Orrin Woodward on LIFE & Leadership

Inc Magazine Top 20 Leader shares his personal, professional, and financial secrets.

  • Orrin Woodward

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    Former Guinness World Record Holder for largest book signing ever, Orrin Woodward is a NY Times bestselling author of And Justice For All along with RESOLVED & coauthor of LeaderShift and Launching a Leadership Revolution. His books have sold over one million copies in the financial, leadership and liberty fields. RESOLVED: 13 Resolutions For LIFE made the Top 100 All-Time Best Leadership Books and the 13 Resolutions are the framework for the top selling Mental Fitness Challenge personal development program.

    Orrin made the Top 20 Inc. Magazine Leadership list & has co-founded two multi-million dollar leadership companies. Currently, he serves as the Chairman of the Board of the LIFE. He has a B.S. degree from GMI-EMI (now Kettering University) in manufacturing systems engineering. He holds four U.S. patents, and won an exclusive National Technical Benchmarking Award.

    This blog is an Alltop selection and ranked in HR's Top 100 Blogs for Management & Leadership.

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James Froude: Julius Caesar

Posted by Orrin Woodward on May 9, 2013

In my ongoing reading of the classics and the leaders of Greece and Rome, I stumbled across a gem of a book by James Froude on Caesar. I had read much on Caesar, but the interpretations of Froude’s works left me with a much better appreciation of the challenges Caesar faced and what he attempted to do to reform the faltering Roman Republic. Caesar, like everyone else, certainly wasn’t perfect, but his mission was solid and his results were amazing given the constraints he was placed under. Caesar in his day, and in his way, attempted to expand the benefits of the Roman Empire to all provinces and end the Five Laws of Decline working upon the Roman Senate. Successful in politics, war, and leadership, he was assassinated by the threatened Senate. However, his reforms were still implemented, albeit belatedly, delayed by another round of civil wars before Augustus assumed leadership.

Interestingly, Caesar attempted to restore civil peace and was killed and, at nearly the same time, Jesus was restoring spiritual peace and was killed. Evidently, reformers, who threaten the status quo beneficiaries of the Five Laws of Decline, are rarely welcomed by the threatened groups. 🙂 Even so, right is right, justice is justice, and peace is peace. As Teddy Roosevelt said, “There is no peace without justice.” Accordingly, each citizen ought to strive to check the FLD in his life and community, promoting peace with justice for posterity’s sake. The LeaderShift will demand nothing less than our personal best in this area.

Here is a portion of James Froude’s summary.

Sincerely,

Orrin Woodward

Caesar's Assassination

Caesar’s Assassination

“We have killed the king,” exclaimed Cicero in the bitterness of his disenchantment, ” but the kingdom is with us still;” “we have taken away the tyrant; the tyranny survives.” Caesar had not overthrown the oligarchy; their own incapacity, their own selfishness, their own baseness, had overthrown them. Caesar had  been  but the reluctant instrument of the power which metes out to men the inevitable penalties of their own misdeeds. They  had dreamt that the constitution was a living force which would revive of itself as soon as its enemy was gone. They did not know that it was dead already, and that they had themselves destroyed it.

The constitution was but an agreement by which the Roman people had consented to abide for  their common good. It had ceased to be for the common good. The experience of fifty miserable years had proved that it meant the supremacy of the rich, maintained by the bought votes of demoralized electors. The soil of Italy, the industry and happiness of tens of millions of mankind, from the Rhine to the Euphrates, had been the spoil of five hundred families and their relatives and dependents, of men whose occupation was luxury, and whose appetites were for monstrous pleasures.

The self-respect of  reasonable men could no longer tolerate such a rule in Italy or out of it. In killing Caesar the Optimates had been as foolish as they were treacherous; for Caesar’s efforts had been to reform the constitution, not to abolish it. The Civil War had risen from their dread of his second consulship, which they had feared would make an end of their corruptions; and that the constitution should be purged of  the poison in its veins was the sole condition on which its continuance was possible. The obstinacy, the ferocity, the treachery of the aristocracy, had compelled Caesar to crush them; and the more desperate their struggles the more absolute the necessity became. But he alone could have restored as much of popular liberty as was consistent with the responsibilities of such a government as the Empire required.

