Wednesday, March 20, 2019

What's at stake in an economy,

George Osborne, a British politician said it best :

George Osborne 
"There are those who are trying to create an anti-business culture in Britain - and we have to stop them. At stake are not pay packages for a few but jobs and prosperity for the many." 
                                                        
                     Remember what's at stake!

Where are the jobs?

In a good economy and in a bad economy people seldom think about all the jobs that do exist. If you are in a restaurant and asked to name some jobs around town, you probably would say the waiters, cooks, and janitors. Those jobs can be seen right inside the restaurant and so they are known about.
But wait until you go to grab a straw and some napkins , do you think about jobs then? No. Yet a truck driver has a job to bring those straws and napkins to the restaurant. Also if a oven or refrigerator breaks, a repair man is called to fix it and his job also exists.

In Capitalism there is the seen and unseen. In the restaurant the customers benefit from customer service that can be seen as well as deliveries made to the restaurant that the customer doesn't see.
And the beauty of Capitalism is that all those things happen without a single person or politician knowing how to make a perfect restaurant . Because under Capitalism the truck driver wants money so he delivers utensils to the restaurant, the server needs money so he goes to work there, and the janitor wants to make money so he shows up to clean the place.

In their quest for capital (money) they all make the restaurant run smoothly with no instruction from a Government bureaucrat. Think about that, it's fun learning Capitalism.

Saturday, March 09, 2019

A lesson in wealth

Let's say a child with wealthy parents has expensive toys like an iPad, a new laptop, and a big screen TV. And lets say a child with parents who aren't wealthy has inexpensive toys like dolls, toy cars, and a coloring book.
Now, switch the toys. Now the poor child has expensive toys. Will he become rich now? Will he be able to purchase expensive things from now on? No. Why? Because the rich child already had wealth in his family and the expensive gifts were just symptoms of that wealth. Because the parents created wealth, they were able to enjoy pleasing their child with nice gifts.
We have politicians today that want to use symptoms of wealth (Like expensive schools, nice housing, and nice cell phones) to help the poor become wealthy. And just like the child who is poor, people are given things that are symptoms of wealth but not wealth itself. So we can expect that many of those people who receive those goodies wont be lifted out of poverty.

Sunday, February 24, 2019

Can cost exist without our money?

 Did you know when we have a steady supply of money as well as times when bad luck takes all our money, we STILL have costs. And every night and every day we will continue to pay costs even if we lose every penny of our money. This life gives us time for productive work as well as time for leisure and in both cases you are paying costs.

So how do we pay costs every day? With decision making. Right now you are paying a cost for reading this blog. The cost is whatever you could be doing instead of reading the blog. Because you are sacrificing that other activity in order to read this blog. So to see economics teach you something about life, go into each day reminding yourself of the costs you are willing to pay with your decision making and you'll begin to think about economics more often and how fun it is to learn!

Wednesday, February 20, 2019

I'm still here folks,

Hey everyone and if you have chosen to wait on me all this time I thank you. I had so much occur in my life in the last 10 years that I lost my passion for teaching Capitalism. But I am going to start again on this blog and working on a podcast too that you can listen to on this website. Let us do this together and learn in interesting ways how fun economics 101 is!

Thursday, May 21, 2015

Prosperity is not free,

The Anti-Capitalists believe Capitalism prevents prosperity. But what they fail to understand is that prosperity is not free; it takes work to create it. And if you limit freedom that Capitalist businesses have over their own money, they will not participate in losing that freedom by creating businesses for the Government to put limits on. And when those businesses are never created, the jobs that they would have provided are ALSO not created. With a lack of creation, comes a lack of prosperity.

Wednesday, December 05, 2012

If they only knew...

A person who says they're Socialist is fooling himself. He thinks like a Capitalist when his mind isn't alert; here's an interesting example:

A murderer can kill someone by forcing a spoon down their throat just as sure as he can murder them with a gun. But why don't we hear on the news about "spoon chokers" instead of "shooters" and "bombers"?
The answer's simple: Too much time, strength, and risk (of escaping the police) is involved in choking someone with a spoon. Pulling a trigger that sends a bullet through a victim's heart is certain to kill fast, allow time for escape, and makes the murderer accomplish his job faster.
Thus I leave you with this: How many Socialists ever spend time dumbfounded as to why the evening news isn't telling us every night about the latest "spoon choker"? ZERO! They KNOW that to "increase your costs" (like the spoon choker) and thus ensure failure to accomplish your job is stupid. If only Socialists realized that, they agree with Capitalism when they're not aware of it...

Thursday, October 11, 2012

That's the Way the Ball Bounces

If you ever threw a basketball into a basketball goal or a wad of paper into a trash can, you've learned an easy concept. The CLOSER you are to the goal, the EASIER it is to hit your target. The basketball has value in the game but without hitting the basket there is no need in it's value. If you are VERY FAR from the goal having the ball is not much of an advantage.
Government handouts sometimes give money to people who's minds are FAR AWAY from understanding how to invest the money, save it, or use it wisely. So the government check they receive isn't really giving them an advantage. Its like giving a player the basketball while he is far away from the goal.