Friday Discussion on How Markets Tell the Truth and Politics Tells the Lies
Friday Discussion is a program designed to engage and inform the core members on the ideas of free market economy and classical liberal ideas. Discussions are made on the contemporary issues (local or national) through free market perspective. Article is selected and shared within the members to prepare oneself for the program. The program is organized at the venue of Hotel Namaskar, Biratnagar on every alternative Friday (twice a month).
On 10th June members of ‘Friday Discussion’ got together to discuss about the Article “How Markets Tell the Truth and Politics Tells the lies ,” by Gary M. Galles.
During the discussion There were 13 participants who discussed for and against the Article. As we know everyone are driven by their self interest .People aren’t always truthful because being dishonest can serve one’s interests. As Hayek famously reminds us, knowledge is mostly local, distributed among billions of people. When we make politics in – charge of the economy there would be chance for market distortion because of the lack of knowledge. Since the politics rewards dishonesty and how political tools like price controls, taxes and subsidies misinform the economic actors about the true cost of resources. Disagreements were floated about the theoretical and Practical aspect in economical life sphere. Further discussions were made on ‘Minimum wage and price ceiling’ to make understanding about the costs and benefits. Everybody work for the Incentives. When there is minimum wages then your wage is fixed, you don’t have the incentive to explore your potential to earn higher. Some supporters of markets then argued that minimum wages and Price ceiling distorts the market. The discussion then moved towards Education policy and current Budgets of Nepal.
The whole discussion got revolved around the writer essay. Discussion Program was ended in 6:00pm