Philosophy 2073F/G Lecture Notes - Lecture 5: Market Failure, Externality, Noam Chomsky

• School: Western University
• Department: Philosophy
• Course: Philosophy 2073F/G
• Professor: Dean Prossel

Document Summary

Lichtenburg paper is not in the course package but can be found in course links. Section called market and moral failure (pg. In mutual exchange, both members receive benefit, ie. you"re selling something and someone gives you money to buy it. This is a market failure because as a seller you end up expelling pollution which affects those outside the exchange in which they aren"t obtaining benefit. If this isn"t reflected in the price (ie. you are taxed by the government) there is market failure. Public good is a good whereby if you consume it, it doesn"t prevent someone else from using it. Air , private goods, when used cannot be used by others. Environment is supposed to be a public good, you should have to pay if you use or ruin it. Profit actually, furthers the marketplace, this justification is different than the libertarian perspective that argues it"s your right to have profit,