Sunday, January 22, 2012
It’s Not Really A Secret
Economies prosper when multitudes of ordinary people are motivated to make improvements. This is because information and insights needed to make an economy prosper are widely dispersed. There’s far more than could ever be centralized, validated and updated in a place like the federal government. The most reliable way to motivate people? Harness their self-interest: let them try making a profit by starting a business based on their information and insights.
This isn’t really a secret. Powell provides some interesting examples of innovation and improvements which resulted in huge successes.