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In fact, campus-carry supporters maintain that the law will keep the peace, enabling students and faculty to defend themselves effectively, and deter would-be shooters.

It turns out, for example, there were armed students at Umpqua Community College in Oregon on the day of its shooting last fall. Their presence did not deter the attack, nor did they halt it; the students wisely decided not to jump into the fray for fear it would compound the mayhem.

Stand Your Ground laws protect citizens from prosecution in cases where they feel threatened in public, and fire their weapons.

It’s unclear whether campus carry does and will in fact undermine the freedom of expression, but if there’s one place in society where the citizenry must not tolerate such threats, it’s the college classroom.

Few young adults have put significant thought into these kinds of issues; they must experiment with them to understand them properly and deeply, and to develop mature and critical views.

Will guns encourage speech and invite people to discussion and debate in the classroom?

In short, they argued that guns in the classroom pose an intolerable threat to free speech.

Gun owners have shot and killed unarmed citizens—and sought Stand Your Ground protections—in cases in which they misjudged or overestimated the threats before them.

In 2014, a Montana man invoked Stand Your Ground after he shot and killed an unarmed German exchange student trespassing in his garage.

One University of Houston professor, Maria Gonzalez, expressed her concerns over campus carry in the context of her own classes, which cover Marxist and Queer Theory.

Expansions of civil rights are almost always deeply unpopular at first; this was the case in the fight for women’s rights, suffrage for African Americans, and marriage equality for gays and lesbians.

I fear that campus carry will make students and faculty less inclined to engage in the critical intellectual work that must take place in the classroom, the courageous inquiry and experimentation American democracy requires.

It’s impossible to measure the cost of campus carry. But I wager that the cost will be evidenced in the mounting silence on college campuses, and the trepidation, timidity, and lack of creativity among new generations of voters. American democracy will be the poorer for it.

“I always thought of being here in the United States as a resident, living permanently here,” the slight 62-year-old grandfather, speaking through an interpreter, said at a hearing five weeks later.

The immigration officer was unmoved. He did not see an exiled family man — just someone who had no visa, worked for the Castro government and could pose a security risk.

“It is ordered that the applicant be excluded and deported from the United States,”

As he campaigns for president, Mr. Rubio, a Florida senator, says that the United States cannot accept refugees from Syria and Iraq because of the potential security risk

has called for a tightening of immigration law so that if the United States cannot identify with 100 percent certainty who immigrants are and why they want to enter, he says, “We’re not going to let you in.”

But under the stricter screening he now supports, his grandfather would most likely have been deported, depriving him of knowing the man he has called his mentor and closest boyhood friend.

Despite Mr. Garcia’s insistence that he was fleeing oppression, immigration officials raised suspicions that he might harbor communist sympathies, the records reveal.

In an interview, Mr. Rubio acknowledged that some would see a conflict between the stricter immigration and refugee policies he supports and his grandfather’s experience.

But Mr. Rubio said the difference between then and now is how much more sophisticated foreign infiltrators like the Islamic State have become, and how dangerous they are.

“I recognize that’s a valid point,” the senator said, “But what you didn’t have was a widespread effort on behalf of Fidel Castro to infiltrate into the United States killers who were going to detonate weapons and kill people.”

He says at the hearing that what made him decide he wanted to leave for the United States to join his wife and seven daughters, one of whom was Oria, Mr. Rubio’s now 85-year-old mother, was when Castro confirmed suspicions that he was a Marxist.

It also required that either the president or vice president be a woman, and that one-third of parliamentarians be women. Parliament’s first female speaker, Onsari Gharti Magar, was elected last week.

Bhandari became involved in politics as a teenager in Nepal the 1980s, but stepped away from the action after marrying communist leader Madan Bhandari and having two children with him. After becoming a widow in 1993, when her husband was killed in a mysterious car accident, she stepped back in and campaigned to take his place in parliament.

Nepal is still reeling from the violence and unrest sparked by the adoption of the new constitution. Minority groups complain that it marginalizes them, while others are dismayed at its secularism. India, Nepal’s neighbor, appears to have sided with the dissenters by instituting an unofficial blockade of fuel and other supplies across its border.

This idea seemed to be disproved in the 20th century, by the emergence of a prosperous, non-revolutionary working class. But Piketty argues that those developments were transitory, made possible mostly by the massive destruction of inherited capital during the long era of world war.

Absent another such disruption, he expects a world in which the returns to capital permanently outstrip  —  as they have recently  —  the returns to labor, and inequality rises far beyond even today’s levels

Combine this trend with slowing growth, and we face a future like the 19th-century past, in which vast inherited fortunes bestride the landscape while the middle class fractures, weakens, shrinks.

"Fascism sometimes becomes an attribute to describe someone that is intolerant or totalitarian or even racist," said Federico Finchelstein, an expert on fascism at the New School who said Trump is better described a populist. "When dealing with an important part of the nation such as Hispanics, I think he definitely fits those categories."

At a Trump campaign rally in Birmingham, Alabama, a black protester was physically attacked by a handful of Trump fans in the crowd. Video captured by CNN shows the man being shoved to the ground, punched and at one point even kicked. The next day, Trump drew fierce backlash when he said that perhaps "he should have been roughed up."

"We had the same thing happening in Germany in the 1920s with people being roughed up by the Brownshirts and they deserved it because they were Jews and Marxists and radicals and dissidents and gypsies — that was what Hitler was saying," Ross said. "I'm not saying Trump is Hitler, but the logic of condoning violence against those who oppose you -- you can imagine, a man who would condone it as a candidate -- what would he do as an official president?"

"He's good at making astonishing speeches that make people sit up and take notice. So there's some of that manipulation of public emotions that is visible with Trump," Paxton said. "Hitler and Mussolini -- no one had ever seen public rallies like the meetings they'd have. People were absolutely mesmerized."

“President Xi Jinping is moving in the right direction,” Batten said, “but we know that there are factions within the Communist Party that are trying to hold things back.”

Our postwar statesmen were neither weak nor incompetent. They were the architects of the greatest foreign policy triumph in U.S. history.

o successful was this policy that Americans now—most of whom weren’t alive to witness the enormity of these wars—see peace, unity, prosperity and stability as Europe’s natural state. This is an illusion. For centuries, Europe was the fulcrum of global violence. With the age of global exploration, it became the globe’s primary exporter of violence

The U.S. military was always an integral part of the plan to unite and rebuild Europe from the rubble. Since World War II, U.S. troops have been deployed in Eurasia to ensure the continent cannot be dominated by a single power capable of monopolizing its resources and turning them against the U.S. The United States has built overwhelmingly massive military assets there to deter local arms races before they begin, and it has simultaneously assured those under U.S. protection that there is no need to begin local arms races, for their safety is guaranteed.

Only America, and massive power as the U.S. exercised it, could have pacified and unified Europe under its aegis. No other continental country possessed half the world’s GDP. No other country had enough distance from Europe to be trusted, to a large extent, by all parties and indifferent to its regional jealousies. No other country had a strategic, moral and economic vision for Europe that its inhabitants could be persuaded gladly to share

The founders of these institutions fully intended them to be the foundations of a United States of Europe, much like the United States of America. Profound economic interdependence, they believed, would make further European wars impossible.

