Welcome to Econ Talk, part of the Library of Economics and Liberty. I'm your host Russ Roberts

of George Mason University and Stanford University's Hoover Institution. Our website is econtalk.org

where you can subscribe, find other episodes, comment on this podcast, and find links to

another information related to today's conversation. Our email address is mail at econtalk.org. We'd

love to hear from you. Before I introduce this week's guest, I want to thank everyone

for all the feedback I received on the podcast with Arnold Kling. I apologize, I can't answer

everyone personally, but be assured that I read every single one and I really appreciate

the feedback and that goes for all the feedback you send. A number of people wanted to know

why we don't do more timely stuff. I think people like the fact that that was on a timely

topic. There are a variety of reasons. One of which is this is a fairly slim operation and

to tape a few, something even a few weeks in advance, often even a week in advance, and

then edit and change it is very costly. We're not like a major radio show here in terms

of resources, technological and engineering resources anyway. That's one of the reasons

we don't do more timely stuff, but when we have a chance, as we did on that post script

to the Kling podcast, I think it's imperative that we do it. I guess today is Clay Shurkey,

author of Here Comes Everybody, the power of organizing without organizations. Clay, welcome

to econtalk. Thanks so much for having me. Your book is a fascinating look at the role

of technology and allowing spontaneous organizations to emerge, particularly using the internet. I'd

like to start with the basic economics of organizations that you described so well in the book. Why

do organizations emerge and what stops them from emerging? Well, you know, the famous

example, however, the famous observation about those coasts from the 1930s, which is organizations

exist to lower transaction costs. The question coasts ask themselves, was it markets are such a good

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