"...Clearly, they should have followed Adam Smith’s advice. He got it right.
Individual freedom in economic life leads to economic progress. So if
you care about growth and prosperity, you can’t ignore the importance of
Abolishing student aid could force schools to lower prices By Holly Jean Soto
Abolish government financial aid for students.
My dear friend, who is a statistics major and a government-aid borrower, is fearful of this statement.
"Don't try to get rid of that," he says. "I need that money for school." What he fails to realize, as I am sure many other student federal-aid borrowers do, is that getting rid of aid would improve the lives of American students today.
The first harsh reality that student borrowers fail to see is that any
government giving begins with....
"Men naturally rebel against the injustice of which they are victims. Thus, when plunder is organized by law for the profit of those who make the law, all the plundered classes try somehow to enter-by peaceful or revolutionary meas- into the making of laws." -Frederic Bastiat, The Law
Most of us overlook our pocket change. We allow it
to accumulate, and then get rid of it as fast as we can. Not a lot of value is
placed on U.S. coins, but by reading this post, you might find yourself paying
closer attention to your coins.
U.S. quarters, dimes, and half dollars teach us
something about Gresham’s Law. American Economist, Murray Rothbard, defines
this law as types of money with conversion ratios that are specified by legal
tender laws, and are therefore different than their market value.
Specifically, when coins contain metal of different
value but are given the same legal tender value, the coins made of the cheaper
metal remain in circulation as they are continually used as payment.
Simultaneously, the coins made of the more expensive metal are taken out of
circulation by individuals who hoard the under-valued money.
The fascinating thing about US quarters, dimes, and
half dollars that further exemplify Gresham’s Law, is the
fact that these coins were made out of 90 percent silver, prior to 1965. (Yes,
our coins used to be more than just hunks of metal used as legal tender).
Unfortunately for the American people, supply of silver decreased, caused prices
of silver to soar, and ultimately caused the U.S. government to take step in.
The U.S. government’s solution was to substitute
nickel and copper for the silver that was originally used in our dimes,
quarters, and half dollars.
Following the year 1965, coins contained no valuable
silver content in them.How did this
come to be?Our beloved government
substituted silver with nickel and copper, in dimes, quarters, and half dollars,
cheating Americans of there once valuable coins.
So what happened to all those silver based coins?
People who knew of this substitute, hoarded silver coins and used the new
copper-nickel based coins for their everyday transactions.Take a look at your pocket change next time;
it is rare to find quarters or dimes minted earlier than 1965. But in case you
do find them, congratulations! You have struck gold…I mean silver.
Leo Leksangis an aspiring Econ Student and sophomore at George Mason University. View his post in the 'GMU Undergraduate Contributions' Tab above.
"The consumers suffer when the laws of the country prevent the most
efficient entrepreneurs from expanding the sphere of their activities.
What made some enterprises develop into big business was precisely their
success in filling best the demand of the masses." - Ludwig Von Mises
we would save $41.3 billion every year by ending the war on drugs. That’s tens
of millions of man hours in investigation, office work, and court appearances
for drug cases. We are choosing to direct these law enforcement resources to
crimes other than rapes and murders, only to end up arresting and incarcerating
large numbers of nonviolent offenders. Worse yet, the war on drugs doesn’t even
of drug arrests are for simple possession. That’s millions of people in the
system who never restrained, assaulted, killed, or abused another person. And
despite the money and time spent, it’s never been easier to buy drugs."
can also go even farther by fixing other preexisting policies that distort
peoples decisions in the health care market. There’s the enormous amount of
regulation in the health insurance industry mainly at the state level. None of
that makes any sense. There’s enormous amount of barriers to entry preventing
people from practicing medicine who are inimitably qualified to practice medicine,
or be nurses, or make medical devices, and so on, none of that makes any sense,
that raises costs, makes medical care more expensive andmakes it less efficient for everyone to be
able to get good quality medical care at reasonable prices."