Quillian’s Theory Of Transformation of Institutions

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In mainstream academics a school is where education takes place. A government agency is where society’s problems get solved. The Federal Reserve is devoted to managing the country’s economic issues. According to standard conventional logic, all of life’s institutions are functioning just as intended.

My theory of Institutional Transformation shows that institutions are only accurately defined in terms of what they do on the first day the institutions are open. Society assumes a human incentive to serve and that folks working inside of society’s institutions are diligently trying to do the right thing.  Nature only provides one universal incentive, self interest.

After an institution is born, all who work in the institution immediately start changing in ways that support their personal goals and aspirations of the people who control the institution. Outside interests focus on the institution as as the source of their revenue and lobby to make the institution grow so as to provide even more income opportunities. After years pass a school remains a school in the minds of citizens but the real output produced by the school morphs into other things. Degrees are given because it is profitable to generate degreed persons.  Do folks who have degrees have any utility to society?  That question is never asked.

In time institutions lose their original function and do other things based on power and influence. Because of this process, many of society’s most trusted institutions are doing the exact opposite of what they were created to do.

Fantasy Free Economics makes no errors in this regard. Institutions are studied according to the functions they are really performing and never what they are doing in name only.

With Fantasy Free Economics the Federal Reserve executes political agendas and doesn’t actually do anything for the country over all. Schools are expensive warehousing organizations where about 10% can take advantage of academic resources if they choose. In public high schools the most critical activity is rounding up strays and getting them on the campus. The state pays the district a large amount of money every day for every child who attends. The districts lose every day a student does not show up. Less important is what happens with them once they are in school. Any government agency does first what is good for the people who run the agency.

I study what actually happens in real life. Institutions are what they are after they have been transformed by the manifestations of self interest. An institution is what it is and not what it was intended to be.

The truth is a hard sell. Fantasy Free Economics gains readers one at a time. Major search engines simply do not list blogs which disagree with their political agenda. As long as folks share the link to this blog and others speaking out against the grain, the truth will at least trickle into the public consciousness.

Fantasy Free Economics recommends the following blogs.

Woodpiler Report Of Two Minds Liberty Blitzkrieg Mises Institute Straight Line Logic Paul Craig Roberts

Fantasy Free Economics YouTube Channel


 

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About Fantasy Free Economics

James Quillian independent scholar,free market economist,and teacher of natural law. Who is James Quillian? Certainly I am nobody special, Just a tireless academic and deep thinker. Besides that, I have broken the code with respect to economics and political science. Credentials? Nothing you would be impressed with. I am not a household name. It is hard to become famous writing that virtually no one in the country is genuinely not in touch with reality. But, if I did not do that, there would be no point in my broking the broken the code. If you read the blog, it is easy to see that there are just a few charts, no math and no quantitative analysis. That is not by accident. Given what I know, those items are completely useless. I do turn out to be highly adept at applying natural law. Natural law has predominance over any principles the social science comes up. By virtue of understanding natural law, I can debunk, in just a few sentences , any theory that calls for intervention by a government. My taking the time to understand the ins and outs of Keynes General Theory is about like expecting a chemistry student to completely grasp all that the alchemists of the middle ages thought they understood in efforts to turn base metals into goal. Keynesian theory clearly calls for complete objectivity. Government can only make political decisions. Keynesian techniques call for economic decisions. So, why go any further with that? Fantasy Free Economics is in a sense a lot like technical analysis. Technical analysis began with the premise that it was impossible to gain enough information studying fundamentals to gain a trading advantage. Study the behavior of investors instead. Unlike technical analysis, I don't use technical charts. What I understand are the incentives of different people and entities active in the economics arena. For example, there is no such thing as an incentive to serve with life in the aggregate. In the aggregate, only self interest applies. It is routinely assumed otherwise. That is highly unappealing. But, I am sorry. That is the way it is. I can accept that because I am genuinely in touch with reality. Step one in using Fantasy Free Economics is for me to understand just how little I really know. A highly credentialed economist may know 100 times what I do based on the standard dogma. Compare the knowledge each of us has compared to all there is to know and we both look like we know nothing at all. There is always more than we don't know than what we do know. I am humble enough to present myself on that basis. Why? That is the way it is. I am not bad at math. I have taught math. What I understand is when to use it and when to rely on something else. Math is useless in natural law so I don't use it. While others look at numbers, I am busy understanding the forces in nature that makes their numbers what they are. That gives me a clear advantage.
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