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Need help with Frederic Bastiat Example

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tpcatbp2 posted on Wed, Jul 29 2009 7:13 PM

Shopkeeper pays glazier $200 to fix his broken window.  So instead of having $200 and a window, the shopkeeping only has a window.  The glazier now has $200.  It seems to me that the community still has $200 and a window.  Why is society less wealthy?

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What could have been done with the $200 had the window not been destroyed? Remember: the $200 is being eaten up having to replace what was destroyed, rather than purchasing something new that one did not have.

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Because without the broken window, the shopkeeper would have had a window plus something he wanted to buy with $200, and whoever sold it to him has the $200.

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Top 25 Contributor
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Verified by tpcatbp2

What could have been done with the $200 had the window not been destroyed? Remember: the $200 is being eaten up having to replace what was destroyed, rather than purchasing something new that one did not have.

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Because without the broken window, the shopkeeper would have had a window plus something he wanted to buy with $200, and whoever sold it to him has the $200.

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Answered (Not Verified) Juan replied on Wed, Jul 29 2009 7:37 PM
Suggested by nirgrahamUK
Okay, what about blowing up half the houses in Paris ? You need to build them again and people who build houses will make money. I'm sure there's no net loss there for 'society' . Why not nuke the whole city too ?

February 17 - 1600 - Giordano Bruno is burnt alive by the catholic church.
Aquinas : "much more reason is there for heretics, as soon as they are convicted of heresy, to be not only excommunicated but even put to death."

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