The Enlightened Capitalist As CitizenPart Two

Attendance Taking (see note on attendance in syllabus for class rules)

ReviewThe environmentalism critique of libertarianism//The unparalleled clarity and
coherence of libertarianism one central value, simple model of separation of spheres//
Centering our discussion of right-wing liberalism around the question whether capitalists
need to be enlightenedthree dominant points of view on the issueneoliberalism and
conservatismsoldiers, entrepreneurs, and wealthy people as the focus for civic honor
within neoliberalismthe changed attitude toward selfishnessthe need to be
sophisticated about this (it refers to selfishness within a system of rules seen to be good).
The various meanings of the phrase free enterprise society. Enemies of enterprise. The
disadvantages of a welfare state.
A bit of Historical Background
The welfare state consensus1935 to 1980
Nixon as an example of thisa right winger forced to govern left
The New Deal and the Hamiltonian side of American politics
World War II and the Hamiltonian side of American politics
The idea of a social compact coming out of World War II to ameliorate the lot of
ordinary people who fought for a free world
Neoliberalism as a reaction to the new deal and the expansion of the welfare state
Walter Lippman as precursor to neoliberalismthe rejection of the idea of public
goods
University of Chicago as a center for American conservative thought
Milton Friedman Brief bio - PBS television series Free to Choosesome of his central
beliefscapitalism as a replacement for powerthe idea of a public good generated
from the bottom up through bargainingmarket transactions as an ideal of freedomthe
idea of Pareto optimalitythe expression of choice to market behaviorthe public good
is an emergent phenomenonthe government primarily negative except in its basic law
keeping functionsenforcement of contracts, police protection etc. Two reasons why the
free enterprise system is best: liberty is the most important value and the free enterprise
system protects it best. Also, Free market creates greatest good for the greatest number
and is thus justified on utilitarian grounds. Some concrete policy suggestionsbreak
government monopoly on schools and licensing, treat economic freedoms like
fundamental rights, shrink government and replace with the market wherever
possible.Friedman as representative of neoliberalismit is as a private citizen that one
does the most good, talk of the public sphere is outmoded, the government is primarily a
force for coercion and repression. Apart from basic issues of rights and the observance of
contracts is too much disagreement about what the good life might be for the government
to ever act in its nameall claims to speak in the name of the general will are really just
special interests.
Some questions for Friedmanis this meant as a description of reality, or is it meant
more as a model of what one would like to see, in other words is it primarily a form of
utopianism? Is it true that liberty is the only important value? Is it true that the closer we
get to the free market the better off everybody is? Friedman on positive economics and
model building.
A core claimdoing things to market forces is better than doing things the
government.
The influence of these ideas on practicethe privatization of railways and prison
systems, proposition 13 in California, shrinking funding for universitiesNew public
management (NPM) in the 1980s (be sure you can define what this is. [aside -The
importance of building up a narrative of the development of public service in the US as a
requirement for doing well in this class]
Corporate Social Responsibility- What is it? Some core CSR policies Two meanings
of responsibility in Friedmans work MFs argument specialization appropriateness
is this an ethical argument or a statement of fact? the division of labor between
business and government in this model businessmen abstain from political influence
because they have no right to exert it but we know this has no relation with reality so
is this just a form of utopian thinking? Is is just a model? Neoliberalism and the problem
of unclarity.
Further remarks about selfishness. The beauties of selfishness. Selfishness as mutual
benefit the right to be selfish the Canadian point of view libertarianism requires
more self-sacrifice than big government does and is therefore an enemy of selfishness
In praise of individualism on Standing Alone - Jason Kaufman versus Robert Putnam
Break out and Class Discussion What are some major US service deficits What are
some major US popular wellbeing deficits? Which of these can we imagine the Internet
helping us with? What could the government do more about? What just cant be helped?
(You can continue this discussion in your sections this week)
The Libertarian Caucus takes the stage (Group of 6-8 students who know something
about libertarianism and are willing to voice arguments in its defense assemble on stage
to make a libertarian caucus. Group of three is voted to speak each day and answer
questions from floor 1 and minute response maximum then people switch off once
someone has talked twice or has sat out two questions in a row - someone from the
broader libertarian caucus can tap in and take his or her place. We will follow the same
procedures later for the left-wing caucus and we hope to keep both groups in play all
quarter (though people can drop out if they want) Discussion
The Journal Question for This Week - The Silicon Valley Model of Pubic Service
Some general guidance for the journals from now on.
What is a model? How is the idea of a model used in economics? How does the idea of a
model, come up in political science?
Other things you can write about in your essay for this weekwhat is libertarianism?
What are its intellectual roots and precursors? Would it be right to call the Silicon Valley
point of view libertarian? What other adjectives besides libertarian might be used to
describe the worldview set out in the Packer article? Is it fair to describe Millennials as
mostly libertarians?
Alternative question for next week write on the Break out and Class Discussion
questions above.