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May 9, 2022Liked by Jamie McNeill

Claims made against the opaqueness of ESG as a corporate whitewashing are well-made. Very interesting point about Tesla, feels like people are missing the forest (widespread adoption of electric vehicles and finally making them 'trendy') from the trees (is Tesla hitting ESG metrics).

Some of the conjecture is a bit misplaced IMO, the most libertarian capital markets have been shown to spectacularly fail at fair and effective resource allocation in the presence of information asymmetries and natural monopolies (healthcare the best example), and the best argument against it seems to run afoul of the no-true-scotsman fallacy - "if only we had more liberalisation, we could finally escape the clutches of crony capitalism."

I think ESG and intervention has a role to play, if only because Austrian economics has yet to be tested in anger, and it would be an extremely dangerous game to play when, quite often, people's lives are on the line. Instead we should, IMO, focus on transparency and accountability, and iterating upon the current system to align it with meaningful outcomes, as opposed to throwing up our hands and giving up on well-intentioned initiatives.

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