The Answer Is Transaction Costs

Swollen Permits? Call Chile!

May 31, 2026·45 min
Episode Description from the Publisher

Send us Fan Mail Permits feel like “just paperwork”, until they quietly become the biggest barrier to building, investing, and even basic economic growth. We use Chile’s fight with “permisologia” to show how bureaucracy creates delay, uncertainty, and political risk even when the stated goal is safety or environmental protection. • permits as transaction costs that quietly tax projects and entrepreneurship • why bureaucracy is not the same thing as government and why it crowds out...

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