You are free to do as I please.

Imagine that you live in Vermont and want to be a beer brewer. You don’t only want to be a brewer, you need to be a brewer. It is your calling. You find that there are a lot of options. You could apply for work at The Alchemist Brewing Company. You could apply for work at Hill Farmstead. Or Fiddlehead Brewing Company. Or Long Trail. You could seek work at any of the dozens of breweries in the state. Or you could start your own. To be sure, there are legal and logistical hurdles to starting a brewery. There are some licensing and regulatory issues. But in a state with more breweries per capita than any other, it can’t be too hard.

Now imagine that you live in Taiwan in the 1990’s and you want to be a beer brewer. You don’t only want to be a brewer, you need to be a brewer. You could apply for work at the Monopoly Bureau of the Taiwan Governor’s Office, makers of Taiwan’s only beer: the cleverly named “Taiwan Beer.” And if you did not get the job, you have to give up on your dream. Opening your own brewery is not an option. As the name clearly states: there is a state monopoly on beer production in Taiwan.

These two contrasting scenarios illustrate a necessary defect in centralized economies. Vermont, which is a relatively free market, produces some of the very best beers in the world and provides entrepreneurs with the opportunity to follow their dreams. The result is an excellent environment for both brewers and consumers. Taiwan, on the other hand, produces decidedly mediocre beer. And until 2002, the state run brewery was the only game in town. The result was a stifling of creativity for brewers and a lack of choice for consumers.

Dedicated socialist H. G. Wells wrote in his New World Order that collectivism requires a declaration of human rights. “The more socialisation proceeds and the more directive authority is concentrated, the more necessary is an efficient protection of individuals from the impatience of well-meaning or narrow-minded or ruthless officials and indeed from all the possible abuses of advantage that are inevitable under such circumstances to our still childishly wicked breed.” And he is certainly right that the more power the government has, the more dangerous it is to individuals. (Although his solution of “compose a declaration of rights” is, in my opinion, a poor second to the solution of “just don’t give that much power to the government.”)

Wells’ proposed declaration of rights includes economic freedom. “That he [anyone] may engage freely in any lawful occupation, earning such pay as the need for his work and the increment it makes to the common welfare may justify. That he is entitled to paid employment and to a free choice whenever there is any variety of employment open to him. He may suggest employment for himself and have his claim publicly considered, accepted or dismissed.”

But the Taiwan example shows how hollow this freedom is. In a totally centralized economy, there really is no space for the individual to suggest his own employment. The question of which occupations are “lawful” and “open to” the individual is totally loaded. It is the government itself that decides whether the occupations are lawful or open to any given person. Wells may as well have written “he may engage freely in any occupation that the government gives him permission to.” As long as the power is given to the government to make all economic decisions, there is no freedom at all.

Sip of Sunshine

Beer of the week: Sip of Sunshine IPA – Lawson’s Finest Liquids is yet another wonderful Vermont brewery. And Sip of Sunshine sure is a treat. This beer is honey-colored and has a decent head. The aroma is bright and fruity. The taste has lots of tropical fruit and citrus notes from the hops and the sweetness of the malt balances it all very nicely. There is a reason that this beer is very sought after; it is delicious.

Reading of the week: The New World Order by H.G. Wells, Chapter: 10 Declaration of the Rights of Men – I think that the above criticism of Wells is valid, if not original. However, this reading does include a number of very good ideas that cannot be as easily discounted.

Question of the week: Is there anywhere in the world that is better for beer right now than Vermont?

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