Class Lecture #33 - 11/18
- As seen in the last class lecture, the price system is the only rationing mechanism that provides constructive competition and therefore proves to be effective.
- When you ration by prices, you allow people to decide for themselves.
- Prices force tradeoffs.... when the price of water goes up, people start to use water on the things they value the most. --> values fluctutate
- Price goes up = incentive to conserve
- Health care
- Is it possible to make access to health care independent from income?
- Does it matter?
No comments:
Post a Comment