

































I’m not going to name names here but this follows upon the issues raised by Stephen Meardon that I discussed in this post: What bravery looks like in the modern age. The following note was sent to me offline – that is, not through the Society website but to myself and a colleague personally. This was from Professor “A”.
I sent the following message to Steve Meardon. Meant to copy you two but forgot at the last minute. Hence the reason I’m resending it below. By the way, I agree with your splendid SHOE posts. They make excellent points. Here’s the resent message.
I fear that if HES gets involved in cultural/social issues, attention to economic analysis and its historical development will fall by the wayside. Everybody will be writing articles about racial and gender discrimination. None will be writing on the birth and evolution of basic, formative concepts of economics. Our journals will be filled with complaints about cultural & social bias to the exclusion of economic analysis. One won’t even have to know any economics to write such pieces.
A similar experience happened in the field of English Lit when the gender/racial crowd co-opted it. The field’s journals became filled with pieces on discrimination rather than on literature. I fear a similar outcome might happen to the history of economics.
I say the above even though I support the Black Lives Matter and similar social protest movements
My colleague then replied to the both of us. This is from Professor “B”.
Many thanks for sharing your comment with me. I think the whole list needs to hear your voice.
I tried in my comments to stay within Steve Meardon’s outline — warning about the danger of straying into a cultural/social debate. Otherwise, I would have pointed out that black lives matter to those chanting the slogan only if they are taken by the police. Clearly not all black lives matter to them. The number of blacks that die at the hands of the police in the US is minuscule compared with the number of blacks killed by other blacks. Either from ignorance or cowardice, the HES statement is silent about that; several others do the same. Some of the BLM leaders also publicly have stated that they’re “trained Marxists.” The Marxist-inclined among us may appreciate the BLM cause. I fear the outcome of their success.
There is no excuse for the cowardly act of officer Derek Chavin killing his part-time, night club co-worker who was handcuffed at the back, lying face down, and had two other officers restraining the rest of his body. The killing has been roundly condemned by all and the officers will face justice. For the BLM movement to have taken advantage of the horrific incident to launch their assault on governmental institutions in America in pursuit of their Marxist social agenda appears duplicitous to me.
Imagine if I’d said the above in my HES comments.
Best regards.
This was the reply received from Professor “A”.
Many thanks for your fine, informative response. I’ve already heard the points you make, but usually from Caucasians. Coming from that source, the points always appeared suspicious and specious to me. It was as if they were made-up-on-the-spot special-pleading arguments designed to de-legitimize valid social protests. But coming from you, those same points take on a validity, impact, and immediacy that I hadn’t considered before. Many thanks for enunciating them and making me consider them afresh. There is much to them after all.
Your message teaches that it’s always best to get the perspectives of many different observers before forming an opinion of one’s own. That indeed is a valuable lesson. Thanks again for reminding me of it.
And now I have replied to both with my own take of this all.
I appreciate both of your letters, with “B” particular writing to “A” with myself mostly just copied in. And the fact is that no one can or does live anyone else’s life and knows what it is like to be who they are. And as with “A”, I am grateful to hear “B”‘s views since he, at least, cannot be accused of ignoring these issues because they don’t involve him directly.
These are not issues I ever write on or have been central to any of my work or research. And for what it’s worth – next to nothing in my view – I was brought up during the efforts to desegregate the American south and even remember Brown vs Board of Education which occurred in 1954, an extremely important moment in my own conscious life. I grew up through the period of these demonstrations and participated in them, to the extent anyone in Canada might ever have done so. No one, in my view, brought up during that period can be anything other than someone who entirely supports and believes in equality and human rights.
No one can claim that racism no longer exists, but what can be claimed, and I do claim it, is that racism as an active agency has virtually disappeared within the civilisation of the West. Virtually everyone who is raised in any society that has originated in any of the European countries of the sixteenth century and their “colonial” offshoot societies, is today as free from prejudice and bias as it is possible to be. We are societies in which individual rights are sacred and no one is handicapped due to race, religion, skin colour, gender or sexual orientation. And if I am not using the proper terminology for such discussions in the modern world, well so be it. Institutionally – that is, according to the laws of every one of these societies – everyone is encouraged to reach their full potential as human beings. Any possible social bias has been rooted out of every piece of legislation. Beyond that, all of this is taught as the straightforward core ethic of our societies.The virtue signalling that came from the statement put out by the HES executive is not leading the way, is not advancing an unknown opinion, but is stating no more than what every one of its members already believes in their heart of hearts. But, as Steve Meardon pointed out, saying so in words does not take us forward, but backwards. Rather than letting things be as they are, by making the statement there is now obvious pressure being put on our society and its members, and the editors of its journals, to do something, and whatever something that is done, will move us away from being what we already are, an open community in which merit is the sole criterion of the work any of us put forward for judgment. There will now, inevitably, be efforts made to ensure that publications occur in relation to criteria unrelated to their academic merit, but are instead related to the personal characteristics of their authors. We are corrupting our own values supposedly in the name of our own values. No good can come from any of this.
