April 16, 2011

Atlas Shrugged, Ayn Rand, Freedom

Atlas Shrugged Part 1 has opened in theaters. Terrific celebration of the entrepreneur and the risk taker who seeks to chart his way in life and those who trek out to create their own wealth through human intellect and hard work. Excellent film.

'Atlas Shrugged': From Fiction to Fact in 52 Years


Some years ago when I worked at the libertarian Cato Institute, we used to label any new hire who had not yet read "Atlas Shrugged" a "virgin." Being conversant in Ayn Rand's classic novel about the economic carnage caused by big government run amok was practically a job requirement. If only "Atlas" were required reading for every member of Congress and political appointee in the Obama administration. I'm confident that we'd get out of the current financial mess a lot faster.

[Atlas Shrugged]
Getty Images

The art for a 1999 postage stamp.

Many of us who know Rand's work have noticed that with each passing week, and with each successive bailout plan and economic-stimulus scheme out of Washington, our current politicians are committing the very acts of economic lunacy that "Atlas Shrugged" parodied in 1957, when this 1,000-page novel was first published and became an instant hit.

Rand, who had come to America from Soviet Russia with striking insights into totalitarianism and the destructiveness of socialism, was already a celebrity. The left, naturally, hated her. But as recently as 1991, a survey by the Library of Congress and the Book of the Month Club found that readers rated "Atlas" as the second-most influential book in their lives, behind only the Bible.

For the uninitiated, the moral of the story is simply this: Politicians invariably respond to crises -- that in most cases they themselves created -- by spawning new government programs, laws and regulations. These, in turn, generate more havoc and poverty, which inspires the politicians to create more programs . . . and the downward spiral repeats itself until the productive sectors of the economy collapse under the collective weight of taxes and other burdens imposed in the name of fairness, equality and do-goodism.

In the book, these relentless wealth redistributionists and their programs are disparaged as "the looters and their laws." Every new act of government futility and stupidity carries with it a benevolent-sounding title. These include the "Anti-Greed Act" to redistribute income (sounds like Charlie Rangel's promises soak-the-rich tax bill) and the "Equalization of Opportunity Act" to prevent people from starting more than one business (to give other people a chance). My personal favorite, the "Anti Dog-Eat-Dog Act," aims to restrict cut-throat competition between firms and thus slow the wave of business bankruptcies. Why didn't Hank Paulson think of that?

These acts and edicts sound farcical, yes, but no more so than the actual events in Washington, circa 2008. We already have been served up the $700 billion "Emergency Economic Stabilization Act" and the "Auto Industry Financing and Restructuring Act." Now that Barack Obama is in town, he will soon sign into law with great urgency the "American Recovery and Reinvestment Plan." This latest Hail Mary pass will increase the federal budget (which has already expanded by $1.5 trillion in eight years under George Bush) by an additional $1 trillion -- in roughly his first 100 days in office.

The current economic strategy is right out of "Atlas Shrugged": The more incompetent you are in business, the more handouts the politicians will bestow on you. That's the justification for the $2 trillion of subsidies doled out already to keep afloat distressed insurance companies, banks, Wall Street investment houses, and auto companies -- while standing next in line for their share of the booty are real-estate developers, the steel industry, chemical companies, airlines, ethanol producers, construction firms and even catfish farmers. With each successive bailout to "calm the markets," another trillion of national wealth is subsequently lost. Yet, as "Atlas" grimly foretold, we now treat the incompetent who wreck their companies as victims, while those resourceful business owners who manage to make a profit are portrayed as recipients of illegitimate "windfalls."

When Rand was writing in the 1950s, one of the pillars of American industrial might was the railroads. In her novel the railroad owner, Dagny Taggart, an enterprising industrialist, has a FedEx-like vision for expansion and first-rate service by rail. But she is continuously badgered, cajoled, taxed, ruled and regulated -- always in the public interest -- into bankruptcy. Sound far-fetched? On the day I sat down to write this ode to "Atlas," a Wall Street Journal headline blared: "Rail Shippers Ask Congress to Regulate Freight Prices."

In one chapter of the book, an entrepreneur invents a new miracle metal -- stronger but lighter than steel. The government immediately appropriates the invention in "the public good." The politicians demand that the metal inventor come to Washington and sign over ownership of his invention or lose everything.

The scene is eerily similar to an event late last year when six bank presidents were summoned by Treasury Secretary Hank Paulson to Washington, and then shuttled into a conference room and told, in effect, that they could not leave until they collectively signed a document handing over percentages of their future profits to the government. The Treasury folks insisted that this shakedown, too, was all in "the public interest."

