Pretty Pigs and Talking Dogs

The Answer Is Transaction Costs

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How should we decide which political-economic systems are best for organizing society? Let's peer through the lens of the "Pretty Pig Problem," which highlights the flaws in comparing the actual implementation of systems we dislike with idealized versions of systems we prefer. The PPP shows that we must compare real-world options rather than theoretical ideals.
Some details:
• Only three social systems are viable at scale: authoritarianism, capitalism, and democratic socialism
• Every system has both an ideal form and a corrupted form that must be considered
• The "Pretty Pig Problem" highlights our tendency to unfairly compare real systems to idealized alternatives
• People on the left note market problems and conclude state intervention is necessary without examining real state actions
• People on the right highlight state problems and assume markets are better without considering actual market performance
And....TWEJ! And Book'o'da'week!

Listen next Tuesday, June 24th, for a new episode of Tidy C with a new topic, letters, and another hilarious TWEJ.
LINKS:

• Peter Boettke on EconTalk and a "Living Economics"
• Brooks' Law of Software Engineering

If you have questions or comments, or want to suggest a future topic, email the show at [email protected] !

You can follow Mike Munger on Twitter at @mungowitz

Chapters

1. Introduction to Singers and Pretty Pigs (00:00:00)

2. Three Social Systems at Scale (00:01:33)

3. The Pretty Pig Problem Explained (00:03:14)

4. The Twedge: A Talking Dog Story (00:06:59)

5. Letter on Software Engineering and Transaction Costs (00:08:40)

6. Book of the Week: Intellectuals (00:09:52)