link: http://bit.ly/1ISr0uz
Hot And Trending...
Trending
- #Trump should stop tweeting about how high the stock market is, how great the economy is doing, & taking credit for both. It will backfire!
- Is there a term for the opposite of unemployment rate?
- New Tax-Free Gold & Silver Buying Guide & $10K Reporting Myth @SchiffGold https://t.co/4zRcwito0Q
- People who were buying stocks in 2006 had no idea of the magnitude of the financial crisis that would hit the market in 2008. http://bit.ly/2mxJskU
- @Awyee707 They have it backwards. Growing economies increase production, which kips a lid on prices, or causes them to fall. Weak economies result in less production and higher prices.
- I think people are overestimating the benefit of the economy to the tax cuts, and they’re ignoring the drag on the economy of rising interest rates. http://bit.ly/2mxJskU
- India governor Y.V. Reddy says "It seems highly inappropriate to discourage gold imports, which meet women’s needs" http://bit.ly/2tX0E9h
- "Income Inequality" - What Austrians Understand & Liberals Ignore
- The Plenkton Effect: When increasing productivity is accompanied by decreasing affordability, due to regulation and efficiency changes.
- @realDonaldTrump The stock market is a bubble, & the phony economic numbers are weaker now than under Obama. Trump… http://bit.ly/2ud3baw
Sunday, August 2, 2015
Is social welfare increased (using Rothbard's demonstrated preference criterion) when I pay a ransom to free a hostage?
From Rothbard's essay on the subject to remind everyone of the details... >Now what happens when the State, or a criminal, uses violence to interfere with exchanges on the market? Suppose that the government prohibits A and B from making an exchange they are willing to make. It is clear that the utilities of both A and B have been lowered, for they are prevented by threat of violence from making an exchange that they otherwise would have made. Clearly we can't say that paying a ransom is one's demonstrated preference, because it is an action motivated by coercion. So how do you argue that individuals should be allowed to pay ransoms? If you say "it's their utility-maximising choice under the circumstances", I could easily reply that paying one's taxes similarly increases utility. I could say it is a Pareto improvement to let people pay ransoms, but not sure how to put it into Rothbard's language. I don't think he would say social welfare is increased by government allowing individuals to pay ransoms, because all it is doing is enabling B to rob A. But then A would prefer to be robbed than see C be killed...