Road to Serfdom Reading Guide

Chapter 2: “The Great Utopia”

1. Hayek is arguing that socialism can only be achieved through authoritarianism; that socialism and democracy are incompatible. Identify some quotes that he uses to buttress his argument.

Chapter 3: “Individualism and Collectivism”

2. According to Hayek, how is socialism both an “ends” and a “method” Which one is he most concerned about?

3. Starting on page 41, Hayek, an economist, surprisingly begins to make a moral argument in favor of markets. What is that moral argument?

Chapter 4: “The Inevitability of Planning”

4. Hayek debunks several arguments that suggest government planning is required to control the “inevitability of monopolies” that will develop in capitalist societies. What are some of his arguments?

5. In contrast, Hayek argues that it is socialist governments that MUST have monopolies to survive. Why is this so? Why was it that socialist governments passed law to protect monopolies?

Name:_______________________________

Road To Serfdom Reading Guide # 2

Chapter 5: “Planning and Democracy”

1. According to Hayek, why is socialism so appealing to the masses and academics?

2. Why is it impossible for a single person or a groups of people to find the “general good”? (pp. 66-68)

3. What does Hayek mean when he states “What are called ‘social ends’ are merely identical ends of many individuals.”?

4. Why do “state-based” plans fail in a democracy? (pp. 69-70)

5. Why do lawmaking bodies delegate authority and discretion to administrative agencies AFTER they have already made law? How does Hayek use this analogy to explain why planned economies won’t work? Why is the delegation of authority a threat to democracy? (pp. 74-75)

Chapter 6: “Planning and the Rule of Law”

6. According to Hayek, socialism is incompatible with the “rule of law.” Why?

7. How are administrative agencies incompatible with the “rule of law”? (pp. 91).

Name:_______________________________

Road To Serfdom Reading Guide # 3

Chapter 7: Economic Control and Totalitarianism

1. Why is it, according to Hayek, planned economy governments cannot separate Man’s economic sphere from the political sphere? What happens when governments attempt the limited control of just economic matters?

Chapter 8: Who, Whom?

2. How does the existence of private property act as a check on the power of centralized governments?

3. Hayek notes, “once government has embarked upon planning for the sake of justice, it cannot refuse responsibility for anybody’s fate or position.” What does he mean?

4. Why was it inevitable that Fascism and dictatorship would naturally result from democratic societies trying to implement socialism? How do you decide “who, whom?” in a planned economy?

Chapter 9: Security and Freedom

5. What are legitimate economic roles for the state?

6. What type of “security” is dangerous to liberty? Why?

7. How does government “stabilization” of an economy actually hurt the working class?

Name:______________________________

The Road to Serfdom: Reading Guide # 4

Chapter 10: Why the Worst Get on Top

1. Hayek argues that all socialist countries will eventually end up in dictatorship. What is his argument? E.g….why do the “worst” get on top?

2. How does Hayek draw an analogy between the loss of freedom individuals experience in democratic countries during times of war, and the loss of freedom individuals experience from state planned economies?

3. Why must planned economies resort to propaganda?