Terence Corcoran: Shattered windows and the broken economy fallacy

the original broken window parable,

The broken window fallacy in such thinking, if I can presume to condense Bastiat, is that the real cost of breaking windows is ignored. The window repair company will make $2,000 from the repair costs and the new spending will be incorporated into GDP as a source of growth. Missing in that summary is the fact that the shop owner has lost $2,000 and has nothing to show for it.

. “If you are making investments, coming up with new technologies, changing the way you do business, all in service of reducing and eliminating that threat, you are creating value.”Article content

Finance Finance Latest News, Finance Finance Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

TSX today: Index edges lower as energy and base metals fall - BNN BloombergCanada's main stock index edged lower in afternoon trading, weighed down by losses in the energy and base metal sectors, while U.S. stock markets climbed higher to start the week.
Source: BNNBloomberg - 🏆 83. / 50 Read more »

S&P/TSX composite edges lower as energy and base metals fall, U.S. stocks up | Globalnews.caS&P/TSX composite edges lower as energy and base metals fall, U.S. stocks up
Source: GlobalNational - 🏆 81. / 51 Read more »