This is a theory that everything can exist without rules and that perfect information will inform all choices.
This maddening theory came up in my University’s Markets and Governments course. Whenever someone stands for neoclassical economics I can get quite mad.
It’s just so ridiculous, even more ridiculous is that its not uneducated people promoting it, its university students!
Honestly I cant even form a case by simply creating this post, I get very defensive when people talk about it for such good reason.
There are three main theories. Neoclassical economics, Mixed economics, and Radical economics.
Neoclassical – is basically free will to do whatever and whenever you want
Mixed – is part government and part private enterprise working together
Radical – is more about government and social enterprise (I believe, I could be off on this one)
so with neoclassical economics if I want to build a mine in Africa I simply kill everyone in the specific place, cover it up, and mass produce the product. The product is then sold and profits are made. The only way to stabilize this is to have some sort of informative measure where a large audience that can do something about this situation steps in. The whole basis of this correction is on the availability of the information in the market.
So when I hear someone advocating neoclassical economics I get pissed off. There was a group at my school and before graduating I went to one of their presentations, they are called the Libertarians (not to be confused with the Liberal Party of Canada). The entire time I sat there I was analyzing what they were saying. Sitting in the back of the room, rolling my eyes almost every 5 minutes to the total BS they were preaching.
I have never been more angry in my entire post-secondary career. To add fuel to the fire the guy leading the speech had two wealthy parents and trailed off a bit about how he should be living better than the rest of us.
Yes, I made it through the entire presentation, and yes they still exist.