Why they didn't sign the Stimulus (Pork) Package. Nancy Pelosi, nota bene!

[dm1333]

You're absolutely correct.  I have been tuning out the news because I'm sick of the 24/7 gloom and doom.  It wouldn't surprise me if the suicide rate is going up just from people watching this on the news all day long.

[seeker_two]

Not to play devil's advocate, but that $88 million to design a polar icebreaker...

How many jobs does that generate compared to the same $88 million injected into a different employment infrastructure?

I guess it depends on if we have American industry build it or buy it from another country--like usual..... 

[Nick1911]

Broken Window Fallacy

Edit: Also, if you haven't read the book this is excerpted from, please do, it's excellent.

I think this is in the public domain.

As such; Economics in One Lesson

I've only read the preface so far; but it seems that it's just as applicable today as it was in 1931.

(ETA: Fixed broken link)

[makattak]

I think this is in the public domain.

As such; Economics in One Lesson

I've only read the preface so far; but it seems that it's just as applicable today as it was in 1931.

Please continue it.

He uses examples from the 40's, but the reasoning is still perfect.

It's the best example of basic economic reasoning: Look beyond what is seen. <read the book for a fuller explanation, Hazlitt is a far better writer than I>

[Perd Hapley]

The first book I ever read on economics.  If I remember right, the One Lesson was essentially, look at the big picture.  As in the broken window fallacy above.

Makattak, I wonder if you have any advice for someone teaching himself economics.  I read Sowell's Basic Economics.  I'm in the middle of a book by some guy named Heilbroner right now.  I'll of course read the Hayek and Von Mises stuff, eventually, and I also have an econ textbook.  Any recommendations? 

[makattak]

The first book I ever read on economics.  If I remember right, the One Lesson was essentially, look at the big picture.  As in the broken window fallacy above.

Makattak, I wonder if you have any advice for someone teaching himself economics.  I read Sowell's Basic Economics.  I'm in the middle of a book by some guy named Heilbroner right now.  I'll of course read the Hayek and Von Mises stuff, eventually, and I also have an econ textbook.  Any recommendations? 

I'd honestly never heard of Dr. Heilbroner until I read your post. Interesting man, worked in the price control bureaucracy with Galbraith.

Obviously I cannot judge the value of his work, but judging from the titles, he at least should have a wide breadth of knowledge.

Sowell is generally very lucid. Walter Williams writes even better (about economic issues).

Hayek and Von Mises are very good, but Mises is, at times, very dense. Most people think Mises is the deeper thinker as a result.

I tend to think Hayek is the smarter of the two as well as the better communicator. I'd start with Hayek, in any case.

I'd like to suggest that you read Adam Smith's "The Wealth of Nations" but that is a tome.  There are some very important passages, though: Division of Labor, Gains from Specialization, Effects of Trade, inter alia.

I'll need some time to put together what I would think are the basics- I'll look through my library (ok, a couple of bookshelves) and see what I think are "essential".

[Headless Thompson Gunner]

I'll need some time to put together what I would think are the basics- I'll look through my library (ok, a couple of bookshelves) and see what I think are "essential".

Please do.  I, too, would like to add some new items to my reading list.

[MicroBalrog]

I think you should consider Free to Choose and Capitalism and Freedom. While both Friedman and Hayek are classical-liberal economists, they differ on many key points.

[roo_ster]

I'd like to suggest that you read Adam Smith's "The Wealth of Nations" but that is a tome.  There are some very important passages, though: Division of Labor, Gains from Specialization, Effects of Trade, inter alia.

[princess_bride]...Ha ha! You fool! You fell victim to one of the classic blunders! The most famous is never get involved in a land war in Asia, but only slightly less well-known is this: never go in against a Sicilian when death is on the line! Ha ha ha ha ha ha ha! Ha ha ha ha ha ha ha! Ha ha ha...[/princess_bride]

You fell victim to one of the classic libertarian blunders! The most famous is never donning a wookiee suit outside a comic/sci-fi con, but only slightly less well-known is this: never jump into Adam Smith's Wealth of Nations before reading his Theory of Moral Sentiments. 