In Caesar alone were combined the intellect and the power necessary for such a work; and they had killed him, and in doing so had passed final sentence on themselves. Not as realities any more, but as harmless phantoms, the forms of the old Republic were henceforth to persist. In the army only remained the imperial consciousness of the honour and duty of Roman citizens. To the army, therefore, the rule was transferred. The Roman nation had grown as the oak grows, self-developed in severe morality, each citizen a law to himself, and therefore capable of political freedom in an unexampled degree. All organizations destined to endure spring from forces inherent in themselves, and must grow freely, or they will not grow at all. When the tree reaches maturity, decay sets in; if it be left standing, the disintegration of the fibre goes swiftly forward; if the stem is severed from the root, the destroying power is arrested, and the timber will endure a thousand years. . .

In ages less visionary which are given to ease and enjoyment the tendency is to bring a great man down to the common level, and to discover or invent faults which shall show that he is or was but a little man after all. Our vanity is soothed by evidence that those who have eclipsed us in the race of life are no better than ourselves, or in some respects are worse than ourselves; and if to these general impulses be added political or personal animosity, accusations of depravity are circulated as surely about such men, and are credited as readily, as under other influences are the marvellous achievements of a Cid or a St. Francis.

But enough and too much on this miserable subject. Men will continue to form their opinions about it, not upon the evidence, but according to their preconceived notions of what is probable or improbable. Ages of progress and equality are as credulous of evil as ages of faith are credulous of good, and reason will not modify convictions which do not originate in reason. . .

He fought his battles to establish some tolerable degree of justice in the government of this world; and he succeeded, though he was murdered for doing it. Strange and startling resemblance between the fate of the founder of the kingdom of this world and of the Founder of the kingdom not of this world, for which the first was a preparation. Each was denounced for making himself a king. Each was maligned as the friend of publicans and sinners; each was betrayed by those whom he had loved and cared for; each was put to death; and Caesar also was believed to have risen again and ascended into heaven and become a divine being.

Posted in Freedom/Liberty | 12 Comments »

Felix Morley: Democracy, Republics, & the General Will

Posted by Orrin Woodward on May 7, 2013

Felix Morley

Felix Morley

I have enjoyed reading several articles by Felix Morley. Although not knowing too much about him when I started reading, I can speak for his depth of thought on the subjects of society, state, liberty and freedom. After reading the first article, I searched for more and found this gem in Essays on Individualism.

Ideas have consequences and a LeaderShift cannot happen until more people educate themselves on the idea food necessary to maintain liberties and reduce the all-pervasive State down to a limited government again. The stakes are high as I believe Western Civilization hangs in the balance upon what today’s citizens do with their remaining liberties. Here is just a portion of Mr. Morley’s thinking.

Sincerely,

Orrin Woodward

Essentially, Society is the voluntary cooperative action of individuals in areas where the State is not concerned. But these areas are always subject to contraction if the State moves in to make cooperation compulsory. The rules of conduct laid down by Society and those laid down by the State are in both cases binding and in both cases find their philosophic justification in the theory of Social Contract. The essential difference is that the rules laid down by the State are legalized, with physical force behind them, whereas the rules of Society are primarily voluntary agreements and are better described as conventions. He who violates a social convention is likely to be ostracized, or excommunicated in the broad sense of the word. But he who violates a State law or edict is subject to imprisonment or even death.

On the moral scale, therefore, Society is a superior type of organization, since its authority is based on individual agreement rather than on external coercion. Morally speaking, it is reactionary rather than progressive whenever the State expands its authority at the expense of Society. Social security, federal aid to education, unemployment insurance, governmental handouts, subsidies, and interventions of every kind, not least so-called “mutual assistance” to allied governments-all these, however dolled up in a specious humanitarianism, are essentially reactionary measures, calculated to encroach on voluntary goodwill. Put arithmetically, the taxes I pay to support the expanding galaxy of governmental welfare measures diminish by just that much what I might contribute under the prompting of my own conscience through associations and in directions of my own choosing.

