Economic History Essay Example | Topics and Well Written Essays - 1500 words - 2

Economic History - Essay Example With respect to the role of Hayek in the socialist calculation debate, he reveals his position with respect to the possibilities of planning. While arguing against the possibility that is associated with planning in the case of the socialist calculation debate, Friedrich Hayek worked on two major theoretical papers. These include; â€Å"The Meaning of Competition† and â€Å"The use of Knowledge is Society†. Both of Hayek’s works were aimed at serving as a disproof to a fellow economist named Oscar Lange as well as the endorsements that he had made regarding a planned economy. This paper will evaluate Hayek’s works; â€Å"Meaning of Rivalry† and â€Å"The Adoption of Knowledge in Society†, to help determine his position with respect to the possibilities of planning for the economy. Based on his work, â€Å"Meaning of Competition†, Hayek reveals the benefits that are associated with a free market, which has not been subjected to the regulations that the government imposes to regulate the market. Instead, he reveals that the suppression of competition is among the major evils that prevail in a society, which experience has revealed to be a regular consequence. Also, these evils are also different from those imperfections that are affiliated with rivalry. Hayek stipulates that competition is an essential process that facilitates in the formation of different points of view. This is because it is efficient in terms of facilitating for the spread of information to diverse parties. It also facilitates in the creation of coherence and unity in the economic system, which most people presuppose whenever they treat it as one market. With a coherent and united economic system, it becomes possible for people to identify the goals that they have in common, and hence adopt approaches that can help them to boost the productivity and competitiveness of their society (Vaughn 537). Competition helps people to understand the best product for them and where