In this video I cover why the free market is efficient having debunked Viki 1999 on her video claiming 'why the free market is inefficient'. The problem with her argument, she describes countries that aren't free market economies as being free market. This is a common argument that you will hear a lot.
Viki 1999 doesn't comprehend why there is such inefficiency today and the purpose for why I explained about John Davison Rockefeller and the failure of the government subsidies of the 19th century is to show the difference between what happens as a result of government intervention to that of the free market. One cannot blame the free market for what is not the fault of the free market.
I do find it remarkable how Viki 1999 acknowledges the fact that when there is a shortage that the price drives up, as I explained in this video, it doesn't just create an incentive for producers to produce more, it can create the incentive for consumers to seek alternatives and allow a resource to replenish if in shortage.
The other problem with her argument, again, correlates to the economic calculation problem, she doesn't comprehend what prices are and how complex a market is. Much like Xexizy, she assumes that food is merely just a human right and it's all one. Socialists fail to comprehend that not everybody likes the same food and there are hundreds of different options. It's a bit like looking at milk, cheese or butter as all the same without taking into account all the variety of options.
As I covered, a country does not require investors to provide for a foreign country, there is such a thing called 'charity' in a free market and this point she fails to grasp and it's not the foreign country who would be made to pay for such transport of food, rather, the country which is free market that provides charitably covers that as part of their giving.
As I have argued, even if investors were seeking to make a profit, profits aren't just something as simple as a surplus for capitalists to fill their own pockets, profits are important information signals which tell the market the needs and wants, certain food types may be more in a shortage than others. In the example of drought, food produced from agriculture compared with seafood.
Viki 1999 has good intentions, but unfortunately, she doesn't understand the consequences of her actions. Without the information of price signals, you're asking for inefficiency, that's one way to ensure you will end up overproducing, misallocating resources. Like the example of milk I provided in my video on the Economic Calculation Problem, I described the relationship between milk and the other products relating to milk in relation to price. This best illustrates the complexity and problem with her argument.
You can watch that video here:
• https://www.youtube.com/watch?v=Zjzofn0qzQ4
My Libertarian Views Scotty M Discord Server:
• https://discord.gg/xgXYmhw
The remarkable claim against the free market to state that it is inefficient is truly remarkable despite history has proved that the most efficient economies were those which on a question of scale are strongly capitalist when comparing that to socialist countries.
The failure of socialism has been stark in contrast that it would take extreme ignorance to stare past it. Even the gall for a socialist to speak about starvation despite the countless millions who starved to death as a result of socialist regimes.