Ultimately, "Atlas Shrugged" is a celebration of the entrepreneur, the risk taker and the cultivator of wealth through human intellect. Critics dismissed the novel as simple-minded, and even some of Rand's political admirers complained that she lacked compassion. Yet one pertinent warning resounds throughout the book: When profits and wealth and creativity are denigrated in society, they start to disappear -- leaving everyone the poorer.

One memorable moment in "Atlas" occurs near the very end, when the economy has been rendered comatose by all the great economic minds in Washington. Finally, and out of desperation, the politicians come to the heroic businessman John Galt (who has resisted their assault on capitalism) and beg him to help them get the economy back on track. The discussion sounds much like what would happen today:

Galt: "You want me to be Economic Dictator?"

Mr. Thompson: "Yes!"

"And you'll obey any order I give?"


"Then start by abolishing all income taxes."

"Oh no!" screamed Mr. Thompson, leaping to his feet. "We couldn't do that . . . How would we pay government employees?"

"Fire your government employees."

"Oh, no!"

Abolishing the income tax. Now that really would be a genuine economic stimulus. But Mr. Obama and the Democrats in Washington want to do the opposite: to raise the income tax "for purposes of fairness" as Barack Obama puts it.

David Kelley, the president of the Atlas Society, which is dedicated to promoting Rand's ideas, explains that "the older the book gets, the more timely its message." He tells me that there are plans to make "Atlas Shrugged" into a major motion picture -- it is the only classic novel of recent decades that was never made into a movie. "We don't need to make a movie out of the book," Mr. Kelley jokes. "We are living it right now."

The hole in her universe

On the anniversary of Ayn Rand’s classic, some lessons on God and values | John Piper

This month marks the 50th anniversary of the publication of the novel Atlas Shrugged by Ayn Rand. As I write, the book ranks Number 237 at That is phenomenal for a 1,200-page novel that contains philosophical speeches, one of which stretches to 90 uninterrupted pages. The book has sold over 6 million copies. In one survey from 16 years ago, Atlas Shrugged was ranked second only to the Bible as the book that influenced people most.

My Ayn Rand craze happened in the late '70s when I was a professor of Biblical Studies at Bethel College. I read most of what she wrote and was both attracted and repulsed. I was blown away with powerful statements of what I believed, and angered that she shut herself up in what Jonathan Edwards called the infinite provincialism of atheism. Her brand of hedonism was so close to my Christian Hedonism and yet so far—like a satellite that comes close to the gravitational pull of truth and then flings off into the darkness of outer space.

She was born in St. Petersburg, Russia, in 1905, graduated with a degree in history from the University of Leningrad in 1924, and emigrated to the United States in 1926. "I am an American by choice and conviction," she wrote. "I was born in Europe, but I came to America because this was the country based on my moral premises and the only country where I could be fully free to write." She died on March 6, 1982.

She abominated altruism. All self-sacrifice is evil because: "Sacrifice is the surrender of a greater value for the sake of a lesser one or of non-value. Thus altruism gauges a man's virtue by the degree to which he surrenders, renounces or betrays his values (since help to a stranger or an enemy is regarded as more virtuous, less 'selfish' than help to those one loves). The rational principle of conduct is the exact opposite: always act in accordance with the hierarchy of your values and never sacrifice a greater value to a lesser one."

Ayn Rand had no place for mercy, whereas Christianity has mercy at its heart. And the reason for the difference is that God was simply missing in Ayn Rand's universe. Since there was no God from whom she had received everything undeserved, and since there was no God who promised to reward every act that showed His supreme worth, she could only conceive of sacrifice as the immoral suicide of one's own values.

What Ayn Rand meant by altruism is seen in the words of Lillian Rearden to her husband in Atlas Shrugged: "If you tell a beautiful woman that she is beautiful, what have you given her? It's no more than a fact and it costs you nothing. But if you tell an ugly woman that she is beautiful you offer her the great homage of corrupting the concept of beauty. To love a woman for her virtues is meaningless. She's earned it, it's a payment, not a gift. But to love her for her vices is to defile all virtue for her sake—and that is a real tribute of love, because you sacrifice your conscience, your reason, your integrity and your invaluable self-esteem."

Since Ayn Rand had no place for a sovereign, all-sufficient God who cannot be traded with, she did not reckon with any righteous form of mercy. It is indeed evil to love a person "for their vices." But mercy in the Christian sense is not "because of" vices, but "in spite of" vices. It is not intended to reward evil, but to reveal the bounty of God who cannot be traded with, but only freely admired and enjoyed. It aims not to corrupt or compromise integrity, but to transform the values of the enemy into the values of Christ. While it may mean the sacrifice of some temporal pleasures, it is never the sacrifice of greater values to lesser ones. It is the sacrifice of lower values to higher ones.

Therefore, Ayn Rand's philosophy did not need to be entirely scrapped. Rather, it needed to take all of reality into account, including the infinite God. No detail of her philosophy would have been left untouched.

No comments: