Jed Kim: Do you think it is possible that society and our economy would break down over these sustainability issues? There’s something unsexy about the price system, but it plays a very crucial role in allocating scarce resources - in this case, energy. But when we can use market prices, they signal scarcity. When the rule of law breaks down, it’s very difficult to use market prices. I remember physical violence and lots of Mel Gibson jumping on top of fast-moving vehicles. I don’t remember judges I don’t remember police.
Matthew Kahn: A very interesting issue is property rights in that movie. The following is an edited transcript of their conversation. “Marketplace’s” Jed Kim spoke with Matthew Kahn, an economist at Johns Hopkins University, about the energy technology and economics on display in “Mad Max.” He said that for him, the movie shows how free markets falter in a post-apocalyptic world. The main energy source is methane from … pig feces. You might remember the crazy cars, the eponymous Thunderdome - basically Cirque du Soleil with chainsaws. Mel Gibson and Tina Turner battled in a post-apocalyptic wasteland. In 1985, “Mad Max Beyond Thunderdome” hit the big screen.
And for “Marketplace Tech,” it means an occasional look at sci-fi movies and their visions of the future. It’s summer, and that means blockbusters.
