November 2010

Sun Mon Tue Wed Thu Fri Sat
  1 2 3 4 5 6
7 8 9 10 11 12 13
14 15 16 17 18 19 20
21 22 23 24 25 26 27
28 29 30        


MBM Principal Sources

Blog powered by Typepad

« On the Integrity of Nations (and Business) | Main | Did Adam Smith Hate Businesspeople? »

04 June 2008



I also recommend the book, and am currently writing an article on it. I think a key point is that most of Caplan's argument (certainly his rhetoric) is aimed at a neoclassical audience. Hence "rationality" is defined as error terms cancel out. But Caplan himself has discussed at length how Mises and Bastiat were well aware of the systematic bias in terms of people's knowledge of economics.

A problem however is the implication that *if* voters had an incentive to be "rational", since politics delivers the median voter's preference we'd have an efficient outcome. This seems to ignore the structural problems that Austrian's typically stress about knowledge problems and radical ignorance etc.

Aside from the excellent debate at Cato Unbound, also take a look at the work of Jeff Friedman in the Critical Review as a rejoinder (from a knowledge perspective).

Pat Peterson

Okay, downloaded the talk, and ordered the book. I'll get back to you with my thoughts!


The comments to this entry are closed.