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That's the political employing the market to solve the actual. The market is the policy maker's tool. Take carbon taxes, if implemented incorrectly they may cha
by 3pt14159 8y ago
That's the political employing the market to solve the actual. The market is the policy maker's tool. Take carbon taxes, if implemented incorrectly they may change incentives so harshly on CO2 that industries start creating more methane (a much worse GHG). This isn't "the market solving it" it's policy makers solving it because the tax base is used to fund the studies used to create the regulations necessary to harness the market intelligently. I'm not arguing against the market, far from it, but I do not think it solves things like the environment easily.
- nickik 8y agoBy that definition the market can never solve anything because there is some overlying system of property rights, government or not. But any economist worth their salt would never discussed these issues in the simple market<->government paradigm because it simply breaks down. There is lots of research on property rights and institutions, whole sub-fields of economics are devoted to it you are vastly oversimplifying and projecting a idealistic view of government and their intensives.
- 3pt14159 8y agoI was responding to a simplification. It is of course more complex that I'd expressed, but I tailored my criticism in the least convoluted way I could to make the point. If you want to talk about political economy, international IP law, and Hobbesian traps we can, but it's fruitless when someone is saying that the market can "easily" solve environmental concerns.