It is the values of the Enlightenment that are most deeply embedded in the societies of the West, but they are, like our free market economic system itself, spreading outwards and across the globe. This is a wonderful thing, and I find it a hopeful change that will spread everywhere during the next century. By accusing the United States of some invisible latent racism will only aid the enemies of our Western way of life and undermine the ability to achieve the kind of societies we are all aiming to live in.
My kindest best wishes to you both.
Steve
“His legacy is the rich promise of social reform.”
And this is what we should put on the monument, all taken from Wikipedia.
Between 1997 and 2005, he was convicted of eight crimes; in 2009, he accepted a plea bargain for a 2007 aggravated robbery, serving four years in prison. In 2014, he moved to the Minneapolis area, finding work as a truck driver and a bouncer. In 2020, he lost his security job during the COVID-19 pandemic.
Floyd had five children, including two daughters (ages 6 and 22) in Houston and an adult son in Bryan, Texas. [No mention of a wife.] A former partner lives in Houston with his youngest daughter. He also had two grandchildren. A GoFundMe account to defray Floyd’s funeral costs and benefit his family broke the site’s record for number of individual donations.
On May 25, 2020, Floyd was arrested after allegedly passing a counterfeit $20 bill at a grocery store in the Powderhorn Park neighborhood of Minneapolis. He died after Derek Chauvin, a white police officer, pressed his knee to Floyd’s neck for nearly eight minutes during the arrest.
The Economist, which made Floyd its June 13 cover story, said that “His legacy is the rich promise of social reform.”
AND FOR CONTRAST YOU MIGHT READ THIS: Do all black lives matter to BLM? with this as the subhead.
‘That was my son’
It seems but only for a moment that Catallaxy has gone over to the History of Economics. And while I was contemplating all this in that little discussion on Schumpeter here and here, which had followed my own postings on Mill and MMT, this arrived in my email inbox:
The undersigned officers of the HES condemn the deaths of Black people in police custody and the systemic racism that permits political, economic, social and physical violence. We acknowledge our special responsibility, as historians of economics, to educate ourselves and others about the roles played by racism, colonialism and other forms of bias in shaping the concepts, practices, agendas and professional institutions of economists and social scientists throughout history.
The pursuit of historical knowledge leaves no room for the silencing or marginalization of any individuals or communities. Therefore, we commit ourselves to taking concrete steps to foster diversity and inclusion in our Society and its activities. We pledge to support and encourage scholarship that brings new frames of reference to the history of economics. We will listen respectfully, engage honestly and amplify the voices of those who draw our attention to the ways that biases are perpetuated in our Society and our discipline. We will build on efforts to diversify our program and awards committees and the editorial board of the Journal of the History of Economic Thought, and we will encourage journal submissions that bring new perspectives to the past.
We commit to using our journal, conferences and other resources to further these important lines of inquiry. We will encourage critical conversations about our methods and practices that open our discipline to histories that have so far been ignored. We pledge to educate ourselves and to curate critical reading lists that support inclusive curricula, and we ask other historians of economics to make a similar commitment. We look forward to the development of richer and more comprehensive histories of economics.
Marcel Boumans, HES President plus eleven others.
I would never sign such a document, but then I am off in Australia and my career is done and dusted. But just now there is this rejoinder from Stephen Meardon, who is young, in mid-career and the immediate past editor of the Journal of the History of Economic Thought. This is truly brave:
I am sure the HES Executive Committee makes this statement with no intention of taking a side in the US culture war. But that is what it does. And it does no good for the HES.
People have been killed in the custody of US police, some of them egregiously. What the killings signify in some cases is not largely contested. In others it is. What they signify on the whole is contested very much.
Systemic racism? One can make an argument. I can see it. Why is the History of Economics Society, whose mission is to advance inquiry into the named subject, advancing this extraneous and contested argument?
