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Supply-and-demand describes the value that humans place on goods and services that by their very nature are not infinite. In that, it is a description of human
by teilo 9y ago
Supply-and-demand describes the value that humans place on goods and services that by their very nature are not infinite. In that, it is a description of human behavior, and because it is based on human action in aggregate, acts as a law of nature just as surely as if there were some "nebulous" unseen force determining the economic outcomes of a society.
To change the law of supply and demand would require changing human nature itself, and human nature as it relates to the supply of goods and services, has been constant for all of recorded history.
- vbuwivbiu 9y agoThe hidden-hand is a myth. Humans lie and cheat and use psychology to manipulate groups (negating your assumption that "in aggregate" there's such a thing as wisdom of crowds - there's isn't).
- teilo 9y agoCertainly they do. That is why societies make laws. I am not a Randian.
- vbuwivbiu 9y agopeople lie and manipulate without getting caught - the law is always behind the cheaters. Add to that the irrationality of humans and the idea that the market optimizes the values of goods & services is a myth: prices are arbitrary. (and I am not a communist)