Thursday, September 29, 2022

How little they really know about what they imagine they can design

I know I have cited this in the past but it is certainly evergreen.

From The Fatal Conceit: The Errors of Socialism by Friedrich Hayek.

The curious task of economics is to demonstrate to men how little they really know about what they imagine they can design. To the naive mind that can conceive of order only as the product of deliberate arrangement, it may seem absurd that in complex conditions order, and adaptation to the unknown, can be achieved more effectively by decentralizing decisions and that a division of authority will actually extend the possibility of overall order. Yet that decentralization actually leads to more information being taken into account.

Our current governance demonstrates repeatedly and conclusively how little they actually do know as they imagine the outcomes they intend to achieve through the most predictably bad executions imaginable.  

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