We have a good thing going in our society. An uncommon thing. Scholars with different ideological, methodological, and other convictions communicate openly, learn from one another, and take pleasure in each other’s company and conversation despite their disagreements. Indeed because of them. It works because the HES does not suffer from the we- all-agree syndrome that plagues other scholarly societies and US academia at large. Which happens in good part because the HES sticks to its mission.
You and I just might have an interesting conversation about systemic racism in the United States — why you think it is the salient problem, why I think not. The kind of conversation that has been commonplace in HES coffee breaks and serendipitous hallway encounters for the couple decades and more that I’ve been involved. That conversation will be less common after the HES has decided which of us is right. Try thinking how frequently and freely you’ve heard such a conversation on any US university campus of late.
The scope of permissible conversation in US academic life is narrowing. If there is a salient social problem in the United States that relates to the mission of the HES, that’s it.
The HES has been an academic oasis where the range of values and scope of conversation is great. I hope the HES Exec. will take care in the future to preserve it.
Stephen Meardon
Bowdoin College
A brave brave statement which I could not agree with more.
I HAVE NOW WRITTEN TO THE SOCIETY TO SUPPORT STEVE MEARDON: This is what I wrote:
I would just like to add my own words of support to Stephen Meardon’s comment.
In the modern world as it now is, these are astonishingly brave words.
I agree with everything he has said.
Steve Kates
RMIT University
Melbourne Australia
From this: Orwellian: Teacher Blames ‘Western Imperialism,’ ‘Colonization’ for Concept of 2+2=4 – How do such people get by just day to day?
To this: which is another reason to understand how maths work: God And Mathematics Are Why The Universe Adds Up.
`
With my thanks to Tony.
And Tom Cotton for VP. Watch it through. If you start, you will get to the end, and it is half an hour long.
She gets it in a way almost no one else does, other than Donald Trump. And the “it” that she gets are the principles of both political freedom and economic freedom and how these should be melded into dealing with the Covid-1984, What’s more, with her you get Donald and Melania all in a single package.
Watch the vid and then check out its source: POSTED ON JULY 8, 2020 BY JOHN HINDERAKER IN CONSERVATISM, CORONAVIRUS, REPUBLICANS CHECK OUT ONE OF THE GOP’S BRIGHTEST STARS.
Copy to Scott Morrison, Daniel Andrews and especially Michael O’Brien (who?). O’Brien especially needs to learn the principles necessary to make the case against Dangerous Dan. As for Scott, see CL on Speak for Yourself.
There are a lot of cranks in economics, and it only gets worse all the time. I have been sent a copy of this editorial in The Oz yesterday which is a reminder of just how off the rails economists are: The promise and pitfalls of Modern Monetary Theory. The final para:
MMT certainly has theoretical appeal, even for rational, hard-nosed economists. It’s axiomatic there is no budget constraint in such a model. But we live in a complex, even messy world. Imagine telling a populist National, a clueless Green or a Labor class warrior there is no spending limit. How can you hope to manage the economy? … As an analytical tool the theory has merit. But with printing money in the real world, there is a day of reckoning or just a long stagnation. Our income can never be guaranteed, so we need to earn and pay our way.
They seem to come down against it, but only just, and hardly in a way that might alert you that any genuine application of MMT will wipe out cash-denominated savings, along with driving our economy into a wasteland of unproductive outlays. Living standards would be guaranteed to crash. Yet with government debt that way it is everywhere, why not just print the stuff up. No political leader lasts for ever. Leave things to the next lot to fix.
Economists once understood what the problem with such an approach actually is, as discussed in my Classical Economic Theory and the Modern Economy. As discussed at length within the book, until 1936 economists always first thought about the real economy and then, but only then, brought in money at the end. Here is the turning point in economic theory. From The General Theory itself where the approach taken by Mill is to examine the issues in relation to commodities and not money.
In J. S. Mill’s Principles of Political Economy the doctrine is expressly set forth:
What constitutes the means of payment for commodities is simply commodities. [That’s Say’s Law, by the way.] Each person’s means of paying for the productions of other people consist of those which he himself possesses. All sellers are inevitably, and by the meaning of the word, buyers. Could we suddenly double the productive powers of the country, we should double the supply of commodities in every market; but we should, by the same stroke, double the purchasing power. Everybody would bring a double demand as well as supply; everybody would be able to buy twice as much, because every one would have twice as much to offer in exchange. [Principles of Political Economy, Book III, Chap. xiv. § 2.]
…
Contemporary economists, who might hesitate to agree with Mill, do not hesitate to accept conclusions which require Mill’s doctrine as their premise. The conviction, which runs, for example, through almost all Professor Pigou’s work, that money makes no real difference except frictionally and that the theory of production and employment can be worked out (like Mill’s) as being based on ‘real’ exchanges with money introduced perfunctorily in a later chapter, is the modern version of the classical tradition.