Rosseau’s fatal achievement was not only to establish the so-called “General Will” as a political dogma, but also to convince his followers that it is somehow in every respect superior to the individual will, which in any conflict of opinion, in any sort of undertaking, must give way. Clearly this theory, integrated with coercion, involves a most cynical view of human nature. It implies that no man can be trusted to “live a godly, righteous, and sober life,” no matter how needfully he may incline to divine promptings. On the contrary, he must be constantly and subserviently attentive to the orders of “Big Brother,” who by some perverted miracle and political hocus-pocus has come to embody a General Will.

John Milton, among the Protestants, stands out in this period for his affirmation that: “Our liberty … is a blessing we have received from God Himself. It is what we are born to. To lay this down at Caesar’s feet, which we derive not from him, which we are not beholden to him for, were an unworthy action, and a degrading of our very nature.” That thought profoundly influenced the formation of American government.

So it happened that the Social Contract ceased to be a self-denying ordinance and became instead a deceptively disguised instrument of oppression. We have not seen the end of it, for the “People’s Democracies” of the Soviet world are the direct and logical outgrowth of Rousseau’s conception of an unquestionable “General Will.” And the religious, but anti-Christian, fervor of modern Communism owes much more of its proselytizing strength to Rousseau than to Marx.

If the theory of the General Will had been voiced by itself, instead of being cleverly tied in with the valid conception of Social Contract, it would scarcely have survived, let alone prospered, as is the case. The major fallacy is too obvious. In the last analysis some ruler must interpret and promulgate what is assumed to be the General Will. The more sacrosanct this popular desire, the more authoritarian must be the power of those entrusted with its realization. A single, unified popular will implies a single, unified governmental purpose to make the will effective. This is the road to dictatorship; not to what Americans mean when they speak of democracy.

Posted in Freedom/Liberty | 31 Comments »

Mentoring: Do it & Let Them See You Do It

Posted by Orrin Woodward on May 4, 2013

Mentoring and Implementation

Here is the second half of the mentoring introduction. The mentoring process is crucial for building a LeaderShift within culture. The old saying lead, follow, or get out of the way is more relevant today than ever and LIFE will play its part in helping to restore liberty in North America and eventually the world.

Sincerely,

Orrin Woodward

Personally, I have been blessed with wonderful students because I learned to stop listening to what people say and start watching what they do. Just as cream rises to the top, hungry students will reveal themselves within any organization. It is the mentors role to play talent scout and identify the hungry students, not by their words, but by their actions. Success requires both opportunity and preparedness. In the case of mentoring, the mentor offers an opportunity to the prepared mentee and if the student will implement, success will happen.

The mentoring process matters because the success or failure of the next-generation depends upon the quality of mentoring received. Furthermore, one’s personal success depends in large part on his ability to effectively apply the advice from great mentors. In short, consider the following:

1. The world never rises above the quality of its leaders; leadership determines destiny.

2. The quality of our leaders is directly impacted by their ability to mentor others.

3. A leader’s ability to mentor others is determined by his or her mentoring skills, and such skills can be developed and improved.

4. As we improve our mentoring skills and more effectively mentor others in our lives, we directly increase the quality of leadership in our world.

Accordingly, this book is filled with insights, nuggets, and techniques to help both mentors and mentees. Whether a person is an established leader looking to expand his ability to mentor or a hungry student looking to get on a mentors radar screen, this book will help immensely. Contained herein are 77 specific tools to enhance the mentoring process. I cannot recommend this book highly enough and wish I would have had access to this information when I began my leadership journey. It has taken me decades to unpack the wisdom served up in this book.

Author and business leader Jim Rohn (who mentored Tony Robbins, Mark Victor Hansen, Jack Canfield, and Brian Tracy, to name a few) said, “Success is neither magical nor mysterious. Success is the natural consequence of consistently applying the basic fundamentals.” The reader is holding in his hands 77 fundamental tools to improve as a mentee and mentor. Read it, ponder its lessons, and then implement its teaching. Or, as William Wallace would say, “Do it and let them see you do it!”

Posted in Leadership/Personal Development | 25 Comments »

Great Mentoring Requires Great Students

Posted by Orrin Woodward on May 3, 2013

Here is an introduction to a book coming out on mentoring. Mentoring is so important to the growth of any organization and LIFE would not be creating the LeaderShift if it wasn’t for great mentors and mentees throughout the community. Yesterday, I learned that LeaderShift cracked the top 10 on the NY Times bestseller list and making the list for the second consecutive week. Onward and upward.

