💾 Archived View for godufredo.smol.pub › 1622069046 captured on 2023-06-14 at 13:43:57. Gemini links have been rewritten to link to archived content

-=-=-=-=-=-=-

Society's plan and thinking long-term

The more I think about how western societies are organized, the more puzzled I am that things actually come together and life works out.

While intellectually, I understand the words that "when the market sees a demand it moves to correct it", I lack the gut feeling that translates the need for bolts to bolt factories---some operations feel to large to emerge as a organic reaction of markets to a need.

This has made me wonder two things. What is the role of central planning when developing certain industries. In other words, while a blacksmith shop can arise from someone professionalizing metal working, a bolt factory requires a combination of business, marketing, and engineering skills that can only be achieved under complex planning (either by large corporations or governments). In that regard, are there industries / products whose development and delivery requires big players and where monopolies / oligopolies are not only expected but the only sensible outcome?

I wonder if there are studies on this topic and what it can tell us about what industries need high regulation and governments want to be involved (maybe oil / microchips, etc) and others where small players can easily enter and exit the markets and satisfy the needs (e.g. restaurants).