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The Alchemy of the Can Opener: How an Austrian Economist Found Himself Supporting Dictatorial Imposition of a Liberal Order

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  • Guinevere Nell

Abstract

Why would Hayek, the great critic of 'rational constructivism' and defender of spontaneous orders, think a transitional dictatorship could work? Here I attempt to dissect the alchemy of 'turning a constitution into a can opener' as Farrant & McPhail (2014) put it. Hayek argues against the imposition by an external source of order upon a society. He stresses the importance of an evolving culture and tradition, noting that they should be spontaneous orders not command systems, and that the culture of a society must be accepting and supportive of its institutions. Sometimes the culture is more important than the formal institutions of a society for efficiency. So why would Hayek argue that a transitional dictator could impose a constitution upon the people? It will be argued here that if Hayek had pursued the theoretical line set out in his Constitution of Liberty, he might have responded to the situation in Chile differently.

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  • Guinevere Nell, 2014. "The Alchemy of the Can Opener: How an Austrian Economist Found Himself Supporting Dictatorial Imposition of a Liberal Order," Review of Political Economy, Taylor & Francis Journals, vol. 26(3), pages 349-357, July.
    • Handle: RePEc:taf:revpoe:v:26:y:2014:i:3:p:349-357
    DOI: 10.1080/09538259.2014.932064
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    References listed on IDEAS

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    1. Hayek, F. A., 2012. "Hayek on Hayek," University of Chicago Press Economics Books, University of Chicago Press, edition 1, number 9780226321202 edited by Kresge, Stephen & Wenar, Leif, June.
    2. Robert Sugden, 2005. "Spontaneous Order," Palgrave Macmillan Books, in: The Economics of Rights, Co-operation and Welfare, chapter 1, pages 1-9, Palgrave Macmillan.
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