Disasters as stimulus and the broken-window fallacy

August 4, 2010

Via Cubachi, here’s a good video that explains why government spending in the face of a crisis, such as war or economic panic, while perhaps necessary, is not the wealth-creator that Keynesian economists claim it is:

(Crossposted at Sister Toldjah)

Why disasters do not spur economic growth

April 1, 2010

This video presents a good explanation of Bastiat’s “broken window”  parable:

(via International Liberty)