Quotation of the Day…
by Don Boudreaux
on March 4, 2018
… is from page 480 of the 5th edition (2015) of Thomas Sowell’s Basic Economics (original emphasis):
[B]eing able to produce anything more cheaply is not the same as being able to produce everything more cheaply. When there are scarce resources which have alternative uses, producing more of one product means producing less of some other product. The question is not simply how much it costs, in either money or resources, to produce chairs or television sets in one country, compared to another country, but how many chairs it costs to produce a television set, when resources are shifted from producing one product to producing the other.
DBx: Sowell here describes the principle of comparative advantage.
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