At the same time, the United States built an open, global order upon an architecture of specific institutions: the United Nations, the International Monetary Fund and the International Court of Justice. This order is in many respects an empire—a Pax Americana—but it is more humane than any empire that preceded it, with institutions that are intended to benefit all parties.

Through the application of economic, diplomatic and military force majeure, the United States suppressed Europe’s internal security competition. This is why postwar Europe ceased to be the world’s leading exporter of violence and became, instead, the world’s leading exporter of luxury sedans.

American grand strategy rests upon the credibility of its promise to protect American allies; this credibility rests, in turn, upon U.S. willingness to display its commitment.

The Soviet Union’s criticism of the Marshall Plan and other American involvement in Europe was eerily similar to the language Russia’s now uses in its campaign to undermine NATO and the EU. The vocabulary and tropes of Russian propaganda are widely echoed, wittingly or unwittingly, by far-right, far-left and other antiliberal politicians, parties and movements throughout the West

The loudest exponent of the idea that the U.S. is getting rolled, that the European Union was “created to destroy us,” and that multilateral institutions such as the World Trade Organization assault the “sovereignty” of the nations concerned is, unfortunately, the president of the United States.

It’s hard to understate how foolish and reckless these notions are. History can be shoved down the memory hole, for a time, but reality is never so cooperative.

The Second World War proved not only that isolationism and American-Firstism were fantasies, but exceptionally childish and dangerous ones, at that. In the age of hyperglobalized trade, international air travel, the internet, nuclear weapons and intercontinental ballistic missiles, these fantasies are even more childish and dangerous. The U.S. may be on another continent, but it is not on another planet.

It is true that the U.S. spends more on its military, in absolute dollars and as a percentage of GDP, than any European country. That was always part of the deal. The U.S. is a global superpower. It can fight a war anywhere in the world, invade any country at will, and (at least in theory) fight multiple simultaneous major wars—even in space. Of course this costs more. It is in America’s advantage to be the only power on the planet that can do this.

Conversely, it is not remotely in America’s advantage for other countries to spend as much money on their militaries as we do

Trump’s refusal to deter our shared enemies and protect our allies risks provoking a regional European arms race—exactly what the U.S. has sought to avoid for 74 years

Above all, Trump’s overt support for sordid, Kremlin-backed actors who seek to undermine Europe’s unity is unfathomable: How could it be in Europe’s interest, or in ours, for the American president to lend the United States’ prestige and support to Europe’s Nazis, neo-Nazis, doctrinal Marxists, populists, authoritarians, and ethnic supremacists, particularly since all of them are ideologically hostile to the United States?

Should the unraveling of the order the U.S. built proceed at this pace, the world will soon be neither peaceful nor prosperous. Nor will the effects be confined to regions distant from the United States. America will feel them gradually, and then, probably, overnight—in the form of a devastating, sudden shock.

The American-led world order, undergirded by the ideal of liberal democracy, has been highly imperfect. But it has been the closest thing to Utopia our fallen and benighted species has ever seen. Its benefits are not just economic, although those benefits are immense. Its benefits must be measured in wars not fought, lives not squandered

In a famous journal he kept from 1935 to 1944, the Romanian writer Mihail Sebastian chronicled an even more extreme shift in his own country. Like me, Sebastian was Jewish; like me, most of his friends were on the political right. In his journal, he described how, one by one, they were drawn to fascist ideology, like a flock of moths to an inescapable flame. He recounted the arrogance and confidence they acquired as they moved away from identifying themselves as Europeans—admirers of Proust, travelers to Paris—and instead began to call themselves blood-and-soil Romanians. He listened as they veered into conspiratorial thinking or became casually cruel. People he had known for years insulted him to his face and then acted as if nothing had happened. “Is friendship possible,” he wondered in 1937, “with people who have in common a whole series of alien ideas and feelings—so alien that I have only to walk in the door and they suddenly fall silent in shame and embarrassment?”

This is not 1937. Nevertheless, a parallel transformation is taking place in my own time, in the Europe that I inhabit and in Poland, a country whose citizenship I have acquired

the Dreyfus affair is most interesting because it was sparked by a single cause célèbre. Just one court case—one disputed trial—plunged an entire country into an angry debate, creating unresolvable divisions between people who had previously not known that they disagreed with one another. But this shows that vastly different understandings of what is meant by “France” were already there, waiting to be discovered

More important, though the people I am writing about here, the nativist ideologues, are perhaps not all as successful as they would like to be (about which more in a minute), they are not poor and rural, they are not in any sense victims of the political transition, and they are not an impoverished underclass. On the contrary, they are educated, they speak foreign languages, and they travel abroad—just like Sebastian’s friends in the 1930s.

What has caused this transformation

My answer is a complicated one, because I think the explanation is universal. Given the right conditions, any society can turn against democracy. Indeed, if history is anything to go by, all societies eventually will.

And it is taking place without the excuse of an economic crisis of the kind Europe suffered in the 1930s. Poland’s economy has been the most consistently successful in Europe over the past quarter century. Even after the global financial collapse in 2008, the country saw no recession. What’s more, the refugee wave that has hit other European countries has not been felt here at all. There are no migrant camps, and there is no Islamist terrorism, or terrorism of any kind.

in modern Britain, America, Germany, France, and until recently Poland, we have assumed that competition is the most just and efficient way to distribute power. The best-run businesses should make the most money. The most appealing and competent politicians should rule. The contests between them should take place on an even playing field, to ensure a fair outcome.

All of these debates, whether in 1890s France or 1990s Poland, have at their core a series of important questions: Who gets to define a nation? And who, therefore, gets to rule a nation? For a long time, we have imagined that these questions were settled—but why should they ever be?

the illiberal one-party state, now found all over the world—think of China, Venezuela, Zimbabwe—was first developed by Lenin, in Russia, starting in 1917. In the political-science textbooks of the future, the Soviet Union’s founder will surely be remembered not for his Marxist beliefs, but as the inventor of this enduring form of political organization.

Unlike Marxism, the Leninist one-party state is not a philosophy. It is a mechanism for holding power. It works because it clearly defines who gets to be the elite—the political elite, the cultural elite, the financial elite.

In monarchies such as prerevolutionary France and Russia, the right to rule was granted to the aristocracy, which defined itself by rigid codes of breeding and etiquette. In modern Western democracies, the right to rule is granted, at least in theory, by different forms of competition: campaigning and voting, meritocratic tests that determine access to higher education and the civil service, free markets

Two decades ago, different understandings of “Poland” must already have been present too, just waiting to be exacerbated by chance, circumstance, and personal ambition

Lenin’s one-party state was based on different values. It overthrew the aristocratic order. But it did not put a competitive model in place. The Bolshevik one-party state was not merely undemocratic; it was also anticompetitive and antimeritocratic. Places in universities, civil-service jobs, and roles in government and industry did not go to the most industrious or the most capable. Instead, they went to the most loyal.

As Hannah Arendt wrote back in the 1940s, the worst kind of one-party state “invariably replaces all first-rate talents, regardless of their sympathies, with those crackpots and fools whose lack of intelligence and creativity is still the best guarantee of their loyalty.”

Lenin’s one-party system also reflected his disdain for the idea of a neutral state, of apolitical civil servants and an objective media. He wrote that freedom of the press “is a deception.” He mocked freedom of assembly as a “hollow phrase.” As for parliamentary democracy itself, that was no more than “a machine for the suppression of the working class.”

