Market failure: the justification for so many wrongheaded interventions in the market, but usually not failures at all, or caused by an absence of property rights if they are. Madsen talks about fairness and why it doesn't make sense to expect markets — amoral but efficient — to produce "fair" results. Government failure, he says, is something we should fear much more than market failure.
It's a double-whammy today: growth and market failure. In this video, Madsen discusses how and why an economy grows — why we are better today than Julius Caesar was in his day. Maybe the most commonly-stated goal of politicians, far too few of them realize what growth really is.
Today, Economics is Fun takes on that critical concept, ignored all too often in politics and the media: opportunity cost. Madsen shows that when you do anything in economics, you should always think about the next best thing you might have done instead.
By now you’ll probably have heard of #Kony2012, a social media campaign that exploded on Facebook, Twitter and Youtube yesterday. The campaign centres on a video documenting the crimes of Joseph Kony, a Ugandan warlord who heads the Lords Resistance Army and is said to have overseen the abduction and press-ganging of over 60,000 children into his militia.
There have been some grim stories from Apple’s factories in China, of a spate of fatal accidents and worker suicides at Foxconn plants, which make parts for iPhones and iPads. The news has caused many to accuse Apple of exploiting Foxconn workers. Some say it’s capitalism in action. This is understandable, but wrong.
Above is an advert released by the EU today, making the case for more EU enlargement. It was pulled almost immediately, and you can see why. The advert inadvertantly exposes the worldview at the heart of many EU types: one that wants a Fortress Europe, closed off from nasty foreigners in Asia, Africa and the Americas. It's hard to see how any internationalist could defend the EU.