Reply to post: Re: Inefficiency

Govt control? Hah! It's IMPOSSIBLE to have a successful command economy


Re: Inefficiency

Hari, you have it exactly backwards. The inefficiencies are primarily due to complexity and the inherent lag between a demand and fulfillment. Many kinds of demands are - more or less - predictable, e.g. how much water an urban area may need in a week, or how much gasoline will be used. But, not even the most consistent demands are fully predictable. There is secular variation due to uncertainty in every estimate of need. For instance no one can say on any given day how many people are in a given city. Smaller settlements are more predictable and less variable over time, but the population placing demands on a large city's infrastructure and supply system can vary by the size of an intermediately sized town or small city over periods of hours to weeks. No command and control system can deal with that with any precision. Instead, "inefficiencies" are largely what dampen systemic oscillations caused by the uncertainty of demand. Then entire concept of "just in time" production and delivery is a communist ideal that works until it breaks, and the breaks can be catastrophic.

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