Free markets work better.

This oak, Quercus Suber, has learned to withstand being debarked (decorticated) every 10 years or so.

These horses, the Cavallini de la Giara, have evolved to live in a marsh.
For a while, evolution unfolded as a self driven process.
After humans have developed consciousness, they have begun to influence evolution. Stripped oaks of their bark and driven horses to live in marshes.
As far as we understand, three is the smallest number which allows for evolution. Two, and four, may become stuck. One is more likely to stay put than to move anywhere. Five is too expensive. Hence three. As an aside, each of the A320s have three independent INS (inertial navigation systems) which assist the pilots finding their way in the sky.
Our take is that whoever concocted the system which supports us has reached the same conclusion as the builders of the A320.
Let’s get back to the free market.
Which market is inherently limited. A finite number of participants. Buyers as well as sellers. A finite number of resources, each of them in limited quantities.
Simple logic would mandate us to conclude that no market can be ultimately free, right? A limited number of participants having a limited quantity of resources at their disposal can not be free, by any definition…
Well, wrong!
Freedom/liberty is a virtual thing. Like all other virtual things, it needs hardware to support it yet exists only as long as the software driving that hardware continues to perform its magic.
Virtual/Enhanced Reality Goggles need both hardware and software in order to function as intended.
Free markets preserve their freedom for only as long as the participants cooperate in preserving the aforementioned freedom.
Free markets remain free for only as long as there are ‘Buyers’, ‘Sellers’ and ‘Referees’. Whenever there are no referees left to preserve the levelness of the playing field, one side will, eventually, tilt the table.
Which brings us to the end of today’s post.
But not before sharing with you another of our inklings.
Time!
The passage of time is what eventually frees all markets.
A stuck market is unable to do what it’s supposed to do. To balance demand and supply. People who are left behind, whose needs are not met, eventually become frustrated. And do something about it.
The frustrated XVIII century American people have freed themselves, both economically and politically, from the British yoke.
The frustrated Germans living in the Weimar Republic – where both the political and the economical markets were stuck – have fallen under Hitler’s spell. Allowed him to lead them into the ‘dessert’.
The frustrated people living in the East European Communist lager eventually become so fed up with the whole situation that the whole ‘arrangement’ collapsed like a house of cards.





