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Local knowledge problem

In economics, the local knowledge problem is the argument that the information required for rational economic planning is distributed among individual actors and thus unavoidably exists outside the knowledge of a central authority. Economist Friedrich Hayek said that "practically every individual has some advantage over all others because he possesses…

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Friedrich Hayek's description

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Local knowledge problem

Nodes11
Edges10
Triples2
Avg. degree1.82
Density0.181818
Components1

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Local knowledge problem

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Local knowledge problem → argument that the information required for rational economic planning is distributed among individual actors and thus unavoidably exists outside the knowledge of a central autho…, microeconomic counterargument to macroeconomic arguments that favor central planning and regulation of economic activity

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knowledge local central economic information individual planning friedrich cannot circumstances distributed hayek every others use made authority one stability large

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Local knowledge problemis aargument that the information required for rational economic planning is distributed among individual actors and thus unavoidably exists outside the knowledge of a central autho…0.90text
Local knowledge problemis amicroeconomic counterargument to macroeconomic arguments that favor central planning and regulation of economic activity0.90text

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