Re: Remember the Housing "Bubble"?

On 2007-04-08, David Friedman <ddfr@xxxxxxxxxxxxxxxxxxxxxxxxx> wrote:

I gather you have never heard of the public good problem? You write as
if there is no possible conflict between how it is in the interest of a
group to act and how it is in the interest of the members of the group
to act.

I was wondering whether to mention that problem. The 'tragedy of the
commons.' It was why I wrote what I did.

And yet what you wrote implied ignorance of the problem--were you being
deliberately sarcastic? The public good problem implies that even if
every individual agrees with you about the cost of the risk, they will
still buy food produced using antibiotics. Hence your "It's just that
they have a different view of the cost of that risk" was wrong.

Each person will evaluate the risks and, if they are behaving rationally,
make the decision that maxinmises their benefits. The problem is that the
rational behaviour is different for the two different groups. For the person
on a low income the rational choice is to buy the food with antibiotics. In
doing that they damage the commons, but they have less to lose from doing
that.


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Relevant Pages

  • Re: Remember the Housing "Bubble"?
    ... group to act and how it is in the interest of the members of the group ... rational behaviour is different for the two different groups. ... on a low income the rational choice is to buy the food with antibiotics. ...
    (rec.arts.sf.fandom)
  • Re: Remember the Housing "Bubble"?
    ... standards that don't allow antibiotics as growth promoters. ... The antibiotic resistance issue is probably not resolvable in a free market. ... Essentially it makes food cheaper to produce, but adds a risk of epidemic. ...
    (rec.arts.sf.fandom)
  • Re: Remember the Housing "Bubble"?
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    (rec.arts.sf.fandom)
  • Re: Remember the Housing "Bubble"?
    ... more to risk. ... just externalizing a cost. ... The people who choose to buy food produced using antibiotics are taking ...
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