Thursday, January 8, 2009

An Economic Council at the UN

An economic report from Europe states that German Chancellor Merkel said the International Monetary Fund has not managed to regulate global capitalism, and she called for the creation of an economy body at the United Nations, similar to the Security Council, to judge government policy.

Is she serious? The United Nations having an economic council with delegates from countries with collapsed economies such as Argentina, Venezuela, Cuba, Chad, Iran, Zimbabwe, North Korea and many other such examples of failure will judge the value of economic policies for the whole world. I am sure that this will lead to an economy that mirrors the successes of the Security Council in implementing peace and stability around the world.

You don't fight problems created in many cases by economic bureaucracies by adding a new layer. With every bureaucratic strata added to the United Nations, countries lose a little more of their independence and responsibilty. If leaders want to help the economy, let the failures fail, and let the successful reap the rewards of their efforts. A system that despite its cruelty is ultimately efficient.

A global economic council a hundred years ago would have made sure that economies preserve the horse and buggie. After all, millions of persons around the world depended on them for employment and transportation.

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