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Cake day: November 23rd, 2023

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  • broton33@lemmy.worldtoLefty Memes@lemmy.dbzer0.comB-but muh free market!
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    3 months ago

    When I was younger I heard that a planned economy can never be as potentially as efficient over time as a free (not capatilist) market due to the “lack of perfect information”. Meaning, not one authority can fully and effectively makimulsy optimize each supply/demand connection across all types of markets (pencils, food, trucks, medicine, tutors, etc…). The benefit of allowing markets to form organically (again, not monopolies, not regulatory capture, but person to person markets) is that each market will self-optimize for their own local maxima of efficiency.

    This local optimization represents the implicit information that each market maker (buyer vs seller) brings to the table: effectively making every small market a mini-planned market. Now, many local maxima does not equal one true global maxima, but with many such algorithms local maxima produce very efficient and high quality results.

    Hence, the challenge with a planned economy is not the control, but the lack of total information necessary to meet a higher efficiency target for all markets than would be possible if each market self-planned.




  • The bot’s info is nice and I appreciate your effort. The wall of text is a turnoff for humans in-general, as we are lazy skimmers. So the text being formatted so densely trains users to automatically ignore it, thus reducing the bot’s intended purpose - to supply users with extra info about media bias. (which we desperately need on sites like lemmy)

    If there’s any possibility of reformatting so your intentions can more broadly affect the those platform, then I think your goals would be more effectively achieved.

    Again, thank you for the bot.