It seems to me that we are still writing Economics and what we think we know, might not hold true or valid in the future. Despite every person’s opinion about economic questions, my major concern comes from Economists themselves.### So far, and maybe I am wrong, this has been the only subject on which two Nobel prizes have been won saying opposite theories.### I remember when I took ECO-201 we were explained that the whole economic base is to answer 3 main questions: and the key word is 'SCARCITY" which brings supply and demand.### What to be produced??### For whom to be produced???### How to be produced??### These 3 main questions are all about to bring the most satisfaction to individuals as possible.### Without considering any other system but Capitalism, I think one should ask how well are these questions being answered.### This is how I see it all resumed…we (individuals) look for material and personal satisfaction, but we are faced we scarcity, then we must give quantitative answers to the 3 questions above. Regardless of what your philosophical economic thinking might be…### IS THIS STUFF REALLY THAT HARD THAT WE NEED TO CONSTANTLY KEEP ADDING MORE TO IT INSTEAD WORKING FOR ITS PRACTICAL APPLICATIONS???### Hello: there are over 200 countries in this world, and even those with similar culture and same language answer the economics questions very different. Maybe there we can have a start… and instead of adding…applying.
The reason for whatever it is youre trying to say is idealism. People dont want to have to work for anything, and why should they if the government will give them everything down to the clothes on their back. The reason people keep trying to, as Jon said, “reinvent the wheel” is that they believe what we have is a truly free market. Very many people in the United States and around the world believe that free markets exist. Free markets imply that the market is free from any sort of government intervention, and prices and quantities are determined by the market itself and not any outside factor. Hence, the invisible hand. People keep trying to explain why free markets are not functioning the way they have been specualted and theorized to behave, but they dont think far enough to realize that free markets arent at the root of the economy. People should start to study how partially socialized economies work, and I think they will realize that the deadweight loss and loss of overall surplus is greater than the “common good” that they currently strive for.