Why Political Parties Bargain

While reading Abundance: The Future is Better Than You Think, I came across an interesting passage I’d like to share and comment on.

Indeed, it has the beautiful property that it does not even need to be fair. For barter to work, two individuals do not need to offer things of equal value. Trade is often unequal but it still benefits both sides.

Of equal value to whom? Not everyone likes to sew or fish. Both parties to the bargain feel that they got a good deal. Personally I would rather fish than sew. You also discover your talents along the way – now there is something that is equal!

What do you think?

-MD

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