As usual, these days, Paul Krugman is learning the wrong lesson.
All the President's Zombies
The lesson that Paul really needs to grapple with is, "Why is it that people seem to embrace Adam Smith's logic more than my own?"
And the answer is fairly straightforward.
Because Adam Smith was more on target.
And Paul, on this question and so many questions of the economy, is less on target. And though Americans may not understand that, completely, in the abstract, they do know what that means for their lives. Which is exactly why Smith believed that the free market allowed us to better account for both our successes, and, as we are facing this recession, our failures as well. Because, as Smith argued wisely, I believe, fundamentally, the people closest to their own economic choices are the ones in the best position to know what choices will or will not benefit their financial situations and their lives.
Not always, obviously. Noone, not even the great Paul Krugman, can possibly be right all the time (in fact, the truth is that I trust Paul less, frankly, in this respect, to get questions right, more often, than, say, Warren Buffet or others, because he lacks the humility to acknowledge when he is or might be wrong that stronger thinkers and actors must have to be stronger thinkers and actors).
But, over the long haul, the free market offers people better opportunities to learn better choices, even and especially from their mistakes, in a way that govermment power and regulation will never, ever be able to achieve, no matter the hubris of those clamoring for that power. Because it assumes that actors are in a position to know so unmistakably that they can impose their thinking, good and bad, and frequently bad, on a population more generally, even when it does great harm. And almost never do they admit that they were wrong.
At heart, that is what separates Paul from stronger thinkers. He just isn't willing to ever consider that he is wrong.
And how on earth could anyone ever become a stronger in their thinking if they are constantly defending how they are right without consideration of when and where they are or might be wrong? That kind of hubris belongs to many lesser thinkers. Which are exactly the sorts of folks who tend to run for office. But the most important insights come from those who seek to understand what they did not understand before. Which cannot happen when we are only looking to confirm our own thinking rather than considering ways it might be disconfirmed.
Disconfirmation is the heart of scientific and empirical knowledge. There is no science when everything is right. And, yet, not everything is right, no matter how loudly or consistently one argues it. There really are things that are and things that are not in the world. And, as a consequence, all of us, no matter how smart we are, are wrong, often. Probably more often than we are right, frankly. And the problem with politics, in the bigger picture, is that almost noone ever thinks they can be wrong. Which is a sure sign they are, for anyone who knows the difference.
The truth is that greater freedom, in general, and free markets among those freedoms, is exactly what has been the truest sign of progress in both liberal societies and illiberal societies, which is why we call them liberal societies. Because their liberty has made possible their progress. To say that less freedom makes for progress in a liberal society is very much like saying greater illiteracy makes for progress in a literate society. It is logically inconsistent and demonstrably wrong. Except when people are trying to defend their mistakes. Which is exactly why Paul cannot see his error, here. But his error exists quite apart from his judgment of his error. Nobel prize and all.
The historical legacy of 20th century progressive ideology is a complicated and mixed legacy of commitments to good purpose and freedoms that have improved the lives of many people, compromises that have improved lives temporarily, even when they are poor policies for the longer term, and, as with conservativism and most ideologies of power, a darker and more arrogant legacy of manipulation, bullying, distortion and dishonesty that can only honestly be called abuse of power.
Lord Acton was right. Power corrupts. No matter the ideology. And the reason it corrupts, as the context of that statement demonstrates - Acton was criticizing Pope Pius IX for his doctrine of "papal infallibility" - is because people who are afraid to admit their failures, in their use of power distort, and manipulate, like anyone else, to avoid acknowledging them, generally, for the same reason, which is to avoid consequences or the harsh or hurtful treatment of others. Except they do so with the power of coercion or other means of manipulation - say, controlling both Houses of Congress and the Executive Branch or the prestige of a Nobel Prize - over and with others to maintain the dishonesty.
It's ugly, this game. This game with high stakes where noone ever acknowledges responsibility or that they are wrong. And where doing so is equated with weakness to cover for the cowardice that defends it. Hitler told that same lie - that admitting mistakes or vulnerabilities was weakness and that tough and aggressive policies were strength - his entire career. And he, like its proponents today, lost that gamble. He lost the war and, ultimately, his life. He lost everything by the end. No matter how aggressive he became.
It is a game played by power players since the beginning of time. It was why Hitler argued in quite serious and extensive terms why he would never admit if he was wrong. And it was the rationalization that propped up Soviet and other forms of Communism for so many years. And it is the basis for despotism, terrorists, and other power-consumed players on today's stage, as well. And always has been.
And illiberal folks in liberal democracies have gambled that they can engage in the same distortions in a free society and be successful.
And they are losing. In spades. Left and right. And it serves them right.
And that is the lesson that Paul Krugman is missing, right now. Because he is too invested in defending the mistakes of his ideology and ideological brethren. Even when doing so serves neither him nor any of us.
It is a foolish, foolish game that we play with ideology. And worst of all, it is all for naught.
Because the notion that any ideology or group or even any individual could ever have all the right answers on all of our most important questions is not just wrong, it is a logical and empirical impossibility. It is a fantasy with not one cintilla of historical or empirical evidence to support it. And the aggression involved with seeking and defending power in this discussion undermines a more honest, empirical discussion of what policies do and do not attain the goals we seek and do and do not serve us. It takes a serious discussion of a reality that clearly exists quite apart of our opinions of it and turns it into a spectator sport based on nothing more than defending a team whose premises are half-true, at best. And probably less, given how much more there is to know about the world than what any partisan or even any nonpartisan could ever know in a lifetime. And sometimes, in the case of Nazis and Communists, it is a high-stakes and terribly tragic game premised almost wholly on lies and the pursuit of power at all costs.
Warren Buffet is wrong about much, he would readily acknowledge. But the reason I trust him, more, is because he knows and admits that, readily, and does not pretend to have answers he does not (or at least he makes a better attempt to avoid doing so).
Buffet is in good faith.
Paul Krugman is not. Which is why I trust him so little. Because he has earned my mistrust. Because his dishonesty and manipulation are embedded in his ideological outlook. And are the reason why Paul cannot see his mistake here. Because Paul will, likely, never - save for some serious rethinking - acknowledge any serious mistakes of any kind in an ideology that he accepts without any critical consideration.
Warren is more honest. Paul is not.
And that, like much of what Paul writes these days, is why Paul cannot see his mistake no matter how clearly the writing on the wall is.
It's not personal. It's just a mistake. But, in Paul's case, it's a very serious mistake borne of a stubborn refusal to ever admit error.
And no matter how smart someone aspires to be, that, really, is the most important mistake that one can make in a lifetime.