These parties tolerate the existence of political opponents. But they use every means possible, legal and illegal, to reduce their opponents’ ability to function and to curtail competition in politics and economics. They dislike foreign investment and criticize privatization, unless it is designed to benefit their supporters. They undermine meritocracy. Like Donald Trump, they mock the notions of neutrality and professionalism, whether in journalists or civil servants. They discourage businesses from advertising in “opposition”—by which they mean illegitimate—media.

nepotism, state capture. But if you so choose, you can also describe it in positive terms: It represents the end of the hateful notions of meritocracy and competition, principles that, by definition, never benefited the less successful. A rigged and uncompetitive system sounds bad if you want to live in a society run by the talented. But if that isn’t your primary interest, then what’s wrong with it?

If you are someone who believes that you deserve to rule, then your motivation to attack the elite, pack the courts, and warp the press to achieve your ambitions is strong. Resentment, envy, and above all the belief that the “system” is unfair—these are important sentiments among the intellectuals of the Polish right.

Whatever mistakes the party might make, whatever laws it might break, at least the “truth” about Smolensk would finally be told.

the polarizing political movements of 21st-century Europe demand much less of their adherents. They don’t require belief in a full-blown ideology, and thus they don’t require violence or terror police. They don’t force people to believe that black is white, war is peace, and state farms have achieved 1,000 percent of their planned production. Most of them don’t deploy propaganda that conflicts with everyday reality.

yet all of them depend, if not on a Big Lie, then on what the historian Timothy Snyder once told me should be called the Medium-Size Lie, or perhaps a clutch of Medium-Size Lies. To put it differently, all of them encourage their followers to engage, at least part of the time, with an alternative reality. Sometimes that alternative reality has developed organically; more often, it’s been carefully formulated, with the help of modern marketing techniques, audience segmentation, and social-media campaigns.

In Hungary, the lie is unoriginal: It is the belief, shared by the Russian government and the American alt-right, in the superhuman powers of George Soros, the Hungarian Jewish billionaire who is supposedly plotting to bring down the nation through the deliberate importation of migrants, even though no such migrants exist in Hungary.

In Poland, at least the lie is sui generis. It is the Smolensk conspiracy theory: the belief that a nefarious plot brought down the president’s plane in April 2010.

The truth, as it began to emerge, was not comforting to the Law and Justice Party or to its leader, the dead president’s twin brother. The plane had taken off late; the president was likely in a hurry to land, because he wanted to use the trip to launch his reelection campaign. There was thick fog in Smolensk, which did not have a real airport, just a landing strip in the forest; the pilots considered diverting the plane, which would have meant a drive of several hours to the ceremony. After the president had a brief phone call with his brother, his advisers apparently pressed the pilots to land. Some of them, against protocol, walked in and out of the cockpit during the flight. Also against protocol, the chief of the air force came and sat beside the pilots. “Zmieścisz się śmiało”—“You’ll make it, be bold,” he said. Seconds later, the plane collided with the tops of some birch trees, rolled over, and hit the ground.

When, some weeks after the election, European institutions and human-rights groups began responding to the actions of the Law and Justice government, they focused on the undermining of the courts and public media. They didn’t focus on the institutionalization of the Smolensk conspiracy theory, which was, frankly, just too weird for outsiders to understand. And yet the decision to put a fantasy at the heart of government policy really was the source of the authoritarian actions that followed.

Although the Macierewicz commission has never produced a credible alternate explanation for the crash, the Smolensk lie laid the moral groundwork for other lies. Those who could accept this elaborate theory, with no evidence whatsoever, could accept anything.

picking apart personal and political motives is extremely difficult. That’s what I learned from the story of Jacek Kurski, the director of Polish state television and the chief ideologist of the Polish illiberal state. He started out in the same place, at the same time, as his brother, Jarosław Kurski, who edits the largest and most influential liberal Polish newspaper. They are two sides of the same coin.

The Smolensk conspiracy theory, like the Hungarian migration conspiracy theory, served another purpose: For a younger generation that no longer remembered Communism, and a society where former Communists had largely disappeared from politics, it offered a new reason to distrust the politicians, businesspeople, and intellectuals who had emerged from the struggles of the 1990s and now led the country.

More to the point, it offered a means of defining a new and better elite. There was no need for competition, or for exams, or for a résumé bristling with achievements. Anyone who professes belief in the Smolensk lie is by definition a true patriot—and, incidentally, might well qualify for a government job.

Hungary’s belated reckoning with its Communist past—putting up museums, holding memorial services, naming perpetrators—did not, as I thought it would, help cement respect for the rule of law, for restraints on the state, for pluralism

16 years after the Terror Háza’s opening, Hungary’s ruling party respects no restraints of any kind. It has gone much further than Law and Justice in politicizing the state media and destroying the private media, achieving the latter by issuing threats and blocking access to advertising. It has created a new business elite that is loyal to Orbán.

Schmidt embodies what the Bulgarian writer Ivan Krastev recently described as the desire of many eastern and central Europeans to “shake off the colonial dependency implicit in the very project of Westernization,” to rid themselves of the humiliation of having been imitators, followers of the West rather than founders.

Listening to her, I became convinced that there was never a moment when Schmidt’s views “changed.” She never turned against liberal democracy, because she never believed in it, or at least she never thought it was all that important. For her, the antidote to Communism is not democracy but an anti-Dreyfusard vision of national sovereignty

It’s clear that the Medium-Size Lie is working for Orbán—just as it has for Donald Trump—if only because it focuses the world’s attention on his rhetoric rather than his actions.

I described my 1999 New Year’s Eve party to a Greek political scientist. Quietly, he laughed at me. Or rather, he laughed with me; he didn’t mean to be rude. But this thing I was calling polarization was nothing new. “The post-1989 liberal moment—this was the exception,” Stathis Kalyvas told me. Polarization is normal. More to the point, I would add, skepticism about liberal democracy is also normal. And the appeal of authoritarianism is eternal.

Americans, with our powerful founding story, our unusual reverence for our Constitution, our relative geographic isolation, and our two centuries of economic success, have long been convinced that liberal democracy, once achieved, cannot be altered. American history is told as a tale of progress, always forward and upward, with the Civil War as a kind of blip in the middle, an obstacle that was overcome.

In Greece, history feels not linear but circular. There is liberal democracy and then there is oligarchy. Then there is liberal democracy again. Then there is foreign subversion, then there is an attempted Communist coup, then there is civil war, and then there is dictatorship. And so on, since the time of the Athenian republic.

In truth, the argument about who gets to rule is never over, particularly in an era when people have rejected aristocracy, and no longer believe that leadership is inherited at birth or that the ruling class is endorsed by God

Democracy and free markets can produce unsatisfying outcomes, after all, especially when badly regulated, or when nobody trusts the regulators, or when people are entering the contest from very different starting points. Sooner or later, the losers of the competition were always going to challenge the value of the competition itself.

More to the point, the principles of competition, even when they encourage talent and create upward mobility, don’t necessarily answer deeper questions about national identity, or satisfy the human desire to belong to a moral community.

