[ExI] How the Free Market system works to educate people

[spike]

> -----Original Message-----
> From: extropy-chat-bounces at lists.extropy.org 
> [mailto:extropy-chat-bounces at lists.extropy.org] On Behalf Of BillK
> Sent: Tuesday, April 27, 2010 8:33 AM
> To: ExI chat list
> Subject: Re: [ExI] How the Free Market system works to educate people
> 
> On 4/27/10, spike wrote:
> >  Excellent!  Billk, this explains why people who live in 
> free market 
> > systems  know to not buy expensive cookies from guys in white coats.
> 
> 
> I knew education was expensive in the US, but not *that* expensive...

Actually it doesn't have to be expensive.
 
> First the cookie diet...

I never bought that.

>... then the pet rocks craze...

Never bought one.

>... then the gadgets to run your car on water...

Not only did we never buy that, we get a free education by asking the local
groksters why it is that cars cannot run on water.  

I did have some fun with it however.  In 1998 I had a truck which cracked an
exhaust manifold.  The truck would still run fine, but it leaked water into
the exhaust, causing it belch puffy white clouds of steamy vapor.  I drove
it that way for months.  I made up signs which read "Experimental vehicle,
runs on water."  {8^D

>...Next thing you know you're buying CDOs
> from Goldman Sachs and wondering where all your money went.
> 
> Now I realize.  It all went on education.  :) BillK

Ja, the capitalist free market system is not kind to fools, and is
particularly hard on greedy fools.  It sets up a great paradox.  We know
that if any investment scheme offers unually high returns, it hidden high
risk.  If it sounds too good to be true, it is.  So it opens up a market for
criminals to offer hidden high risk investments at low returns.

spike