Financial Street Telegraph/Du Meng: The economy needs more planning—that is, the central planning independent economist Du Meng: The economy needs more planning — that is, central planning?

<h1 class="pgc-h-arrow-right" > independent economist Du Meng: The economy needs more planning – that is, central planning? </h1>

Original Financial Street Telecommunications/Science, Freedom and Prosperity

The economy needs more planning

- that is, central planning?

© Text/ Lawrence Reed

&gt;&gt;Lawrence W.Reed&lt;&lt;

Thanksgiving is only one day a year. But because we have so many things to be grateful for, maybe every day can be used to be grateful. G.K. Chesterton said, "I insist that gratitude is the highest form of thinking, and gratitude is the doubling of happiness brought about by miracles." Ponder this phrase, especially the word "miracle" used by Chesterton. The word means "awe" or "amazement." People lack gratitude often because of a lack of reverence or a lack of wonder, despite the extraordinary beauty, talent, and achievements that surround us. The astonishing mistakes and misfortunes of the world stem from too few "surprises." Those that should amaze all of us, others take for granted, even entitled. Obsessed with the answer to almost everything, "leave the government in charge," I think, sometimes they don't even notice that the endless miracle stems from the political power they worship. We are sometimes moved by great music and tears come out of our eyes. We enjoy an inexhaustible supply of labor-saving, life-enriching inventions. We are surrounded by the abundance of the market, from food to shoes to books. The far reaches we can reach in a matter of hours, the earlier generations took a month. In the United States, life expectancy for 60-year-olds has increased by about 8 years since 1900, while life expectancy for newborns has increased by an incredible 30 years. The first three leading causes of death in 1900 were pneumonia, tuberculosis and diarrhoea. Today, we live healthier and longer enough to die mainly from diseases related to functional degradation and aging in the body, such as heart disease and cancer. Technology, communications, and transportation have advanced tremendously over the last century, and there is hardly a library in the world that can capture all those amazing achievements. I was amazed that I could call a friend in China from my car or find the nearest café on my Apple phone with an "app" (app). Whenever I take a flight from the East Coast to the West Coast, I am amazed, but the neighbor complains unhappily that the flight attendant did not add ketchup to his omelet. Nothing that should elicit an astonishment is inevitable, automatic, or guaranteed. It all unfolds before our eyes, relying on incentives, self-interest, and profit motives—from those who unleash their creative talents on us not because they are commanded, but because they are rewarded and fulfilled. Some are shocked, grateful, and rejoicing; others are seen as glare, jealous of the virtuous, complaining and demanding; others turn a blind eye and plunge into the ambition to manage the world concretely and subtly according to their grand designs. When I'm outdoors, at least with a focus on nature, my senses are always very sharp. Plants, animals, stars — all these "things" fascinated me. I wondered what the weed was called, where the bird was flying, why it was going there, and what was the name of the star. Not long ago, I was taking my dog for a walk, and I was struck by one natural miracle after another—in the midst of a gorgeous Georgia morning, fragrant honeysuckle bloomed everywhere, and then fell into the eyes of a cluster of stunning roses in the neighbor's courtyard, and when I returned home, clematis and hibiscus flowers planted a few weeks ago were fighting for color. I am often filled with deep awe of a world far beyond my comprehension—and far beyond the ability of mortals to imitate replication or centralized planning. In his unforgettable Nobel Prize-winning speech in the autumn of 40 years ago, Hayek brilliantly articulated this point: "In the efforts of mankind to improve the social order, if he does not want to be self-defeating, he must understand (... He could not have gained sufficient knowledge to dominate the course of affairs. Therefore, he cannot use his knowledge to shape the results like a craftsman molded a vessel, but must provide a suitable environment to maintain the growth of flowers and plants like a gardener. "The central planner will no doubt think that, like a beautiful potted tree or rose plant, man needs to be finely cut (and his first priority is to enjoy the cut at every moment). You can take a potted tree or rose plant, prune and prune the leaves, bundle and bind it to get satisfactory results. But if you apply the same to your fellow citizens, you will find that they will never again pluck branches and leaves and their lives bloom. Admittedly, the use of the natural world as a metaphor for human practice is fraught with limitations. My intention is simply to provoke the reader to think about human beings themselves. Remembering that humans are not robots by nature is beneficial to this thought process. We can't be planned as easily as a machine has to be programmed by a programmer. When we are young, our parents are our central planners; but once we are adults, at some point, our parents should let go and let us develop freely. When the environment leaves each of us free to plan for ourselves, we have the possibility of further growth. That's how amazing things can happen. FEE founder Leonard Reed wrote a classic article in 1958: "I, Pencil." This article explains a deep and subtle truth: no one in the world knows how to make a simple pencil, but pencils, and more complex things, are produced ship by ship. If you think that you can plan an economy for millions of people with one person, it is a stupid idea. The more one wants the miracles of the world to be witnessed before one's eyes, the less one should play the role of the God of other people's lives, especially the God of the economy created by the scattered decision-making of billions of trillions of people. One more thing to say about the "plan". The question is not whether there will be a plan. As the wise observer of human society has pointed out, the problem lies in the fact that the personal plans of those with little power are replaced by the plans of those who are powerful. As Hayek said, "The more national plans, the harder it is for individuals to plan." "Progressive" intellectuals and their followers are in awe of what they think they can achieve with the power of government. But if they pause for a moment and pay attention to what they have overlooked, they may get useful inspiration from the smell of the treasure. Like the rest of the natural world, what real life in a free environment actually accomplishes is all the more worthy of our awe. Summary ★ Keep an eye out for the wonders around you. Perhaps far beyond your imagination: they do not stem from the top-level, top-down central plans of the wise planners of government, but are the product of countless individual dreams and plans and their personal initiatives. ★ Central planning as an economic framework is rooted in what Hayek called "pretending to be knowledgeable." No group of people, no matter how much government power they have, knows very little, very little, about the knowledge necessary to plan an economy.

One more person learns economics, and the prosperity will have more to guarantee the strength of the moment, and the victory or defeat of the thousand autumns lies in the reason.

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#Fifty Independent Economists #Executive President of China Doctoral Association Du Meng, President of CECU China Enterprise Capital Alliance, famous independent economist, Doctor of Economics, is known as one of the four major financial geeks in China and a ghost town doctor. He is a member of the Peking University branch of the Kuomintang Revolutionary Committee. Representative works: "Monetary Science", "Money and Banking", "Introduction to Investment Management", "Real Estate Development and Operation", "Ghost Town Theory", etc. He has presided over the daily operation and management of the group headquarters and listed companies, controlled the investment areas and subsidiary companies to which he belongs, the development area of tens of millions of square meters, has the working background of the main person in charge of domestic and foreign listed companies, the dual work experience of capital operation and real estate investment and development, and is a representative figure of the academic and practical schools in the financial and real estate circles; he has served as an enterprise executive of different backgrounds such as military enterprises, state-owned enterprises, school enterprises, and listed groups.

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