Kishore Kayabalan had some good observations about distributism at The Acton PowerBlog in a post titled Italy, competition and the problem of guilds.
… both the New York Times and IBL make it clear that the Italians are being done in by the impediments to the free-market economy, deriving in many cases from a fear of open, honest competition in the marketplace.
Nowhere is this fear more evident than in the system of guilds that still dominates many sectors of the Italian economy. Guilds, in effect, are associations meant protect certain industries from competition in the name of cooperation/collusion among the suppliers of a good or service. And the recovery of guilds is often at the heart of a school of thought known as distributism that seeks a “third way” between capitalism and socialism. …
… It is most unfortunate that some conservative religious-minded people have fallen for the “charms” of distributism, many of which are romantic longings for a more self-sufficient, localized economy made up of many (“well-distributed”) small-property owners, as opposed to large monopolistic, corporate holders of property.
Of course no one with any religious sensibilities really wants to (or can for that matter) defend capitalism, let alone the status quo, unconditionally. At its best, distributism can remind us that we are not economic automatons, that we shouldn’t become “wage-slaves”, and that as free, morally-responsible persons, we can and must choose how we ought to live. But it should also be obvious that a return to the guilds, with its limitations on free competition, is no way to correct the excesses of 21st-century capitalism. Just ask the Italians….
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