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View Full Version : How to solve the world economic situation


Colin
May 20th, 2009, 12:08 PM
LESSON IN ECONOMY

This occurs in a very small village which normally relies on tourism, except that because of the economic crisis it there are no tourists. Everyone borrows from everyone to survive. Several months pass. Finally a tourist arrives to rent a room. He pays for it with a 100$ bill. The tourist is at once escorted to his room. The hotel owner hurries to the butcher shop where he owes one hundred dollars. At once, the butcher takes the 100$ bill to the farmer who supplies the meat. The farmer in turn, hurries to go to a hooker to pay his debt for past services rendered. The hooker closed the loop by going to the hotel to pay for a room that she rents by the hour. As she puts the 100$ note on the counter, the tourist who had just rented the room said he was not happy with it. He picks up his money and leaves. Nothing was spent, nor gained. Nevertheless nobody in the village has debts. Is this not the way we are solving the world-wide crisis?

XanaduRanch
May 21st, 2009, 08:12 PM
An economics professor at a local college made a statement that he had never failed a single student, but had once failed an entire class. That class had insisted that socialism worked; that no one would be poor, and no one would be rich, a great equalizer.

The professor then said, "OK, we will have an experiment in this class on socialism. All grades would be averaged, and everyone would receive the same grade; so no one would fail, and no one would receive an A.

After the first test, the grades were averaged, and everyone got a B.

The students who studied hard were upset, and the students who studied little were happy. As the second test rolled around, the students who studied little had studied even less, and the ones who studied hard decided they wanted a free ride too, so they studied little.

The second test average was a D!

No one was happy. When the 3rd test rolled around, the average was an F. The scores never increased as bickering, blame, and name-calling all resulted in hard feelings, and no one would study for the benefit of anyone else.

All failed, to their great surprise, and the professor told them that socialism would also ultimately fail because when the reward is great, the effort to succeed