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Life before industry by Donald Boudreaux‏

Para los románticos de los tiempos pasados.

Destaco:

• "For 1751 the (life-expectancy) figure for both men and women in England and Wales has been estimated at 36.6 years. ... (B)etween 50 and 60 percent of London-born children died before their tenth birthday."

• "Pyorrhoea and scurvy were rampant. Both would loosen teeth. ... The leading French dentist Fauchard recommended one's own urine for cleaning one's teeth: always handy."

Enlazado por Francisco Capella.



Revolutionary-era America has always fascinated me. With tri-cornered hats atop the heads of men as wise as they were learned, and with ringing words issuing forth to proclaim the value of liberty, the 18th century looms in my mind as a time of greatness and of giants.

Of course, I'm not alone. Many Americans romanticize the 18th century. That time is taught to schoolchildren in the U.S. as one of triumph -- triumph not only for Gen. Washington and his troops but, more grandly, for the ideals of freedom that have been achieved nowhere as successfully as in America.

And it was indeed a great time in many ways. It's a time in history that I would very much love to visit.

But only for a short while.

When we romanticize the past, we overlook its faults. The past takes on a kind of Disney World cast. America on the verge of revolution is envisioned by 21st-century Americans as the Colonial Williamsburg that thousands of tourists visit each year -- an America of quaint costumes, cozy Colonial-style restaurants, and fun displays and re-enactments.

In fact, though, daily life in the 18th century bore little resemblance to the "life" we see at Colonial Williamsburg. Being preindustrial, everyone but royalty and the upper-crust nobility of that era was oppressively poor by our standards.

The wealthiest place in the world in the 18th century was London. Yet if you think you'd be content living then and there, you might want to read Liza Picard's book "Dr. Johnson's London" -- which is a lively account of everyday life in mid-18th-century London. I'll bet this book will change your mind.

Consider these reports from Ms. Picard's wonderfully evocative book:

• "London street dirt ... was a rich, glutinous mixture of animal manure, dead cats and dogs, ashes, straw, and human excrement. ... We complain of the pollution caused by petrol-driven engines. Imagine the sheer volume of faeces and urine excreted by the engines of eighteenth-century traffic -- that is, horses -- let alone the dung of the herds and flocks being driven through the streets to markets and abattoirs."

• London's water supply was contaminated with "the effect of rotting elm and lead, not to mention the miscellaneous refuse, dead dogs, and so on that found their way into the supply."

• "The kind of space we take as normal, at least separating children from parents at night, and having a room for sitting and watching television and doing homework, was a luxury only the prosperous enjoyed."

• "Nearly everyone had carious (decaying) teeth, even small children."

• "Riding in a chaise or chariot counted as exercise -- which shows how even the most improved vehicles bumped you about."

• "Butlers were entitled to keep and sell the ends of candles, an expensive commodity in the eighteenth century."

• "In the country the roads were abominable unless they had been 'turn-piked' and were maintained by a private company which charged for its services."

• "For 1751 the (life-expectancy) figure for both men and women in England and Wales has been estimated at 36.6 years. ... (B)etween 50 and 60 percent of London-born children died before their tenth birthday."

• "Pyorrhoea and scurvy were rampant. Both would loosen teeth. ... The leading French dentist Fauchard recommended one's own urine for cleaning one's teeth: always handy."

• "Soap was a major item in a family budget."

• "The life of a skilled or unskilled man or woman in the middle of the eighteenth century was unenviable. Hours were long, from five in the morning till seven at night from mid-March to mid-September, otherwise dawn to twilight, with one and a half hours off for meals, for a six-day week. Christmas, Easter and Whitsun were the only official holidays."

• "Working life began young. ... Master chimney sweeps took as many as four children at a time to do the dirty work, since none of them lasted very long, soot being carcinogenic. In 1785 Jonas Hanway estimated that there were about 550 climbing children in London. They were sometimes sent up even when the chimney was on fire. Extinguishing burning chimneys was the most profitable part of their master's business. They worked in soot and slept on soot, and had no way of cleaning themselves."

The above descriptions of life in the 18th century's wealthiest place warn us against romanticizing the past -- even a past as inspiring as revolutionary America. As important as the American Revolution was for preserving Americans' political freedoms, the Industrial Revolution was just as important for creating the high standard of living that we today take for granted.