Sincerely,

Orrin Woodward

NY Times Bestselling Books

NY Times Bestselling Books

Great Mentoring

Great leaders are first great students. Indeed, if if a person is too big to follow then he is too small to lead. Good mentoring wisdom lives on in the students long after the mentor is gone. For instance, Socrates mentored Plato who then mentored Aristotle who then mentored Alexander the Great! Clearly, the wisdom, belief, and encouragement from a mentor to a mentee can literally change world history.

A good mentor is someone who has successfully journeyed down a similar trail as his mentee. In fact, it is the mentor’s experience and wisdom from his journey that makes his time so valuable to the student. Newton once said, “If I have seen further, it’s because I have stood on the shoulders of giants.” In essence, everyone, in his or her field, stands upon the shoulders of giants because there is no such thing as a self-made person. The only real question is whose shoulders will a person stand upon? In other words, what results do they have in the readers area of interest? Bestselling author Tim Marks elaborated on this thought, stating, “Define what you want, learn from someone who has gone before you, and then do it for the glory of God.”

However, once a person finds a mentor, he must prove himself worthy of the mentor’s investment. In my opinion, the best leadership line from any movie is when William Wallace spoke to his calvary leader, saying, “Do it and let them see you do it.” Likewise, mentees should listen, learn, and apply any advice offered by proven mentors. Mentoring isn’t psychological counseling, where people talk for hours about their past. Rather, it’s a plan of action in the present to change one’s future. A good mentor helps develop a plan for the mentee to implement. Then, when the mentee has completed the task or at least did everything humanly possible while failing on the battlefield, they gather again to PDCA (see resolutions 5 & 6 in my RESOLVED book) the good, the bad, and the ugly.

Interestingly, without the mentee’s application, the mentoring process is practically worthless. The sobering statement, “When all is said and done, much more is said than is ever done,” drives the mentee to apply the mentor’s advice before meeting again. Personally, I imagine how much it would cost to buy a top leader’s time and then ensure that my efforts go above and beyond his expectations to validate the investment of his non-renewable resource – his time. Mentees must do what they know and in the process they will gain more time from mentors and learn even more to do even more.

The best mentors refuse to give away this precious resource; therefore, when before agreeing to mentor, they ensure the student is hungry and driven. Probably the best way to explain this is through sharing a personal experience. When I was a young man, my siblings and I would spend a month at my grandfathers farm in northern Michigan. One of the task my grandpa taught me was how to milk a cow. Although not particularly excited about this assignment, I did what I was told. After filling up a bucket of milk and setting it to the side, I noticed that the cream consistently coagulated on the surface. In fact, I noticed the same phenomena repeated everyday I milked the cow.

Similarly, leaders, like cream, rise in any organization. A mentors role is to ensure he has enough buckets of milk so he can choose from many worthy cream candidates for mentoring. In truth, I am not nearly as good a mentor as my good students makes me look; conversely, I am not nearly as bad a mentor as my bad students make me look either. It is the students hunger and drive that makes all the difference, mainly because, since the mentor has already applied the advice he is giving the mentee in his own life, it is now up to the mentee to apply it in his life to gain the same results. The only remaining question is: will the mentee apply the advice he has been given?

Posted in Leadership/Personal Development | 29 Comments »

LeaderShift Book Tour Video

Posted by Orrin Woodward on May 1, 2013

It’s great to be back home after a powerful two weeks of seeing people, sharing leadershift, and teaching leadership. I only have one word for the excitement generated by the release of LeaderShift, namely, Wow! I have not seen this type of enthusiasm and belief in our country’s future since I started in building communities twenty years ago. I wanted to share the video that the LIFE office put together from the events and thank everyone for sharing the message of hope and change offered in LeaderShift.

