Re: Nobel Prize Winners in Econ.

[Doug Henwood <dhenwood@xxxxxxxxx>]

On Sat, 15 Oct 1994, Herbert Gintis wrote (responding to Eric Nilsson):

> >In my original response I called this assessment into question.  As far as I
> >can tell no argument has been offered yet to back up the claim that game
> >theory represents a fundamental challange to mainstream economics.
>
> 	It undermines the notion that competition creates
> pareto-optimal outcomes, that power can't exist in competitive
> equilibrium, that allocation and distribution are separate, that labor
> markets clear, that capital markets clear, that consumer goods markets
> clear, that power is absent from international trade....and so on.

If all these imperfections exist in real market economies, what accounts
for their "stunning success"?

Doug

Doug Henwood [dhenwood@xxxxxxxxx]
Left Business Observer
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