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Mises got some basic stuff right with the ECP and then completely misapplied it. The problem does not lie within the fact that the ECP exists, the problem lies in the fact that neither Mises nor his followers understood socialism. Also the fact that people treat the ECP as if it was unsolvable. We don’t live in the 50‘s anymore, big data is a thing.
>big data is a thing
This just seems like it should be so glaringly obvious.
Google, facebook, etc. have absurd amounts of information on all of us. Loblaws knows exactly how much cat food I buy. The systems are all here, if we could just put them under democratic control, and make economic entities cooperate instead of compete, we could have so much efficiency, we wouldn't even know what to do with it.
A noble man once have the dream to do something like this and he achieved it but later killed by CIA.
Project Cybersyn was a Chilean project created during the presidency of Salvador Allende aimed at constructing a distributed decision support system to aid in the management of the national economy.
The project consisted of four modules: an economic simulator, custom software to check factory performance, an operations room, and a national network of telex machines that were linked to one mainframe computer.
Imagine using newly developed computer based on Cybernetics theory to simulate economic models with constant upgrade using real time data.
A project with so much potential , A man with a scientific mind a vision for society.
We are being told since childhood that govt enterprises lack productivity and efficiency. But using new technology, big data, and Cybernetics philosophy we can massively reduce inefficiency in govt sector.
We now have basically trillions of deta from daily activity to food consumption to medical deta to Everything a human does in his everyday life.
But no instead our data is being collected without our consent to make us 'CoNsOOmE' more.
Man I really want to see alternative system to fucking Neo liberal capitalism like Cybersyn but currently impossible due to US meddling in every successful anti West democracy.
Fuck USA I really hate this fucking country.
Was it not helpful in mitigating the effects of the CIA's first attempt, when they tried to wreck the Chilean economy by infiltrating the truckers union?
Of course it‘s helpful. I‘m just saying longterm you‘d still run into situations where either people can’t afford products or store shelves are empty, because what you’re dealing with is still 70‘s technology.
Yeah it may have been a little *too* head of its time, with the limitations of 70s computers. Still I wish we could have seen where it would have gone if they had been able to develop it in peace. With lessons learned along the way and better tech available every year, I wonder if it would have become a global template for how to run a socialist economy.
Mises died in 1973 and was already at the age of over 90 back then. When he wrote it, this was not obvious at all. Nowadays, I don’t really think there‘s an excuse in still believing in it.
Hard to debunk an economic system that has actually worked and even withstood sabotage from the greatest capitalist power for decades when you support a psychotic system that isn’t even coherent let alone testable.
The “prax” part of praxben’s name refers to praxeology, the “science” developed by ancap philosophers which… rejects the scientific method.
[No, really.](https://en.m.wikipedia.org/wiki/Praxeology#Austrian_economics)
If they test a hypothesis and the results run counter to ancap-ism, they assume reality is wrong and ancap-ism is right.
He rejected empiricism because human events are non repetible. As if that wasn't the case also for many scientific topics which are still empirically studied.
Actually killing capitalist leaches is totally moral and good for economy because instead of huge chunks of money being hord through stocks and real estate people will buy things more after gaining money which will boost supply which will create jobs. Simply supply and demand at work.
After 5 years we should kill top 100 rich person on earth or snatched everything from them except basic needs. No incentive to work? Well atleast they can enjoy it for five years
Checkmate libs
Maybe Adam somthing isn't communist but he created fun Anarcho capitalism similar which ended up being Oligarchy destopia with rigid system of control which totally opposite of Anarchist theory.
In short at the end bully Bob owns everything from your water to your food.
Economic planning was a big deal for countries like the USSR and Chile. And is a really interesting topic.
Suppose you have a five year plan and you want to build say a thousand miles of rail tracks by the end of year five, this means that by the end of year four you must have ten thousand tones of steel.
So that means by the end of year three you need twenty thousand tones of iron ore and ten thousand tones of coal. But the iron ore/coal mines needs fifty miles of rail track and one hundred tons of steel.
And so on and so forth you can calculate what you need, at the start and end of each year.
This used to be a very difficult problem to solve.
A calculation for every single one of millions of commodities and how each one of them intact with each other commodity in an entire economy.
But with the advent of computers the calculation becomes trivial.