Sincerely,

Orrin Woodward

Posted in Freedom/Liberty, Life Training | 23 Comments »

Mentoring and Talent Scout

Posted by Orrin Woodward on April 30, 2013

Mentoring as a Talent Scout

Oliver DeMille and I have been bantering back and forth on the importance of mentoring in building teams, cultures, and organizations to create the LeaderShift. The number one ingredient I look for in someone to mentor is hunger, for everything else can be taught, but hunger must be caught! As Oliver says, “Don’t require, but inspire.” I love coaching/mentoring people, but I refuse to begin until I am convinced a person would proverbially “eat nails” to gain and apply wisdom. LIFE is a business of gaining and applying wisdom into the 8F’s of life. Are you willing to “eat nails” to gain wisdom? If you are, then, as Zig Ziglar used to say, I will see you at the top. Here are some thoughts Oliver and I developed on the subject.

Sincerely,

Orrin Woodward

A mentor who understands powers of decline that are at work in the world knows that he must become a talent scout to maximize his impact as a leader.

Everyone has the potency to become a genius, but because of the laws of decline, statistically few people are willing to pay the price to really tap into that genius. Recognizing this sad fact, mentors should be careful to target their effort to those who will actually do something with it.

The story of the young man who had read the mentor’s book—and his friend who hadn’t—illustrates this point very well. A mentor who spreads his focus between 12 protégés, when only two of them are actually acting the part of a tenacious leader-in-training, is actually being less effective than he could be if he put his focus toward just the two who were both ready to work and worth his time. Of course, he needs to mentor a number of people to find the two protégés. Or better still, ten or twelve protégés.

It’s kind of like the saying, “A bird in the hand is better than two in the tree.” Three mentees who are truly fighting for their dreams are better than 10 who are flitting around hoping to find an easy road. Good mentors must learn to recognize the right kind of mentee—one who is really willing to walk the rocky, uphill path to success. In other words, good mentors must become Tenacity Scouts.

One mentor shared the following story:

“I’m often approached by people who want me to mentor them, but I’ve learned that my time is precious, so I don’t waste it on people who won’t really value it as they should.

“Once, a young woman came up to me at a book signing I did in her neighborhood. She wanted me to be her personal mentor. I immediately said no, as was my practice, but told her I could recommend some good books. She took the sticky note with three or four titles on it and she walked away, sadly. I thought that was the end of it.

“A few months later, my assistant told me there was a girl from Arizona on the phone for me, could I take it?

“It took me a few minutes to recall who this girl was, but when I realized it was the girl from the book signing, I was shocked.

“She told me she had read the titles I had given her, plus the biographies of two of the authors, and she had some questions for me.

She asked if I had an hour or two to discuss the books with her. I had a busy schedule that day, so I had to decline, but we scheduled a call for the next evening.

“When we discussed the books, I discovered that she really had read them all—quite thoroughly. There were some things she didn’t understand, and even a few we disagreed on, but it was an interesting conversation, to say the least.

“When we finished discussing the books, she had just one more question for me: wouldn’t I please reconsider, and agree to be her mentor?

“When I saw how hard she would work, not only to pursue her own success by reading great books, but also by persistently seeking out the mentor she wanted, despite obvious obstacles, I knew should was going to be successful someday, and I wanted to help get her there.

“Long story short, I said yes, and over the years I’ve found her to be one of my most dedicated and successful mentees and associates.”

Mentors should remember to focus their time and energy on those mentees who are really willing to take advantage of it. This means learning to recognize the signs of real tenacity.

If a mentee is easily deterred from achieving what she wants on the small things—such as reading a book, doing the basic work of success, or seeking out a good mentor—she is very unlikely to stick to her dreams when the real challenges come up; and they will come. Mentors should look for diligence, tenacity, ingenuity, initiative, optimism, and vision in perspective mentees. If they don’t have these qualities, they probably won’t choose to be in the 10% who really matter, and that 10% is where great mentors should put the power of their focus. Of course, the best way to find out is a person has the right traits is to give them a chance—put them to work!

Posted in Leadership/Personal Development, LIFE Leadership | 34 Comments »

LeaderShift Hits New York Times Bestseller List

Posted by Orrin Woodward on April 29, 2013

LeaderShift Hits New York Times Bestseller List

The first round of LeaderShift book signings and the corresponding radio interviews is complete for Oliver DeMille and myself. Through this effort and the many friends, fans, and concerned citizens of North America, LeaderShift has made the NY Times, Publishers Weekly, USA Today, and the Wall Street Journal bestseller lists. I want to personally thank everyone who purchased a book and helped launch the LeaderShift towards freedom within society.

