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The crux of your argument doesn't hold water outside of economics circles. The power imbalance between parties makes "simply declining" as real a possibility a
by lmpdev 3y ago
The crux of your argument doesn't hold water outside of economics circles.
The power imbalance between parties makes "simply declining" as real a possibility as Plato's Forms.
In a perfect world with almost all degrees of freedom removed, yes, you're correct. But the world is not perfect, ensuring a beneficial transaction to both parties for every transaction is simply intractable without infinite time/computational resources to brute force a solution, every time.
To expand on the dogmatic proclamations economists are prone to making, this is why almost all natural and formal scientists have conscious or unconscious disdain for the claim that economics has a claim to the same epistemological rigour as other sciences.
You can't extrapolate results and lemmas from within a domain of discourse to the outside world.
Even the best economic models and the real world are not isometric. Implying that they are has so far resulted in some fantastic and incomprehensibly efficient systems but also an untold amount of human suffering.
- ethanbond 3y agoAll of that is true and yet it is still mostly true that most transactions are beneficial to both parties — or at least appears more beneficial than known alternatives which is in practice a synonym of “beneficial.”
- abduhl 3y agoSorry, this is just drivel. Trade happens between individuals or businesses, not countries. If the numbers don’t make sense for a business they will certainly “just decline,” although the numbers might make sense for another business. The large disparity in wealth actually helps the economically weaker party oftentimes because a X% increase in cost will often mean less to the wealthy purchaser (who will mark up the product accordingly) than to the poor seller relatively.
- rajamaka 3y agoIs this ChatGPT generated?