Von Mises, at least, almost acknowledged that prices had some problem.  Here is 
a 
paragraph from my Perverse Economy.

Von Mises and his followers were not merely targeting socialist planners, but 
also 
the early ecological economics tradition (O'Neill 2002, p. 157).  Mises 
attacked 
Neurath by insisting that planning could not possibly be efficient.  How could 
anybody compare alternatives without some unit of measurement, such as money?  
For 
Mises, in determining: 
  ##whether we shall use a waterfall to produce electricity or extend 
coal-mining and 
better utilize the energy contained in coal .... the processes of production 
are so 
many and so long, the condition necessary to the success of the undertaking so 
multitudinous, that we can never be content with vague ideas.  To decide 
whether an 
undertaking is sound we must calculate carefully.  [von Mises 1951, p. 114] 
  Von Mises admitted that in making the decision about the appropriate energy 
source, 
monetary measures leave out important considerations such as beauty or health, 
but he 
that:  "We can value them directly; and therefore have no difficulty in taking 
them 
into account, even though they are outside the sphere of money computations" 
(von 
Mises 1951, p. 166). 



-- 
Michael Perelman
Economics Department
California State University
Chico, CA 95929

Tel. 530-898-5321
E-Mail michael at ecst.csuchico.edu
michaelperelman.wordpress.com
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