88 keys to economy By Donald Boudreaux‏

Boudreaux explica la crisis actual de una manera magistral.



Suppose that several years ago Uncle Sam -- pressured by the powerful lobbies of piano producers and piano teachers -- adopted policies to encourage the manufacture and purchase of pianos. Tax deductibility for piano purchases, along with special government-created agencies designed to make credit artificially inexpensive for piano buyers and manufacturers, were used to ensure that no American household was denied the dream of easy access to a grand or upright piano.

Pianos, being beautiful to behold with eyes and ears, were indeed produced and purchased in record numbers. Families that otherwise would not have purchased pianos actually did so because of these government efforts to promote these exquisite musical instruments.

Politicians and the punditry were well-pleased. The rate of piano ownership soared to an all-time high. Citizens took pride in owning their very own pianos, as well as in knowing that their country was so prosperous and humane that piano ownership was spreading across the land.

And piano teachers and piano tuners were hired in record numbers. Wages for these occupations rose. Many young men and women who might have trained to become nurses or carpenters or clarinetists became, instead, piano teachers and tuners.

Piano production, retailing, delivery, maintenance, repair and instruction all boomed. "The piano industry is a mainstay of our economy," many all-knowing talking heads explained.

But a few discordant notes eventually were heard. Because consumers' demand for pianos was never really as strong as government policy made it appear to be, some creditors who lent money to piano buyers or piano producers started growing anxious. "Will the demand for pianos remain artificially high long enough for me to be repaid?" many of these creditors wondered -- at first to themselves, but then more vocally.

These (reasonable) concerns gripped increasing numbers of creditors. Concern became panic. Even with government subsidies, creditors no longer wished to lend money to anything or anyone associated with the piano industry.

Demand for pianos collapsed -- and along with that came the collapse of demand for the services of piano makers, retailers, tuners and teachers.

"Greedy business people seeking a quick buck nearly destroyed this vital industry, thus threatening the entire economy," politicians all said in unison. "We must legislate to ensure that such a financial fiasco never happens again.

"But in the meantime," these politicians continued, "we must also stimulate the economy with spending to combat rising unemployment."

Pundits -- along with many of the land's most prominent economists -- agreed wholeheartedly: "Without massive government spending, the economy will collapse."

So Uncle Sam spent. And spent. And spent some more. Much more.

Some lonely souls wondered, however, what it was, exactly, that this spending was supposed to stimulate. After all, once it was clear that too many resources were invested in the piano industry, it was equally clear that these resources (including many workers) would have to leave this industry and find employment in industries that did not depend upon government to inflate consumer demand for their outputs.

This process of paring down the piano industry and building up other industries necessarily takes time. During this time, an unusually large number of workers are unemployed. This unemployment is the sad but inevitable result of the inappropriate investments made earlier in the piano industry.

So if the "stimulus" spending is to keep unemployment from rising, it would have to reinflate demand for pianos. That's the only way to avoid the time-consuming process of workers being laid off from the piano industry and finding jobs elsewhere.

But because the root of the problem is an artificially inflated demand for pianos, reinflating the demand for pianos only delays the day of reckoning.

If, instead, the stimulus spending does not reinflate the demand for pianos, then it won't prevent unemployment from rising. Workers laid off from the piano industry will not all find new jobs immediately. They'll be unemployed for a time.

The lonely souls who dared to question the received wisdom that stimulus spending is a "must" were informed that no industry would grow without stimulus. The pessimism spawned by the collapse of the piano industry spread like cancer throughout the entire economy. "Only government spending can kill this cancer," pronounced the pundits.

The lonely souls, though, would not be quieted. They asked: "Why not simply cut taxes throughout the economy? By allowing producers and risk-takers to keep more of what they produce, they'll be encouraged to expand successful businesses and to start new ones in search of profit. That's how economies grow and real jobs are created."

Alas, the lonely souls were not heard. Stimulus funds were spent in unfathomable quantities, yet the economy remained depressed.

Our little piano fable takes us to where we are in America today. It's too bad that the voices of the lonely souls are being drowned out by the cacophonous screams of the stimulus crowd.