Free Republic
Browse · Search
News/Activism
Topics · Post Article

To: MNDude
LMAO. Great rant.

FWIW, there's a principle in economics that's called something like the "efficiency of scarcity" or something like that. Basically, it says that in any economic system the scarcest resources will be used most efficiently, and the most plentiful resources will be used least efficiently.

I had someone explain it to me this way:

Which is the most productive grain farm: one in Western Europe, one in North America, or one in Africa?

The answer is that all three of them are, because it depends on how you measure productivity. The European farm is most productive in terms of yield per acre, because open land for farming is more scarce there than in the other two places. The North American farm is the most productive in terms of yield per unit of labor, since we don't have millions of people aspiring to pick grain by hand over here. And the African farm is the most productive in terms of yield per unit of energy, since they have plenty of low-skilled labor and plenty of land, but no cheap energy.

9 posted on 01/13/2015 3:56:26 PM PST by Alberta's Child ("The ship be sinking.")
[ Post Reply | Private Reply | To 1 | View Replies ]


To: Alberta's Child
...the most plentiful resources will be used least efficiently.

D.C. must have quadrillions of dollars!

10 posted on 01/13/2015 4:01:55 PM PST by TurboZamboni (Those who make peaceful revolution impossible will make violent revolution inevitable.-JFK)
[ Post Reply | Private Reply | To 9 | View Replies ]

Free Republic
Browse · Search
News/Activism
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson