The answer to the question is no, according to a study conducted by Dan Klein, an econ professor at George Mason University and Dr. Zeljka Buturovic of Zogby International.
This from the Wall Street Journal:
Who is better informed about the policy choices facing the country—liberals, conservatives or libertarians? According to a Zogby International survey that I write about in the May issue of Econ Journal Watch, the answer is unequivocal: The left flunks Econ 101.
Zogby researcher Zeljka Buturovic and I considered the 4,835 respondents’ (all American adults) answers to eight survey questions about basic economics. We also asked the respondents about their political leanings: progressive/very liberal; liberal; moderate; conservative; very conservative; and libertarian.
Rather than focusing on whether respondents answered a question correctly, we instead looked at whether they answered incorrectly. A response was counted as incorrect only if it was flatly unenlightened.
Consider one of the economic propositions in the December 2008 poll: “Restrictions on housing development make housing less affordable.” People were asked if they: 1) strongly agree; 2) somewhat agree; 3) somewhat disagree; 4) strongly disagree; 5) are not sure.
Basic economics acknowledges that whatever redeeming features a restriction may have, it increases the cost of production and exchange, making goods and services less affordable. There may be exceptions to the general case, but they would be atypical.
Therefore, we counted as incorrect responses of “somewhat disagree” and “strongly disagree.” This treatment gives leeway for those who think the question is ambiguous or half right and half wrong. They would likely answer “not sure,” which we do not count as incorrect.
In this case, percentage of conservatives answering incorrectly was 22.3%, very conservatives 17.6% and libertarians 15.7%. But the percentage of progressive/very liberals answering incorrectly was 67.6% and liberals 60.1%. The pattern was not an anomaly.
The other questions were: 1) Mandatory licensing of professional services increases the prices of those services (unenlightened answer: disagree). 2) Overall, the standard of living is higher today than it was 30 years ago (unenlightened answer: disagree). 3) Rent control leads to housing shortages (unenlightened answer: disagree). 4) A company with the largest market share is a monopoly (unenlightened answer: agree). 5) Third World workers working for American companies overseas are being exploited (unenlightened answer: agree). 6) Free trade leads to unemployment (unenlightened answer: agree). 7) Minimum wage laws raise unemployment (unenlightened answer: disagree).
How did the six ideological groups do overall? Here they are, best to worst, with an average number of incorrect responses from 0 to 8: Very conservative, 1.30; Libertarian, 1.38; Conservative, 1.67; Moderate, 3.67; Liberal, 4.69; Progressive/very liberal, 5.26.
Americans in the first three categories do reasonably well. But the left has trouble squaring economic thinking with their political psychology, morals and aesthetics.
To be sure, none of the eight questions specifically challenge the political sensibilities of conservatives and libertarians. Still, not all of the eight questions are tied directly to left-wing concerns about inequality and redistribution. In particular, the questions about mandatory licensing, the standard of living, the definition of monopoly, and free trade do not specifically challenge leftist sensibilities.
Yet on every question the left did much worse. On the monopoly question, the portion of progressive/very liberals answering incorrectly (31%) was more than twice that of conservatives (13%) and more than four times that of libertarians (7%). On the question about living standards, the portion of progressive/very liberals answering incorrectly (61%) was more than four times that of conservatives (13%) and almost three times that of libertarians (21%).
The survey also asked about party affiliation. Those responding Democratic averaged 4.59 incorrect answers. Republicans averaged 1.61 incorrect, and Libertarians 1.26 incorrect.
Adam Smith described political economy as “a branch of the science of a statesman or legislator.” Governmental power joined with wrongheadedness is something terrible, but all too common. Realizing that many of our leaders and their constituents are economically unenlightened sheds light on the troubles that surround us.
