Episode 257: Baby and Bathwater

David looks at the danger that happens when we use hasty generalizations in our economic thinking. A company does something bad? Companies are bad. A business deal goes bad? Business deals are bad. A trading partners does wrong? Trading partners are bad. The illogical movement from a particular to a universal is flawed thinking, but when it gets put into practice, it undermines optimal economic outcomes and ignores the most basic of economic principles.

Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.