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Forbes Media Chairman Steve Forbes and AEI’s Arthur Brooks on the benefits of a free-market economy.
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Greed is -- past few -- people talk about today's greed but a lot of people have always been greed greed to constant.
The beauty of -- free market though is that it harnesses greed so pursuing profit produces good stuff for most everyone.
The way to get rich and a free market is to serve your customers well.
I think that makes the market more maybe -- should use the word greed I should call it enlightened self interest.
Two people who've done more than most anyone to explain how capitalism is moral are seeing for its author of the new book freedom in a faster -- Free markets -- moral.
And big government is.
And Arthur Brooks -- -- American Enterprise Institute Arthur you recently made a video that tries to explain the morality of free enterprise it's already been viewed.
A 100000 times on YouTube before we talk about greed let's play this part of the of your -- Since 1970.
The worst poverty in the world which is to say the percentage of the population that lives on -- dollar -- -- -- less declined by 80%.
80% of there's been no achievement like that in human history.
Billions of people have been lifted out of poverty it's the most amazing thing that humanity has ever accomplish.
Somewhat -- It was an incredible success in the United Nations.
-- -- central planning of the International Monetary Fund or mobile for an end.
-- it was globalization.
He was free trade it was entrepreneurship.
Property rights.
It was -- long and -- and he was free enterprise that saved almost people and if we want more prosperity and not just price for people all over the world in world war.
We have to stand up for the freighter priced it's truly the system for good samaritans.
Most people.
Don't believe that I would say most people think it is the you -- -- for Nader central planning China China's boom.
Right that's -- it turns out that that what -- China.
Was that since 1980 they've opened up to foreign trade but they're still a totalitarian dictatorship is a lot of stuff wrong.
One of the things they've gotten right is empowering entrepreneurs and opening up to trade with United States which since 1980 is up a 1000%.
But also they started on her private property around exactly there's only wanted to have this graph that shows how China has boomed.
Just since they started central planning but when they recognized private -- that's right that this is literally what we've seen since 1980.
Has lifted 400 million Chinese -- -- poverty.
But Steve I would say most Americans think trade.
Hurts the average American or certainly the guy working in the factory is if -- with China he's losing -- job to somebody in China.
Well this gets -- your introduction on the word greed.
Agreed in people's minds mean taking something that doesn't belong to you.
What do you in the free market what you have -- transactions.
You want something I want something we have an exchange money makes it much easier they might well want a treasury bill and -- want -- pair of socks we make a swap.
And so -- that way we each get something.
And we have a free market where people can do things you know -- and try things and see what people want to see free markets and this is what the UN won't tell you.
It's free markets is about meeting the needs and wants of other people governments about meeting its own rates.
And -- is right.
Forty million companies in China.
Or what is driving that economy not the state owned companies but the perception is free markets are cold immoral under actually the opposite they're the biggest break her down of barriers between people we may not -- neighbor but you sure -- associated -- Brings about we've taken for granted John in this country.
But if you start -- -- you want the best people possibly could you want to succeed.
That's new in human history before you rarely -- trusted anyone beyond your immediate family or community or ethnic group.
Commerce breaks down those barriers so people whether -- or not they're cooperating with each other.
Think about it this way were all all three of us we descended from immigrants most Americans and from -- I bet you're great grandparents John didn't come to America saying.
I wanna get to America for a better system of forced income redistribution.
I -- my father and -- but I.
I have no yeah I bet -- that your answers came here to clean toilets and as a repaired -- he came here to be rewarded for his hard work and merit for the first time in his life.
That's what markets allows them to the the great equalizer.
I work harder I innovate I get rewarded and happen and other countries that's why.
Markets are not about greed.
Markets are about a better life through -- success but the poor I'm told are left behind Paul Krugman talking about Paul Ryan's budget.
-- is Paul -- explicitly is trying to make life harder for the poor.
Yeah that's that's completely false hopefully a lot of if your argument about dependency by you you wanna cut off all these programs and make the poor.
Suffer for it actually I don't -- what I wanna do is for the truly poor in this country we need two things we need relief and we need opportunity.
If you want to guarantee relief to the most in digit -- -- society.
You must have a functioning economy you and I will be inconvenienced.
By a debt crisis in this country which will come we don't change course.
The poor will lose everything and that's catastrophic and has and that's where they need bigger programs they said.
Crew themselves once your for your always -- he assumes like we're still on medieval Europe want to hasn't always has -- here you become -- landlords -- but I think addressed the criticism because what they're saying is that.
We you wanna costs are gonna punish -- -- Chris Matthews put -- they believe the way to get rich.
Is is to work harder and give the rich people more money that'll help them the way to get the poor people to work harder is to screw the -- take away their pets and now it takes away they've been.
Tendency so they're not that dependent on Uncle Sam gives them a sense of empowerment allows them to get skills -- star.
-- the F food -- ever heard of food stamps you know thirty years ago Chris Matthews would -- said we should have a program for everyone gets a cellphone.
That cost -- 3195.
Dollars you know today if Chris Matthews -- had his way Krugman had its way.
We 101995.
Dollars they'd be decrying selfish cellphone makers and the like.
And that we have like we have healthcare scarcity to abundance creating resources that's what about not -- static mind of -- evils economy.
Nobody wants to throw granny out in the snow nobody wants to take away all services for the poor what we wanted to make sure people don't become dependent -- people still live an opportunity society.
And the rest of us actually are on our own to make our own way to earn her own success to -- a dignified life in which we can say I earned that thank you Arthur Brooks and Steve Forbes.
