Economic calculation problemThe economic calculation problem (sometimes abbreviated ECP) is a criticism of using economic planning as a substitute for market-based allocation of the factors of production. It was first proposed by Ludwig von Mises in his 1920 article "Economic Calculation in the Socialist Commonwealth" and later expanded upon by Friedrich Hayek. In his first article, Mises described the nature of the price system under capitalism and described how individual subjective values (while criticizing other theories of value) are translated into the objective information necessary for rational allocation of resources in society.
Economic freedomEconomic freedom, or economic liberty, is the ability of people of a society to take economic actions. This is a term used in economic and policy debates as well as in the philosophy of economics. One approach to economic freedom comes from the liberal tradition emphasizing free markets, free trade, and private property under free enterprise. Another approach to economic freedom extends the welfare economics study of individual choice, with greater economic freedom coming from a larger set of possible choices.
New classNew class is a polemic term by critics of countries that followed the Soviet-type state socialism to describe the privileged ruling class of bureaucrats and Communist party functionaries which arose in these states. Generally, the group known in the Soviet Union as the nomenklatura conforms to the theory of the new class. The term was earlier applied to other emerging strata of the society. Milovan Đilas' new-class theory was also used extensively by anti-communist commentators in the Western world in their criticism of the Communist states during the Cold War.
Friedrich HayekFriedrich August von Hayek (ˈhaɪək , ˈfʁiːdʁɪç ˈʔaʊɡʊst fɔn ˈhaɪɛk; 8 May 1899 – 23 March 1992), often referred to by his initials F. A. Hayek, was an Austrian-British economist and political philosopher who made contributions to economics, political philosophy, psychology, intellectual history, and other fields. Hayek shared the 1974 Nobel Memorial Prize in Economic Sciences with Gunnar Myrdal for work on money and economic fluctuations, and the interdependence of economic, social and institutional phenomena.
Liberal democracyLiberal democracy or western democracy is the combination of a liberal political philosophy that operates under a representative democratic form of government. It is characterized by elections between multiple distinct political parties, a separation of powers into different branches of government, the rule of law in everyday life as part of an open society, a market economy with private property, universal suffrage, and the equal protection of human rights, civil rights, civil liberties and political freedoms for all people.
Conservative liberalismConservative liberalism, also referred to as right-liberalism, is a variant of liberalism, combining liberal values and policies with conservative stances, or simply representing the right-wing of the liberal movement. In the case of modern conservative liberalism, scholars sometimes see it as a more positive and less radical variant of classical liberalism; it is also referred to as an individual tradition that distinguishes it from classical liberalism and social liberalism.
FreedomFreedom is the power or right to act, speak, and change as one wants without hindrance or restraint. Freedom is often associated with liberty and autonomy in the sense of "giving oneself one's own laws". In one definition, something is "free" if it can change and is not constrained in its present state. Physicists and chemists use the word in this sense. Philosophy and religion sometimes associate freedom with free will, as distinct from predestination.
