Stuart_Armstrong comments on Unemployment explanations - LessWrong
You are viewing a comment permalink. View the original post to see all comments and the full post content.
You are viewing a comment permalink. View the original post to see all comments and the full post content.
Comments (96)
That likely brings us to improvements that are non-Pareto, hence rarely addressed in classical economics.
I was more thinking of government interventions like employment taxations.
Possibly, but it may also happen that the current issues are caused by coordination failures, which if solved could lead to Pareto improvements.
But even if there are no available Pareto improvements, it doesn't imply that this is the best of all possible worlds.
Pareto improvements are not really a classical concept. I think Pareto used them, but it was the neoclassical Pigou or someone around that time who made them widespread.