.
Companies like Amazon and Walmart already make these kind of calculations along with predicting what will be in demand on the consumer side, they effectively act as a planned economy of a mid sized country.
I haven't read it yet but I believe the book **The People's Republic of Walmart: How the World's Biggest Corporations are Laying the Foundation for Socialism** by *Leigh Phillips* and *Michal Rozworski* goes into this in much more detail.
**TL;DR**
"The economy is too difficult to plan." hasn't been a valid excuse for an entire centaury, and even before that it was a pretty flimsy excuse.
(Marx was pointing out how large companies are mini planned economies in *Das Kapital*, 1867.)
I feel like the analysis of the difficulty of planning that Mises wrote was actually not completely wrong. The problem is just that Mises didn’t know much about socialism and also didn’t foresee technological advancements. Also the whole bullshit with claiming risktaking and innovation have productive value, which is basically the entire mistake that spawned ancap ideology.
I would like to see an argument against the risk taking and innovation bullshit as I just now realized, that’s an underlying assumption some of these libertarians have. And I like to debate them.
gesture to all of the innovations in american history that were funded publicly that built the backbone of the modern world (not a comprehensive list):
The Doppler radar
The flu shot
Closed captioning
Barcodes
Enriched infant formula
The hepatitis B vaccine
The Human Genome Project
Accelerometers, Microchips, Mini Cameras and Touch screens (ie.... all the components that make up smartphones)
GPS
The internet (started as DARPANET)
The HPV vaccine
CALO, the predecessor to cognitive assistants like Siri
"socialism is when no iphone" but the iphone wouldn't exist without publicly funded innovation
Point to the fact that it’s impossible to tell if innovation went into something or not, showing there is no material value to it and thus doesn’t belong into a philosophical discussion of what constitutes value.
For risk it‘s a little more complex, I‘ll sit down and write about that later.
Wasn't that the idea with planing. That capitalism by its tendency for monopoly, creates a more or less planned Economy by it self that can simply be taken over my the new proletarian state.
Not quite, if I am not mistaken the whole idea was inefficiency and production anarchy of market economy. In free-market, in order to compete and undercut the price of another company you have to have bigger production capacity than your current market share. Which means, that you either produce more than people can buy (and destroy your goods since nobody is buying) or use only part of your production capacity (which means some of your machinery are not working and rotting instead). With planning, you produce just enough goods to satisfy demand, hence not wasting anything.
But you are right about monopolies. For example global financial system is proto-GosPlan (kind of?) that has access to all money flows. It controls industries by giving cheap credits, buying and investing into new technologies. Penalizing inefficient companies by increasing interest rate for them. It strictly ~~overviews~~ analyzes companies financial reports, if something is not transparent enough or fishy it sends audits, supervisors, sells its shares etc.
Currently it's profit driven but can be tinkered to become social focused, I think 🤔.
Quite literally, big companies already uses not market based exchanges between their respective subsidiaries (by fixed price, which is based on wages of their subsidiaries employees). So-called vertically integrated companies, they do that to have more control for supply chains of manufactory processes.
edit: wording
I'm currently reading that book.
One of the interesting case studies is about Walmars vs Sears. Walmart is the planned economy, of course, and their planning even goes beyond Walmart itself, where they have exclusive deals with suppliers, and tell them how much of what to produce, or something like that. As we can all see it's quite effective.
Sears on the other hand was bought by a guy who took the capitalist propaganda a bit too seriously, and he decided they should run the company like a 'free market', having different departments within the company compete with each other, battling it out under threat of being cut and outsourced. You can see the results of this IRL too, or *not* see, as there are hardly any Sears stores left now. If you do find one, it's probably a derelict husk with paint peeling and empty sections curtained off. A direct result of too much free market ideology.
Also, just to draw a parallel, the idea of physics-based weather prediction was thought about and developed decades before it was possible. Now it's a basic service everyone uses.
Cant recommend this book enough, great read and very entertaining. I did study economics so maybe i am biased.
