Due to the discrepancies in the spread of knowledge the free-market is irrational but there is no doubt that we, collectively, have the needed information to make more rational decisions. The problem that occurs is that neither the knowledge nor the tools to help make rational decisions on that information are readily available. We’ve tried to pass standards based upon the best information to enforce some rationality but that got the political right up in arms about “Nanny State” and so the regulation, and the government that brought it in, was tossed out.
The question, I suppose, is: would that regulation have been removed, and the “Nanny State” attack by the political right have succeeded, if people had had access to the necessary information to make a rational decision? I may be being optimistic in believing that they wouldn’t have. So that raises another question: How do we get that information out to the people in such a way so that they can use it and understand it?
This is where modern technology comes in in the form of computers and the internet but it’s not good enough just to put the reports online and hope that people read them. Most people just don’t have the time with working 40+ hours per week, trying to have some sort of social life some of the time and sleeping for the rest. What we need is some software (government developed, freely available and perhaps Open Source) that can easily and rapidly show what differences will ensue if changes are made according to the research available. Using the example of the light bulb saga the software could be set, using real information, to show what happens to power usage if inefficient lights are continued to be used and the extra costs involved in keeping them on the market and showing the decreased costs (savings made) of using efficient light bulbs. Being able to see all of this in an easy to understand format, IMO, it is unlikely that the people would have allowed inefficient light bulbs to continue to be sold.
Basically, what we’re looking for is a top down administrative tool available to everybody that also links through to the raw data and research (Government and, perhaps, private). The software will be able to use this data to show how resources are used and so how a change in one area of resource use will affect resource use elsewhere. With this information available to them people would be able to see what decisions mean and how they’re personally affected.
In Part 2 I’ll be looking at how this could be used to bring about a rational and free political-economy.
Draco T Bastard