Comments
  1. I would argue that exchange has a net positive effect. While the number of goods in the system is not increasing, those goods are being allocated to agents who value them more highly. Exchange allows the system to reach a more optimal state (so long as all exchanges are done voluntarily).

  2. Thank you for making these videos, they are very helpful in my attempt to make sense of the social sciences!
    I do need some help in understanding what you mean by "the value of the system" though (e.g. 10:43). I reasonably assume it is the sum of the "value of the agents". But then I don't see the difference between exchange and cooperation: I buy an apple because it is worth more to me than its price, and the vendor sells it because he values the money more; so overall this exchange is no longer zero-sum, but adds value. Am I right?

  3. The concept of negative interdependence perhaps goes someway in explaining the inefficiencies of the US division of Government between the Judicial, Executive and Legislative branches.

    Perhaps a design based upon positive interdependence would produce better results?

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