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Old 12-09-2007, 05:16 AM   #3 (permalink)
Cojofl
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Join Date: Jul 2002
Posts: 3,473
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That's weak. Government intervention in pricing may not be a good idea, but that does not imply government intervention in any area will be harmful. That excerpt alone seems like a strawman argument.

Government intervention to handle market failures is not the first step on an inevitable a slippery slope towards communism. Markets can screw up. Informational deficiencies, non-excludabilty, non-rivalry, excessive market power, risk, uncertainty, externalities, un-enforceability of contracts, collusion, excessive entry and many more things can at times lead to socially inefficient market outcomes. That is, situations were government intervention may be useful, because a better outcome might be achieved.
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Last edited by Cojofl : 12-09-2007 at 08:42 AM.
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