originally posted in:Secular Sevens
Very little can be gained from Laissez Faire Capitalism in an industrialized society. We tried it in the 1800's, and everything went to hell. There was a HUGE gap between the rich and the poor, and the poor lived like pigs. Sure, there was an initial jump in the economy, but it was followed by extremely unstable growth, tons of corruption, monopolies, poor wages, dangerous working conditions, and multiple depressions. A similar trend can also be seen after the Reagan years, although not quite as severe.
You might not believe it if you listened to a lot of people today, but government regulation and intervention is a [i]crucial[/i] part of the economy. A lot of things that actually worked well in the 1800's, like the railroads, were heavily influenced by the government. It also got us out of the great depression.
And yet, a lot of politicians are [i]still[/i] promoting Laissez Faire capitalism(or close) as the cure to all our economic woes. Some will even go as far as to say that it's unconstitutional, but Section 8, and other areas of the Constitution cover regulation specifically. How so many people can forget the past is beyond me. I guess they just get swept up in all the bull.
What can we actually gain? A very short; albeit massive, economic boost, followed by crushing depressions and revolution.
English
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Edited by Diplomat: 10/1/2013 10:11:25 AMThe United States didn't just try Laissez Faire economics in the 1800s, it's been the primary economic system for the entirety of our country's existence. Even prior to our rebellion against the British, the colonial economic system was largely unregulated as the British adopted a policy of salutary neglect. It wasn't until they began reversing that policy of hands-off involvement that the colonies rebelled. Laissez Faire is within the genetic make of the American political economy, and it's unlikely to ever change. Even during the high point of American regulation, the F.D.R. years, we were still to the slight left of being an L.Z. based system. During the Great Depression, it was F.D.R. who said that he would keep government involvement to a minimum. We've never really liked regulation, it's just not apart of our culture.