BDP Paul Ferraro lays out the free-market case for climate science
In a commentary for the Bloomberg View, Johns Hopkins University Bloomberg Distinguished Professor Paul Ferraro argues that the principles of a free market economy also apply to the exchange of scientific ideas. He suggests that a person who has faith in the power of free markets should then “accept the evidence that human activity is bringing about climate change.”
Free market economies are built upon principles that resemble the “market” of scientific ideas, says Ferraro, who is an economist with appointments in the Carey Business School and the Whiting School of Engineering.
“Free and competitive markets work efficiently in large part because they are phenomenal information aggregators, gathering and sorting facts about consumer preferences and business production costs, and guiding market participants to engage in actions that provide benefits to both sides,” he writes. “Likewise, scientific ideas thrive or perish in a marketplace of their own.”
He says that scientific ideas are constantly tested, expanded on, or disproved. Like goods and services in an economy, those scientific theories that withstand competition prevail.
Ferraro suggests that the theory of man-made climate change has prevailed against the competing scientific research trying to disprove it.