A New Way to Calculate Drug Prices

Rather than the market system, several doctor suggest that cancer drugs can be priced using variables based on value that include toxicity and efficacy.

How Congress Would Anger Alexander Hamilton

Whenever people try to limit the rights of owners, as with Alexander Hamilton and bondholders or now with the ART Act, there are market system tradeoffs.

When Real Peanut Butter Is Not What or Where You Expect

Required by commerce in a market system, standard weights and measures not only take us to the kilogram or second but also even peanut butter.

How Markets Can Save Honeybees

While a government task force will soon report on how to deal with the increase in honeybee deaths, instead the market system could solve the problem.

Has the Invisible Hand Given You a Nudge Recently?

Encouraging businesses and consumers to interact productively as they pursue their self-interest, Adam Smith’s invisible hand moves a market’s participants.

Adam Smith and Traffic Lights

Located 30 miles from Cape Cod, Massachusetts, the island of Nantucket has no traffic lights. Instead, drivers respond to stop signs, rotaries, and courtesy. More often than not, if a pedestrian, a walker, or a biker needs to cross the…

The Income Inequality That Doesn't Bother Us

When people talk about the top 1%, they are probably not thinking about NY Yankees shortstop Derek Jeter or Seattle’s MLS forward, Clint Dempsey. For 2014, Jeter signed a $12 million contract and Dempsey makes close to $5 million. However, they all take us to income inequality. Using…

Dilemmas From the “Sharing Economy”

Today’s story is specifically about Airbnb. More generally though, it involves whether government or the market system should regulate the “sharing economy.” But first–Craigslist and the Sharing Economy from xkcd: An apartment owner in Astoria, Queens (a subway ride from…

The Big Impact of a Little Salamander

The woodland salamander made me think of Adam Smith. In North American forests, wherever it is dark and damp, under a rock or a log, a very hungry salamander could be devouring her daily diet. Eating 20 ants, 2 flies…

How High Can a Taxi Fare Go?

Tough to get in rain, ice or snow, NYC cabs never seem to be around when I need them. That is what makes Uber such a great story. First used in San Francisco, the idea behind Uber was to make…