Monday, June 4, 2018

Supply and demand and the broken window fallacy

https://www.historylearningsite.co.uk/modern-world-history-1918-to-1980/america-1918-1939/farmers-and-the-new-deal/or

Producing less can increase the cost of each item with supply and demand theory

Although people had enough food to eat since they were tricked or coerced into using money people destroyed crops for more state issued money paid by the state

This may create the illusion of helping both the farmers who got paid money to destroy their crops and the farmers who got paid more for their crops due to artificial scarcity but it actually helps people no more than destroying a window to create a job

Job creation programs are inherently bad because extra unnecessary work hours can only be formed by creating problems that did not exist before

Extra necessary work hours will be done for survival or improvement of standard of living with or without pay incentive unless a mental barrier is created that the task is physically impossible to do without money which simply can not be true as money is used to persuade people to do tasks not as a material required to create something like making a sandwich or house out of one dollar bills, nor are one dollar bills designed as a optimal fuel to transfer energy in order to complete a task even though they can burn.

Money can be an incentive not to do useful work and to waste time doing unnecessary work however if you are coerced or deceived into using money through state fees.

https://en.m.wikipedia.org/wiki/Parable_of_the_broken_window


http://web.archive.org/web/20180604213800/https://en.m.wikipedia.org/wiki/Parable_of_the_broken_window


The broken window fallacy



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