Michael Sandel, who teaches political philosophy at Harvard University and has written on justice, ethics, democracy, and markets, said this in an interview: "Today, we confuse market reasoning for moral reasoning. We think that economic efficiency, getting goods to those with the greatest willingness and ability to pay for them, defines the common good. But this is a mistake."
Based on this, with which of the following statements would you expect Michael Sandel to agree?
Profit maximization by all firms is a very good thing. But this is not because profits are in themselves good. Rather, profit maximization is good because it leads directly to maximum benefits for consumers. Profits provide the incentive for firms to do what consumers want.
The price mechanism should be used to allocate all goods and services, including health care and education.
The ultimate goal of a society should be the maximization of total surplus.
Economics presents itself as a value-neutral science of human behavior. Increasingly, we accept this way of thinking and apply it to all manner of public policies and social relations. But the economistic view of the world is corrosive of democratic life. It makes for an impoverished public discourse and a managerial, technocratic politics.
He would disagree with all.