If one of your New Year’s resolutions is to sound like an economist, please remember our yearly econlife Top Ten:
The Top Ten List
- Whatever the question, always answer, “There’s no such thing as a free lunch.”
- Defend a decision by declaring, “It was worth the opportunity cost.”
- Whether you like or dislike government, point to, “The power of the market.”
- Explain a love of low prices with, “It’s the law of demand.”
- Explain high prices with, “It’s the law of supply.”
- Preface a position with, “on the one hand…but on the other…”
- Justify your Thai T-shirt, Japanese camera, and Sumatran coffee beans by repeating, “comparative advantage, comparative advantage…”
- When asked, “How are we doing?” start by citing the GDP, CPI, and S&P. And know that there is so much more to look at.
- Know that the size of the pie has nothing to do with food.
- And finally, the most dependable way to sound like an economist is to remember that, no matter what the topic, “It’s always about the economy…”
Also, several years ago, I received this sound-like-an-economist suggestion from Kevin Denny (Thank you!).
- To reject any inconvenient fact, “The econometric evidence is not clear on this.”
Do be sure to send me your Top Ten additions.
Our Bottom Line
To all of my econlife friends, I send my best wishes for a healthy and happy New Year!
