- A Monetary History of the United States, 1867-1960A Monetary History of the United States, 1867-1960
Livros de Milton Friedman, Amazon: Foco em Capitalism and Freedom (1962)
Livros de Milton Friedman, Amazon:
Foco em Capitalism and Freedom (1962)
Temas de relações internacionais, de política externa e de diplomacia brasileira, com ênfase em políticas econômicas, em viagens, livros e cultura em geral. Um quilombo de resistência intelectual em defesa da racionalidade, da inteligência e das liberdades democráticas.
Este blog trata basicamente de ideias, se possível inteligentes, para pessoas inteligentes. Ele também se ocupa de ideias aplicadas à política, em especial à política econômica. Ele constitui uma tentativa de manter um pensamento crítico e independente sobre livros, sobre questões culturais em geral, focando numa discussão bem informada sobre temas de relações internacionais e de política externa do Brasil. Para meus livros e ensaios ver o website: www.pralmeida.org. Para a maior parte de meus textos, ver minha página na plataforma Academia.edu, link: https://itamaraty.academia.edu/PauloRobertodeAlmeida.
Livros de Milton Friedman, Amazon: Foco em Capitalism and Freedom (1962)
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The book is very broad in terms of its geographic and temporal scope. She draws examples from all of the major continents and over one thousand years of history. But she says that her standard description of pre-modern social orders is “largely based on the Old World civilizations from about 600 BC onwards, and it probably has a medieval bias.” (p. 170)
Crone’s thesis is that the preconditions for modernity included mechanized agriculture, energy-powered transportation, and long-distance communication. Without these, subsistence farming prevails rather than markets, long-distance trade is only in luxury goods, a common culture exists only among elites, and rulers have little contact with or control over the periphery of their domains.
Social stratification was relatively simple.
Crone points out that pre-modern peasants produce primarily for themselves, for subsistence. Modern farmers produce primarily for the market, seeking profit.
Within a village, very little trade took place, mostly in salt and iron.
Only luxury goods that were worth carrying for long distances, or that could walk themselves, were traded, and these were consumed only by powerful elites.
The low level of labor productivity precluded a labor market based on wages and voluntary agreement. Instead, slavery, serfdom, and government conscription (not just for armies) were used to obtain workers.
Rather than differentiate workers by skill,
In the pre-modern era, states were fragile, for a number of reasons. Agricultural societies were vulnerable to raiders, especially those on horseback.
The weakness of states,
To use James Scott’s terminology, “seeing like a state” was difficult to afford. This was exacerbated by the primitive means of communication that were available.
Pre-modern states had to rest on a narrow base of elite rulers.
The ruler’s control was tenuous.
Because there was very little state capacity, many functions that we now associate with the state were performed by autonomous groups. Law and order were poorly maintained.
Moreover,
One can compare this to the model of North, Weingast, and Wallis. Their state is a “limited-access order,” in which the rights to form political and economic organizations are closely held by the members of a ruling coalition. This “natural state” is not in principle one of low state capacity, which sets it apart from Crone’s pre-modern state. Where NWW describe limited-access orders as stable, for Crone,
David Goodhart’s distinction between Somewheres (closely tied to local areas) and Anywheres (cosmopolitan elites) seems to hark back to the pre-modern era, as Crone describes it.
The high cost of transportation meant that frequent travel was a luxury.
There was no national culture. The masses were sub-national. The elites were super-national.
Crone says that a pre-modern ruler had to forge and maintain an alliance that included church leaders, educational institutions, and the wealthy. In particular,
Thus, merchants were generally regarded as a threat. I would note that according to Deirdre McCloskey, overcoming the hostility toward merchants was a necessary step in creating the modern economy.
Religion could be a unifying force, because it was one of the few common cultural elements within a polity. But Crone also points out that by the same token many revolts took on a religious character.
Education was limited to the elite. But rulers needed to pay attention to educational institutions, because the elite were often the source of revolts.
There was no sense of exploration regarding knowledge.
Crone says that people conceived of society in hierarchical and holistic terms. For the whole to function, each individual had to remain in his or her proper place.
Pre-modern societies had very different marriage patterns than what we are used to.
Pre-modern societies also had a more central role for religion. Crone suggests as a possible explanation for this:
Crone also points out that religion was important because of its influence on behavior. She writes,
Years after Crone wrote, Joseph Henrich, Michael Muthukrishna and others called this way of thinking about genes and culture “dual inheritance theory.” Crone further writes,
Religion helps to promote this self-control. Furthermore, it helps to glue a society together.
Why did Western Europe enter modernity before India, China, or the Islamic world? Crone says that this transition took place because unlike in those other regions, pre-modern institutions in Western Europe failed. The stability that was preserved elsewhere was not maintained in Western Europe.
Western Europe’s pre-modern institution, feudalism, differed in some respects from the arrangements in other regions.
Also,
The relative independence of Western European peasants gave them more leverage. And their feudal lords had more leverage vis-a-vis their rulers.
This was not a viable order.
European rulers could not as easily tax land and agricultural products. So they had to tolerate the merchant class as another source of tax revenue. They could not arbitrarily exile merchants or confiscate their goods.
Crone notes that Europeans had a penchant for technology. She speculates that,
We think of the industrial revolution primarily in terms of its economic effects. But Patricia Crone’s book reminds us that the pre-modern world had a totally different cultural basis, including strict hierarchies and strong religious influence. It was an order based on social stability rather than prosperity. It was the collapse of this pre-modern order in Western Europe that ushered in modernity.
[1] Patricia Crone, Pre-Industrial Societies: Anatomy of the Pre-Modern World. Oneworld Publications, 2015.
