Called laissez-faire, Adam Smith’s prescription for less government in the economy relates to an island with no traffic lights.
When We Don’t Need Traffic Lights
Having recently driven in Manhattan (NYC) and now on Nantucket (an island located 30 miles from the coast of Massachusetts), I’ve been pondering the difference a traffic light can make. In NYC, the traffic lights are constant signals from government.…
Why Did the Pedestrian Cross the Road?
In NYC and in Nantucket, Massachusetts, drivers respond to different incentives because Manhattan has traffic lights while Nantucket does not.
A 2019 Update: The World’s Top and Bottom Laissez-Faire Countries
The Index of Economic Freedom is a handy source of data for judging whether or not a government has a laissez-faire philosophy.
How Traffic Lights Relate to Adam Smith
When no traffic lights on the island of Nantucket has created good will among strangers, it also might show the limits of Adam Smith’s laissez-faire.
A 2018 Update: The World’s Top and Bottom Laissez-Faire Countries
The Index of Economic Freedom is a handy source of data for judging whether or not a government has a laissez-faire philosophy.
The Decline of Laissez-Faire
Perhaps it all began when President Lyndon Johnson called Wilbur Mills, chairman of the House Ways and Means Committee. “Wilbur, I’ve just been looking through the polls here, and I’ve only got a few weaknesses, and the worst of them…
Has the Invisible Hand Given You a Nudge Recently?
Encouraging businesses and consumers to interact productively as they pursue their self-interest, Adam Smith’s invisible hand moves a market’s participants.