consultants are sandburs

Wednesday, September 18, 2013

“markets work, morals matter, America must be strong in the world”

A Residual Forces retrospective post, with the headline in quotes within Andy's post.

Whatever happened to "God, Gays, and Guns?" Times change?

That was a 2007 post from Andy live-blogging a presentation gala by the propaganda mill now handing out today's present Scott Honour candidacy. McFadden likely agrees.


But is the headline's simplistic motto somewhat out of tune with the Ron/Rand Paul faction's

markets work, you deserve Liberty, America has no manifest destiny to police the world

SO - What will have traction in the 2014 primary election among our Republican friends? We wait to see.

____________UPDATE_____________
To be clear, markets don't work. Laissez-faire economics, when tried, has been a failure. A cyclical disaster, because market forces, undamped, run amok and cause havoc. Behavioral economics is a discipline that has grown because the classical capital asset pricing model - the random walk - rational investor public with perfect knowledge - model has proven inadequate, there being herd effects, overreaction, insider profit taking or dumping, and, the yin-yang between bull-and-bear collective market mental states is real. Momentum and latency are contributing forces making cyclic boom/bust worse than if we apply damping (countercyclical) forces against irrational exuberance or irrational despair. Contrarians are a good thing. The "markets work" is the unifying fictional thread our Republican friends want to sell you, while manipulating as best they can for profit, the markets they are selling and touting. Having "us" believe markets work is a most important thread tying together the entire "big tent," it is the big lie of the whole big tent.

___________FURTHER UPDATE____________
More on the "markets work" myth, some directions of those asking how/why do markets work as they do; this link, which links over to "scholarly" work where you can access the two featured "studies" going beyond the rational choice theory of market perfection in pricing that which is available in a market; here and here. It seems many have a vested interest in promoting a general belief that markets work, while intent on themselves working the markets. They want to do what they do, they do not want "transparency," or sunshine on what they are doing, and they surely do not want angry mobs with torches and pitchforks in pursuit over what they've been doing [Tea Party bleating is different, okay, so long as they vote right when told to - sheep bleat, but do not effectively resist shearing].

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