Home page logo

interesting-people logo Interesting People mailing list archives

Re: Madness: Bailing Out Greed in Wonderland
From: David Farber <dave () farber net>
Date: Wed, 17 Sep 2008 13:41:17 -0400

Begin forwarded message:

From: Russ Nelson <nelson () crynwr com>
Date: September 17, 2008 12:51:44 PM EDT
To: dave () farber net
Cc: Rahul Tongia <tongia () cmu edu>
Subject: Re: [IP] Re:     Madness: Bailing Out Greed in Wonderland

For IP if you wish, David.

David Farber writes:
If nothing else, I always remember from Econ 101 that "free
markets" need essentially perfect information.

Gosh, Rahul, then it seems like you remember nothing.  To have a
perfectly efficient market, you need zero transaction costs and
perfect information.  Anything less and you don't have perfection.
Is that a problem in the real world?  No, of course not.  Everything
has friction and yet we manage to get things done.

Because politicians love to fiddle, no market escapes regulation.
However, you can compare a *more* free market to a *less* free market,
and come to conclusions about the value of freedom to trade.

My own feeling?  We need separation of markets and state.  You may
gasp "Not possible!  What about market failure?!?"  And yet when our
country was founded, all governments chose the religion that their
citizens would observe.  Religious freedom was thought to be
impossible; a sure road to hell.

-- --my blog is at http://blog.russnelson.com | Software that needs Crynwr sells support for free software | PGPok | documentation is software
521 Pleasant Valley Rd. | +1 315-323-1241       | that needs repair.
Potsdam, NY 13676-3213  |     Sheepdog          |

Archives: https://www.listbox.com/member/archive/247/=now
RSS Feed: https://www.listbox.com/member/archive/rss/247/
Powered by Listbox: http://www.listbox.com

  By Date           By Thread  

Current thread:
[ Nmap | Sec Tools | Mailing Lists | Site News | About/Contact | Advertising | Privacy ]