Quote of the Day: Ideas as Cultural Currency

The monopoly currency of cultural evolution is ideas. Ideas can only be generated when an alert mind senses a further or more powerful meaning implicit in an already established idea or body of ideas. Once such an infant idea is broadcast out into the public square of reflection and debate it must be attacked, recast, or whatever to find acceptance or be overwhelmed. Only along this tortuous path may a new idea be widely accepted into the prevailing body of knowledge.

That’s from Richard Abel, author of The Gutenberg Revolution, as interviewed by Anthony Wile at the Daily Bell

How Economic Freedom Erodes India’s Caste System

From Economic Times India, (bold emphasis mine)

On the face of it, entrepreneur Ashok Khade is just another one of India's growing wealthy, heading a successful $27 million infrastructure and oil and gas business group that employs 4,500 people.

But the 56-year-old is a rarity, as he belongs to India's dalit, or "untouchable" classes, who for centuries have been anchored at the bottom of Hinduism's caste system and remain among the most exploited and despised.

The opening up of India's economy has helped bring in some mobility in the rigid social hierarchy, leading to a gradual rise in jobs and opportunities for India's poorest and even created a new breed -- the dalit millionaire.

Khade, a first-generation businessman who now drives a BMW, battled poverty and discrimination as a child in a village near Sangli in Maharashtra state, about 400 kilometres (250 miles) from India's financial hub, Mumbai.

Not only has economic freedom been expanding people’s choice—to avail of or harness more economic opportunities—for them to advance (unless they are mentally resigned to comply with local customs), but has also been instrumental in reducing class discrimination or class inequalities by providing “some mobility in the rigid social hierarchy”. In short, economic freedom and free trade changes culture.

Quote of the Day: Trade Spreads Culture

Every increase in trade facilities aids in the spreading of cultural values; and, contrariwise, every interference with trade results in a corresponding retardation of cultural progress. In other words, the freer the trade, the greater the advance in civilization, and the more restrictions there are on trade, the surer will be the retrogression of civilization.

That’s from the great Frank Chodorov in the 1940 essay “Civilization or Caveman Economy?” (source Café Hayek’s Don Boudreaux)

Free Trade’s Influence on Culture

Even a culture of hate, bigotry and intolerance can be reformed by free trade.

From the Slate, (hat tip David Boaz)

If a century seems like a long time for a culture of racism to persist, consider the findings of a recent study on the persistence of anti-Semitism in Germany: Communities that murdered their Jewish populations during the 14^th-century Black Death pogroms were more likely to demonstrate a violent hatred of Jews nearly 600 years later. A culture of intolerance can be very persistent indeed.

Changing any aspect of culture—the norms, attitudes, and "unwritten rules" of a group—isn't easy. Beliefs are passed down from parent to child—positions on everything from childbearing to religious beliefs to risk-taking are transmitted across generations. Newcomers, meanwhile, may be attracted by the culture of their chosen home—Europeans longing for smaller government and lower taxes choose to move to the United States, for example, while Americans looking for Big Brotherly government move in the other direction. Once they arrive, these migrants tend to take on the attitudes of those around them—American-born Italians hold more "American" views with each subsequent generation.

"Good" cultural attitudes—like trust and tolerance—may thus be sustained across generations. But the flipside is that "bad" attitudes—mutual hatred and xenophobia—may also persist.

How trade changes culture... (bold highlights mine)

Not all cities like Würzburg were so unwavering in their anti-Semitism, however. Those with more of an outward orientation—in particular, cities that were a part of the Hanseatic League of Northern Europe, which brought outside influence via commerce and trade—showed almost no correlation between medieval and modern pogroms. The same was true for cities with high rates of population growth—with sufficient in-migration, the newcomers may have changed the attitudes of the local culture.

The simple point is that trade promotes social cooperation and has the power to change beliefs and culture. And the above is an anecdotal evidence of this.

Once again this validates the theories of the great Ludwig von Mises who wrote,

The market is that state of affairs under which I am giving something to you in order to receive something from you. I don't know how many of you have some inkling, or idea, of the Latin language, but in a Latin pronouncement 2,000 years ago already, there was the best description of the market — do ut des — I give in order that you should give. I contribute something in order that you should contribute something else. Out of this there developed human society, the market, peaceful cooperation of individuals. Social cooperation means the division of labor.