We cover a lot of ground, from lockdowns, to skepticism about government, to extending Hayek's insight about decentralized information, to government nudges, and, toward the end, my health.
I've challenged the concept of lockdowns by highlighting the knowledge problem and the role of incentives. Consider a hypothetical factory where the owner knows his employees and their working environment. This owner is far better equipped to assess which employees might be at risk due to factors like age, health, and proximity to others, and thus can decide who should continue working and who should stay home. Moreover, the owner is naturally motivated to ensure the well-being of his workers. In contrast, the state governor lacks this intimate knowledge and is primarily driven by the incentive of securing reelection.
We'll said. The pro-lockdown side would probably argue that while the employer cares a lot about his employees, he doesn't have a strong incentive to care about his employees the disease to others. I would love to have that debate because then we could get into the issue of government competence, government overreach, and, as you said, the government having NONE of the right incentives.
I enjoyed your podcast. Thank you.
I've challenged the concept of lockdowns by highlighting the knowledge problem and the role of incentives. Consider a hypothetical factory where the owner knows his employees and their working environment. This owner is far better equipped to assess which employees might be at risk due to factors like age, health, and proximity to others, and thus can decide who should continue working and who should stay home. Moreover, the owner is naturally motivated to ensure the well-being of his workers. In contrast, the state governor lacks this intimate knowledge and is primarily driven by the incentive of securing reelection.
We'll said. The pro-lockdown side would probably argue that while the employer cares a lot about his employees, he doesn't have a strong incentive to care about his employees the disease to others. I would love to have that debate because then we could get into the issue of government competence, government overreach, and, as you said, the government having NONE of the right incentives.