chapter  11
10 Pages

A Final Summing Up

A swing to any extreme, as we have experienced with conservatism in recent decades, tends to bring forth the outstanding flaws of the system. As we noted in Chapter 5, the planned economies of Eastern Europe and China, with their preoccupation with full employment and equitable income distribution, lost the ability to motivate people to work hard, innovate, and produce excellence in all its endeavours. The result was a collapse of the planned state economic system and a swing to the other extreme where there are massive inequalities in income and many who would be willing to work cannot find a job. The democratic mix of markets and civil values enabled the capitalist system to win the war with communism. In the last quarter century, however, there has been a· slow erosion of the civilized economic base and a slippage towards the barbaric laissez-faire system that required a significant number of people to be relegated to a perpetual underclass to maintain an inflation free environment.