By James G. Wiles
Nothing is ever actually ceteris paribus. All the little economic variables are always moving and changing. The world's largest economy (ours) is all interconnected. Touch one gizmo, and you affect several other gizmos. All the little widgets talk to each other.
It's even more so with our even larger, globalized economy.
As the Heritage Foundation said in a recent debate over tax policy, "[s]mall decision changes create feedback effects that can snowball and change the path of the entire economy." And, in a globalized economy, corporations can -- over time -- simply take their assets and go elsewhere.
The most recent opinion-leader to fall into this trap of thinking statically, rather than dynamically, is Fox News's Bill O'Reilly.
Nothing is ever actually ceteris paribus. All the little economic variables are always moving and changing. The world's largest economy (ours) is all interconnected. Touch one gizmo, and you affect several other gizmos. All the little widgets talk to each other.
It's even more so with our even larger, globalized economy.
As the Heritage Foundation said in a recent debate over tax policy, "[s]mall decision changes create feedback effects that can snowball and change the path of the entire economy." And, in a globalized economy, corporations can -- over time -- simply take their assets and go elsewhere.
The most recent opinion-leader to fall into this trap of thinking statically, rather than dynamically, is Fox News's Bill O'Reilly.
No comments:
Post a Comment