The authoritarian state, or even the semi-authoritarian state—the one-party state, the illiberal state—offers that promise: that the nation will be ruled by the best people, the deserving people, the members of the party, the believers in the Medium-Size Lie.

they have appeal in areas like the tech industry where mainstream conservatism presently has little influence, because (like fascism in its heyday) the new reaction blends nostalgia with a hyper-modernism

there is a third group of post-liberals, less prominent but still culturally significant: Religious dissenters. These are Western Christians, especially, who regard both liberal and neoconservative styles of Christian politics as failed experiments, doomed because they sought reconciliation with a liberal project whose professed tolerance stacks the deck in favor of materialism and unbelief.

Some of these religious dissenters are seeking a tactical retreat from liberal modernity, a subcultural resilience in the style of Orthodox Jews or Mennonites or Mormons.

others are interested in going on offense. In my own church, part of the younger generation seems disillusioned with post-Vatican II Catholic politics, and is drawn instead either to a revived Catholic integralism or a “tradinista” Catholic socialism — both of which affirm the “social kingship” of Jesus Christ, a phrase that attacks the modern liberal order at the root.

their ideas are, perhaps, genuinely dangerous to the order we take for granted in the West. Or — it all depends — they might be beneficial, because liberal civilization’s flourishing has often depended on forces that a merely procedural order can’t generate, on radical and religious correctives to a flattened view of human life.

the revolving door between public service and private-sector employment, think-tank fellowships, fees on the lecture circuit, and so on.

3. Campaign contributions

4. Defining the agenda:

the 0.1 percent has an extraordinary ability to set the agenda for policy discussion, in ways that can be sharply at odds with both a reasonable assessment of priorities and public opinion more generally.

The example I have in mind was the extraordinary shift in conventional wisdom and policy priorities that took place in 2010-2011, away from placing priority on reducing the huge suffering still taking place in the aftermath of the 2008 financial crisis, and toward action to avert the supposed risk of a debt crisis

The bursting of the housing bubble, and the subsequent attempts of households to reduce their debt, had let to a severe shortfall of aggregate demand. Despite very low interest rates by historical standards, businesses weren’t willing to invest enough to take up the slack created by this household pullback.

the obvious, Economics 101 move would have been to implement another significant round of stimulus. After all, the federal government was still able to borrow long-term at near-zero real interest rates.

Somehow, however, over the course of 2010 a consensus emerged in the political and media worlds that in the face of 9 percent unemployment the two most important issues were … deficit reduction and “entitlement reform,” i.e. cuts in Social Security and Medicare.

voters tend to place a relatively low priority on deficits as compared with jobs and the economy. And they overwhelmingly favor spending more on health care and Social Security.

Benjamin Page, Larry Bartels, and Jason Seawright managed to survey a group of wealthy individuals in the Chicago area. They found striking differences between this group’s policy priorities and those of the public at large. Budget deficits topped the list of problems they considered “very important,” with a third considering them the “most important” pro

While the respondents also expressed concern about unemployment and education, “they ranked a distant second and third among the concerns of wealthy Americans.”

And when it came to entitlements, the policy preferences of the wealthy were clearly at odds with those of the general public. By large margins, voters at large wanted to expand spending on health care and Social Security. By almost equally large margins, the wealthy wanted to reduce spending on those same programs

What happened, essentially, was that the political and media establishment internalized the preferences of the extremely wealthy.

Lacombe point out the enduring effects of plutocratic political influence on the Social Security debate: “Despite the strong support among most Americans for protecting and expanding Social Security benefits, for example, the intense, decades-long campaign to cut or privatize Social Security that was led by billionaire Pete Peterson and his wealthy allies appears to have played a part in thwarting any possibility of expanding Social Security benefits. Instead, the United States has repeatedly come close (even under Democratic Presidents Clinton and Obama) to actually cutting benefits as part of a bipartisan ‘grand bargain’ concerning the federal budget.”

Where do the preferences of the wealthy come from? You don’t have to be a vulgar Marxist to recognize a strong element of class interest. The push for austerity was clearly linked to a desire to shrink the tax-and-transfer state, which in all advanced countries, even America, is a significant force for redistribution away from the wealthy toward citizens with lower incomes

The fact remains that the wealthy, on average, push for policies that benefit themselves even when they often hurt the economy as a whole. And the sheer wealth of the wealthy is what empowers them to get a lot of what they want.

in the end big money will find a way — unless there’s less big money to begin with. So reducing the extreme concentration of income and wealth isn’t just a desirable thing on social and economic grounds. It’s also a necessary step toward a healthier political system

The malaise he analyzes is the result of various forces — economic, institutional, technological, cultural, even biological — coming together to sap us of our strength and hope.

He treats each of these in turn, weighing different hypotheses that might explain us to ourselves

As a genre, social prophecy assumes a pact between author and reader. The author agrees to let his or her imagination loose in the jungle of trends, developments and crises of the moment. The reader agrees to suspend questions and judgments until the end, picking up insights along the way.

As birthrates decline below replacement, the population ages and there are fewer workers and family members to support retirees with health needs

Our reproductive choices are creating a world where children grow up with fewer siblings and far fewer cousins, cutting them off from natural family networks that offer social support and lessons in getting over themselves

Progressive politics depends on cultivating a sense of solidarity and social obligation, which becomes much harder as families shrink and grow older, and individualism becomes the dominant social fact.

In the end he accepts that below-replacement fertility “is the fundamental fact of civilized life in the early 21st century” and that it “looks like an inevitable corollary of liberal capitalist modernity.”

he keeps digging. He claims that the family size people in the Western world desire is actually higher than that needed for replacement, which suggests that there is an unsatisfied demand for children.

That might imply the need for public pronatal policies

it might also reflect the paradox that, since the sexual revolution, people have found it harder to pair off into couples and start families

Many conservatives have predicted that ubiquitous internet porn would inspire bacchanalias and violence, but in fact rates of sexual assault, teen sex and teen pregnancy have dropped since its introduction. Saturation, it seems, induces numbness, not desire.

Douthat’s chapters on stagnating innovation and institutional sclerosis as elements of our decadence are more conventional, though informative and well balanced.

Douthat levels the same charge of repetitiveness against our political intellectual culture and expresses a little nostalgia for sharp and sometimes violent confrontations

Apart from gay rights, where opinion has genuinely shifted, he believes left and right find themselves pretty much where they were in the 1970s, though less inclined to act.

How can he say that ours is a static culture in the age of connectivity, which has accelerated change and turned ours into ever more “liquid societies”? An illusion. It has simply accelerated the circulation of the same tired cultural tropes, leaving us with wheels that turn ever faster in a ditch.

What about the political radicalism and rage exacerbated by social media? Probably just “a kind of digital-age playacting in which young people dissatisfied with decadence pretend to be fascists and Marxists on the internet, re-enacting the 1930s and 1960s with fewer street fights and more memes.”

“It’s possible that Western society is really leaning back in an easy chair, hooked up to a drip of something soothing, playing and replaying an ideological greatest-hits tape from its wild and crazy youth, all riled up in its own imagination and yet, in reality, comfortably numb.”

The least persuasive pages are devoted to pop culture, which he rightly sees as dull and repetitiv

the leading voices were, like Mr. Sanders, native-born and middle-class advocates of reform within the Democratic and Republican parties, whose bosses they often criticized.

