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And the second reason is that if you want to solve a problem using a network of cooperating companies, you have to be able to coordinate their efforts, and you
by caf 11y ago
And the second reason is that if you want to solve a problem using a network of cooperating companies, you have to be able to coordinate their efforts, and you can do that much better with computers. Computers reduce the transaction costs that Coase argued are the raison d'etre of corporations. That is a fundamental change.
I wonder if the same is true of coordinating efforts in a centrally planned economy - would computers be the same kind of fundamental change there?