*Arnold Kling has a Ph.D. in economics from the Massachusetts Institute of Technology. He is the author of several books, including Crisis of Abundance: Rethinking How We Pay for Health Care; Invisible Wealth: The Hidden Story of How Markets Work; Unchecked and Unbalanced: How the Discrepancy Between Knowledge and Power Caused the Financial Crisis and Threatens Democracy; and Specialization and Trade: A Re-introduction to Economics. He contributed to EconLog from January 2003 through August 2012.
Read more of what Arnold Kling’s been reading. For more book reviews and articles by Arnold Kling, see the Archive.
The book is very broad in terms of its geographic and temporal scope. She draws examples from all of the major continents and over one thousand years of history. But she says that her standard description of pre-modern social orders is “largely based on the Old World civilizations from about 600 BC onwards, and it probably has a medieval bias.” (p. 170)
Crone’s thesis is that the preconditions for modernity included mechanized agriculture, energy-powered transportation, and long-distance communication. Without these, subsistence farming prevails rather than markets, long-distance trade is only in luxury goods, a common culture exists only among elites, and rulers have little contact with or control over the periphery of their domains.
Social stratification was relatively simple.
Crone points out that pre-modern peasants produce primarily for themselves, for subsistence. Modern farmers produce primarily for the market, seeking profit.
Within a village, very little trade took place, mostly in salt and iron.
Only luxury goods that were worth carrying for long distances, or that could walk themselves, were traded, and these were consumed only by powerful elites.
The low level of labor productivity precluded a labor market based on wages and voluntary agreement. Instead, slavery, serfdom, and government conscription (not just for armies) were used to obtain workers.
Rather than differentiate workers by skill,
In the pre-modern era, states were fragile, for a number of reasons. Agricultural societies were vulnerable to raiders, especially those on horseback.
The weakness of states,
To use James Scott’s terminology, “seeing like a state” was difficult to afford. This was exacerbated by the primitive means of communication that were available.
Pre-modern states had to rest on a narrow base of elite rulers.
The ruler’s control was tenuous.
Because there was very little state capacity, many functions that we now associate with the state were performed by autonomous groups. Law and order were poorly maintained.
Moreover,
One can compare this to the model of North, Weingast, and Wallis. Their state is a “limited-access order,” in which the rights to form political and economic organizations are closely held by the members of a ruling coalition. This “natural state” is not in principle one of low state capacity, which sets it apart from Crone’s pre-modern state. Where NWW describe limited-access orders as stable, for Crone,
David Goodhart’s distinction between Somewheres (closely tied to local areas) and Anywheres (cosmopolitan elites) seems to hark back to the pre-modern era, as Crone describes it.
The high cost of transportation meant that frequent travel was a luxury.
There was no national culture. The masses were sub-national. The elites were super-national.
Crone says that a pre-modern ruler had to forge and maintain an alliance that included church leaders, educational institutions, and the wealthy. In particular,
Thus, merchants were generally regarded as a threat. I would note that according to Deirdre McCloskey, overcoming the hostility toward merchants was a necessary step in creating the modern economy.
Religion could be a unifying force, because it was one of the few common cultural elements within a polity. But Crone also points out that by the same token many revolts took on a religious character.
Education was limited to the elite. But rulers needed to pay attention to educational institutions, because the elite were often the source of revolts.
There was no sense of exploration regarding knowledge.
Crone says that people conceived of society in hierarchical and holistic terms. For the whole to function, each individual had to remain in his or her proper place.
Pre-modern societies had very different marriage patterns than what we are used to.
Pre-modern societies also had a more central role for religion. Crone suggests as a possible explanation for this:
Crone also points out that religion was important because of its influence on behavior. She writes,
Years after Crone wrote, Joseph Henrich, Michael Muthukrishna and others called this way of thinking about genes and culture “dual inheritance theory.” Crone further writes,
Religion helps to promote this self-control. Furthermore, it helps to glue a society together.
Why did Western Europe enter modernity before India, China, or the Islamic world? Crone says that this transition took place because unlike in those other regions, pre-modern institutions in Western Europe failed. The stability that was preserved elsewhere was not maintained in Western Europe.
Western Europe’s pre-modern institution, feudalism, differed in some respects from the arrangements in other regions.
Also,
The relative independence of Western European peasants gave them more leverage. And their feudal lords had more leverage vis-a-vis their rulers.
This was not a viable order.
European rulers could not as easily tax land and agricultural products. So they had to tolerate the merchant class as another source of tax revenue. They could not arbitrarily exile merchants or confiscate their goods.
Crone notes that Europeans had a penchant for technology. She speculates that,
We think of the industrial revolution primarily in terms of its economic effects. But Patricia Crone’s book reminds us that the pre-modern world had a totally different cultural basis, including strict hierarchies and strong religious influence. It was an order based on social stability rather than prosperity. It was the collapse of this pre-modern order in Western Europe that ushered in modernity.
[1] Patricia Crone, Pre-Industrial Societies: Anatomy of the Pre-Modern World. Oneworld Publications, 2015.
*Arnold Kling has a Ph.D. in economics from the Massachusetts Institute of Technology. He is the author of several books, including Crisis of Abundance: Rethinking How We Pay for Health Care; Invisible Wealth: The Hidden Story of How Markets Work; Unchecked and Unbalanced: How the Discrepancy Between Knowledge and Power Caused the Financial Crisis and Threatens Democracy; and Specialization and Trade: A Re-introduction to Economics. He contributed to EconLog from January 2003 through August 2012.
Read more of what Arnold Kling’s been reading. For more book reviews and articles by Arnold Kling, see the Archive.