The Coronation article

Mark Thoma provides access to the Phelps commentary at WSJ. I personally tend to favor the socialist market system of Western European countries, but not because I am a Europhile. The Capitalist system suffers drawbacks like unto those stipulated by Phelps. There is a huge wastage of Resource–Human and Material; the Capitalist system endures excess duplication, and high levels of longterm Unemployment–numbers hidden by the BLS recording systems. It leads to greater Poor and Labor distress than is necessary.

One of the great failures of the American-style Capitalist economy resides in the realm of Education and Training. No one in the Capitalist system can receive adequate baseline Skills for high-Wage Jobs without acquisition of high Debt burden as well. The inflates Entry-level Pay for such Occupations to compensate for the high Debt volume of Appliciants, and splatter older Job Holders of equal position with Seniority Pay raises which are actually economic profits. The system inhibits Job Entry of the Poor but capable, automatically shelves high Wage Costs into the Production cycle, and artificially inflates Consumer prices for the Goods developed and produced. This effect, alone, may cost Us some 60% of our Inflation rate.

The socialist market system developed by Western Europe has its problems (as expounded by Phelps), but issues proper Training standards and availability of Training at reasonable cost to Job-seekers. More functional trained labor stands available in all areas, and Workers do not suffer pressures (as does American labor) of working excessive hours. The result is European Poor do not lack for services and Aid, while American Poor exist in an environment of true deprival of essential services. I have always been of the persuasion of keeping them smiling, as you robbed them blind.

Another Note:
Cactus at Angry Bear has a Must-Read on tax enforcement. There was surprise exhibited that Reagan showed heavy weight in tax collections. The two Bushs expressed the imminent desires of their own Class in enforcement of the Tax Code. Who ever expected different?