And Lo! The Social Costs of Rent Seeking
Page 96 of Madmen offers a practical definition of that commonly misused term: The investment of valuable resources into activities that are counterproductive is what economists call “rent seeking.” Theft is a particularly vivid example. So is much of politics. This morning Tyler Cowen, via Mark Thorson, points to a vivid example in a Guardian news article, “ The Vending Machine Robot that Can Steal Free Sodas .” An enterprising young French man, however, has solved the problems of anyone who has encountered a malfunctioning vending…
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