Friday, December 03, 2010 12:34 PM

"Economics 101" Video Exposes Keynesian Consumer Spending Fallacy

A Center for Freedom and Prosperity Foundation "Economics 101" Video Exposes Keynesian Consumer Spending Fallacy. http://www.freedomandprosperity.org/pre ... 9-10.shtml

"Keynesian stimulus schemes failed under Bush and now they are failing under Obama" said CF&P Foundation President Andrew Quinlan. "This new video hopefully will prevent similar mistakes in the future by helping people understand the importance of growth rather than redistribution."

"Keynesian policy is based on the fallacy that you can become richer by taking money out of one pocket and putting it another pocket, but this is a zero-sum game that appeals to statists and other redistributionists," added Dan Mitchell of the Cato Institute. "Real economic growth occurs when we figure out ways to increase national income, which is why good policy means reducing the burden of government."

Video Summary

Politicians and journalists who fixate on consumer spending are putting the cart before the horse. Consumer spending generally is a consequence of growth, not the cause of growth. This Center for Freedom and Prosperity video helps explain how to achieve more prosperity by looking at the differences between gross domestic product and gross domestic income.

This new video is part of CF&P's Economics 101 video series, which is designed to explain free market concepts, with particular emphasis on reaching students and young people. This is the tenth video in the series.

Video at the link: http://globaleconomicanalysis.blogspot. ... esian.html

Other Econ 101 Videos

Indexing the Capital Gains Tax to Protect Taxpayers from Inflation, http://www.youtube.com/watch?v=tvzqa71plv4

Repealing Obamacare and Restoring a Free Market in Healthcare, http://www.youtube.com/watch?v=DLybfQyrkdc

The Job-Killing Impact of Minimum Wage Laws; http://www.youtube.com/watch?v=zMMN3UIQmEk

Deficits, Debts and Unfunded Liabilities; http://www.youtube.com/watch?v=Ln559gjNpW4

Cost of the Internal Revenue Code; http://www.youtube.com/watch?v=XX8EswfGKQw

Lessons Learned From Sweden; http://www.youtube.com/watch?v=ENDE8ve35f0

Government Monopolies; http://www.youtube.com/watch?v=TIGmU2wJm-A

Moral Hazard; http://www.youtube.com/watch?v=_SdtoKeFTi0

Don't Copy Europe's Mistakes. http://www.youtube.com/watch?v=RZum_o-GAEI

Mini-Documentaries

Tax Competition Primer, http://www.freedomandprosperity.org/vid ... comp.shtml

VAT-Hidden Tax, http://www.youtube.com/watch?v=b6JDpw8a2Hk

Global Flat Tax Revolution, http://www.freedomandprosperity.org/vid ... ttax.shtml

Cutting the U.S. Corporate Income Tax, http://www.freedomandprosperity.org/vid ... etax.shtml

Promoting Prosperity, http://www.freedomandprosperity.org/vid ... 2009.shtml

Obama's So-Called Stimulus, http://www.freedomandprosperity.org/vid ... ulus.shtml

Obama's Deferral Proposal, http://www.youtube.com/watch?v=pTXiadVpS4M

Case Against Class-Warfare Tax Policy, http://www.freedomandprosperity.org/vid ... fare.shtml

President Obama's Dishonest Demagoguery on Tax Havens, http://www.freedomandprosperity.org/vid ... -th1.shtml

Six Reasons Why the Capital Gains Tax Should Be Abolished, http://www.youtube.com/watch?v=_yXINN1tD54

Benefits of Tax Havens http://www.freedomandprosperity.org/vid ... s1-3.shtml

Laffer Curve. http://www.freedomandprosperity.org/vid ... rve1.shtml

Inquiring minds will want to check out some of those videos.

Mike "Mish" Shedlock

http://globaleconomicanalysis.blogspot. ... esian.html