Ep. 63: David Friedman on his Intellectual Legacy - Search for Truth, the Economics of Different Legal Systems and Market-Driven Governance Innovation

David Friedman is an economist, physicist, legal scholar, and author.His father is the legendary economist Milton Friedman, and his son is the founder of the Seasteading Institute and Pronomos Capital, Patri Friedman (appeared on episode 32).His most popular book is The Machinery of Freedom, and he’s written books on microeconomics and the economics of law, such as Law's Order, Hidden Order, and Legal Systems Very Different from Ours.In this interview, we talk about the legacy of the Friedman family: a commitment to the search for truth, and a little trick to express uncomfortable things with numbers.We talk about economic rationality, efficient law and the problem of public goods or why so-called "market failures" aren't an argument for government intervention.These are important terms to understand what the "competitive governance" space is about: civilizations all throughout history have come up with different ways to solve coordination problems. Legal systems are much more different than you'd think. We can learn a lot from Islamic law, Romany law or Saga period Icelandic law.These differing legal norms and mechanisms have an impact on the economic development of a civilization. They explain why some societies flourish or stagnate.Yet there has been little innovation in probably the most important industry in the world. Governments and nation-states are monopoly providers of their products. It is very costly and hard to switch your provider, which is why they are slow to change.David Friedman's work provides frameworks for thinking about how to change it, and to develop better ways to live together, to prosper, and to advance human progress. This is a public episode. If you would like to discuss this with other subscribers or get access to bonus episodes, visit www.infinitacitytimes.com