1214 PONTIFICIAE ACADEMIAE SCIENTIARVM SCRIPTA VARIA - 28
on the extent to which they restrict economic freedom. Thus one can
compare only states of the economy that can be attained by instru-
ments that are similar in their social impacts and this implies that
constraints have to be brought into the picture from the outset for
they describe the states that can be attained by means of a limited set
of economic instruments.
KooPMANS
I am approaching my comment here in the same vein as Prof.
DORFMAN. I am not addressing myself to the question whether so-
ciety is or should be moving in the direction that Prof. FriscH’s
paper indicates. Rather, for the purposes of the discussion, I am
accepting his assumption that this is the direction, and speaking
more technically to the point whether the particular layout and
scheme of Prof. FriscH’s ideas is efficiently designed to achieve the
purpose that he has in mind. I have really only two points that I
would like to raise in this connection. One concerns the very strict
separation of the determination of structure from the determination of
preference. On this point I find my thinking to be somewhat related
to that of Prof. ArLAIS. It would seem to me that the policy maker
who is being interviewed in order to obtain a representation of his
preferences will be neither able nor willing to be too specific about
these preferences as long as he does not know what the implications
of his indications are. He is likely to be pragmatic — not only a
man who thinks abstractly about his own preferences. To stay in
his position he must respond to pressures and perhaps even threats
in order to be effective over a period of time. Even a man of great
wisdom would still have to be aware of what he is expected to do
by a number of groups who have ways of making their desires effec-
tive. Therefore if he is presented by an econometrician with
questions « what are your preferences » or « what is the form in
which you would mould what you regard to be the preferences that
should guide this planning », he may feel that he is being tricked
even though without such intent. He is not an econometrician, and
17] Frisch - pag. 18