84. Modern myths, efficient markets
Markets are efficient and perfect. They find equilibrium if left bereft of regulation. They are the most effective method to optimise outcomes. I miss the times when legends and myths were about Greek gods, romantic vampires and universal floods. They may not have been accurate, but at least they were beautiful and conjured up the imagination. Our modern liberal markets myth is nearly as inaccurate and much more prosaic. The pandemic crisis is showing, some say, that regulation is needed as markets break when an unexpected catastrophe happens, and hence the PPE or ventilator crisis. But this implies that, in the absence of catastrophe, markets work. It ignores the over 1 billion people living in abject poverty, the 600 million who will suffer diabetes by 2050, the unprecedented destruction of habitats and the impending climate change catastrophe. If we need regulation in times of crisis, then we need it all the time. A silent crisis is not in-your-face obvious, but it is a crisis Lengt...