Mr. Sanders sounds like these Gilded Age socialists in part because the issues of their time were similar to ours — immigration, environmental deterioration, declining well-being and growing inequality in a period of rapid technological and economic change

The Gilded Age socialists admitted what their opponents often did not: Americans did not all share common values.

Mr. Sanders’s actual similarity to 19th-century socialists makes him seem unthreatening, even avuncular. He is infinitely closer to William Dean Howells, the 19th-to 20th-century novelist who for a while proclaimed himself a socialist, than to Joseph Stalin.

Howells’s political evolution makes socialism’s American roots clear. Howells wrote campaign biographies for Abraham Lincoln and Rutherford B. Hayes, and remained close friends with John Hay, Theodore Roosevelt’s secretary of state. Even when Howells called himself a socialist in the late 1880s, he continued to vote Republican, although he thought the party was corrupted.

Howells regarded socialism as “not a positive but a comparative thing … Every citizen of a civilized State is a socialist.”

If anyone believed “that the postal department, the public schools, the mental hospitals, the almshouse are good things; and that when a railroad management has muddled away in hopeless ruin the money of all who trusted it, a Railroad Receiver is a good thing,” then that person embraced socialism.

Like Howells, Bernie Sanders embraces a series of modest changes. Mr. Sanders often rightly seems bewildered that free public college education — once the norm in California — and the universal health care of Canada and Europe can seem to be radical solutions to American problems.

Radicals — anarchists, Communists and other Marxists — have at critical moments influenced America’s development, often for the better, and most of them have despised American socialists as insufficiently revolutionary, ideologically incoherent, hopelessly sentimental and utterly enmeshed in existing society.

They were right — which was why American socialists have been far more influential than their radical critics. Socialists appealed to sensibility, values and justice, not ideologies. They put their hope in the benevolence and fairness of the mass of Americans —­ what Howells called the sufficiency of the common — rather than in elites.

He tries to break free of narrow specialization and cross the boundaries between scientific disciplines. Expeditions beyond economics’ borders and its connection to history, philosophy, psychology, and ancient myths are not only refreshing, but necessary for understanding the world of the twenty-first century.

Reality is spun from stories, not from material. Zdeněk Neubauer

“The separation between the history of a science, its philosophy, and the science itself dissolves into thin air, and so does the separation between science and non-science; differences between the scientific and unscientific are vanishing.”

The study of the history of a certain field is not, as is commonly held, a useless display of its blind alleys or a collection of the field’s trials and errors (until we got it right), but history is the fullest possible scope of study of a menu that the given field can offer.

History of thought helps us to get rid of the intellectual brainwashing of the age, to see through the intellectual fashion of the day, and to take a couple of steps back.

That is the reason for this book: to look for economic thought in ancient myths and, vice versa, to look for myths in today’s economics.

stories; Adam Smith believed. As he puts it in The Theory of Moral Sentiments, “the desire of being believed, or the desire of persuading, of leading and directing other people, seems to be one of the strongest of all our natural desires.”

“The human mind is built to think in terms of narratives … in turn, much of human motivation comes from living through a story of our lives, a story that we tell to ourselves and that creates a framework of our motivation. Life could be just ‘one damn thing after another’ if it weren’t for such stories. The same is true for confidence in a nation, a company, or an institution. Great leaders are foremost creators of stories.”

contrary to what our textbooks say, economics is predominantly a normative field. Economics not only describes the world but is frequently about how the world should be (it should be effective, we have an ideal of perfect competition, an ideal of high-GDP growth in low inflation, the effort to achieve high competitiveness …). To this end, we create models, modern parables,

I will try to show that mathematics, models, equations, and statistics are just the tip of the iceberg of economics; that the biggest part of the iceberg of economic knowledge consists of everything else; and that disputes in economics are rather a battle of stories and various metanarratives than anything else.

Before it was emancipated as a field, economics lived happily within subsets of philosophy—ethics, for example—miles away from today’s concept of economics as a mathematical-allocative science that views “soft sciences” with a scorn born from positivistic arrogance. But our thousand-year “education” is built on a deeper, broader, and oftentimes more solid base. It is worth knowing about.

is a paradox that a field that primarily studies values wants to be value-free. One more paradox is this: A field that believes in the invisible hand of the market wants to be without mysteries.

mathematics at the core of economics, or is it just the icing of the cake, the tip of the iceberg of our field’s inquiry?

we seek to chart the development of the economic ethos. We ask questions that come before any economic thinking can begin—both philosophically and, to a degree, historically. The area here lies at the very borders of economics—and often beyond. We may refer to this as protoeconomics (to borrow a term from protosociology) or, perhaps more fittingly, metaeconomics (to borrow a term from metaphysics).

The more important elements of a culture or field of inquiry such as economics are found in fundamental assumptions that adherents of all the various systems within the epoch unconsciously presuppose. Such assumptions appear so obvious that people do not know what they are assuming, because no other way of putting things has ever occurred to them, as the philosopher Alfred Whitehead notes in Adventures of Ideas.

I argue that economic questions were with mankind long before Adam Smith. I argue that the search for values in economics did not start with Adam Smith but culminated with him.

We should go beyond economics and study what beliefs are “behind the scenes,” ideas that have often become the dominant yet unspoken assumptions in our theories. Economics is surprisingly full of tautologies that economists are predominantly unaware of. I

argue that economics should seek, discover, and talk about its own values, although we have been taught that economics is a value-free science. I argue that none of this is true and that there is more religion, myth, and archetype in economics than there is mathematics.

In a way, this is a study of the evolution of both homo economicus and, more importantly, the history of the animal spirits within him. This book tries to study the evolution of the rational as well as the emotional and irrational side of human beings.

I argue that his most influential contribution to economics was ethical. His other thoughts had been clearly expressed long before him, whether on specialization, or on the principle of the invisible hand of the market. I try to show that the principle of the invisible hand of the market is much more ancient and developed long before Adam Smith. Traces of it appear even in the Epic of Gilgamesh, Hebrew thought, and in Christianity, and it is expressly stated by Aristophanes and Thomas Aquinas.

This is not a book on the thorough history of economic thought. The author aims instead to supplement certain chapters on the history of economic thought with a broader perspective and analysis of the influences that often escape the notice of economists and the wider public.

Progress (Naturalness and Civilization)

The Economy of Good and Evil

from his beginnings, man has been marked as a naturally unnatural creature, who for unique reasons surrounds himself with external possessions. Insatiability, both material and spiritual, are basic human metacharacteristics, which appear as early as the oldest myths and stories.

the Hebrews, with linear time, and later the Christians gave us the ideal (or amplified the Hebrew ideal) we now embrace. Then the classical economists secularized progress. How did we come to today’s progression of progress, and growth for growth’s sake?

The Need for Greed: The History of Consumption and Labor

Metamathematics From where did economics get the concept of numbers as the very foundation of the world?

All of economics is, in the end, economics of good and evil. It is the telling of stories by people of people to people. Even the most sophisticated mathematical model is, de facto, a story, a parable, our effort to (rationally) grasp the world around us.

idea that we can manage to utilize our natural egoism, and that this evil is good for something, is an ancient philosophical and mythical concept. We will also look into the development of the ethos of homo economicus, the birth of “economic man.”

