“Let us take a view of industry in general, as affected by this circumstance. The window being broken, the glazier’s trade is encouraged to the amount of six francs; this is that which is seen. If the window had not been broken, the shoemaker’s trade (or some other) would have been encouraged to the amount of six francs; this is that which is not seen. "
This week we will look at the broken window fallacy, and the continuing obsession with the public, and with public-facing economists, with the seen at the expense of the unseen.
Viewings
The logical conclusion: https://www.youtube.com/watch?v=JnX-D4kkPOQ
gotta give everybody a job: https://www.youtube.com/watch?v=KCrQu0VTUBs
The broken window fallacy – opportunity cost, explained: https://www.youtube.com/watch?v=HR2mxZX1B9w
Listenings
What is it good for? https://www.youtube.com/watch?v=dQHUAJTZqF0
Readings
Are wars good for the economy? https://www.thoughtco.com/are-wars-good-for-the-economy-1148174
Bastiat’s treatise on the seen and the unseen. http://bastiat.org/en/twisatwins.html