Why Capitalism?

In this polemic, Meltzer (A History of the Federal Reserve) brings forth argument after argument to show how for all of its flaws, “there is no better system for providing growth and personal freedom” than capitalism. Grounded in Kant’s dictum that “most of the faults and flaws on which critics dwell are human faults,” Meltzer defends capitalism while criticizing communism and socialism, the role of government and governmental policies (both historical and current), and the idea of redistribution of income. Too-big-to-fail and fiat currency also have their place in the mix, his choice of topics being both timely and pertinent. Out of these topics, it is government’s reach, policies, regulations, and expansion that seem to have captured the author’s attention. He sums up his stance succinctly: “Much regulation invites corruption, arbitrary decisions, and circumvention.” Reading more like a collection of essays than anything formal, the book is both powerful and opinionated. At times critical and at others solution oriented, Meltzer delivers his ideas in a manner that feels like an extended lecture, intent on demonstrating that it is because “democratic capitalism is not a rigid orthodoxy” that it remains viable. (Mar.)