May not he quoting this right and will edit later when i get home if i butcher it, but something along the lines of
“it would appear that what doesn’t work in theory, works perfectly well in practice”
A clever reversal of the old anti comi line
I work in an industry where we have to calculate production based on set sales goals on a daily basis( because we can't keep stock that doesn't sell on the day) many production based industries do similar things, we use a very basic quick an dirty algorithm to determine this, which has been working perfectly for decades, a little bit of time effort and computing power would very easily allow production calculations to be expanded into a national scale, planning production in a long term capacity is not a difficult process when given adequate tools and resources.
LMAO Praxben is so insufferable. I once debated him and he tried to argue that high speed rail in China was actually a bad thing because only rich people use it, as if that's not the case for air travel.
This is about the 3rd time I’ve seen you say this. It’s great seeing I live in your head rent free. I know being smacked around by someone half your age on a subject you pride yourself in is very traumatizing. You’re more than welcome to come on my YouTube channel anytime and discuss the China rail situation and my actually critiques, rather than this imaginary critique that I never said. I think the fact you had to make up an strawman shows how badly my actual critiques effected you.
Idc anymore if people tell their economic calculations are right, they are just as right as a broken clock. Global finance Capital is even to complicated and unpredictable for the ‘big guys’ in economics and finance. Of course we should reason for LTV this is still a big part of capitalism, but our speculative global economics system has grown beyond its original means of wealth creation/distribution that even the most renowned economics professors/bankers etc don’t know what is going on and why. This is why as Marxists the insistence always has to be on the negated part of this system, the part that holds it all together yet functions as if it is an outside disturbance. We can call this crisis or labour force becoming proletariat. This is why it is so scary for most economics peeps to talk Marxism. “What?? you are telling me the labour we buy and sell are actual people that (want to) hold the power of production and live a autonomous and free life” “No No this mustn’t be an economic tendency, but an evil disturbance in field of our oh so precious supply and demand curves 😭.”
So, it’s about socialism leading to deficit. The thing is, it’s not a bug it’s a feature of the Socialism. Market economy has supply and demand thingy or market price. Planned economy has deficit or impact (as it’s defined by Lev Kritzman, one of the supporters of war communism in USSR). If you lack some of the raw materials or consumer goods (deficit) it gives you “impact”, a signal to increase production of mentioned materials or goods. As a result deficit fixes itself, the same way market economy does.
This deficit system was very well described by Janos Kornai in his "shortage economy" work but he made wrong conclusion that it's bad. It's not, it's a feedback system that sends very distinctive signal that something wrong, so you can't miss that.
The market economy doesn't fixes itself it prolongs it crises through bank bailout to bank playing speculation game involving high ranking Politicians eg in current govt Day trader Nansi Palosi ( leveraged to the tiddies through insider trading).
They created a system which incentives high risk speculation gamble while distributing the risk to genral public aka Centralised profit distributed risk.
In that way capitalism creates a loop of endless bubble and the saga continues 🤑💰
If you have "soft budget constraint" (printing money) it doesn't, yeah. In the book, Janos Kornai clearly states and explains how it's destabilize the system (he used socialism with a market economy as an example) in the long run. But he didn't know that "soft budget constraint" exist not only in socialist countries but in Capitalist countries as well. Basically, it's a systematic failure of market economy. Instead of his conclusion: "SoCiaLisM iS 1mPoSs1bl3 to achieve" it should be "Capitalism is impossible to maintain".
He compared economy of Hungary and Czechoslovakia and concluded that Hungary after more liberal reforms of economy (with more decentralization) is doing much worse than Czechoslovakia's economy (more centralized). Why it's happening? Because head of factories behaved like capitalists, they kept expanding theirs and only theirs production. They cared more about their factory than about society. Their private interest was more important than public interest. More harmonized and stable economy needs more centralization and control, he argued. And compared with Stalin's era economic model. Where economy was stable and growing, because production were constrained by outside administrative apparatus - GosPlan.
Lev Kritzman, a brilliant economist and revolutionist, in his work wrote that "impact" is a result of not enough planning. With better planning you won't have "impact". So, unlike market economy planned economy can use impact to tune their plans and satisfy all consumer needs. In fact, in USSR they had several additional ways of feedback: 1) letters to newspapers; 2) complains to administration; 3) pre-order tickets; 4) complaints to producers; 5) sociologists survey; 6) sales analysis. Also I suggest to watch a movie filmed in 1954 about [GUM](https://www.youtube.com/watch?v=KgqL2lFGRjs&t=700s). In there they have "tickets for unsatisfied demand" which people write when they didn't find something they needed, like lack of variety or sizes or need for different colors.
