This is true if companies are allowed to externalize costs. Down the line, however, someone's gotta pay the externalities. Usually the future generation. One can delay this, but it will catchup eventually. One manifestation is borrowing assets from an unrealizable future.
This is not to say local loops are externality free, but I conjecture they are more information-efficient and likely to get corrected quicker.
This is not to say local loops are externality free, but I conjecture they are more information-efficient and likely to get corrected quicker.