Hayek's Idea of Information Use and Its Use in 21st Century Essay

Hayeks Idea of Information Use and Its Use in 21st one C - Essay ExampleThe essay Hayeks Idea of Information Use and Its Use in 21st vitamin C talks ab let out the Friedrich Hayeks views on information usage in the marketing atomic number 18a expressed in his article The Use of Knowledge in Society. check to Hayek, the more than decentralized the preservation is, the more variable the information is (spread throughout the society). In his own words, The marvel is that in a case corresponding that of a scarcity of one raw material, without an order being issued, without more than perhaps a handful of people knowing the cause, tens of thousands of people whose identity could not be ascertained by months of investigation, be do to use the material or its products more sparingly i.e., they move in the right direction.Hayek has pointed out the danger of tyranny that lies in a centrally planned economy resulting from the control of economic decision-making by the government. The public presentation of whatsoever market depends largely on the nature of the information that the economic agents interacting in that economy consume. According to Hayek, there are mainly two types of information that are available to an economic agent. In this article, Hayek also marked a difference between two categories of information or awareness. One is scientific or technical information and the other is the information about individuals capacities on the other. This make-up tries to relate these ideas to the 21st-century growth in information about individuals and their wants, needs, capacities and the making of new markets such as eBay.... The functioning of any market depends largely on the nature of the information that the economic agents interacting in that economy possess. According to Hayek, there are mainly two types of information that are available to an economic agent (Hayek, 1945). On the one hand there is the scientific information and the technical informati on. This is basically the abstractive information regarding any activity, link up to production or diffusion the goods and services or related to the allocation of scares resources. And the other is related to the information that an individual possess regarding his capacities on the other individual(s). The first type of information is basically of suppositious type. In this information an individual acquires information necessary to the make economic decisions, such as production, distribution etc. The other type of information relates to the practical exposure of all the theoretical information those are available to the individuals. These are basically the useful and realistic information (Hayek, 1945, p. 3). Types of information According to Hayek, all the theoretical information is related to the special section of the society that are related to the generation and the development of those theories. These individuals are responsible for the invention and the study of thos e theories. Again in other sense of the explanation of this information this manakin of information is not the aggregate of all available information. Rather this is the information of specific circumstances of specific time and place. In this respect it is said that every individual in any economy possess some unique information which give him some kind of advantage