From Bill Bonner, Chairman, Bonner & Partners:
GENEVA, Switzerland – When we left you Friday, we were describing why neither democracy nor central planning works on a large scale.
Austrian School economist Friedrich Hayek described the problem with great thoroughness in his book The Fatal Conceit.
Central planning is a necessary feature of life. We have to plan our day… our year… our business… our vacations… our budgets – we plan for everything in our lives.
And generally speaking, the better we are at planning… and at following through on our plans… the better things go.
Naturally, we assume that this sort of planning will be helpful at all levels – from our personal schedules to an agenda for the entire nation.
But there’s a problem: Planning requires detailed knowledge of our goals and resources.
Along Come the Feds…
If you’re going to build a factory, for example, you need a lot…