Saturday, March 23, 2013

The Rational Optimist by Matt Ridley

This book is almost panglosian in its optimism. The book argues well that thanks to trade, fair capitalism really, that life on earth is getting better and better.
 
The book raises some good points-- the future is not a projection of the past. Innovation is accelerating and has been for centuries. That many problems of the past, acid rain, dwindling oil and other resources, limited food production, many diseases, were tackled head on by powering through them, not by cowering, and backing off, thus preventing them from happening. Let people do what they want. They have to decide what's best for them, not me.
 
Restricting trade causes more problems than it solves. The people involved in the restricted trade have less time, and money to engage on other problems. This causes other man made problems, rather than allowing people to engage on actual problems.
 
The optimism turns me off a little bit. I'm reminded of the investment advice "The market be wrong longer than you can stay solvent." For the world then, in general, in aggregate, in the long run, things are getting better. But my life is not a general aggregate long run. It's specific to me. Things can go wrong. I must be ready for it.
 
But don't panic. Deal with the problems.

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