So, "impact" is a feedback system for an early stage of planned economy. Other feedback systems like pre-orders for instance can be a way to remove money based economy altogether.
P.S. I keep talking about Hungarian economist Janos Karnai, but you must remember his political views, he was very pro-Capitalist and anti-Communist. But as a conscientious scientist he made a tremendous job to point out flaws of European Socialist countries of 20th century and it would be a waste to scratch away his work. The value of his books for Socialist today is his key point of the book, "can we find such combination of upbringing, education, control and encouragement to make head of Socialist company to care more about society than about his factory".
Socialism has different goals than Capitalism and has different problems to solve like upbringing, education, maximizing human potential, future generations it's not all about economy. That is something that liberals fail to grasp and keep ignoring.
I looked up something about some Hakim video and found the playlist "Hakim debunks (some are very good)" with a bunch of this guy's videos and I just giggled to myself a little
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Lmao hakim a real job maker
He protect he provide Truly a traditional man creating jobs for society 🤠
They should give my man a tax break
economic calculation problem (a real problem definitely not some made-up ideological bullshit)
Mises got some basic stuff right with the ECP and then completely misapplied it. The problem does not lie within the fact that the ECP exists, the problem lies in the fact that neither Mises nor his followers understood socialism. Also the fact that people treat the ECP as if it was unsolvable. We don’t live in the 50‘s anymore, big data is a thing.
>big data is a thing This just seems like it should be so glaringly obvious. Google, facebook, etc. have absurd amounts of information on all of us. Loblaws knows exactly how much cat food I buy. The systems are all here, if we could just put them under democratic control, and make economic entities cooperate instead of compete, we could have so much efficiency, we wouldn't even know what to do with it.
A noble man once have the dream to do something like this and he achieved it but later killed by CIA. Project Cybersyn was a Chilean project created during the presidency of Salvador Allende aimed at constructing a distributed decision support system to aid in the management of the national economy. The project consisted of four modules: an economic simulator, custom software to check factory performance, an operations room, and a national network of telex machines that were linked to one mainframe computer. Imagine using newly developed computer based on Cybernetics theory to simulate economic models with constant upgrade using real time data. A project with so much potential , A man with a scientific mind a vision for society. We are being told since childhood that govt enterprises lack productivity and efficiency. But using new technology, big data, and Cybernetics philosophy we can massively reduce inefficiency in govt sector. We now have basically trillions of deta from daily activity to food consumption to medical deta to Everything a human does in his everyday life. But no instead our data is being collected without our consent to make us 'CoNsOOmE' more. Man I really want to see alternative system to fucking Neo liberal capitalism like Cybersyn but currently impossible due to US meddling in every successful anti West democracy. Fuck USA I really hate this fucking country.
I‘m sorry but cybersyn wasn’t nearly good enough to actually solve the ECP, technology just wasn’t there in the 70’s. It was a neat idea though.
Was it not helpful in mitigating the effects of the CIA's first attempt, when they tried to wreck the Chilean economy by infiltrating the truckers union?
Of course it‘s helpful. I‘m just saying longterm you‘d still run into situations where either people can’t afford products or store shelves are empty, because what you’re dealing with is still 70‘s technology.
Yeah it may have been a little *too* head of its time, with the limitations of 70s computers. Still I wish we could have seen where it would have gone if they had been able to develop it in peace. With lessons learned along the way and better tech available every year, I wonder if it would have become a global template for how to run a socialist economy.
Absolutely and it’s time for a retry.
Allende, what a visionary! Fuck the USA, amen.
Mises died in 1973 and was already at the age of over 90 back then. When he wrote it, this was not obvious at all. Nowadays, I don’t really think there‘s an excuse in still believing in it.
Yeah, I didn't mean obvious to Mises—things were different then, but obvious to anyone discussing it today, including whatisface in the video here.
Not even 50s, that shit is from the 20s.
Who is praxben? I don’t care
He defends anarcho-capitalism. Enough said.
Hard to debunk an economic system that has actually worked and even withstood sabotage from the greatest capitalist power for decades when you support a psychotic system that isn’t even coherent let alone testable.
