Good Entropy

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04/02/2014

Exit versus Voice

by @ 10:51 am. Filed under economics

The market’s “freedom to exit” doesn’t solve society’s problems

You know, Albert Hirschman, the development economist wrote this book a number of years ago, I’m sure you know about it, “Exit, Voice, and Loyalty.” And sort of the idea was, okay, so you got an institution. And it’s screwing up. And so one way to fix it is to exercise voice. The other way is you can exit. The market solutions are all exit solutions.

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