the dixit prufrock moment

recall this recent flag waver ??

greenwald stiglitz does dixt nixit ???

"The problem is that in reality we never find an economy that is pristine except for the one problem in which we are interested. There are other pre-existing margins of distortion. The selected instrument,

for example an income tax or a commodity tax or subsidy, may itself start at a positive

level. Even if it starts at a zero level, it will generally affect many of the other distorted

margins. Therefore the by-product marginal welfare effects of the instrument will be

several of the usual trapezoids of the first order of smallness, comparable with its effect

on the margin that is the focus of interest. The net effect is not easy to predict. It will

generally remain non-zero, but in the abstract we cannot say whether it is positive or

negative. Therefore we cannot say whether the instrument in question

should move

in the one direction or its opposite, for example whether we should subsidize or tax the

commodity. That requires a much more detailed calculation of all the first-order effects

and of their net balance"

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well lets call that the Dixit caveat ..the prufrock moment for us systemic overhaulers

imagine our task at gosplan II ???

we'lll need quite an extended NEP II  to get this II.1 up and running eh ???

the ROs will need to commence work on this draft structure

fom topdown and  bottom up and to either  side ...

  all at once !!!!!

the point i think

it will need to be built and implemented in iterative challenges

very faustian comrades


we must combine
a skepticism that is not nihilistic
with a humility that is not diffident
  we must never be rash
     but also never too  shy to act boldly