TMS was written before WON and provides and explanation of the moral underpinnings necessary for WON to be valid.

TMS also gives doctrinaire libertarians & min/whatever-anarchist types the heebie-jeebies.

Unfortunately, when Smith wrote on a topic, "brevity" was not his object, as TMS is yet another tome.

[Perd Hapley]

I'd honestly never heard of Dr. Heilbroner until I read your post. Interesting man, worked in the price control bureaucracy with Galbraith.

Obviously I cannot judge the value of his work, but judging from the titles, he at least should have a wide breadth of knowledge.

I didn't anything about him, either.  I'm reading a book he co-authored called Economics Explained.  I got it at a bookstore, when I was just looking for something basic, not intentionally ideological, and not overly-long.  Ya know, just so I'm not getting all of my instruction from the same perspective. 

[makattak]

[princess_bride]...Ha ha! You fool! You fell victim to one of the classic blunders! The most famous is never get involved in a land war in Asia, but only slightly less well-known is this: never go in against a Sicilian when death is on the line! Ha ha ha ha ha ha ha! Ha ha ha ha ha ha ha! Ha ha ha...[/princess_bride]

You fell victim to one of the classic libertarian blunders! The most famous is never donning a wookiee suit outside a comic/sci-fi con, but only slightly less well-known is this: never jump into Adam Smith's Wealth of Nations before reading his Theory of Moral Sentiments. 

TMS was written before WON and provides and explanation of the moral underpinnings necessary for WON to be valid.

TMS also gives doctrinaire libertarians & min/whatever-anarchist types the heebie-jeebies.

Unfortunately, when Smith wrote on a topic, "brevity" was not his object, as TMS is yet another tome.

Actually, I enjoy that tome as well. That may be because I'm not a "pure" libertarian either.

Probably explains my preference for Hayek as well. (Referring to Micro's post about Friedman and Hayek's differences)

[Rudy Kohn]

*furiously scribbles down authors and book titles*

I've been going through Rothbard's "Man, Economy and State," which seems pretty good so far, but I admit that I'm a neophyte, so my judgement is totally inexperienced.  Also, I'm not very far into it.  I definitely need to read some Smith, and Sowell, too.
It was on your recommendation, makattak, that I read "The Fatal Conceit," and found it really engaging, if a bit tough to follow at times.

Looks like it's time for another trip to the University library!

[MicroBalrog]

Don't forget the 'Anti-Capitalist Mentality' and 'Theory and History' while you're there. *smirks*

[Rudy Kohn]

I... uh... actually already borrowed the first one... but I haven't read it yet... *self-deprecating grin*
Are you suggesting I should read more Friedman and less Rothbard?

Edit:  Oh, those are Mises.  Added.

[makattak]

Makattak, I wonder if you have any advice for someone teaching himself economics.  I read Sowell's Basic Economics.  I'm in the middle of a book by some guy named Heilbroner right now.  I'll of course read the Hayek and Von Mises stuff, eventually, and I also have an econ textbook.  Any recommendations? 

Alright, it took a while because I discovered I have very few modern books in my library and telling you to read this chapter of The Wealth of Nations and that chapter of Principles of Political Economy and Taxation are perhaps not the best way.

However, two really good starting places (AFTER Economics in One Lesson) are:

The Armchair Economist by Steven Landsburg (I don't agree with all he says, but he usually has good economic reasoning).

The Myth of the Robber Barons by Burton W. Folsom, Jr. This is very good for illustrating the importance of entrepreneurs.

Lastly, Capitalism, Democracy and Ralph's Pretty Good Grocery by John Mueller is higher level economics: The importance of the rules of the game (called Institutional Economics).

Less important, but you can find all the little formulas for profit, demand, supply, et al. in nearly any Economics textbook. Those are more nuts and bolts and less how people funtction.

There, at least something good came out of being home sick today.