Milton Friedman: “Only a crisis — actual or perceived — produces real change.”

Milton Friedman

There is enormous inertia—a tyranny of the status quo—in private and especially governmental arrangements. Only a crisis — actual or perceived — produces real change. When that crisis occurs, the actions that are taken depend on the ideas that are lying around. That, I believe, is our basic function: to develop alternatives to existing policies, to keep them alive and available until the politically impossible becomes politically inevitable.

Milton Friedman, Capitalism and Freedom, Preface to the 1982 edition.

This could easily have been the quote at the front of America 3.0.

A crisis, or series of crises, are likely to be coming in the years ahead as the economy and government based on industrial era (America 2.0) models fails more and more completely and obviously. The inertia, the tyranny of the status quo, embedded in our existing institutions is going to resist meaningful reform. It will not be an inert resistance, either, it will be attacks on agents of change. To use Clausewitz’s phrase, the defense of the status quo will be “a shield of blows.” Some people will be hurt by the blows.

But it won’t work. It cannot work.

Our task in the book was and is precisely to offer alternatives to existing policies, and explain why our proposed alternatives suit America’s inherited underlying culture, and the technology which will shape our future. Many of the things we suggest in the book have been dismissed as “impossible” even by friendly critics. But as Milton Friedman correctly noted, the politically impossible can become the politically inevitable, if it is an idea whose time has come.

Edward T. Hall on Bureaucracy: “no soul, no memory, and no conscience …”

A key factor in explaining the sad state of American education can be found in overbureaucratization, which is seen in the compulsion to consolidate our public schools into massive factories and to increase to mammoth size our universities even in underpopulated states. The problem with bureaucracies is that they have to work hard and long to keep from substituting self-serving survival and growth for their original primary objective. Few succeed. Bureaucracies have no soul, no memory, and no conscience. If there is a single stumbling block on the road to the future, it is the bureaucracy as we know it.
 
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Bureaucratic and institutional irrationality occur because, of all man’s institutions, bureaucracy in all cultures has a tremendous potential to be counterproductive. This drive toward inefficiency may be a direct consequence of blind adherence to procedure, but it also stems from bureaucratic needs for self-preservation and a vulnerability to pressure groups. The combination is unbeatable.
 
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By their very nature bureaucracies have no conscience, no memory and no mind. They are self-serving, amoral and live forever. What could be more irrational? Changing them is almost impossible, because they function according to their own rules and bow to no man, not even the President of the United States. Custom, human frailties, and the will to power keep our bureaucracies going. … Paradoxically, most bureaucracies are staffed largely with conscientious, committed people who are trying to do the right thing, but they are powerless (or feel powerless) to change things. None of which would be so serious if it weren’t that these are the very institutions on which we depend to solve all our major problems. Some answer must be found to bureaucracy. It is not social injustice capitalized upon by political leaders that causes revolutions. It is when bureaucracies become so top heavy and inefficient that they are incapable of serving the needs of the people, that governments fall.

(Emphasis added.)

Beyond Culture (1976), Edward T. Hall

This article provides an overview of Hall’s thought.

Edward T. Hall’s Beyond Culture was cited by Jonathan Fletcher in his excellent essay Culture-mapping: A framework for understanding international B2b decision-making, which I discussed in this post.

Bureaucracy on the life-destroying scale described by Edward T. Hall is an industrial era phenomenon. Only a bureaucracy can turn ordinary, decent people into participants in gigantic atrocities that go on and on, and absolve the people who operate the government machine from personal responsibility for the consequences.

In America 3.0 Jim Bennett and I refer to Industrial Era America as “America 2.0” — an era which is ending, and a new post-bureaucratic, post-industrial era, America 3.0, is struggling to born. Edward T. Hall helps us see that there is a lot about the old world that will not be missed.

Quote of the Day

“Usually the things people get scared about are not the things that end up causing big problems. “It’s the unexpected, always” as Keynes said. The guy who has ten guns and a bug out bag probably faces more risk from being overweight and having no retirement savings.”

Jonathan

ADDENDUM:

“Not that there is anything wrong with having ten guns.”

— also Jonathan

Quote of the Day

Richard Epstein, Rand Paul’s Fatal Pacifism:

There is nothing in libertarian theory that justifies dithering at home as conditions abroad get worse by the day.

This point has been one of the main differences among people who consider themselves libertarian. Libertarian isolationism in response to threats of aggression from overseas is like a self-defense strategy in which you let an assailant shoot at you before you think yourself justified in shooting back. In reality you sometimes have to take preemptive action if you want to survive. Life isn’t a court of law where you have the luxury of due process before deciding if you are justified in punishing the accused. An individual, group or nation that behaves in a way that reasonable people see as threatening should have no expectation of being left alone by potential victims.

Quote(s) of the Day — one from a review of America 3.0

Arnold Kling has a nice quote about the relative importance of cultural over institutional factors. If for some reason the US Government stopped working overnight, the American people would not be plunged into chaos. We have a culture which would permit us to voluntarily organize much of what we need to do. As Mr. Kling put it:

[T]he cultural margin is more important than the institutional margin. … [T]here are no societies in which anarchy will work well but government would work poorly, or vice-versa. Instead, on the one hand there are well-developed cultures, which could have good government or good anarchy, while on the other hand there are poorly-developed cultures, which could have only bad government or bad anarchy.

Arnold Kling

If you are not currently making a daily visit to Arnold Kling’s blog Askblog you must begin doing so.

Note also, Arnold Kling’s review of America 3.0, entitled America’s Past and America’s Future.

He concludes:

The vision that Bennett and Lotus put forth is not the technocratically-run national system that most contemporary politicians and pundits presume is ideal. Nor is it the philosophically-driven rights-based society that libertarians might prefer. However, if the authors are correct in their cultural anthropology, then their idea of America 3.0 is what fits best with our culture.

This is a nice summary of the future we hope to see in America.