Abstract
The observable breakdown of socialist systems represents a severe blow for those who still believe in historical materialism although historicism must be considered refuted already on logical grounds (Popper, 1957). And it provides a new answer to the old question: “Do communist and free economies show a converging pattern?” (Tinbergen, 1961). To economic policymakers as well as to economists the breakdown of socialist systems, including so-called market socialism, comes as a challenging surprise.
Article Note
… without the intellectual tools of allocation theory it is almost impossible to evaluate the advantages and disadvantages of different economic systems.
— Egon Sohmen1
Article Note
I wish to thank my collaborators Ralf Hauer, Heiko Lohmann, Stefan Voigt, and Michael Wohlgemuth for valuable criticisms and suggestions.
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Streit, M.E. (1992). Welfare Economics, Economic Order, and Competition. In: Giersch, H. (eds) Money, Trade, and Competition. A Publication of the Egon-Sohmen-Foundation. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-642-77267-2_13
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