Corey Robin gives us a pretty damning portrait of Friedrich von Hayek’s support for Augusto Pinochet’s notorious regime, looking closely at a piece in the American Journal of Economics and Sociology—”Preventing the ‘Abuses’ of Democracy: Hayek, the ‘Military Usurper’ and Transitional Dictatorship in Chile?” by Andrew Farrant, Edward McPhail, and Sebastian Berger:
Farrant et al demonstrate that Hayek’s support of Pinochet was not contingent or begrudging—an alliance of convenience due to Pinochet’s embrace of free market economics—but was rather the product of two longstanding ideas and commitments.
First, a belief that welfare/socialist states of modern democracies have a tendency toward totalitarianism. This has been the subject of some debate over at Crooked Timber, but Farrant et al show just how consistently Hayek held this belief throughout his career ….
Second, a belief in the virtues of temporary dictatorships as a means of saving these totalitarian-bound democracies from themselves ….
As Farrant et al note, Hayek’s faith in the stewardship of good dictators flies in the face of his own warnings against trusting in the good intentions of government bureaucrats—not to mention his admonitions against an earlier generation of liberals and leftists, who were prepared to accept the allegedly temporary dictatorship of the Bolsheviks as a way station to the future.
Robin then takes things one or two steps farther, connecting Hayek and Carl Schmitt:
[I]t seems to me, in the course of defending Pinochet and Salazar—and the whole idea of temporary dictatorship— Hayek was prepared to entertain an even deeper betrayal of his own stated beliefs. As he said to Sallas in 1981, when any “government is in a situation of rupture, and there are no recognized rules, rules have to be created.” That is what a dictator does: create the rules of social and political life. (Again, Hayek is not referring to a situation of civil war or anarchy; he’s talking about a social democracy in which the government pursues “the mirage of social justice” through administrative and increasingly discretionary means.)
Yet Hayek is famous—arguably most famous—for his notion that the rules of social order are neither known nor made; they are tacit and inherited ….
How one squares Hayek’s praise of dictatorship with his conception of a spontaneous order, I’m not yet sure. But with his vision of an unmoved mover knowingly and forcibly creating rules, by design, from a lawless firmament (not to mention his conception of democratic drift), Hayek puts himself within the orbit of Carl Schmitt, with whom he maintained a running dialogue, and who famously described the moment when a new order is brought into being—a new order of rules and routines—as a “an absolute decision created out of nothingness,” as the moment when “the power of real life breaks through the crust of a mechanism [the democratic state] that has become torpid by repetition.”
Robin’s complete blog post is here; it will be interesting to keep an eye on the comments there to see if Hayekians find a way to rally to his defense.
Just a quick thought: Ugh, Hayek.
High Comedy: Coates on Paul
Ta-Nehisi Coates has been using Twitter to take on Ron Paul and his acolytes for the past week or so. If you haven’t been following along, it seems that it’s certainly not too late.
My favorite tweet of the day:
For the record “I’m against the drug war” has officially replaced “I have a black friend.”
— Ta-Nehisi Coates (@tanehisi) January 2, 2012
Ta-Nehisi Coates’ entire piece on Ron Paul’s infamous racist and anti-Semitic newsletters is well worth reading; he brings together quotes from the newsletters, Paul’s one-time public defense of those quotes, and then Paul’s more recent attempts to distance himself from those quotes.
But if you don’t have the five minutes, here’s what I take to be the centrally important paragraphs, especially given the unusual (and unusually prominent) brand of Ron Paul fanaticism that seems unwilling to even entertain the idea that Paul might hold (or might ever have held) racist beliefs or opinions:
Racism, like all forms of bigotry, is what it claims to oppose—victimology. The bigot is never to blame. Always is he besieged—by gays and their radical agenda, by women and their miniskirts, by fleet-footed blacks. It is an ideology of “not my fault.” It is not Ron Paul’s fault that people with an NAACP view of the world would twist his words. It is not Ron Paul’s fault that his newsletter trafficked in racism. It is not Ron Paul’s fault that he allowed people to author that racism in his name. It is anonymous political aids and writers, who now cowardly refuse to own their words. There’s always someone else to blame—as long as it isn’t Ron Paul, if only because it never was Ron Paul.
This is not a particular tragedy for black people. The kind of racism which Paul trafficked is neither innovative nor original. Even his denials recall the obfuscations of Jefferson Davis and Alexander Stephens. But some pity should be reserved for the young and disgruntled, for those who dimly perceive that something is wrong in this country, for those who are earnestly appalled by the madness of our criminal justice policy, for those who have watched a steady erosion of our civil liberties, and have seen their concerns met with an appalling silence on the national stage. That their champion should be, virtually by default, a man of mixed motives and selective courage, is sad.
Some people will continue to attempt to explain all of this away — they’ll continue to suggest that libertarians, unlike normal human beings, simply can’t be racist — but I think it’s increasingly difficult to either explain it or ignore it. When you write things or allow other people to write things in your name, those things stick around rather than vanish after some amount of time. When those things are racist and anti-Semitic, with a dash of conspiracy theory thrown in too, then they definitely stick around.
aheram asked: The question I received was in regards to him receiving donations from repugnant individuals. I mentioned Ron Paul’s own take on racism and then made the argument that actions do speak louder than perceptions founded upon false premises. Paul’s record all but disproves the charges of racism. To call it a “bad argument” without once addressing the main thrust of my post is intellectually dishonest.
