Economics Quote by Annalee Newitz
““As UC Berkeley economics professor Brad DeLong put it to me: You get famine if the price of food spikes far beyond that of some people's means. This can be because food is short, objectively. This can be because the rich have bid the resources normally used to produce food away to other uses. You also get famine when the price of food is moderate if the incomes of large groups collapse… In all of this, the lesson is that a properly functioning market does not seek to advance human happiness but rather to advance human wealth. What speaks in the market is money: purchasing power. If you have no money, you have no voice in the market. The market acts as if it does not know you exist and does not care whether you live or die. DeLong describes a marketplace that leaves people to die - not out of malice , but out of indifference.””
About This Quote
Source Interview: The Atlantic, “The Economics of Famine”, 2020
Markets allocate resources based on purchasing power, not need, so when people lack money they are ignored, leading to famine even without scarcity.
In simple terms: Markets favor wealth over wellbeing; without money, people have no voice.
Key Takeaway
Ensure basic needs are met regardless of market power.
Themes
economics
inequality
food security
market failure
Mood
concerned
critical
Type
analytical
political
When to use this quote
- policy design
- food aid programs
- minimum income guarantees
- community food banks
Key Concepts
Purchasing power
indifference
resource allocation
Questions to Reflect On
- How can societies protect the vulnerable when markets ignore them?
- What policies can give the poor a stronger market voice?
A Different Perspective
Markets cannot solve scarcity without addressing power imbalances.