Steven E. Landsburg
Seatbelts cause accidents, expensive movie popcorn is a brilliant pricing strategy, and recycling paper destroys forests. By viewing the world through the lens of economic incentives, everyday mysteries dissolve into rational behavior.
People adjust their behavior based on perceived risks and rewards, meaning safety regulations like seatbelt laws can unintentionally increase reckless driving.
The Indifference Principle dictates that unless an individual possesses a uniquely rare skill or preference, competition will eventually eliminate any extraordinary advantages in a given market.
Economic inefficiencies rarely stem from too much capitalism but rather from missing markets, such as unowned resources like clean air or endangered species that lack clear property rights.