The History of Animal Spirits: Dreams Never Sleep

Masters of the Truth

Originally, truth was a domain of poems and stories, but today we perceive truth as something much more scientific, mathematical. Where does one go (to shop) for the truth? And who “has the truth” in our epoch?

Our animal spirits (something of a counterpart to rationality) are influenced by the archetype of the hero and our concept of what is good.

The entire history of ethics has been ruled by an effort to create a formula for the ethical rules of behavior. In the final chapter we will show the tautology of Max Utility, and we will discuss the concept of Max Good.

The History of the Invisible Hand of the Market and Homo Economicus

We understand “economics” to mean a broader field than just the production, distribution, and consumption of goods and services. We consider economics to be the study of human relations that are sometimes expressible in numbers, a study that deals with tradables, but one that also deals with nontradables (friendship, freedom, efficiency, growth).

When we mention economics in this book, we mean the mainstream perception of it, perhaps as best represented by Paul Samuelson.

By the term homo economicus, we mean the primary concept of economic anthropology. It comes from the concept of a rational individual, who, led by narrowly egotistical motives, sets out to maximize his benefit.

the Epic of Gilgamesh bears witness to the opposite—despite the fact that the first written clay fragments (such as notes and bookkeeping) of our ancestors may have been about business and war, the first written story is mainly about great friendship and adventure.

Even today we live in Gilgamesh’s vision that human relations—and therefore humanity itself—are a disturbance to work and efficiency; that people would perform better if they did not “waste” their time and energy on nonproductive things.

is a story of nature and civilization, of heroism, defiance, and the battle against the gods, and evil; an epic about wisdom, immortality, and also futility.

But it is in friendship where—often by-the-way, as a side product, an externality—ideas and deeds are frequently performed or created that together can altogether change the face of society.19 Friendship can go against an ingrained system in places where an individual does not have the courage to do so himself or herself.

started with Babylonians—rural nature becomes just a supplier of raw materials, resources (and humans the source of human resources). Nature is not the garden in which humans were created and placed, which they should care for and which they should reside in, but becomes a mere reservoir for natural (re)sources.

To be human seems to be somewhere in between, or both of these two. We

The entire history of culture is dominated by an effort to become as independent as possible from the whims of nature.39 The more developed a civilization is, the more an individual is protected from nature and natural influences and knows how to create around him a constant or controllable environment to his liking.

The epic captures one of the greatest leaps in the development of the division of labor. Uruk itself is one of the oldest cities of all, and in the epic it reflects a historic step forward in specialization—in the direction of a new social city arrangement. Because of the city wall, people in the city can devote themselves to things other than worrying about their own safety, and they can continue to specialize more deeply.

“The chief thing which the common-sense individual wants is not satisfactions for the wants he had, but more, and better wants.”47

If a consumer buys something, theoretically it should rid him of one of his needs—and the aggregate of things they need should be decreased by one item. In reality, though, the aggregate of “I want to have” expands together with the growing aggregate of “I have.”

the Old Testament, this relationship is perceived completely differently. Man (humanity) is created in nature, in a garden. Man was supposed to care for the Garden of Eden and live in harmony with nature and the animals. Soon after creation, man walks naked and is not ashamed, de facto the same as the animals. What is characteristic is that man dresses (the natural state of creation itself is not enough for him), and he (literally and figuratively) covers52 himself—in shame after the fall.53

Nature is where one goes to hunt, collect crops, or gather the harvest. It is perceived as the saturator of our needs and nothing more. One goes back to the city to sleep and be “human.” On the contrary, evil resides in nature. Humbaba lives in the cedar forest, which also happens to be the reason to completely eradicate it.

Symbolically, then, we can view the entire issue from the standpoint of the epic in the following way: Our nature is insufficient, bad, evil, and good (humane) occurs only after emancipation from nature (from naturalness), through culturing and education. Humanity is considered as being in civilization.

The city was frequently (at least in older Jewish writings) a symbol of sin, degeneration, and decadence—nonhumanity. The Hebrews were originally a nomadic nation, one that avoided cities. It is no accident that the first important city57 mentioned in the Bible is proud Babylon,58 which God later turns to dust.

is enough, for example, to read the Book of Revelation to see how the vision of paradise developed from the deep Old Testament period, when paradise was a garden. John describes his vision of heaven as a city—paradise is in New Jerusalem, a city where the dimensions of the walls(!) are described in detail, as are the golden streets and gates of pearl.

Hebrews later also chose a king (despite the unanimous opposition of God’s prophets) and settled in cities, where they eventually founded the Lord’s Tabernacle and built a temple for Him. The city of Jerusalem later gained an illustrious position in all of religion.

this time Christianity (as well as the influence of the Greeks) does not consider human naturalness to be an unambiguous good, and it does not have such an idyllic relationship to nature as the Old Testament prophets.

If a tendency toward good is not naturally endowed in people, it must be imputed from above through violence or at least the threat of violence.

If we were to look at human naturalness as a good, then collective social actions need a much weaker ruling hand. If people themselves have a natural tendency (propensity) toward good, this role does not have to be supplied by the state, ruler, or, if you wish, Leviathan.

How does this affect economics?

us return for the last time to the humanization of the wild Enkidu, which is a process we can perceive with a bit of imagination as the first seed of the principle of the market’s invisible hand, and therefore the parallels with one of the central schematics of economic thinking.

Sometimes it is better to “harness the devil to the plow” than to fight with him. Instead of summoning up enormous energy in the fight against evil, it is better to use its own energy to reach a goal we desire; setting up a mill on the turbulent river instead of futile efforts to remove the current. This is also how Saint Prokop approached it in one of the oldest Czech legends.

Enkidu caused damage and it was impossible to fight against him. But with the help of a trap, trick, this evil was transformed into something that greatly benefited civilization.

By culturing and “domesticating” Enkidu, humanity tamed the uncontrollable wild and chaotic evil

Enkidu devastated the doings (the external, outside-the-walls) of the city. But he was later harnessed and fights at the side of civilization against nature, naturalness, the natural state of things.

A similar story (reforming something animally wild and uncultivated in civilizational achievement) is used by Thomas Aquinas in his teachings. Several centuries later, this idea is fully emancipated in the hands of Bernard Mandeville and his Fable of the Bees: or, Private Vices, Publick Benefits. The economic and political aspects of this idea are—often incorrectly—ascribed to Adam Smith.

Here the individual does not try anymore to maximize his goods or profits, but what is important is writing his name in human memory in the form of heroic acts or deeds.

immortality, one connected with letters and the cult of the word: A name and especially a written name survives the body.”77

After this disappointment, he comes to the edge of the sea, where the innkeeper Siduri lives. As tonic for his sorrow, she offers him the garden of bliss, a sort of hedonistic fortress of carpe diem, where a person comes to terms with his mortality and at least in the course of the end of his life maximizes earthly pleasures, or earthly utility.

In the second stage, after finding his friend Enkidu, Gilgamesh abandons the wall and sets out beyond the city to maximalize heroism. “In his (…) search of immortal life, Gilgamesh

The hero refuses hedonism in the sense of maximizing terrestrial pleasure and throws himself into things that will exceed his life. In the blink of an eye, the epic turns on its head the entire utility maximization role that mainstream economics has tirelessly tried to sew on people as a part of their nature.81

today remember Gilgamesh for his story of heroic friendship with Enkidu, not for his wall, which no longer reaches monumental heights.

the eleventh and final tablet, Gilgamesh again loses what he sought. Like Sisyphus, he misses his goal just before the climax

The very existence of questions similar to today’s economic ones can be considered as the first observation. The first written considerations of the people of that time were not so different from those today. In other words: The epic is understandable for us, and we can identify with it.

