Santa Claus and the Mythology of Centralized Systems

"The real process, though perhaps less mystical, is no less enchanting."

https://spectator.org/cartoons/

The Foundation for Economic Education

Like other centralized economic schemes, we can only continue to believe in the myth of Santa Claus if we also believe in magic.

You Can't Suspend the Laws of Economics  "Last year, the USDA satirically issued an APHIS permit to Mr. Claus to be able to freely move his reindeer in and out of the country as necessary, but this flippant gesture sheds light on the countless regulatory hurdles that are characteristic of centralized authority. 

"Try as we may to suspend the laws of governments in order to enable Santa Claus to complete this impossible project, we simply cannot suspend the laws of economics (or physics, for that matter). Resources are scarce and have alternative uses. Preferences are subjective and not always easily understood or communicated. Knowledge is distributed, but prices established through trading in the market can help communicate relative preferences for more optimal resource allocation. Like other centralized economic schemes, we can only continue to believe in the myth of Santa Claus if we also believe in magic.

"The real process, though perhaps less mystical, is no less enchanting. To the extent that each person around the globe is relatively free to pursue their interests, through specialized labor and voluntary exchange in the marketplace an order emerges. It matters not if we share a common mythology, language, culture, or even if we desire the same ends; order emerges. It certainly isn’t perfect, but it is just perfect enough that we are able to give the credit to a mythical figure and his multitude of magical makers, and wide-eyed children see plausibility in that story. 

"But just as children grow from believing in Santa Claus to playing an active role in being Santa Claus, so too do we grow to look beyond the myth of magical central planning and to play a part in the distributed system of the market, for that is where the magic of Christmas is repeated every single day." . . .