A fascinating post and running comments at Bjorn Staerk Blog, on F.A. Hayek’s The Constitution of Liberty and the merits or demerits of inequality. To read a contemporary European – a Scandinavian yet – make such a serious attempt to come to grips with Hayek is, to put it mildly, encouraging. Here’s Bjorn on Hayek on inequality:
Which leads us to the dependency of progress on inequality. Hayek’s argument is unusual, but simple: Progress means adoptation of new behavior, new products, new social structures, and new ideas. What’s new is rarely available to the majority until it has been experimented with or discovered by a minority. Having a wealthy minority allows experimentation with products and behavior that may not yet be affordable by the majority, but which may become affordable if given time to develop.
Enjoy the debate.