pragmatist comments on Q for GiveWell: What is GiveDirectly's mechanism of action? - Less Wrong

16 Post author: Eliezer_Yudkowsky 31 July 2013 08:02PM

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Comment author: pragmatist 01 August 2013 02:01:50AM 5 points [-]

Each trade is beneficial, or it wouldn't happen.

Each trade may be beneficial to the parties involved (although even this isn't necessarily true for the ordinary sense of the word "beneficial"), but it need not be beneficial to the economy as a whole. Trades can have negative externalities.

Comment author: DanielLC 01 August 2013 04:04:43AM 3 points [-]

They can, but it's not the sort of thing that you assume when you don't have proof otherwise.