I find this physics problem / psychological problem distinction totally unconvincing. The variety of scientific advancement that makes peoples' lives better has always required the joint effort of pure scientists solving physics problems, and business-types/political-types solving psychological problems. Communists love to point out that the internet grew out of the government program ARPANET; they are less inclined to acknowledge that it ran on machines built by IBM and DEC - giant companies who were beholden to market forces and shareholder pressures.
The idea that we can take a system like western capitalism and then just uniformly distribute the profits is self-undermining. The system as it is is what generated the wealth, and if you completely change the system you can't assume it will continue to have the same dynamics. You don't need to be Robert Lucas to see this.
Utopianism is just a form of intellectual laziness that further entrenches the status quo.
The idea that we can take a system like western capitalism and then just uniformly distribute the profits is self-undermining. The system as it is is what generated the wealth, and if you completely change the system you can't assume it will continue to have the same dynamics. You don't need to be Robert Lucas to see this.
Utopianism is just a form of intellectual laziness that further entrenches the status quo.