Tuesday, November 3, 2009

Give them spoons

I heard this anecdote many years ago, and it's stuck with me since then:

An economist was visiting China, and he saw a large number of men digging with shovels to build a dam. His host was very excited and remarked on how many men they were employing. The economist pointed out that a smaller number of men could more efficiently build the dam with the right equipment. "But then we wouldn't be employing the other men," his host replied. "Well, in that case, why not give them all spoons?"

I've seen this anecdote attributed to Milton Friedman, which certainly seems plausible.

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