RE: Re: Re: Markets and Diversity

["Devine, James" <jdevine@xxxxxxx>]

Title: RE: [PEN-L:26520] Re: Re: Markets and Diversity

BTW, Rosen is of the Chicago school (though not one of the most extreme of that school). That school seems to aim to end diversity of economic thought, by winning the game of competition with other schools.

Jim Devine jdevine@xxxxxxx &  http://bellarmine.lmu.edu/~jdevine

> -----Original Message-----
> From: Michael Perelman [mailto:michael@xxxxxxxxxxxxxxxxx]
> Sent: Sunday, June 02, 2002 8:45 PM
> To: pen-l@xxxxxxxxxxxxxxxxxxx
> Subject: [PEN-L:26520] Re: Re: Markets and Diversity
>
>
> The market provides fancy cars for rich people and jalopies
> for the poor
> -- thus markets create diversity.
>
> On Sun, Jun 02, 2002 at 08:40:43PM +0000, enilsson@xxxxxxxxx wrote:
> > Michael wrote,
> > > In his presidential address to the American Economic Association,
> > > Sherwin Rosen claimed that one of the benefits of the market is
> > > its ability to provide diversity.
> >
> > Do you suppose Rosen thinks this result (markets provide
> diversity) is derived
> > from the neoclassical model or is it just part of the
> pre-analytic vision? I'm
> > not sure what in the neoclassical model would lead to the
> diversity claim
> > unless it was based on product differentiation. But
> conclusions about product
> > differentiation is about the number of different versions
> of the product and
> > not about the range of products provided.
> >
> > That is, if the theoretical products range from 1 to 10, product
> > differentiation might appear as a models 4.1, 4.2, 4.3, and
> 4.4. But it might
> > not lead to any 3s or 5s. Rosen might be thinking that a
> large number of
> > different models means that a large range of products
> exists. But I don't
> > think that the former implies the latter
> >
> > ERic
> > /
> >
> >
> >
> >
> >
> >
> >
>
> --
> Michael Perelman
> Economics Department
> California State University
> Chico, CA 95929
>
> Tel. 530-898-5321
> E-Mail michael@xxxxxxxxxxxxxxxxx
>