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Why Do People in Markets Acting in Their Own Self-Interest

question 62

Essay

Why do people in markets acting in their own self-interest tend to be efficient, whereas people in government acting in their own self-interest are not?


Definitions:

Coefficient of Variation

A metric that quantifies the spread of data points around the mean within a dataset, represented as a percentage of the mean itself.

Variance

A statistical measure of the dispersion of a set of data points in a data distribution, showing how each data point differs from the mean.

Variance

A measurement of the spread between numbers in a data set, indicating how much the numbers differ from the mean.

Standard Deviation

A metric that quantifies how spread out data points are from the mean, showing the degree of variation or dispersion within a dataset.

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