The Socialist Calculation Debate, 2010 Edition
By Arnold Kling
The problem for a government price controller is that he can never know when the price structure is “right.” He can know when physicians are unhappy with their prices because they will complain, but that does not necessarily mean that those prices should be raised. He cannot know when prices are too high, because physicians benefiting from that mistaken generosity will not complain. The bias is always to raise prices, not lower them.
Read the whole thing. It is difficult to excerpt.
The sad thing is that so few self-styled experts understand the socialist calculation issue. Imagine what it would be like if public policy schools taught courses in Austrian economics (of course, that would undermine the status of most public policy schools).