Naked Economics, by Charles Wheelan
The Prince, by Niccolò Machiavelli
This month takes us to a couple of tell-it-like it is versions of socio-economics, from Machiavelli’s stark discussion of what no one wanted to say about politics in 1512, to Wheelan’s comforting discussion of what everyone wanted to say about Capitalism in 2002. The Prince is written as a primer to young rulers, an alarmingly honest and practical instruction manual to supplant the Christian humanist lessons that new princes might normally receive at that time. The stated goal of Naked Economics is to break through the drear of the undergraduate study, cast off the bowties of the professorial set, and present the field of economics as the exciting and intuitive subject it actually is. Maybe we all imagine ourselves princes now. Or something.
I’d call Wheelan’s effort, to make economics an intuitive art, a success. His book is well-written and makes its points in plain, clear English that people outside of the field (including myself, and also my wife) can easily follow. He’s got a cogent global picture of economic theory and a sensible framework for its applications, and even while name-dropping half a dozen Nobel Laureates, he managed to tell me everything I thought I already knew, and who doesn’t appreciate that?
Wheelan uses the skills of a good lecturer, laying out a hierarchy for understanding, that is, helping the interested student to stress what, in the mass of dull explanation, is the underlying idea and which are the more illuminating and useful details, which is an especially handy tool when your input is not so much a dry textbook, but endless piles of magazine articles and blog posts of varying levels of crackpottery. Maybe I’d rather have gone for an intermediate-level understanding, but Wheelan’s fine for taking a basic view, and in economics, it’s hard to be very quantitative anyway. Wheelan performs another trick I associate with: he leaves hanging some obvious questions and objections in early parts of his text, but shows enough awareness of them, and enough promise of resolution, that I, the reader, plow through to find out what he’ll reveal.
Wheelan writes for The Economist, and appropriately to his audience, his economic spectrum spans a conservative American model all the way over to a conservative European one. He does take a suspiciously guiltless digression to the developing world under that framework, and he does talk about Communism, although it exists more as a counterpoint to his generalist aproach than as part of it. And allowing for these (huge) caveats, I don’t think it’s bad to be inclusive, and I do agree with him that the flow of capital does follow some predictable rules. I appreciated the dynamic he presented between government and the private sector. He acknowledges that the government creates a market in the first place, and provides services (of various levels of merit and various consequences intended or otherwise) in exchange for hobbling parts of the economy, which is a neutral evaluation of that tradeoff. He leaves room in his Western model for smart policy-minded people can argue calmly over what is involved in the better administration. My long list of objectionable points is mostly a disagreement on the specifics of what we should pay for, discomfort at Wheelan’s embrace of authority (especially in the cases of Bush’s war on terror and Greenspan’s control of monetary policy), and disagreement on what is a smart incentive. Keep in mind that my sense of rightness is aided by the wisdom of the past six years, and this guy wrote his book in 2002.
Let’s put it this way: Naked Economics gives you all the tools you need to read op-eds. Wheelan does an excellent job of explaining the accepted economic viewpoints, and they’re as reasonable, universal, and honest as those of the best policy-maker or paid commenter.
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I find the portrait of Machiavelli by Santo di Tito intriguing, and I’m evidently not alone: it graces most editions of The Prince that turn up on a quick browse through Amazon. It’s a young, boyish Machiavelli, and his smile is a little impish, his eyes are bright and eager. Niccolò looks like a man who is hiding nothing, happy in his knoweldge of the system, unconcerned about its smaller consequences. I hate to judge his work this way, but that smirk is affecting how I scope out how I feel about Machiavelli, improving it.
Machiavelli is on a par with the big set of Renaissance geniuses, and it’s fascinating to me how art and politics became scientific well before chemistry and physics did, how in Machiavelli’s case, the study of the workings of the state took such a pragmatic, evidence-based turn under his pen, a good hundred years before Galileo’s scientific reasoning got him into trouble with the church. Machiavelli had actually collaborated (unsuccessfully) on some civic works projects with that other great empiricist of his generation, Leonardo da Vinci, and had extended the occasional professional courtesy to the artist. Did one’s epistemological sense affect the other’s, crossing disciplines, as they were? Certainly there was something in the Tuscan air in those days.
