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> when the profit mechanism itself is the cause for most externalities. I was pretty clear. I'll break it down for you though! I have costs, and I have sales.
by orthecreedence 4y ago
> when the profit mechanism itself is the cause for most externalities.
I was pretty clear.
I'll break it down for you though! I have costs, and I have sales. sales - costs = margin (or, profit). If my sales are steady, what's a good method of increasing margin? Reducing costs! How is this generally accomplished? By making some other sap pay for them: externalizing my costs.
The profit mechanism actively incentivizes externalities. This is plain fact, and there's nothing "clearly false" about it. Our economic system encourages externalities, and then builds enormous state apparatuses to quell the effects. You're free to ignore the facts, though.
> What is communism’s record on environmental protection?
How is this relevant? And why is state planning the only solution in people's minds to replacing capitalist markets? There's more than either/or here.
> HUMANS aren’t good at understanding externalities.
We understand them fine. We're being literally paid to create them, though.
> which is why we have regulation.
Yeah, that's working great so far!