Wednesday, January 4, 2012

bull shit agit prop

paine at thomatose:

what happened here
its like a brawl from next door crashed thru the party wall

the topic of this post is not about peak energy
its about
which party is more likely to move our system
to peak markets
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yes sireeeee
but i doubt mark agrees with this proposition:
markets in a corporate organized market system
aren't spontaneously "class neutral"
they tilt toward the profiteers

for best gubmint
uncle's agents must gear policy
not toward consumer surplus pass thru max
but job class welfare max

not by relying simply on the 19th century liberal paradigm
ie not only on enhanced competitive forces
that can force thru surplus with ever lower relative prices

the flaw in that ??
markets .... even pushed markets
do not come close
to grinding  out welfare max results

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-- see stiglitz greenwald
as the formal door way into this new modeling of market system  reality ---
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yes
 uncle needs to agressively  thwart
profiteers constant attempts
to trap as much surplus as possible
in corporate cisterns

but
that requires a very intricate often morphing always ersistent
  pattern of interventions
AND
 a non pareto standard of fair play


one or the other economic class must win
in each of these ever evolving and morphing
market battles

there are no actual  long run laissez faire win wins
there are no     ties

and surely changes that attempt to make
 each side at least as well of as without intervention
  simply too grossly stunt the compass of any uncle intervention pattern

for social welfare max
one or other carton of economic class eggs
will be broken..... must be broken
each time
either the profiteers or the jobsters must win

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nb:

greenwald stiglitz is a general proof
not a means toward intervention in practice
i tend to accept dixit's beware unintended outcomes especially ones that aren't even seen to be connected to the well inntended intial action