Learn To Do A Presentation

Michael bierut on how to write an abstract step

So, as we see, Hayek proceeds from limitation of human knowledge. The human consciousness in a bigger measure is based on imitation, than on intuition and reason. The most part of knowledge not the first-hand experience or supervision, and continuous process "gives us transmissions through itself" the acquired traditions - process which necessary condition is recognition and observance by the individual of the moral traditions which are not giving in to justification from a position of the standard theories of rationality.

Apparently from all aforesaid, the harmful self-confidence which is the cornerstone of ideas of socialism is that false prerequisite thanks to which and the theory cannot be true. Is it worth being deceived and grieve again about that system which initially was false?

On all above-mentioned of the critic of socialism does not come to an end with Hayek. Hayek pays the attention to idea of regularity which is extremely widespread in the socialist states. But about everything one after another.

In fact, under the name of neoliberalist not one acts, and some schools. It is accepted to carry to this current Chicago (M. Fridmen), London (F. Hayek), frayburgsky (W. Eucken, L. Erkhar schools. All of them are united by rather a community of methodology, but not conceptual provisions. One them them adhere right (opponents of the state, preachers of absolute freedom), others - left (more flexible and sober approach to participation of the state in economic activity) to views. Supporters of neoliberalism usually criticize Keynesian methods of regulation of economy. Some of them, for example N. Berri, A. Lerner, reject not only Keynesian, but also monetaristic recipes, accusing these schools of hobby for macroeconomic problems to the detriment of microeconomics. Neoliberal economists pay paramount attention to behavior of the certain person, economy of firm, decisions made at the microlevel.

Implementation of the plan, overfulfillment, five-years period - these words are well familiar to all who lived in the socialist states. Each five years people waited for the next plan (usually after its acceptance published it in newspapers) to learn how they will live in generally difficult foreseeable future (five years are not month, not two, it is very big term during which everything can change more than once). People learned that for them waits to what it is necessary to aspire. But unless it is possible to capture such huge volume of information, to consider all necessary facts (and often these facts are unknown) in one, even if carefully developed plan? How it is possible to solve for some years ahead, what requirements people in what they will consist will have? What expenses and in what volume will be necessary for satisfaction of these requirements? It is clear, that it is almost impossible task for mere mortals, even if and holding high posts in the state. Above it was already told about limitation of reason, about impossibility of the accounting of all factors consciously. Therefore you should not repeat.

Hayek considers that the leading role in formation and distribution of practical current knowledge of economy belongs to the mechanism of the market which through system of the prices, change of a ratio of supply and demand, advertizing, etc. systematically tells information that, where, as when to make, buy and sell and by that provides coordination of actions of participants of the market. The market, thus, is considered as the peculiar information mechanism providing not fragmentary, but system knowledge of economy. From these positions Hayek enters polemic with other representatives of neoclassical school considering that the market represents the social mechanism distributing limited and besides the known volume of resources according to the volume and structure of needs of buyers. From the point of view of Hayek if the problem consisted in such distribution, the market with the competition inherent in it would not be necessary. The system of planned distribution of production products from the uniform center quite would cope with such task. The market, Hayek claims, has such advantage that he is able to distribute effectively those resources which were not earlier and could not be considered, on the economic purposes which were not earlier and could not be revealed. The competition, Hayek wrote, it is an effective way of the direction of unknown resources on the known purposes. The market can carry out these tasks, Hayek notes, that he is able to reveal, extend and effectively to use earlier unknown data on requirements, resources and technologies, that is to act as specific information system.

Later the individual property on short-lived subjects began to appear. It gained the development when in big groups, tribes began to weaken, and responsibility for small groups, families are more exact, began to grow. Also there is a private property on the earth. She grows up from group because of need to keep inviolability of fertile grounds.

The word "social" is used in phrases with many nouns (their number exceeds one and a half hundred). However Hayek considered that expression "social justice" has the most destructive force.

"It is possible to understand in a certain degree communication between the phenomena, but it is impossible to operate them. The economic science is hardly capable to formulate forecasts, it is only able to describe types of events, to plan tendencies".