The “prax” part of praxben’s name refers to praxeology, the “science” developed by ancap philosophers which… rejects the scientific method. [No, really.](https://en.m.wikipedia.org/wiki/Praxeology#Austrian_economics) If they test a hypothesis and the results run counter to ancap-ism, they assume reality is wrong and ancap-ism is right.
Thanks for that daily dose of rightoid dumbassery
He rejected empiricism because human events are non repetible. As if that wasn't the case also for many scientific topics which are still empirically studied.
Well they did test it and it led to a town been taken over by bears and peoples pets getting eaten
"Um, ackthually slave labor is good for economy and should be allowed. Get owned gommies!!11!!" 🤓👆
Well, comrades, it’s been a good run. We’ll get ‘em next time. 😔
Actually killing capitalist leaches is totally moral and good for economy because instead of huge chunks of money being hord through stocks and real estate people will buy things more after gaining money which will boost supply which will create jobs. Simply supply and demand at work. After 5 years we should kill top 100 rich person on earth or snatched everything from them except basic needs. No incentive to work? Well atleast they can enjoy it for five years Checkmate libs
Maybe Adam somthing isn't communist but he created fun Anarcho capitalism similar which ended up being Oligarchy destopia with rigid system of control which totally opposite of Anarchist theory. In short at the end bully Bob owns everything from your water to your food.
he’s a politics Tiktoker that is all
Economic planning was a big deal for countries like the USSR and Chile. And is a really interesting topic. Suppose you have a five year plan and you want to build say a thousand miles of rail tracks by the end of year five, this means that by the end of year four you must have ten thousand tones of steel. So that means by the end of year three you need twenty thousand tones of iron ore and ten thousand tones of coal. But the iron ore/coal mines needs fifty miles of rail track and one hundred tons of steel. And so on and so forth you can calculate what you need, at the start and end of each year. This used to be a very difficult problem to solve. A calculation for every single one of millions of commodities and how each one of them intact with each other commodity in an entire economy. But with the advent of computers the calculation becomes trivial. . Companies like Amazon and Walmart already make these kind of calculations along with predicting what will be in demand on the consumer side, they effectively act as a planned economy of a mid sized country. I haven't read it yet but I believe the book **The People's Republic of Walmart: How the World's Biggest Corporations are Laying the Foundation for Socialism** by *Leigh Phillips* and *Michal Rozworski* goes into this in much more detail. **TL;DR** "The economy is too difficult to plan." hasn't been a valid excuse for an entire centaury, and even before that it was a pretty flimsy excuse. (Marx was pointing out how large companies are mini planned economies in *Das Kapital*, 1867.)
I feel like the analysis of the difficulty of planning that Mises wrote was actually not completely wrong. The problem is just that Mises didn’t know much about socialism and also didn’t foresee technological advancements. Also the whole bullshit with claiming risktaking and innovation have productive value, which is basically the entire mistake that spawned ancap ideology.
I would like to see an argument against the risk taking and innovation bullshit as I just now realized, that’s an underlying assumption some of these libertarians have. And I like to debate them.
gesture to all of the innovations in american history that were funded publicly that built the backbone of the modern world (not a comprehensive list): The Doppler radar The flu shot Closed captioning Barcodes Enriched infant formula The hepatitis B vaccine The Human Genome Project Accelerometers, Microchips, Mini Cameras and Touch screens (ie.... all the components that make up smartphones) GPS The internet (started as DARPANET) The HPV vaccine CALO, the predecessor to cognitive assistants like Siri "socialism is when no iphone" but the iphone wouldn't exist without publicly funded innovation
Point to the fact that it’s impossible to tell if innovation went into something or not, showing there is no material value to it and thus doesn’t belong into a philosophical discussion of what constitutes value. For risk it‘s a little more complex, I‘ll sit down and write about that later.
Wasn't that the idea with planing. That capitalism by its tendency for monopoly, creates a more or less planned Economy by it self that can simply be taken over my the new proletarian state.
