Utility...

Article;

In Many Ways Economics has Crowded Out Politics Globally Michael Sandel


Comment;

In micro economic prices are determined by comparing them with costs and utility and market also works on the same line. This is true for normal goods but in case of public goods utility and cost is so high that a single person can not pay the price. This is called externality and here the market fails and Public Policy comes in. But the recent trend is public-private-partnership (PPP) models. Only a government agency can levy taxes for public goods and we pay prices for normal goods. As far as allocation of goods is concerned the principle remains the same utility/need. Greater the utility/need the more just distribution it necessitates. But that does not necessarily mean higher prices like in case of food grains…