BlueDuckBTC's avatar
BlueDuckBTC 1 month ago
Holy shit, did you just Eastern European mic drop on your own opinion. Here watch again: Needs are communicated through verbal or non verbal means. (I can get more nuanced) Prices are determined by subjective value, scarcity, and demand. Circle open.

Replies (2)

I don't mean that prices are how humans literally communicate needs. I mean that market prices communicate information about relative scarcity and people's real demand across a decentralized economy. Telling someone that I need something communicates a desire. it doesn't tell millions of strangers how scarce that something is relative to something else. what resources should be redirected toward producing it or what opportunity costs doing so has. And saying, prices reflect subjective valuation, scarcity and demand is not a refutation, that's why prices contain economically useful information. I argue that under socialism or syndicalism you just miss that information.
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