Saturday, January 16, 2010

How come people named Kevin are so darn smart?

Great stuff from Kevin Murphy (source here):


(Q) What about skepticism toward the government: Isn’t that also a key part of the Chicago tradition?


(A) Sure. You have to ask why would the government get it right. You can’t just say, here’s a market failure and the government needs to step in and address it. You have to look in detail at what the government might do, and compare the relative effectiveness of the two.