Don’t Compromise on Policy

The pitfalls of implementation and the case for laissez-faire

Some policies pass the cost/benefit analysis and seem worth implementing. However, their execution rarely matches the ideal scenario portrayed in economic textbooks. Instead, these clever public policies are subject to the political process, resulting in compromised versions that often bear little resemblance to the original proposal. Unfortunately, settling for a second-best version is usually worse than having no policy at all. Considering this, I prefer a small government approach. It is not only for the greater good of society but also because even in areas where government intervention could theoretically be more effective, the practical outcomes tend to disappoint. Rather than accepting a distorted rendition of a promising idea that is costly, ineffective, and falsely blamed for its failures, I advocate for a laissez-faire approach.