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Lecture 2 of 3 · Economic Policy

What is the incentive problem under socialism?

Murray N. Rothbard · 0:49 · Recorded 13 July 2009

What is the incentive problem under socialism? by Murray N. Rothbard is a free audio lecture (0:49) at freecapitalists.org, recorded 13 July 2009, part of the 3-lecture series Economic Policy.

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0:00Everybody realizes then and now, by the way, that socialism has an incentive problem. That's clear to everybody. In other words, even socialists will admit this. Yes, yes, we have an incentive problem. The incentive problem is summed up in the famous motto, under socialism, who will take out the garbage? You can't use economic incentive under socialism because either incomes are equal or else they're set by some government authority. The good communists get higher incomes. Whatever it is, it's certainly not set by marginal productivity. So who's going to go to Siberia and who's going to carry out the garbage? Well, the socialist traditional answer is, of course, moral incentive. In other words, people will, or the creation of the school, the new socialist man. Everybody will be molded by socialist government to become totally altruistic and love the collective and do everything for the collective. In other words, slave labor will carry out the garbage.

Part of a series

Economic Policy

3 lectures, 0 hours, recorded 2009. See the full series or subscribe by RSS.

Speakers: Murray N. Rothbard.

Recording date and topics for this lecture come from the Mises Institute's page for What is the incentive problem under socialism?, checked 2026-07-23.

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Can I listen to What is the incentive problem under socialism? free?
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How long is What is the incentive problem under socialism??
The recording runs 0:49.
Who gave the lecture What is the incentive problem under socialism??
Murray N. Rothbard delivered it, in the series Economic Policy.
When was What is the incentive problem under socialism? recorded?
It was recorded 13 July 2009.
What series is What is the incentive problem under socialism? part of?
It is lecture 2 of 3 in Economic Policy, which is free to stream or download in full.