I did spend a large part of the tutorial arguing that lowering exit costs would be almost enough to increase accountability of firms to the point that they can not act arbitrarily, otherwise they would lose their workers. After reading Anderson's response to Cowen, my thoughts have developed a little bit more. Anderson's response to Cowen's argument surrounding lowering exit costs argues that lowering exit costs doesn't matter if there is nowhere to exit to (141). I think there is an argument to go a step further, that even when there is a place to exit to, quitting and/or being fired arbitrarily is suboptimal for everyone. Take the current Administration's revoking of students' statuses as Anderson's exile analogy of being fired. I'm choosing to focus on students because they often have low costs of exit, they (often) aren't in the country with refugee or other asylum status, can pivot and get an education somewhere else, and are leaving their frie...
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