The goal of the first book in the series was to begin a transformation in the dialog between citizens and government. Instead of asking government to do more and more for people, we believe government should be limited to the specific fields where “force” is needed, permitting “freedom” and responsibility to reign in the rest of society. Since responsibility demands leadership, the book was named LeaderShift to capture the essence of freedom, responsibility, and limits upon force within society.

Feel free, if so inclined, to write a review on Amazon, Barnes & Nobles and GoodReads, sharing the concepts and key distinctions learned from the book. David Mersher and his team will not rest until their job is done. 🙂 What part will you play in the LeaderShift?

Sincerely,

Orrin Woodward

NY Times Bestseller - LeaderShift

NY Times Bestseller – LeaderShift

Posted in Freedom/Liberty | 50 Comments »

LeaderShift Book Signing Tour: Thank You

Posted by Orrin Woodward on April 21, 2013

LeaderShift by Orrin Woodward & Oliver DeMille

LeaderShift by Orrin Woodward & Oliver DeMille

The LeaderShift Book Tour is just one location away from wrapping up and I wanted to take a moment to thank all the amazing people who came out and supported the book signings and meetings afterward. We had several locations with over 1,000 people showing up for the book signing! Oliver DeMille and I are truly am blown away by the encouragement, hunger, and attitudes of the communities across America and Canada that we visited.

Western Society is at the crossroads between chaos on one side and coercion on the other. What we do as citizens is crucial to the future of freedom in North America. LeaderShift was written to launch a shift in the dialogue taking place. No longer can North America afford party splits that paralyze real change. For instance, in America the labels Republican, Democrat, and Libertarian must be replaced by a new label like: Concerned Leaders of America.

We are concerned because any leader, taking a cursory look at the facts, can recognize the drift towards more coercive government within society. Sadly, however, as government increases, the need for leadership influence decreases. Consequently, leaders and entrepreneurs check out of political society, leaving liberty, the lifeblood of Western Civilization’s greatness, suffering from the debilitating effects of neglect.

I love America; I love Western Civilization; and I love liberty. Oliver and I met thousands of people who feel the same way on our travels across North America. Thank you for purchasing the book and reading it. But I have another question. Will you help us launch the LeadersShift? Let’s change the dialogue going on in North America by having the leaders, at all levels within society, read the book and wrestle with its implications. Leaders must initiate the crucial conversations needed to shift the Power Pendulum back into concord. If not us, who? If not now, when?

Society matters; liberty matters, you matter. Fifty years from now, history will record what we did when our country was sick and in need of help. Let us choose wisely.

Sincerely,

Orrin Woodward

Lansing Center LeaderShift Launch

Lansing Center LeaderShift Launch

Posted in Freedom/Liberty, Leadership/Personal Development | 69 Comments »

Milton Friedman: The Great Depression

Posted by Orrin Woodward on April 15, 2013

Milton Friedman is one of the great monetarist economist of all-time. Mr. Friedman clearly identifies the culprit for the Great Depression. It isn’t the free enterprise business system as commonly believed, but rather government manipulation of the money supply. In fact, the total money supply from 1929 to 1933 declined by 1/3, forcing a contraction and subsequent depression of the American economy. The Federal Reserve failed in the very task it was assigned to prevent.

Sadly, the monetary history of the Great Depression was not analyzed until after the economic field had practically given-up on free-enterprise system. In other words, the government failure was quickly  blamed on free enterprise business which allowed Keynesian economist and politicians to demand further Statist interventions into our free society. Milton Friedman’s book on the monetary history of America is irrefutable and reveals quantitatively the reduction in money supply that caused the Great Depression. Indeed, few events, in the history of mankind, have caused as much damage as the Keynesian revolution suggesting a Statist solutions to a Statist failure.

Statism and liberty are polar opposites with society. On one hand, free enterprise allows free people to make free choices. It works, according to Adam Smith on the concept of the “invisible hand” within society. The State, on the other hand, uses coercion to force people to do what it says. Consequently, it should be used only for defense – internal and external – within society. When it’s role expands beyond this limited objective, society no longer applies the “invisible hand” of free enterprise, but rather the “visible fist” of the State. Which does the reader think ensures the long-term freedom of society’s members? In short, this summarizes the reason why Oliver DeMille and I wrote LeaderShift! Here is a video of Mr. Friedman’s explaining the Great Depression.

