Home
/
RELIGION & LIBERTY ONLINE
/
Economists as Engineers of Markets?
Economists as Engineers of Markets?
Jul 3, 2025 8:16 AM

A bit of humility is in order. Alvin E. Roth to Russ Roberts on EconTalk:

… I think that economists have to approach their role as engineers with great humility. There’s a lot we don’t understand. Economics is still an early science. But let me read you the quote from Hayek that I included in my book. This is a quote from his free-market manifesto, The Road to Serfdom. And he wrote, “There is, in particular, all the difference between deliberately creating a system within petition will work as beneficially as possible and passively accepting institutions as they are.”

So, that was Hayek. He understood that what makes a market free is that it has rules that allow it to work freely. And one of the metaphors I use in the book is of a wheel that can rotate freely. It’s not rotating in a vacuum. It has an axle and it has well-oiled bearings. And over time–people have been designing markets for millennia. And often the process of trial and error leads to better and better markets. But it can be a lengthy process of trial and error. And as we better understand what is required for marketplaces to help markets work freely we can sometimes intervene. And, you said ‘top down,’ but earlier you talked about Uber and Airbnb. Those are marketplaces that are not top down. People have been designing marketplaces forever. It’s what we do.

Comments
Welcome to mreligion comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
RELIGION & LIBERTY ONLINE
Doctoral Work on Religion and Philanthropy
I received this notice via H-Net last week: THE LAKE INSTITUTE ON FAITH & GIVING THE CENTER ON PHILANTHROPY INDIANA UNIVERSITY DOCTORAL DISSERTATION FELLOWSHIP The Lake Institute on Faith and Giving at the Center on Philanthropy, Indiana University will offer a one year doctoral dissertation fellowship of $22,000 for the academic year 2009-2010. This doctoral dissertation fellowship will be given to a scholar whose primary research focus is in the area of religion and philanthropy or faith and giving. The...
Left Behind
Obama won’t get the mainlineEvangelical vote. Will McCain? I doubt it. UPDATE: More here. EPILOGUE: Here’s an astute observation from a progressive blogger last week. One underdiscussed scenario in this election is the one wherein Republican base turnout is relatively low. Although this has generally been an engaging election with engaging candidates, the base remains considerably less enthusiastic about John McCain than it was about George W. Bush, and McCain is also lacking Bush’s ground game. While the natural assumption...
Election Preaching
The election day sermon was an important institution in colonial New England. It was one delivered by Samuel Danforth in 1670 that furnished the venerable Puritan concept of America as an “errand into the wilderness.” (For more, see Nathan Hatch, The Democratization of American Christianity.) One need not share the Massachusetts colony’s view of church-state relations (one of the chief tasks of government was the suppression of heresy) to recognize that the election day sermon served a useful purpose. The...
Busted
The lyrics to “Busted,” written by Harlan Howard, and made famous as performed by Johnny Cash: My bills are all due and the babies need shoes, But I’m Busted Cotton’s gone down to a quarter a pound And I’m Busted I got a cow that’s gone dry And a hen that won’t lay A big stack of bills Getting bigger each day The county’s gonna haul my belongings away, But I’m Busted So I called on my brother to ask...
Birth of Freedom Shorts Series: Is it appropriate to consider the religious views of political candidates?
Acton Media’s latest Birth of Freedom short video is a timely message in the face of tomorrow’s election. In this video, William B. Allen, Professor of Political Science at Michigan State University, discusses how faith, “the pelling part of one’s existence”, ought to fit in when evaluating a political candidate. Check out more Birth of Freedom shorts, learn about premieres in your area, and discover more background information at . ...
Future Farming Facts
From the latest issue of Wired… Illustration by Dan ...
Update: Acton Video Short Gathers Attention
First posted on the PowerBlog by Brittany Hunter, and picked up by a number of other prominent blogs, the “How Not to Help the Poor” Acton video short has collected over eight thousand YouTube hits. The video has only been on the YouTube site for just over a couple of weeks. The clip is from the Acton Institute’s Effective Stewardship Curriculum titled “Fellow Man.” Andrew Sullivan at The Daily Dish also posted mented on “How Not to Help the Poor”...
Careful what you wish for….
Via Drudge, Australia is joining none other than China in censoring the internet. Here’s a surprising endorsement/justification the writer uses to bottom line the article: The Australian Christian Lobby, however, has ed the proposals. Managing director Jim Wallace said the measures were needed. "The need to prevent access to illegal hard-core material and child pornography must be placed above the industry’s desire for unfettered access," Mr Wallace said. I’m not endorsing porn. But earth to Mr. Wallace: Scan up a...
Why Not Learn Some Economics First?
According to a report from the Zenit News Service, Cardinal Renato Martino, president of the Pontifical Council of Justice and Peace, recently insisted that the “logic” of the market be changed. He said that the logic “was till (sic) now that of maximum gain, and therefore the most investments possible directed toward obtaining maximum benefit. And this, according to the social doctrine of the Church, is immoral.” This is because, according to the Cardinal, the market “should be able to...
Baby Stepping Toward the Nanny State
Is Senator Obama a closet socialist waiting for inauguration day, at which time he and a Democratic Congress will immediately pursue a massive increase in the size and power of government in our lives, panied by massive tax increases and massive redistribution of wealth? Or is he really a moderate pragmatist, a canny politician who when he was getting started in politics used his radical contacts from his ultra-leftwing Hyde munity, but now is in a position to use more...
Related Classification
Copyright 2023-2025 - www.mreligion.com All Rights Reserved