1. Bad economists only look at the immediate pros and cons, while good economists look beyond
3. Bad economists only focus on the impact of some interest groups, good economists focus on the impact on all groups
4. Broken Window Fallacy: Destruction is the destruction of productivity rather than creation (destruction is nothing but a transfer of demand)
5. All government spending is ultimately paid by taxpayers, and inflation itself is just a form of taxation
6. Public works means increasing taxes. If the construction is not used, then it is an act of paying more than receiving
7. Excessive tax burden inhibits production
8. Government credit distorts production. If private credit can better control the non-performing rate, why should the government intervene?
9. Will the demobilization of the army lead to high unemployment?
In fact, a careful comparison will reveal that before the demobilization, the army did not provide any productivity and was consuming social wealth. After the army was demobilized, more people were put into production, and the overall productivity increased instead. Now, isn't that a good thing?
10. Tariffs do hinder trade and raise the price of everyone's purchases, but if there are no tariffs, domestic industry and commerce will be inhibited, and eventually everyone will be hurt, because human nature is greedy, when When countries lose their ability to negotiate reciprocally, the price will be ridiculously high.
11. Export Mania
What is the purpose of export ? It is the currency exchanged for import and export
, which cannot be used in the country, you can only import foreign things , clothing, residence. But his energy is limited, so he can only do some things first, and then do some things later, so he does one thing, and others will definitely be delayed . Now let's talk about modern society, how to solve the problem of where labor and capital are used ? The way is through the price system. The total amount of means of production is limited, and the reduction of production in a certain industry does not mean a reduction in production, but may only release resources to allow the expansion of other industries. And should let decaying industries die out to allow growing firms to expand13 . Each of us has multiple economic roles, and which policies a person supports depends on who he is thinking about.
14. Raising wages by promulgating minimum wage decrees will have bad consequences, because in fact, wages are a price, and we give the price of labor power a name that distinguishes it from the prices of other products. Commodity prices and labor prices are governed by the same principle
15. It is one of the delusions of the present age to believe that the guild will fundamentally increase the real wages of the entire industrial population in the long run. The reason for this idea is that the
guild can not realize that wages are fundamentally determined by productivity. The role is to improve local working conditions and ensure that labor wages tend to their maximum economic value
16. In an exchange economy, each person's monetary income is also someone else's cost. Rising hourly wages will increase product costs
17. The best price is not the highest price, but the price that stimulates maximum production and sales, and the best wage rate is not the highest wage rate, but the one that achieves full production, full employment, and lasting stability. Salary rate for maximum gross salary
18. Inflation is an unfair process. It will have different effects on different groups. The group that gets the new currency first will benefit the most, and it will decrease in turn
. 19. Not only should you see the direct result of a decision, Also see the follow-up impact, not only the impact on the part, but the impact on the whole
20. The sudden increase in public morality hurts not only those who cater to their vulgar tastes, but also those who have devoted their lives to improving the morale of society, and suffer even more, because fewer people confess before priests, and social reforms There is no more motivation at home, there is less need for police, lawyers
21. A parallel approach to productivity growth has never happened, only at different paces in different areas