Sincerely,

Orrin Woodward

Posted in Freedom/Liberty | 40 Comments »

Ludwig Von Mises: Economic Truths that Endure

Posted by Orrin Woodward on April 13, 2013

I am in the midst of an ongoing study on the origins of society and continue to be blown away by the works of the Austrian economist, particularly Ludwig Von Mises. Few scholars have thought as deeply and as intelligently on subjects as diverse and yet so important as Mises. Not surprisingly, Mises was featured in my All-Time Top 100 Leadership Book RESOLVED under the courage category. I will be sharing a little of my research on society and what it requires to keep society free on my LeaderShift book tour. Oliver DeMille and I cannot wait to see everyone. I am attaching an article from one of Mises’ former students describing this great man.

Sincerely,

Orrin Woodward

Economic Truths That Endure
By Alfred Tella

It’s been thirty years since my graduate school teacher of economic theory died, and as I again look over his writings that spanned more than a quarter century, I am reminded how relevant they are to the issues of our day. Some truths are enduring.

He was a slight man with big thoughts. Original thoughts. He was a visionary. When he entered the classroom the students stood up out of respect. He believed economics was a science subject to laws, which he revealed with utter clarity and impeccable logic. A champion of free markets and individual liberty, he extended neoclassical theory in important new directions. He taught economics not as a narrow discipline, but as a comprehensive system rooted in philosophy, human nature, and social structure.

He revealed the requirements of prosperity and freedom, the pitfalls of interventionism, the intricacies of the price system, the workings of competition and the market process, and the social benefits of private property and free trade. He explained the causes of inflation and depression and the role of money, entrepreneurship and discovery in a dynamic context. Not least, his work was a devastating reply to the theories of Karl Marx.

His lessons remain a guide to present and future economic policies. Here are a few of his words.

“If taxes grow beyond a moderate limit, they…turn into devices for the destruction of the market economy. The more taxes increase, the more they undermine…the system of taxation itself.”

“The long-term and semi-public credit is a foreign and disturbing element in the structure of the market society. The financial history of the past century shows a steady increase in the amount of public indebtedness.  …Sooner or later all these debts will be liquidated in some way or another, but certainly not by payment of interest and principal according to the terms of the contract.”

“Selfish group interests may impel a man to ask [the government] for protection for his own firm. …The only effect of protection is to divert production from those places in which it could produce more per unit of capital and labor expanded to places in which it produces less. It makes people poorer, not more prosperous.”

“Profits…benefit the common man twice. First, in his capacity as a wage earner, by raising the marginal productivity of labor and thereby real wages…. Then later again, in his capacity as a consumer when the products manufactured with the aid of the additional capital flow into the market and become available at the lowest possible prices.”

“Politicians…pretend that their own approach to economic problems is purely practical and free of dogmatic prepossessions. They fail to realize that their policies are determined by definite assumptions about causal relations, i.e., that they are based on definite theories.”

A few of my old professor’s pronouncements went down hard with his students. I was fascinated with the blossoming of quantitative economics, but he would say: “There is no such thing as quantitative economics. All economic quantities we know about are data of economic history.” I sighed and went on to be thoroughly seduced by econometric modeling.

My teacher was a great man, a person of uncompromising intellectual integrity, a giant of the Austrian school of economics. He authored many pioneering books on subjects ranging from the theory of money and credit to socialism to economic epistemology and influenced a generation of economists. If his name is not a household word, his ideas have permeated popular thinking and become part of the conventional wisdom. His master work was Human Action (1949), which enlarged the field of economics by presenting a general theory of choice in all human action. It should be on every congressman’s bookshelf. Today there is an institute and university located in Auburn, Alabama which bear his name and nurture his legacy.

I am grateful to and miss my old New York University professor, Ludwig von Mises.

——-

Alfred Tella is former Georgetown University research professor of economics.

Posted in All News, Freedom/Liberty | 17 Comments »