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LOl. This is a bit silly. Its like asking people who speak one language to answer questions in a different language. Of course those more proficient in the questioner’s language will give more “enlightened” answers. It supports what the econ professor would expect to find. We could write questions about the “left” (where is this place? Can i visit?) where social scientists are more enlightened than those on the “right.” It doesnt really tell us anything apart from how to make differences between people. whether we are conservatives, liberals or libertarians the bank bail out damaged us all.
Dylan, I gave you the link to the study, so you can check it out to see if it’s a load of confirmation bias. Then let us know what you find. Thanks for the comment.
Is someone jealous Dylan because they consistently picked the unenlightened answers?
those are some very basic tenets of economics; hardly the arcane nature of a foreign language. at present, we have an administration that is bent on redistribution of wealth, stimulus spending, deficit spending, and manipulating the markets and banking to achieve its economic goal (growth of wealth) without an understanding of the language of economics and how its very actions pervert the results it so desires.
i would agree with dylan that the survey supports the expectation of the study or that the relationship between political inclination and economics may not be a science. however, i dont recall the democratic administration saying “we dont know about this stuff so we’re not going to mess with it”. so to a degree, the point of the study is “how to make differences between people”. at least, to acknowledge them and understand them.
It makes sense to me. Most liberals have a fundamental dislike of business. They start with “we need” or, “we should” as if they spoke for what’s best for everyone.
Wow. I’m a liberally-minded individual and I got all of these questions right. I have to say I have been very disappointed with liberals lately regarding economics.
I’m a firm believer that one can be fiscally conservative while defining themselves as “liberal.” I disagree with Matt that most liberals have a “fundamental dislike of business.” Rather, the problem with liberalism and economics is that liberals can’t seem to get past what they perceive as a fundamental “fairness” imbalance.
Example: People are are poor = the minimum wage should be higher! The government needs money, rich people have a lot of money = we should tax the rich more! And so forth..
I’m not saying that I agree with every “enlightened” response from this survey. (In fact I have some strong feelings about question no. 5 in particular: Exploitation of factory workers, while not the ‘norm’, absolutely exists in the developing world). But what I am saying is, once a liberal has the courage to go against their better judgement and lose their “fairness” mindset, only then will they be able to have truly intelligent discussions about economics.
Good job, Stefan. Now all you need to do is take it one step further. Factory workers in developing countries actually have good jobs. I am sure some are “exploited” with violence, but for the most part, they flee the poverty of the countryside to jobs in the city because it’s a better life. One needs to compare “exploitation” with the alternatives available to them. Gotta start somewhere on the road to capitalism. Thanks for the comment.
Stephan, I suppose you could be right. It might be that I’m misusing “dislike” when I mean “distrust”. However, what I encounter most is closer to “animosity”. A liberal starts with the idea that business takes advantage of people, instead of meeting the demands of people in the only way that has worked effectively and healthily for mankind. That said, you’re obviously proof that a rational mind is out there.
The questions are very obviously chosen to divide the groups. They are, themselves, politically charged, with most of the “unenlightened” answers containing commonly known exceptions that just happen to carry charge in the liberal agenda.
The answers of the groups reflect the division, as intended. But to conclude what the article concludes is unfair. The clear intent of the survey makes the whole article non-data. A devious liberal could come up with a bunch of traps for conservatives too (e.g. “Deficit spending leads to inflation”). Want to play fair? Have the two ideologically opposed groups design questions designed to sabotage the other. Let both groups know the intention and rules.
We already know how Mr. Klein is playing.
Furthermore, much is open to interpretation.
One does not “need” to compare “exploitation” with the alternatives available to “them”. One may, instead, “need” to compare differences in labor laws, employee protections, workplace safety regulations, etc. in the two involved countries when arriving at his definition of “exploited”. The lack of these regulations, and the resulting lower costs are themselves some of the reasons companies build plants in third world countries in the first place. It’s not too much of a stretch to call this “exploitation”. It depends on how you look at it, and how you see the role of Capitalism in the world.
My only takeaway: I don’t think I’d like Dan Klein.