Soham Patil

In Austrian economics, judgment refers to decision making under uncertainty. Given that we live in a world of uncertainty, all of us use judgment when choosing what actions to perform.

Net present value (NPV) is a popular decision-making criteria used by firms to make key, crucial choices about how to allocate resources across an economy, but this can be misleading especially when interest rates are manipulated via inflation.

Reality cannot be transformed by mere decrees that take issue with the conditions of the world. Removing these distortionary hurdles is necessary for economic prosperity.