Home
/
RELIGION & LIBERTY ONLINE
/
Why Milton Friedman’s Capitalism and Freedom is still relevant today
Why Milton Friedman’s Capitalism and Freedom is still relevant today
Jan 14, 2026 6:02 AM

As we approach what would be Milton Friedman’s 104th birthday this Sunday, July 31st, we should note the enduring significance of his evaluation of the connection between economic and political freedom. In his popular work, Capitalism and Freedom, in a chapter titled “The Relation between Economic Freedom and Political Freedom,” Friedman explains how a society cannot have the latter without the former.

Friedman criticizes the notion that politics and economics can be regarded separately and that bination of political and economic system is possible. He calls the view “a delusion,” holding that there is “an intimate connection between economics and politics.” Though Friedman concedes the possibility of an economically free and politically repressed society, the opposite, he claims, is impossible. Political freedom, both historically and logically, is inseparable from economic freedom.

In a cogent prehensive analysis, Friedman explains that economic freedom is a crucial element of individual freedom in its own right, but is also crucial for supporting political freedom:

Political freedom means the absence of coercion of a man by his fellow men. The fundamental threat to freedom is power to coerce, be it in the hands of a monarch, a dictator, an oligarchy, or a momentary majority…By removing the organization of economic activity from the control of political authority, the market eliminates this source of coercive power. It enables economic strength to be a check to political power rather than a reinforcement.

He further outlines the issues with government control of resources, especially of media, which allows for suppression of unpopular speech. Without simplifying the issue, Friedman exposes the realities inherent in allowing for political control in the economic sphere, from difficulty funding and expressing unpopular speech to direct government discrimination against political dissenters’ freedom of speech or even livelihoods. Preserving real political freedom in a system that gives economic power to the government is, Friedman concludes, virtually impossible.

These principles are no less true today, and, while the United States is relatively economically free, threats to both economic and political freedom are growing. The 2016 Index of Economic Freedom evaluated the United States thus:

The United States remains mired in the ranks of the “mostly free,” the second-tier economic freedom status into which it dropped in 2010. America’s historically vibrant entrepreneurial growth is significantly hampered by intrusive, expensive, and often ineffective government policies in areas ranging from health care to energy to education. Government favoritism toward entrenched interests has hurt innovation and contributed to a lackluster recovery and stagnant e growth.

These concerns over political coercion have already e a reality in the growing bureaucracy. Similar concerns about religious freedom have cropped up in the wake of the passage of the Affordable Care Act and other state healthcare programs. Friedman asserts that “capitalism is a necessary condition for political freedom.” If the trend toward larger government control of economic activity continues, where will it leave political freedom in the United States?

Comments
Welcome to mreligion comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
RELIGION & LIBERTY ONLINE
Shareholder Activists’ War on Science
The so-called bee controversy is gaining traction, claiming pany that has promised shareholders it will stop selling neonicotinoid pesticides (pesticides also known as neonics, which they incorrectly blame for colony collapse disorder). Green America announced last weekend it has secured a promise from Lowe’s Companies, Inc., to “phase out neonics and plants pre-treated with them by the spring of 2019 (or sooner, if possible). It is also working with suppliers to minimize pesticide use overall and move to safer alternatives.”...
Rev. Robert Sirico Takes On Trump’s Comments On Pope Francis
p Last week, the Washington Postfeatured an interview with Donald Trum, entrepreneur-turned-presidential candidate. Trump is clearly no fan of the ments on capitalism and free markets, and his approach to dealing with the pope on this topic is rather unique: Trump wants to scare Pope Francis. mon for someto criticize Pope Francis’s wariness about capitalism, but Republican presidential candidate Donald Trump just took that to a new level, saying he’d try to “scare” the pope by telling him: “ISIS wants...
Video: Creation And The Heart Of Man
Pope Francis has started an important global discussion on the environment with the release of his encyclicalLaudeto Si’, which the Acton Institute has been engaging in with vigor since it’s release, and has been ably covered as well here on the PowerBlog by the likes of Bruce Edward Walker and Joe Carter. But this isn’t the first time that Acton has waded into the debate over protecting the environment; Acton Founder Rev. Robert A. Sirico was debating Matthew Fox, proponent...
How Protestant Missionaries Spread Democracy
Over the past 500 years, some countries have proven to be more receptive to democracy than others. What accounts for the disparity? What causes some countries to be more likely to embrace democratic forms of governance? As empirical evidence shows, one strong predictor is the presence of Protestant missionaries. “Protestant missionaries played an integral role in spreading democracy throughout the world,” says Greg Scandlen. “We could preserve our own if we learn from their ways.” Today we may think of...
Could Wealth Redistribution End Global Poverty?
Americans make up around four percent of the world population and yet they control over 25 percent of the world’s wealth. What if we were to simply redistribute our wealth to the most needy people on the planet—wouldn’t that end global poverty almost overnight? “The answer unfortunately is no,” says philosopher Matt Zwolinski. “Sharing one’s wealth with those who have less is admirable and it often helps to relieve immediate suffering. But just sharing existing wealth we’ll never be enough...
Income Inequality And Poverty Aren’t The Same Thing
e inequality and poverty are separate issues. For many people this is obvious. But there are numerousChristians who believe that e inequality is an important issue because they assume it is a proxy for poverty. If this were true, Christians would indeed need to be concerned about e inequality because concern about poverty is a foundational principle of any Christian view of economics. Fortunately, there is neither a necessary connection nor correlation. A country could have absolutely no poverty at...
Americans Don’t Know Pope’s Environmental Views (And What That Means For Us)
There has been no document by a world leader that has received more attention this year than Laudato Si. Three months have passed since Pope Francis released his encyclical on the environment, and yet the media coverage and mentary on it has hardly waned. Here on the Acton PowerBlog, Bruce Edward Walker has piling a daily list of links related to news mentary on the encyclical. To date he has 62 posts with hundreds of links. As the Associated Press...
What is the Moral Difference Between Taxation and Charity?
What is the difference between paying a tax and donating to a charity? Is it moral to force others to give to the cause of your choice? Is it moral for the government to force others to give to the cause of your choice? Rob Gressis, a professor of philosophy, went on campus at California State University – Northridge, to ask students those questions. You can see an extended version of the video here. ...
What You Should Know About ‘Women’s Equality Day’
If you’ve been on Facebook today you’ve probably noticed the graphic promoting “Women’s Equality Day” which claims “On Aug 26, 1920, women achieved the right to vote in the US.” President Obama also issued a proclamation today which begins, “On August 26, 1920, after years of agitating to break down the barriers that stood between them and the ballot box, American women won the right to vote.” The problem with these claims is that they imply American women had no...
The Real ‘Throwaway’ Culture
“Pope Francis is famous for his strident denunciations of a “throwaway culture” that ruthlessly discards human beings not considered useful in an economy that ‘kills’,” says Kishore Jayabalan in this week’s Acton Commentary. But has the pope accurately identified the real cause of the problem? My concerns were only heightened by the secret videos of Planned Parenthood officials blithely discussing buying and selling the body parts of aborted babies. Part of me is nervously awaiting the pope to denounce capitalism...
Related Classification
Copyright 2023-2026 - www.mreligion.com All Rights Reserved