Breakup
I have a friend who recently broke up with her boyfriend of two years.
She’s really hot, and pretty smart, and I’d been expecting this for a quite a while.
I’m not really sure why they were together, but you could tell she was dating way below her market value.
In the past couple of months, he’s been hanging around these vampires.
Pretend Vampires
Not real vampires, but those people that like to pretend they are vampires.
There was an economist back in the 1800’s named Bastiat.
He was famous for a couple of things.
One was something called the broken window fallacy.
Hey! Great For Business!
Whenever there is a war or a disaster, a lot of media people and politicians like to say that this will be good for the economy.
But Bastiat showed almost 200 years ago why this is false.
There was this very powerful psychic.
She was really famous, and had a long waiting list.
What Should I Do?
People would see her, and ask her advice.
The advice she gave was always perfect.
This advice helped people to fall in love.
This advice helped people to make money.
Massive Success
This advice helped people to achieve massive social success.
But this psychic was really, really evil.
She knew that once people achieved success, they would soon start to take credit for it.
And once they started to take credit for their short term success, their ego would swell.
Killer Egos
Swelling egos can lead to destroying futures.
Because swelling egos create misunderstanding cause and effect.
And a misunderstanding of cause and effect can create terrible problems.
After their short term success, their lives would take a turn for the worse.
But since they took credit for their short term success, they didn’t see the real source of their pain.
Evil Psychic
Which was this evil psychic.
Turns out she was a very powerful sociopath with some very long game skills of emotional destruction.
The more pain she caused in her customers, the more powerful she became.
She would give them short term advice.
That would help them in the short term.
But she knew that the more you cheat success in the short term, the more pain you’ll embrace in the long term.
Recipe For Success
She had the perfect recipe.
To create short term, short sighted success in the short term.
And patiently reap the long term pain she would inevitably cause in her clients.
While they were profusely thanking her for their short term gains, she would smile, knowing how much pain they had coming in the future.
She became rich and famous and celebrated.
Nobody Suspected
And nobody ever know how much emotional and financial destruction she caused.
Bastiat’s broken window fallacy is based on a misunderstanding of wealth.
If you break a window, the common response is somebody is going to need to fix the window.
Which means you’ll need to spend money for new glass.
Spend Money
You’ll need to spend money to hire the labor.
Which will create jobs.
But Bastiat’s point was that a destruction of wealth requires scarce recourses, including labor, to bring that wealth back to zero.
Had the window not been broken, those same scarce resources could have been used to create net positive wealth.
Not What You See
The deeper idea, according to Bastiat, is it’s not what you see that’s important.
It’s what you don’t see.
He had two chances to get a promotion at work.
And both times he didn’t really try.
She said that he was content to just make enough money to pay his bills and have fun with his vampire friends.
Water Seeks Its Own Level
She said that high quality women are only attracted to high quality men.
Men that are driven to create wealth.
Not men who are driven to consume wealth.
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