TOWARD LIBERTY

CATO INSTITUTE

Contents

Introduction: The Idea That Is Changing the World  David Boaz...............................................................1Part I Ideas and ConsequencesInterview with F. A. Hayek..................................................................................................17Liberalism in the New Millennium  Mario Vargas Llosa........................................................................26Disregard of Reality  Peter Bauer...........................................................................................38Part II Economic GrowthThe Real Free Lunch: Markets and Private Property  Milton Friedman..........................................................55The Soft Infrastructure of a Market Economy  William A. Niskanen............................................................63The Causes of Economic Growth  Reuven Brenner...............................................................................69Part III The Welfare StateDeregulating the Poor  Joan Kennedy Taylor..................................................................................81Social Security: Has the Crisis Passed?  Carolyn L. Weaver..................................................................95The Success of Chile's Privatized Social Security  Jos�� Pi��era..............................................................105Ending Welfare as We Know It  Michael Tanner................................................................................111Preschool in the Nanny State  Darcy Olsen...................................................................................125Part IV The Regulatory StateThe High Cost of Government Regulation  Yale Brozen.........................................................................131Enviro-Capitalism vs. Environmental Statism  Terry L. Anderson and Donald L. Leal...........................................139Federal Deposit Insurance Source of S&L Crisis  Catherine England...........................................................147Parasite Economy Latches onto New Host  David Boaz..........................................................................155Part V A World in TransitionFear and Loathing in the Soviet Union  Edward H. Crane......................................................................161The Strikes in Poland: Workers against the Workers' State  Don Lavoie.......................................................168Let a Billion Flowers Bloom  George Gilder..................................................................................180Prospects for Peaceful Change in South Africa  Helen Suzman.................................................................182Transition in the East: Democracy and Market  Peter Bauer...................................................................192The Communist Road to Self-Enslavement  Karl R. Popper......................................................................199China's Quiet Property Rights Revolution  Douglas Wu........................................................................206Why Socialism Collapsed in Eastern Europe  Tom G. Palmer....................................................................214Systemic Change: The Delicate Mixture of Intentions and Spontaneity  V��clav Klaus...........................................222Private Education Emerges in China  Ma Lei..................................................................................229China's Future: Market Socialism or Market Taoism?  James A. Dorn...........................................................232Part VI Foreign AffairsFrom Republic to Empire: The Constitution and the Evolution of U.S. Foreign Policy  Ted Galen Carpenter.....................245The Case for U.S. Strategic Independence  Ted Galen Carpenter...............................................................254Does U.S. Intervention Overseas Breed Terrorism?  Ivan Eland................................................................264Fool's Errands  Gary Dempsey................................................................................................274Part VII Trade and International FinanceThe Globalization of Finance  Alan Greenspan................................................................................289Using the Market for Social Development  Milton Friedman....................................................................297Free Trade from the Bottom Up  Brink Lindsey................................................................................308The Asian Crisis: Why the IMF Should Not Intervene  Ian V��squez.............................................................320Part VIII Law and LibertyEconomic Affairs as Human Affairs  Antonin Scalia...........................................................................329Judicial Review: Reckoning on Two Kinds of Error  Richard Epstein...........................................................337The Constitutional Protection of Economic Freedom  Paul Craig Roberts.......................................................345National Emergency and the Erosion of Private Property Rights  Robert Higgs and Charlotte Twight............................353The Forgotten Ninth and Tenth Amendments  Roger Pilon.......................................................................370Dissolving the Inkblot: Privacy as Property Right  Sheldon Richman..........................................................379Clinton's Chilling Constitutional Legacy  Nadine Strossen...................................................................388The War on Drugs  David Boaz and Timothy Lynch..............................................................................400Part IX Democracy and CultureMyths of Individualism  Tom G. Palmer.......................................................................................411Rights and Responsibilities  David Boaz.....................................................................................419The Right to Do as You Please and Take the Consequences  P. J. O'Rourke.....................................................422Are Libertarians Anti-Government?  David Boaz...............................................................................425Creating a World of Free Men  Dick Armey....................................................................................428Is Our Culture in Decline?  Tyler Cowen.....................................................................................433Affirmative Action Can't Be Mended  Walter Williams.........................................................................442The Future of Liberty  Edward H. Crane......................................................................................452

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