Brian Domitrovic reviewsThe Battle of Bretton Woods in our Books section this week, and alerts us to a side of Keynes you may not have seen before. Domitrovic notes as well that the strength of the IMF only grows with each international financial crisis. The IMF never lets a crisis go to waste.
Scrooge and Ropke collide over the limits of economics. Ropke, the Austrian economist, whose policies we’ve explored at some length at Liberty Law Talk, believed that economics emerged from a nation’s character, culture, and political philosophy. Economics was one of several goods within a free society that had to be balanced and weighed with various other commitments. This was common sense born from his experience in watching Germany go to war in World War I and his flight from Germany with the fall of the Weimar Republic. In both instances, Ropke believed, the economy had not reinforced the overall sense of independence of the people. Political economy would need better thinking to sustain it within representative democracy. Later, he returned to helped build the postwar West German miracle.