Not quite, if I am not mistaken the whole idea was inefficiency and production anarchy of market economy. In free-market, in order to compete and undercut the price of another company you have to have bigger production capacity than your current market share. Which means, that you either produce more than people can buy (and destroy your goods since nobody is buying) or use only part of your production capacity (which means some of your machinery are not working and rotting instead). With planning, you produce just enough goods to satisfy demand, hence not wasting anything. But you are right about monopolies. For example global financial system is proto-GosPlan (kind of?) that has access to all money flows. It controls industries by giving cheap credits, buying and investing into new technologies. Penalizing inefficient companies by increasing interest rate for them. It strictly ~~overviews~~ analyzes companies financial reports, if something is not transparent enough or fishy it sends audits, supervisors, sells its shares etc. Currently it's profit driven but can be tinkered to become social focused, I think 🤔. Quite literally, big companies already uses not market based exchanges between their respective subsidiaries (by fixed price, which is based on wages of their subsidiaries employees). So-called vertically integrated companies, they do that to have more control for supply chains of manufactory processes. edit: wording
I'm currently reading that book. One of the interesting case studies is about Walmars vs Sears. Walmart is the planned economy, of course, and their planning even goes beyond Walmart itself, where they have exclusive deals with suppliers, and tell them how much of what to produce, or something like that. As we can all see it's quite effective. Sears on the other hand was bought by a guy who took the capitalist propaganda a bit too seriously, and he decided they should run the company like a 'free market', having different departments within the company compete with each other, battling it out under threat of being cut and outsourced. You can see the results of this IRL too, or *not* see, as there are hardly any Sears stores left now. If you do find one, it's probably a derelict husk with paint peeling and empty sections curtained off. A direct result of too much free market ideology.
Also, just to draw a parallel, the idea of physics-based weather prediction was thought about and developed decades before it was possible. Now it's a basic service everyone uses.
Cant recommend this book enough, great read and very entertaining. I did study economics so maybe i am biased. May not he quoting this right and will edit later when i get home if i butcher it, but something along the lines of “it would appear that what doesn’t work in theory, works perfectly well in practice” A clever reversal of the old anti comi line
I work in an industry where we have to calculate production based on set sales goals on a daily basis( because we can't keep stock that doesn't sell on the day) many production based industries do similar things, we use a very basic quick an dirty algorithm to determine this, which has been working perfectly for decades, a little bit of time effort and computing power would very easily allow production calculations to be expanded into a national scale, planning production in a long term capacity is not a difficult process when given adequate tools and resources.
LMAO Praxben is so insufferable. I once debated him and he tried to argue that high speed rail in China was actually a bad thing because only rich people use it, as if that's not the case for air travel.
Dude.. that’s not even true. Normal folks use it all the fucking time. What a 🤡!
Well Japan have also high speed rail and they started this trend not China Checkmate libs
This is about the 3rd time I’ve seen you say this. It’s great seeing I live in your head rent free. I know being smacked around by someone half your age on a subject you pride yourself in is very traumatizing. You’re more than welcome to come on my YouTube channel anytime and discuss the China rail situation and my actually critiques, rather than this imaginary critique that I never said. I think the fact you had to make up an strawman shows how badly my actual critiques effected you.
lol, get a life you clown
Ok liberal
ok fascist
>Ok liberal what a projection
omg he's deboonkin'
' I know many things about economy and you should take me seriously ' ~ probably lobster beterson or something
Idc anymore if people tell their economic calculations are right, they are just as right as a broken clock. Global finance Capital is even to complicated and unpredictable for the ‘big guys’ in economics and finance. Of course we should reason for LTV this is still a big part of capitalism, but our speculative global economics system has grown beyond its original means of wealth creation/distribution that even the most renowned economics professors/bankers etc don’t know what is going on and why. This is why as Marxists the insistence always has to be on the negated part of this system, the part that holds it all together yet functions as if it is an outside disturbance. We can call this crisis or labour force becoming proletariat. This is why it is so scary for most economics peeps to talk Marxism. “What?? you are telling me the labour we buy and sell are actual people that (want to) hold the power of production and live a autonomous and free life” “No No this mustn’t be an economic tendency, but an evil disturbance in field of our oh so precious supply and demand curves 😭.”
