Message from @Sophie
Discord ID: 685139213124894819
Sure,
> Ok, Chicago school is sort of the heart of neo-Austrian economics
This is a word salad
Ok, so you don’t understand that?
There are little remaining of "schools" since the Lucas critique
You’re unfamiliar with Chicago school?
Lol
You’re adorable.
Finish your Econ degree honey
Then come back to the big boys table
That sounded kinda condescending
Yeah, he’s a high schooler who’s read a book
I'm familiar, but there's nothing with 'schools' anymore.
When he learns the subject matter he can debate in earnest
r
This is you.
Lol
That’s an amusing thing for the person with less education to send
But maybe you only thought you understood the effect 😉
Looks like the stock market hadn’t stabilized, it was just responding to expectations of a rate cut
What vindication for anyone who said we need a few days more data
The stock market fell when the fed cut rates
> That’s an amusing thing for the person with less education to send
https://en.m.wikipedia.org/wiki/Dunning–Kruger_effect
@Sophie this is pretty much peak dunning Kruger effect. You’re assessing your economics as if you have a large depth of understanding, however when talked about: price controls, supply and demand, “capitalism”, “Keynesian economics”, new deal and corporate taxation for examples - there is no understanding.
...
You misapplied the theory
This is absolutely peak dunning Kruger
You’ve taken some economics
So you think the theories you understand apply universally as you understand them
But if you go back to our price control discussion, you can see clearly
You keep wanting to take it back to the theory, but are unable to synthesize outcomes for the specific situation
We can go ahead and revisit it if you’d like- what keeps the firm in question from producing the full level of need?
A price max applied below the equilibrium results in lower supply but higher demand. That’s a shortage. The firm is producing less to compensate the reduction in profits.
This is econ 101
This is why you see price controls causing shortages and surplus waste.
A good example is the paper I linked on drug shortages in Europe countries.
Again, you’re failing to consider the actual situation
And making bad assumptions about the shape of the curve
The shape is irrelevant, the point on the curve where PMAX is - is below the equilibrium
That causes shortages - it doesn’t matter if it’s a vaccine or a laser gun
That’s not correct