Using interview data collected in the Gulf Coast following Hurricane Katrina, the authors argue and describe how meaningful social bonds that emerge out of and are facilitated by commercial activity as well as the social spaces provided by commercial entities can facilitate community rebound after a major disaster.
Economic theory and reality demonstrate that privately enforced property rights can and do emerge under terrestrial anarchy, suggesting that private enforcement can also sustain a property rights regime under celestial anarchy. Economically, at least, celestial anarchy is no threat to flourishing outer-space commerce.
Coercive government actions that target another country often act like a boomerang, turning around and knocking down freedoms and liberties in the “throwing” nation. Two developments in the United States illustrate the boomerang effect: the rise of government surveillance and the growing militarization of the police.
In the developing world, kidnapping is relatively common, and a market for kidnap insurance has arisen in response. We provide a model that allows us to analyze how kidnap insurance affects the interaction between the kidnapper and the victim’s family when both are self-interested and have complete knowledge.
The science of economics is born out of the puzzle that the coordination of economic activities presents to our imagination. The solution to that puzzle is the entrepreneurial market process. Israel Kirzner has argued that the market economy operates with ruthless efficiency to coordinate economic activities and realize the gains from social cooperation under the division of labor because of the institutional framework within which it operates, namely private property rights.
This paper examines how pre-disaster systems of self-governance aid in post-disaster community recovery. Our analysis focuses on the Mary Queen of Vietnam (MQVN) community and Gentilly, examines the effectiveness of their systems of self-governance prior to Hurricane Katrina and explores the role these systems played in promoting community recovery after the disaster.
James Buchanan argued that the role of the political economist is to “stress the technical economic principles that one must understand in order to assess alternative arrangements for promoting peaceful cooperation and productive specialization among free men.” Although Buchanan is never mentioned in Mass Flourishing, Edmund Phelps, a Nobel laureate in economics, embraces this role of the political economist in analyzing the positive and normative implications of modern economic growth that began in the West during the early nineteenth century.
Mired in the imaginary world of long run equilibrium, mainstream neoclassical economics is oblivious to the obstacles that stand in the way of successful social cooperation. Its arid mathematical models, engaged in an in-depth analysis of a world where the economic problem has already been successfully resolved, simply assume away the problems that any economy faces in achieving an optimal coordination of means and ends.
The Genesis and Ethos of the Market asserts that virtue is not inconsistent with economic liberty. This raises the question about the relationship between virtue and economic liberty addressed in the “Civil Economy” tradition of the Neapolitan Enlightenment.
Mercatus PhD Fellow Vipin Veetil, along with Akshaya Vijayalakshmi and Srikanth Viswanathan, address Amartya Sen's criticism of cash-transfer programs such as education vouchers in the Wall Street Journal.
While the "invisible hand" argument was initially focused on the ability of commerce to generate cooperation and ameliorate conflict among strangers, it gradually came to be exclusively associated with a sort of ruthless efficiency and the obtainment of optimality conditions. The authors attempt to recapture the doux-commerce thesis and its relevance for contemporary debates over commerce and culture.