Re Jim’s complaint about the state giving taxpayer money to private corporations reminds us, again, of the law of conservation that runs throughout nature. If money is taken from “X” and given to “Y,” there is but a transfer of wealth that confers no net gain to the rest of society. In fact, the brokerage fee exacted by the state – a nonproductive cost – assures that society will be worse off. If Jim wins his suit, he might want to request – as part of the remedy – that the defendants be required to listen to a reading of Frederic Bastiat’s wonderful essay on “What Is Seen, What Is Not Seen,” particularly where he speaks of the broken window fallacy.

The Best of Butler Shaffer