Dr. Doug Cardell

An Eclectic Economist Explains Evidentiary Economics

Clear Thinking in a Complicated World

“Ideology asks for acceptance—Intelligence asks for evidence.”
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Why Socialism Struggles

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Featured Article:

   
   February 06, 2026

I'm excited to announce the launch of my new book, Why Socialism Struggles: Exposing the Economic Errors That Undermine Utopian Ideals. It launched on January 20, 2026, and it’s already an Amazon bestseller! If you've been intellectually stimulated by reading the articles on DougCardell.com, then you will find the book even more engaging. It covers topics you may have read about here, but in greater depth, as well as a ton of new material. Since many of you are familiar with my previous work, I believe you'll find this a compelling must-read for those interested in economics, political philosophy, and critiques of Socialism. I'd appreciate your support by purchasing now. In this series, you'll get a sneak preview of the valuable insights the book offers. In chapter 7, “What Is Crony Capitalism?”, we learn how government tinkering with the economy exploded the cost of health care. We discuss how the government has allowed monopolies to take over industries without serious challenge. We also talk about how governments pass laws to help increase the profits of certain industries, like those in Arizona vis-à-vis the cattle industry. We also touch on the corporate veil and how the government creates rules that shield corporations from responsibility for their actions. For example, if you own a dog and it bites your neighbor, you can be held legally liable, but if your company harms your neighbor, only the company can be held liable. That’s like saying your neighbor can only sue your dog because the pet owner’s veil protects you. This veil is a government corruption of capitalism. It is not a failure of the free market. As a result, many frauds and manipulations go undeterred. This leads to and encourages lobbying, which is an overt attempt to corrupt the government for personal gain. We investigate the case of Kine Gueye, who, despite having a successful business and a loyal clientele, the state believed was a danger to society because of unregulated hair braiding. Kine was only a threat to established beauty shop owners who sought to eliminate the competition and enlisted the government to do their bidding. It’s crucial to remember the government’s primary role is to protect the public from such bad actors, not to aid them. We also discuss the history of corruption, beginning with the poster boys for greedy capitalists—the railroad barons. We show that the government was far more culpable than the barons, because the barons had no duty to the public, whereas the government had a duty to prevent their actions and failed to do so. This was an early example of how capitalism is often blamed for government failure. To prevent these abuses of power, we propose an amendment to the US Constitution that could eliminate them. Corruption is driven by more than money—fame, prestige, revenge, and a desire to dominate others all play a part. We present a large study published in the Annals of Internal Medicine that debunks the bogus idea that eating fat makes you fat. The government used this misguided notion to promote dietary guidelines that may have caused millions of premature deaths, but it got Ancel Keys on the cover of Time magazine, illustrating how factors beyond money can drive corruption. Free-market capitalism relies on government to police the market and keep it safe from wrongdoers, just as you rely on the government, or should be able to, to protect your person and property from criminals. When the government fails, the government is to blame, and we must hold the government accountable and not let it transfer the blame to the wrongdoers. They will always exist, and one of the primary roles of government is to keep them in check. Much of the negative perception of capitalism stems from attributing government failure to market failure. Some localities have decriminalized shoplifting, resulting in increased shoplifting. Blaming all capitalists because the government aids and abets the bad behavior of some is no different than blaming innocent customers and store owners for the acts of the shoplifters instead of the government that decriminalized it. I’m sure that reading this synopsis has inspired many questions that can best be answered by reading the book. In the next article, we will preview Chapter 8. If you're ready to order, you can do so now at 'Amazon', 'Barnes & Noble', 'Target', 'Apple', 'Kobo', and bookstores everywhere in a beautiful hardcover edition and a Kindle edition. Thanks so much for your continued support!

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