Can you think of a time in the history of mankind when a government collapsed in financial ruin to then be replaced by a more classically liberal government?
When governments collapse because they can no longer pay their bills, or because inflation spirals out of control, what happens next is not more libertarian. Quit the opposite, in fact. The central government becomes stronger - think Germany 1933 or even the US circa 1929. FDR didn't stay in power for 3-terms preaching limited federal government, did he?
There's absolutely no reason to believe something different would happen here, if we go down that path.
I’ve told my wife that we are either in for something like the late 1930’s and early 1940’s, but where the whole world is “Poland”, or what I refer to in my tag line. I’m praying for the latter.
But I do thing it’s pretty much one of those two without any serious “non-painful” options.
This sums up my position pretty well and I quote someone I heard a few decades ago:
“Where would the early church have been if they put their faith in Rome?”
>>hink Germany 1933<<
Interesting you use that example. I have said for several months that the whole world seems like Poland in August of 1939.
And September is just around the corner.
http://en.wikipedia.org/wiki/Invasion_of_Poland
There is a history of governments losing legitimacy due to lack of money, the results fall into three categories, Foreign takeover (1890's China), Domestic Strongman (1930's Germany), and Splintering into successor states (Roman Empire, Soviet Union). The Russian Empire managed to do all three in succession following the end of the Romanov Dynasty at the end of WWI. No matter which way it goes it is not pleasant.