Source: Foundation for Economic Education
by Tim Worstall
“Any one thing — any economic resource, fresh water, human labour, cash, capital itself and so on — can be used for a multitude of different things. At any one time, the market price for that thing is the balance between the supply of it and the value in using it to do — in aggregate — all those multitudinous things. Yes, we can even mutter that perhaps the information doesn’t flow here instantaneously and perfectly efficiently. Nevertheless, in its simplest terms, what something costs reflects the value of whatever uses we can put it to. If we decide that we want to do something new, we need a measure of whether we should or not.” (08/26/25)