We have also been witnesses to the very beginnings of man’s culturing—a great drama based on a liberation and then a distancing from the natural state.

Let us take this as a memento in the direction of our restlessness, our inherited dissatisfaction and the volatility connected to it. Considering that they have lasted five thousand years and to this day we find ourselves in harmony with a certain feeling of futility, perhaps these characteristics are inherent in man.

with the phenomenon of the creation of the city, we have seen how specialization and the accumulation of wealth was born, how holy nature was transformed into a secular supplier of resources, and also how humans’ individualistic ego was emancipated.

For small acts (hunting together, work in a factory), small love is enough: Camaraderie. For great acts, however, great love is necessary, real love: Friendship. Friendship that eludes the economic understanding of quid pro quo. Friendship gives. One friend gives (fully) for the other. That is friendship for life and death,

less a civilized, city person is dependent on nature, the more he or she is dependent on the rest of society. Like Enkidu, we have exchanged nature for society; harmony with (incalculable) nature for harmony with (incalculable) man.

human nature good or evil? To this day these questions are key for economic policy: If we believe that man is evil in his nature, therefore that a person himself is dog eat dog (animal), then the hard hand of a ruler is called for. If we believe that people in and of themselves, in their nature, gravitate toward good, then it is possible to loosen up the reins and live in a society that is more laissez-faire.

For a concept of historical progress, for the undeification of heroes, rulers, and nature, mankind had to wait for the Hebrews.

Because nature is not undeified, it is beyond consideration to explore it, let alone intervene in it (unless a person was a two-thirds god like Gilgamesh). It

As early as the “dark” ages, the Jews commonly used economic tools that were in many ways ahead of their time and that later became key elements of the modern economy:

Gilgamesh’s story ends where it began. There is a consistency in this with Greek myths and fables: At the end of the story, no progress occurs, no essential historic change; the story is set in indefinite time, something of a temporal limbo.

For a nation originally based on nomadism, where did this Jewish business ethos come from? And can the Hebrews truly be considered as the architects of the values that set the direction of our civilization’s economic thought?

PROGRESS: A SECULARIZED RELIGION One of the things the writers of the Old Testament gave to mankind is the idea and notion of progress. The Old Testament stories have their development; they change the history of the Jewish nation and tie in to each other. The Jewish understanding of time is linear—it has a beginning and an end.

The observance of God’s Commandments in Judaism leads not to some ethereal other world, but to an abundance of material goods (Genesis 49:25–26, Leviticus 26:3–13, Deuteronomy 28:1–13) (…) There are no accusing fingers pointed at

There are no echoes of asceticism nor for the cleansing and spiritual effect of poverty. It is fitting therefore, that the founders of Judaism, the Patriarchs Abraham, Isaac and Jacob, were all wealthy men.12

about due to a linear understanding of history. If history has a beginning as well as an end, and they are not the same point, then exploration suddenly makes sense in areas where the fruits are borne only in the next generation.

however, the idea of progress itself underwent major changes, and today we perceive it very differently. As opposed to the original spiritual conceptions, today we perceive progress almost exclusively in an economic or scientific-technological sense.

Because care for the soul has today been replaced by care for external things,

This is why we must constantly grow, because we (deep down and often implicitly) believe that we are headed toward an (economic) paradise on Earth.

Only since the period of scientific-technological revolution (and at a time when economics was born as an independent field) is material progress automatically assumed.

Jewish thought is the most grounded, most realistic school of thought of all those that have influenced our culture.17 An abstract world of ideas was unknown to the Jews. To this day it is still forbidden to even depict God, people, and animals in symbols, paintings, statues, and drawings.

economists have become key figures of great importance in our time (Kacířské eseje o filosofii dějin [Heretical Essays in the Philosophy of History]). They are expected to perform interpretations of reality, give prophetic services (macroeconomic forecasts), reshape reality (mitigate the impacts of the crisis, speed up growth), and, in the long run, provide leadership on the way to the Promised Land—paradise on Earth.

REALISM AND ANTIASCETICISM Aside from ideas of progress, the Hebrews brought another very fundamental contribution to our culture: The desacralization of heroes, nature, and rulers.

Voltaire writes: “It certain fact is, that in his public laws he [Moses] never so much as once made mention of a life to come, limiting all punishments and all rewards to the present life.”21

As opposed to Christianity, the concept of an extraterrestrial paradise or heaven was not developed much in Hebrew thought.19 The paradise of the Israelites—Eden—was originally placed on Earth at a given place in Mesopotamia20 and at a given time,

The Hebrews consider the world to be real—not just a shadow reflection of a better world somewhere in the cloud of ideas, something the usual interpretation of history ascribes to Plato. The soul does not struggle against the body and is not its prisoner, as Augustine would write later.

The land, the world, the body, and material reality are for Jews the paramount setting for divine history, the pinnacle of creation. This idea is the conditio sine qua non of the development of economics, something of an utterly earthly making,

The mythology of the hero-king was strongly developed in that period, which Claire Lalouette summarizes into these basic characteristics: Beauty (a perfect face, on which it is “pleasant to look upon,” but also “beauty,” expressed in the Egyptian word nefer, not only means aesthetics, but contains moral qualities as well),

THE HERO AND HIS UNDEIFICATION: THE DREAM NEVER SLEEPS The concept of the hero is more important than it might appear. It may be the remote origin of Keynes’s animal spirits, or the desire to follow a kind of internal archetype that a given individual accepts as his own and that society values.

This internal animator of ours, our internal mover, this dream, never sleeps and it influences our behavior—including economic behavior—more than we want to realize.

Anthropology knows several archetypes of heroes. The Polish-born American anthropologist Paul Radin examined the myths of North American Indians and, for example, in his most influential book, The Trickster, he describes their four basic archetypes of heroes.

The Torah’s heroes (if that term can be used at all) frequently make mistakes and their mistakes are carefully recorded in the Bible—maybe precisely so that none of them could be deified.32

the Hebrew heroes correspond most to the Tricksters, the Culture Bearers, and the Twins. The divine muscleman, that dominant symbol we think of when we say hero, is absent here.

Undeification, however, does not mean a call to pillage or desecration; man was put here to take care of nature (see the story of the Garden of Eden or the symbolism of the naming of the animals). This protection and care of nature is also related to the idea of progress

For the heroes who moved our civilization to where it is today, the heroic archetypes of the cunning trickster, culture bearer, and sufferer are rather more appropriate.

the Old Testament strongly emphasizes the undeification of nature.37 Nature is God’s creation, which speaks of divinity but is not the domain of moody gods

in an Old Testament context, the pharaoh was a mere man (whom one could disagree with, and who could be resisted!).

RULERS ARE MERE MEN In a similar historical context, the Old Testament teachings carried out a similar desacralization of rulers, the so-called bearers of economic policy.

