Sunday, August 8, 2010

The Broken Window Fallacy



I thought this was a timely video, given the preponderance of "broken window" type of thinking in the halls of Capital Hill.

3 comments:

  1. The "Broken Window Fallacy" is the first chapter of "Economics in One Lesson" by Hazlitt. It's online at http://www.fee.org/pdf/books/Economics_in_one_lesson.pdf
    Should be required reading by every citizen. It's the foundation for economic knowledge.
    Great post!

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  2. David Wasilewski said.........................

    I concur with blog post and above comment. "People ignore what is unseen." Ain't that the truth.

    PS I knew Paul Krugman was a doucebag (please pardon my French) but sheesh talk about ignorant comments.

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  3. I could see how tearing down an old factory or other building that was no longer in production use would be a positive thing for the economy as whole, but the Krugman quotes at the beginning of this video are astonishing. I don't know how this guy won the Nobel Prize in Economics. I read his columns in the NYT and just shake my head in disbelief.

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