Firms, like other organizations, are unable to substitute the market in coordinating their economic plans. If they ever tried to eliminate the market creating them, they would face the same problems that all planned economies do.
Prices determined in the marketplace are absolutely essential to a functioning economic system. This is no less true if today's property was redistributed unjustly in the past. Market prices today are the path to recovery.
Winning narratives shape market prices until their victory is confirmed by the facts or they are discredited by facts and replaced by new narratives.
In a world of scarcity, there are no solutions, only tradeoffs.
If we're serious about maximizing the resources needed to combat COVID-19, we need an economy that is deregulated and flexible.
Ryan McMaken and Jeff Deist tackle Part Five of Human Action, delving into Mises's brilliant and radical view on socialism.
If buyers aren't allowed to compete in terms of prices, they'll be forced to compete in terms of time waiting, distance traveled, or other real costs.
Noneconomists struggle to realize that scarcity results in the necessity of tradeoffs. During the COVID-19 pandemic, this difference in thinking causes them to wrongly accuse economists of "prioritizing money over lives."
Despite the fact that the CDC’s formal name includes the word “Prevention” and that its stated goals include various planning buzzwords, its managing of the COVID-19 response has been an unmitigated disaster.
It is a marvel that imperfect, limited information available to the entrepreneur can be used to produce so much good for society.
