Comments on: Counterparties http://blogs.reuters.com/felix-salmon/2011/12/10/counterparties-484/ A slice of lime in the soda Wed, 22 May 2013 01:01:25 +0000 hourly 1 http://wordpress.org/?v=3.4.2 By: PetterHP http://blogs.reuters.com/felix-salmon/2011/12/10/counterparties-484/comment-page-1/#comment-33901 PetterHP Sat, 10 Dec 2011 11:24:43 +0000 http://blogs.reuters.com/felix-salmon/?p=11456#comment-33901 Norway has a goal of having a farm sector. The reason is to protect the landscape, but also as a security measure in case of a major catastrophe. The current financial crisis should be a reminder that Black Swans happen, and the hunt for maximum efficiency decreases the ability to deal with unexpected situations. A bad summer created the butter shortage, and even a private market would be unable to suddenly create more cows to produce more milk. And in a totally free market, little mountainous Norway would be immediately out-competed. There would be NO butter produced in the country. Butter is being imported to Norway right now, but it is difficult because there is a lack of butter in the rest of Europe too. Norway has a goal of having a farm sector. The reason is to protect the landscape, but also as a security measure in case of a major catastrophe. The current financial crisis should be a reminder that Black Swans happen, and the hunt for maximum efficiency decreases the ability to deal with unexpected situations.

A bad summer created the butter shortage, and even a private market would be unable to suddenly create more cows to produce more milk. And in a totally free market, little mountainous Norway would be immediately out-competed. There would be NO butter produced in the country.

Butter is being imported to Norway right now, but it is difficult because there is a lack of butter in the rest of Europe too.

]]> By: johnhhaskell http://blogs.reuters.com/felix-salmon/2011/12/10/counterparties-484/comment-page-1/#comment-33899 johnhhaskell Sat, 10 Dec 2011 07:55:27 +0000 http://blogs.reuters.com/felix-salmon/?p=11456#comment-33899 Norway providing a helpful reminder of the benefits of free trade in goods, without it heavily subsidized dairy producers can actually run out of butter. well played, Norway Norway providing a helpful reminder of the benefits of free trade in goods, without it heavily subsidized dairy producers can actually run out of butter. well played, Norway

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