The side of the free market that people don't pay enough attention to is property rights. The externalities people talk about as problems for the free market are usually a result of poor property rights assignment or enforcement.

Undisciplined

I wonder if the idea of loss compression applied to money and price could be a genuine criticism of the free market- is it possible for all the points of information to be compressed to price?

I think that's a compelling criticism of the free market. Prices often don't reflect negative externalities. Strangely, I can think of cases where prices do reflect purported positive externalities like in ESG products.

mostly_harmless

Compressing Information for Other Humans and Self

k00b

> I wonder if the idea of loss compression applied to money and price could be a genuine criticism of the free market- is it possible for all the points of information to be compressed to price?

I think that's a compelling criticism of the free market. Prices often don't reflect negative externalities. Strangely, I can think of cases where prices do reflect purported positive externalities like in ESG products.