Is democracy flawed?

Depends on who you ask and how they perceive the economic incentives and disincentives it creates.

The reality is that no matter what economic regime you are a part of (e.g. free market, Communist, hybrid, etc.) the scarcity of resources are a reality. There will always not be enough gold, Mercedes, mansions, etc. for everyone to enjoy. Even if the government of Canada stands at the street corner and gives away gold bars, someone is paying for that.

Even though the less fortunate love the the idea of rent control of rental apartments, the reality is that it results in hoarding (couples keeping two bedroom suites that they don’t need), poorer quality housing (when there is less money to be made via a controlled top line), less supply of housing (because profit margins have been squeezed), longer tenancies (New York, which has been one of the most heavily rent controlled cities in the United States experiences rentals terms that are double that of the National average!). We can go on and on about free healthcare, tobacco use, subsidized corn, subsidized water for farmers, etc., but they all have one these in common: the breeding of inefficiencies.

Bottom line is that governments has tonnes of smart economists that know this stuff and iterate them on a daily basis, but politicians don’t have an incentive to look out of long term success, they are out to win the next elections. Sorry Kathleen Wynne, we know you tired.

Hadi is Honours civil of engineering graduate with solid project management experience in the construction industry. Solutions-focused, results-oriented with strong business acumen and entrepreneurial spirit. Currently, he is working as an assistant site-superintendant with Darcon Inc. at one of Vaughan's biggest developments, Centro Square.

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