Baetjer illustrates the harmful effects of economic regulations and argues that we ought to instead prefer economic liberty.

Baetjer argues that the incentives inherent in market institutions outperform the incentives inherent in state institutions in getting people to properly consider the well-being of others when they act.

The trial-and-error based profit and loss mechanism, says Baetjer, is an indispensable tool for guiding discovery and innovation in the economy.