Thursday, October 27, 2011
All of economics is devoted to the proposition that there is no such thing as a free lunch. All of politics is devoted to the opposite conviction. All economics teaches that you can't get something for nothing. All politics supposes that you can -- or that you can at least persuade other people that you can. Economics is about scarcity, universal and inescapable. Politics is about limitless plenty.
Consider that 98% of all bad policy amounts to nothing more than ignoring opportunity costs: the simple axiom that the cost of something is measured not just by the actual sum of money used to produce it, but what the same funds might have purchased, diverted to another end...