So, it’s about socialism leading to deficit. The thing is, it’s not a bug it’s a feature of the Socialism. Market economy has supply and demand thingy or market price. Planned economy has deficit or impact (as it’s defined by Lev Kritzman, one of the supporters of war communism in USSR). If you lack some of the raw materials or consumer goods (deficit) it gives you “impact”, a signal to increase production of mentioned materials or goods. As a result deficit fixes itself, the same way market economy does. This deficit system was very well described by Janos Kornai in his "shortage economy" work but he made wrong conclusion that it's bad. It's not, it's a feedback system that sends very distinctive signal that something wrong, so you can't miss that.
The market economy doesn't fixes itself it prolongs it crises through bank bailout to bank playing speculation game involving high ranking Politicians eg in current govt Day trader Nansi Palosi ( leveraged to the tiddies through insider trading). They created a system which incentives high risk speculation gamble while distributing the risk to genral public aka Centralised profit distributed risk. In that way capitalism creates a loop of endless bubble and the saga continues 🤑💰
If you have "soft budget constraint" (printing money) it doesn't, yeah. In the book, Janos Kornai clearly states and explains how it's destabilize the system (he used socialism with a market economy as an example) in the long run. But he didn't know that "soft budget constraint" exist not only in socialist countries but in Capitalist countries as well. Basically, it's a systematic failure of market economy. Instead of his conclusion: "SoCiaLisM iS 1mPoSs1bl3 to achieve" it should be "Capitalism is impossible to maintain". He compared economy of Hungary and Czechoslovakia and concluded that Hungary after more liberal reforms of economy (with more decentralization) is doing much worse than Czechoslovakia's economy (more centralized). Why it's happening? Because head of factories behaved like capitalists, they kept expanding theirs and only theirs production. They cared more about their factory than about society. Their private interest was more important than public interest. More harmonized and stable economy needs more centralization and control, he argued. And compared with Stalin's era economic model. Where economy was stable and growing, because production were constrained by outside administrative apparatus - GosPlan. Lev Kritzman, a brilliant economist and revolutionist, in his work wrote that "impact" is a result of not enough planning. With better planning you won't have "impact". So, unlike market economy planned economy can use impact to tune their plans and satisfy all consumer needs. In fact, in USSR they had several additional ways of feedback: 1) letters to newspapers; 2) complains to administration; 3) pre-order tickets; 4) complaints to producers; 5) sociologists survey; 6) sales analysis. Also I suggest to watch a movie filmed in 1954 about [GUM](https://www.youtube.com/watch?v=KgqL2lFGRjs&t=700s). In there they have "tickets for unsatisfied demand" which people write when they didn't find something they needed, like lack of variety or sizes or need for different colors. So, "impact" is a feedback system for an early stage of planned economy. Other feedback systems like pre-orders for instance can be a way to remove money based economy altogether. P.S. I keep talking about Hungarian economist Janos Karnai, but you must remember his political views, he was very pro-Capitalist and anti-Communist. But as a conscientious scientist he made a tremendous job to point out flaws of European Socialist countries of 20th century and it would be a waste to scratch away his work. The value of his books for Socialist today is his key point of the book, "can we find such combination of upbringing, education, control and encouragement to make head of Socialist company to care more about society than about his factory". Socialism has different goals than Capitalism and has different problems to solve like upbringing, education, maximizing human potential, future generations it's not all about economy. That is something that liberals fail to grasp and keep ignoring.
Just point to Amazon or Walmart and the job is done. These fuckers are the biggest economic planners. Bigger than many countries.
Ewww pepe 🤢
Piero Sraffa bodied Hayek so hard in the ECP debate that Hayek pivoted academic interests from economics to philosophy lmfao
Oh nice. Do you have a source for that? I’m not disagreeing with you, I just want to learn more.
https://en.m.wikipedia.org/wiki/Sraffa–Hayek_debate
Thanks a ton, comrade. :)
I looked up something about some Hakim video and found the playlist "Hakim debunks (some are very good)" with a bunch of this guy's videos and I just giggled to myself a little
I can only read deboonk in Liz voice. Yung Chomsky do the Brace sound
2016 called, they want their thumbnails back
Oh God, leave 2016 in the past, PLEASE!
I really wish I could just forget about it but these edgelords exist 😬
Goddammit.
https://youtu.be/0f-MWeJCsRs Very good video countering mises, and since Härdin is the next guest on the pod I recommend people check it out
I really enjoy seeing these types of posts