I might add that money was hardly introduced “perfunctorily”. Mill even explicitly states the quantity theory of money. Virtually no one today any longer thinks in real terms. In fact, virtually no one, especially economists, even know how to think in real terms – they think they do but they don’t. It’s why they are incapable of understanding even the basics that were once universally taught and understood. That is why our economies are heading straight for the rocks.
I do have to say I am pleased to learn there is still an Opposition party in Victoria. The following is from Tim Smith, the Liberal member for Kew. There is an awful lot there that you normally never hear about that really is sickening. From The Oz, in full because you need to read it all to believe it.
Victorians are officially the pariahs of the nation, with NSW closing the state border. We Victorians are literally banned from the rest of our country. The border closure is a stiff economic penalty for regional communities along the Murray River, which are being punished for the negligence of Daniel Andrews and his ministers to manage hotel quarantine.
We also have 3000 residents of nine public housing estates under house arrest and the rest of our suburbs and an adjoining shire back to stage-three lockdown because Andrews decided to use bouncers who fraternised with returned travellers in quarantine and spread the virus into the northern and western suburbs of Melbourne. The government proposes replacing private security with a mixture of prison officers and laid-off staff from Qantas and Jetstar to manage the mess. You couldn’t make this up.
The commonwealth offered the deployment of the Australian Defence Force, for free, to the states for the task of managing hotel quarantine. Every state that accepted this offer has not had one single transmission of the virus.
For ideological reasons Andrews’s gang-of-eight COVID cabinet refused the commonwealth offer, instead hiring private security. This turned into a fiasco with national implications and the three ministers responsible — Martin Pakula, Jenny Mikakos and Lisa Neville — should all have lost their jobs. It goes without saying that the Premier should resign.
In any case, why was Pakula, the Jobs Minister, and his department put in charge of co-ordinating hotel quarantine? Here’s a clue: many of the untrained and ill-equipped private security guards are members of Pakula’s union, the NUW/United Voice.
Equally odd was a sequence of events from June 25 when a panicked request was sent by the Victorian government to the ADF for immediate assistance with hotel quarantine. The next day Defence Minister Linda Reynolds told Melbourne radio: “Last night we received a request from the Victorian government … we’re looking to rapidly mobilise 1000 ADF personnel to be on the job from tomorrow in support of Victoria.”
By the following day, that request had been rescinded. A ludicrous turf war had erupted between the Police Minister and the Health Minister, and finally Andrews caved in. Yet on July 1, when Neville fronted Neil Mitchell’s 3AW radio program, he asked if “at any stage early, was it ever discussed, the possibility of bringing in the Australian Defence Forces to run quarantine, as happened in NSW?”. She said “no”. Surely she knew this was not correct, and if she has misled voters she should resign or be sacked.
Senior Department of Health bureaucrats, including Chief Health Officer Brett Sutton, were warned of problems with hotel quarantine as far back as April but Sutton distanced himself from it.
“It (the decision) wasn’t mine, I haven’t been involved in the governance and operation,” he has been quoted as saying. “But it was jointly oversighted by emergency management within the Department of Health and Human Services, Emergency Management Victoria and Department of Jobs Precinct and Regions.”
Health Minister Mikakos and Pakula — jointly responsible for this fiasco — should resign, but no one in the Andrews government is willing to take responsibility for this recklessness. There is an inquiry being undertaken by a former judge — a political tactic to deflect questioning, and the findings won’t be known for months.
The Jeff Kennett-led Liberal Party won the 1992 state election with the slogan the “Guilty Party”. Back then Labor had bankrupted the state and trashed its reputation. Fast-forward 28 years and this state Labor government has done it again. It is guilty of this second wave of COVID-19 and Labor’s negligence will set our economy back years.
And as hard as it is to believe, the Daniel Andrews lot is even worse than the last lot. And the damage will be even greater this time than last time.
I’ve just started writing a children’s book whose first line reads:
“Daniel was the dumbest kid in his class.”
From there it just seems to roll along. My aim is to immortalise incompetence. Victoria may be one of the few jurisdictions in the world that has had to ramp up its restrictions. Certainly no one else in Australia has had to. What an unbelievable buffoon! And so far as I can tell, he accepts no responsibility for any of it. He should at least say something along the lines of how sorry he is. No chance of that!
But what remains worst of all, most people seem grateful.
LATEST NEWS: Victoria lockdown may cost $1bn a week! How do such people get elected?