The Prince came not from a moral framework, but from the author’s careful diplomatic observations, and from his personal study of Latin historical texts. Machiavelli’s tone is a little didactic, but there’s a sense of irony, a hint of sarcasm, the occasional wordplay. He’s lecturing, and going after the truth as he sees it, but there’s an inner amusement behind the writing. (The damn smirk.) Although he writes in a lot of thinly supported declarative sentences, he allows himself a great deal of room to work through his thoughts and entertain alternative ideas in the text, and he provides plenty of examples. These are not always easy to follow to his conclusions, in part because his times are so politically complicated to the eyes of a non-historian (or at least this non-historian). He’s surrounded by a divided Italy that’s constantly shifting alliances with foreign imperial powers, throwing up short-lived rulers and popes to pursue neighboring territories and cities under a too-limited set of proper names. The lengthy supplemental material (Barnes and Nobe Classics, annotated by Wayne A. Rebhorn) could take away from the reading if you paused at every footnote, but it’s very welcome. Contrasting his complex political environment, the examples Machiavelli pulls from antiquity are often suspect for their simplicity. He’s pulling heavily from Livy and other Roman historians, as well as a couple Biblical anecdotes, and when the history gets distant enough, he doesn’t shy from accepting the occasional legendary origin story at face value. If the stature of rulers are necessarily fallen in Machiavelli’s present, it’s unclear whether it’s his nostalgia that’s coloring his opinion, or his disappointment with Italy’s international impotence, or if the mythology is intentional in the comparisons the practical man is trying to draw.
Machiavelli’s motivations for The Prince are transparent–he’s sucking up to the Medicis in an effort to get his old job back–but it’s also clear that Machiavelli is hungry for the renewed international power of a reunited Italy, a new Rome, and he exhorts a new prince to take command and resist the European imperial powers with Italian forces. He also hungers for a modern version of a Roman-style republic, and there’s a strange undercurrent in the writing where, he instructs a prince to power, but the message that he must never earn their contempt through oppression (through theft and disrespect of their customs–they get past love easily enough) or displays of weakness, seems at odds with the contention that a populace allowed to remain accustomed to freedom will eventually overthrow a prince (or will be able to hold out for a weak one). Nor does Fortune, according to Machiavelli, favor the longevity of princely rule. The Prince is a stark lesson on how to be a monarch, but it doesn’t really justify monarchy. Aside from that final urge to cast off Italy’s foreign bonds, Machiavelli doesn’t dwell on the obvious question, the one that contrasts so oddly with his advice to let the people be the people: what good are princes in the first place?
Niccolò Machiavelli’s political philosophies are very much products of that complicated international context. When wars among small states were inevitable, a military-minded monarch was well-advised, and controlling people with fear and respect could be considered a necessary defense against foreign powers. Machiavelli often notes that a prince succeeds when the people are motivated to fight for him, and he discards other “nobler” internal motivations that idealists would assume lead men to that end. As a modern reader, an obvious question is whether his lessons carry over to today’s world, or whether they have been borne out in practice in the intervening five centuries of civilization. Certainly, militarism is alive and well, and those who’ve risen from the barracks have earned respect, but we moderns often like our bureaucrats too. Machievelli’s advice on colonies probably didn’t envision such vast cultural differences as the West would eventually encounter in those efforts, but his advice about governing foreigners in their own states while preserving their customs can probably be interpreted on similar grounds. Did the invaders instill fear and respect in the locals? Did they take care to understand local ways? Did they give too much gravy away too early? Did they steal and tax unduly? His advice in conquest to embrace the powerless opposition while keeping them powerless, and domestically to use consel without letting the counsel lead, has likewise not been rediscovered in many an adminstrative post-mortem. There remains a problem of the extent to which a foreign prince is damned by failure to understand the local power structure very well, or the local customs, or even the extent to which he can. (I’m reminded of recent readings of, say, Graham Greene and Howard Zinn, both voicing the people’s views of history instead of a prince’s. Greene, who’d probably eloquently novelize the inherent failure and deep human cost of the effort, and Zinn, who reported the success of stamping out customs and local power on the North American continent.) Machiavelli’s advice to project an image of honesty, respect, and fear which is at odds with any personal qualities a leader may have is almost too widely taken and obvious to warrant a mention these days, but still, it’s best not ignored.
