One of the weird things you see in illicit drug markets,  is the intolerance for a specific form of fraud. Just about anything goes in the drug game, except for fake drugs. If a dealer gets caught passing off baby laxative as cocaine, he is going to be dead. It is not just that he ripped off his customers. It’s that he cheats his fellow drug dealers. The guy selling fake stuff raises everyone’s costs and risks. The faker gives everyone a bad name.

It is one of those truth about the marketplace that everyone just accepts. No matter how rough the trade, every deal is based on trust. It’s why pawn shops willingly cooperate with the police to counter theft for similar reasons. Their customers are not going to solicit a business that supports burglary. Antique dealers try to uncover fakes as it undercuts their business. Why spend big money on an original when you can get a fake?

None of these measures stop the fakers, of course, but part of every organic market is an organic mechanism to police the market. Counter-intuitively, highly distributed markets can do this better than centralized markets. It’s why industries like music and movies lobby the state to crack down on forgers. Unlike the drug dealer, the record company cannot kill a downloader. Hollywood cannot go around breaking skull in movie theaters when they catch a guy pirating a film. They turn to government for that.

There is a vast middle ground where most of us live and that’s where fakers can cause the most trouble. For example, a site like National Review will post something like this in their article queue. It is not an article, but an advertisement dressed up to look like an article. National Review agrees to place ads like this in their article queue in order to trick people into clicking on the link, thinking it is legitimate content.

Magazines now have multi-page advertisements made up to look just like one of their normal stories. Even more strange is the ad in question here is itself full of fake stuff. The whole xenoestrogen stuff is largely nonsense, at least as it relates to organic food. Plants have all sorts of tricks to ward off pests. That’s just one of the many ways life has evolved over millions of years. Calling something organic has come to mean “good” and in morally good, but it is important to remember that cobras are organic too.

Putting that aside, this is deception. it is just as much a forgery as the guy printing fame art or selling fake drugs. The market place for ideas is a marketplace like the drug trade or the art trade. It relied on the participants acting in good faith and maintaining a high level of intolerance for fraud. When the creators of the market for conservative ideas are embracing wholesale fakery, it calls their integrity into question.  In the case of conservatives, it simply confirms what everyone has suspected for a long time.

It does not stop there. According to this story in the Economist, academic papers are also being forged. The market for fake term papers is well developed. Even before the internet, there was a market for term papers, and essays among undergraduates. Today, the internet makes it a thriving market, so colleges now employ software to combat it. You can probably outsource your thesis if you are so inclined. Since few of them are every read, who’s going to notice if your thesis is mostly recycled from prior work?

To no one’s surprise, the epicenter of this new fraud is China. There’s always been an embrace of banditry among the Chinese.  We get the term “sand bag” from China. In the colonial days, Chinese tea merchants would put sandbags at the bottom of casks to defraud the British. It is a bandit culture with no history of integrity. There are companies that have to use special coding on their boxes to distinguish their product from the fakes, as the Chinese will fake even the most mundane things.

Like the fake news story, fake research has a terrible trade off. If no one can tell the real stories in a magazine from the ads, people stop buying the magazine. If we can no longer distinguish real research from fake stuff from China, we no longer do research because no one can trust it. This is the great challenge to the West posed by China. If they are to remain a part of the developed world, they have to play by Western rules regarding fraud and theft. If they can’t do that, then they have to be isolated and excluded.

That’s not so easy when China can offer Western counties access to a billion cheap workers and unlimited ecological degradation. Making batteries in China is cheaper than making them in California, because the Chinese government does not care if the workers die and the land is poisoned. The battery maker is willing to tolerate some theft, but can the rest of us tolerate it?  Is that a good trade? What’s good for business is not always what’s good for society. Otherwise, we would still have slavery.