Mises Daily
Author:
Robert Blumen
Online Publish Date:
conditions, not all consumer goods could be sold at prices above producers’ costs. Markets would fail to clear, or producers would take a loss on each sale; the economy be forced to sell their output below their cost of production. In spite of the failure of the 435 contestants to find a serious flaw in the theory, Hayek did not realizing losses are liquidated, thereby putting the labor and capital back on the market. Hayek criticized Foster and Catchings: “What they entirely lack is any