nietzsche wrote:Just one point you guys are forgetting here (or being too naive): normally the government subsidizes what they want, it depends totally on executive decisions which depend of lobbies. And after that a technology can skyrocket after it's been available to mainstream, because (as it has been said) normally the breakthroughs in science come from a different field when associations are made.
But you guys will reject my point, BBS will come with a market parchment to show me why I'm wrong, and those science rooted will praise scientist and praise what the texts say, when new ideas come from intuition all the time.
Just something you have to take into account, you have not all the answers you know..
I'll be brief.
(1) Yes, there's crony capitalism (self-interested politicians, lobbying, problems with voter behavior, asymmetric information, etc.).
(2) But government doesn't subsidize what it wants. Instead, it's a shit fest for votes and political clout among elected officials, public officials, and voters.
Within each of those three groups, some groups get what they want, and some don't.
For example, people on welfare tend to opt for politicians who favor welfare; people opposing raises in utility bills will opt for politicians who don't raise utility bills; people who want utility bills raised (those particular lobbying associations) will opt for politicians who think likewise. These groups (of which there are many more) fight for a pool of resources over which the government and lower-level governments can allocate.
(3) Then, there's the advantage of free markets: the driving down of prices, the incentive to innovate and become more efficient, and blah blah blah.
The issue is this:
(A) How much does (1) and (2) affect (3)?
(what are the benefits and costs?)
(B) And given x-amount of infringement, what would the outcomes of (3) become?
(problem of counterfactual)