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The Road from Serfdom: The Economic and Political Consequences of the End of Communism

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'Where to draw the borders of the state?' is the central question of this book.

Keynes's autobiographer explains perfectly the essential differences between collectivism and classic liberalism.
He sees the reason for the attraction of collectivism in World War I, where political and economical life was directed by the state. The war itself gave also the opportunity for collectivists to seize power.
The collectivist system in the USSR showed in the beginning at least a mixed success, certaily when compared to a West in deep trouble (the Great Depression).
But ultimately the system collapsed, because investments became unprofitable and irrational (a nail of one ton was as good as millions of nails) and also because productivity growth was discouraged.

After the collapse, a liberal shock therapy was implemented which the author explains very well, but he sweeps the human side of the change (vast unemployment and a steep drop in the living standard) under the rug.

The failure of collectivism led to the mistaken view that everything should be left to market forces. But monetarism showed also its limits with failures in the capital and labour markets.
For the author, a liberal democracy is not the ideological endpoint of history (Fukuyama's pipedream). Keynes's remedy of state intervention is far from dead.

A lot happened after the publication of the book: the Euro became a reality; the EU was enlarged (but farm subsidies not lowered); Russia became authoritarian and China an economic world player.

The author pins his hope on the pacifying potential of economic freedom and on mini-computerization with its tremendous influence on human freedom.

This book is an excellent analysis of an extremely important economic failure.
Not to be missed.

Thirty years ago I would have identified myself as "A" liberal. Now I say I am liberal, but I can't identify with modern-day liberalism. Sometimes I say that I am a 19th century liberal. Until I read this book, I found this confusing.

The author shows that liberalism has been co-opted by collectivists (socialists) who have perverted the original liberal ideal.

Skidelsy's analysis of historians, philosopers, sociologists, and priests is exquisite (p. 163), and his conclusion about the difference between capitalist democracies and communist countries is profound (p. 196).

Liberalism was originally an ideal that promised to liberate people from supersition, servitude, and ignorance. It has turned into a system that is having the opposite affect.

I infer from this reading that there is a natural tension between the halves and the half nots. However, economists and social planners are just a bunch of thirds.

This a book well worth reading.

The title, a version of Hayek's "The Road to Serfdom" implies solutions to the idea that socialization leads inevitably to totalitarianism. Skidelsky's definitions and analysis are well thought out.

Known for his splendid biography of John Maynard Keynes, Skidelsky now proves to be the best ever at combining economics and politics without confusing the two. He does a great job of describing the failure of market economy to properly allocate resources as well as failure of socialism to fix the problem. He describes failures of soviet style central planning around the world while pointing out failures of collectivism, especially in the Soviet Union.

There's a fine analysis of the history and meaning of collectivism, especially the effect of war
He twice calls WWI a watershed in the development of collectivism. The book provides an excellent reference source for political economy, and meta history from about 1900 to 1995. It's strong on analysis of economic and political events in America, Britain, Russia and Germany all during the 20th century.

As expected, Skidelsky is at his best explaining the contributions of J.M. Keynes and how he has been misinterpreted by both left and right. He is also adept at summarizing the ideas of lesser known economists, such as the Hungarian, Janos Kornai.

There are many parallels with today's world economy. Skidelsky attempts to define the world's needs after the fall of communism. Holding very condensed interest in every paragraph, a reviewer can hardly do justice to this book short of rewriting every word or idea.

This work does a masterful job of debunking the ludicrous arguments by prominent Western economists (of a Leftist persuasion) that the Soviet system actually worked. The title is an interesting counterpoint to Frederick Hayek's Road to Serfdom.

The title of "The Road from Serfdom" was styled after "The Road to Serfdom" (1944) by economist F.A. Hayek.

When the Soviet Union collapsed in December 1991, Russia was on the verge of both hyperinflation and mass starvation. So the reins were loosened. This book examines the consequences of the "end of Communism."

The author warned of the danger of a collapse back into collectivism, and worse yet, he pointed out that the West has been edging toward that system too.

"Former Communist countries-victims of decades of desolation-were being invited to join a Western capitalist community which was itself sick."

Although collectivism was discredited throughout the world, it still has powerful promoters in the West. "Many, perhaps most, on the Left regret the defeat of Communism."

Perhaps people who fancy themselves "progressives" want to emulate the Soviet system minus its Stalinist features. However, as Hayek pointed out, you can't have central planning minus Stalinism. Central planning curtails freedom, and the terror is what allows that system to work. The Soviets killed tens of millions of their own citizens.

In the USA, our laws and traditions once set limits to what the state could do, but now we deferentially bow to the superior wisdom of the state. Many people are suckers for the promises of the Great Society, the welfare state, the growth of government entitlements, public ownership, central planning, class warfare, soaking the rich, and schemes to redistribute wealth.

The USA has experienced a transition from rural to urban life, from family firms to large corporations. The capitalist system manifested shortcomings such as the robber barons, predatory monopolies, and a cold-hearted view toward the welfare of employees. People sought to combat the despotic power of the employer by establishing the despotic power of the state, which was then purchased by despotic financiers.

"Some aspects of the modern state's role seem to hark back to earlier times when the wealth of subjects and foreigners alike was considered fit for rulers to command at will, for their greater power, splendor, and prestige. Tribute or revenue economies are support systems for the ruler and his servants. In the 20l century there has been a massive swing back toward the Revenue Economy."

This book gives us every reason to suspect that we may see the "capitalist" system again keeping wages at the subsistence level.

There's lots of interesting information here, but this book is poorly organized, and its contents don't support the author's optimism.