Oops—I realized you may have intended a different meaning than I assumed, on a re-read.
Separately, my experience has been that many people think they can’t understand things when they can. The sense of hopelessness and powerlessness in a world that’s too complicated for them is out of proportion to how complicated the world actually is. I’m thinking of a specific example of a good friend of mine who is clearly smart enough she could do lots of things, and made a point of telling me in the recent past that my willingness to go out and try and do things was inspiring to her, and she asked if I thought she might be able to do similarly, and I was like “obviously yes, there is no actual barrier stopping you, anything I’ve done that you’re pointing at, you also could have done, possibly better than I did”.
I don’t think the powerlessness many people feel in the face of complexity is a result of them hitting an intellectual capacity ceiling after trying to understand a complex topic, recognizing they’ve hit their ceiling, and stopping. I think it’s often a case of thinking “this is too complicated for me” and not even trying. My best guess (just a guess) is that many people do feel like only people who are smarter than them can do certain things (like making laws, understanding computers, understanding what makes the economy go), when this isn’t actually true. Our society does seem to inculcate in its members the idea that certain things are only for super-smart people to do, and whoever you are, you are not smart enough to do an impactful thing. I also suspect this may be load-bearing, in that if everyone who could tried to push things in the direction they thought they should go instead of saying “that’s beyond my ability”, we’d have a more chaotic world.
Clarification: my position is that our current level of understanding of how the economy works can, for the most part, be grasped by most people with some effort, rather than being an impenetrable mystery. Not that everyone actually does understand the economy because it’s super easy, and certainly not that if they did we wouldn’t have economic problems. None of what I said is incompatible with what you said.
It would be nice if understanding how things worked automatically led to things working better, but this is not the case.
A simple example where understanding an underlying problem doesn’t solve the problem: I understand fairly well why I’m tempted to eat too many potato chips, and why this is bad for me, and what I could do instead. And yet, sometimes I still eat more potato chips than I intend.
A more complicated case: a few people making a lot of money, while most people’s lives get better due to specialization and trade (counting the world economy as a whole, not necessarily within a particular village, or country) is what one would predict given an understanding of how the economy works. There are of course many complications in the real world that aren’t captured in economic models, which often make simplifying assumptions like “people are rational”. In the real world, people do things like eat potato chips a nonzero number of times.