Why America is NOT Going Totalitarian

Tea Party Economist reports:

We distinguish between microeconomics and macroeconomics. Microeconomics has to do with individual decision-making in a private property system. Macroeconomics has to do with how an entire economy functions.

Austrian School economics teaches that we should begin to study macroeconomics by studying microeconomics. Macroeconomics can be explained only as the outcome of microeconomics. What an individual does in a private property legal order can be explained in terms of economic theory: profit and loss. What the entire economy does can also be explained in terms of individual profit and loss. Any system of macroeconomics whose defenders assert its autonomy from microeconomics is an illusion. Cause and effect in economic theory begin with individual decision-making.

The question is this: Who holds the hammer? Who has final authority: the customer with money or the business with products? The Austrian School is clear: the customer with money, which is the most marketable commodity. Money is the hammer.

An article well worth your time.