary bandit is correct, what would we then want to say about the economic prosperity we would expect from our system of political economy over time?