Co-state variables...

[Brad De Long]

>Brad De Long wrote:
>
>> The key weasel words are "competitive economy". ("Externalities" is another
>> important weasel word.)
>
>Isn't "externalities"  the more important of the weasel words? I've heard it
>claimed that in most transactions in a  market economy, "externalities" are
>actually the predominant factor; only a small portion of actual costs are
>captured in market prices.

I think so, but I'm not sure...