I assure you, it’s actually not in any way intellectually dishonest.
I’m not making an argument about whether or not Ron Paul is racist. I say, in the very first paragraph of my post, that it doesn’t really matter to me whether or not he’s a racist or whether he associated with racists some years ago or whatever.
All I’m saying in my post is that it’s a bad argument to say that one cannot be both a libertarian and a racist; of course one can. There isn’t anything about libertarianism that make its adherents immune from racism. Ron Paul’s take on the matter is wrong and all of the people who quote it as some sort of defitive argument are being myopic.
Your post was about trying to prove that Paul isn’t a racist. My post isn’t interested in that question; I’m interested in the phenomenon of Ron Paul fanatics who actually believe that holding a philosophical position means that one’s beliefs and actions are obviously beyond reproach, and thus shouldn’t even be mentioned.
My point was essentially proved on Twitter in the minutes after I posted a link to my blog post:
These are just the first few.
Claiming that “libertarian racist” is an oxymoron is just a bad argument. Here’s another take on the point I’m making. And here’s another. If you have other arguments about Ron Paul, that’s great. I linked to your blog post so that others could read it if they were interested. But, again, it doesn’t much matter to me since he’s not going to win the presidential election. If some Texans want him to be their Representative, so be it.
Noob: Once again, how delusional must you be to make the claim that libertarians can’t be racist because racism is for collectivists?
Ron Paul, Racism, Bad Arguments
I’ve become absolutely fascinated by the number of arguments I’ve seen recently about Ron Paul and racism. It doesn’t much matter to me if Ron Paul espouses racist ideas or has simply associated himself with people who do. But what amazes me is the lengths to which some people will go to defend Paul against any statement that doesn’t simply and straightforwardly crow about his many obvious virtues.
But my favorite argument of them all (here, here, and here, for example) is the one that says Ron Paul can’t hold any racist beliefs because he’s a libertarian and libertarianism is inherently an anti-racist philosophy insofar as it discourages any thinking about groups and only focuses on individuals (and their rights).
To see why this is nonsense, consider the following statements:
- Leaders of the Communist Party in the Soviet Union or any of its Eastern European satellite states couldn’t possibly have owned private property because they were all committed Marxists and Marxism is inherently opposed to private ownership.
- Throughout history, Christians have always been forgiving to one another and have always treated all human beings with the respect befitting their dignity because the Christian Bible teaches that forgiveness is one of the highest human virtues and that all human beings, as the beloved children of God, are brothers and sisters.
I could go on and on with these, but I’ll stop with just two. The logic in each one is delightful, except that we all know the statements are false.
Holding a particular philosophy, religion, or doctrine does not mean that a person necessarily follows its every tenet, or even its central one. People are notoriously bad about applying their beliefs consistently.
Here’s my post on this subject (which Alex selectively quotes above.)
The concluding thoughts from this Mises post and you know what, it’s not entirely incorrect. In an opinion piece for The New York Times, Roger Backhouse and Bradley Bateman lightly touch upon this,
Globalization, so it is claimed, has created a single system of capitalism driven by international competition (ignoring the very real differences between, say, China and the United States). We now have an economics profession that hardly ever discusses its fundamental subject, “capitalism.”
Many economists say that what matters are questions like whether markets are competitive or monopolistic, or how monetary policy works. Using broad, ill-defined notions like capitalism invites ideological grandstanding and distracts from the hard technical problems.
There is a lot in that argument. Economists do much better when they tackle small, well-defined problems. As John Maynard Keynes put it, economists should become more like dentists: modest people who look at a small part of the body but remove a lot of pain.
However, there are also downsides to approaching economics as a dentist would: above all, the loss of any vision about what the economic system should look like. Even Keynes himself was driven by a powerful vision of capitalism. He believed it was the only system that could create prosperity, but it was also inherently unstable and so in need of constant reform. This vision caught the imagination of a generation that had experienced the Great Depression and World War II and helped drive policy for nearly half a century. He was, as the economist Robert Heilbroner claimed, a “worldly philosopher,” alongside such economic visionaries as Adam Smith, John Stuart Mill and Karl Marx.
In the 20th century, the main challenge to Keynes’s vision came from economists like Friedrich Hayek and Milton Friedman, who envisioned an ideal economy involving isolated individuals bargaining with one another in free markets. Government, they contended, usually messes things up. Overtaking a Keynesianism that many found inadequate to the task of tackling the stagflation of the 1970s, this vision fueled neoliberal and free-market conservative agendas of governments around the world.
THAT vision has in turn been undermined by the current crisis. It took extensive government action to prevent another Great Depression, while the enormous rewards received by bankers at the heart of the meltdown have led many to ask whether unfettered capitalism produced an equitable distribution of wealth. We clearly need a new, alternative vision of capitalism. But thanks to decades of academic training in the “dentistry” approach to economics, today’s Keynes or Friedman is nowhere to be found.
So it’s not that much of a stretch to claim that we are “uninformed” about the capitalist system but to jump immediately to the conclusions in the Mises blog post is quite the stretch. I’m also going to go ahead and agree with moorewr that the claims made at the link reach “self-parody escape velocity…”
By the way here’s a blurb by the Southern Poverty Law Center on the author of the book, Thomas DiLorenzo. (In other words, save your money.)
h/t: everyone with a blog on tumblr this morning or so it seems.

