Sanford Ikeda,“The Misesian Paradox: Interventionism Is Not Sustainable” (March 2016)
The Austrian economist Ludwig von Mises (1881-1973) developed the theory of "interventionism" during the 1920s to describe the hybrid economic system which had emerged after World War 1 which was neither fully free nor fully centrally planned (as the Soviet Union was attempting to do). In a book written during World War 2, Interventionism: An Economic Analysis (1940), he gathered his thoughts together in a more coherent work. His claim was that an economy based upon interventionism was not stable in the long run since each act of intervention in the economy caused problems which could only be solved either by the repeal of that act of intervention and a return to a fully free economy, or further acts of intervention which would ultamtely lead to fully-fledged socialism.
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