1) Nature of Economic Knowledge and Ignorance
a. Economics is an unusual field in that many myths and foolish superstitions are commonly accepted by otherwise reasonable, educated people.
b. The average person’s misconceptions about economics are similar to the confusion exhibited by the “Cargo Cults” in the 1940s—primitive tribes that thought they could clear land, pray to cargo gods so that magic silver birds would come to them bringing wondrous gifts of “cargo”
c. Economic ignorance often influences, even drives, economic policy..
d. Consider the world culture’s focus on jobs. Jobs are very important but means to an ends.
e. What is the end purpose of the economy?
f. Name a beneficial thing that would destroy jobs.
g. Name a harmful thing that would create jobs.
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