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Jayson_Virissimo comments on Rationality Quotes: June 2011 - Less Wrong
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What is a "social demand"? By what method could we determine how much of a good is "socially demanded"?
Justice, for instance. Can one person be reliably counted upon to measure how much justice he or she has received? Probably not. But political processes do work out various means for delivering more or less justice. These means appear to have something to do with the demands of various people. The market analogy is of course not perfect.
Justice, at least the way I've heard it used, is very much revenge without the stigma.
Criminal justice only if you tune out the rehabilitation aspect. Civil justice only if you tune out everything except punitive damages (which don't exist in many jurisdictions).
There is a lot to be gained by delegating to a central authority the responsibility of maintaining a credible threat of retaliation.