Hemorrhoids And Herpes

The Word Economy

Cristina Greet

The economic and financial crisis has become overwhelmingly space between the lines of the newspaper, capturing the headlines and editorials from overflowing and special sections in which he was confined.

undeniable merit of the crisis in the return to the center of the debate not only political but also the great cultural issues of the economy.

The economy has suddenly attracted great interest, and sold well both among young and among intellectuals, and noting his side of "human science", sensitive to social issues, devoted to the understanding of the primary needs and preferences of the individual man without neglecting at the same time, the aggregate aspect of his actions and the consequences of his choices on the population as a whole.

Suffice it to say that the association "The circle of readers" in Turin this year dedicated an entire series of lectures to the economy, choosing to give a voice in the sphere of "literary salon" to a technical issue that is often considered and sterile.

The cycle began with a meeting entitled "The Market", which was attended by part Bertola Professor, Professor of Public Economics at the University of Turin and staunch supporter of free markets, and other journalist Republic Roberto Petrini, author of "Process economists, that, as you can imagine, has defended a more critical to the market, raising questions and arguing that they are necessary corrective measures and more public to avoid serious crises like the one we are experiencing may be repeated in the future.

In the debate have already emerged, once again the outlines of the "Invisible Hand " Smith, that individuals are driven by selfishness and the maximization of collective well-being can only be achieved through the pursuit of individual self-interest , as opposed to the idea that the market itself is due to their inefficiencies and would simply like more rules and, above all controls, to ensure that appropriate, monopolies and asymmetric information are less stringent.

Not surprisingly, Petrini notes that it was a problem of asymmetric information to trigger the financial crisis of 2007 in all its disruptive.

The most severe effects of the crisis stemmed, in fact, ignorance of the nature of the purchasers of the securities they owned. This will spread throughout the world, in accordance with the principle, this time fatal, risk diversification, "derivatives" that it was impossible not only to declare the goodness, but above all to trace the origin.

should be added that the financial crisis not only highlighted the fragility of the market, but also that of the institutions called upon to protect and which have proved to be wholly inadequate to the task, so as to raise serious doubts about their effectiveness. So for those who favor? It was right to leave all this freedom to the markets would have had to intervene, or more rigorously?

is difficult to reach a final conclusion. Both parties seem to have good reasons, but certainly serious responsibility and certainly the antidote to the crisis has not yet been found.
Strengthen the role of the state or leave the market to fending for myself? Simple lack of common sense or lack of rules, risks inherent in the market or possible but unfortunate coincidences?

These are just some of the questions that remain open economy and new roads are yet fully to discover and follow.

However, I think a clue to those seeking answers is the choice of two Nobel prizes for economics this year 's, Elinor Ostrom, and Oliver Williamson, whose appointment was clearly very significant.

These two economists with strong backgrounds, who have dedicated their studies to demonstrate that not all public goods are managed in an inefficient manner, but sometimes spontaneous forms of cooperation, such as standing with the objective of safeguarding the forest rather than the quality of a given territory, may replace the bureaucracy and even the market itself.

proof that selfishness is not always the guide to human action, demonstrating that do not always need to leave everything to the market.

I think the Academy of Stockholm has decided to launch a call, or perhaps an appeal, since there is still the well-established neo-classical patterns, but they continue to seek new ways to grow and to innovate with courage, Taking note of his own limitations and considering all options, even the most unexpected, without conceit, but with the enthusiasm of those who overcome the "fear" lends itself to cross a new frontier.