Sunday, December 25, 2005

Bits of Economic Wisdom

From yesterday's edition of the local rag:
Race for oil heats up
Fueled by big profits, companies expand their search.
The reference to "profits" is meant pejoratively, no doubt. But what the heck, at least they got it right: the quest for profits leads to investment, which leads to greater output, which means higher real incomes and more jobs.

Meanwhile, Maverick Philosopher observes:
In this season especially we ought to find a kind word to say about the much maligned Ebeneezer Scrooge. Here's mine: Without Scrooge, that bum Cratchit wouldn't have a job!

Econbrowser offers this observation:
[H]ourly traffic count data compiled by the Federal Highway Administration suggest that the August gas price increases held U.S. highway travel in August 2005 to the same level as in the corresponding month of 2004, while the September price spikes led to a significant drop in car travel. . . .
Cafe Hayek weighs in with this:
. . . People want freedom not just to do great and momentous things. Mostly, they want freedom to pursue their everyday pleasures and dreams and interests as they wish without interference from others. . . .

Ain't it great that Frank Perdue cared about the water his chickens drank? Ain't it great that he bred a new breed of chicken? Sure, he did all this to make money for himself. But so what? His means of making money inspired him to care deeply about what the typical chicken eater likes and dislikes about chicken.

Why is it that so many people admire the likes of FDR and LBJ who uttered fine phrases but whose ideas of helping people never went beyond stealing from some, showering part of the booty on others, and bureaucratically regulating everyone?

Amen to all of that.

For related posts, go here and follow the links.