Wednesday, April 06, 2005

Price Gouging the Grieving - Market Power

Economists, not known for being sensitive, are fond of making outrageous sounding statements like "greed is good" by which we mean individuals acting in their own selfish interest tend to promote the social good.

In the link above Phil Miller explains why the price gouging in Rome now taking place might be the best possible solution for allocating scarce hotel and restaurant capacity.

No comments: