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Brooks Wilson's Economics Blog: Sowell on Greed

Thursday, November 3, 2011

Sowell on Greed

Economics teaches that self-interest is a great motivator and, within a market setting, is good for society.  Thomas Sowell provides good argument on the insignificance of greed within markets (Democracy Versus Mob Rule).  The mob he refers to are the occupiers but the sloppy use of “greed” is pervasive.

Among the favorite sloppy words used by the shrill mobs in the streets is "Wall Street greed." But even if you think people in Wall Street, or anywhere else, are making more money than they deserve, "greed" is no explanation whatever.

"Greed" says how much you want. But you can become the greediest person on earth and that will not increase your pay in the slightest. It is what other people pay you that increases your income.

1 comment:

  1. The occupy movement does no good, all it does is create more problems than it will solve. The occupy movement says that it wall street and big business greed when its wall street and big business that create a lot of jobs and pays taxes that allows them to sit in the park and hold signs while they are wasting the police and city's time costing us more that the food stamps that the big business and tax payers are paying for.