Economic Myth and Nonsense

In the last post we looked at a bit of the nonsense at the World Economic Forum. Liberals tend to believe anything that portrays America in a bad light. But it is surprising how many economic myths and nonsense are believed by smart and logical people. Even among the educationally elite Starbucks group, those folks who solve world problems on a daily basis, there are some who frequently surprise me with their beliefs on economic matters.

Thus I have decided to address several blog posts to the subject of economic myths. The reference materials, for those who would like to check my facts or learn more, include the following books:

The Progress Paradox by Greg Easterbrook

Rational Exuberance by Michael Mandel

How Capitalism Saved America by Thomas DiLorenzo

Myths of Rich and Poor by W. Michael Cox and Richard Alm.

A few of the myths that seem to be commonly believed include the following:

1. American’s living standards have been falling since the 1970s.

2. The rich are getting richer and the poor are getting poorer.

3. The current generation of children may be the first in history not to live as well as their parents.

4. As we outsource our high paying manufacturing jobs, Americans are left with inferior service jobs.

5. The United States economy has been passed up by the European Union and Japan, with China and India in close pursuit.

In a few posts I will show that these foreboding statements and many others like them are spectacularly wrong, they’re the “myths of our times: the myths of rich and poor.”