Ok, Obamaniacs (Cali)....

[Colly Wolly]

Originally Posted by ChinoCoug

For markets to function properly, you need 1. Perfect Information 2. No externalities 3. No barriers to entry 4. No transaction costs

What you have listed are requirements for markets to be perfectly efficient, not for them to function properly.

[Brian]

Originally Posted by MikeWaters

It's not your wealth. You don't own one penny of it. It is the Lord's money, and your duty is to help others.

It's your duty, and by golly you're going to do your duty. Agency be damned!

[Colly Wolly]

Originally Posted by MikeWaters

In other words, you do believe the govt. can tax (by majority rule), and that the rich can be made to pay more than the poor.

I'm glad we got that out of the way.

Dunno how I missed this earlier, but, no, we don't agree. You were talking about conservatives wanting the benefit of the fort without contributing as much as everyone else. Let's bump everybody up to a 35% tax rate. That way, we are all contributing equally (not really tho, in hard dollars, the rich still pay much more). But atleast libs and the poor will have the satisfaction and self esteem that comes with knowing they are semi-equal contributors to the fort. Nothing changes for the rich.

[ChinoCoug]

Originally Posted by Colly Wolly

What you have listed are requirements for markets to be perfectly efficient, not for them to function properly.

When markets function properly they produce the most efficient outcome. There's no difference.

When do those conditions ever hold in the real world?

[Colly Wolly]

Originally Posted by ChinoCoug

When markets function properly they produce the most efficient outcome. There's no difference.

When do those conditions ever hold in the real world?

There is a difference. Properly functioning markets can produce the most efficient outcome available in imperfect conditions.

By the way, what's your point? You can't have perfect markets in the real world so gov't intervention or central planning are the best bet?

[ChinoCoug]

Originally Posted by Colly Wolly

There is a difference. Properly functioning markets can produce the most efficient outcome available in imperfect conditions.

By the way, what's your point? You can't have perfect markets in the real world so gov't intervention or central planning are the best bet?

When companies cook their 10-Qs (bad information) to make their stock price overvalued, the market fails and you get a bubble. When companies dump their crap into the Mississippi without paying for it, companies don't produce where the price is equal to the marginal social cost, and the market fails.

Technology is also an area where the market won't produce the most optimal outcome on its own, because the innovator isn't able to capture all the benefits from his innovation.

The market functions most efficiently when the right regulations are in place.

[Mormon Red Death]

Originally Posted by ChinoCoug

When companies cook their 10-Qs (bad information) to make their stock price overvalued, the market fails and you get a bubble. When companies dump their crap into the Mississippi without paying for it, companies don't produce where the price is equal to the marginal social cost, and the market fails.

Technology is also an area where the market won't produce the most optimal outcome on its own, because the innovator isn't able to capture all the benefits from his innovation.

The market functions most efficiently when the right regulations are in place.

What you are describing is criminal activity. Its akin to the government catching bank robbers. It is a neccessary role of government. As I have said before the role of government is to protect three things:

Life
Liberty
Property

Any other intervention into the market screws up the efficiency in the market.

[ChinoCoug]

Originally Posted by Mormon Red Death

What you are describing is criminal activity. Its akin to the government catching bank robbers. It is a neccessary role of government. As I have said before the role of government is to protect three things:

Life
Liberty
Property

Any other intervention into the market screws up the efficiency in the market.

so when the government created the discipline of computer science 30 years ago that let to the advent of the internet, it screwed up the efficiency of the market?

[Mormon Red Death]

Originally Posted by ChinoCoug

so when the government created the discipline of computer science 30 years ago that let to the advent of the internet, it screwed up the efficiency of the market?

that damn Al Gore

[Mormon Red Death]

Originally Posted by ChinoCoug

so when the government created the discipline of computer science 30 years ago that let to the advent of the internet, it screwed up the efficiency of the market?

the government created computer science???