Re:Follow the money: Apple vs. the FBI
by pdonis on Monday March 28, 2016 @11:21PM
(#11379276)
> In order to try to control the economy, some regulations and incentives were put in place.
Again, I agree that this was the ostensible purpose. But it only makes sense on the assumption that it is possible to control the economy in the first place; and that only makes sense on the assumption that economics is a precise enough science to be used for such control. I suppose it's possible that central bankers in 1913 actually believed that, but it seems highly unlikely to me. It seems far more probable to me that they knew they were essentially selling snake oil; but of course they weren't going to say so. They were tired of the government coming to them for money every time there was a financial panic, so they decided to do something about it, and if that meant selling snake oil packaged as "regulations and incentives to control the economy" to politicians who didn't know any better anyway, so be it.
> There's always winners and losers in any controlled situation
You're ignoring the alternative of a non-controlled situation, i.e., a free market that treats money just like any other commodity. There will still be winners and losers in such a situation, but it would be impossible to attribute that to the control preferentially advantaging some parties over others, since there would be no control to begin with.
Again, I agree that this was the ostensible purpose. But it only makes sense on the assumption that it is possible to control the economy in the first place; and that only makes sense on the assumption that economics is a precise enough science to be used for such control. I suppose it's possible that central bankers in 1913 actually believed that, but it seems highly unlikely to me. It seems far more probable to me that they knew they were essentially selling snake oil; but of course they weren't going to say so. They were tired of the government coming to them for money every time there was a financial panic, so they decided to do something about it, and if that meant selling snake oil packaged as "regulations and incentives to control the economy" to politicians who didn't know any better anyway, so be it.
> There's always winners and losers in any controlled situation
You're ignoring the alternative of a non-controlled situation, i.e., a free market that treats money just like any other commodity. There will still be winners and losers in such a situation, but it would be impossible to attribute that to the control preferentially advantaging some parties over others, since there would be no control to begin with.