“A man who is forced to provide of his own account for his old age must save a part of his income or take out an insurance policy… Such a man is more likely to get an idea of the economic problems of his country than a man whom a pension scheme seemingly relieves of all worries.”
— Ludwig von Mises
Mises had a very clear view of how economic policy was shaping individuals and the broader culture of his day. The growing dependence on the government by most citizens blinded them from seeing the reality of their country’s economic situation.
Mises thought if a man was responsible for his own life, and problems that could arise in his future, he would be frugal and prudent with his finances. This fact has substantial implications for the state of the economy. If a man is not responsible for his financial future and is not frugal and prudent with his resources, this likewise has substantial implications on the broader economy.