3 ms·

Possibly right but in an ideal world for maximum welfare, prices should signal costs or externalities.

• zopa 5y ago
  That's a nice emergent feature that happens when you have plenty of competition, low transaction costs, perfect information and so on. Sometimes the real world is close enough to that one that you can pretend prices and costs are the same (although even then, just marginal costs, which doesn't include infrastructure that's already built). But it shouldn't be even mildly surprising when they diverge; it's certainly not a lie.