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A review by _walter_
The Seen, the Unseen, and the Unrealized: How Regulations Affect Our Everyday Lives by Per L. Bylund
2.0
The Seen, Unseen, and the Unrealized provides an approachable, albeit contrived examination of the intricate ways in which government regulations influence market dynamics and everyday economic activities. The book labors to distinguish between the unregulated market and the regulated economy, shedding light on how various forms of regulation — both incentives ("carrots": subsidies) and disincentives ("sticks": taxation, prohibition) — steer production and affect consumer satisfaction. It delves into the foundational economic principles of price determination, the "invisible hand" mechanism of decentralized planning/price discovery, and the pivotal role of entrepreneurs in navigating and adapting to regulatory landscapes. The discussions on opportunity costs and the inherent limitations of pure market systems provide readers with a realistic perspective on the challenges of achieving perfect market alignment and the continual need for entrepreneurial innovation.
However, the book also presents some challenges. Despite being a rather small book at 172 pages, it reads a bit like the dense political and economic treatises of yesteryear (this book was published in 2016). The main points and supporting arguments are oftentimes substantially drawn out, with long paragraphs that repeat the same sentences in different guise.
Another issue involves the examples that are used to flesh out the main arguments - completely fabricated, simple thought experiments that comprise of economies of six or so actors that must compete/cooperate/coordinate economic decisions among them. While this approach can work, I'd much rather have seen real-world examples of the externalities at play. This results in contrived conclusions that give off a whiff of laziness - in the absence real data, I too can come up with thought experiments that support any point I desire to make. For a masterclass in how to present real-world examples on the issue of regulations (specifically price controls) look no further than [b:Forty Centuries of Wage and Price Controls: How Not to Fight Inflation|19238120|Forty Centuries of Wage and Price Controls How Not to Fight Inflation|Robert Lindsay Schuettinger|https://i.gr-assets.com/images/S/compressed.photo.goodreads.com/books/1386350362l/19238120._SY75_.jpg|2419526]
Additionally, the focus on the negative impacts of regulation might benefit from a more balanced view by highlighting instances where regulation has successfully addressed market failures and promoted positive economic outcomes. As such, it is important to recognize instances where subsidies have produced highly desirable outcomes. A prime example is the development of Silicon Valley in the United States. Government subsidies and investments in research and development during the mid-20th century played a crucial role in fostering technological innovation and entrepreneurship. Programs such as the Defense Advanced Research Projects Agency (DARPA) provided funding for early computer and internet technologies, which laid the foundation for the thriving tech ecosystem we see today.
The biggest issue with the book though, is that it fails to set the right expectations. Despite the "How Regulations Affect Our Everyday Lives" promise in the title, it takes the author roughly 60-70% of the book (chapter 7, in a 10-chapter book) to breach the issue of the negative externalities resulting from regulations. The first half of the book is spent explaining to the reader what a market is, the benefits of money, how prices work, how production arises, etc. In other words, things I would have expected my readers to be familiar with already. This is of course not bad, but I was hoping for the author to start discussing the issue of government intervention right from the start. It's like someone telling you they will train you for a 5k, but first they put you through a marathon - you're exhausted before you begin.
Overall, I think the book is not bad if you are looking for a self-contained economic narrative that takes you from first principles and bridges into the issue of government intervention through taxation, prohibition, and subsidies. However, its heavy focus on theoretical concepts and contrived examples may limit its appeal to those seeking real-world examples.
2.5 stars.
However, the book also presents some challenges. Despite being a rather small book at 172 pages, it reads a bit like the dense political and economic treatises of yesteryear (this book was published in 2016). The main points and supporting arguments are oftentimes substantially drawn out, with long paragraphs that repeat the same sentences in different guise.
Another issue involves the examples that are used to flesh out the main arguments - completely fabricated, simple thought experiments that comprise of economies of six or so actors that must compete/cooperate/coordinate economic decisions among them. While this approach can work, I'd much rather have seen real-world examples of the externalities at play. This results in contrived conclusions that give off a whiff of laziness - in the absence real data, I too can come up with thought experiments that support any point I desire to make. For a masterclass in how to present real-world examples on the issue of regulations (specifically price controls) look no further than [b:Forty Centuries of Wage and Price Controls: How Not to Fight Inflation|19238120|Forty Centuries of Wage and Price Controls How Not to Fight Inflation|Robert Lindsay Schuettinger|https://i.gr-assets.com/images/S/compressed.photo.goodreads.com/books/1386350362l/19238120._SY75_.jpg|2419526]
Additionally, the focus on the negative impacts of regulation might benefit from a more balanced view by highlighting instances where regulation has successfully addressed market failures and promoted positive economic outcomes. As such, it is important to recognize instances where subsidies have produced highly desirable outcomes. A prime example is the development of Silicon Valley in the United States. Government subsidies and investments in research and development during the mid-20th century played a crucial role in fostering technological innovation and entrepreneurship. Programs such as the Defense Advanced Research Projects Agency (DARPA) provided funding for early computer and internet technologies, which laid the foundation for the thriving tech ecosystem we see today.
The biggest issue with the book though, is that it fails to set the right expectations. Despite the "How Regulations Affect Our Everyday Lives" promise in the title, it takes the author roughly 60-70% of the book (chapter 7, in a 10-chapter book) to breach the issue of the negative externalities resulting from regulations. The first half of the book is spent explaining to the reader what a market is, the benefits of money, how prices work, how production arises, etc. In other words, things I would have expected my readers to be familiar with already. This is of course not bad, but I was hoping for the author to start discussing the issue of government intervention right from the start. It's like someone telling you they will train you for a 5k, but first they put you through a marathon - you're exhausted before you begin.
Overall, I think the book is not bad if you are looking for a self-contained economic narrative that takes you from first principles and bridges into the issue of government intervention through taxation, prohibition, and subsidies. However, its heavy focus on theoretical concepts and contrived examples may limit its appeal to those seeking real-world examples.
2.5 stars.