The brilliance of the price system is in coordinating the values, deeply limited knowledge and scarce resources precisely to their highest value need without having to understand or be aware of every single change in supply, alternatives, and uses of those resources among the economic participants. It is specifically because we only receive the most important piece of information, its new value in relation to other things (the price), that we can so quickly align ourselves with the new state of the world. Don't miss the conclusion of Hayek's work, "The Use of Knowledge in Society."
Visit the full piece, and the collection of other great work, economic analysis, news, & more over at fee.org.
https://fee.org/articles/the-use-of-knowledge-in-society/#0
Does Digital code present the possibility of augmenting, or even replacing, the functions of traditional private law? Nick Szabo explores the concept in his...
“If price is truth, then a market capitalization of over $1 billion for over 100 different cryptocurrencies tells a story: we live in a...
"If we leave Bitcoin as it is, it’s a new money for the 1%. The 1% can absolutely hold their own coins in a...