Ultimately the entire idea of a political ruler stood against the Lord’s will, which is explicitly presented in the Torah. The Lord unequivocally preferred the judge as the highest form of rule—an

The needs of future generations will have to be considered; after all humankind are the guardians of God’s world. Waste of natural resources, whether privately owned or nationally owned is forbidden.”39

Politics lost its character of divine infallibility, and political issues were subject to questioning. Economic policy could become a subject of examination.

44 God first creates with the word and then on individual days He divides light from darkness, water from dry land, day from night, and so forth—and He gives order to things.45 The world is created orderly— it is wisely, reasonably put together. The way of the world is put together at least partially46 decipherably by any other wise and reasonable being who honors rational rules.

THE PRAISE OF ORDER AND WISDOM: MAN AS A PERFECTER OF CREATION The created world has an order of sorts, an order recognizable by us as people,

From the very beginning, when God distances Himself from the entire idea, there is an anticipation that there is nothing holy, let alone divine, in politics. Rulers make mistakes, and it is possible to subject them to tough criticism—which frequently occurs indiscriminately through the prophets in the Old Testament.

Hebrew culture laid the foundations for the scientific examination of the world.

Examining the world is therefore an absolutely legitimate activity, and one that is even requested by God—it is a kind of participation in the Creator’s work.51 Man is called on to understand himself and his surroundings and to use his knowledge for good.

The Book of Proverbs emphasizes specifically several times that it was wisdom that was present at the creation of the world. Wisdom personified calls out:

The last act, final stroke of the brush of creation, naming of the animals—this act is given to a human, it is not done by God, as one would expect. Man was given the task of completing the act of creation that the Lord began:

MAN AS A FINISHER OF CREATION The creation of the world, as it is explained in Jewish teachings, is described in the Book of Genesis. Here God (i) creates, (ii) separates, and (iii) names [my emphasis]:

Naming is a symbolic expression. In Jewish culture (and also in our culture to this day), the right to name meant sovereign rights and belonged, for example, to explorers (new places), inventors (new principles), or parents (children)—that is, to those who were there at the genesis, at the origin. This right was handed over by God to mankind.

The Naming itself (the capital N is appropriate) traditionally belongs to the crowning act of the Creator and represents a kind of grand finale of creation, the last move of the brush to complete the picture—a signature of the master.

Without naming, reality does not exist; it is created together with language. Wittgenstein tightly names this in his tractatus—the limits of our language are the limits of our world.53

Reality is not a given; it is not passive. Perceiving reality and “facts” requires man’s active participation. It is man who must take the last step, an act (and we

A real-ization act on our part represents the creation of a construct, the imputation of sense and order (which is beautifully expressed by the biblical act of naming, or categorization, sorting, ordering).

God connects man with the task of guarding and protecting the Garden of Eden, and thus man actually cocreates the cultural landscape. The Czech philosopher Zdeněk Neubauer also describes this: “Such is reality, and it is so deep that it willingly crystallizes into worlds. Therefore I profess that reality is a creation and not a place of occurrence for objectively given phenomena.”61

The Jews believed the exact opposite. The world is created by a good God, and evil appears in it as a result of immoral human acts. Evil, therefore, is induced by man.66 History unwinds according to the morality of human acts.

GOOD AND EVIL IN US: A MORAL EXPLANATION OF WELL-BEING We have seen that in the Epic of Gilgamesh, good and evil are not yet addressed systematically on a moral level.

the epic, good and evil are not envisaged morally—they are not the result of an (a)moral act. Evil was not associated with free moral action or individual will.

Hebrew thought, on the other hand, deals intensively with moral good and evil. A moral dimension touches the core of its stories.65

discrepancy between savings and investment, and others are convinced of the monetary essence

The entire history of the Jewish nation is interpreted and perceived in terms of morality. Morality has become, so to speak, a mover and shaker of Hebrew history.

sunspots. The Hebrews came up with the idea that morals were behind good and bad years, behind the economic cycle. But we would be getting ahead of ourselves. Pharaoh’s Dream: Joseph and the First Business Cycle To

It is the Pharaoh’s well-known dream of seven fat and seven lean cows, which he told to Joseph, the son of Jacob. Joseph interpreted the dream as a macroeconomic prediction of sorts: Seven years of abundance were to be followed by seven years of poverty, famine, and misery.

Self-Contradicting Prophecy Here, let’s make several observations on this: Through taxation74 on the level of one-fifth of a crop75 in good years to save the crop and then open granaries in bad years, the prophecy was de facto prevented (prosperous years were limited and hunger averted—through a predecessor of fiscal stabilization).

The Old Testament prophesies therefore were not any deterministic look into the future, but warnings and strategic variations of the possible, which demanded some kind of reaction. If the reaction was adequate, what was prophesied would frequently not occur at all.

If the threat is anticipated, it is possible to totally or at least partially avoid it. Neither Joseph nor the pharaoh had the power to avoid bounty or crop failure (in this the dream interpretation was true and the appearance of the future mystical), but they avoided the impacts and implications of the prophecy (in this the interpretation of the dream was “false”)—famine did not ultimately occur in Egypt, and this was due to the application of reasonable and very intuitive economic policy.

Let us further note that the first “macroeconomic forecast” appears in a dream.

back to Torah: Later in this story we will notice that there is no reason offered as to why the cycle occurs (that will come later). Fat years will simply come, and then lean years after them.

Moral Explanation of a Business Cycle That is fundamentally different from later Hebrew interpretations, when the Jewish nation tries to offer reasons why the nation fared well or poorly. And those reasons are moral.

Only in recent times have some currents of economics again become aware of the importance of morals and trust in the form of measuring the quality of institutions, the level of justice, business ethics, corruption, and so forth, and examining their influence on the economy,

it is not within the scope of this book to answer that question; justice has been done to the question if it manages to sketch out the main contours of possible searches for answers.

THE ECONOMICS OF GOOD AND EVIL: DOES GOOD PAY OFF? This is probably the most difficult moral problem we could ask.

Inquiring about the economics of good and evil, however, is not that easy. Where would Kant’s “moral dimension of ethics” go if ethics paid? If we do good for profit, the question of ethics becomes a mere question of rationality.

He remains righteous, even if his only reward is death. What economic advantage could he have from that?

morals cannot be considered in the economic dimension of productivity and calculus. The role of the Hebrews was to do good, whether it paid off or not. If good (outgoing) is rewarded by incoming goodness, it is a bonus,99 not a reason to do outgoing good. Good and reward do not correlate to each other.

This reasoning takes on a dimension of its own in the Old Testament. Good (incoming) has already happened to us. We must do good (outgoing) out of gratitude for the good (incoming) shown to us in the past.

So why do good? After all, suffering is the fate of many biblical figures. The answer can only be: For good itself. Good has the power to be its own reward. In this sense, goodness gets its reward, which may or may not take on a material dimension.

the Hebrews offered an interesting compromise between the teachings of the Stoics and Epicureans. We will go into it in detail later, so only briefly

constraint. It calls for bounded optimalization (with limits). A kind of symbiosis existed between the legitimate search for one’s own utility (or enjoyment of life) and maintaining rules, which are not negotiable and which are not subject to optimalization.

In other words, clear (exogenously given) rules exist that must be observed and cannot be contravened. But within these borders it is absolutely possible, and even recommended, to increase utility.